November 2004

Back to business in DC with comments due this week on broadcast localism
and unlicensed use of spectrum; forums on universal service and
intellectual property; and the Supreme Court considering cable modems and
media ownership rules. For these and other upcoming media policy events,
see http://www.benton.org/calendar.htm

MEDIA, ELECTIONS & GOVERNING
$1.6 Billion Spent on Political TV Ads in 2004
In a Sign of the Times, Ukrainian TV Interpreter Makes Bold On-Air Move
Anchor's Ouster Stirs Furor Over Berlusconi's Oversight of Media

MEDIA POLICY
Boxing Bill Has Congressional Telecom Work in Clinch
FCC Reiterates Tougher Smut Rules
In Battle Over Values, Will the Family PC Be the Next Target?
Comcast: FCC Should Ease Regulation
TV, Today and Tomorrow

TELECOM POLICY
FCC Warns SBC on Net Phones
Adelstein's Supporters Helped Win Renomination

QUICKLY TV Lobbying; Cingular to Sell Assets; Film Studios Win Suit Against
Web Site;
"Serious" Video Games; Europe Stalls ContentGuard Deal

MEDIA, ELECTIONS & GOVERNING

$1.6 BILLION SPENT ON POLITICAL TV ADS IN 2004
Candidates, parties and independent groups spent more than $1.6 billion on
television ads in 2004, a record for any campaign year and double the
amount spent in the 2000 presidential election. A total of 1,950,737
political spots aired this year on 615 stations in the nation's top 100
markets. At 30 seconds each, that would be the same as 677 solid days of
advertising. The deluge of ads swamped the meager campaign coverage that
most local stations offered this fall. According to the Lear Center Local
News Archive, in presidential battleground states, a half-hour of local
news averaged almost six minutes of campaign advertising, but only three
minutes of campaign news. Forty-five percent of all campaign stories were
about strategy or horserace, while only 29 percent focused on campaign
issues. Ad watch stories, which truth-check the political commercials, made
up less than one percent of campaign stories in the study's sample.
"Television air time is the number one cost center for candidates in
competitive races," said Meredith McGehee, president of the Alliance for
Better Campaigns. She characterized the heavy ad spending as "an enormous
election-year windfall for broadcasters, who receive free licenses to
operate on the publicly-owned airwaves."
[SOURCE: Alliance for Better Campaigns Press Release]
http://bettercampaigns.org/press/release.php?ReleaseID=65
See also:
http://www.tvweek.com/news.cms?newsId=6800

IN A SIGN OF THE TIMES, UKRAINIAN TV INTERPRETER MAKES BOLD ON-AIR MOVE
Ukraine's state TV channel wasn't broadcasting demonstrations by hundreds
of thousands of supporters of Viktor Yushchenko, the pro-Western candidate
who believes that the presidency was stolen from him through
government-sponsored fraud, so the channel's sign-language interpreter
adopted guerrilla tactics to break the information blockade. Conspiring
with her makeup artist, Ms. Dmytruk tied an orange ribbon inside her
sleeve. Orange is the color of Mr. Yushchenko's campaign, and of the
spreading protest movement that many Ukrainians now call the Orange
Revolution. Then after interpreting the news broadcast for the deaf on Nov.
25, Ms. Dmytruk bared her wrist. "Everything you have heard so far on the
news was a total lie," she says she told viewers in sign language.
"Yushchenko is our true president. Goodbye, you will probably never see me
here again." But a funny thing happened on her way to oblivion... she was
greeted with hugs from her shocked colleagues and even the station's
technicians and the staffs of the daily children's show and other
nonpolitical programs decided to join the strike over the coverage, some of
them inspired by Ms. Dmytruk's broadcast. A few hours later, the evening
newscast opened with a pledge to resist censorship in the future. Ms.
Dmytruk was also back on the air the next morning. Management at the two
other main television networks caved in the same day and allowed balanced
reporting. The break of the government's stranglehold over mass media
proved a turning point in Mr. Yushchenko's campaign to annul the official
results of the Nov. 21 election.
[SOURCE: Wall Street Journal, AUTHOR: Yaroslav Trofimov
yaroslav.trofimov( at )wsj.com]
http://online.wsj.com/article/0,,SB110168408811185171,00.html?mod=todays...
(requires subscription)
See also:
http://www.nytimes.com/2004/11/28/international/29media.ready.html?oref=...

ANCHOR'S OUSTER STIRS FUROR OVER BERLUSCONI'S OVERSIGHT OF MEDIA
When he first started running for public office more than a decade ago,
Silvio Berlusconi, the billionaire media tycoon who became prime minister,
was often ribbed as Sua Emittenza -- "His Broadcastership." Allegations
that his vast television and publishing empire posed a serious conflict of
interest with running the country have followed him ever since. The latest
controversy surrounds the dismissal of one of Italy's most popular and
respected anchormen, Enrico Mentana, from the nightly newscast on the
Berlusconi-owned Channel 5. After 13 years, Mentana was taken off the air,
given other duties and replaced by the editor of Panorama, a
Berlusconi-owned magazine. Mentana's removal immediately raised concerns
that Berlusconi was acting to assure the media's bland obedience. Mentana
was known for independence and for occasionally airing reports critical of
the prime minister or his right-wing party.
[SOURCE: Los Angeles Times, AUTHOR:Tracy Wilkinson]
http://www.latimes.com/news/printedition/asection/la-fg-media29nov29,1,4...
(requires registration)

MEDIA POLICY

BOXING BILL HAS CONGRESSIONAL TELECOM WORK IN CLINCH
The spectrum relocation trust fund, enhanced 911 (E-911), junk faxes, and
the universal service fund anti-Deficiency Act modification. All these
items are being held up because of boxing. No, I'm not being metaphorical.
The House has passed legislation dealing with all these issues, but the
Senate has not acted because Commerce Committee Chairman John McCain wants
ensure action on a bill designed to give boxers more protection and lessen
the influence of promoters. The House has considered, but not acted on, a
similar bill. Sources supportive of either Sen McCain or his House
counterpart, Rep Joe Barton (R-TX) used harsh rhetorical language to pin
blame on the other. Each source said the opposing politician's stubbornness
would lead to schools losing E-rate funding, safety lapses due to no E-911
funding and a dearth of spectrum for wireless services.
[SOURCE: Communications Daily 11/26, AUTHOR: Terry Lane]
(Not available online)

FCC REITERATES TOUGHER SMUT RULES
In a proposed fine against Beasley Broadcast Group's WQAM(AM) Miami, the
FCC took pains to reiterate its toughened indecency standards for radio and
TV. Beasley argued that the broadcast in question "makes use of 'innuendo
and double entendre' that would not have an 'inescapable and understandable
sexual or excretory import' to children, and cannot therefore give rise to
a finding of indecency." The FCC disagreed, saying they "clearly relay
sexual images that are patently offensive." Beasley also argued the
excerpts were short and out of context and that they did not violate the
community standards of Miami. The FCC countered that they were long enough,
were clearly intended to pander and titillate, and that they did violate a
"reasonable person" standard. The Commission wrote, "We reiterate our
recent statement that multiple serious violations of our indecency rule by
broadcasters may well lead to license revocation proceedings. We also
remind broadcasters that separate utterances within a single broadcast may
be considered separate violations for purposes of determining forfeitures
under our indecency rules."
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA483315?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

IN BATTLE OVER VALUES, WILL THE FAMILY PC BE THE NEXT TARGET?
[Commentary] If the country goes on a values campaign, how long will it
take for the Internet-enabled PC to become a target? Politicians,
especially conservative ones, regularly take on "Hollywood values" as
shorthand for a poisonous social force; that was part of the dynamic of the
recent political campaign. But they haven't yet in great numbers taken what
could be considered the next logical step: moving from the living room to
the den to do the same with the Internet and the computer. There was a
Senate Commerce Committee hearing in Washington this month about Internet
pornography at which witnesses made the case that the situation with erotic
material online was analogous to the worst sort of drug epidemic. Using the
language of addiction would make an anti-porn crusade a matter of public
health rather than public morals. Yet it's hard to see anything close to a
social consensus developing around that issue, the way there might be for
one involving ultraviolent video games. Right now, the U.S. television
networks are very busy looking over their shoulders as they decide the
sorts of things they should put on the air. It isn't hard to imagine a
similar kind of response occurring among people responsible for various
parts of the computer industry, even if they don't have anything like the
same sort of direct control over content that broadcasters do. The computer
and the Internet have established themselves as an integral part of many
homes; small wonder if some people will begin to wonder what is being let in.
[SOURCE: Wall Street Journal, AUTHOR: Lee Gomes lee.gomes( at )wsj.com]
http://online.wsj.com/article/0,,SB110168430408285177,00.html?mod=todays...
(requires subscription)

COMCAST: FCC SHOULD EASE REGULATION
With the Federal Communications Commission nearing release of its annual
pay-TV-competition report to Congress, Comcast is urging the agency to roll
back rules that the cable giant said are inconsistent with a competitive
pay TV market. Specifically, Comcast wants a rule that would totally
deregulate all cable systems in a state where direct-broadcast satellite
penetration exceeds 15%. Current rules require cable operators to prove
that an individual franchise area has 15% penetration by pay TV rivals.
Comcast's proposal would result in total cable deregulation in 41 states,
according to data the National Cable & Telecommunications Association
submitted to the FCC July 23. Comcast also urged the FCC to "initiate a
review" of its program-access rules, which require Comcast to sell its
satellite-delivered programming to EchoStar and DirecTV. The FCC, Comcast
said, should eliminate the rule prior to its October 2007 sunset, or at
least allow the company to withhold programming from EchoStar and DirecTV,
which are allowed to secure exclusive program rights with affiliated and
unaffiliated programmers and not sell those services to cable operators.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA483302.html?display=Breaking+News
(requires subscription)

TV, TODAY AND TOMORROW
BusinessWeek has a special report on digital television this week and
identifies three drivers for DTV adoption: broadband Internet, wireless
home networking, and high-definition broadcasting. Included in the package
of articles is a look at the "spectrum showdown." Broadcasters received
free electronic airwaves -- which are technically owned by the public and
controlled by the federal government -- for digital transmissions. In
return, they had to give back the airwaves they now use for their old
analog broadcasts, which had been doled out over several decades. But they
didn't have to return it until 85% of U.S. households receive digital
signals or the year 2006, whichever came later. Now patience is running out
for the broadcasters to turn in that valuable piece of the sky. The year
2006 is just around the corner, and carriers are now sending digital
signals that reach 85% of households in just about all of the nation's 210
TV markets (even though not all those households have digital-ready TVs).
The spectrum is very valuable to wireless technologies from cell phones to
wireless, high-speed Internet access. But regulators and lawmakers have
lacked the political will so far to boot the powerful broadcasters out of
their analog space.
[SOURCE: BusinessWeek]
http://www.businessweek.com/technology/tc_special/tc_04hdtv.htm

TELECOM POLICY

FCC WARNS SBC ON NET PHONES
The FCC told phone giant SBC Communications to make sure a new pricing plan
it is offering to Internet phone companies isn't a back-door attempt to
levy higher fees on an emerging technology, or the company could face an
investigation. In a statement released Friday, FCC Chairman Michael Powell
said it appears that a new tariff SBC last week said it would charge
doesn't necessarily raise questions because it's not mandatory and Internet
phone companies can continue to use lower-cost alternatives. But, he added,
"should we conclude that this tariff is being used to justify the
imposition of traditional tariffed access charges on [Internet phone]
providers or to discriminate against SBC's competitors, the commission will
take appropriate action including, but not limited to, initiating an
investigation."
[SOURCE: Wall Street Journal]
http://online.wsj.com/article/0,,SB110150508756684437,00.html?mod=todays...
(requires subscription)
See also:
[SOURCE: C-Net|News.com, AUTHOR: Reuters]
http://news.com.com/FCC+is+watching+SBCs+VoIP+charge/2100-7352_3-5468448...
Statement by FCC Chairman Powell:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-254681A1.doc

ADELSTEIN'S SUPPORTERS HELPED WIN RENOMINATION
The renomination of FCC Commissioner Jonathan Adelstein to another FCC term
surprised many industry observers who thought his chance to stay on the FCC
ended with the defeat of his mentor, Senate Minority Leader Thomas Daschle
(D-SD). But apparently Daschle's defeat itself jump-started Adelstein's
stalled nomination. Commissioner Adelstein's strong focus on rural issues
helped him win the support of rural commercial interests and Republicans in
rural states around the country -- including John Thune (R-SD), the man who
defeated Daschle. Before the election, Adelstein's main foe appears to have
been President Bush's chief political adviser Karl Rove who did not want to
do anything that could appear to be a help for Daschle. Several sources
questioned why President Bush would re-appoint a commissioner who held
opposite views on several issues -- particularly media ownership -- but one
offered a well-known saying to describe Bush's rationale: "The devil you
know is better than the devil you don't." Several sources speculated that
while other candidates for the Democratic seat may have offered a change
from Adelstein on some fronts, the Administration still needed to find a
Democrat for the seat who would be supported by Senate Democrats. As one
industry source told us, once the political war of the elections ended,
both Republicans and Democrats had interests in putting the fighting aside
and moving nominees that both could agree on. Adelstein was just one of
the more than 170 nominees that the Senate agreed to.
[SOURCE: Communications Daily 11/29, AUTHOR: Terry Lane]
(Not available online)

QUICKLY

RETURNING TO THE GENRE HE STARTED
A look at the godfather of TV lobbying, Ben Goddard. In 1993, several chief
executives of health insurance companies approached Goddard and his partner
in media consulting, Rick Claussen. President Bill Clinton had just
proposed a sweeping health care program. If he got his way, one of the
executives told Goddard, "I'm out of business." Goddard suggested a radical
solution -- an advertisement nicknamed "Harry and Louise" after the
fictional couple that did all the talking. To the shock of many insiders,
it killed the president's initiative and launched a lobbying-by-television
wave. Goddard now says he foresees rapid growth in the already widely used
method. He also expects an increasing use of innovative formats, especially
via the Internet.
[SOURCE: Washington Post, AUTHOR: Jeffrey H. Birnbaum]
http://www.washingtonpost.com/wp-dyn/articles/A18417-2004Nov28.html
(requires registration)

CINGULAR TO SELL ASSETS TO ALLTEL AS PART OF AT&T WIRELESS DEAL
Alltel, the country's sixth-biggest cellular carrier with 8.2 million
subscribers, will buy licenses, network equipment and subscribers from
Cingular Wireless for $170 million to help Cingular meet federal
divestiture requirements as part of its purchase of AT&T. Roughly 200,000
customers will be transferred to Alltel as part of the deal which will need
approval by federal regulators.
[SOURCE: Wall Street Journal, AUTHOR: Jesse Drucker jesse.drucker( at )wsj.com]
http://online.wsj.com/article/0,,SB110147884694084250,00.html?mod=todays...
(requires subscription)

FILM STUDIOS WIN $24 MILLION AGAINST WEB SITE
Hollywood's major movie studios said they won a $23.8 million judgment
against a California company and its Malaysian owner for operating a Web
site that charged customers to download illegally copied movies.
[SOURCE: Reuters]
http://www.reuters.com/newsArticle.jhtml;jsessionid=H5TNDIUFKQ4G2CRBAE0C...

VIDEO GAMES TEACH MORE THAN HAND-EYE COORDINATION
Video games, often maligned as having little or no redeeming value, are
becoming a way for firefighters, soldiers, currency traders and college
administrators to hone their skills. See more about "serious games" at the
URL below.
[SOURCE: Reuters, AUTHOR: Andy Sullivan]
http://www.reuters.com/newsArticle.jhtml;jsessionid=CU1XBRYWMAJP0CRBAEKS...

EUROPE STALLS CONTENTGUARD DEAL
Since April, Microsoft and Time Warner have been trying to purchase
ContentGuard, a pioneer in digital rights management (DRM). But, in an
indication of just how important the world of digital rights has become,
the deal has been stalled while the European Commission considers whether
the purchase would give Microsoft a monopoly in the digital-rights
management market.
[SOURCE: New York Times, AUTHOR: Victoria Shannon]
http://www.nytimes.com/2004/11/29/technology/29newecon.html
(requires registration)
--------------------------------------------------------------
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.
--------------------------------------------------------------

For upcoming media policy events, see http://www.benton.org/calendar.htm

With over 80,000 comments filed in the FCC's Localism inquiry, the National
Association of Broadcasters has requested and received an extension on the
due date for Reply Comments. They are now due Monday, January 3, 2005 -- so
get reading!
[SOURCE: Federal Communications Commission]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-04-3657A1.doc

TELEVISION POLICY
Major Networks May Challenge Rationale of Media Ownership Regulation
Broadcasters, FCC Clash on DTV Plan
DTV-Deadline Push Crashes
TV Stations Slow to Invest in New Time Delay Tools
PTC, McCain Slam a la Carte Report
Congress Approves Funds for Public Broadcasting
Guard Story Not Political, Says Redstone

INTERNET
E-Rate Accounting Problem Awaits Action
Telecom Giants Oppose Cities On Web Access
Between Big Media and Brotherly Love
Growth of High-Speed Internet Disappoints Some Experts

INTELLECTUAL PROPERTY
Senate Passes Scaled-Back Copyright Measure
Providing Videogames, Movies In a Family-Friendly Format

TELEVISION POLICY

MAJOR NETWORKS MAY CHALLENGE RATIONALE OF MEDIA OWNERSHIP REGULATION
NBC Universal, News Corp. and Viacom on Monday informed the United States
Supreme Court that they're seriously considering urging the high court to
overturn its landmark Red Lion Broadcasting Co. v. FCC decision -- the case
that established the bedrock legal rationale for subjecting broadcasters to
media ownership regulation and other special rules. In its 1969 Red Lion
decision, the high court said that the fact that broadcasters used a scarce
government resource to deliver their programming over the air justified
special Federal Communications Commission regulation of the industry in the
public interest.
[SOURCE: TVWeek, AUTHOR: Doug Halonen]
http://www.tvweek.com/news.cms?newsId=6779

BROADCASTERS, FCC CASH ON DTV PLAN
The trade press is abuzz with news that broadcasters are organizing a
coalition, led by NBC Universal, dedicated to derailing a Federal
Communications Commission plan that would likely terminate analog TV in the
United States Dec. 31, 2008. An official announcement on the creation of
the coalition is expected today and will include the National Association
of Broadcasters, ABC and CBS affiliate groups, minority and rural
representatives and some broadcast unions. It will go by the name Coalition
for a Smart Digital TV Transition. [The name "Coalition for Slowing the
Digital TV Transition to a Snail's Pace" was already taken.] The Coalition
of the (un)willing is taking their message to Congress given House Energy
and Commerce Committee Chairman Joe Barton (R-TX) support for a Dec. 31,
2006 deadline for the transition to digital-only TV broadcasting. He
supports set-top subsidies to ensure that at least the poor continued to
have access to free TV could with funding coming from the auction of the
returned analog spectrum. The FCC is also considering a plan that would end
the transition by 2009 and is considering a December vote on that plan.
Putting the public first (as always) "[t]he Coalition is united in asking
the FCC not to act in December 2004, before the American public can weigh
in on its plan," the group told a gathering of key Hill staffers Monday.
B'casters Trying to Derail Ferree Plan
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA482700.html?display=Breaking+News
(requires subscription)
Broadcasters Push DTV-Decision Delay
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA482314.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

DTV-DEADLINE PUSH CRASHES
The intelligence reform bill stalled in Congress this week, so that means
provisions that would set a hard date for the return of analog TV licenses
for channels 62 and higher. The bill could still move in December but
disputes about other provisions are holding it up. The spectrum would be
allocated by public safety officials; their lack of spectrum is seen as a
contributing factor to the difficulties of emergency workers on 9/11.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA482315.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

TV STATIONS SLOW TO INVEST IN NEW TIME DELAY TOOLS
Despite recent profanity utterances during live broadcasts, which could
result in FCC indecency fines, many
TV stations are slow to adopt new technology that would automatically bleep
out indecent content, several technology
suppliers said. Smaller TV stations in particular are unprotected, largely
for financial reasons, they said. Radio stations, however, are adopting the
technology, mainly because of the view that FCC indecency enforcement comes
down harder on radio.
[SOURCE: Communications Daily, AUTHOR: Tania Panczyk-Collins]
(Not available online)

PTC, McCAIN SLAM A LA CARTE REPORT
The Parents Television Council, claiming that cable television is flooded
with obscene and pornographic content, ripped a Federal Communications
Commission report that found that the per-channel sale of cable networks
would cause more harm than good, even for subscribers who want to block
indecent content. "The FCC's report on 'a la carte' was hopelessly
inadequate, as it barely mentioned the prime reason why so many people want
cable choice: Cable is completely awash in raunch," PTC executive director
Tim Winter said in a prepared statement. Because of the PTC's
dissatisfaction with the FCC's study, Winter said his group would ask the
agency to prepare a new report on indecent cable programming and demand
that the cable industry yield on the a la carte issue. The PTC released a
study last week that included excerpts from Comedy Central, MTV: Music
Television, E! Entertainment Television, Spike TV, TBS and FX that the
group said proved that basic "cable was awash in raunch" that had to be
stopped if a la carte were not an option.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA482272.html?display=Breaking+News
(requires subscription)

CONGRESS A[PPROVES FUNDS FOR PUBLIC BROADCASTING
Over the weekend, the Congress approved the final FY 2005 omnibus
appropriations measure. It included $400 million for CPB in FY 2007; $39.7
million in digital transition funds for FY 2005; and $40 million in public
television interconnection funds for FY 2005. In addition to the CPB
accounts, the omnibus funded the following public broadcasting programs:
Ready to Learn -- $23.5 million for FY 2005; Ready to Teach -- $14.4
million for FY 2005; and Public Telecommunications Facilities Program
(Department of Commerce) -- $21 million for FY 2005. All FY 05 funding is
subject to an .83 percent across-the-board reduction, including CPB's
current year FY 2005 appropriation, approved in 2002. In addition, three
board members who were up for confirmation were also approved over the
weekend--Claudia Puig, Univision Radio; Gay Hart Gaines, Regent, board of
Mount Vernon; Ernest J. Wilson III, professor, University of Maryland.
Wilson was for a second term, the other two had been recess appointments.
[SOURCE: Corporation for Public Broadcasting Press Release]
http://www.cpb.org/programs/pr.php?prn=388
http://www.broadcastingcable.com/article/CA482435.html?display=Breaking+...

GUARD STORY NOT POLITICAL, SAYS REDSTONE
Although he keeps a distance from the decisions of CBS News, Viacom
Chairman Sumner Redstone said he does not believe 60 Minutes' story about
President Bush's National Guard service was politically motivated. If it
were, he added, everyone would be fired. [So, come on all you
conservatives, its OK to watch my TV network news again.] He also commented
on the Monday Night Football fiasco saying the intro was inappropriate, but
not illegal.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA482701.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

INTERNET

E-RATE ACCOUNTING PROBLEM AWAITS ACTION
The E-rate accounting problems have not been fixed yet by Congress and
could mean steep increases in consumers' long distance bills. For E-rate
recipients this could also mean shutting down existing services that might
not be receiving subsidies soon. The problem with the legislative fix
suggested during the lame-duck Congress is that it has now been scored by
the Congressional Budget Office with Congress estimating it would increase
the program's budget.
[SOURCE: Communications Daily, AUTHOR: Terry Lane, Edie Herman]
(Not available online)

TELECOM GIANTS OPPOSE CITIES ON WEB ACCESS
Many cities have plans to turn their municipalities into vast Wi-Fi hot
spots with free or very low-cost wireless Internet connections. But, writes
Drucker, that's bad news for the large Bell telephone companies and cable
operators, who are looking to their digital-subscriber-line (DSL) and
cable-modem businesses for growth. Legislation awaiting the governor's
signature in Pennsylvania would make it illegal for any "political
subdivision" to provide to the public "for any compensation any
telecommunications services, including advanced and broadband services
within the service territory of a local exchange telecommunications company
operating under a network-modernization plan." Critics denounce this
legislative tactic, arguing that the U.S. lags behind other countries in
broadband Internet access because the phone and cable companies have been
slow to roll out the service in some areas. "We should be encouraging our
municipalities to take a major role in broadband, the way other countries
are doing," says James Baller, a big-hearted attorney in Washington, D.C.,
who represents local governments on telecommunications issues. The telecom
companies argue that it is unfair for them to have to compete against the
government. They say that the legislation enables them to improve service
to their customers by investing in their networks.
[SOURCE: Wall Street Journal, AUTHOR: Jesse Drucker jesse.drucker( at )wsj.com]
http://online.wsj.com/article/0,,SB110116864041881375,00.html?mod=todays...
(requires subscription)

BETWEEN BIG MEDIA AND BROTHERLY LOVE
[Commentary] Banish the notion that America's communications industry helps
nurture technological innovation that makes media more accessible to
average Americans. The reality today is that we live in an era where large
corporations work hand-in-hand with lobbyists and compliant legislators to
stifle any technology that returns control of our media system to the
public. The latest evidence lies hidden within proposed legislation that
would effectively kill efforts in Philadelphia to provide citywide wireless
access at little or no charge.
[SOURCE: MediaChannel.org, AUTHOR: Timothy Karr]
http://www.mediachannel.org/views/dissector/affalert292.shtml

GROWTH OF HIGH-SPEED INTERNET DISAPPOINTS SOME EXPERTS
Some coverage of the Department of Commerce report, A Nation Online:
Entering the Broadband Age. The number of Americans using fast Internet
connections doubled from 2001 through late 2003, still below some
expectations and especially low among minority groups and people in rural
areas. Only 1 in 7 blacks and fewer than 1 in 8 Hispanics lives in a
household with broadband service while one in four white Americans used
high-speed connections at home. In urban areas, 40.4% of households used
fast connections; only 24.7% of rural users did. Significant numbers of
rural residents said they couldn't subscribe to high-speed services because
none was available. Most Americans who did not use fast connections said
service was either too expensive or they did not need it.
[SOURCE: USAToday, AUTHOR: Ted Bridis, Associated Press]
http://www.usatoday.com/printedition/news/20041123/a_internet23.art.htm

INTELLECTUAL PROPERTY

SENATE PASSES SCALED-BACK COPYRIGHT MEASURE
The Senate has voted to outlaw several favorite techniques of people who
illegally copy and distribute movies -- secretly videotape movies when they
are shown in theaters AND hackers and industry insiders who distribute
music, movies or other copyrighted works before their official release
date. Left out were several more controversial measures that would
criminalize the actions of millions of U.S. Internet users who copy music
and movies for free over "peer to peer" networks like Kazaa. The bill also
shields "family friendly" services like ClearPlay that strip violent or
sexually explicit scenes from movies. Hollywood groups say such services
violate their copyrighted works by altering them without permission.
Gigi B. Sohn, president of Public Knowledge said, "Consumers won a major
victory when the Senate passed legislation removing the most egregious
elements of the omnibus copyright bill that had previously been under
consideration. We strongly support the version of the Family Movie Act,
included in the bill, which gives families more control over how they watch
movies and television, preserving the right to skip over commercials. The
bill will benefit consumers, both in their entertainment choices now, and
from the innovation in technology that will result in coming years."
[SOURCE: Reuters, AUTHOR: Andy Sullivan]
http://www.reuters.com/newsArticle.jhtml;jsessionid=DZYT5QPY22MLICRBAEZS...
See also:
http://www.broadcastingcable.com/article/CA482582?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
http://www.publicknowledge.org/pressroom/pressrelease.2004-11-22.6500991518

PROVIDING VIDEOGAMES, MOVIES IN A FAMILY-FRIENDLY FORMAT
eGames and other small businesses have pursued their own niche --
family-friendly entertainment -- saying there's a rising demand for games
and movies without the profanity, sex and violence often featured in the
top sellers of large movie studios and videogame publishers. While eGames
develops original content, a handful of start-ups have found a market
offering family-friendly versions of Hollywood-produced entertainment.
Principle Solutions sells a filter, TVGuardian, which mutes objectionable
words in television programming and DVDs by reading the closed-captioning
signal for the hearing-impaired. CleanFlicks Media produces edited copies
of movies for rental and sale that cut what company President Allan Erb
deems unnecessary sex and violence, as well objectionable language. Film
studios and the Directors Guild of America are suing CleanFlicks and
several other firms that sell electronic filters, alleging copyright and
trademark infringement. CleanFlicks says there has been no violation of the law
[SOURCE: Wall Street Journal, AUTHOR: Peter Loftus peter.loftus( at )dowjones.com]
http://online.wsj.com/article/0,,SB110117376262381535,00.html?mod=todays...
(requires subscription)
--------------------------------------------------------------
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.
--------------------------------------------------------------

For upcoming media policy events, see http://www.benton.org/calendar.htm

INDECENCY/BROADCASTING
Hill Takes Pass on DTV, Smut
FCC Crackdown Could Spread
Bono's New Casualty: 'Private Ryan'
FCC Must Sharpen Indecency Guidelines
A Racy TV Promo Gets Iced, and So Does 'Private Ryan'
Protect Young Eyes and Ears
Desperate Move Likely Would Get Walt's Approval
Sinclair's News Central

CABLE
FCC Report Pans a la Carte
PTC Blasts Basic
Fox News Channel Can Air In Canada, Regulator Says

INTERNET
A Nation Online: Entering the Broadband Age
Web Media Buyouts Coming? Kinda
Web Tax Holiday

QUICKLY: Karmazin to Sirius; Adelstein, CPB Nominees testify before Senate
Commerce;
Pappas get more time to appeal

INDECENCY/BROADCASTING

HILL TAKES PASS ON DTV, SMUT
Speaking after the Senate Commerce Committee hearing Thursday, Sen John
McCain (R-AZ) said Congress will not try to pass indecency legislation or a
digital TV transition plan this year. Too many lawmakers want to add
controversial provisions to a bill that would raise fines for indecency
violations and require the FCC to take the violations into account when
renewing TV and radio licenses to pass the legislation quickly.
Broadcasters can rest easy, however. "Sooner or later this is going to be
enacted," he said. On the issue of the transition to DTV, McCain said:
"It's too big an issue with the American people." Congress will pass a
non-binding resolution stating when lawmakers want TV stations to complete
the switch to DTV and return their old analog channels to the government,
he predicted. The date of the proposed deadline was still under negotiation.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell ]
http://www.broadcastingcable.com/article/CA481593?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

FCC CRACKDOWN COULD SPREAD
With support from both Republicans and Democrats, the FCC is poised to get
even more aggressive about enforcing moral values throughout broadcasting,
even putting cable television and satellite radio in its cross hairs. It
looks like only the courts will stand in the way of the FCC now, but
conservative judges might just say no. After all, not too long ago the
Supreme Court rejected efforts to censor the Internet. The FCC guidelines
remain vague, making it unclear exactly what is allowed. "The FCC has been
trying to hide behind ambiguity, but that ambiguity has problems," said
Andrew Jay Schwartzman, president of the Media Access Project. While
clearer rules sound good in principle, Schwartzman said they're unlikely to
pass constitutional muster. "The various pending appeals are going to force
the FCC to clarify, but once clarified I'm not sure things will stick up in
court."
[SOURCE: Wired News, AUTHOR: Randy Dotinga]
http://www.wired.com/news/politics/0,1283,65734,00.html?tw=wn_tophead_1

BONO'S NEW CASUALTY: 'PRIVATE RYAN'
[Commentary] What has changed since ABC affiliates aired "Saving Private
Ryan" in 2002? A government with the zeal to control both information and
culture has received what it calls a mandate. Media owners who once might
have thought that complaints by the American Family Association about a
movie like "Saving Private Ryan" would go nowhere are keenly aware that the
administration wants to reward its base. Merely the threat that the FCC
might punish a TV station or a network is all that's needed to push them
onto the slippery slope of self-censorship before anyone in Washington even
bothers to act. This is McCarthyism, "moral values" style. If these media
outlets are afraid to show a graphic Hollywood treatment of a 60-year-old
war starring the beloved Tom Hanks because the feds might fine them, toy
with their licenses or deny them permission to expand their empires, might
they defensively soften their news divisions' efforts to present the
graphic truth of an ongoing war? The pressure groups that are exercised by
Bono and "Saving Private Ryan" are often the same ones who are campaigning
to derail any news organization that's not towing the administration line
in lockstep with Fox. In this diet of "news" championed by the right,
there's no need for actual reporters who gather facts firsthand by leaving
their laptops and broadcast booths behind and risking their lives to bear
witness to what is actually happening on the ground in places like Falluja
and Baghdad. The facts of current events can become as ideologically
fungible as the scientific evidence supporting evolution. Whatever
comforting version of events supports your politics is the "news."
[SOURCE: New York Times 11/21, AUTHOR: Frank Rich]
http://www.nytimes.com/2004/11/21/arts/21rich.html
(requires registration)

FCC MUST SHARPEN INDECENCY GUIDELINES
[Commentary] The decision by roughly a third of all ABC Network affiliates
to pull the Academy Award-winning epic movie "Saving Private Ryan" last
week because of fear of fines and other penalties by the Federal
Communications Commission is an appalling example of how the recent
campaign against so-called indecency on television is having a chilling
effect on free speech. The FCC's mixed signals and the endless posturing by
Congress and the White House have the effect of impeding free TV at a time
it is in a fight for its very existence. It is a joke for politicians to
think they can control what anyone will watch. Timid programming will just
drive even more viewers to cable and satellite TV, where movies like
"Saving Private Ryan" may be seen uncut without any problem. It is time for
the FCC and Congress to make the rules crystal clear and level the playing
field for everyone.
[SOURCE: TVWeek, AUTHOR: Editorial Staff]
http://www.tvweek.com/article.cms?articleId=26468

A RACY TV PROMO GETS ICES, AND SO DOES 'PRIVATE RYAN'
[Commentary] What's to be made of the ruckus? Perhaps just that TV viewers
are perfectly capable of expressing their distaste for content and getting
results. Were it not for the agency that sets standards for over-the-air
TV, the Federal Communications Commission, this would be just a simple
story about a minor mistake quickly corrected. But nothing is simple when
you're the taste police. Certainly TV gives parents plenty to complain
about. But the FCC's attempts to dictate taste leave only a muddled mess.
The erectile-dysfunction ads proliferate untouched. So does a wide
assortment of sexually suggestive programming. And that's before getting to
the sex on cable TV, which, thankfully, is beyond the FCC's reach.
Meanwhile, Saving Private Ryan gets canned, even though viewers could
easily be alerted to the sensitivity of the content. So pipe up, turn the
dial, organize boycotts. But don't ask Powell to be your nanny. No
government censor is up to the task.
[SOURCE: USAToday, AUTHOR: Editorial Staff]
http://www.usatoday.com/printedition/news/20041119/edit19.art.htm

PROTECT YOUNG EARS AND EYES
[Commentary] ABC's Monday Night Football opener is an excellent example of
why simply changing the channel or turning off the TV is not a viable
option for the viewing public. ABC gave no rating, no warning. Nothing
prepared parents for intro when millions of kids were tuned in for a
football game. ABC and the other networks are media giants, making an
offended viewer's voice less than a blip on their radar screen. They can
ignore you, but they can't ignore the FCC. AMA believes it should be OK to
air "Saving Private Ryan" on TV -- just not during primetime. The FCC has
clearly stated that broadcasting the "F" word is illegal between the hours
of 6 a.m. and 10 p.m., when children are likely to be watching TV. ABC made
the conscious decision to violate the law. As a result, the network should
be fined for breaking the rules it agreed to when it won its broadcast
license. Breaking rules on the public airwaves should be dealt with in the
same way as breaking rules on a public street, for instance, by speeding in
a school zone. It isn't right to tell parents, "If you don't like the way I
drive, keep your kids at home."
[SOURCE: USAToday, AUTHOR: Randy Sharp, American Family Association]
http://www.usatoday.com/printedition/news/20041119/oppose19.art.htm

DESPERATE MOVE LIKELY WOULD GET WALT'S APPROVAL
[Commentary] Lots of free press and millions of people talking about the
Monday Night Football intro -- do you think executives at Disney tickled
pink by the reaction?
[SOURCE: Orlando Sentinel, AUTHOR: David Whitley]
http://www.orlandosentinel.com/entertainment/orl-sptwhitley18111804nov18...

SINCLAIR'S NEWS CENTRAL
[Media Matters for America is a research and information center dedicated
to comprehensively monitoring, analyzing, and correcting conservative
"misinformation" in the U.S. media.] MMFA has been analyzing Sinclair's
News Central broadcasts since election day and finds a "steady diet of
pro-Bush, anti-progressive news items." "Get This" is program segment
created by News Central, Sinclair's Maryland-based nerve center that
provides national and international news coverage, as well as commentary,
to its stations. Presented each weeknight by Sinclair News Central anchors
Jennifer Gladstone or Morris Jones, "Get This" purports to cover "the news
items that deserve public attention that you probably won't see anywhere
else. They either won't make time for them, or maybe the issues are too
'sensitive' for their audience." According to News Central's website, "Get
This" claims to "play no favorites." But while the segment features many
humorous or lighthearted stories, the overall issue selection conveys a
conservative agenda, focusing on topics such as Democrats' alleged
inability to deal with electoral defeat; liberal college professors; author
and documentarian Michael Moore's comments; and even President George W.
Bush's pets.
[SOURCE: Media Matters for America]
http://mediamatters.org/items/200411180001

CABLE

FCC REPORT PANS A LA CARTE
Back in May, House Commerce Committee Chairman Joe Barton (R-TX) and Reps.
John Dingell (D-MI), Fred Upton (R-MI), Edward Markey (D-MA) and Nathan
Deal (R-GA) asked the FCC to study the per-channel sale of cable television
programming, known in French-obsessed Washington as a la carte. On
Thursday, the FCC released that report to Congress, addressing the economic
issues as well as the possible effect indecent/objectionable programming.
In short, the FCC concluded that a la carte would not lower cable bills.
"We don't come out and say that, but there are plenty of inferences that we
certainly don't recommend that," said an FCC source known only as Op Out.
"It doesn't really endorse anything. It just gives a lot of merit to the
operators -- big and, most notably, small [operators] -- and programmers
that mandatory a la carte would broadly be a problem." On rate issues, FCC
economists concluded that the purchase of nine networks a la carte would
about equal the prices consumers pay for expanded basic. A la carte would
likely lead to higher bills because the average cable home watches 17
channels, including local TV stations. In other words, consumers would pay
more to maintain access to their favorite channels. The report also
concluded that the cable and direct-broadcast satellite industries' efforts
to promote their digital blocking technologies were preferable to
program-sale mandates that would threaten pay TV's long-established
business model of grouping channels in large tiers.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA481516.html?display=Breaking+News
(requires subscription)
http://www.broadcastingcable.com/article/CA481597?display=Breaking+News
http://www.tvweek.com/news.cms?newsId=6758
Proponents of a la carte were quick to react:
"The study was rigged against consumers in favor of large cable companies,
giant broadcasters and other media behemoths," said Gene Kimmelman, senior
director for public policy and advocacy for Consumers Union, the non-profit
publisher of Consumer Reports. "If the FCC had studied our actual proposal
- a voluntary a la carte and mixed-channel bundling approach targeting
digital cable subscribers - it would have concluded that it would lead to
lower prices, greater choice and more diverse programming for consumers."

PTC BLASTS BASIC
The Parents Television Council had its own recommendations for Congress on
cable programming: Either Congress should start regulating cable indecency,
says PTC, or it should give viewers the chance to put together their own
family-friendly lineups through a la carte offerings. PTC argues that
customers should not have to subsidize "filth" to get access to "the
wholesome, educational and family-friendly programming available on a
handful of basic cable channels."
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA481459.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

FOX NEWS CHANNEL CAN AIR IN CANADA, REGULATOR SAYS
Finally Canadians will can the fairness and balance they deserve. The
Canadian Radio-television and Telecommunications Commission ruled that it
is OK for cable operators there to offer Fox News Channel because the
channel "offers little or no Canadian coverage" and said the network's
"news/talk programs are more focused on editorial opinion and discussion"
than those of Canadian channels CBC Newsworld and CTV Newsnet. What better
replacement for Saturday night hockey?
[SOURCE: Wall Street Journal]
http://online.wsj.com/article/0,,SB110081952721078637,00.html?mod=todays...
(requires subscription)

INTERNET

A NATION ONLINE: ENTERING THE BROADBAND AGE
The sixth report released by the U.S. Department of Commerce examining the
use of computers, the Internet, and other information technology tools by
the American people. Between the Census Bureau's Current Population Surveys
conducted in September 2001 and October 2003, the number of households with
Internet connections grew by 12.6% and a transition is underway from
dial-up to high-speed Internet connections. The use of high-speed Internet
connections grew significantly between 2001 and 2003 and more than offset
the decline in dial-up users. For this reason, this report focuses on what
Americans are doing with their high-speed connections.
[SOURCE: National Telecommunications and Information Administration]
http://www.ntia.doc.gov/reports/anol/index.html

WEB MEDIA BUYOUTS COMING? KINDA
According to Sam Whitmore, editor of Sam Whitmore's Media Survey, over the
next 12 to 24 months you will probably see big media companies scarf up
blogs, where a growing number of people are going for opinions, analysis
and community.
http://www.wired.com/news/culture/0,1284,65748,00.html

WEB TAX HOLIDAY
A WSJ editorial in support of the move by Congress to extend the Internet
(access) tax moratorium.
[SOURCE: Wall Street Journal, AUTHOR: Editorial Staff]
http://online.wsj.com/article/0,,SB110082815875778942,00.html?mod=todays...
(requires subscription)

QUICKLY

Ex-Viacom President Mel Karmazin has agreed to be the CEO of Sirius
Satellite Radio, hooking up again with Howard Stern. Karmazin was for years
a power in the radio business, building Infinity Broadcasting into one of
the most powerful station groups before selling it to Westinghouse/CBS,
which was in turn acquired by Viacom. Karmazin was Stern's boss at
Infinity, where he went to bat for the broadcaster when he was attacked by
some legislators pushing the company to muzzle the shock jock.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA481580?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

Statement of Commissioner Adelstein Before the Senate Committee on
Commerce, Science, and Transportation, Nominations Hearing
[SOURCE: Federal Communications Commission]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-254395A1.doc

Gay Hart Gaines, Claudia Puig and Dr. Ernest Wilson, III testified Thursday
before the Senate Commerce Committee. The three have been nominated by
President Bush to serve terms on the nine-member Board of Directors for the
Corporation for Public Broadcasting. The URL below provides links to their
testimony.
[SOURCE: Corporation for Public Broadcasting Press Release]
http://www.cpb.org/programs/pr.php?prn=387

The FCC has granted Californian broadcaster Pappas additional time to
appeal the Commission's decision regarding its "gift" of free time to
legislative candidates in the state. The date for filing an Application For
Review regarding the Bureau's decision has been extended to December 17, 2004
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-04-3619A1.doc
--------------------------------------------------------------
Thanks for reading. We'll publish Monday, Tuesday and Wednesday next week.
Have a great weekend.
--------------------------------------------------------------
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.
--------------------------------------------------------------

As expected, President Bush has renominated Democratic FCC Commissioner
Jonathan Adelstein to the remainder of a five-year term expiring June 30,
2008. The Senate Commerce Committee will hold a hearing on confirmations on
Thursday (see http://commerce.senate.gov/hearings/witnesslist.cfm?id=1342).
Communications Daily reports that Commissioner Adelstein could be confirmed
by the Senate by Thursday evening.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA480592.html?display=Breaking+...
(free access for Benton's Headlines subscribers)
See also --
LA Times:
http://www.latimes.com/business/printedition/la-fi-fcc17nov17,1,1431736....

MEDIA
Resurrect Local Radio
Minorities Seek DTV-Vote Delay
ABC Apologizes for Risqu Spot Before 'MNF' Game
U.K. Panel Urges Curbs on TV Spots For 'Junk Food'
Right-Wing Wins Take Wind Out of Talk-Show Hosts
TiVo Will No Longer Skip Past Advertisers
Network Television News Chiefs Hold Forum
Exiting Hollings Cites Media Impact

TELECOM
Can You Tax Me Now?
SBC Seeks to Levy Higher Fees On Internet Phone Companies

QUICKLY
$10 Million Clear Channel Lawsuit Delayed
Notes from CPB Board Meeting
Bush II: Paige Out, NCLB to High School
Senate May Ram Copyright Bill
CDT Comments on Peer-to-Peer Challenges in FTC Proceeding

MEDIA

RESURRECT LOCAL RADIO
[Commentary] Since the 1996 deregulation law unleashed an unparalleled wave
of monopolization, the radio service many of us grew up with has vanished.
Local newscasts are a memory. Homegrown musicians might as well play on the
sidewalk for quarters. Emergency authorities sometimes can't get bulletins
aired in small towns, whose stations are mere relays for robotic
music-feeds from half a continent away. A potential savior is low power
radio (LPFM), tiny, nonprofit radio stations with limited (~3.5 miles)
reach and low start-up costs (~$6,000). LPFM has enormous potential: To
beam to underserved localities, to provide a forum for voices that existing
broadcasters ignore, to rededicate a sliver of the spectrum to community
service, to validate local realities and plans, to remind us all that the
cornerstone of U.S. broadcasting has for 75 years been something called
localism, the geographic counterpart to the federalism that is praised as
rapturously as it is ignored. LPFM could become a reality for many more
communities across the country, but Congress needs to act to make it happen.
[SOURCE: Knight Ridder Newspapers, AUTHOR: Edward Wasserman, Washington and
Lee University]
http://www.fortwayne.com/mld/newssentinel/news/editorial/10194642.htm

MINORITIES SEEK DTV-VOTE DELAY
The Minority Media Telecommunications Council, in a recent letter to the
FCC, is asking the Commission to delay voting on a plan to speed the switch
to all-digital television broadcasting until Congress provides subsidies
for digital-TV-compatible equipment for low-income Americans. The FCC is
expected to recommend that Congress subsidize the $1 billion-plus cost of
providing digital-to-analog converters needed to keep old analog sets
working, but White House staff is on the record opposing the idea. "The
exclusion of the least fortunate Americans from the community of television
viewers would even further deepen America's seemingly intractable social
class divisions," said MMTC. "It should matter to all of us whether
low-income families receive accurate and timely information about jobs,
health care, school closings and homeland security." (Agreed, but who gets
valuable information like that watching TV?.)
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA480549.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

ABC APOLOGIZES FOR RISQU SPOT BEFORE 'MNF' GAME
The FCC has received complaints about the intro to this week's Monday Night
Football telecast which included a woman seducing a player wear only a
towel and then -- um -- dis-toweling. The NFL is mad and the network, ABC,
is apologizing.
[SOURCE: USAToday, AUTHOR:Rudy Martzke]
http://www.usatoday.com/printedition/news/20041117/1a_bottomstrip17_dom....
In a related story (not sure how exactly), the LA Times reports that
passage of new broadcast indecency legislation is unlikely during the lame
duck session of Congress. Sen Sam Brownback (R-KS) is expected to
reintroduce the bill in January
http://www.latimes.com/business/printedition/la-fi-rup17.7nov17,1,383471...

UK PANEL URGES CURBS ON TV SPOTS FOR 'JUNK FOOD'
The U.K. Department of Health released a report yesterday that calls for
advertisers to limit children's and adults' exposure to food high in sugar,
salt and fat by reducing advertising after 6 p.m., a time when many
children watch television. If marketers don't voluntarily devise a plan to
limit the commercials with U.K. advertising regulatory agency the Office of
Communication, the government could impose a limit, said yesterday's
report. The U.K. government often commissions such "white papers" before
enacting legislation. The limit would affect sodas, French fries, candy and
other foods the government paper calls "junk food." Efforts to curtail
fatty-food advertising in the U.S., which also is fighting rising obesity
rates, haven't been successful. In the U.S. the Federal Trade Commission
tried banning junk-food advertising during the 1970s. It was overruled by
Congress, citing free-speech rights. Currently, a California group of
parents, the Allergy and Food Association, is lobbying for all advertising
to be banned from children's programming, schools and sports sponsorships.
[SOURCE: Wall Street Journal, AUTHOR: Robert Guy Matthews
robertguy.matthews( at )wsj.com]
http://online.wsj.com/article/0,,SB110061072914475385,00.html?mod=todays...
(requires subscription)

RIGHT-WING WINS TAKES WIND OUT OF TALK-SHOW HOSTS
The President won reelection by 3.5 million votes, Republican majorities
were increased in Congress, "moral values" are suddenly in vogue -- what's
left for the Right to complain about on talk radio? Luckily, they can
always eat their own as Sen Arlen Specter is finding out. "They'll be smart
to turn on themselves and talk about which conservatives are the 'true'
conservatives," says Michael Harrison, publisher of Talkers, a trade
magazine about the talk-show business. "If they keep beating up liberals,
it will ring hollow over time. People realize this isn't 1993 speaking,
it's almost 2005."
[SOURCE: Washington Post, AUTHOR: Paul Farhi]
http://www.washingtonpost.com/wp-dyn/articles/A55425-2004Nov16.html
(requires registration)

TIVO WILL NO LONGER SKIP PAST ADVERTISERS
By March, TiVo viewers will see "billboards," or small logos, popping up
over TV commercials as they fast-forward through them, offering contest
entries, giveaways or links to other ads. If a viewer "opts in" to the ad,
their contact information will be downloaded to that advertiser --
exclusively and by permission only -- so even more direct marketing can
take place. By late 2005, TiVo expects to roll out "couch commerce," a
system that enables viewers to purchase products and participate in surveys
using their remote controls. Perhaps even more significant is TiVo's new
role in market research. As viewers watch, TiVo records their collective
habits -- second by second -- and sells that information to advertisers and
networks.
[SOURCE: Los Angeles Times, AUTHOR:Gina Piccalo]
http://www.latimes.com/news/printedition/front/la-et-tivo17nov17,1,60009...
(requires registration)

NETWORK TELEVISION NEWS CHIEFS HOLD FORUM
David Westin of ABC News, Neal Shapiro of NBC News and Andrew Heyward of
CBS News met at a forum to discuss changes to broadcast network television
news. Technology, they acknowledge, is raising people's expectations that
news will be delivered to them when/where they want it, instead of waiting
to watch nightly network TV news programs. The three said that while they
hoped to resist a push into opinionated, "edgy" news that has been the
hallmark of Fox News and other cable outlets, they realized that Fox's
success reminded them that networks needed to adapt to the new media
marketplace. All three network news chiefs also defended their decision to
run just an hour of both political parties' national conventions live each
night, saying the conventions generated little if any real news.
[SOURCE: Washington Post, AUTHOR: Beth Fouhy, Associated Press]
http://www.washingtonpost.com/wp-dyn/articles/A53374-2004Nov16.html
(requires registration)

EXISTING HOLLINGS CITES MEDIA IMPACT
After 38 years in office, there are at least 38 reasons to remember Sen
Ernest "Fritz" Hollings (D-SC) -- and his staff is providing the list. So,
from the home office in Charleston... #22: Reined in the cable TV
monopolies, as the driving force in the early 1990s for the Cable and
Consumer Protections Act. #23: Authored the 1990 Children's TV Act,
requiring stations to carry educational programming for children and
limiting the amount of commercials aired during children's programming. #37
Fighting the good fight for bills that didn't make it. They included
"legislation to protect children from violence on television; and a
constitutional amendment permitting limits on campaign expenditures." If
you poke around the Senator's website you'll find these other
accomplishments: spearheaded bipartisan efforts to reverse the FCC's recent
decision to relax broadcast ownership rules; co-authored 1996
Telecommunications Act, which deregulated the telecom industry, ended the
Bell monopolies, and began the growth of independent telecommunications
companies; served as either the Chairman or Ranking Member of the Commerce,
Science and Transportation Committee since 1981, and has been on the
Committee since 1967; authored legislation in 2000 and 2002 to strengthen
online privacy and improve individual's control over their personal data;
authored legislation, first in 1993 and then reintroduced it 7 times over
the following 10 years, to protect children from excessively violent TV
programming; authored Constitutional Amendment to grant Congress and State
Legislatures authority to set campaign expenditure limits and reduce the
influence of money in politics; and co-authored the legislation in 2002
that created the FTC's "Do Not Call" List.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA480758.html?display=Breaking+...
(free access for Benton's Headlines subscribers)
http://hollings.senate.gov/~hollings/materials/2003A15C53.html

TELECOM

CAN YOU TAX ME NOW?
As much as Congress wants to wrap up the post-election session, battles
over the Universal Service Fund could break out this week because of what
Precursor Group analyst Scott Cleland called a "self-inflicted wound" by
the Bush administration. Congressional Republicans have long delighted in
calling the fund and its E-rate portion the "Gore Tax" because of the
former vice president's support. If they don't act quickly, however, they
could be the ones responsible for this "tax" ballooning by more than 40%.
It would hit consumers next January -- the same time that regional Bell
companies might raise local phone rates. Last year, in a move to regularize
accounting by quasi-federal entities, OMB said the Universal Service
Administrative Corp. needed to change from business to government
accounting rules by Oct. 1, 2004. Additional concern about high-profile
cases of E-rate fraud prompted the FCC to take a further step, and require
USAC to collect all E-rate money from the fee before doling it out. Sens.
Olympia Snowe (R-Maine) and Jay Rockefeller (D-WV) who represent
predominately rural states, have a simple-enough amendment to be attached
to an FY05 appropriations bill that is gathering steam within a strangely
united telecom industry. It would exempt USAC from the Anti-Deficiency Act,
the obscure law that prompted the accounting changes in the first place.
The amendment does nothing to change the way money flows into or out of the
Universal Service Fund. But No one believes the USF can continue in its
current form. Consumers are making more long-distance calls on cellular
phones, and they don't make the same contributions to the fund. On the
distribution side, Sen. Gordon Smith (R-OR) complains that only 10 states
-- and specifically not Oregon - receive all of the fund's rural telecom
support. His bill changing the distribution formula passed the Senate
Commerce Committee in September. Some Commerce Committee back-benchers
question the need for the fund at all, as do many House Republicans.
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://nationaljournal.com/about/congressdaily/columns/clark.htm

SBC SEEKS TO LEVY HIGHER FEES ON INTERNET PHONE COMPANIES
SBC plans to file a new tariff with the FCC that potentially increases the
fees paid by Internet service providers for calls completed on the
company's local-phone network. While Internet calls largely avoid the
traditional public-telephone network, they do connect to it when the
recipient of the call isn't an Internet phone user. The tariff would go
into effect immediately, the company plans to have it in place as soon as
tomorrow. The move could mark the first time a regional Bell phone giant
has tried to assess higher fees -- traditionally levied on long-distance
phone calls -- on Internet phone technologies. Currently, most providers of
Internet phone service connect to local-phone networks through arrangements
with companies that lease access to the Bell networks. Because these calls
travel over the Internet until they must connect locally to a customer
using a traditional phone, the Internet phone service companies have been
paying fees associated with local calls, not long-distance calls. These
fees for local connections are substantially lower, and SBC plans to
designate its tariff somewhere between the two amounts. With just one
day's notice, the FCC will have a limited ability to suspend the tariff
from going into effect, though the agency could open an investigation afterward
[SOURCE: Wall Street Journal, AUTHOR: Anne Marie Squeo
annemarie.squeo( at )wsj.com]
http://online.wsj.com/article/0,,SB110065122384576170,00.html?mod=todays...
(requires subscription)

QUICKLY

$10 MILLION CLEAR CHANNEL LAWSUIT DELAYED
According to a report in the San Antonio Express-News, a $10 million
antitrust lawsuit against Clear Channel Communications, which was set to go
to trial Monday in Chicago, has been postponed until next year. The
lawsuit, filed in 2002 by JamSports and Entertainment of Chicago, accuses
Clear Channel Entertainment of using monopolistic practices to win a
lucrative motorcycle racing contract. JamSports sued Paradama Productions,
which does business as AMA Pro Racing, for allegedly breaching a contract
that would have given JamSports the right to produce and promote the
American Motorcycle Association Supercross Series for 2003-09. It sued
Clear Channel for competing unfairly to land the AMA Pro Racing contract.
The case would be the first antitrust lawsuit to go to court against Clear
Channel. Earlier this year, the company settled an antitrust lawsuit
brought by Nobody In Particular Presents, a Denver-based concert promoter.
[SOURCE: Radio Ink]
http://www.radioink.com/HeadlineEntry.asp?hid=125855&pt=todaysnews

NOTES FROM CPB BOARD MEETING
The Corporation for Public Broadcasting Board of Directors is meeting this
week. On Tuesday, it adopted resolutions on the following issues: 1) a
reaffirmation of both public broadcasting's statutory obligation and
longstanding commitment to non-commercial and universally available program
services for children
(http://www.cpb.org/about/corp/board/resolutions/0411_childrensprogrammin...),
2) an updated code of ethics for CPB employees
(http://www.cpb.org/about/corp/board/resolutions/0411_updatedethics.html)
and 3) funding priorities to facilitate the effective transition of public
television into the digital era
(http://www.cpb.org/about/corp/board/resolutions/0411_digitalguidelines.html).
The priorities are: a) funding of costs of analog replication and b)
requests that have been approved but cannot be met from FY04 funds may
receive priority for funding from any FY 2005 appropriation. If FY 2004
funds remain unsolicited after the above priorities have been exhausted,
and if demands on the Digital Services Fund extend beyond the amount
previously allocated, CPB may allocate remaining funds towards approved
digital services projects.
[SOURCE: Corporation for Public Broadcasting Press Release]
http://www.cpb.org/programs/pr.php?prn=386

BUSH II: PAIGE OUT, NCLB TO HIGH SCHOOL
School leaders are trying to understand what the election results will mean
for educational technology. Although much of the federal focus will remain
on using technology to implement various aspects of NCLB, the Bush
administration also will be looking to implement a few new ed-tech
initiatives announced during the campaign. These initiatives include
creating an eLearning Clearinghouse to promote online courses available to
students and adults from both public and private sources; providing $200
million to establish individualized learning plans for high school
students; and offering greater access to specialized teachers and Advanced
Placement courses through distance learning.
[SOURCE: eSchool News]
http://www.eschoolnews.com/news/showStoryts.cfm?ArticleID=5382

SENATE MAY RAM COPYRIGHT BILL
The Consumer Electronics Association, the Computer and Communications
Industry Association, the American Conservative Union and public-interest
advocacy group Public Knowledge and gearing up for a fight in Congress to
prevent passage of legislation they say could overhaul of copyright law,
radically shifting it in favor of Hollywood and record companies. During
the lame duck session of Congress which began yesterday, the Senate might
vote on the Intellectual Property Protection Act, a comprehensive bill that
opponents charge could make many users of peer-to-peer networks,
digital-music players and other products criminally liable for copyright
infringement. The bill would also undo centuries of "fair use" -- the
principle that gives Americans the right to use small samples of the works
of others without having to ask permission or pay.
[SOURCE: Wired News, AUTHOR: Michael Grebb]
http://www.wired.com/news/politics/0,1283,65704,00.html?tw=rss.TOP
See statement by Public Knowledge at:
http://www.publicknowledge.org/pressroom/releases/pr111204

CDT COMMENTS ON PEER-TO-PEER CHALLENGES IN FTC PROCEEDING
The Center for Democracy and Technology filed comments for the Federal
Trade Commission's upcoming inquiry into the policy issues surrounding
popular peer-to-peer file-sharing networks. CDT's comments outlined the
challenge in preserving valuable Internet services made possible by
peer-to-peer technologies while addressing the serious privacy, spyware,
and copyright infringement problems raised by some file-sharing networks.
[SOURCE: Center for Democracy and Technology]
(http://www.cdt.org)
Federal Trade Commission Workshop on Peer-to-Peer File-Sharing:
http://www.ftc.gov/bcp/workshops/filesharing/
CDT Comments to the Federal Trade Commission:
http://www.cdt.org/copyright/20041115cdt.pdf
CDT's Copyright Page:
http://www.cdt.org/copyright
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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.
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