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The Federal Communications Commission’s move under Chairman Julius Genachowski to focus on egregious indecency complaints to help get through the million-plus backlog of complaints has drawn some attention, and fire, lately, including a story on cable news April 30 and a letter from legislators to the FCC concerned about the change.

CNN did a story on the public notice issued April 1 asking for public input on whether the FCC should institute that approach, a change in focus from the previous enforcement policy of pursuing fleeting nudity and profanity. "The FCC may actually loosen the rules governing profanity on network TV," said Wolf Blitzer. The story pointed out that there had been more than 90,000 comments on the FCC Web site on the FCC's public notice, with most saying it was not a good idea. And almost two dozen House Republicans -- including media content critic Frank Wolf (R-VA) -- wrote to Chairman Genachowski April 29 saying they were "deeply troubled" by the public notice. "It is imperative that the FCC maintain current indecency standards during hours when children are undoubtedly watching or listening to programming," they wrote.


FCC's Indecency Policy Takes Some Heat
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Sprint shareholders have some serious thinking to do.

On the one hand, they have SoftBank's $20.1 billion offer for a 70% stake. On the other, there is Dish Network's $25.5 billion bid for the entire company.

In many ways, SoftBank's proposal, which delivers a one-time $4.9 billion cash infusion into Sprint on top of the $3.1 billion the Japanese carrier has already invested, seems to carry lower risk. While Sprint's gross debt would remain the same, the cash injection would give it more flexibility to invest in upgrading its network and allow it to participate in future deals. Dish's bid looks to be riskier. But the combined company would also have greater cash flows. Then there is the added promise of greater reward down the line. That would come if Dish-Sprint can forecast synergies worth $37 billion in today's money and successfully execute a "double play" strategy of video and voice. The latter sounds appealing. But estimating the value of synergies can involve a lot of rough math, particularly in light of the fact that Dish's bankers have yet to see Sprint's books. There is no guarantee these will pan out.


Sprint Shareholders Shouldn't Rush Into Dish Network's Arms SoftBank: Sprint finish (FT)
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[Commentary] The information revolution raises profound questions about the future of books, reading and libraries. While publishers have been nimble about marketing e-books to consumers, until very recently they’ve been mostly unwilling to sell e-books to libraries to lend, fearful that doing so would hurt their business, which is under considerable pressure.

Negotiations between the nation’s libraries and the Big Six publishers — Hachette, HarperCollins, Macmillan, Penguin Group, Random House and Simon & Schuster, which publish roughly two-thirds of the books in America — have gone in fits and starts. Today Hachette, which had been a holdout, is joining the others in announcing that it will make e-books available to public libraries. This is a big step, as it represents, for the first time, a consensus among the Big Six, at least in principle, that their e-books should be made available to library users. Over a quarter of New York City’s 8.2 million residents borrow books from the city’s three public library systems. For those who cannot afford to buy downloads, digital books from libraries are essential to improving literacy, civic engagement and the technological facility necessary for economic success.

[Marx is the president of the New York Public Library]


E-Books and Democracy
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Travelers hitting the road with their mobile electronic devices have three questions about staying connected away from home: will there be Wi-Fi, how much will it cost and how well will it work?

Increasingly, it is that last question that matters most. Hotels, airports and airlines are struggling to keep up with customers streaming movies on their tablets and hosting online meetings on their laptops, with varying degrees of success. While hoteliers and airport authorities have been fighting the bandwidth battle for years, airlines are still installing Wi-Fi on many aircraft and are already confronting challenges. Travelers who want Wi-Fi in the air cannot always tell if a plane will have Internet service when they book their tickets. Prices for service are still evolving, and the quality of the connection does not come close to matching what most people are used to on the ground.


Craving Wi-Fi, Preferably Free and Really Fast
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We regard smartphones as game devices, Web browsers and messaging tools. But at heart they are like all computers before them. They are efficiency engines, a means of saving time, bridging distance, reducing cost. Yet there's something bizarre going on. Even as an estimated 130 million smartphones roam the U.S. streets, economists can't quite find them.

By that I mean they can't find how these mobile devices are improving worker productivity, which computers have been doing quite ruthlessly for the last 70 years. Productivity is the reason living standards rise. It's why we have more goods and services than our grandparents could imagine. The official U.S. productivity numbers are low when compared with the stunning 3% yearly gains of the first Web era, roughly 1995 to 2004. In fact, annual productivity growth since 2004 is about 1.5%, below even the long-term average of 2.25%. It's as if a time-wasting flock of Angry Birds has buried productivity like a worm. Classically defined, an increase in productivity either reduces labor, improves output, or both. And by that measure, argues Northwestern University economist Robert J. Gordon, the iPhone "has done absolutely nothing" to improve productivity. So is there something wrong with the government numbers? Or, more intriguing, are we overestimating how these little machines can affect living standards? The answers are wonky and, inconclusive. For now, we're left in the fallible realm of impressions. Here the relevant question seems to be: Can you find an area of life and business not being affected by the devices?


Why Aren't Smartphones Making Us More Productive?
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Duke University has pulled out of Semester Online, an education consortium that will offer online undergraduate courses for credit, after faculty members objected.

The consortium announced April 30 that it would offer 11 courses this fall, from Boston College, Brandeis, Emory, Northwestern, the University of North Carolina, Notre Dame and Washington University in St. Louis. But the Arts and Sciences Council at Duke, which represents faculty members from the university’s largest undergraduate college, voted 16 to 14 last week against participating in the consortium. While Peter Lange, the Duke provost, saw the consortium as expanding the courses available to Duke students, some faculty members worried that the long-term effect might be for the university to offer fewer courses — and hire fewer professors. Others said there had been inadequate consultation with the faculty.


Duke University Withdraws From Online Course Group
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Representative Edward J. Markey, who has spent almost four decades in the House, has cleared the first hurdle in his drive to become a United States senator, easily defeating a fellow congressman, Stephen F. Lynch, in Massachusetts’s Democratic primary. On the Republican side, Gabriel E. Gomez, a former member of the Navy SEALs and a newcomer to politics, won a three-way primary.

He and Rep Markey will face off in a special general election on June 25 to fill the Senate seat left vacant by John Kerry, a Democrat who resigned this year to become President Obama’s secretary of state. Given the Democrats’ strength in Massachusetts, Rep Markey would have to be considered the early favorite. The Senate race offers voters a choice between Mr. Markey’s decades of experience in Washington — he was first elected to Congress in 1976 — and Gomez’s compelling life story. The son of Colombian immigrants, he became a Navy pilot and a member of the SEALs, attended Harvard Business School and is now a private equity investor. Rep Markey, 66, who has one of the most liberal voting records in Congress, has promised to continue his fight for gun control, a clean environment, abortion rights and Mr. Obama’s health care law.


Senior Congressman and Newcomer Win Senate Nods in Massachusetts Markey and Gomez Will Face Off for Kerry's Seat (WSJ)
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The White House issued its official response to a We The People petition titled “Stop CISPA (Cyber Intelligence Sharing and Protection Act).”

The White House issued a veto threat for the Cyber Intelligence Sharing and Protection Act (CISPA) on April 16, because the legislation did not fully address our core concerns (especially the protection of privacy). Even though a bill went on to pass the House of Representatives and includes some important improvements over previous versions, this legislation still doesn't adequately address our fundamental concerns. But it's not good enough to just stop things: We've got to work together, with legislators on Capitol Hill, technology experts from the private sector, and engaged advocates like you to advance cybersecurity legislation without compromising privacy.

When it comes to information-sharing, there are three key principles we apply to any legislative proposal:
Does it (1) sufficiently protect privacy and civil liberties,
(2) ensure that a civilian department -- not an intelligence agency -- is the primary point of entry for cybersecurity information sharing, and
(3) provide narrowly tailored liability protections that would allow the private sector to respond to threats (without encouraging reckless behavior).

Here's a bit more detail about each:

  1. It's important that any information shared under a new cybersecurity law must be limited to what's relevant and necessary for cybersecurity purposes. That also means minimizing information that can be used to identify specific individuals. For example, if a utility company is looking for government assistance to respond to a cyber attack, it is unlikely that it needs to share the personal information of its customers, like contact information or energy-use history, with the government.
  2. Cybersecurity legislation needs to preserve the traditional roles for civilian and intelligence agencies that we all understand. Specifically, if legislation authorizes new information sharing between the private sector and the government, then that new information should enter the government through a civilian department rather than an intelligence agency. That doesn't mean breaking the existing mechanisms that already work. For example, victims of cyber crime ought to continue to report those violations to federal law enforcement agencies and public-private information-sharing relationships that already exist should be preserved.
  3. Any new legislation ought to provide legal clarity for companies that follow the rules and appropriately share data with the government. But it should not provide broad immunity for businesses and organizations that act in ways likely to cause damage to third parties or result in the unwarranted disclosure of personal information.

Moving forward, the Obama Administration will continue to advocate vocally for cybersecurity legislation that applies these principles to protect privacy.


Cybersecurity Legislation Must Not Violate Americans' Right to Privacy White House: 'Fundamental concerns' remain over cybersecurity bill (The Hill)
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President Barack Obama is expected to soon nominate a former top lobbyist for the cable and wireless industries to lead the Federal Communications Commission, two people familiar with the matter said. [Note: Reuters attributes the news to “a White House official”] Tom Wheeler, a venture capitalist and longtime industry operative, will be tapped to lead the agency that governs the nation's scarce wireless airwaves and regulates telephone networks and indecency on television. President Obama is expected to make the announcement as soon as May 1, an industry official and a person familiar with the situation said. Current FCC Commissioner Mignon Clyburn will act as interim chairman, the industry official said.


President Obama to Name Wheeler to Head FCC Tom Wheeler to be nominated for FCC head, source says (Politico) Obama to nominate Tom Wheeler as FCC chair: official (Reuters) Obama to nominate venture capitalist to head FCC (USA Today) Obama Expected to Name Tom Wheeler as FCC Chairman (The Wrap) Obama to nominate telecom executive Tom Wheeler to chair FCC (Washington Post) Obama Ally Likely Pick for F.C.C. (NYTimes)
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Tom Wheeler, reportedly the nominee to chair the Federal Communications Commission, now faces confirmation by the Senate, but that's perhaps the last place to turn for insight into what the candidate really thinks on tech policy. A far more interesting set of opinions can be found on Wheeler's blog, which he's kept since May 2007.

  1. On network neutrality, Wheeler tried to convince network operators to back the FCC's policy.
  2. Clinging to the comfy economics of scarcity by moving content behind pay walls won’t bring yesterday back. ... The name of the game is how to make money out of abundance, not how to maintain scarcity.
  3. On the privatization of space exploration, Wheeler likened NASA to a telecom monopoly.
  4. On reallocating spectrum more efficiently, he argued for a kind of lightly managed chaos
  5. On Internet privacy, Wheeler proposed entrusting network operators rather than content providers or Web companies themselves.
  6. Wheeler hinted at his favor for 2011's failed AT&T/T-Mobile merger—not because it would've been good for consumers, or for the businesses themselves, but because it would've given the FCC more jurisdiction to regulate mobile broadband.

Six Revealing Quotes From Obama’s New FCC Nominee, Tom Wheeler