Daily Digest 5/17/2018 (Senate Votes to Uphold Net Neutrality)

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Internet/Broadband/Telecom

Senate votes to overturn Ajit Pai’s net neutrality repeal

The US Senate voted to reverse the Federal Communications Commission's repeal of net neutrality rules, with all Democrats and three Republicans voting in favor of net neutrality. The Senate approved a Congressional Review Act (CRA) resolution that would simply undo the FCC's December 2017 vote to deregulate the broadband industry. If the CRA is approved by the House and signed by President Trump, Internet service providers would have to continue following rules that prohibit blocking, throttling, and paid prioritization. FCC Chairman Ajit Pai has scheduled his repeal to take effect on June 11. If Congress doesn't act, the net neutrality rules and the FCC's classification of ISPs as common carriers would be eliminated on that date. Democrats face much longer odds in the House, where Republicans hold a 236-193 majority. Republicans have a slim majority in the Senate, but Sen. Susan Collins (R-Maine); Sen. John Kennedy (R-LA); and Sen. Lisa Murkowski (R-Alaska) broke ranks in order to support net neutrality and common carrier regulation of broadband providers.

After Senate Vote on Net Neutrality, DC Responds

After the Senate's vote to restore the Federal Communications Commission's 2015 net neutrality rules, everyone seemed to have an opinion.  [This page is currently being update]

Democrats bet on net neutrality voters in 2018

Democratic lawmakers say they can make political hay of the battle over network neutrality among a small — but committed — group of midterm voters. The linchpin of that strategy is a vote in the Senate May 16 on a measure to undo the Federal Communications Commission’s 2017 repeal of net neutrality rules. That raises the prominence of the effort to preserve the neutrality rules — and will put at least some Republicans on record as opposing it. The net neutrality voters care a lot about the issue, even if they make up only a small portion of the population. “Here’s the thing: I’m not suggesting that this is going to move the majority of voters,” said Sens Brian Schatz (D-HI). “What I’m telling you is that for millions of motivated and infrequent voters, this is a top issue.” “For the people who are well-versed on this issue, it really matters,” said Sen Claire McCaskill (D-MO), who is in a competitive race this fall. “I’m not sure how many Missourians are as tuned in to net neutrality. Especially once you get over the age of about 35 or 40, I'm not sure people are as aware about what the problems are.”

via Axios

Sens Fischer, Klobuchar Lead 61 Senators in Bipartisan Letter to FCC On Rural Broadband Deployment

Senators Deb Fischer (R-NE) and Amy Klobuchar (D-MN), members of the Senate Commerce Committee, led 61 senators in a letter to Federal Communications Commission Chairman Ajit Pai, supporting the advancement and the accessibility of broadband services in rural communities. In the letter, the senators requested more predictable and long-term efficiencies in the FCC’s High-Cost Universal Service Fund, which is responsible for helping meet the Commission’s goal to provide reliable and affordable communications to all Americans. Making sure the USF mechanism works as intended will enable businesses to invest and build out networks in areas lacking broadband services. The program is critical for rural Americans who live in regions of the country where service is needed, but where deploying broadband is difficult and costly.

A similar letter was led by Reps. Kevin Cramer (R-ND) and Collin Peterson (D-MN) and signed by 130 members of the House of Representatives.

Bold BDS Order Borne Out in Business Fiber Growth Statistics

[Press release] May 15 the Eighth Circuit Court of Appeals heard oral arguments in a challenge to the Federal Communications Commission’s new Business Data Services (BDS) regime. The FCC based its BDS decision on the largest data collection in its history, but that data reflected facilities deployment as of 2013. And it showed that, even five years ago, competitive facilities were already blanketing the country, with competitive networks in more than 95% of MSA census blocks with BDS demand. Moreover, virtually all buildings where customers use BDS were already within reach of of competitive facilities. Opponents of regulatory reform claimed that the FCC order would squelch competition. But as the Vertical Systems study shows, quite the opposite has happened: fiber deployment to commercial buildings has accelerated. As the adage goes, “the future belongs to the bold,” and the FCC’s BDS Order boldly cleared a path for continued investment in the future of communications in this country.

via AT&T

Justice Alito, State Tax Hero?

[Commentary]  I had been waiting with bated breath for the Supreme Court’s decision in Murphy v. NCAA. On May 14, not only did the Supreme Court strike down the federal law at issue, which had stopped states, counties, and cities from legalizing sports gambling within their borders, but it also appears to have invalidated a broad swath of congressional limitations on state tax authority. (Oh, and it also saved sanctuary cities.) What I, for one, didn’t expect is that it would have such significant implications for state tax law as well. Why might it? Well, a whole host of federal statutes limit the tax authority of states and their subdivisions. To borrow from Justice Samuel Alito, they violate “[t]he basic principle … that Congress cannot issue direct orders to state legislatures,” and these provisions cannot “be understood as a regulation of private actors.” To illustrate: “No State … may impose any … [t]axes on Internet access ….” 47 U.S.C. § 151 note. (There goes the Internet Tax Freedom Act...)

[Daniel Hemel is an Assistant Professor at UChicago Law]

via Medium
2016 Election
Privacy

Internet Association Answers Chairman Walden's Call to Testify

On behalf of Internet Association, which represents the world’s leading internet companies, I want to take this opportunity to respond to your open call for "Silicon Valley CEOs” to testify before Congress (San Francisco Chronicle, House Committee Seeks Input From Tech CEOs, May 14, 2018). I am happy to testify on behalf of our members to help the committee explore the ways that the internet benefits all Americans. Our companies also invite you to join IA on a “Community Crawl” in your district to hear from non-tech businesses, nonprofits, and other stakeholders about how the internet helps them grow and brings their community closer. Additionally, we welcome you and your colleagues from the committee to continue visiting our individual companies, as many have over the last decade, where you can receive in-depth briefings from leading experts on all the topics you have raised.

The internet’s problems haven’t changed in 22 years

1996 Wall Street Journal article that’s been quietly sitting on the web, waiting for its rediscovery and renewed relevance, has found its moment on Twitter this week. Though it discusses the contemporaneous issues and concerns of its time, if you extract the particular problems it identifies with the internet and apply them to our present day, you’ll find something disturbing: nothing’s changed. The core concerns that troubled us about our participation in online communities and services in 1996 are basically identical in 2018.

via Vox

Facebook lets advertisers target users based on sensitive interests

Facebook allows advertisers to target users it thinks are interested in subjects such as homosexuality, Islam or liberalism, despite religion, sexuality and political beliefs explicitly being marked out as sensitive information under new data protection laws. The social network gathers information about users based on their actions on Facebook and on the wider web, and uses that data to predict on their interests. These can be mundane – football, Manhattan or dogs, for instance – or more esoteric. An investigation found that Facebook is able to infer extremely personal information about users, which it allows advertisers to use for targeting purposes. Among the interests found in users’ profiles were communism, social democrats, Hinduism and Christianity.

Cellphone companies may be selling your exact location in real time (Fast Company)

Labor

Union files complaints against AT&T, Nexstar for failing to disclose plans for tax savings

The Communications Workers of America (CWA) has filed complaints with the National Labor Relations Board against AT&T and Nexstar Media Group after the companies failed to provide information sought by the union about how the businesses planned to use their savings from the corporate tax cuts in the Republican tax law. “Like so many companies, AT&T promised that it would use savings from the tax bill to create good, family-supporting U.S. jobs,” said Lisa Bolton, vice president of CWA Telecommunications and Technologies. “We’re using our power at the bargaining table to make sure they keep that promise. AT&T shouldn’t be laying off workers and sending the work to low-wage contractors when they are pulling in billions in profits from the tax bill.”

Journalism

The rise of the pro-Trump media machine

Pro-Trump media is spreading across the US, disseminating Trumpian rhetoric about fake news and mainstream media bias through every medium. The big picture, from Rodney Benson, chair of NYU's Department of Media, Culture, and Communication: "Many of the media moving toward subscriptions have disproportionately left-liberal audiences. ... While liberal media draw their circles ever tighter around themselves (via paywalls, high-level content, etc.), conservatives are fighting to extend their mass reach."

via Axios
Government and Communications

Reps Khanna, Ratcliffe Introduce Legislation for More Efficient Digital Government

Reps Ro Khanna (D-CA) and John Ratcliffe (R-TX) introduced legislation to improve citizens’ interaction with the federal government online, while reducing the cost of assistance from federal agencies.  The 21st Century Integrated Digital Experience Act (IDEA) will lower federal costs and increase efficiency by digitizing government processes and establishing minimum standards for federal websites, including mobile-friendly interfaces in compliance with the latest security protocols. Recent data from the IRS shows that in-person or live assistance calls to the agency cost taxpayers between $40 and $60 on average, while digital transactions cost only $0.22 on average. By allowing more in-person transactions to be replaced with online transactions, the 21st Century Idea modernization will reduce such federal costs significantly.

Agenda

A Summer Blockbuster Open Meeting

[Press release] In the spirit of the summer blockbuster season, the Commission’s June 7 meeting is going to be our own version of “Avengers: Infinity War.”  We’re taking familiar headliners—freeing up spectrum, removing barriers to infrastructure buildout, expanding satellite services, modernizing outdated rules, eliminating waste, improving accessibility, protecting consumers—and rolling them into one, super-sized meeting. 

  1. I’m circulating a Third Report and Order and Further Notice that takes the next steps necessary to promote US leadership in 5G and to deliver advanced wireless services to American consumers.
  2. I’ve shared an order with my colleagues that would make it easier for companies to discontinue outdated, legacy services and transition to the networks of the future.
  3. On June 7, we’ll vote on an order that would relieve small, rural carriers from having to pay broadband taxes, thereby reducing the cost of broadband services for their customers.
  4. Our June agenda includes two items that would allow satellite companies to offer new services in the United States. 
  5. I’ve proposed to vacate the FCC's 2008 leased access rules and start over with a clean slate—including an examination of how to modernize them to fit the modern marketplace.
  6. This June, the Commission will consider two items that eye further reform of the intercarrier compensation system.   The first is an Notice of Proposed Rulemaking looking at how to eliminate incentives to artificially inflate call volumes and to inefficiently route calls.  The second focuses on getting rid of incentives for bad actors to abuse the toll-free system (known as 8YY), such as by flooding 8YY numbers with robocalls for the purpose of racking up originating access charges.
  7. We’ll also consider in June how to make sure that the texting capabilities of toll-free numbers aren’t hijacked by unauthorized parties. 
  8. Another valuable and innovative service that we’ll be addressing at our June meeting is Internet Protocol Captioned Telephone Service (IP CTS). 
  9. I’m proposing new rules that include a clear ban on misrepresentations made during sales calls and a clean prohibition against placing unauthorized charges on consumers’ phone bills.
Policymakers

This Is Ajit Pai, Nemesis of Net Neutrality

The competition is stiff, but Federal Communications Commission Chairman Pai may be the most reviled man on the internet. He is despised as both a bumbling rube, trying too hard to prove he gets it, and a cunning villain, out to destroy digital freedom. The anger emanates from his move, shortly after being appointed by President Donald Trump, to repeal Obama-era net ­neutrality regulations. He called his policy the Restoring Internet Freedom Order, an Orwellian touch in the view of his critics, who see ­it as a mortal threat.

People who know Pai swear that his nerdy persona is authentic. And even his adversaries will admit that he’s an anomaly in the Trump administration: a skillful practitioner of the Washington game. Pai has spent his entire professional life in the capital, acquiring influential patrons (Sen Mitch McConnell (R-KY), Attorney General Jeff Sessions) and insider expertise. Behind Pai’s brainy, technocratic mask, though, is an alter ego: ruthless conservative ideologue. In this sense, he is emblematic of Trump’s Washington, where all debates—even the bone-dry bureaucratic ones—have become so heated that they are fought like matters of life and death. Pai’s competence has allowed him to make quick work of undoing the Obama administration’s legacy at the FCC. But his polarizing politics assure that the battle over internet regulation will keep raging.

As Harold Feld, an ardent critic who works for the consumer advocacy group Public Knowledge, laments, “Why was my area of policy the one that got the guy who actually knows what he’s doing?”

via Wired
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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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