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LEGISLATION
Hard Path to New Terrain for Telecom
Compromise may be in Sight on Video Franchising
Snowe, Senate Democrats Offer Net Neutrality Bill
Google's Search for Political Influence

INTERNET
Let more of the world access the Internet
FCC Delays Spectrum Auction
US Internet Contract with ICANN
Digital Turf War

QUICKLY -- Attorney General Threatens to Go After=20
Reporters; NSA Scoop Has Top Journos Buzzing; Who=20
Is MediaNews's Dean Singleton?, FCC Reports Spike=20
in Indecency Complaints; Surfing the Future of=20
News 2.0; NYC TV; Open Student TV Network

LEGISLATION

HARD PATH TO NEW TERRAIN FOR TELECOM
[SOURCE: Los Angeles Times, AUTHOR: Jim Puzzanghera]
A push by the nation's leading phone companies=20
for major telecommunications legislation could=20
end up being the biggest dropped call of the=20
year. Once on a fast track, congressional=20
measures that would make it easier for Verizon=20
Communications, AT&T and other companies to offer=20
TV services -- and possibly lower consumers'=20
bills -- have become bogged down by controversial=20
side issues and Capitol Hill turf wars. Because=20
of a shortened election-year session and a=20
legislative calendar overstuffed with immigration=20
reform, domestic spying and other controversial=20
issues, the telecom legislation's prospects have=20
dimmed. "There was once a movie entitled "8=20
Million Ways to Die," said Blair Levin, an=20
analyst at investment bank Stifel, Nicolaus &=20
Co., referring to the 1986 Hal Ashby movie about=20
Los Angeles. "What you're seeing is a movie '8=20
Million Ways to Die' in D.C., but it's not about=20
a person, it's about a bill." Levin adds, "This=20
is a bill that needs to clear a lot of hurdles in=20
a relatively short period of time. And the hurdles look a lot higher."
http://www.latimes.com/business/printedition/la-fi-telecom22may22,1,6486...
.story?coll=3Dla-headlines-pe-business
(requires registration)

COMPROMISE MAY BE IN SIGHT ON VIDEO FRANCHISING
[SOURCE: Cox News Service, AUTHOR: Marilyn Geewax]
Cable, phone and consumer groups testifying at a=20
Senate hearing Thursday appeared to be inching=20
toward agreement on the national franchising of=20
subscription television services. National=20
franchising, as opposed to approval by thousands=20
of individual communities, would speed the way=20
for telephone companies to compete against cable=20
operators in offering video services. That would=20
guarantee "competitive choices for consumers,"=20
said Walter McCormick, chief executive of the=20
U.S. Telecom Association, a trade group. Kyle=20
McSlarrow, chief executive of the National Cable=20
& Telecommunications Association, told the=20
lawmakers to ignore the phone executives who=20
insist "they need special rules" to enter the=20
video marketplace with "a regulatory advantage=20
over their competitors." But McSlarrow also laid=20
out a path toward compromise. He said the cable=20
industry could accept national franchising if=20
Congress would do three things: 1) Speed up the=20
time it takes local franchising authorities to=20
consider an application to provide subscription=20
TV. 2) Allow an incumbent cable provider the=20
right to opt into any new franchise agreement=20
that offers better terms to a competitor. 3)=20
Continue to allow local governments to decide=20
when a franchisee is meeting community needs.=20
Consumers Union vice president Gene Kimmelman=20
testified that changes are needed to protect=20
consumers. He noted that the local franchising=20
process now forces cable operators to serve all=20
neighborhoods, and a national franchise might=20
leave phone companies "free to offer service to=20
only wealthy neighborhoods, leaving behind=20
middle- and low-income consumers who most need cable-rate relief."
http://www.rockymounttelegram.com/news/content/shared/news/stories/TELEC...
9_COX_W0021.html

NET NEUTRALITY FIELD IN CONGRESS GETS CROWED
[SOURCE: C-Net|News.com, AUTHOR: Anne Broache]
On Friday Sen Olympia Snowe (R-Maine), Byron=20
Dorgan (D-ND), Daniel Inouye (D-Hawaii), Hillary=20
Clinton (D-NY), Patrick Leahy (D-VT), Barack=20
Obama (D-IL) and Ron Wyden (D-OR) introduced the=20
"Internet Freedom Preservation Act." The=20
nine-page measure contains a detailed list of=20
obligations for all broadband service providers.=20
Specifically, they would generally not be allowed=20
to "block, interfere with, discriminate against,=20
impair or degrade" access to content or to=20
prevent users from attaching devices of their=20
choosing to the network. Network operators would=20
also be barred from making special deals with=20
content providers to ensure speedier delivery or=20
improved quality of service and would be required=20
to offer all Internet material on an "equivalent"=20
basis. The new bill does outline carve-outs from=20
the rules for network management activities=20
related to security and other consumer protection=20
services. Also buried in the proposal is a=20
requirement that providers offer their customers=20
the option of standalone, or "naked" broadband=20
services without an obligation to subscribe to=20
cable television, telephone or Internet phone. It=20
would be up to the Federal Communications=20
Commission to enforce complaints and to furnish=20
Congress with a report on the state of the broadband market and competition.
http://news.com.com/Net+neutrality+field+in+Congress+gets+crowded/2100-1...
_3-6074564.html?tag=3Dhtml.alert
* See Snowe/Dorgan press release:=20
http://dorgan.senate.gov/newsroom/record.cfm?id=3D255904
* Internet bills butting heads
http://www.sfgate.com/cgi-bin/article.cgi?f=3D/c/a/2006/05/20/BUG56IV8DA...
TL&feed=3Drss.business
* Inouye Offers Senate Net-Neutrality Bill
http://www.multichannel.com/article/CA6336409.html?display=3DBreaking+News
* Snowe and Senate Dems to the Rescue on Net Neutrality
http://www.tpmcafe.com/node/30006
* Consumer Groups Praise Snowe-Dorgan Internet Freedom Preservation Bill
http://www.freepress.net/press/release.php?id=3D136

GOOGLE'S SEARCH FOR POLITICAL INFLUENCE
[SOURCE: Los Angeles Times, AUTHOR: Jim Puzzanghera]
Of the billions of searches conducted by Google,=20
potentially its most important is the quest for=20
influence in the nation's capital. The Silicon=20
Valley company's dominance of Internet search is=20
built on its mastery of advanced mathematical=20
algorithms. But like other fast-growing tech=20
titans before it, Google is finding Washington's=20
political calculus harder to solve. Since opening=20
its Washington office last summer, Google's=20
attempts to establish its presence has moved at=20
dial-up speed -- resulting in a slow and=20
sometimes balky connection with lawmakers that=20
has irritated both Democrats and Republicans. "I=20
think they've been a little bit too innocent in=20
how the game is played," said Robert Atkinson,=20
president of the Information Technology and=20
Innovation Foundation, a tech-focused Washington=20
think tank. Google's efforts to rally support for=20
rules guaranteeing open Internet access -- an=20
abstract issue known as Net neutrality -- has=20
been called largely ineffective by key Democratic=20
supporters. Heavily lopsided political=20
contributions to Democrats from Google employees=20
have annoyed the GOP majority. And in what=20
veteran lobbyists called a high-profile tactical=20
mistake, a Google executive called before a House=20
panel this year tried to engage subcommittee=20
members critical of the firm in a debate. The=20
head of Google's three-person Washington=20
operation is unapologetic for the unconventional=20
company's unconventional strategy. "Google will=20
always be Google," said Alan B. Davidson, the=20
company's Washington policy counsel. "We're not=20
going to hide. We're going to talk about what=20
we're doing. We think that being transparent and=20
open is the better long-run approach."
http://www.latimes.com/business/printedition/la-fi-googlobby22may22,1,56...
84.story?coll=3Dla-headlines-pe-business
(requires registration)

INTERNET

LET MORE OF THE WORLD ACCESS THE INTERNET
[SOURCE: Financial Times, AUTHOR: Eric Schmidt, Google]
[Commentary] For centuries access to the world=92s=20
information =96 and the ability to communicate it =96=20
was controlled by the wealthy and the well=20
educated. Today the Internet has broken down many=20
of the barriers that exist between people and=20
information: effectively democratizing access to=20
human knowledge. The democratization of=20
information has empowered us all as individuals.=20
We no longer have to take what business, the=20
media or indeed politicians say at face value.=20
Where once people waited to be told what the news=20
was, they can now decide what news matters to=20
them, and increasing numbers are actually=20
commenting on events themselves =96 creating blogs=20
every second of every day. It is the first rule=20
of the Internet: people have a lot to say. They=20
no longer want to be passive recipients of=20
information. People want control over their media=20
-- not to be controlled by it. In just a few=20
years the Internet has moved from the periphery=20
to the center of our lives. We have not seen such=20
a life-changing communications technology since=20
the invention of television. As a result it is=20
often easy to forget that the world wide web is=20
still in its infancy: today just 10 per cent of=20
the world=92s information is available online.=20
Like any child, the Internet is pushing at the=20
perimeters of established systems =96 business=20
models from the last century, traditional media,=20
long-accepted notions of national jurisdiction,=20
even old concepts of control. This is a challenge=20
for everyone. Some of the =93pushed=94, most likely=20
governments with the power to regulate and=20
legislate, will inevitably feel the need to push=20
back. But rather than focus on how to control the=20
web, legislators should concentrate on how to=20
give Internet access to more people in more=20
countries. The prize is a world in which every=20
human being starts life with the same access to=20
information, the same opportunities to learn and=20
the same power to communicate. I believe that is worth fighting for.
http://news.ft.com/cms/s/fbc969aa-e8f2-11da-b110-0000779e2340.html
(requires subscription)

FCC DELAYS SPECTRUM AUCTION
[SOURCE: Federal Communications Commission]
The FCC's auction of spectrum for Advanced=20
Wireless Services will now begin August 9 rather=20
than June 29. In it's public notice the=20
Commission said the change was made to give=20
auction applicants additional time for=20
preparation and planning for the auction." In a=20
statement, Commissioner Jonathan Adelstein said,=20
"It is disappointing that the Commission has=20
allowed the designated entity (DE) proceeding to=20
affect the timing of the upcoming Advanced=20
Wireless Services (AWS) auction." Nine months=20
ago, Commissioner Adelstein proposed closing a=20
loophole in Commission rules that allows large=20
wireless companies to invest in DEs. The change=20
was never adopted, but the FCC did adopt some=20
changes in auction rules on April 25. Adelstein=20
concluded: "And now it appears that the changes=20
that the Commission did adopt may actually do=20
more harm than good to the DE participation in=20
the upcoming auction, notwithstanding this=20
last-ditch effort to cure this troubled proceeding."
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-265462A1.doc

US INTERNET CONTRACT WITH ICANN
[SOURCE: National Telecommunications and=20
Information Administration press release]
The Commerce Department=92s National=20
Telecommunications and Information Administration=20
published a notice of its intent to award a sole=20
source contract to the Internet Corporation for=20
Assigned Name and Numbers (ICANN) to perform key=20
technical functions supporting the Internet=20
Domain Name System. The Department continues to=20
believe that ICANN is uniquely qualified to=20
perform these services that are critical to the=20
stability and security of the Internet.=20
ICANN has been performing the Internet Assigned=20
Numbers Authority (IANA) services since 2000.=20
They involve three technical coordinating=20
functions for the Internet domain name and=20
addressing system. These functions include=20
coordination of the assignment for technical=20
protocol parameters, administration of certain=20
responsibilities associated with Internet DNS=20
root zone management; and allocation of Internet=20
Protocol Version (IPv4) and Internet Protocol Version 6 (IPv6) address spac=
e.
http://www.ntia.doc.gov/ntiahome/press/2006/IANAContract_05192006.htm

DIGITAL TURF WAR
[SOURCE: Broadcasting&Cable, AUTHOR: John M. Higgins]
There was something conspicuously missing from=20
the hundreds of millions of dollars in=20
commitments for the upcoming fall season:=20
digital-rights deals between the studios and the=20
networks. ABC has no rights to stream Warner=20
Bros. Television Studio's The Nine on ABC.com.=20
NBC has no right to sell episodes of Sony=20
Pictures Television's Kidnapped on iTunes. CBS=20
can't offer episodes of 20th Century Fox=20
Television's Shark via cable operators'=20
video-on-demand (VOD) systems. The networks have=20
that flexibility only for new shows that come=20
from the studios that they actually own. When it=20
comes to deals outside the corporate family,=20
networks and the studios supplying shows remain=20
locked in a turf war, hardened in their financial=20
demands for creating digital =93windows=94 for=20
top-notch prime time programming. =93The new=20
business models are quickly evolving,=94 says Bruce=20
Rosenblum, president of Warner Bros. Television=20
Group, whose studio will again be the largest=20
supplier of prime time series next season. =93It's=20
incumbent, however, on the networks to share some=20
of the revenue from the new business=20
opportunities with their suppliers of their=20
content and, in some cases, to their [station]=20
affiliates.=94 But the potential revenues from=20
online-TV services are too uncertain to force the=20
issue right now. =93I don't think any of the=20
networks felt they wanted to take the risk of=20
trying to acquire digital rights from a studio=20
and risk not being able to close a show,=94 says=20
Gary Newman, co-president of 20th Century Fox Television.
http://www.broadcastingcable.com/article/CA6336396?display=3DNews

QUICKLY

ATTORNEY GENERAL THREATENS TO GO AFTER REPORTERS
[SOURCE: Associated Press]
Attorney General Alberto Gonzales said Sunday he=20
believes journalists can be prosecuted for=20
publishing classified information, citing an=20
obligation to national security. The nation's top=20
law enforcer also said the government will not=20
hesitate to track telephone calls made by=20
reporters as part of a criminal leak=20
investigation, but officials would not do so=20
routinely and randomly. "There are some statutes=20
on the book which, if you read the language=20
carefully, would seem to indicate that that is a=20
possibility," AG Gonzales said, referring to=20
prosecutions. "We have an obligation to enforce=20
those laws. We have an obligation to ensure that=20
our national security is protected."
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_con...
t_id=3D1002539901
Gonzales Says Prosecutions of Journalists Are Possible
http://www.nytimes.com/2006/05/22/washington/22gonzales.html

DISPUTE OVER 'USA TODAY' NSA SCOOP HAS TOP JOURNOS BUZZING
[SOURCE: Editor&Publisher, AUTHOR: Joe Strupp]
The USA Today phone records scoop, which is=20
drawing increased scrutiny as phone companies=20
dispute elements of the report, has also sparked=20
interest among those in the news business, as=20
well as longtime journalism observers. Editors=20
and veteran journalists are mixed on how the=20
situation has been handled by all involved, with=20
some claiming that the outcome could impact how=20
news outlets report sensitive intelligence=20
information in the future. "This is shaping up to=20
be a major test of the value of the press, the=20
watchdog function of the press," said Bill=20
Kovach, chairman of the Committee of Concerned=20
Journalists. "If the press turns out to be right,=20
they will have done a real service. If it turns=20
out to be wrong, it will be a real blow to all of us."
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_con...
t_id=3D1002539527

QUESTION: WHO IS MEDIANEWS'S DEAN SINGLETON?
[SOURCE: New York Times, AUTHOR: Katharine Seelye]
A look at William Dean Singleton. At 54, he is=20
thought of as something of a magician in the=20
newspaper world -- having transformed himself=20
from the son of a ranch hand in a tiny town in=20
Texas to a media baron who now controls a=20
newspaper empire that sprawls from coast to=20
coast. His company, the privately held MediaNews=20
based in Denver, owns 55 dailies including The=20
Denver Post, The Detroit News, The Daily News of=20
Los Angeles and The Berkshire Eagle, plus more=20
than 100 nondailies. With the addition of the=20
Knight Ridder papers -- The San Jose Mercury=20
News, The Contra Costa Times and The Monterey=20
County Herald, all in California, and The St.=20
Paul Pioneer Press -- MediaNews has become the=20
nation's fourth-biggest newspaper company, up from seventh.
http://www.nytimes.com/2006/05/22/business/media/22singleton.html
(requires registration)

FCC REPORTS SPIKE IN INDECENCY COMPLAINTS
[SOURCE: TVWeek, AUTHOR: Doug Halonen]
The Federal Communications Commission said Friday=20
that 141,868 indecency complaints were filed with=20
the agency during the first quarter of the year,=20
up from the 44,109 filed during the fourth quarter of 2005.
http://www.tvweek.com/news.cms?newsId=3D10040
(requires free registration)
* See the FCC report
http://www.fcc.gov/Daily_Releases/Daily_Business/2006/db0519/DOC-265441A...
oc

SURFING THE FUTURE OF NEWS 2.0
[SOURCE: AlterNet, AUTHOR: John Gorenfeld]
[Commentary] Are we passive consumers of news no=20
more? A survey of innovative news sites that allow you to be the editor.
http://www.alternet.org/mediaculture/35924/

HOUR AFTER HOUR, ONE STATION IS DEVOTED TO PULSE OF NEW YORK
[SOURCE: New York Times, AUTHOR: Winnie Hu]
A look at NYC TV. With an ever-growing roster of=20
programs that delve into previously uncovered=20
slivers of New York culture, this once-overlooked=20
station, whose bread and butter used to be City=20
Hall hearings, has soared in the ratings to=20
100,000 viewers for its most popular shows, and=20
scored 14 New York Emmys. NYC Media Group, formed=20
in early 2005, is the entity responsible for=20
managing and programming the City of New York=92s=20
media assets and forms an integral part of New=20
York City's Department of Information Technology=20
and Telecommunications. NYC Media Group oversees=20
one broadcast television station reaching=20
approximately 7.3 million households, five New=20
York City cable television networks reaching=20
approximately 1.8 million households each, one=20
full power FM radio station (WNYE 91.5FM), and=20
its Emmy award-winning production company, NYC TV Original Productions.
http://www.nytimes.com/2006/05/22/nyregion/22nyctv.html
(requires registration)

OPEN STUDENT TV NETWORK
[SOURCE: Wall Street Journal, AUTHOR: Brooks Barnes brooks.barnes( at )wsj.com]
Open Student TV Network is part of a burst of TV=20
channels targeting college students, mostly over=20
the Internet. The network also provides a=20
distribution system for shows produced by students.
http://online.wsj.com/article/SB114826584113159266.html?mod=3Dtodays_us_...
ketplace
(requires subscription)
--------------------------------------------------------------
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.
--------------------------------------------------------------