The 1984 Cable Act And Its Affect

May 24th, 2011 by admin

October 30, 1984 the Cable Communications Policy Act was passed by Congress to promote completion and deregulate the cable industry. This act is also known as Public Law 98-549, and established a national regulation policy by federal, state and local authorities. It came about due to the need for determination of who would hold regulatory authority for cable communications.

The cable industry had dramatic growth once the act went into effect, although it mostly remained in the control of a few local monopolies. Airtime could then be sold to the highest bidder. Thus the long, commercial format which has come to be known as the infomercial took over much of the late night to early morning broadcast hours.

Use of signal encryption allowed cable companies to make those who viewed these channels subscribe to the cable service. By the 1990′s the encryption could be cracked, so the companies began using digital transmissions. The Cable Communications Act of 1984 was revised with the Cable Act of 1992, also known as the Cable Television Protection and Competition Act. This amendment allowed operators to prohibit particular shows. Later the Telecommunications Act of 1996 overhauled it, adding provisions for internet for the first time.

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