Communications-Related Headlines for June 17, 2003

A Service of the Benton Foundation (http://www.benton.org)
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MEDIA OWNERSHIP
House Panel Votes to Block FCC's New Media Rule

EDTECH
Academic Impact: Giving Kids Laptops Excites Educators
Fraud Issue Could Undermine 'E-Rate' Program

INTERNET
For Congress, Internet Taxes Are an Unlikely Move
Upload a File, Go to Prison

CABLE
Cablevision Launches Mysterious Plan

MEDIA OWNERSHIP
HOUSE PANEL VOTES TO BLOCK FCC'S NEW MEDIA RULE
The House Appropriations Committee yesterday approved a bill that would
effectively roll back the FCC's recently adopted measure to increase the cap
on broadcast TV ownership. The amendment, which passed in a 40 to 25 vote,
prevents the Commission from spending money to carry out its new ruling,
essentially nullifying the decision. The vote marked the beginning of a
battle between lobbyists for big broadcasters and Congressional
representatives from small communities seeking to protect localism and
diversity. Rep. Zach Wamp (R-TN) yesterday warned of a "Wal-Mart syndrome"
affecting local stations. The White House budget office said it would
recommend a veto of the appropriations bill, which covers the Commerce,
State and Justice Departments, if the amendment is not removed, however.
Other components of the FCC's decision remain untouched by the committee.
SOURCE: The Washington Post; AUTHOR: Dan Morgan
http://www.washingtonpost.com/wp-dyn/articles/A2569-2003Jul16.html

EDTECH
ACADEMIC IMPACT: GIVING KIDS LAPTOPS EXCITES EDUCATORS
Sixth graders at Malcolm X Academy in Detroit, Michigan, do all their work
on a wireless Apple iBook, including spreadsheets, word-processing and
Internet research. The school is in one of six districts piloting Freedom
to Learn, a statewide wireless computer program. "It really prepares you
for when you actually get a job in the real world," said Lisa (12), a
seventh-grader who participates in a laptop program at Smart Middle School.
The new state budget, not yet approved, set aside $22 million in state funds
and $16 million in federal funds to provide wireless computers. State
Superintendent Tom Watkins said sixth-graders would receive either a
handheld device or a laptop sometime during the 2003-2004 school year.
While school officials look forward to getting the laptops, they acknowledge
the costs inherent in the program. "They are great tools, but technical
support is a major budget issue," said Livonia Public Schools spokesman Jay
Young. "It is expensive to maintain technology." If teachers aren't trained
to integrate the computers in their classroom lessons, the money will be
wasted, adds Gary Morrison, a Wayne State University professor.
SOURCE: Detroit Free Press; AUTHOR: Lori Higgins, Kim North Shine and
Melanie Scott
http://www.freep.com/news/education/skuls17_20030717.htm

FRAUD ISSUE COULD UNDERMINE 'E-RATE' PROGRAM
Rep. Billy Tauzin's (R-LA) investigation of the E-Rate program has come
under the suspicion of critics, who believe the chairman is merely out to
find fault with the program and bring about its demise. "I'm very suspicious
of any activity Mr. Tauzin is involved in. He hates the E-rate," said Emily
Sheketoff, executive director of the American Library Association's
Washington, D.C. office. Tauzin's supporters deflect such suggests. "Based
on some of the evidence that we've reviewed already, it's clear that some
vendors have gamed the system. We're trying to find out whether these are
just isolated incidents or are part of a greater pattern of abuse," said
committee spokesman Ken Johnson, who added that the Congressman has no plans
to eliminate the program. Since its inception, the program has allowed over
87 percent of public schools and 95 percent of public libraries to connect
to the Web, according to a recent study by EdLiNC. However, reports of fraud
and abuse, including one criminal conviction in New York, have provided a
springboard for Tauzin's investigation. Edlinc Chairwoman Mary Kusler
applauded the effort to "ferret out bad actors," but would not go as far as
to call the program a "bastion of fraud." "I don't necessarily agree that it
is a troubled program. We really see this as a program that is a huge
success."
SOURCE: The Washington Post; AUTHOR: David McGuire
http://www.washingtonpost.com/wp-dyn/articles/A4333-2003Jul17.html

INTERNET
FOR CONGRESS, INTERNET TAXES ARE AN UNLIKELY MOVE
The current federal moratorium on Internet access taxes will expire in
November unless extended through new legislation, such as the bill
introduced by Sen. George Allen (R-VA) that would place a permanent
moratorium on such taxes. Supporters of the bill say that the lack of
access taxes will help close the "digital divide" for poor and rural areas.
Critics argue that a permanent moratorium should be tied to a solution for
the states' shrinking sales tax base. Many states, "facing the biggest
fiscal crisis since the Great Depression," will collectively lose $20
billion of sales tax revenue to the Internet in 2003, said Sen. Frank
Lautenberg (D-NJ). Allen's bill does not prohibit states from collecting
Internet sales taxes; however, simplification of the complex tax structures
of the 50 states is seen as a crucial first step to making Internet tax
collection feasible. But some lawmakers warn against a legislative quick
fix for the sales tax issue. Rep. James Sensenbrenner Jr. (R-WI) said
Congress should not be asked to solve a problem created by the states.
SOURCE: Centre Daily Times; AUTHOR: David Lerman
http://www.centredaily.com/mld/centredaily/news/6319425.htm

UPLOAD A FILE, GO TO PRISON
A new bill in Congress would make uploading a single file of copyright
content a felony, with penalties of up to a $250,000 fine and up to five
years in prison. The bill specifically targets peer-to-peer file trading
and would allocate an additional $5 million a year to the justice department
to investigate copyright crimes. It would also enable information sharing
between countries to aid in copyright enforcement abroad. People who use
technology to get artistic content for free are hurting US exporters, said
Rep. John Conyers Jr. (D-MI), who introduced the bill with Rep. Howard
Berman (D-CA). Jason Schultz, a staff attorney with the Electronic Frontier
Foundation, called the bill a "sign of desperation" as the recording
industry and Hollywood try to hold on to their business models. Schultz
said the poorly written bill criminalizes the placement of any copyright
work on a computer network. "You may not even know that you are committing
a felony, but this law could put you in jail," he said.
SOURCE: Wired News; AUTHOR: Katie Dean
http://www.wired.com/news/print/0,1294,59654,00.html

CABLE
CABLEVISION LAUNCHES MYSTERIOUS PLAN
Cablevision, the nation's sixth largest cable provider, launched the next
phase in its secretive plan for competing with satellite TV yesterday -
literally. The company sent into orbit a $250 million satellite capable of
offering 468 standard-definition channels. Chairman Charles Dolan said the
new service will go live on October 1, at which point the company will
reveal "pricing, programming, equipment and other matters." Industry
analysts have expressed some skepticism as to the potential success of
Cablevision's venture, however. "I see no viable business opportunity," said
Satellite Business News editor Bob Scherman, who suggested that Dolan's
resources do not make him a serious rival to DirecTV or Dish Network.
SOURCEL USA Today; AUTHOR: David Lieberman
http://www.usatoday.com/tech/techinvestor/2003-07-16-dbs_x.htm

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