Sinclair’s agreement to allow Mediacomm to retransmit its local TV signals for cash sets a new precedent in an escalating battle between cable and broadcast TV powers, according to the Wall Street Journal.
Sinclair Broadcasting’s victory in forcing cable operator Mediacomm to pay fees for the right to retransmit local TV signals sets “the biggest precedent yet for cash payouts,” according to a page-one story in the Wall Street Journal.
The story, written by by Peter Grant and Brooks Barnes, doesn’t disclose terms of the new deal, but reports that Mediacomm CEO Rocco Commisso is none too happy about its terms. It also says that, after clinching a recent agreement with Time Warner Cable, Sinclair will next take on Comcast, which has vowed “not to pay for free TV.” The Time Warner deal involves a payment but not a per-subscriber fee, the story said.
The story, which offers a recounting of broadcasters’ fight to win retrans cash, said that Commisso agreed to come to terms with Sinclair after realizing that FCC Chairman Patrick Martin was unlikely to side with cable in the fight.
WSJ Online subscribers can read the full story here.