January 2017

The country’s top intelligence official said that Russia’s meddling in the 2016 presidential campaign consisted of hacking, as well as the spreading of traditional propaganda and “fake news.” “Whatever crack, fissure, they could find in our tapestry . . . they would exploit it,” said Director of National Intelligence James R. Clapper Jr., testifying before the Senate Armed Services Committee on foreign cyber threats, and especially Russian hacking and interference in the campaign.

The hearing came as President-elect Donald Trump has loudly and repeatedly voiced skepticism that the Kremlin was orchestrating the effort, directly clashing with the view of the US intelligence community and the committee’s chairman, Sen John McCain (R-AZ). Every American “should be alarmed by Russia’s attacks on our nation,” Sen McCain said at the opening of the packed hearing. “There is no national security interest more vital to the United States of America than the ability to hold free and fair elections without foreign interference,” he said. Sen Lindsey O. Graham (R-SC) asked Director Clapper if he was ready to be challenged by President-elect Trump, and Director Clapper said he is. Sen Graham also advised Trump, “Mr. President-elect, when you listen to these people, you can be skeptical, but understand they’re the best among us and they’re trying to protect us.”

Back in November 2016, Consumer Reports announced the results of a survey that didn’t feel like news at all: People really hate their cell phone carriers. And while feeling screwed is almost part of the deal of owning a mobile phone, hundreds of irate customers literally think they’re being cheated by AT&T, according to information coming from complaints to the Federal Communications Commission obtained by a Freedom of Information Act Request. Among more than 500 complaints in the past three years, hundreds allege that the company is either changing customers’ plans without their consent, or attempting to do so by exerting pressure or promising cost savings.

These are serious allegations—because in 2012, the mobile giant settled with the FCC in a consent decree (meaning there was no admission of guilt) for $700,000 after numerous customers complained that AT&T changed their data plans without their knowledge or consent (usually away from the highly coveted unlimited data plans that are no longer offered, except to U-Verse or DirecTV subscribers). A review contained more than 50 instances of customers alleging that their plans were switched on them without their knowledge or consent. These all happened from 2013 to late 2016—after the consent decree.

Secretary of Commerce Penny Pritzker submitted her exit memorandum to President Barack Obama highlighting the Department of Commerce’s major accomplishments that helped grow the US economy during the past eight years. Sec Pritzker’s “Open for Business” agenda focused the efforts of the Department’s 12 bureaus and 46,000 employees on five pillars – trade and investment; innovation; data; environment; and operational excellence – in order to achieve its single mission of helping to create the conditions for economic growth, job creation, and opportunity across the United States. Two specific areas of achievement denoted in the memorandum were strengthening the digital economy and trade enforcement.

Cybersecurity: In an economy increasingly vulnerable to cybersecurity threats, the Department plays a central role in the federal government’s policymaking focused on securing America’s data networks and systems. In 2014, the Department released the Framework for Improving Critical Infrastructure Cybersecurity. Created through unprecedented collaboration between private industry and government, the voluntary Framework consists of standards, guidelines, and practices that promote the protection of critical infrastructure networks. The Framework has become the gold standard for cyber-risk management and has gained widespread acceptance.

[Commentary] Liberal economists recently have begun to worry about industry concentration and market power. Some conservatives may even distrust these firms for their aggressive efforts over the last decade to push the Federal Communications Commission to regulate broadband and wireless network firms, better known as the “net neutrality” wars.

But turning against these titans of American innovation would be foolhardy for consumers, workers, and for the US economy. The best way to regulate the size, behavior, and prices of technology’s titans is by removing the obstacles to vibrant entrepreneurship, thus allowing the next Google or Amazon to challenge, displace, or transcend today’s titans.

[Bret Swanson is president of Entropy Economics LLC.]