the fcc – the failing communications commission
Common sense has never reigned supreme in the corridors of Washington, D.C. because playing protectionism politics is always more fun. And then there’s the option of making something out of nothing. The folks over at the Federal Communications Commission have proven themselves devoted practitioners of both games.
All because of a couple of radio networks and Janet Jackson’s boobie. Let’s just pause for a moment because I never thought I’d have to write that word (and I can only hope I spelled it right).
XM AND SIRIUS
On February 19, 2007 satellite radio company competitors XM and Sirius announced their intention to merge. The marketplace does not need (at this juncture anyway) two services. There is barely enough audience for one to survive.
The FCC usually takes about 180 days to review such a motion and render its decision. Today, it’s rumored that a commissioner will cast the deciding yes vote to approve the merger…maybe. It’s been over a year since their review started and it’s not done. The National Association of Broadcasters are wetting their pants in fear of the merger and lobbying like heck. Senators and Congressmen who are just now discovering the FM radio band continue to offer their opinion on why it should or should not go through.
By the way, you are paying for all this grandstanding. You sitting there reading…you personally paid for all this baloney.
I’m not naïve to the fact that there are important legal issues at stake in such a merger but that’s what the six month review time is for. The FCC is teeming with lawyers who should have been able to review the pros and cons, bring it to the commissioners, let them review and vote….in the allotted time. No matter what happens with the merger (which I think should be approved) the Federal Communications Commission failed to execute its duties in a timely, professional manner.
JANET JACKSON AND THE CASE OF THE MISBEHAVING BRA
Maybe it was a corset, a tank top or some other thing that I also don’t understand. The point is that it came off during the Super Bowl’s halftime show and was visible to one of the largest TV audiences of the year (including children) for (according to court documents) “nine-sixteenths of one second.” And as far as how close up the shot was on television, maybe 1/16 of the screen.
Now, if you are like me you probably saw the “incident” on You Tube (no I’m not giving you the link…if you need it that bad you go find it yourself) or some such thing and it seemed longer…well that’s what slo-mo instant replay on a loop can do to your memory.
Whether it was a planned mistake by the performers (asking for forgiveness instead of permission) or a performance mistake it was a mistake. I’m a pretty conservative guy on most things but to me it was much ado about nothing. It was the constant replays on the web and on news shows that made it a story and then an issue and then the FCC got involved and botched the whole thing.
Government inquires, depositions, testimony, committee meetings all to fine CBS $500,000. And a Federal Appeals Court just slapped the FCC upside the head, throwing out the fine saying the FCC didn’t follow its own rules properly so their fine was illegal.
Do you want to guess how much money was spent by you and I, our tax dollars from our earnings, on deciding on that fine and then getting it over turned? I don’t know but my low estimate is about 5x the fine amount when you work in the salaries and legal fees.
It seems the FCC is hapless and we as its bankers are helpless. I don’t like that, do you?