The United States Federal Communications Commission (FCC) is mulling over a new plan that would potentially change how it regulates Internet television, an initiative that would place the Internet on the same level as conventional cable and satellite television.
A change such as this would assist Internet TV services, like the services being developed by Sony, Verizon and Dish Network, to compete with traditional pay-TV for digital rights to major network programming, according to an FFC source close to the situation, notes Multi Channel News.
It should be noted, however, that it would be related to online subscription video services rather than online video services like Netflix.
FCC Chairman Tom Wheeler confirmed that the concept has yet to be formalized and has not made it to the four FCC commissioners for an official vote on introducing the proposal and gathering public feedback. A vote could come up as soon as Oct. 17, though nothing has been concrete as of yet.
Overall, the primary objective for this proposed scheme is to create fresh and tough competition in the video market to benefit consumers.
“You want to make sure that you’re always keeping up with technology, you’re always keeping up with innovations in the marketplace. This falls into that kind of category,” Wheeler told reporters, notes Reuters.
In previous situations, the FCC maintained that cable and satellite television providers could negotiate to retransmit major television broadcasting. Online video services did not fall into any of the same regulatory framework because it relied on an entirely different technology. Moving forward, the Media Bureau of the FCC wants to initiate a technology-neutral definition of “multichannel video program distributor.”
Industry professionals say this is a very big deal and it could change the entire landscape.
Some are now pondering whether or not this move could help revive Aereo, a video streaming company that captures live and recorded programs through antennas and transmits them to subscribers. It was ruled by the Supreme Court that Aereo infringed on broadcasters’ copyrights.
Aereo CEO and founder Chet Kanojia called the ruling a “major setback” and “sends a chilling message to the technology industry.”
With the FCC’s latest attempts, could the future of companies like Aereo be bright?
“Aereo is back,” Richard Greenfield, an industry analyst for BTIG, told the National Journal.