*Pages 1--1 from Microsoft Word - 33020* Press Statement of Chairman Michael K. Powell Re: Digital Broadcast Content Protection, Report and Order and Further Notice of Proposed Rulemaking The digital television transition rolls on. The Commission’s adoption of the “broadcast flag” represents another important step in the digital television transition. Today’s decision strikes a careful balance between content protection and technology innovation in order to promote consumer interests. In working through the difficult technical and policy questions in this area, I am very pleased that we have once again crafted digital TV policy in a bipartisan manner. The public will gain real benefits from the broadcast flag. First, the broadcast flag decision is an important step toward preserving the viability of free over- the- air television. Because broadcast TV is transmitted "in the clear, " it is more susceptible than encrypted cable or satellite programming to being captured and retransmitted via the Internet. The widespread redistribution of broadcast TV content on the Internet would unnecessarily drive high value programming to more secure delivery platforms. The losers would be the 40 million Americans who rely exclusively on free over- the- air TV. Second, our broadcast flag decision will promote innovation in content protection technologies. As recommended by many in the information technology community, we have identified objective criteria to guide our decisions on new content technologies. These criteria lay out a roadmap for companies seeking to bring new technologies to market. These technologies are vitally important to the distribution of content to -- and within -- the home. These technologies could facilitate dramatic changes in the way Americans acquire and use media. So it is critical that the Commission create an objective, rapid, and minimally intrusive process for ensuring that new technologies are consistent with certain core principles such as interoperability and robustness. It these principles that will animate our process for reviewing new content protection technologies. 1