Broadcasting (Jan - June 1940)

FCC Meets May 7 for Record Work-Load iLaw Staff, 507-Line Video, FM, Treaty I Reallocation, Net -Monopoly Listed ! By SOL TAISHOFF ; CATCHING its second wind after the rigors of the frequency ' modulation hearings, plus the knock-down, drag-out television J proceedings, the FCC tentatively plans to convene May 7 with , a work-load which foreshadows unprecedented activity of mai jor importance to the public and the industry. Here's the out; look : , 1. Prompt selection of successors . to William J. Dempsey and William C. Koplovitz, who have resigned to , enter private practice [see story on f page 13]. < 2. Quick action on television and ' FM allocations, which run hand-in * hand by virtue of claims for the ; same ultra-high frequency bands. r f 3. Alignment of plans for the , standard broadcast band realloca, tion, provided under the Havana ' Treaty, which will see assignments of some 90% of the 825-odd stations shifted 10 to 40 kc. away from , their present positions in the spec3 trum. 4. Disposition of the so-called 9 network monopoly report, long 9 overdue, based on hearings held in 1 latter 1937 and early 1938. 9 Problems Interrelated These are only the highlighted ■ activities to which the Commission must give right of way. It is virtuI ally committed to dispose of them ; in quick order. The interrelation of ; practically all unfinished business ? is such, however, that disposition i of any one (save the personnel 9 question) requires consideration of ,' the others, technically or ecos nomically. I When the explosive television re' hearing concluded April 12, several ' members of the Commission found ' themselves in a state of virtual ' physical collapse. Not even the most pessimistic member had any idea that the wrath of practically j the entire Fourth Estate, not to I mention dealers and manufacturers, I would descend upon the Commisf sion with such spontaneity. The < FCC is on record, in Congress and I even at the White House, to dispose I of the television allocations issue forthwith. Almost before the echo of the 1 closing gavel of the television hearings had died out, Chairman James I Lawrence Fly was on his way to ' his native Texas to take a needed • rest. He left April 14 and planned to return the first week in May. Only Commissioners Brown and Craven have remained in their offices. Commissioner Case, ill at his Washington home since Feb. 20, has kept in telephonic touch, but is expected to be away from his desk several weeks longer. Commissioner Walker left Washington April 15 for common carrier hearings on the Pacific Coast. Commissioner Thompson left for a vacation, and Commissioner Payne went to Texas to resume revocation hearings against Texas stations identified with the James G. Ulmer purported "hidden ownership" operations. Out of all the tumult provoked by the television action comes the inference that the Commission may be disposed to compromise on full commercial operation with perhaps a 507-line x 30-frame "temporary" standard of transmission as the most desirable obtainable today. This was the suggestion of RCA witnesses at the closing days of the hearing, whereas previously they had supported the RMA standard of 441 lines, 30 frames. The DuMont proposal of 625 lines 15frames, which appeared to have the support of perhaps a majority of the commisioners during the hearings, will lose out if it is ascertained technically that the slower motion will place television at a disadvantage in competition with the movies, which use 24 frames. The thought is toward development of flexible transmission, capable of picking up several systems, but with a common synchronizing pulse which would actuate all types of receivers. The Commission might decide to eschew approval of any particular standards but simply license applicants who appear willing to follow best current practices, and then in the future grant applications which show improvements. Whether the decision will be to retain the status quo insofar as television channel allocations are concerned is the knottiest of the FM-television problems. Television now has seven channels, each 6,000 kc. wide, below 108 mc. FM wants television channel No. 1 ranging from 44-50 mc, which, together with the range from 42 to 44 mc. would give it a sweep of 8 mc, or 40 channels of 200 kc. each, to accommodate Armstrong wide-swing FM, and develop the new "staticfree" broadcast service over an estimated 10-year transitory period. The FCC engineers have some 15 possible solutions, on paper, for the FM-television allocations problem. It is a safe guess that not a single one would satisfy either faction entirely, and that in the final analysis some compromise will be developed. The key apparently is the willingness of the Government services, administered by Interdepartment Radio Advisory Committee, to contribute space it is not fully utilizing in the adjacent ultra-high bands. For example, the Government band 40 to 41 mc. might be allotted. Monopoly Report Assuming the FCC first clears the way by solving the FM-television allocations conflict, it will find it necessary immediately to plunge into the other pressing problems — the Havana Treaty reallocation and the network-monopoly report. What it does about FM, however, will have a bearing on whatever legislative recommendations it will make in connection with networkmonopoly. All of the dire things the majority of the Network-Monopoly Committee have favored to straitjacket the industry might become outmoded and unnecessary if FM is given full commercial operation and if it means the more or less indiscriminate licensing of new stations almost everywhere. There would be injected free competition with a vengeance. Presumably, there would be opportunities for the development of new competitive networks using FM, along with a host of other changes which would knock present broadcast economics into a cocked hat and perhaps deflate the whole monopoly subject. Commissioners Thompson and Walker have advocated a veritable revolution in the status quo of network-affiliate relationships, while Acting Chairman Brovim has fostered a middle-of-the-road course. There were developments on the network-monopoly study just before the several commissioners scattered April 15. The three committee members met for some four hours, reviewing the voluminous "preliminary report" prepared by the staff and reviewed by the Law Department. It was shot back to the latter department, however, for revision. The word was that members of the committee became concerned about the responsibility of holding back the long-overdue report, particularly in the light of the surge of legislative activity following the television foray, and proposed investigations of the Commission. The plan apparently is to pass the report, without publication, on to the full Commission so that all seven, not three, would be responsible. Treaty Shift The standard broadcast reallocation, on paper, is slated for Aug. 1, to which date all broadcast licenses have been extended. But it is next to impossible to meet that deadline, because of the diplomatic as well as procedural preliminaries which must be hurdled prior to the setting of the changeover date. The guess now is that Canada, Mexico, Cuba and the United States will finally agree on a Continental "radio moving day" to occur about Dec. 1, which would give all countries and parties involved, plus the public, a chance to gear themselves. The matter of putting into writing the "gentlemen's agreement" reached with Mexico, whereby six channels will be given that country on a guaranteed basis outside the terms contemplated in the treaty itself, remains to be accomplished at a meeting likely in Mexico City. Rumors that several of the border stations, slated to go by the boards with the actual promulgation of the treaty allocation, would be accommodated in some fashion, are vehemently refuted at the FCC and the State Department. Whether the resignations of Messrs. Dempsey and Koplovitz will slow down the FCC in digging into this welter of work, depends mainly upon the speed with which the new appointments are made and whether the men retained are experienced in radio. Chairman Fly, it is understood, plans to make the appointments his first order of business. More than likely, however, the selections will be from Government attorneys, outside the FCC. LOST IN ADMIRATION of the beauteous mannequins used to illustrate the latest promotion book for NBC-Blue are Ken R. Dyke, NBC director of national sales promotion (right), and E. P. H. James, NBC advertising manager. The 16-page book is titled "Something old, something new, something borrowed, something blue," the four parts of the rhyme enacted by the models with the copy telling the story of old Blue accounts, new Blue facilities etc. Advertisers and agencies in key cities are receiving the book in hand-addressed white envelopes, to which are attached miniature, engraved wedding invitations for the marriage of the NBC-Blue Network Radio to More Product Sales, and a piece of real wedding cake tied with baby blue ribbon. BROADCASTING • Broadcast Advertising May J, 1940 • Page 15