Sept 26, 2008 (News from the Election, Congress & the FCC)
BENTON'S COMMUNICATIONS-RELATED HEADLINES for SEPTEMBER 26, 2008
Yes, we've reached Friday, but there's still more to come this week: 1) the Broadband Census for America this morning, 2) the 36th Research Conference on Communication, Information & Internet Policy all weekend, and 3) maybe, maybe a discussion on the future of the country at Ole Miss this evening. See http://www.benton.org/calendar
ELECTIONS & MEDIA
Dubious Claims in Obama's Ads Against McCain, Despite Vow of Truth
Palin talks to Couric -- and if she's lucky, few are listening
Campaigns Pressure Stations Over '527' Ads
NEWS FROM CONGRESS
Broadband and Privacy Hearing recap
House Democrats Outline DTV Actions for FCC
Consumer group asks Senator to intervene in Google-Yahoo deal
Legislation would force roaming in rural areas
Congress expected to move on copyright, Internet radio issues
NEWS FROM THE FCC
FCC revives emergency communications plan
FCC Announces Tentative Agenda for October 15th Open Meeting
Martin: Give Class-A LPTVs Shot at Full-Power Status; Cable Lobby Not Happy
FCC to review Sprint plan for vacating airwaves
Two Wireless Mergers Top the FCC's To-Do List
ACA Claims FCC Filings Point to Broadcaster Abuse
INTERNET/BROADBAND
Calls For 10/100Mbps Nation = Achieving a Full Fiber America
EC call for 'universal' broadband
DIVERSITY
The Civil Rights Imperative
QUICKLY -- Change Swing Voters' Minds Online; Justice Talks With Rivals, Clients of Yahoo, Google; MySpace Music launch disappoints excluded indie labels; Google to supply Bloomberg TV with ads; A Call For 'Innovation Economics'; Study: US Tops Cyber Attack List; IPTV subscriptions to grow 64 percent in 2008: Gartner; NBC says local TV profoundly affected by downturn
ELECTIONS & MEDIA
DUBIOUS CLAIMS IN OBAMA'S ADS AGAINST MCCAIN, DESPITE VOW OF TRUTH
[SOURCE: New York Times, AUTHOR: Jim Rutenberg, Julie Bosman]
Sen Barack Obama (D-IL) is running advertisements on radio and television that have matched the dubious nature of Sen John McCain's more questionable spots. In all, Sen Obama has released at least five commercials that have been criticized as misleading or untruthful against Sen McCain's positions in the past two weeks. Sen Obama drew complaints from many of the independent fact-checking groups and editorial writers who just two weeks ago were criticizing Sen McCain for producing a large share of this year's untruthful spots. Some Democrats expressed concern that Obama, in stretching the truth in some of his advertisements, was putting at risk the "above politics" persona he has tried to cultivate. And other Democrats shrugged off the questionable advertisements, saying they were relieved Obama was responding to continuing, frequently misleading assaults from McCain. They did not distinguish between advertisements that are tough on McCain and those that are misleading. The disputed spots from Mr. Obama coincide with a significantly increased advertising push by his campaign and the Democratic National Committee that has taken a decidedly negative tone in the past few weeks, perhaps reflecting the natural progression of a tight campaign. CMAG, a group that tracks political advertising, said Thursday that the $10 million Mr. Obama had spent over the previous week on advertisements represented a nearly $4 million increase from the week before.
http://benton.org/node/17328
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PALIN TALKS TO COURIC -- AND IF SHE'S LUCKY, FEW ARE LISTENING
[SOURCE: Los Angeles Times, AUTHOR: James Rainey]
The economic crisis and John McCain's surprising response have drawn attention away from Gov Sarah Palin (R-Alaska) just as she has started to answer more pointed questions from the media. In a 40-minute session with Couric that aired Wednesday and Thursday nights, the Alaska governor defended her puzzling claim that geographic proximity makes her some sort of expert on Russia; went nearly blank when queried about McCain's achievements as a big-business regulator; agreed America "may find itself" on the road to another Great Depression; and, promoting a troop surge in Afghanistan, casually suggested that it "will lead us to victory there, as it has proven to have done in Iraq." The last statement couldn't help but conjure an image from 2003 -- President Bush beaming in that green flight suit before the infamous "Mission Accomplished" banner. Palin's unblinking certitude gave way at other times in the interview to a striking imprecision, as when she struggled to respond to Couric's suggestion that the $700-billion bailout might be better funneled through middle-class families instead of Wall Street firms. "That's why I say I, like every American I'm speaking with, we're ill about this position that we have been put in . . ." Palin began, before meandering off in fruitless pursuit of coherence.
http://benton.org/node/17327
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CAMPAIGNS PRESSURE STATIONS OVER '527' ADS
[SOURCE: Wall Street Journal, AUTHOR: Sarah McBride]
Since broadcast TV and radio stations aren't obligated to run third-party ads, those spots are more vulnerable to efforts to get them kicked off airwaves. While no one tracks the number of legal notices broadcasters receive on political ads, station managers and lawyers say attempts to block ads are growing both in number and intensity, particularly in states with closely contested elections. While some stations buckle under the pressure and drop the ads, most refuse.
http://benton.org/node/17326
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NEWS FROM CONGRESS
BROADBAND AND PRIVACY HEARING RECAP
[SOURCE: Benton Foundation, AUTHOR: Kevin Taglang]
On Thursday, the Senate Commerce Committee held a hearing to examine broadband provider practices with respect to consumer privacy. Senator Kay Bailey Hutchison (R-TX), Ranking Member on the Committee, called for increased transparency and disclosure for online advertising. Public Knowledge President and Co-Founder Gigi B. Sohn warned the Committee of the privacy intrusion that occurs when Internet Service Providers (ISPs) inspect detailed customer information using a technique called Deep Packet Inspection (DPI). Sohn outlined the following principles a solution should have. ISPs must ensure that: 1) the purpose of the use of customer data is one which can be consistent with consumers' privacy expectations; 2) the amount and type of data collected is narrowly tailored to the proposed use, and that the data is not kept or disseminated to third parties past what is necessary to that use; and 3) customers have access to and actually receive adequate information about the proposed use, and have affirmatively and actively consented to any practices which could violate customers' expectations of privacy. Representatives of AT&T, Verizon Communications, and Time Warner Cable urged committee members to forgo passing new laws to regulate the use of targeted online advertising, instead advocating for a self-regulation of the industry to keep consumers' Web surfing habits secure and private.
http://benton.org/node/17319
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HOUSE DEMOCRATS OUTLINE DTV ACTIONS FOR FCC
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
In a letter to Federal Communications Commission Chairman Kevin Martin, House Commerce Committee Chairman John Dingell (D-MI) and Telecommunications & Internet Subcommittee Chairman Ed Markey (D-MA) said they and 10 other House members were asking the FCC to: 1) Establish a public/private/nonprofit-sector information campaign that focuses on the need for new antennas or adjustments to existing antennas to receive digital-TV broadcast signals; 2) Encourage Americans to act now to buy and install a DTV converter box, test the reception and then take action to resolve any problems as soon as possible; 3) Update information on the FCC's Web site and other related government DTV Web sites to include in an obvious, accessible location a clear explanation of antenna matters; and 4) Expand the FCC's call center, especially in the weeks immediately preceding the transition, to address questions concerning antenna matters.
http://benton.org/node/17317
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CONSUMER GROUP ASKS SENATOR TO INTERVENE IN GOOGLE-YAHOO DEAL
[SOURCE: C-Net|News.com, AUTHOR: Dawn Kawamoto]
The Center for Digital Democracy has written Senate Antitrust Subcommittee Chairman Herb Kohl (D-WI) asking him to call on the Department of Justice to oppose the partnership between the two companies, or at a minimum establish "meaningful safeguards" to the arrangement. CDD wants Chairman Kohl to press antitrust regulators to address potential privacy issues arising out of the search advertising partnership, as well as concerns about the deal reducing competition in the market. CDD cited concerns that the transaction may undermine competition and could ultimately reduce payments to newspaper publishers, which receive revenue from the two companies' online search ads and related services.
http://benton.org/node/17318
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LEGISLATION WOULD FORCE ROAMING IN RURAL AREAS
[SOURCE: RCR Wireless News, AUTHOR: Jeffrey Silva]
The House Oversight and Reform Committee Henry Waxman (D-CA) introduced legislation to require telecom recipients of rural universal-service funds to provide automatic roaming on just and reasonable terms to wireless carriers, adding a new dynamic to a raucous roaming debate that until now has played out almost exclusively at the Federal Communications Commission. The bill would attach the automatic roaming obligation to any affiliate of a telecom carrier that receives high-cost USF subsidies six months after the legislation is signed into law. The measure does not address data roaming, a hot-button component of the roaming debate at the FCC. Moreover, the bill leaves to the FCC the job of resolving roaming disputes between telecom carriers and steers clear of roaming rate regulation. Waxman's bill, the Universal Roaming Act of 2008, has been referred to the House Commerce Committee. Further action on the bill is not expected until next year.
http://benton.org/node/17316
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CONGRESS EXPECTED TO MOVE ON COPYRIGHT, INTERNET RADIO ISSUES
[SOURCE: C-Net|News.com, AUTHOR: Greg Dandoval]
With Congress due to adjourn Friday, lawmakers worked late Thursday evening to resolve a couple of high profile digital-entertainment issues. A "Webcasting" bill was introduced in Congress on Thursday that would allow SoundExchange, the body that collects royalties on behalf of the music industry, to reach a settlement on royalty rates with the Digital Media Association (DiMA) after Congress adjourns. SoundExchange and DiMA, which represents Web radio stations such as Pandora, have been at odds over the fees charged to stream music. Sources close to the talks say the introduction of the bill signals the two sides are close to cutting a deal. "They wouldn't be seeking the government's blessing unless they were close," said one person with knowledge of the talks. The two sides need the government's OK to reach an agreement because they're after a statutory license. Such a license gives Web radio stations the right to stream any copyright songs they want, but also requires them to pay a negotiated rate. The bill would give the two sides until mid-December to cut a deal. Pandora and other Webcasters fiercely object to a decision by the Copyright Royalty Board--a three-judge panel that sets rates for copyright statutory licenses--to double the current $.0008 price per stream by 2010.
http://benton.org/node/17325
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NEWS FROM THE FCC
FCC REVIVES EMERGENCY COMMUNICATIONS PLAN
[SOURCE: Associated Press, AUTHOR: John Dunbar]
The Federal Communications Commission approved a new framework for the creation of a nationwide emergency communications network Thursday amid concerns that the ongoing economic crisis may make it difficult to attract investors. This is the agency's second attempt to create a set of rules for the network, which would use public airwaves and private money. The first attempt flopped earlier this year when it failed to attract a bidder. The new framework includes more detail and makes the plan more attractive to private companies in several areas. The proposed network would be used by police, firefighters and other emergency crews responding to disasters or terrorist attacks. The basic concept is unchanged. The agency would auction a swath of airwaves - made available thanks to the transition to digital broadcasting - to a private bidder. That spectrum would be combined with a roughly equal portion of airwaves controlled by a public safety trust. The private investor would build a wireless network and lease access to emergency responders while selling wireless service to commercial users for profit.
http://benton.org/node/17315
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FCC ANNOUNCES TENTATIVE AGENDA FOR OCTOBER 15TH OPEN MEETING
[SOURCE: Federal Communications Commission]
Federal Communications Commission Chairman Kevin Martin has circulated a number of items for consideration by his fellow FCC Commissioners as part of the tentative agenda for the next open meeting scheduled for Wednesday, October 15, 2008. These items include: 1) Low Power Television Digital Transition; 2) 800 MHz Rebanding Transition; 3) the AT&T/BellSouth Merger Order; and 4) the Satellite Competition Report.
http://benton.org/node/17314
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MARTIN: GIVE CLASS-A LPTVs SHOT AT FULL-POWER STATUS; CABLE LOBBY NOT HAPPY
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Federal Communications Commission Chairman Kevin Martin said Thursday that he wants to give class-A low-power-TV stations a chance to gain full-power status and all of the rights and responsibilities that entails. Among the responsibilities would be complying with minimum children's-programming requirements and other public-interest obligations. One of the key rights would be that cable operators would be required to carry them under the must-carry rules. The FCC would judge station requests for full-power status on a case-by-case basis, and only if FCC engineers determined that they could serve their communities of license without interfering with others. Chairman Martin said the proposal was an effort to boost diversity of voices, noting that almost one-third of the 500-plus class-A LPTVs are Spanish-language and saying, "I think this is something that will be very critical to some of those Spanish-language broadcasters throughout the country." The FCC estimated that 236 are low-power Spanish-language stations. The National Cable & Telecommunications Association called the plan unnecessary and illegal. The NCTA said Congress granted must-carry rights to LPTVs only in limited circumstances, adding, "Requiring cable operators to carry hundreds of class-A low-power stations would violate the Constitution and Congress' intent while jeopardizing the wide diversity of programming that is already available on cable systems nationwide."
http://benton.org/node/17313
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FCC TO REVIEW SPRINT PLAN FOR VACATING AIRWAVES
[SOURCE: Reuters, AUTHOR: Kim Dixon]
The Federal Communications Commission has indicated it will review the latest plan by Sprint Nextel to vacate a key section of the airwaves for public safety use. FCC Chairman Kevin Martin said Sprint's proposal resembles one the company advocated in July, but the agency is adding a firm deadline of March 2010 for Sprint to vacate. Sprint had not included a deadline in its proposal. The goal of reallocating the use of the 800-megahertz airwaves is to prevent interference between public safety and other wireless users.
http://benton.org/node/17312
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TWO WIRELESS MERGER TOP THE FCC'S TO-DO LIST
[SOURCE: Wall Street Journal, AUTHOR: Amy Schatz]
Less than two months until Election Day, Bush administration officials at agencies all over Washington are making a final push to change or enact rules before the White House changes hands. Earlier this year, budget officials gave agencies a deadline to propose new rules, but regulators at various agencies are trying to shove issues out the door. The Federal Communications Commission has drawn up an ambitious to-do list, topped by review of two pending wireless mergers, for the last few months of the Bush administration. FCC Chairman Kevin Martin on Thursday said the agency will try to finish its review of Verizon's pending acquisition of Alltel and Sprint Nextel's purchase of Clearwire before year end. The agency is also hoping to tackle issues related to the rates phone companies pay each other to connect calls, to tee up two airwave auctions and to decide on whether to allow high-tech companies to use vacant, unlicensed television airwaves for a next-generation wireless gadgets.
http://benton.org/node/17324
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ACA CLAIMS FCC FILINGS POINT TO BROADCAST ABUSE
[SOURCE: Multichannel News, AUTHOR: Linda Moss]
The American Cable Association charged Thursday that a pattern of retransmission-consent abuse by broadcasters is emerging, reflected by three recent filings -- complaints and requests for stays -- made by small cable operators with the Federal Communications Commission. Those three filings, lodged last week and this Monday, were made by independent cable companies that allege abuse of federal regulations regarding "good faith" retransmission consent negotiations.
http://benton.org/node/17311
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INTERNET/BROADBAND
CALLS FOR 10/100MBPS NATION = ACHIEVING A FULL FIBER AMERICA
[SOURCE: App-Rising.com, AUTHOR: Geoff Daily]
On September 24 in a letter sent to key Congressional leaders, five organizations (CWA, FTTH Council, TechNet, Information Technology Industry Council, and the Voice on the Net Coalition) joined forces to call for action on S. Res 191 and H.Res. 1292, companion resolutions introduced in Congress by Sen. Jay Rockefeller (D-WV) and Representative Anne Eshoo (D-CA) that set two goals for America: 1) Universal 10Mbps by 2010 2) Universal 100Mbps by 2015. These are laudable goals that if achieved will position America to maintain its leadership role in the digital economy. But they're also ambitious enough goals that if embraced will demand the government start taking a much more proactive role in spurring the deployment of next-generation broadband networks. Simply put: the free market left to its own devices will not be able to meet these goals.
http://benton.org/node/17310
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EC CALL FOR 'UNIVERSAL' BROADBAND
[SOURCE: BBC, AUTHOR: ]
Brussels is considering making broadband access available for all. The fast growth of broadband has led the European Commission to bring forward a review of the basic telecoms services Europeans can expect. Current statistics suggest about 36% of households in EU member nations have high-speed net access. When a majority of EU citizens are using a telecoms service, EC rules dictate that it becomes one every European should be able to enjoy. The EC's Universal Service Obligations (USO) demand that all citizens who want them should be able to get access to basic telephone services. It covers the production of a telephone directory, availability of payphones, specific measures for people with disabilities or those on low incomes and fixed phone access for local, national and international voice calls. The obligations also include a clause demanding that the fixed line be of sufficient quality to "permit functional Internet access". In the UK this has been interpreted to mean a line that can support a dial-up speed of 28.8 kilobits per second.
http://benton.org/node/17320
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DIVERSITY
PUTTING THE PUBLIC INTEREST BACK INTO COMMUNICATIONS PART I: THE CIVIL RIGHTS IMPERATIVE
[SOURCE: Benton Foundation, AUTHOR: Charles Benton]
[Commentary] On September 18, Charles Benton was invited to speak at the annual conference of the National Association of Telecommunications Officers and Advisors. Benton was asked to appear on a panel titled "The Future of Communications: What is Coming in a New Administration and Beyond?" In these uncertain times, however, maybe it is too much for anyone or any one panel, to predict what our telecommunications future will look like. We can - and we should - however, take this moment to define our communications goals. Benton writes, "Our number one national communications policy priority must be the eradication of racial and gender discrimination in media and telecommunications."
http://benton.org/node/17302
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QUICKLY
CHANGE SWING VOTERS' MINDS ONLINE
[SOURCE: Center for Media Research, AUTHOR: Jack Loechner]
According to a recent study "2008 Search Engines and Politics: A Study of Attitudes and Influence," by Didit and summarized by Marketing Charts, 7% of online voters say they are likely to change their vote before the election, and the types of sites they select for political information after Internet searches determine the likelihood of an opinion change. The survey found that online sources are among the top three media choices for election information for 80% of online voters. Among the online voters, 44% use search engines to find election-related information, and more than a quarter also say they use sponsored links that appear in search-engine results pages.
http://benton.org/node/17307
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JUSTICE TALKS WITH RIVALS, CLIENTS OF YAHOO, GOOGLE
[SOURCE: Wall Street Journal, AUTHOR: Jessica Vascellaro]
Justice Department staff reviewing Google Inc.'s online-advertising deal with Yahoo Inc. met this week with customers and competitors and scheduled a final round of meetings with the two companies next week, amid signs the government may be preparing to recommend an antitrust challenge to the deal. Thomas Barnett, assistant attorney general for antitrust, hasn't made a final decision and still could allow the deal to proceed. But he recently hired a special counsel, the veteran litigator and former Walt Disney Co. Vice Chairman Sanford Litvack. Litvack has been asked to review evidence and build a case if a decision is made to challenge the deal.
http://benton.org/node/17322
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MYSPACE MUSIC LAUNCH DISAPPOINTS EXCLUDED INDIE LABELS
[SOURCE: Reuters, AUTHOR: Yinka Adegoke]
The launch of MySpace Music ran into controversy on Thursday after the leading independent music trade body complained that its small music label members had been shut out and treated like second class citizens. The new music site opened shop with millions of free songs for streaming and paid downloads, but without agreements covering hundreds of labels representing well-known artists like Franz Ferdinand, Tom Waits, Arctic Monkeys and Bjork. MySpace Music is a joint venture between News Corp's MySpace and the four major music companies: Vivendi's Universal Music Group, Sony BMG Music, Warner Music Group and EMI Music.
http://benton.org/node/17323
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GOOGLE TO SUPPLY BLOOMBERG TV ADS
[SOURCE: C-Net|News.com, AUTHOR: Stephen Shankland]
Google has found another partner to use its system for supplying television advertising: Bloomberg TV. The two companies announced the partnership Thursday, touting the ad success measurement abilities that Google has benefited from with its core search-ad business and is emphasizing as a way to get ahead over other ad mechanisms for TV. "We're pleased to be partnering with Bloomberg Television to continue to make TV advertising more relevant and measurable," said Mike Steib, director of Google TV ads. Google TV ad technology can tell advertisers which ads the audience is watching second by second. The technology uses data from millions of anonymized set-top boxes, Google said. And as with Google's search ads, for which advertisers pay only when users click, TV ads incur costs based on impressions actually delivered.
http://benton.org/node/17306
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A CALL FOR 'INNOVATION ECONOMICS'
[SOURCE: CongressDaily, AUTHOR: Andrew Noyes]
The Information Technology and Innovation Foundation offers eight policy ideas to drive innovation-led economic growth: 1) Significantly expand the federal research and development tax credit; 2) Create a national innovation foundation; 3) Allow foreign students receiving graduate degrees to get a green card; 4) Reform the patent system to drive innovation; 5) Let companies expense new investments in IT in the first year; 6) Establish a federal chief information officer; 7) Implement a national broadband strategy; and 8) Implement an innovation-based national trade policy.
http://benton.org/node/17305
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STUDY: US TOPS CYBER ATTACK LIST
[SOURCE: CongressDaily, AUTHOR: Andrew Noyes]
The United States experienced the most cyber attacks in 2008 with more than 20 million attempted attacks originating from computers within the country, according to a client study by security firm SecureWorks. China was second with 7.7 million attempted attacks emanating from computers within its borders and Brazil took third place with over 166,987 attempted attacks. South Korea, Poland, Japan, and Russia were also high on the list.
http://benton.org/node/17304
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IPTV SUBSCRIPTIONS TO GROW 64 PERCENT IN 2008: GARTNER
[SOURCE: Reuters, AUTHOR: Kate Holton]
Worldwide subscriptions to Internet-based television platforms are on track to reach 19.6 million subscribers in 2008, a 64 percent increase, according to analysts at Gartner. It forecast that 1.1 percent of households worldwide would be using IPTV in 2008, and expects that to rise to 2.8 percent by 2012.
http://benton.org/node/17303
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NBC SAYS LOCAL TV PROFOUNDLY AFFECTED BY DOWNTURN
[SOURCE: Reuters, AUTHOR: Georgina Prodhan]
The US economic downturn has had a severe effect on broadcaster NBC's local television stations but the company has not yet seen an advertising slowdown at a national level, Jeff Zucker said.
http://benton.org/node/17321
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