March 2008

Headlines Will Return Monday April 7, 2008

Headlines is taking a few days off to somehow broker some kind of acceptable compromise in Florida. We're setting up base in Sarasota because we believe in democracy and the occasional trip to the beach. We'll be back, tanner and happier, MONDAY APRIL 7. In the meantime, the telecom policy world springs back to life -- see http://www.benton.org/calendar/2008/4 for upcoming events.

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The Buzz on the Bus: Pinched, Press Steps Off

THE BUZZ ON THE BUS: PINCHED, PRESS STEPS OFF
As Senators Hillary Rodham Clinton and Barack Obama debated in Cleveland on a snowy evening in late February, 650 journalists descended on the city to follow every jab and parry, albeit on enormous televisions in two makeshift filing centers. But early the next morning, as the two candidates set off for engagements across Ohio and Texas, representatives of only two dozen or so news organizations tagged along. For most of the others, the price of admission — more than $2,000 for just one person to travel on Mr. Obama’s charter flights that day — was too steep, in an era in which newspapers in particular are slashing costs and paring staff, and with no end in sight to a primary campaign that began more than a year ago. Among the newspapers that have chosen not to dispatch reporters to cover the two leading Democratic candidates on a regular basis are USA Today, the nation’s largest paper, as well as The Boston Globe, The Dallas Morning News, The Houston Chronicle, The Atlanta Journal-Constitution, The Baltimore Sun, The Miami Herald and The Philadelphia Inquirer (at least until the Pennsylvania primary, on April 22, began to loom large). Traveling campaign reporters say they try to do more than just regurgitate raw information or spoon-fed news of the day, which anyone who watches speeches on YouTube can do. The best of them track the evolution and growth (or lack thereof) of candidates; spot pandering and inconsistencies or dishonesty; and get a measure of the candidate that could be useful should he or she become president.
http://www.nytimes.com/2008/03/26/us/politics/26bus.html?ref=todayspaper
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The Maverick and the Media

THE MAVERICK AND THE MEDIA
[Commentary] Sen John McCain is a darling of the media: Reporters routinely attach "maverick," "straight talker" and "patriot" to him like Homeric epithets. But why? The answer, which says a great deal about both the political press and Sen McCain, may be that he is something political reporters really haven't seen in quite a while, perhaps since John F. Kennedy. Seeming to view himself and the whole political process with a mix of amusement and bemusement, Sen McCain is an ironist wooing a group of individuals who regard ironic detachment more highly than sincerity or seriousness. He may be the first real postmodernist candidate for the presidency — the first to turn his press relations into the basis of his candidacy. He acknowledges the symbiosis between himself and the press and, more important, his willingness, even eagerness, to let the press in on his own machinations of them. In exposing his two-way relationship with the press this way, he reveals the absurdity of the political process as a big game. He also reveals his own gleeful cynicism about it. Yet the reporters, so quick in general to jump on hypocrisy, seem to find his insincerity a virtue.
http://www.nytimes.com/2008/03/26/opinion/26gabler.html?ref=todayspaper
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Does the Web Deserve The Power It Gained To Influence Politics?

DOES THE WEB DESERVE THE POWER IT GAINED TO INFLUENCE POLITICS?
[Commentary] As with Nixon going to China, it might take an Obama, with solid youth-tech cred, to suggest any downside to the online world. Considering the rapidly growing number of Americans who rely on the Web to follow the election and judge its players -- even if mostly via mainstream-media sites -- it's a good time to look at all the Web does very well with politics, and at what it messes up. Controversial videos of politicians may enjoy the popularity they do because they confirm ideas already held about the politicians involved, in which case blaming YouTube confuses cause and effect. But there is a danger that our politics might be shaped by insignificant events that assume an importance merely by having been caught on tape. It's not just video that is being refashioned in the Internet age, but words, too, through blogs and other widely democratized forms of expression. Blogs are enormously useful, if only because of the way they allow communities with similar politics to follow the ups and down of a campaign as a group. One of the biggest electoral impacts of the Web involves one of its earliest applications: email. It's an easy and effective way for people to share ideas with friends about what might be going on with the candidates. By operating person-to-person and under the radar, email can have an enormous and injurious influence before anyone even notices. Suggesting that there is both good and bad with the Web and politics isn't to say they exist in equal amounts. Say what one will about the shortcomings of blogs, I can't imagine going back in time to a world where a relatively small number of newspapers and magazines -- even though by and large they were very good ones -- had an effective monopoly on what did and didn't get printed about a campaign.
http://online.wsj.com/article/SB120648590555263733.html?mod=todays_us_ma...
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Out of Tune With Consumers

OUT OF TUNE WITH CONSUMERS
[Commentary] The latest example of a government bailout of a troubled industry has nothing to do with Bear Stearns. It is, instead, the Justice Department's decision to give the green light to the merger of the satellite radio companies XM and Sirius. For the past several years, these two companies have been competing so hard for talent, distribution channels and customers that neither has been able to turn a profit, and probably wouldn't have for years. Consumers have been the big winners, with great programming at affordable prices. All that is about to change now that the Bush administration has concluded that we'll all be better off if these heretofore fierce rivals are allowed to stop competing and concentrate instead on reducing costs, paring down their combined offerings and finally delivering profit to their shareholders. As precedent, it could be used to justify the merger of ABC with both CBS and NBC, Clear Channel with the Bonneville radio network or even Coke with Pepsi. The message it sends to business executives is clear: If you find yourself in a tough competitive environment, the best strategy is not to find a way to offer better products and services at a better price, but rather to call your investment banker and negotiate a truce with your biggest rival.
http://www.washingtonpost.com/wp-dyn/content/article/2008/03/25/AR200803...
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Wireless spectrum winner Verizon now gets to interpret 'open access'

WIRELESS SPECTRUM WINNER VERIZON NOW GETS TO INTERPRET 'OPEN ACCESS'
With its winning $4.7 billion bid last week, Verizon Wireless didn't just stake claim to beachfront wireless property, it also grabbed control of the guest list to the open-access party. The government, in opening up the coveted swath of the spectrum, essentially said the winner must allow consumers to use any compatible device or software on it as long as it doesn't harm the network. But analysts said the open-access playground comes with restrictions and Verizon Wireless, as the winner, will be the one making the rules and setting the schedule. The open-access rules are designed to loosen that grip, giving way to more products, innovation and competition. After first fighting the rules, Verizon Wireless has apparently already warmed up to them, and is set to apply them to the rest of its existing network, even before it gets access to the new spectrum. But with Verizon in a gatekeeper's role, analysts and others say they expect an incremental improvement in the overall wireless landscape. Consumer advocates and tech entrepreneurs said the Federal Communications Commission wasted an opportunity by not requiring the winner to lease airwaves to competitors. However, Verizon Wireless has committed to selling wholesale access to its current network, with pricing based on customer usage, and will presumably apply the same model to the new spectrum.
http://www.siliconvalley.com/latestheadlines/ci_8700215

Comcast, Time Warner Cable in Wireless Talks

COMCAST, TIME WARNER CABLE IN WIRELESS TALKS
According to unnamed sources, the two biggest U.S. cable providers, Comcast Corp. and Time Warner Cable Inc., are discussing a plan to provide funding for a new wireless company that would be operated by Sprint Nextel Corp. and Clearwire Corp. The partnership would create a nationwide wireless network using WiMax technology, which is designed to provide high-speed Web access from laptops, cellphones and other mobile devices, as well as high-quality mobile video. Sprint and Clearwire have been working for months to cooperate on a WiMax rollout and are now trying to raise at least $3 billion for a joint venture. Under the plan the parties are reviewing, Comcast -- the largest cable operator with 24 million subscribers -- would put as much as $1 billion into the venture, with No. 2 operator Time Warner Cable adding $500 million. The sixth-biggest cable operator, Bright House Networks, is also involved in the talks and would contribute between $100 million and $200 million.
http://online.wsj.com/article/SB120648766842863793.html?mod=todays_us_ma...
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* Cable Companies In Talks to Fund WiMax Network
http://www.washingtonpost.com/wp-dyn/content/article/2008/03/25/AR200803...
* Cable companies discuss funding wireless venture
http://www.reuters.com/article/internetNews/idUSN2528498320080326

Dish's Strategy Stokes Concerns

DISH'S STRATEGY STOKES CONCERNS
With a swath of wireless spectrum in hand, Dish Network Corp. is moving toward eliminating a weakness in the satellite-TV business: the inability to offer on-demand content without outside help. But the weaker spectrum it purchased suggests Dish is tiptoeing toward that goal rather than making any large strides. It is widely believed that Dish will use the licenses won from the Federal Communications Commission's recently concluded spectrum auction to build a wireless network that could nearly cover the nation. But the spectrum by itself isn't strong enough to power a full wireless network without complicated tweaking, leaving some to wonder what Dish's ultimate goal is. Satellite-TV providers have been pressured to provide on-demand content as phone and cable rivals expand their offerings. But satellite-TV providers are unable to offer two-way communications services because they broadcast from satellites in space and lack an in-ground network. Subscribers can't order a movie or TV show and get it instantaneously. That is a problem as consumers change their viewing habits. Dish may be looking at its wireless spectrum as a possible solution, but there are complications. The company purchased what is known as "unpaired" spectrum, which generally allows for one-way communication, and which isn't ideal for a full-service wireless-broadband network, according to analysts. Dish could create a wireless network focused on providing on-demand content to supplement its existing service. It could use a customer's existing pipe for two-way communication.
http://online.wsj.com/article/SB120649173740964183.html?mod=todays_us_ma...
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Behind in the Ratings, CBS News Hopes for Help From a Debate

BEHIND IN THE RATINGS, CBS NEWS HOPES FOR HELP FROM A DEBATE
It is an axiom of political debates that lagging competitors always want them more than front-runners. CBS News, which lags well behind its competitors in most areas of television news, wants a debate between Barack Obama and Hillary Rodham Clinton in the worst way. The network may get its wish this week. After every other national television news organization — even the Spanish-language Univision — has been center stage in a debate-cluttered election season, CBS is expected finally to land a prime-time face-off between Senator Obama and Senator Clinton.
http://www.nytimes.com/2008/03/26/arts/television/26cbs.html?ref=todaysp...
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