February 2006

Cake and ice cream for everyone next week -- the=20
Telecom Act turns 10! There's a conference on=20
same Monday, a hearing on Net Neutrality Tuesday,=20
a state of the Internet conference Wednesday, a=20
FCC meeting Friday (we'll share the agenda with=20
you on Monday) and the Susan G. Hadden Pioneer=20
Awards to boot. For upcoming media policy events, see http://www.benton.org

INTERNET/BROADBAND
Is Verizon a Network Hog?
Public ownership is the answer

CABLE/TELECOM
Burns, Inouye Team on Video Franchise Principles
Cable Market Power For Dummies
Cable Accounted for 33.4% of '05 TV Ad Sales

PUBLIC MEDIA
Beyond Broadcast: Expanding Public Media in the Digital Age

CONTENT
AFA Targets NBC's 'Will & Grace'
Christian Coalition Urges Senate Vote on Broadcast Decency

QUICKLY -- Ruiz Joins FCC; R.I.P. -- The=20
Telegram, 1844-2006; Clowns To The Left, Jokers=20
To The Right; Closing the gap between media and=20
consumers; Call for Papers -- TPRC; That Song=20
Sounds Familiar; Tackling Terror on the Web;=20
Valenti's Credits Keep on Rolling; Service Call

INTERNET/BROADBAND

IS VERIZON A NETWORK HOG?
[SOURCE: BusinessWeek, AUTHOR: Catherine Yang]
Documents filed with the Federal Communications=20
Commission show that Verizon Communications is=20
setting aside a wide lane on its fiber-optic=20
network for delivering its own television=20
service. According to Marvin Sirbu, an=20
engineering professor at Carnegie Mellon=20
University who examined the documents, more than=20
80% of Verizon's current capacity is earmarked=20
for carrying its service, while all other traffic=20
jostles in the remainder. Leading Net companies=20
say that Verizon's actions could keep some rivals=20
off the road. As consumers try to search Google,=20
buy books on Amazon.com, or watch videos on=20
Yahoo!, they'll all be trying to squeeze into the=20
leftover lanes on Verizon's network. On Feb. 7=20
the Net companies plan to take their complaints=20
about Verizon's plans to the Senate during a=20
hearing on telecom reform. "The Bells have=20
designed a broadband system that squeezes out the=20
public Internet in favor of services or content=20
they want to provide," says Paul Misener,=20
vice-president for global policy at Amazon.com.=20
Verizon argues that it needs to take such=20
measures to earn a return on its network=20
investments. The New York giant is seeing steep=20
declines in its traditional telephone market, so=20
it is spending an estimated $10 billion over=20
seven years on new fiber lines to diversify into=20
the TV business. Unless it can deliver seamless,=20
high-quality TV service -- a real bandwidth hog=20
-- Verizon says it won't be able to compete=20
against Comcast and other cable rivals. We "give=20
consumers choice for video services," says=20
Verizon Executive Vice-President Thomas J. Tauke.=20
At issue is what the Internet of the future will=20
offer. Critics of the phone industry say the Net=20
has flourished because innovators anywhere could=20
reach consumers just as easily as deep-pocketed=20
corporations. But if Verizon and AT&T set up=20
tolls and express lanes, upstarts may not be able=20
to afford the fees. "If you deliver video the way=20
Verizon does now, that makes it very hard for=20
others to compete," says Carnegie Mellon's Sirbu.
http://www.businessweek.com/technology/content/feb2006/tc20060202_061809...
m?campaign_id=3Dsearch
Additional articles on Net Neutrality --
* Net Companies go to Capitol Hill to Fight for Network Neutrality
http://google.blognewschannel.com/index.php/archives/2006/02/02/net-comp...
es-go-to-capitor-hill-to-fight-for-network-neutrality/
* Network Neutrality and the State of Broadband
http://www.iyne.org/2006/02/02/network-neutrality-and-the-state-of-broad...
d/
* Prioritized bandwidth =97 fact or fiction.
http://incoherently.net/archives/2006/01/31/prioritised-bandwidth-fact-o...
iction/
* Telcos marketing false scarcity to create support for new Internet fees
http://www.blackfriarsinc.com/blog/2006/02/telcos-are-marketing-false-sc...
ity-to.html
* A Gated Internet
http://www.isportal.com/blog/_archives/2006/2/2/1740921.html
* Telecoms and the Toll Road Gambit
http://www.mathewingram.com/work/index.php/2006/02/02/telecoms-and-the-t...
-road-gambit/

PUBLIC OWNERSHIP IS THE ANSWER
[SOURCE: The Minnesota Daily, AUTHOR: Becca Vargo=20
Daggett, Municipal Telecommunications Project]
[Commentary] Students, small companies and=20
struggling startups will be hurt if telephone and=20
cable companies start charging content providers.=20
But the solution is not to ask Congress to impose=20
regulations enforcing network neutrality. The=20
solution is to build publicly owned, open access=20
networks as an alternative to the private,=20
proprietary networks on which we currently rely.=20
A publicly owned broadband network would not be a=20
monopoly. Customers could still choose to=20
continue to use the incumbent phone or cable=20
company=92s pipes, but they would have that choice.=20
The smart money is on people gravitating toward=20
publicly owned pipes, which allow them to choose=20
how they use the Internet. This is why the=20
incumbent phone and cable companies oppose=20
municipal broadband. Cities have a=20
once-in-a-lifetime opportunity to create a=20
competitive local market for broadband by=20
building publicly owned networks. They should not waste it.
http://www.mndaily.com/articles/2006/02/02/66942

CABLE/TELECOM

BURNS/INOUYE TEAM ON VIDEO FRANCHISE PRINCIPLES
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Senate Commerce Committee member Conrad Burns=20
(R-T) and Co-Chairman Daniel Inouye (D-Hawaii)=20
have released a "series of principles" they say=20
are "essential" to any video-franchising reform=20
legislation. Essentially, they are backing=20
streamlining the process, with the caveat that=20
state and localities must not be stripped of=20
their authority; that terms for new entrants,=20
like cable video, should be essentially the same=20
as for incumbents; and that the playing field=20
should be technologically neutral. The=20
legislators' three main principles: 1) Recognize=20
and Reaffirm the Role of States and Localities in=20
the Video Franchising Process; 2) Promote=20
Competition by Facilitating Speedy Entry on Fair=20
Terms; 3) Promote Competitive Neutrality and a Level Playing Field;
http://www.broadcastingcable.com/article/CA6304431?display=3DBreaking+Ne...
referral=3DSUPP
(free access for Benton's Headlines subscribers)
* Press release from Sen Burns:
http://burns.senate.gov/index.cfm?FuseAction=3DPressReleases.Detail&Pres...
lease_id=3D1524
* Sens. Unveil Franchise-Reform Principles
http://www.multichannel.com/article/CA6304448.html?display=3DBreaking+News
(requires subscription)

CABLE MARKET POWER FOR DUMMIES
[SOURCE: Tales from the Sausage Factory, AUTHOR: Harold Feld]
[Commentary] Most folks outside of Washington DC=20
still find their cable company an obnoxious=20
monopoly, despite the presence of competitors=20
like DirecTV, Dish Network, and the occasional=20
overbuilder like RCN. But, despite the fact that=20
customers express far more satisfaction with=20
satellite and overbuilder service, most folks=20
remain subscribed to cable. What gives? And how=20
does cable get away with raising prices and=20
favoring affiliated programming in the face of=20
this =93vigorous competition.=94 Needless to say, the=20
cable folks respond with a host of fancy economic=20
papers that they file with the FCC and present to=20
members of Congress. My own impression, having=20
spoken with a number of economists, is that the=20
cable companies use economics the same way=20
Creationists use intelligent design. The point=20
isn't to engage in real scientific inquiry. The=20
point is to throw enough scientific sounding=20
stuff out there to confuse the issue and make=20
people believe there are two equally valid sides=20
to the debate. My problem is that the FCC and=20
Congress usually end up playing the Dover School=20
District Board rather than Judge Jones.
http://www.wetmachine.com//item/422

CABLE ACCOUNTED FOR 33.4% OF '05 TV AD SALES
[SOURCE: MediaWeek, AUTHOR: Anthony Crupi]
A new study from Kagan Research estimated that=20
cable accounted for 33.4 percent of all=20
television advertising sales in 2005, thanks in=20
large part to an ongoing boom in ratings among=20
ad-supported cable networks. The research company=20
forecasted that cable ad billings would begin to=20
become commensurate with the growth of its=20
viewing share, reaching $34.6 billion and 63=20
percent of the total TV audience in 2009.=20
Moreover, cable is expected to surpass broadcast=20
for the first time in total ad billings by 2014,=20
when Kagan predicts it will ring up $55 billion in sales.
http://www.mediaweek.com/mw/news/recent_display.jsp?vnu_content_id=3D100...
6503

PUBLIC MEDIA

BEYOND BROADCAST: EXPANDING PUBLIC MEDIA IN THE DIGITAL AGE
[SOURCE: Center for Digital Democracy]
"Beyond Broadcast" represents the Center for=20
Digital Democracy's latest effort to help realize=20
the full potential of public media -- including=20
public broadcasting, but focusing especially on a=20
range of new digital technologies -- in the=20
broadband era. With the inability of the=20
mainstream media, now dominated by a handful of=20
multinational conglomerates, to serve the public=20
interest, and the corresponding failure of the=20
established institutions of public broadcasting=20
to create a genuinely participatory system, CDD=20
believes it is now time for more collaborative=20
and community-based efforts. Just as desktop=20
publishing and Internet communications forever=20
changed the media ecology of the late twentieth=20
century, so will the convergence of online and=20
broadcast technologies (desktop audio and video)=20
affect the early twenty-first century. The old=20
rules of production and distribution have=20
changed, and it is not too early to make sure=20
that the new rules are applied in a more just and=20
equitable manner. Technological convergence, in=20
short, must not be allowed to become the latest=20
victim of media consolidation. Part 1 of the=20
report, Expanding Public Media in the Digital=20
Age, is available at the URL below.
http://www.democraticmedia.org/BB/BBfront.php

CONTENT

AFA TARGETS NBC=92S =91WILL & GRACE=92
[SOURCE: AdAge, AUTHOR: Abbey Klaassen and Ira Teinowitz]
The American Family Association just can't leave=20
NBC alone. Weeks after it successfully mounted a=20
campaign against the network=92s midseason show=20
=93Book of Daniel,=94 the organization is going after=20
Thursday night stalwart =93Will & Grace=94 for an=20
episode guest-starring Britney Spears as a=20
Christian conservative sidekick to Jack. In the=20
episode, =93Out TV,=94 the fictional network that=20
airs Jack=92s =93Jack Talk=94 TV program is bought by a=20
Christian TV network, and Ms. Spears=92 character=20
is brought on to be Jack=92s new religious co-host.=20
She introduces a cooking segment on the show called =93Cruci-fixin=92s.=94
http://adage.com/news.cms?newsId=3D47728

CHRISTIAN COALITION URGES SENATE TO STOP BLOCKING=20
VOTE ON 'BROADCAST DECENCY ENFORCEMENT ACT'
[SOURCE: Christian Coalition of America press release]
Christian Coalition of America is disappointed=20
that the United States Senate has not acted on=20
the =93Broadcast Decency Enforcement Act=94 and for=20
basically doing nothing since the 2004 Super Bowl=20
half-time outrage when a performer exposed her=20
breast before an audience of over 1 billion with=20
tens of millions of young children watching. It=20
is reprehensible that the United States Senate=20
has not even had a vote on the "Broadcast Decency=20
Enforcement Act" authored by Congressman Fred=20
Upton, (R-MI), which passed in the U.S. House of=20
Representatives overwhelmingly by a margin of=20
389-38 last year. Clearly, the American people=20
want the United States Senate to act to stop=20
indecency on television. The President of the=20
Christian Coalition of America, Roberta Combs=20
said, "It has now been two years since the=20
outrageous Janet Jackson incident during the=20
Super Bowl half-time show. It is unbelievable=20
that exactly 2 years ago today I made a statement=20
saying, =91Congress needs to move aggressively to=20
pass legislation which will finally and severely=20
sanction those individuals in broadcasting=20
companies and stations which violate decency=20
standards. The American people demand it.=92 And=20
yet the United States Senate has still stalled a=20
vote on a commonsense bill giving tools to the=20
Federal Communications Commission to take the=20
offensive against such gross violations of=20
decency standards.=94 The bill sponsored by Senator=20
Sam Brownback, (R-KS), the "Broadcast Decency=20
Enforcement Act of 2005", S. 193, will increase=20
fines to $500,000 per violation of decency=20
standards from the current paltry level of=20
$32,500 per violation. The Senate also needs to=20
adopt the provisions in the House bill, which=20
will eventually lead to license revocation for=20
repetitive violations of the decency standards.
http://www.earnedmedia.org/cc0203.htm

QUICKLY

NEW HIRE OFFICE OF STRATEGIC PLANNING AND POLICY ANALYSIS
[SOURCE: Federal Communications Commission]
FCC Chairman Martin announced the naming of Diego=20
T. Ruiz as Deputy Chief, Office of Strategic=20
Planning and Policy Analysis. Mr. Ruiz joins the=20
Commission from Univision where he was Vice=20
President and General Manager of KUVS-TV=20
Univision Channel 19 and KTFK-TV TeleFutura=20
Channel 64, the company's owned-and-operated=20
television stations in Sacramento,=20
California. Before moving to Sacramento, Mr.=20
Ruiz was Vice President and General Manager of=20
Univision's Internet division, Univision Online,=20
based in Miami, Florida. Prior to that, he=20
served as Station Manager of Univision's flagship=20
television station, KMEX-TV, in Los Angeles,=20
California. A native Spanish speaker, Mr. Ruiz=20
graduated from the University of Virginia with a=20
BA in History and English Literature. He=20
received his MBA from Harvard Business=20
School. While in Sacramento, Mr. Ruiz served on=20
the boards of directors of the California Chamber=20
of Commerce and the California Broadcasters Association.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-263609A1.doc

THE TELEGRAM, 1844-2006
[SOURCE: Washington Post, AUTHOR: Mike Musgrove]
Maybe old media do die after all. For=20
generations, Western Union's telegrams were the=20
way news moved from one coast to the other,=20
hand-delivered messages filled with staccato=20
sentences that were usually missing punctuation.=20
They were part of Americana, important elements=20
in movies such as "Mr. Smith Goes to Washington"=20
and "It's a Wonderful Life" and tools for=20
delivering news -- often bad -- about loved ones=20
who were serving their country overseas. But now,=20
overshadowed by instant and inexpensive forms of=20
communication -- e-mail, cell phone and text=20
messages among them -- the telegram has gone the=20
way of carbon paper and mimeographs. Telegrams=20
peaked in 1929 with 20 million messages sent.=20
Last year, there were 20,000. The final one was sent last Friday.
http://www.washingtonpost.com/wp-dyn/content/article/2006/02/02/AR200602...
2467.html
(requires registration)

CLOWNS TO THE LEFT, JOKERS TO THE RIGHT
[SOURCE: Bunnie Riedel]
[Commentary] Riedel criticizes Public Knowledge's=20
support for national video franchises.
www.riedelcommunications.blogspot.com

CLOSING THE GAP BETWEEN MEDIA AND CONSUMERS
[SOURCE: San Jose Mercury News 2/2, AUTHOR: Jerry Ceppos]
[Commentary] Ceppos suggests ways to bring=20
consumers and the media together. For consumers:=20
1) Consult a variety of news sources. It's not=20
fair to attack "the media" if you're looking at=20
just one flaky Web site -- or even one newspaper=20
and no other source. 2) Cut journalists a few=20
breaks. Sure, we're self-absorbed. But we don't=20
care less about injured soldiers than about=20
injured journalists. 3) Point out errors and ask=20
journalists questions, preferably before you call=20
the talk-radio show. For journalists he suggests=20
A) Explain why you do what you do. B) Tell=20
consumers how to reach the boss, even if you're=20
an Internet site or a radio or TV station. C)=20
Explain how difficult news gathering is.
http://www.mercurynews.com/mld/mercurynews/news/opinion/13772459.htm

CALL FOR PAPERS -- TPRC
TPRC is now soliciting abstracts of papers for=20
presentation at its 2006 conference. Proposals=20
should be based on current theoretical or=20
empirical research relevant to communication and=20
information policy, and may be from any=20
disciplinary perspective. TPRC welcomes national,=20
international, comparative, and multidisciplinary=20
or interdisciplinary studies. See URL below for=20
list of subject areas of interest. Submissions are due by March 31, 2006.
http://www.tprc.org/TPRC06/call06.htm

THAT SONG SONGS FAMILIAR
[SOURCE: Los Angeles Times, AUTHOR: Steven Barrie-Anthony]
An online service helps users find new music=20
through a 'genome project' that maps tunes'=20
traits and spits out matches.Since the free=20
version of Pandora.com made its debut in November=20
(you can listen with no ads on the screen for $3=20
a month), 8 million stations have been created,=20
and record label and radio executives and=20
technologists are aflutter with interest.
http://www.latimes.com/news/printedition/front/la-et-pandora3feb03,0,555...
5.story?coll=3Dla-headlines-frontpage
(requires registration)

INTERNET JIHAD: TACKLING TERROR ON THE WEB
[SOURCE: The Christian Science Monitor, AUTHOR: James Brandon]
A British citizen faces US charges for running a=20
militant site hosted in Connecticut.
http://www.csmonitor.com/2006/0203/p06s02-woeu.html

VALENTI'S CREDITS KEEP ON ROLLING
[SOURCE: Washington Post, AUTHOR: Arshad Mohammed]
Jack Valenti is still working the halls of=20
Congress more than a year after he stepped down=20
as chief executive of the Motion Picture=20
Association of America. In three appearances=20
before the Senate Commerce Committee over the=20
past three months, Valenti has sought to ward off=20
fresh federal regulation of indecency on TV with=20
a blend of public oratory and private persuasion=20
that left even senators envious of his political=20
skills. Though appearing as a private citizen at=20
the committee's invitation, Valenti continues to=20
be a policy player because of his legacy=20
developing the movie-ratings system and his rare=20
ability to referee among media moguls. Former=20
agriculture secretary Dan Glickman succeeded=20
Valenti in the MPAA top job, but it turns out=20
there's no replacing him on center stage in a congressional hearing.
http://www.washingtonpost.com/wp-dyn/content/article/2006/02/02/AR200602...
2469.html
(requires registration)

SERVICE CALL
[SOURCE: Washington Post, AUTHOR: Steven Pearlstein pearlsteins( at )washpost.co=
m.]
A telecom service nightmare.
http://www.washingtonpost.com/wp-dyn/content/article/2006/02/02/AR200602...
2472.html
(requires registration)
--------------------------------------------------------------
....and we're outta here. Have a great weekend and thanks for sticking with=
us.
--------------------------------------------------------------
Communications-related Headlines is a free online=20
news summary service provided by the Benton=20
Foundation (www.benton.org). Posted Monday=20
through Friday, this service provides updates on=20
important industry developments, policy issues,=20
and other related news events. While the=20
summaries are factually accurate, their often=20
informal tone does not always represent the tone=20
of the original articles. Headlines are compiled=20
by Kevin Taglang headlines( at )benton.org -- we welcome your comments.
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