THE FCC will relax local HD carriage requirements for DirecTV and DISH Network, making the terms less burdensome than those imposed on cable. The satellite operators will be allowed to down-sample local HD television signals to a lower quality, decreasing the bandwidth that the stations will occupy. Both companies claimed that they needed several years to increase capacity before they could carry all local stations in HD. They now have until 2013 before local HD requirements kick in. NBCU will sell off O&O’s in both Miami and Hartford. The sales are part of an overall shift in NBC Local Media’s strategy towards becoming “local media production centers.” In related news, Jeff Zucker told an Ad Age conference that Hulu is a “work in progress.” Zucker praised the ability to run overlay ads without fully interrupting a show and said that usage has already exceeded expectations. He expressed concern over Antigua’s threat of legalizing piracy of...