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Buildout Requirements Threaten Minority Consumers
Video Access Alliance urges Legislature to let the markets work
April 11, 2006
TALLAHASSEE, FL - The Finance and Tax Committee of the Florida State Legislature received more testimony today advising them to support a free-market approach to franchise reform for cable television. This time the source was Paula Hoisington, communications director for the Video Access Alliance.
The Video Access Alliance is a non-profit group dedicated to advocating for independent, emerging and minority networks, independent film producers and other content providers. They have taken a strong pro-market stand on cable franchise reform, believing it to be the best method of ensuring more consumer choice and lower prices.
In comments before the Finance and Tax Committee, Ms Hoisington pointed out that minorities are the top purchasers of pay-for-TV services and, as such, represent a potentially lucrative market for cable providers. She expressed the Alliance's concerns that restrictive buildout requirements could make service prohibitively expensive for subscribers or even dissuade providers from pursuing plans to offer service at all.
She told the legislators that it is in the best interests of minorities - both socially and economically - to have access to new video platforms and that the tremendous buying power represented by minority communities will be ample incentive for companies to expand services to them. "Today's companies are not driven by black and white - they are motivated by green - by profits," Hoisington said. "Market studies have proven that minorities are highly profitable customers."
In past testimony to the Legislature on this subject the Alliance has stressed the benefits of video platform expansion for consumers, entrepreneurs and communities, with particular emphasis on the advantages for minorities. Florida lawmakers have received considerable testimony on franchise reform as they continue to move forward with legislation to simplify and modernize the present statutes.
