Benton’s weekly digest recaps the biggest (or most-overlooked) communications stories of the week. See https://www.benton.org/benton-weekly-digest
After net neutrality, brace for Internet 'fast lanes'
Now that the Federal Communications Commission has repealed net neutrality, it may be time to brace for the arrival of internet "fast lanes" and "slow lanes." Queried about their post-net-neutrality plans, seven major internet providers equivocated when asked if they might establish fast and slow lanes. None of the seven companies — Verizon, AT&T, Comcast, Charter, Cox, Sprint and T-Mobile — would rule out the possibility. Most merely said they had “no plans” for paid prioritization, and a few declined to answer the question at all. By contrast, several of these firms promised not to block or slow down specific internet sites and services, two other practices prohibited by the expiring net-neutrality rules. (Those rules won’t formally end until sometime in early 2018.) Any such move could set off a public uproar and might even trigger an antitrust investigation. Here are the net-neutrality promises from the country’s biggest wireless and cable companies.
26 senators are supporting a resolution to undo the FCC’s net neutrality repeal
As of Dec 20, 26 US senators have pledged to vote for a resolution that would overrule the Federal Communications Commission's net neutrality repeal through the Congressional Review Act. Senators who have signed on to the resolution now include Ron Wyden (D-OR), Minority Leader Chuck Schumer (D-NY), and Elizabeth Warren (D-MA).
Sen Markey Statement on Rep. Blackburn’s Net Neutrality Legislation
When Chairmen Thune and Upton released their draft net neutrality bill in 2015, I called it a legislative wolf in sheep’s clothing, offering select few safeguards while taking away the FCC’s future authority over broadband. Congresswoman Blackburn’s bill is even worse. This legislation doesn’t just rip authority away from the FCC to protect consumers, it goes further to undermine the very spirit of net neutrality by allowing broadband providers to establish internet fast and slow lanes. Rather than legislation that would permanently undermine the free and open internet, Congress should pass my Congressional Review Act resolution and restore the Open Internet Order.
Where Were Netflix and Google in the Net-Neutrality Fight?
The most recent chapter in the debate over net neutrality has been, like previous chapters, cacophonous. One notable difference this time around, though, was the relative quiet of many large tech companies. In previous years, these firms had been outspoken about the issue. What changed? Netflix’s net-neutrality journey is an illuminating example. The reality is that Netflix and other large tech companies, such as Facebook and Google, have grown so dominant that net neutrality has become a nonissue for them. They’re aware that their extensive, loyal user bases can protect them from any unfavorable deals that internet-service providers (ISPs) might devise—there’s leverage to be gained from becoming a platform that broadband customers expect ready access to. And unlike smaller businesses, which lack that leverage, big tech companies have the political clout to fight policies they don’t want—should they choose to.
From Neutrality to Inequality: Why the FCC Is Dismantling Equal Access and What It Could Mean for Education
[Commentary] Faculty members who teach face-to-face may imagine that the vote by the Federal Communications Commission to dismantle net neutrality doesn’t touch them, since their instruction is exclusively on campus, not plugged in to the web. Unfortunately, they’re mistaken. Online or off, teaching and doing research in today’s immersive digital environment makes it almost impossible for anyone—even technophobes—to hide from the web. These days hardly a class exists at any college or university that operates without logging onto a learning management system. The college library, catalog, financial aid, admissions, registration, and of course, the school’s website, all have important digital services and are all easily accessible on the net. Today, no one can teach, perform research, issue grades, enroll, or engage in a thousand and one other routine functions, without clicking on a computer or smartphone. Like blood rushing through the university’s veins, the internet is the juice that connects everything. The new FCC rules do not follow in the liberated direction imagined by the internet’s inventors. With ISPs given the reckless authority to block and shutdown sites, academic freedom is a potential target—along with other guarantees of equal access. [Robert Ubell is vice dean emeritus of online learning at NYU’s Tandon School of Engineering, and author of the collection, Going Online: Perspectives on Digital Learning]
The Attack on Net Neutrality Is Just One Small Part of a Much Bigger, Dumber Plan
Internet users have been justly outraged by the Federal Communications Commission’s decision to ignore the public and repeal net neutrality rules. But few media outlets or internet users seem to understand that the net neutrality repeal is just one small part of a massive, larger plan to eliminate nearly all meaningful federal and state oversight of some of the least-liked and least-competitive companies in America. To be clear: the net neutrality repeal itself is awful policy that ignores both the will of the public and the people who built the damn internet. It eliminates a wide variety of consumer protections that prevent incumbent ISPs from abusing a lack of competition in the broadband market. But it’s actually much worse. There’s another angle to the FCC’s “Restoring Internet Freedom” proceeding that should be even more worrying. A big part of the FCC’s plan involves rolling back the FCC’s tailor-made authority over broadband providers, then shoveling all remaining government oversight to the Federal Trade Commission ill-equipped to handle it. Why is that a problem? The FTC has no rule-making ability, and can only move to protect consumers after a violation has occurred. And that action can only occur if it’s painfully clear that an ISP engaged in “unfair and deceptive” behavior, something that’s easy for an ISP to dodge in the net neutrality era, where anti-competitive behavior is often buried under faux-technical jargon and claims that it was done only for the health and safety of the network.
The FCC's Next Stunt: Reclassifying Cell Phone Data Service as 'Broadband Internet'
The Federal Communications Commission's decision toi repeal net neutrality was a major blow to internet freedom, but it’s only the first in a long line of actions that the FCC will take to tell itself that America’s broadband situation is better than it actually is. Up next: redefining high speed wired internet to include cell phone service. Because, according to FCC Chairman Ajit Pai, that’s totally the same thing. This idea to reclassify smartphone data as broadband was first proposed in August, but with the net neutrality repeal out of the way, the FCC is expected to vote on the proposal by February 3. Currently, the FCC defines broadband connection as 25Mbps download speeds and 3Mbps upload speeds minimum. The new proposal would keep these minimums in place for fixed wireline broadband but also expand the definition to include cell phone data coverage. This would not only camouflage many of the communities in the US with no access to the internet, but could prevent them from getting necessary funding to build that access. Cell service is often slower, more expensive, and comes with data caps, and even tethering a computer to a phone for internet isn’t a long-term solution, especially for families with multiple people trying to log on at once to do homework, or work, or watch Netflix. “It seems antithetical to all the other efforts we’re doing,” said Deb Socia, the executive director of Next Century Cities, a coalition of municipalities aimed at expanding local broadband access. “I spent a good part of my life as a teacher and a principal. If I had a classroom full of children that included a lot of failing students, I wouldn’t change my standards [to increase the number of passing grades,] I’d change the intervention.”
Carriers Urge FCC to Close $110 Million Annual Broadband A-CAM Funding Gap
Letters from rural carriers have been pouring into the Federal Communications Commission to urge the commission to close the broadband Alternative Connect America Cost Model (A-CAM) funding gap before the end of 2017. It was just about a year ago that more carriers than expected chose to participate in the A-CAM broadband program, which will pay part of a carrier’s costs to bring broadband to unserved areas based on a cost model. Carriers had the choice of moving to the A-CAM program or remaining on the traditional high-cost Universal Service Fund (USF) program, which pays a portion of carriers’ costs based on embedded costs.
AT&T, CenturyLink, Frontier’s rural wireline, wireless expansions could benefit from FCC’s $2B CAF auction
AT&T, CenturyLink, Frontier and other providers that want to further expand rural broadband will soon be able to bid in the Federal Communications Commission’s $2 billion additional Connect America Fund II auction. The FCC has identified nearly 1 million homes and small businesses that will be eligible for broadband deployment support over the next 10 years. A large majority of the rural areas the FCC identified do not have access to broadband internet service. Given the low density of these areas, service providers are unlikely to expand service without federal support.
Why Tech Giants and Telecoms Should Join to Build an Internet for All
The need for competition and for affordable access to broadband remains. Rather than fight over net neutrality, the large internet companies and telecoms should take a cue from what happened to big financial institutions after the financial crisis of 2008-2009. Seen as the culprits for millions losing homes and retirements savings, banks were subject to draconian regulations, civil suits and hefty fines. If the public perceives that those companies are reaping disproportionate rewards at the public’s expense, it will act swiftly and punitively. Instead of waiting for antitrust suits and the backlash to accelerate, the giants of tech and telecom could preemptively agree on a set of principles and on a commitment to underwrite the costs of open, fast, and affordable access for all. Unless they want to see their social license to operate further compromised, and government regulations and antitrust action stepped up, internet and telecom companies would be wise to stop fighting each other and confront the mounting animus towards all of them. The FCC decision to revoke net neutrality may have tilted the field towards the ISPs, but does nothing to offset that larger challenge. The question is how to maintain that social license and provide for affordable access to high-speed internet. As Tim Wu, Columbia law professor and an early advocate of net neutrality rules, pointed out to me, “isn’t there a better way for the Silicon Valley winners to ensure that everyone has affordable, fast and easy access to the internet than allowing Comcast to charge Netflix for more bandwidth?” A more audacious scenario would be for all sides to agree on a substantial subsidy for broadband rollout and affordability.
Race to the top: Does competition in the DSL market matter for fibre penetration?
High speed broadband creates potential productivity gains and has a positive impact on economic growth. Achieving Europe's broadband access objectives will require large scale investment in next generation broadband networks, and it is imperative that an appropriate investment climate is created to encourage fibre network rollout. This study considers whether and how competition in the DSL market affects the incentives of operators to invest in the deployment of high-end fibre optic networks. Most earlier research on the drivers of investment in broadband technology has focused on the effect of mandatory access policies, such as local loop unbundling, or competing infrastructures. We posit that competition in the DSL sector may also influence fibre penetration, possibly to a considerable extent. We find that the relationship between service-based competition and fibre penetration is non-linear: a lack of or severe DSL competition is correlated with a negative effect on fibre penetration, but if a moderate degree of competition is already present in the market, more service-based competition may positively influence fibre penetration. The scale of these effects however varies with the openness of the DSL market: operators' incentives to invest in fibre appear to be more sensitive to changes in DSL competition if there is extensive local loop unbundling.
Taming monopolies in the digital age
[Commentary] Our nation has faced the corrosive power of monopolies before. The lack of competition that initially contaminated the industrial revolution was gradually tamed, and the benefits of technological progress eventually produced a secure and stable American middle class. But this achievement did not happen by accident, and was instead the product of a hard-fought effort to inject competition into an economy dominated by large and powerful companies. Once again, it falls to Americans and their leaders to rebalance the results of a technological revolution to benefit all, not simply the barons of the new technology. The dominance of companies — whether the networks or the services and content they deliver — has empowered them to make their own rules. And with their own rules comes marked pain for the middle class. It is a stark repeat of the early industrial era when companies exploited technology to control the economy, squash competition, and dictate take-it-or-leave-it terms to consumers. In the midst of the challenges facing 21st-century Americans, it is sometimes hard to find time to focus on how the corporate Goliaths of the internet are silently slipping their control into our daily lives. Yet, the time has come once again for the people to stand up and shout “Enough!” A key ingredient in the rise of a healthy sustainable middle class was people’s collective communication to their representatives in government to demand a rebalance of the inequities created by industrial power. A similar imbalance now exists in regard to digital power over each of our lives, our privacy, competition, and consumer protection.
Facebook is giving the US government more and more data
Every year, Facebook gets tens of thousands of requests for data from governments worldwide, including search warrants, subpoenas, or calls to restrict certain kinds of content. According to a new report released by the company on Dec. 18, these requests are increasing. In the US, the requests rose by 26% from the last six months of 2016 to the first six months of 2017, while globally, requests increased by about 21%. Since 2013, when the company first started providing data on government requests, the US number has been steadily rising—it has roughly tripled in a period of four years. Facebook has also been more forthcoming. In the first six months of 2013, it granted the government—which includes the police—79% of requests (“some data was produced” in these cases, the company says); in the first six months of 2017, that share rose to 85%.
President Trump blasts media for critical coverage of tax reform
President Donald Trump lashed out at the news media for what he said was demeaning coverage of Republicans' tax code overhaul. "The Tax Cuts are so large and so meaningful, and yet the Fake News is working overtime to follow the lead of their friends, the defeated Dems, and only demean," he said. "This is truly a case where the results will speak for themselves, starting very soon."
Apple Limits Performance in Old iPhones to Prevent Shutdowns
Apple, facing questions from users and tech analysts about reduced performance in older iPhones, acknowledged that its latest software curtails the computing power of some models to prevent unexpected shutdowns. It was a rare statement from the company that shed light on how Apple internally dealt with a growing user complaint. The statement came two days after John Poole, founder of the computer-performance testing group Geekbench, wrote a blog post illustrating how iPhone computing performance slows as battery health declines on iPhone 6s and iPhone 7 devices. Apple said that as iPhone batteries age, or in certain conditions such as cold weather or at low charge, they can struggle to respond to a phone’s power demands.
With Tax Reform, AT&T Plans to Increase US Capital Spending $1 Billion and Provide $1,000 Special Bonus to more than 200,000 US Employees
Once tax reform is signed into law, AT&T plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T US employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays. [AT&T announced on November 8 that it would step up US investment by $1 billion if a tax bill passed.]
How Working Hollywood Loses Under the New Tax Bill (Wrap, The)
Facebook Job Ads Raise Concerns About Age Discrimination
The ability of advertisers to deliver their message to the precise audience most likely to respond is the cornerstone of Facebook’s business model. But using the system to expose job opportunities only to certain age groups has raised concerns about fairness to older workers. Several experts questioned whether the practice is in keeping with the federal Age Discrimination in Employment Act of 1967, which prohibits bias against people 40 or older in hiring or employment. Many jurisdictions make it unlawful to “aid” or “abet” age discrimination, a provision that could apply to companies like Facebook that distribute job ads. “It’s blatantly unlawful,” said Debra Katz, a Washington employment lawyer who represents victims of discrimination.
FCC Chairman Pai Names Six Members to USAC Board of Directors
Federal Communications Commission Chairman Ajit Pai appoints the following individuals to the Universal Service Administrative Company (USAC) Board of Directors:
- Representative for schools that are eligible for discounts under to section 54.501 of the Commission’s rules: Joan H. Wade, Ed.D., Executive Director, Association of Educational Service Agencies;
- Representative for low-income consumers: Ellis Jacobs, Senior Attorney, Advocates for Basic Legal Equality, Inc.;
- Representative for competitive local exchange carriers: Joseph Gillan, Consultant, Gillan Associates;
- Representative for rural health care providers that are eligible to receive supported services pursuant to section 54.601: Katharine Hsu Wibberly, Ph.D., Executive Director, Mid-Atlantic Telehealth Resource Center;
- Representative for incumbent local exchange carriers (non-Bell Operating Companies) with $40 million or less in annual revenues: Geoffrey A. Feiss, General Manager, Montana Telecommunications Association; and
- Representative for interexchange carriers with annual operating revenues of $3 billion or less: Atilla Tinic, Senior Vice President, Enterprise Business Support Systems and International IT, CenturyLink.
CTIA Extends CEO Meredith Baker Contract
Meredith Attwell Baker, President and CEO of CTIA, has agreed to a five-year contract extension that will keep her as the head of the leading wireless industry group. Baker joined CTIA in 2014 and oversees the wireless industry’s political advocacy as well as key industry initiatives. Under her leadership, CTIA has broadened its reach attracting new members to reflect the growing importance of mobile to the US economy. CTIA has also invested in the technical and policy expertise needed for tomorrow’s challenges, launched a new annual convention, and developed key programs to help enable the wireless industry to better serve America’s mobile consumers. Prior to CTIA, Baker served as a Commissioner on the Federal Communications Commission and in leadership roles in the Department of Commerce, including Acting Administrator of the National Telecommunications and Information Administration. She has also served in senior leadership positions with national media and broadband companies
Uber Dealt Blow as EU’s Top Court Rules It Is a Transport Company
Uber suffered a major defeat in its effort to overturn strict rules and licensing requirements in Europe, after the bloc’s highest court ruled the ride-hailing company should be regulated as a transportation service, rather than a digital service. The judgment by the European Court of Justice won’t force Uber to curtail most of its services in Europe, but the decision is a blow to the company’s efforts to use courts to lighten its regulatory load—and forces it to deal more directly with national and local governments that set rules governing car and transport services in Europe. Those authorities have sought to hold Uber to often-strict rules and licensing requirements that apply to taxi and traditional car-hire services. The decision could have wider ramifications for Uber, and other sharing-economy firms, in markets beyond Europe.
Sesame Workshop & International Rescue Committee Awarded $100 Million for Early Childhood Education of Syrian Refugees (MacArthur Foundation)
How ‘Sesame Street’ will help Syrian refugee children and their families (Washington Post)
Misinformer of the Year: Facebook CEO Mark Zuckerberg (Media Matters for America)
Wave Broadband Files FCC Complaint Over Comcast Regional Sports Networks (Broadcasting&Cable)
Carlos Slim takes profits on New York Times investment Billionaire cuts stake after well-timed bet in the depths of financial cr (Financial Times)
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.
(c)Benton Foundation 2017. Redistribution of this email publication -- both internally and externally -- is encouraged if it includes this message. For subscribe/unsubscribe info email: headlines AT benton DOT org
Benton experts make knowledge and analysis accessible to include more people in communications policymaking.
Kevin Taglang
Executive Editor, Communications-related Headlines
Benton Foundation
727 Chicago Avenue
Evanston, IL 60202
847-328-3049
headlines AT benton DOT org