March 2010

Senate approves R&D tax credit

A research-and-development tax credit is one step closer to the president's desk, following Tuesday's Senate vote on a jobless benefits package.

Lawmakers approved their collection of tax extenders on a 62-36 vote late Tuesday, including a one-year continuation of the much-beloved R&D break. That means only the House now stands in the way of a tax credit that tech insiders have aggressively lobbied Congress to reinstate since it expired at the end of 2009. Technology trade groups estimated this month that the loss of that R&D credit forced the industry to shed 20,000 jobs and $2.5 billion in economic gains, and deprived the federal government of more than $2 billion in revenue.

Obama's $79 Billion Tech Plan May Favor Web Programs

Vivek Kundra, the Obama official with $79 billion to spend on technology, said the government can be more efficient by putting programs on the Web, paving the way for companies like Microsoft and Google to win business.

The government wants to put data such as health-care pricing information on Internet-based systems as they grow more secure, the U.S. chief information officer said in an interview this week. The U.S. can cut costs by outsourcing that work, said Kundra, who has overseen the federal technology budget since President Barack Obama appointed him last year. Microsoft, Google and Amazon are all offering more databases and programs online, allowing customers to curb storage costs. Sharing software and data that way would shrink U.S. storage needs, helping to cut expenses after previous governments spent more than $500 billion on data centers and other technology initiatives in the past decade, Kundra said. "It's mind-boggling," said Kundra, a New Delhi native who previously managed information technology for the District of Columbia. "It costs a fortune, it's duplicative and it's an energy hog."

The model Kundra is looking at is known as cloud computing, where users go through the Web to access computers, applications and data instead of through their own servers. He declined to say which companies are best fit to operate government clouds. He noted that Google and Redmond, Washington-based Microsoft have introduced government-focused clouds in the past few months.

Obama Reiterates Support For Finishing ACTA

President Barack Obama Thursday reiterated his administration's commitment to enacting the Anti-Counterfeiting Trade Agreement, aimed at curbing global piracy, despite a vote by the European Parliament this week calling for greater transparency in the deal's negotiations.

During remarks at the Export-Import Bank's annual conference, the president discussed the need to "aggressively protect" U.S. intellectual property. "There's nothing wrong with other people using our technologies, we welcome it -- we just want to make sure that it's licensed, and that American businesses are getting paid appropriately," Obama said. "That's why [the Office of the U.S. Trade Representative] is using the full arsenal of tools available to crack down on practices that blatantly harm our businesses, and that includes negotiating proper protections and enforcing our existing agreements, and moving forward on new agreements, including the proposed Anti-Counterfeiting Trade Agreement."

Twitter And Facebook Creating Challenges for US Courts

No tweeting or status updates in court or deliberation rooms.

Judges have been increasingly instructing juries to stay off Facebook and Twitter -- and don't use the Internet to investigate the cases, according to Joseph Rosenbaum, a Reed Smith partner, who chairs the firm's global Advertising Technology & Media Law practice. Social media and access to search the Internet from anywhere have begun to change the rules in the U.S. court systems. County and city courts have begun to post rules outside each courtroom instructing people not only to turn off their mobile phone to eliminate the noise from obnoxious ringtones, but to keep people from writing blogs and posts. Judges have started giving juries instructions to stay off social network sites. As jurors come on to the jury and during the trial, "judges have begun to tell them they cannot surf the Web, do their own independent research and communicate with others via social media," Rosenbaum says. "They take the 'don't communicate and don't read the newspapers' language we use to hear and moving it into the digital age." Some courts have contemplated banning bringing mobile phones and personal computers into courtrooms, Rosenbaum says.

While today a ruling might get thrown out of court if someone tweets or blogs during a trial, at least one state has considered taking criminal action against the jurors.

National GPS Usage Data Reveals Walmart is Nation's Most Searched for Destination While on the Road

TeleNav, one of the largest navigation services providers with more than 13 million subscribers, released usage data that suggests users depend on GPS navigation for much more than getting from point A to point B. The data indicates that while customers in various cities depend on some GPS features more than others, when it comes to searching out nearby businesses on the road, drivers across the country seem to be in agreement on their favorites.

An analysis of searches conducted by TeleNav users in December 2009 indicated that Walmart topped the list as the number one U.S. business TeleNav customers sought out while using their GPS service. Starbucks took a close second, proving Americans' obsession with morning lattes and mochaccinos is still quite strong. Two more large retailers, Target and Best Buy, took the third and fourth spots respectively, while Bank of America rounded out the top five most searched destinations in the country.

TeleNav data from all GPS point of interest (POI) searches for the entire 2009 year indicates that drivers living in or visiting some U.S. cities need more assistance locating local hotspots than in others. Los Angeles took the number one position as the city where most GPS searches occurred in 2009. The Dallas/Ft. Worth area followed in a close second, indicating that while things may be bigger in Texas, it doesn't always mean they're easier to find. Chicago, Houston and Atlanta, respectively, rounded out the top five U.S. cities where most GPS searches took place. TeleNav's GPS search data also sheds some light on the cuisine preferences of American drivers.

Telepresence: Not just for meetings any more

Telepresence, an advanced form of videoconferencing, aims to simulate the experience of a face-to-face meeting by using high-definition, jitter-free video coupled with spatial audio. Only a small fraction of the 230,000 videoconferencing systems sold worldwide in 2009 were telepresence systems, according to Wainhouse Research. But the technology is earning a following, and Wainhouse expects to see the technology's share of the videoconferencing market increase substantially over the next five years, helping to drive strong videoconferencing system growth. Depending on the number of sites connected and the equipment involved a telepresence meeting could include as many as 300 people. Whoever is talking at any moment appears on screen virtually life size.

The Internet of Things

More objects are becoming embedded with sensors and gaining the ability to communicate. The resulting information networks promise to create new business models, improve business processes, and reduce costs and risks. Six distinct types of applications are emerging in two broad categories: information and analysis and automation and control.

Automating Conflict-Of-Interest Reporting

Countless laws across different levels of government (federal, state, and local) and agencies mandate that service providers disclose material conflicts of interest to their customers. Countless private entities, including trade associations and media outlets, have ethics codes with similar disclosure requirements.

Emerging web technologies, often categorized under the rubric of the "semantic web," offer a way to automate conflict of interest disclosure in new and powerful ways. But this requires that an open, standards-based "bias ontology" be first developed. The efficiencies created through the use of a bias ontology offer an opportunity to rethink the scope and methods of conflict-of-interest disclosure regulation. A good place to start would be the Federal Trade Commission's new conflict-of-interest disclosure laws for bloggers who review products. As a complement to mandatory disclosure of conflicts of interests for legally recognized fiduciaries, a system of voluntary certification with significant penalties for false disclosure could be offered. In this way, service providers who want to make a credible claim that they are independent but are not covered by one of the government's mandatory conflict of interest laws could be offered an opportunity to do so.

ONC publishes certification rule, triggers comment period

The Office of the National Coordinator for Health Information Technology published its proposed rule on certification of electronic health records on Tuesday in the Federal Register, launching the comment period.

David Blumenthal, MD, the National Coordinator for Health Information Technology, unveiled the rule on March 2 at the Healthcare Information Management Systems Society's annual conference in Atlanta. The certification proposal is the last in a series of three rules mandated under the HITECH Act, part of the American Recovery and Reinvestment Act, that explain how providers and hospitals can qualify for bonuses for using certified healthcare IT. The ONC proposed rules on standards and meaningful use last December. Since then, providers, vendors and other stakeholders have been waiting for the release of the certification rule so they can prepare to qualify for bonuses by Jan. 1.

The 30-day comment period on the temporary certification ends April 9, while the 60-day comment period for the permanent certification proposal will end May 10.

Healthcare IT Workgroup Tackles Privacy

The Health Information Technology (HIT) Policy Committee's Strategic Planning Workgroup spent much of its meeting this week debating how best to balance privacy concerns with the need for an open, "learning" healthcare system.

The group shouldn't put barriers in the way of people "interested in sharing their information and willing to take that risk," said Don Detmer, retired president and CEO of the American Medical Informatics Association. "We should not force privacy to be more important than health." Just as people have the right to donate blood and organs but aren't forced to do so, Detmer said, they should also have the right to share their health information and even elect to receive a unique patient identifier. Jodi Daniel, director of the Office of Policy and Research at the Office of the National Coordinator for Health IT (ONC), commented that while the government can't take up such a charge, there's nothing preventing private sector entities from doing so. Detmer went on to stress that any regulations the government enacts should make it easy for citizens to do the "altruistic" thing--to share their health information for use in research and clinical trials.