Before Bush Donor Takeover Of MSNBC, Network Selectively Applies Rules To Suspend Olbermann

By Lee Fang UPDATED: We have been notified that Comcast has not yet officially taken over MSNBC/NBC Universal. Although Comcast has tentatively finalized a deal to purchase a majority stake in NBC, Comcast awaits final approval of the takeover from the Justice Department and from the Federal Communications Commission. A statement from Comcast reads: “The joint venture between Comcast and GE has not yet received regulatory approval. Comcast is not in any way involved with decisions made currently by NBC News.” However, once Comcast gains final approval from federal regulators to move forward, Comcast COO Steve Burke, a Bush fundraiser, will be placed at the helm of MSNBC and other NBC companies. Our original post inaccurately asserted that Comcast’s Burke was involved in the decision to fire Olbermann. We apologize for the error.

Earlier today, MSNBC declared that it would be suspending progressive host Keith Olbermann because he violated NBC’s ethics rules by donating to three Democratic candidates for Congress. As many bloggers have noted, conservative MSNBC host Joe Scarborough has donated to Republican candidates for Congress while promoting the same candidate on air, but has never been disciplined. Moreover, Gawker notes that MSNBC has been exempt from the formal NBC ethics rules for years. It is still a mystery why MSNBC selectively applied NBC’s ethics rules to Olbermann. However, it important to realize that MSNBC has undergone a fundamental change in leadership in the last two months.

Late last year, Comcast — the nation’s largest cable provider and second largest Internet service provider — inked a deal taking over NBC Universal, the parent company of MSNBC. Comcast moved swiftly to reshuffle MSNBC’s top staff. On September 26th of this year, Comcast announced perhaps the most dramatic shift, replacing longtime MSNBC chief Jeff Zucker with Comcast executive Steve Burke [Updated: The shift from Zucker to Burke has not taken place yet -- Burke will preside over MSNBC once the Comcast merger is complete. We have been informed that no Comcast officials are currently involved in the decisions of NBC or MSNBC.]. Burke has given generous amounts to both parties — providing cash to outgoing Sen. Arlen Specter (D-PA) as well as to Rep. Eric Cantor (R-VA) and other top Republicans. But as Public Citizen has noted, Burke has deep ties to the Republican Party. Public Citizen’s report reveals that Burke served as a key fundraiser to President George Bush, and even served on Bush’s Council of Advisers on Science and Technology:

Comcast – the country’s largest provider of cable TV and broadband Internet services – has increased its political giving along with its mergers and acquisitions. CEO Brian Roberts was a co-chairman of the host committee at the 2000 Republican Convention. Comcast Cable President Stephen Burke has raised at least $200,000 for Bush’s re-election campaign. [...] Comcast’s political giving has increased along with its mergers and acquisitions. The company was a “platinum sponsor” at the 2000 GOP convention, and Roberts was a co-chairman of the host committee at the Philadelphia event. Burke was appointed to the President’s Council of Advisers on Science and Technology in 2002.

Why would Comcast be interested in silencing progressive voices? Historically, Comcast has boosted its profits by buying up various telecommunication and media content companies — instead of providing faster Internet or better services (overall, American broadband services are far slower than in many industrialized nations). Many of these mergers, as Public Citizen and Free Press have reported, have been allowed by regulators because of Comcast’s considerable political muscle. Comcast’s latest regulatory battle has been to oppose Net Neutrality — a rule allowing a free and open Internet — because the company would prefer to have customers pay for preferred online content.

Olbermann has been a strong voice in favor of a free and open Internet. Republicans, on the other hand, have supported the telecommunication industry’s push to radically change the Internet so corporate content producers have the upper hand over start-ups like blogs, independent media, small businesses, etc. As Reuters has reported, the incoming Republican Congress has signaled that it will vigorously side with companies like Comcast against an open Internet.

It is not clear why MSNBC has selectively suspended Olbermann indefinitely without pay — but the move showcases the limits of the corporate media. While modern technology has created a seeming multitude of entertainment and television choices, the reality of corporate media consolidation has resulted in fewer investigative news options and less voices in the media with a critical perspective on powerful business interests. Olbermann has stood out as a voice for working people in a media universe dominated by “reality television” and business lobbyists posing as political pundits. It is unfortunate that Comcast and MSNBC have chosen to suspend him. [Update: Comcast has no formal control over MSNBC yet, but will once the merger is complete in the coming months.]

Update Earlier this year, the New York Times reported that Comcast CEO Brian Roberts tacitly acknowledged that he would be open to interfering with the editorial content of MSNBC shows and with hosts like Keith Olbermann:

Comcast is in line to acquire control of NBC Universal, once regulators sign off on the $30 billion deal. Mr. Chernin asked Mr. Roberts how he planned to handle daily editorial control of such an immense news operation. “Are you saying that you’ll never interfere?” he asked. Mr. Roberts blanched slightly at the question, which included a hypothetical situation that had Keith Olbermann, an MSNBC host, attacking a couple of Republican congressmen just as the approvals were being finished. “Let’s have that conversation in six months or 12 months,” Mr. Roberts said.

Update Media Matter's Eric Hananoki notes that MSNBC host Joe Scarborough gave a local Alabama Republican candidate $5,000 as recently as this year, and CNBC host Larry Kudlow donated $1,000 to Republican Chris Shays in May of 2009. Indeed, Kudlow also serves on the Leadership Council to the Club for Growth, a group that has donated over $2 million to Republican candidates this year. Do NBC ethics rules apply to Scarborough, Pat Buchanan, Kudlow, or other conservatives working for the media company? As Greg Sargent reported, a close reading of the NBC ethics rules suggest that the political donation standards do not even apply to opinionated hosts like Olbermann. M.C.L Comment: Either these bastards started forcing this policy now or Comcast are looking for an excuse to fire the guy that went after their boy George W. for the mess he cause. I don't care how far on the right you are, you know what happen to Olbermann was not fair know other NBC employees have done the same thing. I can tell Mr. Roberts this if he plans to make MSNBC a Fox News clone I can ensure him the only people that's going to watch MSNBC will be him and five people who happen to come across that station by mistake.

US Court Rules AGAINST FCC On Net Neutrality In Big Win For Comcast

By JOELLE TESSLER |

WASHINGTON — A federal court threw the future of Internet regulations into doubt Tuesday with a far-reaching decision that went against the Federal Communications Commission and could even hamper the government's plans to expand broadband access in the United States.

The U.S. Court of Appeals for the District of Columbia ruled that the FCC lacks authority to require broadband providers to give equal treatment to all Internet traffic flowing over their networks. That was a big victory for Comcast Corp., the nation's largest cable company, which had challenged the FCC's authority to impose such "network neutrality" obligations on broadband providers.

Supporters of network neutrality, including the FCC chairman, have argued that the policy is necessary to prevent broadband providers from favoring or discriminating against certain Web sites and online services, such as Internet phone programs or software that runs in a Web browser. Advocates contend there is precedent: Nondiscrimination rules have traditionally applied to so-called "common carrier" networks that serve the public, from roads and highways to electrical grids and telephone lines.

But broadband providers such as Comcast, AT&T Inc. and Verizon Communications Inc. argue that after spending billions of dollars on their networks, they should be able to sell premium services and manage their systems to prevent certain applications from hogging capacity.

Tuesday's unanimous ruling by the three-judge panel was a setback for the FCC because it questioned the agency's authority to regulate broadband. That could cause problems beyond the FCC's effort to adopt official net neutrality regulations. It also has serious implications for the ambitious national broadband-expansion plan released by the FCC last month. The FCC needs the authority to regulate broadband so that it can push ahead with some of the plan's key recommendations. Among other things, the FCC proposes to expand broadband by tapping the federal fund that subsidizes telephone service in poor and rural communities.

In a statement, the FCC said it remains "firmly committed to promoting an open Internet and to policies that will bring the enormous benefits of broadband to all Americans" and "will rest these policies ... on a solid legal foundation."

Comcast welcomed the decision, saying "our primary goal was always to clear our name and reputation."

The case centers on Comcast's actions in 2007 when it interfered with an online file-sharing service called BitTorrent, which lets people swap movies and other big files over the Internet. The next year the FCC banned Comcast from blocking subscribers from using BitTorrent. The commission, at the time headed by Republican Kevin Martin, based its order on a set of net neutrality principles it had adopted in 2005.

But Comcast argued that the FCC order was illegal because the agency was seeking to enforce mere policy principles, which don't have the force of regulations or law. That's one reason that Martin's successor, Democratic FCC Chairman Julius Genachowski, is trying to formalize those rules.

The cable company had also argued the FCC lacks authority to mandate net neutrality because it had deregulated broadband under the Bush administration, a decision upheld by the Supreme Court in 2005.

The FCC now defines broadband as a lightly regulated information service. That means it is not subject to the "common carrier" obligations that make traditional telecommunications services share their networks with competitors and treat all traffic equally. But the FCC maintains that existing law gives it authority to set rules for information services.

Tuesday's court decision rejected that reasoning, concluding that Congress has not given the FCC "untrammeled freedom" to regulate without explicit legal authority.

With so much at stake, the FCC now has several options. It could ask Congress to give it explicit authority to regulate broadband. Or it could appeal Tuesday's decision.

But both of those steps could take too long because the agency "has too many important things they have to do right away," said Ben Scott, policy director for the public interest group Free Press. Free Press was among the groups that alerted the FCC after The Associated Press ran tests and reported that Comcast was interfering with attempts by some subscribers to share files online.

Scott believes that the likeliest step by the FCC is that it will simply reclassify broadband as a more heavily regulated telecommunications service. That, ironically, could be the worst-case outcome from the perspective of the phone and cable companies.

"Comcast swung an ax at the FCC to protest the BitTorrent order," Scott said. "And they sliced right through the FCC's arm and plunged the ax into their own back."

The battle over the FCC's legal jurisdiction comes amid a larger policy dispute over the merits of net neutrality. Backed by Internet companies such as Google Inc. and the online calling service Skype, the FCC says rules are needed to prevent phone and cable companies from prioritizing some traffic or degrading or services that compete with their core businesses. Indeed, BitTorrent can be used to transfer large files such as online video, which could threaten Comcast's cable TV business.

But broadband providers point to the fact that applications such as BitTorrent use an outsized amount of network capacity.

For its part, the FCC offered no details on its next step, but stressed that it remains committed to the principle of net neutrality.

"Today's court decision invalidated the prior commission's approach to preserving an open Internet," the agency's statement said. "But the court in no way disagreed with the importance of preserving a free and open Internet; nor did it close the door to other methods for achieving this important end."

Comcast: The Chamber Of Commerce Is Wrong On Health Care

By Amanda Terkel In recent weeks, the U.S. Chamber of Commerce has been stepping up its campaign against health care reform, running ads in seven states fear-mongering that the public option will increase individual costs and threaten the system of employer-sponsored coverage. It has even been “collecting money to finance an economic study that could be used to portray the legislation as a job killer and threat to the nation’s economy.”

But on Thursday, Comcast, the nation’s largest cable provider, came out and endorsed the Senate health care legislation. CEO Brian Roberts sent a letter to President Obama saying that the “enactment of comprehensive health care reform legislation is, in my judgment, critical to putting this country on a path of sustained growth and prosperity.”

Later that day, a small group of bloggers met with Comcast Executive Vice President David Cohen, who discussed how important the company believes health care reform is to reinvigorating the economy. A Comcast spokesperson confirmed to ThinkProgress that the company is an annual contributor to the Chamber, but not a member of the board of directors. It is also active on a number of working groups, such as Technology and Regulatory Affairs, and a supporter of a recent broadband study commissioned by the Chamber. At the meeting, Cohen made a specific point of noting that Comcast is not involved in the Chamber’s controversial anti-climate change legislation lobbying.

However, when we asked Cohen about what the Chamber is doing on health care, he said that Comcast clearly disagrees. But Cohen gave no indication that the company was thinking of discontinuing its dues, stating that the members and national organization are bound to have disagreements:

We’re entitled to have our own opinion, and I think it’s impossible for the U.S. Chamber of Commerce to only take positions that 100 percent of its members agree with 100 percent of the time. … But we clearly don’t agree on health care. There may be other things we agree on, but on health care, we clearly don’t agree. [...]

You just can’t let the perfect be the enemy of the very good. Nobody wrote that you have to solve this problem in one piece of legislation at one time.

The Chamber of Commerce did not respond to ThinkProgress’ requests for comment.