Wednesday, December 19, 2018
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Charter refund to Broadband Customers
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Net Neutrality Fight Made Allies of Wireless Industry, Conservative Dark Money Organizations
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Broadband/Internet
Charter is returning $62.5 million to New Yorkers over slow Internet speeds in what regulators call the biggest ISP refund ever

In what regulators are calling the largest refund in US history by an Internet provider to consumers, Charter Communications will pay more than $62.5 million -- and free subscriptions to HBO or Showtime -- to New York customers who allegedly didn’t receive the Internet speeds they were promised, according to New York Attorney General Barbara Underwood. The $174 million total settlement puts an end to a months-long legal battle between the state of New York and the nation’s second-largest cable company, whose subsidiary Time Warner Cable was accused of providing slow routers and modems to customers that prevented them from accessing the download speeds they had signed up for. As many as 700,000 New Yorkers will be receiving the direct refunds, between $75 and $150 each. Another 2.2 million will be eligible for the free premium and streaming channels, which are collectively valued at more than $100 million, Underwood’s office said in a release. "This settlement should serve as a wake-up call to any company serving New York consumers: Fulfill your promises, or pay the price,” said Underwood, who added that the action “sets a new standard” for corporate advertising.
Charter said the lawsuit stemmed from Time Warner Cable’s advertising practices from before the two companies merged.
“We are pleased to have reached a settlement with the Attorney General on the issue of certain Time Warner Cable advertising practices in New York prior to our merger, and to have put this litigation behind us,” Charter said in a statement. “Charter has made, and continues to make, substantial investments enhancing Internet service across the state of New York since our 2016 merger.”
Data collected by the Federal Communications Commission show that about 93 percent of Charter’s customers nationwide receive a median download speed that is on par with their advertised speed tier.

A pair of telecommunications industry trade organizations gave more than $3 million to nonprofit organizations that helped secure the repeal of network neutrality policies in 2017, according to tax returns reviewed by MapLight. CTIA, a wireless industry group, and NCTA--The Internet and Television Association (formerly known as the National Cable and Television Association), emerged on the winning side of a decade-long battle over rules that required internet providers to offer equal access to all users. While it had been suspected that conservative dark money was supporting the telecommunications giants, the tax returns reveal they funneled millions to nonprofits that supported pushing their anti-regulatory agenda into another daily part of American life.
The American Legislative Exchange Council (ALEC), a notorious “bill mill” for conservative state legislators that’s funded by libertarian billionaire Charles Koch, was among the more high-profile conservative dark money organizations that received CTIA money in 2017. Records show the trade association gave ALEC a $17,000 grant. Like the wireless carrier organization, NCTA also contributed heavily to Koch-funded nonprofit organizations including Americans for Tax Reform ($50,000); American Commitment ($20,000); the Arlington (VA)-based Mercatus Center ($100,000); and Americans for Prosperity ($10,000), the Koch network’s flagship political organization.

AT&T plans to launch its own streaming service in 2019, drawing on content from DC Comics and Harry Potter that was acquired as part of the recent Time Warner deal. But telecommunication companies have a unique advantage: they control the content and the networks that content travels over, presenting a wonderful opportunity to hamstring competitors and unfairly advantage their own services. Heavy-handed tactics like throttling and usage caps would have been blocked by the 2015 network neutrality rules. But the rules were rolled back by Trump Federal Communications Commission Chairman Ajit Pai, and those networks could be a crucial advantage in the streaming wars. “The repeal of net neutrality — and more importantly, the abdication of the FCC’s duty to protect consumers and competition in the broadband market — ensure that AT&T will have carte blanche to discriminate in favor of the video content it owns,” says Benton Senior Fellow Gigi Sohn. “Whether it means freeing Time Warner and DirecTV content from restrictive data caps to the detriment of other streaming services, or charging cable and satellite rivals more for must see programming, AT&T will certainly take advantage of an absent FCC and weak antitrust enforcement,” Sohn says.

The Federal Communications Commission is fueling the war over media consolidation by opening the door to another deregulatory spree targeting rules that stop local broadcasters from merging. The FCC voted recently to begin a legally-mandated review of the agency’s media ownership rules. That includes asking whether the current rule — which bans a company from owning more than one of the top four stations in a market — “continues to foster competition, the stated primary goal of the rule, and thus should be retained or whether the promotion of localism or viewpoint diversity also provides justification for retaining the rule.” (Right now, you can own two stations in a market — but only one of the top four, unless the FCC waives the prohibition.) It also asks for input on the necessity of a rule that two of the nation’s top four networks — NBC, ABC, CBS and Fox — can’t merge at the local level. “We’re getting to a point where if they weaken it even further in small markets you could have one media voice across the board,” said Benton Senior Fellow Gigi Sohn.

AT&T says its 5G network went live in parts of 12 cities Dec 18, making it the first wireless carrier to launch a mobile network based on the 5G standard. A small number of customers will be able to use the network starting on Dec 21, when AT&T will begin distributing its first 5G device: a mobile hot spot that can connect to the network’s much faster airwaves. But it’ll be a slow launch; you won’t be able to go out to a store and buy AT&T’s 5G hot spot for several more months. For now, AT&T is reaching out to businesses in the area and inviting them to try out the new tech, seemingly as a way to ease in the network and make sure it’s working well before bringing more and more people onto the service. The announcement suggests that future 5G devices will also require “5G compatible” data plans in order to connect to the faster network. That initial plan is more expensive than the LTE plan offered with a similar 4G hot spot ($50 for 10GB), but it also offers more data. And despite the hot spot launching this week, AT&T still isn’t offering real-world speed estimates. A spokesperson said the hot spot has peak theoretical speeds of 1.2 Gbps, but that “actual speeds will be lower.”

As 2018 comes to a close, Sprint said it has much to show for the roughly $5 billion it spent upgrading its network throughout the course of this year. “We are celebrating a banner year for the Sprint network,” wrote CTO John Saw. “We made a massive investment to drive strong improvements in our network performance today and prepare to launch mobile 5G starting in the first half of next year. We’re ending this year with our biggest LTE data coverage footprint, LTE Advanced nationwide which is up to 2X faster than before on capable devices, and Gigabit Class LTE performance in more than 270 cities.” Sprint’s progress toward its 5G launch is noteworthy considering the company is working to close its proposed merger with T-Mobile. Under that blockbuster agreement, T-Mobile’s management would largely take control of the combined company and would embark on a major nationwide deployment of 5G services across T-Mobile’s 600 MHz and Sprint’s 2.5 GHz spectrum.
Elections
Congressional Black Caucus Statement on Russian Attempts to Suppress African American Turnout in 2016 Election

The Congressional Black Caucus (CBC) – led by Chairman L. Cedric Richmond (D-LA), and Congressional Black Caucus Diversity Task Force Co-Chairs, Reps Barbara Lee (D-CA) and GK Butterfield (D-NC) – issued the following joint statement in response to a new report prepared for the Senate Select Committee on Intelligence, which reveals Russia targeted African American voters in attempts to suppress the vote in the 2016 election:
“During the 2016 presidential election cycle, hundreds of thousands of minority voters were disenfranchised before they even had a chance to walk into the voting booth. As today’s report produced for the Senate Select Committee on Intelligence makes clear – this was a carefully orchestrated effort by Russian actors to exploit social media platforms in order to suppress turnout among black voters. This campaign of disinformation is extremely disconcerting because black voter turnout declined in 2016 – for the first time in 20 years. While this next Congress gives both Democrats and Republicans an opportunity to address election security, we call upon the President to take the security of our elections seriously and work with the Secretary of Homeland Security and the FBI to stop foreign election meddling efforts. The CBC would also like to hear directly from Mark Zuckerberg at Facebook, and CEOs of other companies whose platforms were weaponized, about what they knew, and concrete steps they will implement to address future attempts at disinformation campaigns. We cannot allow the deceit and misinformation that characterized the 2016 elections to be repeated in the future.”

The researchers behind the blockbuster reports detailing a sweeping online influence campaign by Russia during and after the 2016 election offer what to expect ahead. Bharath Ganesh of Oxford University said trolls are likely to move into the background and “embed” themselves among activist groups critical of US institutions in order to amplify their voices. That is, instead of generating their own content to inflame America’s social and political divides, they’ll likely share, retweet and otherwise engage with genuine, domestically produced content that aligns with those goals, falsely inflating its apparent reach, according to Ganesh and Renee DiResta, a researcher at New Knowledge. DiResta said it’s harder to spot manipulation when trolls are able to piggyback off real users conveying the messages they want to spread. Russian trolls are no strangers to shifting their resources around the web to circumvent rule changes and controls that social media sites instituted in response to disinformation campaigns and trolls.

For years, Facebook gave some of the world’s largest technology companies more intrusive access to users’ personal data than it has disclosed, effectively exempting those business partners from its usual privacy rules. Facebook's internal records provide the most complete picture yet of the social network’s data-sharing practices. They also underscore how personal data has become the most prized commodity of the digital age, traded on a vast scale by some of the most powerful companies in Silicon Valley and beyond.
The exchange was intended to benefit everyone. Pushing for explosive growth, Facebook got more users, lifting its advertising revenue. Partner companies acquired features to make their products more attractive. Facebook users connected with friends across different devices and websites. But Facebook also assumed extraordinary power over the personal information of its 2.2 billion users — control it has wielded with little transparency or outside oversight. The social network allowed Microsoft’s Bing search engine to see the names of virtually all Facebook users’ friends without consent, the records show, and gave Netflix and Spotify the ability to read Facebook users’ private messages.

President Donald Trump went after tech giants Twitter, Facebook and Google, claiming they are “biased” against Republicans and have removed several conservative accounts from their platforms. “Facebook, Twitter and Google are so biased toward the Dems it is ridiculous! Twitter, in fact, has made it much more difficult for people to join @realDonaldTrump. They have removed many names & greatly slowed the level and speed of increase. They have acknowledged-done NOTHING!” he said in a tweet.

New studies suggest that efforts to bring transparency to media — including attempts by journalists to publicly defend their work, media literacy campaigns, more transparent funding and improved fact-checking partnerships — have helped the media recover a bit of trust with the public after hitting an all-time low in 2016. While trust in the news media has recovered slightly since 2016, it still remains low compared to decades of prior research conducted by Gallup. This could be affected by the larger trends affecting confidence in many major US institutions, which began to decline in 2005, per Gallup.

The US Senate unanimously passed the Reliable Emergency Alert Distribution Improvement (READI) Act. The bipartisan legislation will ensure more people receive relevant emergency alerts on their mobile phones, televisions, and radios, explore new ways of alerting the public through online video and audio streaming services, track and study false alerts when they occur, and improve the way states plan for emergency alerts. “When a missile alert went out across Hawai‘i in January, some people never got the message on their phones, while others missed it on their TVs and radios. Even though it was a false alarm, the missile alert highlighted real ways we can improve the way people receive emergency alerts,” said bill sponsor Sen Schatz (D-HI). “Our bill fixes some of these issues and will help make sure that in an emergency, the public gets the right information they need as quickly as possible.”

The Federal Communications Commission is required to review biennially its regulations “that apply to the operations or activities of any provider of telecommunications service” and“determine whether any such regulation is no longer necessary in the public interest as the result of meaningful economic competition between providers of such service.” The FCC must repeal or modify any regulation that it finds are no longer in the public interest. With this Public Notice, the relevant FCC Bureaus and Offices seek comment from the public as to what rules should be modified or repealed as part of the 2018 biennial review. Submissions should identify with as much specificity as possible the rule that the commenting party believes should be amended or repealed, and explain why and how the rule should be amended or repealed. We seek such comment for all rules that are outdated, archaic, or otherwise not in the public interest. To facilitate review, comments should be filed in the appropriate docket (or dockets for rules within the jurisdiction of more than one Bureau or Office).

Multiple holds may prevent the Senate from advancing long-stalled Federal Communications Commission nominations before Congress adjourns, which could come as soon as Dec 21 if lawmakers resolve government funding negotiations. Sens. Joe Manchin (D-WV) and Dan Sullivan (R-Alaska) still maintain holds on the nomination of FCC Commissioner Brendan Carr for a full term. The holds on Carr are also blocking FCC nominee Geoffrey Starks from being seated as a commissioner, as lawmakers want to advance the two nominations as a pair. The latest obstacle is Sen Manchin, who announced he would block Carr in response to the FCC pausing its Mobility Fund wireless subsidy auction to probe whether wireless carriers knowingly supplied inaccurate broadband coverage data for the program. Sen Manchin wants “a firm timeline on the Mobility Fund funds to be released,” an aide said. Sen. Roger Wicker (R-MS), Manchin’s longtime partner in criticizing FCC broadband mapping, disagrees, saying the FCC has made “a correct decision” and “ought to get it right before” disbursing subsidies based on inaccurate information. Wicker’s office confirmed he’s pleased enough with the investigations that he is no longer trying to add a broadband mapping rider to a government funding bill. Sen Sullivan, meanwhile, is still blocking Commissioner Carr following a months-long fight over the FCC’s rural health care program subsidies. He secured a private meeting with FCC Chairman Ajit Pai and a commitment, unveiled in a Pai letter, to overhaul the program rules in 2019. But Sen Sullivan isn't sure that's enough to lift the hold.
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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