June 2007

OWNERSHIP/DIVERSITY
Pushed Off the Dial: Media Consolidation Diminishes Diversity on the Radio
Diversity still an issue at TV networks
Mexican Court=92s Media Ruling Shows Support for Competition

ELECTIONS & MEDIA
Political Campaigns Just Love the News
Univision proposes Spanish-language presidential debates

SPECTRUM/WIRELESS
Spectrum Comments Flood FCC
Frontline Continues Full-Court Press At The Commish
Muni Wi-Fi hits wall of economic and political realities
Bringing public Wi-Fi to small-town America

JOURNALISM
A Blog Is a Little First Amendment Machine
Burkle Expresses Interest in Dow Jones
An Independent Newspaper

MEDIA & CHILDREN
Children's Exposure to Food Advertising on Television
Expletive Policy Deleted
Doll Web Sites Drive Girls to Stay Home and Play

ADVERTISING
U.S. Advertising Spending Declines -- TV, Newspapers Take the Biggest Hits
Radio Time to Join List of eBay Items Up for Auction

IN THE STATES
Cable competition sought
Internet conduct that crosses the state line?

QUICKLY -- Outside Panel to Scrutinize U.S.=20
Arabic TV Network; Skype: 'Locked' phones unfair; An unsafe search

OWNERSHIP/DIVERSITY

PUSHED OFF THE DIAL: MEDIA CONSOLIDATION DIMINISHES DIVERSITY ON RADIO
[SOURCE: Free Press]
As the FCC considers eliminating longstanding=20
media ownership limits, Off the Dial exposes how=20
these changes could hasten the disappearance of=20
the few female- and minority-controlled stations=20
on the radio. The report finds that the average=20
local radio market has 16 white male-owned radio=20
stations -- but just one female-owned station and=20
two-minority owned stations. Women own just 6=20
percent of all full-power radio stations, even=20
though they comprise 51 percent of the=20
population. People of color own just 7.7 percent=20
of stations but make up 33 percent of the=20
population. Off the Dial shows that media=20
consolidation is a barrier to ownership=20
diversity. Female and minority owners are more=20
likely to be local radio station owners and more=20
likely to own a single station. Off the Dial also=20
found that female and minority owners were more=20
likely to have a female president or CEO and employ women as general manage=
rs.
http://www.freepress.net/press/release.php?id=3D242
* FCC is pressured on ownership rules
http://www.latimes.com/business/printedition/la-fi-radio6jun06,1,508565....
ry?coll=3Dla-headlines-pe-business

DIVERSITY STILL AN ISSUE AT TV NETWORKS
[SOURCE: Los Angeles Times, AUTHOR: Greg Braxton]
After years of catch-up, multiculturalism seemed=20
primed for the major leagues of prime-time=20
network TV when the culturally diverse "Heroes"=20
and "Ugly Betty" zoomed to hit status in the=20
2006-07 season. Executives charged with=20
increasing diversity in front of and behind the=20
cameras at the four major networks say the coming=20
season demonstrates their continued commitment,=20
since most new series contain minorities in=20
prominent roles. Among the series attracting=20
early diversity buzz is "K-Ville," starring=20
Anthony Anderson ("The Shield") as a policeman in=20
post-Katrina New Orleans, and "Cane," CBS' drama=20
built around a predominantly minority cast. But=20
instead of celebrating, leaders from the NAACP,=20
in addition to Latino and Asian advocacy groups=20
monitoring the TV industry for years, are=20
disappointed, saying network television is=20
sending mixed messages when it comes to=20
diversity. Although they say there is obvious=20
progress, they contend the fall lineup,=20
particularly when it comes to the new comedies=20
and dramas on ABC, NBC, CBS and Fox, falls short=20
after what they feel has been positive momentum=20
on shows such as "Ugly Betty," "Grey's Anatomy,"=20
"Heroes" and "Lost." Though minorities are=20
featured in most of the 29 new series on the=20
major networks, only five feature performers of=20
color in central starring roles. While most of=20
the shows have at least one regular minority cast=20
member, the performers are mostly in support of=20
the main white characters. Many shows with=20
ensemble casts (ABC's "Dirty Sexy Money" and "Big=20
Shots") feature predominantly white casts.
http://www.latimes.com/entertainment/news/tv/la-et-diversity6jun06,1,544...
2.story?track=3Drss
(requires registration)

MEXICAN COURT'S MEDIA RULING SHOWS SUPPORT FOR COMPETITION
[SOURCE: New York Times, AUTHOR: Elisabeth Malkin]
In a defeat for Mexico=92s television duopoly, the=20
Supreme Court struck down crucial provisions of a=20
media law on Tuesday, sending a clear message in=20
favor of greater economic competition. The media=20
law was passed last year in the heat of a=20
fiercely fought election campaign. Critics said=20
that it amounted to a giveaway to Mexico=92s two=20
television companies, Televisa and TV Azteca,=20
which lobbied for the new law. But with the=20
government of President Felipe Calder=F3n pushing=20
for greater competition in many industries, the=20
law reached the court as the political climate=20
was changing. In the last four weeks, the Supreme=20
Court has opened its deliberations in an=20
unprecedented way, hearing testimony from=20
opponents and defenders of the law. Since it=20
began public deliberations on the disputed=20
clauses of the law last week, nearly all of its=20
decisions have gone against the TV companies.
http://www.nytimes.com/2007/06/06/business/worldbusiness/06mextv.html
(requires registration)

ELECTIONS & MEDIA

POLITICAL CAMPAIGNS JUST LOVE THE NEWS
[SOURCE: AdAge, AUTHOR: Evan Tracey, Campaign Media Analysis Group]
[Commentary] The candidates for president are=20
piggybacking on issues such as immigration, the=20
war in Iraq and global warming to sell themselves=20
to the American voters. At a point in the=20
campaign traditionally reserved for the standard=20
bio spots and ads outlining the candidates'=20
10-point plans, the most recent salvo of ads is=20
designed to latch on to current events as a way=20
to get noticed in all the media clutter. And=20
looking at the most recent polls showing=20
Governors Richardson and Romney surging, it may=20
be working. It is no secret that political media=20
buyers view the news and public affairs=20
programming as the "ocean front real-estate" of=20
ad placement (if you can afford it, you buy it).=20
To date, every Democratic candidate and interest=20
group airing campaign ads has placed over 80% of=20
their media buys in the news or on news-related=20
programming. On the Republican side the Mitt=20
Romney campaign is placing close to 60% of its=20
buys in the news. So with a bull's-eye on the=20
morning, evening and late news dayparts the=20
campaigns' messages are matching up with the storylines in the news coverag=
e.
http://adage.com/campaigntrail/article?article_id=3D117064
* NAB, RAB Team to Tout Radio To Political Strategists
http://www.broadcastingcable.com/article/CA6449123.html

UNIVISION PROPOSES SPANISH-LANGUAGE DEBATES
[SOURCE: Los Angeles Times, AUTHOR: Peter Wallsten]
Univision, the country's highest-rated=20
Spanish-language television network and a leading=20
draw for young adult viewers, has invited White=20
House hopefuls from both major parties to=20
participate in the first presidential candidate=20
debates to be conducted entirely in Spanish. The=20
network has proposed two debates, one for each=20
party, to be held on back-to-back Sundays in=20
September -- giving the candidates unprecedented=20
exposure to a mass audience of increasingly=20
important Latino voters. The debates, to be held=20
in immigrant-rich Miami, would probably focus on=20
the battle over legalizing millions of=20
undocumented immigrants. The Democratic=20
candidates tend to back legalization. But the=20
Univision debate could exacerbate a split over=20
the issue among the GOP contenders, further=20
highlighting a divide that party strategists fear=20
might alienate Latino voters, a fast-growing=20
electorate. Moreover, the Spanish-language aspect=20
of the debate could prove particularly awkward=20
for the Republican field, where all candidates=20
except Sen McCain favor making English the=20
official language of the United States. It was=20
not clear Tuesday whether the campaigns on either=20
side would accept Univision's proposal. Officials=20
from several campaigns, deluged with debate=20
proposals from interest groups and media, said=20
they would consider the invitation.
http://www.latimes.com/news/printedition/asection/la-na-univision6jun06,...
363195.story?coll=3Dla-news-a_section
(requires registration)

SPECTRUM/WIRELESS

SPECTRUM COMMENTS FLOOD FCC
[SOURCE: internetnews.com, AUTHOR: Roy Mark]
Tech groups, consumers, political activists and=20
at least one presidential candidate are flooding=20
the Federal Communications Commission (FCC) with=20
advice for the agency's upcoming auction of=20
spectrum that may sell for more than $12 billion.=20
A grassroots campaign led by the SavetheInternet=20
Coalition has bombarded the FCC with more than=20
250,000 comments pushing the agency to set aside=20
spectrum for a wholesale network and rules that=20
would require auction winners to build out their=20
systems, mandate anonymous bidding and impose=20
network neutrality requirements for all auction winners.
http://www.internetnews.com/bus-news/article.php/3681356
* A Quarter-Million Americans Flood the FCC with Comments
http://www.savetheinternet.com/blog/2007/06/04/a-quarter-million-america...
flood-the-fcc-with-comments/
* FCC Urged To Change Auction Rules
http://www.njtelecomupdate.com/2007/06/fcc_urged_to_change_spectrum_a.html

FRONTLINE CONTINUES FULL-COURT PRESS AT THE COMMISH
[SOURCE: TelecomWeb]
Nationwide 700 MHz broadband network advocate=20
Frontline Wireless once again has asked the=20
Federal Communications Commission (FCC) "to let=20
market incentives meet public-safety needs by=20
adopting its plan for a shared, open access=20
wholesale network with requirements for serving=20
first responders' critical needs for=20
interoperability, choice and innovation." "This=20
coming 700 MHz auction is the last chance in a=20
generation to solve public safety's deadly=20
deficit in interoperable and broadband=20
communications capabilities. It is also the last=20
chance to break the current course towards a=20
wireless duopoly that will stifle innovation and=20
competition," Frontline said in its filing.=20
"After nearly 20 years of congressional debate=20
about how and when to reclaim this vital=20
spectrum, it would be tragic if the Commission=20
made bad policy decisions that deliver this=20
spectrum into the Verizon warehouse."
http://www.telecomweb.com/tnd/23607.html

MUNI WI-FI HITS WALL OF ECONOMIC AND POLITICAL REALITIES
[SOURCE: Computer World, AUTHOR: Matt Hamblen]
Municipal Wi-Fi systems, full of promise and hype=20
over the past two years, have hit the wall of=20
reality in the U.S. because of economics,=20
politics and even the technology. That was the=20
message conveyed by city administrators, Wi-Fi=20
evangelists and even some vendors of Wi-Fi=20
antennas, software and related technology at the=20
MuniWireless 07: New England conference. Esme=20
Vos, founder of MuniWireless.com, which organized=20
the conference, said "Municipal Wi-Fi is coming=20
to reality in the U.S. Everything with muni Wi-Fi=20
last year was very theoretical, but when you get=20
around to setting it up in your home town,=20
administrators hit reality and say 'It is not as=20
easy as I thought it would be." Vos was quick to=20
tell conference attendees in brief remarks and=20
reporters in interviews that none of the big U.S.=20
cities with ambitious plans have fully deployed=20
their networks. Some cities such as Philadelphia=20
and San Francisco have begun falling short of=20
lofty political goals to serve poor neighborhoods=20
and to listen to grass roots political=20
organizations as well, Vos and other attendees pointed out.
http://www.computerworld.com/action/article.do?command=3DviewArticleBasi...
axonomyId=3D16&articleId=3D9023318&intsrc=3Dhm_topic
* Cities swap public Wi-Fi secrets
http://www.infoworld.com/article/07/06/05/Cities-swap-public-wifi-secret...
.html?source=3Drss&url=3Dhttp://www.infoworld.com/article/07/06/05/Cities-s=
wap-public-wifi-secrets_1.html

BRINGING PUBLIC WI-FI TO SMALL-TOWN AMERICA
[SOURCE: C-Net|News.com, AUTHOR: Candace Lombardi]
When it comes to building the infrastructure that=20
makes public high-speed Internet access possible,=20
companies are keen to take on projects for large=20
cities. However, smaller cities are another=20
story. During the past 18 months, MultiState=20
Associates, a consulting firm for lobbyists, has=20
compiled a database on more than 2,000=20
communities with populations of 60,000 or more=20
interested in developing municipal broadband or=20
wireless services. The database includes cities=20
in the early stages of public broadband interest,=20
not just those that have put out requests for=20
proposals (RFPs) to companies. Its data shows=20
that while thousands of towns are interested in=20
developing municipal networks, few vendors are=20
willing to take on small projects. "I think towns=20
are putting out RFPs faster than the industry can=20
respond. I mean, there are several thousand=20
cities pursuing this; there are only so many=20
vendors pursuing smaller cities," Mitch Gorsen,=20
vice president at MultiState Associates, said.
http://news.com.com/Bringing+public+Wi-Fi+to+small-town+America/2100-103...
-6188911.html?tag=3Dnefd.lede

JOURNALISM

A BLOG IS A LITTLE FIRST AMENDMENT MACHINE
[SOURCE: AlterNet, AUTHOR: Jay Rosen]
[Commentary] When in the eighteenth century the=20
press first appeared on the political stage the=20
people on the other end of it were known as the=20
public. Public opinion and the political press=20
arose together. But in the age of the mass media=20
the public got transformed into an audience. This=20
happened because the mass media were one way,=20
one-to-many, and "read only." When journalism=20
emerged as a profession it reflected these=20
properties of its underlying platform. But now we=20
have the Web, which is two-way (rather than one)=20
many-to-many (rather than one-to-many) and=20
"read-write" rather than "read only." As it moves=20
toward the Web, journalism will have to adjust to=20
these conditions, but a professionalized press is=20
having trouble with the shift because it still=20
thinks of the people on the other end as an=20
audience--an image very deeply ingrained in=20
professional practice. The most famous words ever=20
written about freedom of the press are in the=20
U.S. Constitution: "Congress shall make no=20
law..." But the second most famous words come=20
from the critic A.J. Liebling: "freedom of the=20
press belongs to those who own one." Well,=20
freedom of the press still belongs to those who=20
own one, and blogging means practically anyone=20
can own one. That is the Number One reason why=20
blogs -- and this discussion -- matter. With=20
blogging, an awkward term, we designate a fairly=20
beautiful thing: the extension to many more=20
people of a free press franchise, the right to=20
publish your thoughts to the world. Wherever=20
blogging spreads the dramas of free expression=20
follow. A blog, you see, is a little First Amendment machine.
http://www.alternet.org/mediaculture/53061/

BURKLE EXPRESSES INTEREST IN DOW JONES
[SOURCE: Associated Press, AUTHOR: Seth Sutel]
Billionaire investor Ron Burkle is interested in=20
exploring a bid for Dow Jones & Co., publisher of=20
The Wall Street Journal along with the union that=20
represents Journal employees, the head of the=20
union said Tuesday. Steve Yount, president of the=20
Dow Jones union, said Burkle was the first of=20
several potential bidders to respond to its=20
overtures. Yount said Burkle's interest was=20
preliminary, and the details had yet to be sorted=20
out. Yount said the union had also contacted=20
other potential bidders, including investor=20
Warren Buffett, but had only heard back so far from Burkle.
http://www.tvnewsday.com/articles/2007/06/05/daily.9/
* Burkle to aid Dow Jones bid
http://www.latimes.com/business/printedition/la-fi-dowjones6jun06,1,1150...
.story?coll=3Dla-headlines-pe-business
* Dow Jones Union Seeks Billionaire=92s Help in=20
Finding Alternative Bidder to Murdoch
http://www.nytimes.com/2007/06/06/business/media/06dow.html
* Journalists Seek Murdoch Alternatives
http://www.washingtonpost.com/wp-dyn/content/article/2007/06/05/AR200706...
2467.html
* Dow Jones union seeks Burkle, Buffett aid on Murdoch bid
http://www.usatoday.com/printedition/money/20070606/dowbattle06.art.htm

AN INDEPENDENT NEWSPAPER
[SOURCE: Wall Street Journal, AUTHOR: Editorial staff]
[Commentary] "Don't believe the man who tells=20
you there are two sides to every question. There=20
is only one side to the truth." So wrote William=20
Peter Hamilton, one of the first men to hold the=20
job of editorial page editor of The Wall Street=20
Journal, in the early decades of the last=20
century. For editorial writers worth their pay,=20
those are words to live by, and we hope to be=20
living by them for a long time to come. That's a=20
point worth stressing amid the news that the=20
Bancroft family may soon sell the Journal's=20
parent company to Rupert Murdoch's News Corp. or=20
some other bidder. The Bancrofts have been=20
exceptional stewards of this newspaper for more=20
than a century. But capitalism is dynamic, and=20
those of us who extol the virtues of Joseph=20
Schumpeter's "creative destruction" for others=20
can't complain when it sweeps through our own=20
industry. That's what is happening as the=20
Internet breaks up long-time media business=20
models, and Dow Jones is hardly immune. The=20
Bancrofts have every right as owners to sell or=20
not based on their own dictates, and what we say=20
won't matter in any event. On January 2, 1951,=20
William Grimes wrote a memorable editorial, "A=20
Newspaper's Philosophy," that summed up our=20
worldview this way: "On our editorial page we=20
make no pretense of walking down the middle of=20
the road. Our comments and interpretations are=20
made from a definite point of view. We believe in=20
the individual, in his wisdom and his decency. We=20
oppose all infringements on individual rights,=20
whether they stem from attempts at private=20
monopoly, labor union monopoly or from an=20
overgrowing government. People will say we are=20
conservative or even reactionary. We are not much=20
interested in labels but if we were to choose=20
one, we would say we are radical." Even 56 years=20
later, that still sounds good to us. Whether the=20
Bancroft family sells or not, and no matter who=20
is the buyer, we plan to stand for those beliefs=20
for as long into the future as we are able.
http://online.wsj.com/article/SB118109025930525819.html?mod=3Dtodays_us_...
nion
(requires subscription)
* My Sweet Press Lord
[Commentary] Here's my dream, and it's a not good=20
one. The day comes when a controversialist like=20
Rupert Murdoch bids to buy the Journal -- and no one cares.
http://online.wsj.com/article/SB118109648149125994.html?mod=3Dtodays_us_...
nion
(requires subscription)

MEDIA & CHILDREN

CHILDREN'S EXPOSURE TO FOOD ADVERTISING -- A SIDE-BY-SIDE COMPARISON
[SOURCE: Kaiser Family Foundation]
In recent months, two significant new studies=20
have been released about food advertising to=20
children on television: one in March 2007 from=20
the Kaiser Family Foundation, and the other in=20
June 2007 from the Federal Trade Commission.=20
While the two studies are similar, this analysis=20
documents how they compare, both in terms of findings and methodology.
http://www.kff.org/entmedia/upload/7654.pdf

EXPLETIVE POLICY DELETED
[SOURCE: New York Times, AUTHOR: Editorial Staff]
[Commentary] For years, the Federal=20
Communications Commission had a reasonable,=20
practical approach to live broadcasts. It=20
recognized that coarse language sometimes slips=20
in and if the offensive words were relatively=20
isolated events, stations could carry them=20
without fear of punishment. But in recent years,=20
the FCC decided to go after broadcasters that=20
carry programs with even =93fleeting expletives."=20
One of the commission=92s rationales was that the=20
expletives could not be separated from their=20
=93sexual or excretory=94 meaning. But the New=20
York-based United States Court of Appeals for the=20
Second Circuit noted that President Bush and=20
Vice President Dick Cheney have both used the=20
words the commission objected to in public in=20
ways that clearly did not have any =93sexual or=20
excretory=94 meaning. The Second Circuit did not=20
need to reach the constitutional issues in the=20
case. But it rightly pointed out that the FCC=92s=20
=93fleeting expletives=94 policy also raises serious=20
First Amendment concerns. That suggests that even=20
if the commission tried to improve its reasoning,=20
the policy would still be struck down. The FCC=20
should return to the more reasonable approach it=20
once took to regulating live broadcasts and focus on more important issues.
http://www.nytimes.com/2007/06/06/opinion/06wed3.html
(requires registration)

DOLL WEB SITES DRIVE GIRLS TO STAY HOME AND PLAY
[SOURCE: New York Times, AUTHOR: Matt Richtel & Brad Stone]
Cartoon Doll Emporium, an Internet web site,=20
allows kids to chat with friends and dress up=20
virtual dolls, by placing blouses, hair styles=20
and accessories on them. It is part of a booming=20
phenomenon, the growth of a new wave of=20
interactive play sites for a young generation of=20
Internet users, in particular girls. Millions of=20
children and adolescents are spending hours on=20
these sites, which offer virtual versions of=20
traditional play activities and cute animated=20
worlds that encourage self-expression and safe=20
communication. They are, in effect, like Facebook=20
or MySpace with training wheels, aimed at an=20
audience that may be getting its first exposure=20
to the Web. While some of the sites charge=20
subscription fees, others are supported by=20
advertising. As is the case with children=92s=20
television, some critics wonder about the broader=20
social cost of exposing children to marketing=20
messages, and the amount of time spent on the=20
sites makes some child advocates nervous.=20
Regardless, the sites are growing in number and=20
popularity, and they are doing so thanks to the=20
word of mouth of babes, said Josh Bernoff, a=20
social media and marketing industry analyst with=20
Forrester Research. =93They=92re spreading rapidly=20
among kids,=94 Mr. Bernoff said, noting that the=20
enthusiasm has a viral analogy. =93It=92s like=20
catching a runny nose that everyone in the classroom gets.=94
http://www.nytimes.com/2007/06/06/technology/06doll.html
(requires registration)

ADVERTISING

US ADVERTISING SPENDING DECLINES -- TV, NEWSPAPERS TAKE BIGGEST HITS
[SOURCE: Wall Street Journal]
Advertising spending in the U.S. slipped 0.3% in=20
the first quarter to $34.9 billion compared with=20
the year-earlier quarter, according to TNS Media=20
Intelligence. The ad-tracking service notes that=20
last year's first quarter was boosted by Winter=20
Olympic Games-related ad spending. But even=20
factoring out the temporary increase of that=20
special event, "the core growth rates have slowed=20
further from last year's lackluster levels," said=20
TNS President and Chief Executive Steven=20
Fredericks. Hardest hit were network TV -- down=20
7.2% to $6.1 billion -- and national newspapers,=20
which sank 5.3% to $810 million in the quarter.=20
Meanwhile, Internet display advertising jumped 16.7% to $2.7 billion.
http://online.wsj.com/article/SB118109658361325996.html?mod=3Dtodays_us_...
ketplace
(requires subscription)

RADIO TIME TO JOIN LIST OF EBAY ITEMS UP FOR AUCTION
[SOURCE: New York Times, AUTHOR: Brad Stone]
The auction giant eBay said it would begin=20
selling radio airtime to advertisers starting=20
Wednesday, expanding into a business that Google=20
entered last year. EBay, through a partnership=20
with Bid4Spots, a 2-year-old company in Encino,=20
Calif., will offer advertisers a way to buy=20
unsold radio inventory from 2,300 radio stations=20
in the top 300 media markets in the United=20
States. Advertisers can go shopping for airtime=20
on the eBay Media Marketplace, originally a forum=20
for cable television ads which began in March.=20
EBay was hired to create the service by a=20
consortium of major advertisers like=20
Hewlett-Packard, Intel and Home Depot. But the=20
eBay ad exchange has had little success so far.=20
Broadcasters have vocally protested that they=20
were not adequately consulted on its development=20
and that it goes too far in removing people from=20
the process. Only Oxygen, the cable network,=20
currently sells some of its ad time on eBay=92s service.
http://www.nytimes.com/2007/06/06/technology/06ebay.html
(requires registration)

IN THE STATES

CABLE COMPETITION SOUGHT
[SOURCE: Chicago Tribune, AUTHOR: Jon Van and Jeffrey Meitrodt]
The Illinois state legislature is making a push=20
to increase competition in the cable television=20
market that will bring a side effect all TV=20
watchers could appreciate: a promised cap in the=20
number of hours spent waiting for the cable guy.=20
The proposal, which has broad support in=20
Springfield, will make it easier for AT&T to go=20
up against cable operators in Illinois because it=20
streamlines cable franchising rules, doing away=20
with a cumbersome system in which new TV service=20
providers must seek town-by-town approval for=20
laying wires. Statewide franchising in Illinois=20
was first opposed by municipalities, the cable=20
industry and various consumer groups, but a=20
drastic rewrite of the measure fostered by=20
legislators and Atty. Gen. Lisa Madigan includes=20
several requirements that neutralized opposition.=20
Cable operators would have to give customers a=20
four-hour appointment window, and if a technician=20
doesn't show up within that period, the customer=20
automatically gets a $25 account credit.=20
Currently, some customers have to wait 8 to 12=20
hours for a technician, and sometimes they never=20
show up on the scheduled day, said Ben Weinberg,=20
chief of the attorney general's public interest=20
division. To make sure AT&T and other companies=20
that enter the cable business don't cherry-pick=20
the richest neighborhoods, the legislation=20
mandates that companies devote a large portion of=20
their new systems to low-income neighborhoods. In=20
Chicago, AT&T would be required to build at least=20
40 percent of its system in poorer areas,=20
matching the city's low-income rate. Statewide,=20
that figure will be 30 percent. The House passed=20
the bill last week and the Senate is expected to=20
ratify it soon, though anything can happen during=20
the legislature's overtime session. While=20
municipalities have dropped their opposition to=20
statewide franchising, some individuals have not.=20
"I hope the governor vetoes it," said Peter=20
Collins, information technologies manager for the=20
city of Geneva. "It has a lot of loopholes. I don't see it as a good thing."
http://www.chicagotribune.com/business/chi-wed_tv_0606jun06,0,2622544.st...
?track=3Drss

INTERNET CONDUCT THAT CROSSES THE STATE LINE?
[SOURCE: C-Net|News.com, AUTHOR: Eric Sinrod]
[Commentary] Illinois has just ordered Global=20
Payday Loan to stop issuing loans to state=20
residents. It also has fined the company $234,000=20
for charging excessive interests rates. But the=20
decision raises the broader question of whether=20
states should regulate Internet conduct that crosses state lines.
http://news.com.com/Internet+conduct+that+crosses+the+state+line/2010-10...
3-6188929.html?tag=3Dnefd.top

QUICKLY

OUTSIDE PANEL TO SCRUTINIZE US ARABIC TV NETWORK
[SOURCE: Associated Press]
The board that oversees the government=92s=20
Arabic-language satellite television network is=20
seeking an outside review after recent broadcasts=20
that included inflammatory language referring to=20
Israel or Jews. The overseers of the network, Al=20
Hurra, have acknowledged mistakes, even as they=20
defended the journalistic principle of=20
broadcasting views critical of the United States=20
or its allies. The Broadcasting Board of=20
Governors said the review would examine Al=20
Hurra=92s programming for =93journalistic integrity=20
and adherence to the standards and principles=94 of=20
the federal law chartering American-sponsored programming.
http://www.nytimes.com/2007/06/06/washington/06hurra.html
(requires registration)

SKYPE: 'LOCKED' PHONES UNFAIR
[SOURCE: USAToday, AUTHOR: Leslie Cauley]
Are cellphone companies using their sway over=20
handset makers to unfairly limit consumers'=20
choices? Skype, a pioneer in PC-to-PC calling,=20
thinks so, and it wants the Federal=20
Communications Commission to do something about=20
it. In a blistering filing with the FCC, Skype=20
basically accused Verizon Wireless and other big=20
carriers of holding their customers hostage=20
because most cellphones sold in the USA are=20
"locked," meaning you can only use applications=20
and features sold by your carrier. "Carriers are=20
using their considerable influence over handset=20
design and usage to maintain control over and=20
limit subscribers' right to run software=20
communications applications of their choosing,"=20
Skype told the FCC. In its filing, Skype said=20
carriers go to great lengths to keep cellphone=20
users boxed in. "In an effort to prefer their own=20
affiliated services and exclude rivals, carriers=20
have disabled or crippled consumer-friendly=20
features of mobile devices." Carriers deny Skype's charges.
http://www.usatoday.com/printedition/money/20070606/wireless.art.htm

AN UNSAFE SEARCH
[SOURCE: San Francisco Chronicle, AUTHOR: Editorial staff]
[Commentary] After struggling with their=20
conflicting feelings toward Google, consumers now=20
have proof positive that the Internet giant has=20
crossed over to the dark side: it's the subject=20
of a federal antitrust investigation, an honor=20
that puts it in the ranks with Microsoft, the=20
company that is, incidentally, shouting out for=20
the investigation. When even Microsoft starts=20
accusing you of using unfair marketplace tactics,=20
perhaps it's time to change your business motto=20
from "Don't be evil" to "Don't get caught." Yet=20
the investigation, which centers on Google's=20
proposed $3.1 billion of online advertising=20
company DoubleClick, is at least as important for=20
consumers as it is to Google's business=20
competitors. Unfortunately, their interests=20
aren't likely to be reflected in the=20
investigation -- federal regulators will probably=20
focus only on business competition and aren't=20
likely to consider the impacts for consumer=20
privacy. That's at least in part because=20
consumers themselves have grown apathetic about=20
their own privacy online, panicking only when=20
there's a major security breach. This reflects=20
the fact that few consumers truly understand the=20
new threats that have emerged from the online marketplace.
http://www.sfgate.com/cgi-bin/article.cgi?file=3D/chronicle/archive/2007...
/05/EDGGTP3FHD1.DTL
--------------------------------------------------------------
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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