Local stations multicast multishows

[Gregg Lengling]

Three hundred TV channels not enough for you? How about a few dozen more, courtesy of the likes of NBC, ABC, CBS and their affiliates?
 
  At the same time WRAL-TV airs Dr. Phil, it shows other programming on its HDTV station.  
 

With high-definition TV sales and broadcasts taking off, a growing number of local TV stations that broadcast in digital are also multicasting — or chopping those digital streams into two, three or four separate channels.

Typically, they can transmit a high-definition channel and one or two lower-resolution standard-definition channels in prime time, or four to six standard-definition channels during the day.

Of the nation's 1,700 broadcast stations, 213 are multicasting, up from 72 in 2001, says Decisionmark, which tracks digital TV. About half are public TV stations.

They churn out such fare as 24-hour local news and weather. There is live coverage of political debates, trials and area sports. And the major networks and their affiliates are plotting bolder offerings, such as local versions of entertainment news shows and a Headline News-style screen for local palates.

To see the channels, viewers generally need a digital set or must subscribe to their cable provider's digital tier. "Affiliates are committed to carrying a fairly high percentage of (network) programming, and that's squeezing out local" shows, says Bob Lee, general manager of multicaster WDBJ-TV, the CBS affiliate in Roanoke, Va. "We've put the choice in viewers' hands."

As cable channels siphon more viewers, broadcasters say multicasting helps them fight back and partly recoup their multimillion-dollar investment in digital TV. But a lobbying war between broadcasters and cable systems threatens to limit rollout. Broadcasters say a federal law that requires systems to carry their main channels also mandates carriage of their multicast offspring.

"We're free, over-the-air television. As long as it's free, cable should carry it," says Jim Goodmon, CEO of Capitol Broadcasting, which multicasts on its two stations in Raleigh, N.C.

The multiple channels, broadcasters say, occupy no more space on high-capacity digital cable systems than single analog channels. But cable companies say the law requiring transmission of a broadcaster's "primary video" refers only to the main channel. Besides, they argue, why should they carry what they call tepid offerings when a gaggle of cable channels are clamoring for space on their dials?

"It violates the First Amendment for the government to make the choice of what's going to be on cable," says Dan Brenner, counsel for the National Cable & Telecommunications Association. Air great channels, and systems will voluntarily carry them, he says.

Broadcasters retort that cable providers fear competition to cable channels, which supply their ad revenue; many are also partly owned by the cable giants. In a filing with the Federal Communications Commission, David Barrett, chief of Hearst-Argyle Television, says some cable systems have told his firm "they will not carry multicast programming ... competitive with cable programs they offer." He was not available for comment.

"This is a huge threat to The Weather Channel," says Forrester Research media analyst Josh Bernoff, noting multicasts offer more frequent local weather updates. Many cable systems also offer all-news channels that face fresh competition from multicasts.

But with 68% of U.S. homes served by cable, many broadcasters say they will scrap or scale back their multicasting plans if the FCC doesn't mandate cable carriage.

The FCC has been deadlocked on the issue, but the tide might be turning. A majority of the five commissioners recently voiced support for a "must-carry" rule, though some say that hinges on a separate proposal to require some public-affairs and children's shows on the multicast channels.

A must-carry rule likely would not take effect for at least three years or when 85% of homes can get digital signals. But it would provide leverage in talks with cable systems today.

Meanwhile, stations are forging ahead. In Raleigh, Capitol's CBS affiliate, WRAL, is broadcasting a 24-hour news channel in addition to its high-definition channel. Besides recycling WRAL newscasts, the channel brims with local coverage, televising the murder trial of a former city councilman last year while CBS aired its daytime schedule. During the NCAA basketball tournament, it showed four games the same night on four channels.

When CBS switched to golf the day of the space shuttle Columbia disaster last year, WRAL stuck with coverage on one ancillary channel and showed ACC basketball on another.

"We're losing money," Capitol's Goodmon says, noting the company invested $1 million in multicasting, and only sports shows have ads. "But I'm building a local news brand, and there's no doubt" revenue will outpace costs. The channels are on area Time Warner and Cox cable systems, but not on Adelphia and Charter.

Like WRAL, Roanoke's WDBJ repackages its weather and news, so costs are low. "It's leveraging assets," Lee says. He expects multicasts to turn a profit next year.

Other multicasting programs and plans:

• Many public TV stations are providing adult and children's education, foreign-language programming and gavel-to-gavel coverage of state legislatures.

• NBC and its affiliates are planning a local weather/news service. It's also considering programs such as local versions of — or behind-the-scenes footage from —Access Hollywood and profiles of local reality show contestants.

"We see ourselves taking some of our brands and localizing them," says Brandon Burgess, head of NBC business development.

• ABC is multicasting news/public affairs and weather channels at its KFSN station in Fresno, Calif. It plans to replicate the model at the nine other stations it owns.

• WKMG, CBS affiliate in Orlando, plans to broadcast a Web-style screen with local news, weather maps, headlines and rotating live traffic views.

Some broadcasters say multicasting lets them better compete for advertisers by offering different channels to reach different audiences, just as cable systems do. NBC affiliates want to target local news to a town in a coverage area and sell more affordable ads to local businesses. "We get to play at that party," says Roger Ogden, head of the NBC affiliate board.

Others are skeptical. Sinclair Broadcast Group, which owns 62 stations, has no plans to multicast. "I'm not holding my breath that anyone's going to get rich putting weather up," company President David Smith says.

[Joseph S]

Others are skeptical. Sinclair Broadcast Group, which owns 62 stations, has no plans to multicast. "I'm not holding my breath that anyone's going to get rich putting weather up," company President David Smith says.

They also have no plans of HD.