Comcast's Recent Samsung Deal Validates FCC Set-top Proposal, Says Wheeler

Comcast's recent announcement that it would include set-top box functionality in some Samsung smart TVs (see 1604200047) validates the FCC set-top proposal, agency Chairman Tom Wheeler said at a news conference after the commission's open meeting Thursday. Comcast “is proving our point,” he said, since the arrangement involves a third-party device performing the function of a set-top. That comparison is specious, since Comcast and Samsung were able to privately negotiate that deal, and work out stipulations about respecting copyright and data and similar concerns, Commissioner Ajit Pai said in a subsequent news conference. Since there would be no such arrangements under the FCC proposal, it would be “like the wild West,” Pai said. Wheeler said the FCC proposal would allow all companies to accomplish what Samsung and Comcast did, and keep the deal from being withdrawn. Comcast has made similar arrangements in the past, but it didn't lead to change in the market, he said. “What Comcast giveth, Comcast can taketh away,” he said. “We’re glad that Chairman Wheeler has noticed that the marketplace is already producing real technology solutions” for watching pay TV without a set-top, emailed the Future of TV Coalition. “But these market-driven, app-based solutions bear no resemblance to the sweeping, Google-backed mandate he has proposed.” Comcast's deal with Samsung involves an app that is very different from what the FCC is proposing, a pay-TV industry official told us. The Samsung device won't have any ability to change Comcast's user interface or advertising, the official said. The “groundswell” of opposition should persuade Wheeler that the FCC to “take some time” instead of “barreling ahead,” Pai said. Comcast didn't comment.