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February 2010

FTC Journalism Workshop March 9-10

The Federal Trade Commission will hold its second two-day workshop on the future of journalism March 9-10, 2010. The workshop will address proposals to better-support and lower the costs of journalism including: 1) changes to copyright law, 2) combining the interests of for-profit and non-profit investors in hybrid entities, such as so-called L3Cs, as vehicles for new media organizations, 3) making government data more accessible and easily managed, and 4) collaboration.

The emperor's clothes

[Commentary] The obstacles in the way of media moguls are especially big.

Advertising is swiftly migrating online, and moving away from media companies as it does so. The Internet retains the power to disintermediate (that is, bypass media firms by bringing products straight to consumers) and de-aggregate (turning albums into tracks and newspapers into articles). Few have worked out a way of making money from putting content online. Nor is it clear that a willingness to spend on media-playing devices is a wholly good sign. Consumers bought lots of iPods in the past few years. But they did not spend much money on music. And there is always the threat that media moguls will go on another buying spree.

The industry has a history of splashy mergers and acquisitions, particularly involving technology outfits, which end up destroying value. So let the content cocks crow. But if they start talking about synergies, run for the hills.

Net Neutrality Opponent Tribe joins Justice Department

Harvard law professor Laurence Tribe will join the Justice Department next week to lead an effort focused on increasing legal access for the poor. He will serve as a senior counselor for access to justice. In recent weeks, speculation within legal circles about Tribe's move to Washington had focused on a troubleshooting role that the law professor might play in hot-button areas, such as national security and international issues. But department officials Thursday said his portfolio would involve domestic affairs, and that he would report to Tom Perrelli, the associate attorney general.

The National Cable & Telecommunications Association's Brian Dietz points out that Tribe opposes Network Neutrality mandates. In a 2009 paper authored with Thomas Goldstein, tribe wrote: "Net neutrality regulation, if not carefully crafted, could squelch the ability of [broadband service providers] to continue to innovate and provide consumers with the products and services they desire." they cautions that net neutrality threatens the First Amendment because "it interjects the government into private decisions about speech."

Obama campaign arm focuses on talk radio

[Commentary] The Democratic National Committee's Organizing for America has quietly launched an initiative aimed at making Obama supporters' voices heard on the largely conservative airwaves.

"The fate of health reform has been a focus of debate in living rooms and offices, on TV and online — and on talk radio. And since millions of folks turn to talk radio as a trusted source of news and opinions, we need to make sure OFA supporters are calling in with a pro-reform message," says the introduction to the online tool. The online tool presents users with a radio show discussing political topics, to which supporters can listen live, and the phone number for that station, for when health care comes up. It also offers tips for callers and talking points on the issue.

IPad Apps Could Put Apple in Charge of the News

[Commentary] Publishers should think twice before worshipping the iPad as the future platform for magazines and newspapers. That is, if they value their independence from an often-capricious corporate gatekeeper. The past week's controversy swirling around Apple's retroactive ban of sexy apps in the App Store seems trivial, but the

implications of Apple's arbitrariness should be disconcerting to members of the press and those who rely on the media for unbiased information. Apple last week began removing thousands of apps containing "overtly sexual content" from its App Store — apps it had previously approved — in response to complaints from customers and parents. However, still remaining are apps from major publishers such as Playboy and Sports Illustrated, which contain images of partially nude women, just like the removed apps did. While it may initially appear publishers are more shielded from Apple's ban hammer, the severity of the retroactive ban should be concerning for freedom-of-speech advocates. From a legal perspective, Apple can do whatever it wants with the content in its App Store. Apple is not government, and thus it is not governed by the First Amendment. In light of the recent ban, many have correctly compared Apple's App Store to Wal-Mart, which also doesn't allow porn.

The 2010 Digital Broadband Migration Conference: Examining the Internet's Ecosystem

The 10th Annual Digital Broadband Migration Conference held by the Silicon Flatirons enter on Jan. 31-Feb 1, 2010, at the University of Colorado in Boulder, Colorado, brought together thought leaders, industry executives, and key government officials involved in shaping policy in the telecommunications sector in order to examine whether the Internet should viewed as an "ecosystem" of sorts.

The Internet is a place where a wide variety of network providers, application developers, content creators and end users co-exist with one another in an often tense fashion; where sometimes it is peaceful with shared goals and mutual understanding but other times there is friction which can lead the various players to go to "war" with onenetwork providers, application developers, content creators and end users co-exist with one another in an often tense fashion; where sometimes it is peaceful with shared goals and mutual understanding but other times there is friction which can lead the various players to go to "war" with one"war" with one another.

The conference attempted to articulate the nature of this "ecosystem" and bring forth some of its policy implications. The panels and discussion ranged widely from topics in regulation, to innovation policy, to intellectual property rights and enforcement, to amending the Telecommunications Act of 1996, to changes in business models for the content industry, all the way through the economic-theory underpinnings of merger challenges and enforcement at the Department of Justice.

While the panelists offered insights and suggestions for future policy, they also raised a host of fundamental questions. Is the Internet truly an "ecosystem"? What is the Internet—an end in and of itself, or merely the current tool bringing users a broadband-connected marketplace of products and ideas? Should it be viewed as a chaotic quick moving animal (see former FCC's the Internet truly an "ecosystem"? What is the Internet—an end in and of itself, or merely the current tool bringing users a broadband-connected marketplace of products and ideas? Should it be viewed as a chaotic quick moving animal (see former FCC Chairman Michael Powell's colorful description of the Internet as a "gyrating, undulating beast") or should it be seen as a manageable "complex adaptive system" and what implications do these separate views have for public policy?
One question discussed at length in the conference, and of great importance in the digital age, is how to balance the intellectual property rights of content holders against new methods for content delivery and the necessity for new business models. Finally, in terms of governance, especially with the now rapid and ever increasing pace of technological development, are there new models of governance that are flexible enough, dynamic enough, and ultimately fast enough, to cope?

Federal Trade Commission
March 9-10, 2010
http://www.ftc.gov/opa/2010/02/news2010.shtm
See full agenda

Consumers are increasingly turning to the Internet for news and information. Advertisers are moving ads to online sites and scaling back on ad buys as a result of the recession, and news organizations are struggling with large debts they took on during better times. As a result, some are questioning how journalism can survive and thrive in the future.

The FTC's upcoming workshop will address proposals to better-support and lower the costs of journalism:

  • Changes to copyright law have been suggested as means to require news aggregators to pay fees to news-gathering operations. Panelists will discuss whether such changes would be workable and likely achieve the desired results.
  • Speakers will consider the potential advantages and disadvantages of combining the interests of for-profit and non-profit investors in hybrid entities, such as so-called L3Cs, as vehicles for new media organizations.
  • Speakers will address efforts to make government data more accessible and easily managed in ways that may lower the costs of journalism.
  • Panelists will discuss the wide variety of collaborations that news organizations may use to lower their costs and better support journalism.

In December 2009, the FTC held the first two-day workshop to consider a wide range of issues, including: the economics of journalism in print and online; the variety of new business and non-profit models for journalism online; factors relevant to the new economic realities for news organizations, such as behavioral and other online targeted advertising, online news aggregators, and bloggers; and ways in which the costs of journalism could be reduced.

The workshop is free and open to the public. Those planning to attend should arrive early to permit time to go through security screening.

MEDIA CONTACT:
Office of Public Affairs
202-326-2180


Feb 26, 2010 (The Dog Ate My Homework)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for FRIDAY, FEBRUARY 26, 2010

We're having a "the dog ate my homework" morning. We summarized lots of news to share with you today and it is all online, but we can't seem to make it appear in e-mail form right now. So, to see the latest Headlines, please visit:

http://www.benton.org/taxonomy/term/6

http://www.benton.org/taxonomy/term/6?page=1

http://www.benton.org/taxonomy/term/6?page=2

http://www.benton.org/taxonomy/term/6?page=3

... and if you have any advice for disciplining a bad, bad, dog, please pass them on.

Comcast-NBC Hearing Recap

The House Committee on the Judiciary held a hearing Thursday on the proposed merger of Comcast and NBC Universal. Witnesses included Comcast CEO Brian Roberts, NBC President Jeff Zucker, Independent Film & Television Alliance CEO Jean Prewitt, Consumer Federation of America's Mark Cooper, Communications Workers of America President Larry Cohen, Media Access Project CEO Andrew Jay Schwartzman, National Urban League President Marc Morial, and Prof Thomas Hazlett.

Committee Chairman John Conyers (D-MI) said, "I must say that I have always been alarmed about these combinations. The role of the Internet versus the role of cable is something we've got to begin to look at on a far larger basis than the one proposed merger before this committee this morning." While Comcast and NBC have suggested that their primarily vertical joint venture does not raise particular anticompetitive concerns not already addressed by their voluntary conditions and excising rules, Chairman Conyers said his starting point was that there were cases where vertical mergers can be "more dangerous" than horizontal ones. He also said the committee needed to pay close attention to the role of the Internet in the deal. The companies have argued that they are only a fraction of that hugely competitive marketplace, one dominated by YouTube. Committee members sought assurances that Comcast wouldn't use its dominance in the cable and Internet delivery markets to favor its own content, especially sports and news programming.

"This merger must not deny the public access to new messengers and new messages," warned IFTA's Jean Prewitt. "A handful of executives now decide how, when and whether shows reach the public. They're closing the door on diversity." CWA's Cohen said the deal concentrates too much market control in one company. Comcast will curb labor organizing through firings and attempts to decertify union members at NBC Universal, he said. Dr. Cooper and Andrew Schwartzman said the deal was clearly anticompetitive. Both were reprising earlier appearances at Hill hearings made three weeks ago examining the deal. Cooper said that by standard antitrust measures, combining Comcast and NBC in the 12 markets where NBC has a station and Comcast operates cable systems raises red flags. He said the two also compete on the news and sports fronts. Marc Morial said that while it is not yet taking a position on the Comcast/NBCU merger, the Urban League does say that Comcast should be entitled to "great respect" for its record on diversity issues, and says NBC has made "important strides."

FCC's Consumer Advisory Committee Scheduled for March 19

The Federal Communications Commission's Consumer Advisory Committee will meet on Friday, March 19.

The Committee is expected to ratify a recommendation regarding truth-in-billing to be filed in CG Docket 09-158, CC Docket 98-170 and WC Docket 04-36 (In the Matter of Consumer Information and Disclosure, Truth-in-billing and Billing Format, IP-enabled Services, Notice of Inquiry), which was provisionally adopted at its February 12, 2010 meeting. Further amendments to the TIB recommendation may also be considered. The Committee is also expected to receive briefings, or consider recommendations regarding, the National Broadband Plan, the Consumer Information and Disclosure NOI, and the open Internet proceeding. The Committee will receive reports from its working groups and may also consider other matters within the jurisdiction of the Commission. A limited amount of time on the agenda will be available for oral comments from the public attending at the meeting site.

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