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January 2011

NBC Has Deal To Sell KWHY In LA

NBCU will sell its Spanish-language independent KWHY-TV Los Angeles to investment company The Meruelo Group, subject to Federal Communications Commission approval.

The agreement comes before the planned Jan. 28 close of the Comcast joint venture agreement. Terms were not disclosed; Telemundo paid $239 million when it bought the station in 2001. NBC had originally asked the commission for a temporary, six-month extension of its waiver of the FCC ownership rules to continue owning three stations in the market. The station group promised that within six months of the NBCU-Comcast deal's close, it would either sell KWHY, one of its three stations there, or put it in a trust. But it subsequently indicated it did not need the waiver and would get a deal done. The company also pledged to try and find a minority buyer as one of a number of pledges by Comcast/NBCU to promote diversity in programming and ownership. NBCU will put the station in a separate trust, Bahia Honday LLC, upon closing of the merger. The trust will handle the sale and regulatory approval process. The deal is expected to be done by midyear.

Broadcast Sector: Improved Profitability, Undervalued Stocks

Though TV stations continue to report hefty financial gains in recent periods, broadcasters are still trading below the stock market as a whole.

"The sector appears undervalue by around 15%," says Michael Alcamo, president of media investment firm M.C. Alcamo & Company. In fact, Alcamo was a bit shocked looking at the results versus the a year ago. "The results surprised us -- trading multiples were significantly lower than a year previously, possibly reflecting investor caution or uncertainty," he notes. Looking at six pure-play publicly-traded broadcast TV station companies, Alcamo says selling cash-flow multiples -- earnings before interest, depreciation, taxes and amortization -- are down 20% from a year ago at the end of 2010. Currently at a 8.7 times rate, versus 10.7. Cash flow multiples are down 10% from a 9.6 number a three months ago. The six companies include Belo Corp., Gray Television, Nexstar Broadcasting, Sinclair Broadcast Group, LIN Television and Fisher Communications Group. Analyzing an index of these companies shows stock prices at a 53% index to the S&P 500 Index of 98%.

DVRs Approaching Critical Mass, Finally

As far as important industry milestones go, the one announced by Interpublic's Magna Global unit, that DVRs are finally poised to reach the 50% mark -- a level often thought of as critical mass for a mass medium like television -- may seem a bit anticlimactic, and just goes to show that big industrial shifts sometimes are more evolutionary, than they are revolutionary.

In fact, Magna estimates that milestone will not be crossed for another five years, but its year-end 2016 forecast is the first time the ad industry has had an official half-way mark for the dreaded devices, which have been Madison Avenue's main nemesis for nearly a decade. DVRs, Magna's Brian Wieser said in his understated fashion, will officially cross the 50% penetration level at year-end 2016, up from his previous estimate of 49%. But the significance of that milestone now seems more of a whimper than a bang, and certainly not the sonic "boom" many on Madison Avenue had feared a decade ago when Michael Lewis' cover story on the New York Times Magazine announced that the end of TV advertising was near. Not nearly, as it turns out.

Newspaper Web Sites Reach 62% of Online Population

Newspapers are not dying -- at least online.

An average of 105.3 million people per month visited a newspaper Web site during the fourth quarter of 2010, according to comScore data cited by the Newspaper Association of America: 105.3 million in October, 106.7 million in November and 103.9 million in December. These visitors spent an average of 3.4 billion minutes per month browsing newspaper Web sites, generating an average 4.1 billion page views per month. That works out to about 32.3 minutes and 38.9 page views per individual per month. What's more, the newspaper Web site audience includes a high proportion of desirable demographic segments, according to comScore and the NAA. The sites reach 58% of 25- to-35-year-old adults and 73% of individuals living in households earning over $100,000 per year. The NAA noted that online advertising revenues from newspaper Web sites are also growing.

Study: EHRs and CDS don't improve care

A new study by a Stanford University Research team, published in the Archives of Internal Medicine, has found that current usage of electronic health records and clinical decision support technology may improve administrative efficiency but does "not appear to translate into better outpatient quality of care."

The three-year study, titled Electronic Health Records and Clinical Decision Support Systems: Impact on National Ambulatory Care Quality, was coauthored by Randall S. Stafford, MD, PhD, and Max J. Romano, who examined data from more than 250,000 ambulatory visits between 2005 and 2007. EHRs were in use for roughly 30 percent of those visits, with clinical decision support used for about 17 percent of them. The pair's findings could be seen as a splash of cold water for the healthcare IT industry – and the federal government intent on spurring widespread EHR adoption with billions in financial incentives.

The Battle Over TV Channel 6 and LPTVs Used for FM Radio Broadcasts

A controversy has bubbled up in connection with the Federal Communications commission proceeding to set the date by which Low Power Television stations will be required to convert to digital operations.

While the analog operations of full-power TV stations were terminated in 2009, Low Power television stations and TV translators have not yet faced any end date for their analog operations -- though the FCC recently suggested that the final date for analog broadcasting by these stations be set -- perhaps as soon as next year. In comments filed in the proceeding to set the end date, the question of when to terminate analog broadcasting became tangled in another issue -- whether Channel 6 LPTV stations should be allowed to continue to be used to broadcast FM programming. NPR suggested that the practice be terminated now, while Channel 6 licensees argued that this use was perfectly permissible under FCC rules, and that it provides a public interest benefit that should be preserved.

State of the Union, the Digital Party

If you have a television and you’re a civic-minded sort, you probably plonked down in front of CNN (or the networks, or Fox, or the like) last night and watched President Obama’s State of the Union address (and the Republican response, or maybe even the Tea Party response) old-school style--on the boob tube with a remote in one hand and a beer in the other. But if TV was your only game last night, you missed out. The real party was online. It was a massive demonstration of how the conversation in politics is shifting, from a one-way affair controlled jointly by politicians and the media, to both a two-way dialogue between pols and constituents and a many-to-many free-for-all between any and all who care to dive in.

Kindle Singles

Before the advent of digital reading, writers often had to choose between making their work short enough for a magazine article or long enough to deliver the "heft" required for book marketing and distribution. Three months ago, Amazon made a call to serious writers, thinkers, scientists, business leaders, historians, politicians and publishers to join Kindle in making a new kind of content available to readers--. Typically between 5,000 and 30,000 words, each Kindle Single is intended to allow a single killer idea -- well researched, well argued and well illustrated -- to be expressed at its natural length. Today, Amazon is introducing the first set of to the Kindle Store. The new section of the Kindle Store is now available. Available to both Kindle device and app users, and priced between $0.99 and $4.99, the first set of include original reporting, essays, memoirs and fiction. Amazon plans to frequently launch many more over time.


May 11, 2011
Washington, DC
http://www.ftc.gov/opa/2011/01/cramming.shtm

The Federal Trade Commission will host a forum on May 11, 2011, in Washington, DC, examining how the government, businesses, and consumer protection organizations can work together to prevent consumers from being hit with unauthorized third-party charges on their phone bills, a practice known as “cramming.”

Government agencies, consumer advocates, and industry representatives are invited to participate in the forum to discuss ways to reduce cramming through business practices, law enforcement and possible legislation. Participants will be asked to take up specific ideas such as allowing consumers to request a block on all third-party billing, and requiring third parties to get written approval from consumers before placing charges on their phone bills.

Other issues forum participants will discuss include:

  • how telephone bill cramming harms individual consumers and small businesses;
  • how consumers and competition can benefit from third-party billing on telephone bills for products and services such as voicemail, developing or hosting websites, or other enhanced services;
  • the steps that billing companies and telephone carriers currently take to detect, monitor, and prevent cramming;
  • best practices being used by the industry to reduce cramming, such as improving disclosure of third-party charges to consumers; and
  • the types of goods and services charged on telephone bills, and the difference between landline and wireless billing practices.

The FTC invites interested parties to submit requests to be panelists by sending an e-mail to crammingforum{at}ftc{dot}gov by March 4, 2011. Requests should include a statement detailing any relevant expertise in working on or studying cramming, especially the topics specified above, and complete contact information. Panelists selected to participate will be notified by April 8, 2011.

The FTC also invites those interested to submit comments online on any of the topics mentioned above.


January 26, 2011 (Broadband and the State of the Union)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for WEDNESDAY, JANUARY 26, 2011


BROADBAND/INTERNET
   Obama Pitches Global Fight for US Jobs in Address
   Obama puts focus on technology, promises more wireless access
   See also: The State of the Union, the Economy & Broadband
   FCC Expected to OK Cellphone Use of Satellite Airwaves
   Kinect and the Power of Big Broadband
   Internet body may use up IPv4 addresses this week
   Oh Its Fast! China’s Broadband Growth, That Is

NETWORK NEUTRALITY
   Metro PCS follows Verizon in suing FCC to overturn network neutrality rules
   Cantwell: Net Neutrality Essential to Promoting Innovation and Protecting Businesses and Consumers

PUBLIC SAFETY/EMERGENCY COMMUNICATIONS
   FCC Takes Action to Advance Nationwide, Interoperable Broadband Communications for America's First Responders
   FCC's McDowell wants D Block auction 'sooner rather than later'
   Rockefeller Reintroduces Public Safety Spectrum and Wireless Innovation Act

OWNERSHIP
   Rep Waters Rips Into FCC, Calls Comcast/NBCU Order 'Meaningless'
   Asian-Americans hope merger is turning point for Comcast
   Sirius asks FCC to end Price Caps
   Size Still Matters To The Feds
   Read On

TELECOM AND WIRELESS
   AT&T Increases Prices on Text Messaging In the Name of Streamlining
   FCC Has Another USF Directive for USAC

JOURNALISM
   Why the New York Times Should Go NPR
   Start-Up Opens a One-Stop Shop for the News
   Digital Futures: MinnPost Breaks Even In 2010

LABOR
   Google going on hiring binge in 2011

KIDS AND MEDIA
   Chairman Smith: Companies must save private data to combat child porn
   Studios Stand Behind Skins

STORIES FROM ABROAD
   Oh Its Fast! China’s Broadband Growth, That Is
   Chinese and Indian Entrepreneurs Are Eating America's Lunch
   Twitter blocked in Egypt as thousands of protesters call for government reform
   UK Regulator to Hear Proposals by News Corp on BSkyB Bid
   Facebook is fine, says Pope Benedict, but real faces are better

MORE ONLINE
   Staff Changes for FCC's Baker
   Obama Opposes Bid to End Public Financing of Presidential Elections
   Commerce Department, NIST Host Standards Setting Forum and Government “Stick” Helped Move Smart Grid Standards
   Telework is about to change your agency
   Google's Online Marketing Challenge Offers Big Bucks to Nonprofits
   Facebook Turns the 'Like' Into Its Newest Ad
   Gov Brown appoints TURN attorney, FCC veteran to CPUC

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BROADBAND/INTERNET

OBAMA PITCHES GLOBAL FIGHT FOR US JOBS IN ADDRESS
[SOURCE: New York Times, AUTHOR: Sheryl Gay Stolberg]
President Barack Obama challenged Americans to unleash their creative spirit, set aside their partisan differences and come together around a common goal of outcompeting other nations in a rapidly shifting global economy. In a State of the Union address, President Obama outlined what he called a plan to “win the future” -- a blueprint for spending in critical areas like education, high-speed rail, clean-energy technology and high-speed Internet to help the United States weather the unsettling impact of globalization and the challenge from emerging powers like China and India. He proposed new efforts on high-speed rail, road and airport construction and a “national wireless initiative” that, administration officials said, would extend the next generation of wireless coverage to 98 percent of the population. “Our infrastructure used to be the best, but our lead has slipped,” President Obama said. “South Korean homes now have greater Internet access than we do. Countries in Europe and Russia invest more in their roads and railways than we do. China is building faster trains and newer airports.”
benton.org/node/48822 | New York Times | WSJ | WashPost | FT | CSM | San Francisco Chronicle | The Hill | Financial Times - reaction
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OBAMA PUTS FOCUS ON TECHNOLOGY, PROMISES MORE WIRELESS ACCESS
[SOURCE: Washington Post, AUTHOR: Cecilia Kang]
President Barack Obama said in his State of the Union speech that technology innovation will be the nation's "Sputnik moment" and that the economy's priorities will largely rest on industries such as clean energy and high-tech. He cited companies such as Google and Facebook as examples of firms that blossomed thanks to free markets. But he noted that taxpayer funds had "planted the seeds for the Internet" and pointed out that government programs had led to the creations of computer microchips and global positioning systems. As such, President Obama said that the economy's future rests on doubling commitments to the nation's infrastructure. He singled out the importance of expanding wireless Internet networks, which he said should cover 98 percent of Americans within five years. "This isn't just about a faster Internet and fewer dropped calls," he said. "It's about connecting every part of America to the digital age."
The response to the speech was positive.
"The President said we will need to out-innovate, out-build, out-compete and out-educate other countries, and I couldn't agree more," said Senate Commerce Committee Chairman Jay Rockefeller (D-WV). "I'm glad the President focused on the need to invest in our infrastructure and encourage exports to create jobs. These investments are critical to American competitiveness and issues my Committee is hard at work on."
"Faster, more reliable wireless Internet service will unlock opportunities for American businesses to compete across the country and around the world while also enabling our students to access educational resources that otherwise would be out of reach," said Rep Ed Markey (D-MA). "The National Broadband Plan provides a roadmap for increasing deployment of high-speed Internet access. The President's call tonight for expanded deployment of next generation wireless service is consistent with the Plan and crucial for our country's competitiveness in the future."
"This Republican Congress proudly embraces the ideals and opportunity of American entrepreneurship, and we will look to our core principles as we pursue policies that create jobs, reduce spending, and shrink the size and scope of the federal government in order to expand individual freedom," said Rep. Fred Upton (R-MI), chairman of the House Commerce Committee.
"Reducing the deficit, supporting free trade, attracting the best and brightest and investing in infrastructure and education are key to our recovery, and we support the President’s focus on these issues as part of his innovation-driven agenda," said Gary Shapiro, president of the Consumer Electronics Association.
Benton Foundation Chairman and CEO Charles Benton said, "To sustain our economic recovery, our country must invest in the infrastructure that will be the foundation for free markets; lifelong education; improved healthcare; cleaner, cheaper energy; creative pursuits; a secure homeland; more responsive, effective emergency services; and an engaged democracy. Without doubt, broadband is a key platform for all these national priorities. In just two years, it is safe to say, President Barack Obama has done more to improve our broadband infrastructure than President George W. Bush did in two terms. Tonight, the President has renewed our national commitment to meet the great infrastructure challenge of the early 21st century -- filling troubling and persistent gaps in the deployment of broadband networks, encouraging adoption by people and businesses alike, and making the most of this powerful tool to further our national priorities. Our moment is now to revitalize the foundation of our economy and to regain our global competitive edge."
benton.org/node/48820 | Washington Post | Charles Benton | The Hill | B&C | B&C reaction | Financial Times - reaction
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FCC EXPECTED TO APPROVE LIGHTSQUARED PLAN
[SOURCE: Wall Street Journal, AUTHOR: Amy Schatz]
Federal officials are likely to sign off on plans allowing a satellite broadband start-up backed by private equity fund Harbinger Capital Partners to lease its airwaves for traditional mobile phones. The Federal Communications Commission is expected to grant a request by the start-up, LightSquared, to drop a requirement that cellphones using satellite airwaves must be able to communicate with satellites. The request would be a major victory for Harbinger, which would be allowed to lease its airwaves to wireless companies for use by traditional cellphones or wireless gadgets instead of pricier satellite-enabled phones. LightSquared is a Virginia-based start-up funded mostly by Harbinger, a hedge fund founded by Philip Falcone, which has invested billions to launch a national broadband wireless network.
Some wireless phone companies have expressed concern about the request, since satellite spectrum has generally been auctioned off for much less money than other airwaves that are now used for cellphone service. CTIA, the wireless industry's trade group, said in December that it supports the flexible use of satellite airwaves but said the FCC should make those changes more broadly instead of helping one company.
benton.org/node/48817 | Wall Street Journal | WashPost
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KINECT AND BROADBAND
[SOURCE: GigaOm, AUTHOR: Om Malik]
[Commentary] The Microsoft Kinect's motion-capture technology is in equal parts astounding, joyful and amazing. Kinect, which on its own is pretty awesome, becomes even more powerful when it’s married to an Internet connection. The higher the speeds, the more the possibilities. Ironically, this seemingly fun technology is also showing us the need for bigger broadband pipes and the possibilities that raw speed can open up. Today, many believe there isn't much needed for pipes that go beyond 25 ­ 40 Mbps, contending that those speeds are good enough for surfing the web, Facebook-ing, Tweeting, emails and watching Netflix. If one has to understand why we need bigger pipes we need to think differently, and imagine new uses. As Albert Einstein once said: “The specific problems we face cannot be solved using the same patterns of thought that were used to create them.” Tomorrow’s problems, and thus the opportunities are illustrated by some of the recent hacks around Kinect. Fredrik Ryden, a student at University of Washington developed a piece of software that allows Kinect to create 3-D maps of a patient’s body which can be used in tandem with force feedback technology and medical robots for surgeries.
benton.org/node/48768 | GigaOm
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INTERNET ADDRESSES RUNNING OUT
[SOURCE: IDG News Service, AUTHOR: Stephen Lawson]
The current crop of Internet addresses could start to disappear this week if a regional Internet registry makes one more request for two blocks of addresses. APNIC (Asia Pacific Network Information Centre) is eligible to request two large blocks of IPv4 (Internet Protocol, Version 4) addresses, because users have been snapping up its existing stock quickly enough, according to Leo Vegoda, manager of number resources at the Internet Assigned Numbers Authority. Because there are only seven of these large blocks left, that allocation to APNIC would activate a policy for the IANA to hand out the last five blocks to the five regional registries, Vegoda said. Experts have been warning ISPs (Internet service providers) and enterprises for years that IPv4 addresses are destined to run out soon. Various technical fixes have staved off that day, but the assignment of those final blocks would leave the ultimate supply of those addresses tapped out. This would mark a milestone on the path to an Internet based totally on the latest protocol, IPv6. It typically takes about two business days to fulfill a request by a regional Internet registry (RIR) such as APNIC for more address blocks, and it can be done more quickly if needed, Vegoda said. The IANA does not comment on address allocations until they are made, but "it would certainly be possible for us to process a request before the end of this week," he said. APNIC, based in Brisbane, Australia, was not immediately available to comment on a possible address request.
benton.org/node/48760 | IDG News Service
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NETWORK NEUTRALITY

METRO PCS SUES FCC
[SOURCE: Washington Post, AUTHOR: Cecilia Kang]
Wireless service operator MetroPCS has filed a lawsuit to overturn the Federal Communications Commission's network neutrality rules. The suit was filed in the DC Circuit Court of Appeals, the same court that cast the FCC's regulatory over broadband services into question last spring. The company has been the subject of criticism by consumer groups who say MetroPCS's 4G pricing plans purposefully block certain applications, a violation of the FCC's Internet access rules. The suit follows a similar legal challenge made last week by Verizon Communications and is expected to be part of a flood of lawsuits against the agency.
“MetroPCS’s concerns regarding the jurisdictional basis for the net neutrality rules, the recent appeal filed by Verizon, and challenges raised by some proponents of Net Neutrality to MetroPCS’ recent 4G rate plans, have caused Metro PCS to appeal the FCC’s net neutrality order to ensure that the concerns of competitive wireless carriers, like MetroPCS, are addressed.” Roger D. Linquist, MetroPCS's president and chief executive officer, said.
We note the Metro PCS challenge may been triggered at least in part by recent public-interest group charges that Metro PCS’s restricted Web access offering at a low rate violated Open Internet principles," said Rebecca Arbogast, head of tech policy research at Stifel Nicolaus.
Free Press Policy Counsel M. Chris Riley said, "Instead of responding to the public outcry over its walled-garden practices by offering open Internet access services, MetroPCS has chosen to follow the lead of Verizon Wireless and sue the FCC to strike down the Commission’s weak, loophole-ridden rules. Like a thief caught red-handed, MetroPCS -- rather than change its ways -- is now trying to legalize stealing. What we’re seeing are the early signs of a full-scale assault on the open Internet. MetroPCS hopes that by helping to vacate the rules in court, it will be able to continue with its anti-consumer, anti-competitive practices of blocking popular applications like Skype and Netflix unless its subscribers pay a steep ransom."
benton.org/node/48795 | Washington Post | MultichannelNews | The Hill | ars technica | Free Press
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CANTWELL INTRODUCES NETWORK NEUTRALITY BILL
[SOURCE: Sen Maria Cantwell (D-WA), AUTHOR: Press release]
Sen Maria Cantwell (D-WA) introduced the Internet Freedom, Broadband Promotion, and Consumer Protection Act of 2011 to ensure the broadband Internet continues to serve as a source of innovation, free speech, and job growth. Though Cantwell believes that the Federal Communications Commission’s (FCC) acted within its authority to issue its own network neutrality rules last December, she stated at the time that they were not strong enough to ensure the Internet remains a source of innovation and economic growth. Sen Al Franken (D-MN) is an original cosponsor of the Internet Freedom, Broadband Promotion, and Consumer Protection Act.
The Internet Freedom, Broadband Promotion, and Consumer Protection Act creates a new section in Title II of the Communications Act by codifying the six net neutrality principles in the FCC’s November 2009 Notice of Proposed Rule Making for preserving the open Internet. Additionally, the legislation prohibits broadband operators from requiring content, service, or application providers from paying for prioritized delivery of their Internet Protocol (IP) packets, also known as pay-for priority. The bill also calls for broadband providers to work with local, middle-mile providers on fair and reasonable terms and network management conditions. All of these obligations apply to all broadband Internet platforms, both wireline and wireless.
Cantwell’s legislation also takes several steps to promote the adoption of broadband, such as requiring broadband providers to provide service to an end user upon reasonable request and requiring broadband providers to offer standalone broadband Internet access at reasonable rates, terms, and conditions. The bill also tells the FCC that if it extends the Universal Service Fund (USF) to include broadband access, only those broadband providers offering standalone broadband Internet access service will be able to participate in the new broadband fund. This legislation further increases consumer protection by requiring all charges, practices, classifications, and regulations related to broadband Internet access service meet a public interest “just and reasonable” standard. Currently, broadband Internet access falls under Title I of the Communications Act, making it unclear what protections consumers have. Cantwell’s legislation allows broadband service users who believe their broadband provider has violated their net neutrality obligations to file a complaint at either the FCC or a U.S. District Court (but not both). Additionally, State Attorneys General can file on behalf of its residents and seek either to enforce the act or to seek civil penalties.
benton.org/node/48793 | Sen Maria Cantwell (D-WA) | Free Press | The Hill | National Journal
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PUBLIC SAFETY/EMERGENCY COMMUNICATIONS

FCC ORDER FOR FIRST RESPONDER COMMUNICATIONS
[SOURCE: Federal Communications Commission, AUTHOR: ]
The Federal Communications Commission adopted a Third Report and Order (Order) and Fourth Further Notice of Proposed Rulemaking (FNPRM) that will advance communications interoperability for our Nation's first responders. The rules adopted and proposed in today's Order and FNPRM support the build out of robust, dedicated and secure mobile broadband networks that will enable public safety broadband users to share information, videos, photos and emails across departments and jurisdictions nationwide for day-to-day operations and during large-scale emergencies.
The Order and FNPRM requires all 700 MHz public safety mobile broadband networks to use a common air interface, specifically Long Term Evolution (LTE), to support roaming and interoperable communications and seeks comment on additional rules to enable nationwide interoperability. The FCC's actions build on the technical requirements that state and local 700 MHz broadband waiver recipients are already subject to in the early buildout of their regional public safety broadband networks.
The FNPRM seeks public comment on, among other things:
The architectural vision of the network;
The effectiveness of open standards;
Interconnectivity between networks;
Network robustness and resiliency;
Security and encryption;Coverage and coverage reliability requirements;
Roaming and priority access between public safety broadband networks; and
Interference coordination and protection.
benton.org/node/48780 | Federal Communications Commission | slide show on FCC action | Chairman Genachowski | Commissioner Copps | Commissioner McDowell | Commissioner Clyburn | Commissioner Baker | National Journal | Connected Planet | B&C | FCC blog | nextgov
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MCDOWELL WANTS D BLOCK AUCTION SOON
[SOURCE: The Hill, AUTHOR: Sara Jerome]
Federal Communications Commission member Robert McDowell expressed support for a D Block auction, which would sell off a valuable chunk of spectrum to commercial providers in order to fund a mobile broadband network for public safety officials. The D Block auction proposal, also endorsed by the chairman's office, is a contentious issue on Capitol Hill where some members of Congress, including Senate Commerce Chairman Jay Rockefeller (D-WV) would prefer to devote the block to public safety purposes only -- a more costly route compared to the auction. Commissioner McDowell said at the FCC's monthly meeting that "in a perfect world" the D Block auction plan would already be moving along. "Perhaps we would have already concluded an auction of this spectrum, and public safety entities would be in a position to elect to partner with these auction winners," he said. "I am eager to move to this step, which I urge that we undertake sooner rather than later."
benton.org/node/48777 | Hill, The
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PUBLIC SAFETY SPECTRUM BILL INTRODUCED
[SOURCE: US Senate Commerce Committee, AUTHOR: Chairman Jay Rockefeller (D-WV)]
Chairman John D. (Jay) Rockefeller IV today reintroduced the Public Safety Spectrum and Wireless Innovation Act, a bill to promote smart and efficient use of the nation’s radio airwaves and provide first responders and public safety officials with additional wireless resources to keep America safe. The legislation is cosponsored by Senators Bill Nelson (D-FL), Frank Lautenberg (D-NJ), Amy Klobuchar (D-MN), Tom Harkin (D-Iowa), and Benjamin Cardin (D-MD). Key provisions of the bill:
Establish a framework for the deployment of a nationwide, interoperable, wireless broadband network for public safety;
Allocate 10 megahertz of spectrum, known as the “D-block,” to public safety;
Direct the Federal Communications Commission (FCC) to develop technical and operational standards to ensure nationwide interoperability and build-out (including in rural areas);
Direct the FCC to establish standards that allow public safety officials, when not using the network, to lease capacity on a secondary, but preemptible basis to non-public safety entities, including other governmental and commercial users; and
Provide the FCC with incentive auction authority, which allows existing spectrum licensees to voluntarily relinquish their airwaves in exchange for a portion of the proceeds of the commercial auction of their spectrum. This provides new incentives for efficient use of spectrum. In addition, the funds from these incentive auctions, in conjunction with funds from the auction of other specified spectrum bands, and funds earned from leasing the public safety network on a secondary basis, will be used to fund the construction and maintenance of the nationwide, interoperable, wireless broadband public safety network.
benton.org/node/48792 | US Senate Commerce Committee | The Hill | National Journal
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OWNERSHIP

WATERS OPPOSES COMCAST/NBC
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
Rep. Maxine Waters (D-CA), one of the stronger critics of the now-approved Comcast/NBCU joint venture, said that after vetting the 279-page Federal Communications Commission order that allowed the merger, she has concluded that both the FCC and Justice department failed to craft "substantive conditions," and called the FCC order "meaningless. She said that there was nothing in the FCC conditions that Comcast had not already promised to do or offer up as public interest commitments themselves. She also pointed out that the network neutrality conditions were taken from the FCC just-passed rules, which she called a "narrowly tailored compromise with the telecommunications industry that excludes mobile wireless companies."
"I do not believe the American public can have much confidence in Comcast-NBCU's commitment to launch 10 new independent channels when current networks have had so many challenges negotiating reasonable carriage terms with the cable giant. And while discount broadband, "limited-time" special offers, and philanthropic endeavors are commendable efforts we strongly encourage the private sector to embrace, they are irrelevant to promoting diversity among broadcast viewpoints and FCC license holders," she said.
And while she gave Justice a shout-out for its review, which she said can ease some of her concerns, she said the FCC was obligated to conduct a more "comprehensive" public interest standard. Justice is concerned with anti-trust issues, while the FCC goes beyond competition issues to whether a deal promotes the public interest. But the FCC and Justice worked closely to fashion their respective conditions, according to multiple sources. Rep Waters said that she did not think public input on the deal translated to FCC action. She suggested the order would not improve with age. "Since no divestitures, separation of corporate authority, or any other stringent conditions were attached to the acquisition," Rep Waters said, "the FCC's 279-page order approving the Comcast-NBCU merger will be even more meaningless than it is today."
benton.org/node/48774 | Broadcasting&Cable
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ASIAN-AMERICANS AND COMCAST
[SOURCE: The Hill, AUTHOR: Gautham Nagesh]
Asian-Americans are featured prominently on shows like "The Office," "Big Bang Theory," and "Glee." In many ways the success of TV shows such as "Outsourced" and "Hawaii Five-O" that incorporate Asian-American characters as main cast members represent a watershed moment for the community, which has struggled to find representation in the media despite a rapidly growing population of 14 million. Which is why Asian-American activists and leaders were particularly concerned with the potential impact of Comcast acquiring a majority stake in NBC Universal, which is viewed as a leader among media companies in outreach to the community. According to Asian American Justice Center president Karen Narasaki, whose civil rights organization has had a relationship with NBC for over a decade, the source of that concern is Comcast's decision to kill AZN, one of the only channels aimed specifically at the Asian American community, earlier this decade.
benton.org/node/48772 | Hill, The
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SIRIUS ASKS FOR END TO PRICE CAPS
[SOURCE: Federal Communications Commission, AUTHOR: ]
The Federal Communications Commission's Media Bureau seeks comment on whether to extend, modify, or remove the price cap imposed by the FCC when it approved the applications of Sirius Satellite Radio and XM Satellite Radio Holdings to transfer control of the licenses and authorizations they held for the provision of satellite digital audio radio service (or "SDARS") in the United States. The grant of these applications authorized the merger of Sirius and XM subject to voluntary commitments made by Sirius and XM, as well as other conditions. Sirius XM requests that the FCC allow the price cap to expire at the end of three years. The FCC seeks comment on Sirius XM's view that the price cap condition is no longer necessary.
benton.org/node/48782 | Federal Communications Commission
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READ ON
[SOURCE: New York Times, AUTHOR: Editorial staff]
[Commentary] News that Borders, the nation’s second-largest book chain after Barnes & Noble, is teetering on the brink of a bankruptcy filing has made book publishers even more nervous about their online future. The recording industry, which preceded books’ move online by about a decade, sold $7.7 billion worth of music in 2009, down from $14.3 billion in 2000. Electronic books are much easier to pirate than songs and movies -- a fact made clear when Dan Brown’s blockbuster “The Lost Symbol” was downloaded illicitly more than 100,000 times within days of hitting stores in 2009. Despite all that, we are happy to say that it’s far too early to kiss book publishing goodbye. E-book sales more than doubled in the first 11 months of last year -- to about 8 percent of total sales. E-readers are flying off the shelves, and overall book sales are holding up as the paper-based industry transitions to the digital age, increasing 3.5 percent in the first 11 months of 2010.
benton.org/node/48815 | New York Times
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TELECOM AND WIRELESS

AT&T TEXTING PRICES
[SOURCE: Public Knowledge, AUTHOR: Michael Weinberg]
Last week, AT&T quietly “streamlined” their text messaging offerings by eliminating the $5 for 200 message/month plan and the $15 for 1,500 message/month plan. This leaves customers with two options -- pay $10 a month for 1000 messages or $20 a month for unlimited messages. In doing so, AT&T doubled the cost of text messaging for a significant percentage of their customers -- a service that costs AT&T essentially nothing to provide. Normally, this is the type of unjustified price increase that the Federal Communications Commission would look in to. Unfortunately, the FCC has ignored problems with text messaging and refused to move forward on a petition that we and others filed over three years ago. Until the FCC moves, carriers will continue to nickel and dime consumers. Those new buckets will just be pretty wrapping on higher prices.
benton.org/node/48766 | Public Knowledge
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JOURNALISM

WHY NYT SHOULD GO NPR
[SOURCE: Fast Company, AUTHOR: Anya Kamenetz]
There's a lot of harrumphing around the blogosphere about the New York Times' decision to again put up paywalls for digital access (the last attempt, TimesSelect, was shuttered in 2007). People are gaming out the angles: Have they chosen the right price points at as much as $20 a month? Why the different prices for the iPad app vs. website access vs. print subscriptions? But the whole approach is wrong-headed. With its large, affluent, reasonably liberal and guilt-ridden audience, the Times would have more monetary success and more brand success with an NPR-like pay-what-you-will membership model with free events, tote bags, and other goodies thrown in. Membership dues are a significant source of revenue for NPR -- 43% of the budget in 2009. Why does it make sense to charge only 15% of "power users," as the Times says this new subscription model will? Readers of all stripes feel good about associating with the Times--just look at how often the phrase "Sunday Times" shows up in personal ads. The paper should build up this goodwill rather than make us feel bilked, or have to puzzle over the merits of various pricing models as though we were shopping for cable packages. A bit of NPR-style customization wouldn't hurt either.
benton.org/node/48759 | Fast Company
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STORIES FROM ABROAD

CHINA'S BROADBAND GROWTH
[SOURCE: GigaOm, AUTHOR: Stacey Higginbotham]
China’s Internet Network Information Center (CNNIC) released stats Monday showing that the nation of 1.3 billion now has 457 million broadband users, more than the U.S., Mexico and Canada combined. While, one can quibble with China’s data, the numbers can offer some interesting perspective about China and about the future of the web. For example, broadband penetration in China is 98 percent, which suggests that if folks have wired access they are connected, unlike in the U.S. where penetration rates are closer to 80 percent and even more dismal in certain states, according to data also out from content delivery network Akamai. The CNNIC reports that there are 303 million mobile web users in China, up 69.3 million from the same period in 2009. Mobile Internet users accounted for 66.2 percent of total Internet users, up from 60.8 percent at the end of 2009. The number of rural Internet users reached 125 million, or 27.3 percent of total users, an increase of 16.9 percent. The numbers don't add up because some households have multiple connections.
benton.org/node/48752 | GigaOm
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