June 2010

Showing TV, and Commercials, on the Shelves and in the Aisles

Advertising in stores is an increasingly important way to influence shoppers at the so-called moment of truth, as they finally make up their minds about which brands of soup, soap or cereal to buy -- or not buy. Now, a company is hoping to bring commercials to the retail point of purchase on screens that will be attached to shelves and above aisles.

The company, Automated Media Services, has been working for years on a system that would deliver television in retail environments in a way that would allow media agencies to plan and buy commercial time in stores just as they do on the networks, channels and stations watched at home. The system, which the company calls 3GTV, also includes provisions to verify that commercials have actually run. The initial test of 3GTV is scheduled during the summer in Maryland and Virginia, at nine stores that belong to the Bloom supermarket chain, part of the Food Lion unit of the Delhaize Group. The executives at Automated Media Services, who have backgrounds in television, advertising and marketing, have raised an estimated $10 million to develop 3GTV. Investors and advisers include some names well known on Madison Avenue, among them Burt Manning, former chairman and chief executive at the JWT division of WPP, and Stephen Grubbs, who held senior posts at media agencies owned by the Omnicom Group like OMD and PHD.

At Facebook it's privacy vs. profit

As Facebook quickly closes in on 500 million members, it has become the Internet's water cooler. The social-networking giant's vast customer base — the equivalent of the world's third-biggest country, by population — freely shares personal information, which has reset the way many communicate and how advertisers reach them.

Facebook CEO Mark Zuckerberg is betting that there's almost no limit to what people will share and to how his company can benefit from it. "Our incentive is to give people the exact controls they want, so they can share the most information," he says. "More and more people want to share information. That is where the world is going." But can too much information be too much of a good thing? Social-networking sites — Facebook, in particular — face heightened scrutiny over their privacy policies from consumers, privacy advocates and legislators. Some lawmakers are readying legislation to regulate websites' tactics for collecting information about consumers, and the way that information is used to target ads.

US raises objections over ICQ sale plans

Senior US law enforcement officials have objected to AOL's pending sale of one of the largest instant-messaging services to a Russian investment firm, fearing it will put some of the world's top criminals further from their reach.

Investigators at federal agencies charged with scrutinizing cyber crime are concerned about the $187.5m acquisition of ICQ by Moscow-based Digital Sky Technologies, which has been rapidly expanding its holding of Internet companies. Digital Sky, led by physicist-turned-banker Yuri Milner, the 47-year-old chief executive, already owns Russia's largest e-mail provider and three of the country's leading social networking sites. In 2009, it bought stakes in Facebook, the world's largest social network, and Zynga, the online games developer. ICQ is the leading instant messaging service in Russia, Germany and the Czech Republic and, according to law enforcement investigators, is one of the main avenues of communication for criminal groups in eastern Europe, some of whom never meet in person.

Google Wi-Fi Data Collection Discussed by 30 States

Google's collection of data via Wi-Fi networks was the subject of a conference call among law enforcement officials from 30 U.S. states, according to Connecticut Attorney General Richard Blumenthal.

"We're looking to establish where, when, why, for how long and for what purpose there was this collection of information on wireless networks," Blumenthal said. The call included representatives of the states' attorneys general. The discussion reflects widening concern among law enforcement over the way Google handles user information. The company said last month it mistakenly gathered data from open wireless networks while it was capturing images of streets and houses for its Street View service, a product that lets users view photographs of an area online.

Joint Board Seeks Comment on Lifeline/Link-Up

On May 4, 2010, the Federal Communications Commission released an order referring to the Federal-State Joint Board on Universal Service questions regarding eligibility, verification, and outreach rules for the universal service low-income programs. The Joint Board seeks public comment on the questions presented in the Referral Order. Interested parties may file comments on or before July 15, 2010, and reply comments on or before July 30, 2010. All pleadings are to reference WC Docket No. 03-109 only.

Maintaining a Spotlight on TV White Spaces Progress

Speaking at the TV White Spaces Summit on June 15, Federal Communications Commission member Meredith Attwell Baker focused on innovative wireless technologies that enable new approaches to spectrum.

She noted a number of reasons to move forward quickly on the FCC's proceeding on white spaces: 1) work on this predates our 2004 proceeding, 2) inaction has left innovators and manufacturers without sufficient, reliable guidance, and 3) although the US once took a lead in this area, other countries are now poised to move first.

She highlighted three areas for action: First, to finalize the plans for the TV bands and provide the direction that industry needs to plan for the future. Second, encourage the further development of spectrum sensing technology and establish the testing procedures for the "proof of performance" standard for such devices. Third, start with a spectrum inventory that produces an innovative, interactive and user-friendly data base that will not only serve the TV white spaces but also other spectrum bands, including government spectrum.

San Francisco Passes Cellphone Radiation Law

Imposing roughly the same cautionary standards for cellphones as for fatty food or sugary soda, this city voted on Tuesday to require all retailers to display the amount of radiation each phone emits. The law — believed to be the first of its kind in the nation — came despite a lack of conclusive scientific evidence showing that the devices are dangerous, and amid opposition from the wireless telephone industry, which views the labeling ordinance as a potential business-killing precedent. But the administration of Mayor Gavin Newsom called the vote a major victory for cell phone shoppers' right to know.

Apple uncensors images for Joyce, Wilde iPad apps

Apple said Tuesday that it was mistaken in restricting images for apps for Robert Berry's comic book edition of Joyce's "Ulysses," which contains nudity, and for panels showing two naked man kissing in Tom Bouden's graphic novel of Wilde's "The Importance of Being Earnest." Spokeswoman Trudy Miller said developers had been allowed "to resubmit their original drawings" and use the original artwork.

Al Gore slams BP for lack of media access

Former Vice President Al Gore, whom some have chided for his relative silence on the Gulf oil spill, entered the ring on Monday, calling frequent refusals by oil-spill command to allow reporters access "completely unacceptable" and adding, "This de facto form of censorship needs to stop."

Gore is one of the highest-profile Americans yet to criticize the on-the-ground transparency about the ecological disaster in the Gulf region. The transparency problems may point less to deliberate obfuscation and more to the paradox created when a company whose reputation and financial well-being are at stake is put at the forefront of a disaster response.

Senate Democrats lobby against maneuver blocking FCC ambitions

In a letter to Senate Appropriations Committee leaders, Sens John Kerry (D-MA), Maria Cantwell (D-WA), Ron Wyden (D-OR) and Tom Udall (D-NM) oppose a maneuver that would block the Federal Communications Commission from ensuring the agency has legal authority to act on broadband, including network neutrality rules and the expansion of Internet access.

The senators expressed support for those agenda points, writing that they "oppose any effort to use the appropriations process to block the FCC from using its existing legal authority to preserve an open Internet, protect consumers, and provide rural residents and Americans with disabilities with access to today's broadband Internet services."