April 2012

April 16, 2012 (Digital differences)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for MONDAY, APRIL 16, 2012

The FCC hosts the .Gov Developer Meet-Up today http://benton.org/calendar/2012-04-16/

GOVERNMENT & COMMUNICATIONS
   White House Opens Door to Big Donors, and Lobbyists Slip In
   Corporations under pressure on political spending [links to web]
   Parties Look To Google For High-Tech Conventions [links to web]

INTERNET/BROADBAND
   Digital differences - research
   Experts Explore Measures to Close the Digital Divide
   Measuring the Internet – The Data Challenge - research
   Cybersecurity's 7-Step Plan for Internet Freedom - analysis
   Facebook defends support for House cybersecurity bill against privacy fears
   Broadband Will Be the ‘Great Equalizer’ for Rural Californians [links to web]
   New bipartisan House cybersecurity bill haunted by ghost of SOPA’s failure [links to web]
   Netflix CEO calls out Comcast on network neutrality

TELECOM
   Landline rules frustrate telecoms

WIRELESS/SPECTRUM
   Wireless Traffic More Than Doubles, CTIA Finds
   Are mobile phone taxes a real problem? [links to web]

PRIVACY
   Google Is Faulted for Impeding US Inquiry on Data Collection
   Unanswered Questions in FCC’s Google Case - analysis

CONTENT
   Jeff Bezos: ‘Even Well-Meaning Gatekeepers Slow Innovation’
   Book Publishing’s Real Nemesis - analysis
   Daring to Cut Off Amazon [links to web]
   Independent booksellers ponder their fate as Amazon and Apple duke it out [links to web]
   Researchers Tune In to the Internet Buzz
   Netflix CEO calls out Comcast on network neutrality

TELEVISION/RADIO
   Supporters hope bill can save public access TV
   Free Press Urges Public Broadcasters to Reject Attack Ads - press release
   Radio Stations Rising, FM Dominates Trend
   Telemundo chief flags up US ads disparity [links to web]

JOURNALISM
   FCC Announces Award of Contract For Literature Review on Critical Information Needs of the American Public - public notice
   We Know What You Did During Spring Break - analysis
   Getting the News
   The future of media = many small pieces, loosely joined [links to web]
   Before 'Watergate' Could be Googled - editorial [links to web]

EMERGENCY COMMUNICATIONS
   Next-Generation 911 Is Finally Poised to Take Off [links to web]
   Feds to drop $3 billion on new radios [links to web]

STORIES FROM ABROAD
   From the Birthplace of Big Brother - op-ed
   Africa’s Free Press Problem - op-ed [links to web]
   Brussels probes groups’ mobile wallet bid
   Google Bangs on the Openness Drum Again - analysis [links to web]
   Web freedom faces greatest threat ever, warns Google's Sergey Brin
   Iraq Emerges From Isolation as Telecommunications Hub [links to web]

MORE ONLINE
   Companies weigh risks of distracted driving [links to web]

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GOVERNMENT & COMMUNICATIONS

WHITE HOUSE AND LOBBYING
[SOURCE: New York Times, AUTHOR: Mike McIntire, Michael Luo]
Last May, as a battle was heating up between Internet companies and Hollywood over how to stop online piracy, a top entertainment industry lobbyist landed a meeting at the White House with one of President Obama’s technology advisers. He was accompanied by Antoinette C. Bush, a well-connected Washington lawyer who has represented companies like Viacom, Sony and News Corporation for 30 years. A friend of the president and a cousin of his close aide Valerie B. Jarrett, Ms. Bush has been to the White House at least nine times during his term, taking lobbyists along on a few occasions, joining an invitation-only forum about intellectual property, and making social visits with influential friends. At the same time, she and her husband, Dwight, have donated heavily to the president’s re-election effort: Mr. Bush gave $35,800 on the day of his wife’s White House meeting last year, and Ms. Bush contributed the same amount a month later. In November, they hosted a $17,900-a-plate fund-raiser at their home, where Mr. Obama complained that the nation’s capital should be more “responsive to the needs of people, not the needs of special interests.”
benton.org/node/119935 | New York Times
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INTERNET/BROADBAND

DIGITAL DIFFERENCES
[SOURCE: Pew Internet & American Life Project, AUTHOR: Kathryn Zickuhr, Aaron Smith]
Differences in internet access still exist among different demographic groups, especially when it comes to access to high-speed broadband at home. Among the main findings about the state of digital access:
One in five American adults does not use the internet. Senior citizens, those who prefer to take our interviews in Spanish rather than English, adults with less than a high school education, and those living in households earning less than $30,000 per year are the least likely adults to have internet access.
Among adults who do not use the internet, almost half have told us that the main reason they don’t go online is because they don’t think the internet is relevant to them. Most have never used the internet before, and don’t have anyone in their household who does. About one in five say that they do know enough about technology to start using the internet on their own, and only one in ten told us that they were interested in using the internet or email in the future.
The 27% of adults living with disability in the U.S. today are significantly less likely than adults without a disability to go online (54% vs. 81%). Furthermore, 2% of adults have a disability or illness that makes it more difficult or impossible for them to use the internet at all.
Though overall internet adoption rates have leveled off, adults who are already online are doing more. And even for many of the “core” internet activities we studied, significant differences in use remain, generally related to age, household income, and educational attainment.
benton.org/node/119916 | Pew Internet & American Life Project
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NAF EVENT ON THE DIGITAL DIVDE
[SOURCE: New America Foundation, AUTHOR: ]
As federal and local authorities continue to struggle to close the digital divide in the United States, innovative researchers are using new approaches to understand why some people "adopt" broadband -- and why some do not. On Wednesday, April 11, a group of more than 30 researchers, practitioners, and policymakers gathered for a workshop targeted toward establishing more effective broadband policy frameworks. The New America Foundation's Open Technology Initiative convened the day-long event, Defining and Measuring Meaningful Broadband Adoption, where researchers highlighted both barriers and incentives embedded in digital inclusion policies. Experts examined diverse approaches to measuring broadband adoption and reported on complexities that are often left unaccounted for. This refinement of measurement frameworks has consequences for how federally-funded broadband programs are evaluated and sustained for the future.
benton.org/node/119934 | New America Foundation
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MEASURING THE INTERNET
[SOURCE: Organization for Economic Co-operation and Development, AUTHOR: William Lehr]
This working paper reviews a number of the challenges and opportunities confronting analysts interested in measuring the Internet and its economic and social impacts. It identifies several additional challenges to the measurement issue, in addition to all of the normal problems one expects when measuring information and communication technologies (ICTs). These challenges are related to: the rapidly changing nature of the Internet, the need for more granular data in order to understand the complex nature of the Internet, and the phenomenon of big data and the resulting ability to measure almost anything.
benton.org/node/119917 | Organization for Economic Co-operation and Development
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CYBERSECURITY LEGISLATION
[SOURCE: Center for Democracy and Technology, AUTHOR: Greg Nojeim]
Cybersecurity is important to all Internet users because it can make the Internet a safer place to shop, conduct business, and communicate with others. However, pending cybersecurity bills include provisions that pose major civil liberties risks that must be addressed before any bill is enacted into law. This is urgent: the House is ready to take up legislation as soon as the week of April 23; after that, the Senate will act. Here are some "do's and don'ts," more fully explained in this analysis for Senate cybersecurity legislation that preserves Internet privacy and freedom:
Don't Turn Cybersecurity Into a Backdoor Wiretapping Program. I
Don't Give the Keys To the Castle to the NSA.
Don't Hide the Ball on NSA Role.
Don't Broadly Authorize Companies To Monitor their Customers.
Don't Make Network Neutrality a Victim of Cybersecurity "Countermeasures."
Don't Authorize the Government To Seize the Family Home When Junior Violates Somebody's Terms of Service.
Do Narrowly and Carefully Define the Cybersecurity Information that Can Be Shared.
benton.org/node/119932 | Center for Democracy and Technology
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FACEBOOK AND CYBERSECURITY
[SOURCE: The Hill, AUTHOR: Brendan Sasso]
Facebook defended its support for a controversial cybersecurity bill that has raised the ire of Internet activists. Joel Kaplan, Facebook's vice president of U.S. public policy, wrote that the Cyber Intelligence Sharing and Protection Act (CISPA) "would make it easier for Facebook and other companies to receive critical threat data from the U.S. government." CISPA would tear down legal barriers that discourage companies from sharing information about cyberattacks. But activists fear it would undermine the privacy of Internet users. They argue the broad language of the bill could lead companies to hand over information unrelated to cyberattacks, including users' names, addresses and Internet activity. They are also concerned because the bill would give military spy agencies, such as the National Security Agency, access to the information the companies share with the government. Kaplan noted that the legislation does not force Facebook to hand over user information to the government. "Facebook has no intention of doing this and it is unrelated to the things we liked about HR 3523 in the first place — the additional information it would provide us about specific cyber threats to our systems and users," he wrote. Kaplan explained that when one company detects a cyberattack, promptly sharing information about that attack can help other companies to protect their systems and users. He said that Facebook has been working with lawmakers to amend the bill to address the privacy concerns, and said the bill’s sponsors have indicated "the door is still open to change the bill."
benton.org/node/119931 | Hill, The | Facebook
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NETFLIX, COMCAST AND NETWORK NEUTRALITY
[SOURCE: paidContent.org, AUTHOR: Staci Kramer]
When most Comcast subscribers complain, it’s a blip. When the CEO of Netflix vents to his 120,000 subscribers on Facebook, it’s a salvo. Reed Hastings doesn’t agree with Comcast’s approach to network neutrality and caps — and he wants everyone to know it. His beef? Watch Netflix, Hulu or HBO Go on Xbox and it counts against Comcast’s broadband cap for consumers. Use Comcast’s own Xfinity app and it doesn’t. Translation: Anyone worried about hitting the cap will watch what they can on Xfinity, giving it an advantage over the other services like Netflix or even a service it partially owns (but has no say over), Hulu.
benton.org/node/119944 | paidContent.org
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TELECOM

LANDLINE RULES
[SOURCE: Washington Post, AUTHOR: Cecilia Kang]
More than 130 years after the first residential phone line was installed, telecom companies are pressing to be freed from the obligation of providing low-cost fixed-line telephone service to homes, a move critics say will leave Americans with less reliable or more expensive options. Four states have passed laws that release the telephone companies from this requirement, as consumers flock to mobile phone and Internet devices. Several other state governments, facing vigorous lobbying by phone companies, are considering similar measures. The push from the telecom industry is forcing policymakers to re-examine what has long been a basic guarantee of the government — that every American home should have access to a phone, along with other utilities such as water or electricity. Industry executives and state lawmakers who support this effort want to expand the definition of the phone utility beyond the century-old icon of the American home to include Web-based devices or mobile phones. They add that the companies are saddled with arcane rules that are on the wrong side of a clear consumer trend: One-third of homes have replaced their landlines with wireless phones. The question, critics say, is whether the effort will leave behind rural residents, the elderly and others. They also worry whether the nation’s broadband networks could handle a massive emergency such as a terrorist attack.
benton.org/node/119930 | Washington Post
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WIRELESS/SPECTRUM

WIRELESS TRAFFIC DOUBLES
[SOURCE: National Journal, AUTHOR: Maggie Fox]
US wireless data traffic grew by 123 percent from 2010 to 2011, from 388 billion megabytes to 866.7 billion MB, according to CTIA-The Wireless Association. The wireless lobbying group's survey found a 43 percent increase in the number of active smartphones and other wireless personal devices, from 78 million in 2010 to 111.5 million last year. Additional highlights:
A 7 percent increase in wireless subscriber connections, from 311 million in 2010 to 331.6 million last year.
Number of active data-capable devices: 295 million, up from 270 million in 2010.
Wireless-enabled tablets, laptops and modems: 20.2 million, a 49 percent increase from Dec. 2010.
Minutes of Use: 2.296 trillion in 2011, up just 2 percent from 2010.
Average local monthly wireless bill (including voice and data service): $47.00, virtually unchanged from 2010.
benton.org/node/119925 | National Journal | CTIA
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PRIVACY

FCC FINE FOR GOOGLE
[SOURCE: New York Times, AUTHOR: David Streitfeld]
When Google first revealed in 2010 that cars it was using to map streets were also sweeping up sensitive personal information from wireless home networks, it called the data collection a mistake. On April 14, federal regulators charged that Google had “deliberately impeded and delayed” an investigation into the data collection and ordered a $25,000 fine on the search giant. The finding, by the Federal Communications Commission, and the exasperated tone of the report were in marked contrast to the resolution of a separate inquiry two years ago. That investigation, by the Federal Trade Commission, accepted Google’s explanation that it was “mortified by what happened” while collecting information for its Street View project, and its promise to impose internal controls. But since then, the FCC said, Google repeatedly failed to respond to requests for e-mails and other information and refused to identify the employees involved.
benton.org/node/119936 | New York Times | Politico | | WSJ
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UNANSWERED QUESTIONS
[SOURCE: New York Times, AUTHOR: David Streitfeld, Edward Wyatt]
One of the most audacious projects ever to come out of Google was the plan to photograph and map the inhabited world, one block at a time. But a report over the weekend from federal regulators has rekindled questions over exactly what the company was doing — questions the search giant has spent years trying not to answer. The Federal Communications Commission censured Google for obstructing an inquiry into the Street View project, which had collected Internet communications from potentially millions of unknowing households as specially equipped cars drove slowly by. But the investigation, described in an interim report, was left unresolved because a critical participant, the Google engineer in charge of the project, cited his Fifth Amendment right and declined to talk. It is unclear who else at Google might have known about the data gathering, or when they might have known. Google maintains that the data gathering was unauthorized, according to a person with knowledge of the matter, but the engineer is maintaining that other people at the company knew about it. “I appreciate that the FCC sanctioned Google for not cooperating in the investigation, but the much bigger problem is the pervasive and covert surveillance of Internet users that Google undertook over a three-year period,” said Marc Rotenberg, executive director of the Electronic Privacy Information Center. He said that he would ask the Justice Department to investigate Google over wiretapping.
benton.org/node/119953 | New York Times
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CONTENT

GATEKEEPERS AND INNOVATION
[SOURCE: Wired, AUTHOR: Tim Carmody]
Jeff Bezos’ annual letter to Amazon shareholders is a timely manifesto, unifying the company’s expansive range of businesses, justifying its approach to established markets, and marking as a target anyone who stands in its way. The letter begins with extensive quotes from customers praising Amazon Web Services, Fulfillment by Amazon and Kindle Direct Publishing. The unifying thread? All three platforms are “self-service.” “The most radical and transformative of inventions are often those that empower others to unleash their creativity – to pursue their dreams,” writes Bezos. “These innovative, large-scale platforms are not zero-sum – they create win-win situations and create significant value for developers, entrepreneurs, customers, authors, and readers.” The only people and institutions who lose in this scenario, according to Bezos’ logic, are the intermediaries: salespeople, lawyers, publishers. These interests, whether they realize it or not, only stand in the way of the innovation and beneficence Amazon’s inventions help to unlock. At least, that’s how Jeff Bezos sees it. “I am emphasizing the self-service nature of these platforms because it’s important for a reason I think is somewhat non-obvious: even well-meaning gatekeepers slow innovation,” writes Bezos. “When a platform is self-service, even the improbable ideas can get tried, because there’s no expert gatekeeper ready to say ‘that will never work!’ And guess what – many of those improbable ideas do work, and society is the beneficiary of that diversity.”
benton.org/node/119933 | Wired
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AMAZON VS PUBLISHING
[SOURCE: New York Times, AUTHOR: David Carr]
[Commentary] The Justice Department finally took aim at the monopolistic monolith that threatened to dominate the book industry. So imagine the shock when the bullet aimed at threats to competition went whizzing by Amazon — which not long ago had a 90 percent stranglehold on e-books — and instead, struck five of the six biggest publishers and Apple, a minor player in the realm of books. That’s the modern equivalent of taking on Standard Oil but breaking up Ed’s Gas ’N’ Groceries on Route 19 instead. Let’s stipulate that there may have been some manner of price-fixing here, perhaps even arranged in “private rooms for dinner in upscale Manhattan restaurants,” as the complaint darkly charged. The Justice Department is entrusted with, among other things, protecting the interests of American consumers and, given a narrow focus on price, its move on the publishers make sense. But pull back a few thousand feet and take a broader look at the interests of consumers. From the very beginning and with increasingly regularity, Amazon has used its market power to bully and dictate.
benton.org/node/119952 | New York Times
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INTERNET BUZZ
[SOURCE: Wall Street Journal, AUTHOR: Melinda Beck]
Looking for medical information on Internet message boards can be risky for consumers. Some of it is confusing, misleading or downright wrong. But for medical researchers, all that chatter can yield some valuable insights. Scientists from the University of Pennsylvania, for example, are mining message boards and Twitter feeds to see what breast-cancer and prostate-cancer patients are saying about herbal and nutritional supplements—including whether they take them and why and what side effects they encounter.
benton.org/node/119948 | Wall Street Journal
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TELEVISION/RADIO

PUBLIC ACCESS TV BILL
[SOURCE: USAToday, AUTHOR: Bill O'Driscoll]
As state funding for community access TV operations continues to wither across the USA, supporters are looking hopefully at a bill before Congress that would help to restore their local government, education, cultural and other programming. As many as 1,800 Public, Educational and Government (PEG) operations have closed and funding has been slashed in 20 states as franchise agreements expire, according to the advocacy group American Community Television in Washington. Supporters see the proposed Community Access Preservation Act, or CAP Act, as a way to salvage their mission. Community access TV can air shows ranging from city council meetings to features on local artists and school productions. In Chicago, for example, program topics include poetry, photography and motorcycle safety, as well as government meetings. The legislation would restore communities' ability to get PEG funding and loosen restrictions in the Cable Communications Act of 1984 on how public access channels can spend money, according to the advocacy group Alliance for Community Media. The bill is pending in the House Subcommittee on Communications and Technology. No hearing date has been set.
benton.org/node/119921 | USAToday
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FREE PRESS AND POLITICAL ADS ON PUBLIC BROADCASTING
[SOURCE: Free Press, AUTHOR: Press release]
After the Ninth Circuit Court of Appeals struck down a ban on political advertising on public television and radio stations, Free Press President and CEO Craig Aaron said, “Polluting public broadcasting with misleading and negative political ads is not in keeping with the original vision of noncommercial broadcasting. And it’s certainly not the solution to funding public media. At a time when people are turning to public broadcasting to get away from the flood of nasty attack ads, viewers don’t want to see Sesame Street being brought to them by shadowy Super PACs.”
benton.org/node/119928 | Free Press | The Hill | B&C
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RADIO STATIONS RISING
[SOURCE: MediaPost, AUTHOR: Erik Sass]
While the radio advertising business may be stuck in a prolonged rough patch, that doesn’t seem to be deterring broadcasters from starting new radio stations, judging by the latest figures on station operating licenses from the Federal Communications Commission. The number of licensed radio stations in operation has increased steadily in recent years -- at least on the FM side. From 6,279 commercial FM stations in 2007, the number grew to 6,404 in September 2008, 6,479 at the end of 2009, 6,512 in September 2010, 6,533 in June 2011, and 6,555 as of March 31, 2012. Educational FM stations continue to proliferate as well, jumping from 2,880 in 2007 to 3,712 today. The number of AM stations has mostly held steady, with a modest decline to 4,762. Overall, the number of licensed radio stations operating in the U.S. increased from 13,938 five years ago to 15,029 today. The uptick is interesting, especially since radio ad revenues have declined steeply over the same period. From $21.3 billion in 2007, total radio ad revenues fell to $16 billion in 2009 before rebounding somewhat to $17.4 billion in 2011.
benton.org/node/119920 | MediaPost | FCC
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JOURNALISM

OCBO ANNOUNCES AWARD OF CONTRACT FOR LITERATURE REVIEW
[SOURCE: Federal Communications Commission, AUTHOR: Public Notice]
The Federal Communications Commission entered into a contract with the University of Southern California’s Annenberg School for Communication and Journalism to provide a literature review of research into the critical information needs of the American public and the barriers to participation in the communications industry that might limit the extent to which critical needs are met. The study is intended to inform the FCC’s 2012 report to Congress on barriers to participation, also known as the Section 257 Report. The work will be managed by the FCC’s Office of Communications Business Opportunities (OCBO). The award was made after careful review of responses to a Request for Quotation involving a number of highly qualified applicants. USC assembled a broad coalition of over 30 academics to inform their work. (BO Docket No. 12-30)
benton.org/node/119927 | Federal Communications Commission
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WEEKLY ROUND UP
[SOURCE: Benton Foundation, AUTHOR: Kevin Taglang]
[Commentary] Although Headlines staff were away April 2-6, we still collected and summarized the major news from that week. So this week’s round up is really a quick look at the news of the past two weeks. In perhaps the biggest news in weeks – or, at least, the most headlines-grabbing news – the Department of Justice announced that it has reached a settlement with three of the largest book publishers in the United States -- Hachette Book Group, HarperCollins Publishers and Simon & Schuster -- and will continue to litigate against Apple and two other publishers -- Holtzbrinck Publishers, which does business as Macmillan, and Penguin Group (USA) -- for conspiring to end e-book retailers’ freedom to compete on price, take control of pricing from e-book retailers and substantially increase the prices that consumers pay for e-books. The department said that the publishers prevented retail price competition resulting in consumers paying millions of dollars more for their e-books.
http://benton.org/node/119895
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GETTING THE NEWS
[SOURCE: News.me, AUTHOR: ]
A Q&A with Microsoft’s danah boyd. She says: “General news is not relevant to young people because they don’t have context. It’s a lot of abstract storytelling and arguing among adults that makes no sense. So most young people end up consuming celebrity news. To top it off, news agencies, for obvious reasons, are trying to limit access to their content by making you pay for it. Well, guess what: Young people aren’t going out of their way to try to find this news, so you put up one little wall, and poof, done. They’re not even going to bother. That dynamic ends up really affecting those who already are ill-informed. I’m passionate about news. I pay attention to it obsessively. So of course I pay for it. But if you’re not passionate about news — if you don’t care about it — you’re not going to pay a cent for it. When I hear news agencies talk about wanting to get young people, they don’t want to figure out how to actually inform them — they want to hear how to monetize them. And that pisses me off. My interest is in making sure they’re informed, but it’s often not through monetizable options. With young people, the thing that gets them fastest and easiest is the thing that can spread the most easily.”
benton.org/node/119915 | News.me
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STORIES FROM ABROAD

UK SURVEILLANCE
[SOURCE: New York Times, AUTHOR: Editorial staff]
[Commentary] The George W. Bush team must be consumed with envy. Britain’s government is preparing sweeping new legislation that would let the country’s domestic intelligence agencies monitor all private telephone, e-mail, text message, social network and Internet use in the country, bypassing requirements for judicial warrants. As with all such legislation on both sides of the Atlantic, sponsors promote the bill as a necessary new tool to keep the public safer from would-be terrorists, child molesters and common criminals. We are not convinced. What such sweeping new powers surely would do is compromise the privacy and liberty of law-abiding British citizens without reasonable justification.
benton.org/node/119942 | New York Times
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MOBILE WALLET PROBE
[SOURCE: Financial Times, AUTHOR: Alex Barker, Stanley Pignal]
Britain’s biggest mobile phone operators are to face an in-depth antitrust investigation into their payments joint venture after Europe’s top competition regulator raised concerns over it stifling innovation. The European Commission’s decision to launch a lengthy probe, likely to run until late August, will be a blow to the operators’ hopes of winning speedy approval for the mobile payments and advertising system, codenamed “Project Oscar.” While the Commission gives most mergers the green light, even after an in-depth investigation, it has the power to block the venture or demand significant changes.
benton.org/node/119940 | Financial Times | Wall Street Journal
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WEB FREEDOM THREAT
[SOURCE: The Guardian, AUTHOR: Ian Katz]
The principles of openness and universal access that underpinned the creation of the internet three decades ago are under greater threat than ever, according to Google co-founder Sergey Brin. In an interview with the Guardian, Brin warned there were "very powerful forces that have lined up against the open internet on all sides and around the world". "I am more worried than I have been in the past," he said. "It's scary." The threat to the freedom of the internet comes, he claims, from a combination of governments increasingly trying to control access and communication by their citizens, the entertainment industry's attempts to crack down on piracy, and the rise of "restrictive" walled gardens such as Facebook and Apple, which tightly control what software can be released on their platforms. The 38-year-old billionaire, whose family fled antisemitism in the Soviet Union, was widely regarded as having been the driving force behind Google's partial pullout from China in 2010 over concerns about censorship and cyber-attacks. He said five years ago he did not believe China or any country could effectively restrict the internet for long, but now says he has been proven wrong. "I thought there was no way to put the genie back in the bottle, but now it seems in certain areas the genie has been put back in the bottle," he said. He said he was most concerned by the efforts of countries such as China, Saudi Arabia and Iran to censor and restrict use of the internet, but warned that the rise of Facebook and Apple, which have their own proprietary platforms and control access to their users, risked stifling innovation and balkanising the web.
benton.org/node/119938 | Guardian, The
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Unanswered Questions in FCC’s Google Case

One of the most audacious projects ever to come out of Google was the plan to photograph and map the inhabited world, one block at a time. But a report over the weekend from federal regulators has rekindled questions over exactly what the company was doing — questions the search giant has spent years trying not to answer.

The Federal Communications Commission censured Google for obstructing an inquiry into the Street View project, which had collected Internet communications from potentially millions of unknowing households as specially equipped cars drove slowly by. But the investigation, described in an interim report, was left unresolved because a critical participant, the Google engineer in charge of the project, cited his Fifth Amendment right and declined to talk. It is unclear who else at Google might have known about the data gathering, or when they might have known. Google maintains that the data gathering was unauthorized, according to a person with knowledge of the matter, but the engineer is maintaining that other people at the company knew about it. “I appreciate that the FCC sanctioned Google for not cooperating in the investigation, but the much bigger problem is the pervasive and covert surveillance of Internet users that Google undertook over a three-year period,” said Marc Rotenberg, executive director of the Electronic Privacy Information Center. He said that he would ask the Justice Department to investigate Google over wiretapping.

Book Publishing’s Real Nemesis

[Commentary] The Justice Department finally took aim at the monopolistic monolith that threatened to dominate the book industry. So imagine the shock when the bullet aimed at threats to competition went whizzing by Amazon — which not long ago had a 90 percent stranglehold on e-books — and instead, struck five of the six biggest publishers and Apple, a minor player in the realm of books. That’s the modern equivalent of taking on Standard Oil but breaking up Ed’s Gas ’N’ Groceries on Route 19 instead.

Let’s stipulate that there may have been some manner of price-fixing here, perhaps even arranged in “private rooms for dinner in upscale Manhattan restaurants,” as the complaint darkly charged. The Justice Department is entrusted with, among other things, protecting the interests of American consumers and, given a narrow focus on price, its move on the publishers make sense. But pull back a few thousand feet and take a broader look at the interests of consumers. From the very beginning and with increasingly regularity, Amazon has used its market power to bully and dictate.

Daring to Cut Off Amazon

Plenty of people are upset at Amazon these days, but it took a small publishing company whose best-known volume is a toilet-training tome to give the mighty Internet store the boot.

The Educational Development Corporation, saying it was fed up with Amazon’s scorched-earth tactics, announced at the end of February that it would remove all its titles from the retailer’s virtual shelves. That eliminated at a stroke $1.5 million in annual sales, a move that could be a significant hit to the 46-year-old EDC’s bottom line. “Amazon is squeezing everyone out of business,” said Randall White, EDC’s chief executive. “I don’t like that. They’re a predator. We’re better off without them.” Amazon was buying EDC’s books from a distributor and discounting them to the bone, just as it does with everything it sells. This might have been a boon for readers, but it was creating trouble with other retailers who carry the company’s titles, as well as with EDC’s network of independent sales agents, who market its books from their homes. “They were becoming showrooms for Amazon,” White said. “We were shooting ourselves in the foot.”

Independent booksellers ponder their fate as Amazon and Apple duke it out

When the digital dust settles from the battle over e-book pricing between Amazon, Apple, publishers and the Justice Department, much of it will end up in the aisles of small independent booksellers like Green Apple Books in San Francisco.

"I'm not worried about this bookstore going out of business one or two years from now, but I wouldn't necessarily open a new bookstore today either," said owner Kevin Ryan. He says the federal antitrust lawsuit to stop Apple and major book publishers from keeping e-book prices high, and Amazon's subsequent vow to lower its prices, can't be good news for the mom-and-pop bookstores struggling to weather a sea change in the publishing business. "This impacts us directly for the first time," Ryan said, adding that until now he could sell e-books for the same price as Amazon, offering his customers both print and digital books as the latter continue to gain traction among readers. The recent developments threaten that, he said, "because for the first time ever, we can't offer our customers the same price they'd get at Amazon. Now we have nothing except loyalty to keep people coming in."

Before 'Watergate' Could be Googled

[Commentary] Bob Woodward and Carl Bernstein are aghast that bright students would assume that all facts could be found online.

"The truth resides with people," said Mr. Woodward, meaning "human sources" who disclose confidential information. To some journalism experts, that seemed so obvious that they doubted the essays were real. The Yale course is taught by Steven Brill, the founder of American Lawyer and Court TV. He confirms that every year, almost every student in the highly selective course writes that Watergate could now be reported without actual reporting. "To a person," Mr. Woodward wrote to Mr. Brill after reading the essays, "your students have what I can only call a heart-stopping over-confidence in the quality of the information on the Internet."

Researchers Tune In to the Internet Buzz

Looking for medical information on Internet message boards can be risky for consumers. Some of it is confusing, misleading or downright wrong. But for medical researchers, all that chatter can yield some valuable insights. Scientists from the University of Pennsylvania, for example, are mining message boards and Twitter feeds to see what breast-cancer and prostate-cancer patients are saying about herbal and nutritional supplements—including whether they take them and why and what side effects they encounter.

Companies weigh risks of distracted driving

Distracted driving has emerged over the past five years as perhaps the top road safety priority in the USA. April is National Distracted Driving Awareness month. Most attention has focused on individual drivers, especially young ones. Now, many businesses — concerned about liability issues in the face of new laws and the impact of distraction-related crashes on their bottom line — are beginning to develop policies for their fleet drivers.

A new federal law that prohibits commercial vehicle operators from using handheld cellphones while driving affects about 4 million truck and bus drivers, plus tens of millions of other fleet drivers. A commercial motor vehicle is one that weighs more than 10,000 pounds and crosses a state line for business purposes, or any vehicle above 26,000 pounds. The law, which took effect Jan. 3, applies to major companies such as U.S. Wal-Mart and Greyhound and to mom-and-pop businesses such as florists, bakeries and dry cleaners.

Telemundo chief flags up US ads disparity

Spanish-language channels in the US are getting only half the advertising revenues they should, according to the new chief executive of Telemundo, the second largest broadcaster in a Hispanic television market that is becoming more crowded.

“Hispanic television media get 8 per cent of the viewership on average on a single day and only 4 per cent of the total advertising [revenue],” Emilio Romano said, six months after Comcast’s NBCUniversal unit named him to run the network in Miami. “That means we’re getting only half of what we deserve,” he said. Telemundo has traditionally battled Univision, the Hispanic market leader, for advertising budgets, but faces new competition as News Corp plans to launch a free-to-air Spanish-language network this autumn with RCN Television of Colombia.

New bipartisan House cybersecurity bill haunted by ghost of SOPA’s failure

A growing backlash from online activists has posed a threat to bipartisan House cybersecurity legislation that lawmakers thought was a slam dunk only a month ago.

Lawmakers, fearing a reprise of the groundswell that blew up online piracy legislation earlier this year, have been quick to try to quell concerns over privacy and censorship. Opposition to the anti-piracy bills — SOPA in the House and PIPA in the Senate — exploded in the span of a few days and killed both. Given the ability of online movements to quickly go viral, the angry statements of online activists have injected unpredictability into the cybersecurity debate. “That’s a shadow hanging over any cyber legislation, unfortunately,” a Senate Democratic aide said of the fallout from the anti-piracy bills.