May 2006

To view Benton's Headlines feed in your RSS=20
Aggregator, paste=20
http://www.benton.org/index.php?q=3Dtaxonomy/term/6/all/feed into your read=
er.
For upcoming media policy events, see http://www.benton.org

VIDEO FRANCHISE DEBATE UPDATE
Verizon: Net Neutrality Concerns are 'Hypothetical'
Don't Look for Price Wars, Says NCTA
Civil Rights On Demand
The Fight Over Your TV Set=09
AT&T Files Four More Lawsuits

BROADCASTING/CABLE
NTIA has No Plans to Conduct Minority Broadcast Ownership Study
TV Clutter Continues to Worry Advertisers
Report: DVR Ad Skipping Could Be Costly

QUICKLY -- Signing the Constitution Away;=20
Smithsonian TV Contract Spurs Panel To Cut Funds;=20
Philadelphia Wi-Fi Moves Closer; Rice says free=20
countries must influence others to remove press restrictions

VIDEO FRANCHISE DEBATE UPDATE

VERIZON: NET NEUTRALITY CONCERNS ARE 'HYPOTHETICAL'
[SOURCE: C-Net|News.com, AUTHOR: Declan McCullagh]
Verizon Communications on Thursday dismissed=20
concerns about Net neutrality as "hypothetical=20
problems" and suggested that new laws mandating=20
the concept were premature. C. Lincoln "Link"=20
Hoewing, an assistant vice president at Verizon=20
Communications, said that the ability to charge=20
for services such as high-quality video is=20
crucial to being able to afford the=20
multibillion-dollar price tag of upgrading its=20
network-to-fiber links. "We could put other=20
services on those pipes--it's got a lot more=20
capacity to do this," Hoewing told the Computers,=20
Freedom and Privacy conference here. That would=20
help "to make it more viable economically and=20
financially and to help us compete." Calling=20
concerns about Net-favoritism entirely=20
hypothetical, Hoewing said: "I'm getting tired of=20
it...We've never done anything that I know to=20
interfere with anyone's traffic." Hoewing said=20
that Verizon is able to slice up bandwidth on its=20
high-speed Fios service based on different lasers=20
and different frequencies. But he declined to say=20
what services might be offered. "I can't give you=20
a portfolio of services that I can lay out that=20
are coming out of the broadband networks that we're deploying," Hoewing sai=
d.
http://news.com.com/Verizon+Net+neutrality+concerns+are+hypothetical/210...
028_3-6068848.html?tag=3Dnefd.top

DON'T LOOK FOR PRICE WARS, SAYS NCTA
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Telephone companies have been saturating=20
consumers with ads about high cable prices. But=20
the National Cable & Telecommunications=20
Association is asking the FCC not to put too much=20
stock in the telco argument that fast-tracking=20
their video services would lead to price=20
competition with cable. In a letter to the FCC,=20
the NCTA highlights comments attributed to AT&T=20
executives that their IPTV video service would be=20
about the same price, and perhaps slightly=20
higher, than cable. Congress, the Administration,=20
and the FCC have all pointed to price and service=20
competition, as well as the roll-out of=20
high-speed Internet, as government interests in=20
streamlining the franchising process and=20
advancing the roll-out of broadband. NCTA wants=20
to streamling the process, too, but it argues=20
that telcos should not be given a competitive advantage.
http://www.broadcastingcable.com/article/CA6331755?display=3DBreaking+News
See also --
* Telco/Cable TV lobbying Blitz Costing Nearly $1 Mil Per Week in DC Market
http://www.democraticmedia.org/jcblog/?p=3D37

CIVIL RIGHTS ON DEMAND
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
After talks with a group identified as "35 civil=20
rights leaders," Verizon says it will add a=20
"community studio" feature to its FiOS video=20
service. The studio will consist of a library of=20
on-demand public interest and civil rights=20
content. That will be in addition to the public,=20
educational and government channels FiOS already=20
provides per its franchise agreements with local=20
communities. Among the groups that will get to=20
put content on the channel are the Leadership=20
Conference on Civil Rights, the National Hispanic=20
Media Coalition, American Association for People=20
with Disabilities, Black Leadership Forum, and=20
U.S. Distance Learning Association.
http://www.broadcastingcable.com/article/CA6331808?display=3DBreaking+News

THE FIGHT OVER YOUR TV SET
[SOURCE: San Francisco Chronicle, AUTHOR: Editorial Staff]
[Commentary] An editorial in favor of California=20
video franchising legislation. The measure would=20
give phone giants such as AT&T and Verizon=20
permission to use their wires statewide to offer=20
video alongside cable firms, who now control the=20
market. The Chronicle paints a picture of two=20
goliaths -- cable and telephone companies --=20
fighting. There's some caution about 1) cities=20
losing the franchise fees they negotiated and=20
other features such as local programming or=20
construction schedules and 2) red-lining poor=20
areas by concentrating service in wealthier=20
areas. But the Chronicle concludes: "What's=20
significant is the competition that a=20
cable-versus-phone rivalry can mean to this=20
household expense. Consumers have watched as the=20
merger and technology game played out, and now=20
it's time to collect the benefits."
http://www.sfgate.com/cgi-bin/article.cgi?file=3D/chronicle/archive/2006...
/04/EDGDOIJH0D1.DTL

AT&T FILES MORE LAWSUITS
[SOURCE: Multichannel News, AUTHOR: Linda Haugsted]
Ten Illinois communities have delayed plant=20
improvements AT&T needs to make to launch the=20
telephone company's video service. AT&T has now=20
sued 7 of them and the other expect legal action=20
soon. The telephone company is taking a hard line=20
against communities that approve moratoria on=20
siting permits. City regulators say they need=20
time to figure out how to safely site the large=20
control boxes -- called 52Bs in the telco's=20
shorthand -- in the public rights-of-way. AT&T=20
said in the lawsuits that any conditions on the=20
siting permits, such as language indicating that=20
a cable franchise may be needed at a later time,=20
are improper, unlawful and unenforceable under=20
state and federal law. See ya in court.
http://www.multichannel.com/article/CA6331622.html?display=3DBreaking+News

BROADCASTING/CABLE

NTIA HAS NO PLANS TO CONDUCT MINORITY BROADCAST OWNERSHIP STUDY
[SOURCE: National Association of Hispanic Journalists press release ]
The National Telecommunications and Information=20
Agency has no plans to conduct a study on the=20
current state of minority broadcast ownership in=20
the United States. The National Association of=20
Hispanic Journalists (NAHJ) sent a letter to U.S.=20
Commerce Secretary Carlos Gutierrez April 3=20
calling on the department to conduct a minority=20
ownership study. The NTIA, which is an agency=20
within the U.S. Commerce Department, has=20
conducted several studies monitoring trends=20
affecting minority owners. The last report was=20
released at the end of the Clinton=20
Administration. Responding on behalf of Sec.=20
Gutierrez, NTIA=92s John M.R. Kneuer informed NAHJ=20
President Veronica Villafa=F1e that his agency had=20
no present plans to conduct a minority ownership=20
study, but that the Administration shared the=20
association=92s concern that =93American media=20
reflect the diversity of the nation=92s people.=94=20
The last report the NTIA published was in=20
December 2000. It found that people of color only=20
made up 3.8 percent of all broadcast station=20
owners and that media consolidation posed a=20
serious threat to the future of minority=20
ownership. NAHJ believes it is critical for the=20
FCC and the public to understand the impact of=20
regulatory action on minority owners. The=20
association is concerned that any action to=20
further deregulate the nation=92s broadcast=20
ownership regulations will reduce the number of=20
minority owners and diverse news coverage, thus stifling diversity.
http://www.nahj.org/nahjnews/articles/2006/april/ntiaresponse.shtml
Read NAHJ's Letter to Sec. Gutierrez:=20
http://www.nahj.org/nahjnews/articles/2006/april/gutierrezletter.shtml
Read Response Letter from NTIA:=20
http://www.nahj.org/nahjnews/articles/2006/april/NTIAResponseLetter.pdf
NTIA's Dec. 2000 study on challenges to minority=20
ownership: http://search.ntia.doc.gov/pdf/mtdpreportv2.pdf
FCC study on barriers to minority ownership:=20
http://www.fcc.gov/opportunity/meb_study/historical_study.pdf
* NTIA Has No Plans To Study Minority Ownership
http://www.broadcastingcable.com/article/CA6331818?display=3DBreaking+News

TV CLUTTER CONTINUES TO WORRY ADVERTISERS
[SOURCE: AdAge, AUTHOR: Willow Duttge]
It's upfront time and marketers' fears about=20
advertising on TV might be coming to fruition.=20
Clutter continues to remain high during=20
prime-time network programming and increased by=20
5% on cable overall, according to MindShare's=20
2005 Clutter Watch survey. For the first time=20
since Mindshare began tracking in 2000, cable ran=20
more clutter than broadcast networks. Among the=20
broadcast networks, ABC gets the prize for the=20
most non-program minutes (a category that=20
includes network commercials, local commercials,=20
PSAs and promos) -- 15 minutes and 26 seconds per=20
hour. However, Fox beat out ABC when it came to=20
total commercial minutes. Fox had 11 more seconds=20
of commercials than ABC, at 12 minutes 55=20
seconds. UPN has the least clutter, but not by=20
much. UPN's total non-program time was still up=20
to 14 minutes and 26 seconds and total commercial=20
minutes were nearly 12 minutes. MTV was the cable=20
clutter leader, with more than 16 minutes of=20
non-program material. But close behind with more=20
than 15 minutes of non-program material were=20
Discovery, Lifetime, USA and Spike. ESPN had the=20
least non-program minutes, while TNT had the=20
least minutes of commercials. Even though TV is=20
less cluttered than print and online, viewers=20
believe TV has too much advertising, according to MindShare's research.
http://www.adage.com/mediaworks/article?article_id=3D108995
* More Clutter on Broadcast, Cable
http://www.tvweek.com/news.cms?newsId=3D9921

REPORT: DVR AD SKIPPING COULD BE COSTLY
[SOURCE: Multichannel News, AUTHOR: Karen Brown]
JupiterResearch says that consumers are losing=20
valuable information about available goods and=20
services when they erroneously skip=20
advertisements using digital video recorders. No,=20
actually, the company estimates that 53% of=20
digital-video-recorder subscribers are zipping=20
through ads, and if that holds true, as much as=20
$8 billion in cable- and broadcast-TV advertising=20
revenue could be at risk. The report also noted=20
that DVR viewers who skip ads watch an average of=20
18 hours of television weekly -- not much more=20
than the average 17 hours watched by viewers in=20
non-DVR households. In response, television=20
networks and advertisers need to rethink their=20
strategies -- and that includes dropping the idea=20
of charging DVR customers for primetime reruns.
http://www.multichannel.com/article/CA6331601.html?display=3DBreaking+News

QUICKLY

SIGNING AWAY THE CONSTITUTION
[SOURCE: Center for American Progress, AUTHOR: Eric Alterman]
[Commentary] Last Sunday, the Boston Globe=92s=20
Charlie Savage broke a story that, "President=20
Bush has quietly claimed the authority to disobey=20
more than 750 laws enacted since he took office,=20
asserting that he has the power to set aside any=20
statute passed by Congress when it conflicts with=20
his interpretation of the Constitution."=20
Amazingly, most of the mainstream media does not=20
appear to think this is much of a story. If a=20
tree falls on the front page of the Boston Globe=20
and is heard only in the blogosophere, does that=20
mean it hasn't really fallen? In other words,=20
will the Bush administration=92s lawlessness=20
continue unabated without even exciting any=20
interest on the part of the mainstream media?=20
Just how much contempt for Congress and the Constitution is too much?
http://www.americanprogress.org/site/pp.asp?c=3DbiJRJ8OVF&b=3D1624525

SMITHSONIAN TV CONTRACT SPURS PANEL TO CUT FUNDS
[SOURCE: Washington Post, AUTHOR: Jacqueline Trescott]
The secrecy around the production contract=20
between the Smithsonian Institution and=20
CBS/Showtime Networks prompted lawmakers=20
yesterday to cut $5.3 million from the museum's=20
proposed budget. The House subcommittee that=20
oversees the federal contribution to the=20
Smithsonian's budget (that's not the official=20
title) included language in the appropriation=20
bill that forbids the Smithsonian to enter any=20
new contract that would "limit access by the=20
public to the Smithsonian collection." "This=20
exclusive arrangement is inconsistent with a=20
public institution that is largely financed by=20
the American taxpayer, and it was done without=20
any consultation with this committee," said=20
subcommittee Chairman Charles Taylor (R-NC). Rep.=20
David R. Obey (D-WI), the ranking minority member=20
of the full House Appropriations Committee, said=20
the Showtime controversy is another sign of=20
missteps by Smithsonian Secretary Lawrence Small.=20
"I found him through the years to be as crassly=20
commercial as anybody in town," Obey said. "No=20
matter what Mr. Small is paid, and he is paid an=20
exorbitant rate for someone running a public=20
institution, he does not have the right to=20
virtually sell the Smithsonian collections."=20
According to the Smithsonian's 2003 tax return,=20
the latest one available to the public, Small=20
earned $813,000, including a housing allowance.
http://www.washingtonpost.com/wp-dyn/content/article/2006/05/04/AR200605...
2097.html
(requires registration)

PHILADELPHIA WI-FI MOVES CLOSER
[SOURCE: Associated Press]
Philadelphia's wireless Internet initiative=20
cleared a critical hurdle on Wednesday, putting=20
the city on track to become the first major=20
metropolitan area with municipal broadband. But=20
full deployment could be delayed a few months=20
until the third quarter of 2007. The project got=20
the green light from the city's technology and=20
information services and public property and=20
public works committees and is now headed for a=20
vote before City Council. The Council is expected=20
to approve the Wi-Fi initiative as early as next=20
week. Under a 10-year contract, EarthLink Inc.=20
will build, operate and maintain a wireless=20
Internet network over Philadelphia's 135 square=20
miles. Full deployment was initially expected=20
next spring, but the project spent two months in=20
committee, which wrangled over issues such as the=20
participation of women and minority businesses.=20
The committees added amendments that gave City=20
Council members more oversight over Wireless=20
Philadelphia, a nonprofit chartered by the city=20
to oversee the Wi-Fi project. Wireless=20
Philadelphia entered into a contract with=20
Atlanta-based EarthLink to provide the high-speed=20
Internet service. Changes include appointing a=20
diversity oversight committee that would make=20
sure Motorola Inc., which EarthLink hired to=20
build the network, will give at least one-fourth=20
of the business to women, minority and disabled=20
business owners. Wireless Philadelphia also has=20
to meet regularly with an advisory group that=20
will be made up of members appointed by the City=20
Council, the mayor and other officials.
http://abclocal.go.com/wpvi/story?section=3Dsci_tech&id=3D4141478

RICE SAYS FREE COUNTRIES MUST INFLUENCE OTHERS TO REMOVE PRESS RESTRICTIONS
[SOURCE: Canadian Press 5/3, AUTHOR: William C. Mann]
Secretary of State Condoleezza Rice said=20
Wednesday that free countries must try to=20
influence governments who restrict press freedom=20
and named five countries that she said do that,=20
including Russia and China. In a statement=20
marking World Press Freedom Day, Rice said=20
actions against the journalists include physical=20
mistreatment as well as reinforced libel laws,=20
media ownership in the hands of too few people,=20
Internet restrictions and dwindling press=20
outlets. (Wow, can we apply those standards here in the US, too?)
http://www.canada.com/topics/news/world/story.html?id=3D88371d5f-f753-4d...
8233-a43e26676584&k=3D82638
--------------------------------------------------------------
...and we're outta here. Have a great weekend=20
and, if you have any extra first basemen, the=20
Cubs could really use one for the next two months!
--------------------------------------------------------------
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.
--------------------------------------------------------------