September 2004

** Free Press is sponsoring four Town Meetings on the Future of Media,=20
offering people a chance to tell FCC Commissioners Jonathan Adelstein and=20
Michael Copps exactly how well the media are serving their community. All=20
Things Considered offered a brief look at tonight's meeting in Dearborn,=20
Michigan. See=20
http://www.npr.org/rundowns/rundown.php?prgDate=3D13-Sep-2004&prgId=3D2 OR=
=20
http://www.freepress.net/future//dearborn

** The Board of Directors of the Corporation for Public Broadcasting will=20
host an open forum on the campus of The George Washington University on=20
Tuesday, September 21 to hear comments and suggestions from the public=20
about the services and programs of public broadcasting. Those who wish to=20
speak at the public forum or submit written materials for the record should=
=20
contact CPB at 202-879-9817.
http://www.cpb.org/programs/pr.php?prn=3D373

TELEVISION
More TV/9-11 Legislation in Works
MAGNA Likes Multicultural Multicasting

OWNERSHIP
Sony-Led Group Makes a Late Bid to Wrest MGM From Time Warner
Aging Media Giants' Glamour Fades

MEDIA & POLITICS
Election Pledge: Broadband Access for All
FEC Nixes Kerry Doc Ads

JOURNALISM
As in Olden Days, U.S. Media Reflect The Partisan Divide
Journalists' Info Threat Level Raised

TELECOM
AT&T's Calling Card: Reach Out and Pitch Someone
Telecom Giants Unite to Lobby For Opening of Markets in Asia

JOBS AVAILABLE
AIVF Seeks Fall Interns
Senior Manager of Community Affairs -- Microsoft

TELEVISION

MORE TV/9-11 LEGISLATION IN THE WORKS
Senate Commerce Committee Chairman John McCain (R-AZ) is working on=20
legislation that would require certain TV stations to vacate a portion of=20
the spectrum used for analog broadcasts. The bill will be similar, but=20
perhaps not identical, to the HERO Act (HR-1425) introduced by Rep. Harman=
=20
(D-CA). HR-1425 is gaining momentum since release of the 9-11 Commission=20
report which included recommendations to speed the transition to=20
digital-only TV broadcasting so first responders can use spectrum now=20
devoted to analog TV. HR-1425 would set a Jan. 1, 2007 deadline for 75=20
broadcasters in the 60-69 channels of the 700 MHz spectrum (which has been=
=20
designated for public safety use) to be vacated. Still in the works may be=
=20
resolving multicast must-carry, which is heavily supported by broadcasters=
=20
and heavily opposed by cable operators.
[SOURCE: Communications Daily, AUTHOR: Terry Lane]
(Not available online)
All Things Considered included a story on first responders communication=20
Monday afternoon.
See http://www.npr.org/rundowns/rundown.php?prgDate=3D13-Sep-2004&prgId=3D2

MAGNA LIKES MULTICULTURAL MULTICASTING
Brian Wieser, whose company controls a multi-billion dollar budget of media=
=20
spending for the Interpublic Group of Companies, believes that digital TV=20
multicasting will make possible local TV formats targeted to the=20
African-American community. Wieser said such targeted media remain=20
"undeveloped relative to their long-term potential," citing a list of=20
positives including large concentrated populations and "manageable"=20
distribution issues. "With advertiser support and experimentation," says=20
Wieser's report -- and Magna Global suggests it would be wise for=20
advertisers to start experimenting -- "these media may become new vehicles=
=20
for marketers to effective reach audiences of the future.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA452592?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)

OWNERSHIP

SONY-LED GROUP MAKES A LATE BID TO WREST MGM FROM TIME WARNER
A consortium led by the Sony Corporation of America reached a tentative=20
agreement yesterday to buy Metro-Goldwyn-Mayer, the Hollywood studio famous=
=20
for James Bond and the Pink Panther, for about $4.8 billion in cash. The=20
consortium includes buyout firms Providence Equity Partners, Texas Pacific=
=20
Group and DLJ Merchant Banking Partners as well as cable giant Comcast. The=
=20
deal with Comcast calls for the creation of several premium cable channels=
=20
that will broadcast both Sony and MGM movies, adding an additional revenue=
=20
stream for the company. In addition, Comcast will offer the movies through=
=20
its video-on-demand service.
[SOURCE: New York Times, AUTHOR: Andrew Ross Sorkin]
http://www.nytimes.com/2004/09/14/business/media/14studio.html
(requires registration)
For more coverage see --
* WSJ:=20
http://online.wsj.com/article/0,,SB109509269860016342,00.html?mod=3Dtoda...
s_page_one
Sony, Comcast Strike Content Deals
=
http://online.wsj.com/article/0,,SB109512811193817108,00.html?mod=3Dtoda...
us_page_one
(requires subscription)
*WP: http://www.washingtonpost.com/wp-dyn/articles/A18297-2004Sep13.html
* USAToday=
http://www.usatoday.com/printedition/money/20040914/1b_mgm14.art.htm
=
http://www.usatoday.com/printedition/money/20040914/2b_comcast14.art.htm
* LATimes:=20
http://www.latimes.com/news/printedition/front/la-fi-mgm14sep14,1,214001...
ory?coll=3Dla-headlines-frontpage
* Reuters:=20
http://www.reuters.com/newsArticle.jhtml;jsessionid=3DWQYH3JNRD21XECRBAE...
A?type=3DtechnologyNews&storyID=3D6229312
With its acquisition of Hollywood film studio Metro-Goldwyn-Mayer, Sony is=
=20
one step closer to its vision of linking hardware and content, and to=20
winning the key battle for the next generation DVD.

AGING MEDIA GIANTS' GLAMOUR FADES
Wall Street may be tiring of media mega-deals as claims of increased=20
revenues don't often pan out for investors. "Enough is enough," says=20
portfolio manager Mark Greenberg. =93We keep waiting for the cash to come=
in.=20
When it does, it seems they always have to make new growth acquisitions.=20
And the real return to investors hasn't been that great.=94 Big media=20
companies are largely mature, like utilities, so it doesn't make sense for=
=20
them to keep using their cash to build even grander empires. Instead, they=
=20
should pay big dividends to stockholders. In addition to concluding that=20
mega-deals don't pay off, investors are also realizing: 1) There's a media=
=20
glut. Companies are saturating the market with so many movies, TV shows and=
=20
music albums that it's hard to justify making many more. 2) New=20
technologies make many investments risky. TV producers and distributors=20
could see their economic models collapse if millions of viewers get digital=
=20
video recorders, such as TiVo, and use them to skip ads. Radio stations are=
=20
grappling with Internet and satellite rivals. Music companies watch=20
anxiously as more consumers skip high-margin CD albums to buy low-margin=20
download singles to feed their computers and iPods. Cable operators worry=
=20
that satellite companies will poach more TV customers, while phone=20
companies continue to cut prices to lure high-speed Internet subscribers.=20
The competition will intensify if phone companies make good on threats to=20
offer cable-like video, or if electric utilities offer broadband over power=
=20
lines. Broadband, meanwhile, could evolve into a cheap, new distribution=20
network for all kinds of media =97 including pirated movies.
[SOURCE: USAToday, AUTHOR:David Lieberman]
http://www.usatoday.com/printedition/money/20040914/media.art.htm

MEDIA & POLITICS

ELECTION PLEDGE: BROADBAND ACCESS FOR ALL
For months, President Bush and his Democratic challenger, Sen. John Kerry,=
=20
have been one-upping each other about the necessity for ubiquitous=20
broadband and how to achieve it. But for all the rhetoric, the two=20
candidates aren't far apart and both duck a central issue: Should a=20
nationwide broadband rollout be subsidized by the government? Industry=20
executives, who by early August had contributed nearly $11 million to the=20
presidential candidates, are pushing for a national broadband policy to=20
speed adoption of the technology. Countries with such policies, including=20
South Korea and Canada, have used government funds to boost subscription=20
rates, and the technology industry wants the U.S. to do the same.
[SOURCE: Wall Street Journal, AUTHOR: Anne Marie Squeo=20
annemarie.squeo( at )wsj.com]
http://online.wsj.com/article/0,,SB109511228446416664,00.html?mod=3Dtoda...
s_page_one
(requires subscription)

FEC NIXES KERRY DOC ADS
Conservative lobby Citizens United will not get to buy local broadcast and=
=20
cable ad time to promote or air a documentary attacking the Democratic=20
presidential ticket. The Federal Election Commission said Friday that the=20
group did not qualify for a press exemption from the campaign finance law=20
prohibiting corporations, including nonprofits like Citizens United, from=20
running ads that mention or depict federal candidates within 60 days of a=20
general election. The commission pointed out that, to qualify, the ads=20
would have to be part of a "news story, commentary or editorial," and would=
=20
have to come from a group "acting as a media entity." They weren't, and it=
=20
wasn't, the commission concluded, so the communication would be prohibited=
=20
electioneering campaigning by a corporation.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA452599?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)
In a related story about yet another political film, see
FILM BLURS LINE BETWEEN KERRY AD AND WAR DOCUMENTARY
http://www.nytimes.com/2004/09/14/politics/campaign/14river.html
(requires registration)

JOURNALISM

AS IN OLDEN DAYS, US MEDIA REFLECT THE PARTISAN DIVIDE
[Commentary] In the 1870s, only 11% of US newspapers claimed to be=20
independent. By the 1920s, two-thirds of newspapers considered themselves=20
to be independent of parties -- mainly in an effort to expand readership.=20
Today, the American media appear to be returning to its partisan roots.=20
Why? Murray believes consumers are choosing outlets that fit their=20
political views. For those of us who still value the independence and=20
nonpartisanship of Progressive Era journalism, there is some reason for=20
hope. Andrew Kohut, director of The Pew Research Center for the People and=
=20
the Press, says most Americans still say they want objective journalism,=20
not partisan spin. If Mr. Kohut is right, the current media conflict could=
=20
lead to a better, more balanced, but still fiercely independent press.
[SOURCE: Wall Street Journal, AUTHOR: Alan Murray alan.murray( at )wsj.com]
http://online.wsj.com/article/0,,SB109511244977916674,00.html?mod=3Dtoda...
s_page_one
(requires subscription)

JOURNALISTS' INFO THREAT LEVEL RAISED
"Citizens seem to not realize how drastically their right to know has been=
=20
limited in the last three years," said Reporters Committee for Freedom of=20
the Press Director Lucy Dalglish. "Even journalists will be astonished at=20
the lengthy list of actions taken by public officials to turn basic=20
government information into state secrets." The group has released its=20
annual report finding that Freedom of Information Act restrictions and=20
Access to Terrorism and Immigrations Proceedings remain "red alert" issues=
=20
for journalists. "Incredible things have been happening to keep the public=
=20
in the dark on anything quasi-judicial. And it's coming from the Bush=20
administration and its coming from the courts and military tribunals and=20
hearings=85. We are looking people up and trying them in secret." As a=20
lawyer, Ms Dalglish says, "that is the most frightening thing that is=20
happening."
RCFP is online at http://www.rcfp.org/
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA452619?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)

TELECOM

AT&T'S CALLING CARD: REACH OUT AND PITCH SOMEONE
If you've ever made a long-distance call with a prepaid calling card from=20
AT&T, you may have had to listen to an ad -- for WalMart or other retailers=
=20
-- before your call was connected. AT&T claims this "enhancement" makes the=
=20
call an information service instead of a telecommunications service and,=20
thus, should be exempt from paying intrastate connection and Universal=20
Service fees. In a recent filing with the Securities and Exchange=20
Commission, AT&T said it had "saved" $290 million in access charges since=20
the third quarter of 2002 and about $150 million in fund contributions=20
since 1999 because of the claim. Rival carriers are none too happy. "Our=20
members feel if AT&T gets away with this avoidance in paying access charges=
=20
and Universal Service support, who else will take advantage of this and why=
=20
shouldn't they?" said Randy Tyree, director of legislative and industry=20
affairs for the Organization for the Promotion and Enhancement of Small=20
Telecommunications Companies, which represents more than 500 small phone=20
companies in 47 states. "This sets a very bad precedent, and delay at the=20
FCC continues to bleed the system." Rep. John Dingell (D-MI), ranking=20
minority member on the Energy and Commerce Committee, wrote to the FCC in=20
June, asking the agency to act immediately on the AT&T claim and throw the=
=20
book at the company. On July 2, FCC Chairman Michael K. Powell wrote back=20
to Rep Dingell, saying: "I expect that Order to be released in the near=20
future. As a general matter, the burden is on carriers to offer their=20
services in a manner that complies with the Commission's rules. A carrier=20
that provides a service . . . that violates Commission rules may be subject=
=20
to forfeitures or other enforcement measures."
[SOURCE: Washington Post, AUTHOR: Cindy Skrzycki]
http://www.washingtonpost.com/wp-dyn/articles/A18913-2004Sep13.html
(requires registration)

TELECOM GIANTS UNITE TO LOBBY FOR OPENING MARKETS IN ASIA
AT&T, MCI, BT, Cable & Wireless, Deutsche Telekom and several other telecom=
=20
giants are joining forces to form a new industry group, Asia Pacific=20
Carriers Coalition, to push for more liberalization of the Asia's telecom=20
sector. The same companies successfully lobbied regulators in Singapore=20
last year for a significant reduction in the so-called last-mile fees=20
charged by state-linked Singapore Telecommunications, the country's former=
=20
phone monopoly. Many of the dominant Asian telecom companies continue to=20
wield market power through excessive fees, the APCC believes, including=20
those charged for last-mile data connections and completing calls to mobile=
=20
phones. In much of Asia, unlike in the U.S., an individual subscriber's=20
phone company must pay a fee every time he or she places a call to a mobile=
=20
phone, even if the call is local. The APCC is also expected to express=20
concern about restrictions on foreign investment in less-developed telecom=
=20
markets, such as China. There, foreign investors can't invest in telecom=20
companies offering basic services, such as fixed or wireless networks --=20
though that will change soon because of China's membership in the World=20
Trade Organization.
[SOURCE: Wall Street Journal, AUTHOR: Rebecca Buckman at=20
rebecca.buckman( at )wsj.com]
http://online.wsj.com/article/0,,SB109510012379716416,00.html?mod=3Dtoda...
s_page_one
(requires subscription)

JOBS AVAILABLE
AIVF Seeks Fall Interns
AIVF SEEKS FALL INTERNS
Individuals interested or involved in media arts and independent film/video=
=20
work directly with Association of Independent Video and Filmmakers staff in=
=20
its SoHo office environment. AIVF offers interns flexible scheduling,=20
hands-on learning experience, and prime exposure to the vast independent=20
filmmaking community. For those looking to move into film or video=20
production, being actively involved with AIVF will introduce you to great=20
information resources and will help you make those connections you need to=
=20
further develop your career.
For more info and an application go to:
http://www.aivf.org/about/jobs.html#aivf

SENIOR MANAGER OF COMMUNITY AFFAIRS
Microsoft Community Affairs division is seeking a uniquely qualified=20
individual with passion, commitment and understanding of corporate=20
philanthropy and social change. As the Sr. Manager of Community Affairs=20
based in Redmond, you will serve as primary liaison with our Latin American=
=20
(LATAM) Community Affairs team for implementation of the Unlimited=20
Potential (UP) program; provide counsel and support in areas of grant=20
making, partnership building, and communications. Further you will also=20
manage the strategic and tactical implementation of the Unlimited Potential=
=20
Community Learning Curriculum including content development and=20
integration; cross-group collaboration; subsidiary support; vendor=20
management; product distribution and implementation; support; and=20
communications.
Qualifications for the position include 10 years post-graduate experience=20
in programming social development programs, grant making or=20
corporate/community affairs in the developed and developing world. Also=20
required are exceptional management skills including an extensive track=20
record leading regionally distributed teams toward collaborative=20
impact. The ideal candidate will have a strong background in NGO-related=20
work in Latin America and English fluency and working knowledge of=20
Spanish. Further qualifications include demonstrated knowledge and skills=
=20
related to programming IT training efforts, corporate social responsibility=
=20
and balancing corporate, regional and local priorities and needs to make=20
winning judgments.
Send resumes and inquiries to: carrolo( at )microsoft.com
More information on Microsoft Unlimited Potential=20
visit http://www.microsoft.com/unlimitedpotential
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service=20
provided by the Benton Foundation (www.benton.org). Posted Monday through=20
Friday, this service provides updates on important industry developments,=20
policy issues, and other related news events. While the summaries are=20
factually accurate, their often informal tone does not always represent the=
=20
tone of the original articles. Headlines are compiled by Kevin Taglang=20
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

=20
Birthday, Cassidy!)

A House subcommittee will hear testimony on the The Effect of Television=20
Violence on Children Monday in Chicago. For this and other upcoming media=20
policy events, see http://www.benton.org/calendar.htm

NEWS FROM THE FCC (eight stories in a special hard-to-read format)
A Big Win for Children=92s Programming
FCC Insists Broadband Deployment Improving
LPTV Gets DTV Green Light
FCC Economist: Supercharge Ferree=92s DTV Plan With Incentives
Spectrum for Advanced Wireless Services
Reducing the Time Interval for Number Porting Between
Wireline and Wireless Carriers
State of Competition in the Wireless Industry
FCC Launches New "Kidszone"

NEWS FROM THE FTC
Election Board Restricts Ads for Anti-Kerry Film

MORE ABOUT TELEVISION
Government Hungry for TV's Airwaves
On Iraqi TV, a Welcome Take on Reality

TELEPHONY
Ex-FCC Lawyer Warns About Phone Rules

NEWS FROM THE FCC

#1 -- A BIG WIN FOR CHILDREN'S PROGRAMMING
The FCC adopted new rules regarding the obligation of television=20
broadcasters to serve children in their audience, unanimously adopting=20
requirements that broadcasters air three hours of children's programming=20
on their core digital channel, as well as another three hours for every=20
free digital multicast channel they decide to program. The revised=20
guideline provides flexibility to broadcasters that multicast by permitting=
=20
them the choice whether to air core programming on a single or multiple=20
channels provided that at least three hours per week are shown on their=20
main channel. The Order concludes that to count under the processing=20
guidelines, a program should not be preempted more that 10% of the=20
time. The Order amends the Commission's rules regarding on-air=20
identification of core programming to require both analog and digital=20
broadcasters to identify this programming by displaying the symbol E/I=20
throughout the program.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A1.doc

STATEMENTS BY COMMISSIONERS
* Powell: This Commission is committed to serving the educational needs of=
=20
our nation's youth. Not only are our children the cornerstone of our=20
future, but they will, too, be the torch bearers that bring today's digital=
=20
migration into tomorrow's digital reality
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A2.doc
* Abernathy: As a country, we have always protected, nurtured and educated=
=20
our children. We recognize they are a precious resource, and that our=20
future as a nation is inextricably intertwined with their future. That is=
=20
why today we embrace a regulatory framework that recognizes the significant=
=20
role media plays in shaping and educating our children. Today we look to=20
the future and the many benefits, as well as potential harms, that are=20
inherent in our digital migration. Today, we ensure that children will=20
benefit from an increase in educational and information (E/I) programming,=
=20
that such programming will be easier for parents to find, and that the=20
regulations we have in place to protect children from=20
over-commercialization cannot be circumvented by new technologies.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A3.doc
* Copps: All of the steps we take today, however, will be meaningless=20
unless the Commission enforces its rules. As we enter a new license=20
renewal cycle, we must take seriously our obligation to ensure that=20
broadcasters are meeting their responsibilities under the Children's=20
Television Act. To this end, the Commission commits to seeking public=20
comment and issuing a report on how well we are meeting Congress'=20
objectives. We have further committed to a follow-up proceeding to make=20
certain that we continue to protect children as technology advances. So=20
an important outcome here is that we make these children's television=20
obligations part of a living, ongoing process, regularly monitored and=20
reported and open to new actions as the digital transition occurs. All of=20
these steps are important to guarantee that we do not return to a time when=
=20
G.I. Joe, Mighty Morphin Power Rangers, America's Funniest Home Videos, the=
=20
Jetsons, and the Flintstones were held up as examples of programs that met=
=20
the educational and informational needs of children.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A4.doc
* Martin: Parents often complain that there is not enough broadcast=20
programming that is suited for family viewing. This is why I have long=20
advocated a return of the Family Viewing Hour. While the new guidelines we=
=20
adopt today may not increase the amount of programming that appeals to the=
=20
whole family, it is certainly a step in the right direction for parents and=
=20
their children. It is my hope that broadcasters take advantage of=20
improvements in technology and compression to devote even more time and=20
ingenuity to family or children's programming.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A5.doc
* Adelstein: There is much more work to do to provide broadcasters and the=
=20
public with certainty regarding the entirety of their public interest=20
obligations in the digital era. I welcome what I expect will be an equally=
=20
constructive dialogue on resolving how the remaining public interest=20
obligations translate to digital. The high level of cooperation in this=20
proceeding bodes well for also achieving consensus on the broader public=20
interest examination in the weeks to come.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A6.doc

REACTION TO THE RULING
* Children Now Praises FCC for New Educational Television Rules
Children Now is pleased that the FCC has established digital public=20
interest obligations that will improve the television environment for both=
=20
children and parents. While we are gratified by much of today's ruling, we=
=20
remain concerned about protecting children from the potential harms of=20
interactive advertising.
http://www.childrennow.org/newsroom/news-04/pr-09-09-04.cfm
* National Association of Broadcasters:
NAB recognizes that providing children's educational programming is one of=
=20
many ways that a television broadcaster fulfills its public interest=20
obligation. However, it is unfortunate the FCC would adopt new digital=20
television mandates before completing its reconsideration of whether cable=
=20
operators are required to actually pass through that programming to=20
viewers. The hard reality is this: Absent a strong DTV multicast carriage=20
rule for cable, there will be less incentive for broadcasters to create new=
=20
educational shows for children and other public interest programming. NAB=20
urges the Commission to fulfill the intent of Congress and ensure that=20
cable operators allow all free DTV broadcast programming flow to consumers."
http://www.nab.org/Newsroom/PressRel/statements/090904childrensdtv.htm
* Common Cause: FCC proposes advances for children's TV, but must do more
These reforms cannot end with proposals benefiting children. FCC Chairman=20
Michael Powell and the FCC now must move to ensure that broadcasters also=20
serve the interests of the nation's citizens, by airing public affairs and=
=20
electoral coverage that enables viewers to participate in
their democracy.
http://www.commoncause.org/news/default.cfm?ArtID=3D386

ADDITIONAL COVERAGE OF THE STORY
* FCC Adopts Digital Kids Programming Rules
http://www.tvweek.com/news.cms?newsId=3D6264
* FCC Expands Kids' TV Obligations
http://www.broadcastingcable.com/article/CA451711?display=3DBreaking+News
* FCC Slaps Kids=92 Quotas on DTV Stations
http://www.multichannel.com/article/CA451915?display=3DBreaking+News
* Kids TV Rules OKd by FCC
http://www.latimes.com/business/printedition/la-fi-kids10sep10,1,6031926...
ry?coll=3Dla-headlines-pe-business

#2 -- FCC INSISTS BROADBAND DEPLOYMENT IMPROVING
A new FCC report found that U.S. high-speed Internet lines had tripled to=20
28.2 million by the end of 2003 from June 2001, but the country at best was=
=20
10th place in international rankings down from fourth. FCC Commissioner=20
Michael Copps said the agency had failed to establish a coherent policy for=
=20
broadband, sacrificing the nation's rank. He also noted that service was as=
=20
cheap as $10 a month in Japan for 8 megabits a second versus $30-$50 for=20
1-3 megabits in the United States. "Our economy and our future are going to=
=20
be driven by how quickly and how well we get this technology out to all of=
=20
our people," Copps said. "I think our efforts are insufficient and that=20
broadband deployment is insufficient." FCC Chairman Michael Powell argued=20
that U.S. consumers have many more options to get high-speed Internet=20
service, which was critical to meeting the 2007 goal, and disputed the=20
importance of the rankings. "What matters to us most importantly is whether=
=20
our citizens and our country are growing at a rapid rate," said Chairman=20
Powell. "There are very, very different circumstances in those countries=20
that I would never want to repeat here." "This report will serve as a=20
milestone that we have indeed turned the corner in the digital migration,"=
=20
he said.
[SOURCE: Reuters, AUTHOR: Jeremy Pelofsky]
http://www.reuters.com/newsArticle.jhtml;jsessionid=3DTFV0CZET5RH40CRBAE...
Y?type=3DtechnologyNews&storyID=3D6196674
* FCC Press Release:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A1.doc
* Availability of Advanced Telecommunications Capability in the United=20
States (4th Report to Congress)
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-208A1.pdf
* FCC Says U.S. Getting its Broadband Act Together
http://news.com.com/FCC+says+U.S.+getting+its+broadband+act+together/210...
34_3-5360610.html?tag=3Dnefd.hed

STATEMENTS BY COMMISSIONERS
* Powell Press Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A2.doc
* Powell: Americans deserve information at the speed of light=97and it is=
the=20
country=92s next challenge to deploy a network that is at least as capable=
as=20
any other nation=92s. The Commission=92s role=97and my mission=97is to=
continue to=20
champion and facilitate higher-speed, more capable platforms that can run=20
the applications of tomorrow.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251972A2.doc
* Abernathy: The vast majority of Americans now have access to broadband=20
services. And the divide between urban and rural areas, and between=20
high-income and low-income populations, is shrinking dramatically. While=20
the overall rate of subscription to broadband services lags far behind the=
=20
availability of such services, our job as regulators is to make sure=20
consumers have the opportunity to purchase broadband services.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A4.pdf
* Copps: One glaring fact stands out: the United States is ranked eleventh=
=20
in the world in broadband penetration! This Report somehow finds that this=
=20
is acceptable, and that our efforts are resulting in timely deployment. I=20
think our efforts are insufficient and that broadband deployment is=20
insufficient, so I dissent to this Report.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A5.pdf
* Martin: We should move forward on several pending proceedings to help=20
spur continued broadband deployment. Regulatory uncertainty and delay=20
function as entry barriers, limiting investment and impeding deployment of=
=20
new services.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A6.pdf
Adelstein: While we continue to improve this Report, it ultimately remains=
=20
hindered by the lack of critical data that would allow us to gauge more=20
accurately and comprehensively broadband availability. Despite longstanding=
=20
acknowledgement of the limitations of the overbroad zip code data, we again=
=20
make conclusions about critical segments of our population without all the=
=20
facts. Given that lack of information, strong indications that we are=20
trailing in the global marketplace, and the importance of broadband to our=
=20
overall economic health, I cannot conclude that broadband deployment is=20
reasonable and timely.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251959A7.pdf

#3 -- LPTV GETS DTV GREEN LIGHT
2,100 low-power TV stations -- many of which are community-run,=20
minority-targeted or religious channels -- and some 4,700 translators got a=
=20
better idea from the FCC how they will fit in the overall transition to=20
digital broadcasting. Under the new rules, the low-powers will have most of=
=20
the same opportunities for ancillary and supplementary services as=20
full-power stations. So long as the LPTV's provide a free service with some=
=20
of their digital spectrum, they will also be able to offer multicast on the=
=20
rest of their spectrum allotment. Low Powers will be able to "flash cut"=20
immediately to digital service on their existing channel, or apply for a=20
second digital channel to run side-by-side with their analog, as almost all=
=20
full-powers are doing. "Flash cut" applications can be made almost=20
immediately, while applications for a second channel will be accepted in=20
two filing windows--the first for incumbents, the second for newcomers. The=
=20
FCC has yet to set dates for those. Incumbent filings will be accepted on a=
=20
first-come, first-served basis, while all mutually exclusive applications,=
=20
which are far more likely in the second window, will be settled by auction.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton ]
http://www.broadcastingcable.com/article/CA451883?display=3DBreaking+News
(requires subscription)
FCC News Release:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251978A1.doc
See more about the digital TV transition in "Government Hungry for TV's=20
Airwaves" below.

#4 -- FCC ECONOMIST: SUPERCHARGE FERREE'S DTV PLAN WITH INCENTIVES
Senior FCC Economist Evan Kwerel thinks some broadcasters should receive=20
compensation for returning analog TV spectrum before the 2009 date now=20
being proposed by the FCC. =93The market on its own is just not doing it,=94=
=20
Mr. Kwerel said of the transition. =93We=92re going to have to find a good=
way=20
to compensate the losers,=94 over-the-air only viewers as well as affected=
=20
broadcasters. =93We really need to compensate broadcasters to clear out=20
sooner=94 than a proposed 2009 hard deadline.=94 Licensees would be lured to=
=20
early spectrum relinquishment with vouchers whose values would depend on=20
the auction outcomes. Those that balked would simply lose their analog=20
spectrum when the hard stop arrived. The set-up aims to solve a =93strategic=
=20
holdout=94 problem similar to that in property development, Kwerel said:=20
Holders of parcels, real or virtual, have every motive to boost their sale=
=20
prices by holding out as long as possible in the face of a big, definite=20
transition. There is also the =93free rider=94 problem, he said, wherein=20
interference induces would-be occupants of a channel to lie back while=20
others bear the costs of clearing adjacent channels. These scenarios=20
complicate freeing up the spectrum for new-technology uses, notably WiMax=20
wireless broadband.
[SOURCE: Communications Daily, AUTHOR: Louis Trager]
(Not available online)

#5 -- SPECTRUM FOR ADVANCED WIRELESS SERVICES
The FCC provided an additional twenty megahertz of spectrum that can be=20
used to offer a variety of broadband and advanced wireless services (AWS),=
=20
potentially including "third generation" (3G) wireless services. The=20
Commission allocated and paired five-megahertz blocks of spectrum for AWS=20
use. The Commission believes this will benefit the public by fostering the=
=20
development of new wireless services that will provide American consumers=20
with additional communications options and capabilities. In a companion=20
action, the Commission asked for public comment on licensing, technical,=20
and operational rules to govern the use of the bands designated for AWS.=20
The Commission announced its desire to provide licensees of this spectrum=20
with flexibility to provide any fixed or mobile service consistent with the=
=20
technical parameters of the allocation, and proposed to license the=20
spectrum under Part 27 of the Commission's rules, which provides a=20
flexible, market-oriented regulatory framework.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251982A1.doc
See also:
FCC Frees Up Spectrum for 3G
http://news.com.com/FCC+frees+up+spectrum+for+3G/2100-1039_3-5360496.htm...
g=3Dnefd.top

#6 -- REDUCING THE TIME INTERVAL FOR NUMBER PORTABILITY BETWEEN WIRELINE=20
AND WIRELESS CARRIERS
The FCC started a proceeding asked for comment on a proposal by the North=20
American Numbering Council (NANC), the FCC's advisory committee on=20
numbering issues, for reducing the time interval for porting numbers=20
between wireline and wireless carriers, or intermodal porting. The NANC=20
proposes to reduce the intermodal porting interval by almost 45%, from 96=20
hours to 53 hours. The Notice also seeks comment on alternative mechanisms=
=20
for reducing the intermodal porting interval, and on whether certain=20
classes of carriers, including small and rural carriers, should be exempt=20
from any requirement to provide a shorter porting interval. Additionally,=
=20
the Notice seeks comment on related implementation issues.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251961A1.doc

#7 -- STATE OF COMPETITION IN THE WIRELESS INDUSTRY
The FCC has adopted its Ninth Annual Report to Congress on the state of=20
competition in the commercial wireless industry, concluding that there is=20
effective competition based on the analysis of several measures including:=
=20
1) the number of carriers competing in an area, 2) the extent of service=20
deployment, 3) prices, 4) technological improvements and product=20
innovations, 5) subscriber growth, 6) usage patterns, 7) churn, and 8)=20
investment. The Commission reviewed competitive market conditions using a=
=20
framework that groups indicators of the status of competition into four=20
categories: market structure; carrier conduct; consumer behavior; and=20
market performance.
See key findings at the URL below.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251981A1.doc
CTIA: Annual FCC Report Proves Market is the Best Regulator for Wireless=20
Industry
http://www.ctia.org/news_media/press/body.cfm?record_id=3D1428

#8 -- FCC LAUNCHES NEW "KIDSZONE"
The FCC unveiled the latest addition to its award-winning Web site, an=20
interactive, high tech site designed to engage children and teens in grades=
=20
K through 12. "Kidszone" is hosted by Broadband the Cat and features=20
lively graphics and sound. It is found at www.fcc.gov/kidszone. Kids can=
=20
explore questions like: What is 911? How does a cell phone work? What do=20
the numbers in a phone number do? Why will Commissioner Adelstein be out of=
=20
work in November? What is the difference between AM radio and FM radio?=20
What is "wireless cable"? Why is the 555 exchange used on television shows?=
=20
What is Broadband? Why do we allocate precious spectrum to fixed services=20
like TV? What is unacceptable language for radio and television? Why do all=
=20
FM radio stations end in an odd number? How does a fax machine work? Will=20
all this be on the mid-term? ...and much, much more.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-251992A1.doc

NEWS FROM THE FTC

ELECTION BOARD RESTRICTS ADS FOR ANTI-KERRY FILM
The Federal Election Commission on Thursday denied a request by an=20
independent advocacy group to use unregulated contributions to pay for=20
television and radio commercials promoting a documentary and a book=20
critical of Senator John Kerry. The group, Citizens United, had hoped to=20
get around restrictions in new campaign finance laws that prevent=20
organizations from running commercials that mention a candidate within 60=20
days of the general election if the commercials are financed with unlimited=
=20
soft money contributions from corporations or labor unions. The group=20
argued that it was part of the news media and could therefore take=20
advantage of an exemption that allows news, commentary and editorial=20
content to run freely around elections. But the commission voted 4 to 0 to=
=20
approve an advisory saying that the group did not qualify.
[SOURCE: New York Times, AUTHOR: Glen Justice]
http://www.nytimes.com/2004/09/10/politics/campaign/10money.html
(requires registration)

MORE ABOUT TELEVISION

GOVERNMENT HUNGRY FOR TV's AIRWAVES
Concerned about the slow transition from analog to digital television, some=
=20
members of Congress have proposed that the government simply seize by Jan.=
=20
1, 2007, the signals of about 75 local analog TV broadcasters that use=20
channels 63, 64, 68 and 69 -- the frequencies that would be most convenient=
=20
for public safety officials. Another proposal, backed by the FCC, would set=
=20
a deadline of 2009 for all broadcasters to give up their analog channels.=20
While that is technically a two-year extension of the current law, the new=
=20
proposal would make it difficult for the broadcasters to further delay the=
=20
turnover. The conversion would free large segments of the broadcast=20
spectrum for emergency services in major metropolitan areas. The 9/11=20
Commission concluded that emergency communications were crippled by the=20
sudden spike in cell phone calls in the hours immediately after the=20
terrorist attacks, and it called on Congress to pass legislation that would=
=20
take some of the spectrum back from broadcasters.
[SOURCE: Washington Post, AUTHOR: Christopher Stern]
http://www.washingtonpost.com/wp-dyn/articles/A9785-2004Sep9.html
(requires registration)

ON IRAQI TV, A WELCOME TAKE ON REALITY
What is TV like in Iraq? On a new channel there, al-Sharqiya, reality TV is=
=20
really about, well, reality. And Iraqis don't have to invent situations=20
that test their fears or survival skills. Read about what they are seeing=20
at the URL below.
[SOURCE: Washington Post, AUTHOR: Jackie Spinner]
http://www.washingtonpost.com/wp-dyn/articles/A9883-2004Sep9.html
(requires registration)

TELEPHONY

EX-FCC LAWYER WARNS ABOUT PHONE RULES
Former FCC General Counsel Bruce Fein, now a Washington lawyer who has=20
represented Bell competitors, said in a letter that the agency should=20
quickly adopt simple interim telephone competition rules that would make=20
the rules "bulletproof" from a pending court challenge by regional Baby=20
Bell phone companies. "The last thing the telecommunications industry needs=
=20
is additional legal chaos or tumult," Mr. Fein wrote in his letter to FCC=20
General Counsel John Rogovin. He also urged the agency to move quickly in=20
order to dispel concerns that it acted cynically. Some in Washington, he=20
wrote, suspect that the FCC adopted a set of rules that, on one hand,=20
satisfied the White House's desire to avoid price increases until after the=
=20
election and, on the other, catered to the Bells by issuing an order=20
vulnerable to court attack.
[SOURCE: Los Angeles Times, AUTHOR:James Granelli]
http://www.latimes.com/business/printedition/la-fi-fcc10sep10,1,4057752....
y?coll=3Dla-headlines-pe-business
(requires registration)
See also:
Wholesale SBC Rate Hike Likely
http://www.latimes.com/business/printedition/la-fi-puc10sep10,1,5228226....
y?coll=3Dla-headlines-pe-business
----------------------------------------------------------------------------=
-------
Just a little light reading for your weekend. See ya Monday.
----------------------------------------------------------------------------=
--------
Communications-related Headlines is a free online news summary service=20
provided by the Benton Foundation (www.benton.org). Posted Monday through=20
Friday, this service provides updates on important industry developments,=20
policy issues, and other related news events. While the summaries are=20
factually accurate, their often informal tone does not always represent the=
=20
tone of the original articles. Headlines are compiled by Kevin Taglang=20
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

The FCC is holding an open meeting tomorrow and is expected to release new
kids' TV rules. For this and other upcoming media policy events, see
http://www.benton.org/calendar.htm

TELEVISION
9-11 Commission Legislation Introduced
Second Digital TV Periodic Review
FCC to fine Viacom $0.5M for Super Bowl
CBS Realigns Entertainment Divisions

COMMENTARY
Media Congloms Muzzling Dissent
Bad Legislation Threatening Privacy, Innovation, Accounting

QUICKLY
Parties Meet on Copyright Inducement Language
FCC, FTC Fine Phone, TV Abusers
Are Hackers Using Your PC to Spew Spam and Steal?
53 Million American Adults are Instant Message Users

TELEVISION

9-11 COMMISSION LEGISLATION IS INTRODUCED
The 9/11 Commission report proposed that the digital television transition
should be accelerated to open more spectrum for first responders, so Sens
McCain (R-AZ) and Lieberman (D-CT) included the recommendation in the 9/11
Commission Report Implementation Act of 2004, introduced on Tuesday. The
legislation will put more pressure on broadcasters to vacate at least a
portion of the 700 MHz spectrum band -- where they broadcast their analog
signals -- to make room for public safety interests. The bill would direct
the FCC to assign 764-776 MHz and 794-806 MHz spectrum for public safety
services by January 1, 2007. The bill also includes a section requiring the
Department of Homeland Security to work with the FCC and Department of
Defense to develop interoperable communications in urban areas determined
to have a consistent threat of terrorist attack. The bill says first
responders should have interoperable communications with a variety of
entities, including military authorities and hospitals.
The legislation would also require the President to submit to Congress a
report on the strategy of the United States Government for expanding its
outreach to foreign Muslim audiences through broadcast media as well as an
assessment of potential incentives for, and costs associated with,
encouraging US broadcasters to dub or subtitle into Arabic and other
relevant languages their news and public affairs programs broadcast in the
Muslim world in order to present those programs to a much broader Muslim
audience than is currently reached.
[SOURCE: Communications Daily]
(Not available online)
The text of the bill can be found at Thomas or at
http://www.cdt.org/security/usapatriot/20040907implement.pdf

SECOND DIGITAL TV PERIODIC REVIEW
Although adopted early last month, the FCC released the Second Digital TV
Periodic Review Tuesday. The Commission believes the Order will hasten the
completion of the transition by: 1) Commencing an open channel election
process in November 2004 that will provide certainty to the marketplace and
ultimately result in a Final DTV Table of Allotments; 2) Establishing firm
deadlines for digital stations to increase their power levels to serve
additional viewers or lose interference protection to the un-served areas;
3) Requiring broadcasters to include PSIP information in their digital
broadcast signals, thus promoting closed captioning, v-chip, channel
numbering, and other functionality; 4) Eliminating, for now, the
simulcasting requirement to permit the transmission of additional
innovative programming on broadcast digital channels; 5) Providing clarity
regarding the interference protection for broadcasters in TV channels
51-69; 6) Clarifying digital closed captioning rules in order to ensure
that those services are consistently and effectively delivered; 7)
Mandating that, after an 18-month transition period, all digital television
receivers contain v-chip functionality that will permit the current TV
ratings system to be modified; and 8) Committing to opening a fast-track
proceeding on distributed transmission technology while agreeing to
consider individual deployments on a case-by-case basis in the interim.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-192A1.doc

FCC TO FINE VIACOM $0.5m FOR SUPER BOWL
The FCC, as early as this week, plans to fine CBS parent Viacom $550,000 --
$27,500 for each of the 20 CBS stations Viacom owns -- for Janet Jackson's
breast-exposing dance during the Super Bowl halftime show. However, the FCC
has no plans to fine CBS' 227 independent affiliate stations or to impose a
penalty for the steamy dance that preceded the breast baring. Commissioner
Jonathan Adelstein plans to partly dissent, arguing the CBS affiliates also
should have been fined for the episode. The FCC says Viacom should have
known the incident was going to occur and used a several-second delay or
other measure to prevent it. Jackson's choreographer told MTV.com before
the show that it would feature "some shocking moments." Viacom has since
been using a five-second delay for all live entertainment.
[SOURCE: USAToday, AUTHOR: Paul Davidson]
http://www.usatoday.com/printedition/money/20040908/superbowl08.art.htm

CBS REALIGNS ENTERTAINMENT DIVISIONS
Viacom co-president Leslie Moonves is realigning the management of the
company's CBS entertainment division and Paramount television production
studio, promising smoother and greater interaction between the two. He
wants the studio to work hand-in-hand producing TV series that fit the
needs of the network. The other television studios aligned with networks
have been more integrated. At the News Corporation, the Twentieth Century
Fox Television studio supplies many shows for the Fox network. The
Touchstone studio of the Walt Disney Company provides the bulk of its shows
for that company's network, ABC. And Universal Television, part of NBC
Universal under the parent company General Electric, is expected to produce
more shows for NBC.
[SOURCE: New York Times, AUTHOR: Bill Carter]
http://www.nytimes.com/2004/09/08/business/media/08tube.html
(requires registration)
Also covered in --
WSJ:
http://online.wsj.com/article/0,,SB109459090633411533,00.html?mod=todays...
LATimes:
http://www.latimes.com/business/printedition/la-fi-viacom8sep08,1,241718...

COMMENTARY

MEDIA CONGLOMS MUZZLING DISSENT
[Commentary] Maybe it should not be surprising that the media gave so
little coverage to demonstrators in New York last week. The parent
companies of the media are becoming increasingly reluctant to go out on a
limb about anything controversial. The corporate agendas of these mini
nation states have become so complex and politically sensitized that
anything perceived as out of the mainstream is automatically viewed by top
brass with suspicion. Today's corporate media would probably be much
happier to just churn out their franchises, sequels and remakes and to
mount increasingly entertainment-led newscasts. They likely wish that the
resurgence of polemical documentaries -- whose financial return is hard to
calculate and whose impact hard to predict -- would just dry up.
[SOURCE: Variety]
http://www.variety.com/article/VR1117910004?categoryid=1344&cs=1&s=h&p=0

BAD LEGISLATION THREATENING PRIVACY, INNOVATION, ACCOUNTING
[Commentary] Dan Gillmor is not very happy that Congress is back at work.
He criticizes 1) Junk Fax Prevention Act of 2004 (S 2603) which he says
will "open the floodgates for these intrusions into our lives" and 2) the
"Induce Act" (S 2560) (see story below) which, he writes, in the name of
halting copyright infringement, it would threaten all kinds of innovation.
He calls on readers to call senators in effort to kill the bills.
[SOURCE: San Jose Mercury News, AUTHOR:Dan Gillmor]
http://www.mercurynews.com/mld/mercurynews/business/technology/9607090.htm

QUICKLY

PARTIES MEET ON COPYRIGHT INDUCEMENT LANGUAGE
Senior Senate Judiciary Committee staffers, U.S. Copyright Office
officials, and industry representatives met Tuesday to discuss proposals to
modify legislation targeting inducement of copyright infringement. The fair
use community opposes a draft the Copyright Office shared last week,
calling it overbroad. Inducement language could be included with new
authority for the Department of Justice in a broader copyright bill aimed
at clearing Congress this year. The consumers electronics lobby and others
offered alternative legislation targeting indiscriminate, mass-infringing
distribution of copyrighted content, providing a safe harbor for ISPs and
reaffirming the Sony Betamax fair-use decision. Content producers faulted
the proposal, however, arguing it would be impossible to pursue a case
against anyone under the legislation. The Copyright Office takes a
different approach, targeting "overt acts" of infringement. The language
lists several ways someone can commit an overt act of inducing
infringement, but they aren't exhaustive, leaving open other possibilities.
Public Knowledge Legal Director Mike Godwin wrote that the "overt acts"
provision was subjective and could "induce (as it were) frivolous litigation."
Sens Hatch (R-UT) and Leahy (D-VT) have vowed to move legislation on
inducement this year.
[SOURCE: Communications Daily, AUTHOR: Patrick Ross]
(Not available online)
See also:
Bad Legislation Threatening Privacy, Innovation, Accounting
[SOURCE: San Jose Mercury News, AUTHOR:Dan Gillmor]
http://www.mercurynews.com/mld/mercurynews/business/technology/9607090.htm

FCC, FTC FINE PHONE, TV ABUSERS
A division of Primus Telecommunications Group agreed yesterday to pay
$400,000 to the FCC to settle allegations that the phone provider made
telemarketing calls in violation of the national do-not-call registry. The
allegations concerned the division of Primus's U.S. operations that sold
international long-distance to consumers. It generated about 40 percent of
its new customers through telemarketers hired to call and solicit potential
customers. But after more than 90 consumers complained that they were
contacted by Primus despite having registered their numbers on the list
that's supposed to fend off most telemarketing, the FCC launched an
investigation in December that led to the consent decree.
Meanwhile, the Federal Trade Commission acted to ban infomercial king Kevin
Trudeau "from appearing in, producing, or disseminating future infomercials
that advertise any type of product, service, or program to the public,"
meaning Trudeau can no longer appear on television except to sell products
that make no claims. The extraordinary prohibition, believed to be the
agency's first, puts the same limits on Trudeau's presentations in
newspapers, magazines and direct mail and on radio and the Internet. In
addition to the ban, Trudeau will pay $2 million to settle an FTC lawsuit
against him for claiming that a product called Coral Calcium Supreme can
cure cancer and a piece of plastic called Biotape can stop chronic pain
when stuck to the skin. To satisfy the fine, Trudeau will pay $500,000 in
cash and hand over one of his Southern California homes and his $180,000
Mercedes-Benz. If Trudeau is found to have lied about his wealth, he could
be liable for up to $20 million in damages.
[SOURCE: Washington Post]
http://www.washingtonpost.com/wp-dyn/articles/A3975-2004Sep7.html
http://www.washingtonpost.com/wp-dyn/articles/A3627-2004Sep7.html
(requires registration)

ARE HACKERS USING YOUR PC TO SPEW SPAM AND STEAL?
In part 1 of a series called PCs under attack, USAToday examines how since
early 2003, wave after wave of infectious programs have begun to saturate
the Internet, causing the number of PCs hijacked by hackers and turned into
so-called zombies to soar into the millions, helping some commit crimes
online. "Consumers should demand what they do of other utilities," says Kip
McClanahan, CEO of security firm Tipping Point. "When I pay my water bill,
I expect my water to be drinkable out of the tap. Today, when you pay your
Internet bill, the data you get is not consumable."
[SOURCE: USAToday, AUTHOR:Byron Acohido and Jon Swartz]
http://www.usatoday.com/printedition/money/20040908/1b_victimcover08.art...

53 MILLION AMERICAN ADULTS ARE INSTANT MESSAGE USERS
Some 42% of online Americans use instant messaging (IM), and 24% of instant
messagers say they use IM more frequently than email. This translates to
53 million American adults who instant message and over 12 million who IM
more than emailing. The new survey by the Pew Internet & American Life
Project also finds that instant messaging is especially popular among
younger adults and technology enthusiasts. 62% of Gen Y Americans (those
ages 18-27) report using IM. Within the instant messaging Gen Y age group,
46% report using IM more frequently than email. IM is more than a tool for
chatting. It is also a popular tool for self-expression. Instant
messengers take advantage of customizable features such as profiles and
icons to enhance their online presence. A third of IM users (34%) have
posted a profile for their IM screen name that others can see, and nearly
half (45%) post away messages when they are not available to chat.
Twenty-one percent of IM-ing Americans instant message at the office; they
find it encourages interoffice cooperation and increases work productivity.
When asked who they contact most often during IM sessions at work, 40% of
at-work IM users reported instant messaging coworkers, 33% reported friends
and family, and 21% interact with both groups equally.
[SOURCE: Pew Internet & American Life Project]
http://www.pewinternet.org/PPF/r/133/report_display.asp
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------