April 2011

The National Cable and Telecommunications Association said the Federal Communications Commission should repurpose approximately $2 billion in support for rural phone carriers through the Universal Service Fund for broadband over a three-year period.

The FCC is overhauling the USF program and solicited industry input on the creation of a Connect America Fund to subsidize broadband in unserved areas, and also is looking to reform the intercarrier compensation regime. NCTA said the commission should first immediately cap both the overall size of the Universal Service Fund and the amount of annual high-cost support at 2010 levels, as the FCC suggested in the proposed rule change. In comments filed April 18, the NCTA said shifting $2 billion in funds from 2012 to 2014 from the USF High Cost Program to a Connect America Fund would still leave roughly $2.5 billion in existing high-cost support for the three-year interim period.

College and high school students use social media to make important education and career connections, according to an Associated Press-Viacom poll. Four out of 5 high school and college students say websites are an excellent or good way to interact with fellow students, and a bit fewer -- about 7 in 10 -- say they're equally good for getting information on class assignments or school events, or to form study groups and collaborate with peers. Just over half say the Internet is useful to look up ratings on teachers. Among students who are employed, 62 percent say social networking is helpful in interactions with co-workers. Even more, about 9 in 10, say they see social networking as a tool to keep in touch with friends and family. And 74 percent say it's a good way to distract themselves.

[Commentary] Monopoly can be a terrific game to play with the kids at home. But there are strict rules and guidelines that prevent us from playing the game in the business world – and rightly so. In business, a monopoly means one thing: the rich get richer, while the poor get left behind. Last week, the Federal Communications Commission began its review of AT&T’s proposed merger with T-Mobile. The investigation will analyze the effect this merger could have on market consolidation and overall spectrum management. The Justice Department will focus on whether or not the deal accords with antitrust laws. But the FCC and Justice must analyze more than the effect this merger could have on the nameless market; they must give serious consideration to the people who could be most affected. Like in Monopoly, AT&T is trying to buy the best real estate on the block. If the FCC and Justice allow this merger of telecom giants to happen, it will be consumers – particularly lower income and minority wireless users – who won't be able to pass “Go” or collect $200.

Citing the Obama administration's recent bust of online poker sites, Republican lawmakers are standing firmly behind the current ban on Internet gambling and regarding Rep. Barney Frank's (D-MA) bill to legalize Web gambling a dead letter.

“Off-shore Internet gambling sites operating in the United States are all illegal and therefore, by definition, are criminal enterprises," said House Financial Services Chairman Spencer Bachus (R-AL) in response to the FBI's seizure of the three largest online poker sites. Chairman Bachus has been one of the strongest opponents of legalizing online gambling; he co-sponsored the 2006 law that specifically outlawed the practice. Opponents of Web gambling also argue that the sites serve as hubs for money laundering for drug traffickers and terrorists, allowing them to move vast sums of money quickly while avoiding detection.