Nov 20, 2008 (Stevens, Waxman and a rook named Obama)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for THURSDAY NOVEMBER 20, 2008

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THE TRANSITION
   Stevens Loses Reelection Bid
   Waxman Gains Early Support on House Commerce Committee Chairmanship
   Obama Announces Transition Group on Technology, Innovation and Government Reform
   More Cabinet Posts Filled?
   White House Pushes Through a Flurry of Rule Changes Sought by Business
   Martin rushes to get D-Block to vote
   Civil liberties groups have a wish list for Obama
   Shield Law Is Dead Duck In Lame Duck

INTERNET/BROADBAND/TELECOM
   National Broadband Strategy Symposium
   Broadband Internet Crunch is Beginning to Occur
   Eulogy for a good friend: RIP, twisted pair telephone line
   Connected Homes: The Next Network Frontier
   Justice Department Issues Report on Competitive Developments in Video, Voice Telephone and Broadband Services
   680 million broadband lines in 2013
   Mobile phones becoming more crucial to people
   AT&T wins conspiracy verdict over long-distance surcharges

GOVERNMENT & COMMUNICATIONS
New York Police Fight with US on Surveillance

BROADCASTING/CABLE
   FCC rebuked in NFL Case
   Media In Recession: Broadcast Stumbles, Cable Capitalizes On Interactive Platforms
   NAS Seeks Better Science Programming

KIDS & MEDIA
   Report challenges online-learning assumptions
   Teenagers' Internet Socializing Not a Bad Thing
   NIH: Banning Fast Food Ads Will Make Kids Less Fat

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THE TRANSITION

STEVENS LOSES RE-ELECTION BID
[SOURCE: Associated Press, AUTHOR: Michael Blood]
The Hulk has been tubed. Sen Ted Stevens (R-Alaska), the longest-serving Republican in Senate history, has lost his bid for reelection. The defeat marks the end of an era in which he held a commanding place in Alaska politics while wielding power on some of the most influential committees in Congress. Stevens' pursuit of a seventh term was damaged by his conviction in federal court — just days before the election — for lying on Senate disclosure forms to conceal more than $250,000 in gifts and home renovations from an oil field services company. Back in July, Sen Stevens relinquished the Senate Commerce Committee's vice chairman's post. He is the former chair of that committee and became an Internet celebrity a couple of summers ago after an audio of his "The Internet is a series of tubes" speech circulated. Around the Capitol, Stevens is known as a man with a temper, a reputation he fuels by donning his Incredible Hulk tie for political battle. "When I see the Hulk tie on Ted Stevens, I know he's pumped up," said former-Senate Majority Leader Bill Frist, who described Stevens as "tenacious, pugnacious and ferocious." With the bulging green man-monster displayed down his shirtfront, Stevens yelled at colleagues who block oil drilling in the Arctic National Wildlife Refuge. He shouted at those who would cut Alaska projects from federal spending bills.
http://benton.org/node/19116
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WAXMAN GAINS EARLY SUPPORT ON HOUSE COMMERCE COMMITTEE CHAIRMANSHIP
[SOURCE: TVWeek, AUTHOR: Ira Teinowitz]
Rep Henry Waxman (D-CA) has won a preliminary vote over Rep John Dingell (D-MI) in their battle to head the House Commerce Committee which oversees all broadcast, telecom and health legislation. On the eve of tomorrow's vote of Democratic House members on who will head the House Energy and Commerce Committee, Rep Waxman won the support of the Democratic leadership panel, which will make a recommendation to Democratic representatives. Rep Waxman, who has headed the House Oversight and Government Reform Committee, had announced he was taking on Rep. Dingell, who is the longest-serving member of the House. The two have had past differences on health and some drug issues. Rep. Waxman has been far more activist than Rep. Dingell.
http://benton.org/node/19115
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OBAMA ANNOUNCES TRANSITION GROUP ON TECHNOLOGY, INNOVATION AND GOVERNMENT REFORM
[SOURCE: Office of the President-Elect, AUTHOR: ]
The Obama-Biden Transition team has named its Policy Working Group on Technology, Innovation & Government Reform. The focus of the Policy Working Groups will be to develop the priority policy proposals and plans from the Obama Campaign for action during the Obama-Biden Administration. The Technology, Innovation & Government Reform includes: 1) Blair Levin, a Managing Director of Stifel Nicolaus and the firm's principal telecom, media and tech regulatory and strategy analyst. 2) Sonal Shah who heads Google.org's global development efforts. 3) Julius Genachowski, co-founder of Rock Creek Ventures and LaunchBox Digital, a special advisor at General Atlantic, and a member of various boards of directors and advisors.
http://benton.org/node/19114
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MORE CABINET POSTS FILLED?
[SOURCE: Washington Post, AUTHOR: Ceci Connolly]
Although not official, many outlets are reporting that Thomas A. Daschle, a former Senate majority leader and a confidant of President-elect Barack Obama, will be nominated as secretary of the Department of Health and Human Services and will take on a broader role as the administration's health policy chief, said several sources close to the transition process. Arizona Gov. Janet Napolitano (D), whose handling of immigration issues brought her accolades from fellow governors, is President-elect Barack Obama's choice to serve as secretary of homeland security.
Obama to Nominate Daschle as HHS Secretary
http://benton.org/node/19122
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WHITE HOUSE PUSHES THROUGH A FLURRY OF RULE CHANGES SOUGHT BY BUSINESS
[SOURCE: Wall Street Journal, AUTHOR: Stephen Power, Elizabeth Williamson, Christopher Conkey]
The Bush administration in the past week has adopted several hot-button regulatory changes long sought by business groups, drawing criticism from congressional Democrats. Earlier this year, White House Chief of Staff Joshua Bolten set a Nov. 1 deadline for federal agencies to take final action on new regulations, allowing an exception for "extraordinary circumstances." In a memo dated May 9, Mr. Bolten called on agency heads to "resist the historical tendency of administrations to increase regulatory activity in their final months." Some agencies haven't met Mr. Bolten's deadline, but are expected to adopt final rules before the end of President George W. Bush's term on Jan. 20. White House spokesman Tony Fratto said, "There will be some exceptions [to the Nov. 1 deadline] and some judgment calls. Some of those exceptions are because of events beyond our control, but there is no rush to get regulations done before the end of the term or to tie the hands of the next administration."
http://benton.org/node/19121
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MARTIN RUSHES TO GET D-BLOCK TO VOTE
[SOURCE: RCR Wireless News, AUTHOR: Jeffrey Silva]
Federal Communications Commission Chairman Kevin Martin, with time dwindling to move top policy priorities as a new administration prepares to assume power in January, is laying the groundwork to win approval by mid-December of final rules for highly controversial public-safety and wireless broadband auction initiatives. Somewhat less certain is whether equally contentious reforms of the universal service fund and intercarrier compensation regimes will make it on the Dec. 18 meeting agenda. If the USF/ICC item or any of the other proceedings are not ready for a vote by Dec. 18, Martin could have one last chance to put his imprint on telecom policy at a tentatively scheduled Jan. 15 meeting. Even if Martin succeeds in rounding up votes to pass 700 MHz D Block, advanced wireless services-3 and USF/ICC reform measures, the incoming Obama administration will have the job of addressing any regulatory and legal challenges as well as conducting bidding for wireless licenses in 2009. From most indications, controversy over D Block, AWS-3 and USF/ICC issues will not end when Martin is replaced as chairman of the FCC.
http://benton.org/node/19113
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CIVIL LIBERTIES GROUPS HAVE A WISH LIST FOR OBAMA
[SOURCE: Los Angeles Times, AUTHOR: James Oliphant]
Rolling back Bush's counter-terrorism policies is a priority, as are closing the Guantanamo prison, stopping military tribunals and curtailing domestic surveillance. Tempering President-elect Obama's desire to close the book on an administration that has been accused of violating domestic and international law will be the need to ensure the nation remains protected. President Obama must decide whether to dismantle the legal framework that the Bush administration created after the Sept. 11 attacks, when the White House, Pentagon and Justice Department determined that existing legal processes, both civilian and military, were inadequate to meet the threat posed by terrorism. Specifically, human rights and civil liberties groups are pushing for the Obama administration to do the following: Scale back amendments passed this year to the federal law that governs the surveillance of foreign agents, and which provided retroactive immunity from lawsuits to the nation's largest telecommunications companies. Obama supported the amendments but also opposed granting immunity. Until now, he probably did not know the extent to which the surveillance program has provided valuable information.
http://benton.org/node/19123
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SHIELD LAW IS DEAD DUCK IN LAME DUCK
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
At least one Republican senator has put a hold on a bill which would protect journalists and their sources from overreaching prosecutors while carving out exceptions for national security, medical and proprietary business information. Although it has the backing of both President-elect Barack Obama and Sen John McCain, it will not come up for a Senate vote in the lame duck session of Congress. The administration had threatened to veto the bill and Attorney General Michael Mukasey said "10 angels swearing on Bibles" in support of the bill would not change his view that it has major flaws. The shield law bill was introduced with high hopes and bipartisan support in May 2007, with the current session of Congress thought to be the most likely venue for passage in decades, but problems arose over the definition of journalists covered -- bloggers, for instance -- and from the administration over its impact on investigations related to national security and terrorism.
http://benton.org/node/19112
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INTERNET/BROADBAND/TELECOM

NATIONAL BROADBAND STRATEGY SYMPOSIUM
[SOURCE: Network World, AUTHOR: Brad Reed]
When president elect Barack Obama officially takes office in January, one of his biggest priorities in the realm of technology will likely be a plan to ensure broadband access for every United States citizen. The Internet Innovation Alliance, a nonprofit advocate for universal broadband in the United States, held a symposium at the National Press Club to generate new ideas for both the Obama administration and for Congress on how to bring high-speed Internet connectivity to underserved regions throughout the country. United States Internet Industry Association President David McLure told the panel that the federal government should concentrate mainly on areas where carriers have not yet built out broadband infrastructure. Additionally, he said that any broadband strategy had to focus not only on broadband access, but on what he called "digital inclusion" that could be solved through better educating the public on computer and Internet use.
http://benton.org/node/19111
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BROADBAND INTERNET CRUNCH IS BEGINNING TO OCCUR
[SOURCE: Internet Innovation Alliance, AUTHOR: ]
According to Nemertes Research, Internet demand remains at a rate which could outpace capacity within the next two to four years. Similar to earlier findings in 2007, evidence compiled by Nemertes over the past year continues to point to increasing strain on the Internet's infrastructure and that by 2012, this infrastructure may not be able to accommodate the exaflood, resulting in Internet brownouts. The Internet exaflood, or exponential explosion of online content, resulting largely from new applications, video and increasingly heavy Web use, is causing slower responses and time outs and ultimately may trigger an "innovation slowdown," according to the study. If left unaddressed, the development of next generation applications, from software to interactive video, will likely be stifled as users find Internet infrastructure incapable of efficiently delivering quality content.
http://benton.org/node/19110
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EULOGY FOR A GOOD FRIEND: RIP, TWISTED PAIR TELEPHONE LINE
[SOURCE: ars technica, AUTHOR: Nate Anderson]
[Commentary] As cable and fiber-to-the-home connections gain subscribers and speed, the traditional twisted-pair phone line is already becoming less relevant. And if telcos don't act, their link to the home threatens to disappear altogether. In the long-run, it's "fiber or die" for the traditional telcos. Verizon knows it, and the company has spent $20 billion on its FiOS system. AT&T knows it—sort of—and has dumped billions into its fiber-to-the-node U-verse product. But FiOS deployments remain quite limited, and fully operational U-verse deployments are even scarcer. As for other major telcos, many appear to lack any sort of wide-ranging fiber plans at all. Cable has tremendous bandwidth, most devoted to TV, but it can essentially pick what speeds it wants to offer. The telcos wedded to DSL at the moment will eventually act—they have to. Unless content only to serve rural and hard-to-wire customers, telcos will eventually adopt fiber rollouts to stave off the threat from cable, but when they choose to do so matters. While it's no doubt tempting to squeeze every last ounce of juice from an investment in twisted pair copper wire, telcos will be in a stronger position with customers if they make their moves while a household still has a billing relationship with the company. Inertia is a powerful force, and only the offer of dramatic cost savings or significant feature differences will entice customers back to a new fiber solution once they have already switched to cable.
http://benton.org/node/19109
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CONNECTED HOMES: THE NEXT FRONTIER
[SOURCE: TelephonyOnline, AUTHOR: Carol Wilson]
The new connected home push is driven in part by the need of broadband service providers to find new revenues that can bolster the triple- and quadruple-play bundles already commoditized by competition, as well as by the confusing complexity of consumer products that can be linked in the home, opening the opportunity for managed services that remove the complexity. This time around, the driving forces are likely to be more practical concerns such as controlling energy use and costs, being more environmentally friendly, tying together digital media devices within the home, and offering such adjunct services as security and home health care. The challenges are also of a practical nature. Problem No. 1 is making the technology easy for consumers to use without a lot of costly hands-on help.
http://benton.org/node/19108
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JUSTICE DEPARTMENT ISSUES REPORT ON COMPETITIVE DEVELOPMENTS IN VIDEO, VOICE TELEPHONE AND BROADBAND SERVICES
[SOURCE: Department of Justice, AUTHOR: ]
The Department of Justice issued a report on competitive developments in the telecommunications industry. The report is the result of a Telecommunications Symposium hosted by the Department on Nov. 29, 2007. The report addresses a number of issues that may affect consumers of telecommunications services and antitrust analysis in this industry, including the development of new facilities-based competition, wireless technologies as alternatives to wireline networks, price and non-price consumer benefits from competition, the significance of bundled products, and obstacles to competitive entry. The focus of the report is on telecommunications services provided to residential consumers, rather than business users.
http://benton.org/node/19107
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680 MILLION BROADBAND LINES IN 2013
[SOURCE: Point Topic, AUTHOR: ]
As the total number of broadband lines in the world passes 400 million Point Topic forecasts that the total in the 40 biggest broadband countries in the world will grow from 393 million by the end of 2008 to 635 million by 2013. Broadband in the rest of the world will grow from 16 million to 48 million lines in the same period, so the world will add 273 million lines to reach 683 million in total. This represents a 10.8% per year compound growth rate, well down from 27.7% per year in the 2004 to 2008 period, but still substantial. One major reason for the slowdown in growth is that most of the richer countries are approaching saturation with broadband; new customers are becoming harder to find and sign up. At the same time poorer countries such as China and India have gone through the initial phase of rapid growth and are now growing steadily rather than exponentially.
http://benton.org/node/19106
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MOBILE PHONES BECOMING MORE CRUCIAL TO PEOPLE
[SOURCE: Reuters, AUTHOR: Kate Holton]
The International Communications Market report by the British regulator Ofcom said mobile phones are becoming more crucial to people, especially in emerging markets where growth is very strong. Some 216 million new mobile subscriptions were registered in Brazil, Russia, India and China in 2007, with China alone adding more new connections at 88 million than the total number of subscriptions in Britain. Take up in Russia increased nearly 1,000 percent. Residents in the Republic of Ireland spent the most time -- 179 minutes per month on average -- on their mobile phones and sent the most text messages per head in the world in 2007, according to a report which examines changes in the communications industry. mobile phone users in Ireland sending an average of 154 text messages a month, nearly double the figure in Britain of 81.
http://benton.org/node/19105
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AT&T WINS CONSPIRACY VERDICT OVER LONG-DISTANCE SURCHARGES
[SOURCE: Bloomberg News, AUTHOR:]
AT&T Inc. didn't conspire to fix the rate for long-distance surcharges paid by customers, a Kansas jury said Wednesday, rejecting a $400-million claim against the largest U.S. telephone company. The federal jury in Kansas City, Kan., also ordered AT&T to pay $16.9 million to California residential customers who accused the company of breach of contract in the same trial. Business customers had sued in a national class action, claiming that one of Dallas-based AT&T's predecessor companies violated U.S. antitrust law by fixing prices for Universal Service Fund surcharges from August 2001 through March 2003.
http://benton.org/node/19118
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GOVERNMENT & COMMUNICATIONS

NEW YORK POLICE FIGHT WITH US ON SURVEILLANCE
[SOURCE: New York Times, AUTHOR: David Johnston, William Rashbaum]
The New York Police Department wants broader latitude to eavesdrop on terrorism suspects but has run into sharp resistance from the Justice Department in a bitter struggle that has left the police commissioner and the attorney general accusing each other of putting the public at risk. The Police Department, with the largest municipal counterterrorism operation in the country, wants the Justice Department and the Federal Bureau of Investigation to loosen their approach to the federal law that governs electronic surveillance. But federal officials have refused to relax the standards, and have said requests submitted by the department could actually jeopardize surveillance efforts by casting doubt on their legality. Under the law, the government must in most cases obtain a warrant from the special Foreign Intelligence Surveillance Court before it can begin electronic monitoring of people suspected of spying or terrorism. The requests are subjected to sharp scrutiny, first by lawyers at the F.B.I., then by lawyers at the Justice Department, and finally by the court itself.
http://benton.org/node/19124
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BROADCASTING/CABLE

FCC REBUKED IN NFL CASE
[SOURCE: Wall Street Journal, AUTHOR: ]
An administrative judge is set to rebuke the Federal Communications Commission Thursday over a case involving the National Football League's complaint that Comcast won't carry its channel on its most popular tier of service. The decision is a blow to the NFL, which has tried to expand the audience of its fledgling NFL Network. Last month the FCC signaled its intentions of siding against Comcast. In a decision expected to be released Thursday, an FCC administrative law judge essentially tossed the agency's preliminary decision and said a full hearing will be needed to sort out the facts. In the decision, the FCC administrative judge wrote that "the 'facts' and 'conclusions' recited in the [agency's decision] will not be considered as binding on the presiding judge" and that a full hearing will be required before he can make a ruling.
http://benton.org/node/19119
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MEDIA IN RECESSION: BROADCAST STUMBLES, CABLE CAPITALIZES ON INTERACTIVE PLATFORMS
[SOURCE: MediaPost, AUTHOR: Erik Sass]
Now that the predicted recession is a reality, it seems clear that an array of traditional media, magazines, newspapers and radio are taking hits in ad revenue and profitability. Based on past recessions, it seems likely that broadcast will also suffer major losses. But cable TV could benefit or bust during the downturn, depending on cable companies' strategy for large-scale interactive advertising.
http://benton.org/node/19104
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NAS SEEKS BETTER SCIENCE PROGRAMMING
[SOURCE: Broadcasting&Cable, AUTHOR: Alex Weprin]
The National Academy of Sciences is launching a new campaign, The Science and Entertainment Exchange, in an effort to incorporate accurate scientific information into TV shows, movies and video games. The Exchange is the first time the NAS is formally reaching out to the entertainment industry. The initiative will arrange briefings and consultations for writers, producers and directors seeking scientific or medical insights, and will connect them with leading scientists. The Writers Guild, Director's Guild and Producers Guilds of America are all on board with the initiative.
http://benton.org/node/19103
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KIDS & MEDIA

REPORT CHALLENGES ONLINE-LEARNING ASSUMPTIONS
[SOURCE: eSchool News, AUTHOR: Maya Prabhu]
Some critics of distance learning say face-to-face classes give students a better learning environment, but a recent Indiana University study, the National Survey of Student Engagement, found that online learners reported deeper approaches to learning than classroom-based learners. Deep learning, researchers said, is a type of learning that goes beyond rote memorization and focuses on reflection, integrative learning, and higher-order thinking -- analysis, synthesis, and evaluation. According to the survey results, 37 percent of first-year online learners and 45 percent of seniors said they participated in course activities that challenged them intellectually "very often," compared to only 24 percent of first-year classroom-based learners and 35 percent of seniors. The survey also found that online learners reported slightly more deep approaches to learning in their coursework.
http://benton.org/node/19102
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TEENAGERS' INTERNET SOCIALIZING NOT A BAD THING
[SOURCE: New York Times, AUTHOR: Tamar Lewin]
Good news for worried parents: All those hours their teenagers spend socializing on the Internet are not a bad thing, according to a new study by the MacArthur Foundation. "It may look as though kids are wasting a lot of time hanging out with new media, whether it's on MySpace or sending instant messages," said Mizuko Ito, lead researcher on the study, "Living and Learning With New Media." "But their participation is giving them the technological skills and literacy they need to succeed in the contemporary world. They're learning how to get along with others, how to manage a public identity, how to create a home page." The study, conducted from 2005 to last summer, describes new-media usage but does not measure its effects. Vicki Rideout, vice president of the Kaiser Family Foundation and director of its program for the study of media and health, said, "This highlights the need for larger, nationally representative studies."
http://benton.org/node/19120
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NIH: BANNING FAST FOOD ADS WILL MAKE KIDS LESS FAT
[SOURCE: AdAge, AUTHOR: Emily Bryson York]
A ban on fast-food advertising to children would cut the national obesity rate by as much as 18%, according to a new study conducted by the National Bureau of Economic Research and funded by the National Institutes of Health. The study measured the number of fast-food ads kids watched and found a fast-food TV-ad ban for children's programming would reduce the number of overweight children aged 3 to 11 by 18%, and for adolescents (12- to 18-year-olds) by 14%. Data also revealed a more pronounced effect on males than females.
http://benton.org/node/19117
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