November 2000

Communications-related Headlines for 11/13/2000

POLITICAL DISCOURSE/JOURNALISM
TV Talk Shows See Hope in the Never-Ending 2000 Election (NYT)
Tech CEOs Vote for Web-Based Elections, but Others Wary (USA)
ABC Fires Radio Host Matt Drudge (WP)

TELEPHONE REGULATION
State Registry Lets New Yorkers Block Telemarketing Calls (NYT)
Service Quality Reporting Requirements for Local
Telephone Companies (FCC)
Japanese Agree to Create A Regulator for Telecoms (WSJ)

JOBS
Dot-Com Workers Boomerang Back to Bricks (USA)

MERGERS
Dissecting the Deal (NYT)
EMI Is in Talks With Bertelsmann About Combining
Music Interests (WSJ)
Federal Court Invalidates Florida Law Requiring AT&T to
Open Cable Lines (WSJ)

SPECTRUM
Radio Crunch Threatens Air Travel (WP)
Secondary Markets in Radio Spectrum (FCC)

INTELLECTUAL PROPERTY
MediaDefender Says Music Industry Can Beat Napster at
Its Own Game (WSJ)
Digital Millennium Copyright Act (NTIA)

RELIGION
Web Pastor Spreads God's Word on the Net (USA)

POLITICAL DISCOURSE

TV TALK SHOWS SEE HOPE IN THE NEVER-ENDING 2000 ELECTION
Issue: Political Discourse
"This could go on forever," says one TV political talk show host and all of
them are probably secretly hoping that the fight to determine who won
election 2000 does go on and on because in the nights since the elections,
their rating have almost doubled. Many in this field had been in a panic,
the most polarizing political figure in recent political history was about
to exit the stage as a less stirring figure would become president. Now,
the controversy over the election could last the next four years, some
think. Read what the players are thinking at the URL below.
[SOURCE: New York Times (C1), AUTHOR: Bill Carter]
(http://www.nytimes.com/2000/11/13/business/13MEDI.html)
(requires registration)

TECH CEOS VOTE FOR WEB-BASED ELECTIONS, BUT OTHERS WARY
Issue: Political Discourse
A growing number of CEOs of technology companies say it's time to throw out
the 1890s system of mechanical-lever machines and punch cards in favor of
Internet voting. Raj Sharma, CEO of HydraWeb Technologies, an Internet
traffic company, says the controversy in Florida over lost ballots and
inadvertent voting for the wrong candidate can be alleviated with Web-based
voting. "By the time of our next presidential election, it will be in
place," he says. Not likely, says Jim Cannavino, CEO of computer security
firm CyberSafe. A secure Internet voting system could be ready in eight
years, possibly four, but he predicts it won't happen until 2050. It will
take government leaders that long to understand the system well enough to
approve it. And it will be almost as long before Americans no longer fear
that hackers could throw an election. "I don't want to have a president
elected by the guys who spray-paint buses," Cannavino says. But other CEOs
say that almost all issues can be resolved with a combination of passwords
and $1 smart cards that use encryption to limit use to one person. The
biggest obstacle, CEOs agree, will be politics rather than technology. Roy
McDonald, CEO of software company Connectix and a Democrat, says he's for
Internet voting except that it will almost certainly give more close
elections to Republicans. Once votes can be placed from virtually any PC,
more wealthy office workers will have the opportunity to vote while surfing
the Web.
[Source: USA Today (12B), Author: Del Jones]
(http://www.usatoday.com/usatonline/20001113/2831995s.htm)

ABC FIRES RADIO HOST MATT DRUDGE
Issue: Journalism
Despite his immense popularity, ABC has given the boot to cyber-gossip Matt
Drudge and his syndicated radio show. Drudge's program plays in 135 markets,
including nine of the top 10 markets; is number 1 in New York in its time
slot; has generated modest income ($400,000); and was slotted to move into a
five-day-a-week format. The problem? ABC higher-level execs never wanted
Drudge - and the cyber columnist gave them reason to get rid of him. For
example, Drudge called Don Ohlmeyer, executive producer of ABC's "Monday
Night Football, a liar for allegedly misleading reporters about whether he
had met with Rush Limbaugh as a possible color man for the broadcast. In his
book "Drudge Manifesto," the author includes Disney Chairman Michael Eisner
among "the latest incarnation of vampires" who "have sucked the blood from
the fourth estate, leaving behind infotainment formaldehyde." "I see it as
punishment for daring to report on ABC's activities," Drudge says. "The
whole notion that this is a political payback for my Web reporting is an
explosive accusation, but I'm willing to make it." ABC spokeswoman Julie
Hoover says the decision was made by Broadcast Group President Bob Callahan,
with no involvement by parent company Disney. "Sunday night talk shows are
just not a good business," she says. "We're just not going to be in that
business anymore. . . . It takes up a lot of your time but makes very little
money." Now, without Fox and without ABC, Drudge is back to being a lone
gun: "The air we breathe is free, the airwaves are not," he says.
[SOURCE: Washington Post (C01), AUTHOR: Howard Kurtz]
(http://washingtonpost.com/wp-dyn/articles/A7060-2000Nov12.html)
And, FYI:
SHAW, A CNN ORIGINAL, TO LEAVE NETWORK IN FEBRUARY
[SOURCE: New York Times (C20), AUTHOR: Jim Rutenberg]
(http://www.nytimes.com/2000/11/13/business/13CNN.html)
(requires registration)

TELEPHONE REGULATION

STATE REGISTRY LETS NEW YORKERS BLOCK TELEMARKETING CALLS
Issue: Telephone Regulation
More than 180,000 New Yorkers have put their names on a "do not call" list
in expectation of a law to go into effect April 1. Under the law, every
telemarketer who places calls in New York State will have to buy the list
and could be fined as much as $2,000 for every call made to a person on the
list. "Telemarketing companies and their persistent calls have multiplied
to the point where it seems you can't sit down to a meal without being
interrupted," Gov. George E. Pataki said when he signed the registry bill
into law on Oct. 12. "Even worse, telemarketers often dupe consumers into
buying products they don't want or can't afford." Debra Martinez,
chairwoman and executive director of the Consumer Protection Board, said
the elderly were particularly vulnerable to high-pressure sales tactics.
[SOURCE: New York Times (A27), AUTHOR: Joseph Fried]
(http://www.nytimes.com/2000/11/13/nyregion/13CALL.html)
(requires registration)

SERVICE QUALITY REPORTING REQUIREMENTS FOR LOCAL TELEPHONE COMPANIES
Issue: Telephone Regulation
From Press Release: The Federal Communications Commission (FCC) proposed
to revamp the service quality information that price cap, or larger, local
phone companies report to the FCC. Currently, these carriers report more
than thirty categories of service quality information annually. The FCC
seeks to accomplish the following three goals: 1) Eliminate Unnecessary
Regulations as Competition Develops, 2) Make Service Quality Information
More Consumer Oriented, 3) Enhance Federal-State Partnership.
In an effort to make the information more useful to consumers and to
eliminate unnecessary rules, the Commission is proposing to streamline
reporting requirements into six core categories of information: 1) Missed
Installations -- A missed installation occurs when service is not provided
when promised to the customer. 2) Installation Intervals -- The length of
time it takes for service to be installed. 3) Trouble Reports -- The number
of times there is a problem with the line. 4) Out-of-Service Troubles -- An
out-of-service trouble means that a consumer cannot make or receive calls.
5) Missed Repair Appointments -- A missed repair commitment occurs when a
customer trouble is not repaired when promised to the customer. 6) Repair
Intervals -- How long it takes to fix service problems.
Common Carrier Staff Contact: Louise Klees-Wallace (202) 418-0800
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Common_Carrier/News_Releases/2000/nrcc0056.html)

JAPANESE AGREE TO CREATE A REGULATOR FOR TELECOMS
Issue: International
Japan may soon have a telecom regulating body, an equivalent of the Federal
Communications Commission, in a move that would go a long way toward meeting
the demands of U.S. trade negotiators, said the prime minister's top adviser
on information technology. A telecom regulator would add to the growing
trend in Japan toward a competition policy that could threaten the market
dominance of former telephone monopoly Nippon Telegraph & Telephone. A
government advisory body plans to recommend this week that the NTT holding
company relinquish control over its mobile phone and international units,
according to Japanese media reports. Officials in the U.S. believe such
moves would help U.S. companies compete in Japan. Mr. Idei, who heads the
prime minister's IT Strategy Council and is also the CEO of Sony, said the
Ministry of Posts and Telecommunications "agreed to create an FCC function
within the ministry" to ensure fair competition and build a "fire wall"
between that function and other ministry sections with potentially competing
interests. "The next step is an independent FCC," said Mr. Idei, although he
cautioned that no agreement has been reached on a full spinoff of the
regulator.
[SOURCE: Wall Street Journal (A23), AUTHOR: Peter Landers]
(http://interactive.wsj.com/articles/SB974055129323602466.htm)
(requires subscription)

JOBS

DOT-COM WORKERS BOOMERANG BACK TO BRICKS
Issue: Jobs
"Dozens of prominent e-tailers face make-or-break holidays," says Jill
Frankle, director of retail e-commerce at Gomez Advisors. "The running joke
is that B2C stands for back to consulting, and B2B means back to business
school." Since December 1999, 22,267 dot-com employees have lost jobs,
including 5,450 in retail, says outplacement firm Challenger Gray &
Christmas. "The worst of the (Internet) shakeout, especially in the
(business-to-consumer) area, may well arrive with the holiday," CEO John
Challenger says. Another wave of dot-com deaths and consolidation is
expected in January and February because many e-tailers lack sufficient
funding. "These companies are running on fumes," says Fogdog Sports CEO Tim
Harrington. His sporting goods e-tailer was acquired by Global Sports on
Oct. 24. Brockway, 29, a marketing director, missed the "commitment to
consumer marketing" at Levi's Brand. She left Egreetings Network, an
online greeting card company, when it de-emphasized consumer marketing and
shifted to business-to-business. Last month, the start-up laid off 60 of 180
workers, and its CEO resigned. At Levi, Brockway has received 10 r

Communications-related Headlines for 11/9/2000

JOURNALISM
Media Second-Guess Urge to Say Who's First (NYT)

UNIVERSAL SERVICE
Monitoring Report on Universal Service (FCC)

INTERNET
Awaiting the One-For-All Internet (WP)
Online Music Safeguards Withstand Hackers (WP)

MERGERS
U.S. Trade Officials Spar With AOL, Time Warner (WSJ)

WIRELESS
FCC May Seek Rule Changes To Free Up Scarce Airwaves (WSJ)

INTERNATIONAL
U.S. Taking Mexico Phone Dispute to W.T.O. (NYT)

ADVERTISING
Advertising: Internet Sponsorships for an Online Model (NYT)
** And a brief, online poll. Please let us know what you think. **

JOURNALISM

MEDIA SECOND-GUESS URGE TO SAY WHO'S FIRST
Issue: Journalism
Characterized by many in academia, politics and the news media as perhaps
the most egregious election-night gaffes in the modern television era,
television network executives are acknowledging that they were wrong in
calling Florida for Gore early Tuesday night and for Bush is the wee hours
of Wednesday morning. The mistakes are prompting TV executives to reexamine
how election projections are done. The mistakes also set off a chain of
events leading to Gore's concession call to Bush (later withdrawn) and many
newspapers to run headlines declaring Bush the new president-elect. The TV
projections were made based on surveys of voters as they leave the polls
and on analyses of returns from selected precincts is a longstanding
tradition in the television news business. Various networks used to do
their own Election Day polling; they now coordinate the surveying through
the Voter News Service, an organization they administer jointly with The
Associated Press. The service collects data at the polls across the country
and feeds it to the networks and the wire service. Each news organization
performs its own analysis of the data, and calls races independently.
[SOURCE: New York Times (B1), AUTHOR: Marks & Carter]
(http://www.nytimes.com/2000/11/09/politics/09MEDI.html)
(requires registration)
See Also:
CONCESSION CONFUSION PROMPTS PREMATURE EDITORIALS, HEADLINES
[SOURCE: Wall Street Journal (B1), AUTHOR: Patricia Callahan And Jennifer
Ordonez]
(http://interactive.wsj.com/articles/SB973730608410369903.htm)
(requires subscription)
A CROWD AROUND THE TELEVISIONS
About 65 million viewers tuned in to an average minute of coverage on the
channels covering the election on Tuesday night. That was short only of the
more than 80 million people who watched the Super Bowl in January.
[SOURCE: New York Times (B7)]
(http://www.nytimes.com/2000/11/09/politics/09RATI.html)
(requires registration)
ELECTION CLIFFHANGER IS A WINNER FOR SOME INTERNET SITES
[Source: Washington Post (E5), Author: Neil Irwin]
(http://washingtonpost.com/wp-dyn/articles/A49583-2000Nov8.html)
WEB SITES LEAK VOTING RESULTS
[SOURCE: USA Today (12A), AUTHOR: Associated Press]
(http://www.usatoday.com/)

UNIVERSAL SERVICE

MONITORING REPORT ON UNIVERSAL SERVICE
Issue: Universal Service
From Press Release: The staff of the Federal-State Joint Board on
universal service has released its most recent Monitoring Report on
Universal Service. This report reflects information on the telephone
industry filed with the Federal Communications Commission (FCC) through
September 11, 2000. The Report released today details the various universal
service support mechanisms, which are projected to amount to over $4.5
billion in 2000. The report presents current data in each of the eleven
subject categories selected for monitoring. Of special note:
1) Lifeline support grew 5% in 1999 and Link Up support decreased 20%; 2)
Schools and libraries are making substantial use of their available
support, with commitments totalling nearly $2 billion for the second year
of the program (July 1999 - June 2000); 3) The demand for rural health care
support has grown to $5.4 million committed in the second year of the
program (July 1999 - June 2000); 4) The percentage of households
subscribing to telephone service reached an all-time high of 94.6% in March
2000; and 5) Overall telephone rates increased 0.4% in 1999, which is less
than the general rate of inflation (2.7%), with increases in local rates
being offset by decreases in toll rates.
The Report can be downloaded by section from the FCC-State Link internet
site, which can be reached at (http://www.fcc.gov/ccb/stats)
Common Carrier contact: Alexander Belinfante at (202) 418-0944; TTY (202)
418-0484.
[SOURCE: FCC]
(http://www.fcc.gov)

INTERNET

AWAITING THE ONE-FOR-ALL INTERNET
Issue: Internet
At last week's 14th annual Next Generation Networks conference in
Washington, debate centered around the question of whether or not all
communication -- phone calls, radio programs, TV shows, e-mail and even
newspapers -- will ride together on the same Internet, or if there is still
life left in the old copper-wire telephone network. Can the Internet's
25-year-old architecture handle its high-speed, many-device future, or does
it need a redesign? Conference founder John McQuillan, a researcher on the
original network that preceded the Internet, called this year a turning
point in Internet history and predicted the steep drop in telecom stock
prices will have a ripple effect on the industry as it races to deconstruct
and rebuild the global communications network. McQuillan cited a Lehman
Brothers report casting doubt on whether fiber-optic network operators can
complete their global build-out because they may have spent more than the
market for Internet access can afford to pay. "This isn't just about stock
prices," McQuillan said. "This is also about, 'Can we really build out the
network we have all been talking about--is there enough money to do it?'"
McQuillan described the Internet moving from its wild revolutionary days
into a counter-revolutionary period. He said incumbent telecom giants have
taken hits from insurgent Internet forces and are counter-attacking by
acquiring "rebel" start-ups. The takeovers range from telephone giant
Verizon's recently announced acquisition of high-speed Internet access
provider NorthPoint to scores of optical equipment-makers being snapped up
by the likes of Nortel, Cisco and Lucent.
[Source: Washington Post (E1), Author: Leslie Walker]
(http://washingtonpost.com/wp-dyn/articles/A49571-2000Nov8.html)

ONLINE MUSIC SAFEGUARDS WITHSTAND HACKERS
Issue: Intellectual Property
Secure Digital Music Initiative (SDMI), a coalition of companies in the
software and recording industries, sponsored a public challenge that would
award $10,000 to the first hacker to crack their new security measures as a
means to test the strength of the five technologies, some of which embed a
digital "watermark" in the music to prevent unauthorized copying. The
technology that the SDMI eventually embraces will be used by the recording
industry in an effort to help protect its copyrights while drawing consumers
away from the popularity of easily traded MP3 files. "Of the five proposed
technologies that SDMI still has under consideration, successful attacks
were not identified on three technologies and were identified on two," SDMI
Executive Director Leonardo Chiariglione said yesterday in a statement. To
be considered a winner, a successful hack had to remove the digital
watermark encoded in a sample sound file, and remove it in such a way that
preserved the audio quality of the file. There were 447 submissions. There
probably would have been more had not many members of the hacker community
decided to boycott the contest. Many said they did not want to help the
developers make it more difficult for consumers to exercise their right to
make personal copies of their own music collections.
[Source: Washington Post (E4), Author: Mike Musgrove]
(http://washingtonpost.com/wp-dyn/articles/A49514-2000Nov8.html)

MERGERS

U.S. TRADE OFFICIALS SPAR WITH AOL, TIME WARNER
Issue: Mergers
A possibility exists that the AOL-Time Warner merger might be further
delayed. Federal Trade Commission officials sparred with America Online and
Time Warner over settlement terms in advance of a planned meeting on their
merger Thursday, making it likely that a vote on the deal could be delayed.
As negotiators struggled to finish a settlement, other FTC officials
continued to prepare to go to court to block the $124 billion merger if
those efforts fail, people close to the case said. If members decide to
continue negotiations, a vote on the deal could be postponed to give the two
sides more time to complete a settlement. The companies have already agreed
to broad settlement terms, but some commissioners are now asking them to go
further. A company official said talks were continuing and remained
constructive but acknowledged the possibility of a further delay. The
commission is expected to consider the merger in a closed session Thursday
afternoon.
[SOURCE: Wall Street Journal (A3), AUTHOR: John R. Wilke ]
(http://interactive.wsj.com/articles/SB973732458778120954.htm)
(requires subscription)
See Also:
FTC MAY BE DIVIDE ON AOL-TIME WARNER DEAL
[Source: Washington Post (E1), Author: Alec Klein]
(http://washingtonpost.com/wp-dyn/articles/A47679-2000Nov8.html)
FTC MAY DELAY VOTE ON AOL DEAL
[SOURCE: USA Today 3B), AUTHOR: Paul Davidson and David Lieberman]
(http://www.usatoday.com/life/cyber/invest/ina321.htm)

WIRELESS

FCC MAY SEEK RULE CHANGES TO FREE UP SCARCE AIRWAVES
issue: Wireless/Spectrum
Federal regulators are expected to propose rule changes that would make it
easier to buy or lease airwaves, as part of an effort to make spectrum more
available to the burgeoning wireless industry. In a meeting Thursday, the
Federal Communications Commission is expected to outline several proposals
to encourage so-called secondary markets that would help free up
increasingly scarce airwaves. The airwaves are used for everything from UHF
television to radio to wireless phones. Wireless companies are worried they
won't be able to get the spectrum they need to offer the next generation of
wireless devices their overseas competitors will offer. The goal is to get
the FCC "out of the way" and treat the airwaves more like a commodity traded
in the marketplace, said FCC Chairman William Kennard.
[SOURCE: Wall Street Journal (B10), AUTHOR: Jill Carroll]
(http://interactive.wsj.com/articles/SB973733162365153168.htm)
(requires subscription)
See Also
FCC MAY ALLOW SPECTRUM TRADE
[Source: Washington Post (E9), Author: Peter S. Goodman]
(http://washingtonpost.com/wp-dyn/articles/A49562-2000Nov8.html)

INTERNATIONAL

U.S. TAKING MEXICO PHONE DISPUTE TO W.T.O.
Issue: International
US Trade officials will take Mexico case to World Trade Organization,
accusing our 2nd-largest trade partner of failing to open its $12 billion
telecommunications industry. "While some progress has been made," US trade
representative Charlene Barshefsky said in a statement, "Mexico's failure
to take additional actions has left us no choice but to request a W.T.O.
panel." Jorge Nicol

Communications-related Headlines for 11/8/2000

JOURNALISM
High Drama Unfolds on Anchor Desks (NYT)
Internet had Chance to Shine, but Faced Same Pitfalls as TV (SJM)

MEDIA & SOCIETY
Theater Owners Promise Controls on 'R' Previews (WP)
'Sesame Street' Creator Aims to Reach Older Kids
With TV Series, Products (WSJ)
China Issues Stiffer Internet Rules On News Reports and
Chat Rooms (WSJ)

INTERNET
Advertising: Measuring Online Visibility (NYT)
Educators Turn to Internet for Advanced Placement
Classes (CyberTimes)
Wiring City Streets, Via the Sewers (WP)

MERGERS
FTC Near Vote on Merger (WP)

JOURNALISM

HIGH DRAMA UNFOLDS ON ANCHOR DESKS
Issue: Journalism
A number of broadcast television networks and cable news channels were
locked in competition yesterday and enjoying the close presidential race.
Yes, Dan Rather did not fail us: The presidential race in Florida, he said,
was "hot enough to peel house paint." The Senate contest in Virginia was
"nasty enough to gag a buzzard." Gov. George W. Bush has "run through Dixie
like a big wheel through a cotton field." But Rather and the networks were
all eating crow after calling Florida for Gore and then having to retract
and say the race there was "too close to call" (the most often heard words
of the night). The state's outcome was actually declared before all the
polls in the panhandle (in a latter time zone) were closed, angering
Republicans. If you weren't channel surfing, get a recap at the URL below.
[SOURCE: New York Times (B1), AUTHOR: Peter Marks]
(http://www.nytimes.com/2000/11/08/politics/08POL-MED.html)
(requires registration)

INTERNET HAD A CHANCE TO SHINE, BUT FACED
Issue: Online Journalism
This election year was the Internet's chance to shine, but the medium faced
the same pitfalls as television declaring who won the presidential race.
News organizations continued updating sites in the early morning hours.
Many prematurely declared Texas Gov. George W. Bush the winner over Vice
President Al Gore, even after TV networks rescinded projections for Florida
and its key 25 electoral votes. At ABC News, the headline "Campaign
continues" linked to a page that says "Bush Elected President." Still,
records of Americans turned to the Internet to followed the nail-biting
elections. "This year, perhaps TV is doing a better job providing a
summary, but to get minute-by-minute blows, no other media can compete,"
said Kourosh Karimkhany, senior news producer at Yahoo!
[SOURCE: San Jose Mercury News, AUTHOR: David Plotnikoff]
(http://www0.mercurycenter.com/svtech/news/breaking/merc/docs/039420.htm)
See Also:
TWO WEB SITES OFFER EARLY RESULTS BASED ON EXIT-POLLING INFORMATION
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Jason Anders]
(http://interactive.wsj.com/articles/SB973682007240523980.htm)

MEDIA & SOCIETY

THEATER OWNERS PROMISE CONTROLS ON 'R' PREVIEWS
Issue: Media & Society
The nation's theater owners have agreed not to show previews for R-rated
movies to audiences waiting to see G- and PG-rated films. This is being done
in response to a recent Federal Trade Commission report that said Hollywood
is marketing violent entertainment to young children. The National
Association of Theater Owners made the pledge along with other promises
to limit children's exposure to violent films. The FTC responded
with cautious praise. "It is clearly a step in the right direction," said
agency spokesman Eric London, adding: "The real test for any self-regulatory
proposal is the breadth and depth of its implementation." An FTC report
released in September found that the movie, music and video-game industries
are regularly marketing violent entertainment to children, despite
labeling the products as suitable for adults. The report cited the example
of one movie studio using a 10-year-old child in market research for a
violent R-rated film. One theater owner said parents must share
responsibility in keeping their children from violent films, as well. "I get
the most calls from parents who are mad that we haven't let their kids in an
R-rated movie," one owner said.
[SOURCE: Washington Post (E01), AUTHOR: Christopher Stern]
(http://washingtonpost.com/wp-dyn/articles/A37692-2000Nov7.html)

'SESAME STREET' CREATOR AIMS TO REACH OLDER KIDS WITH TV SERIES, PRODUCTS
Issue: Children's Television
Sesame Workshop (formerly called Children's Television Workshop), a
not-for-profit company, is developing educational programming for older
kids, branching out beyond its traditional relationship with the Public
Broadcasting Service and forging commercial alliances. "Most of the
programs for six-to-11-year-olds are entertainment-based and not as rich
educationally as the offerings to preschoolers," says Gary Knell, a
longtime Workshop executive who became chief executive in January. Along
with new shows, Sesame Workshop intends to provide educational toys and
products. But educational toys that address the developmental issues of
older kids have to compete with squirt guns, video games and the Internet.
As a result, "there has not been a merchandising play like there is for
preschool," Mr. Knell says. "We want to use our nonprofit status to take
advantage of" the void.
[SOURCE: Wall Street Journal, AUTHOR: Sally Beatty (sally.beatty( at )wsj.com)]
(http://interactive.wsj.com/articles/SB973642735123143432.htm)

CHINA ISSUES STIFFER INTERNET RULES ON NEWS REPORTS AND CHAT ROOMS
Issue: International/Media&Society
China strengthened its censorship over the Internet Tuesday, clamping
restrictions on Web sites offering news reports and requiring chat rooms to
use only officially approved topics. The new regulations would likely create
more headaches for Chinese Web sites, already reeling from tough competition
and a shortage of investment funds. But it could boost government-controlled
media struggling to enter the Internet age. The rules require general portal
sites to use news from state-controlled media, seek special permission to
offer news from foreign media and meet strict editorial conditions to
generate their own news. Only state media would be allowed to set up news
sites and even then only with government approval, the rules said. Chinese
leaders have been ambivalent about the Internet since its first explosive
growth in China in the mid-1990s. They want to harness it for business and
education while preventing it from becoming a tool of political discontent.
Chat rooms, even those run by staid symbols of state media like People's
Daily, are often lively sites of political discourse. When Yugoslav
President Slobodan Milosevic was forced from power last month, Chinese
turned to the Internet to debate democracy even while state media was
silent. "The government makes various efforts to get a grip on the
Internet," said Ted Dean with BDA China Ltd., a media and Internet
consulting firm. "But that just hasn't come to pass."
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Associated Press]
(http://interactive.wsj.com/articles/SB973603418226699576.htm)

INTERNET

ADVERTISING: MEASURING ONLINE VISIBILITY
Issue: Advertising
Word of Net is introducing a system meant to measure the various points at
which computer users are exposed to Web sites, wherever those exposures may
occur. Measuring these "points of presence" is intended to provide
information beyond the tracking of traffic to a site by tracking the
exposure to sites through search engines, keyword inquiries, listings,
links from other sites and category listings in online directories. "This
is a key marketing competitive-intelligence tool because it highlights
exposure all over the Internet," said Astrid van Dorst, senior analyst for
the e-marketing intelligence group at the Gartner Group. "You will see more
of this as Internet metrics reaches the next level of maturity." The Web
site ranked first in the initial visibility index, with a score of 973, is
www.aol.com, from America Online. The rest of the top five are
www.zdnet.com, from CNet, with a score of 936; http://members.aol.com, also
from America Online, 925; www.msn.com, from Microsoft, 922; and www.go.com,
from the Walt Disney Company, 915. "The real value of our technology is
that it provides a way to measure return on investment for your marketing
campaigns," said Eric Sanders, chief executive at Word of Net. "Online
advertising is a $5 billion to $7 billion industry, and it's not nearly
accountable enough," he added. "You can use our data to determine which of
your marketing spends generate sales."
[SOURCE: New York Times (C12), AUTHOR: Stuart Elliott]
(http://www.nytimes.com/2000/11/08/business/08ADCO.html)
(requires registration)

EDUCATORS TURN TO INTERNET FOR ADVANCED PLACEMENT CLASSES
Issue: EdTech
Officials in Kentucky, New Mexico, Washington, Wisconsin, Utah, Milwaukee
Public Schools and the Houston Independent School District have all
contracted with Bellevue, Wash.-based Apex Learning to offer online
Advanced Placement courses in schools that are unable to afford them.
Started in 1997 by Microsoft co-founder Paul Allen, Apex Learning has
offered the courses to smaller private schools for some time, but only this
year is the company making a big push to expand into public education.
"Schools have an increasingly difficult time offering a full complement of
courses," said Apex Learning President and CEO Keith Oelrich. "We're not
saying computer instruction is better than classroom instruction. Our
offering is about extending access to students who otherwise wouldn't have
had access." "When you have a course online, you offer students options,"
said Gaye Lange, project manager for the Houston Independent School
District's Virtual School program. "You can't have a class with five kids
in it. It's not cost effective. Instead of having a class with five kids,
now we can do it without all the hassle that goes with it."
[SOURCE: CyberTimes, AUTHOR: Rebecca S. Weiner (rweiner ( at )nytimes.com)]
(http://www.nytimes.com/2000/11/08/technology/08EDUCATION.html)
(requires registration)

WIRING CITY STREETS, VIA THE SEWERS
Issue: Infrastructure
Digging up city streets has been a very real cost of building the nation's
virtual superhighway. But now one telecommunications company, CityNet
Telecommunications of Silver Spring, MD., is trying a different strategy in
laying the nation's data pipes: the sewers. Robert G. Berger, owner of
CityNet, is investing $75 million in 100 cat-size robots that troll around
sewer pipes, laying fiber-optic cable. The sewer strategy could save many
cities the cost and hassle of the Internet's development: buckled streets
and crippled traffic. " While fiber-optic cable currently carries most
Internet traffic through the nation's network, copper wires carry data
between telephone-company central offices and the homes and businesses they
serve, a span known in the telecom industry as "the last mile. "The holy
grail of telecom is the last mile, and all carriers great and
small--everyone needs that physical last mile of fiber," Berger said. In
DC, where Mayor Anthony A. Williams imposed a moratorium on network
companies digging up the streets to lay fiber-optic cable, CityNet is in
"active discussions" to deploy its sewer-access modules, Berger said.
[SOURCE: Washington Post (E05), AUTHOR: Yuki Noguchi]
(http://washingtonpost.com/wp-dyn/articles/A37705-2000Nov7.html)

MERGERS

FTC NEAR VOTE ON MERGER
Issue: Mergers
A vote ratifying the merger of Time Warner with America Online could come as
early as tomorrow. Negotiators for both companies are working to clinch an
agreement with federal regulators this week. The FTC is scheduled to meet in
private session today and tomorrow on undisclosed enforcement matters. AOL
and Time Warner officials had set Friday as their internal deadline for
reaching a deal with the FTC, but the companies now are hopeful of doing it
by tomorrow, sources said. Difficulties still remain around the language of
an agreement to give rivals access to the combined companies' high-speed
Internet service. Regulators are concerned about the technical and
contractual aspects of an open-access agreement, sources said. Even if the
companies' agree to open Time Warner's cable pipes to competitors,
regulators want assurances that AOL and Time Warner will not impair the
speed or quality of rivals' access.
[SOURCE: Washington Post (E03), AUTHOR: Alec Klein]
(http://washingtonpost.com/wp-dyn/articles/A37612-2000Nov7.html)
See Also:
FTC DEMANDS NEW CHANGES IN AOL-TIME WARNER MERGER
[SOURCE: Wall Street Journal (A3), AUTHOR: John R. Wilke]
(http://interactive.wsj.com/articles/SB973642148271770321.htm)

--------------------------------------------------------------
What do you say, Florida?

Communications-related Headlines for 11/7/2000

Please remember to vote today. And for those of us in Chicago, remember to
vote early and often.

POLITICAL DISCOURSE/JOURNALISM
Too Early To Call? A Close Race Presents Challenges to the Media (WP)
Anchors, Away: Web Offers Election Data, Minus TV's Filler (WSJ)
Dwindling TV Coverage Fell to New Low (USA)

E-COMMERCE
Internet Experts Dispute Yahoo Claim That Limiting
Access Is Impossible (WSJ)

PRIVACY
Trade Group Challenges Rules on Data Sales (WP)

FCC
Technological Advisory Council (FCC)

POLITICAL DISCOURSE/JOURNALISM

TOO EARLY TO CALL? A CLOSE RACE PRESENTS CHALLENGES TO THE MEDIA
Issue: Journalism
Part of tonight's election suspense will be based not on who wins the
races, but whether and when network anchors will declare the victors. A
declaration of the new president could come as early as 9 or 10 p.m.
Eastern time, angering much of the West, where the polls will still be
open. Or today's election coverage could be a horse race until as late as 1
a.m. tomorrow. Expect hints along the way, however. "One of the things to
look for is the Aesopian language that broadcasters use," says CNN
commentator Jeff Greenfield [see link to his Op-Ed below], author of "The
People's Choice," a novel built around the Electoral College. "If it's
close, it's 'tight as a tick in Granny's corset,' or whatever Dan Rather
says. If it breaks, it's 'looks like it could be a really big night for
George W. Bush'..." California Secretary of State Bill Jones last week
urged news organizations not to project a presidential winner before 11
because it could depress turnout in the West. Control of Congress could
hinge on the outcome of key House and Senate races in the Pacific time zone.
[SOURCE: Washington Post (C01), AUTHOR: Howard Kurtz]
(http://washingtonpost.com/wp-dyn/articles/A27428-2000Nov6.html)
See Also:
WHAT VOTERS KNOW EARLY WON'T HURT
An op-ed in support of television networks making predictions before the
polls close on the West Coast.
[SOURCE: New York Times (A29), AUTHOR: Jeff Greenfield, CNN]
(http://www.nytimes.com/2000/11/07/opinion/07GREE.html)
(requires registration)

ANCHORS, AWAY: WEB OFFERS ELECTION DATA, MINUS TV'S FILLER
Issue: Online Journalism
Instead of watching TV, Internet users can get results of each of today's
election decisions online. Visit such sites as: 1) America Online
(www.aol.com), which has set up a war room to coordinate election coverage,
will offer its members "Results Tracker," a small window they can keep open
to receive news flashes about big races while roaming elsewhere on the
service; 2) Voter.com (www.Voter.com) will spotlight 30 ballot initiatives
around the country in addition to tracking candidate battles; 3) All the TV
networks will post news on their Web sites, but ABC (www.abc.com) is making
a special push to entice viewers to surf while they watch; or 4) if you
tastes run more to fiction, see www.jedbartlet.com. (For an encyclopedic
guide, check out the State Watch section of Elections U.S.A. at
www.geocities.com/CapitolHill/6228).
[SOURCE: Wall Street Journal (B1), AUTHOR: Thomas Weber (tom.weber( at )wsj.com)]
(http://interactive.wsj.com/articles/SB973548918650007912.htm)
(requires subscription)

DWINDLING TV COVERAGE FELL TO NEW LOW
Issue: Journalism
Some observations about TV election coverage. 1) The flagship broadcast
news programs on ABC, CBS and NBC have given us the fewest minutes of
campaign news in their history. 2) The incredible shrinking sound bite has
shrunk some more (now 7 seconds). 3) TV continues to be negative;
two-thirds of news evaluations of Al Gore and George W. Bush have been
negative. 4) "Strategy over substance" more than ever defines TV news: it
is not about who the candidates are or what they stand for, it is just
who's ahead. 5) Network news leadership is passing from evening to morning
programs.
[SOURCE: USAToday (8A), AUTHOR: Generic]
(http://www.usatoday.com/usatonline/20001107/2812886s.htm)

E-COMMERCE

INTERNET EXPERTS DISPUTE YAHOO CLAIM THAT LIMITING ACCESS IS IMPOSSIBLE
Issue: International/E-commerce
Internet experts told a judge that it would be possible to block some French
Web surfers from Yahoo! Inc.'s auction site. Several months ago, two
Paris-based antiracism groups sued Yahoo! of the U.S., angry that French
people had access to more than 1,000 objects of Nazi memorabilia on the site
(auctions.yahoo.com). A Paris judge asked a team of experts to search for
ways to filter French users from the site and all other sites deemed racist.
Yahoo's lawyers have argued that it would be impossible to keep French
people off the site. American Vinton Cerf, one of the Internet's founding
fathers, testified that it would be possible to detect and block 70% of
local surfers who use an easily identifiable French Internet-service
provider, but that it would be impossible to block every racist site from
French users.
[SOURCE: Wall Street Journal (Online), AUTHOR: Associated Press]
(http://interactive.wsj.com/articles/SB973549173716155181.htm)
(requires subscription)

PRIVACY

TRADE GROUP CHALLENGES RULES ON DATA SALES
Issue: Privacy
Several large information agencies, collectively represented by the
Individual Reference Services Group (IRSG), are asking a federal judge to
overturn new privacy regulations that could impede the growth of the market
for people's names, addresses, Social Security numbers and other personal
information. The regulations in question were written by Congress into the
financial services deregulation bill it passed last year. The information
broker groups are concerned that they will not have access to "credit
header" reports - reports that contain personal data that credit bureaus
sell to information brokers, who then resell them to private investigators,
law enforcement authorities, newspaper researchers and others. However, the
reports are increasingly available on the World Wide Web. Concern about the
availability of the reports caused Congress and the Federal Trade Commission
to adopt new rules. The IRSG filed in federal court arguing that the
FTC overstepped its authority in issuing the regulations. The rules are set
to take effect July 1.
[SOURCE: Washington Post (E01), AUTHOR: Robert O'Harrow Jr.]
(http://washingtonpost.com/wp-dyn/articles/A27373-2000Nov6.html)

FCC

TECHNOLOGICAL ADVISORY COUNCIL
Issue:
The FCC is requesting nominations for membership on the Technological
Advisory Council. The Technological Advisory Council, which held its first
meeting on April 7, 1999, was designed to provide a mechanism by which a
diverse array of distinguished technologists can meet and provide "cutting
edge" advice to the FCC on technological innovations that are likely to
affect electronic, optical, and radio communications and related industries.
Nominees and applicants for membership on the Council should have national,
or international, reputations as leading technologists in their areas of
expertise. In the case of nominees or applicants who are affiliated with
private sector companies, nominees will frequently hold the title of Chief
Scientist, or Chief Technology Officer; and in the case of academic and
other research organizations, applicants and nominees will frequently hold
an endowed professorship, or fellowship, or senior management or technical
position within that research or development organization. Individuals may
apply for, or nominate another individual for, membership on the Council.
Each nomination or application must include:
(1) the name and title of the applicant or nominee and a description of the
area, or areas, of expertise possessed by the applicant or nominee; (2) the
applicant's or nominee's mail address, e-mail address (where available),
telephone number, and facsimile number; (3) reasons why the applicant or
nominee should be appointed to the Council; and (4) the basis for
concluding that the applicant or nominee has achieved peer recognition as a
technical expert.
[More at the URL below]
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Engineering_Technology/Public_Notices/2000/da002
490.html)

--------------------------------------------------------------

Communications-related Headlines for 11/6/2000

POLITICAL DISCOURSE
E-Mail Part of the Effort To Turn Out the Voters (NYT)
Soft Money Spending on TV Ads (EPN)
All News, All the Time, Even if There Isn't Any (NYT)

DIGITAL DIVIDE
Dishing Up a New Link to the Internet (WP)
Falling Through the Net, Toward Digital Inclusion (NTIA)

ACCESS TO GOVERNMENT INFO
Intelligence Authorization Act for 2001 (EPIC)

MERGERS
F.T.C. Review Of AOL Deal In Final Stage (NYT)

ECOMMERCE
Internet Service For Apartments Draws Funding From Big Firms (WSJ)

INFO TECH
Spotty Service Irks Cell Phone Users (USA)
Firms Use Net to Alter Devices After They Are Taken Home (WSJ)
Ask Jeeves To Begin Fielding Questions That Are Spoken (WSJ)

POLITICAL DISCOURSE

E-MAIL PART OF THE EFFORT TO TURN OUT THE VOTERS
Issue: Online Activism/Political Discourse
"Last-minute campaigning via the Internet is sort of like an iceberg," said
Phil Noble, president of Politics OnLine, an Internet firm. `'You only see
about 10 percent of what's above the surface. Most of what exists, you
don't see. And that's what's happening with e-mail -- the cost is zero but
the impact is exponential." E-mail has taken its place alongside more
traditional get-out-the-vote media like phone banks, stump speeches and
yard signs. And, for many campaigns, e-mail might be replacing phone calls
as a way to line up volunteers for election day or spreading the word about
last-minute rallies, rebutting attacks, sharing a newspaper endorsement or
helping people to register to vote online. "This is all happening under the
radar screen," said Christopher Hunter, a research fellow at the Annenberg
Public Policy Center at the University of Pennsylvania. "E-mail is becoming
one of the most important tools in campaigning."
[SOURCE: New York Times (C6), AUTHOR: Leslie Wayne]
(http://www.nytimes.com/2000/11/06/technology/06MAIL.html)
(requires registration)
See Also:
CAMPAIGNS USE E-MAIL TO GET OUT VOTE
[SOURCE: USA Today, AUTHOR: Associated press]
(http://www.usatoday.com/life/cyber/tech/cti761.htm)

SOFT MONEY SPENDING ON TV ADS
Issue: Political Discourse
Brennan Center for Justice study finds "soft money" spending on TV ads
continues to dominate both presidential and congressional contests. See
Press Release at (http://www.brennancenter.org/tvads2000.html).
[SOURCE: Electronic Policy Network]
(http://www.epn.org/whatsnew/full_cite/553.html)

ALL NEWS, ALL THE TIME, EVEN IF THERE ISN'T ANY
Issue: Journalism/Political Discourse
The battle ground cable news channels were going all out this last weekend
before the election. Although there was little new stories to cover (Gov
Bush's DUI story did not poll very well), the channels came up with
features like "Weather Effect on Expected Election Turnout."
[SOURCE: New York Times (A20), AUTHOR: Peter Marks]
(http://www.nytimes.com/2000/11/06/politics/06MEDI.html)
(requires registration)

DIGITAL DIVIDE

DISHING UP A NEW LINK TO THE INTERNET
Issue: Satellite Broadband
Today Starband, a satellite concern, is launching nationally a two-way,
satellite-delivered, high-speed Internet delivery service. Having pioneered
their service on remote Indian reservations, the company is set on
establishing satellites as a leading route for high-speed Internet access.
Starband is targeting the nearly 50 million homes, nationally, that do not
have high-speed Internet access either because of a lack of broadband cable
service or they are too remote for DSL connections. The new service will
come up against heavyweight Hughes' DirectTV system, which is set to also
become a two-way satellite service by year's end.
[SOURCE: Washington Post (A01), AUTHOR: Peter S. Goodman]
(http://washingtonpost.com/wp-dyn/articles/A20175-2000Nov5.html)

FALLING THROUGH THE NET, TOWARD DIGITAL INCLUSION
Issue: Digital Divide
Now available online in HTML format. The report measures the extent of
digital inclusion by looking at households and individuals that have a
computer and an Internet connection.
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/digitaldivide/)

ACCESS TO GOVERNMENT INFO

INTELLIGENCE AUTHORIZATION ACT FOR 2001
Issue: Access to Government Info
President Clinton vetoed act that would criminalize leaking of government
secrets. President says legislation might "chill legitimate activities that
are at the heart of a democracy." See the President's statement at
(http://www.whitehouse.gov/library/hot_releases/November_4_2000.html)
[SOURCE: Electronic Privacy Information Center]
(http://www.epic.org/)

MERGERS

F.T.C. REVIEW OF AOL DEAL IN FINAL STAGE
Issue: Mergers
The proposed merger of AOL, the world's largest Internet company, and Time
Warner, the nation's largest media and entertainment conglomerate, has
forced regulators to confront a thicket of issues involving the convergence
of new and old technologies; the sweeping consolidation of the
telecommunications industry and the emergence of a new medium --
interactive television -- which holds the promise of transforming the news
and entertainment businesses. The decisions made by the Federal Trade
Commission and the Federal Communications Commission in the next couple of
weeks could set the government's competition policies for the largest
Internet and telecommunications players for years to come. "The policy
decisions in this case are every bit as significant as the Microsoft case,
if not more so," said Gene Kimmelman, co-director of the Washington office
of Consumers Union. "High-speed Internet will be the information and
entertainment highway of the future. Eliminating the competitive dangers of
AOL TV dominance and the threat of discriminating practices is as important
as the consequences of Microsoft." [See more at the URL below]
[SOURCE: New York Times (C1), AUTHOR: Stephen Labaton]
(http://www.nytimes.com/2000/11/06/technology/06AOL.html)
(requires registration)
See Also
U.S. MOVES TOWARD A DEAL WITH AOL, TIME WARNER FOR LIMITED OPEN ACCESS
[SOURCE: Wall Street Journal (A3), AUTHOR: John R. Wilke]
(http://interactive.wsj.com/articles/SB973462260885742486.htm)
(requires subscription)

ECOMMERCE

INTERNET SERVICE FOR APARTMENTS DRAWS FUNDING FROM BIG FIRMS
Issue: Ecommerce
Seven of the nation's largest apartment owners are turning to the Web to
increase their marketing efforts to secure tenants. The group is expected to
announce as early as Monday that it is leading an investment totaling $17.3
million in Viva Group Inc., an Internet-based apartment-leasing service. At
its viva.com site, prospective tenants can pinpoint exactly what type of
apartment they want in a particular neighborhood and price range, and then
receive responses from landlords with offers of vacant properties. The
apartment owners have been using Viva since its launch in the spring. The
system differs from other Web-based listing sites in that it lets tenants
communicate directly with the leasing agents of apartment complexes, rather
than searching an inventory of listings posted to the Web site. Viva Group
makes money by collecting from the property owner a fee equal to 25%
to 32% of the first month's rent. Viva is substantially cheaper than more
traditional apartment locator or brokerage services, which charge as much as
200% of the first month's rent.
[SOURCE: Wall Street Journal (B14), AUTHOR: Motoko Rich]
(http://interactive.wsj.com/articles/SB973465830723098564.htm)

INFO TECH

SPOTTY SERVICE IRKS CELL PHONE USERS
Issue: Wireless /Consumer Issues
Last year, the Federal Communications Commission registered nearly 8,000
telephone inquiries about wireless service, and it has told Congress it
expects that number to double this year. The industry's success in signing
up new subscribers -- and getting them to use their phones more frequently
-- is causing the difficulties. Nearly a third of 3,000 mobile phone users
surveyed recently by the Yankee Group consulting firm say they often or
very often experience poor service. A few dissatisfied customers have even
sued their phone companies, and at least one subscriber was awarded more
than $1,000 by a judge in small claims court. Read more about the problems
with wireless -- and what consumers are doing about it -- at the URL below.
[SOURCE: USA Today, AUTHOR: Salina Khan]
(http://www.usatoday.com/life/cyber/tech/cti765.htm)

FIRMS USE NET TO ALTER DEVICES AFTER THEY ARE TAKEN HOME
Issue: InfoTech
While watching ReplayTV, a $500 "personal video recorder", a few weeks ago,
Donald Youngner found ads on his television instead of the video recording
he wanted to see. The reason was his home television system, now connected
to ReplyTV, had been 'tweaked' in the middle of the night. ReplayTV
engineers, through the telephone line that connects the system to the Net
had installed a software "upgrade" that caused promotional messages to appear
where they had never been before. "It's a different machine now," says Mr.
Youngner. Phones, TV sets, even cars contain software, and as they become
connected to the Net, it is more and more likely that they will undergo
software upgrades on the fly without the owner's awareness. While this
capability promises great conveniences, it also brings up questions of
consumer's ability to choose. While ReplayTV's most recent upgrade added
consumer-friendly features, such as the ability to program the device
remotely via the Net, what would happen if the service eliminated the Quick
Skip commercial-skip button on the next upgrade. "It's impossible to say we
will never do something or we will always do something," says Jim
Hollingsworth, a ReplayTV senior vice president, who adds that the company
surveyed users before introducing the pause-screen ads.
[SOURCE: Wall Street Journal, AUTHOR: THOMAS E. WEBER]
(http://interactive.wsj.com/articles/SB973463700515518082.htm)
[Requires Registration]

ASK JEEVES TO BEGIN FIELDING QUESTIONS THAT ARE SPOKEN
Issue: InfoTech
AskJeeves, a company known for answering typed-in questions, plans to
begin fielding spoken ones with help from Nuance Communications and
General Magic. The three companies Monday will announce an alliance to
help corporations make Web-based information available to callers over the
telephone. They are developing technology that responds to complete spoken
sentences rather than single-word commands or requiring users to navigate
among information options using the telephone keypad. If it works as
expected, the system could help reduce the need for human operators for
customer service, e-commerce and other tasks that require call centers, a
major expense for companies world-wide. One research firm, International
Data Corp., estimates that companies spent $23 billion on call-center
services in 1998 and will spend $58.6 billion in 2003. "This is such a huge
expense," said Rob Wrubel, AskJeeves's chief executive. "It's a clear
opportunity for us."
[SOURCE: Wall Street Journal (B14), AUTHOR: Don Clark]
(http://interactive.wsj.com/articles/SB973463641664925109.htm)

--------------------------------------------------------------

Communications-related Headlines for 11/3/2000

DIGITAL DIVIDE
Bill Gates Turns Skeptical On Digital Solution's Scope (NYT)
GM, DaimlerChrysler Workers Get AOL Deal (WP)
Valley Leaders Focus On Narrowing Digital Divide (SJM)

LIBRARIES
As Publishers Perish, Libraries Feel the Pain (NYT)
Copyright Office Issues Unusual Rule (CyberTimes)

ACCESS TO GOV INFO
Washington's Official Secrets Act (NYT)

POLITICAL DISCOURSE
Local Stations Are Winning Big In This Year's
Presidential Race (WSJ)
The Ad Campaign: Commercial Attacking Bush Is Most Hostile
of Campaign (NYT)
New Media Pique Women's Political Interest (WP)

MERGERS
Merger Puts AOL's Methods on Trial (WP)
Viacom Considers Paying An Unusually High Price For BET (USA)

ECOMMERCE
Survey Says Online Fraud Is Increasing As More Merchants
Take Steps to Fight It (WSJ)

ONLINE HEALTH
Web Health Groups Try to Set Standards (WSJ)

DIGITAL DIVIDE

BILL GATES TURNS SKEPTICAL ON DIGITAL SOLUTION'S SCOPE
Issue: Digital Divide
Microsoft's Bill Gates is taking his own industry to task for having too
much faith in digital solutions to the planet's worst ills. The premise at
a recent conference, "Creating Digital Dividends," was that "market
drivers" could be used "to bring the benefits of connectivity and
participation in the e-economy to all of the world's six billion people."
Gates would have none of it: "I mean, do people have a clear view of what
it means to live on $1 a day? There's no electricity in that house. None."
When a moderator brought up solar power, Mr. Gates shot back, "No! You
can't afford a solar power system for less than $1 a day." And, "You're
just buying food, you're trying to stay alive....The mothers are going to
walk right up to that computer and say, My children are dying, what can you
do? They're not going to sit there and like, browse eBay or something. What
they want is for their children to live. They don't want their children's
growth to be stunted. Do you really have to put in computers to figure that
out?" Read more about what the world's richest Luddite is thinking at the
URL below.
[SOURCE: New York Times (A1/A18), AUTHOR: Sam Howe Verhovek]
(http://www.nytimes.com/2000/11/03/technology/03GATE.html)
(requires registration)

GM, DAIMLERCHRYSLER WORKERS GET AOL DEAL
Issue: Jobs/Digital Divide
General Motors and DaimlerChrysler yesterday signed an agreement with
America Online to provide cut-rate Internet services to all of their
U.S. employees. The deal was also signed by the United Auto
Workers union. GM and DaimlerChrysler are following the lead of Ford in
sponsoring the use of communications technology for employees. The UAW was
involved in the Ford deal as well. Ford announced plans to subsidize the
cost of personal computers and Internet services for about 200,000 employees
in the United States. The GM-DaimlerChrysler agreement does not provide
computers, but it does offer reduced costs for other equipment, such as
single-set boxes to be used in conjunction with AOL's AOLTV interactive
television service and GM's DirecTV satellite-dish service. The deal will
reach 217,000 GM employees and 100,000 DaimlerChrysler workers. The
employees will be eligible for $3/month AOL access. Optional services
include AOLTV, plus a Philips receiver, at $5 a month, or a combination of
AOLTV and DirecTV, plus a single-set box, at $31.95 a month.
[Source: Washington Post (E05), Author: Terence Chea]
(http://washingtonpost.com/wp-dyn/articles/A4331-2000Nov2.html)
See Also:
TECHIES PREFERRED PERK: FREE PCs
[SOURCE: Washington Post (E03), AUTHOR: Carrie Johnson]
(http://washingtonpost.com/wp-dyn/articles/A2800-2000Nov2.html)

VALLEY LEADERS FOCUS ON NARROWING DIGITAL DIVIDE
Issue: Digital Divide
Seeking to narrow the technology gap between the haves and have-nots, a
group of Silicon Valley leaders Thursday launched a collaborative effort to
seek ways to improve student achievement and enhance teacher training. The
forum, "Mission Critical: Closing the Achievement Gap," was the first of a
three-part initiative by Joint Venture to enlist the public and private
sectors to help expand computer access for Latino and African-American
youth. Forum organizers hope that by providing better educational
opportunities today, local students will later join a "homegrown" high-tech
workforce. Keynote speaker Linda Darling-Hammond, a Stanford University
professor, urged education leaders to consider improving student learning by
boosting teacher salaries, offering more training opportunities and
providing better equity to assist pupils on the lower end of the
socioeconomic scale. The United States, she said, "spends 10 times more
money on the education of the top 10 percent -- the wealthiest 10 percent
-- than it does on the education of the bottom 10 percent."
[SOURCE: San Jose Mercury News, AUTHOR: Edwin Garcia]
(http://www0.mercurycenter.com/svtech/news/front/docs/divide110300.htm)

LIBRARIES

AS PUBLISHERS PERISH, LIBRARIES FEEL THE PAIN
Issue: Libraries
The average price of scholarly journals has more than tripled in the last
14 years. These escalating costs are causing librarians to cancel
subscriptions and buy fewer new books. In turn, this has diminished the
market for books of all kinds, frustrating professors desperate to publish.
The higher prices are blamed on consolidation of the publishing industry.
Until the 1960's, scores of smaller companies and nonprofit organizations
published the vast majority of journals. Since then, a handful of companies
led by Reed Elsevier have acquired the bulk of them and have aggressively
raised subscription prices. Now Reed Elsevier is trying to purchase the
textbook business and roughly 500 journals owned by the publisher Harcourt
General. Librarians warn that the deal will only result in higher prices of
journals. [Much more at the URL below]
[SOURCE: New York Times (C1), AUTHOR: David Kirkpatrick]
(http://www.nytimes.com/2000/11/03/business/03PUBL.html)
(requires registration)

COPYRIGHT OFFICE ISSUES UNUSUAL RULE
Issue: Intellectual Property
The Copyright Office has ruled that the Digital Millennium Copyright Act of
1998 permits people in certain circumstances to break through the
technological barriers that safeguard lists of blocked Web sites maintained
by many types of filtering software, allowing critics to hack their way
past encryption schemes to get their hands on the so-called blacklist of
banned sites. The ruling appears to be the federal government's first
blessing of hacking -- and will further the public debate about the use and
value of blocking software. "We are pleased by the decision," said Chris
Hansen, a lawyer specializing in Internet issues with the American Civil
Liberties Union. "We've always believed that one of the principal flaws [of
filtering software] is the secrecy of the list of banned sites." Congress
is poised to pass laws requiring the use of filtering programs in public
schools and libraries.
[SOURCE: CyberTimes, AUTHOR: Carl S. Kaplan (kaplanc( at )nytimes.com)]
(http://www.nytimes.com/2000/11/03/technology/03CYBERLAW.html)
(requires registration)
See Also:
HACKER DEFACES PRO-ISRAEL WEB SITE AS THE MIDEAST CONFLICT EXPANDS
INTO CYBERSPACE
[SOURCE: New York Times (A17), AUTHOR: John Schwartz]
(http://www.nytimes.com/2000/11/03/technology/03HACK.html)
(requires registration)
HACKER VIOLATES SITE OF PRO-ISRAEL GROUP, EXPOSING PERSONAL DATA OF ITS
MEMBERS
[SOURCE: Wall Street Journal (A6), AUTHOR: Ted Bridis]
(http://interactive.wsj.com/articles/SB973213446824129688.htm)
(Requires subscription)

ACCESS TO GOV INFO

WASHINGTON'S OFFICIAL SECRETS ACT
Issue: Access to Gov Info/Journalism
[Editorial] "If President Clinton signs a bill that would make it a felony
for government officials to disclose any kind of classified information,
the American people should no longer expect to hear much about Washington's
foreign policy failures and intelligence lapses, or even to learn the
details of arms control treaties." So begins this editorial against
provisions of the Intelligence Authorization Act of 2001. The impulse that
led to the legislation -- protecting the secrecy of sensitive intelligence
gathering systems -- is understandable, the Times concedes, but the
resulting bill goes beyond any reasonable effort to protect secrets. "The
case against the bill rests on the core principles of a democratic society.
Press freedom is part of a constitutional system that insures that the
government cannot stifle debate." [See more about the White House's
decision at the second URL below]
[SOURCE: New York Times (A30), AUTHOR: NYT Editorial Staff]
(http://www.nytimes.com/2000/11/03/opinion/03FRI3.html)
(requires registration)
See Also:
WHITE HOUSE DEBATES BILL MEANT TO STOP LEAKS
[SOURCE: New York Times (A27), AUTHOR: Marc Lacey]
(http://www.nytimes.com/2000/11/03/politics/03SECR.html)
(requires registration)

POLITICAL DISCOURSE

LOCAL STATIONS ARE WINNING BIG IN THIS YEAR'S PRESIDENTIAL RACE
Issue: Political Discourse
As the presidential race nears the finishing line, a winner has already
emerged: local TV stations. Local broadcasters are reaping the bounty from
the most expensive election cycle in history. Armed with unrestricted "soft
money," political parties and special-interest groups have joined
presidential candidates and others in an $850 million TV-ad battle to woo
narrowly targeted groups of voters. Industry executives say ad rates in the
battleground states and in hotly contested markets like Philadelphia and New
York are as much as three times the normal fees. "There's very little
available" for advertisers who want to run spots on NBC before Election Day,
says Mr. Frank Comerford, executive vice president of sales for NBC
Television Stations, the local stations owned and operated by General
Electric Co.'s NBC unit. The story is the same at CBS. "Our stations are
filled to the gills," says Greg Schaefer, vice president of sales at CBS
Paramount Television Stations, a unit of Viacom. The slot crunch and what's
seen as decreasing election coverage by broadcasters has alarmed federal
regulators. "The cost of campaign advertising on television continues to
spiral upward," says Federal Communications Commission Chairman William
Kennard. He has called for a government mandate requiring broadcasters to
provide candidates with free air time. Local broadcasters have always
received most of the political ad revenue because of the number of
candidates running for congressional and local posts. But this year, record
soft-money spending by the Republican and Democratic parties, plus spending
by special-interest groups like the Sierra Club and Citizens for Better
Medicare, has greatly boosted the stations' take. It used to be that the
majority of money was spent on news and prime time," says Kirk Black,
general manager of WNEM, a CBS affiliate that serves the Flint-Saginaw
market. "Now they're spending money everywhere, from Martha Stewart to
Divorce Court to the afternoon soaps to college football."
[SOURCE: Wall Street Journal (B1), AUTHOR: Kathy Chen]
(http://interactive.wsj.com/articles/SB973212918361750332.htm)
(requires subscription)

THE AD CAMPAIGN: COMMERCIAL ATTACKING BUSH IS MOST HOSTILE OF CAMPAIGN
Issue: Political Discourse
In the latest of this season's attack ads created by and targeted at the
major party candidates, the Gore campaign released a new TV spot yesterday
that questions whether Gov Bush has what it takes to be president. After
questioning Bush's record in Texas, the ad asks, "Is he ready to lead
America?" Marks scores the ad: No close watcher of campaign advertising
will be particularly surprised that things are heating up as the tight
contest enters its final weekend. Only two days ago, the Bush campaign
issued its toughest spot, a swipe at Mr. Gore's reputation for embellishing
his experiences and achievements. The Gore campaign's response, in essence,
is that Mr. Bush is short on achievement. The most original visual element
is the inclusion of the expensive home and car, images that tie in with Mr.
Gore's recent accusation that Mr. Bush's tax cut was "class warfare on
behalf of billionaires." But while the Bush spot was playfully nasty, the
new Gore spot is intense and harsh, and seems intent on unnerving voters.
[Read about Gore's endgame strategy at the second URL below.]
[SOURCE: New York Times (A22), AUTHOR: Peter Marks]
(http://www.nytimes.com/2000/11/03/politics/03ADBO.html)
(requires registration)
IN STRATEGY SHIFT, GORE ADS QUESTION BUSH'S CAPABILITY
[SOURCE: New York Times (A1), AUTHOR: Kevin Sack]
(http://www.nytimes.com/2000/11/03/politics/03GORE.html)
(requires registration)

NEW MEDIA PIQUE WOMEN'S POLITICAL INTEREST
Issue: Political Discourse
Television programming of a political nature directed at women is more
prevalent than ever before. Between cable and the Internet, politicians have
been able to target female voters through special Web sites and cable
networks, such as Lifetime Television. The impact, at this point, is
anybody's guess, but women voters visiting Internet sites are getting
enormous amounts of information on where candidates -- from presidential to
local -- stand on issues. iVillage.com features a candidate match in which
visitors can list their top issues and find out which candidates agree with
their positions. iVillage also hosts "town meetings" which have had more
than 8 million virtual attendants per month hosted by the site, which is
visited more than 8 million times a month. "We've had questions from real
women, not from the pundits," says iVillage co-founder Nancy Evans. "Over
time, this has got to change the way candidates talk." Tobby Graff, a
spokeswoman for Lifetime, agreed with Evans about the questions women asked.
"They were very, very specific." American Online has also seen large amounts
of traffic on its political sites. An AOL spokesperson estimates that 51
percent of the traffic to AOL's political sites have been women.
[SOURCE: Washington Post (C11), Author: Judy Mann]
(http://washingtonpost.com/wp-dyn/articles/A5060-2000Nov3.html)

MERGERS

MERGER PUTS AOL'S METHODS ON TRIAL
Issue: Mergers
The pending merger between America Online and Time Warner has drawn a
review of their business practices. Many opponents of the merger and
competitors think the two companies are too aggressive and already wield
too much market power. For example, Confidential company documents obtained
by The Washington Post show how Time Warner has demanded big chunks of
revenue and control from potential business partners, while AOL has imposed
contractual conditions on companies that punish them if they don't favor
AOL's Web content. "It's always alarming when you see such a large company
that thinks it can hoodwink the government and the public," said Margaret
Heffernan, chief executive of iCast Corp., an online entertainment company
that has fought unsuccessfully to strike a business deal with AOL. In a
matter of days or weeks, the Federal Trade Commission and the Federal
Communications Commission will be determining when companies cross the line
from playing hardball to engaging in foul play -- and at what point a
company becomes too powerful. See what AOL's and TW's critics and
supporters have to say at the URL below.
[SOURCE: Washington Post (E01), AUTHOR: Alec Klein]
(http://washingtonpost.com/wp-dyn/articles/A2542-2000Nov2.html)
See Also
AOL ROLLS OUT INTERACTIVE TV WITH LINKS TO TIME WARNER
[SOURCE: Wall Street Journal (B1), AUTHOR: Jared Sandberg]
(http://interactive.wsj.com/articles/SB973212556297344383.htm)
(requires subscription)

VIACOM CONSIDERS PAYING AN UNUSUALLY HIGH PRICE FOR BET
Issue: Mergers
Viacom is closing in on a $3 billion deal to buy privately held BET, which
targets African-Americans. While BET reaches 61 million cable and satellite
subscribers, Viacom is willing to pay an unusually high price, particularly
given BET's low ratings. It typically attracted about 185,000 viewers last
month, making it the No. 25 service. Viacom would be paying about $49/home
reached. The price also comes to about 24 times BET's expected cash flow of
$124 million for 2001. Yet Viacom would find it hard to pass up a chance to
buy an established network. The deal also could open synergy and
cross-promotion opportunities between BET and Viacom's other networks, such
as UPN. "African-Americans represent 12% of the population and buy 25% of
all movie tickets and 25% of premium cable services. Yet they're highly
underserved, particularly by television," says Dennis Brownlee, CEO of New
Urban Entertainment Television
[SOURCE: USAToday (9B), AUTHOR: David Lieberman]
(http://www.usatoday.com/usatonline/20001103/2806757s.htm)
See Also:
VIACOM AGREES TO BUY BET HOLDINGS IN A STOCK DEAL WORTH $2.5 BILLION
Late breaking news: Earlier today, Viacom agreed to acquire privately held
BET Holdings Inc. for $2.5 billion in Viacom Class B common shares and
assume $500 million in debt.
[SOURCE: Wall Street Journal]
(http://interactive.wsj.com/articles/SB973253746529835756.htm)
(requires subscription)

ECOMMERCE

SURVEY SAYS ONLINE FRAUD IS INCREASING AS MORE MERCHANTS TAKE STEPS TO FIGHT
IT
Issue: Ecommerce
A new survey to be released Friday says that fraud is a growing problem with
doing business online, and a growing number of businesses are taking steps
to counter illegal transactions. Eighty-three percent of the merchants who
sell goods online say fraud is a problem, up from 75% who said so a year ago
according to a survey jointly conducted by CyberSource Corp, a vendor of
software for online transactions, and Mindwave Research, an online research
company. The survey also found that online purchases amount to 5% of all
credit-card transactions, but amount to 50% of all fraud involving cards.
The surveyors said that fraud rates, though growing, might soon peak. On
average, the companies surveyed estimated that they lose 4% of their overall
online revenue to credit-card fraud. That number is down from 5% a year
earlier. A majority of corporations, 61%, said they are taking more
precautions against fraud. Visa USA, for example, announced this week a
payer authentication service that will allow merchants to verify the user of
the card during the checkout process. Cardholders who aren't able to proffer
a preregistered password during the checkout process won't be able to
complete the purchase.
[SOURCE: Wall Street Journal (A2), AUTHOR: Jathon Sapsford]
(http://interactive.wsj.com/articles/SB97321100754533573.htm)
(requires subscription)

ONLINE HEALTH

WEB HEALTH GROUPS TRY TO SET STANDARDS
Issue: Online Health
More than 70 million consumers are using the Internet to search for health
data, but there is little in place now to help them sort the bogus news from
important information, or to protect any personal details they may submit to
sites. The E-Health Industry is attempting to set ethics standards that will
help them evaluate the deluge of medical information on the Web. Several
organizations now want to set up a system to review health sites to make
sure they meet some basic criteria for reliability. One group, Hi-Ethics, a
coalition of 20 big commercial health sites, says it expects to announce an
agreement this month with another nonprofit organization to provide a "seal
of approval" for Web sites. The American Accreditation Health Care
Commission which deals with managed-care groups, is drafting
an accreditation program for health-care Web sites. Even the World Health
Organization has applied to a nonprofit group that authorizes Internet
domain names to create a dot-health moniker for sites that adhere to the
WHO's standards. The big question is whether these groups can ever reach a
consensus. The Internet Health Coalition has scheduled a second summit
meeting for next month, and is working with a broader industry advisory
group to draft a set of health Web site accreditation standards. Among the
criteria considered: candor, honesty, quality, informed consent regarding
the use of personal data, protection of privacy, informing patients of the
limitations of online health care and accountability. "Health on the
Internet has been like a great sprawling frontier town, and what's gathering
steam is an effort to construct a safe neighborhood with law-abiding
citizens and businesses you can trust," says Tim Nater, executive director
of the Geneva-based Health on the Net Foundation, a nonprofit medical portal
that promotes ethical standards on the Web.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Laura Landro]
(http://interactive.wsj.com/articles/SB973207849522388150.htm)
(requires subscription)

--------------------------------------------------------------
...and we are outta here. Have a great weekend, leaves and all.

Communications-related Headlines for 11/2/2000

EDTECH
Free Computers for Schools: An Offer Too Good to Last (NYT)

JOBS
Entertainment Web Company Expects Job Cuts (NYT)
'Watermarks' on Music Files Tested (WP)

INTELLECTUAL PROPERTY
The Napster Deal (NYT)

POLITICAL DISCOURSE
The Ad Campaign: Emotional Appeal Urges Blacks to Vote (NYT)

JOURNALISM
In Close Race, Newspapers Face Election-Night Scramble (WSJ)
Tribune and Knight Ridder Plan Joint Venture (NYT)

OWNERSHIP
Disbelief in the Air at BET (WP)

WIRELESS
Appeals Court Rulings Question FCC's Next Move on NextWave (WSJ)

EDTECH

FREE COMPUTERS FOR SCHOOLS: AN OFFER TOO GOOD TO LAST
Issue: EdTech
ZapMe is getting out of the free computer business. Schools around the
country are getting notices that equipment they thought would be delivered
free of charge (in return to exposing kids to advertising) will now come
will a bill. ZapMe says it has given millions of students access to the
Internet in 2,000 schools nationwide; a total of 15,000 had signed up for
the service. But now the company is refocusing on selling its technologies
for high-speed Internet access and services via satellite to business. It
says, meanwhile, that it is trying to find ways to keep the school network
alive without forcing the schools to pay. "We are exploring many
opportunities," said the company's founder and chief executive, Lance
Mortensen, "including -- but not limited to -- partnerships, the outright
sale of the network, joint ventures and alternative options to schools that
would allow them to keep the labs, which means, obviously, for pay."
[SOURCE: New York Times (A1), AUTHOR: John Schwartz]
(http://www.nytimes.com/2000/11/02/technology/02COMP.html)
(requires registration)

JOBS

ENTERTAINMENT WEB COMPANY EXPECTS JOB CUTS
Issue: Jobs
Urban Box Office Network, one of the largest Internet companies specializing
in hip-hop and Latino entertainment, may be the latest Internet casualty.
The company has announced plans to lay off between 70 percent and all of its
300 employees by tomorrow, said Adam Kidron, the chief executive of the
network. While there are several so-called urban entertainment sites on the
Internet, the Urban Box Office Network had planned a wide array of original
content, including situation comedies, dramatic series, talk shows and
animation. Aside from the loss of jobs, the collapse of the company will be
a setback for economic development efforts in Harlem, where it had planned a
$12 million building renovation.
[SOURCE: New York Times (A29), AUTHOR: Terry Pristin]
(http://www.nytimes.com/2000/11/02/technology/02STAR.html)
(requires registration)

INTELLECTUAL PROPERTY

THE NAPSTER DEAL
Issue: Intellectual Property
[Editorial] While deal between Napster, the 18-month-old upstart music site,
and Bertelsmann, the giant media conglomerate, may not please the 40 million
Napster users, the New York Times believes the deal will ultimately benefit
consumers. Five major recording companies sued Napster for permitted users
to copy each other's music CD's over the Internet without charge. Under the
deal, Bertelsmann will provide money for Napster to devise a way to charge
a fee for its service, part of which will be turned over to the recording
companies as royalties. The editorial contends that the Napster/Bertelsmann
agreement balances the need to support copyright holders while leaving room
for technological development.
[SOURCE: New York Times (A30), AUTHOR: NYT Editorial Staff]
(http://www.nytimes.com/2000/11/02/opinion/02THU1.html)
(requires registration)
See Also:
WEB COMPANY WILL SELL ASSETS TO SETTLE SUIT ON MUSIC FILES
[SOURCE: New York Times (C1), AUTHOR: Matt Richtel]
(http://www.nytimes.com/2000/11/02/business/02SCOU.html)

'WATERMARKS' ON MUSIC FILES TESTED
Issue: Intellectual Property
A coalition of software and recording industry executives recently announced
that a way to embed a digital watermark onto music files has been developed to
prevent people from copying the files over the Internet. Members of the Secure
Digital Music Initiative (SDMI) are so confidant in the progress that they
have offered a $10,000 reward to anyone who could defeat the technology. A
team of researchers from Princeton University, Rice University and Xerox
Palo Alto Research Center have declared their own victory in hacking
through the software. Edward Felten, an associate professor of computer
science at Princeton and his team cracked the code as part of a three week
"Hack SDMI" contest sponsored by SDMI. No other group or individual has
claimed success. The SDMI committee evaluating the hacks will not release
results until next week. To be considered successful, SDMI requires that
the hack must effectively remove the digital watermark and pass a
listenability test. The hacked file must have the same or better quality
sound as a typical MP3
file.
[SOURCE: Washington Post (E01), AUTHOR: Mike Musgrove]
(http://washingtonpost.com/wp-dyn/articles/A58605-2000Nov1.html)

POLITICAL DISCOURSE

THE AD CAMPAIGN: EMOTIONAL APPEAL URGES BLACKS TO VOTE
Issue: Political Discourse
The NAACP began a $2 million advertising campaign last week intended to
urge African-Americans to vote. A TV ad features the daughter of James Byrd
Jr, the Texas man who was chained to a truck and dragged to his death.
Broder scored the ad: The NAACP, and dozens of other independent groups
from all parts of the political spectrum, is pulling out the stops in the
final days of the campaign to ensure that like- minded citizens vote. This
advertisement is designed to motivate African-American citizens to vote by
reminding them that some Republican politicians, including Governor Bush,
have blocked hate crimes laws at the state and federal level.
[SOURCE: New York Times (A20), AUTHOR: John Broder]
(http://www.nytimes.com/2000/11/02/politics/02ADBO.html)
(requires registration)
See Also:
ENTERTAINERS JOIN GROUPS IN AD EFFORT TO LIFT GORE
[SOURCE: New York Times (A20), AUTHOR: Peter Marks]
(http://www.nytimes.com/2000/11/02/politics/02ADS.html)
(requires registration)
AN AD AND SEVERAL MAILINGS CREATE PROBLEMS FOR LAZIO
[SOURCE: New York Times (A27), AUTHOR: Murphey & Nagourney]
(http://www.nytimes.com/pages/nyregion/index.html)
(requires registration)

JOURNALISM

IN CLOSE RACE, NEWSPAPERS FACE ELECTION-NIGHT SCRAMBLE
Issue: Journalism
Who's going to lose on Election Day next Tuesday? Newspapers. If the
race remains so close all evening that it comes down to the last votes
counted in California, the moment of truth could come after 1 a.m. Eastern
time on Wednesday -- past the late deadlines of many East Coast newspapers.
Some of the medium's largest players -- the New York Times, the Washington
Post, USA Today, and The Wall Street Journal -- can't guarantee that their
Wednesday editions will introduce the new president. A "Too Close to Call"
headline the morning after Election Day would be a major embarrassment,
irrelevant almost as soon as it is printed. "If the reader says, 'Gee, they
can't even tell me the outcome,' then there's going to be far less interest
in being faithful to that newspaper" in the future, says James Naughton,
president of the Poynter Institute for Media Studies in St. Petersburg, Fla.
Less than a week before Election Day, the race between Al Gore and George
Bush appears so close that it may well hinge on California, which has 54
electoral votes -- more than any other state. To prepare for that scenario,
newspapers in the central and eastern time zones plan to push back deadlines
and production on Election Night. Nobody wants to make the call in a close
contest based on inconclusive results and repeat one of the biggest
journalism gaffes of all time, "Dewey Defeats Truman," the infamous headline
the Chicago Tribune's predecessor, the Chicago Daily Tribune, printed the
day after Election Day in 1948.
[SOURCE: Wall Street Journal (B1), AUTHOR: Patricia Callahan]
(http://interactive.wsj.com/articles/SB973122964593902238.htm)
(requires subscription)

TRIBUNE AND KNIGHT RIDDER PLAN JOINT VENTURE
Issue: Journalism
The nation's second-and third-largest newspaper companies are teaming up to
create what they hope will be a world leader in digital content management
and distribution. Tribune Media Services, a unit of the Tribune Company,
and Knight Ridder will combine Tribune Media's online content delivery
agency, NewsCom, with Knight Ridder's online photographic delivery agency,
PressLink. "We plan to use this platform and our combined editorial and
technology capabilities to develop new and better products and services for
the media industry," said Maryann Grau, NewsCom's president and the
executive named to lead the new organization. Both companies already
provide Web-based access to a broad range of news and feature photos,
informational graphics, text and other editorial products. Combined, they
distribute content from more than 50 providers to more than 8,000 media
customers worldwide, with NewsCom largely serving international clients
while PressLink serves mostly domestic customers.
[SOURCE: New York Times (C4), AUTHOR: Associated Press]
(http://www.nytimes.com/2000/11/02/business/02ONLI.html)
(requires registration)

OWNERSHIP

DISBELIEF IN THE AIR AT BET
Issue: Mergers/Ownership
Many employees learned of the possibility of BET being sold to Viacom in an
e-mail from President Debra L. Lee, who told them the company had no comment
on the report. Outsiders say the impact of such a deal, estimated at over
$3 billion, would reach far beyond their 400 full time employees. A sale
would end Robert Johnson's twenty year quest to build an independent media
empire aimed at African Americans. It could however, give Johnson the
financial muscle to push through his latest venture: DC Air. Johnson could
make about $2 billion from the deal. Johnson has received criticism
in the African American community regarding BET's programming which is heavy
on music videos, recycled sitcoms and movies. "This kind of consolidation
is undermining diversity throughout the communications industry," said James
L. Winston, executive director of the Washington-based National Association
of Black Owned Broadcasters. "We see it in radio station and TV station
ownership, where a small number of companies are consolidating ownership
across the country... And we have always had only one independent African
American voice in the cable industry, and it sounds like we may be about to
lose that as well. So that would be a very, very unfortunate development."
On the other hand, any such deal with Viacom could open up a new range of
possibilities for black artists as a whole to make an impact on television,
said actor and director Tim Reid, who has worked with both Johnson and
Viacom over the years.
[SOURCE: Washington POST (E01), AUTHOR: Schneider & Schafer]
(http://washingtonpost.com/wp-dyn/articles/A60697-2000Nov1.html)
See Also:
BET IS NEAR SALE TO VIACOM
Issue: Media Ownership
[SOURCE: Washington Post (A01), AUTHOR: Christopher Stern]
{http://washingtonpost.com/wp-dyn/articles/A58607-2000Nov1.html}

WIRELESS

APPEALS COURT RULINGS QUESTION FCC'S NEXT MOVE ON NEXTWAVE
Issue: Wireless
Two strikingly different opinions in federal appeals-court cases raise
questions concerning the Federal Communications Commission's move to
auction off
wireless licenses once held by NextWave Telecom of New York. Can the FCC,
having auctioned off valuable wireless-communications licenses to a company
that then filed for bankruptcy protection, take the licenses back and
re-auction them to another company? How the legal situation shakes out
will answer the question of whether federal agencies can be considered
licensors -- entitled to take back licenses won by companies such as
NextWave that might struggle to pay for them - rather than creditors, which
would allow companies in NextWave's situation to keep and possibly sell the
licenses like any other asset. The licenses once held by NextWave are among
the most prized in the industry and further delay affects potential buyers
such as Nextel Communications, as well as equipment makers who would help
build the spectrum. For its part, NextWave has offered to pay the full price
and has received backing from Global Crossing Ltd., AT&T's Liberty Media
Group and Texas Pacific Group. The FCC has rejected NextWave's offer,
arguing that NextWave violated terms of the original auction and therefore
shouldn't be allowed to obtain the licenses.
[SOURCE: Wall Street Journal (Interactive), AUTHOR: Steven Lipin]
(http://interactive.wsj.com/articles/SB973117082554851982.htm)
(Requires subscription)

--------------------------------------------------------------

Communications-related Headlines for 11/1/2000

POLITICAL DISCOURSE
Air Time Is at Premium As Election Draws Near (NYT)
The Ad Campaign: Focusing on Gore Hyperbole (NYT)

ACCESS TO GOVERNMENT INFO
News Organizations Ask White House to Veto
Secrecy Measure (NYT)

INTERNET
High-Speed Internet Services (FCC)
Dawn of Public Libraries-Internet Partnership (ULC)

EDTECH
San Diego Charter School a Model for Technology Leaders (CyberTimes)

ECOMMERCE
Booming Urban Market Makes Waves Online (SJM)
Internet Service To Charge A Fee For Music Rights (NYT)
Officials Warn Consumers Of 'Dot-Con' Online Scams (WSJ)
Random House Plans to Offer E-Books; Move May Upset
Traditional Retailers (WSJ)

MEDIA & SOCIETY
Adult Movie Overhaul Is Rated C: Confusing (NYT)
White House Supports Net Privacy (USA)

OWNERSHIP
Murdoch Files for Second New York TV Station (WP)
Viacom Has Discussed Purchase Of BET for Roughly $3 Billion (WSJ)

INTERNATIONAL
Trade Dispute More Likely as Telmex Sues on
Connection Fees (NYT)
India's Other Tech Revolution; Women Find New Independence (WSJ)

POLITICAL DISCOURSE

AIR TIME IS AT PREMIUM AS ELECTION DRAWS NEAR
Issue: Political Discourse
"The political system is flush with money and there is a win-at-any-cost
mentality that finds its way into political races," said Paul Taylor,
executive director of the Alliance for Better Campaigns, a Washington group
seeking free air time for candidates. "But also, you have a broadcast
industry that is putting a price on democracy and gouging, and no one has
called them on it. These are folks who know how to turn a buck." Rates for
ad time on TV are reaching eye-popping levels as the election draws to a
close. Television stations are estimated to gain $600 million to $1 billion
from the bumper crop of political advertisements this year, according to
industry and Wall Street estimates. The money is coming directly from
candidates and issue groups, desperate to win and flush with cash.
Moreover, with campaign media buyers earning 5 percent to 10 percent of
every commercial placed, the more they air, the more money they make.
[SOURCE: New York Times (A26), AUTHOR: Leslie Wayne]
(http://www.nytimes.com/2000/11/01/politics/01VIDE.html)
(requires registration)

THE AD CAMPAIGN: FOCUSING ON GORE HYPERBOLE
Issue: Political Discourse
A new Bush campaign ad started running last night in battleground states in
the East, Midwest and Pacific Northwest. The ad is an answer to Vice
President Gore's ad that questions Gov Bush's plan for Social Security.
Marks scores the ad: The spot is funny, devastating