November 2009

MMTC Wants Small Business Broadband Stimulus Fund

The Minority Media & Telecommunications Council wants some of the broadband stimulus money in the second round of bidding to be set aside for minorities and small businesses. In a letter to Rural Telecommunication Service administrator Jonathan Adelstein, MMTC said that the 1% weighting for small disadvantaged businesses (SDBs) in the first found was insufficient. "RUS should reserve a portion of the round two funds solely for SDB use," said MMTC. If there is any of that set-aside left over, it should to bidders who can demonstrate significant SDB participation, the council said.

Dish Network's Ergen raises concerns over Comcast-NBC merger

Dish Network CEO Charlie Ergen said last week in an earnings conference call with analysts that he is concerned about a mega merger between Comcast, the nation's largest cable system, and television and movie producer NBC Universal. And he said look to Comcast's current practices with content distribution on how a merged Comcast/NBC may act in the future: "Obviously, we would have concerns with anybody who owns programming and ... distribution, particularly if they owned distribution in both broadband and cable. Programming access and broadband neutrality would be important issues there. We've purchased programming content from Comcast for a long time. We're not treated fairly when it comes to the sports teams in Philadelphia. That ... has always smelled a little bit... So, there always have been some issues there."

Growing Pains at Hulu

Hulu is starting to show signs of why it's not easy to run a joint venture between competitors. Recently, the popular video site's various parents have sent mixed messages about Hulu's future business model—and whether or not it will erect some sort of paid subscription wall. Now, reports are bubbling up about an increasing level of discord between Hulu's own ad sales staff and the staffs of each of the site's broadcast partners: ABC, NBC and Fox. Observers predict that the already complicated arrangement is likely to become more so, particularly given the prospect that NBC Universal may be sold to Comcast—which already operates its own online video site (Fancast) and has a markedly different philosophy regarding just how free TV content should be on the Internet.

New Study Points to Healthy Newspaper Readership

A new study from Scarborough Research finds that 74% of adults -- nearly 171 million -- in the United States read a newspaper in print or online during the past week. This number counters the notion that newspapers no longer impact consumers. "Given the fragmentation of media choices, printed newspapers are holding onto their audiences relatively well," Gary Meo, Scarborough's senior vice president of print and digital media services, said in a statement. The data is the latest analysis of Scarborough Integrated Newspaper Audience (INA) report that measures the audience of the newspaper industry. Furthermore, Scarborough found that 79% of adults who are employed in "white collar" jobs read a newspaper online or in print; that 82% of adults with a household income of $100,000 or more read a newspaper in print or online; and 84% of adults who have college or advanced degrees do the same.

President Obama Nominates Two for FTC

President Barack Obama announced his intent to nominate Julie Brill and Edith Ramirez to serve as commissioners at the Federal Trade Commission.

Julie Brill became the Senior Deputy Attorney General and Chief of Consumer Protection and Antitrust for the North Carolina Department of Justice in February 2009. A resident of North Carolina and Vermont, Brill is also a Lecturer-in-Law at Columbia University's School of Law. Prior to her leadership at the North Carolina Department of Justice, Brill was an Assistant Attorney General for Consumer Protection and Antitrust for the State of Vermont for over 20 years (1988-2009). Brill has also served as a Vice-Chair of the Consumer Protection Committee of the American Bar Association Antitrust Section since 2004. Prior to her career in law enforcement, Brill was an associate at Paul, Weiss, Rifkind, Wharton & Garrison in New York from 1987 to 1988, and she clerked for Vermont Federal District Court Judge Franklin S. Billings Jr. from 1985 to 1986. Brill graduated, magna cum laude, from Princeton University in 1981 and from New York University School of Law in 1985, where she received a Root-Tilden Scholarship for her commitment to public service.

Edith Ramirez is a partner in the Los Angeles office of Quinn Emanuel Urquhart Oliver & Hedges, LLP where she specializes in intellectual property and complex litigation matters. She has a broad range of experience representing plaintiffs and defendants in copyright, trademark, antitrust, business tort, and other general business litigation cases. Ms. Ramirez has also been active throughout her career in a variety of professional and community activities. Ms. Ramirez graduated magna cum laude from Harvard-Radcliffe in 1989. She obtained her law degree from Harvard Law School in 1992, where she served as an editor of the Harvard Law Review. Following graduation, she served as a law clerk to the Honorable Alfred T. Goodwin, United States Court of Appeals for the Ninth Circuit.

The virtual doctor visit

Although proponents of health-care reform tout its potential for improving efficiency, often missing from the national debate are specific examples of how changes in the system might improve patient outcomes and reduce costs. Pilot projects are exploring some easy-to-use technology that might make a difference to patients and doctors. Seniors and others with chronic health problems such as diabetes, congestive heart failure and high blood pressure often wind up in hospital emergency rooms after forgetting to take their medication or when their condition deteriorates at home without anyone noticing. When that deterioration is severe enough, patients can be forced to move out of their homes into assisted living or nursing facilities, a costly and emotionally wrenching transition. The hope is that by closely monitoring patients at home, some of these events can be avoided or managed better. Medicare spends more than $12 billion a year on "potentially preventable" repeat hospital admissions, according to the Medicare Payment Advisory Commission, an independent agency that advises Congress. And that number, according to the commission, is likely to grow, given that the Census Bureau projects that by 2025 there will be nearly 64 million Americans older than age 65, an increase of more than a third over today's total. The pilot projects are not designed to have doctors diagnose illnesses remotely or to substitute for hands-on care. Instead, they are intended to allow elderly or infirm patients to get ahead of changes in their chronic conditions that could tip them into a medical emergency.

Countries Arming for Cyberwarfare

In a new report, McAfee says the global cyberarms race has moved from fiction to reality. The report found that politically motivated cyberattacks have increased and five countries - the United States, Russia, France, Israel and China - are now armed with cyberweapons. The Virtual Criminology Report includes insights from more than two dozen of the world's leading experts in international relations, including Dr. Jamie Saunders, counselor at the British Embassy in Washington D.C. and security experts with experience at the U.S. National Security Agency and the Australian Attorney-General's Department. Former White House advisor Paul Kurtz compiled the report on McAfee's behalf. The report for the first time provides a model to define cyberwar, identifies the countries involved in developing cyberoffenses and cyberdefenses, dissects examples of politically-motivated cyberattacks and reveals how the private sector will get caught in the crossfire. Government disclosure is also a major issue, as cyber initiatives and information are often classified by the government, hindering cybercrime defense in the public and private sector. Experts call for a clear definition and an open debate on cyberwarfare. Without an open discussion among the government, private sector and the public, future cyberattacks targeting critical infrastructure could be devastating. This year's report identifies the following challenges: Cyberwarfare is a Reality; Cyberweapons Are Targeting Critical Infrastructure; Cyberwar is Undefined; and Private Sector is the Most at Risk.

ATIS Volunteers for Broadband Clearinghouse

Given the increasingly significant role of broadband to our nation's technological and economic advancement, ATIS, a global standards development and technical planning organization, supports the creation of an information repository or "clearinghouse" whereby broadband best practices would be widely available to all stakeholders interested in gaining insight into broadband infrastructure, broadband deployment and broadband projects. ATIS supports the development and maintenance of voluntary broadband best practice that would enable interested parties and stakeholders to have easy access to broadband information. Additionally, ATIS urges the Commission to ensure that the creation and maintenance of a broadband clearinghouse have appropriate industry-level review particularly by those with the knowledge and expertise to assess the effectiveness and feasibility of a proposed best practice. Additionally, ATIS strongly believes that the broadband clearinghouse would best be maintained by an industry-neutral entity, such as ATIS. ATIS would welcome the opportunity to serve in this capacity.

New America: Berkman Points to Open Networks

The mandate of interconnection rules, unbundling regulations and related policies has transformed Japan into an international broadband leader. As the Berkman study concludes, "Contrary to perceptions in the United States, there is extensive evidence to support the position, adopted almost universally by other advanced economies, that open access policies, where undertaken with serious regulatory engagement, contributed to broadband penetration, capacity, and affordability in the first generation of broadband."35 With the success of these policies in nations such as Japan, the FCC should begin to reassess its current policy framework and consider policies that address bottlenecks to robust competition in the U.S. broadband market. Beyond open access policies, Japan's grant program for rural local governments could also serve as useful tool to address our nation's rural broadband challenges.

Berkman Points Way to More Research needed, Greenlining says

Several observations and findings from the Berkman Study warrant further expert examination. Most notable include the finding that median income, urban concentration and poverty all contribute to explaining levels of penetration and the examination of systematic programs that aim to increase the supply and demand of broadband. 1) FCC Must Expand its Inquiry to Examine how a NBP can Effectively Target Reducing Poverty and Inequality in order to Create and Maintain a Viable Economy. 2) FCC Must Expand its Inquiry to Better Understand How Poverty and Inequality Explains Levels of Broadband Penetration because Broadband Penetration is a Centerpiece in Economy Recovery and Growth. 3) NBP Must Include Heavy Investment in Internet Education and Skills Training.