Verizon Communications Inc. on Tuesday said it has filed a formal complaint with the FCC because, contrary to the Cable Act of 1992, Cablevision Systems Corp. will not negotiate a carriage agreement with the RBOC. Verizon wants to add the incumbent cable operator’s sports programming to its FiOS TV lineup in New England and New York.
Cablevision’s wholly owned subsidiary, Rainbow Media Holdings, operates regional sports networks in New York that hold rights to produce and show the games of a number of local teams, including the New York Knicks and New York Rangers. Rainbow also operates and owns a 50 percent interest in a regional sports network that holds rights to produce and show games of the Boston Celtics, as well as other teams in the Boston area. The 1992 act requires programmers to provide their content to all forms of video delivery, not allowing them to withhold those products from competitors.
Verizon said it has tried repeatedly over the past year to negotiate a carriage agreement with Rainbow, only to meet with refusals. Verizon wants to carry Fox Sports Network New York, Fox Sports Network New England and Madison Square Garden Network – all of which are controlled by Rainbow – on its FiOS TV service.
Verizon said it has tried to negotiate with Cablevision since 2004, and complained the cable operator will not even offer terms. Cablevision had no statement on the issue by Tuesday night.
“We are troubled by Cablevision/Rainbow’s anti-competitive behavior and refusal to negotiate carriage agreements for their sports programming,” said Terry Denson, Verizon vice president of FiOS TV content strategy and acquisition, in a news release. “Cablevision’s consistent refusal to negotiate carriage terms clearly is an attempt to block competition and preserve its market position, and the 1992 Cable Act specifically prohibits this type of refusal to deal.”
Cablevision Systems Corp. www.cablevision.com
Verizon Communications Inc. www.verizon.com
