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The nation’s spies and its military commanders are at odds over the future of America’s spy satellites, a divide that could determine whether the United States government will increasingly rely on its own eyes in the sky or on less costly commercial technology. The fight is shaping up into the intelligence world’s version of the United States Postal Service versus FedEx — a traditional government institution that must provide comprehensive services versus a more nimble private sector that is cherry-picking the most lucrative business opportunities. The Obama Administration has proposed cutting the contracts for commercial satellite imagery in half next year — to about $250 million from $540 million — to help meet deficit reduction requirements, while bringing back more of the work inside the government, according to administration and Congressional officials and industry experts.


A Military and Intelligence Clash Over Spy Satellites
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The thorny privacy issues of tomorrow were on display when AT&T showed off a batch of technologies under development at AT&T Labs, the company’s research arm.

Researchers showed off door handles that unlock when you tap your phone against them, or even when the device is still in your pocket, sending vibrations through your body and into your fingertips. There was a steering wheel that communicates with a GPS device and vibrates to tell you which way to turn, and an app that works with sensors in your personal possessions to tell you when you have left something behind. A number of the tools focused on taking advantage of data about a user’s location, pointing toward tensions that will very likely increase as products are developed that use mobile devices as sensors and transmitters. These issues are not necessarily about what AT&T or other companies will do with their users’ personal data — although it is clear that there will be no shortage of concerns about that, either — but potential conflicts created by tools intended for people to keep track of one another.


Tomorrow’s Privacy Struggles, On Display Today

As the CW prepares for its annual presentation to advertisers at next month's TV ad-sales bazaar, the network is increasingly relying on a wave of viewers who watch shows online. Nearly a fifth of CW viewers are watching on the Web, double from this time last year, the network says, while the average prime-time audience watching CW shows on regular television is down 14% to 1.8 million, according to Nielsen data. This shift is partly by the network's design. Conscious that its target audience of younger people is spending more time online than older viewers, the CW has moved more aggressively than many other networks to put all its shows on the Web, and has been pushing advertisers to buy its ads online and on TV in the same packages. The CW is walking a fine line, trying to get bigger online while not alienating the TV stations that pay tens of millions of dollars per year between them to broadcast the CW network. While the stations have exclusive agreements to carry the programming the night it airs, the CW recently starting putting the shows online the very next day -- instead of waiting three days as in the past. Some affiliates said they supported the moves, but others have chafed at them.


CW Network's Rush to Web Rankles Some TV Stations
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[Commentary] Once upon a time there was something called "educational television," which harnessed the technological marvel of a new medium to provide children and adults with edifying programming uncorrupted by advertising. Today, public radio and television continue to devote more attention to educational programs than commercial broadcasters do, but they also seek to entertain viewers of all ages with features — such as British sitcoms, quiz shows, animal adventures and rock 'n' roll retrospectives — that duplicate those on commercial stations. And the programming is punctuated by corporate "sponsorship statements" that are advertisements by another name.

Given these changes, a federal appeals court decision last week allowing public stations to air political and campaign advertisements is not that dramatic a development. Last week the U.S. 9th Circuit Court of Appeals, by a 2-1 vote, struck down on 1st Amendment grounds a congressional ban on such advertising, while upholding a prohibition on ads by profit-making companies. One can accuse the court of not giving proper deference to Congress' desire to keep public broadcasting ad free. But even if this case had been resolved differently, the notion of public television as a safe harbor from advertising would be a quaint one.


Political ads and Big Bird too

[Commentary] Innovation drives income growth and determines global military and diplomatic leadership. China lacks the kind of inclusive political institutions like those in the US that promote innovation. But inequality and money's influence on political power threaten American innovation.

The reason to believe that it will be the US, not China, leading the world in innovation and technology for many, many more decades is the resilience of US inclusive institutions. We have been here before, and we have rebounded. Things were much worse during the Gilded Age both in terms of economic inequality and in terms of how totally and unscrupulously the wealthy elite, the so-called robber barons, had come to dominate politics.

[Daron Acemoglu and James A. Robinson are the co-authors of “Why Nations Fail: The Origins of Power, Prosperity, and Poverty.”]


World's next technology leader will be US, not China – if America can shape up
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Philip Falcone’s LightSquared made an outstanding $56.3 million payment to Britain’s Inmarsat Plc related to a spectrum-cooperation accord and was granted an extension on further installments, gaining more time to win approval from US regulators for a wireless service.

The broadband venture won’t need to make any additional payments until April 2014 as part of the new agreement, Inmarsat, the biggest provider of satellite services to the maritime industry, said today in a statement. LightSquared will no longer be in default, it said. Under the companies’ agreement, Inmarsat is giving LightSquared access to part of its spectrum. LightSquared, majority-owned by Falcone’s hedge fund Harbinger Capital Partners, is struggling to get approval for a wireless service after the Federal Communications Commission said it will block the venture because of potential signal interference with global-positioning systems. Falcone has invested about $3 billion in the plan to build out a high-speed data network.


LightSquared Makes Inmarsat Payment to Win Time for Talks
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The coming presidential election may be decided by which candidate best exploits mobile devices. The sentiment of political geeks gathered at Campaign Tech, a two-day conference in Washington, is that mobile technologies can help campaigns gain an edge — much like the use of social media, the Internet and television has in years past. The biggest change since the 2008 campaign is that smartphones and other portable devices have become indispensable tools for Americans. Like never before, political operatives will be working to exploit the mobile revolution through messaging, apps and data collection.


Want help campaigning? There’s an app for that
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Apple, Google, Intel, Pixar and other high-tech companies will face an antitrust lawsuit that alleges they illegally conspired not to poach each other’s staffers.

San Jose U.S. District Court Judge Lucy Koh rejected a motion to dismiss the claims. In a 29-page opinion, she ruled that the “Do Not Cold Call” agreements among the defendants probably resulted “from collusion, and not from coincidence.” Other defendants include Adobe, Intuit, and Lucasfilm. Five software engineers have accused the companies of conspiring to limit pay and job movement. They are bringing the proposed class-action lawsuit. The claims are similar to those raised by the U.S. Department of Justice. It settled an antitrust probe in 2010 that alleged the companies colluded to keep a lid on wages by agreeing not to poach employees from one another. The companies agreed not to restrain competition in the labor market for high-tech talent. The litigation uncovered an email from 2007 from Apple’s Steve Jobs to Google’s Eric Schmidt over Google’s effort to recruit an Apple engineer. "I would be very pleased if your recruiting department would stop doing this," Jobs wrote Schmidt, then-CEO of Google who also sat on the Apple board.


Apple, Google, others to face antitrust suit over staff poaching Federal Judge Forces Apple, Google, Others to Face Antitrust Suit (WSJ)
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The Electronic Privacy Information Center is demanding that the U.S. Federal Communications Commission release the complete report on its Google Street View investigation. The Washington advocacy group has filed a Freedom of Information Act request to see the full 25-page report. The version that the FCC released April 13 was heavily redacted.


EPIC demands full FCC report on Google Street View Notice of Apparent Liability for Forfeiture (FCC)
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With the emergence of social media, more companies are replacing blogs with nimbler tools requiring less time and resources, such as Facebook, Tumblr and Twitter. A survey released earlier this year by the University of Massachusetts Dartmouth says the percentage of companies that maintain blogs fell to 37% in 2011 from 50% in 2010, based on its survey of 500 fast-growing companies listed by Inc. magazine. Only 23% of Fortune 500 companies maintained a blog in 2011, flat from a year ago after rising for several years.

The trend in business is consistent with the broader loss of interest in blogging among all consumers.


More companies quit blogging, go with Facebook instead