May 2003

MEDIA OWNERSHIP
Media Fight Focuses on Local TV Stations
Analysis Shows Media Markets Are Already Highly Concentrated: Consumer
Groups Question Wisdom of Further Consolidation

PUBLIC BROADCASTING
NTIA Announces $25 Million in Grants to Public TV Broadcasters for
Analog to Digital Conversion

WIRELESS
WiFi Can Help Patients or Employees - If It Works

MEDIA OWNERSHIP
MEDIA FIGHT FOCUSES ON LOCAL TV STATIONS
The effects of media consolidation on local programming depends on which
side of the fence one sits - at least that was the general feeling at
yesterday's Senate Commerce Committee hearing on the FCC's proposed
relaxation of TV ownership rules. According to Viacom president Mel
Karmazin, networks are losing money in the wake of increased competition
from cable and the rising costs of programming, especially sporting events.
Local network affiliates, represented yesterday by James Goodmon of Capitol
Broadcasting Company in Raleigh, NC, argue that increased concentration by
networks eliminates local content from locally owned stations and prevents
those stations from pre-empting network content that the community might
find objectionable or simply not prefer to watch. The hearing proceeded amid
other interesting developments leading up to the FCC's June 2nd deadline for
voting on the issue, such as the introduction of bills in both the House and
Senate to lock in the 35% network ownership cap and a request from
Democratic FCC Commissioners Michael Copps and Jonathan Adelstein to
postpone the vote.
[SOURCE: The Washington Post; AUTHOR: Frank Ahrens]
http://www.washingtonpost.com/wp-dyn/articles/A51872-2003May13.html

ANALYSIS SHOWS MEDIA MARKETS ARE ALREADY HIGHLY CONCENTRATED: CONSUMER
GROUPS QUESTION WISDOM OF FURTHER CONSOLIDATION
Two of the country's largest consumer groups were prepared to tell key
legislators yesterday that virtually every media market is highly
concentrated. Scheduled to appear before the Senate Committee on Commerce,
Science and Transportation, Dr. Mark Cooper of the Consumer Federation of
American and Gene Kimmelman of Consumers Union prepared testimony on media
concentration and public preference for media outlets, using both their own
data and FCC research. Among their findings: (1) one-third of US cities are
one-newspaper towns, and even in cities with multiple papers the leader has
three times the market share of its closest competitor; virtually all
broadcast TV markets are already highly concentrated; (2) TV and newspapers
account for 79% of the news sources to which Americans turn, with incredibly
small percentages turning to cable, radio or the Internet for news; (3)
among the Internet sites commonly turned to for news services, 53% are
affiliated with TV stations. "The FCC launched its review of media ownership
limits with loud claims that there had been dramatic changes in media use,
which made the rules outdated, but its own studies show little has change
and there is little substitutability between the media," said Cooper.
[SOURCE: Consumer Federation of American/Consumers Union]
For more information, visit
http://www.consumersunion.org/telecom/owns_news.htm

PUBLIC BORADCASTING
NTIA ANNOUNCES $25 MILLION IN GRANTS TO PUBLIC TV BROADCASTERS FOR ANALOG TO
DIGITAL CONVERSION
The Department of Commerce's National Telecommunications and Information
Administration (NTIA) awarded $25 million in Public Telecommunications
Facilities Program (PTFP) grants on April 30th to assist public broadcasting
stations convert to digital technology. The FCC mandated that public
television stations begin broadcasting in digital format by May 1, 2003. The
grants went to support 56 different digital conversion projects across the
country. A list of grant recipients and their projects can be found at
http://www.ntia.doc.gov/otiahome/ptfp/Projects/2003/ptfpfactsheet_200304...
tm.
[SOURCE: NTIA]
http://www.ntia.doc.gov/otiahome/ptfp/Projects/2003/index.htm

WIRELESS
WIFI CAN HELP PATIENTS OR EMPLOYEES - IF IT WORKS
A hospital in the Netherlands will begin using a wireless network to help
ensure patient safety. Patients at Leyenburg hospital will wear bar-coded
wristbands indicating their blood type, and doctors and nurses will use
handheld computers to match the wristband to the bar code on the proper
blood bag, minimizing the possibility of deaths caused by a transfusion of
the incorrect blood type. "Suppose we could have saved these patients' lives
with this system? Is it worth the investment? What was the value of their
lives?" said Arno van den Berg, IT manager at Leyenburg. In the last five
years, two people have died as a result of this kind of medical error in the
Netherlands.
[SOURCE: USA Today; AUTHOR: Reuters]
http://www.usatoday.com/tech/news/2003-05-13-wifi-barcode-blood_x.htm

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MEDIA OWNERSHIP
FCC Democrats Frustrated on Media Review

TECHNOLOGY
Hold Technology Creators Liable?

DIGITAL DIVIDE
Silver Surfer's Festival: Age Concern Brings Internet to the Elderly
Center Points Way to Jobs

MEDIA OWNERSHIP
FCC DEMOCRATS FRUSTRATED ON MEDIA REVIEW
FCC Commissioners Michael Copps and Jonathan Adelstein expressed frustration
last week about Chairman Michael Powell's unwillingness to make public the
proposed changes to media ownership rules, on which the Commission will vote
June 2nd. With the proposal from the FCC's Media Bureau expected today, the
Commission will have three weeks to consider whether to adopt the changes,
whatever they may be. "We don't know what we're going to be working on, said
Copps. "It's like a state secret." In a somewhat contradictory statement,
Powell reiterated his claim that cable TV and the Internet have obviated the
need for current rules while adding, "most cable channels and sources of
online news already are owned by a few large media companies." The two
Democratic commissioners may formally request a one-month delay on the vote,
but Powell is not obligated to grant such a request.
[SOURCE: The Daily Press (Hampton Roads, VA); AUTHOR: David Ho, Associated
Press]
http://www.dailypress.com/technology/ats-ap_technology13may10,0,3818567....
y?coll=sns-technology-headlines

TECHNOLOGY
HOLD TECHNOLOGY CREATORS LIABLE?
[Commentary] The Recording Industry of America has attempted to hold
creators of general use software and devices liable for the potential misuse
of such products. Their attempts have met with mixed results, as cases
against two college students, creators of peer-to-peer search engines,
settled out of court while another case was decided in favor of P2P networks
Grokster and Morpheus. This strategy on the part of the entertainment
industry is not new, however. From the VCR wars of the 1980s to the battles
over encryption in the 1990s, this trend represents a taste for attacking
the people who write code or create devices, who are easy to identify,
rather than the people who misuse them. CNET's Declan McCullagh predicts
that legislation restricting or prohibiting the creation of P2P networks may
be forthcoming, particularly if the RIAA fails in future attempts in federal
courts.
http://news.com.com/2010-1071_3-1000673.html?tag=fd_nc_1

DIGITAL DIVIDE
SILVER SURFER'S FESTIVAL: AGE CONCERN BRINGS INTERNET TO THE ELDERLY
Responding to a recent report indicating that only 15% of people over 65
years of age in the UK had ventured onto the Internet, one group has chosen
to bring the Internet to the elderly. Age Concern, a charity organization,
has partnered with Microsoft and Cable & Wireless to bring a free Web
"taster" at the Silver Surfers Festival, which begins today. "Participation
in the internet revolution is an important factor in the full social
inclusion of older people, particularly as more public services go online,"
said Age Concern director general Gordon Lishman.
[SOURCE: PC Advisor; AUTHOR: Wendy Brewer]
For information about Silver Surfer events in your area, visit:
http://www.ageconcern.org.uk/silversurfers

CENTER POINTS WAY TO JOBS
A Hispanic grassroots organization is coming to the aid of Spanish-speaking
immigrants in Orlando, FL. Family-owned Latino Leadership, along with the
League of United Latin American Citizens, opened a community computer lab on
Thursday designed to help citizens improve their English and search for jobs
and housing. The Hispanic community, which comprises 20% of the population
in Orlando, was hit particularly hard by the falloff in tourism after the
September 2001 terrorist attacks, as the enormous travel and tourism
industry in Central Florida saw fewer customers and was forced to eliminate
jobs. The center employs volunteers from within the Latino community,
including local high school and college students. "This is a much needed
service in the Hispanic community. It will help those who can't speak
English overcome the digital divide and bring other resources to people
looking for work or trying to learn English," said Marytza Sanz, president
of Latino Leadership.
[SOURCE: Orlando Sentinel; AUTHOR: Walter Pacheco]
http://www.orlandosentinel.com/news/local/orange/orl-locskills12051203may12,
0,7694232.story?coll=orl-news-headlines

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MEDIA OWNERSHIP
CDD Asks Chairman Powell to Recuse on Media Ownership Proceeding
The Urge to Merge

PRIVACY
Balancing Data Needs and Privacy

MEDIA OWNERSHIP
CDD ASKS POWELL TO RECUSE ON MEDIA OWNERSHIP PROCEEDING
In a letter to the FCC yesterday, Center for Digital Democracy executive
director Jeff Chester called for Chairman Michael Powell to recuse himself
from the media ownership proceedings scheduled for June 2. CDD argues that
the Commission has not created a sufficient record on the topic, sponsoring
studies that were attacked by the academy and failing to divulge to
Commission's plan for cable ownership regulations, which Powell cites as one
of the countervailing forces that obviate the need for media regulation.
Chester noted that previous Democratic leadership is also to blame for the
FCC's "don't ask, don't tell" policy toward the realities of the media
marketplace. The media companies who filed "misleading" comments with the
Commission on April 21, 2003 should be investigated, he added.
[SOURCE: Center for Digital Democracy]
http://www.democraticmedia.org/resources/filings/CDDToPowell.html

THE URGE TO MERGE
As Clear Channel Communications draws the ire of public interest activists
during this media ownership debate, the company plans to enter into another
large merger. Spanish-language TV giant Univision has filed a request with
the FCC to obtain Hispanic Broadcasting Corporation, in which Clear Channel
has a permanent stake. Critics are crying foul, suspecting that Univision
and Clear Channel will "control virtually the entire Hispanic market."
Though Clear Channel downplays its role in the merger as merely a passive
shareholder, National Hispanic Policy Institute attorney Arthur Belendiuk
claims that Clear Channel CFO Randall Mays, son of chief Lowry Mays, pushed
for the merger. While questions continue to surface concerning Clear
Channel's honestly with the federal government about its true ownership
stake in the country's media market, opponents are galled by the two
companies' reliance on their pull in government despite objections from
their viewers and listeners.
[SOURCE: San Antonio Current; AUTHOR: Gilbert Garcia]
http://www.zwire.com/site/news.cfm?newsid=7944947&BRD=2318&PAG=461&dept_...
84045&rfi=6

PRIVACY
BALANCING DATA NEEDS AND PRIVACY
As the Pentagon seeks to move forward with its Total Information Awareness
system to monitor various data sources in search of patterns that suggest
terrorist activity, one woman involved with the project may emerge as a
champion of privacy. Teresa Lunt of the Palo Alto Research Center was
contracted to create a "privacy appliance" for the TIA system. The
Pentagon's Defense Advanced Research Projects Agency commissioned Lunt in
response to the Senate's freezing of TIA funds until the effects on
individual privacy could be properly assessed. Lunt is at the forefront of a
burgeoning field of "data privacy" in which researchers seek to scrub the
data of personally identifiable information while preserving the ability to
provide valuable social research. As critics and privacy advocates point out
the contradictory nature of building a privacy "veneer" over a system the
sole purpose of which is to examine private information, Lunt points out
that her work may not be used by the government at all but may prove useful
in the private sector, as so many DARPA research projects have in the past.
[SOURCE: The Washington Post; AUTHOR: Leslie Walker]
http://www.washingtonpost.com/wp-dyn/articles/A25316-2003May7.html

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CONGRESS
Permanent Subcommittee on Investigations Releases McCarthy Era Records

EDTECH
Internet Science and Technology Fair Winners Announced

PRIVACY
Radio ID Chips to Come With Kill Switch

PERMANENT SUBCOMMITTEE ON INVESTIGATIONS RELEASES MCCARTHY ERA RECORDS
The Senate Permanent Subcommittee on Investigations yesterday released =
all
of the previously closed transcripts of hearings held during the
chairmanship of Senator Joseph McCarthy (R - WI) from 1953-54. Under
McCarthy's leadership, the subcommittee's tactics needlessly destroyed
several careers, prompted rules changes for Senate investigations and =
earned
McCarthy a censure in 1954. "I am pleased that these historically =
important
documents are finally being released to the public," said Senator Susan
Collins (R-Maine), the former subcommittee chair who in 2001 authorized =
the
publication of the records. "The McCarthy transcripts will help ensure =
that
... we remain vigilant in upholding the constitutional rights and =
democratic
principles that are the strength of this nation." The Benton Foundation =
is
the legacy of William Benton (1900-1973) who, as a U.S. Senator, was =
the
first member of Congress to propose the motion for expulsion of Joseph
McCarthy from the U.S. Senate.
http://collins.senate.gov/low/record.cfm?id=3D203552

INTERNET SCIENCE AND TECHNOLOGY FAIR WINNERS ANNOUNCED
The winners of the University of Central Florida's 7th annual Internet
Science and Technology Fair were announced last week, with student =
groups
from the farthest reaches of the country taking home awards. Out of an
initial field of 214 elementary, middle and high school student teams =
from
12 states and two countries, students from schools in New Jersey, =
California
and Florida captured the top awards.=A0Student teams are challenged to =
use
National Critical Technology applications as defined by the U.S. =
Government
to solve real world problems.=A0 Winning projects included research on =
the use
of photonic crystals to make more efficient optical circuits, an =
exploration
of the use of gene therapy to solve computer problems and the creation =
of a
patch that can administer insulin and other medications. "The students =
who
participated deserve our recognition because the Internet Science and
Technology Fair is, by any definition, a real-world challenge," said =
Martin
Wanielista, Dean of UCF's College of Engineering and Computer Science. =
To
see all of the winners and their projects, visit the link below.
[SOURCE: University of Central Florida]
http://istf.ucf.edu/Winners/
For information on the next ISTF, check out:
http://istf.ucf.edu/EnrollAdmin/

RADIO ID CHIPS TO COME WITH KILL SWITCH
Talk about the radio frequency identification (RFID) chip may not be =
dead,
but consumers may have the ability to kill them one by one. RFID
manufacturers and a key industry group plan to introduce a "kill =
switch"
feature before the chips are shipped, according to Auto ID Center, who =
is
charged with developing the RFID specifications. The tags are designed =
to
reduce costs of tracking inventory, but consumer groups and privacy =
experts
objected to possible uses of the chip once the customer leaves the =
store,
particularly when the chip is used in items such as clothing. "It might =
seem
that our actions are a knee-jerk reaction to recent privacy concerns, =
but we
have been discussing this for three years," said Sanjay Sarma, founder =
of
Auto ID Center. Customers would have the option at check-out to disable =
the
chip, but some may choose to keep it enabled since it has uses within =
the
home.
[SOURCE: CNET News; AUTHOR: Richard Shim]
http://news.com.com/2100-1039_3-999794.html?tag=3Dfd_lede2_hed

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