July 16, 2008 (Google-Yahoo)
BENTON'S COMMUNICATIONS-RELATED HEADLINES for WEDNESDAY JULY 16, 2008
DIGITAL CONTENT
Congress, States Question Google, Yahoo Ad Alliance
Google's U.S. search share nears 70 percent
Knock, Knock: Dingell-gram for Mr Embarq Concerning Mr NebuAd
YouTube, Viacom agree to mask viewer data
Legalize and regulate online gambling, study urges
INTERNET/BROADBAND
Union, Industry Push For Congressional Broadband Action
US Broadband Better Than Reflected in OECD Study, Says FCC Commissioner
Governor Schwarzenegger to Expand Broadband Services
Isolated NC County Gets Wired
New broadband plan for UK
MEDIA & ELECTIONS
Karl Rove denies political ties taint Fox News role
Ad-Spending Battlefield Takes Shape
GOP should get serious about cyberspace
Obama Shot for Younger Demos, Clinton for Older on TV
Running on Faith
MEDIA OWNERSHIP
The Daily News and The Post Talk Business
Post-Newsweek Buying NBCU's Miami Station
QUICKLY -- House Sets DTV Converter-Box Hearing; Verizon Wireless Supports Cell Tax Fairness Act; D-Block, AWS-3 auctions may wait until next year
CONGRESS STEPS UP QUESTIONS ON GOOGLE, YAHOO AD ALLIANCE
[SOURCE: Washington Post, AUTHOR: Kim Hart]
Google's proposed search advertising partnership with Yahoo, already the subject of much scrutiny, faced additional examination on Capitol Hill yesterday during separate House and Senate hearings on Internet competition. Lawmakers questioned executives from Google, Yahoo and Microsoft -- the biggest players in online marketing -- about how deals between the companies would impact consumers and advertisers. The hearings were prompted by an announcement last month that Google would provide some search advertising for Yahoo. Google is the top Internet company and, its critics say, could control Internet advertising if its deal with Yahoo is permitted. Under the deal, Google would provide search advertising to run with some Yahoo searches in the United States and Canada. Yahoo is estimated to get as much as $800 million annually from the deal. The Justice Department is investigating whether a partnership between Google and Yahoo could lead to a monopoly. Several states also have opened antitrust reviews of the deal. Search advertising, referring to the ads that run beside the search results provided by Google, Yahoo and Microsoft, make up one of the largest chunks of Internet advertising. Google is the No. 1 search engine, with Yahoo and Microsoft running a distant second and third. The Washington Post over the weekend reported that up to a dozen states are looking at the Google-Yahoo ad deal.
http://benton.org/node/15245
GOOGLE'S US SEARCH SHARE NEARS 70 PERCENT
[SOURCE: C-Net|News.com, AUTHOR:Stephen Shankland ]
Google's steadily increasing search share neared 70 percent in June in the United States, according to new figures released Tuesday by Hitwise. Its share increased from 68.29 percent in May to 69.17 percent in June, the analyst firm said. Over the same period, Yahoo dropped from 19.95 percent to 19.62 percent and Microsoft dropped from 5.89 percent to 5.46 percent. Search share is important to the companies' business because it means there's a potentially larger inventory of search results against which advertisements can be sold.
http://benton.org/node/15244
KNOCK, KNOCK: DINGELL-GRAM FOR MR EMBARQ CONCERNING MR NEBUAD
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
House Commerce Committee Chairman John Dingell (D-MI) and Ranking Member Joe Barton (R-TX) have written Embarq (phone and Internet bundled with satellite TV) raising questions about a test to tailor advertising to Web-browsing histories using NebuAd. Pointing out that they have concerns about online privacy in general and in particular are concerned that Embarq may not have notified customers that they were being profiled during a test with NebuAd earlier this year, the legislators want some information from the company, including where the test was conducted; how many customers were involved; how customers were notified and, if not, why not; why it was an "opt-out" rather than an "opt-in" model; and more.
http://benton.org/node/15243
YOUTUBE, VIACOM AGREE TO MASK VIEWER DATA
[SOURCE: Associated Press, AUTHOR: Anick Jesdanun]
In a nod to privacy complaints, Viacom won't be told the identities of individuals who watch video clips on the popular video-sharing site YouTube. Viacom and other copyright holders have agreed to let YouTube mask user IDs and Internet addresses when Google's online video site hands over viewership records in a $1 billion lawsuit accusing YouTube of enabling copyright infringement. A federal judge ordered the database produced in a July 1 ruling widely criticized by privacy activists. Lawyers for Viacom and the other plaintiffs signed an agreement with YouTube on Monday saying they would accept measures to help YouTube preserve the anonymity of the records. Under the agreement, YouTube can swap the user logins and IP addresses with other, presumably anonymous signifiers; YouTube has a week to propose its method. The masked database will still have to let the plaintiffs determine which individual watched which clip and when, but the records will cloak cases in which an existing identifier contains personally identifiable information - such as first initial and full last name in a user ID. In limited circumstances, it may still be possible to track records to a specific individual based on that person's viewing habits.
http://benton.org/node/15242
LEGALIZE AND REGULATE ONLINE GAMBLING, STUDY URGES
[SOURCE: Reuters, AUTHOR: Wojtek Dabrowski]
Canada and the United States should legalize and regulate online gambling to contain its potentially harmful effects because players tend to bet more frequently and aggressively than they do in casinos, a study released on Tuesday says. The study found that online gambling is readily accessible via the Internet even though it is outlawed or in a "legal grey area" in United States and Canada. Online gambling is big business, the study said, estimating worldwide spending at more than $10 billion a year. Betting online is a problem, the study says, because it has the potential to be more addictive than casino gambling. Online gamblers can hide their activity more easily than casino gamblers, and betting can quickly become a routine part of their daily lives.
http://benton.org/node/15241
UNION, INDUSTRY PUSH FOR CONGRESSIONAL BROADBAND ACTION
[SOURCE: TelecomWeb, AUTHOR: ]
The Communications Workers of America (CWA) has ramped up its lobbying efforts on the Hill, calling on House and Senate leaders to support legislation aimed at developing a national broadband policy. The union -- which represents 700,000 workers in the communications, media and other sectors -- has been joined by a broad-based alliance of telecommunications and cable carriers, trade associations, health-care, education, farm, and public interest groups to urging Congress to act on two pending bills -- S. 1492, the Broadband Data Improvement Act and H.R. 3919, the Broadband Census of America Act -- to get the ball rolling. Besides CWA, some 30 organizations and companies signed a joint letter to Sens. Daniel Inouye (D-Hawaii) and Ted Stevens (R-Alaska) and Reps. John Dingell (D-MI) and Joe Barton (R-TX), copied to other key congressional and committee leaders, outlining their reasons for wanting the two bills to move through the system quickly.
http://benton.org/node/15240
US BROADBAND BETTER THAN REFLECTED IN OECD REPORT, SAYS FCC COMMISSIONER
[SOURCE: BroadbandCensus.com, AUTHOR: William Korver]
A study about broadband adoption by the Phoenix Center is a better gage of United States deployment than the higher-profile reports of the Organization for Economic Cooperation and Development, Federal Communications Commission member Deborah Taylor Tate said. The study, unlike those of OECD Commissioner Tate noted, considered the availability of wireless technologies known as Wi-Max and Wi-Fi, and hence provided more complete data about broadband. In addition to failing account for the wireless technologies, the OECD does also not appropriately consider household sizes and broadband investments by schools and libraries within its figures, Commissioner Tate said. Although critical of OECD numbers, she agreed that the U.S. has "room to improve." The Phoenix Center for Advanced Legal and Economic Public Policy Studies is an academic research organization supported in recent years by Bell telecommunications companies.
http://benton.org/node/15239
GOVERNOR SCHWARZENEGGER TO EXPAND BROADBAND SERVICES
[SOURCE: Government Technology, AUTHOR: ]
California Governor Arnold Schwarzenegger (R) has signed Senate a bill authorizing community service districts to provide broadband services to their residents. Nearly one and a half million mostly rural Californians do not currently have access to broadband service. The new law will allow community service districts to provide this additional service on top of many vital local services they already provide for including water, sewer and police protection. The bill implements a recommendation put forth by the California Broadband Task Force in its final report in January.
http://benton.org/node/15238
ISOLATED NC COUNTY GETS WIRED
[SOURCE: National Public Radio, AUTHOR: Alex Spiegel]
Living in a rural community is a larger impediment to Internet use than either race or class. The isolated rural community of Greene County (NC) turned itself upside down to get its citizens online in five short years.
http://benton.org/node/15237
NEW BROADBAND PLAN FOR UK
[SOURCE: Financial Times, AUTHOR: Andrew Parker, Ben Fenton ]
The UK has a high take-up of broadband - 58 per cent according to Gartner research - the same as France, and ahead of Germany (49 per cent), the US (54 per cent) and Japan (55 per cent), but behind South Korea at 93 per cent. But it is the speed of connection where the UK falls down the world league table. BT unveiled plans on Tuesday to roll out a new UK fixed-line network offering broadband speeds five times quicker than those currently available. The former fixed-line telephone monopoly, is to spend £1.5bn on a fibre-based network covering 10m homes that will mostly enable download speeds of 40 megabits per second, compared with the existing 8 Mbps industry benchmark. BT has been spurred into action by Virgin Media, the cable television company, which plans to offer speeds of up to 50 Mbps to 12m homes by next summer.
http://benton.org/node/15236
KARL ROVE DENIES POLITICAL TIES TAINT FOX NEWS ROLE
[SOURCE: Reuters, AUTHOR: Steve Gorman]
This should silence all critics... former White House aide Karl Rove denied on Monday that his close ties with Republican politics and John McCain's presidential campaign undermine his credibility as an election analyst for the Fox News Channel. Asked whether Rove was on "the honor system" regarding his contacts with top McCain campaign operatives such as Steve Schmidt, Moody replied: "He's always on the honor system. All of our employees are." "We get most of our information about the McCain campaign from our correspondents," Moody added. "I don't think Karl would cross an ethical line like that." Rove also dismissed the notion that his refusal to answer congressional subpoenas to testify in a probe of the Bush administration's firing of federal prosecutors amounted to too much political baggage for a network news analyst to carry.
http://benton.org/node/15235
AD-SPENDING BATTLEFIELD TAKES SHAPE
[SOURCE: AdAge, AUTHOR: Evan Tracey]
With 115 days left before the election, it is now clear what ad strategies the two candidates are going to use in the race for the White House. Sen. Barack Obama will attempt to expand the playing field, while Sen. John McCain will try to contract it. For Mr. McCain to be successful this fall, he needs to minimize the number of battleground states in play after the GOP convention. To accomplish his goal, he must use his ads and message to gain support in both red and swing states. This will allow his monetary disadvantage to be mitigated in the same way a small guy can fight a big guy in a confined space. The Obama campaign is relying on its ability to out-fundraise and outspend its opponents. This strategy has put the focus not only on the historic swing states, but on a number of recent red states. He is hoping to put McCain into a hole he can't dig out of with just his public-matching funds. If Obama is able to drum up support in red states, it will be over for Mr. McCain before Halloween.
http://benton.org/node/15234
GOP SHOULD GET SERIOUS ABOUT CYBERSPACE
[SOURCE: Politico, AUTHOR: David All, Saul Anuzis]
[Commentary] It's time for Republicans to get serious about the online revolution before it's too late. While the Democrats keep extending their political reach into cyberspace, too many in the GOP keep pretending the Internet will go away. To ensure the party's future, Republicans must start to navigate this intersection of technology and politics as deftly as the Democrats have. Republicans need to adopt a lighter approach that will preserve the values of decentralization and freedom -- essential conservative values -- on the Internet. If we fail to engage in this effort, the Internet service providers, who control the last mile of the tubes into a customer's house or small business, will choke off the affordable tools available to conservative activists.
http://benton.org/node/15233
OBAMA SHOT FOR YOUNGER DEMOS, CLINTON FOR OLDER ON TV
[SOURCE: MediaWeek, AUTHOR: Katy Bachman]
Democratic contenders played to their strengths in their TV media plans by targeting the far ends of the demographic spectrum, according to a SQAD analysis of cost per points in key primary states. Barack Obama tended to place dollars against the younger demos, while Hillary Clinton targeted older adults. In the six weeks prior to the Texas, Ohio, Wisconsin and Pennsylvania elections, spending to reach 18-34 year-olds and those over 50 increased 11 percent and 10 percent, respectively, compared to 2007. In contrast, the average cost of spots targeting all TV households remained stagnant.
http://benton.org/node/15232
RUNNING ON FAITH
[SOURCE: Project for Excellence in Journalism, AUTHOR: Mark Jurkowitz]
The Pew Research Center's Project for Excellence in Journalism and the Pew Forum on Religion & Public Life analyzed the coverage of religion in the campaign through the majority of the primary season. The study finds that when coverage of the "horse-race" aspects of the campaign is excluded, religion emerges as a relatively prominent topic, accounting for 10% of the non-political-process during the 16 months studied. Overall, however, religion stories, along with other substantive and policy issues, took a back seat to campaign tactics and political strategy, which together garnered 81% of the coverage.
http://benton.org/node/15231
THE DAILY NEWS AND THE POST TALK BUSINESS
[SOURCE: New York Times, AUTHOR: Tim Arango]
Rupert Murdoch, whose News Corporation owns The New York Post, and Mortimer Zuckerman, the real estate developer and owner of The Daily News, who for years have been bitter tabloid competitors, are considering the unthinkable: cooperation. Representatives have been in discussions for several weeks to find ways to combine some business functions of The Daily News and The Post. In addition to a broader pact between The Post and The Daily News, the two newspapers and The Wall Street Journal, which is also owned by the News Corporation, are considering combining home delivery operations to save money, and have sought bids from vendors.
http://benton.org/node/15230
POST-NEWSWEEK BUYING NBCU'S MIAMI STATION
[SOURCE: Broadcasting&Cable, AUTHOR: Robert Marich]
NBC Universal is poised to sell its Miami station, WTVJ-TV, to Post-Newsweek Stations, which already owns the ABC affiliate in the same market. The unusual combination of two major market affiliates would seem to be possible because of the unusually large Spanish-speaking population in southern Florida. Miami, the 16th largest TV market, is competitive given the fact that its large Hispanic population gravitates toward Spanish-language stations. A Federal Communications Commission rule allows a station to buy another station in the same market if "at least one of the stations in the combination is not ranked among the top four stations in terms of audience share," which in most markets, if not all of them, would prohibit a major affiliated station from buying another one. WTVJ is now rated sixth in total-day Nielsen ratings, behind Spanish-speaking Univision and Telemundo outlets.
http://benton.org/node/15229
HOUSE SETS DTV CONVERTER BOX HEARING
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The House Government Reform and Oversight Committee will hold a hearing this week looking into the National Telecommunications and Information Administration's handling of the digital-TV-to-analog converter-box-coupon program, as well as concerns about getting DTV-transition information to minority communities. The Subcommittee on Government Management, Organization and Procurement hearing will be held July 18 at a Brooklyn community center in the district of Rep Edolphus Towns (D-NY), who called for the hearing.
http://benton.org/node/15228
VERIZON WIRELESS SUPPORTS CELL TAX FAIRNESS ACT
[SOURCE: TMCnet, AUTHOR: Michelle Robart]
Verizon Wireless has made it known that the company supports the introduction of the Cell Tax Fairness Act by Sens. Ron Wyden (D-OR) and Olympia Snowe (R-ME). The legislation demands the end of taxes imposed by state or local authorities on mobile services. The Cell Tax Fairness Act prohibits states or local governments from imposing any new discriminatory tax on mobile services, mobile service providers, or mobile service property for five years after the passing of this Act.
http://benton.org/node/15227
D-BLOCK, AWS-3 AUCTIONS MAY WAIT UNTIL NEXT YEAR
[SOURCE: RCRWirelessNews, AUTHOR: Jeffrey Silva]
Federal Communications Commission Chairman Kevin Martin said it appears increasingly doubtful that either the D-Block re-auction or advanced wireless services-3 bidding will happen this year, which means competition for the two valuable blocks of public airwaves likely will play out under a new administration and Congress. The FCC chief told reporters it might be possible to begin one of the two auctions -- D Block, most likely -- but he didn't appear confident even that would materialize. Comments on an open-ended rulemaking to re-auction the D Block -- left stranded in the 700 MHz auction earlier this year after no bidder met the $1.3 billion minimum price -- were filed at the FCC last month. Reply comments arrived last week.
http://benton.org/node/15226