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Verrone
described the disturbing trend of media
ownership as being concentrated in fewer
and fewer companies.
Speaking
to the Committee he said, "The policy
decision that triggered the consolidation
of old media has not yet been made for new
media. There is still time to protect the
rights of content producers and consumers.
We need to establish clear net neutrality
rules to ensure that the Internet remains
a level playing field for all."
Calling
attention to the effects of increased vertical
integration throughout the entertainment
industry, Verrone spoke from his personal
experience stating, "I started working
in the entertainment industry 22 years ago.
Almost 30 separate companies independently
produced and distributed television on the
'new media' of cable TV. Today, we are down
to about seven vertically integrated conglomerates,
controlling not only cable TV, but also
broadcast, film, and even news."
Adding
further he said, "This concentration
of power was triggered by a policy choice.
About 15 years ago, the FCC began the process
of unraveling the financial and syndication
rules (or fin-syn), allowing production
and distribution to be jointly owned. As
a result, media companies consolidated,
conglomerated and congealed into the handful
of multinational entities that today employ
nearly everyone working in our industry,
decimating independent production and content
diversity."
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