July 2014

Time Warner Cable anxious to exploit expanded 5 GHz access for 'community Wi-Fi'

Two Federal Communications Commission waivers being sought by Time Warner Cable reveal the cable operator is chomping at the bit to make use of the 100 MHz of 5 GHz U-NII-1 band spectrum that the commission voted in March to open up for broad, unlicensed Wi-Fi use.

The March order eliminated a rule that had prohibited outdoor Wi-Fi operations in the U-NII-1 band and also increased allowable power levels in the band. The commission's order allows the use, under certain conditions, of existing Wi-Fi equipment designed to operate in the commonly used U-NII-3 band (5.725-5.825 MHz) in the newly opened U-NII-1 band (5150-5250 MHz.)

The FCC's decision was heralded as a significant shot in the arm for service providers, cable MSOs in particular, looking to push more data traffic to Wi-Fi. And Time Warner has wasted little time jumping on the opportunity.

The company filed two waiver requests on July 1. One seeks authority to operate 20,000 existing, non-compliant U-NII-3 access points in the U-NII-1 band as allowed by the FCC's order. A second, supplemental waiver request seeks permission to operate up to 10,000 new, non-compliant U-NII-3 devices in the U-NII-1 band as well.

The Next Class of New America Fellows

New America is pleased to announce the appointment of the following 2015 Fellows who will join us on September 1, under the new leadership of Peter Bergen:

Virginia Eubanks will research and write about the impact of public service information technologies on poor and working people in the United States. She is currently an associate professor of women’s, gender and sexuality studies at the University at Albany, SUNY. She also writes for The American Prospect and Equal Future and runs two social justice organizations, the Popular Technology Workshops and Our Knowledge, Our Power.

Yascha Mounk will write about technological solutions to the political and environmental challenges of the 21st century, and how confused attitudes about nature are making us overly hesitant to embrace them.

Ari Ratner will write a book on reforming bureaucracy for a new generation based on the experiences of young people in government during the Obama presidency. Ratner is currently a strategic communications consultant and has been collaborating with Alec Ross on a book on the next wave of globalized innovation in science and technology, to be published by Simon & Schuster. Previously, Ratner was appointed to serve at the State Department as Special Assistant to the Under Secretary of State for Economic Growth, Energy, and the Environment and as Congressional Liaison for Near Eastern Affairs.

Daniel Rothenberg will write a book on the role of narrative in explaining why people defend politically significant ideas where clear evidence undermines their position. Rothenberg is currently Professor of Practice in the School of Politics and Global Studies and the Lincoln Fellow for Ethics and International Human Rights Law at Arizona State University.

T-Mobile’s all-caps, exclamation-filled response to the FTC’s billing accusations

You would think a company that had just been accused of breaking the law would keep a low profile. But if we've learned anything about John Legere, the fiery chief executive of T-Mobile, it's that he doesn't do low-profile.

Days after the Federal Trade Commission charged T-Mobile with illegally charging consumers in a practice known as "cramming," Legere is turning his guns away from his usual targets -- the giants of the wireless industry -- and training his sights on Washington instead.

"On Tuesday of this week, we all got to see Washington politics and the big carrier lobbyists at their best," Legere wrote in a lengthy, rough-around-the-edges blog post. "While I love our democracy, I hate the way DC works sometimes [sic], and I just could not sit still and let them get away with it."

Legere's company has pushed back hard against the FTC's allegations, saying it no longer allows companies that peddle spammy horoscope information or sports scores to bill customers that never signed up for their services. "T-Mobile has in the past and will continue to keep our pledge to bill customers only for what they want and what they have purchased for as long as I am CEO of this company! NO EXCUSES!" Legere wrote.

Net Threats

According to experts canvassed by Pew Internet and American Life Project, the biggest threats aren't a rise in hacking attacks or new waves of Internet crime. They're government and big online corporations.

Control and consolidation were the top threats for experts canvassed by Pew's Internet and American Life Project. Pew asked more than 1,400 experts -- academics, theorists and those who work in the technology industry -- to weigh in on what risks the Internet faces through 2025. The majority pointed to government surveillance, restrictive regulation and corporate greed as the things most likely to kill the idea that the Web is a free-flowing network of information. Plenty expressed concern that the Internet will fracture due to government policies, such as those that limit access to the Web as some governments did during the Arab Spring, aggressive intellectual property laws or even well-meaning policies in Canada and Australia that aggressively filter all Internet traffic to combat child pornography. These efforts, experts said, cross the line -- or at least flirt with it.

The These Experts Fear are:

  • Actions by nation-states to maintain security and political control will lead to more blocking, filtering, segmentation, and balkanization of the Internet.
  • Trust will evaporate in the wake of revelations about government and corporate surveillance and likely greater surveillance in the future.
  • Commercial pressures affecting everything from Internet architecture to the flow of information will endanger the open structure of online life.
  • Efforts to fix the TMI (too much information) problem might over-compensate and actually thwart content sharing.

Where’s Google in the Net Neutrality Fight?

Federal regulators have received more than 625,000 comments about a controversial proposal to allow broadband providers to offer fast-lane service on the Internet. None, so far, has been from Google.

The search giant and other large tech companies, including Facebook, Amazon, Twitter and eBay, may support net neutrality rules, but they don’t appear to be spending much time or money in Washington fighting for them.

That’s a sharp contrast from 2010, when those companies, particularly Google, fought a high-profile lobbying war with telecommunications and cable companies over net neutrality, which is the idea that Internet traffic should be treated equally and not blocked or slowed.

The FCC isn’t expected to make a final decision on rules until the end of 2014, so there’s still plenty of time for big tech companies to engage. But their seeming reluctance to get too heavily involved may be a boon for broadband providers like Verizon and Comcast, which invest heavily in lobbyists and interest groups to help get their way in DC.

The tech companies signed onto a letter protesting FCC Chairman Tom Wheeler’s fast-lane net neutrality proposal, but appear to have done relatively little since then. Heavily-regulated Internet providers, by contrast, have been busy commissioning economic studies, reviving “grassroots” advocacy groups, hosting numerous panels around DC and generally building a defense against efforts by net neutrality advocates to push the FCC to impose more regulations on Internet lines.

“My worry about net neutrality is: What are you trying to fix? What are you trying to solve?” AT&T CEO Randall Stephenson said in early June at a luncheon held next door to the Federal Communications Commission. “I think we ought to be very cautious about tinkering with this thing.”

Google spent $15.8 million in 2013 lobbying lawmakers, making it the twelfth biggest spender in DC, according to the Center for Responsive Politics. It was the only Internet company to crack the top 20 in spending, spending slightly less than AT&T and slightly more than Boeing.

Former NSA Chief Clashes With ACLU Head In Debate

Is the National Security Agency keeping us safe? That was the question that MSNBC used to frame a debate at the Aspen Ideas Festival, which The Atlantic co-hosts with The Aspen Institute.

The debate featured General Keith Alexander, former head of the National Security Agency; former Congresswoman Jane Harman; and former solicitor general Neal Katyal spoke in defense of the signals intelligence agency.

Anthony Romero of the ACLU, academic Jeffrey Rosen and former Congressman Mickey Edwards acknowledged the need for the NSA, but argued that it transgresses against our rights with unnecessary programs that violate the Constitution. The two teams also spent time arguing about Edward Snowden and whether his leaks were justified. By the end of the 90 minute session the civil libertarian team handily beat the national security state team in audience voting.

Anthony Romero of the ACLU was at his strongest when pressing the other team to explain why the American people shouldn't have a right to privacy in their metadata, given how revealing it can be. He rejected the notion that the phone dragnet is permissible because, although the NSA keeps records of virtually every phone call made, it only searches that database under a narrow set of conditions.

FCC To Hold Open Commission Meeting July 11, 2014

The Federal Communications Commission will hold an open meeting on July 11, 2014. The FCC will consider:

  • A Report and Order to modernize the E-Rate program and expand support for Wi-Fi connectivity for schools and libraries. The R&O seeks to close the Wi-Fi gap, make E-Rate dollars go farther, and deliver faster, simpler and more efficient applications and other processes;
  • A Report and Order establishing a budget and a methodology for selecting winning applications for the Connect America rural broadband experiments adopted by the Commission in the January Tech Transitions Order; and
  • A Second Order on Reconsideration and a Second Further Notice of Proposed Rulemaking that revisits the Commission’s determinations regarding the captioning of video clips when delivered using Internet protocol, ensuring that individuals with hearing disabilities are able to enjoy the full benefits of broadband technology.

The Commission is waiving the sunshine period prohibition until 11:59 pm on July 7, 2014, permitting presentations with respect to the aforementioned items until that time.

Regulation Struggles to Keep Pace With Digital-Driven Disruption

[Commentary] New, convenient and often cheaper market entrants are encouraging consumers to abandon traditional service providers. Digital disruption isn’t just a consumer story. It is also reshaping how businesses buy goods and services from other businesses.

An Accenture survey of 500 business leaders from 10 economies found that 80 percent planned to pursue growth opportunities outside of their own industry -- in collaboration with other industries, the public sector, or the nonprofit sector. As a result, the approach to regulation that has been built around traditional models of industry -- from telecoms and taxis to banks and hotels -- needs to be adapted to address these emerging “digitally contestable markets.”

As regulators attempt to keep pace with these digitally contestable markets, they will be seeking to not constrain the benefits of innovation or protect existing practice providers from disruption. What may appear today to be a phenomenon led by technology upstarts will become embedded across old and new companies in multiple sectors as they learn to embrace new digital business models at an increasingly rapid rate.

[Robinson and Cooper work for Accenture Institute for High Performance]

US regulators should just ban premium SMS products outright

[Commentary] As the Federal Trade Commission’s complaint against T-Mobile points out, carriers aren’t the ancillary victims they claim to be. They take a hefty cut of every premium SMS transaction sent their way and therefore have conflicting motives when it comes to cracking down on offenders.

According to the FTC, T-Mobile kept charging customers for these SMS services for years after learning they were fraudulent (T-Mobile said the accusations are unfounded). It seems there’s an easy solution here: just ban these kinds of SMS billing arrangements entirely. The conflict of interest the carriers face goes away, and given the datedness of premium SMS, no one is going to miss it except for scammers.

If there is going to be an exception to that rule, it should be charitable giving. In the last half-decade, SMS donations have had a big impact on donations to non-profits and humanitarian organizations, especially those that respond immediately to global disasters like the Haiti earthquake of 2010. N

YouTube does U-turn over blocking indies

YouTube has postponed a controversial plan to block certain record labels from its video platform, following an outcry from the creative community and growing scrutiny from European regulators.

Two weeks ago, the Google-owned company warned that “in a matter of days” it would start taking down videos from a number of record labels that had refused to sign its new licensing terms.

But the uproar that followed the revelations has prompted YouTube to make a last-minute U-turn. The world’s largest video streaming company is allowing more time to negotiate a solution with labels, although it still intends to block them if they cannot reach agreement, according to people familiar with the matter.

YouTube has already sent letters to a number of record labels giving notice that their existing contracts will be terminated.