On April 27, 1986, viewers tuning into HBO's The Falcon and the Snowman were interrupted by an unexpected message. For four and a half minutes, a message from a man calling himself Captain Midnight was broadcast across the eastern half of the United States. The message read, Good evening HBO, from Captain Midnight. $12.95 a month? No way! [Showtime/Movie Channel beware].
This act of video piracy was a response to HBO's decision to scramble their signal, preventing unauthorized viewers from accessing their programming. The man behind the act was John R. MacDougall, a Florida electronics engineer who had been adversely affected by the scramble. MacDougall's company, McDougall Electronics, had been profitable until the scramble, after which sales decreased dramatically.
MacDougall had sent protest letters to lawmakers and spent money promoting the idea of a free market in the satellite communications industry. A week before the jamming, he transmitted a color bar test pattern on HBO's signal at 12:49 am, but the incident went unnoticed due to the late hour.
The Signal
On April 26, 1986, MacDougall was overseeing the Uplink of Pee-wee's Big Adventure for the pay-per-view network People's Choice when he decided to take matters into his own hands. After the other engineer left, MacDougall set up SMPTE color bars and a character generator to compose his message on the television screen. He chose the name Captain Midnight from a recent film he had watched and began the message with a polite greeting to avoid being insulting.
MacDougall transmitted a signal onto the satellite carrying HBO, overriding the telecast of The Falcon and the Snowman for four and a half minutes. The five-line text message appeared on HBO subscriber screens across the eastern half of the US starting at 12:32 am on April 27th.
Hughes Communication, which operated the satellite, noticed the jamming and threatened to shut down HBOs signal or alter the satellite's course. The HBO technician increased transmission power from 125 watts to 2000 watts, but MacDougall increased his power in a control battle that lasted about 90 seconds. Fearing that a further power increase would damage the satellite, MacDougall abandoned his control and went home.
The following day, MacDougall felt guilty about his actions and hoped that the jamming would not be noticed. However, his actions were reported on network television, and he later pretended to have no knowledge of the intrusion. When he returned to work, MacDougall only confided in close friends and had fears of federal agents visiting his home.
FCC Investigates
HBO contacted the Federal Communications Commission (FCC), which assembled a staff for an emergency meeting to discuss catching the culprit. The FCC, FBI, and Department of Justice launched investigations, and more than 200 people called the FBI to confess that they were the hijackers.
The FCC narrowed down potential suspects by determining which teleport Uplink sites out of the 2,000 license transmitters in the US had the capability to override the HBO signal, which brought the number of potential stations down to 12. After FCC investigators visited these stations, there were now three prime suspects, including MacDougall.
The FCC interviewed MacDougall, and he claimed he did not commit any crime. However, after consulting with an attorney and realizing the potential consequences of a trial, he agreed to cooperate fully with the FCC. After media and industry pressure, he surrendered and pleaded guilty.
McDougall's actions raised concerns over satellite communications, leading to the passing of the Electronic Communications Privacy Act of 1986. McDougall's motivation was to advocate for the marketplace to set prices, and while some regard him as a folk hero, others denounce his actions as intentional interference or video terrorism. McDougall did not regret his actions but wished his motivations were more clearly understood.