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SPECTRUM/WIRELESS
Spectrum Auction Breakdown

CHILDREN & MEDIA
Court Ruling Propels TV Indecency Debate
Stars Shine Light on Media Literacy Efforts
More Stations Face Television Fines for Children's Programming

BROADCASTING
Converters Signal a New Era for TVs
Why Give Away the Airwaves?
Can newspaper-on-the-radio format work?

JOURNALISM
Independence Still the Issue at Dow Jones
Measure against journalists shelved

QUICKLY -- Official: Cheney Urged Wiretaps;=20
Firing a digital broadside at Chinese media=20
pirates; Antitrust Group Opposes XM/Sirius; House=20
approves second, stricter anti-spyware bill;=20
Buying the Right TV; As Cellphones Multiply,=20
Phone Books Get Slimmer ; Jack Valenti=92s Memoir Suffers Without a Key Sal=
esman

SPECTRUM/WIRELESS

SPECTRUM AUCTION BREAKDOWN
[SOURCE: New America Foundation release]
At a New America Foundation Senate forum on June=20
1st, participants discussed how the upcoming=20
auctions can bring new competitors into the=20
broadband marketplace. At the event, New America=20
released a Working Paper by economist Greg Rose=20
showing that current FCC auction rules allow=20
incumbent wireless providers to engage in=20
"retaliatory bidding" and "blocking" to prevent=20
the emergence of new national competitors. New=20
America and the Public Interest Spectrum=20
Coalition (PISC) filed comments in response to=20
the FCC's Further Notice of Proposed Rulemaking=20
on the upcoming 700 MHz spectrum auction. The=20
comments urge the Commission to maximize=20
competition for wireless broadband services by=20
adopting rules such as "anonymous" bidding,=20
incumbent exclusion, "open" (wholesale) access,=20
and other mechanisms to encourage competitive entry.
http://www.newamerica.net/programs/wireless_future#
* Working Paper
http://www.newamerica.net/publications/policy/spectrum_auction_breakdown
* FCC Comments:
http://www.newamerica.net/publications/resources/2007/700_mhz_auction_co...
nts_further_notice_proposed_rulemaking
* A Broadband Pipe, or a $12 Billion Pipe Dream?
http://www.newamerica.net/events/2007/broadband_pipe_or_12_billion_pipe_...
am

CHILDREN & MEDIA

COURT RULING PROPELS TV INDECENCY DEBATE
[SOURCE: Associated Press, AUTHOR: John Dunbar]
On Monday, the 2nd U.S. Circuit Court of Appeals=20
in New York rejected by a 2-1 vote the Federal=20
Communications Commission's policy on how it=20
polices indecent speech on the airwaves. The=20
court noted the FCC's about-face, blaming it for=20
"failing to articulate a reasoned basis for its=20
change in policy." The judges' decision was based=20
on that change in policy, not on constitutional=20
grounds. Despite that, the two judges went on to=20
write that they were "skeptical that the=20
commission can provide a reasoned explanation for=20
its fleeting expletive regime that would pass=20
constitutional muster." The argument, known in=20
legal jargon as "dictum," is not relevant to the=20
actual ruling, and that may make it more=20
difficult for the government to take the case=20
directly to the Supreme Court, said Andrew=20
Schwartzman, president and CEO of the Media=20
Access Project, one of the participants in the=20
case on the broadcasters' side. As the government=20
ponders its legal options, the FCC is stuck,=20
unwilling to act on an unending stream of=20
complaints it receives from the viewing and=20
listening public until the legal issues are=20
resolved. In fact, the FCC hasn't proposed a new=20
fine for indecency since March of 2006. Among=20
those options: a direct appeal to the U.S.=20
Supreme Court, an action urged by the chairman of=20
the Senate committee that oversees the FCC. The=20
final decision on whether to appeal will be made=20
by the U.S. Solicitor General, who represents the=20
government in Supreme Court cases. Department of=20
Justice civil division spokesman Charles Miller=20
said the case is under review and no=20
determination has been made. The Solicitor=20
General has 90 days from the date of the decision=20
to file. Another option would be to ask the 2nd=20
District for a rehearing before the full panel of=20
appeals judges. The FCC has 45 days to decide=20
whether to pursue that option. The agency could=20
also try again with the three-judge panel or=20
simply do nothing. Neither of these options is considered likely.
http://www.forbes.com/feeds/ap/2007/06/06/ap3796000.html
* Sen Rockefeller (D-WV) Slams Profanity Decision
http://www.broadcastingcable.com/article/CA6449803.html

STARS SHINE LIGHT ON MEDIA LITERACY EFFORTS
[SOURCE: TVWeek, AUTHOR: Ira Teinowitz]
Worried about congressional calls for legislation=20
and regulation, Hollywood's creative community is=20
rolling stars out to Washington to deliver a=20
message about boosting media literacy efforts. In=20
an appearance on Capitol Hill, Creative Coalition=20
co-president Joe Pantoliano joined actors Tim=20
Daly, Kerry Washington, Wendie Malick, Richard=20
Schiff and Hallie Kate Eisenberg and U.S. Rep.=20
Mary Bono, R-Calif., to promote media literacy=20
efforts as a way to avoid First Amendment=20
regulatory issues. At a press conference to=20
launch a task force on children's online safety,=20
the actors said they envisioned their efforts=20
being about more than just the Web. However,=20
they're open to working with legislators to craft=20
a program that would meet children's needs.
http://www.tvweek.com/news.cms?newsId=3D12155
(requires free registration)
* Cable Industry Teaches Parents, Kids to Surf Safely
http://www.multichannel.com/article/CA6449719.html
* FCC Commissioner Tate: "I welcome initiatives=20
like these --and others-- and encourage members=20
of the arts and entertainment community,=20
including every cable operator and programmer, to=20
offer consumer education regarding media literacy."
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-273653A1.doc

MORE STATIONS FACE TELEVISION FINES FOR CHILDREN'S PROGRAMMING
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The FCC Wednesday fined three stations a total of=20
$31,000, and reprimanded two more, for violating=20
its children's TV rules. Viacom's KTX Dallas-Fort=20
Worth was hit with the largest proposed fine.=20
of $18,000 for failing to put records of its=20
compliance with advertising limits in its public=20
files. The fine also covers the station's=20
violation of commercial limits on three=20
occasions, including two program-length=20
commercials. The FCC limits advertisements in=20
children's shows to 10.5 minutes on weekends and 12 minutes on weekdays.
http://www.broadcastingcable.com/article/CA6449491.html?rssid=3D193

BROADCASTING

CONVERTERS SIGNAL A NEW ERA FOR TVs
[SOURCE: New York Times, AUTHOR: Jacques Steinberg]
At midnight on Feb. 17, 2009, the rabbit ears and=20
the rooftop antennas that still guide television=20
signals into nearly 1 of every 5 American homes=20
will be rendered useless =97 unless they are=20
tethered to a new device, including two versions=20
unveiled yesterday, that the government will=20
spend as much as $80 a household to help families=20
buy. The V-shaped rabbit ears, which have stood=20
sentry in some living rooms and dens since the=20
early 1950s, risk going the way of the=20
eight-track tape player or Betamax in 20 months=20
because that is when local television stations=20
will cease sending their signals over the analog=20
airwaves, and instead begin transmitting their=20
programming exclusively over the more modern=20
digital spectrum. The change, which was set in=20
motion by Congress and the Federal Communications=20
Commission in the mid-1990s, is being made at=20
least partly to give viewers a better picture and=20
to make it easier for stations to broadcast their signals in high definitio=
n.
http://www.nytimes.com/2007/06/07/technology/07digital.html
(requires registration)

WHY GIVE AWAY THE AIRWAVES?
[SOURCE: New York Times, AUTHOR: Ralph Nader & Matthew Hale, Seton Hall]
[Commentary] Two interesting responses to the=20
June 2nd op-ed by FCC Commissioner Michael Copps,=20
"The Price of Free Airwaves." Ralph Nader=20
suggests the government charge radio and=20
television stations rent for use of public=20
airwaves. Some of the rental income could=20
adequately finance studios, reporters and=20
producers for audience networks. Professor Hale,=20
whose work was quoted by Commissioner Copps,=20
suggests that broadcast stations should be=20
required to create an online searchable database=20
of their news, public affairs and children=92s=20
programming. Unless the public has access to such=20
a database, stations can easily continue to skirt=20
their duty to serve the public interest.
http://www.nytimes.com/2007/06/07/opinion/l07airwaves.html?_r=3D1&oref=3...
ogin
(requires registration)

POST RADIO PONDERS A FIX FOR ITS LOW-RATED FORMULA
[SOURCE: Washington Post, AUTHOR: Paul Farhi]
Faced with continuing financial losses and=20
stubbornly low ratings for Washington Post Radio,=20
Bonneville International Corp. and The Washington=20
Post are reassessing programming on the station,=20
which the two companies launched 14 months ago.=20
WTWP (107.7 FM, 1500 AM) primarily airs news and=20
talk programs, much of it featuring reporters and=20
editors from The Post. The newspaper-on-the-radio=20
format is unique in the radio industry. WTWP has=20
struggled to attract listeners since its=20
inception. Although its ratings have begun to=20
improve, the station has never exceeded a 1=20
percent share of the local radio audience in any=20
of the quarterly audience surveys conducted by=20
Arbitron Inc. The station continues to lose=20
money, although the privately held Bonneville --=20
which owns WTWP and is owned by the Church of=20
Jesus Christ of Latter-day Saints, in Salt Lake=20
City -- hasn't disclosed its financial results.
http://www.washingtonpost.com/wp-dyn/content/article/2007/06/06/AR200706...
2665.html
(requires registration)

JOURNALISM

INDEPENDENCE STILL THE ISSUE AT DOW JONES
[SOURCE: New York Times, AUTHOR: Richard Perez-Pena]
In 1981, Rupert Murdoch and a division of his=20
News Corporation made extraordinary promises=20
about not meddling in the news pages of The Times=20
of London and The Sunday Times, which they were=20
about to take over. But in short order, no one=20
doubted who was firmly in control of the=20
newsrooms. Now, Mr. Murdoch has his sights set on=20
Dow Jones & Company and its centerpiece, The Wall=20
Street Journal. But the Bancroft family, owners=20
of a controlling interest in the company, along=20
with their advisers and Dow Jones officials, are=20
trying to come up with a stronger system for=20
keeping the newsroom independent of Mr. Murdoch.=20
The Bancrofts want to create an editorial board=20
with the power to hire and fire The Journal=92s top=20
editors, but Mr. Murdoch spurned their initial=20
proposal in their face-to-face meeting on Monday.=20
Family members have conferred about their options=20
since then, and it is a sign of how seriously=20
they take the issue of editorial independence,=20
that the purchase price was not discussed in the meeting with Mr. Murdoch.
http://www.nytimes.com/2007/06/07/business/media/07dow.html
(requires registration)
* Dow Jones chief neutral about bid
http://www.usatoday.com/printedition/money/20070607/zannino07.art.htm
* Now Tierney May Want to Join Fight for Dow Jones
He led a group that came out of nowhere to buy=20
the two main dailies in Philadelphia last year,=20
and philly.com, for over $500 million. Now Brian=20
Tierney has at least one eye on the big prize: The Wall Street Journal.
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_con...
t_id=3D1003595650

MEASURE AGAINST JOURNALISTS SHELVED
[SOURCE: Los Angeles Times]
Pakistani Prime Minister Shaukat Aziz ordered the=20
withdrawal of a complaint initiated against about=20
200 journalists who had defied a ban on rallies=20
to protest curbs on the media, the government=20
said. Although no journalists have been arrested=20
for rallying in Islamabad, the capital, the=20
government has come under sharp criticism for=20
what appears to be a crackdown on press freedoms.
http://www.latimes.com/news/printedition/asection/la-fg-briefs7.4jun07,1...
17982.story?coll=3Dla-news-a_section
(requires registration)

QUICKLY

OFFICIAL: CHENEY URGED WIRETAPS
[SOURCE: Washington Post, AUTHOR: Dan Eggen]
Vice President Cheney told Justice Department=20
officials that he disagreed with their objections=20
to a secret surveillance program during a=20
high-level White House meeting in March 2004, a=20
former senior Justice official told senators=20
yesterday. The meeting came one day before White=20
House officials tried to get approval for the=20
same program from then-Attorney General John D.=20
Ashcroft, who lay recovering from surgery in a=20
hospital, according to former deputy attorney=20
general James B. Comey. Comey's disclosures, made=20
in response to written questions from the Senate=20
Judiciary Committee, indicate that Cheney and his=20
aides were more closely involved than previously=20
known in a fierce internal battle over the=20
legality of the warrantless surveillance program.=20
The program allowed the National Security Agency=20
to monitor phone calls and e-mails between the=20
United States and overseas. Comey said that=20
Cheney's office later blocked the promotion of a=20
senior Justice Department lawyer, Patrick=20
Philbin, because of his role in raising concerns about the surveillance.
http://www.washingtonpost.com/wp-dyn/content/article/2007/06/06/AR200706...
2297.html
(requires registration)
* Cheney reportedly halted Justice official's promotion
http://www.latimes.com/news/printedition/asection/la-na-usattys7jun07,1,...
6603.story?coll=3Dla-news-a_section

FIRING A DIGITAL BROADSIDE AT CHINESE MEDIA PIRATES
[SOURCE: Los Angeles Times, AUTHOR: Evelyn Iritani]
Ronald Stein's shiny silver discs don't look=20
revolutionary, but if he and his crew are=20
successful, the technology embedded in them will=20
become a powerful weapon in China's battle=20
against piracy. Stein's family-owned media=20
company, Crest Digital, has linked up with=20
Philips, the European electronics giant, to=20
develop traceable authentic content technology,=20
which they call TRAC. Hollywood-based Crest=20
Digital also has teamed with the leading film=20
company in China to bring the system there, the=20
world's largest producer of both legitimate and pirated CDs and DVDs.
http://www.latimes.com/business/printedition/la-fi-pirate7jun07,1,700471...
tory?coll=3Dla-headlines-pe-business
(requires registration)

ANTITRUST GROUP OPPOSES XM/SIRIUS
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The American Antitrust Institute has weighed in=20
against the merger of XM and Sirius satellite=20
radio companies. In a filing with the FCC, the=20
nonprofit backers of vigorous antitrust=20
enforcement, argue that neither company has=20
demonstrated that the merger is in the public=20
interest. It also says that neither XM or Sirius=20
has demonstrated that the FCC's 1997 decision not=20
to allow one company to hold both licenses has been superceded by events.
http://www.broadcastingcable.com/article/CA6449804.html?rssid=3D193

HOUSE APPROVES SECOND, STRICTER ANTI-SPYWARE BILL
[SOURCE: Reuters]
The House of Representatives passed on Wednesday=20
legislation that would impose new requirements on=20
software companies and advertisers to protect=20
computer users from spyware. House lawmakers=20
approved an anti-spyware bill that would require=20
software distributors to clearly notify and=20
obtain consent from consumers before programs can=20
be loaded onto a computer. The bill passed on a=20
vote of 368 to 48. The legislation is opposed by=20
the software industry, which argues that new=20
regulatory requirements could hurt innovation and technology investment.
http://www.reuters.com/article/internetNews/idUSN0641611120070606

BUYING THE RIGHT TV
[SOURCE: Federal Communications Commission]
The FCC released a two-page flier to help inform=20
consumers about the upcoming transition to digital TV broadcasting.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-273677A1.doc
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-273677A1.pdf

AS CELLPHONES MULTIPLY, PHONE BOOKS GET SLIMMER
[SOURCE: New York Times, AUTHOR: Jeremy Peters]
The fat phone book, a fixture of the urban=20
American household in the last century, is losing=20
some of its girth as more people give up their=20
land lines for cellphones. When they do, their=20
names disappear from the phone book. Phone books=20
in New York, Washington, D.C., Los Angeles,=20
Denver and Phoenix have also been shrinking, even=20
as the populations have grown. Americans have not=20
been eager to list their cell numbers in phone=20
books. Consumers and privacy advocates balked at=20
the idea in 2004, when most of the big wireless=20
carriers said they wanted to compile a nationwide=20
directory. Cellphones may make it easier for=20
people to reach each other, yet Americans are=20
very guarded about whom they want calling them.=20
But what people gain in privacy is lost in a=20
sense of community, reflected in shrinking phone=20
books, said James E. Katz, chairman of the=20
communications department at Rutgers University.
http://www.nytimes.com/2007/06/07/nyregion/07phone.html
(requires registration)

JACK VALENTI'S MEMOIR SUFFERS WITHOUT A KEY SALESMAN
[SOURCE: New York Times, AUTHOR: David Halbfinger]
Jack Valenti, a onetime Houston advertising man=20
who became a confidant of President Lyndon B.=20
Johnson and then, for nearly four decades,=20
Hollywood=92s spokesman as chairman of the Motion=20
Picture Association of America, died on April 26,=20
just weeks before the release of his new memoir.=20
Now his publisher, Harmony Books, and his=20
survivors are struggling to ensure that the=20
autobiography gets a modicum of the attention it=20
would have received had Mr. Valenti, a singular=20
raconteur, been around to talk it up himself.
http://www.nytimes.com/2007/06/07/books/07vale.html
(requires registration)
--------------------------------------------------------------
Communications-related Headlines is a free online=20
news summary service provided by the Benton=20
Foundation (www.benton.org). Posted Monday=20
through Friday, this service provides updates on=20
important industry developments, policy issues,=20
and other related news events. While the=20
summaries are factually accurate, their often=20
informal tone does not always represent the tone=20
of the original articles. Headlines are compiled=20
by Kevin Taglang headlines( at )benton.org -- we welcome your comments.
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