Ameritech charges playing field uneven
Deals by TW, MediaOne force telco to drop CSN
In response to the complaint, Time Warner said Wednesday that it will not enforce the exclusivity provisions but MediaOne is refusing to back down.
"Our contract with Classic Sports is legal and proper in every respect," said MediaOne spokesman, adding, "We intend to maintain it."
CSN, which was not named as a defendant in the complaint, would not comment on Ameritech's action.
Unfair demands
Ameritech claims CSN's deal with the two cablers would force the telco, which has 100,000 cable customers of its own in the Midwest, to drop the channel in its systems in Detroit and Chicago. CSN, which features archived sports events, has 15 million subscribers.
A programmer like CSN, which is not affiliated with a cable system operator, may grant exclusive deals under current rules. But Ameritech is charging in its complaint that Time Warner and MediaOne pressured CSN to sign the exclusivity agreement in attempt to hinder Ameritech's ability to compete in the marketplace.
Fighting back
"It is our understanding (that Time Warner and MediaOne) are the ones who extracted these exclusive contracts," said Ameritech New Media spokesman Geoff Potter, who added that the deals appear to be designed "to harm Ameritech and gain and unfair advantage in a competitive arena." Generally , the FCC has not been friendly to exclusivity deals in the cable arena. Just this week, the FCC denied a petition by Speedvision and Outdoor Life to grant exclusive deals to cablers.
