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The number of viewers watching TV shows via subscription video-on-demand (SVOD) services increased 34% between 1Q 2012 and 1Q 2013, with Netflix commanding a dominant 90% share of video-streaming units — 4 percentage points lower than a year ago, according to The NPD Group’s latest VideoWatch VOD report.

Contributing to SVOD growth is growing overall viewing of TV programming, according to NPD. The TV category of NPD’s VideoWatch Digital tracking service accounts for 80% of streams. Netflix holds an 89% share, with HuluPlus exhibiting “healthy growth” and accounting for 10% of TV streams in 1Q. Amazon Prime accounted for just 2% of the overall TV units streamed in 1Q. The percentage of SVOD subscribers streaming only from Netflix fell to 67% in 1Q13 from 76% in 2Q 2012, with 10% of SVOD streamers using both Netflix and Amazon Prime and 8% using both Netflix and Hulu.


Report: Netflix Share of Subscription VOD Drops Slightly

The World Telecommunication/ICT Policy Forum (WTPF-2013) provided a unique opportunity to put Internet-related public policy issues firmly on the international agenda, particularly the very present issue of the participation of governments as relevant stakeholders in Internet Governance. The fact is that governments so far have only had a limited advisory role in international Internet Governance, and no actual involvement in the decision making process. Recent events have indicated that even long standing advice provided by governments on certain issues has had little impact on the actual decisions relating to matters of their direct interest. Regretfully, attempts to deal with this fact have suffered from the low level of participation of the majority of governments in existing international Internet Governance fora.

[Cavalcanti is an Engineer and career professional with the Brazilian Government, currently a senior Policy Advisor at the National Telecommunications Agency – Anatel.]


Operationalizing the Role of Governments in Internet Governance

New America Foundation
Tuesday, June 11, 2013
4:00 - 6:00 p.m.

This event is the first in the "Beyond Mainstream Media" event series. The series, presented by the New America Foundation's Media Policy Initiative, will highlight the contributions of alternative media, and the challenges citizens face in a political environment that seems to reward those with the most money. Mark Lloyd, Director of the Media Policy Initiative at the New America Foundation, will host the series at New America's Washington, D.C. office.

4:00 - 5:00 pm: The Story of WPFW and Pacifica Radio in Washington, D.C.
Pacifica Radio was founded in 1946, making it the oldest independent noncommercial broadcaster in the country, perhaps in the world. Pacifica Radio Networks established WPFW in D.C. in 1977 and the station offers a platform for local political discussion, and local programming including talk and music directed toward the region's diverse community. Much of the programming is made possible by the local volunteers. Unlike NPR, Pacifica does not accept commercial underwriting. Like many other independent media operations Pacifica faces funding challenges.

What is the value of Pacifica Radio to local communities? What are the operational challenges of community governance combined with a national structure?

Featured Speakers
Askia Muhammad
News Director, WPFW

Jean Yves Point du Jour
Chair of Local Station Board, WPFW

Moderator
Mark Lloyd
Director, Media Policy Initiative

5:00 - 6:00 pm: A Crisis in Grassroots Media: Local Outlets and Global Content
Free Speech Radio News is a daily global news program that offers first-hand reports featuring an in-depth level of reporting that is rarely achieved by public or commercial journalism ... and for a fraction of the cost. Despite the value of this service, Free Speech Radio News is in the midst of a funding crisis that, without a major infusion of funds, will likely force operations to cease in coming months.

Free Speech Radio News airs primarily on noncommercial, college, and community radio stations, like the full-power FM station WPFW in Washington, D.C. The station is possible because of the work of hundreds of volunteers and a small staff. WPFW responds to the information and cultural needs of local listeners by providing services like Free Speech Radio News.

How can in-depth, community-responsive media be sustained? What is the role of the government, particularly the FCC, in protecting this non-commercial service?

Featured Speakers
Catherine Komp
Producer, Senior Editor, Free Speech Radio News

Alice Ollstein
D.C. Correspondent, Free Speech Radio News

Moderator
Mark Lloyd
Director, Media Policy Initiative

To RSVP for the event:
http://newamerica.net/events/2013/story_of_wpfw_and_grassroots_media

For questions, contact Stephanie Gunter at New America at (202) 596-3367 or gunter@newamerica.net

Broadcasting Board of Governors
June 13, 2013
noon to 2 p.m.
Capitol Visitor Center -- Room HVC 215

Come learn how this U.S. government-funded international news and information agency is using cutting-edge technologies to shape the future of news delivery, social discourse and crisis response around the clock and around the globe.

  • Participate in hands-on demonstrations and learn more about:
  • Internet anti-censorship tools in China and Iran
  • Social media links with audiences in Cuba
  • How people in Mali can listen to Voice of America with a local phone call
  • A collaborative blog with personalized accounts of the plight of Syrians
  • Next-generation storytelling tools that transcend platforms

... and a dozen more exciting projects that our technologists, journalists, and innovators have developed during the past year to serve audiences in more than 100 countries in which the media are not entirely free.

June 5, 2013 (President Obama v. patent trolls)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for WEDNESDAY, JUNE 5, 2013

We Tweet @benton_fdn


DIGITAL DIVIDE
   Could Bookless Libraries Revolutionize Access for the Poor? [links to web]
   Setting the record straight on the FCC Lifeline program - op-ed
   Too Little for So Many, Even in The Times - analysis

CONTENT
   Penguin CEO Testifies in Apple Trial
   Why the Apple e-book trial should be over already: The DoJ has an open-and-shut case - analysis
   Viacom Strikes Deal With Amazon to Stream Children’s Shows [links to web]
   5 questions surrounding Apple's new streaming music platform [links to web]
   PwC: the U.S. consumer e-book market will be bigger than the print book market by 2017 [links to web]
   Verizon Pads NFL Deal [links to web]

TELECOM
   Setting the record straight on the FCC Lifeline program - op-ed

WIRELESS/SPECTRUM
   Republicans push for unrestricted airwave auction
   From Lottery to Oligopoly in Wireless Spectrum
   Splitting Air Could Pay for Broadcasters
   FCC’s Clyburn Gets 'Dingelgram' With Auction concerns
   iPhone 4 imports banned in US patent case
   MMTC Says SoftBank Needs to Weigh In on Diversity [links to web]
   Study: 105 million hours of productivity lost due to FAA electronic devices ban [links to web]
   Smartphones to Pass Feature Phones, Report Says [links to web]
   On the Internet, mobile outpacing home broadband [links to web]
   Glass Tells Sprint Holders to Abstain

PATENTS
   President Obama calls for new efforts targeting patent trolls
   Tech Firms Back Obama Patent Move [links to web]
   Tactical Shift Put Patent Firms on Political Radar

TELEVISION
   Big Open Pipes - analysis
   CSG: Consumers Equally Willing to Buy Content from Pay TV and OTT Providers [links to web]
   Court Dismisses Sky Angel Suit Against C-SPAN [links to web]

JOURNALISM
   Too Little for So Many, Even in The Times - analysis

HEALTH
   Most Doctors Don’t Meet U.S. Push for Electronic Records [links to web]

EDUCATION
   E-Rate 2.0: Commissioner Rosenworcel’s Plan to Reboot National Education [links to web]

EMERGENCY COMMUNICATIONS
   FirstNet Board Approves Budget and Organization Structure - press release
   Google Tells Feds How to get Emergency Info to the Top of Search Results

GOVERNMENT & COMMUNICATIONS
   Some Obama top political appointees using secret US government e-mail accounts
   Obama email flap: White House defends top officials' use of 'secret' accounts
   Google Tells Feds How to get Emergency Info to the Top of Search Results
   House GOP unveils website allowing public to ‘co-sponsor’ bills [links to web]
   OSTP Issues Final Rule to Implementation of the Freedom of Information Act - public notice [links to web]

POLICYMAKERS
   FCC Acting Chairwoman Mignon L. Clyburn Names Robert H. Ratcliffe Acting Enforcement Bureau Chief - press release [links to web]
   Working Together with Indian Country - press release [links to web]
   RNC hires Facebook manager as chief technology officer [links to web]

STORIES FROM ABROAD
   NATO boosts cyber defenses but members differ on its role [links to web]
   Brussels hardens stance on equal access to internet
   Fears over future trade with China curb UK criticism of Huawei
   In China, an Empire Built by Aping Apple [links to web]

MORE ONLINE
   Who do you like best: Google, Facebook or Apple? [links to web]
   Study: Apple will outgrow new campus in Cupertino before it's built [links to web]
   E-book Buyers Are 21% More Likely to Be Female [links to web]

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CONTENT

PENGUIN TESTIMONY
[SOURCE: Wall Street Journal, AUTHOR: Joe Palazzolo]
A publishing executive said Tuesday that Apple’s entry into the electronic-book market in 2010 marked the beginning of a dramatic shift away from prices set by retailers to ones set by the publishers themselves. But the testimony of David Shanks, chief executive of Penguin Group (USA) since 2001, appeared at odds with allegations by the Justice Department that Apple conspired with Penguin and four other major publishers to hoist prices industry wide. Far from conspirators, Shanks said during the second day of an expected three-week trial, Apple and Penguin clashed on many things. Shanks said, for instance, Penguin initially proposed an agreement with Apple in which the technology company would have set the prices of e-books sold in its digital bookstore. But Apple decided against that wholesale pricing model, opting for a so-called agency model that placed pricing in the hands of the publisher, while Apple received a 30% commission on each sale. Shanks said he tried unsuccessfully to get Apple to abandon price caps of $12.99 and $14.99, and a price-matching provision that ended up in the final contract between the two companies. Shanks said he sought assurances from Apple that his competitors were agreeing to the same terms—but only partly because he feared the repercussions of adopting the agency model without the other publishers. Penguin, a unit of Pearson, also wanted to be sure the selection in Apple's digital library was large enough to draw in customers, he said.
benton.org/node/153225 | Wall Street Journal | CSM | FT
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E-BOOK TRIL SHOULD BE OVER
[SOURCE: paidContent.org, AUTHOR: Mathew Ingram]
[Commentary] The federal antitrust case over collusion and price-fixing in the e-book industry entered what will likely be its final chapter on June 3, with opening statements in court from the Department of Justice and Apple — since all of the accused publishers have already settled. And while Apple is undoubtedly going to make an impassioned defense of its innocence over the next few weeks, the fact is that the DoJ has what amounts to a slam-dunk case: no matter how you look at it, the company colluded with publishers to keep e-book prices high. In fact, the government’s case is so compelling that the judge in the trial has already said she thinks it will prevail, despite Apple’s protests to the contrary. In pretrial comments, U.S. District Judge Denise Cote said she believes the government “will be able to show at trial direct evidence that Apple knowingly participated in and facilitated a conspiracy to raise prices of e-books, and that the circumstantial evidence in this case will confirm that.”
benton.org/node/153188 | paidContent.org | WSJ | LA Times | ars technica
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TELECOM

SETTING THE LIFELINE RECORD STRAIGHT
[SOURCE: The Hill, AUTHOR: Jessica González]
[Commentary] Much has been made in the media over the Federal Communications Commission's Lifeline program, which helps make telephone service more affordable for poor families. Most of the media coverage, however, has been slanted and misleading. Last month I testified at a hearing before the House Energy and Commerce’s subcommittee on Communications and Technology titled “The Lifeline Fund: Money Well Spent?” My testimony provided a factual account of the history of the Lifeline program and the ways in which it is bettering lives today. Stories in the media of corporate abuse for profit have drowned out the stories of the very real people that use Lifeline as a tool to improve their lives and move away from government assistance. The vast majority of Lifeline recipients are grateful seniors, deserving veterans and folks who are going through the hardest times of their lives — facing job losses, illnesses, disability and family tragedies. Lifeline enables the most vulnerable members of our society with access to 9-1-1 emergency services, the cellular AMBER Alert notifications and the emerging wireless emergency broadcast system Personal Localized Alerting Network (PLAN) that saved lives during Hurricane Sandy. For these people, Lifeline literally lives up to its name and must continue. [González is the vice president of policy and legal affairs for the National Hispanic Media Coalition]
benton.org/node/153195 | Hill, The
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WIRELESS/SPECTRUM

SENATE WIRELESS HEARING
[SOURCE: The Hill, AUTHOR: Brendan Sasso]
Republicans on the Senate Communications Subcommittee argued that the government should not limit the ability of AT&T and Verizon to bid in the upcoming auction of airwave licenses. The Justice Department's Antitrust Division has urged the Federal Communications Commission to use caps or limits to ensure that Verizon and AT&T do not buy up all of the spectrum licenses at auction. The agency warned that the industry giants could use the auction to kill off competition from Sprint, T-Mobile and regional carriers. "I believe the Commission should not pick winners or losers among individual companies, but instead let all interested participants freely compete against one another in the open market," Sen. John Thune (R-SD), the Commerce Committee's ranking member, said during the Subcommittee hearing on the state of wireless communication. "To achieve success, it is critical that there be widespread all-inclusive participation in the auction," said Sen. Roger Wicker (R-MS), a subcommittee member. Sen. Dean Heller (R-NV) worried that restrictions on participation would reduce the government's revenue, which he said is key to the auction. Delara Derakhshani, a policy counsel for the Consumers Union, warned that the auction won't benefit consumers unless it promotes competition. "The two largest providers of wireless services today are positioned to dominate the auction unless the government puts in place appropriate rules," she testified.
There was general agreement at the hearing that the wireless industry needed more spectrum, including unlicensed spectrum for Wi-Fi, but how much of it would be coming from broadcasters was less clear. Steve Largent, who heads CTIA: The Wireless Association, said that one answer was to "coerce" some of the 70% of usable spectrum from the government. He said he hoped the Federal Communications Commission could get back its target of 120 MHz from broadcasters, but was not at all sure that would happen.
benton.org/node/153206 | Hill, The | Broadcasting&Cable
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FROM LOTTERY TO OLIGOPOLY
[SOURCE: New York Times, AUTHOR: Eduardo Porter]
For all its sleek iThing patina today, the origins of the wireless communications revolution had a decidedly Wild West feel. At the dawn of the cellular phone age, in the early 1980s, the federal government faced a crucial decision: who should get the rights to send signals across the public airwaves, potentially cracking the monopoly of the wired telephone companies? At first, officials chose big cities to introduce the technology, conducting an endless bureaucratic procedure called “comparative hearings” in which they sought to select the best among rival bids. That proved so time-consuming that they soon turned to what seemed a more effective route: give away the rights to use the electromagnetic spectrum through a lottery. They were not prepared, however, for the gold rush that followed. Ostensibly committed to deliver cellular phone service wherever they won a license, many winners instead immediately sold the license to a bona fide phone operator. And they made a bundle. The only outfit that didn’t make any money from the process seems to have been the United States government. Now, Washington is back in the business of putting vast chunks of wireless spectrum on the market. It has learned an important lesson: since 1993, the Federal Communications Commission has leased spectrum to the highest bidder using Dutch auctions. From 2001 to 2010, it reaped a hefty $33 billion on behalf of taxpayers. But there is another lesson that the political system has not learned as well: how to foster competition.
benton.org/node/153224 | New York Times
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SPECTRUM COULD PAY FOR BROADCASTERS
[SOURCE: Wall Street Journal, AUTHOR: Miriam Gottfried]
Content may be king. But in wireless circles, spectrum still reigns supreme. That is good news for owners of broadcast-television stations who hold licenses to large swaths of airwaves. Amid lower ratings and potentially disruptive technology, that spectrum looks even more valuable and may help underpin some broadcasters' shares. Wireless operators are eager for new spectrum as mobile-data use rockets. Broadcast spectrum borders one of the main bands used for wireless networks and could also be used for that purpose. Getting that into the hands of wireless carriers has long been one of the Federal Communications Commissions' goals. In early 2012, Congress authorized it to auction broadcast spectrum, which it aims to do in 2014. Meanwhile, cracks have begun appearing in the traditional broadcast model. Aereo, for example, lets users stream broadcast-television signals over the Web. That threatens retransmission fees, which pay-TV operators pay to carry broadcasters' signals.
benton.org/node/153222 | Wall Street Journal
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DINGELL’S AUCTION CONCERNS
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Rep. John Dingell (D-MI) is continuing to press his concern over reallocation of broadcast spectrum following the incentive auctions, this time sending one of his famed "Dingelgrams" seeking some answers from Acting Federal Communications Commission Chairwoman Mignon Clyburn. In a letter dated June 4, Rep Dingell seeks answers to three questions about the FCC's authority to take certain auction-related actions, suggesting it may be exceeding its authority under the Middle Class Tax Relief and Job Creation Act of 2012, legislation that included authorizing the voluntary incentive auction of broadcast spectrum. "Does the commission believe it must complete international coordination with Mexico and Canada prior to reallocating and reassigning broadcast frequencies"; 2. "Does the commission believe [incentive auction legislation] grants it authority to revise its Office of Engineering and Technology Bulletin No. 69, a model used to predict broadcast interference." 3. "Does the commission believe [the legislation] permits it to conduct a weighted reverse auction?"; "What effect does the Commission estimate that a weighted reverse auction would have on the number of participants and the amount of spectrum recovered..."
Rep. Dingell, chairman emeritus of the House Commerce Committee, has given Chairwoman Clyburn until June 28 to respond.
benton.org/node/153221 | Broadcasting&Cable
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IPHONE BAN
[SOURCE: USAToday, AUTHOR: Jon Swartz]
The U.S. International Trade Commission said it is banning imports of Apple's iPhone 4 and iPad 2 3G after determining the devices violate a patent held by rival Samsung Electronics. The ruling, issued in Samsung's patent lawsuit against Apple, could end Apple's ability to sell the older versions of the iPhone and iPad in the U.S. because they are assembled in China. The panel issued a limited import ban and a cease-and-desist order for AT&T models of the iPhone 4 and iPad 2 3G, which are still made. IPhone 3GS and iPad 3G, which are no longer made, were also cited in the ruling. Apple says it plans to appeal. President Barack Obama has 60 days to invalidate the order.
benton.org/node/153204 | USAToday | CNNMoney
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GLASS LEWIS
[SOURCE: Wall Street Journal, AUTHOR: Joann Lublin]
Glass, Lewis & Co., a major proxy-advisory firm, urged Sprint Nextel investors to abstain from voting on the wireless operator's $20.1 billion acquisition by Japanese telecommunications company SoftBank. The advisory firm said shareholders should hold off in the vote scheduled for June 12 until Sprint's board makes clear its view of a rival $25.5 billion takeover proposal from satellite-television operator Dish Network. "With an ongoing board process to evaluate what appears to be a bona fide offer from an interested and capable third party, we believe approval of the existing agreement would be premature," Glass Lewis said. The recommendation comes days after Institutional Shareholder Services Inc. proposed that shareholders support the SoftBank takeover, while withholding judgment on whether the Dish proposal might be superior. The Dish proposal isn't yet binding. Both Glass Lewis and ISS advise big investors like mutual funds about how to vote in corporate elections.
benton.org/node/153226 | Wall Street Journal
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PATENTS

WH VS PATENT TROLLS
[SOURCE: IDG News Service, AUTHOR: Grant Gross]
Congress should allow new challenges to patents on processes that are enabled by computers, and lawmakers should make it more difficult for patent-holding firms to gain import injunctions at the U.S. International Trade Commission, the White House has recommended. President Barack Obama called on Congress to take several steps to make it more difficult for so-called patent assertion entities (PAEs) to collect money from alleged infringers of their patents. PAEs, often called patent trolls, are patent-owning companies whose main business model is demanding license fees instead of making products based on their patents. Congress and the White House need to take steps to curb patent abuse by companies that "essentially leverage and hijack somebody else's idea and see if they can extort some money out of them," President Obama said. Lawmakers in both the Senate and the House of Representatives are also pushing for bills targeting patent trolls.
benton.org/node/153158 | IDG News Service | White House | White House blog | CNNMoney | The Hill
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PATENTS ON POLITICAL RADAR
[SOURCE: Wall Street Journal, AUTHOR: Ashby Jones]
Big technology companies like Cisco Systems and Google have been griping for years about "patent trolls," or companies that buy up patents to make money from them through licensing and litigation. But the White House and Congress started taking patent firms seriously, said people close to the push for a crackdown, only after some of the firms took aim at a different target: retailers and their customers. "When the trolls started going after mom-and-pop coffee shops, community banks, fast-food restaurants, that's what put this on the radar," said Van Lindberg, the vice president of Rackspace Hosting Inc., a San Antonio cloud-computing company and member of a tech coalition that lobbied Congress and the White House. The letters sent shock waves through the retail industry, said Mallory Duncan, general counsel at the National Retail Federation. "Most retailers aren't technologists," he said. "They know about as much about the technology that goes into their cash register as you and I do about the technology in our cellphones."
benton.org/node/153227 | Wall Street Journal
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TELEVISION

BIG OPEN PIPES
[SOURCE: Free Press, AUTHOR: Derek Turner]
[Commentary] In 1992, consumers were giving Congress an earful about their cable bills. A decade of deregulation meant cable subscribers had to fend for themselves in a monopoly market where cable TV companies abused their pricing power. Congress took up the cause and enacted the 1992 Cable Act, which noted in its findings that the “average monthly cable rate has increased almost three times as much as the Consumer Price Index since rate deregulation.” The law resulted in lower cable bills, saving consumers $3 billion in just over a year’s time. But this was only a brief respite. Less than three years after a super-majority of Congress voted to rein in monopoly cable prices, an even larger super-majority voted to let the cable industry return to its price-gouging ways. And return to them it did. Since 1996, cable bills have continued to increase at — yes, you guessed right —nearly three times the rate of inflation. So why did so many in Congress flip positions in such a short period of time? The driving force behind this shift was the dawn of the broadband era.
benton.org/node/153160 | Free Press
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JOURNALISM

COVERAGE OF THE POOR
[SOURCE: New York Times, AUTHOR: Margaret Sullivan]
[Commentary] Newspaper people make decisions about what to cover and what to emphasize every day. They have finite resources — only so much space in the paper, only so many reporters — and they have to choose. In this context, one question I’ve been thinking about for several months is this: How well does The New York Times cover those who live in poverty and the news that affects them? No one can say that The Times ignores poverty. But is it enough? Is it the right kind of coverage? Where are the gaps, and what is the big picture? These questions are important, particularly because there is an undeniable moral dimension. Within America’s great affluence, nearly 50 million people live in poverty, defined as income below $23,550 for a family of four. Surely, the mission of the nation’s greatest newspaper ought to include a deep concern about those 50 million. Based on reading, interviewing and simply paying more attention, I’ve made some observations.
When The Times does write about poverty — whether in a special series or a long feature article — it usually does so with depth and intelligence. The amount and intensity of the coverage, however, may not be in proportion to the size of the problem. One in six Americans live in poverty, and it’s worse for children: one in five. In New York City, it is commonplace to see men and women sleeping on the street. Among the city’s 8 million residents, 1.5 million don’t have enough to eat; a third of those are children. Occasional coverage — no matter how excellent — doesn’t get the job done. Some advocates for the poor see another problem: News organizations, including The Times, tend to treat those in poverty as “the other,” a problem that is “over there.”
benton.org/node/153186 | New York Times
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EMERGENCY COMMUNICATIONS

FIRSTNET BUDGET
[SOURCE: National Telecommunications and Information Administration, AUTHOR: Press release]
The First Responder Network Authority (FirstNet) approved resolutions proposed by its new General Manager, Bill D’Agostino, to give FirstNet the funding and organizational structure it needs to advance its mission to build a nationwide, public safety broadband network for first responders. D’Agostino outlined for the Board an organizational plan for FirstNet, identifying senior management positions that he intends to fill. As full-time employees are hired, many of the functions being performed by Board members and temporary consultants will be transitioned over to FirstNet staff. “FirstNet is entering a new phase as we work to stand up this organization,” said Board Chairman Sam Ginn. “I’m confident that Bill is taking us in the right direction and look forward to getting these critical staff on board as expeditiously as possible.” D’Agostino is currently undertaking a review process of the terms and conditions on new contracts. The budget resolution approved today would increase authorized spending to $20 million and commitments (obligations) to $50 million for FY 2013, subject to the Board’s approval of the acquisition strategy. D’Agostino said the budget increases are critical to enable FirstNet to grow its outreach teams to continue the relationship building and state and local outreach that was begun through the three regional workshops held with states so far. He also said the funding was important to permit FirstNet to continue to work with the Broadband Technology Opportunities Program (BTOP) public safety projects, which are currently negotiating spectrum lease agreements with FirstNet.
benton.org/node/153194 | National Telecommunications and Information Administration
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GOVERNMENT & COMMUNICATIONS

SECRET E-MAIL ACCOUNTS
[SOURCE: Associated Press, AUTHOR: ]
Some of President Barack Obama’s political appointees, including the secretary for Health and Human Services, are using secret government e-mail accounts they say are necessary to prevent their inboxes from being overwhelmed with unwanted messages. The scope of using the secret accounts across government remains a mystery: Most U.S. agencies have failed to turn over lists of political appointees’ email addresses, which the AP sought under the Freedom of Information Act more than three months ago. The Labor Department initially asked the AP to pay more than $1 million for its email addresses. The AP asked for the addresses following last year’s disclosures that the former administrator of the Environmental Protection Agency had used separate email accounts at work. The practice is separate from officials who use personal, non-government email accounts for work, which generally is discouraged — but often happens anyway — due to laws requiring that most federal records be preserved. The secret email accounts complicate an agency’s legal responsibilities to find and turn over emails in response to congressional or internal investigations, civil lawsuits or public records requests because employees assigned to compile such responses would necessarily need to know about the accounts to search them. Secret accounts also drive perceptions that government officials are trying to hide actions or decisions.
benton.org/node/153171 | Associated Press
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‘SECRET’ E-MAIL ACCOUNTS
[SOURCE: The Christian Science Monitor, AUTHOR: David Cook]
White House spokesman Jay Carney defended the Obama Administration’s commitment to transparency after an Associated Press investigation showed that some of the president’s top political appointees are using “secret” government e-mail accounts in a bid to avoid unwanted messages. “This is a practice consistent with prior administrations of both parties,” he said. Having alternate e-mail accounts makes "eminent sense,” the press secretary said. He told of having his e-mail made public by his predecessor, Robert Gibbs, shortly before Carney assumed his current position. "I changed it so I wouldn’t be inundated with … tons of e-mails and spam and the like.... But that is a very reasonable thing to do.” Carney disputed the AP’s use of the “secret label” for unpublished e-mail addresses. “The issue here is are these accounts – these work accounts – secret, and the answer is no, because they are subject to FOIA requests and they are subject to congressional inquiry, just like their public addresses,” he said. He added, “This administration has made significant strides in improving FOIA practices, compared with all of our predecessors…. [We] have disclosed more information, invoked FOIA exemptions less frequently, and answered more requests.” The issue is a sensitive one, given a memo President Barack Obama issued on his first full day in the White House pledging that his administration was "committed to creating an unprecedented level of openness in government.” The document went on to say, "we will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration."
benton.org/node/153219 | Christian Science Monitor, The
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GOOGLE TELLS FEDS HOW TO GET EMERGENCY INFO TO THE TOP OF SEARCH RESULTS
[SOURCE: nextgov, AUTHOR: Joseph Marks]
Offering relevant information in open, machine-readable formats may be the most important thing government can do to keep the public informed during a natural disaster, Google and other technology leaders told members of Congress. When a natural disaster such as 2012’s Hurricane Sandy hits, federal, state and local government agencies are often the best source for trusted information about the storm’s path or the location of shelters and other services. People in the path of those storms, however, are much more likely to seek information on Google and other private sector platforms. Google received about 15 million queries for Sandy-related information in the days before, during and after the storm, Matthew Stepka, vice president of the tech giant’s social impact arm Google.org told members of the House Homeland Security Committee’s panel on Emergency Preparedness, Response and Communications. That compares with about 740,000 visitors to the Federal Emergency Management Agency's Sandy pages, 71,000 visitors to the main governmentwide Sandy page at USA.gov and about 2.8 million visitors to a governmentwide widget that directed visitors to five main lines of government information about Sandy, according to a lessons learned report on the superstorm and social media released by the Homeland Security Department.
benton.org/node/153193 | nextgov
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STORIES FROM ABROAD

EU NETWORK NEUTRALITY
[SOURCE: Financial Times, AUTHOR: Daniel Thomas, James Fontanella-Khan]
Unrestrained access to the internet for companies such as Skype and Google would be guaranteed by law under far reaching “network neutrality” plans by Europe’s top technology regulator. Proposals tabled on June 4 aim to stamp out anti-competitive blocking or “throttling” of services and content by internet providers, as well as ensure greater transparency and choice for consumers. The European Commission estimates that about 100m Europeans have suffered restrictions on internet usage, such as the blocking of free chat apps like Skype or WhatsApp by companies that offer rival services. Internet service providers, including the region’s largest telecoms groups, would be forced to provide equal access for even the heaviest web content suppliers as well as provide transparency to customers over broadband speeds and prices. “The commission is 100 per cent committed to the open internet,” said Neelie Kroes, EU commissioner for telecoms. “Anti-competitive blocking needs to end. I think it’s unsustainable and on the way out, but I am willing to push it out.”
benton.org/node/153214 | Financial Times
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HUAWEI IN UK
[SOURCE: Financial Times, AUTHOR: Jim Pickard, George Parker, Daniel Thomas]
A critical parliamentary report into Huawei Technologies, the Chinese telecommunications company, has been heavily redacted by the government amid concern about the potential impact on Chinese investment in the UK. The report by the Intelligence and Security Committee will highlight the central role of Huawei in Britain’s telecommunications infrastructure since it struck a big supply deal with BT in 2004. People familiar with the report say it will suggest that staff from GCHQ, Britain’s intelligence listening post, should oversee the Banbury cybersecurity center, where Huawei’s equipment is examined. The facility is currently managed by the Chinese company. A person familiar with the report said such a move would “reassure” the public here was nothing to fear from Chinese involvement in Britain’s telecoms networks. Critics, particularly in the US, have raised concern over Huawei’s alleged ties to the Chinese state.
benton.org/node/153213 | Financial Times
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Technology companies welcomed the Obama Administration's decision to wade into the debate over patent litigation, seeing a chance to stem a flood of lawsuits they say is hurting innovation.

The Administration rolled out a package of executive orders and recommendations for legislation that takes aim at patent-holding firms, or what critics derisively call "patent trolls"—companies that buy up patents solely to press for licensing deals or payouts in court. Some observers cautioned that the measures won't do much to stop excess litigation without action by Congress and that they could have unintended consequences, such as making it harder for universities to protect their inventions. Congress is already considering proposals that are similar to those made by the White House. "The core of the initiative is the legislative proposals," said Ed Reines, a patent lawyer at Weil, Gotshal & Manges LLP. "The executive orders alone just aren't going to move the needle." But it was an unusual move by the White House, which rarely takes high-profile steps over perceived problems with the US legal system, regardless of the party in power. The Administration was swayed by a vigorous lobbying effort involving a number of industries, including the technology, financial and retail sectors.


Tech Firms Back Obama Patent Move
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Big technology companies like Cisco Systems and Google have been griping for years about "patent trolls," or companies that buy up patents to make money from them through licensing and litigation. But the White House and Congress started taking patent firms seriously, said people close to the push for a crackdown, only after some of the firms took aim at a different target: retailers and their customers.

"When the trolls started going after mom-and-pop coffee shops, community banks, fast-food restaurants, that's what put this on the radar," said Van Lindberg, the vice president of Rackspace Hosting Inc., a San Antonio cloud-computing company and member of a tech coalition that lobbied Congress and the White House. The letters sent shock waves through the retail industry, said Mallory Duncan, general counsel at the National Retail Federation. "Most retailers aren't technologists," he said. "They know about as much about the technology that goes into their cash register as you and I do about the technology in our cellphones."


Tactical Shift Put Patent Firms on Political Radar
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Glass, Lewis & Co., a major proxy-advisory firm, urged Sprint Nextel investors to abstain from voting on the wireless operator's $20.1 billion acquisition by Japanese telecommunications company SoftBank.

The advisory firm said shareholders should hold off in the vote scheduled for June 12 until Sprint's board makes clear its view of a rival $25.5 billion takeover proposal from satellite-television operator Dish Network. "With an ongoing board process to evaluate what appears to be a bona fide offer from an interested and capable third party, we believe approval of the existing agreement would be premature," Glass Lewis said. The recommendation comes days after Institutional Shareholder Services Inc. proposed that shareholders support the SoftBank takeover, while withholding judgment on whether the Dish proposal might be superior. The Dish proposal isn't yet binding. Both Glass Lewis and ISS advise big investors like mutual funds about how to vote in corporate elections.


Glass Tells Sprint Holders to Abstain
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A publishing executive said that Apple’s entry into the electronic-book market in 2010 marked the beginning of a dramatic shift away from prices set by retailers to ones set by the publishers themselves. But the testimony of David Shanks, chief executive of Penguin Group (USA) since 2001, appeared at odds with allegations by the Justice Department that Apple conspired with Penguin and four other major publishers to hoist prices industry wide.

Far from conspirators, Shanks said during the second day of an expected three-week trial, Apple and Penguin clashed on many things. Shanks said, for instance, Penguin initially proposed an agreement with Apple in which the technology company would have set the prices of e-books sold in its digital bookstore. But Apple decided against that wholesale pricing model, opting for a so-called agency model that placed pricing in the hands of the publisher, while Apple received a 30% commission on each sale. Shanks said he tried unsuccessfully to get Apple to abandon price caps of $12.99 and $14.99, and a price-matching provision that ended up in the final contract between the two companies. Shanks said he sought assurances from Apple that his competitors were agreeing to the same terms—but only partly because he feared the repercussions of adopting the agency model without the other publishers. Penguin, a unit of Pearson, also wanted to be sure the selection in Apple's digital library was large enough to draw in customers, he said.


Penguin CEO Testifies in Apple Trial DOJ and Apple square off over alleged e-book price-fixing scheme (CSM) Apple described as ‘go between’ in e-book battle (FT)
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For all its sleek iThing patina today, the origins of the wireless communications revolution had a decidedly Wild West feel. At the dawn of the cellular phone age, in the early 1980s, the federal government faced a crucial decision: who should get the rights to send signals across the public airwaves, potentially cracking the monopoly of the wired telephone companies?

At first, officials chose big cities to introduce the technology, conducting an endless bureaucratic procedure called “comparative hearings” in which they sought to select the best among rival bids. That proved so time-consuming that they soon turned to what seemed a more effective route: give away the rights to use the electromagnetic spectrum through a lottery. They were not prepared, however, for the gold rush that followed. Ostensibly committed to deliver cellular phone service wherever they won a license, many winners instead immediately sold the license to a bona fide phone operator. And they made a bundle. The only outfit that didn’t make any money from the process seems to have been the United States government. Now, Washington is back in the business of putting vast chunks of wireless spectrum on the market. It has learned an important lesson: since 1993, the Federal Communications Commission has leased spectrum to the highest bidder using Dutch auctions. From 2001 to 2010, it reaped a hefty $33 billion on behalf of taxpayers. But there is another lesson that the political system has not learned as well: how to foster competition.


From Lottery to Oligopoly in Wireless Spectrum