August 2011

FCC Adopts Wireless Backhaul Reform

The Federal Communications Commission made available new spectrum, covering almost two-thirds of the U.S. landmass, for wireless backhaul.

Building on recommendations in the FCC’s National Broadband Plan, these actions will speed the rollout of fourth-generation (4G) broadband networks, accelerate the role of expanded wireless broadband communications in national economic revitalization and job creation, and bring new broadband services to rural areas where microwave is often the only feasible backhaul option. By removing outdated regulatory restrictions, the FCC is also continuing its regulatory reform agenda, which has resulted in the elimination of more than 50 unneeded regulations and efforts to eliminate dozens of unnecessary data collections.

Microwave, or wireless backhaul, facilities are an essential component of many broadband networks, particularly mobile wireless networks, and are often used for the transmission of data between cell sites, or between cell sites and network backbones. Service providers’ use of microwave links as a cost-effective alternative to traditional copper circuits and fiber optic links has increased by approximately 50 percent in recent years.

As the National Broadband Plan had highlighted, removing regulatory barriers to effective spectrum use can result in the unleashing of additional spectrum and drive the national economy. Since wireless backhaul is a critical part of addressing skyrocketing demands for spectrum, making this new spectrum available today is critical to innovation, our economic future, and job creation.

The Report and Order permits fixed microwave operation in several spectrum bands previously reserved for specialized microwave services. The Commission also updates its rules to permit microwave licensees to use adaptive modulation, which will allow them to take advantage of the latest technology to maintain the reliability of critical links. In addition, the Commission provides broadcasters with increased flexibility to use fixed microwave links more freely, by eliminating the outdated “final link” rule.

The Further Notice of Proposed Rulemaking seeks comment on additional proposals for making microwave communications more flexible and cost-effective.

T-Mobile’s New Pitch: Renting Android Tablets at Baseball Games

Since July, wireless carrier T-Mobile has been offering $10 rentals of the G-Slate and Galaxy Tab at Los Angeles Angels home games, complete with a tablet-optimized version of the game program. In addition to the program, tablet renters can get free magazine content from Zinio and, in the case of the G-Slate, free access to T-Mobile TV. It’s clear that visitors are already using their smartphones and tablets at ball games. Indeed, some companies are starting to target apps specifically at those attending games. The Portland Timbers soccer team, for example, has partnered with app developer Meridian on an in-stadium Android and iPhone guide that offers details on everything from finding seats to looking up the lyrics to team chants. Meridian plans to announce a deal to create apps for the Jacksonville Jaguars’s EverBank Field.

Several other stadiums have partnerships allowing patrons to order food or get other information from their smartphones. Meanwhile, Safeco Field in Seattle has offered Nintendo DS system rentals, ideally to try out the Nintendo Fan Network, but also perhaps giving fans an alternative to watching the Mariners lose.

FCC: No timetable for LightSquared review

Federal Communications Commission officials said at a briefing for reporters that they cannot guarantee a review of wireless venture LightSquared will be completed by September.

LightSquared has previously said they expect to receive FCC approval by mid-September to launch their mobile broadband network. But FCC officials said they are not using any timetable for completing their analysis, and insist they never told LightSquared the review would be completed by then. FCC officials said that while the upper portion of LightSquared's spectrum clearly causes problems for GPS devices, more analysis is needed on the lower portion of LightSquared's spectrum.

Apple Complaint Against HTC Over Flyer Tablet PC to Get U.S. Trade Review

Apple’s patent-infringement complaint against HTC Corp. will be reviewed by a U.S. trade agency that has the power to block imports of the Taiwanese company’s phones and new Flyer tablet computers. The International Trade Commission said it will investigate Apple’s accusations that HTC infringed five patents related to software architecture and user interfaces in portable electronic devices, hardware for touch screens and movement sensors.

FCC Proposes Streamlining Review Process for Foreign Ownership in U.S. Companies Holding Wireless Licenses

As part of its ongoing regulatory reform efforts, the Federal Communications Commission adopted a Notice of Proposed Rulemaking (NPRM) to reduce regulatory burdens and streamline the foreign ownership review process for U.S. companies with common carrier radio licenses (e.g., wireless phone companies) and certain aeronautical radio licenses. The proposals would ensure that the FCC continues to receive the information it needs to serve the public interest while reducing the number of required filings by more than 70%.

Section 310(b)(4) of the Communications Act establishes a 25 percent benchmark for foreign investment in U.S. companies that directly or indirectly control a U.S. broadcast, common carrier, or aeronautical radio station licensee. It also grants the FCC discretion to allow higher levels of foreign ownership unless such ownership is inconsistent with the public interest.

Based on the FCC’s extensive experience with foreign ownership reviews over the past several years, the NPRM seeks comment on proposed measures to revise and simplify the process for reviewing requests for higher levels of foreign ownership in wireless common carrier and aeronautical licensees, and spectrum lessees. The proposed changes would provide greater transparency and more predictability as to what information the Commission needs to carry out its statutory duties under the Act, and would reduce costs for U.S. wireless carriers seeking approval of foreign ownership above the 25 percent benchmark.

Consumers Don't Trust Google or Apple With Mobile Payments

When we think "mobile payments," a slew of tech brands fly to mind: Google's new Wallet app, the upcoming iPhone's rumored payment-enabling chips and Twitter co-founder Jack Dorsey's highly-touted and well-funded Square, to name a few. But ask consumers who they trust to handle mobile payments, and the answer is pretty clear: the same brands they currently trust with payments today -- namely credit-card companies such as Visa, American Express and Mastercard, according to a study by Ogilvy & Mather. That means incumbents have a big advantage as the fight for the mobile wallet heats up, even as giants with great consumer brands such as Apple, Google and eBay get into the market.

Measuring Broadband Use and Adoption is the Next Frontier in Internet Data Collection

[Commentary] It’s very easy to take broadband for granted. People want to go online to look up answers on Wikipedia, to watch movies on Netflix, to hang out on Facebook, or to Skype cousins across the globe — or across town. None of this can be done without broadband. Higher and higher speeds of Internet connectivity are necessary to satisfy everyone’s demand to do all of these things at once. That’s where the Partnership for a Connected Illinois comes into play.

We are a resource and a key piece in the puzzle about how the broadband landscape in Illinois is changing for the better. We work with broadband providers of all stripes – fiber, cable, copper and wireless – to help raise awareness of the fact that Better Broadband leads to Better Lives. We work with State entities like Gov. Pat Quinn’s Broadband Deployment Council, and with local governments and “anchor institutions” that are crucial hubs in connecting up to Internet spokes. And we work with consumers. These include everyday residents of rural Illinois, of Chicago, and of everything in between. Equally important are the business customers. Powered by broadband in Illinois, these business customers need better broadband to stoke job creation and economic growth.

[Clark is Executive Director of the Partnership for a Connected Illinois]

Verizon seeks injunctions against strikers

Verizon Communications has sought court injunctions to prevent striking workers from blocking access to the company's facilities, a spokesman said on the third day of a strike involving almost half of the company's wireline employees.

Two unions representing 45,000 workers called a strike after a labor contract expired and several weeks of talks for a new contract failed. Verizon has sought injunctions to prevent "illegal" and "reprehensible" strike activities such as keeping managers out of buildings, according to company spokesman Rich Young.

Verizon got an injunction in Pennsylvania and filed for one in Delaware, according to Young, who said the company would seek injunctions in any state where strikers block buildings. While the company said it is holding high-level talks with union representatives, the injunctions are the latest sign of increasingly hostile relations outside the negotiating room. The CWA has accused Verizon managers of injuring picketers.

Verizon, Unions Back At Bargaining Table On Day Three Of Strike

Verizon Communications executives were scheduled to continue talks August 9 with officials of two unions representing 45,000 workers, who are now in the third day of their walkout.

The telco's management met Aug 8 with leaders of the Communications Workers of America and the International Brotherhood of Electrical Workers at the Hilton Westchester hotel in Rye Brook (NY). "We spent the entire day discussing all the issues that are on the New York/New England table and the Mid-Atlantic table," the CWA and IBEW said in a joint update issued at 1 a.m. Aug 9. "The Union is trying to limit the issues at both of these tables by convincing the company to withdraw many of their retrogressive demands. We recessed at 11:30 PM and we are scheduled to reconvene in the morning." The two sides held "high-level discussions" Aug 8, Verizon spokesman Rich Young said. "We'll continue talking as long as the unions are willing to negotiate with an open mind."

Affluents Adopting Technology Infused Lifestyles

"Affluent Consumers in a Digital World," a study from the Interactive Advertising Bureau finds the wealthiest American consumers, those in homes with at least $100,000 annual incomes, embracing digital media and its ads.

According to the study, conducted for the Internet Advertising Board by Ipsos Mendelsohn, 98% of affluent consumers use the Internet, as compared with 79% of the general population. They spend 26.2 hours online weekly, 17.6 hours watching TV and 7.5 hours listening to the radio. The general population, on the other hand, spends about twice as much time weekly with TV and radio.