November 2005

Senate Firms Up Decency Forum Plans

[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]

FCC Moves Meeting

[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The FCC has moved the date of its December meeting to Dec. 9, which will allow everyone to say goodbye to Commissioner Kathleen Abernathy, whose last day is the ninth. It will also guarantee that Chairman Martin is not in the minority that day.
http://www.broadcastingcable.com/article/CA6285771?display=Breaking+News...
(free access for Benton's Headlines subscribers)

Senate Commerce Slates Communications Hearings

The Senate Commerce Committee has slated 14 communications-related hearings for the first three months of 2006 as it prepares to rewrite the Telecom Act of 1996. Subjects include: Decency, Internet Pornography, Video Franchising, Video Content, Competition and Convergence, Broadcast and Audio Flag, Net Neutrality, State and Local Issues and Municipal Networks, USF Contributions, USF Distribution, Wireless Issues/Spectrum Reform, Rural Telecommunications, VOIP, and Wall Street's Perspective on Telecommunications. For dates, times, etc, see http://commerce.senate.gov/
http://www.broadcastingcable.com/article/CA6286060?display=Breaking+News &referral=SUPP
(free access for Benton's Headlines subscribers)

World Digital Library Planned

[SOURCE: Washington Post, AUTHOR: David A. Vise]

Changing Rules of Monopoly

[SOURCE: Philadelphia Inquirer, AUTHOR: Jeff Gelles]

Sprint Nextel Agrees to Buy Texas Affiliate

[SOURCE: Washington Post, AUTHOR: Arshad Mohammed]

Groups File FOIA Requests for CPB Documents

[SOURCE: Common Cause, the Center for Digital Democracy and Free Press press release]

Benton's Communications-related Headlines For Tuesday November 22, 2005

For upcoming media policy events (including soon those 14 Senate Commerce=
=20
Committee hearings mentioned below), see http://www.benton.org

AGENDA
Senate Firms Up Decency Forum Plans
FCC Moves Meeting
Senate Commerce Slates Communications Hearings

OWNERSHIP
World Digital Library Planned
Changing Rules of Monopoly
Sprint Nextel Agrees to Buy Texas Affiliate

POLICYMAKERS
Groups File FOIA Requests for CPB Documents
Ferree, Chessen: Together Again
Long Elevated in FCC=92s Media Bureau

QUICKLY -- Senate Bill Lets Artists Claim Price for Gifts; Internet Users=
=20
Put a Best Face Forward; Kashmir Radio Channels Aid, Talk After Quake;=20
Telus contract puts an end to work halt, 5-year talks

AGENDA

SENATE FIRMS UP DECENCY FORUM PLANS
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Yes, Congress will officially be on the Thanksgiving day break next week,=
=20
but that's not stopping the Senate Commerce Committee from holding a=20
day-long forum on decency November 29. The committee is working on a bill=
=20
to boost indecency fines and the FCC's enforcement powers, as did a House=
=20
indecency bill that has already been passed. The Senate Commerce Committee=
=20
also plans to hold hearings on decency and Internet porn Jan. 19. The=20
forum, which is open to the public, will be from 9:30 to 5 in the Dirksen=
=20
Building. Currently scheduled to attend are representatives from ABC, Clear=
=20
Channel, the American Cable Association; Christian Coalition of America;=20
Creative Coalition; Clear Channel; Cellular Telecommunications & Internet=
=20
Association (CTIA); Federal Communications Commission; Motion Picture=20
Association of America; National Association of Broadcasters; National=20
Cable Telecommunications Association; PSV Ratings; Trinity Broadcasting=20
Network; TV Watch; and XM Satellite Radio. (For more info see=20
http://commerce.senate.gov/hearings/witnesslist.cfm?id=3D1702)
http://www.broadcastingcable.com/article/CA6286080?display=3DBreaking+Ne...
referral=3DSUPP
(free access for Benton's Headlines subscribers)

FCC MOVES MEETING
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The FCC has moved the date of its December meeting to Dec. 9, which will=20
allow everyone to say goodbye to Commissioner Kathleen Abernathy, whose=20
last day is the ninth. It will also guarantee that Chairman Martin is not=
=20
in the minority that day.
http://www.broadcastingcable.com/article/CA6285771?display=3DBreaking+Ne...
referral=3DSUPP
(free access for Benton's Headlines subscribers)

SENATE COMMERCE SLATES COMMUNICATIONS HEARINGS
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The Senate Commerce Committee has slated 14 communications-related hearings=
=20
for the first three months of 2006 as it prepares to rewrite the Telecom=20
Act of 1996. Subjects include: Decency, Internet Pornography, Video=20
Franchising, Video Content, Competition and Convergence, Broadcast and=20
Audio Flag, Net Neutrality, State and Local Issues and Municipal Networks,=
=20
USF Contributions, USF Distribution, Wireless Issues/Spectrum Reform, Rural=
=20
Telecommunications, VOIP, and Wall Street's Perspective on=20
Telecommunications. For dates, times, etc, see http://commerce.senate.gov/
http://www.broadcastingcable.com/article/CA6286060?display=3DBreaking+News=
=20
&referral=3DSUPP
(free access for Benton's Headlines subscribers)

OWNERSHIP

WORLD DIGITAL LIBRARY PLANNED
[SOURCE: Washington Post, AUTHOR: David A. Vise]
The Library of Congress is launching a campaign today to create the World=
=20
Digital Library, an online collection of rare books, manuscripts, maps,=20
posters, stamps and other materials from its holdings and those of other=20
national libraries that would be freely accessible for viewing by anyone,=
=20
anywhere with Internet access. This is the most ambitious international=20
effort ever undertaken to put precious items of artistic, historical, and=
=20
literary significance on the Internet so that people can learn about other=
=20
cultures without traveling further than the nearest computer (even in=20
Carthage, Tennessee?), according to James H. Billington, head of the=20
Library of Congress.
http://www.washingtonpost.com/wp-dyn/content/article/2005/11/21/AR200511...
1428.html
(requires registration)
* A Library for The New World
[SOURCE: Washington Post, AUTHOR: James H. Billington, head of the Library=
=20
of Congress]
[Commentary] "An American partnership in promoting [a world digital=20
library] for UNESCO would show how we are helping other people recover=20
distinctive elements of their cultures through a shared enterprise that may=
=20
also help them discover more about the experience of our own and other free=
=20
cultures.
http://www.washingtonpost.com/wp-dyn/content/article/2005/11/21/AR200511...
1234.html
(requires registration)
* Library of Congress plans world digital library
http://today.reuters.com/news/newsArticle.aspx?type=3DtechnologyNews&sto...
D=3D2005-11-22T071313Z_01_RID225748_RTRUKOC_0_US-GOOGLE-WORLD-LIBRARY.xml

CHANGING RULES OF MONOPOLY
[SOURCE: Philadelphia Inquirer, AUTHOR: Jeff Gelles]
Cable companies such as Comcast have raised rates relentlessly since=20
Congress ended most price regulation in 1996, and have simultaneously come=
=20
to dominate consumer access to the broadband Internet. The combination is=
=20
dangerous. Cable companies already have too much control over what we watch=
=20
on TV. Now they threaten to undermine the open-access culture that has made=
=20
the Internet a world-changing force. Telephone companies are moving in to=
=20
compete with cable companies for the video delivery market. Are the Baby=20
Bells the answer? Jonathan Rintels, who heads the Center for Creative=20
Voices in Media, welcomes the Bells entry as long as lawmakers set rules=20
that prevent all providers from turning the Internet into a "walled=20
garden," akin to what cable TV is today. His top priority: "net=20
neutrality," to stop any provider from blocking some Web sites or favoring=
=20
others.
http://www.philly.com/mld/philly/13221041.htm
See also:
* Cable=92s =93Level Playing Field=94 =96 Not Level. No Field.
http://www.creativevoices.us/php-bin/news/showArticle.php?id=3D139&PHPSE...
D=3D630fb5630dd5a84cc85c905bdc542615

SPRINT NEXTEL AGREES TO BUY TEXAS AFFILIATE
[SOURCE: Washington Post, AUTHOR: Arshad Mohammed]
Sprint Nextel yesterday agreed to pay $3.4 billion for Alamosa Holdings, a=
=20
Texas company that offers Sprint's mobile phone service to 1.5 million=20
subscribers in 19 states. The deal, which includes assuming $900 million in=
=20
Alamosa's debt, helped lift shares of Nextel Partners, a Nextel affiliate=
=20
that is in the process of being bought out by Reston-based Sprint Nextel.=
=20
Christopher C. King, a senior analyst at Legg Mason Wood Walker, said he=20
estimated that Nextel Partners revenue would rise by 20 to 30 percent next=
=20
year -- faster than Alamosa's likely increase and worthy of a premium price.
http://www.washingtonpost.com/wp-dyn/content/article/2005/11/21/AR200511...
1422.html
(requires registration)

POLICYMAKERS

GROUPS FILE FOIA REQUESTS FOR CPB DOCUMENTS
[SOURCE: Common Cause, the Center for Digital Democracy and Free Press=20
press release]
Common Cause, the Center for Digital Democracy and Free Press today filed=
=20
Freedom of Information Act (FOIA) requests with the Corporation for Public=
=20
Broadcasting and the Broadcasting Board of Governors. The groups seek=20
copies of any correspondence between the White House and CPB officials and=
=20
other evidence uncovered in recent Inspector General investigations. The=20
groups seek: 1) The separate "investigative report" and "specific evidence=
=20
indicating possible wrongdoing" given to the members of the CPB Board of=20
Directors by the Inspector General; 2) Any and all reports or records given=
=20
to Members of Congress related to the Inspector General's investigation. 3)=
=20
Any and all communications between the White House, former CPB President=20
Kathleen Cox, Harrison and members of the board during the past 36 months;=
=20
4) Minutes for both the public and closed-door CPB board meetings for the=
=20
past 36 months; 5) All information and materials related to the recruitment=
=20
of Harrison; the hiring of ombudsmen William Schultz and Kenneth Bode; the=
=20
monitoring of political content on PBS and NPR by Fred W. Mann; and 6) all=
=20
the development, funding and promotion of "Tucker Carlson Unfiltered" and=
=20
"The Journal Editorial Report." The groups also will file a FOIA request=20
related to separate inquiry into Tomlinson's actions as chairman of the=20
Broadcasting Board of Governors =97 which oversees Voice of America, Radio=
=20
Free Europe, TV Marti and other government "public diplomacy" efforts. An=
=20
Inspector General at the State Department is currently investigating=20
Tomlinson for possible misuse of funds and hiring of unqualified employees=
=20
at the Broadcasting Board of Governors. According to the New York Times,=20
the Rove-Tomlinson e-mails first surfaced as part of the State Department=
=20
probe.
http://www.freepress.net/press/release.php?id=3D108
* Groups Seek CPB Investigation Info
http://www.broadcastingcable.com/article/CA6286077?display=3DBreaking+Ne...
referral=3DSUPP
(free access for Benton's Headlines subscribers)

FERREE, CHESSEN: TOGETHER AGAIN
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Former associate chief of the FCC's Media Bureau, Rick Chessen, has been=20
tapped by his former boss, Ken Ferree, to join the expanding D.C.=20
communications practice of California law firm Sheppard, Mullin, Richter &=
=20
Hampton LLP. (Best of luck, Rick)
http://www.broadcastingcable.com/article/CA6285846?display=3DBreaking+Ne...
referral=3DSUPP
(free access for Benton's Headlines subscribers)

LONG ELEVATED IN FCC'S MEDIA BUREAU
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
Andrew Long has been named associate chief of the FCC=92s Media Bureau, whi=
ch=20
oversees the cable and broadcasting industries. He joins a long list of=20
Wiley Rein & Fielding LLP alum at the Commission including: Chairman=20
Martin; Heather Dixon, Martin=92s top media adviser; Catherine Bohigian,=20
chief of the Office of Strategic Planning and Policy Analysis; and Media=20
Bureau chief Donna Gregg.
http://www.multichannel.com/article/CA6286044.html?display=3DBreaking+News
(requires subscription)

QUICKLY

SENATE BILL LETS ARTISTS CLAIM PRICE FOR GIFTS
[SOURCE: New York Times, AUTHOR: Robin Pogrebin]
Living writers, musicians, artists and scholars who donate their work to a=
=20
museum or other charitable cause would earn a tax deduction based on full=
=20
fair market value under a bill just passed by the Senate. The provision=20
seems likely to open the way for more acquisitions by cash-strapped=20
museums. "It's very important for cultural institutions and libraries to be=
=20
able to be the recipient of these works of art that otherwise might go into=
=20
private hands," said Mimi Gaudieri, the executive director of the=20
Association of Art Museum Directors.
http://www.nytimes.com/2005/11/22/arts/design/22tax.html
(requires registration)

SELF 2.0: INTERNET USERS PUT A BEST FACE FORWARD
[SOURCE: Washington Post, AUTHOR: Yuki Noguchi]
People spend more of their lives online -- the average American Internet=20
user spends 80 hours a month online at work and 30 hours at home, according=
=20
to Nielsen-NetRatings -- and Web-based interactions are evolving to look=20
less like word-based messaging and more like facsimiles of physical=20
existence. Tens of millions of Internet users have online doppelgangers=20
they design to act as their proxy online -- communicating, shopping and=20
socializing on their behalf and expressing themselves through humanoid=20
gestures, voices and facial expressions.
http://www.washingtonpost.com/wp-dyn/content/article/2005/11/21/AR200511...
1787.html
(requires registration)

KASHMIR RADIO CHANNELS AID TALK AFTER QUAKE
[SOURCE: Los Angeles Times, AUTHOR: John M. Glionna]
Emanating from the capital of the Pakistani-held portion of Kashmir, which=
=20
was mostly destroyed by last month's magnitude 7.6 earthquake, Radio=20
Muzaffarabad has provided victims with a vital link to the outside world=20
and informed them of the availability of critical services. The catastrophe=
=20
killed an estimated 87,000 people and left 3.2 million homeless. With its=
=20
signal going out to tent cities and isolated mountain villages, received by=
=20
battery-powered radios donated by aid groups, the tiny station reaches tens=
=20
of thousands of quake survivors who have responded with about 100 calls a=
=20
day, either seeking help or giving thanks.
http://www.latimes.com/news/printedition/asection/la-fg-radio22nov22,1,1...
248.story?coll=3Dla-news-a_section
(requires registration)

TELUS CONTRACT PUTS END TO WORK HALT, 5-YEAR TALKS
[SOURCE: The Globe and Mail, AUTHOR: Catherine McLean]
After five long years of difficult talks, Telus Corp. employees have a new=
=20
labor contract. A majority of workers approved the latest settlement=20
between Vancouver-based Telus and the Telecommunications Workers Union=20
(TWU), the parties announced late Friday evening.
http://www.theglobeandmail.com/servlet/ArticleNews/TPStory/LAC/20051121/RT=
ELUS21/TPBusiness/Canadianhttp://www.theglobeandmail.com/servlet/ArticleNe=
ws/TPStory/LAC/20051121/RTELUS21/TPBusiness/Canadian
--------------------------------------------------------------
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.
--------------------------------------------------------------

Summary of 2nd Meeting of FCC's Consumer Advisory Committee (Nov. 18, 2005)

The newly-rechartered Consumer Advisory Committee met for the 2nd time on Friday, November 18, 2005.

Committee Chair Shirley Rooker opened with a welcome and introductions and CAC Designated Federal Officer Scott Marshall shared logistics information.

I. Consumer & Governmental Affairs Bureau Chief Monica Desai

Consumer & Governmental Affairs Bureau Chief Monica Desai reported on recent FCC activity since the CAC last met in June. Her report focused on the FCC's response to Hurricane Katrina. She also mentioned Commission work on Truth in Billing, wireless early termination fees, enforcement of the Telephone Consumers Patriot Act and the Junk fax Act, and slamming. She noted the four disability-related items on the FCC's July open meeting agenda.

Chief Desai discussed the recent redesign of the FCC's website, including revised online forms aimed at making it easier for consumers to file indecency and telephone-related complaints. She asked for CAC input on the web site redesign.

II. Remarks of FCC Commissioner Jonathan S. Adelstein

Commissioner Jonathan S. Adelstein spoke briefly to the CAC, thanking the members for their service. He noted that in remarks he made to the group in June, he spoke about "access" -- in broadcasting to a diversity of viewpoints, to the economic benefits of the Internet and broadband and in telephony to emergency 911 services. He noted the importance of the day's agenda with a discussion on media ownership, the public interest obligations of digital television broadcasters and access to Video Relay Service, a service, he said, that can change lives and make life easier for those who use it.

Concerning public interest obligations, he noted that the FCC obviously needs encouragement to move forward on this yet undecided part of the digital television transition.

Commissioner Adelstein said the Committee's recommendations will be given great weight at the FCC and he asked that the Committee be creative and challenge the Commission to "put consumers in control."

III. Perspectives on Telecommunications Competition and Consumers

CAC Competition Working Group Chair introduced the day's first panel on competition in telecommunications sectors. The goal of the Working Group, she said, was to begin a dialogue on what's going on in the marketplace so that members could come to a agreement on a definition of competition. Noting the changes in the field since passage of the Telecommunications Act of 1996, she asked what the impact has been on competition and consumers.

Ovum Independent's Roger Entner began the discussion with a report on the wireless industry which he said is consolidating, but very competitive. Two hundred million of two hundred and ninety million Americans now use cell phones. 97% of the US now has a choice between three wireless carriers. Average monthly revenue per wireless subscriber has been flat the past few years (fifty dollars/month), but usage of phones is up. Whereas most people used to pay around twenty-five cents per minute for wireless phone service, now that rate is about seven cents.

Larry Spiwak of the Phoenix Center said that he believes that 2005 will be a year we look back on as a banner year in telecommunications. Why? It is the year he switched to Internet telephony (VoIP). He noted that there will never be more than a couple of terrestrial competitors in the telecommunications markets. He said we always need to keep a eye on these two players (cable/telephone) are competing. He thinks they are trying to now. Although telephone and broadband service are not profitable enough for the buildout of high-speed networks, he noted that video delivery is a "silver bullet" because people are willing to pay for TV. He said local video franchises are a barrier to entry into this market.

Stanford Washington Research Group Senior VP Paul Gallant ranked the various telecom sectors from most to least competitive. 1) Wireless: he noted the FCC's light regulatory touch has created a competitive environment in the wireless cell phone market. 2) Video/pay TV: cable has lost one-third of subscribers to satellite operators. This is putting pressure on cable to rollout broadband, telephony and video on demand. 3) Wireline: AT&T predicted it would have one-third of local phone market within a few years of passage of the Telecommunications Act of 1996 -- who knew the company would have to be purchased by SBC to make that happen? 4)Broadband: This market is a duopoly of cable and telephone companies. Although it is better than a monopoly, it is not competitive enough. There is hope, however, for wireless providers to compete here -- especially when spectrum from the digital TV conversion is made available.

Larry Irving -- the former Director of the National Telecommunications and Information Administration at the U.S. Department of Commerce -- said he disagreed that 2005 would be the year we looked back on as "the year," predicting that 2006 would be the banner year. And instead of repeating that the goal in telecommunications policy is competition, he redefined the goal as the benefits of competition: innovation, better services and lower prices. He noted, as an example, that satellite's entry into the video delivery market saw more US Latinos signing up for the service in part because recent immigrants from Central and South America were accustomed to this technology. Satellite operators seized this opportunity, offering my Latino-focused channels. The cable industry soon followed. The entry of telephone companies into this business, he predicted, should mean even more competition to serve presently-underserved communities.

Mr. Irving said the next few years should be really interesting should the field. He noted that universal service needs to be measured in a new way -- based on the individual, not the household. He also noted the need to bring the price of broadband down so penetration increases -- and the need to better serve rural areas, people of disabilities and people of color.

The issues before policymakers in 1995 (when Congress was last working on telecom overhaul) are much different than what we're facing 2005. And the issues of 2010 will be much different, too.

IV. Recommendation Concerning Consumer Interest Obligations of Digital Television Broadcasters

The CAC adopted a recomendation calling on the FCC release Reports and Orders within six months on the following dockets: 1) Public Interest Obligations of TV broadcast Licensees (MM Docket No. 99–360)and 2) Standardized and Enhanced Disclosure Requirements for Television Broadcast Licensee Public Interest Obligations (MM 20 Docket No. 00–168).

Before the Committee adopted the recommendation, it heard a short appeal from Capitol Broadcasting's James Goodmon, who argued that minimum public interest obligations would help preserve local television broadcasting in the US. Without defined obligations to serve local communities, he argued, local broadcasting will be dead within 15-20 years. Localism, diversity and competition, he said, provide the compass that keeps broadcasting on the right course. He cautioned that consumers have too little say in proceedings at the FCC and that is why the Commission's ruling on media ownership went so array. The Commission has been considering the public interest obligations of digital television broadcasters for six years, he said, he is concerned that broadcasting is not getting the attention it should because it is not a trendy new technology.

Goodmon distributed a proposed processing guideline for ensuring that broadcasters meet their public service obligations. The plan calls for expedited license renewals for stations that provide 3 hours/week of local public and electoral affairs programming; 75 unpaid public service announcements per week; and electronically report quarterly on their public interest performance.

V. Recommendation Regarding Access to VRS Networks

The CAC strongly recommended that the FCC mandate the removal of existing barriers to video relay services (VRS). More specifically, the CAC urged the Commission to require that the video equipment of providers who are reimbursed through the Interstate TRS Fund allow every VRS consumer that is deaf or hard of hearing the privilege of a dial tone -- anytime, anywhere.

VI. Public participation via New Information and Communication Technologies at the FCC

Joanne Holman, Associate Professor at the School of Media Arts & Design at James Madison University, gave a brief presentation on how communication technology is changing the way the public participates in FCC proceedings. More than two million comments were filed in the FCC's media ownership proceeding alone, but there's little evidence that the FCC considered these comments when formulating a decision.

Prof. Holman argued that increased public participation in FCC proceedings should lead to better decisions by the Commission because an engaged public would feel more ownership of the resulting policy. However, Prof Holman indicated that there's a lack of information about the FCC's work. She identified three types of information that people need to effectively participate in rulemakings: 1) Issue reports (news articles, etc), 2) Contextualization (analysis often offered in white papers) and 3) Enabling (the info that educates and mobilizes people to participate).

The media, Prof Holman said, should provide these three types of information, but they rarely do so. In fact, the media may actually hinder public participation (especially in the media ownership proceeding). Media reform organizations have stepped in, using the Internet, to fill this educational and enabling role. But for all the public participation generated in the media ownership proceeding, again, there's little evidence that the Commission considered those public comments.

In conclusion, Prof Holman said communication technology should be helping FCC staff incorporate public opinion, but to date, it has not.

VII. Captioning and DTV Demonstration

Julie Kearney, CAC Member from the Consumer Electronics Association, organized a demonstration of digital television closed captioning.

The presenters were Brian Markwalter, Vice President Technology and Standards, Consumer Electronics Association; Paul Thomsen, Director, Design/Technology & Standards, Hitachi Home Electronics (America), Inc.; Robert N. Blanchard, Standards Coordinator, Sony Electronics Television Operations of the Americas, Advanced Technology and Planning Division.

They demonstrated the technology behind the captions that can appear in digital television content, if provided by producers and programmers.

FCC Committee Recommends DTV Obligations

November 18, 2005The FCC's Consumer Advisory Committee recommended that the Commission define the public interest obligations of digital television broadcasters by May 18, 2005. The CAC asks to issue Reports & Orders in Public Interest Obligations of TV broadcast Licensees (MM Docket No. 99–360); and Standardized and Enhanced Disclosure Requirements for Television Broadcast Licensee Public Interest Obligations (MM 20 Docket No. 00–168