Weekly television digest (Jan-Dec 1963)
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AUGUST 19, 1963
2-TELEVISION DIGEST
NEW ATTEMPT AT PAY-TV ON WEST COAST: Another crack at televised baseball in San Francisco & Los Angeles, via cable pay-TV, seems to be in works again. Subscription Television Inc. has been formed, and familiar name of Matty Fox is in there again. Details haven't been announced, but they're due to be released when stock registration is filed with SEC this week.
Firm involves 2 major companies: West Coast electronics manufacturer Lear-Siegler (which has Olympic as setmaking subsidiary) and Chicago -centered Reuben H. Donnelley Corp. (best knov/n as "Yellow Pages" publisher). Third^element in picture includes Fox and ex"Seventeen" magazine publisher Robert F. MacLeod.
Company will be capitalized at $22 million; original investors are putting up an additional $6 million. Lear-Siegler has designed wired-TV equipment; lines will be leased from phone company. Donnelley will handle billing. Fox, who's been working on similar project since San Francisco Giants & Los Angeles Dodgers moved to Coast in late 1950' s, reportedly still has pay-TV contracts with these clubs under his Skiatron banner.
Plans call for pay-televising of Giants & Dodgers home games sometime next year. Company will expand to other cities if West Coast project is successful. Firm reportedly also has contract with impressario Sol Hurok for cultural fare. Other programming, e. g. movies & taped shows, also is planned.
Basic monthly charge reportedly would be $4. 33, after $10 installation fee. Costs for each offering would range around $1-$1. 50. Because Giants have contract with city of San Francisco, deal would have to be cleared with city officials.
SEC stock filing is expected to tell how much Subscription Television Inc. will be paying ball clubs for TV rights. When Skiatron was dealing with Giants about 5 years ago, there were reports of a $37. 5 million deal over 15 years; another story mentioned $2 million over 2 years.
NIELSEN SAYS ’YES'; HARRIS STAFF ACTIVITY: Nielsen's long-awaited application for Rating Council accreditation— indicating final endorsement of reform plan— has been received by NAB. Company originally favored audit-only idea, balked at accreditation & setting of standards (Vol. 3:30 p4).
NAB now has OKs from all major raters. Rating Council's next step, by end of month: Send raters detailed questionnaires on their methods, with set of standards applying to all research services (Vol. 3:31 p3). Compliance with standards and with performance outlined in questionnaires will determine accreditation.
Articles of incorporation for non-profit company to oversee audit are being drawn up by NAB. Rating Council Inc. is tentative name, with present Council serving as board. Small staff will administer program. Bids have been requested from companies to do auditing imder RCI supervision.
Harris Subcommittee staff keeps anxious eye on rating developments. Chief counsel Charles Howze plans to meet Aug. 19 & 22 with NAB rating principals— Group W's Donald McGannon, NAB vp's Howard Bell & Melvin Goldberg, possibly others. Subcommittee attorney Robert Richardson, who leaves staff job Aug. 20, will attend first meeting.
Meetings are viewed as critical by Howze, who's faced with task of weiring proposals & alternatives for Subcommittee members. It's understood Subcommittee wants to be reassured that NAB is ready tc speak for entire industry. Nielsen's endorsement of NAB plan brightens picture considerably.
Here' s latest staff planning on wrap-up of rating hearings, to be given to Subcommittee: Subcommittee report, as we indicated earlier, will contain 3 parts— background leading up to hearings, general survey of hearings highlights, findings & recommendations (Vol. 3:27 p3; 3:31 p3).
There's also tentative plan to publish edited transcript of hearings, which would appear before report. Because of size, it would be in 4 volumes: (1) First part of hearings covering testimony of networks, stations, FTC Chmn. Dixon & NAB Pres. CoUins's initial appearance, in present edited form about 600 pages. (2) Testimony of all rating services, except Nielsen, about 500 pages. (3) Nielsen, which was on the stand about 10 days, about 600 pages. (4) FCC Chmn. Henry, RAB Pres. Bunker, Census Bureau witnesses, Collins's second appearance with McGannon, size not yet determined.