Pay Television? 1976 Would Be the Year of Initiation of of Telease Inc., the Licensee of the a Groundswell of Money, Stations, Teleglobe's System on Kwhy -Tv
Total Page：16
File Type：pdf, Size：1020Kb
of Teleglobe Pay -TV System Inc., New "if we have an approval," Mr. Wiemann York, is among those who call 1977 "the says, "we'll have boxes in the market Has the day year of the breakthrough" for subscription within six months:' television. Mr. Saga11, whose 410 system Robert S. Block, president and a prin- arrived for was approved by the FCC in 1973, has cipal owner of KWHY -TV, is optimistic been wrong before. In 1965 he was quoted about a 1977 breakthrough too, but over- the -air as saying pay TV was "looming on the doesn't want to "get into the prediction horizon," and 10 years later predicted that business" Mr. Block is also the president pay television? 1976 would be the year of initiation of of Telease Inc., the licensee of the A groundswell of money, stations, Teleglobe's system on KwHY -Tv. Mr. Sagall Teleglobe -developed system, is president equipment and interest has many blames the Washington lobbies of broad- and principal of STV- authorized WCGv convinced that this time there's casters and theater owners and the large Milwaukee and principal of other broad- no stopping subscription TV amounts of capital required to launch an cast groups applying for STV authority. Mr. STV program for slowing the "inevitable" Block said August 1977 is a realistic date Over- the -air pay TV has been struggling process. for STV programing to begin on KWHY -TV, for almost a quarter century for a Isaac Blonder of Blonder- Tongue but that from a broadcaster's standpoint, breakthrough that, although often pre- Laboratories Inc., Old Bridge, N.J., says he would rather begin the STV operation dicted, has never been realized. WBTB -TV will be programing with STV rather than engage in the "blue sky pre- The predictions are back. Subscription "probably in March." WBTB -TV was owned dictions" that have fallen through in the television (STV), according to its lifelong by Blonder- Tongue until last March when past. crusaders, will finally get its chance next 80% of the station and Blonder- Tongue's According to Messrs. Sagall and year. This time, they may be right. FCC -accepted BTVision STV system were Wiemann and others among pay TV's ad- After the FCC, congressional and court purchased, subject to FCC approval, by vocates, over -the -air subscription pro- battles among pay advocates, theater Wometco Enterprises Inc. (BROADCAST- graming won't really hurt either broad- owners and broadcasters in the late 1960's, ING, March 15). Blonder- Tongue was una- casters or theater owners, or anybody else the FCC began approving technical STV ble to get its STV system into operation, in the industry. FCC rules, instituted in systems. The first was Zenith Radio according to Mr. Blonder, because of the 1975 (BROADCASTING, March 24, 1975) Corp.'s Phonevision, granted type accep- cost involved. "I couldn't put up $5 mil- laid a strict although viable foundation for tance by the commission in August 1970. lion for the over- the -air test," he said in a pay TV operation, according to pay advo- Five others have been approved since. recent interview. Wometco has the capital cates. The FCC won't allow commercials The commission also began authorizing to rescue the operation, according to Mr. on pay TV, for example. The over- the -air facilities for subscription TV. In July 1972 Blonder. (The company is involved in pay broadcasters would have to depend it approved pay authority for WBTB -Tv broadcasting, cable television, Coca -Cola upon subscriptions for the STY portions Newark, N.J., on channel 68. It approved bottling, automatic vending and tourist at- of their broadcasting. The commission will two construction permits the next year, for tractions -and, as a major motion picture also require at least 10% of pay TV pro- WQTV(rv) on channel 68 in Boston and for exhibitor, was not so long ago a bitter graming to consist of something other wccv(TV) on channel 24 in Milwaukee, enemy of pay TV.) "We're already build- than feature films and sports events (con- neither of which is yet on the air even as a ing the first thousand decoders [the pic- sidered the highest potential profit makers regular broadcast facility. In 1974, the FCC ture and sound devices needed to receive for pay operations). Other rules will not approved pay authority for KWHY -Tv on the STV signal] for the Newark audience," permit pay broadcasts of feature films channel 22 in Los Angeles and last August Mr. Blonder said. more than three years old in the U.S. or granted the assignment of license and George F Wiemann, president of Pay the siphoning -off of free sports events application for STV authority of KBSC -TV Television Corp., says he "is ready to broadcast live over conventional television on channel 52 Corona (Los Angeles), manufacture" his PTV System -3 as soon in the particular market during any of the Calif., to Oak Broadcasting Systems Inc. as the FCC approves a station using his five seasons preceding the proposed STY. There are hearings being conducted system for STV authority. (Blonder - Mr. Wiemann, who worked in financial presently at the FCC involving six STV Tongue will manufacture the system for and administrative positions with 20th hopefuls in San Francisco, Philadelphia WBTB -Tv and WQTV, Teleglobe the system Century -Fox between 1962 and 1969, said and Washington. Pay TV applications are for KWHY -TV and wcev and Oak Industries pay television will "stimulate the growth pending at the commission for stations in Inc. will manfacture its Model I system for of motion pictures" Movie producers Detroit, St. Louis, Dallas, Fort Worth, its KBSC -TV.) Although Pay Television have witnessed the decline of their indus- Chicago, Minneapolis, Houston and Wor- Corp. hasn't landed a station franchisee try since the advent of television, he said, cester, Mass. yet, it is "working on deals in several and exhibitors have had to resort to sex Solomon Sagall, president and founder cities," according to Mr. Wiemann. And and violence fare not available on televi- Future's hopefuls. These are three of the ou over -the -air pay TV television receiver and when turned on by the viewer, unscramble the decoder boxes in prospect for that medium They are (1) Blonder - encoded picture and sound broadcast by the STV licensee. Billing Tongue's BTVision granted in July 1971, (2) the Teleglobe 410 system methods vary from the monthly cards issued by Pay Television neces- approved in March 1973 and (3) Pay Television Corp's PTV System -3, sary to activate the decoder to the internal accounting mechanism and approved last April. Not shown is Oak Industries' Model I system. All computer relays of the Teleglobe system and the internal tape account- work similarly. They are usually attached to the'antenna terminals of the ing system of the BTVision. Broadcasting Oct 11 1978 34 .