CABLE & BROADCASTING
The Blackout Battle (NYT)
Hollywood Actors Strike Advertisers For Better Internet and Cable TV
Pay (WSJ)
Gannett Invests In Zapmedia Interactive TV Unit Cited As Key To Deal
(USA)
INTERNET
Congressional Investigators Scrutinize Internet Oversight Group
(NYT)
Internet Taxation (House)
Net Connections Comfort, Counsel Gays Who Are Isolated Or Don't Feel
Free To Come Out (USA)
The Role of the Arts in Bridging the Digital Divide (Benton)
INTELLECTUAL PROPERTY
Students Have Few Qualms About Online Music Piracy (NYT)
TELEPHONY
Bell Atlantic Is Set to Offer Prepaid Service (NYT)
Telefonica Is in Talks for a Deal Valuing KPN at Over $60 Billion
(WSJ)
Novakom Will Offer Telecom Services To Hungary Via Electricity
Network (WSJ)
WIRELESS
Teligent Expands Reach of Wireless (WP)
Hong Kong May Miss Windfall If It Gives Away 3G Licenses (WSJ)
CABLE & BROADCASTING
THE BLACKOUT BATTLE
Issue: Cable
In New York, and several other cities around the country, cable subscribers
woke up yesterday morning to find their ABC channel blank.
The blackout is a result of failed negotiations between Time Warner and
Disney, ABC's parent company. The companies could not agree on the amount
that Time Warner is to pay Disney for the right to carry its programming.
Yesterday, Time Warner and took ABC off the screens during a critical
"sweeps" period when the number of viewers is used to set advertising rates.
According to the authors, this dispute between media giants "gives us an
alarming glimpse of the possible shape of the future in telecommunications."
They point out that the strength of the already powerful Time Warner, will
only be bolstered by its pending merger with AOL. The merged company will
own not only the pipeline that brings video programming into millions of
homes, but also many of the most popular programs and Internet services
provided by the cable service. While until now, the Federal Communications
Commission has avoided the regulation of the Internet on the grounds that it
was too early in the process to develop appropriate policies, the current
Disney-Time Warner tumult should compel the commission to take another look.
See Also:
[SOURCE: New York Times (A30), AUTHOR: New York Times Editorial Staff]
(http://www.nytimes.com/yr/mo/day/editorial/02tue1.html)
BLACKOUT OF ABC ON CABLE AFFECTS MILLIONS OF HOMES
[SOURCE: New York Times (A1), AUTHOR: Bill Carter]
(http://www.nytimes.com/yr/mo/day/news/financial/disney-timewarner.html\)
HOLLYWOOD ACTORS STRIKE ADVERTISERS FOR BETTER INTERNET AND CABLE TV PAY
Issue: Advertising/Cable & TV
In a scene reminiscent of Norma Rae or Mattawan, members of the Screen
Actors Guild and the American Federation of Television & Radio Artists
(together, some 135,000 strong), marched down Wilshire Boulevard in Los
Angeles yesterday chanting "pay-per-play." The strikers are demanding better
compensation for their work on cable television commercials. Union members
are asking management for a so-called "pay-per-play" system of residuals,
rather than the current one-time fee system.
[SOURCE: Wall Street Journal (B16), AUTHOR: John Lippman]
(http://interactive.wsj.com/articles/SB957216786696984533.htm)
GANNETT INVESTS IN ZAPMEDIA INTERACTIVE TV UNIT CITED AS KEY TO DEAL
Issue: Interactive TV
USA TODAY parent company, will announce today a plan to become a player in
interactive television by making a $270 million investment in ZapMedia.com.
Atlanta-based company is designing the ZapStation, a unit blends Internet
access with a hard drive, DVD/CD player and MP3 player. This device will
allow viewers TV viewers to access and store videos, music, e-mail and other
Web content with a remote control and wireless keyboard. ZapMedia will
feature USATODAY.com as its national news source. "USA TODAY gets a chance
to move into the living room and the family room in the post-PC era," says
Publisher Tom Curley. "It gives us an opportunity to go beyond the
advertising revenue stream."
[SOURCE: USAToday (3B), AUTHOR: David Lieberman]
(http://www.usatoday.com/usatonline/20000502/2217728s.htm)
LOW POWER FM FILING WINDOW
Issue: Radio
FCC will open a Low Power FM Filing Window May 30 through June 5, 2000 for
Alaska, California, District of Columbia, Georgia, Indiana, Louisiana,
Maine, Mariana Islands, Maryland, Oklahoma, Rhode Island and Utah.
[SOURCE: FCC]
(http://www.fcc.gov/mmb/prd/lpfm/lpfmwin.html)
INTERNET
CONGRESSIONAL INVESTIGATORS SCRUTINIZE INTERNET OVERSIGHT GROUP
Issue: Internet
The General Accounting Office, has been asking questions about the Internet
Corporation for Assigned Names and Numbers (ICANN). The scrutiny is nothing
new. Since it was picked to oversee the domain name system and to introduce
competition into the business of registering domain names, ICANN has been a
lightening rod for controversy. The current inquiry is attempting to
determine whether the Clinton administration had the authority to give
administration of the Internet over to a private entity.
[SOURCE: New York Times (Cyber Times), AUTHOR: Jeri Clausing]
(http://www.nytimes.com/library/tech/00/05/cyber/capital/02capital.html)
INTERNET TAXATION
Issue: Internet/Legislation
Wednesday, May 3, 2000 10:00 am in 2123 Rayburn House Office Building.
Subcommittee on Telecommunications, Trade, and Consumer Protection hearing
focusing on H.R. 4202, the Internet Services Promotion Act of 2000 and H.R.
1291, the Internet Access Charge Prohibition Act of 1999. Witnesses will be
by invitation only.
[SOURCE: House of Representatives]
(http://com-notes.house.gov/schedule.htm)
NET CONNECTIONS COMFORT, COUNSEL GAYS WHO ARE ISOLATED OR DON'T FEEL FREE TO
COME OUT
Issue:Internet
The Internet is becoming an important resource to gays who might find it
difficult to make connections with other homosexuals in their local
communities. "It would be an extremely lonely place as far as gay life and
gay community if it weren't for the Internet," said Larry Lamond, who lives
in the tiny town of Milo, Maine. For Lamond, the Internet provides support
in his battle with the ADIS virus, allowing him to keep in touch with others
afflicted with the disease. The Net is a vital source of information,
especially for those from smaller towns and rural areas who don't have
access to support groups like those in larger communities.
[SOURCE: USAToday (3D), AUTHOR: Elizabeth Weise]
(http://www.usatoday.com/usatonline/20000502/2217677s.htm)
THE ROLE OF THE ARTS IN BRIDGING THE DIGITAL DIVIDE
Issue: Digital Divide/Arts
In the ongoing and increasing conversations regarding the digital divide,
there has been little discussion of how the arts are playing an important
role in these efforts. To better understand the ways in which the arts
community is narrowing the technology gap, the Benton Foundation recently
hosted an online conversation involving representatives of Open Studio: The
Arts Online, a joint project of the Benton Foundation and the National
Endowment for the Arts to provide technology training and access to the arts
community. Now in its third year, Open Studio's local training sites have
trained more than 1,000 artists and arts organizations across the country to
use the Internet and World Wide Web for communication, publication, and
creative expression.
[SOURCE: Benton]
(http://www.benton.org/News/Extra/art042800.html)
INTELLECTUAL PROPERTY
STUDENTS HAVE FEW QUALMS ABOUT ONLINE MUSIC PIRACY
Issue:
The recording industry's best efforts aside, college students continue to
trade so many MP3 files over the Internet, that university networks are
struggling to keep up with the traffic. Students today (with their
rock-and-roll and their long hair. . .) tend to have one of two arguments
in favor of trading MP3's: purchasing music on what they see as overpriced
commercially produced CDs is an outdated practice, or that trading
copyrighted music is not a serious enough crime to be avoided. Don Tapscott,
author of the book "Growing Up Digital," says that students see music in the
same terms that they see software, where free versions are the rule. "They
want to try before they buy, because the demo is deeply ingrained in their
culture," he said. Whatever the genesis of the practice, it is fast becoming
the norm. "Whenever I'm listening to music, I'm using my MP3 player," said
Aaron Silverman, a Yale sophomore. "Even at parties, people hook up
computers to big speakers."
[SOURCE: New York Times (Cyber Times), AUTHOR: Paul Heltzel]
(http://www.nytimes.com/library/tech/00/05/cyber/articles/02music.html)
TELEPHONY
BELL ATLANTIC IS SET TO OFFER PREPAID SERVICE
Issue: Telephony
Bell Atlantic will introduce new long distance calling plan today that may
be less expensive than popular plans offered by AT&T, MCI WorldCom and
Sprint, say executives close to Bell Atlantic. The plan, called SmartTouch,
will offer interstate long-distance calls for 8 cents a minute at any time
and without monthly fees or minimum charges. The twist is that SmartTouch
customers are to buy long-distance minutes in advance under a system
somewhat akin to prepaid calling cards. In December, Bell Atlantic became
the first regional Bell company to win permission from federal regulators to
offer long-distance service in part of its traditional service region. So
far, Bell Atlantic has not won permission to offer long-distance service in
any of the other states where it is the dominant local phone company except
for New York, but it is free to sell long-distance service outside of the
Eastern Seaboard. Bell Atlantic will initially offer SmartTouch in Arkansas,
Iowa, Kansas, Michigan, Nevada, New York, Oregon, South Dakota, Texas and
Wisconsin.
[SOURCE: New York Times (B1), AUTHOR: Seth Schiesel]
(http://www.nytimes.com/yr/mo/day/news/financial/bell-atlantic.html)
TELEFONICA IS IN TALKS FOR A DEAL VALUING KPN AT OVER $60 BILLION
Issue: Mergers
Telefonica, a Spanish phone company and also the largest player in Latin
America, is in discussions to merge with the Dutch carrier Royal KPN, a move
that would propel the combined company to the No.3 position in Europe in
terms of subscribers. The deal would be a merger, rather than an acquisition
by Telefonica, even though the Spanish carrier, with a market capitalization
of $73 billion, is far larger than KPN, with a market capitalization of $49
billion. A merger would combine Telefonica's Terra Networks (their Internet
business) with KPN's cellular phone business, which could use the currency
of the newly public company to build a sizable rival to Vodafone AirTouch
PLC. The combined company would also have a better chance of buying British
wireless provider Orange PLC. Royal KPN is building a pan-European data
network with U.S. partner Qwest Communications.
The companies have been in intense discussions for several weeks and a deal
could be announced within days.
[SOURCE: Wall Street Journal Interactive, AUTHOR: Gautam Naik, Anita
Raghavan, and Nikhil Deogun]
(http://interactive.wsj.com/articles/SB957222061120310808.htm)
NOVAKOM WILL OFFER TELECOM SERVICES TO HUNGARY VIA ELECTRICITY NETWORK
Issue: Telephony
Novakom, a subsidiary of the German utility RWE, intends to offer
traditionally telecommunication-based services, such as the Internet, via
the Hungarian electricity network through a technology known as Powerline.
The use of the electricity network for telecommunications in Hungary is
generating particular interest because less than 40% of a population of
around 10 million currently have a fixed-network connection. If Novakom is
successful in making electricity lines function as the last mile to
consumers' homes, then thousands of customers could be connected without
large-scale investment. If Powerline proves to be a viable proposition, then
Novakom and Vodafone PLC, the world's largest mobile-telecoms group, will
launch a joint mobile/fixed-network package by the end of September.
Telecoms carriers had previously considered a mobile/fixed-network package
in Hungary as financially unsound.
[SOURCE: Wall Street Journal Interactive, AUTHOR: Handelsblatt]
(http://interactive.wsj.com/articles/SB957226747262136583.htm)
WIRELESS
TELIGENT EXPANDS REACH OF WIRELESS
Issue:
A new widget developed by Teligent could change the face of the fixed
wireless business. The gizmo, called an "active antenna repeater," allows a
30 percent increase in the number of buildings a signal can reach within the
range of a base station. This could allow small or medium sized companies
(Telignet's primary market) a chance to compete with leviathan companies
such as AT&T or MCI WorldCom (is that what they're calling themselves this
week?). Without the device, in order to reach a buildings blocked from the
wireless signal, a company must either run fiber-optic cable to the
building, or build a base station for between $250,000 and $300,000. The new
gadget costs between $5,000 and $10,000.
[SOURCE: Washington Post (E1), AUTHOR: Peter S. Goodman]
(http://washingtonpost.com/wp-dyn/articles/A50279-2000May1.html)
HONG KONG MAY MISS WINDFALL IF IT GIVES AWAY 3G LICENSES
Issue: Wireless
After the U.K. raised more than $35 billion last week auctioning licenses to
companies that seek to sell a "third generation" of mobile phones, other
countries are rethinking their strategy of how best to award their 3G
licenses. Hong Kong, which aims eventually to grant four to six "3G"
licenses, is deciding whether to auction the licenses or go through a
process of weighing business plans known as a beauty contest. Under the
beauty contest, companies would be assessed on their plan to provide the
best networks and cheapest service for consumers. "We want people that are
very, very good, not just very, very rich," says Anthony Wong, head of Hong
Kong's Office of the Telecommunications Authority. But the beauty contest
has its flaws, "Governments will tend to favor the status quo companies --
those they've cut deals with in the past -- instead of the innovative
start-ups," says Solveig Singleton, an expert on telecom law at the Cato
Institute. Also, if Hong Kong decides to auction the licenses, it earns
cash that could ease the city's worrisome budget deficit. Some telecom
experts argue the government can find hybrid methods to skirt an auction,
and still use 3G licenses to raise revenue.
[SOURCE: Wall Street Journal Interactive, AUTHOR: Peter Wonacott]
(http://interactive.wsj.com/articles/SB957202554935905283.htm)
--------------------------------------------------------------
The Benton Foundation's Communications Policy and Practice (CPP)
(www.benton.org/cpphome.html) Communications-related Headline
Service is posted Monday through Friday. The Headlines are highlights
of news articles summarized by staff at the Benton Foundation. They
describe articles of interest to the work of the Foundation -- primarily
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technology, journalism, public service media, regulation and philanthropy.
While the summaries are factually accurate, their often informal tone does
not represent the tone of the original articles. Headlines are compiled by
Kevin Taglang (kevint( at )benton.org), Rachel Anderson (rachel( at )benton.org),
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