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February 20, 2013
Source 
paidContent.org
Author 
Jeff John Roberts
Coverage Type 
Lauren Frayer

It’s been nearly a year and a half since the Boston Globe put a paywall in place and, so far, the results are underwhelming. The Globe, which is one of the last regional papers owned by the New York Times Company, has notched up a total of 28,000 digital-only subscribers — in a metro area of 4 million people. At first blush, the number is small but the Globe‘s publisher and a respected newspaper analyst see cause for optimism.

Boston Globe’s 28,000 digital subscribers: a flop or a foothold?

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February 20, 2013 (Chinese hacking; Prepaid wireless and Internet)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for WEDNESDAY, FEBRUARY 20, 2013

A busy day includes an FCC meeting, regulatory issues in the transition from PTSN to IP, and a debate over whether your smartphone has hijacked your life. http://benton.org/calendar/2013-02-20/


CYBERSECURITY
   US officials say report of Chinese hacking proves need for cybersecurity bill
   China Lashes Back at Hacking Claims [links to web]
   WH cyber policy will be slow in wake of Chinese hackers [links to web]
   Chairman Rockefeller, Lead Senate Player on Cyber, Seeks to Win Over Business
   US, China Ties Tested in Cyberspace [links to web]
   Wanted: global rules on cyberwarfare - editorial [links to web]
   China’s Cybergames - editorial [links to web]
   China's Online Thieves - editorial [links to web]
   The Internet’s Secret police Come Out of the Shawdows [links to web]
   Cybersecurity Order Neglects the Workforce [links to web]
   The Department of Commerce's Role in Improving Critical Infrastructure Cybersecurity - press release [links to web]

INTERNET/BROADBAND
   Comcast Kicks Tires on Prepaid Internet [links to web]
   Bill would halt further bonding for UTOPIA operations [links to web]
   100Gbps and beyond: What lies ahead in the world of networking [links to web]
   ICANN’s Debating what’s in a domain name [links to web]

WIRELESS/SPECTRUM
   Your Sluggish Wi-Fi Nightmare Could Soon Come to an End
   Report to the President: Identification of 15 MHz of Spectrum Between 1675 MHz and 1710 MHz for Reallocation
   The race is over: China to pass U.S. in iOS, Android devices for good [links to web]
   Cisco predicts $14.4 trillion value for 'Internet of everything' [links to web]
   More cellphone users switch to prepaid plans [links to web]
   For $19, an Unlimited Phone Plan, Some Flaws - analysis [links to web]
   Apple Win in Google Case to Be Reviewed by Trade Agency [links to web]

TELEVISION
   FCC OKs Test of New TV Transmission Standard
   Stations Say First Informer Status Is Crucial [links to web]
   Dick Wiley Says Broadcasters Need Deregulation Help [links to web]
   Time-Shifted Viewing Can Be Bulk of Audience Within 28 Days: Study [links to web]
   Social Media Buzz Doesn't Rocket TV Numbers [links to web]
   ESPN Set To Pass $7 Sub Fee In 2017 [links to web]

VIOLENCE AND MEDIA
   Report Includes Violent Media as Mass Shooting Risk Factor [links to web]

ELECTIONS AND MEDIA
   Former Obama campaign staffers parlay innovations into start-ups [links to web]

CONTENT
   Most Web pages can be connected in 19 clicks, study says [links to web]

HEALTH
   A Digital Shift on Health Data Swells Profits in an Industry [links to web]
   Why Checking Facebook Makes Us Feel Bad About Ourselves [links to web]

GOVERNMENT & COMMUNICATIONS
   Obama, the puppet master - analysis
   White House says it makes effort to grant press access to President Obama [links to web]
   Ain't No Sunshine: Introducing "The Federal Communications Commission Collaboration Act of 2013" [links to web]

LOBBYING
   Google spent $18M lobbying DC in 2012. Apple spent $2M [links to web]

COMPANY NEWS
   Satellite-TV Firm Dishes Up Opportunity [links to web]
   Sprint CEO Hesse Seeking More Deals as Data Demand Surges [links to web]
   T-Mobile USA hopes for prepaid growth with GoSmart brand [links to web]
   Circa is reformatting the news for the iPhone age [links to web]
   ESPN Is Now Targeting You Via Online Radio [links to web]

STORIES FROM ABROAD
   French Publishers Forge Deal With Google, Breaking Ranks With Europe
   Ofcom announces winners of the 4G mobile auction - press release
   Google risks huge fine under new EU data rules: top official [links to web]
   The race is over: China to pass U.S. in iOS, Android devices for good [links to web]

MORE ONLINE
   One on One: Susan P. Crawford, Author of ‘Captive Audience’ [links to web]
   Internet Key Influence On Purchases [links to web]

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CYBERSECURITY

HACKING REPORT PROVES NEED FOR CYBERSECURITY BILL
[SOURCE: The Hill, AUTHOR: Brendan Sasso]
Lawmakers and the White House said that a report accusing a Chinese military unit of orchestrating hacking attacks against U.S. computer systems shows the need for cybersecurity legislation. The report from American computer security firm Mandiant concluded that a 12-story building in Shanghai is almost certainly the headquarters of China's secretive cyberwar division, the People's Liberation Army Unit 61398. The firm said that since 2006, the Chinese unit has stolen data from at least 141 companies across 20 major industries. At least 115 of the companies were in the United States. White House Press Secretary Jay Carney told reporters on Tuesday that the United States has "substantial and growing concerns" about cyber attacks. Senate Homeland Security Chairman Tom Carper (D-DE) said the report is "yet another important reminder" of the nation's frightening vulnerability to cyber attacks. "The report shows what we already knew," said Rep. Dutch Ruppersberger (D-MD), the ranking member of the House Intelligence Committee. "China is robbing American companies blind, stealing our valuable trade secrets and stealing our jobs. We must give our businesses the cyber threat intelligence they need to protect themselves from these cyber attacks."
benton.org/node/145887 | Hill, The
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CHAIRMAN ROCKEFELLER, LEAD SENATE PLAYER ON CYBER, SEEKS TO WIN OVER BUSINESS
[SOURCE: National Journal, AUTHOR: Brian Fung]
A week after President Barack Obama unveiled an executive order aimed at protecting the country from cyberattacks, attention is turning to Congress, where Sen Jay Rockefeller (D-WV) is taking the lead on crafting broad legislation to fight cybercrimes and combat threats to critical infrastructure such as power grids and water supplies. Late last month, Sen Rockefeller introduced a bill laying out areas of focus for proposed cyber-related legislation. Among the priorities it identifies: better training for America's cyberwarriors, protections against online identity theft and crime, and, most important, building out a system for public-private information sharing that isn't too controversial. Sen Rockefeller, chairman of the Senate Commerce Committee, has long championed of such a measure. He was one of four cosponsors last year on a Senate cybersecurity bill—the Cybersecurity Act of 2012—that ultimately was rejected by Republicans, business groups, and privacy advocates. Chairman Rockefeller was so frustrated by the legislative defeat that he began writing letters to Fortune 500 CEOs, asking them to describe their companies' state of cyberattack readiness. Six other Democrats have already signed on to Rockefeller's cause this year: Thomas Carper and Christopher Coons of Delaware; Dianne Feinstein of California; Carl Levin of Michigan; Barbara Mikulski of Maryland; and Sheldon Whitehouse of Rhode Island.
benton.org/node/145852 | National Journal
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WIRELESS/SPECTRUM

WI-FI ORDER EXPECTED
[SOURCE: AdWeek, AUTHOR: Katy Bachman]
Anyone that has used Wi-Fi recently doesn't have to be told that Wi-Fi networks, particularly in public hot spots like airports and conferences, can be iffy, depending on how many people go on at the same time. Today, more than 60 percent of mobile data consumption happens on Wi-Fi networks, per Arbitron Mobile. By all forecasts, Wi-Fi demand is only going to explode. Living up to his nickname as "the spectrum chairman," Federal Communications Commission Chairman Julius Genachowski will deliver on a promise he made to start the process of freeing up more spectrum for high-speed, high-capacity Wi-Fi known as Gigabit Wi-Fi. At the FCC's monthly meeting, the commission is slated to vote on a notice of proposed rulemaking to increase by 35 percent the amount of mobile spectrum available for unlicensed use. It will be the largest block of unlicensed spectrum made available to expand Wi-Fi in 10 years. Specifically, the rule will allow Wi-Fi networks to share a chunk of spectrum that is infrequently used by radar and some intelligence automotive systems (talking-cars technology).
benton.org/node/145901 | AdWeek
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SPECTRUM REPORT
[SOURCE: National Telecommunications and Information Administration, AUTHOR: Rebecca Blank, Lawrence Strickling]
This report identifies 15 megahertz of spectrum between 1675 MHz and 1710 MHz for reallocation from federal use to non-federal use. Specifically, the Secretary of Commerce, through the National Telecommunications and Information Administration (NTIA), recommends that the Federal Communications Commission (FCC) reallocate the 1695-1710 MHz band for commercial use. This recommendation reaffirms NTIA’s January 2011 conclusion that the FCC should repurpose the 1695-1710 MHz band for wireless broadband use on a shared basis, as NTIA identified in its Fast Track Report.
benton.org/node/145884 | National Telecommunications and Information Administration
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TELEVISION

NEW BROADCASTING STANDARD?
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Apparently, the Federal Communications Commission has granted Cunningham Broadcasting's WNUV-TV Baltimore (MD) a six-month experimental broadcast license to use the CW affiliate as a test bed for a "next-generation" broadcast standard that the station argues could help broadcasters be a player in the mobile, multiplatform and ultra-high definition of the video future. The company says other broadcasters, vendors and trade associations will participate in the WNUV test, according to the original petition for testing authority. WNUV has six months to test from Feb. 15, when the authorization was granted, though it can seek a renewal. The FCC's Media Bureau, which granted the experimental temporary authority, makes it clear that only a small number of test devices can be used and no commercial application is allowed, both of which WNUV itself offered up as conditions of the experimental license. WNUV will conduct its test mostly in overnight hours (1 a.m. to 5 a.m.). Between those hours, it will replace its ATSC signal with the test OFDM DVB-T2 signal, receivable by only a handful of devices. WNUV has promised to make a feed of CW programming that would have aired on WNUV during those times available to cable operators and other MVPDs. It also will broadcast that programming on a digital subchannel of Sinclair's Baltimore Fox affiliate, WBFF, which operates WNUV under the LMA.
benton.org/node/145882 | Broadcasting&Cable
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GOVERNMENT & COMMUNICATIONS

OBAMA AND THE PRESS
[SOURCE: Politico, AUTHOR: Jim Vandehei, Mike Allen]
[Commentary] President Barack Obama is a master at limiting, shaping and manipulating media coverage of himself and his White House. Not for the reason that conservatives suspect: namely, that a liberal press willingly and eagerly allows itself to get manipulated. Instead, the mastery mostly flows from a White House that has taken old tricks for shaping coverage (staged leaks, friendly interviews) and put them on steroids using new ones (social media, content creation, precision targeting). And it’s an equal opportunity strategy: Media across the ideological spectrum are left scrambling for access. The results are transformational. With more technology, and fewer resources at many media companies, the balance of power between the White House and press has tipped unmistakably toward the government. This is an arguably dangerous development, and one that the Obama White House — fluent in digital media and no fan of the mainstream press — has exploited cleverly and ruthlessly. And future presidents from both parties will undoubtedly copy and expand on this approach.
benton.org/node/145889 | Politico | paidContent
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STORIES FROM ABROAD

FRENCH PUBLISHERS AND GOOGLE
[SOURCE: New York Times, AUTHOR: Eric Pfanner]
Publishers in France say they have struck an innovative agreement with Google on the use of their content online. Their counterparts elsewhere in Europe, however, say the French gave in too easily to the Internet giant. The deal was signed this month by President François Hollande of France and Eric E. Schmidt, the executive chairman of Google, who called it a breakthrough in the tense relationship between publishers and Google, and as a possible model for other countries to follow. Under the deal, Google agreed to set up a fund, worth 60 million euroes, or $80 million, over three years, to help publishers develop their digital units. The two sides also pledged to deepen business ties, using Google’s online tools, in an effort to generate more online revenue for the publishers, who have struggled to counteract dwindling print revenue. But the French group, representing newspaper and magazine publishers with an online presence, as well as a variety of other news-oriented Web sites, yielded on its most important demand: that Google and other search engines and “aggregators” of news should start paying for links to their content.
benton.org/node/145831 | New York Times
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UK 4G AUCTION
[SOURCE: Ofcom, AUTHOR: Press release]
Ofcom, the UK communications regulator, has announced the winners of the 4G mobile spectrum auction. After more than 50 rounds of bidding, Everything Everywhere Ltd, Hutchison 3G UK Ltd, Niche Spectrum Ventures Ltd (a subsidiary of BT Group plc), Telefónica UK Ltd and Vodafone Ltd have all won spectrum. This is suitable for rolling out new superfast mobile broadband services to consumers and to small and large businesses across the UK1. The auction has achieved Ofcom’s purpose of promoting strong competition in the 4G mobile market. This is expected to lead to faster mobile broadband speeds, lower prices, greater innovation, new investment and better coverage. Almost the whole UK population will be able to receive 4G mobile services by the end of 2017 at the latest. A total of 250 MHz of spectrum was auctioned in two separate bands – 800 MHz and 2.6 GHz. This is equivalent to two-thirds of the radio frequencies currently used by wireless devices such as tablets, smartphones and laptops.
benton.org/node/145895 | Ofcom | Financial Times | GigaOm
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February 20, 2013
Source 
Wall Street Journal
Author 
Siobhan Gorman
Julian Barnes
Jeremy Page
Coverage Type 
Lauren Frayer

Ties between China and the U.S., strained by military rivalries and maritime disputes, may face an even greater test from the newest front in global conflict: cyberspace.

U.S. military and homeland security officials quietly have long blamed the Chinese military for the most egregious assaults on U.S. computer networks. Continued hacking and data theft, however, are being met by an increasing willingness by Washington to publicly point the finger at Beijing. Experts say the subtle but significant shift in how the U.S. approaches the face-off carries significant implications for the next steps of U.S.-Chinese diplomacy as the Obama administration sets about engaging a revamped government in Beijing with its second-term national-security lineup.

US, China Ties Tested in Cyberspace Cyber-war between U.S., China (San Francisco Chronicle)

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February 20, 2013
Source 
Christian Science Monitor
Author 
Editorial staff
Coverage Type 
Lauren Frayer

[Commentary] Each new tool of aggression requires its own rules of war. Cyberwarfare should be no different.

Without a code of ethics for conflict in the digital universe, nations could eventually bring down each other’s water supplies, electric grids, military defenses, and vital institutions. And key values, such as privacy and a right to intellectual property, could also be lost. Global rules now restrict the use of nuclear, chemical, and biological weapons. They also help safeguard civilians and prisoners of war. What the Mandiant report shows is that the world may be losing the struggle to come up with rules for cyberspace behavior. President Obama is moving toward a legal presumption of executive authority in being able to launch cyberattacks without approval by Congress or legal oversight by a court. If he does assume such powers, it raises a difficult constitutional issue that needs public debate. Nations have a strong record of creating norms that restrain types of warfare. Before more reports of cyberattacks emerge, the world must see a common interest in rules to prevent cyberwar.

Wanted: global rules on cyberwarfare

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February 20, 2013
Source 
New York Times
Author 
Editorial staff
Coverage Type 
Lauren Frayer

[Commentary] Washington has not had much success persuading Beijing to rein in its hackers even though American officials and security experts have long known that China is the main source of cyberattacks on the United States.

Two recent developments, however, should raise the political costs for China and may cause it to alter its calculus. Refusal to change its conduct could make its relations with the United States even more difficult than they are. China and the United States have to cooperate on numerous international security issues. But that won’t happen if they end up in a cyberwar. Publicizing China’s transgressions and blocking Internet access to hackers should be a warning to Beijing. Washington is right to defend its interests. But the two nations need to take the lead in negotiating new international understandings about what constitutes cyberaggression and how governments should respond.

China’s Cybergames

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February 20, 2013
Source 
Wall Street Journal
Author 
Editorial staff
Coverage Type 
Lauren Frayer

[Commentary] Mandiant Corp., the network security firm hired by the Wall Street Journal and others hacked by the Chinese government, has released compelling evidence that the People's Liberation Army conducted hacking attacks on 115 U.S. corporations over the last seven years.

Huge amounts of data and proprietary information were taken. The report even traces the digital footprints to a single building, the headquarters of PLA Unit 61398 on Datong Road in Shanghai. Governments have always spied on each other and sought secrets with commercial value. So one might reasonably ask what makes China any different? If Western companies are foolish enough not to protect their data properly, their complaints about Chinese competitors stealing intellectual property fall flat. But as Stalin is supposed to have said, quantity has a quality all its own. The world has never seen a state devote such large resources to siphoning off data from private companies to advance a broad range of national interests, political and economic. China's penchant for online theft and sabotage could change the world economic order. Beijing has long wanted to showcase the triumph of "socialism with Chinese characteristics," and in a way it has. Its defining characteristic is theft.

China's Online Thieves

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February 20, 2013
Source 
New York Times
Author 
Julie Creswell
Coverage Type 
Lauren Frayer

It was a tantalizing pitch: come get a piece of a $19 billion government “giveaway.”

The approach came in 2009, in a presentation to doctors by Allscripts Healthcare Solutions of Chicago, a well-connected player in the lucrative business of digital medical records. That February, after years of behind-the-scenes lobbying by Allscripts and others, legislation to promote the use of electronic records was signed into law as part of President Obama’s economic stimulus bill. The rewards, Allscripts suggested, were at hand. But today, as doctors and hospitals struggle to make new records systems work, the clear winners are big companies like Allscripts that lobbied for that legislation and pushed aside smaller competitors. While proponents say new record-keeping technologies will one day reduce costs and improve care, profits and sales are soaring now across the records industry. At Allscripts, annual sales have more than doubled from $548 million in 2009 to an estimated $1.44 billion last year, partly reflecting daring acquisitions made on the bet that the legislation would be a boon for the industry.

A Digital Shift on Health Data Swells Profits in an Industry

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February 20, 2013
Source 
Los Angeles Times
Author 
Marc Lifsher
Coverage Type 
Lauren Frayer

Millions of American cellphone users fed up with soaring bills are flocking to prepaid plans.

Long a lifeline for low-income consumers and people with bad credit, these phones have become one of the hottest performers in the U.S. wireless market. Total U.S. prepaid subscriptions shot past 100 million as of June, growing by 12% over the previous year, while traditional wireless telephone services with monthly bills remained flat. About 1 in 3 U.S. cellphone owners now opt to pay as they go. Prepaid service has come into its own because of a trio of customer-friendly factors: The cost sometimes is less than half that of a traditional billed service; there's no restrictive contract or hefty early-cancellation fee; and some high-end providers offer smartphones with unlimited Internet, text and roaming capabilities that weren't available previously.

More cellphone users switch to prepaid plans

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February 20, 2013
Source 
Wall Street Journal
Author 
Walt Mossberg
Coverage Type 
Lauren Frayer

A typical smartphone costs around $200, but it’s usually shackled to a two-year contract that often costs $70 or more monthly and includes limits on data consumption, voice minutes and texts. Even prepaid smartphones, without a contract, can cost $30 to $50 a month and carry limits. But I’ve been testing an Android smartphone from an upstart carrier that charges just $19 a month for unlimited data, voice and texts — with no contract. That’s right: $19 a month, unlimited.

This carrier is called Republic Wireless, a private firm in Raleigh, N.C., which launched its service in December. The sole phone that works with the company’s technology is a Motorola model, the Defy XT. The phone costs $249 — partly to help offset the low monthly price. However, as of Tuesday, the company is offering a second pricing option for people who would rather pay less up front: $99 for the phone and then $29 a month, unlimited. That’s still a bargain service price. The phone and two service plans are only available online, at republicwireless.com. The company offers a 30-day money-back guarantee. And to sweeten the deal, Republic says Motorola will be offering customers a $50 credit at the Google Play online store, where Android owners can buy apps and content. So what’s the catch? Well, Republic is using an unusual technology approach that’s smart and may even represent the future. But today, it doesn’t deliver the best voice quality and it requires a specially equipped phone. The sole phone that works with the system now is mediocre.

For $19, an Unlimited Phone Plan, Some Flaws “Bring Your Own Bandwidth” Means a Future of Ultra-Cheap Calls (Quartz)

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February 20, 2013
Source 
Wall Street Journal
Author 
Miriam Gottfried
Coverage Type 
Lauren Frayer

The picture is getting clearer for Dish Network. In December, the company received approval from the Federal Communications Commission to use its satellite-designated spectrum for a ground-based cellular network. Dish still faces risks in finding a partner to develop its wireless spectrum. But the Clearwire bid gives it leverage. If and when a partner is secured, Dish shares should gain further altitude.

Satellite-TV Firm Dishes Up Opportunity

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