
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, August 25, 1993                   TAG: 9308250082
SECTION: BUSINESS                    PAGE: B-5   EDITION: STATE 
SOURCE: 
DATELINE: WASHINGTON                                LENGTH: Short

JUDGE REMOVES BARRIER TO CABLE COMPETITION

A federal judge opened cable television markets to more competition Tuesday, allowing telephone companies to provide video programming in many areas now served by only one cable company.

Judge T.S. Ellis of U.S. District Court in Alexandria, Va., overturned a 1984 rule that has barred regional phone companies from offering cable service in the same areas they provide phone service. The rule was part of the 1984 Cable Communications Policy Act.

"Local subscribers used to have only one choice. They had to take it or leave it," said Jim Young, counsel for Bell Atlantic Corp., which sued to overturn the rule. "Now consumers will have additional choices."

The Justice Department, which argued for keeping the ban, has not decided whether to appeal.

But a trade association representing cable operators said it's ready to help if an appeal is filed.

"The ruling is bad for consumers," the National Cable Television Association said. "The cross-ownership restrictions have protected consumers from costly anti-competitive behavior."

Congress and the Federal Communications Commission have advocated competition as a means of controlling cable television rates.

Bell Atlantic Video Services Co. and the Chesapeake and Potomac Telephone Co. of Virginia filed a lawsuit in December claiming the law violated their constitutional right to free speech. - Associated Press

Memo: Shorter in Metro

by CNB