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DirecTV, Broadcasters to Join Forces on Bill

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Associated Press

Hughes Electronics Corp.’s DirecTV and broadcasters have agreed on general guidelines for transmitting local programs via satellite in an attempt to influence the final form of a satellite TV bill pending in Congress. Copies of the agreement were sent to members of Congress trying to iron out the differences between House and Senate bills to permit vendors such as DirecTV to carry the signals of local stations. DirecTV, EchoStar Technologies Corp. and other satellite companies are blocked under existing federal law from carrying the signals--a handicap that has limited their appeal to consumers. In deciding to work together, El Segundo, Calif.-based DirecTV and the National Assn. of Broadcasters hope to avoid what they consider to be excessive regulation, an analyst said. One key aspect of the agreement would prohibit DirecTV and other satellite companies from offering programs from several network affiliates in a single market. The agreement also would require satellite companies to get a local station’s permission to use its signal. EchoStar, which did not take part in talks between DirecTV and the NAB, criticized the agreement, saying it could undermine competitiveness. DirecTV is the nation’s largest satellite TV system, with 7 million subscribers. EchoStar has 2.1 million subscribers.

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