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SPANISH INTERNATIONAL
NETWORK
The
Spanish International Network (SIN) was the first Spanish language
television network in the United States. From its inception in 1961,
SIN was the U.S. subsidiary of Televisa, the Mexican entertainment
conglomerate, which today holds a virtual monopoly on Mexican television,
and is the world's largest producer of Spanish language television
programming.
From the point of view of a U.S. entrepreneur in the early 1960s,
the U.S. Spanish speaking population was so small and so poor a
community that it was not considered a viable advertising market.
The 1960 Census counted three and one half million Spanish surnamed
U.S. residents. The vast majority of this population were Mexican
immigrants and Mexican-Americans living in the United States. (Large
scale immigration from Puerto Rico, Cuba and other Latin American
countries had not yet begun.) Spanish language advertising billed
through the U.S. advertising industry amounted to $5 million dollars
annually, less than one tenth of one percent of all advertising
expenditures at that time. From the perspective of a Latin American
entrepreneur, however, this U.S. Latino audience was one of the
wealthiest Spanish language markets in the world.
SIN
was founded by Emilio Azcarraga, the "William Paley of Mexican broadcasting."
Azcárraga was an entrepreneurial visionary, and owner of theaters
and recording companies, who first built a radio, then a television
empire in Mexico, before expanding it north of the border. SIN began
with two television stations, KMEX, Los Angels and KWEX, San Antonio,
and from the beginning had national ambitions. In fulfilling these
aims SIN pioneered the use of five communications technologies,
the UHF band, cable television, microwave and satellite interconnections
and repeater stations. All these applications contributed to rapid
growth in the 1960s and 1970s and by 1982, SIN could claim it was
reaching 90% of the Spanish speaking households in the United States
with 16 owned and operated UHF stations, 100 repeater stations and
200 cable outlets.
In
these first decades, virtually every broadcast hour of each SIN
affiliate was Televisa programming produced in Mexico: telenovelas
(soap operas), movies, variety shows and sports programming.
The vertical integration of Emilio Azcárraga's transnational entertainment
conglomerate gave tremendous economic advantages to early U.S. Spanish
language television. The performers under contract to Azcárraga's
theaters and recording companies also worked for his television
network. In other words, SIN programming had covered costs and produced
a profit in Mexico, before it was marketed in the United States.
After
1981, and the start of satellite distribution of its programming,
SIN began producing programs in the United States. The network created
a nightly national newscast, the Noticiero Univisión, and
national public service programming such as voter registration drives.
It also provided coverage of U.S. national events such as the Tournament
of Roses parade and the Fourth of July celebrations. The larger
network-owned stations also began airing two hours a day of locally
produced news and public affairs programming. This programming represented
a limited recognition by SIN that the U.S. and Mexican television
audiences had different needs and interests. Moreover, it was an
attempt to modify the SIN audience profile from that of a "foreign"
or "ethnic" group interested only in Mexican programming, to that
of a more "American" community participating in the same national
rituals as the mainstream consumer market. Perhaps SIN's most enduring
contribution to U.S. culture was its leading institutional role
in the creation of a commercially viable, panethnic, national Hispanic
market.
The entrepreneurial financial and marketing acumen displayed by
Emilio Azcárraga (and since 1972 by his son and heir Emilio Azcárraga
Milmo) in the creation and development of SIN, were matched by his
legal skills in maneuvering around U.S. communications law. The
Communications Act of 1934 simply and explicitly bars "any alien
or representative of any alien . . . or any corporation directly
or indirectly controlled by . . . aliens" from owning U.S. broadcast
station licenses. For Azcárraga and his SIN associates, perhaps
the most salient part of this law is what it did not address.
It does not prohibit the importation or distribution of foreign
broadcast signals, or programming. In other words, U.S. law does
not limit foreign ownership of broadcast networks; it does bar foreign
ownership of the principal means of dissemination of the programming,
the broadcast station. On paper, and in files of the Federal Communications
Commission (FCC), none of the SIN stations or affiliates was owned
by Emilio Azcárraga or Televisa. Rather, the foreign ownership
prohibition was avoided by means of a time honored business stratagem
known, in Spanish, as the "presta nombre," which translates
literally to "lending a name," or in colloquial English, a "front."
SIN stations were owned by U.S. citizens with long professional
and familial ties to Azcárraga and Televisa, with Azcárraga
retaining a 25% interest (the limit permitted by law) in the SIN
network.
Though
long a subject of criticism by Latino community leaders and would-be
U.S. Spanish language television entrepreneurs, the foreign control
of SIN was not successfully challenged until the mid 1980s when
a dissident shareholder filed a complaint with the Federal Communications
Commission. In January 1986 the FCC ordered the sale of SIN. The
FCC action was met with much excited anticipation by U.S. Latino
groups who felt that for the first time since its creation 25 years
earlier, there was a possibility that U.S. Spanish television would
be controlled by U.S. Latino interests.
Several
U.S. Latino investor groups were formed, but ultimately the bid
(for $301.5 million) of Hallmark, Inc., of Kansas City, Missouri,
the transnational greeting card company, received FCC approval.
Hallmark changed the network's name to Univision, pledging to keep
the network broadcasting in Spanish. Under the terms of the sale,
Televisa, in addition to cash, was given a guaranteed U.S.
customer (the new network, Univision, was given a right of first
refusal for all Televisa programming), free advertising (for
its records and tapes division) on Univision for two years, and
37.5% of the profits of its former stations for two years. After
a quarter century, SIN, the Spanish International Network, ceased
to exist as a corporate entity, leaving a significant cultural and
economic legacy: a commercially viable U.S. Spanish language television
network and, a new U.S. consumer group, the Hispanic market.
-America
Rodriguez
FURTHER READING
All About the SIN Television Network. New York: SIN Television
Network, 1984.
Arrarte,
Anne Moncreiff. "And Galavision Makes Three." Advertising Age
(New York), 12 February 1990.
Conference
on Telecommunications and Latinos. Stanford, California: Stanford
Center for Chicano Research, 1985.
"Hispanic Broadcasting Comes of Age." Special Section. Broadcasting
(Washington, D.C.), 3 April 1989.
Navarrete,
Lisa, and Charles Kamasaki. Out of the Picture: Hispanics in
the Media: State of Hispanic America, 1994. Washington,
D.C.: Policy Analysis Center, Office of Research Advocacy and Legislation:
National Council of La Raza, 1994.
Sobel,
Robert. "Where's Spanish TV Going." Television-Radio Age (New
York), 23 November 1987.
"Spanish Spending Power Growing Dramatically, But Consumers Retain
Special Characteristics." Television-Radio Age (New York),
10 December 1984.
Stilson,
Janet. "New SIN Prexy Sets Sights Skyward: Aims to Double TV Web
Revenue." Variety (Los Angeles, California), 24 September
1986.
See also Univision
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