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 NEWS  News  media  Information  202  /  418-  0500  Fax-  On-  Demand  202  /  418-  2830  TTY  202/  418-  2555  Internet:  http://  www.  fcc.  gov  ftp.  fcc.  gov  Federal  Communications  Commission  445  12  th  Street,  S.  W.  Washington,  D.  C.  20554  This  is  an  unofficial  announcement  of  Commission  action.  Release  of  the  full  text  of  a  Commission  order  constitutes  official  action.  See  MCI  v.  FCC.  515  F  2d  385  (D.  C.  Circ  1974). 
 FOR  IMMEDIATE  RELEASE  NEWS  MEDIA  CONTACT: 
 December  6,  2001  Michelle  Russo  (202)  418-  2358 


 FCC  SAYS  TIME  WARNER  IS  NOT  REQUIRED  TO  CARRY  GEMSTAR’S  VBI  MATERIAL 
 Decision  Applies  Only  to  Narrow  Context 
 Washington,  DC  –  The  Federal  Communications  Commission  (FCC)  today  ruled  that  Time 
 Warner  Cable’s  analog  must  carry  obligations  do  not  require  the  company  to  carry  material  inserted  in 
 the  vertical  blanking  interval  (“  VBI”)  of  over-  the-  air  broadcast  stations  at  the  behest  of  Gemstar 
 International  (“  Gemstar”).  The  FCC  said  that  today’s  decision  is  narrowly  focused  on  the  specifics  of 
 this  case.  This  decision  does  not  preclude  the  companies  from  entering  into  commercial  agreements 
 whereby  Time  Warner  would  carry  the  Gemstar  information. 


 Gemstar  is  the  developer  of  Guide  Plus+,  a  proprietary  electronic  program  guide  (“  EPG”)  that 
 is  built  into  TVs  and  VCRs  manufactured  by  companies  that  have  a  licensing  agreement  with  Gemstar. 
 The  data  for  updating  the  program  listings  is  sent  through  the  VBI  of  the  signal  of  analog  over-  the-  air 
 broadcast  stations.  Gemstar  enters  into  data  carriage  agreements  with  local  broadcasters.  Without  the 
 programming  updates,  Guide  Plus+  EPG  will  not  function.  Time  Warner  Cable  filed  a  petition  with 
 the  FCC  seeking  a  determination  whether  or  not  the  Guide  Plus+  material  is  entitled  to  mandatory 
 carriage  under  FCC  rules. 


 As  part  of  their  must  carry  obligation,  cable  operators  are  required  to  retransmit  program-related 
 material  carried  in  the  VBI.  The  FCC  has  determined  that  factors  enumerated  by  the  U.  S. 
 Court  of  Appeals  for  the  Seventh  Circuit  in  WGN  Continental  Broadcasting  Co.  v.  United  Video  Inc. 
 (“  WGN”)  provided  guidance  useful  for  deciding  whether  material  in  the  VBI  is  program-  related.  The 
 factors  are: 


 1)  The  VBI  information  is  intended  to  be  seen  by  the  same  viewers  who  are  watching  the  main 
 program. 
 2)  The  VBI  information  must  be  available  during  the  same  interval  of  time  as  main  program. 
 3)  The  VBI  information  is  an  integral  part  of  the  main  program. 


 In  today’s  Memorandum  Opinion  and  Order,  the  FCC  said  that  none  of  the  WGN  factors  favor 
 a  determination  that  Gemstar’s  VBI  material  is  program-  related.  The  Order  finds  that  very  little  of 
 Gemstar’s  VBI  material  is  uniquely  related  to  the  main  program  of  the  broadcast  station  carrying  it,  but 
 instead  consists  of  information  regarding  programming  on  other  channels  as  well  as  advertisements 
 and  other  promotions  that  do  not  relate  to  any  program.  The  Order  notes  that  the  decision  is  limited  to 
 the  distinct  question  presented  regarding  the  particular  technology  and  video  channels  used  for 
 delivery  of  Gemstar’s  EPG  data. 


 Action  by  the  Commission,  December  4,  2001,  by  Memorandum  Opinion  and  Order  (FCC 
 01-  354).  Chairman  Powell,  Commissioners  Abernathy,  Copps,  Martin. 


 Cable  Services  Bureau  Contact:  Thomas  Horan  at  (202)  418-  7200 
 -  FCC  - 
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