December 2011

Telstra Submits Revised Separation Plan

Telstra submitted a revised structural separation undertaking to the Australian Competition & Consumer Commission as part of its 11 billion Australian dollar (US$11.18 billion) deal with NBN Co., the company rolling out Australia's A$36 billion nationwide high-speed Internet network.

The plan, which separates Telstra's wholesale and retail divisions, requires the commission's approval. "We have taken on board the feedback and we believe the revised SSU provides the interim arrangements the industry requires as it transitions to the structurally separated model provided by the National Broadband Network," Telstra Chief Executive David Thodey said. While welcoming the revisions, the ACCC said in a statement that there remained outstanding regulatory concerns in relation to Asymmetric Digital Subscriber Line high-speed Internet services. The ACCC said it was now giving "urgent consideration" to initiating a public inquiry into the provision of wholesale ADSL services under competition laws, which would require carriers and carriage service providers to comply with standard access obligations.

HP Is Keeping webOS, but Veer-Sizing It as Open Source Project

Hewlett-Packard is hanging on to the webOS mobile operating system, according to multiple sources, but will submit it to the open source community.

HP plans to make the source code available to software developers under an open source arrangement, which will give other hardware manufacturers the ability to work with it. While the company isn’t necessarily going to announce any layoffs, the effort will no doubt result in a smaller webOS team going forward, sources said. And whatever cuts happen, whether they get announced today or at a date in the near future, they would come on top of the 500 people already cut from the webOS division earlier this year.

US broadband is not falling behind

[Commentary] Those worried the USA is falling behind the world in broadband speed and adoption can pick another subject to fret about. America is doing fine — and would do even better if government would stop trying to micromanage the digital economy.

The idea that European and Asian countries are lapping America in the race for broadband speed and penetration is a fallacy created with statistics comparing "persons" instead of "households." Once you make that correction, the USA is firmly planted among the top of industrialized nations. The digital economy — one of the only vibrant economic sectors left — doesn't need more government "investment" or regulation. It needs only for government to butt out and let the market work the magic that continues to bring us the marvels of the modern age.

[Lakely is the co-director of the Center on the Digital Economy at The Heartland Institute, a free-market think tank based in Chicago.]

Facebook officials refuse to attend congressional briefing on privacy

Facebook refused an invitation from Reps. Ed Markey (D-MA) and Joe Barton (R-TX) to participate in a Dec. 14 congressional briefing on children and teen privacy. The lawmakers said they plan to hold the briefing anyway. The lawmakers said they had hoped Facebook would have explained the details of its settlement with the Federal Trade Commission and how the company protects its users’ privacy.

EU official: Protect bloggers from repressive governments

The European Union should help teach bloggers living under oppressive regimes how to communicate freely and avoid detection, and develop technology to help them, the bloc's digital affairs commissioner said. Speaking at an online free speech conference, Neelie Kroes said digital dissidents need tools that are "simple and ready-made."
"I want the EU to help develop and distribute these tools," she said.

Amazon Price-Check App Is Attack on Small Stores, Snowe Says

Amazon should end its price- checking promotion because it gives consumers an incentive to gather price data from small retailers and leave stores without spending money, said Sen Olympia Snowe (R-Maine).

The world’s largest online retailer is offering a 5 percent discount to entice users to try a new mobile application that compares prices with physical retailers. The app, called Price Check, allows shoppers to look up Amazon’s prices by scanning products at a store using their phones. “Amazon’s promotion -- paying consumers to visit small businesses and leave empty-handed -- is an attack on Main Street businesses that employ workers in our communities,” Sen Snowe said. “Small businesses are fighting every day to compete with giant retailers, such as Amazon, and incentivizing consumers to spy on local shops is a bridge too far.” Amazon is aiming to draw more online purchases from the more than 95 percent of U.S. consumers who still shop in stores, ratcheting up rivalry with traditional retailers. The Seattle- based company estimates revenue will rise to $16.5 billion to $18.7 billion in the fourth quarter -- growth of 27 percent to 44 percent, respectively, compared with a year earlier.

"Siri" Helps Genachowski Get Laughs at Telecom Prom

Helped with an offstage version of Apple's iPhone voice assistant Siri, Federal Communications Commission Chairman Julius Genachowski made fun of his handling of the AT&T-T-Mobile merger, the final end of the Fairness Doctrine and the Universal Services Fund.

Seacrest In? What Happened to Comcast's Commitment to the News?

[Commentary] A year ago, when Comcast was pushing through its multibillion-dollar mega-merger with NBC (with an assist from future in-house lobbyist Meredith Attwell Baker), the company promised that it wouldn't interfere with the news operations. It didn't say anything about possibly abandoning them altogether. Ryan Seacrest might be great at shilling for Ford and Coke in between warbling amateur musical segments, and he seems to be a decent stand-in for Casey Kasem on America's Top 40. But are we really supposed to believe that qualifies him to interview presidents and national leaders? Is Seacrest going to anchor from Kabul or Baghdad or lead coverage during moments of crisis like terrorist attacks?

Wondering What Kids Are Nagging for and Why? A New Study Shows the Toys Most Advertised to Children

[Commentary] The Campaign for a Commercial-Free CCFC released the Nagging Nine, the toys and games most advertised on children's cable television networks during "Black Friday" week.

Lego Building Sets, which lead the list, were advertised 415 times during these seven days. During the week of November 21-27, CCFC reviewed every commercial between the hours of 6 a.m. and 8 p.m. on the children's cable networks Nickelodeon, NickToons, Disney XD, The Hub, and Cartoon Network. Of the more than 11,500 commercials that aired on the networks, just over 9,000 were for toys and games. Lego Building Sets -- which were advertised in seven different versions, including highly commercialized kits linked to media properties like Cars 2 and Harry Potter -- were advertised 25 percent more than the second-most heavily advertised toy, Cepia's DaGeDar (331 ads). If we want companies to stop advertising to kids, we have to stop rewarding the ones that do. Commercialism is toxic for children, and it always gets worse around this time of year. Marketers have transformed the holiday season into a materialistic feeding frenzy, teaching kids that it's all about demanding -- and getting -- 'must-have' toys. Thoughtful consumers already include issues like environmental impact, labor practices and where a product is made in their buying decisions. But most of us don't think about how, where, and to whom, the toys are marketed.

The PBS OF DSPs: Public Broadcasting Launches 'Accelerator'

Public broadcasting is taking a page from Madison Avenue and another from Silicon Valley and embracing a new form of Web-enabled ad technology that could well be called a "PSP," for public service platform. But the developers, Public Radio Exchange, with a $2.5 million grand from the John S. and James L. Knight Foundation, aren't calling it that. They're calling it the Public Radio Exchange, but it nonetheless is borrowing some of the principles of the online ad technology industry's many acronyms, such as DSPs, but not commercialized, obviously. "Modeled on mentorship-driven technology start-up incubators, the Public Media Accelerator aims to strengthen public media’s essential role in meeting community information needs across new platforms and devices," the developers said.

Benton

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