October 2008

BENTON'S COMMUNICATIONS-RELATED HEADLINES for FRIDAY OCTOBER 10, 2008

** We'll be back TUESDAY -- enjoy the holiday. Next week, the broadband Breakfast Club kicks off on Tuesday and the FCC meets on Wednesday in Nashville. See http://benton.org/calendar **

GOVERNMENT & COMMUNICATIONS
   Inside Account of US Eavesdropping on Americans

ELECTIONS & MEDIA
   Press Too Tough on the Candidates?
   Obama buys half-hour of network primetime
   Fox News' faux documentary sets new low
   Last-Minute Push for Reluctant Technologists to Embrace, Evangelize Obama
   How the election could impact telecom
   The Coming Counterrevolution To Hush The Alternative Media
   Inside Obama and McCain's Conflicting Takes on Net Neutrality

INTERNET/BROADBAND
   A National Broadband Strategy

BROADCASTING/CABLE
   Hawaii DTV Transition Deadline's For The Birds
   Don't believe the hype
   Megachurch pastor criticizes white space broadband proposals
   Univision Sees Its Future in Fees

TELECOM
   Verizon Offers To Divest 15 More Markets As Alltel Buy Proceeds
   E911 Architecture Information System
   Vodafone makes offer for Vodacom

THE ECONOMY
   Tech firms' outlook less rosy

QUICKLY -- ITI Makes Surprise Pick; NTIA Seeks Public Comments for the Deployment of Security Technology Within the Internet Domain Name System; Mexico to tender telecom spectrum in early 2009; Tech guru Tim O'Reilly challenges next generation to get serious; In Emirates, newspapers still a growth industry

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GOVERNMENT & COMMUNICATIONS

INSIDE ACCOUNT OF US EAVESDROPPING ON AMERICANS
[SOURCE: ABCNews, AUTHOR: Brian Ross, Vic Walter, Anna Schecter]
Despite pledges by President George W. Bush and American intelligence officials to the contrary, hundreds of US citizens overseas have been eavesdropped on as they called friends and family back home, according to two former military intercept operators who worked at the giant National Security Agency (NSA) center in Fort Gordon, Georgia. The Chairman of the Senate Intelligence Committee, Jay Rockefeller (D-WV), called the allegations "extremely disturbing" and said the committee has begun its own examination.
http://benton.org/node/17763
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ELECTIONS & MEDIA

PRESS TOO TOUGH ON CANDIDATES?
[SOURCE: Pew Research Center for the People & the Press, AUTHOR: ]
Strong majorities of the public say the press has been fair to John McCain, Barack Obama and Joe Biden. But fewer than four-in-ten (38%) say the press has been fair to Sarah Palin. Many more believe the press has been too tough on Palin (38%) than say it has been too easy (21%). While opinions about Palin coverage are highly partisan, many independents share the view that the press has been too tough on the Alaska governor. Among independents, 41% say the press has been too hard on Palin, 20% say the press has been too easy and 36% say the press has been fair. Public interest in news about the presidential campaign reached a new high last week, though the national news was dominated by coverage of the faltering economy. Fully 57% of the public followed news about the election very closely and another 31% followed developments fairly closely.
http://benton.org/node/17762
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OBAMA BUYS HALF-HOUR OR NETWORK PRIMETIME
[SOURCE: The Hollywood Reporter, AUTHOR: James Hibberd, Paul Gough]
Sen Barack Obama (D-IL) has purchased a half-hour of airtime on CBS. The Obama campaign will air a half-hour primetime special on Wednesday, Oct. 29, at 8 p.m. Sources say the Obama camp is also in talks with NBC and Fox. NBC is said to be very near a deal. With Fox, the matter is likely to remain uncertain as the time period could conflict with Game 6 of the Chicago-less World Series. The direct purchase of such a large block of national airtime right before an election used to be more commonplace before campaigns began to focus their end game strategies exclusively on battleground states. Such a move is not without precedent in modern presidential politics, however -- Ross Perot did a similar purchase in 1992.
http://benton.org/node/17761
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FOX NEWS' FAUX DOCUMENTARY SETS NEW LOW
[SOURCE: Los Angeles Times, AUTHOR: James Rainey]
At times, Fox News operatives throw off all pretense, let their neatly trimmed hair down and do what they seem to love best -- blame all of the world's evils on those pointy-headed, America-hating liberals. Like, say, Barack Obama! Fox host Sean Hannity and his producers served up a heaping portion of just such red meat Sunday night on "Hannity's America." And they've since been making lame defenses of the faux documentary, which bore the subtle title: "Obama and Friends: The History of Radicalism." Fox's hourlong screed is just the kind of media coverage that has contributed to the increasingly angry and irrational tone on the campaign trail. Even by the low standards of this election's advocacy journalism, the program plumbed new depths -- relying on innuendo and guilt by association to paint the Illinois senator as a dupe of the shadowy forces of the left. Much of Hannity's report was based on interviews with half a dozen partisan commentators, whose main qualification seems to have been a previously expressed disdain for Obama.
http://benton.org/node/17772
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LAST-MINUTE PUSH FOR RELUCTANT TECHNOLOGISTS TO EMBRACE, EVANGELIZE OBAMA
[SOURCE: TechPresident, AUTHOR: Nancy Scola]
Employees of some of the biggest tech firms in the United States are financially backing Barack Obama over John McCain by a lopsided ratio of nine to one, according to ZDNet's Robin Harris. Using fundraising data from OpenSecrets that covers donors who have contributed above $200, Harris found that employees of Apple, Dell, Microsoft, and Google and six other companies overwhelmingly support the Democratic nominee over his Republican counterpart. If you're Obama or a supporter, that 90% figure might seem like cause for celebration. But you might also spot some room for improvement. Is there untapped potential for Obama in the tech world -- not only in dollars, but in enthusiasm? The issues raised by that question are what's underlying Tech for Obama which launched this week, and it aims to celebrate and disseminate what its founders see as Obama's impressive network-centric, tech-powered world view.
http://benton.org/node/17771
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HOW THE ELECTION COULD IMPACT TELECOM
[SOURCE: TelephonyOnline, AUTHOR: Carol Wilson]
Whether the next president is John McCain or Barack Obama, the telecom industry can expect some policy changes, according to Washington insiders speaking at the Comptel fall convention. But the extent of that change appears uncertain, with some experts predicting minor impact and others expecting bigger shifts. Larry Irving, co-chair of the Internet Innovation Alliance, believes extensive change in telecom regulation is unlikely, regardless of who wins the election. "With two wars, the economic meltdown, healthcare issues and other problems, telecom won't come to the fore," Irving said as part of a panel on the impact of the election. Under Obama, to whom Irving is an adviser, the focus will be on encouraging competition to bring choices and reasonable prices to consumers and on promoting new technologies and innovations that solve old problems such as access to the last mile for competitors.
http://benton.org/node/17770
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THE COMING COUNTERREVOLUTION TO HUSH THE ALTERNATIVE MEDIA
[SOURCE: Investor's Business Daily, AUTHOR: Brian Anderson]
[Commentary] A Democrat-controlled Washington will use sweeping new rules to shush conservative political speech. For starters, expect a real push to bring back the Fairness Doctrine. True, Sen Barack Obama (D-IL) says he isn't in favor of re-imposing this regulation, which, until Ronald Reagan's Federal Communications Commission junked it in the '80s, required broadcasters to give airtime to opposing viewpoints or face fines or even loss of license. But some Democrats are revved up about the idea, and it's hard to imagine Obama vetoing a new doctrine if Congress delivers him one. And Obama does say he wants to tighten media ownership regulations and expand the public interest duties of broadcasters, including by imposing greater "local accountability" on them -- that is, forcing stations to carry more local programming, even if the public isn't demanding it. Obama, like congressional Democrats, also support "network neutrality."
http://benton.org/node/17760
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INSIDE OBAMA AND MCCAIN'S CONFLICTING TAKES NET NEUTRALITY
[SOURCE: Popular Mechanics, AUTHOR: Glenn Derene]
[Commentary] According to their position statements on the issues, Sen John McCain (R-AZ) is against Network Neutrality and Sen Barack Obama (D-IL) is for it. This makes it one of the few technology issues on which the candidates clearly disagree. McCain believes in a lightly regulated Internet, while Obama believes in more government involvement. But it gets a bit more complicated.
http://benton.org/node/17759
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INTERNET/BROADBAND

A NATIONAL BROADBAND STRATEGY
[SOURCE: Jupitermedia, AUTHOR: Alex Goldman]
Former-Assistant Secretary of Commerce for Technology policy Bruce Mehlman believes that if the White House sets an ambitious goal of truly high speed connectivity and universal service, a national broadband strategy can work. He wants the White House to bring in "leaders from the private sector." Every industry that would benefit from universal broadband would be represented, especially health care, finance, and energy. "We would come up with supply side and demand side solutions," he says. "We want strategy, not tactics." How does he respond to the conservative readers of ISP-Planet who feel certain that if the government spends money on broadband, it won't go where it should go? "I share their concern about the idea of government as the solution," says Mehlman. "What excites me about broadband is that it enables market-based solutions in energy, education, health care. It delivers growth. The underlying infrastructure enables more market-based solutions."
http://benton.org/node/17758
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BROADCASTING/CABLE

HAWAII DTV TRANSITION DEADLINE'S FOR THE BIRDS
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
Broadcast television stations in Hawaii are in serious discussions to make the digital TV transition on Jan. 15 -- more than a month before the rest of the country -- partly to avoid disturbance to the nesting habitat of the dark-rumped petrel near existing analog broadcast towers. The effort has involved discussions with the Federal Communications Commission and Capitol Hill lawmakers, including Senate Commerce Committee Chairman Daniel Inouye (D-Hawaii). Time Warner Cable, the dominant pay-TV provider in Hawaii, hasn't heard from the Hawaii stations about their potential Jan. 15 transition date. Cable operators need to prepare to receive digital signals at their central facilities or headends.
http://benton.org/node/17757
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DON'T BELIEVE THE HYPE
[SOURCE: Sacramento News and Review, AUTHOR: Cosmo Gavin]
The transition to digital television was supposed to be more than just an upgrade in picture quality. It was also supposed to usher in a revolution in TV content and the quality of free television. Will just four months away from this revolutionary new era in television, what will the broadcast landscape actually look like in 2009? Well, it will look something like basic cable. In the transition to color TV, something brand-new suddenly appeared in our living rooms. The transition to DTV will be far less dramatic. Like the man said -- the revolution will not be televised. Broadcasters are still getting their heads around the idea of broadcasting on multiple channels, or multicasting.
http://benton.org/node/17756
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MEGACHURCH PASTER CRITICIZES WHITE SPACE BROADBAND PROPOSALS
[SOURCE: ars technica, AUTHOR: Matthew Lasar]
Joel Osteen presides over a 16,000 seat church in Houston and now has weighed in on the "white space" debate. He's written Federal Communications Commission Chairman Kevin Martin warning of the alleged threat to wireless mics posed by unlicensed applications that tap into temporarily unused TV channels. Osteen said that, should the Commission "turn a blind eye" to interference concerns, the agency "will cause immeasurable damage" to Lakewood Church's ability to minister. "Static and audio dropouts due to interference from an unlicensed mobile wireless device would create a devastating distraction," he wrote.
http://benton.org/node/17755
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UNIVISION SEES ITS FUTURE IN FEES
[SOURCE: Wall Street Journal, AUTHOR: Vishesh Kumar]
As the battle continues over carriage fees between Time Warner Cable and local broadcaster LIN TV, the cable operator is gearing up for what analysts expect to be its next major squabble. Time Warner Cable is bracing for a similar showdown with Spanish-language broadcasting powerhouse Univision Communications Inc., and industry observers say that the outcome will set the pace for a slew of similar deals that will be negotiated in coming months. Univision is among a growing number of broadcasters that are opting to negotiate with cable operators over a fee to distribute their channels, rather than requiring to be carried under the "must carry" Federal Communications Commission regulation, designed to ensure no broadcaster is shut out of distribution. By negotiating a fee, broadcasters can secure extra revenue as ratings decline and competition intensifies -- something cable operators have been willing to do in the past for important channels.
http://benton.org/node/17767
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TELECOM

VERIZON OFFERS TO DIVEST 15 MORE MARKETS AS ALLTEL BUY PROCEEDS
[SOURCE: Arkansas Business, AUTHOR: Jamie Walden]
Verizon Wireless upped the ante in a letter to the Federal Communications Commission this week, offering to divest 15 more markets to move its acquisition of Alltel. The markets are in Alabama, Arizona, Georgia, Iowa, Minnesota, Nebraska, New Mexico, North Carolina, South Carolina and Utah. The offer comes several months after Verizon's initial proposal on July 22 to divest spectrum holdings 85 markets across the United States.
http://benton.org/node/17754
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E911 ARCHITECTURE INFORMATION SYSTEM
[SOURCE: Federal Communications Commission]
The Public Safety and Homeland Security Bureau (PSHSB) of the Federal Communications Commission has activated the E911 Architecture Information System. This system will collect the reports submitted pursuant to Commission's rules, which require certain local exchange carriers (LECs), commercial mobile radio service (CMRS) providers required to comply with Commission's rules, and interconnected Voice over Internet Protocol (VoIP) service providers to analyze their 911 and E911 networks and/or systems and file reports addressing the redundancy, resiliency and reliability of those networks and/or systems. The Office of Management and Budget has approved this information collection.
http://benton.org/node/17753

VODAFONE MAKES OFFER FOR VODACOM
[SOURCE: Financial Times, AUTHOR: Tom Burgis]
Vodafone's strategy of seeking to boost growth by expanding its presence in emerging markets took a big step forward last night when it announced a $2.5bn offer for a controlling stake in Vodacom, South Africa's biggest mobile phone operator. A deal would see Vodaphone, which has a 50 per cent stake in Vodacom, buy a 15 per cent stake from Telkom, the South African state-controlled telecommunications company that owns the other half of Vodacom. The bid has the approval of Telkom's board and the South African government, the final arbiter of any deal.
http://benton.org/node/17765
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THE ECONOMY

TECH FIRMS' OUTLOOK LESS ROSY
[SOURCE: USAToday, AUTHOR: Byron Acohido]
Next week, Intel, Apple, eBay and Google will lead the parade of tech companies reporting financial results for the quarter ended Sept. 30. The tech giants also will issue their near-term forecasts. As the wider financial market meltdown continues to unfold, pessimism reigns. Expectations are solidifying that the tech sector will pare back revenue and profit forecasts for the fourth quarter and next year. "Most companies are going to factor in the turmoil in the global economy when they give out their near-term forecasts, as a matter of prudence," says Sid Parakh, tech stocks analyst at McAdams Wright Ragen. Research firm iSuppli on Thursday reinforced that notion by trimming its forecast for 2008 worldwide semiconductor revenue to $280 billion, an increase of 3.5% compared with 2007. In August, iSuppli had forecast 4% year-over-year growth. But it could get much worse. "There is significant potential downside if economic conditions continue to worsen," says Dale Ford, iSuppli senior vice president. "The most significant area of impact is the broader effect on consumer confidence and spending if the overall economy collapses."
http://benton.org/node/17769
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QUICKLY -- ITI Makes Surprise Pick; NTIA Seeks Public Comments for the Deployment of Security Technology Within the Internet Domain Name System; Mexico to tender telecom spectrum in early 2009

ITI MAKES SURPRISE PICK
[SOURCE: CongressDaily, AUTHOR: Andrew Noyes]
The Information Technology Industry Council surprised some tech policy watchers by announcing that longtime president Rhett Dawson's successor will be Dean Garfield, who is currently chief strategic officer for the Motion Picture Association of America. Garfield will take the helm when Dawson retires in December. In this Q&A, Garfield talks about his experience.
http://benton.org/node/17752

NTIA SEEKS PUBLIC COMMENTS FOR THE DEPLOYMENT OF SECURITY TECHNOLOGY WITHIN THE INTERNET DOMAIN NAME SYSTEM
[SOURCE: National Telecommunications and Information Administration]
The National Telecommunications and Information Administration (NTIA) today issued a Notice of Inquiry seeking public comments regarding the deployment of Domain Name and Addressing System Security Extensions (DNSSEC) into the Internet's DNS infrastructure, including the authoritative root zone. Comments are due by November 24, 2008.
http://benton.org/node/17751

MEXICO TO TENDER TELECOM SPECTRUM IN EARLY 2009
[SOURCE: Reuters, AUTHOR: Tomas Bravo]
Mexico expects to tender spectrum for cellphones, WiMax and mobile Internet in the first quarter of next year.
http://benton.org/node/17750
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TECH GURU TOM O'REILLY CHALLENGES NEXT GENERATION TO GET SERIOUS
[SOURCE: Los Angeles Times, AUTHOR: Jessica Guynn]
Silicon Valley insiders call it the O'Reilly Radar: Tim O'Reilly's uncanny ability to spot a technology revolution before it happens. But lately the entrepreneur, investor and book publisher has been busier trying to incite the next one. He is urging young entrepreneurs and engineers to stop making some of the sillier software that lets Facebook users throw virtual sheep at their friends or download virtual beer on iPhones, and instead start making a real difference in the world. He says it's not just the right thing to do, but also the smart thing to do -- especially as the credit crunch spreads to Silicon Valley, venture financing becomes scarce and start-ups have to retrench.
http://benton.org/node/17768
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IN EMIRATES, NEWSPAPERS STILL A GROWTH INDUSTRY
[SOURCE: Los Angeles Times, AUTHOR: Borzou Daragahi]
Spacious and airy, the newsroom of the National seems a newfangled journalistic field of dreams, with its stylish furniture, flat-panel monitors and roomy, uncluttered desks. Though the new United Arab Emirates newspaper has a daily circulation of only 70,000 to 90,000, it has grand ambitions and leaders who are bullish on print journalism. Although most newspapers are laying off reporters and editors, the English-language National, which launched in April, has quickly built an editorial staff of about 240 reporters, stringers and editors, luring many from Western papers. Newland is a former editor of London's Daily Telegraph and the business editor is from the Wall Street Journal.
http://benton.org/node/17766
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