February 2011

Budget Battles Lead the News

After several weeks of being overshadowed by Mideast turmoil, domestic policy and politics returned to the news with a vengeance last week. At the same time, coverage of the often violent unrest in the Muslim world fell by almost half, even as democracy movements spread from Egypt to Bahrain and Libya. For the week of February 14-20, two pitched budget battles—one in Washington, the other in Madison, Wisconsin—drove coverage of economic issues to 35% of the newshole, according to the Pew Research Center’s Project for Excellence in Journalism. That marks the most economy-related coverage in a single week since December 6-12, 2010, when it reached 40% of the newshole studied by PEJ’s weekly News Coverage Index. Taken together, three storylines—Obama’s $3.73 trillion budget, the deficit and state budget crises highlighted by Wisconsin protests over the governor’s attempt to cut union benefits and bargaining power—accounted for more than 80% of the week’s economic coverage.

FTC to review Apple iPhone in-app purchases

The Federal Trade Commission will review the marketing and delivery of mobile applications that charge users for products and services, such as through Apple's iTunes store.

FTC Chairman Jon Leibowitz wrote in a letter to Rep Ed Markey (D-MA) that the practice of "in-app purchases" for certain applications on Apple iPhones, iPads and iPods raised concerns that consumers may not fully understand the ramifications of those charges. "We fully share your concern that consumers, particularly children, are unlikely to understand the ramifications of these types of purchases," Leibowitz wrote. "Let me assure you we will look closely at the current industry practice with respect to the marketing and delivery of these types of applications."

Amazon adds streaming video to Prime subscriptions in a bid to rival Netflix, Hulu

Amazon has officially jumped into the fray of subscription video-streaming services, charging into competition with Netflix and Hulu Plus, among others.

However, Amazon is taking a different route than Netflix and Hulu. Whereas both of those services charge a monthly fee of $7.99, Amazon has added its streaming video to its Amazon Prime membership. Until Feb 22, Amazon Prime was a $79-a-year offer that gave subscribers free two-day shipping as its main enticement. Now, US Amazon Prime members can download about 5,000 movies and TV shows at no added cost. Amazon Prime's instant video can be watched via the Web browsers on computers, smart phones and tablets, as well as certain Blu-ray players and some set-top boxes such as the Roku.

Rep. Bartlett sticks up for ‘right’ of Marylanders to watch in-state TV

In a letter to the Federal Communications Commission, Rep Roscoe Bartlett noted that viewers in Garrett County (MD) cannot get access to Washington and Baltimore TV stations, he said. The county can only watch broadcast programming from Pennsylvania, which it borders. “The situation is unfair and rightfully frustrating to my constituents who I believe should have the right to see broadcasts from their own state of Maryland,” he said.

Net Neutrality Fans File 'Insurance' Motion in Court Challenge

A number of public interest groups have filed motions to intervene in Verizon and MetroPCS' challenges to the Federal Communications Commission's new network neutrality rules to preserve their rights to challenge those suits if they make it to trial.

Free Press is representing itself, while Media Access Project is representing Media Mobilizing Project, Access Humboldt and Mountain Area Information Network. While the groups believe those suits were improperly filed and should be thrown out, they are hedging their bets in case that is not the case. "We hope the DC Circuit recognizes that the companies' suits are brought improperly and dismisses them, but we're filing today to preserve our rights to challenge the appeals if they're not dismissed outright."

Apple deemed top of movie product placement charts

Apple was deemed top of the product placement charts after getting its computers, iPads, iPods and other items featured in 30 percent of the top movies at the US box office in 2010. But the single movie with the most placements was "Iron Man 2" -- which featured 64 identifiable products, according to Brandchannel, the website of global brand consultancy Interbrand. Brandchannel said it identified 591 brands or products in 33 films that reached No.1 at the box office in 2010, an average of 17.9 per film. This was a slight increase from the 17.5 per film average of 2009.

Report: FNC Highest-Valued Non-Sports Cable Net

Aside from sports channels, cable operators see Fox News Channel as the most valuable network that they carry.

According to a new survey by Beta Research, operators said that Fox News had a perceived value of 58 cents per subscriber per month, barely topping Disney Channel, USA Network and Discovery Channel. It also topped CNN, which was valued at 48 cents per sub by the operators surveyed. In recent public remarks, News Corp. COO Chase Carey has remarked that some Fox News carriage agreements are up soon and that the company will be pushing for large increases in sub fees. Most of the other networks in the top 10 were sports channels, including ESPN and ESPN2, valued at $1.16 per sub and 71 cents per sub, respectively. Also highly valued were USA, the NFL Network, and TNT, which carries NBA basketball and will begin airing March Madness next month. Beta also surveyed operators about which cable sales organizations were most helpful in selling high-speed Internet, HDTV and video on demand. Disney/ESPN Media Networks came out on top, followed by Discovery Networks and NBC Universal Cable.

Senators Call On FCC To Fix USF Disparities

Sens Frank Lautenberg (D-NJ), Bill Nelson (D-FL), and John Kerry (D-A), chairman of the Senate Commerce Communications Subcommittee, are urging the Federal Communications Commission to address disparities in contributions between their states and others as part of the agency's overhaul of the Universal Service Fund, which subsidizes telecommunications service in rural and high-cost areas.

They argue that on average their states pay much more into the fund than they receive back. New Jersey had the biggest disparity of the three states, paying an average of $4.68 into the fund for every dollar they get back. "Although we support the concept of universal service and recognize the importance of universal access to broadband for all Americans, the USF desperately needs to be changed to address the numerous inequities and inefficiencies in its current administration," the lawmakers wrote.

Boston and Comcast Strike Deal for Cheap Internet Services

Boston has partnered with Internet provider Comcast Corp. to give low-income residents cheaper rates for Internet services. The deal, announced by Boston Mayor Thomas M. Menino, will deliver low-cost broadband Internet access to thousands of low-income Boston residents who graduate from one of the city’s three federally funded Sustainable Broadband Adoption (SBA) programs. The programs are intended to increase digital literacy within the city through various workshops tailored for specific age groups. The 2,800 graduates will be eligible for broadband service for $10.95 a month in the first year, and $15.95 a month for a second year. Comcast’s standard price for broadband alone, with no TV or phone services, is $41.95 a month.

Over 21,000 providers registered for EHR incentives

More than 21,000 healthcare providers have registered to participate in the Centers for Medicare and Medicaid Services electronic health record (EHR) incentive program, with about two thirds ready to confirm that they have met the meaningful use requirements when CMS activates the software for that. The latest numbers cover the period until only the end of January, and CMS health IT officials reported a steady uptick in the numbers of providers registering. The attestation module at the CMS website will launch in April, said Elizabeth Holland, director of the health IT initiatives group in the CMS Office of eHealth Standards and Services. It’s taken so long because it’s complicated, Holland said.