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As Tribune Company prepares to auction off its newspapers, including the Los Angeles Times and Chicago Tribune, a question has emerged about the impact on the papers' ties to crucial digital assets—Tribune's interest in CareerBuilder.com and Classified Ventures LLC. The biggest issue: A sale of the newspapers could invalidate long-standing arrangements under which Tribune's papers sell local ads on behalf of the websites, boosting the papers' digital ad revenue, say people familiar with the matter.

Tribune's roughly 31% stake in CareerBuilder and approximately 28% stake in Classified Ventures are seen as among the papers' most valuable assets. CareerBuilder ranks as the country's biggest general recruitment website, drawing 21.1 million unique views, according to comScore. Classified Ventures owns Cars.com and Apartments.com, two leading classified sites of their kind. Both pay tens of millions of dollars in dividends to their owners, which, aside from Tribune, include several other newspaper publishers. On their own, Tribune's digital stakes could be worth as much as $700 million, according to two people considering bids, while the newspapers are seen as worth around $1 billion.


Tribune Papers' Sale Clouded by Digital Assets
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Charles Ergen's maneuvering just cost rival SoftBank $1.5 billion by forcing it to raise its offer for Sprint Nextel. But the question remains, is that a victory for the Dish Network chairman, or a defeat?

Ergen's knack for being famously hard to read left Wall Street and the telecom industry guessing his next move. Would Ergen try to convince Sprint shareholders a tie-up with Dish still offers a better deal? Would he sweeten Dish's bid for Sprint? Would he turn to another telecom target? Whoever prevails in the deal for Sprint—and at what price—could help reshape a U.S. mobile-phone industry that is increasingly central to how Americans communicate, work and entertain themselves. Dish, meantime, is fighting to remake itself and tap growing demand for wireless broadband service as the pay-TV market stagnates. Ergen is still in a powerful position as he seeks to disrupt the US wireless market. He has amassed a large trove of unused spectrum and is still on the hunt for more. He has spent billions of dollars buying the airwaves that carry wireless data, and estimates the value of his spectrum assets at more than $8 billion.


Dish’s Ergen Keeps Rivals Guessing Dish’s spectrum hoard keeps it in the game (Financial Times)
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The anti-bundling bill by Sen. John McCain (R-Ariz.) may be going nowhere, but Time Warner Cable Chief Executive Officer Glenn Britt says he supports the idea of having smaller television packages.

Britt told an audience at the Cable Show in Washington (DC) that cable TV packages are becoming too expensive for many low income households, including recent college graduates struggling to find work. He said these issues are "illustrated" by McCain's bill to overhaul the way pay TV distributors and programmers package and sell programming, while saying that it is very unlikely the bill will proceed. "The symbolism there is people are starting to pay attention to the fact that the multichannel TV package ... is starting to get too expensive for lower income people," Britt said. He noted that consumers are looking for more flexibility than what traditional TV packages offer and that the industry should pay attention. “I think it’s what consumers want, so we’re going to have to do that,” he said.


Time Warner Cable's Britt says he supports smaller TV packages
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Using voice commands to send text messages and emails from behind the wheel, which is marketed as a safer alternative for drivers, actually is more distracting and dangerous than simply talking on a cellphone, a new AAA study found.

Automakers have been trying to excite new-car buyers, especially younger ones, with dashboard infotainment systems that let drivers use voice commands do things like turning on windshield wipers, posting Facebook messages or ordering pizza. The pitch has been that hands-free devices are safer because they enable drivers to keep their hands on the wheel and their eyes on the road. But talking on a hands-free phone isn't significantly safer for drivers than talking on a hand-held phone, and using hands-free devices that translate speech into text is the most distracting of all, researchers found. Speech-to-text systems that enable drivers to send, scroll through, or delete email and text messages required greater concentration by drivers than other potentially distracting activities examined in the study like talking on the phone, talking to a passenger, listening to a book on tape or listening to the radio.


Hands-free texting still distracting for drivers
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Fred Campbell, director of the Competitive Enterprise Institute's Communications Liberty & Innovation Project, has been interviewed for the Republican Federal Communications Commission seat recently vacated by Commissioner Robert McDowell according to a source familiar with the process.

Campbell declined comment, pointing out that in his role at the project, he has not been commenting on the FCC commissioner or chairman selection process in general. But a source said that the staff of Senate Minority Leader Mitch McConnell (R-KY), had talked to Campbell about the post. Sen McConnell was said to have wanted to extend the search to include academics and think-tank thinkers and Campbell would fit the bill. Campbell, a veteran communications attorney, was a wireless adviser to former-FCC Chairman Kevin Martin, chief of the wireless bureau and an attorney adviser with experience in auction policies, including the 700 MHz auction of broadcast spectrum, arguably the FCC's central issue as it preps for a second broadcast spectrum incentive auction.


Campbell Interviewed for Republican FCC Seat Senate plans hearing on FCC pick (The Hill)

The Federal Communications Commission unanimously adopted comprehensive reforms to further protect and strengthen the Video Relay Service (VRS) program that enables people with disabilities to do what most Americans take for granted: make a simple phone call.

Building on a foundation of ongoing reforms and program improvements, the Order initiates fundamental restructuring of the program to support innovation and competition, drive down ratepayer and provider costs, eliminate incentives for waste that have burdened the TRS Fund in the past, and further protect consumers. Measures to improve the structure and efficiencies of the VRS program while promoting consumer protection include:

  • Ensuring that VRS users can easily select their provider of choice by promoting the development of voluntary, consensus interoperability and portability standards.
  • Enabling consumers to use off-the-shelf tablets and smart phones for any provider’s VRS services by developing and deploying a VRS application to work with these devices, based on the consensus standards.
  • Creating a centralized TRS User Registration Database to combat fraud, waste, and abuse by ensuring VRS user eligibility.
  • Encouraging competition and innovation in VRS call handling services – such as American Sign Language interpretation – by contracting with a neutral third party to build, operate, and maintain a platform for communications services.
  • Spurring research and development on VRS services by entering into a Memorandum of Understanding with the National Science Foundation.
  • Piloting an iTRS National Outreach Program that is not dependent on individual provider branding to educate the general public about relay services.

In addition, the Order moves VRS compensation rates toward actual costs over the next four years, initiating a step-by-step transition from existing tiered TRS Fund compensation rates toward a unitary, market-based compensation rate. In this manner, VRS rates will better approximate the actual, reasonable costs of providing VRS, and will considerably reduce the costs of operating the program. Ensuring the integrity of the TRS Fund while providing stability and certainty to providers remain core objectives. The Commission also is proposing to transition to a new ratemaking approach that makes use of competitively established pricing – contract prices set through a competitive bidding process – where feasible.


VRS Overhaul to Improve Phone Service for Americans With Disabilities FCC (Report and Order) Statement (Chairwoman Clyburn)
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In a surprise move, Greece’s conservative-led coalition government said that it would shut down the state broadcaster Net as part of a cost-cutting drive imposed by the country’s foreign creditors, prompting protests from labor unions and the government’s increasingly alienated junior partners, which said they had not been consulted.

Describing Net as a “modern-day scandal” and “a unique case of lack of transparency and waste,” a government spokesman, Simos Kedikoglou, said Net would stop broadcasting at midnight on Tuesday and reopen soon as a “modern state organization” with a fraction of its 2,900 employees. Net has not been implicated in corruption scandals any more than any other state organization, and Kedikoglou’s strong language was broadly seen as the government’s attempt to show creditors that it was boldly and decisively moving to cut waste in the public sector. Following the broadcast of the spokesman’s remarks on Net, the station’s anchors and commentators engaged in a furious live discussion lamenting their fate.


Greece Shutting Down State Broadcaster to Cut Costs
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A former federal prosecutor and the parents of a Navy SEAL member killed in action in Afghanistan have filed a lawsuit against President Barack Obama, Verizon, the National Security Agency (NSA), and others over the NSA domestic spying operation.

The lawsuit, filed in the U.S. District Court for the District of Columbia, charges the defendants of violating constitutionally protected privacy rights and rights against unreasonable search and seizure. The lawsuit seeks $3 billion in compensatory and actual damages from the government and a cessation of the NSA spying program. The three named plaintiffs in the lawsuit are, Larry Klayman, founder of Judicial Watch and a former prosecutor, and Charles and Mary Strange the parents of Michael Strange, a Navy SEAL who was killed when his helicopter was shot down by Taliban fighters.


Lawsuit filed over NSA phone spying program
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Eight senators introduced legislation that would require the Attorney General to declassify significant opinions made by courts operating under the secretive Foreign Intelligence Surveillance Act (FISA).

If the bipartisan bill was law, it would have required the government to reveal its collection of Verizon phone records and the PRISM Internet data mining program. “Americans deserve to know how much information about their private communications the government believes it’s allowed to take under the law,” said Sen. Jeff Merkley (D-OR), who is spearheading the effort alongside Sen. Ron Wyden (D-OR). The effort has the backing of Senate Judiciary Committee Chairman Pat Leahy (D-VT) and is co-sponsored by Sens. Dean Heller (R-NV), Mark Begich (D-Alaska), Al Franken (D-MN), Jon Tester (D-MT) and Mike Lee (R-Utah).

The Senate's No. 2 Democrat said he did not believe the effort would get far. "I encourage this, though I think it is going to be ill-fated," said Senate Majority Whip Dick Durbin (D-IL). "I just don't see a freight train coming down the track," in terms of getting the White House and Congress behind the Merkley-Wyden bill, Sen Durbin said. He argued that even if a bill got through the House and Senate, it is unlikely that President Barack Obama would accept it.


Senators push bill to declassify secret FISA surveillance rulings US senators bid to force government to reveal secret surveillance rulings (The Guardian) Durbin: FISA declassification bill dead on arrival (The Hill – Durbin)
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Sen. Ron Wyden (D-OR) called for public hearings to investigate the scope of the National Security Agency’s electronic surveillance of Americans, questioning if Director of National Intelligence James Clapper had provided “straight answers” to lawmakers about the programs.

Sen Wyden pointed to Clapper’s testimony during a March 12 hearing, where Wyden asked if the NSA collects “any type of data at all on millions of Americans.” “No, sir,” Clapper responded. “There are cases where they could inadvertently perhaps collect [intelligence on Americans], but not wittingly.” The exchange put Clapper in a difficult position. Sen Wyden, a senior member of the Senate Intelligence Committee, had been briefed on the NSA program, but publicly led Clapper in a line of questioning that would either require him to disavow knowledge of the program, or to answer truthfully, breaking the law by revealing classified information. While Sen Wyden did not charge Clapper with lying before Congress, he repeatedly suggested that the intelligence director had not been forthcoming about the NSA’s secret programs.


Sen. Wyden presses Clapper for ‘straight answers’ on NSA