March 2011

The Microsoft-Google feud comes to DC

Microsoft may have filed its antitrust case against Google in Europe for the same reason Willie Sutton robbed banks: That’s where the money is. The European Commission has a history of levying big fines against monopolists — and Brussels is widely seen as friendlier terrain than Washington for trust-busting — so it makes sense that Microsoft would take a shot at Google far from Redmond or Mountain View.

But the Microsoft-Google feud didn't start in Europe, and it’s not going to end there. Sooner or later, it will be back in Washington — and, in fact, it already is. The Justice Department is in talks with Google over its move into travel — and is threatening to take the search giant to court if it doesn't scale back its plans. Lawmakers from both parties are calling for congressional hearings into Google’s expansion beyond search. And Microsoft is probably hoping against hope that its antitrust case against Google in the EU will prod the Justice Department into launching a similar one here.

DOJ's Microsoft prosecutor: Google is a monopoly

Microsoft has a surprising ally in its argument that Google is an abusive monopolist: Samuel Miller, the prosecutor who led the federal government's first antitrust case against Microsoft more than a decade ago. "Having prosecuted the Microsoft case, its seems to me that Google, as a monopoly, is engaging in the same tactics to keep its dominant position as Microsoft was engaging in," Miller says. "Those are the same tactics that got Microsoft in trouble." Miller believes all of Microsoft's arguments are "valid and worthy of serious consideration."

Chairman Upton: AT&T-T-Mobile Not on Short-Term Agenda

"It's not on our short-term agenda," said House Commerce Committee Chairman Fred Upton (R-MI) of the proposed purchase of T-Mobile by AT&T.

He said given the recent history of big mergers, it will likely take the Justice Department and Federal Communications Commission a year or more to decide whether to approve the deal between the second and fourth largest wireless firms. While declining to give a date, Chairman Upton said he expects the committee will hold a hearing later this year to "walk through" the issues related to the merger.

Time Warner Cable Yanks 12 Networks From iPad App

Time Warner Cable pulled 12 networks from Discovery Communications, Fox Cable Networks and Viacom off its iPad streaming-video application -- after those companies complained that the service violated the terms of their distribution agreements -- although the MSO continues to insist it has the right to deliver that programming to the tablets. The networks removed from the app are: Discovery's Animal Planet, Discovery and TLC; Fox's FX and National Geographic Channel; and Viacom's BET, CMT, Comedy Central, MTV, Nick, Spike and VH1. For now, Fox News Channel is still available through the app. Originally TWC was offering 32 channels through the free app, TWCable TV for iPad, but is currently offering 20.

Rep Eshoo: Google-FTC settlement should apply to all firms

The privacy practices outlined in the settlement announced Wednesday between Google and the Federal Trade Commission should apply to all firms, according to Rep Anna Eshoo (D-CA). Going forward, Google will have to obtain users' consent whenever it changes how one of its products uses or shares consumer data. Rep Eshoo said that same standard should apply to all Web firms. “Personal privacy is a closely held American value. When we share our personal data with business, its use should be transparent and secure," Rep Eshoo said. “Google’s agreement to obtain consumer consent before sharing new information with third parties should apply to all companies that collect or use personal data.”

Calix bags two more broadband stimulus projects

Broadband access equipment vendor Calix continues to clean up on broadband stimulus-related deployment contracts, announcing two more projects with week, both with Minnesota stimulus winners.

Southwest Minnesota Broadband Services (SMBS) , a consortium of Minnesota communities, will use Calix’s Ethernet Extensible Architecture-powered (EXA) E7 Ethernet Service Access Platform and 700GE family of optical network terminals (ONTs) to deliver broadband to eight rural communities across southwest Minnesota. The deployment is modeled on a nearby fiber to the premises (FTTP) network in Windom (MN) that Calix also built, and will leverage the experience and many key components of the Windomnet network infrastructure.

Calix’s other stimulus-related announcement this week was for a project with Minnesota’s Red River Telephone, which won about $10 million in stimulus money. Red River is building a 690 route-mile fiber network using GPON and gigabit Ethernet technologies via the Calix C7 Multi-Service Access Platform and 700GE family of ONTs. The network will cover several communities in Minnesota, North Dakota and South Dakota.

National health groups team up for quality

Three major health organizations, the American Cancer Society, American Diabetes Association and American Heart Association/American Stroke Association, have collaborated to create a quality improvement program aimed at improving outpatient care nationwide. Working with electronic health records providers from around the country, the program will provide doctors with the ability to easily gather, access and report on important data that can ultimately lead to improved care and outcomes for patients.

The program, called The Guideline Advantage, targets four of the 10 leading causes of death in the United States today, according to the Centers for Disease Control and Prevention – heart disease, cancer, stroke and diabetes. Modeled after the American Heart Association/American Stroke Association's Get With The Guidelines quality suite of programs, the program was first launched in 2009 as Get With The Guidelines-Outpatient, and focused on cardiovascular health. Now, as The Guideline Advantage, the program provides the basis for evaluating and improving outpatient treatment for -- and prevention of -- these four diseases, which share many similar risk factors. Through the use of electronic health records, the program will also develop a rich database of information for future heart disease, stroke, cancer and diabetes research.

Washington Addressing Digital Divide With New Fiber Network

This week Washington (DC) broke ground on a new high-speed fiber network aimed at providing broadband access to underserved areas. Called the DC Community Access Network (DC-CAN), the program will focus on rolling out high-speed Internet services to residents, businesses, schools libraries and other public centers.

The new $25 million network is funded primarily through a $17.5 million grant from the National Telecommunications and Information Administration. The DC government will also provide matching funds for the network Specifically DC-CAN will offer service to 223 health clinics, charter schools and senior centers, and will upgrade 68 public library and public safety sites. DC-CAN will service areas that have broadband adoption rates of less than 40 percent. DC-CAN is managed by the district’s Office of the Chief Technology Officer DC-Net program. DC-Net is the district’s high-speed fiber-optic network, but the two entities aren't connected and will serve different purposes. Washington (DC) is divided into eight wards, and high-speed Internet services will be available later this year in wards seven and eight. Ward five is scheduled for rollout in spring 2012. Other wards and areas will receive broadband capability as fiber construction continues through 2013.

The Rise of the “Second Internet” and What It Means

What is the thread that ties together the rapid rise of companies as different as Facebook, Zynga, Twitter, The Huffington Post and Quora? Wedbush Securities, a brokerage firm that analyzes the valuations of private companies, says they are all players in what it calls the “Second Internet.”

Wedbush says there are certain attributes that allow such players to grow and thrive while more traditional players — including some of the leaders from the early days of the Internet — fail to prosper and gradually recede into history. The most important of these attributes, the firm says, is an understanding of the value of the social web. The social nature of this new wave of Internet companies is such a major factor that Wedbush also calls it the rise of the “Social Internet” in a new report on the sector, and says successful companies are powered by similar features, including:

  • Platforms open up their API to developers
  • Continuous and rapid pace of innovation (see Facebook)
  • The company/brand must listen to the dialogue and participate with customers
  • Customer contribution is a large percent of the value/experience
  • Every customer has a personalized experience
  • Social graph connections drive discovery rather than search


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