June 2012

Comcast needs to slow down its advertising claims that its Xfinity Internet service is the "fastest in the nation," per a recommendation from the National Advertising Division, the ad industry's self-regulatory unit.

The NAD, part of the Council of Better Business Bureaus, examined the ad claims based on a complaint by Verizon, which also offers Internet services in some of the same markets as Comcast. Comcast's unqualified ad claims were based on a 2011 PC Magazine study—but the cable giant failed to disclose that Comcast shared its fastest speed rank with two other cable companies, Cox and Charter. While Comcast had the fastest download speeds, Cox had the highest upload speeds. Comcast's ads also failed to mention that according to a Federal Communications Commission report in markets where Comcast and FiOS were both available, FiOS actually had the faster speeds. The NAD recommended that Comcast discontinue claiming itself to be the "fastest Internet service provider in the nation." In print and Internet advertising, the NAD recommended that Comcast clearly and conspicuously disclose the PC Magazine report in immediate proximity to the triggering claims. In video ads, the NAB recommended the PC Magazine reference be in a voiceover. Comcast could still call itself the "fastest" if it noted that it applied in markets where FiOS was not available.

Residents of a small section of Gainesville (FL) will get a gigabit network thanks to the GigU project that wants to deliver fiber to the home to areas around U.S. colleges and universities.

GRUCom, a multi-service utility owned by the City of Gainesville, said it would work with the GigU people and the University of Florida to build a network in an area known as Innovation Square. The project is an interesting one because it shows the promise and the limitations of what the GigU guys are trying to accomplish. Residents and business in a roughly 12-block area will get the possibility of gigabit networks and prices for the service will start at $99 for a 50 Mbps connection. Those wanting more can contact GRU for personalized pricing plans. The university will offer labs and students faster connections on campus, but that gigabit connection isn’t going to be in most people’s price range. However, for a limited area the infrastructure will be there for when the costs of a gig drop.

Looking to bridge the gap for kids when it comes to online TV program viewing, seven broadcasting networks say they plan to offer additional TV content ratings for parents. ABC, CBS, Fox, NBC, TeleFutura, Telemundo and Univision say an expanded TV ratings system for parents can be used when children access broadcast television programs on the Internet. This is for all full-length entertainment programs that stream on the networks' Web sites. TV ratings will appear at the beginning of full-length video programs and also in the online programming descriptions. Network sites will also include or link to ratings system information. No details were released of what those ratings might look like. The networks say they will each determine their own ratings systems to start Dec. 1.

Federal Communications Commission Chairman Julius Genachowski said, “I applaud the networks’ commitment to empower parents. With our rapidly changing media marketplace, it is vital parents have tools to help them make informed choices.” FCC Commissioner Rosenworcel said, “We are fast moving to a world where our children’s video viewing is not limited to the television screen—but is on any screen, at any time. The way we watch is clearly changing. But what is not changing is the need to provide parents with simple and honest means to monitor and manage their children’s viewing. Today’s announcement is a first step in the right direction. I applaud ABC, CBS, FOX, NBC, TeleFutura, Telemundo, and Univision for making this commitment.”

"The networks' initiative recognizes that content increasingly is being distributed across multiple platforms, and that parents should have access to consistent information to help guide what their children should watch -- no matter where it appears," said Urban League President Marc Morial. "If the online rating system is similar to the current television rating system, then this move is a distinction without difference. PTC has proven time and time again that the TV content ratings system is a facade, citing inaccurate and inconsistent ratings designated by the networks themselves with no accountability," said Parents Television Council President Tim Winter.

Google announced a major deal this week with French authors and publishers that clears the way for the sale of millions of e-books that have been caught in legal limbo until now.

The deal could spur digital publishing in Europe and also shape which companies gain control of the continent’s fledgling e-book market. Under the terms of the agreement, more than 600 French publishers and a major writers group will drop lawsuits over Google’s decision to scan books without permission and the publishers will begin selling digital versions of the books. The deal will let publishers keep control over which e-books are sold and will require Google to create a list that helps authors keep track of their copyright. This week’s agreement is significant because it coincides with a French law that creates a new royalty collection mechanism for e-books. Taken together, the developments mean that many of the legal obstacles that have halted the rise of e-book sales in France are now cleared. At the same time, the deal could also provide a template for the rest of Europe where e-book sales remain minuscule. In December, France’s former culture minister said the country was a “bridge head” for Google to the rest of the continent. While it’s too early to say when (or if) the French e-book scheme will take off, there does appear to be one early loser in the deal. According to reports in Le Figaro and publishing site ActuaLitté, the agreement does not allow the publishers to distribute the digital books through Google’s direct competitors — read: Amazon.