September 2006

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CONTENT
FCC Democrats Urge DTV Public Interest Rules
Brownback, Martin Push Collegial Anti-Obesity Effort
Janet Jackson Court Case Pushed Back
German leader Warns against Censorship

DIVERSITY
NAACP Chief Is Optimistic After Talks
NYC Official Slams Ad Agency Execs for Skipping Diversity Hearing

INTERNET/NET NEUTRALITY
Rural Areas Left in Slow Lane of High-Speed Data Highway
Cable Guys
Telemedicine and =91net neutrality=92

MEDIA OWNERSHIP
FCC needs all the facts
The Newspaper Publisher Who Said No to More Cuts
News Corp. Buys 2 Groups of Weekly Papers
Univision Shareholders Approve $13.7 Billion Sale

QUICKLY -- E-911 Bill May Be Killed In Talks; Flooding Empties FCC

CONTENT

FCC DEMOCRATS URGE DTV PUBLIC INTEREST RULES
[SOURCE: Technology Daily, AUTHOR: David Hatch]
FCC Commissioners Michael Copps and Jonathan=20
Adelstein urged their Republican colleagues to=20
adopt new public-interest requirements for=20
digital television broadcasters. "Our signals are=20
crossed when it comes to what broadcasters must=20
do to discharge their public-interest duties in=20
this new digital age," Commissioner Copps said at=20
the agency's monthly public meeting. He=20
complained that the FCC has yet to provide clear=20
guidance to television stations and viewers.=20
Commissioner Copps urged his colleagues to tackle=20
how the digital transition can enhance political=20
discourse, aid citizens with disabilities,=20
generate more locally originated content and=20
foster diverse viewpoints and ownership. The=20
commissioner lamented that it has been nearly=20
seven years since a proceeding on the subject was=20
launched. Without action by the FCC, Commissioner=20
Copps warned, "I really do believe that the=20
digital transition will fall far, far short of=20
its potential." The switchover is set to be=20
finished by Feb. 17, 2009. The regulators made=20
their remarks while praising newly adopted FCC=20
rules that increase educational programming=20
obligations for digital TV broadcasters offering=20
multiple programming streams. The item, which=20
limits the display of Internet addresses during=20
kids' shows and takes other steps to reduce=20
youngsters' exposure to commercialism, was adopted unanimously.
http://www.njtelecomupdate.com/lenya/telco/live/tb-BDAZ1159382486842.html

BROWNBACK, MARTIN PUSH COLLEGIAL ANTI-OBESITY EFFORT
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Senator Sam Brownback (R-KS) unveiled a new joint=20
task force on the media and childhood obesity,=20
saying his goal was to work with industry to help=20
combat the issue, to join hands rather than point=20
fingers. With FCC Chairman Kevin Martin and=20
Commissioner Deborah Taylor Tate at his side, Sen=20
Brownback said he wanted to bring together=20
"industry, government, and advocacy organizations=20
to combat the rising tide of childhood obesity."=20
He pointed to a pie chart "no pun intended," he=20
added, to illustrate the "direct and profound"=20
impact of targeted marketing of candy, cereal,=20
soda, and fast food. Sen Brownback said that the=20
task force, which will begin its work early in=20
2007 and result in an FCC report, would not just=20
look at the industry, but at parents and "the=20
role the federal government has in stemming this=20
crisis. He said that if different sectors did not=20
come together, they would all be responsible for=20
the ongoing harm to children from the obesity=20
problem. While the effort was billed as=20
bipartisan, there were some prominent Democratic=20
voices on the issue of childhood obesity not=20
participating, including Democratic Commissioner=20
Michael Copps, and Senator Tom Harkin (D-Iowa),=20
the latter arguably Congress' most vocal critic=20
of food marketing practices. Sen Brownback said=20
he had not contacted Sen Harkin about the task=20
force, but that he had also not talked to any of=20
his other colleagues "Republican or Democrat,"=20
but that he welcomed input from interested=20
parties and he would "reach out" to both sides of=20
the aisle. Chairman Martin seconded that=20
sentiment. Task force members announced at the=20
event included representatives from the Beverly=20
LaHaye Institute, Children Now, Disney, the=20
Parents Television Council, Sesame Workshop, and=20
the Benton Foundation. Sen Brownback said more=20
task force members, particularly representatives=20
from the business community, are expected to join soon
http://www.broadcastingcable.com/article/CA6375847.html
* Brownback, FCC Announce Task Force on Child Obesity and Media
http://brownback.senate.gov/pressapp/record.cfm?id=3D263926
* Chairman Martin's remarks:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-267639A1.doc

JANET JACKSON COURT CASE PUSHED BACK
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The Federal Court hearing CBS' challenge to the=20
Janet Jackson case (the Third Circuit) has=20
granted the network's request for an extension of=20
time to file its opening brief so that the case's=20
briefing schedule will essentially mirror the=20
schedule for briefs in the broadcaster's other=20
challenge to four profanity decisions (in the=20
Second Circuit). CBS' briefs were due Sept. 27,=20
but will now not be due until Nov. 20, the court=20
said Wednesday, with respondent briefs due 14=20
days after that and replies to those seven days=20
later. The Jackson case will now move along the=20
same track as the profanity case, which has a=20
Nov. 20, Dec. 4 and Dec. 11 briefing schedule.=20
That means neither case is likely to be decided before sometime next year.
http://www.broadcastingcable.com/article/CA6375856.html

GERMAN LEADER WARNS AGAINST CENSORSHIP
[SOURCE: Associated Press, AUTHOR: Melissa Eddy]
German Chancellor Angela Merkel warned against=20
"self-censorship out of fear" on Wednesday, a day=20
after a leading Berlin opera house decided not=20
stage a production because of concerns it could=20
provoke Islamic ire. German leaders widely=20
condemned the Deutsche Oper's decision not to put=20
on a production of Mozart's "Idomeneo" with a=20
scene featuring the severed heads of Jesus,=20
Buddha and the Prophet Muhammad, after Berlin=20
security officials said they could not guarantee=20
the opera house's security in the event of=20
violent protests. "We must be careful that we do=20
not increasingly shy away out of fear of violent=20
radicals," Merkel told the Hannover Neue Presse.=20
"Self-censorship out of fear is not tolerable."
http://hosted.ap.org/dynamic/stories/G/GERMANY_OPERA_ISLAM?SITE=3DININS&...
TION=3DHOME&TEMPLATE=3DDEFAULT
* Fear of offending Islam spurs hot debate in Europe
http://today.reuters.com/news/newsArticle.aspx?type=3DentertainmentNews&...
ryID=3D2006-09-27T205502Z_01_L27153067_RTRUKOC_0_US-ARTS-RELIGION.xml&archi=
ved=3DFalse

DIVERSITY

NAACP CHIEF IS OPTIMISTIC AFTER TALKS
[SOURCE: Los Angeles Times 9/27, AUTHOR: Greg Braxton]
After meeting for the first time last week with=20
top broadcast television network executives,=20
NAACP President Bruce Gordon said he now feels=20
cautiously optimistic about what he feels is a=20
lack of cultural diversity in prime time. The=20
meetings were held more than three months after=20
Gordon first expressed his unhappiness with the=20
absence of any black stars in new comedies on the=20
four major networks. He had said that this fall=20
marks the first time in "recent memory" in which=20
there is not a comedy on ABC, NBC, CBS or Fox=20
with an African American lead and that the major=20
networks had failed to honor their commitment to=20
diversity. Gordon said that his concerns revolve=20
around what he saw as a lack of minorities in the=20
producing and writing ranks of prime-time=20
television, as well as minorities as "show=20
runners" -- producers who oversee the day-to-day operations of a series.
http://www.latimes.com/entertainment/news/la-et-naacp27sep27,1,1166112.s...
y?coll=3Dla-headlines-entnews
(requires registration)

NYC OFFICIAL SLAMS AD AGENCY EXECS FOR SKIPPING DIVERSITY HEARING
[SOURCE: AdAge, AUTHOR: Matthew Creamer]
New York City Councilman Larry Seabrook blasted=20
ad agencies who failed to show Tuesday for a=20
public hearing on minority-owned media, saying=20
they "ran like chickens with their asses plucked=20
clean," and suggested a subpoena might compel=20
them to do so in the future. Madison Avenue,=20
under fire for its failure to build diverse=20
workplaces, was also slapped today for not buying=20
enough ads in media outlets owned by=20
African-Americans, Latinos and other minorities.=20
In hearings at City Hall, media owners and City=20
Council members blasted the industry for what one=20
described as an environment where these outlets=20
are "devalued and relegated to leftovers."
http://adage.com/article?article_id=3D112118

INTERNET/NET NEUTRALITY

RURAL AREAS LEFT IN SLOW LANE OF HIGH-SPEED DATA HIGHWAY
[SOURCE: New York Times, AUTHOR: Ken Belson]
For most businesses, the goal is to attract as=20
many customers as possible. But in the=20
fast-changing telephone industry, companies are=20
increasingly trying to get rid of many of theirs.=20
Big phone and cable companies are reluctant to=20
upgrade and expand their networks in sparsely=20
populated places where there are not enough=20
customers to justify the investment. Instead,=20
they are funneling billions of dollars into=20
projects in cities and suburbs where the=20
prospects for a decent return are higher. But=20
those projects are unlikely to reach rural areas=20
of Vermont and other states, leaving millions of=20
people in the Internet=92s slow lane, just as=20
high-speed access is becoming more of a necessity=20
than a luxury. The United States already lags=20
behind much of the industrialized world in=20
broadband access. The economics of providing=20
broadband in rural areas are discouraging. The=20
cost of upgrading an existing copper line that=20
runs from switching stations to remote homes can=20
be as much as $5,000, according to the National=20
Exchange Carrier Association. Such costs are=20
prohibitive for phone companies, which typically=20
want to make back their money within three years.
http://www.nytimes.com/2006/09/28/technology/28vermont.html?hp&ex=3D1159...
400&en=3D5256374abba709e1&ei=3D5094&partner=3Dhomepage
(requires registration)

CABLE GUYS
[SOURCE: Wall Street Journal, AUTHOR: James Glassman]
[Commentary] Seven states, comprising about=20
one-third of the U.S. population, have now passed=20
video franchise laws, which will not only lower=20
monthly subscriber costs but also create new=20
technology jobs -- 10,000 in California alone,=20
according to one estimate -- as Verizon and AT&T,=20
along with cable overbuilders like RCN, jump in=20
with both feet. To bring high-quality video to=20
the home over a technology called Internet=20
protocol, the telcos will make major investments=20
to drive the fiber -- which carries the data --=20
much more deeply into their networks. Broadband=20
service will improve; state and local governments=20
will still get their franchise fees. All that=20
will end is a monopoly that drives consumers=20
nuts. How much will consumers save? A 2004 study=20
by the GAO looked at six markets with cable=20
competition and found that rates were 15% to 41%=20
below similar markets with no competition. With a=20
national election coming up, you would expect=20
Congress to get on the bandwagon and embrace a=20
version of the state bills, killing the monopoly=20
and taking the credit. Instead, federal=20
legislation is slowed down by measures promoting=20
"net neutrality" -- the concept that telecom=20
companies should be barred from asking content=20
providers, like Amazon, to pay extra for=20
higher-speed service the telcos develop -- the=20
way that an airline asks more for a first-class=20
seat. The House, after rejecting a net-neutrality=20
amendment, passed a video-choice bill, as it's=20
called, by a 3-1 margin in early June. But net=20
neutrality lives in the Senate, and the debate=20
has become tendentious. Moveon.org has taken up=20
the cause, claiming on its website that a tiered=20
system that gives faster delivery to some=20
customers "would end the free and open Internet."=20
Such claims are nonsense, and irrelevant when a=20
federal bill to liberate cable TV is otherwise at hand.
http://online.wsj.com/article/SB115941000245676298.html?mod=3Dtodays_us_...
nion
(requires subscription)

TELEMEDICINE AND 'NET NEUTRALITY'
[SOURCE: , AUTHOR: Vanessa McLaughlin, Providea info( at )provideasolutions.com]
[Commentary] Before long, connecting with a=20
doctor and getting medical care online is likely=20
to top the list of Internet breakthroughs --=20
unless new government regulations get in the way.=20
=93Net neutrality=94 proposals now up for debate in=20
Congress could hamper healthcare innovation.=20
Telemedicine is at risk from possible government=20
restrictions under the rubric of net neutrality.=20
Although fair-sounding on its face, proposed=20
legislation would stunt telemedicine by=20
potentially blocking network providers from using=20
the management tools to protect privacy or=20
designing custom business models and systems to=20
deliver medical service at a distance. Net=20
neutrality advocates say every bit of Internet=20
traffic should be treated alike. But that makes=20
as much sense as an emergency room that=20
eliminates triage and treats a broken nose with=20
the same urgency as a heart attack. In an ER,=20
some cases are more critical. On the Internet,=20
some bits of data are more important. Medical=20
data needs to get where it=92s going fast and safe.=20
If an e-mail or music video is delayed by a=20
traffic jam on the network, the damage is=20
minimal. If a medical transmission is disrupted, someone could die.
http://www.journal-news.net/Columns/articles.asp?articleID=3D3935

MEDIA OWNERSHIP

FCC NEEDS ALL THE FACTS
[SOURCE: Roanoke Times, AUTHOR: Editorial staff]
[Commentary] As the Federal Communications=20
Commission re-examines rules limiting ownership=20
of radio and television stations, the agency=20
should make decisions based on all the available=20
facts. Instead, at least two studies that might=20
alter any decision to relax those rules were=20
quashed. That's unacceptable, but hardly=20
surprising coming from the Bush administration,=20
which has turned the suppression of inconvenient=20
facts into an art form. Current FCC Chairman=20
Kevin Martin has ordered a probe into why the=20
draft reports were quashed. Former FCC Chairman=20
Michael Powell denied a former FCC lawyer's=20
allegation that top officials ordered copies of=20
the reports destroyed. Whatever Martin's probe=20
uncovers, the FCC should ensure that these=20
studies are completed and any other relevant data=20
is gathered before ownership rules are revised.
http://www.roanoke.com/editorials/wb/wb/xp-84435

THE NEWSPAPER PUBLISHER WHO SAID NO TO MORE CUTS
[SOURCE: New York Times, AUTHOR: Katharine Seelye]
Less than a year ago, the Tribune Company told=20
The Los Angeles Times to cut millions of dollars=20
from the paper=92s budget and get rid of hundreds=20
of jobs. The top editor and the publisher=20
complied. But when Tribune came calling last=20
month to seek a new round of cuts, Jeffrey M.=20
Johnson, the publisher, and Dean Baquet, the=20
editor, had had enough. They refused to make what=20
they considered drastic cuts and said so=20
publicly. In that space of time, Mr. Johnson =97=20
who has worked for Tribune for more than 20 years=20
=97 seemed to many Los Angeles Times employees to=20
transform himself as dramatically as Clark Kent=20
does when he removes his glasses, steps into a=20
phone booth and turns into Superman.
http://www.nytimes.com/2006/09/28/business/media/28johnson.html
(requires registration)

NEWS CORP BUYS 2 GROUPS OF WEEKLY PAPERS
[SOURCE: New York Times, AUTHOR: Maria Aspan]
The News Corporation, owner of The New York Post,=20
has broadened its metropolitan-area presence with=20
the acquisition of two newspaper groups that have=20
28 weekly papers primarily serving Queens and=20
Brooklyn. With the move, News Corporation is=20
increasing its reach to the boroughs outside=20
Manhattan and the minority populations that have=20
been strongholds of its main competitor, The=20
Daily News. While the price of the acquisition=20
was not disclosed, someone close to the deal but=20
not authorized to speak about the matter said=20
News Corporation paid $16 million for the two=20
operations: the TimesLedger and Courier-Life=20
newspaper groups. TimesLedger publishes 16 weekly=20
newspapers in Queens with a total circulation of=20
50,000, including The Flushing Times, Astoria=20
Times and Glen Oaks Ledger, according to the News=20
Corporation. Courier-Life publishes 11 Brooklyn=20
newspapers with a total circulation of 90,000,=20
including Bay News, Brooklyn Heights Courier and=20
Flatbush Life, the company said. Courier-Life=20
also publishes Caribbean Life, which has a=20
circulation of 105,000 across the five boroughs=20
and Westchester and Nassau Counties. The New York=20
Post has average daily circulation of 673,000,=20
according to the latest figures available from=20
the Audit Bureau of Circulations. Average daily=20
circulation of The Daily News is 708,000.
http://www.nytimes.com/2006/09/28/business/media/28paper.html
(requires registration)

UNIVISION SHAREHOLDERS APPROVE $13.7 BILLION SALE
[SOURCE: MediaWeek, AUTHOR: John Consoli]
Univision shareholders have approved the=20
acquisition of the company by an investor group=20
that includes Madison Dearborn Partners,=20
Providence Equity Partners, Texas Pacific Group,=20
Thomas H. Lee Partners, and Saban Capital Group,=20
for $36.25 per share in cash, or a total of $13.7=20
billion, including the assumption of a $1.4=20
billion debt. The merger agreement was approved=20
today at a special meeting of company=20
shareholders by more than 80 percent of the shares that voted.
http://www.mediaweek.com/mw/news/recent_display.jsp?vnu_content_id=3D100...
7286
* Univision shareholders approve buyout
http://today.reuters.com/news/newsArticle.aspx?type=3DindustryNews&storyID=
=3D2006-09-27T202220Z_01_N27416068_RTRIDST_0_INDUSTRY-MEDIA-UNIVISION-DC.XML
* Univision Deal Wins Approval Narrowly
http://www.latimes.com/business/printedition/la-fi-univision28sep28,1,56...
25.story?coll=3Dla-headlines-pe-business

QUICKLY

E-911 BILL MAY BE KILLED IN TALKS
[SOURCE: Technology Daily, AUTHOR: David Hatch]
House Commerce Chairman Joe Barton (R-Texas)=20
plans to remove "enhanced 911" language from=20
pending port security legislation. The provisions=20
would build on FCC regulations detailing the=20
responsibilities of Internet telephone providers=20
to offer 911 emergency-calling services. House=20
and Senate lawmakers are preparing to enter=20
conference negotiations on the ports bill. The=20
House text does not contain E911 language, and=20
aides to Rep Barton have made clear that the=20
Senate E911 provisions must go. Critics accuse=20
Rep Barton of jeopardizing public safety over a=20
turf matter. "This could be a big blow to public=20
safety" if the E911 amendment is stripped from=20
the ports bill, especially on procedural grounds, a Senate Commerce aide sa=
id.
http://www.njtelecomupdate.com/lenya/telco/live/tb-RRVE1159383319330.html

FLOODING EMPTIES FCC
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
In it's frantic search for suppressed media=20
ownership research, staff at the FCC unleashed a=20
flood of... water. Nearly 1,800 workers home=20
early Wednesday afternoon following reports of=20
flooding and other plumbing problems inside=20
agency headquarters. There was no word on whether=20
the FCC will be back in business Thursday.
http://www.multichannel.com/article/CA6375849.html?display=3DBreaking+News
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Go Cubs!
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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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