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Clearwire’s board recommended Sprint Nextel’s new takeover bid of $3.40 a share, or about $2.5 billion, saying it’s the best offer available to the struggling wireless-service provider.

The increased price, which Sprint boosted from $2.97 a share May 21, tops a $3.30 bid from Dish Network. After the terms were changed, Clearwire rescheduled yesterday’s meeting for investors to vote on the deal until May 31. The new offer values all of Clearwire, including debt and Sprint’s current equity in the business, at $10.7 billion. While the board had also endorsed the lower bid, Sprint faced opposition from Clearwire’s shareholders, who said it undervalued the company. Sprint, which already owns slightly more than 50 percent of the business, is trying to buy the rest of the shares to gain control over Clearwire’s valuable spectrum -- something it needs to bolster its own network.


Clearwire Board Endorses Sprint’s Sweetened Bid Clearwire Doesn't Expect Dish to Top Sprint's Bid (WSJ)

Speaking at a CTIA conference, Federal Communications Commission member Jessica Rosenworcel offered ideas to inform wireless policies going forward.

  1. Consumers come first. We should continue to work to help prevent bill shock; help deter the sale of stolen cell phones; make contracts and bills more clear; and clean up wireless cramming.
  2. Simplicity is the path to successful incentive auctions. The success of incentive auctions is built on three simple goals—making it attractive and easy for those who want to return their spectrum; treating broadcasters that want to stay on their air fairly under the law; and raising enough revenue to support a national interoperable, wireless broadband public safety network.
  3. An open auction process matters. Hold public hearings to explore the four major aspects of the auctions—the reverse auction, the repacking, the forward auction, and the transition process.
  4. Have a 600 MHz bandplan in place by the third quarter of this year.
  5. Auction the 65 megahertz identified in the Middle Class Tax Relief and Job Creation Act in the third quarter of 2014—and all at once. By auctioning these bands in a single auction we can generate more interest, and get a head start on funding the public safety network.
  6. Hold the incentive auction in the fourth quarter of 2014. This gives carriers time to reassess their spectrum needs following the traditional auction of 65 megahertz of spectrum identified in the law.
  7. Auction 2155-2180 MHz along with the right to work with the federal incumbents in the 1755-1780 MHz band. This raises the value of the 2155-2180 MHz band and creates opportunity for specific parties to negotiate with federal users.
  8. Sharing the repacking methodology by the end of the year will enhance transparency.
  9. To help unpack the issues in the repacking process along the border, the Commission should convene an international working group, including minds from the federal side, state side, industry, and public.
  10. Our federal spectrum policy needs to be built on carrots, not sticks. Across government, we need to consider incentives for more efficient use of federal spectrum. We must find ways for agencies to see gain and not just loss from commercial reallocation.

Remarks of Commissioner Rosenworcel, CTIA 2013 - The Mobile Marketplace

Karl Nebbia, associate administrator of the Office of Spectrum Management, has among the most challenging jobs at the National Telecommunications and Information Administration: finding enough spectrum to meet both the government’s and industry’s need for wireless technologies.

NTIA is in charge of managing spectrum used by federal agencies to perform a plethora of critical functions for the United States from air traffic control to weather satellites to fighting forest fires. But Nebbia’s office also is working to help meet the president’s goal of finding 500 megahertz of spectrum for wireless broadband over the next decade. As part of this effort, Nebbia has been guiding the Commerce Spectrum Management Advisory Committee, which has been working with other federal agencies and industry stakeholders to identify bands of federal spectrum that can be freed up for commercial use. Nebbia, who oversees the biggest office within NTIA, first started at the agency in 1983. He began his career in spectrum management at IIT Research Institute, working on a contract with the Defense Department’s Electromagnetic Compatibility Analysis Center. A U.S. Naval Academy graduate, Nebbia served five years in the Marine Corps as an artillery officer but chose not to make a career in the military. Unlike most of his predecessors in his current post, he does not have an engineering degree. Despite this, Nebbia says his military background proved useful when he landed in spectrum management. The Defense Department is the biggest user of federal spectrum.


Spotlight on NTIA: OSM’s Karl Nebbia
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The U.S. response to hundreds of billions of dollars in intellectual property theft -- "hectoring governments and prosecuting individuals" -- has to date been "utterly inadequate to deal with the problem." That is according to a just-released report from the bipartisan Commission on the Theft of Intellectual Property (IPC), which can include everything from counterfeit hard goods -- pirated DVDs -- to a host of digital goods including TV and movie content.

The report found that IP theft is north of $300 billion annually, or about the equivalent of all U.S. imports to Asia. That is appropriate, since China remains the number one illegal exporter of U.S. intellectual property according to the report. The committee also calls IP theft the greatest wealth transfer in history, and one that costs millions of U.S. jobs.


IPC: U.S. Reaction to IP Theft 'Utterly Inadequate' Former US officials recommend penalties for foreign companies using stolen American IP (The Hill) The IP Commission Report (Commission on the Theft of American Intellectual Property)
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The growing influence of Silicon Valley, Austin and New York continues to reverberate in Washington, rising tech leaders said.

The participants at POLITICO’s Emerging Tech Leaders event all agreed that technology — from drones and privacy to politics and social media — has vaulted into consequential policy areas. Evan Burfield, co-founder of startup platform 1776, said understanding “the logic of these machines” is a second language in many fields now. “I’m a big proponent of the idea that understanding technology is a new form of literacy,” Burfield said at the Microsoft Innovation and Policy Center. “Frankly, those have been communities speaking different languages, wearing different clothes, hanging out in different places.” While technology literacy has already moved many industries to a more data-driven, collaborative model, startups and developers still need help making waves in Washington, he said.


Emerging leaders talk about tech’s growing DC role

H.R. 1211 would amend the Freedom of Information Act (FOIA). FOIA generally allows any person to obtain federal agency records. Specifically, the legislation would require the Office of Management and Budget (OMB) to establish a single FOIA website for making requests and checking on the status of those requests; establish a Chief FOIA Officers Council to review compliance with the act and to recommend improvements; and require additional reports from the National Archives and Records Administration (NARA) and other agencies.

CBO estimates that implementing H.R. 1211 would cost $20 million over the 2014-2018 period, assuming appropriation of the necessary amounts. The legislation also could affect direct spending by agencies not funded through annual appropriations (such as the Tennessee Valley Authority). Therefore, pay-as-you-go procedures apply. CBO estimates, however, that any net increase in spending by those agencies would not be significant. Enacting the bill would not affect revenues. H.R. 1211 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act (UMRA) and would not affect the budgets of state, local, or tribal governments.


CBO Scores FOIA Act
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[Commentary] With the decision to label a Fox News television reporter a possible “co-conspirator” in a criminal investigation of a news leak, the Obama Administration has moved beyond protecting government secrets to threatening fundamental freedoms of the press to gather news. Obama Administration officials often talk about the balance between protecting secrets and protecting the constitutional rights of a free press. Accusing a reporter of being a “co-conspirator,” on top of other zealous and secretive investigations, shows a heavy tilt toward secrecy and insufficient concern about a free press.


Another Chilling Leak Investigation
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There were two stark object lessons for the technology industry in Congress. One showed the power of influence. The other showed the power of the iPhone.

In the Senate Judiciary Committee, the industry scored an enormous victory. It got its way on the immigration bill after Senator Orrin G. Hatch, Republican of Utah, told his fellow committee members that he would not vote for the bill unless they agreed to changes that Silicon Valley pushed for. It reflected an aggressive effort by the industry: companies have vastly expanded their lobbying budgets in Washington and dispatched executives to meet with lawmakers to push for an immigration overhaul. The latest, brashest entrant is an advocacy group led by Mark Zuckerberg, chief executive of Facebook, which raised huge sums of money to sponsor advertisements supporting several critical Republicans who back the immigration bill.

In the Senate Permanent Committee on Investigations, meanwhile, Apple‘s chief executive, Timothy D. Cook, testified. He was questioned by panel members about how Apple’s subsidiaries had helped the company pay as little as one-twentieth of 1 percent in taxes on billions of dollars in income. Congressional investigators earlier this week unveiled a report detailing those tax diversions by Apple subsidiaries, based in Ireland but spanning other regions around the world.


Lessons for Silicon Valley on Capitol Hill
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The federal government moved to consolidate mobile phone service for its sprawling staffs, which could save as much as $300 million over five years, according to Dan Tangherlini, acting administrator of the General Services Administration.

The GSA, which is funded by fees from IT and other services that it provides to federal agencies, struck a blanket purchase agreement with AT&T, Verizon Wireless, Sprint Nextel, and T-Mobile, Tangherlini said. The agreement will ensure uniform prices and conditions, as well as sharing of wireless minutes among federal workers, which will reduce overage charges, he said. The government currently has 4,000 wireless agreements that make use of 800 different calling plans. The extent of the savings depends upon the participation of federal agencies in the program, which is voluntary. So far, the Immigration and Customs Enforcement unit at the Department of Homeland Security, the U.S. Marshalls’ unit of the Justice Department, and the Department of Energy have signed on to the program, according to the GSA. State and local governments are eligible to join as well.


Federal Government Consolidates Wireless Spending
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Pearson PLC's book publishing business, Penguin Group, has agreed to pay $75 million to settle a dispute in the U.S. over the way it priced electronic books, drawing to a close an investigation into the publishing industry's e-book pricing tactics.

In a brief statement, Pearson said that Penguin has reached a "comprehensive agreement with the U.S. State Attorneys General and private class plaintiffs to pay $75 million in consumer damages plus costs and fees to resolve all antitrust claims relating to e-book pricing." In anticipation of reaching the agreement, Pearson said it made a $40 million provision for settlement in its 2012 financial accounts. An "incremental charge" will be expensed in Pearson's 2013 financial results as part of the accounting for the Penguin Random House joint-venture. A Pearson spokesman declined to provide the specific figure.


Penguin to Settle in E-Book Dispute Penguin agrees to $75 million class action settlement in e-book pricing lawsuit (paidContent.org)