May 2014

Amazon Speaks on Hachette Book Battle: Everyone Negotiates Like We Do

Amazon finally issued a public response to the festering battle with book publisher Hachette, claiming that the negotiating tactics it has pursued in contract talks are commonplace, justified and aimed at giving better long-term value to Amazon shoppers.

Amazon admitted that it is “currently buying less [print] inventory and ‘safety stock’ on titles from … Hachette,” and “no longer taking pre-orders.” “These changes are related to the contract and terms between Hachette and Amazon,” the company said. And though it said that “Hachette has operated in good faith” -- whatever that means -- Amazon does not see a resolution coming soon. So it recommends that customers looking for Hachette titles should shop at competitors or third-party sellers on Amazon. The gist of the post focused on Amazon defending its tactics. You might expect a company to apologize to its customers for the inconvenience. But that’s not necessarily the Amazon way. The closest it gets to a “we’re sorry” is a passing mention of regretting “the inconvenience.” Nonetheless, Amazon also touches on the other side of this equation -- how it impacts the authors whose work is being held hostage -- and said it is trying to limit the negative effect. In summary, if you were expecting Amazon to express significant remorse or concede that it’s at fault, you’ll be disappointed. But if you follow Amazon at all, you knew not to expect that anyway.

Mountain View Council rejects appeal of cell antenna project

AT&T Mobility won't have to remove cellular coverage-boosting equipment from a utility pole a handful of Mountain View residents claim is ugly, unsafe and potentially noisy. The City Council rejected an appeal filed by Barbara Bernstein, Richard Schwachter and Anna Stepanov in response to a zoning administrator's recent decision to allow the company to place part of the equipment lower on the pole than was originally approved. The "outdoor distributed antenna system" is one of a dozen AT&T received permission to install in 2012. Typically mounted on utility poles, the technology helps close gaps in cellular coverage.

Smartphone Messaging Apps Face New Pressure in China

China is putting fresh pressure on the popular smartphone messaging application WeChat and others like it, as authorities amp up a crackdown on the country's lively social media.

Three government agencies will conduct a monthlong "special operation" to monitor the app, owned by Tencent Holdings, and its competitors, the official Xinhua news agency said. "Some people have used this platform as a means to spread objectionable, illegal and harmful information to the public," Xinhua said. The report singled out WeChat and said its users and those of other mobile instant-messaging services now number more than 800 million in China. The latest tightening steps up a campaign that began last year to blunt the influence of social-media companies in shaping public opinion, casting a pall over a rising number of online avenues for public debate. It is unclear how the government plans to police WeChat.

Finns beat US with low-tech take on school

Finnish students and teachers didn’t need laptops and iPads to get to the top of international education rankings, said Krista Kiuru, minister of education and science at the Finnish Parliament. And officials say they aren’t interested in using them to stay there.

That’s in stark contrast to what reformers in the US say. From President Barack Obama on down, they have called education technology critical to improving schools. By shifting around $2 billion in existing funds and soliciting $2 billion in contributions from private companies, the Obama administration is pressing to expand schools’ access to broadband and the devices that thrive on it. School districts nationwide have loaded up students with billions of dollars’ worth of tablets, laptops, iPods and more on the theory that, as President Obama said, preparing American kids to compete with students around the globe will require interactive, individualized learning experiences driven by new technology. But with little education technology in the classroom, Finnish students have repeatedly outperformed American students on international tests. In 2001, Finland’s students were the highest-achieving in the world, according to the Programme for International Student Assessment test administered by the Organisation for Economic Co-operation and Development. The Nordic country uses innovative teaching strategies in the classroom, just generally without incorporating technology. Private schools and charter schools aren’t part of the mix, and all education is essentially free. Powerful teachers unions work hand in hand with the government, which went to great lengths to revamp teacher training. The profession is revered and respected, and government has no bearing on assessing a teacher’s performance in the classroom.

FCC Chief of Staff’s Ruth Milkman remarks at Progressive Policy Institute’s “Should the FCC Serve as Internet Traffic Cop?”

Over the years, interconnection between Internet service providers (ISPs) has not always been seamless. We are … aware of the more recent disputes that have erupted -- between Comcast and Level 3 in 2010 and between Cogent and Comcast and Verizon in early 2014. Rather than depeering outright, these disputes seem to involve degradation of service arising from congestion at peering points, particularly during peak usage times.

With such disputes as a backdrop, the Federal Communications Commission has received a number of points of view on the manner in which current traffic exchange regimes are, or are not, working. One question is this: Are such disputes, in fact, business negotiations that can be resolved adequately in the marketplace? Or are they an advance warning sign of a breakdown of the functioning marketplace of interconnection and traffic exchange on the Internet? We don’t know the answer. So, how will the Commission learn more? The Commission will be reviewing information about interconnection on the Internet in a number of contexts. First, as you all know, the Commission recently adopted a Notice of Proposed Rulemaking regarding rules to protect and promote Internet openness. The question of how networks exchange Internet traffic, such as through peering, was outside of the scope of the 2010 Open Internet Order and thus is outside of the proposed scope of the 2014 Open Internet NPRM. However, some parties have sought to expand the scope of the 2014 proceeding to include issues relating to Internet backbone providers, including issues of traffic exchange, peering, transit, and CDNs. We are seeking comment on this question, in order to hear from those who may disagree with this suggested treatment of peering/traffic exchange. We will learn from those comments. Second, we expect that parties will continue to raise concerns and provide information to the Commission about ISP interconnection practices. These avenues, and no doubt others, will serve the Commission’s and the public’s interest in gaining a better understanding of traffic exchange on the Internet today.

Privacy groups want more from FTC

Privacy advocates are glad that the Federal Trade Commission outlined some potential problems with companies that collect and sell people’s data, but say it’s only a first step.

After the FTC released its call for new legislation on “data brokers”, Center for Digital Democracy executive director Jeffrey Chester called the effort “insufficient.” “The real problem is that data brokers -- including Google and Facebook -- have embraced a business model designed to collect and use everything about us and our friends -- 24/7,” he said. “Legislation is required to help stem the tide of business practices purposeful designed to make a mockery out of the idea of privacy for Americans.”

American Civil Liberties Union legislative counsel Christopher Calabrese said that the FTC itself needed to be doing more with its current powers “to root out bad practices now.” That could include action under the Fair Credit Reporting Act, he said, which bans various forms of discrimination that the FTC alleged are made possible through data merchants’ repackaging of consumers' information.

“Strongly enforcing those laws is a first step toward curbing the harms that come from the buying and selling of detailed personal profiles of every nearly every American,” Calabrese said.

Twitter releasing trove of user data to scientists for research

Twitter has a 200-million-strong and ever-growing user base that broadcasts 500 million updates daily. It has been lauded for its ability to unsettle repressive political regimes, bring much-needed accountability to corporations that mistreat their customers, and combat other societal ills (whether such characterizations are, in fact, accurate).

In April, Twitter announced that, after reviewing the more than 1,300 proposals submitted from more than 60 different countries, it had selected six institutions to provide with data access. Projects approved included a study of foodborne gastrointestinal illnesses, a study measuring happiness levels in cities based on images shared on Twitter, and a study using geosocial intelligence to model urban flooding in Jakarta, Indonesia. There's even a project exploring the relationship between tweets and sports team performance.

Now, the company has taken aim at disrupting another important sphere of human society: the scientific research community. In its privacy policy, Twitter explains that most user information is intended to be broadcast widely. As a result, the company likely believes that sharing such information with scientific researchers is well within its rights, as its services "are primarily designed to help you share information with the world," Twitter says. "Most of the information you provide us is information you are asking us to make public."

New Microsoft privacy framework lets lawyers, developers and their code speak the same language

Microsoft Research has developed a new framework for automatically figuring out which lines of code inside massive systems might conflict with corporate privacy policies.

It’s an important goal in today’s technology world where ever-present threats of data breaches and lawsuits, as well as the specter of looming government regulation, have smart companies preparing for whatever might come their way. The really novel thing about Microsoft’s framework is that it was designed to bring together teams of personnel that might never interact directly otherwise, so that the compliance process is faster and less prone to errors.

The system involves a high-level language called Legalease, which lets lawyers and policy employees encode corporate privacy policies into a machine-readable format, and a tool called Grok that inventories big data systems and checks them against those policies. “Ultimately, the truth about what’s happening with this data is in the code,” researcher Saikat Guha explained.

But with millions of lines of code (a fair amount of which changes daily) in a product such as Bing -- on which the Microsoft Research project was prototyped -- it can be difficult to figure out what data is being stored where, how it’s being used as part of any given job and whether that usage complies with privacy rules.

Guha and his team hope the new framework though will speed the process and make it more accurate by letting all of these steps occur in parallel.

AT&T Sues San Francisco Claiming Violations Over Utility Box Locations

AT&T is following through with a plan to sue the City of San Francisco over their objection to the locations of 4-foot-high utility boxes on city sidewalks.

The telecommunications company told KCBS they were considering filing a lawsuit if the Board of Supervisors followed through with proposed legislation giving the public more input on the sites and to place the boxes on private property or in alleyways when possible.

Baltimore, Boston Move to Build Ed-Tech Hubs

Baltimore and Boston are cities with their own distinct economic identities, but more recently they’ve shared an economic-development strategy: Both have organizations working aggressively to establish their metro regions as hubs for educational technology companies and startups.

The efforts in Baltimore are being led by an educational technology advisory group focused on building support in the city and across Maryland. In Boston, a nonprofit that began by creating a networking group across the city has now launched an “accelerator” program designed to help young ed-tech businesses succeed.