tv management unit 12 study guides

Historical Context of TV Regulation

• TV regulation in the US began with the Radio Act of 1927 established the Federal Radio Commission to oversee radio broadcasting
• Communications Act of 1934 replaced the FRC with the Federal Communications Commission (FCC) expanded oversight to telephone and telegraph
• FCC's authority extended to television as the medium grew in popularity during the 1940s and 1950s
• Early regulations focused on technical standards, such as frequency allocation and signal interference
• Concerns about content, particularly violence and sexual themes, led to the development of the Television Code in 1952 by the National Association of Broadcasters (NAB)
  • The Television Code was a voluntary set of guidelines for programming and advertising
  • It included restrictions on the depiction of crime, violence, and sexual content
• The FCC's "Vast Wasteland" speech by Chairman Newton Minow in 1961 criticized the quality of television programming sparked a national debate about the role of television in society

Key Regulatory Bodies and Their Roles

• The Federal Communications Commission (FCC) is the primary regulatory body for television in the United States
  • Established by the Communications Act of 1934
  • Consists of five commissioners appointed by the President and confirmed by the Senate
• FCC responsibilities include:
  • Allocating broadcast frequencies and issuing licenses to TV stations
  • Setting technical standards for broadcasting equipment
  • Enforcing regulations related to content, such as indecency and children's programming
  • Reviewing mergers and acquisitions in the television industry
• The National Association of Broadcasters (NAB) is a trade association representing the interests of television and radio broadcasters
  • Develops and promotes industry standards and best practices
  • Lobbies Congress and the FCC on behalf of its members
• The Federal Trade Commission (FTC) oversees advertising practices in television
  • Enforces truth-in-advertising laws
  • Investigates deceptive or unfair advertising claims

Major Laws and Policies Shaping TV Regulation

• Communications Act of 1934 established the FCC and its authority over television broadcasting
• Television Code of 1952 set voluntary guidelines for programming and advertising content
• All-Channel Receiver Act of 1962 required TV sets to be capable of receiving both VHF and UHF channels expanded the number of available channels
• Children's Television Act of 1990 mandated that broadcasters provide educational and informational programming for children limited advertising during children's shows
• Telecommunications Act of 1996 deregulated the television industry by:
  • Allowing for greater media consolidation
  • Removing caps on the number of stations a single entity could own
  • Requiring the transition from analog to digital broadcasting
• Cable Television Consumer Protection and Competition Act of 1992 regulated cable TV rates and required cable systems to carry local broadcast stations (must-carry rules)

Content Regulation and Censorship

• FCC regulates content on broadcast television to protect the public interest
• Obscenity is not protected by the First Amendment and is prohibited on television
• Indecent content, which includes profanity and nudity, is restricted to late-night hours (10 pm to 6 am) when children are less likely to be watching
  • The FCC defines indecent content as material that depicts or describes sexual or excretory organs or activities in a patently offensive manner
  • Broadcasters can face fines for airing indecent content outside of the designated hours
• Violence is not directly regulated by the FCC, but the agency has encouraged broadcasters to adopt voluntary guidelines
• The V-Chip (Viewer Control Chip) was mandated by the Telecommunications Act of 1996 allows parents to block programs based on ratings for violence, sexual content, and language
• The Television Parental Guidelines were established in 1997 to provide a ratings system for TV programs (TV-Y, TV-G, TV-PG, TV-14, TV-MA)

Ownership and Licensing Rules

• The FCC grants licenses to television stations to use specific broadcast frequencies
  • Licenses are typically granted for a term of eight years
  • Stations must renew their licenses and demonstrate that they have served the public interest
• Multiple ownership rules limit the number of stations a single entity can own in a given market and nationally
  • The national ownership cap was set at 39% of U.S. households by the Telecommunications Act of 1996
  • In 2017, the FCC under Chairman Ajit Pai voted to eliminate the main studio rule, which required stations to maintain a physical presence in their local coverage area
• Cross-ownership rules restrict a single entity from owning multiple media outlets (television, radio, newspapers) in the same market to promote diversity of viewpoints
• The FCC conducts auctions to allocate new broadcast frequencies or reassign existing frequencies
  • Incentive auctions, authorized by Congress in 2012, allow broadcasters to voluntarily relinquish their spectrum rights in exchange for a share of the proceeds from the auction of that spectrum to wireless providers

Public Broadcasting and Its Unique Regulations

• Public broadcasting in the United States consists of non-profit, educational television and radio stations
  • Examples include the Public Broadcasting Service (PBS) and National Public Radio (NPR)
• The Public Broadcasting Act of 1967 established the Corporation for Public Broadcasting (CPB) to distribute federal funds to public TV and radio stations
  • CPB is a private, non-profit corporation that is funded by the U.S. government but operates independently
  • CPB distributes grants to local public stations and supports the production of educational and cultural programming
• Public broadcasters are subject to the same FCC regulations as commercial stations regarding content and technical standards
• However, public stations are prohibited from airing commercial advertisements
  • They rely on a combination of government funding, viewer donations, and corporate sponsorships
• The Children's Television Act of 1990 requires public stations to provide educational and informational programming for children, just like commercial stations

Current Challenges and Future Trends in TV Regulation

• The rise of streaming services (Netflix, Hulu, Amazon Prime) has disrupted the traditional television landscape
  • These services are not subject to the same FCC regulations as broadcast and cable networks, creating an uneven playing field
  • The FCC is grappling with how to adapt its regulations to the new digital environment
• Concerns about media consolidation and its impact on diversity and localism persist
  • The FCC under Chairman Ajit Pai has taken steps to relax ownership rules, arguing that they are outdated in the digital age
  • Critics argue that further consolidation will lead to less competition and fewer voices in the media
• The transition to ATSC 3.0, the next-generation broadcast standard, presents both opportunities and challenges
  • ATSC 3.0 enables broadcasters to offer higher-quality video and audio, interactive features, and targeted advertising
  • However, it requires significant investments in new equipment and may create compatibility issues with older TV sets
• Privacy and data security concerns are growing as television becomes more connected and personalized
  • Smart TVs and streaming devices collect vast amounts of data on viewers' preferences and habits
  • Regulators are considering how to protect consumer privacy while still allowing for innovation in the industry

Impact on TV Management and Operations

• TV managers must stay informed about the latest FCC regulations and ensure their stations are in compliance
  • Violations can result in fines, license revocation, or other penalties
• Content creators and programmers need to be aware of restrictions on indecent and obscene material
  • They must also consider the impact of their programming on children and adhere to the Children's Television Act requirements
• Advertising sales teams must follow FTC guidelines on truth-in-advertising and avoid deceptive or misleading claims
• Station owners and executives must navigate ownership rules when considering mergers, acquisitions, or expansion into new markets
  • They must also fulfill their public interest obligations to maintain their broadcast licenses
• News directors and journalists must balance their First Amendment rights with the FCC's content regulations and the need to serve the public interest
• Engineering and technical staff must ensure that the station's equipment meets FCC standards and prepare for the transition to ATSC 3.0
• Public broadcasters must adhere to the unique rules governing their operations, such as the prohibition on commercial advertising and the requirement to provide educational programming