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Senators Want Probe Of DIRECTV On HDTV Signals
Satcaster's parent trying to block rival EchoStar from airing network signals, including high-def.
By Phillip Swann

Washington, D.C. (September 6, 2006) -- Colorado's two U.S. senators have asked the Senate Judiciary Committee to investigate a dispute between DIRECTV and EchoStar over network channels.

News Corp., DIRECTV's parent, last week asked a federal court to stop EchoStar from providing 'distant' network signals to nearly one million subscribers. The signals, which originate from New York and Los Angeles, include both analog and High-Definition TV feeds.

EchoStar says it will pay $100 million to local stations to settle the nine-year-old legal battle over 'distant' network TV signals. The local stations are concerned that EchoStar's subscribers will watch the national signals  instead of their feeds.

However, the satcaster says the Fox network, which is owned by News Corp., refused to go along with the agreement.

Sens. Wayne Allard, R-Colo., and Ken Salazar, D-Colo., have asked the Senate panel to examine whether DIRECTV and News Corp. "has engaged in behavior that would threaten the viability of the satellite TV market."

The senators represent Colorado where EchoStar has its headquarters.

The Associated Press reports that the Judiciary Committee is "looking into the situation and urging all parties to settle this matter to ensure uninterrupted service to consumers."

As part of the $100 million agreement with local stations, EchoStar said it would agree to expand its local network service to 95 percent of the U.S. population, making it less likely that its subscribers will need the distant signals to receive network programming.

AP writes that DIRECTV is running advertisements in the affected areas, suggesting that EchoStar subscribers may soon lose their network signals.

A Fox network spokesman says his company is doing nothing wrong, according to the AP.

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Phillip Swann is president and publisher of TVPredictions.com. He has been quoted in dozens of publications and broadcast outlets, including CNN, Fox News, Inside Edition, The New York Times, The Washington Post, The Chicago Tribune, The Financial Times, The Associated Press and The Hollywood Reporter. He can be reached at swann@tvpredictions.com or at 703-505-3064.

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