Media Contact: 
Janice Wise (202) 418-8165
janice.wise@fcc.gov
For Immediate Release
FCC PROPOSES RULES TO INCREASE AVAILABILITY OF 
DIVERSE AND INDEPENDENT PROGRAMMING TO CONSUMERS
WASHINGTON, September 29, 2016 – The Federal Communications Commission today issued a Notice 
of Proposed Rulemaking to foster consumer choice and access to diverse programming on television. The 
proposed rules may prohibit the use of certain clauses in pay TV programming distribution contracts that
impede carriage of independent and diverse programming.  
Specifically, the proposed rules would prevent pay TV providers from including so-called 
“unconditional” most favored nation (MFN) and “unreasonable” alternative distribution method (ADM) 
clauses in their contracts with independent programmers. An “unconditional” MFN clause entitles a pay
TV provider to receive favorable contract terms that a programmer has given to another programming 
distributor, without requiring the pay TV provider to assume any corresponding obligations from the 
other distribution agreement. An ADM clause generally prohibits or limits a programmer from putting its 
programming on alternative video distribution platforms, such as online platforms.  The FCC seeks 
comment on the specific kinds of ADM clauses that it should prohibit as unreasonable.  
The proposed rules are a result of the input received from an inquiry the FCC opened earlier this year into 
the state of diversity in the video programming market. The Commission held two workshops on the 
issue to examine the state of the video marketplace, challenges faced by distributors of video 
programming, and marketplace obstacles that affect the provision of independent and diverse 
programming to consumers.   
Consumers ultimately feel the adverse effects of restrictive contract provisions. Because they limit the 
incentives and ability of independent programmers to experiment with innovative carriage terms and to 
license their content on alternative, innovative platforms, restrictive contract provisions deprive 
consumers of the benefits that otherwise would flow from enhanced competition in the video 
programming and distribution marketplace.
The proposed rules would help to remove these barriers to competition, diversity, and innovation in the 
video marketplace, giving independent and niche programmers greater ability to reach their intended 
audiences. The proposed rules would also give consumers more choice in the sources and variety of their 
video programming, greater flexibility in how they access program content, and lower prices for their 
video programming services.
Action by the Commission, September 29, 2016, by Notice of Proposed Rulemaking (FCC 16-129). 
Chairman Wheeler, Commissioners Clyburn and Rosenworcel approving. Commissioners Pai and 
O’Rielly dissenting. Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing 
separate statements.
Docket No. 16-41
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Office of Media Relations: (202) 418-0500
TTY: (888) 835-5322
Twitter: @FCC
www.fcc.gov/office-media-relations
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).