The FCC’s new proposal is a major victory for online TV providers


The cable and satellite television industry could be in for a big shift thanks to a small change proposed by the Federal Communications Commission. The regulator is officially considering a tweak to regulation that would remove a major roadblock for companies seeking to offer television online, FCC Chairman Tom Wheeler announced in a statement released on Friday. The change, if adopted, would allow any company that streams numerous TV channels online to gain the important designation of a multichannel video programming distributor, or MVPD.

Cord-cutters should rejoice this holiday season as the Federal Communications Commission proposes changes to rules that would treat companies distributing TV programming online the same as it treats cable and satellite TV providers. FCC Chairman Tom Wheeler on Friday proposed a regulation tweak that would mean companies distributing TV online would be treated the same as cable and satellite TV providers, which are technically known as multichannel video programming distributors or MVPDs. Today, because online distributors aren’t treated the same as cable companies, media companies are not required to offer their programming to Internet companies that distribute TV shows over a broadband connection. Meanwhile, regulation exists that actually requires traditional cable and satellite TV to carry certain content, like broadcast TV.

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