August 2000

Communications-related Headlines for 8/16/2000

DIGITAL DIVIDE
Closing the Digital Divide (WP)
Internships Close Silicon Valley's Divide (USA)

EDTECH
Kansas Educators Turn to the Web to Create a
Unique 'Virtual' School (CyberTimes)

INTERNET
The Internet Is Playing a Principal Role In Recall of
Bridgestone/Firestone Tires (WSJ)

POLITICAL DISCOURSE
A Masterpiece of Political Theater, With the
President Stealing the Show (NYT)

OWNERSHIP
Diversity in News and Entertainment (NYT)
Viacom Makes Offer to Buy Out The Rest of
Infinity Broadcasting (WSJ)

PRIVACY
Court Says FCC Gives FBI Too Much Wiretap Power (WP)

JOBS
Verizon And CWA Union Trade Charges That Each Drags Feet
On Negotiations (WSJ)

DIGITAL DIVIDE

CLOSING THE DIGITAL DIVIDE
Issue: Digital Divide
Robert Blakey, 5, and 20 of his classmates are participants in one of the
first sites of PowerUp, a national initiative to bring computers and the
Internet to children in poor communities. PowerUp is the brainchild of
America Online Inc.'s chief executive, Steve Case; his wife, Jean; and Colin
Powell, an AOL board member and former chairman of the Joint Chiefs of
Staff. With the significant assistance of corporate partner Gateway and the
Waitt Family Foundation, the program plans to build 250 computer labs by
year's end in schools and community centers. Furthering that goal, Virginia
is expected to announce next week that it will allocate $3 million to build
centers throughout the state, PowerUp chief executive Rae Grad said in an
interview. Illinois is expected to invest $750,000 in PowerUp site and
discussions are being held with California officials. Through their
respective chairmen's foundations, Gateway and AOL have committed 50,000
personal computers and 100,000 Internet access accounts. Several program to
are attempting to tackle the digital divide, but the breadth and ambition of
PowerUp and the prominence of its backers sets it apart.
[SOURCE: Washington Post (E1), AUTHOR: Alec Klein]
(http://washingtonpost.com/wp-dyn/articles/A32559-2000Aug15.html)

INTERNSHIPS CLOSE SILICON VALLEY'S DIVIDE
Issue: Digital Divide
Not all of Silicon Valley is reaping the benefits of the New Economy. In
East Palo Alto, population 26,000, many students find themselves on the
wrong side of the digital divide. The city's

Communications-related Headlines for 8/15/2000

MEDIA & SOCIETY
2 More in Iran Are Detained In Crackdown On the Press (NYT)
Hollywood's Take On Lieberman Is That He Is Mostly An Ally (USA)

OWNERSHIPS
News Corporation to Pay $5.3 Billion for Chris-Craft (NYT)
UPN Might Be DOA After Murdoch Move (USA)
FCC keeps Probing Key Issues In AOL, Time Warner Deal (WSJ)
NTT to Move Ahead With Its Purchase Of Verio After Winning U.S.
Support (WSJ)
Minority Media Roundtable (NTIA)

JOBS
Negotiations in Telephone Strike Make Little Progress (NYT)

INTELLECTUALLY PROPERTY
Free-Lance Writers Sue Web Publishers, Demanding to Be Paid Back
Royalties (WSJ)
Yahoo! Wins Domain Name Rights In U.N. Ruling Against Cybersquatter
(WSJ)

PRIVACY
Verizon Web Site Exposed Some Private Information (WSJ)

MEDIA & SOCIETY

2 MORE IN IRAN ARE DETAINED IN CRACKDOWN ON THE PRESS
Issue: International/Journalism
Two Iranian journalists were detained over weekend the just as they were to
win awards from their peers. In the last 10 days, five journalists have been
jailed and the last major reform newspaper, Bahar, was shut down. There may
be a ray of hope in the country, however, as a moderate deputy judiciary
chief, Hadi Marvi, said today that some of the newspapers might be allowed
to publish again because there was disagreement over the closings within the
judiciary. He said many of the judges believed that the interpretation of
existing law under which the newspapers had been shut down "is not right."
[SOURCE: New York Times (A6)]
(http://www.nytimes.com/yr/mo/day/news/world/iran-writers-nyt.html)

HOLLYWOOD'S TAKE ON LIEBERMAN IS THAT HE IS MOSTLY AN ALLY
Issue: Political Discourse
While Hollywood celebrities were gathering to support Democratic candidates
this weekend, Sen. Joseph Lieberman was on ABC on Sunday declaring that
"there's still too much violence, too much sex, too much instability in
entertainment" and that "a Gore-Lieberman administration will be concerned
about what government can do within appropriate constitutional limits to
improve the moral future of America." Not all in the entertainment industry,
however, are alienated by Lieberman's point of view. Gary Ross, writer and
director of Pleasantville and other movies, says Lieberman is "only
expressing what a lot of parents are concerned about. I appreciate that he's
called for voluntary self-regulation. He's never called for censorship." And
while Gore campaign Chairman William Daley concedes that there is an
"undercurrent" of concern in the entertainment community, he remains
confident that the Hollywood community will continue to give and raise money
for the Democratic party.
[SOURCE: USAToday (6A), AUTHOR: Jill Lawrence]
(http://www.usatoday.com/usatonline/20000815/2549419s.htm)

OWNERSHIPS

NEWS CORPORATION TO PAY $5.3 BILLION FOR CHRIS-CRAFT
Issue: Ownership/Television
As expected, Rupert Murdoch's News Corp will pay $5.3 billion for 10 TV
stations currently owned by Chris-Craft. News Corporation will own 33
stations after the purchase, with two each in five cities, including New
York and Los Angeles, the two biggest markets. But the company said
yesterday that it would sell about $650 million worth of its stations to
comply with Federal Communications Commission regulations that prohibit a
company's stations from reaching more than 35 percent of the nation's
television market. In an example of why the presidential election is
important, Media Access Project President Andrew Schwartzman points out that
in its current make-up, the FCC is unlikely to approve the sale. But the FCC
is likely to see a lot of turnover with a new Administration and
Republican-appointed commissioners would be more sympathetic to the proposed
deal. Mr. Schwartzman said that he viewed it as "an arrogant bet on the
outcome of the election."
[SOURCE: New York Times (C10), AUTHOR: Geraldine Fabrikant]
(http://www.nytimes.com/library/financial/081500news-chris.html)

UPN MIGHT BE DOA AFTER MURDOCH MOVE
Issue: Ownership/Television
Even after eclipsing rival WB last season, mini-network UPN appears to be
doomed. Rupert Murdoch's News Corp. has agreed to buy Chris-Craft
Industries, the owner of 10 TV stations, including eight UPN affiliates in
markets such as New York, Los Angeles and San Francisco. It is expected that
Murdoch will eventually replace UPN's 10 hours of weekly programming on the
newly purchased stations with 20th Century Fox's TV shows. The stations,
however, must carry UPN programming until Jan. 15. If Murdoch does pull UPN
programming off of the Chris-Craft stations, it would reduce UPN's reach
from 87 percent to 67 percent of homes.
[SOURCE: USAToday (1D), AUTHOR: Gary Levin]
(http://www.usatoday.com/usatonline/20000815/2549479s.htm)

FCC KEEPS PROBING KEY ISSUES IN AOL, TIME WARNER DEAL
Issue: Merger
The Federal Communications Commission (FCC) addressed previous concerns and
new concerns regarding the proposed America Online/Time Warner merger in
questions submitted to the companies Monday. Reflecting comments filed with
the FCC and a recent hearing on the merger, the questions addressed the
company's plans to open its cable pipelines to multiple Internet-service
providers and to grant competitors' access to AOL's popular
instant-messaging network. The FCC's request, its third so far, asked for
documents supporting Time Warner's stated intent to get out of an exclusive
contract with Internet service provider Road Runner. The Commission
requested specifics on companies supplying competing instant-messaging
services. The Commission questioned whether or not AT&T cable systems would
carry AOL's Internet service, and whether Time Warner's cable system would
carry AT&T's local phone service. The Commission questioned whether the
merged company would give less prominence to programming from unaffiliated
video networks on an electronic AOL-TV programming guide. And the Commission
asked if there would be a difference for consumers when accessing content
from a partner of AOL's TV service, compared with a nonpartner. AOL TV is a
recently launched initiative that is aimed at allowing the viewer to surf
the Internet using a television and visit e-commerce and other sites related
to the programming.
[SOURCE: Wall Street Journal (A6), AUTHOR: Jill Carroll]
(http://interactive.wsj.com/articles/SB966305943192481322.htm)

NTT TO MOVE AHEAD WITH ITS PURCHASE OF VERIO AFTER WINNING U.S. SUPPORT
Issue: Mergers
A U.S. government panel that had been badly divided on national-security
implications over a Japanese phone company's purchase of a US Internet
Web-hosting concern has given a go-ahead of the deal. Nippon Telegraph &
Telephone (NTT) of Japan will pay $5.5 billion purchase of Verio Inc. of the
U.S. The FBI and the Justice Department labored all summer trying to address
concerns that the acquisition could expose the U.S. to a foreign-espionage
risk by giving NTT, which is controlled by the Japanese government, access
to U.S. wiretapping activity. The NTT deal marks the first time an Internet
acquisition has gone through a rigorous U.S. national-security review.
Experts say the agreement reached between NTT and the Clinton administration
sets an important benchmark for how law-enforcement agencies will deal with
future transactions involving foreign companies and large U.S. Internet
concerns. "Now that there's a standard and an acceptable norm, companies
will come in much more aware of what the law-enforcement requirements are,"
said Brett Lambert, an analyst with DFI International, a Washington
consulting firm.
[SOURCE: Wall Street Journal (A3), AUTHOR: Neil King Jr. And David S. Cloud]
(http://interactive.wsj.com/articles/SB966295916209183299.htm)

MINORITY MEDIA ROUNDTABLE
Issue: Ownership
The transcript of the Minority Media Roundtable is now available.
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/minoritymediaroundtable/transcript.txt)

JOBS

NEGOTIATIONS IN TELEPHONE STRIKE MAKE LITTLE PROGRESS
Issue: Jobs
As workers wonder how long they can go without pay, Verizon is considering
bringing in managers from other regions of the country to relieve the 30,000
managers trying to fill in for the 86,000 striking workers. No easy solution
of the dispute is in sight. The biggest sticking point now involves
Verizon's ability to shift work from one region to another in an effort to
increase the efficiency of operations or reduce labor costs. Striking
workers are from a region of the country where union membership is higher as
are wages. "This is something we consider essential to the functioning of
our company on a competitive level," said Eric Rabe, Verizon's spokesman.
"This is about the workings of capitalism."
[SOURCE: New York Times (C8), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/081500verizon-talks.html)
See also
OLD LABOR TRIES TO ESTABLISH A ROLE IN THE NEW ECONOMY
[SOURCE: Wall Street Journal (B1), AUTHOR: Yochi J. Dreazen]
(http://interactive.wsj.com/articles/SB96629795029290932.htm)

INTELLECTUALLY PROPERTY

FREE-LANCE WRITERS SUE WEB PUBLISHERS, DEMANDING TO BE PAID BACK ROYALTIES
Issue: Intellectual property
A group of free-lance writers filed a suit in federal court in San
Francisco, demanding to be paid back royalties from three major online
publishers. The writers are demanding payment for each time one of their
works is downloaded over the Internet. Although database operators
frequently pay publishers for access to articles and books and charge
customers to download them from thousands of publications, they typically
pay the writers nothing. According to the San Francisco suit, that violates
U.S. copyright law, because the authors contend that they never signed their
rights away and still own their work. The suit seeks class-action status on
behalf of all writers whose works are in the databases, potentially as many
as 10,000 writers, says Gary S. Fergus, an attorney with Brobeck, Phleger &
Harrison, the San Francisco law firm representing the free-lancers.
Freelance writers are among the least powerful and lowest-paid members of
the media.
[SOURCE: Wall Street Journal (A3), AUTHOR: Jess Bravin]
(http://interactive.wsj.com/articles/SB966297752469525649.htm)

YAHOO! WINS DOMAIN NAME RIGHTS IN U.N. RULING AGAINST CYBERSQUATTER
Issue: Intellectual Property
U.S. Internet company Yahoo! won the rights to 40 Internet addresses in two
rulings by United Nations arbitrators. A three-member panel awarded it the
names yahooemail.net, yahoofree.net, yahoofree.com and yahoochat.net,
registered by Jorge Kirovsky of Colonia, Uruguay. The domain names linked to
another site registered by Kirovsky -- yahoo.com.uy, a Spanish-language site
on pets. He also registered yahoochat.cl, yahoofree.cl and miyahoo.cl, which
connected to the same address, and established a business called yahoo
S.R.L. The arbitrators found that "Internet users are actually confused" by
the names, as the yahoo.com.uy site had received hundreds of e-mails
apparently intended for Yahoo. Mr. Kirovsky claimed the Yahoo trademark was
largely unknown in Uruguay and that it "is the name of a dog in Uruguay." In
a second case, Yahoo and its GeoCities subsidiary won 36 addresses from six
respondents with company addresses in the U.S. and Belize. The companies
did not contest Yahoo's complaint that the domain names -- most involving
misspellings, among them gecities.com, ayhoo.com and wwwgeocities.com --
were confusingly similar to its trademarks. The U.N. World Intellectual
Property Organization's procedure to curb "cybersquatting" was introduced
last year.
[SOURCE: Wall Street Journal AUTHOR: Associated Press]
(http://interactive.wsj.com/articles/SB96628634765969163.htm)

PRIVACY

VERIZON WEB SITE EXPOSED SOME PRIVATE INFORMATION
Issue: Privacy
Already feeling the pinch in its customer service department due to the
strike, Verizon had to remove a self-help Web site on Sunday because it
exposed customers' private information. The company launched a new system
last week to enable customers to troubleshoot their own problems. But a
researcher discovered he could enter other customers' phone numbers and gain
access to personal data about them. A Verizon spokesman said few, if any,
records were compromised and that the actual exposed information was
minimal. "The only thing that was really exposed ... if you entered a number
for a non-listed account, you could get the name and address back," said
Frank Bennett, who oversaw development of evidence that any malicious user
used the technique to look up multiple records. The Web application in
question - the application. "And then only one at a time." There is no which
was developed months before the strike - allows customers to run a phone
line check through a Web browser. The service will be fixed and replaced by
Monday night, Mr. Bennett said.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Bob Sullivan ]
(http://interactive.wsj.com/articles/SB966287088798522931.htm)

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Communications-related Headlines for 8/14/2000

POLITICAL DISCOURSE
Delegates Heading Into Cyberspace (NYT)
Surfing Online and on the Air, and Getting an Invigorating Buzz
(NYT)
Lieberman Grilled As L.A. Greets Delegates (WP)
Media: Network Convention Coverage in 2004 (NYT)

TELEVISION
Murdoch Deal Could Revamp New York TV (NYT)

INTERNET
Directv Stays Step Ahead Of Cable (USA)
The Medium Gets The Message (NYT)
A Space Detour for Streaming Internet Traffic (NYT)
New Economy: Internet in Japan is Riding a Wireless Wave (NYT)
Alliance to Send Video-on-Demand on Web (NYT)
Put down your pencils Fla. high school students become USA's
first online class (USA)

PRIVACY
Sound Waves Could Help Ease Consumer Fraud Over the Web (WSJ)

INTELLECTUAL PROPERTY
U.N. Court Rules In Favor Of Telia On Domain Names (WSJ)

JOBS
Some Progress in Phone Strike, But Agreement Proves Elusive (NYT)

TELEPHONE
FCC Releases: Statistics of Communications Common Carriers (FCC)

INTERNATIONAL
Speech: The Africa Development Initiative: One Year
and Counting (FCC)

POLITICAL DISCOURSE

DELEGATES HEADING INTO CYBERSPACE
Issue: Political Discourse
The Democratic Party is making a big show of having the most plugged-in
national convention in history. "We've basically wired the entire city of
Los Angeles," said Naz Nageer, director of technology for the Democratic
National Convention Committee. "It's our 'e-mersion' coverage. We're on the
frontier of something big; we are in the space of the future. We've got
technological diversity here." Delegates will be using computers, Palm
Pilots, digital cameras, wireless beepers and all kinds of other high-tech
gadgets to stay in touch. "It's mainly a demonstration," said Adam Clayton
Powell III, vice president of technology for the Freedom Forum, a nonprofit
foundation. "It becomes a showcase of technology and a way to make the party
look very 21st century. It means we won't have pictures of delegates sitting
in their seats reading the newspapers. The party would rather have them
looking at their Palm Pilots." And the technology will help connect the
party to the delegates: "All this technology is not so much to solicit
opinions of delegates as it is to tell them what to do and what to say,"
said Marion Just, research director at the Joan Shorenstein Center at
Harvard University. "This certainly will help delegates get the message of
the day -- or of the hour -- and provides an opportunity for the convention
to speak with one voice to the media."
[SOURCE: New York Times (A15), AUTHOR: Leslie Wayne]
(http://www.nytimes.com/library/politics/camp/081400wh-dem-wired.html)

SURFING ONLINE AND ON THE AIR, AND GETTING AN INVIGORATING BUZZ
Issue: Political Discourse
A quick look at political coverage going into the Democratic convention.
Lyman writes: "the truffle hounds of the networks, cable channels and World
Wide Web sites appeared more invigorated today than they did two weeks ago
on the eve of the Republican gathering in Philadelphia." See what they are
digging up at the URL below.
[SOURCE: New York Times (A15), AUTHOR: Rick Lyman]
(http://www.nytimes.com/library/politics/camp/081400wh-dem-surf.html)

LIEBERMAN GRILLED AS L.A. GREETS DELEGATES
Issue: Political Discourse/Media & Society
As President Clinton raised $10 million at a fundraising brunch on Barbra
Streisand's Malibu estate and delegates attended welcoming parties on the
back lots of studios, Connecticut Sen. Joseph Lieberman tried to reach out
to Hollywood by assuring the industry that he would not seek laws enforcing
his views about sex and violence in the media. "I continue to believe,
though I love the movies and the entertainment media, that too much of what
comes out is too full of violence and sex and incivility and it is bad for
our children," Lieberman said on CBS's "Face the Nation." He added, however,
that he has "never really talked about censorship," and has always urged the
entertainment industry to police itself to avoid regulation.
[SOURCE: Washington Post (A1), AUTHOR: Mike Allen]
(http://washingtonpost.com/wp-dyn/articles/A20807-2000Aug13.html)

MEDIA: NETWORK CONVENTION COVERAGE IN 2004
Issue: Political Discourse
"Prime time is a different landscape than it was a decade ago," said Al
Ortiz, executive producer of the "CBS Evening News." "I can't imagine that
four years from now that the networks are going to want to spend millions of
dollars to come to these places and do the same thing. They said this four
years ago, and yet it's a big story that we did cut back on a little bit,
and I think that in four years, there will be a further reduction."
Although, CNN, the Fox News Channel and C-Span might be there for
gavel-to-gavel coverage, Marks suggests people watch the broadcast network
coverage of the Democratic convention -- it may be the last we see of it. In
2004, Ortiz predicts, coverage will be reduced to the acceptance speeches of
the candidates. The parties have considered scaling back the conventions to
a day or two -- the networks may make that decision for them. Andrew Lack,
the president of NBC News, said the networks have merely been responding to
changes in the nature of the conventions and the political process. "The
broadcasting platform serves more as a public service, when the nominee,
say, makes that acceptance speech," he said. "But we don't have much of an
obligation to go through the party's celebration. On the cable platform, you
have a different situation: the 24-hour format is geared toward covering the
news of the day. And they cover the story, no matter what."
[SOURCE: New York Times (C9), AUTHOR: Peter Marks]
(http://www.nytimes.com/library/financial/081400cnn-media.html)

TELEVISION

MURDOCH DEAL COULD REVAMP NEW YORK TV
Issue: Television/Ownership
Media analysts and network executives are watching what develops after
Rupert Murdoch's News Corp purchased 10 TV stations from Cris-Craft
Industries for $3.5 billion. News Corp will now have two stations in the two
largest TV markets -- New York and Los Angeles. The UPN (soon to be
Paramount network, owned by Viacom) stations in the two largest markets will
now be owned by a company that owns a rival network. Will Viacom drop
Paramount? Will News Corp receive another newspaper/TV station
cross-ownership waiver in New York? How could Viacom and/or News Corp
program two TV stations in the same market? Michael J. Wolf, who heads the
media department at Booz Allen & Hamilton, said: "There are cross-promotions
that can take place, similar to the way that companies are able to drive
viewers from one cable network to another. The same thing can work in local
television markets." Two stations in the same city can also achieve great
economies of scale, Mr. Wolf said, by combining news operations and
advertising sales staffs. "This would let News Corp. get a bigger piece of
an advertiser's budget," Mr. Wolf said. And it could open up possibilities
in sports, he added, by allowing the News Corporation to place a team's
games on two channels. But News Corp is also now over the national reach
limit for one company and we may see some station swapping: exchanging
stations to set up dualopolies in the largest cities. Stay tuned.
[SOURCE: New York Times (C1), AUTHOR: Carter & Fabrikant]
(http://www.nytimes.com/library/financial/081400murdoch-media.html)

INTERNET

DIRECTV STAYS STEP AHEAD OF CABLE
Issue: Satellite
Over the next few months, satellites will take the lead in offering
interactive digital TV services and two-way high-speed Internet connections
across the nation. While cable operators work out the kinks in their digital
and two-way services, DirecTV, one of nation's two satellite providers, is
hopping to take advantage of the opportunity to be first in offering
consumers interactive TV and high-speed Internet connections coast to coast.
Many cable companies have begun to transmit digitally, a process that
requires a system upgrade and a new decoder box, and soon plan to offer
two-way services -- including interactive TV, high-speed Internet and phone
connections. But the satellite industry hopes to beat them to the punch.
"Their pipe, where they have it, is a little more robust," say Michael
Smith, CEO of Hughes Electronics, DirecTV's parent company. "But our
advantage is economic. They have to spend billions to catch up to where we
are. We only have to spend a few hundred million to upgrade features"
nationwide. Starting this fall, DirecTV -- in concert with sister company
DirecPC -- will transmit Juno Online's Internet service at 400
kilobits-per-second to subscribers who buy a special 30-inch elliptical
dish. While the service will be much faster than today's conventional 56
kbps and will allow users to wirelessly transmit data so they don't have to
tie up a telephone line, it's still far slower than cable modems or phone
digital subscriber line (DSL) services.
[SOURCE: USAToday (1B), AUTHOR: David Lieberman]
(http://www.usatoday.com/usatonline/20000814/2546262s.htm)

THE MEDIUM GETS THE MESSAGE
Issue:Old vs New Media
America Online, Yahoo and Microsoft's MSN, large Internet portal sites,
dominate Web traffic. But why don't the Internet offerings of the major TV
networks? They have the most experience in drawing large audiences, they
account for two-thirds of the seven hours each day that an average
households spends watching TV and they have an arsenal of other advantages:
lots of money, libraries of programming and the ability to promote their Web
sites with unlimited amounts of advertising on television, which is still
the most persuasive medium. What went wrong? The networks were not good at
keeping visitors after convincing them to visit their Web sites -- the sites
lacked depth and sophistication of features. "The mistake made over and over
again by traditional media companies is that they dabble in new media rather
than doing something strategic to integrate with their core assets," said
Tom Rogers, chief executive of Primedia and former head of NBC's cable
operation and much of its Internet activities. "The game is over, and the
major media companies didn't win it," said Peter Chernin, News Corp.'s
president. "We didn't win. Disney didn't win. AOL and Yahoo did. So we're
going to the next game, which is broadband, and that's wide open."
[SOURCE: New York Times (C1), AUTHOR: Saul Hansel]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/14net.html)

A SPACE DETOUR FOR STREAMING INTERNET TRAFFIC
Issue: Infrastructure
Delivering streaming audio over satellites is one promising technique to
avoid the terrestrial degradation that can ruin a Net Radio stream. The
satellite method involves sending the stream up to a satellite, hopping over
most of the jam ups on the ground and landing the music stream at a network
hub closer to the listener. For example, a stream is sent from Tulsa,
Oklahoma to a satellite. The satellite then feeds the stream back to
terrestrial antennas which will convert the signal back into an Internet
protocol. The converted signal is then distributed through traditional ISP
over conventional cables and telephones to PCs. "We don't care if it's
delivered by satellite, fiber or carrier pigeon; we care about cost," said
Nicholas Butterworth, president and chief executive of the MTVi Group, MTV's
Internet unit. MTVi is also using ground-based distribution services from
companies like Akamai Technologies and Digital Island to improve the
reception of its Internet music and video programs. While satellites have
been used for years by overseas ISPs to connect to the US backbone, use by
domestic ISPs for domestic traffic is a new business model for the Internet
- a model to date that faces both economic and technical challenges. "The
Internet was not designed to do what we're asking it to do -- to distribute
something that looks like TV or sounds like a CD," said Peter B. Desnoes,
iBeam's chief executive. "The way to solve it is to go around the Internet
itself," Desnoes said. "We have built a very complex private network that
includes satellite elements that sends content out to the edge." Bear,
Stearns forecasts a $48 billion market for streaming media by 2010, up from
$1.3 billion today.
[SOURCE: New York Times (C4), AUTHOR: Theresa Foley]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/14bird.html)

NEW ECONOMY: INTERNET IN JAPAN IS RIDING A WIRELESS WAVE
Issue: Wireless
An illustration of the difference between the Internet in Japan and in the
US. Hiroaki Kobayashi is the founder of founder of Tokyo Metallic which
provides high-speed, or broadband, Internet access lines. Tokyo Metallic is
trying to jumpstart DSL in Japan, but unlike the US, where DSL deployment
and subscribership is at nearly 1 million, there are only 1,000 DSL
customers in Japan. The high numbers in the US are motivated partially by
the competition of the regional bell with their local start-up competitors,
CLEC's and partially by business models that have preferenced physical
hookups over wireless options. In Japan, on the other hand, Nippon Telegraph
and Telephone, Tokyo Metallic's main competition, has a competing strategy
for wiring Japan with high-speed fiber optic cables -- but will not do so
until it recovers its earlier investment in ISDN technology. The final and
most formidable obstacle for Tokyo Metallic is the preference for wireless
over physical hookups in Japan. There are between 20-27 million Internet
users in Japan. Of that number, nearly half are connecting to the Internet
wirelessly. Of these wireless customers, 7.5 million are using a service
offered by NTT DoCoMo, NTT's wireless division. For nearly two of three
i-mode users, this wireless link is their only method of access to the
Internet. With a second generation wireless standard on the way, it may be
that a wired link to the Internet will become irrelevant in modern Japan.
[SOURCE: New York Times (C4), AUTHOR: John Markoff]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/14neco.html)

ALLIANCE TO SEND VIDEO-ON-DEMAND ON WEB
Issue: Alliance/Internet
Intertainer and Akamai Technologies will announce today an alliance to
deliver video-on-demand to the computers of consumers with high-speed
Internet connections. The service is currently available in two markets and
will be broadly available by the end of the year, the companies said.
Intertainer's library includes the licensing rights to entertainment
programming from more than 60 media companies, including DreamWorks SKG,
Sony Music, Warner Bros. and Columbia TriStar Television. The material will
not be stored on the user's computer, but instead will be streamed through
the Web. Last month Enron, the Houston-based utility and energy giant,
announced that it too had entered an agreement with Blockbuster to deliver
movies on demand into homes as a digitized video stream. Analyst believe
that while Blockbuster holds brand advantage, Intertainer is the only player
to have introduced a working service. "Blockbuster has all the distribution,
sales and brand you could want, but no service," said Julani Zeribi, an
analyst with Current Analysis. "At the end of the day, their announcement
was, 'We intend to do this, provided everything comes together.' Intertainer
already has a service, and Akamai can do this, right here, right now."
Akamai's service speeds delivery of World Wide Web pages and streaming media
by moving digital content to servers spread around the globe, thus bypassing
bottlenecks in the broad Internet.
[SOURCE: New York Times (C5), AUTHOR: Lawrence Fisher]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/14akam.html)

PUT DOWN YOUR PENCILS; FLA. HIGH SCHOOL STUDENTS BECOME USA'S FIRST ONLINE
CLASS
Issue: EdTech
Forty-five Florida high school students will be part of the fist American
class ever that will combine the worlds of online academics and the
real-world social setting of a traditional high school. When the Daniel
Jenkins Academy's online project opened Thursday morning, all the students
had
already met their teachers, either via e-mail or phone. The 3-year-old
Florida High School (FHS), a Web-based school that acts as a subcontractor,
providing virtual academics and online teachers, has focused on serving
individual students throughout Florida who want an online alternative to
traditional public high school academics. This year, more than 5,000
students will take some or all of their high school courses by logging on to
FHS. The Jenkins students will have the help of two facilitators, who will
be in the classroom to provide assistants with academics, time management
and technical issues. Florida public schools are among the nation's most
overcrowded, a major concern for Principal Sue Braiman. Her strategy is to
house only students here and give them access to classrooms, teachers and
curricular tools in a virtual environment.
[SOURCE: USAToday (1D), AUTHOR: Karen Thomas]
(http://www.usatoday.com/usatonline/20000814/2546238s.htm)

PRIVACY

SOUND WAVES COULD HELP EASE CONSUMER FRAUD OVER THE WEB
Issue: Privacy
An Israeli start-up has created a gadget that uses sound waves to address
some of the biggest issues of e-commerce: fraud, privacy and convenience.
When held and pointed at the computer, the credit-card look alike known as
"Com Dot" -- dot-com in reverse - emits a coded high-pitched sound whose
signal is then picked up by the computer's microphone, and the card emits an
audible chirp to let the user know the transmission is complete. According
to Alan Sege of ComSense Technologies Ltd, the computer uses the Com Dot's
ultrasonic signal to identify the user. "Good morning, Alan," the computer
says in response, and a Web page suddenly appears on the screen. Many
computers already have a built-in microphone and sound board, which are
needed to decipher the card's ultrasonic codes. ComSense hopes to have
credit-card companies install in their cards the computer chip, tiny battery
and speaker needed to make the technology work.
[SOURCE: Wall Street Journal (B1), AUTHOR: Jathon Sapsford]
(http://interactive.wsj.com/articles/SB966206403344321614.htm)

INTELLECTUAL PROPERTY

U.N. COURT RULES IN FAVOR OF TELIA ON DOMAIN NAMES
Issue: Intellectual property
Two Swedes who had registered Internet domain names containing the names of
a Swedish telecommunications company, Telia AB 243, and its branches have
been ordered to give it up by the World Intellectual Property Organization
(WIPO), an agency of the United Nations. The registered names included
teliadata.com,
teliabusiness.com, and teliabroadband.com, each of which had been offered
for sale at US$14,500. Although domain-related quarrels have been around
for a decade now, only recently did the UN start arbitrating on the cases.
WIPO has received more than 1,000 domain-related cases since it started
arbitrating them last year. Domain names aren't only a problem for large
companies that have to deal with individuals who have registered names. The
UN frequently handles cases in which small companies or individuals complain
that their individuals are under threat from large companies that claim to
have the same right to the same names. "We hope the decision will send a
signal to other cybersquatters who think they can take advantage of
registering other companies' names," said a London-based Telia engineer
involved in the case.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Almar Latour]
(http://interactive.wsj.com/articles/SB966196246182076316.htm)

JOBS

SOME PROGRESS IN PHONE STRIKE, BUT AGREEMENT PROVES ELUSIVE
Issue: Jobs
The Verizon strike drags on with no quick end in sight. Through the
strike organized labor is trying to get a foothold into fast-growing,
high-tech industries that are changing the economy. Instead of wages and
benefits, the main objectives of the strike involve an effort to secure
concessions for a work force weary of long hours and the concern that
mergers might translate into fewer jobs. The main difference now seems to be
over the movement of work. The unions are seeking to limit the movement of
jobs or tasks by agreeing on a flat percentage of Verizon's work force of
260,000 employees that would be subject to such movement, similar to the
half a percentage point agreed upon with Bell Atlantic after it bought Nynex
in 1997. Verizon wants a more flexible plan.
[SOURCE: New York Times (A19), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/081400verizon-talks.html)
See Also:
UNIONS REJECT NEW VERIZON CONTRACT OFFER
[SOURCE: Washington Post (A6), AUTHOR: Kalpana Srinivasan (Associated
Press)]
(http://washingtonpost.com/wp-dyn/articles/A21004-2000Aug13.html)
VERIZON TOUTS NEW PROPOSAL; STRIKING UNIONS REBUFF OFFER
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Newswires
(http://interactive.wsj.com/articles/SB966230164300125218.htm)

TELEPHONE

FCC RELEASES: STATISTICS OF COMMUNICATIONS COMMON CARRIERS
Issue: Telephone
The Federal Communications Commission (FCC) released the Statistics of
Communications Common Carriers, marking the 60th anniversary of the
publication. When the first volume, for the year 1939, was published in
1941, it cost The 1939 volume, published in 1941, consisted of 267 pages and
sold for 25 cents. About 18 million telephones were in use at year-end 1939,
and only 36% of the households had telephone service. Now, more than 180
million telephone lines were in use at year-end 1999 and 94.6% of the U.S.
households had telephone service. The electronic version of the publication
is available to the public free of charge. A second notice will be issued
when printed versions can be purchased from the U.S. Government Printing
Office. The 260-page volume contains data on telecommunications costs,
revenues, prices, and usage, and is divided into five sections: general
information on industry structure; financial and operating data relating to
telephone carriers; data on international communications and COMSAT
Corporation; historical financial, economic, and rate tables; and data on
industry trends. The full report is now available for reference in the FCC's
Reference Information Center, Courtyard Level, 445 12th Street S.W. The
publication can be downloaded [file names: 99SOCC.zip, 99SOCC.pdf] from the
FCC-State Link internet site at http://www.fcc.gov/ccb/stats. Copies of the
publication also may be purchased by calling International Transcription
Services, Inc. (ITS) at (202) 857-3800.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Common_Carrier/News_Releases/2000/nrcc0042.html)

INTERNATIONAL

SPEECH: THE AFRICA DEVELOPMENT INITIATIVE: ONE YEAR AND COUNTING
Issue: Speech
Remarks of William E. Kennard Chairman, Federal Communications
Commission at the AFCOM 2000 Conference
Fair Lakes, Virginia August 1, 2000.
[SOURCE: FCC]
(http://www.fcc.gov/Speeches/Kennard/2000/spwek018.html)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Other projects at Benton include:
Connect for Kids (www.connectforkids.org)
Debate America (www.debateamerica.org)
Oneworld US (www.oneworld.net)
Open Studio: The Arts Online (www.openstudio.org)
Sound Partners for Community Health (www.soundpartners.org)
To subscribe to other free Benton Foundation newsletters, visit:
(http://www.benton.org/Resources/home.html)

Communications-related Headlines for 8/11/2000

DIGITAL DIVIDE
Mineta Wants to Narrow Digital Divide (USA)

SPECTRUM
The Battle of the Bandwidths (NYT)

MEDIA & SOCIETY
Republicans Seeking Parity In TV Convention Coverage (NYT)
Moguls Rattled by Gore's Choice of Critic of
Entertainment Industry (NYT)

JOBS
A Key Issue In Phone Strike Is Said Resolved (NYT)

MERGERS
Amazon Toys R Us Plan Web Venture (WP)

INTERNATIONAL
Ambivalence in China On Expanding Net Access (NYT)
US is Said to be Near Deal For NTT Unit to Buy Verio (NYT)
French Nazi Memorabilia Case Presents Jurisdiction Dilemma (CyberTimes)

PRIVACY
FBI to Have Carnivore Tool Reviewed by Outside Experts (WSJ)
Kaiser E-Mail Glitch Highlights Pitfalls Of Placing
Personal-Health Data Online (WSJ)

DIGITAL DIVIDE

MINETA WANTS TO NARROW DIGITAL DIVIDE
Issue: Digital Divide
New Commerce Secretary Norman Mineta, the first Asian-American cabinet
officer, is making Internet access for the poor and minorities a top
priority. Sec Mineta will lead a September tour of up to a dozen U.S. cities
and towns to promote electronic commerce and "digital inclusion." "If the
technological advances being made are leaving minority, low-income
Americans, rural areas and inner cities behind, then it seems to me we've
got to be doing something to make sure they aren't left behind," he said.
Sec Mineta is point man for the Clinton administration's effort to narrow
the digital divide by using federal grants and pro-competition policies to
bring PCs and Internet service to areas where access lags.
[Source: USA Today (8B), James Cox]
(http://www.usatoday.com/usatonline/20000811/2542549s.htm)

SPECTRUM

THE BATTLE OF THE BANDWIDTHS
Issue: Spectrum/Wireless
"The big story is that our spectrum policy in the United States is totally
messed up," said Reed Hundt, a former chairman of the Federal Communications
Commission. "And right now the FCC is really holding a handful of hot
coals." In a tight market for spectrum, broadcasters were given a valuable
chunk of the airwaves to make the transition to digital television. But that
transition has stalled and broadcasters are now demanding concessions from
the Federal Communications Commission. FCC Chairman William Kennard has said
that broadcasters have made unreasonable demands on his agency (re: "must
carry" rights on cable systems and compatibility with those systems), trying
to use their leverage as holders of valuable spectrum licenses. "The law put
the broadcasters completely in the driver's seat," he said. "The
broadcasters made a deal with the United States Congress. They promised a
lot of key people in Congress that if you give us this spectrum, we will
give the public high-definition television. But nobody really said that the
American public wanted it or what the business plan was. There were a lot of
promises made, but none has been fulfilled." Cell phones, hand-held personal
digital assistants, laptop computers and other wireless devices need
spectrum space to function. Mr Hundt estimates that at the current growth
rate, the government must triple the amount of spectrum available for
wireless Internet in the next five years.
[SOURCE: New York Times (C1), AUTHOR: Stephen Labaton]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/11spectrum.html)
See Also
PAXSON NETWORK COULD REAP BILLIONS IN TALKS WITH PHONE COMPANIES
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Nicole Harris And Jill
Carroll]
(http://interactive.wsj.com/articles/SB965949004594290062.htm)

MEDIA & SOCIETY

REPUBLICANS SEEKING PARITY IN TV CONVENTION COVERAGE
Issue: Political Discourse
Jim Nicholson, the chairman of the Republican National Committee, in letters
to the presidents of the news divisions of ABC, CBS and NBC, wrote that he
was concerned about reports "that you now plan to expand and augment your
coverage in Los Angeles next week." He added the hope that "based on your
commitment to fair and unbiased reporting, you will devote the same amount
of time to the Democrats' convention as you did to ours." Republicans are
upset that a speech by President Clinton on Monday night will get more
coverage than the speech delivered by former-Gen Colin Powell during the GOP
convention. Officials at ABC, NBC and CBS say they plan to devote the same
amount of coverage to the Democrats as to the Republicans, but they'll not
have Republicans tell them what is news and what is not. Clifford May,
director of communications for the Republican committee, said the treatment
of the convention by the broadcast networks, which command the bulk of the
television audience, is a major factor in the campaign. "These are the
parties' featured events every four years," he said, "and how much air time
they're given we think does really have an influence and an impact." And
because commercial television time is so expensive, Mr. May added, "If you
give one party more time than the other, then in effect you're making a
campaign contribution to that party."
[SOURCE: New York Times (A13), AUTHOR: Peter Marks]
(http://www.nytimes.com/library/politics/camp/081100wh-media-repubs.html)

MOGULS RATTLED BY GORE'S CHOICE OF CRITIC OF ENTERTAINMENT INDUSTRY
Issue: Media & Society
If the entertainment industry "continues to market death and degradation to
our children and continues to pay no heed to the genuine bloodshed staining
our communities, then one way or the other the government will act."
Although that may sound like a Republican sound bite, its a quote from Sen
Joseph Lieberman (D-CT). As Hollywood prepares to open its coffers (and
homes) for Democrats next week, Democrats are trying to play down, if not
ignore Sen Lieberman's positions. Jeffrey Katzenberg, an owner of
Dreamworks, said: "Yes, Lieberman has been critical, and held us in
Hollywood to a very high standard. It's not something we have often agreed
upon in terms of the solution. But to have someone as direct and honest and
doesn't pull punches is what leadership is all about." But other Democrats
may not be so forgiving. Jim Wiatt, a top talent agent who is president and
chief executive of the William Morris agency, said, "It's intolerable to
think of the government regulating our business and content, and Sen
Lieberman has been vocal to the point where he needs to tone down his
rhetoric and not make this industry the whipping boy for the decline of
Western civilization." Vice President Gore leads his opponents in Hollywood
fundraising and Sen Lieberman will probably not hurt the ticket financially.
[SOURCE: New York Times (A15), AUTHOR: Bernard Weinraub]
(http://www.nytimes.com/library/politics/camp/081100wh-hollywood.html)

JOBS

A KEY ISSUE IN PHONE STRIKE IS SAID RESOLVED
Issue: Jobs
"I think we're at a situation where the rest of the issues could come
together pretty quickly," said Eric Rabe, a spokesman for Verizon. People
close to the talks says the company, the largest telecommunications
employer, and the striking unions have come to an agreement that will make
it easier for the unions to organize non unionized workers in Verizon
Wireless, the nation's largest wireless operator. "It's not a slam dunk,"
said Paul Osterman, professor of management at M.I.T. "The unions will have
to articulate very well what they can offer to the wireless people." Only 50
of Verizon Wireless's 32,000 employees are union members. The agreement may
only cover another 8,000 employees in the region covered by contract
negotiations.
[SOURCE: New York Times (C1), AUTHOR: Romero & Barnes]
(http://www.nytimes.com/library/financial/081100verizon-talks.html)
See Also:
ADVERTISING: BRANDING EFFORT SHOWCASING WORKERS FACES ISSUES WHEN THEY STRIKE
[SOURCE: New York Times (), AUTHOR: ]
(http://www.nytimes.com/library/financial/columns/081100adcol-verizon.html)
VERIZON STRIKE MOVES CLOSER TO ENDING, BUT ISSUES REMAIN
[Source: USA Today (8B), Author: Shawn Young]
(http://www.usatoday.com/usatonline/20000811/2542550s.htm)

MERGERS

AMAZON TOYS R US PLAN WEB VENTURE
Issue: Mergers
Amazon.com, which dominates online retailing, changed business strategy
somewhat yesterday by entering into a long-term relationship with competitor
Toys R Us. The deal marks the first time Amazon has entered into a deal
with an offline retailer. Together the two companies will develop an online
toy and video-game store. Amazon founder and chief executive Jeff Bezos and
Toys R Us chief executive John Eyler presented the store as a win-win
proposition. "These are two companies that are different but have extremely
compatible skill sets," said Eyler, noting that his company would be
responsible for buying and managing the inventory. Those are the trickiest
tasks in the toy business, and ones that Amazon acknowledges fumbling last
year. But Toys R Us has had its own e-commerce problems. Because of its name
recognition, the online store had trouble filling the tremendous amount of
holiday orders last season. Result: in the new deal, all of the new store's
customer service and order fulfillment will be handled by Amazon, which will
run the Web site as well. Toys R Us will handle the merchandising required
to sell the toys. The Toysrus.com Web site will become a shell leading
consumers straight to Amazon.
[SOURCE: Washington Post (E1), AUTHOR: David Streitfeld]
(http://www.washingtonpost.com/wp-dyn/articles/A7995-2000Aug10.html)
See Also:
TWO BIG ONLINE TOY SELLERS TO MERGE UNITS
[SOURCE: New York Times (C4), AUTHOR: Saul Hansell]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/11toys.html)
AMAZON.COM, TOYS 'R' US AGREE TO COMBINE ONLINE TOY STORES
[SOURCE: Wall Street Journal (B2), AUTHOR: Nick Wingfield & William Bulkeley]
(http://interactive.wsj.com/articles/SB965911483856584829.htm)
AMAZON, TOYS R US TEAM FOR ONLINE TOY STORE
[Source: USA Today (3B), Author: Deborah Kong]
(http://www.usatoday.com/usatonline/20000811/2542606s.htm)

INTERNATIONAL

AMBIVALENCE IN CHINA ON EXPANDING NET ACCESS
Issue: International/Internet
Even as China embraces the Internet and its ability to modernize the Chinese
economy, the Chinese government frets about the Web spreading beyond its
control. The progress by the Chinese government in the Internet has been
swift and sure: progress is being made both in making e-commerce a function
of government agencies and in improving the Internet's reach through
cellular phones. At the same time, the Chinese government is remaining
vigilant of the threats the Internet poses to its stability and control.
"Enemy forces at home and abroad are sparing no effort to use this
battlefront to infiltrate us," said an editorial this week in the Communist
Party's national newspaper, The People's Daily. The ambivalence about the
Internet has the potential to distort China's new E-commerce models along
the same lines other economies have been distorted in the planned economy,
favoring inefficient government-owned ventures over more creative private
ones. Already private Web ventures that rely on foreign investment have
been hampered by the government's wariness: regulations make much of the
foreign investment needed by startup technically illegal; the inability of
Internet companies to list their shares on China's domestic stock market are
scaring off venture capitalists; and now many of the tiny Internet companies
started in the last year are now running out of cash and closing.
[SOURCE: New York Times (C3), AUTHOR: Craig Smith]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/11net.html)

US IS SAID TO BE NEAR DEAL FOR NTT UNIT TO BUY VERIO
Issue: International/Ownership
Clinton administration officials are close to resolving the remaining
national security concerns around the NTT Communications of Japan purchase
of Verio, a United States Internet service provider. The $5.5 billion deal
has become a test case of the FBI's power to police the Internet and guard
against espionage when a company controlled by a foreign government buys an
American Internet gateway. NTT Communications is a subsidiary of the Nippon
Telegraph and Telephone Corporation, which is 53 percent owned by the
Japanese government. Facing a Monday deadline, NTT ended a standoff by
offering to FBI terms that would set up a separate American-controlled
office within the Japanese-American company that could execute court-ordered
wiretaps without oversight of the Japanese parent company. American
officials also want legally binding commitments that give the government
recourse if the combined company fails to cooperate with investigators or
compromises the secrecy of law enforcement actions. While it is common for
the U.S. to call for safeguards when a foreign interest buys into
telecommunications and military concerns, this is the first time national
security considerations have been raised in the case of a cross-border
Internet company acquisition. Brett Lambert, a security expert with DFI
International who has followed the NTT Communications-Verio proceedings,
said the merger, if completed successfully, could become the standard for
foreign purchases of Internet service providers. "I think everyone will
breathe a sigh of relief because they want this to be a model," Mr. Lambert
said. "NTT basically has had to carry water for other Internet deals down
the road."
[SOURCE: New York Times (C8), AUTHOR: Joseph Kahn]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/11secure.html)
See Also
FBI, NTT REACH TENTATIVE DEAL ON $5.5 BILLION VERIO ACQUISITION
[SOURCE: Wall Street Journal (A3), AUTHOR: Neil King Jr. And David S.
Cloud]
(http://interactive.wsj.com/articles/SB965952625894025409.htm)

FRENCH NAZI MEMORABILIA CASE PRESENTS JURISDICTION DILEMMA
Issue: International/Internet
French authorities are attempting to force Yahoo ! to
restrict French citizens from gaining access to Nazi artifacts that appear
on its English-language auction site. "The Yahoo case points up a dilemma in
the law of jurisdiction," said Henry H. Perritt Jr., dean of the
Chicago-Kent College of Law and an expert in Internet law. "If a Web site is
accessible to all, and is subject to jurisdiction by every nation on earth,
then the laws of the lowest common denominator nation" will govern the
Internet, he said. "On the other hand, if we say that the only important law
is the one where the content provider resides, then local values of foreign
nations will not be enforced. We also run the risk of creating havens for
shyster practices." Michael Traynor, a lawyer in San Francisco who is acting
as special counsel to Yahoo said, "What the government of France is trying
to do is apply its laws outside its borders. If anybody in France feels that
they don't want to view Nazi artifacts, they don't have to look at anything
they object to. It's a voluntary act to look at information." Perritt said,
"For French authorities to go after Yahoo.com nevertheless is an exorbitant
exercise of jurisdiction that is inconsistent with emerging best practices."
Thomas P. Vartanian, a Washington, D.C.-based lawyer who heads a committee
on cyberspace law for the American Bar Association, said that he expects to
see similar cases in the coming years "unless the world can agree on what
the standards for jurisdiction should be."
[SOURCE: CyberTimes, AUTHOR: Carl Kaplan]
(http://www.nytimes.com/library/tech/00/08/cyber/cyberlaw/11law.html)
See Also.
YAHOO! RETURNS TO FRENCH COURT TO ADDRESS NAZI PARAPHERNALIA
[SOURCE: Wall Street Journal (B10), AUTHOR: Kevin J. Delaney]
(http://interactive.wsj.com/articles/SB965934304130038319.htm)

PRIVACY

FBI TO HAVE CARNIVORE TOOL REVIEWED BY OUTSIDE EXPERTS
Issue: Privacy
The FBI has finally succumbed to pressure from privacy advocates and
lawmakers that have complained that the U.S. government's new high-tech
snooping tool called Carnivore is too intrusive. The FBI will soon have the
software reviewed by a team of academics. Attorney General Janet Reno said
the Justice Department has asked the FBI to cooperate fully with a team of
university technical engineers, who will have total access to any
information they need to conduct their review. Following the academic
review, the analysis will be made available for public comment and a joint
Justice Department and FBI team will finalize the report for the Attorney
General's review. A full report is to be ready by December. "I think this
will be an effective way to proceed in this issue," said Ms. Reno.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Jerry Guidera]
(http://interactive.wsj.com/articles/SB965930039361069185.htm)
See Also:
CARNIVORE GOING TO REVIEW U.
[SOURCE: Washington Post (A23), AUTHOR: David A. Vise]
(http://washingtonpost.com/wp-dyn/articles/A7949-2000Aug10.html)

KAISER E-MAIL GLITCH HIGHLIGHTS PITFALLS OF PLACING PERSONAL-HEALTH DATA
ONLINE
Issue:Privacy
Kaiser Permanente, one of the nation's largest health insurers, sent
sensitive medical information into the wrong hands, highlighting the
potential pitfalls of placing personal-health data online. Kaiser said it
accidentally sent private e-mail messages that were meant for 858 of its
members to 17 other members instead, which included sensitive medical
questions and included patient addresses and telephone numbers. Although
Kaiser says it has made necessary changes to prevent a recurrence, the event
serves as a striking example of the potential dangers of trafficking in
online medical information. It also shows how the security of such data can
be vulnerable to plain mistakes, not just more deliberate breaches for
marketing and other purposes that are the worry of regulators.
This is a wake-up call," says Thaddeus Grimes-Gruczka, vice president of
health practice at Cyber Dialogue, a New York customer-relationship
consultant, and adds that consumers are already thinking twice about how
they share their medical histories online. He said similar mistakes are
inevitable.
[SOURCE: Wall Street Journal (B10), AUTHOR: Barbara Martinez]
(http://interactive.wsj.com/articles/SB965952852813278860.htm)

--------------------------------------------------------------
...and we're outta here. Enjoy the weekend.

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Other projects at Benton include:
Connect for Kids (www.connectforkids.org)
Debate America (www.debateamerica.org)
Oneworld US (www.oneworld.net)
Open Studio: The Arts Online (www.openstudio.org)
Sound Partners for Community Health (www.soundpartners.org)
To subscribe to other free Benton Foundation newsletters, visit:
(http://www.benton.org/Resources/home.html)

Communications-related Headlines for 8/10/2000

DIGITAL DIVIDE
Women Surf Past Men On the Internet (WP)

EDTECH
Choosing Quick Hits Over The Card Catalog (NYT)
No Lectures or Teachers, Just Software (NYT)
For the New College B.M.O.C., 'M' Is for 'Machine' (NYT)

INTERNET
Judge Blocks Va. Law on Internet Porn (WP)
The Campaign on the Web (WP)
AOL Is Taking Down MP3 Search Engine (WSJ)

PRIVACY
FBI Refuses to Reveal Data on Carnivore, Tells Congress Documents
Are Classified(WSJ)
'Sensitive' Kaiser E-Mails Go Astray (WP)
Users Get Privacy On Web From Freedom Software (WSJ)
Online Privacy Technologies Workshop (NTIA)

JOBS
Extent of Telephone Strike May Have Surprised Target (NYT)

DIGITAL DIVIDE

WOMEN SURF PAST MEN ON THE INTERNET
Issue: Digital Divide/Gender
Female users of the Internet now outnumber male users
according to a new survey shows by Media Metrix and Jupiter Communications.
The survey is based on a sample group of 55,000 users. In May of 1999 the
total U.S. online population was 45.4 percent female and 54.4 percent male.
In May 2000 the numbers have changed to 50.4 percent female and 49.6 percent
male. The survey accounts for users age 2 and up. Of course, measuring actual
WWW users is difficult, but this survey seems to confirm a trend reflected
in other ISP service subscriptions. Usage by women has grown among all
demographic groups and ages. But the Media Metrix/Jupiter Communications survey
found that among those 24 to 34, when many women are starting families, the
most popular Web sites are Babygear.com, Pampers.com and Ibaby.com. At the
35 to 44 age bracket, women make up relatively large proportions of visitors
to consumer product sites and health sites. Among the 55-and-up set,
genealogy sites are popular.
[SOURCE: Washington Post (A1), AUTHOR: Klein and Johnson]
(http://washingtonpost.com/wp-dyn/articles/A137-2000Aug9.html)

EDTECH

CHOOSING QUICK HITS OVER THE CARD CATALOG
Issue: EdTech/Libraries
Many younger students today prefer to do their research online rather than
at the library. They feel more comfortable sorting through hyperlinks than
card catalogs even though libraries are organized and easily navigated. The
trend troubles educators who fear that point-and-click research can lead to
lazy study habits and ineffective searches. "Students have an idea when they
come into the library that everything they need is on the Internet," said
Mary Arnold, president of the Young Adult Library Services Association and a
librarian at the Cuyahoga County Public Library near Cleveland. "That may be
true, but they often don't know how to find it." The University of
Michigan's School of Education developed Artemis to help students do better
Web searches: it included a spell checker and a thesaurus to help poor
spellers [like me] and students who don't know synonyms for the terms they
are searching for. The URL also includes eight hints for better Web searches.
[SOURCE: New York Times (D1), AUTHOR: Lori Leibovich]
(http://www.nytimes.com/library/tech/00/08/circuits/articles/10thin.html)

NO LECTURES OR TEACHERS, JUST SOFTWARE
Issue: EdTech
Dr Roger Schank, director of the Institute for Learning Sciences at
Northwestern University, wants to use technology to overhaul the entire
education system. "The computer is our Trojan mouse," he said. "It allows us
to get our foot in the door to do something radical and difficult." Through
his company, Cognitive Arts, Dr Schank has developed more than 100
software-bases education programs that programs combine the look of
high-tech video games with a Mission Impossible-style narrative. A course in
biology, for instance, might challenge students to stop a worldwide virus
outbreak. The aim is to get students to delve into a course's volumes of
academic information, including hours of videotape of experts in a field
related to the program. "The value of the computer is that it allows kids to
learn by doing," he said. "People don't learn by being talked at. They learn
when they attempt to do something and fail. Learning happens when they try
to figure out why." The goal-based scenarios, Dr Schank believes, get kids
excited. Read some criticism and support for his approach at the URL below.
[SOURCE: New York Times (D6), AUTHOR: Joshua Green]
(http://www.nytimes.com/library/tech/00/08/circuits/articles/10prof.html)

FOR THE NEW COLLEGE B.M.O.C., 'M' IS FOR 'MACHINE'
Issue: EdTech
A look at what equipment is considered essential as kids go off to college.
At the top of the list is the computer which is used to do research, play
music, communicate, turn in assignments, register for classes [ok,not in
this exact order]...
This trifecta of stories lets you know what technology students are using
and how -- and helps you pick out a computer for your college-bound student.
[SOURCE: New York Times (D7), AUTHOR: Lisa Guernsey]
(http://www.nytimes.com/library/tech/00/08/circuits/articles/10dorm.html)
See Also:
PC 101: PITFALLS TO AVOID ON THE WAY TO COLLEGE
[SOURCE: New York Times (D1), AUTHOR: Peter Lewis]
(http://www.nytimes.com/library/tech/00/08/circuits/articles/10pete.html)
THE MODERN STUDENT: BATTERIES NOT INCLUDED
[SOURCE: New York Times (D1), AUTHOR: Katie Hafner]
(http://www.nytimes.com/library/tech/00/08/circuits/articles/10gadg.html)

INTERNET

JUDGE BLOCKS VA. LAW ON INTERNET PORN
Issue: Legal Issues
U.S. District Judge James Michael Jr. repealed a Virginia law passed in
April 1999 that made it illegal to use the Internet to sell, rent or lend
sexually explicit pictures or written narratives to juveniles, ruling that
it violated the First Amendment rights of online users. "The effort by
Virginia to restrict the Internet--making it so it can have only materials
fit for children--is presumptively illegal," said Elliot Mincberg, legal
director for the nonprofit People for the American Way, which filed the
lawsuit along with 16 Internet businesses and others. "There are many
materials that could fall in this vague zone--sex education materials and
art materials that clearly would be proper for adults and might not be
proper for children." David Botkins, a spokesman for the Virginia attorney
general's office, said, "Although we are disappointed in the decision, it is
just one more step in the evolution of Internet law. Laws that apply to the
bricks-and-mortar world are having to be tailored to cyberspace, and with
that comes various legal challenges."
[SOURCE: Washington Post (A1), AUTHOR: Glod and White]
(http://www.washingtonpost.com/wp-dyn/articles/A358-2000Aug9.html)

THE CAMPAIGN ON THE WEB
Issue: Political Discourse
Shortly after Vice President Gore (D-TN) selected Sen Joseph Lieberman
(D-CT) as his running mate, the Internet campaign team discovered that
practically every conceivable Gore-Lieberman combination had already been
snatched up by cyber-squatters seeking to cash in on their domain name
investment. Ben Green, the Internet campaign director, said he has received
solicitations as high as $200,000/month to lease an address. Meanwhile,
David Jackson, a 20-year-old Orthodox Jew at the University of Maryland, had
registered www.gorelieberman.com. When word spread that Lieberman would join
Gore on the ticket, Jackson offered to give away the address for free. So in
Nashville yesterday, there was much rejoicing. "We were just very, very
lucky that the individual who owned it was not a materialistic person but
just a very nice kid," Green said. Many domain investors are not quite so
nice. One particular squatter, Pete Lucas of Bridgewater (NJ), who held at
least five possible Gore-Lieberman addresses, also owns combinations of
George W. Bush and Richard B. Cheney. Lucas has suggested that he might use
several "R-rated" addresses related to the name "George W. Bush" that he
owns as leverage to get the Bush campaign to pay for a G-rated Bush-Cheney
address.
[SOURCE: Washington Post (A19), AUTHOR: Ben Wjote]
(http://www.washingtonpost.com/wp-dyn/articles/A1201-2000Aug9.html)

AOL IS TAKING DOWN MP3 SEARCH ENGINE
Issue: Intellectual Property
AOL said it would take down a controversial search engine that for the past
month has allowed Internet users to locate music files in the popular MP3
file format including pirated versions of songs. The search engine was
developed by AOL's Winamp site and added to the group's home page at
www.winamp.com about a month ago. AOL's aim was to add a search function to
its Winamp site. AOL doesn't store the MP3 files on its own computers,
instead providing hyperlinks to songs on other Web sites. Although the AOL
search engine is hardly the first of its kind, the company's proposed
acquisition of Time Warner added an interesting twist. People familiar with
the matter said AOL decided to take the search engine down after media
inquiries to AOL and Time Warner about the service. Time Warner's Warner
Music group had questioned how AOL could have put the service up and what
impact it could have on Warner Music's relations with artists. Several
Warner Music labels are among the record companies that earlier this year
filed a copyright-infringement suit in federal court in Manhattan against
MP3Board, a Web site that lets users search for MP3s on other sites.
[SOURCE: Wall Street Journal (B8), AUTHOR: Nick Wingfield And Martin Peers]
(http://interactive.wsj.com/articles/SB965864619718115505.htm)

PRIVACY

FBI REFUSES TO REVEAL DATA ON CARNIVORE, TELLS CONGRESS DOCUMENTS ARE
CLASSIFIED
Issue:Privacy
Answering a member of Congress who has introduced a bill to make it harder
for the FBI to use Carnivore-the Internet surveillance system --, the FBI
said in a letter to the House's oversight committee that it is "not
presently in a position" to provide documents he requested. "There remains
substantial public misunderstanding and misinformation about the system,"
wrote John Collingwood, assistant director for public affairs. The FBI also
said some of the documents requested include classified information and
others are the subject of a pending lawsuit seeking their release. Critics
have complained that Carnivore makes it easy to capture e-mail from innocent
citizens using the same Internet provider as those under surveillance. To
reassure critics, the Justice Department may give Carnivore's blueprints to
an academic institution for private analysis. The FBI continue to defend
Carnivore, saying in the letter that "Carnivore is not the evil echelon that
people think it is. There is so much misinformation out there," he said.
[SOURCE: Wall Street Journal (B8), AUTHOR: Ted Bridis]
(http://interactive.wsj.com/articles/SB965861735609205665.htm)

'SENSITIVE' KAISER E-MAILS GO ASTRAY
Issue: Privacy
Kaiser Permanente, one of the largest health insurers, said yesterday that
it accidentally compromised the confidentiality of members who used its Web
site by sending 858 e-mail messages to the wrong Kaiser members last week.
Some the emails contained health information deemed 'sensitive.' Some of the
mis-sent messages contained the full names, home phone numbers and medical
account numbers of the Kaiser members, Kaiser spokeswoman Beverly Hayon
said. In total, 19 Kaiser customers received emails intended for others.
Kaiser officials cited "human error" and a "technological glitch" that
occurred Aug. 2 during a Web site upgrade. The Kaiser member site allows
members to fill prescriptions, make appointments and seek medical advice by
e-mail. Anna-Lisa Silvestre, director of the Web site, said company
officials have attempted to phone each of the members whose e-mails were
misdirected. Last night, 687 members had been reached, she said. "We
apologized to every single person we called," she said. About 250,000
customers nationwide use the "members only" section of Kaiser's Web site,
which requires a personal identification number and account number to enter.
[SOURCE: Washington Post (E1), AUTHOR: Bill Brubaker]
(http://www.washingtonpost.com/wp-dyn/articles/A64768-2000Aug9.html)

USERS GET PRIVACY ON WEB FROM FREEDOM SOFTWARE
Issue: Privacy
Due to the carelessness with which online merchants and advertisers have
handled the tracking data most users hand over to them, individual privacy
is becoming a pressing matter for many Internet users. Consider the number
of ways Web site owners and advertisers can follow you across the Internet.
Just opening a Web page broadcasts a long number identifying your location
on the Internet. Many sites also immediately assign you one or more
"cookies," small files they write to your hard disk, many containing codes
that identify you in some way. Think about the ways unscrupulous online
merchants and advertisers can put together all that personal data you
provide in Web-based forms, and it becomes clear that the Web knows more
about you than you think. DoubleClick earlier this year ran into a storm of
protest and had to scrap a plan that would have allowed it to sell a record
of the Web pages you have visited to. A variety of companies are now
offering software and related services to plug those privacy gaps, assuming
that users are willing to put up with the additional hassle required to use
them correctly. Companies like Zero-Knowledge Systems lets users establish
alternate identities called "nyms", and then routes all Internet traffic
associated with a given nym through its own "Freedom network," ensuring that
no personally identifying information leaks out to merchants or advertisers.
Using the service isn't cheap: A five-pack of nyms costs $50, and each is
only good for one year.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: David P. Hamilton]
(http://interactive.wsj.com/articles/SB965858793186890806.htm)

ONLINE PRIVACY TECHNOLOGIES WORKSHOP
Issue: Privacy
NTIA will host a public workshop on September 19 to examine technological
tools and developments that can enhance consumer privacy online. NTIA and
the Internet Education Foundation will simultaneously co-host a Technology
Fair to demonstrate the use and capabilities of a broad array of online
privacy technologies. The workshop and technology fair will be held 9:00
a.m. - 4:00 p.m. on September 19, 2000. The workshop and fair are open to
the public and are free-of-charge. No advanced registration is necessary.
The workshop and technology fair will be located at the U.S. Department of
Commerce Main Auditorium and Lobby, 1401 Constitution Avenue, N.W.,
Washington, DC, 20230 (entrance on 14th Street between Constitution and
Pennsylvania Avenues).
FOR FURTHER INFORMATION: For further information about the workshop, contact
either Judy Kilpatrick at NTIA, Department of Commerce, 1401 Constitution
Avenue, NW, Room 4701, Washington, DC 20230, telephone (202) 482-1866,
facsimile (202) 482-0023, or e-mail privtech( at )ntia.doc.gov; or Wendy Lader at
NTIA, Department of Commerce, 1401 Constitution Avenue, NW, Room 4725,
Washington, DC 20230, phone (202) 482-1880, facsimile (202) 482-8058, or
e-mail privtech( at )ntia.doc.gov.
For further information about the technology fair, contact Tim Lordan at
Internet Education Foundation, 1634 I Street, NW, Suite 1107, Washington, DC
20006, phone (202) 638-4370, or e- mail tim( at )neted.org
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/privacy/index.html)

JOBS

EXTENT OF TELEPHONE STRIKE MAY HAVE SURPRISED TARGET
Issue: Jobs
Hopes for a quick resolution to the strike at Verizon are dimming and some
are wondering how the company ever let this happen. It could be management's
focus on the merger with GTE and subsequent campaign to promote the new
company and its name. "I think there probably was a certain amount of
arrogance here on management's part," said Neil Bernstein, a professor of
law at Washington University in St. Louis who also works as a labor
arbitrator. "Telephone companies have generally not been overly concerned
about strikes, mainly because their services are so automated." The company
denies that it underestimated the challenge of reaching a new contract. "No
company ever wants a strike, and we most certainly did everything we could
to prevent one," said Eric Rabe, Verizon's spokesman. "Sometimes it's just
necessary to get eyeball to eyeball on issues." Customers in 12 Eastern
states cannot access directory assistance. And request for repairs have
swelled to 82,000 compared to 36,000 this time last month.
[SOURCE: New York Times (C8), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/081000verizon-strike.html)
See Also:
VERIZON, STRIKING UNIONS CONTINUE TALKS, BUT BOTH SIDES SAY SITUATION IS
TENSE
[SOURCE: Wall Street Journal (B10), AUTHOR: Deborah Solomon]
(http://interactive.wsj.com/articles/SB96585952118455914.htm)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Communications-related Headlines for 8/9/2000

DIGITAL DIVIDE
Teen Girls Help Create Female Majority Online (WP)

DIGITAL TV
Rally in Detroit (PBTV)

JOBS
Phone Talks Said to Stall, With Strike in Third Day (NYT)

INTELLECTUAL PROPERTY
Chasing Hollywood 'Pirates' (WP)

INTERNATIONAL
Iran, Persisting in Drive, Closes Last Reform Paper (NYT)
U.S. Officials Are Scrambling to Resolve Security
Concerns in NTT-Verio Deal (WSJ)
Indonesia Bans Foreign Investment In Internet Firms,
Drawing Criticism (WSJ)

DIGITAL DIVIDE

TEEN GIRLS HELP CREATE FEMALE MAJORITY ONLINE
Issue: Internet/Digital Divide
For the first time since it's inception, the Internet can now claim more
female than male users from the United States, according to a report being
released today by Internet market research firms Media Metrix and Jupiter
Communications. The study found that female users accounted for 50.4 percent
of all U.S. Internet users, while male users made up 49.6 percent. The
largest increase over the past year was for girls aged 12 to 17, whose
online presence went up 126 percent, while the number of boys that age who
went online rose only 45 percent. Women over age 55 have also signed online
in droves, with a 109% increased during the year.
[SOURCE: Washington Post (E3), AUTHOR: Leslie Walker]
(http://washingtonpost.com/wp-dyn/articles/A58646-2000Aug8.html)
See Also:
IN A WEB FIRST, WOMEN ARE IN THE MAJORITY
[SOURCE: USAToday (1A), AUTHOR: Elizabeth Weise]
(http://www.usatoday.com/usatonline/20000809/2533012s.htm)

DIGITAL TV

RALLY IN DETROIT
Issue: Digital TV
Southeast Michigan People for Better TV invites you to join Senator Carl
Levin (D-MI) in a public rally and press conference. In addition to Senator
Levin, national and local PBTV organizers such as Mark Lloyd and Teresa
Tomeo and community, congressional and organizational representatives will
be speaking and answering your questions. The rally will show the FCC and
local broadcasters that many people support having public interest
obligations for digital broadcasters.
Wednesday, August 23, 12 - 2 p.m.at the Southfield Center for the Arts,
Detroit, Michigan (between 9 mile and 10 mile on Southfield Road, on the
east side of the
street).
For more information: Richard Singleton 313-962-0340
[SOURCE: People for Better Television]
(http://www.bettertv.org/20000823dt.htm)

JOBS

PHONE TALKS SAID TO STALL, WITH STRIKE IN THIRD DAY
Issue: Jobs
Talks are not going well between Verizon and members of the Communications
Workers of America and the International Brotherhood of Electrical Workers.
Talks stalled on several issues, including the contract for about 50 union
members at Verizon's wireless division, the people said. And progress slowed
on other issues, including mandatory overtime and the shifting of some work
to other locations in response to the merger that created the company.
Adding to the tension is yesterday's announcement that Verizon will purchase
NorthPoint Communications, a provider of high-speed Internet access lines,
for $800 million. The unions have been trying to get the company to stop
subcontracting the installation of Internet lines to nonunion installers.
NorthPoint is a nonunion installer. "We're pleased to see Verizon's
proactive in moving into broadband Internet access or any other area that
would make the company more competitive," said Larry Cohen, executive vice
president of the Communications Workers of America. "But we want details
about how our members would benefit from this -- something beyond the gloss
of a Powerpoint presentation."
[SOURCE: New York Times (C4), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/080900verizon-strike.html)
See Also:
NEW YORK: PHONE STRIKE EPICENTER
[SOURCE: New York Times (C1), AUTHOR: Thomas Luek]
(http://www.nytimes.com/library/financial/080900verizon-ny.html)
SHARES TUMBLE ON [VERIZON'S] WEAK EARNING FORECAST
[SOURCE: New York Times (c1), AUTHOR: Seth Schiesel]
(http://www.nytimes.com/library/financial/080900verizon-bell.html)
VERIZON AND UNIONS MAKE SLIGHT PROGRESS IN TALKS TO SETTLE EASTERN PHONE
STRIKE
[SOURCE: Wall Street Journal (A3), AUTHOR: Deborah Solomon & Yochi Dreazen]
(http://interactive.wsj.com/articles/SB965778166827342969.htm)
VERIZON GETS STATIC FROM UNIONS, WALL ST.
[SOURCE: Washington Post (E1), AUTHOR: Peter S. Goodman]
(http://www.washingtonpost.com/wp-dyn/articles/A57646-2000Aug8.html)
VERIZON FEELS PAIN OF CHANGE
[SOURCE: USAToday (3B), AUTHOR: Shawn Young]
(http://www.usatoday.com/usatonline/20000809/2533012s.htm)

INTELLECTUAL PROPERTY

Chasing Hollywood 'Pirates' (WP)
CHASING HOLLYWOOD 'PIRATES'
Issue: Intellectual Property
A new law that gives broad privileges to copyright holders, allowing them
not only
to protect their works but also to control the digital technology that would
allow them to be copied, is getting its first tests in the courts. Hollywood
studios and the DVD industry are suing several parties involved in
publicizing a program that reveals how to crack the supposedly impregnable
digital video-disk format. The defendants is the case -- who include a
Norwegian teenager who wrote the original program, the hacker magazine that
posted the code on its Web site, and even a company that started selling
T-shirts with the code as a gesture of support - argue that no evidence has
been presented in any of the cases that proves that the computer program is
being used to pirate movies. Instead, they say, this is a matter of free
speech. "I feel strongly that we all have both the desire and the right to
know how things around us operate," Eric Corley, editor of the hacker
magazine 2600, said in his deposition. "It is a chilling effect if you
start punishing people for showing how something works. It is one step away
from punishing someone [for] talking about it." Robert Sugarman, who filed
the suit on behalf of the DVD Copy Control Association, a group of consumer
electronics, motion picture and computer companies, questions the free speak
claims of the defendants: "There is no First Amendment right to steal a
trade secret."
[SOURCE: Washington Post (A1), AUTHOR: Streitfeld & Eunjung Cha]
(http://washingtonpost.com/wp-dyn/articles/A58594-2000Aug8.html)

INTERNATIONAL

IRAN, PERSISTING IN DRIVE, CLOSES LAST REFORM PAPER
Issue: International/Journalism
Bahar, a popular daily newspaper in Iran, was ordered closed for "disturbing
public opinion." Its publisher, Saeed Pourazizi, a close aide to President
Mohammad Khatami, a reformist, was charged with printing "a fake interview
at a sensitive time." Twenty-three publications have been shut down in Iran
since April. Independent newspapers had helped reformist candidates win
parliamentary elections in February. Those newly elected officials had
promised legislation to give the press more freedom, but Ayatollah Ali
Khamenei, Iran's top religious leader who has final say in state issues,
denounced the proposed revision in the press law as a threat to national
security and religion. Parliament had to drop the bill.
[SOURCE: New York Times (A10)]
(http://www.nytimes.com/library/world/mideast/080900iran-newspaper.html)

U.S. OFFICIALS ARE SCRAMBLING TO RESOLVE SECURITY CONCERNS IN NTT-VERIO DEAL
Issue: International/Security
National-security concerns are holding up a $5.5 billion bid by the Japanese
phone company, NTT, to acquire the U.S. Internet company Verio. The deal
has been caught up in a review process for nearly 75 days and faces a Monday
deadline. While US officials are worried that the deal could give the
Japanese government-controlled company access to U.S. government wiretapping
activity and could present an espionage risk, pro-trade agencies contend the
FBI has overblown the concerns, and are pushing for less-stringent
requirements. The dispute has enormous ramifications, not just for trade
relations between the U.S. and Japan, but also for law enforcement as it
grapples with the complications of foreign investment in the rapidly growing
U.S. Internet sector. This is the first time national-security reviews
similar to those surrounding past aerospace and defense deals have been
applied to an international Internet acquisition.
[SOURCE: Wall Street Journal (A2), AUTHOR: Neil King Jr. And David S. Cloud]
(http://interactive.wsj.com/articles/SB965777453220522437.htm)

INDONESIA BANS FOREIGN INVESTMENT IN INTERNET FIRMS, DRAWING CRITICISM
Issue: International/Ownership
In a presidential decree released last week, Indonesia's President
Abdurrahman Wahid ruled that new foreign money will be banned from
investment in broadcast television and radio, cable television, print and
"multimedia services." The ban is stoking fears among Indonesian multimedia
companies that they will be left behind from the region's technology boom.
Foreign investors are citing the ruling as yet another hurdle for overseas
money coming back into the cash-strapped Indonesian economy. "Jakarta is
shooting itself in the foot, because the Internet is one area where foreign
money is still interested in Indonesia," said Patrick Alexander of Batavia
Investment Management Ltd., part of a U.S. group that owns one of
Indonesia's largest Internet portals. Investment is scarce from Indonesia's
debt-laden financial sector, and many Indonesian start-up companies say they
are turning to foreign sources for funding. Many now question whether their
growth plans are sustainable, and even question whether the ruling is
enforceable. According to Hidayat Jati of Asiagateway.com, an Internet
gateway operator, Mr. Wahid's ruling went against the spirit of Indonesia's
new media law, which is aimed at promoting the free flow of information
after it was stifled during the 32-year rule of former President Suharto.
[SOURCE: Wall Street Journal (A18), AUTHOR: Jay Solomon]
(http://interactive.wsj.com/articles/SB96576142912116243.htm)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

Other projects at Benton include:
Connect for Kids (www.connectforkids.org)
Debate America (www.debateamerica.org)
Oneworld US (www.oneworld.net)
Open Studio: The Arts Online (www.openstudio.org)
Sound Partners for Community Health (www.soundpartners.org)
To subscribe to other free Benton Foundation newsletters, visit:
(http://www.benton.org/Resources/home.html)

Communications-related Headlines for 8/8/2000

JOBS
Fear of Unions Has Companies Keeping Quiet (NYT)

SECURITY
Netscape Web-Browser Software Has Possible Opening for Hackers (WSJ)

ADVERTISING
Advertising: Spending, Led By Internet, Forecast to Reach
$249 Billion in 2004 (NYT)

CULTURE
How Culture Molds Habits Of Thought (NYT)

INTERNATIONAL
Vetoing Press Freedom in Iran (NYT)
A Look Just Over the Horizon (CyberTimes)

JOBS

FEAR OF UNIONS HAS COMPANIES KEEPING QUIET
Issue: Jobs
What do the largest communications companies think about unions? "No
comment," is the reply Schiesel received when he asked AT&T, Sprint, Bell
South and WorldCom about the Verizon strike. The unspoken secret in the
industry is that the carriers that still have union employees basically wish
they did not. And newer companies that don't have unionized employees will
do anything to keep them away. "All else being equal, would it make our life
easier if there were no union? Of course," said an executive at a large
communications carrier, on condition of anonymity. "But we do, so we just
have to deal with it, and it's very delicate." Companies fear the
Communications Workers of America, but Verizon is willing to put up with a
strike to try to keep its wireless and Internet operations union free. On
condition of anonymity, one Wall Street analyst said yesterday that if
Verizon's wireless operation were completely unionized, it could cost the
unit $300 million in additional annual expense. That money probably means a
lot more to Verizon's workers than it does to the company; some analysts are
expecting that same wireless unit to generate $5.5 billion or more of cash
flow this year. So in the overall financial scheme, unionization may not be
that big a deal. But there are other factors that matter. "If you're
unionized," said John M. Bensche, a wireless communications analyst for
Lehman Brothers, "you have less flexibility in terms of hiring and firing
people. And when you're growing this fast and want to shift resources around
in a company, that can matter. For example, you might see a company move an
entire collections department over to customer activation at Christmas time
because it's really busy. And you might have to ask whether they could do
that if they were unionized."
[SOURCE: New York Times (C1), AUTHOR: Seth Schiesel]
(http://www.nytimes.com/library/financial/080800verizon-impact.html)
See Also:
PICKET LINES SWELL AND TELEPHONE DISRUPTIONS SPREAD IN STRIKE
[SOURCE: New York Times (C1), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/080800verizon-strike.html)
TELEPHONE CABLES ARE TARGETS OF VANDALS
[SOURCE: New York Times (C9), AUTHOR: Elissa Gootman]
(http://www.nytimes.com/library/financial/080800verizon-vandals.html)

SECURITY

NETSCAPE WEB-BROWSER SOFTWARE HAS POSSIBLE OPENING FOR HACKERS
Issue: Security
A flaw in Netscape Internet browser software could let hackers view and
retrieve files on a computer or office network after someone merely opens
an e-mail or visits a Web site. A
22-year-old programmer who published details over the weekend on his Web
site discovered the vulnerability. The vulnerability, according to computer
experts, could be quite severe as it affects the millions of consumers using
Netscape's browser. A spokesman for AOL, which owns Netscape, said engineers
were evaluating the perceived problem and will fix it once they can
reproduce it. Customers can protect themselves for now by turning off
Netscape's ability to run Java programs, AOL spokesman Andrew Weinstein said.
[SOURCE: Wall Street Journal (A24), AUTHOR: Ted Bridis]
(http://interactive.wsj.com/articles/SB965685374996521765.htm)

ADVERTISING

ADVERTISING: SPENDING, LED BY INTERNET, FORECAST TO REACH $249 BILLION IN 2004
Issue: Advertising
Veronis Suhler, a investment banking firm, predicts in its annual forecast
that total advertising spending will continue to rise to $249.1 billion in
2004. Ad spending rose 9.1% last year to $165 billion. According to the
report, this growth "will be driven largely by Internet advertising, which
exploded 140.6 percent, to $4.6 billion in 1999 and is forecast to increase
at a 39.5 percent compound annual growth rate, more than quadrupling to
$24.4 billion by 2004." Should Veronis Suhler's predictions pan out, by
2004, Internet advertising will exceed consumer magazine advertising, which
is projected to reach $16.4 billion; network television advertising,
estimated at $19.4 billion; and cable television advertising, a projected
$21 billion. It should then be close to radio advertising, projected to
climb to $26.6 billion. Daily newspapers are still expected to generate the
highest advertising income, an estimated $63.2 billion in 2004.
[SOURCE: New York Times (C8), AUTHOR: Jane Levere]
(http://www.nytimes.com/library/financial/columns/080800internet-adcol.html)

CULTURE

HOW CULTURE MOLDS HABITS OF THOUGHT
Issue: Culture
Scholars who have long studied cultural differences between the East and
West generally accepted that the same basic processes underlie human
thought, even if different cultures tend to think about different things.
Recent research at University of Michigan, however, has cast this view into
doubt. In studies comparing European Americans to East Asians, Dr. Richard
Nisbett and his colleagues have found that people from these different
cultural background may actually process information differently. "We used
to think that everybody uses categories in the same way, that logic plays
the same kind of role for everyone in the understanding of everyday life,
that memory, perception, rule application and so on are the same," Dr.
Nisbett said. "But we're now arguing that cognitive processes themselves are
just far more malleable than mainstream psychology assumed." The researchers
found that Easterners appear to think more "holistically," paying greater
attention to context and relationship, while Westerners are more "analytic"
in their thinking, tending to rely more heavily on formal logic.
[SOURCE: New York Times (D1), AUTHOR: Erica Goode]
(http://www.nytimes.com/library/national/science/health/080800hth-behavior-c
ulture.html)

INTERNATIONAL

VETOING PRESS FREEDOM IN IRAN
Issue: International/Journalism
[Editorial] Hopes for reform of the theocratic controls of the Iranian
government were once again dashed on Sunday when Iran's supreme religious
leader Ayatollah Ali Khamenei forbade Parliament to revise a restrictive
press law. By thwarting the elected parliament on such a fundamental
democratic ideal, the Ayatollah invites more radical challenges to clerical
rule in the future. Riding a high from election victories in February,
Iranian reformers deliberately chose press freedom as an issue to test their
strength within Iran's political system. The reformers wanted to amend a law
to restrict the power of judges to close newspapers while making it easier
for journalists to move from already closed newspapers. Newspapers are more
than a little symbolic in this effort: historically, Iranian newspapers have
exposed official links to violence and corruption and embarrassed prominent
conservatives. One story revealed the role of the intelligence
ministry in a string of murders of dissenting intellectuals two years ago.
The author, Akbar Ganji, and other journalists have been jailed for their
work and the government has closed more than 20 reform newspapers. With the
large majority of Iranians voting for reform, the populace can only be upset
and angry at a government that refuses to respect its will.
[SOURCE: New York Times (A28), AUTHOR: NYT Editorial Staff]
(http://www.nytimes.com/yr/mo/day/editorial/08tue3.html)

A LOOK JUST OVER THE HORIZON
Issue: International
After more than 100 articles, the New York Times on the Web has decided to
discontinue Giussani's EuroBytes column. Writing about technology, Giussani
says, is really writing about people and companies, about their social
roles, the networks they're part of, the culture they inherit and how they
change it, their ideas and experiences, and the difference they try to make.
Giussani reveals a not-very-secret journalistic secret: every reporter or
columnist has, in the back of his mind, a list of companies, people, issues,
in short "subjects" that he (or she) would like to write about. He lists the
ten European Internet companies he'd like to cover if he was still writing
this column.
[SOURCE: CyberTimes, AUTHOR: Bruno Giussani (giussani( at )nytimes.com)]
(http://www.nytimes.com/library/tech/00/08/cyber/eurobytes/08eurobytes.html)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Other projects at Benton include:
Connect for Kids (www.connectforkids.org)
Debate America (www.debateamerica.org)
Oneworld US (www.oneworld.net)
Open Studio: The Arts Online (www.openstudio.org)
Sound Partners for Community Health (www.soundpartners.org)

Communications-related Headlines for 8/7/2000

DIGITAL DIVIDE
It Takes a World Wide Web to Raise a Village (NYT)

ONLINE JOURNALISM & PUBLISHING
Giving Online Audiences News They Want (NYT)
A News Service Caters To Nonprofits (NYT)
Cloak, Dagger and Mouse: A Columnist Defects to the Web (NYT)
A Forum for Media Feedback and Back Talk (NYT)
Banking Big on e-Literacy (WP)
Internet Lets Authors Control Literary Fate (USA)
Author Learns E-Mail Can Sell Or Sink A Book (WSJ)

ADVERTISING
Hidden Political Bias Taints Public Service Ads (USA)
Ad Council Is Not Political (USA)
Media Forecast: Good Times Will Keep Rolling (USA)

JOBS
Verizon Workers Form Picket Lines As Talks Continue (NYT)

DIGITAL TV
Digital TV Era Still Remains Out of Reach (NYT)

OWNERSHIP
Survey of Minority Broadcast Owners (NTIA)

INTERNATIONAL
Iranian Leader Bars Reformers' Press Bill (NYT)

DIGITAL DIVIDE

IT TAKES A WORLD WIDE WEB TO RAISE A VILLAGE
Issue: Digital Divide
Bernard Krisher, a 69-year-old former journalist, is trying to bring the
Internet to one of the poorest regions in Asia. Krisher's nonprofit group,
American Assistance for Cambodia, has been working to create a permanent
Internet connection in the village of Robib. The link is being provided to the
village by Shin Satellite in neighboring Thailand. Mr. Krisher hopes that
the project will support the creation of a woven-silk industry in the
village. If the villagers are successful in selling the scarves and table
runners they manufacture, Krisher estimates it would be possible to generate
as much as $2,000 a month in revenue. "We're trying to show that the
Internet can really help a single village," said Mr. Krisher, whose
nonprofit group is based in Tokyo, where he lives. "If this is copied
elsewhere around the world it might help eliminate the digital divide." The
plan not only brings a boost to the local economy, it also fosters
tradition: a number of the Robib villagers are being trained in the once
traditional, but now atrophied, weaving skills of the region. Other
benefits: a local hotel will process the credit card payments; a group of
doctors at Massachusetts General Hospital in Boston will answer villagers'
health-related questions;
[SOURCE: New York Times (C1), AUTHOR: John Markoff]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/07bern.html)

ONLINE JOURNALISM & PUBLISHING

GIVING ONLINE AUDIENCES NEWS THEY WANT
Issue: Online Journalism
A handful of new Web sites offer users television-style news reports in
digestible bits that can be put together into personalized newscasts.
Viewers will click on video reports they want to see, when they want to see
them. Computerized news services will learn users' viewing habits and offer
them news bits tailored to their tastes. Advertisers will aim at viewers
based on their supposed news preferences. The sites include FeedRoom.com,
Yahoo, Zatso.com and Jagfn.com for financial news. "If you want to watch
good news, you'll watch good news; if you like to watch crime news, you'll
watch crime news," said Jonathan Klein, who was executive vice president of
CBS News from 1995 to 1998 and is now an investor in FeedRoom. "It's putting
the clicker in the viewer's hand and saying, 'You decide.'" It remains to be
seen if this style of newscast can replace the traditional TV newscast
offered by the networks and local TV stations. "The business model might do
a very good job of supporting narrow content for things like sports or
business or health," said John V. Pavlik, executive director of Columbia
University's Center for New Media. "But I'm not so confident that the
business model will support public affairs journalism. Who, exactly, is
going to be the sponsor for that type of news?"
[SOURCE: New York Times (C14), AUTHOR: Jim Rutenberg]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/07tube.html)

A NEWS SERVICE CATERS TO NONPROFITS
Issue: Online Journalism/Nonprofits
AScribe (www.ascribe.org) is an Internet-based distributor of news releases
for universities, nonprofit organizations and foundations that aims to make
"public interest" announcements more accessible and affordable. Some 250
colleges, universities and other organizations have signed up for the
service, paying $10 to $20 a release depending on the subscription plan.
Releases are e-mailed to AScribe where they are copy edited and then sent to
news organizations and Web sites through several means, including The
Associated Press and Dow Jones Interactive. AScribe is currently looking for
venture capital.
[SOURCE: New York Times (C4), AUTHOR: Matt Richtel]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/07spam.html)

CLOAK, DAGGER AND MOUSE: A COLUMNIST DEFECTS TO THE WEB
Issue: Online Journalism
A look at the recent career turns of Hugo Dixon, former columnist at The
Financial Times now running his own Web site -- BreakingViews.com -- and
writing for The Wall Street Journal's European edition. Dow Jones, The
Journal's parent company, took a 7 percent stake in BreakingViews.com, which
offers quick financial commentary online about breaking-news subjects. But
Mr. Dixon is coming under scrutiny because of an accusation being privately
levied by some of his former colleagues: Mr. Dixon may have a conflict of
interest because his company is being partly financed by people and
companies that he and his team of journalists are supposed to be writing
commentary about.
[SOURCE: New York Times (C1), AUTHOR: Andrew Ross Sorkin]
(http://www.nytimes.com/yr/mo/day/news/financial/uk-columnist.html)

A FORUM FOR MEDIA FEEDBACK AND BACK TALK
Issue: Online Journalism
A look at MediaNews.org, a sort of online hangout for journalists run by
reporter Jim Romenesko. The site published an article by Eugene Kennedy
recently, defending Mike Barnicle, the Boston Globe columnist who resigned
under duress after accusations he plagiarized a comedian's jokes and that he
had inadequately verified a story about terminally ill children.
[SOURCE: New York Times (C14), AUTHOR: Felicity Barringer]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/07spat.html)

BANKING BIG ON E-LITERACY
Issue: E-publishing
The world of book publishing continues to change: the publishing houses are
producing more e-books, Stephen King & Scott Turow are self-publishing,
Microsoft this week releases its new Reader software. But where are the
readers? Until now, best-selling e-books have had pitiable sales -- selling
around 1,000 copies apiece. But the publishers believe that it is only a
matter of time before an experiment becomes a trend. "We're convinced that
this business is for real," says Jack Romanos, head of Simon & Schuster.
"We're not sure when. It may be sooner, it may be later." There are still
many items to be sorted out, cost for example. Barnes & Noble's online
bookstore offers some titles for free. Other publishers have alternated
pricing e-books both below and above their hardcopy companions. And then
there remains the unanswered question of how relevant the publishing houses
will be in the future. While the publishing houses count on their
established reputations to convey a level of quality to readers and feel
that their marketing clout is invaluable, Stephen King last week announced
that his $1-per-download novel, "The Plant", had exceeded his payment
expectations and so will continue self-publishing.
[[SOURCE: Washington Post (C01), AUTHOR: Frank Ahrens]
(http://washingtonpost.com/wp-dyn/articles/A46563-2000Aug6.html)

INTERNET LETS AUTHORS CONTROL LITERARY FATE
Issue: E-publishing
[Op-ED] While Stephen King's recent Internet-only novella, "The Plant", may
not be a blockbuster, it still proves an important point: author's are no
long dependant on publishers to sell books. Mark Mathabane, author of Kaffir
Boy and Miriam's Song, discovered that he could reissued his out-of-print
books and now sell them via the Net even if publisher deemed them no longer
profitable. Mathabane also turned to the Internet to publish his first
novel, "Ubuntu", himself. "Writers can no longer afford to be indifferent to
the Net and how it can help them strive for financial and artistic
independence," writes Mathabane.
[SOURCE: USAToday (15A), AUTHOR: Mark Mathabane (Author of Kaffir Boy)]
(http://www.usatoday.com/usatonline/20000807/2525425s.htm)

AUTHOR LEARNS E-MAIL CAN SELL OR SINK A BOOK
Issue: Publishing
Sending spam, or junk e-mail, is, at best, a New Economy blunder. But, as
Jonathan
Tropper found out, it's a mortal sin when it comes to selling a book. When
first-time novelist Tropper appeared at a Manhattan Barnes & Noble
to read from his debut work in March, over 200 people showed up. He had
reached them through personal e-mails. Four months later, instead of
counting sales, Mr. Tropper is counting the things he would have done
differently to avoid an expensive lesson in the pitfalls of Internet
marketing. After the reading, Mr. Trooper hired an online marketing company,
which unleashed a torrent of e-mail promoting his book to influential people
and chat groups in the Web's sprawling book and publishing communities. In
stark contrast to his e-mail campaign, the new one touched off a remarkably
potent backlash. Web purists scrawled angry replies on Amazon's review page
instructing people not to buy the book. "Please do not support an author
that would send unsolicited mail to advertise his book," one e-mail
recipient wrote. It didn't take long for Amazon to remove the offending
messages but the damage was done. Sales collapsed. Simon Lipskar, Mr.
Tropper's literary agent, thinks his client may never be able to sell another
book and his career may have been cut short.
[SOURCE: Wall Street Journal (B1), AUTHOR: Matthew Rose]
(http://interactive.wsj.com/articles/SB965606587560231826.htm)

ADVERTISING

HIDDEN POLITICAL BIAS TAINTS PUBLIC SERVICE ADS
Issue: Advertising
[Editorial] The Advertising Council, which is best known for its public
service ads
advocating recycling and forest-fire prevention, has a goal to advocate
non-controversial, non-partisan good works. However, a recent campaign to
promote workplace-giving programs that fund Earth Share, an environmental
umbrella group, has raised concerns about the Council's adherence to its own
standards. USAToday reports that several of Earth Share's 44 members violate
the council's own political-neutrality standards. One member, the Sierra
Club, run ads in California attacking the Republican presidential candidate,
Gov. George W. Bush. The editorial concludes: "If the Ad Council and its
sponsors want to keep their credibility, they need to keep their distance
from charitable groups with high-minded goals but clear political agendas."
[SOURCE: USAToday (13A), AUTHOR: USAToday Editorial Staff]
(http://www.usatoday.com/usatonline/20000807/2525470s.htm)
See Also:
AD COUNCIL IS NOT POLITICAL
[Op-Ed] In the Ad Council's 58-year history as the nation's leading provider
of PSAs, it "has never conducted itself politically, but entirely in the
spirit of improving American life," writes Ad Council President Peggy
Conlon. She explains that in order for a proposed campaign to be considered,
it must live up to a set of more than 10 criteria, including being
non-commercial, non-denominational, non-partisan politically and not
designed to influence legislation. Conlon claims that Earth Share, the
campaign sponsor mentioned by USA TODAY, meets all of the Council's campaign
criteria. "While issues of environmental policy sometimes come into play in
the political arena," writes Conlon, "the environment itself is a concern
all Americans share, regardless of political affiliation."
[SOURCE: USAToday (13A), AUTHOR: Peggy Conlon (President of the Ad Council)]
(http://www.usatoday.com/usatonline/20000807/2525478s.htm)

MEDIA FORECAST: GOOD TIMES WILL KEEP ROLLING
Issue: Media
In four years, the average person by then will spend more than 10 hours a
day and $792 a year to stay informed and entertained, according to a
recently released report, The 2000 Veronis Suhler Communications Industry
Forecast. "Communications spending, from advertisers and end users, is
growing faster than any other industry in the U.S. economy," says James
Rutherfurd, executive vice president of merchant bank Veronis Suhler. Among
the study's predictions for 2004: the Internet will be in 67 million homes,
a 66 percent increase over 1999; newspaper revenue will see a 33 percent
increase in revenue; and cable will be the No. 1 business in the
communications industry.
[SOURCE: USAToday (2B), AUTHOR: David Lieberman]
(http://www.usatoday.com/usatonline/20000807/2525451s.htm)

JOBS

VERIZON WORKERS FORM PICKET LINES AS TALKS CONTINUE
Issue: Jobs
80,000 workers have struck against Verizon Communications over issues
including outsourcing of work and unionization of employees in the wireless
business. hardly affecting routine services, the labor dispute at Verizon,
the nation's largest local and wireless telephone company, disrupted
operator-assisted services, repairs and installations for 25 million
residential and business customers from Maine to Virginia. At stake is the
role of organized labor in rapidly growing high-technology industries. "This
could open the door for unions to move not only into wireless but into other
high-tech parts of the economy as well," said Paul Osterman, professor of
management at M.I.T. Verizon is a newly-formed company combining Bell
Atlantic, GTE and Vodafone AirTouch.
[SOURCE: New York Times (A1), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/080700verizon-talks.html)
See Also
VERIZON, UNION REPRESENTATIVES CONTINUE TALKS AS STRIKE BEGINS
[SOURCE: Wall Street Journal (A3), AUTHOR: Deborah Solomon & Yochi Dreazen]
(http://interactive.wsj.com/articles/SB96559517850859237.htm)

DIGITAL TV

DIGITAL TV ERA STILL REMAINS OUT OF REACH
Issue: Digital TV
"Everything will be different," Reed E. Hundt said in 1996 when, as chairman
of the Federal Communications Commission, he was about to approve the rules
that set the transition from analog to digital television in motion. "The
change is so extreme that many people have not grasped it." But four years
later -- two years after digital TV sets started being sold -- few Americans
realize the transition is taking place or buying DTVs. How long will the
broadcasters be willing to spend money transmitting digital signals if there
are no viewers? How long will the government allow television stations to
tie up two channels -- one analog, the other digital -- at a cost of many
billions of dollars? The government is eager to auction off the analog
channels, and is already counting the auction proceeds -- billions of
dollars -- in future budget projections. There appears to be a growing
consensus that the present transition plan is not working. Congress appears
uninterested in intervening and the Federal Communications Commission's
processes are to drawn out for quick action. 230,000 DTVs have been sold and
they currently list for $2,500 (compared to $6,000 when introduced). 260
million TV sets will have to be replaces or reconfigured by convertor boxes
to complete the transition.
[SOURCE: New York Times (C1), AUTHOR: Joel Brinkley]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/07dtv.html)

OWNERSHIP

SURVEY OF MINORITY BROADCAST OWNERS
Issue: Ownership
The National Telecommunications and Information Administration is requesting
help in obtaining important information about the experiences of minority
broadcast owners. The purpose of the questionnaire is to gather data and
statistics that the NTIA will use to assess the state of minority broadcast
ownership in the United States, and to analyze the impact of the
Telecommunications Act of 1996 on minority broadcast ownership.
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/minoritymediaroundtable/survey.html)

INTERNATIONAL

IRANIAN LEADER BARS REFORMERS' PRESS BILL
Issue: International/Journalism
A bill aimed at restoring a free press in Iran received a major blow when
the supreme religious leader today sided conclusively with the country's
conservatives and ordered Parliament to scrap it. Reformers had hoped to use
their newly won strength in Parliament to revive the once vigorous liberal
press. The proposed law to deregulate the press was the centerpiece of
President Mohammad Khatami's package for the new Parliament, which opened in
late May. In the last six months, courts closed nearly every reformist
newspaper and jailed editors and intellectuals. In refusing to permit the
bill to be debated or voted on, Ayatollah Khamenei, the supreme religious
leader took the exceptional action of circumventing the normal institutional
checks on legislative power. The Iranian Parliament, while directly elected,
is relatively weak. The Council of Guardians, a conservative clerical body,
must approve any law passed by Parliament. A law rejected by the council can
then be appealed by Parliament to another group, the Expediency Council,
which is also dominated by hard-liners. Only then -- at least until today --
did the supreme leader intervene to make a final decision about the
constitutionality of a measure.
[SOURCE: New York Times (A9), AUTHOR: Nazila Fathi]
(http://www.nytimes.com/library/world/mideast/080700iran-parliament.html)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Other projects at Benton include:
Connect for Kids (www.connectforkids.org)
Debate America (www.debateamerica.org)
Oneworld US (www.oneworldus.org)
Open Studio: The Arts Online (www.openstudio.org)
Sound Partners for Community Health (www.soundpartners.org)

Communications-related Headlines for 8/4/2000

DIGITAL DIVIDE
The Availability of High-Speed and Advanced Telecommunications
Services (FCC)
FCC Cites a Higher-Speed Digital Divide (WP)

WORKFORCE
Verizon Faces East Coast Strike If Contract Negotiations Falter
(USA)

PRIVACY
Privacy Plan Likely to Kick Off Debate (NYT)
Quicker Review Vowed for Net Wiretap System (WP)

WIRELESS
Wireless Innovations in Communications Initiative (NTIA)
The State of the Wireless Industry (FCC)
Sprint PCS Launches Voice-Activated Service

BROADCASTING
For Indians, Talk Radio Renews a Tradition (WP)

INTERNATIONAL
Microsoft Faces European Antitrust Case (USA)
Speech: European American Business Council (NTIA)

SPECTRUM
Consumer Federation Opposes NextWave Bailout (CFA)

NEWSLETTER
Forum Connection (CRF)

DIGITAL DIVIDE

THE AVAILABILITY OF HIGH-SPEED AND ADVANCED
TELECOMMUNICATIONS SERVICES
Issue: Universal Service
The Federal Communications Commission (FCC) released a report concluding
that advanced telecommunications capability is being deployed in a
reasonable and timely fashion overall, although the Commission identified
certain groups of consumers that are particularly vulnerable to not
receiving service in a timely fashion. This is the Commission's second
inquiry, as required by Congress, into whether "advanced telecommunications
capability" is being deployed to all Americans in a reasonable and timely
fashion. Advanced telecommunications capability is the availability of
high-speed, switched, broadband telecommunications that enables users to
originate and receive high-quality voice, data, graphics, and video using
any technology. The Commission identified the following groups as being
particularly vulnerable of not having access to advanced services if
deployment is left to market forces alone: 1) rural Americans, particularly
those outside of population centers; 2) inner city consumers; 3) low-income
consumers; 4) minority consumers; and 5) tribal areas. The data in the
report is based largely on the first systematic, nationwide "Broadband
Survey" of subscription to high-speed and advanced services, begun by the
Commission earlier this year. The Commission's nationwide "Broadband Survey"
required any facilities-based company that provided 250 or more broadband
service lines (or wireless channels) in a given state to report basic
information about their service offerings and customers. Much more at URL
below.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Common_Carrier/News_Releases/2000/nrcc0040.html)

FCC CITES A HIGHER SPEED DIGITAL DIVIDE
Issue: Digital Divide
An FCC report released yesterday contends that rural, inner-city and tribal
areas lag behind in high-speed Internet connections in spite of the fact
that more Americans than ever have access to broadband. Broadband
telecommunications services allow high-speed transmission of voice, data,
graphics and video over the Internet. The report further posits that
availability of broadband is concentrated in affluent urban and suburban
areas, which some experts say underscores a developing "digital divide"
along lines of income and race. The report found that areas where there is
little high-speed access tend to be those with high concentrations of
minorities, low-income residents such as inner cities, and Native American
tribal areas. FCC Chairman, William Kennard and some independent experts say
that the trends are an outgrowth of natural market phenomena, as service
providers first introduce technologies to areas they believe will be most
profitable. However, Kennard said that government policy should encourage
equal access of the sort that exists with telephone service, which is
available in almost all markets, regardless of income or population density.
[SOURCE: Washington Post (E3), AUTHOR: Neil Irwin]
(http://www.washingtonpost.com/wp-dyn/articles/A33100-2000Aug3.html)
See Also
ACCESS TO HIGH-SPEED TELECOM SERVICE IS MIXED IN THE U.S., FCC STUDY SHOWS
[SOURCE: Wall Street Journal (B2), AUTHOR: Jerry Guidera]
(http://interactive.wsj.com/articles/SB96534850176189390.htm)

WORKFORCE

VERIZON FACES EAST COAST STRIKE IF CONTRACT NEGOTIATIONS FALTER
Issue: Employment
Nearly 85,000 workers at Verizon Communications, formerly Bell Atlantic and
GTE, say they will strike Sunday if they do not manage to reach an agreement
in contract negotiations. The local phone giant and the Communications
Workers of America remain at odds on a variety of issues including
subcontracting to non-union firms, forced overtime and working conditions
for customer service workers. One of the most contentious issues is union
access to jobs in the fast-growing and largely non-union wireless division.
There have been few major labor disputes in the telecommunications industry.
Bell Atlantic workers struck for two days in 1998 and for four months in
1989.
[SOURCE: USAToday B9), AUTHOR: Shawn Young]
(http://www.usatoday.com/usatonline/20000804/2521591s.htm)

PRIVACY

PRIVACY PLAN LIKELY TO KICK OFF DEBATE
Issue: Privacy
By announcing a plan to provide cable-borne email and wireless mobile phone
messages the same safeguards against government snooping that now apply to
telephone calls, the Clinton administration has threatened to weaken the
existing privacy protections currently applied to cable. John Podesta,
President Clinton's chief of staff, announced the plan intended to harmonize
the nation's patchwork of privacy rules while extending the protections to
email. But, privacy advocates are concerned about a rollback of cable
protections mentioned in Podesta's speech that will weaken the protections
many believe already apply to Internet communications over cable modems and
networks. The administration has often used telephone wiretaps and the
process needed to obtain and implement wiretaps as the proper model for
Internet and e-mail privacy protection. But, the laws governing the cable
television industry, the Cable Act of 1984 and the related sections of the
Telecommunications Act of 1996 have stronger privacy protections for cable
subscribers than the current telephone wiretap protections. Specifically,
the Cable Act would require "clear and convincing evidence" to secure a
court-ordered wiretap, while the telephone tap requires only "probable
cause." "The question here is whether to harmonize up or down," said Marc
Rotenberg, director of the Electronic Privacy Information Center. "This is
the first time the government is arguing that a privacy law currently in
place is too strong and needs to be lowered." The FCC has not issued a
ruling on whether the Cable Act applies to cable-based Internet activities -
it is scheduled to address the issue in the fall.
http://www.nytimes.com/library/tech/00/08/cyber/cyberlaw/04law.html
(SOURCE: New York Times, AUTHOR: Carl S. Kaplan]

QUICKER REVIEW VOWED FOR NET WIRETAP SYSTEM
Issue: Privacy
Attorney General Janet Reno said yesterday that the Justice Department's
review of Carnivore, the FBI's controversial Internet wiretap system, is
moving too slowly and vowed to take immediate action to speed things up. She
also said that she the FBI alone to oversee the review. Instead, the
attorney general said a panel of outside experts will be chosen jointly by
Justice Department and FBI officials for the review. Reno has asked the
Justice Department to work with the FBI in selecting an "independent entity"
to review Carnivore's source code and then to report back to her. "I don't
know that I can satisfy all the privacy advocates, but I want to try to do
everything I can," Reno said. Reno declined to comment on a federal court
ruling Wednesday directing the Justice Department to quickly review a formal
request from the Electronic Privacy Information Center for data about
Carnivore and its potential uses.
[SOURCE: Washington Post A27, AUTHOR: David A. Vise]
(http://www.washingtonpost.com/wp-dyn/articles/A34253-2000Aug3.html)

WIRELESS

WIRELESS INNOVATIONS IN COMMUNICATIONS INITIATIVE
Issue: Wireless
The Wireless Innovations in Communications Initiative (WICI) Committee will
hold a meeting on Tuesday, Aug. 8, to hear representatives from the Federal
Emergency Management Agency (FEMA) make a presentation on telecommunications
technologies that support FEMA's all-hazards mission. ITS America (in
conjunction with the Department of Transportation) and COMCare Alliance will
make presentations on public safety and the integration of emergency systems
in the transportation arena.
[SOURCE: NTIA]
(http://www.ntia.doc.gov/osmhome/wici/advisory080800.htm)

THE STATE OF THE WIRELESS INDUSTRY
Issue: Wireless
The Federal Communications Commission has adopted its Fifth Annual Report on
the state of competition in the commercial mobile radio services (CMRS)
marketplace. The Fifth Report concludes that during the past year consumers
have continued to benefit from the effects of increased competition in the
wireless industry. Increased competition has resulted in lower prices and a
wider array of wireless service offerings.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Wireless/News_Releases/2000/nrwl0026.html)

SPRINT PCS LAUNCHES VOICE-ACTIVATED SERVICE
Issue:
Sprint PCS has become the first wireless carrier to offer nationwide
voice-activated dialing. According to the company, customers can now say a
number, person or place they would like to reach and be immediately
connected from wireless phones using Sprint's service. Users will be able to
manage their call preferences on a personal Web page hosted by Sprint PCS
that can hold up to 500 entries, with as many as five phone numbers for each
contact in the caller's database instead of typing numbers into their
cell-phone keypad. Once the user saves the database online, he can start the
service simply by pressing the star key and then the "talk" button on a
Sprint PCS keypad. Sprint hopes that voice dialing on the company's unified
network may "stimulate usage" of cell phones because it allows callers to
access several numbers for each contact. "It's a bit of a hassle if you
don't have a number readily available," said John Garcia, Sprint PCS's
senior vice president of sales and distribution. "People just don't make the
call." Sprint says that the capabilities of speech-recognition with the
Internet are inevitable, setting a tone of further improvement in this
field.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Sharon Cleary]
(http://interactive.wsj.com/articles/SB965338228477594473.htm)

BROADCASTING

FOR INDIANS, TALK RADIO RENEWS A TRADITION
Issue: Broadcasting
A radio show called "Native America Calling" is an effort to expand the
ancient Indian tradition of the talking circle, in which people communicate
as equals. After five years on the air, "Native America Calling" is the
Nation's longest-running talk show that focuses on American Indian issues.
Simulated on 36 radio stations and the Web, the show attracts about 125,000
listeners each week according to the show's distributor, American Indian
Radio on Satellite. "We come from a very strong oral tradition. We need to
keep with that strength," said Bernadette Chato, who produces a weekly
health show for "Native America Calling" from Anchorage. "So many Indian
traditions have been pushed aside with the tribal governments." Chato says
that the talk show has created a forum for Indians to speak out on issues
that are not addressed on or off the reservations.
[SOURCE: Washington Post (A4), AUTHOR Andres YBarra (Associated Press)]
(http://www.washingtonpost.com/wp-dyn/articles/A32974-2000Aug3.html)

INTERNATIONAL

MICROSOFT FACES EUROPEAN ANTITRUST CASE GIANT CHARGED WITH USING WINDOWS'
DOMINANCE TO MUSCLE IN ON SERVERS
Issue: Antitrust
On the heels of a U.S. judge's order in June that would break Microsoft into
smaller companies and impose temporary curbs on its conduct, the European
Commission has charged the software giant with using its clout in personal
computer software to help it expand into the exploding server software
market. "If the U.S. case stumbles, the European case becomes a vital
fallback," says William Kovacic of George Washington University Law School.
The EC case is based on a 1998 complaint by Sun Microsystems, which alleged
that Microsoft refused to share technical information that would enable
Sun's servers to work with Microsoft's Windows operating systems. While
according Kovacic, European courts "tend to be more suspicious of dominant
firms, and the rules they apply are tougher," the EC virtually never splits
up companies as has been ordered the U.S. court. The case is likely to drag
on for two to three years.
[SOURCE: USAToday (9B), AUTHOR: Paul Davidson]
(http://www.usatoday.com/usatonline/20000804/2521590s.htm)
See Also
EU OPENS ANTITRUST INVESTIGATION OVER MICROSOFT'S SERVER SOFTWARE
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Dow Jones Newswires]
(http://interactive.wsj.com/articles/SB965300938452163340.htm)

SPEECH: EUROPEAN AMERICAN BUSINESS COUNCIL
Issue: Digital Divide
Yesterday, in a speech to the European American Business Council, NTIA
director Gregory L. Rhode outlined America's digital divide problem,
addressed its solutions and reiterated the fact that digital divide is much
more than a domestic problem. Rhode stated, "Statistics show that Internet
penetration is happening unevenly around the world, unevenly even throughout
Europe. According to statistics from May, there are about 108 million
Internet users in Europe, for a penetration rate of 34%. That figure varies
from 65.2% in Sweden to 45.6% in the U.K., 31.6% in France and 11.4% in
Portugal. Worldwide, we see even greater disparities. According to the
Computer Industry Almanac report from last November, there were 57.5
Internet users per 1,000 people on a worldwide average. That ranged from a
high of 492 Internet users per 1,000 people in North America, to 7.88 users
per 1,000 people in the Middle East and Africa. This is the global Digital
Divide. President Clinton and the other leaders dedicated themselves to help
remedy the situation. There will be a Digital Opportunity Task Force to help
coordinate government efforts. The Overseas Private Investment Corporation
will have a new $200 million line of credit for e-commerce and Digital
Divide projects. The private sector, including America Online and Cisco,
will contribute as well through new projects. As we saw in Okinawa, the U.S.
Administration is dedicated to closing the digital divide worldwide. With
the same dedication of effort that we in the U.S. are applying to move from
Digital Divide to Digital Inclusion, we expect that other countries will do
the same. The result will be a better system for all of us." [SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/speeches/2000/eabc80300.htm)

SPECTRUM

CONSUMER FEDERATION OPPOSES NEXTWAVE BAILOUT
Issue: Spectrum
From Press Release: The Consumer Federation of America (CFA) today urged
Congress to reject efforts by a bankrupt cellular telephone company to keep
spectrum licenses for which it could not pay. NextWave Personal
Communications has launched a high-profile campaign to persuade Congress to
overturn a court decision allowing the Federal Communications Commission
(FCC) to reauction licenses originally granted to the bankrupt company for
$4.7 billion. Those licenses are now estimated to be worth between $8 and
$12 billion. "The airwaves are controlled by the public, not by companies
like NextWave that are temporarily allowed to use this spectrum," said
Travis Plunkett, CFA's legislative director. "A spectrum license isn't a
piece of property that NextWave owns and the FCC isn't a mere creditor. In
attempting to quickly
redistribute licenses that NextWave couldn't pay for, the FCC is fostering
telecommunications access, competition and diversity, while ensuring that
taxpayers are compensated for a limited public resource."
[SOURCE: Consumer Federation of America]
(http://www.consumerfed.org/airwave.pdf)

NEWSLETTER

FORUM CONNECTION
CRF's monthly newsletter covers these issues in August: TV Content and the
Law; Media Content: It's Impact on Youth; Minority Media Ownership: The
Struggle Continues; Communications Access for the Disabled; Supreme Court
Declines to Hear Phone Privacy Case; George W. Bush's Record on Issues of
Importance to the Civil Rights Forum; Senate Explores Using Low Power
Television to Deliver High Speed Internet Access to Rural Areas.
[SOURCE: Civil Rights Forum on Communications Policy]
(http://www.civilrightsforum.org/connectionaugust2000.html)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline Service is
posted Monday through Friday. The Headlines are highlights of news articles
summarized by staff at the Benton Foundation. They describe articles of
interest to the work of the Foundation -- primarily those covering long term
trends and developments in communications, technology, journalism, public
service media, regulation and philanthropy. While the summaries are
factually accurate, their often informal tone does not represent the tone of
the original articles. Headlines are compiled by Kevin Taglang
(kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) -- we welcome
your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.

Communications-related Headlines for 8/3/2000

POLITICAL DISCOURSE
Plunging Ratings Touch Off Debate on Why Public Is
Losing Interest (NYT)
Going Online is Fine, but GOP Sees E-mail as the Key (USA)

INTERNET
Web Site to Create Program for TV (USA)
American's are No. 1 in Online Time (WP)

INTELLECTUAL PROPERTY
Online Agreement Near for Writers' Group (NYT)

PRIVACY
Justice Told To Expedite Reply on Net Wiretap (WP)
Toys 'R' Us Faces Lawsuit for Allegedly Giving Out
Online Customers' (WSJ)

DIVERSITY
The Blond, Blue-Eyed Face of Spanish TV (WP)

POLITICAL DISCOURSE

PLUNGING RATINGS TOUCH OFF DEBATE ON WHY PUBLIC IS LOSING INTEREST
Issue: Political Discourse
Are convention ratings dropping because people are less interested? Or are
people less interested because broadcast coverage of the conventions has
been scaled back so much? The chairmen of both parties confronted network
executives at a panel discussion in Philadelphia on Sunday accusing them of
shirking their civic duty by drastically curtailing the number of hours of
live coverage and argued that by de-emphasing coverage, they were sending
the message that the conventions were not newsworthy. Network executives and
journalists blame the parties for scripting the conventions and eliminating
any semblance of suspense or debate. NBC's Tom Brokaw says, "there's no
there there." CBS News President Andrew Heyward predicts that candidates'
acceptance speeches may be the only events covered by broadcast networks in
2004.
[SOURCE: New York Times (A23), AUTHOR: Bill Carter]
(http://www.nytimes.com/library/politics/camp/080300gop-ratings.html)
See Also:
JOURNALISTS ARE MAKING VERY MUCH OF A LITTLE
[SOURCE: New York Times (A21), AUTHOR: Rick Lyman]
(http://www.nytimes.com/library/politics/camp/080300gop-media.html)

GOING ONLINE IS FINE, BUT GOP SEES E-MAIL AS THE KEY
Issue: Political Discourse
Despite all of the convention hype about steaming media and live chats, the
real political potential of the Internet may lie in a less glitzy
application: e-mail. Both Democrats and Republicans are building databases
of names they can contact again and again for money, labor -- and votes.
"The single most important thing that can be achieved in online politics is
an e-mail relationship," says Michael Cornfield, research director for the
Democracy Online Project at George Washington University. "They can go back
to you time and time again." The GOP, which has budgeted nearly $5 million
this year for online campaigning, has already compiled a database of 250,000
email addresses. While also following Internet opportunities, the Democrats
have been a little slower to invest online. This may be because Internet
analysts say more Republicans have access to the Web at home or work than do
Democrats. A GOP survey this year showed that 62% of Republicans were
online, compared with 48% of Democrats.
[SOURCE: USAToday (7A), AUTHOR: Richard Wolf]
(http://www.usatoday.com/usatonline/20000803/2516147s.htm)
See Also:
ONLINE COMPANIES PROWL FOR BUSINESS AT THE GOP CONVENTION IN PHILADELPHIA
Issue: Ecommerce
There's not much talk about technology from the podium at the Republican
convention, but there's plenty of information for Philadelphia visitors at
the PoliticalFest exhibit a few miles from the convention site. Exhibitors
include Voter.com, a site that carries election news and does online
public-relations work for hundreds of political campaigns including both
Vice President Al Gore and Gov. George W. Bush. Election.com
(www.election.com) is promoting technology that allows voters to cast
ballots online. The New York-based company's first client was Arizona, which
in March became the first state to hold a primary online. RightCountry.com
funnels a portion of purchases made over the Internet to conservative causes.
[SOURCE: Wall Street Journal, AUTHOR: Jason Anders (jason.anders( at )wsj.com)]
(http://interactive.wsj.com/articles/SB965264005349983325.htm)

INTERNET

WEB SITE TO CREATE PROGRAM FOR TV
Issue: Internet/ Cable
Icebox.com this week became the first entertainment Web start-up to sign a
deal to supply online content to an on-air network. Beginning next week,
Showtime will present the first of 13 episodes of the Web-based animated
comedy series Starship Regulars. Icebox's deal is a sign that so-called
streaming entertainment on the Internet is beginning to challenge big media
by bypassing traditional distribution networks. "The message is that you
don't have to spend an insane amount of money anymore to develop shows that
appear on television," says Icebox.com CEO Steve Stanford. "We can do it for
a tenth of the cost, and we can take a lot of the risk out of the equation.
. . by testing our product's popularity online."
[SOURCE: USAToday (1B), AUTHOR: Thor Valdmanis]
(http://www.usatoday.com/usatonline/20000803/2516251s.htm)

AMERICAN'S ARE NO. 1 IN ONLINE TIME
Issue: Internet
Americans spent more time online than Internet users in Australia, Canada,
France, Germany, Japan and Britain, according to recent figures based on the
May measurement results of Media Metrix, which tracks about 100,000 Internet
and digital media users in these seven countries. American home users, who
spend an average of more than 13 hours per month online, were followed by
the Japanese, who averaged nearly nine hours. The French spent the least
time online, averaging about four hours a month.
[SOURCE: Washington Post (E4), AUTHOR: Terence Chea]
(http://washingtonpost.com/wp-dyn/articles/A27592-2000Aug3.html)
See Also:
LONG LOVE AFFAIR WITH THE PC MAY BE HOLDING BACK THE U.S.
Issue: InfoTech
Ever since the personal computer came on the scene in the 1970s, the U.S.
has dominated the digital world. But the tectonic plates are shifting under
the digital world. The PC, the linchpin of America's digital dominance, is
slowly giving way to a host of other digital devices able to do digital
tasks, giving foreign companies a real opening that could threaten American
leadership in the field. Most of the new technologies and applications
flowing from the PC are American inventions, and if invented by foreigners,
America has adopted the technology better. For example, a British scientist
invented the World Wide Web in Switzerland, yet it has been developed and
expanded mainly by Americans, and its inventor now works at MIT. But today,
Europe and Asia lead the U.S in non-PC-based digital gadgets that Americans
can't buy at home. They include wireless devices, including mobile phones
that can tap the Internet for communications, information and commerce
consumer electronics-type boxes that access the Internet, and can do some of
the things a PC does without all of a PC's hassles. Although some of this
advantage is culturally-historically based, much of it is due to a
tremendous blunder made by the U.S. government and phone industry, who
failed to adopt a single national standard for wireless phones, while Europe
and many other parts of the world settled on a standard called GSM.
[SOURCE: Wall Street Journal (B1), AUTHOR: Walter S. Mossberg]
(http://interactive.wsj.com/articles/SB965264295574893245.htm)

INTELLECTUAL PROPERTY

ONLINE AGREEMENT NEAR FOR WRITERS' GROUP
Issue: Intellectual Property
The National Writers' Union, representing freelance writers, and Steven
Brill's Contentville apparently have reached an agreement that will pay
writers for the resale of old articles. If a writer find that an article is
for sale on the Contentville.com site, could assert ownership of the
copyright and will receive payment through the Publication Rights
Clearinghouse, run by the writers' union. A federal appellate court decision
last September in a case brought by Mr. Tasini and the National Writers'
Union struck down the contention by several publishers -- including The New
York Times Company, Newsday and Time Inc. -- that electronic databases and
archives were analogous to "collected works." Had this view prevailed,
freelance writers -- of whom there are tens of thousands -- would have been
severely limited in claiming copyright infringement when their works were
included in electronic databases like Lexis-Nexis. That case will probably
be decided by the Supreme Court. Robin Bierstedt, the deputy general counsel
of Time, said that, as described, the Publication Rights Clearinghouse was
an untenable answer to future copyright claims. Under current law, she said:
"You need permission in advance before using material. A scheme by which
payment comes after a claim is made doesn't work, unless you've gotten
permission up front."
[SOURCE: New York Times (C6), AUTHOR: Felicity Barringer]
(http://www.nytimes.com/library/financial/080300online-freelance.html)

PRIVACY

JUSTICE TOLD TO EXPEDITE REPLY ON NET WIRETAP
Issue: Privacy
U.S. District Judge James Robertson has ordered the Justice Department to
promptly review a request from the Electronic Privacy Information Center
(EPIC) for information on the technologies and capabilities of the FBI's
Carnivore system. Carnivore is the FBI's controversial Internet wiretapping
system that has raised objections from members of Congress and privacy
advocates alike. Judge Robertson ordered Justice to provide him a formal
response by August 16. The FBI has touted Carnivore as an important new tool
to track suspected criminals and terrorists via the Internet. The system
sifts through email flowing over an ISP to find the senders and recipients
of suspect email. The technology is not as discerning as a traditional
wiretap which targets one particular line or suspect, Carnivore reads all
mail on an ISP - both the mail of the suspects and the e-mail of innocent
people using the ISP. Concerns about the system have arisen from privacy
groups and some members of Congress on two fronts: 1) the system's potential
for abuse and 2) the lack of precision in the Carnivore process. Last month,
EPIC and the ACLU filed requests for information on Carnivore. "The fact
that the court is going to supervise the processing of the material is very
good news," said David L. Sobel, an attorney for the nonprofit group. "If
left to their own devices, it's likely the FBI would tend to drag its feet
on this, and now I think that's less likely. . . . It's going to be very
difficult to have a meaningful debate about the legal issues Carnivore
raises if we don't really know what Carnivore is."
[SOURCE: Washington Post (E1), AUTHOR: Bill Miller]
(http://washingtonpost.com/wp-dyn/articles/A25897-2000Aug2.html)
See Also:
JUDGE GIVES THE FBI UNTIL AUG. 16 TO DECIDE ON CARNIVORE DISCLOSURE
[SOURCE: Wall Street Journal, AUTHOR: Ted Bridis (ted.bridis( at )wsj.com)]
(http://interactive.wsj.com/articles/SB965261560756447378.htm)
EPIC FILES SUIT FOR CARNIVORE INFORMATION
On August 2, EPIC asked a federal judge to order the immediate public
disclosure of information concerning the Federal Bureau of Investigation's
controversial "Carnivore" surveillance system. In an application (PDF) filed
in U.S. District Court in Washington, EPIC charges that the Department of
Justice and the FBI have violated the law by failing to act on a request to
expedite the processing of a Freedom of Information Act request EPIC
submitted to the FBI on July 12.
[SOURCE: Electronic Privacy Information Center]
(http://www.epic.org/privacy/litigation/carnivore_release.html)

TOYS 'R' US FACES LAWSUIT FOR ALLEGEDLY GIVING OUT ONLINE CUSTOMERS' DATA
Issue: Privacy
Confidential information of consumers who made online purchases from Toys
'R' Us between the summer of 1998 and the present may have been disclosed
illegally, according to a lawsuit filed in federal court in Camden (NJ). The
lawsuit alleges that Toys "R" Us divulged the name, address and other
personally identifiable information about consumers without their consent to
a third party, thus violating electronic transmission laws. Last month, the
Federal Trade Commission filed suit against Toysmart, an online toy retailer
from selling its customer list, as part of a bankruptcy sale. The FTC is
advocating legislation that would require Internet companies to notify
online visitors how they plan to use the personal information provided to
the firms.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Staff Reporter]
(http://interactive.wsj.com/articles/SB965268390558774558.htm)

DIVERSITY

THE BLOND, BLUE EYED FACE OF SPANISH TV
Issue: Diversity/ Television
After taking on the four major U.S. networks last year to protest a lack of
Latino characters on their shows, Latino activists and actors have become
increasingly critical of what they call a kind of racial caste system that
gives Spanish-language television an almost exclusively Caucasian face. They
say that there are too few Afro-Latinos or indigenous people cast in
Spanish-language television shows, and that when they are cast they often
play demeaning roles."These shows stereotype the hell out of people," said
Juan A. Figueroa, president and general counsel of the Puerto Rican Legal
Defense and Education Fund. "If you looked at the soap operas without
knowing better, you would think they came from Scandinavia or somewhere like
that with all the blond, blue-eyed people you see. Meanwhile, the few people
of color are relegated to the subclasses." A recent survey of 4,000 Latino
members of the Screen Actors Guild by the Tomas Rivera Policy Institute
found that Latino actors preferred the opportunities offered by
English-language productions to those offered in Spanish television, because
a majority of respondents felt that Spanish-language productions provided
greater opportunities for fair-skinned Latino actors than for darker-skinned
Latinos.
[SOURCE: Washington Post (E1), AUTHOR: Michael Fletcher]
(http://www.washingtonpost.com/wp-dyn/articles/A19009-2000Aug1.html)

--------------------------------------------------------------

(c)Benton Foundation 2000. Redistribution of this email publication -- both
internally and externally -- is encouraged if it includes this message.

--------------------------------------------------------------

The Benton Foundation's Communications Policy Program (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
those covering long term trends and developments in communications,
technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org) and Rachel Anderson (rachel( at )benton.org) --
we welcome your comments.

The Benton Foundation works to realize the social benefits made possible by
the public interest use of communications. Bridging the worlds of
philanthropy, public policy, and community action, Benton seeks to shape the
emerging communications environment and to demonstrate the value of
communications for solving social problems.