NARTB Lifuse' with ELECTRONICS
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REfEREf.CE 1Y,')E ONLY {J,i DO NOT REP; 1 NARTB LIFuse' THE DEG 9 195i AUTHORITATIVE WEEKLY NEWS DIGEST FOR EXECUTIVES OF THE VISUAL BROADCASTING AND ASSOCIATED RADIO & ELECTRONICS ARTS AND INDUSTRIES with ELECTRONICS REPORTS Wyatt Building Washington 5, D. C. Telephone Sterling 3-1755 Vol. 13: No. 49 SUMMARY -INDEX OF THE WEEK'S NEWS - December 7, 1957 NEW YORK REGENTS seek Ch. 13 for metropolitan SUBLIMINAL AD SHOWING for FCC tentatively planned area educational station, urging FCC reject sale of next month on closed circuit. All 3 networks ban WATV to NTA for $3,500,000; legal battle royal use of "hidden sell" (p. 9). looms in new cause celebre (pp. 1 & 6). TV-RADIO AD TAX THREAT beaten back in St. Louis STATION -OWNED TV TAPE units now in regular use; by campaign to halt spread of Baltimore plan, but Ampex announces color conversion kit at $29,000, AFA's Proud warns that danger persists (p. 10). offers recorders on lease basis (p. 2). Manufacturing -Distribution STANDARD -TIME REPEATS of network programs via RADIO SET PRODUCTION in unheralded comeback, video tape pose monumental problem for AT&T; with 1957 fourth biggest year in history; phono - some areas may be bypassed this summer (p. 3). hi -fi output to hit all-time high (p. 11). 10TH VIDEOTOWN SURVEY, intense study of New COLOR SERVICE is simple, RCA reports, disclosing it's Brunswick, N. J_, shows last year's high viewing reaching profitability; spokesman sees color now plateau maintained with small variations (p. 4). at 1947 black -&-white level (p. 11). UHF STATION TOTAL drops by 2 as Albany outlet HOTPOINT REALIGNS all distribution and sales under switches to vhf, discontinues one of 2 satellites. John F. McDaniel; plans to cut dealers from Notes on upcoming stations (p. 7). 14,000 to 9000 (p. 13). VHF CHANNEL SHIFTS sought-to San Antonio by local WHY WOO BIGGER DEALERS? Case presented by elec- uhf, to Greensboro, N. C. by Jefferson Standard; tronics distributor George Wedemeyer in analysis Ch. 7 grant in Alexandria, Minn. (p. 7). of cost vs. net in selling smaller accounts (p. 14). NEW WIRED TOLL -TV operation, charging viewers on ANOTHER INVESTMENT FUND reports on TV -electronics per -program basis, reported due to start construc- holdings (p. 15). Interlocking directorships -officer - tion in Cal.; other fee -TV notes (p. 8). ships reported by House committee (p. 14). DEMAND FOR Ch. 13 MAY BE CAUSE CELEBRE: There's much more than meets the eye in the simple 3 -page petition for rule -making filed with the FCC this week by counsel for the Board of Regents of the University of the State of New York, asking that Newark's Ch. 13 be set aside for educational TV-instead of being permitted to go to National Telefilm Associates, the film syndicate, by reason of its proposed $3,500,000 -plus purchase of WATV and radios WAAT & WAAT-FM (Vol. 13:40, 44). The powerful laymen's group (see p. 6) heading what one regent calls "the greatest educational system in the world" proclaims that "New York City [must] take its proper place in providing the benefits of educational TV to the largest metropolitan area in the country and without serious dis- location in the commercial TV pattern, since there will be 6 competing commercial stations remaining, and without injury to the economic status or intentions of any existing TV operators." They promise that the present operators of WATV "shall not be the losers by reason of the withdrawal of the channel from commercial use," indicating a willingness to buy the TV if not the radio property. WATV is licensed to New Jersey under the FCC's allocation plan; it has studios in both Newark and New York and transmitter atop Empire State Bldg., along with New York's other 6 stations. FCC has literally been rubber-stamping station sales in the last few years, many TV and even more radio. Now it's faced with a basic policy decision not only with respect to transfer of ownership www.americanradiohistory.com -2- between private interests but state's rights and educational claims involving a change in channeling. This is the first such attempt to "usurp" an occupied channel-and there's no doubt a battle royal impends before the FCC and perhaps the courts and Congress. Up to now, only 28 non- commercial educational stations have taken to the air, 22 on vhf channels; there are also commercial vhf's operated by Cornell U at Ithaca, N. Y., Iowa State College at Ames, Loyola of New Orleans, U of Missouri at Columbia; Notre Dame has commercial uhf at South Bend. Plenty of uhf channels are still available, generally unwanted, and some vhf's in certain areas; the New York regents themselves since 1952 have held CPs for 7 uhf's but have done nothing about them because of the failure of uhf set circulation in well -served vhf territory. Their unwillingness to venture will doubtless be cited against them. Besides the question of New Jersey rights, there's municipally -owned WNYC, holding a uhf Ch. 31 grant-and city's politicos may step in to ask priority on any newly available vhf. There are 5 uhf grantees (one educational) in New Jersey, and they may also be heard from-to say nothing of priority claims that might be put forth by the private owners of defunct uhf's in Atlantic City and Asbury Park who had to quit when they couldn't make the economic grade. For example, indicative of kind of fight that may be in store was this week's filing in Court of Appeals by David E. Mackey, holder of CP for WOCN, Atlantic City (Ch. 52); he challenges FCC refusal to move WRCV-TV's Ch. 3 from Philadelphia to Atlantic City, noting that New Jersey has only one vhf station-i.e., WATV. If WATV and NTA choose to fight, as expected, this case promises to be a cause celebre about which we'll be hearing a lot more in ensuing months. (More on p. 6.) VIDEO TAPE BECOMES TV STATION TOOL: As first 2 non -network -owned stations put their video tape recorders to work, Ampex this week began taking orders for color conversion units and announced video tape recorder leasing plan for stations which can't afford or don't want to buy. First stations with production -model Ampex recorders are Seattle's KING -TV & Portland's KGW- TV, both owned by Mrs. A. Scott Bullitt interests. KING -TV engineers, under James L. Middlebrooks, had new machine in operation within 4 hours after uncrating, successfully used recordings on air. Compatibility feature of production model recorders will be put to acid test, with KING -TV and KGW-TV (which received its Ampex this week) already working out details of taped program exchange. Next 4 Ampex video recorders to be delivered this month go to CBS, which already has 5 proto- type models and is scheduled to receive an additional 9 production models next month, another 5 later. Ampex this week announced it is ready to take orders for color conversion kits for its production model black-and -white recorders, and for complete color recorders-deliveries of both to begin in June. Color kit is engineer -made prototype model; Ampex won't make decision on production models (which should be considerably cheaper) until it can gauge demand for color recorders and conversion kits. Though Ampex prototype color kits won't be compatible with RCA prototype or production models, Ampex officials say that any future production models will have interchangeability feature. With 2 manufacturers now offering both color and monochrome video tape units, here is the picture in machine availability and price: Monochrome recorder -reproducers: Ampex production models $45,000 each, now being delivered, close to 100 on order; 13 pre -production prototypes delivered at $75,000 each. RCA, production model available by Dec. 1958, at $49,500. Color recorder -reproducers: RCA production models, for Dec. 1958 delivery, $63,000; 7 pre -pro- duction units, to be delivered April -Sept. 1958, at $96,000 (6 to NBC, 1 to WBTV, Charlotte, no more scheduled). Ampex monochrome production model recorder with prototype color unit, for delivery by June, $74,000; prototype color converter for Ampex monochrome recorder, delivery by June, $29,000. In addition, Ampex announced this week new recorder leasing plan for stations. Company says it will rent a single recorder or an entire system, black -&-white or color, under the plan. For a single www.americanradiohistory.com -3- monochrome recorder, leased on 4 -year basis, rental would come to about $1200 a month, which may be applied toward purchase of machine, if desired. Ampex is now taking orders for rental machines, deliveries to begin in April or May. i Problem of editing video recordings is well on way to solution, Ampex and RCA agree. Ampex and others have been working on system by which splices can now be made by experts in 3 minutes. System involves spraying portion of tape to be edited with solution containing minute iron filings, making magnetic impulses visible. Production -model recorders record "editing pulse" on edge of tape, indicating end of frame. This pulse shows up when sprayed, indicating where splice can be made without disturbing sync. NATIONWIDE STANDARD -TIME TV UNCERTAIN: There's still a large obstacle in the way of the 3 TV networks' plans to eliminate Daylight Time program schedule changes in areas which remain on Standard Time this summer. The obstacle, as reported in these columns last June (Vol.