Daily Digest 10/5/2018 (Senators Take on FCC, USDA)

Benton Foundation
Table of Contents

Broadband

Sen. Thune Slams FCC Over High-Cost Broadband Subsidies Shortfall  |  Read below  |  John Eggerton  |  Mutlichannel News
Senators urge USDA to fund broadband in ‘geographically challenged’ areas  |  Read below  |  J Craig Anderson  |  Portland Press Herald
Suit to block California's net neutrality law could be overshadowed by broader challenge in DC Circuit  |  Read below  |  Maura Dolan  |  Los Angeles Times
If the feds won’t fight for your internet freedom, every state should  |  Read below  |  Editorial staff  |  Editorial  |  Chicago Sun-Times
FCC's Data Overstate Access, and Tribes Face Barriers Accessing Funding  |  Read below  |  Mark Goldstein  |  Research  |  Government Accountability Office
Smartphone-only internet users grow from 12% in 2016 to 20% in 2018  |  Read below  |  Matt Kapko  |  Fierce
Cumberland County (Maine) working to provide models for municipal broadband networks  |  Read below  |  J Craig Anderson  |  Portland Press Herald
Georgia Tackles Broadband Expansion And Local Control  |  Read below  |  Tasnim Shamma  |  WABE
The CA Midpeninsula Regional Open Space District (MROSD)'s Special Push for Broadband  |  Read below  |  Skip Descant  |  Government Technology
Delta Aspires To Offer Free In-Flight Wi-Fi For All Passengers  |  Read below  |  Jordan Bishop  |  Forbes
Op-ed: Operators should charge a premium for 5G… but not initially  |  Fierce

Satellites

Company that launched satellites without permission gets new license to launch more probes  |  Read below  |  Loren Grush  |  Vox

Ownership/Competition

DOJ Antitrust Chief Delrahim: Criminal Case Against Anti-competitive Search Algorithms Coming  |  Read below  |  John Eggerton  |  Broadcasting&Cable

Privacy/Security

Principles for an ‘Internet Bill of Rights'  |  Read below  |  Rep Ro Khanna (D-CA)  |  Press Release  |  House of Representatives
Want Free Coffee? Personal Data Is The Way To Pay  |  Rhode Island Public Radio
The Big Hack: Statements From Amazon, Apple, Supermicro, and the Chinese Government  |  Bloomberg
Apple hits back hard at Bloomberg over Chinese spying report  |  Fast Company
US judge says China's ZTE violated probation; extends monitor's term  |  Reuters

Elections

Vice President Pence Accuses China Of Trying To Interfere In U.S. Elections, Calls Out Google  |  Read below  |  Scott Horsley, Michael Bender, Dustin Volz  |  National Public Radio, Wall Street Journal
Rep. Pallone to Tech Giants: Are Foreign Agents Using Social Media Platforms to Influence the Kavanaugh Nomination?  |  Read below  |  Press Release  |  US House of Representatives Commerce Committee
Simmons Research: News 'Doubters' Swung Presidential Election  |  MediaPost

Platforms

Smaller outlets reduce, scrap Facebook promotion over new political ad rules  |  Read below  |  Mathew Ingram  |  Columbia Journalism Review

Government & Communications

The US government doesn’t seem to know why some people didn’t get its presidential alert  |  Quartz
Pulled over while connected: Siri can quietly video record the police  |  USA Today
The Intra app is designed to take on techniques used by governments to censor the internet  |  C|Net
Trump’s tweets are less read and influential than people may think  |  Read below  |  Marisa Fernandez  |  Axios, Public Affairs Council
Marvin Kalb: To President Trump, the media is the ‘enemy of the people.’ He should look in the mirror.  |  Washington Post

Labor

Newsroom employees earn less than other college-educated workers in U.S.  |  Pew Research Center
Computer Science for Everyone: A new middle school in DC wants to help bridge the racial and economic gaps in tech  |  Atlantic, The

Policymakers

Reps McNerney (D-CA), Latta (R-OH) Launch Bipartisan Wi-Fi Caucus  |  Read below  |  Press Release  |  US House of Representatives
Americans' Trust in Politicians Hits 10-Year High  |  Gallup

Stories From Abroad

Russia Accused in Cyberattacks on Investigators Pursuing Doping and Poisoning Cases  |  New York Times
European Parliament Approves Netflix Content Quota  |  Hollywood Reporter

Company News

Wikipedia Bans Breitbart as a Source for Facts  |  Vice
Tronc to change name back to Tribune Publishing  |  Hill, The

Philanthropy 

Meet the 2018 MacArthur Fellows  |  MacArthur Foundation
Today's Top Stories

Broadband

Sen. Thune Slams FCC Over High-Cost Broadband Subsidies Shortfall

John Eggerton  |  Mutlichannel News

Senate Commerce Committee Chairman John Thune (R-SD) hammered the Federal Communications Commission at a hearing for not investing enough in subsidizing and deploying broadband to rural areas like his home state, calling it an "unacceptable failure" and adding that he has urged FCC Chairman Ajit Pai to act immediately to correct the situation. Chairman Pai's office signaled it agreed the FCC's budget-control mechanism worked against closing the rural digital divide, and it was on the way to fixing it.

"[R]ural Americans should never be left behind their urban counterparts," Chairman Thune said. Ranking Member Amy Klobuchar (D-MN) echoed that concern, calling broadband deployment the infrastructure challenge of this era. Both expressed concerns about lack of broadband on tribal lands and both called for addressing the funding shortfall and the cap on the Universal Service Fund high-cost fund before the end of 2018. A spokesperson for Chairman Pai said, "Chairman Thune is right that the last Administration’s budget control mechanism has stymied efforts to close the digital divide in rural America. That’s why chairman Pai led his colleagues earlier this year to devote an additional $500 million to small, rural carriers that serve their communities. And that’s why he hopes his colleagues will join him later this year in establishing a sufficient and predictable budget so that those in rural communities are not left behind any longer.”

Senators urge USDA to fund broadband in ‘geographically challenged’ areas

J Craig Anderson  |  Portland Press Herald

Sens. Susan Collins (R-ME) and Angus King (I-ME) have joined a bipartisan group urging the Department of Agriculture to direct funding for broadband internet expansion to high-need rural areas. They urged the USDA to set aside part of a $600 million rural broadband fund for “geographically challenged” areas. They cited a Federal Communications Commission statistic that of the 24 million US households that do not have reliable, affordable, high-speed internet service, 80 percent are in rural areas. In addition to Sens. Collins and King, the letter was signed by Sens. Joe Manchin(D-WV),  Dean Heller (R-NV), Dan Sullivan (R-AK), Shelley Moore Capito (R-WV), Maggie Hassan (D-NH), and Jeanne Shaheen (D-NH). 

Suit to block California's net neutrality law could be overshadowed by broader challenge in DC Circuit

Maura Dolan  |  Los Angeles Times

When the Trump administration decided to dump net neutrality rules designed to treat all data equally, the states revolted. Thirty legislatures introduced bills to prohibit internet service providers from hindering access to certain sites and charging fees for faster speeds. Four states, including California, passed laws, and six governors issued executive orders declaring they would not do business with internet providers that violated net neutrality.  The Trump administration decided to fight back and challenge California’s law, the broadest in the nation. It would restore Obama-era rules governing internet access, which barred blocking, throttling and paid prioritization and established a process for filing complaints. The broadband industry followed up with a suit of its own to block California’s law. But the bigger legal fight is being waged before the US District of Columbia Circuit Court of Appeals. Public interest groups, companies and 32 states, including California, have challenged the Federal Communications Commission’s decision last year to end regulation of internet providers. A ruling is expected sometime in 2019. The Trump administration’s lawsuit asks that California’s new law, which is supposed to take effect in January, be put on hold until the DC Circuit court rules.

If the feds won’t fight for your internet freedom, every state should

Editorial staff  |  Editorial  |  Chicago Sun-Times

Trying to protect an open internet state by state, rather than by federal law, is a daunting and unwieldy goal. Unfortunately, it’s also entirely necessary, given that the Trump administration and Congress are more than happy to let internet providers restrict what we — the American people — can see and access online. As much as the internet has been abused by bogus web and social media sites, an independent internet is an important part of maintaining an informed citizenry. Getting rid of net neutrality means you might pay more for such things as streaming movies from particular sites. You might also suddenly find you can’t go into competition with an established web-based company with your own web-based start-up because you don’t have the deep pockets to pay for fast internet speeds.

FCC's Data Overstate Access, and Tribes Face Barriers Accessing Funding

Mark Goldstein  |  Research  |  Government Accountability Office

Tribal lands have lower levels of broadband access than the rest of the nation. Congress has prioritized identifying unserved areas and targeting funds to increase broadband deployment, including on tribal lands. In this testimony, the GAO found:

  • this digital divide on tribal lands may be larger than estimated because Federal Communications Commission data overstate availability on tribal lands
  • tribes face barriers to obtaining funds to improve access. Less than 1 percent of broadband funding from programs we reviewed went directly to tribes from 2010 to 2017.

Smartphone-only internet users grow from 12% in 2016 to 20% in 2018

Matt Kapko  |  Fierce

A growing number of US households are exclusively accessing the internet via smartphones, according to a new report from the Pew Research Center. While much of the discussion about cord cutting in the US is focused on households that are canceling cable or satellite TV services, this latest finding indicates the trend is now expanding into broadband services. “The number of people who are smartphone-only internet users—meaning they own a smartphone but do not have traditional home broadband service—has grown from 12% in 2016 to 20% this year,” according to the latest survey. Moreover, while the proportion of American adults with high-speed broadband service at home has steadily increased since 2000, adoption rates have been declining since 2016. Saturation levels may have peaked in 2016 when 73% of US residents had broadband service at home. As of the beginning of 2018, adoption dipped to 65%.

Cumberland County (Maine) working to provide models for municipal broadband networks

J Craig Anderson  |  Portland Press Herald

Cumberland County (Maine) is in the process of creating a playbook that communities could use to develop their own municipal broadband internet networks. The county issued a request for proposals for a community broadband study that would cost up to $25,000, funded by a federal Community Development Block Grant. A handful of potential bidders already have expressed interest in performing the study. The purpose of the study is to create a set of guidelines for communities that want to build their own broadband networks in collaboration with neighboring cities and towns, said Cumberland County Director of Public Affairs Travis Kennedy. The problem Cumberland County is trying to solve is that building a municipal broadband network is risky, expensive and complicated, especially if a town tries to go it alone.

Georgia Tackles Broadband Expansion And Local Control

Tasnim Shamma  |  WABE

Rural Georgia needs better internet access quickly, but state lawmakers said internet companies won’t expand to rural areas if there’s too much red tape. Lobbyists said their companies are spending too much time negotiating with each city and county for access to roads to install broadband equipment. So state lawmakers and local elected officials will meet for the first time to talk about who has the right of way. Dublin Mayor Phil Best said the residential areas of town are where broadband service spotty. He said he welcomes internet providers, but he wants to keep local control of his city. Best is also first vice president of the Georgia Municipal Association, which represents the interests of city governments in Georgia. He said cities want companies to install broadband access in their communities quickly, but how to make sure their assets and ordinances are respected at the same time is “the $10,000 question.”

The CA Midpeninsula Regional Open Space District (MROSD)'s Special Push for Broadband

Skip Descant  |  Government Technology

A Q&A with Garrett Dunwoody, who oversees the Information Systems and Technology Department at the Midpeninsula Regional Open Space District (MROSD), which manages and protects 63,000 acres down the middle of the San Francisco Peninsula into San Mateo and Santa Clara counties in California. 

The issue of connectivity and access to broadband remains persistent through many swaths of rural America. Groups overseeing natural lands also encounter connectivity struggles as they navigate the day-to-day difficulties of managing open space. The MROSD was formed in 1972 and is charged with building and managing a regional greenbelt in perpetuity. Dunwoody has been leading efforts to improve connectivity among the organization’s various offices."A lot of our field offices are in remote locations within our preserves. So we’re in the process right now of working with Comcast Solutions to implement what we’re calling a districtwide fiber-optic network. We’re connecting all of our field offices with fiber-optic cabling," he said. "This project is twofold. One is the capital project to actually run the fiber-optic cable to those various locations. And then the second part of the project is more services-based. What we’re building is what Comcast calls Ethernet Network Service. We’ll basically be connecting our field offices all within a virtual private network [VPN]."

Delta Aspires To Offer Free In-Flight Wi-Fi For All Passengers

Jordan Bishop  |  Forbes

Delta Air Lines’ CEO Ed Bastian said that the airline was working hard toward offering free in-flight Wi-Fi to all of its passengers. Though Bastian neglected to attach an exact timeline to his claim, he noted that the plan comes in response to Delta passengers’ vocal desire for fast, free connectivity. “I don’t know of anywhere else, besides in an airplane, that you can’t get free Wi-Fi,” Bastian opined. “We’re going to make it free.” Not everything about the shift is positive, though, as in-flight Wi-Fi also leaves passengers vulnerable to hacking in ways they generally aren’t on the ground. In the confined locale that is an airborne aircraft cabin, hackers have more leverage than many of us are prepared to combat, and some even use sophisticated hardware stowed in carry-on baggage to access data better kept behind closed doors. As a result, cybersecurity is becoming an increasingly pressing issue for airlines worldwide. 

Satellites

Company that launched satellites without permission gets new license to launch more probes

Loren Grush  |  Vox

Aerospace startup Swarm Technologies, which has grand ambitions of providing low-cost internet connectivity with 100 tiny satellites and which infamously launched four satellites without a federal license in Jan, has received permission from the Federal Communications Commission to launch a new crop of satellites later in 2018. The approval comes while the FCC is still deciding whether to take any retaliatory action against Swarm for the unauthorized January launch. Swarm is planning to launch three new satellites on board a SpaceX Falcon 9 rocket from CA in Nov. The FCC granted Swarm what is known as a Special Temporary Authorization for the upcoming flight. That means this is just a one-time license for Swarm, valid from Sept 24th, 2018, to March 24th, 2019.

Ownership/Competition

DOJ Antitrust Chief Delrahim: Criminal Case Against Anti-competitive Search Algorithms Coming

John Eggerton  |  Broadcasting&Cable

At the Senate antitrust subcommittee hearing on Oct 3, Department of Justice antitrust chief Makan Delrahim teased that the DOJ is wrapping up what it bills as a first-ever criminal case against the anticompetitive use of search algorithms in a "price-fixing scheme." Sen Richard Blumenthal (D-CT) asked about search algorithms used by companies "like Google or Yelp!" that use algorithms that can have "profound market effects," like disadvantaging less tech-savvy small businesses by "guiding users away from the best option at the cheapest price." He asked what resources Delrahim had to scrutinize algorithms and AI systems as a "potential misuse of market power." The antitrust chief suggested they were already being employed in that pursuit. Delrahim said that the anticompetitive use could take a couple of forms, like two potential competitors using the same algorithm "as a way of effectuating a price-fixing scheme." "We actually have a case that's a criminal case that is going to be coming to conclusion in the next two weeks, I think, and then we will make public the use of that, and I believe it is the first of its kind." He said if there is market power that can harm innovation or new entry or other threat to market power via that algorithm, "it certainly could be a violation of the antitrust laws," he said, but that it is something the US and the European Union are struggling with.

Privacy

Principles for an ‘Internet Bill of Rights'

Rep Ro Khanna (D-CA)  |  Press Release  |  House of Representatives

A set of consumer data privacy regulations principles for an ‘Internet Bill of Rights.’ You should have the right:

(1)       To have access to and knowledge of all collection and uses of personal data by companies;

(2)       To opt-in consent to the collection of personal data by any party and to the sharing of personal data with a third party;

(3)       Where context appropriate and with a fair process, to obtain, correct, or delete personal data controlled by any company and to have those requests honored by third parties;

(4)       To have personal data secured and to be notified in a timely manner when a security breach or unauthorized access of personal data is discovered;

(5)       To move all personal data from one network to the next;

(6)       To access and use the internet without internet service providers blocking, throttling, engaging in paid prioritization, or otherwise unfairly favoring content, applications, services, or devices.

(7)       To internet service without the collection of data that is unnecessary for providing the requested service absent opt-in consent;

(8)       To have access to multiple viable, affordable internet platforms, services, and providers with clear and transparent pricing;

(9)       Not to be unfairly discriminated against or exploited based on your personal data; and

(10)   To have an entity that collects your personal data have reasonable business practices and accountability to protect your privacy.

Elections

Vice President Pence Accuses China Of Trying To Interfere In U.S. Elections, Calls Out Google

Scott Horsley, Michael Bender, Dustin Volz  |  National Public Radio, Wall Street Journal

Vice President Mike Pence amplified the charge leveled by President Donald Trump recently, saying China has used covert actors, front groups and propaganda in an attempt to sway US public opinion. "To put it bluntly, President Trump's leadership is working and China wants a different American president," Pence said. "As a senior career member of our intelligence community recently told me, what the Russians are doing pales in comparison to what China is doing across this country." The vice president pointed to an advertising supplement China ran in the Des Moines Register, which he said "cast our trade policies as reckless and harmful to Iowans."

VP Pence also took aim at Google, calling on the tech giant to halt development of a project it said would accelerate censorship efforts in China. “For example, Google should immediately end development of the Dragonfly app that will strengthen Communist Party censorship and compromise the privacy of Chinese customers,” VP Pence said. 

Rep. Pallone to Tech Giants: Are Foreign Agents Using Social Media Platforms to Influence the Kavanaugh Nomination?

House Commerce Committee Ranking Member Frank Pallone, Jr. (D-NJ) wrote to the CEOs of Alphabet, Facebook and Twitter following concerning reports of Russia-linked efforts to influence the national debate over the Supreme Court nomination of Judge Brett Kavanaugh. In his letters, Ranking Member Pallone requests answers on the companies’ efforts to safeguard the American political system and to combat foreign interference campaigns on their platforms. "As Americans discuss critical issues—including the nomination, allegations of sexual assault, and victim’s rights—using your platforms, I urge you to protect our nation from foreign agents sowing discord and promoting tribalism," he wrote. As part of his inquiry, Rep. Pallone is requesting an update on the tech companies’ efforts to combat foreign influence campaigns and answers to a series of questions, requesting responses to his letter no later than Oct 18, 2018.

Platforms

Smaller outlets reduce, scrap Facebook promotion over new political ad rules

Mathew Ingram  |  Columbia Journalism Review

When Facebook announced in April that it would create a public database of political advertising, it seemed like a meaningful step—something that might make it harder for Russian trolls and other bad actors to try to manipulate public opinion using the company’s self-serve ad platform. But it soon became obvious the move would cause problems for media companies: In a follow-up post, Facebook said that any news stories on political topics that were promoted or “boosted” to extend their reach in the News Feed would also be labeled as political ads and put in the database.

To promote political news stories, Facebook requires that publishers apply and be authorized as a political advertiser—presumably to prove that they aren’t a front for a Russian or Iranian troll factory. The process requires the uploading of official ID, such as a driver’s license, a passport, or the last four digits of a Social Security Number, along with receipt of a registered letter at an approved US address. For larger media outlets, these requirements might be complicated and annoying. For smaller publishers, Facebook’s new rules can be so unwieldy and demanding—and the definition of what constitutes a “political news story” so capricious—that small newsrooms in four states said they are either scaling back their Facebook usage or, in some cases, have given up on promoting their content there at all.

Government & Communications

Trump’s tweets are less read and influential than people may think

Marisa Fernandez  |  Axios, Public Affairs Council

A new Public Affairs Council/Morning Consult poll reveals that a majority of Americans have become indifferent toward President Trump's tweets on business, political news and campaign finances practices. Several polls have revealed Americans distrust political news from social media, but now responses show the president is no exception. Overall, the poll of 2,200 adults revealed that people have a cynical attitude toward information on politics and business news. Social media — what used to be a sound marketing strategy to reach people may now backfire. Since 2017, big tech has dropped from first to fourth place in public trust, and the largest percentage decline compared with nine other sectors.

Policymakers

Reps McNerney (D-CA), Latta (R-OH) Launch Bipartisan Wi-Fi Caucus

Press Release  |  US House of Representatives

In an effort to provide a much-needed forum for Members of Congress and staff to learn about Wi-Fi-related issues affecting their constituents, Reps Jerry McNerney (D-CA) and Bob Latta (R-OH) announced the launch of the bipartisan Congressional Wi-Fi Caucus to open a dialogue about appropriate policy solutions that can address today’s pressing concerns. Wi-Fi is the primary technology for internet access, delivering more than half of all internet traffic and over sixty percent of mobile network traffic offload. While a number of existing caucuses focus on policy issues that overlap, there is currently no caucus dedicated to addressing the policy issues specific to Wi-Fi. The Congressional Wi-Fi Caucus will focus its efforts on Wi-Fi in relation to a number of issues, including 5G, cybersecurity, internet-of-things (IoT), smart cities, spectrum optimization, autonomous vehicles, agriculture, energy, infrastructure, and more. 

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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 Robbie McBeath (rmcbeath AT benton DOT org) — we welcome your comments.


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