Daily Digest 12/4/2019 (Privacy)

Benton Institute for Broadband & Society
Table of Contents

Privacy

Senators' year-end push on privacy  |  Read below  |  Margaret Harding McGill  |  Axios, Wall Street Journal
Schatz Leads Group Of 16 Senators In Reintroducing Legislation To Help Protect People’s Personal Data Online  |  Read below  |  Press Release  |  US Senate
Game on: What to make of Senate privacy bills and hearing  |  Read below  |  Cameron Kerry  |  Analysis  |  Brookings Institution
Privacy for America Releases Detailed Policy Framework to Provide Strong Data Privacy Protections for All Americans  |  Read below  |  Press Release  |  Privacy for America
Should private citizens be able to sue companies like Facebook for misusing their data? Congress is split.  |  Vox
Consumer Technology Association: Privacy Bill Must Balance Protection with Innovation  |  Broadcasting&Cable
If you want to keep your data secure, worry less about Huawei and ZTE and more about the communications apps you choose  |  Fast Company
The longer and more often people use Facebook, the more ad preferences the site lists about them  |  Pew Research Center
FTC Announces Settlements with Four Companies Related to Deceiving Consumers over Participation in the EU-US Privacy Shield  |  Federal Trade Commission

Internet/Broadband

USDA Invests $18.88 Million in Rural Broadband for Alaskan Families  |  Read below  |  Press Release  |  Department of Agriculture
USDA Provides $6 Million to Expand Broadband Infrastructure for Two Rural Oregon Counties  |  Read below  |  Press Release  |  Department of Agriculture
Connecting rural America to broadband is a popular talking point on the campaign trail. In one Kentucky community, it’s already a way of life.  |  Read below  |  Sue Halpern  |  New Yorker
China’s Fiber Broadband Internet Approaches Nationwide Coverage; US Lags Severely Behind  |  Read below  |  Tyler Cooper  |  BroadbandNow

Universal Service

Report and Order on Deployment of Wi-Fi in Schools and Libraries  |  Read below  |  Public Notice  |  Federal Communications Commission
Federal Universal Service Support Mechanisms Quarterly Contribution Base for the First Quarter 2020  |  Read below  |  Public Notice  |  Universal Service Administrative Company

Satellites

Chairman Pai Remarks on the Space Economy at US Chamber of Commerce  |  Read below  |  FCC Chairman Ajit Pai  |  Speech  |  Federal Communications Commission

Wireless

Pentagon proposes sharing wireless spectrum with industry  |  Axios
Amazon Cloud teaming with Verizon to offer a 5G service that will push computing power closer to customers  |  Bloomberg

Ownership

An old FCC rule is being used to justify shrinking the Dayton “Daily” News to three days a week  |  Read below  |  Joshua Benton  |  Nieman Lab

Journalism

Efforts to fill local newsrooms are ramping up  |  Axios

Platforms/Content

Why Facebook Moderators Are Suing the Company for Trauma  |  Vice
A guide to fighting lies, fake news, and chaos online  |  Vox
Facebook's plan to keep growing bigger  |  Axios
Why YouTube Won’t Ban Trump’s Misleading Ads About Biden  |  Wired

Television

Cord-Cutting Pushed to ‘Tipping Point’ as Video Streaming Grows  |  Bloomberg

Emergency Communications

No End in Sight for FirstNet Interoperability Debate  |  Government Technology

Labor

Op-Ed: Google fired us for organizing. We’re fighting back.  |  Medium

Policymakers

Commissioner Carr Remarks on Receiving Public Service Award: Keeping Pace with Dynamic Industries  |  Read below  |  FCC Commissioner Brendan Carr  |  Speech  |  Federal Communications Commission

Company News

Google Co-Founders Page, Brin Give Up Management Roles  |  Read below  |  Rob Copeland  |  Wall Street Journal

Stories From Abroad

Analysis: Researchers uncover Russian-style information operation ahead of UK elections  |  Washington Post
Huawei founder Ren Zhengfei plans to relocate research centre to Canada from US  |  Toronto Globe and Mail
India, world’s biggest untapped digital market, erecting new protectionist barriers  |  Wall Street Journal
Today's Top Stories

Privacy

Senators' year-end push on privacy

Margaret Harding McGill  |  Axios, Wall Street Journal

After months of talks on bipartisan legislation, Senate Commerce Committee leaders have unveiled dueling privacy bills ahead of a hearing on Dec 4. But insiders believe the process might still yield a compromise both parties can embrace. Sen. Maria Cantwell's (D-WA) Consumer Online Privacy Rights Act would give the Federal Trade Commission greater enforcement authority and would allow consumers to enforce the law by bringing civil lawsuits. Sen. Roger Wicker (R-MS) circulated his discussion draft, the United States Consumer Data Privacy Act; the bill would:

  • Provide consumers with the ability to access, correct, delete and port data companies have about them, and it would provide limited rule-making authority to the Federal Trade Commission, according to a copy obtained by Axios.
  • Preempt state privacy regulations and would not provide individual citizens with a private right of action to sue companies, two sticking points for Democrats.

Schatz Leads Group Of 16 Senators In Reintroducing Legislation To Help Protect People’s Personal Data Online

Press Release  |  US Senate

Sen Brian Schatz (D-Hawai‘i) -- the top Democrat on the Senate Communications, Technology, Innovation, and the Internet Subcommittee -- led a group of 16 senators in reintroducing legislation to protect people’s personal data online. The Data Care Act would require websites, apps, and other online providers to take responsible steps to safeguard personal information and stop the misuse of users’ data. 

The Data Care Act establishes reasonable duties that will require providers to protect user data and will prohibit providers from using user data to their detriment:

  • Duty of Care – Must reasonably secure individual identifying data and promptly inform users of data breaches that involve sensitive information;
  • Duty of Loyalty – May not use individual identifying data in ways that harm users;
  • Duty of Confidentiality – Must ensure that the duties of care and loyalty extend to third parties when disclosing, selling, or sharing individual identifying data;
  • Federal and State Enforcement – A violation of the duties will be treated as a violation of an FTC rule with fine authority. States may also bring civil enforcement actions, but the FTC can intervene. States and the FTC may go after both first- and third-party data collectors.
  • Rulemaking Authority – FTC is granted rulemaking authority to implement the Act.

Schatz’s Data Care Act is co-sponsored by Sens Michael Bennet (D-CO), Catherine Cortez Masto (D-NV), Ed Markey (D-MA), Tammy Duckworth (D-IL), Tammy Baldwin (D-WI), Joe Manchin (D-WV), Dick Durbin (D-IL), Sherrod Brown (D-OH), Cory Booker (D-NJ), Amy Klobuchar (D-MN), Maggie Hassan (D-NH), Martin Heinrich (D-NM), Patty Murray (D-WA), Bernie Sanders (I-VT), and Chris Murphy (D-CT).

Game on: What to make of Senate privacy bills and hearing

Cameron Kerry  |  Analysis  |  Brookings Institution

Although separate Republican and Democratic bills are not the joint bipartisan proposal widely anticipated for several months, the bills and the hearing this week kick off the concrete discussion about privacy legislation that stakeholders have wanted for several months. The first bill to emerge was the Consumer Online Privacy Rights Act filed by Sen Maria Cantwell (D-WA) on Nov 26. Then, just before Thanksgiving, Senate Commerce Committee Chairman Roger Wicker (R-MS) circulated a “staff discussion draft” of a Consumer Data Privacy Act of 2019 covering much of the same ground, but with a different drafting approach and some distinct points of difference. Although there are key differences, the two bills also have important similarities.  Both adopt the same general framework: a set of individual rights combined with boundaries on how businesses collect, use, and share information, all of which would be enforced through the Federal Trade Commission. 

The biggest area of divergence between the two bills is the "endgame issues" of preemption and private rights of action. The Wicker bill contains a sweeping provision to preempt any state law “related to the data privacy or security and associated covered entities.” The Cantwell bill is somewhat nearer the middle; it includes preemption of “directly conflicting state laws,” but with a proviso that this does not override laws with “a greater level of protection.” It ensures state consumer protection, tort, contract, civil rights, and other laws are not affected, leaving wide exposure to state laws. The gap is at least as wide when it comes to private rights of action. The Wicker bill has none, the Cantwell bill allows individual suits for damages and injunctive relief.

Between now and the end of the current legislative session, Congress faces what Politico Playbook calls a worse “legislative nightmare” than ever and the Senate is likely to spend the early part of the next session in an impeachment trial. But outside the hot glare of these confrontations, Senate Commerce Committee members, staffers, and stakeholders can continue the work of shaping privacy legislation that can command broad support. You don’t have to be a ridiculous optimist to expect that behind-the-scenes work to will continue, and to hope that it can yield a bipartisan proposal capable of passage in 2020.

Privacy for America Releases Detailed Policy Framework to Provide Strong Data Privacy Protections for All Americans

Press Release  |  Privacy for America

Privacy for America, a coalition of top advertising trade organizations and companies, released a comprehensive new framework for nationwide privacy legislation that would fundamentally change the way consumer privacy and security are protected in this country. The framework represents a new approach to data privacy that would not rely on the current ‘notice and choice’ model, which presents consumers with endless and complex privacy notices that they are essentially forced to accept if they want to participate in today’s economy. Instead, this new approach clearly defines and would make illegal data practices that would harm consumers or otherwise make personal data vulnerable to breach or misuse. Among the framework’s provisions are:

  • Prohibitions against using consumer data to determine eligibility for a job, health care, financial aid, insurance, credit or housing outside of existing laws governing eligibility for these important benefits;
  • Prohibitions against discrimination by using consumer data to set higher prices based on an individual’s race, color, religion, sexual orientation, and more;
  • Prohibitions against using sensitive information like health, financial, biometric, and geolocation data without first obtaining users’ express consent;
  • Provisions protecting so-called “tweens”: a vulnerable group of consumers over age 12 and under age 16 that is actively engaged online but not often subject to constant parental oversight;
  • A requirement that companies make privacy policies much easier to read and understand;
  • Provisions that give consumers the right to request access to and deletion of the personal information that a company holds about them, as well as the right to port certain data from one platform to another;
  • Individuals can choose to limit companies’ use of personal information to draw detailed inferences or make predictions about them, with certain exceptions; and
  • Significant new rulemaking authority, resources, and staff that will allow the Federal Trade Commission to more aggressively pursue and punish bad actors, bolstered by enforcement by state attorneys general.

Broadband/Internet

USDA Invests $18.88 Million in Rural Broadband for Alaskan Families

Press Release  |  Department of Agriculture

The Department of Agriculture is investing  $18.88 million in high-speed broadband infrastructure that will create or improve rural e-Connectivity for nearly 270 rural households in Yakutat. The project, dubbed NICEY (New Internet Communications for Everyone in Yakutat), will deliver broadband internet service to all 662 year-round residents and businesses in Yakutat via fiber-to-the-home (FTTH) connections. Yakutat will be connected to Cordova’s submarine fiber optics via a new microwave middle-mile network spanning 230 miles between the two communities.

USDA Provides $6 Million to Expand Broadband Infrastructure for Two Rural Oregon Counties

Press Release  |  Department of Agriculture

The Department of Agriculture is providing $6 million to expand high-speed broadband infrastructure that will provide e-Connectivity for nearly 650 new customers in rural Wheeler and Grant counties. Oregon Telephone Corporation (OTC) will use a ReConnect Program grant to deploy 89 miles of fiber to serve some of the most remote areas of the continental United States. The new broadband infrastructure will provide network speeds ranging from 30 megabits per second (Mbps) to 1 gigabyte per second (Gbps). The network will allow Voice-Over Internet Protocol (VoIP) and video services to be delivered to each customer. Currently, many areas around the town of John Day lack internet service faster than 1.5 Mbps. In a public-private partnership with John Day in its capacity as the leader of the intergovernmental Grant County Digital Network Coalition, OTC is working to provide the fastest internet access to as many residents at the lowest price possible. Under the partnership, OTC will build a fiber network and deliver broadband service to residents and businesses while leasing infrastructure to John Day to provide service to public agencies. The first new fiber route is northwest of John Day. It will connect the towns of Long Creek, Monument and Spray. The second route will start at the northern edge of the town of Seneca and continue to Canyon City, just south of John Day. Overall, this expanded fiber optic network will extend broadband across a 242-square-mile area that includes 418 households, 22 businesses, 22 farms, three schools and two fire stations. Almost 650 new customers will be able to receive reliable access to high-speed internet services, improving the quality of life for those who live and work in these remote, rural communities.

Connecting rural America to broadband is a popular talking point on the campaign trail. In one Kentucky community, it’s already a way of life.

Sue Halpern  |  New Yorker

McKee, an Appalachian town of about twelve hundred tucked into the Pigeon Roost Creek valley, is the seat of Jackson County, one of the poorest counties in the country. Subscribers to Peoples Rural Telephone Cooperative (PRTC), which covers all of Jackson County and the adjacent Owsley County, can get speeds of up to one gigabit per second, and the coöperative is planning to upgrade the system to ten gigabits. Keith Gabbard, the CEO of PRTC, had the audacious idea of wiring every home and business in Jackson and Owsley Counties with high-speed fibre-optic cable. For nearly fifteen million Americans living in sparsely populated communities, there is no broadband Internet service at all. “The cost of infrastructure simply doesn’t change,” Shirley Bloomfield, the C.E.O. of the Rural Broadband Association, told me. “It’s no different in a rural area than in Washington, DC. But we’ve got thousands of people in a square mile to spread the cost among. You just don’t in rural areas.”

China’s Fiber Broadband Internet Approaches Nationwide Coverage; US Lags Severely Behind

Tyler Cooper  |  BroadbandNow

In 2013, 17 percent of consumers in both China and the US had access to a fiber internet connection. Fast forward to 2019, China’s penetration has jumped to 86 percent while the US is only at 25 percent. While America continues to suffer from an immense digital divide, China’s government has made incredible progress building out a state-sponsored super network of fiber optic connections. Despite the constant posturing and discussion about the importance of fiber, the US has not been effective at deploying a nationwide fiber optical network. Why is this? Though there are many factors contributing to this trend, a few stick out as especially difficult obstacles: 

  • Lack of Private Competition
  • Inadequate Broadband Mapping
  • Inefficient National Funding Programs
  • Absence of Common Sense State-Level Infrastructure Policies

Universal Service

Report and Order on Deployment of Wi-Fi in Schools and Libraries

Public Notice  |  Federal Communications Commission

In a Report and Order adopted November 20, the Federal Communications Commission made permanent the “category two budget” approach that the FCC adopted in 2014 to fund these internal connections with schools and libraries. The category two budget approach consists of five-year budgets for schools and libraries that provide a set amount of funding to support internal connections. In adopting this approach, the FCC also established a five-year test period (from funding year 2015 to funding year 2019), to consider whether this approach would be effective in ensuring greater and more equitable access to E-Rate discounts. Based on the overwhelming record support for the category two budget approach from the E-Rate community, coupled with the FCC's own experience during the five-year test period, the Commission concludes that the category two budget approach has provided broader, more equitable, and more predictable funding for schools and libraries than under the prior rules. The budget amount provided to schools and libraries during the test period proved to be successful, and, moving forward, the FCC intends to generally remain within those parameters of support. Building on the success of the category two budget approach, the FCC takes steps to (1) streamline processes to ensure more equitable, consistent distribution of support for small, rural schools and libraries within the existing E-Rate program budget for category two services, (2) simplify the category two budgets, and (3) decrease the administrative burden of applying for category two services.

The category two budget approach will become more streamlined, furthering the program’s overall effectiveness and the deployment of Wi-Fi in schools and libraries across the country.

Federal Universal Service Support Mechanisms Quarterly Contribution Base for the First Quarter 2020

The total projected collected interstate and international end-user revenue base to be used in determining the contribution factor for the Universal Service support mechanisms for the first quarter of 2020 is $11,129,976,956.

Satellites

Chairman Pai Remarks on the Space Economy at US Chamber of Commerce

FCC Chairman Ajit Pai  |  Speech  |  Federal Communications Commission

At the Federal Communications Commission, we have been working hard to help our nation and our industry seize the opportunities of the new space age. At a 1,600,000-foot view, we see a space industry that is changing, and we’re trying to make sure our regulations change with it. Under my leadership, the FCC has been committed to matching the tempo of the industry we regulate. Our space agenda involves cutting red tape and giving green lights.

Ownership

An old FCC rule is being used to justify shrinking the Dayton “Daily” News to three days a week

Joshua Benton  |  Nieman Lab

To increase the quality of local journalism in Ohio, the Federal Communications Commission is requiring three newspapers to stop printing daily.  Back in 1975, a thousand media ecosystems ago, the FCC passed a well-intentioned rule that said a city’s newspaper couldn’t be owned by the same company that owns one of its TV or radio stations. There were only a few available slots in each market for a TV station, and those were divvied up by the FCC; there was, even then, usually only one, maybe two newspapers in most cities. In that limited environment for local media, it made sense to say different people needed to own a paper and a station. But the FCC rule grandfathered in the many newspapers that already owned a TV station. And over time, enforcement of the rule weakened.

If you’re grandfathered in, though, that exemption goes away if you sell your outlet to someone else. And that’s what happened with Cox — a once-proud news company. Cox owned the Dayton Daily News — it was the newspaper that started the company, actually — and WHIO-TV in Dayton. (Also, four radio stations. And two nearby county-seat papers, the Springfield News-Sun and the Hamilton Journal-News.) So when it agreed to sell a controlling share to Apollo Global Management in February for $3.1 billion, there was the possibility of a problem. That possibility grew stronger when a surprise court ruling pushed the FCC to enforce the rule more strictly.

Policymakers

Commissioner Carr Remarks on Receiving Public Service Award: Keeping Pace with Dynamic Industries

FCC Commissioner Brendan Carr  |  Speech  |  Federal Communications Commission

5G isn’t just an upgraded version of 4G. 5G’s performance characteristics and how it is built blur the distinctions between wired and wireless industries. 5G will enable more choice as previously siloed industries compete, which we know will decrease prices and improve quality. In performing a competition analysis, it would be a mistake to look backwards at the wireless industry as it is constituted today. The lesson for competition authorities should be this: Technology is now creating and disrupting on shorter and shorter cycles. To keep pace, we must bring fresh thinking to competition policy and in particular to how we define relevant product markets. We must have the courage to break free from the restraints of the past and adopt approaches that reflect the realities of the marketplace as it is today and will be tomorrow. If we cling too long to decades-old market definitions, we will fail to see clearly a transaction’s benefits and costs. And there is nothing pro-consumer about that. So I want to welcome Larry, George, and the Phoenix Center scholars to help contribute to this discussion.

Company News

Google Co-Founders Page, Brin Give Up Management Roles

Rob Copeland  |  Wall Street Journal

Google’s co-founders stepped down from their active management roles at the internet giant, surrendering further control at a potential inflection point for the company. Billionaires Larry Page and Sergey Brin, who had been chief executive and president, respectfully, of Google parent Alphabet Inc., said they would hand control immediately to Sundar Pichai, Google’s existing CEO. The duo are hardly giving up their influence. They remain on Alphabet’s board and together control a majority of voting power over company decisions under Alphabet’s dual-class share structure.

Page and Brin founded Google in 1998, and built it from a novel search engine into a global conglomerate that controls how most of the world interacts with the internet. They also created an often-restless and freewheeling corporate culture that pushed the company into far-flung ventures, including driverless cars and high-altitude balloons, but of late has been challenged to match prior growth.

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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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