Daily Digest 10/26/2021 (Rosenworcel, Sohn Tapped for FCC)

Benton Institute for Broadband & Society
Table of Contents

Lifeline

Benton Foundation
Action Needed Now to Preserve an Essential Lifeline During the Pandemic  |  Read below  |  John Horrigan  |  Analysis  |  Benton Institute for Broadband & Society
Support for a pause of the phase down of support for standalone voice service  |  USTelecom

Broadband Data

Acting Chairwoman Rosenworcel’s Response to Members of Congress Regarding Broadband Data Collection  |  Read below  |  Acting FCC Chairwoman Jessica Rosenworcel  |  Letter  |  Federal Communications Commission

Ownership

FTC to Restrict Future Acquisitions for Firms that Pursue Anticompetitive Mergers  |  Read below  |  Press Release  |  Federal Trade Commission
CPUC Issues Proposal That Would Require Consumer Protections for Verizon’s Acquisition of TracFone  |  Read below  |  Public Notice  |  California Public Utilities Commission

Australia Backs $1.6 Billion Buy of Pacific Mobile Networks  |  Read below  |  Stuart Condie  |  Wall Street Journal

Education

FCC Receives $1.3 Billion in New Emergency Connectivity Fund Applications  |  Read below  |  Press Release  |  Federal Communications Commission

Wireless

CPUC Issues Proposal That Would Require Consumer Protections for Verizon’s Acquisition of TracFone  |  Read below  |  Public Notice  |  California Public Utilities Commission

Australia Backs $1.6 Billion Buy of Pacific Mobile Networks  |  Read below  |  Stuart Condie  |  Wall Street Journal

Ericsson software promises consistent low latency for public, private 5G  |  Fierce
Vapor IO creates private wireless zones in Las Vegas  |  Fierce
Sue Marek: The 6G hype is already starting  |  Fierce

Health

Telemedicine Startups Face Uncertain Regulatory Terrain  |  Read below  |  Brian Gormley  |  Wall Street Journal

More on the Facebook Files

Senator Blumenthal says Facebook is deceitful, calls for accountability  |  Read below  |  David Cohen  |  Politico
Facebook Faces a Public Relations Crisis. What About a Legal One?  |  Read below  |  Cecilia Kang  |  New York Times
How Facebook users wield multiple accounts to spread toxic politics  |  Politico
Facebook staff complained for years about their lobbyists’ power  |  Read below  |  Emily Birnbaum  |  Politico
The Facebook Papers: How to read them all  |  C|Net
How Facebook shapes your feed  |  Washington Post
Five points for anger, one for a ‘like’: How Facebook’s formula fostered rage and misinformation  |  Washington Post
Wall Street doesn’t care about the Facebook leaks. Mark Zuckerberg does.  |  Vox
Facebook Encounters Challenge in Bid to Hire a Prominent Democratic Lobbyist  |  Wall Street Journal
Facebook says it’s refocusing company on ‘serving young adults’  |  Vox
Yael Eisenstat, former Facebook employee, says company has known about disinformation problem for years  |  National Public Radio
Facebook Whistleblower Frances Haugen Calls for New Tech Laws in Europe  |  Wall Street Journal
Frances Haugen: Key moments from Facebook whistleblower's UK parliamentary testimony  |  C|Net
Facebook profits top $9 billion despite facing recent whistleblower revelations  |  Guardian, The
Karen Kornbluh and Laurie Rubiner Op-ed | Facebook and Big Tobacco's common target: Girls and women  |  Hill, The

More on Platforms/Social Media

YouTube removed 7 million accounts this year used by children and preteens on the sly  |  C|Net

Privacy

Your browser can tell websites how to treat your data. But companies didn’t have to listen — until now  |  Read below  |  Tatum Hunter  |  Washington Post

TV

55 Million Homes Only Watch Connected TV: Magnite  |  Broadcasting&Cable

Labor

Silicon Valley Giants Built an Open Culture. Now Workers Are Holding Them to It.  |  Wall Street Journal

Policymakers

White House to Name Rosenworcel as FCC’s First Female Leader  |  Read below  |  Elizabeth Williamson  |  New York Times, Politico

Stories From Abroad

Australia Backs $1.6 Billion Buy of Pacific Mobile Networks  |  Read below  |  Stuart Condie  |  Wall Street Journal
Australia Considers New Privacy Rules to Protect Children on Social Media  |  Wall Street Journal
Today's Top Stories

Lifeline

Action Needed Now to Preserve an Essential Lifeline During the Pandemic

John Horrigan  |  Analysis  |  Benton Institute for Broadband & Society

Universal service is the principle that all Americans should have access to essential communications services, like phones and broadband. You may not have heard much about it, but a universal service crisis is right around the corner. Due to Federal Communications Commission inaction, nearly 800,000 people could lose phone service on December 1. On that day, changes in the FCC’s Lifeline program, which provides a modest monthly discount for communications services, mean that voice-only services like a home landline telephone and/or a cellphone will no longer be eligible for the discount. The changes could mean people losing service at a time they need it most. As the December 1 deadline approaches, the FCC should quickly act, first, to ensure low-income people do not lose their essential telephone service during the COVID-19 pandemic. And the FCC should come to grips with the reality that Lifeline’s $9.25/month subsidy is too small to connect low-income households with robust broadband service. With the rollout of the Emergency Broadband Benefit, and the possibility, on passage of the infrastructure bill, of a permanent American Connectivity Plan, the FCC should think about low-income subsidies for communications services holistically to allow low-income households to be connected as most middle- and upper-income people do: with both a wireline broadband subscription and a cellular data plan.

[John Horrigan is a Benton Senior Fellow and a national expert on technology adoption, digital inclusion, and evaluating the outcomes and impacts of programs designed to promote communications technology adoption and use. Horrigan is leading Benton’s research on the FCC’s Lifeline program.]

Broadband Data

Acting Chairwoman Rosenworcel’s Response to Members of Congress Regarding Broadband Data Collection

Acting FCC Chairwoman Jessica Rosenworcel  |  Letter  |  Federal Communications Commission

Acting Federal Communications Commission Chairwoman Jessica Rosenworcel wrote a response to US lawmakers' letter regarding the FCC's collection of broadband deployment data. The group of lawmakers wrote to Rosenworcel in July 2021 requesting an update on the FCC's broadband data collection progress. On October 15, the Acting Chairwoman replied with a detailed description of the FCC's initiatives, highlighting "the formation of the Broadband Data Task Force to coordinate and expedite the design and construction of new systems for collecting and verifying broadband deployment data." "The Task Force is leading a cross-agency effort to implement the requirements of the Broadband DATA Act and kick-start our work to more accurately measure and reflect our nation’s broadband needs," Rosenworcel said. "Following the creation of the Task Force, we have made significant progress on standing-up the new Broadband Data Collection (BDC) systems and processes." Other noted initiatives included the creation of the Broadband Serviceable Location Fabric, a "common dataset of all locations in the United States where fixed broadband internet access service can be installed," and efforts to empower state, local and Tribal governments to share data with the FCC. "We will be happy to provide updates as our work progresses and we have new information to share," concluded Rosenworcel. "I look forward to working with [Congress] as we continue to improve the Commission’s broadband deployment data."

Ownership

FTC to Restrict Future Acquisitions for Firms that Pursue Anticompetitive Mergers

Press Release  |  Federal Trade Commission

The Federal Trade Commission announced that it is restoring its long-established practice of routinely restricting future acquisitions for merging parties that pursue anti-competitive mergers. The Prior Approval Policy Statement puts industry on notice that the FTC’s merger enforcement orders will once again require acquisitive firms to obtain prior approval from the agency before closing any future transaction affecting each relevant market for which a violation was alleged, for a minimum of ten years. In July 2021, the FTC rescinded a 1995 policy statement that for decades had fueled consolidation by preventing the agency from imposing these merger restrictions. The application of the Prior Approval Policy Statement will protect consumers and deter merging parties from pursuing anti-competitive deals. The consequences of attempting an anti-competitive deal will be more severe and the bar for consummating further anti-competitive acquisitions will be higher. The FTC will weigh a number of factors in determining the scope of a prior approval provision, including the nature of the transaction, the level of market concentration and the degree to which the transaction increases market concentration, the degree of pre-merger market power, the parties’ history of acquisitiveness, and evidence of anticompetitive market dynamics.

CPUC Issues Proposal That Would Require Consumer Protections for Verizon’s Acquisition of TracFone

This proposal that would approve Verizon Communications’ acquisition of TracFone Wireless with consumer protection conditions to ensure the proposed acquisition will be in the public interest. Verizon and TracFone do not meet the burden of proving their proposed acquisition is in the public interest unless the companies adopt a number of specific measures to protect consumers from price increases or service disruptions.Under today’s proposal, the consumer protection measures include a series of requirements that will enhance service quality and benefits for impacted customers including those participating in the California LifeLine program, which subsidizes phone services based on income qualifications. These enhancements and protections include:

  • Verizon and TracFone must participate in the California LifeLine program for as long as they operate in California, and Verizon must offer California Lifeline plans, phones, and devices in its stores.
  • To ensure that TracFone maintains a significant level of participation in California LifeLine in future years, TracFone and Verizon must have enrolled at least 200,000 California LifeLine subscribers by June 30, 2023. Additionally, at least 15 percent of those California LifeLine subscribers must be in low-income disadvantaged communities.
  • Verizon must provide new phones to current TracFone customers with phones that are incompatible with Verizon’s network, including California LifeLine customers, at no additional cost. In areas where Verizon offers 5G, it must offer these California LifeLine customers 5G-enabled phones.Current TracFone customers that cannot remain TracFone customers because they are not located in an area served by Verizon must be provided free phones.
  • In order to facilitate a predictable and timely transition for customers, Verizon and TracFone must migrate all TracFone customers to Verizon’s network within six months following the close of the acquisition, giving priority to TracFone’s current California LifeLine customers.

The proposal also establishes a reporting process as well as a mitigation enforcement program with penalties if specific performance requirements are not met. 

The proposal will be considered at the CPUC’s November 18, 2021 Voting Meeting.

Education

FCC Receives $1.3 Billion in New Emergency Connectivity Fund Applications

Press Release  |  Federal Communications Commission

The Federal Communications Commission announced that it has received requests for nearly $1.3 billion in the second application filing window of the $7.17 billion Emergency Connectivity Fund Program to fund nearly 2.4 million connected devices and over 564,000 broadband connections. The FCC also committed an additional $269 million to fund connected devices and broadband connections requested in the first application filing window. The FCC offered the second application filing window, which ran from September 28 to October 13, to accommodate strong demand for the program in the first round. The funding can be used to support off-campus learning, such as homework and virtual learning, as schools and libraries continue to respond to the ongoing COVID-19 pandemic. The FCC to date has committed $2,632,195,122.16 in program funding to school and library applicants. With the first three waves, the FCC is providing support for over 6.1 million connected devices and nearly 2.9 million broadband connections to support 6,028 schools, 512 libraries, and 49 consortia.

Health

Telemedicine Startups Face Uncertain Regulatory Terrain

Brian Gormley  |  Wall Street Journal

Telemedicine startups are confronting a hodgepodge of state regulations, complicating their efforts to expand their services nationwide. Companies that provide care over the web or through mobile devices scaled up rapidly during the pandemic, as overcrowding at hospitals led to more patients meeting doctors virtually. Aiding startups’ growth were temporary waivers of restrictions on telemedicine that many states enacted, including a requirement that doctors be licensed in their state to provide virtual care. Now, some states are allowing those waivers to expire, while others are maintaining them, creating an increasingly complex regulatory terrain. Restrictions on telemedicine will return after the public-health emergency unless Congress acts. A bipartisan bill in the Senate, the Connect for Health Act of 2021, would permanently remove Medicare geographic restrictions and enable beneficiaries to receive telemedicine in their homes and other sites. Some venture capitalists acknowledge the regulatory friction in telemedicine but said the pandemic has alerted many more doctors and patients to its benefits, such as increased convenience and the ability to expand high-quality care in remote corners where few physicians maintain physical offices.

The Facebook Files

Senator Blumenthal says Facebook is deceitful, calls for accountability

David Cohen  |  Politico

Sen Richard Blumenthal (D-CT) tore into Facebook, calling the company’s stated attitudes on regulation a sham. “What we are hearing from Facebook is platitudes and bromides," Blumenthal stated. "When it says it wants regulation, at the same time it is fighting that regulation tooth and nail, day and night, with armies of lawyers, millions of dollars in lobbying. And so, I must say, Facebook saying it wants regulation is the height of disingenuousness.“ The senator’s remarks come after the recent revelations by Facebook whistleblower Frances Haugen, as well as widespread reporting about a range of issues with Facebook, including the worldwide proliferation of hate speech on the platform. Blumenthal again called for Facebook CEO Mark Zuckerberg to follow Haugen and testify on Capitol Hill, and he also sought the full disclosure of internal files on Facebook‘s practices. “What we are seeing here is a building drumbeat for accountability,” he said. “A movement for reform that will require disclosure of the powerful algorithms that drive destructive content to children and others, the hate speech in foreign countries, but also the anger and depression that is amplified by those algorithms as it leads children down rabbit holes.”

Facebook Faces a Public Relations Crisis. What About a Legal One?

Cecilia Kang  |  New York Times

The most pressing questions is whether the Securities and Exchange Commission — the federal agency where Ms. Haugen sent the documents — will significantly add to Facebook’s woes. Whistle-blowers have filed at least nine complaints to the agency, which has oversight of public companies like Facebook, using a selection of the internal documents to argue that Facebook misled investors with a rosier picture of the company than they knew to be true. The SEC can impose big fines for misleading investors and impose restrictions on corporate leaders. A case from securities regulators is probably far from a slam dunk, several legal experts said. The accusations in the complaints don’t appear to be quite as clear-cut as many other accounting and fraud cases taken up by the agency, they said. To win a lawsuit accusing the company of misleading investors, regulators would have to prove that executives had intended to hide or lie about problems.

Facebook staff complained for years about their lobbyists’ power

Emily Birnbaum  |  Politico

Facebook says it does not take the political winds of Washington (DC) into account when deciding what posts to take down or products to launch. But a trove of internal documents shows that Facebook’s own employees are concerned that the company does just that — and that its DC-based policy office is deeply involved in these calls at a level not previously reported. According to the documents, sensitive content moderation decisions and significant changes to Facebook’s news feed and news and recommendations features undergo a review process in which public policy team members come to the table alongside other teams and weigh in with potential political concerns. In message board conversations dating back to 2019, Facebook employees took particular issue with one aspect of the company’s internal structure: The teams charged with writing and enforcing Facebook’s content rules answer to former Republican operative Joel Kaplan, the company’s vice president of global public policy. This dynamic is so prevalent that the employees argued Facebook regularly ignored its own written policies to keep political figures happy, even overriding concerns about public safety.

Privacy

Your browser can tell websites how to treat your data. But companies didn’t have to listen — until now

Tatum Hunter  |  Washington Post

A special signal known as global privacy control tells every website you visit not to pass around your personal data behind your back. Global privacy control is already tucked away in Web browser Brave and browser add-on DuckDuckGo. Soon, the Firefox browser will be adding it. Firefox says it’s rolling out the global privacy control signal to its main product in the next two or three months, according to Chief Technology Officer Eric Rescorla. Chrome users, however, must continue to wait. It’s a big deal because asking websites or apps not to share or sell your personal information involves hunting through company websites and submitting a “do not sell” request to each and every offender. If you live in California, you have some protection for your data under the California Consumer Privacy Act, and companies have to honor these requests. If you live elsewhere, you’re often out of luck. But tools like GPC lay the groundwork for easier management of personal data as more states consider passing data privacy legislation.

Policymakers

White House to Name Rosenworcel as FCC’s First Female Leader

Elizabeth Williamson  |  New York Times, Politico

President Joe Biden is expected to nominate Jessica Rosenworcel, the acting chairwoman of the Federal Communications Commission, to the permanent job, putting her on track to become the first woman to lead the agency. If she is confirmed by the Senate, Rosenworcel would lead an agency whose responsibilities include ensuring that millions of Americans have internet access. President Biden is also expected to nominate progressive net neutrality advocate Gigi Sohn, a former FCC official, to the open Democratic seat on the commission. (Sohn is currently the Benton Senior Fellow and Public Advocate.) The moves, which could be announced as soon as Oct 26, would give Democrats a majority on the five-person panel for the first time during Biden’s presidency, ending a 2-2 partisan stalemate that has stymied much of the progressive agenda for the FCC.

Stories From Abroad

Australia Backs $1.6 Billion Buy of Pacific Mobile Networks

Stuart Condie  |  Wall Street Journal

Australia is backing the purchase of mobile networks in six Pacific countries, a move that foreign-policy experts say is designed to block a military rival from buying the strategically important assets. The government said its export-finance arm agreed to provide $1.33 billion in funding to support the $1.6 billion purchase by Telstra Corp, Australia’s biggest communications provider, of the networks in Papua New Guinea, Fiji, Nauru, Samoa, Tonga, and Vanuatu. The networks, being bought from Jamaica-based Digicel Group, are adjacent to subsea cables that carry communications between Australia and its neighbors. Australian government’s outlay on the deal is larger than its annual aid budget for Papua New Guinea and the Pacific, estimated at 1.44 billion Australian dollars, equivalent to $1.08 billion, for the 12 months through next June. Australia’s Department of Foreign Affairs and Trade said funding for the deal was part of the government’s Pacific Step Up initiative, meant develop secure and reliable infrastructure in the region. The government-owned Export Finance Australia will help to manage financial and other risks associated with the acquisition.

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Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org) and Grace Tepper (grace AT benton DOT org) — we welcome your comments.


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Kevin Taglang

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