Daily Digest 7/23/2018 (New Policy Framework for an Open Internet Ecosystem)

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Making Connections: A Regional Broadband Summit

Broadband/Internet

The U.S. Needs a New Policy Framework for an Open Internet Ecosystem

[Analysis] In a new article for the Georgetown Law Technology Review, I seek to jumpstart a conversation about how to shape an Internet ecosystem that will serve the public interest. First, let me lay out the rationale for a new, unified policy framework for an open Internet: 1) Lack of Competition/Incentive and Ability to Discriminate, 2) Collection of and Control over Personal Data, 3) Lack of Transparency, and 4) Inadequacy of Current Laws and Enforcement.

[Gigi B. Sohn is a Distinguished Fellow, Georgetown Law Institute for Technology Law & Policy and Benton Senior Fellow and Public Advocate]

How Do You Change the Net Neutrality Debate?

[Analysis] On July 17, 2018, Rep. Mike Coffman (R-CO) changed the network neutrality debate. Through two bold steps, Rep. Coffman disrupted the ongoing Republican vs Democrat divide on the issue and became, perhaps, the most prominent Republican to not just provide lip service to the “open internet,” but to make a positive proposal to enshrine net neutrality consumer protections for broadband users. First, Rep. Coffman introduced legislation that would amend U.S. communications law to provide for internet openness requirements for broadband internet access service providers. Simultaneously, Rep. Coffman signed a discharge petition that would force a vote in the U.S. House on a resolution that would overturn the Federal Communications Commission’s 2017 repeal of net neutrality rules.

[Kevin Taglang]

CBO Scores Precision Agriculture Connectivity Act of 2018

The Precision Agriculture Connectivity Act of 2018 (HR 4881) would direct the Federal Communications Commission to establish the Task Force for Reviewing the Connectivity and Technology Needs of Precision Agriculture in the United States and select 15 members to serve two-year terms. The task force would be required to recommend rules and steps the FCC should take to expand broadband Internet access to unserved agricultural land and to report annually to the FCC. The task force would terminate on January 1, 2025. Under the bill, the FCC and the Department of Agriculture (USDA) would be required to provide information to the task force on all federal programs and resources available for the expansion of broadband Internet access to unserved agricultural land. Using information from the FCC, CBO estimates that implementing HR 4881 would cost $1 million over the 2018-2023 period for the agency to oversee and appoint members to serve on the task force and to produce the required reports. However, under current law, the FCC is authorized to collect fees sufficient to offset the costs of its regulatory activities each year; therefore, CBO estimates that the net cost to the FCC to implement the bill would be negligible, assuming appropriation actions consistent with that authority. CBO estimates that the costs to USDA to coordinate with the task force and produce the required report would not be significant. On June 5, 2018, CBO transmitted a cost estimate for S. 2343, the Precision Agriculture Connectivity Act of 2018. The two bills are similar and CBO’s estimates of their budgetary effects are the same.

Ownership

Mergers, acquisitions, and the new media landscape

While much of the media remains focused on President Donald Trump’s summit with Putin in Helsinki, an eventful week for media companies has set in motion changes that may alter how Americans get their news. In the past several days, Disney has bested Comcast in the battle for 21st Century Fox, Sinclair’s takeover of Tribune Media was torpedoed by the Federal Communications Commission, and the Justice Department attempted to block the AT&T–Time Warner merger that is already underway. “In the media business, this past year has been something like the summer of ’68—a tumultuous, chaotic collision of personalities and companies,” Vanity Fair’s Joe Pompeo wrote. “It has felt like the vanishing of one world order, where consumers were reliant on a cable provider, and the emergence of a brave new one, where everything is accessed on the phone, and traditional players must join forces in a fight for survival against incipient challengers.” The race for scale has been driven, Pompeo notes, by the power of Amazon, Facebook, and Apple, along with the rise of Netflix, which this spring was the most valuable media company in the world. By consolidating media properties, Disney’s Bob Iger, Comcast’s Brian Roberts, and AT&T’s Randall Stephenson have cemented their positions of high influence.

The FCC has called out several of Sinclair's sham deal proposals -- but there are many more

Sinclair Broadcast Group’s latest efforts to appease the Federal Communications Commission and get approval for its massive expansion plan don’t seem to have fooled anyone. And the questionable maneuvers that triggered the FCC’s slow-down of the deal represent only a fraction of the regulatory tricks Sinclair uses to keep expanding its reach. What about the proposed sidecar agreements with Howard Stirk Holdings? Sinclair has proposed entering into sidecar arrangements for three other stations as part of the Tribune deal, and those stations haven’t received the same level of scrutiny. The company is still proposing to sell three stations -- KUNS in Seattle (WA), KAUT in Oklahoma City (OK), and KMYU in Salt Lake City (UT) -- to another Sinclair business partner, Howard Stirk Holdings. What about the other nearly 50 stations Sinclair already operates using sidecar agreements? Craig Aaron, the president and CEO of consumer rights group Free Press, said, “Sinclair has dozens of identical shell operations in numerous markets around the country. If the new ones were improper, so are all the existing ones.” And what about the UHF discount, the wonky rule that enabled the Sinclair-Tribune deal proposal in the first place? And what about the internal investigation of FCC Chairman Ajit Pai's relationship with Sinclair?

Journalism

Who should be most alarmed about the decline of local news? Republicans.

[Commentary]  Not only has voter participation in local elections fallen to dangerously low levels, but the health of local newspapers, traditional watchdogs for the most direct and abundant form of government in the United States, has also been deteriorating. The Republican Party — yes, the same party whose leader derides the media as “fake news” and “the enemy of the people”  — should be particularly alarmed. Because if conservatives are concerned about keeping government as efficient and local as possible, they need the hundreds of local newspapers to make the system work across the country. As illustrated by a new paper presented at the Brookings Institution’s Municipal Finance Conference, there is a symbiotic relationship between local papers and the governments they cover.  The paper, which is in the process of being peer-reviewed, looked at newspaper closures between 1996 and 2015 and found that once a newspaper goes under, it becomes more expensive in the long run for its local government to borrow money. And it’s not just bond markets. Newspaper closures are also linked to rising wages for government employees and to growing numbers of government employees per capita in a county. Other research shows that elected officials from areas with little local media coverage are less responsive to their constituents. The decline of the local free press is a threat to the decentralized system of government envisioned by the Founding Fathers.

[Robert Gebelhoff is an assistant editor for The Post's Opinions section]

Security

Republican Senators drop bid to block President Trump from helping Chinese telecom giant ZTE

Bowing to White House demands, Republican Senators have backed off their attempt to reimpose US sanctions on the Chinese telecommunications giant ZTE. The retreat means ZTE, a company found guilty of selling US goods to Iran in violation of sanctions, will duck Commerce Department penalties that bar US companies from doing business with it. Chinese officials said those penalties would effectively put ZTE out of business. President Trump had ordered his own Commerce Department to lift the penalties, but Senators wanted to reimpose them as part of a sweeping defense policy bill set to be unveiled the week of July 23. They have now agreed to language advanced by the House instead, which bars government contractors from doing business with ZTE but allows the company to continue doing business with private US firms. Senate Minority Leader Charles Schumer (D-NY) blasted the decision, saying, “By stripping the Senate’s tough ZTE sanctions provision from the defense bill, President Trump – and the congressional Republicans who acted at his behest – have once again made President Xi and the Chinese government the big winners and the American worker and our national security the big losers.”

Health

Telehealth Changes Could Help Rural Seniors Age in Place

[Commentary] Telemedicine providers can’t catch senior citizens when they fall. But health services delivered over broadband can make it possible for seniors to live independently for longer periods of time. For all of the potential that telehealth holds for assisting the aging-in-place process, telehealth’s success rides squarely on the back of quality broadband in the community. Municipal fiber networks can drive telehealth and broadband use. Small towns such as Wilson (NC) and Sebewaing (MI) with gigabit capacity infrastructure, keep subscribers happy. But even networks with speeds of 50-100 Megabits per second are fast enough for smaller populations. Telehealth vendors and community network builders should consider theirs a symbiotic relationship that benefits communities. There are signs that telehealth is taking hold. Along with last week’s proposed rule from the Centers for Medicare and Medicare Services to reimburse for telehealth came news that the Federal Communications Commission might commit $100 million for telehealth from the Universal Service Fund. With more use of telehealth may come more independence for America’s seniors.

[Craig Settles consults with municipalities and co-ops about their broadband networks’ business and marketing plans]

Data

Google, Facebook, Microsoft, and Twitter partner for ambitious new data project

Google, Facebook, Microsoft, and Twitter joined to announce a new standards initiative called the Data Transfer Project, designed as a new way to move data between platforms. Google described the project as letting users “transfer data directly from one service to another, without needing to download and re-upload it.” The current version of the system supports data transfer for photos, mail, contacts, calendars, and tasks, drawing from publicly available APIs from Google, Microsoft, Twitter, Flickr, Instagram, Remember the Milk, and SmugMug. Many of those transfers could already be accomplished through other means, but participants hope the project will grow into a more robust and flexible alternative to conventional APIs. “The future of portability will need to be more inclusive, flexible, and open,” reads the white paper. “Our hope for this project is that it will enable a connection between any two public-facing product interfaces for importing and exporting data directly.”

via Vox
Stories From Abroad

More African governments are trying to control what’s being said on social media and blogs

Increasingly, African governments are looking at the internet as a threat and are using a motley of targeted shutdowns, surveillance, and arbitrary legislation to silence digital users. In the world’s least connected continent, dictators—and some democrats—are realizing they not only need the batons or bullets to stave off criticism but could also power off live feeds to undermine the vibrant conversations taking place online. And these disruptions are having a costly impact: not just on democracy and social cohesion, but on economic growth, innovation, internet openness, net neutrality, and freedom of expression. Across Africa, the examples are plenty: In Tanzania, bloggers now have to pay authorities over $900 to license their websites. In Egypt, officials have banned calls made over social media apps, blocked hundreds of local and international websites, and called for the launch of a state-owned, Facebook-like platform. In DR Congo, president Joseph Kabila’s administration has used a decades-old law to monitor and censor the internet. Kenya, bedeviled by fake news during its elections last year, recently passed a sweeping law that critics say could stifle press freedom.

via Quartz

Android case widens transatlantic rift

Even before the ink could dry on Europe’s record €4.3 billion ($5 billion) antitrust fine against Google, clashing interpretations rushed into the Brussels-created fray. The financial penalty would change everything for Google and Silicon Valley’s other tech giants — it was a European attack on a “great” American company, according to a tweet from President Donald Trump. Or it would change nothing. As usual, the reality is somewhere in between. For the tech giant’s critics, the €4.3 billion fine will open up the mobile world to greater competition and — more importantly — strengthen the backbones of other policymakers worldwide in their efforts to rein in Big Tech. But despite Brussels’ tough talk against the misdeeds of Silicon Valley, its latest fine is unlikely to topple Google as one of the largest gorillas in the digital jungle, at least not until users believe they can get better services elsewhere. For now, Europe has fired a warning shot across the bow of Big Tech. The true test will be if Vestager’s actions change peoples’ online habits.

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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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