March 2011

New online-learning rule could have worst impact on small states

Colleges with online programs might withdraw from states, mostly in the northeast, that have small populations and stringent requirements for distance education courses when the Education Department’s (ED’s) “state authorization” regulation kicks in July 1. Decision makers from online schools from across the country gathered March 28 at in Washington, D.C. for the annual Presidents’ Forum, hosted by web-based Excelsior College. Presidents, provosts, and deans decried the state authorization rule, which will require schools to gain approval from every state in which they have a student.

Overseas Events Continue to Dominate the News

Events occurring outside the borders of the United States led the news for the eighth time in a nine-week span that has tested the mettle of journalists and the resources of their newsrooms.

From March 21-27, the turmoil in the Middle East -- particularly the entry of the U.S. and NATO military forces into the Libyan conflict -- filled 47% of the newshole studied by the Pew Research Center’s Project for Excellence in Journalism. The No. 2 story, the aftermath of the Japanese earthquake -- primarily involving concerns about radiation -- accounted for 15%. That represents a reversal of the previous week, when Japan accounted for 57% of the coverage and Libya 17%. The narrative has whipsawed between these two events for the past several weeks. With the Mideast dominating the news agenda since late January, and the Japanese earthquake and tsunami generating major attention since they struck March 11, almost half the overall coverage this year (43%) has been devoted to international events. That is almost double the normal level. All this comes at a time when newsroom cutbacks have taken a toll on foreign reporting resources.

The Case Against AT&T&T

[Commentary] The communications world was rocked last week when AT&T, the 2nd largest national wireless carrier announced that it was buying T-Mobile, the fourth (out of four) largest national wireless carrier for $39 Billion.

If the merger is approved, the combined entity would serve anywhere between 42-44% of all wireless subscribers, and together, AT&T&T and Verizon would control nearly 80% of all subscribers, with a weakened Sprint far behind. So much for the wonderfully competitive wireless market that is the mantra of every debate on network neutrality and broadband deployment! As others have said, there are no winners in this merger other than AT&T and to a lesser extent, T-Mobile. And the biggest loser of all is you, the consumer, because you will be faced with fewer choices, likely higher prices and less innovation. T-Mobile, a feisty competitor that is known for its low prices, unlimited bandwidth and relative openness to new applications and services will be swallowed by AT&T, a company that is famous for high prices, low bandwidth caps and a history of blocking innovative applications (Skype, Sling and Google, to name just three).

How Commissioner Baker Can Solve Chairman Genachowski's Spectrum Politics Dilemma

[Commentary] Federal Communications Commission Chairman Julius Genachowski has a spectrum politics problem. On the one hand, he learned from last year’s D Block battle that he needs to stay aggressively on message to sell his spectrum reforms.

His every speech on spectrum therefore reads like a campaign speech for incentive auctions. ‘We have a looming spectrum crisis, we need bold action, Congress must act now to pass incentive auctions.’ But, as Genachowski has discovered, this approach can have unintended consequences. Recently, Commissioner Robert McDowell reported that this focus on incentive auctions created uncertainty in Silicon Valley over the FCC’s commitment to the TV white spaces (TVWS). This follows earlier concerns from Senator Snowe (R-ME) and others that the Chairman’s exclusive public focus on incentive auctions invariably means giving short shrift to other, equally important spectrum reforms identified in the National Broadband Plan. Chairman Genachowski moved quickly to reaffirm that support for TVWS remains strong and that TVWS is a big part of the FCC’s spectrum for broadband initiative. Further, the inclusion of several spectrum items for the next open FCC meeting shows that Genachowski remains committed to broad spectrum reform. But these incidents underscore Genachowski’s difficult dilemma. How can he campaign to push through incentive auctions on the one hand, while making sure that other aspects of the spectrum reform agenda receive the prominence and attention they need to move forward? The fact that anyone could doubt the FCC’s continuing commitment to developing the TVWS despite its broad bipartisan support and support from the Obama Administration spectrum team underscores how little it takes to undermine confidence even in reforms already accomplished.

Commissioner Meredith Baker may hold the solution to Chairman Genachowski’s spectrum politics dilemma.

What's the use of antitrust law if Obama allows AT&T|T-Mobile deal?

[Commentary] How deep is corporate influence on President Barack Obama? Is there no business request so anticompetitive, so anticonsumer that the administration would be forced to say no? Should the Justice Department's antitrust division (more than 800 employees; average salary of more than $150,000) just go out of business? We're about to find out. If President Obama approves AT&T's proposal to buy T-Mobile, he'll have reached a new Washington low in preventing the kind of oligopoly disaster that even conservative economists agree is bad for consumers and bad for innovation.

It's a Family Affair

Computers for Youth works with low-income schools to put computers in the homes of sixth-grade students and bring parents into the learning mission.

BCE backtracks on plan for Internet usage billing

Bell Canada (BCE Inc) has withdrawn a controversial proposal to increase the cost of Internet services after intense public outrage attracted political attention and a new regulatory hearing.

The question now is whether Bell’s move will be enough to quell the public and political anger sparked by the plan. In its original proposal, Bell asked the federal communications regulator to let it charge small Internet service providers, which lease space on its network, by the amount of data each of their customers downloads. Instead, Bell is suggesting an aggregated volume pricing scheme, whereby smaller ISPs are charged for the data used by all their customers, instead of being charged for each customer who goes over set limits. For consumers on the unlimited plans of wholesale Internet providers, Bell’s capitulation means that the huge price increases and onerous download caps many feared will not be implemented, at least for now. The issue will again be debated at regulatory hearings in July.

Major 'digital divide' seen in personal health record use

Racial and ethnic minority patients are far less likely than whites to adopt an online personal health record to access and coordinate their health information, according to a study published in the March 28 issue of the Archives of Internal Medicine.

The study is the latest of many to point to a "digital divide," the term used to describe the disparity in access to the Internet and other forms of technology. Researchers examined the PHR adoption patterns of more than 75,000 patients at Partners HealthCare, Boston, during a 33-month period. They determined that blacks and Hispanics were half as likely as whites to adopt a PHR. They also found that high-income patients were 14% more likely to adopt a PHR than their low-income counterparts. Despite those gaps, once minority and low-income patients adopted PHRs, they used them at close to the same or the same rate as other groups, according to the study.

Minnesota fiber networks on the rise -- and telcos continue to fight them

Few telecom topics today can generate more heated debate than municipal fiber networks, as a report by Minnesota Public Radio last week illustrates.

The story highlights municipal projects in the state, including two that are up and running (WindomNet in Windom and FiberNet in Monticello), as well as several that are still emerging, including one in Lac qui Parle county, one in Sibley county and one in Lake county. Some say the long-term viability of these networks is uncertain. Others say they’re the only way to bring broadband to remote rural areas. But moving forward, two things are certain. We’re going to see more of these projects, now that a substantial number of them have won broadband stimulus funding. And established telcos will fight as hard as ever against them -- sometimes in the marketplace (as TDS Telecom did when it built a network in Monticello to compete with FiberNet) but more often on the public relations and policy fronts.

Broadband bill passes North Carolina House

North Carolina House lawmakers have given final approval to a measure that would make it much more difficult for municipalities to set up their own broadband service – even when telecom companies refuse to serve them.

H129, the “Level Playing Field” bill, is backed by Time-Warner, CenturyLink, and other telecoms who say cities have unfair advantages in competing with commercial interests. Bill sponsor Marilyn Avila (R-Wake) says businesses need protection from “predatory” local governments. “We have to have some sort of framework that everybody understands when you go into this. This bill is going to establish those rules.” The measure would not apply to systems currently operating in Salisbury, Wilson, Mooresville/Iredell, and Morganton. But it would restrict cities who might consider offering similar services.

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