March 2013

BENTON'S COMMUNICATIONS-RELATED HEADLINES for THURSDAY, MARCH 21, 2013

Health Information Technologies: Administration Perspectives on Innovation and Regulation http://benton.org/calendar/2013-03-21/

(BIG) NEWS FROM THE FCC MEETING
   Commissioner McDowell Announcing His Plans To Step Down From The Federal Communications Commission In The Near Future - press release
   At FCC, GOP commissioner’s departure clears way for Genachowski’s exit - analysis
   FCC Takes Action to Ensure Reliability of Calls to 9-1-1 During Times of Emergency - press release
   FCC Office of Native Affairs and Policy Issues Report on 2012 Accomplishments and 2013 Tribal Priorities - press release
   Chairman Genachowski Suggests FCC Will Keep Moving Forward With Auction

TELECOM/INTERNET
   Reaching Those on the Wrong Side of the Digital Divide
   Don’t Leave Seniors Behind! - editorial
   Five Fundamentals for the Phone Network, Part 4: Network Reliability
   Internet retailers bash Senate attempt to 'sneak through' online sales tax [links to web]
   Broadband consultant's report a secret
   More addresses please—US hits a half-billion Internet devices [links to web]
   Computer Networks in South Korea Are Paralyzed in Cyberattacks [links to web]
   US Presses on Cyberthreats [links to web]
   Will Obama's Executive Order on Cybersecurity Lead to More Data Sharing? [links to web]
   US heartland offers visions of cable’s future - analysis

TELEVISION
   Gun Violence is Hollywood’s Favorite Type of Violence - press release
   Satellite Adds Video Subscribers, Cable Dips [links to web]
   How Six Million Cord-Cutters Disappeared [links to web]
   US heartland offers visions of cable’s future - analysis

WIRELESS/SPECTRUM
   Clearwire Shareholder Hires Proxy Firm in Bid to Stop Sprint Deal [links to web]
   San Jose Launches Fast Public Wi-Fi [links to web]
   Who Has The Fastest LTE Service? [links to web]

ADVERTISING
   Reaching Those on the Wrong Side of the Digital Divide
   This Is the Scariest Statistic About the Newspaper Business Today [links to web]
   Facebook Followed You to the Supermarket

ELECTIONS AND MEDIA
   Closing the GOP's Election Data Deficit - op-ed [links to web]

CONTENT
   The head of the Copyright Office says the law is broken — but can she fix it in time?
   Copyright chief calls for crackdown on illegal streaming
   YouTube reaches billion users milestone [links to web]
   Google upgrades YouTube’s ‘engines’

LABOR
   Fastest-growing cities for tech jobs [links to web]
   Dice report on gender gap in tech salaries [links to web]

HEALTH
   House Panel Kicks Off Three Day Hearing Series On Potential Regulations and Taxes on Smartphones, Tablets, and Mobile Apps - press release [links to web]

GOVERNMENT & COMMUNICATIONS
   House Committee Passes IT Reform Act
   Activist sues San Francisco Police Department after warrantless search of cell phone [links to web]

STORIES FROM ABROAD
   Politics, money overhang ambitious Lebanon telecom reforms [links to web]

MORE ONLINE
   There’s no such thing as a tech company anymore - analysis [links to web]

back to top

(BIG) NEWS FROM THE FCC MEETING

MCDOWELL TO LEAVE FCC
[SOURCE: Federal Communications Commission, AUTHOR: FCC Commissioner Robert McDowell]
After nearly seven years of carrying out the incredibly high honor of serving the American people at the FCC, it is time to turn more of my energies towards an even higher calling: serving my family. After a great deal of deliberation, I have decided that I will step down as a commissioner of the Federal Communications Commission in a few weeks…. I would also like to thank the individuals who literally handed me this job, twice:
first and foremost, Senator Ted Stevens, President George W. Bush, Senator Mitch McConnell and President Barack Obama, as well as many Members of Congress. Thank you for placing such enormous trust in me…. So what am I doing next? I will be talking to the FCC’s Chief Ethics Officer, Patrick J. Carney, to make sure that my departure is in full compliance with the letter and spirit of all of our ethics rules. Beyond that, I have no plans other than to take my family on a much-needed vacation starting this weekend.
benton.org/node/148358 | Federal Communications Commission | Commissioner Pai | Commissioner Rosenworcel | Multichannel News |
Share: Twitter | Facebook
back to top

HOW MCDOWELL’S MOVE IMPACTS GENACHOWSKI DEPARTURE
[SOURCE: Washington Post, AUTHOR: Emily Heil]
The departure of Federal Communications Commission member Robert McDowell, observers say, makes it easier for FCC Chairman Julius Genachowski to soon follow him to the doors — since now he’ll leave Democrats with a 2-1 voting advantage (whereas if he’d left before Commissioner McDowell, the FCC would be in a 2-2 deadlock). Though Chairman Genachowski said he had “no news” regarding if and when he’d leave the FCC, the White House has been interviewing potential replacements. It is unclear who President Barack Obama will pick to replace Commissioner McDowell, though whoever the GOP pick is, that nominee could wind up paired with the Democratic nominee to replace Genachowski, following in the tradition of grouping one Democratic candidate with a GOP one for a smoother Senate confirmation.
"We extend our gratitude to commissioner McDowell for his excellent service to the Federal Communications Commission and American public," said National Cable and Telecommunications Association President Michael Powell. McDowell was named to the commission in 2006 to fill the unexpired term of then chairman Powell.
"Robert McDowell has been a remarkably gifted public servant during his seven-year tenure at the FCC," said National Association of Broadcasters president Gordon Smith.
"I've been around the FCC for 40 years and have never seen anyone render greater public service," said Preston Padden, executive director of the Expanding Opportunities for Broadcasters Coalition.
AT&T senior VP Jim Cicconi called McDowell a "true leader, focused on promoting the interests of consumers as well as innovation and economic growth. His impressive knowledge of communications law and regulations has been a major asset to the Commission in so many of the important and complex issues it has tackled.”
"Although we often disagreed, working with commissioner McDowell was a pleasure," said Public Knowledge. "His willingness to hear opposing views, the intellectual rigor in his analysis, and his leadership at the WCIT made him someone we enjoyed working with.
"We congratulate commissioner McDowell on his decision to leave the FCC," said Free Press president and CEO Craig Aaron. "As he considers his next move, we hope he will reject the revolving door and resist becoming another FCC leader who exploits his public service to cash in at the companies he was supposed to regulate. We urge the president to nominate a Republican successor who is not simply another cheerleader for the biggest businesses and media monopolists, but who recognizes the free market cannot work if companies are allowed to amass and abuse market power.”
benton.org/node/148356 | Washington Post | B&C | Washington Post | B&C
Share: Twitter | Facebook
back to top

FCC TAKES ACTION TO ENSURE RELIABILITY OF CALLS TO 9-1-1 DURING TIMES OF EMERGENCY
[SOURCE: Federal Communications Commission, AUTHOR: ]
The Federal Communications Commission proposed action to improve the reliability and resiliency of America’s 9-1-1 communications networks, especially during disasters, by ensuring that service providers implement vital best practices in network design, maintenance, and operation. The FCC also proposed amending its rules to clarify how service providers can more effectively and uniformly notify 9-1-1 call centers of communications outages and cooperate to restore service as quickly as possible. In a Notice of Proposed Rulemaking adopted March 20, the FCC moved forward to implement four key recommendations for strengthening 9-1-1 service made by the FCC’s Public Safety and Homeland Security Bureau. The Bureau’s recommendations, contained in a January 2013 report, resulted from an in-depth inquiry into the widespread 9-1-1service failures that occurred after a derecho storm hit portions of the Midwest and Mid-Atlantic in June 2012. The FCC is seeking comment on the most effective approaches for implementing the recommendations in the Bureau’s report. Specifically, the Commission is seeking the best ways to ensure that service providers:
Periodically audit 9-1-1 circuits for physical diversity, which will improve network reliability and resiliency by helping to identify and correct single points of failure;
Maintain adequate central office backup power, such as generators and battery backup systems, supported by appropriate maintenance, testing, and records retention; and
Maintain reliable and resilient network monitoring systems to provide accurate situational awareness during communications outages.
The Commission put forth a range of possible approaches for implementing these recommendations, including:
Reporting – where the Commission would require service providers to periodically report on the extent to which they are voluntarily implementing critical best practices or complying with standards established by advisory bodies or requirements established by the Commission;
Certification – where the Commission would require providers to certify periodically that their 9-1-1 network service and facilities meet specified criteria;
Reliability requirements – where the Commission would specify minimum requirements for 9-1-1 communications reliability; and
Compliance reviews and inspections conducted by the Commission to verify that 9-1-1 service providers are following certain practices or adhering to certain requirements.
The Commission also posed a range of questions regarding the extent to which 9-1-1 service providers implement existing best practices, the incentives most likely to ensure that they do so in the future, and the costs and benefits of ensuring that best practices are implemented in each area. Whatever approach is ultimately adopted must account for differences in service providers’ networks and support the ongoing transition from today’s legacy 9-1-1 system to a Next Generation 9-1-1 (NG9-1-1) system, the Commission said. In addition, the Commission is considering clarifying its current rule that requires service providers to notify 9-1-1 call centers of significant communications outages. To provide service providers with greater specificity about their obligation, the proposed rule would require them to notify 9-1-1 call centers of outages immediately, by telephone and in writing via electronic means, with critical information.
benton.org/node/148355 | Federal Communications Commission | Chairman Genachowski | Commissioner McDowell | Commissioner Clyburn | Commissioner Rosenworcel | Commissioner Pai
Share: Twitter | Facebook
back to top

FCC OFFICE OF NATIVE AFFAIRS AND POLICY ISSUES REPORT ON 2012 ACCOMPLISHMENTS AND 2013 TRIBAL PRIORITIES
[SOURCE: Federal Communications Commission, AUTHOR: Press release]
The Federal Communications Commission’s Office of Native Affairs and Policy (ONAP) released its 2012 report, detailing the Commission’s engagement with more than 400 Tribal Nations and travel to 42 federal Indian Reservations since the Office’s inception in the summer of 2010. ONAP’s work with Tribes is focused on bringing modern communications infrastructure and the resulting benefits to Tribal Nations and Native communities throughout the United States. ONAP is responsible for developing and driving a Commission-wide Tribal agenda and ensuring Tribal voices are taken into account in Commission proceedings. Geoffrey C. Blackwell, Chief of ONAP, outlined several Commission accomplishments with respect to Tribal Nations in a presentation to FCC Chairman Julius Genachowski and the other Commissioners at the agency’s regular Open Meeting on March 20. Blackwell spoke of the important exercise of the government-to-government relationship that the Commission shares with Tribal Nations through agency consultation and coordination on the ground with Tribal leaders in Indian Country. His presentation summarized highlights from ONAP’s 2012 Annual Report, as well as several case studies of Tribal Nations with whom the Commission is working.
benton.org/node/148366 | Federal Communications Commission | read the report | Chairman Genachowski | Commissioner McDowell | Commissioner Clyburn | Commissioner Rosenworcel | Commissioner Pai
Share: Twitter | Facebook
back to top

FCC MOVING FORWARD ON SPECTRUM AUCTION
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
In a press conference after the Federal Communications Commission's public meeting, FCC Chairman Julius Genachowski would not say whether the FCC would open up a new comment window on an incentive auction band plan that has been criticized by both broadcasters and wireless companies. He spent a good deal more time not exactly responding to the question about the National Association of Broadcasters’ request that the FCC put the TV station post-repacking band plan up for an additional round of comment. NAB says the variable plan that has stations and wireless operators potentially using the same channel in different markets is the wrong way to go. NAB incentive auction point man Rick Kaplan, former head of the FCC's Wireless Bureau, this week called for the new comments and said he expected the FCC would comply. Chairman Genachowski was making no promises, and in fact sounded more like the FCC was not planning to change course. He said that "everything that has happened since Congress passed the incentive auction has made me more optimistic about the opportunities of this new idea as we move forward," though it was unclear whether he was talking about the band plan or the incentive auctions writ large.
benton.org/node/148368 | Broadcasting&Cable
Share: Twitter | Facebook
back to top

TELECOM/INTERNET

REACHING THOSE ON WRONG SIDE OF THE DIGITAL DIVIDE
[SOURCE: New York Times, AUTHOR: Jane Levere]
The Advertising Council and Connect2Compete, a nonprofit group whose goal is to eliminate the digital divide in the United States, are introducing a public service campaign to help those who are not digitally literate find free training to obtain these skills. In remarks prepared for a speech in Washington about Connect2Compete’s efforts, Federal Communications Commission Chairman Julius Genachowski said approximately one in three Americans, or 100 million people, still do not have broadband in their homes, with low-income Americans and minorities “disproportionately on the wrong side of the digital divide.” According to the National Telecommunications and Information Administration, one in five American adults — about 62 million people — do not use the Internet. The 2012 Pew Internet and American Life Project said the main reason these people “don’t go online is because they don’t think the Internet is relevant to them.” To reach adults who share this sentiment, Connect2Compete approached the Advertising Council last year for help creating a public service campaign “with messages that get at the relevance of the Internet, how you can do something, or do something better that you may already do, by being online,” said Zach Leverenz, chief executive of Connect2Compete. To that end, the Ad Council and the New York office of Young & Rubicam, part of the WPP Group, created a multimedia advertising campaign that begins on Thursday, a date chosen because its numbers (3-21) stand for a three-two-one countdown to get “everyone on” the Internet. The campaign’s Web site is EveryoneOn.org.
benton.org/node/148398 | New York Times
Share: Twitter | Facebook
back to top

DON’T LEAVE SENIORS BEHIND!
[SOURCE: Benton Foundation, AUTHOR: Cecilia Garcia, Bob Harootyan]
[Commentary] Today marks the beginning of a major campaign to bridge the digital divide. “Everyone On” is the public service arm of Connect2Compete (C2C), a national public/private partnership that hopes to provide Internet access, digital literacy training and refurbished computers to low-income consumers. Sounds like a great idea, given how essential digital communications have become in how we live and work in the 21st Century. The Federal Communications Commission (FCC) was a driving force behind the launch of C2C because the commission recognized the need for a strong collaborative partnership with industry, the nonprofit sector and government to make sure everyone in this nation, regardless of age or income, is able to reap the benefits from access to affordable broadband networks. Other nations have recognized this and, as a result, higher percentages of their citizens are connected and trained to make full use of the technology. So, for that reason, kudos to C2C and its extensive network of partners. There’s just one problem – for efficiency, C2C targets low-income families whose children are eligible for the federal free and reduced-cost lunch programs. That means that low-income seniors, a highly vulnerable segment of the population, are being left behind.
http://benton.org/node/148333
Share: Twitter | Facebook
back to top

NETWORK RELIABILITY
[SOURCE: Public Knowledge, AUTHOR: Lucy Wolf]
Public Knowledge has proposed five fundamentals for the PSTN transition to an all-IP (Internet Protocol) phone network; this piece focuses on the fourth principle: the network still has to function reliably. The phone system’s transition away from older TDM-based technology and toward the newer IP-based service is a welcome change. The network’s traditional technology is rapidly becoming obsolete and voice over IP (VoIP) has the potential to offer more efficient, higher quality service. That being said, phone companies absolutely cannot sacrifice network reliability for upgraded technology. From natural disasters to basic network mechanisms like distributing phone numbers, the phone network must continue to function with the complete reliability we expect today. How reliable the new network will be depends on the policy decisions we make now. The Federal Communications Commission has authority to ensure the reliability of the phone network and will need to guarantee an equal or better level of robustness during and after the transition to an all-IP system. Just as the upgraded phone network must work reliably in a natural disaster, we should also be assured that it works day to day.
benton.org/node/148342 | Public Knowledge
Share: Twitter | Facebook
back to top

WV BROADBAND REPORT
[SOURCE: Charleston Gazette, AUTHOR: Eric Eyre]
A state agency paid a Virginia-based company an estimated $118,000 to review West Virginia's use of $126.3 million in federal stimulus funds to expand high-speed Internet, but Gov. Earl Ray Tomblin's administration won't release the consultant's findings to the public. The reason: At least one of the consultant's documents might be "embarrassing to some people," according to Commerce Secretary Keith Burdette. "The documents may be embarrassing to some people . . . . Embarrassing because it was someone's opinion," Burdette said. "It was a specific document, citing specific companies, and making very specific suggestions to me." Burdette disclosed the existence of the consultant's document -- titled Draft Discussion Points -- in response to a Freedom of Information request filed by The Charleston Gazette. However, he declined to release the report to the newspaper, saying it was an "internal memorandum" that could be withheld under state law.
benton.org/node/148336 | Charleston Gazette | ars technica
Share: Twitter | Facebook
back to top

CABLE’S FUTURE
[SOURCE: Financial Times, AUTHOR: Andrew Edgecliffe-Johnson]
It is 600 miles from Olathe, Kansas, to Englewood, Colorado, and both towns can seem a million miles from the media hubs of New York and Hollywood. Yet two announcements from the US heartland this week provide important pointers to the future of the cable industry and the content companies that depend on it. In Olathe, Google unveiled plans to roll out the fiber optic network it is testing in nearby Kansas City, offering broadband speeds of up to 1 gigabit per second. That is roughly 100 times faster than the country’s typical download rate, for $70 a month or $120 with a video service. One day “the Google guys” might bring to mind installers in grey uniforms rather than Larry Page and Sergey Brin. But Google Fiber is for the time being a tiny experiment, much debated for what it might mean to rivals yet – so far – with no clear plan to jump to the wider market. Few people know that market better than John Malone, Liberty Media’s Englewood-based chairman, who started Tele-Communications Inc in 1973 and became the world’s largest cable systems owner before selling TCI to AT&T in 1999. Malone kept overseas cable interests after that through Liberty Global, which last month agreed a $23.3 billion bid for Virgin Media in the UK. This week, he returned to the US cable business with a $2.6 billion investment that bought him 27 percent of Charter Communications. Opportunism often drives Malone’s investments, but when he returns to a game he has sat out for 14 years, it is worth asking what has changed. The answer, according to his chief executive, Greg Maffei, is that cable’s “pipes” are becoming more valuable.
benton.org/node/148392 | Financial Times
Share: Twitter | Facebook
back to top

TELEVISION

GUN VIOLENCE IN PRIMETIME
[SOURCE: Parents Television Council, AUTHOR: Press release]
The Parents Television Council released data on media violence collected from all primetime broadcast programs that aired between January 11, 2013 and February 11, 2013, following Vice President Joe Biden’s meeting with the industry in January. During the one-month study period, of the 392 shows examined, 193, nearly half, contained violence; 121, almost a third, contained violence and guns. Within the 193 shows that included violence and that aired during the study period on the broadcast networks in primetime, there were 934 individual scenes of violence. Of those 934 individual scenes with violence, there were 305 individual scenes that included guns. Therefore, 33% of all violent scenes included guns. Every program was rated TV-PG or TV-14, meaning that the television networks determined every single program to be appropriate for a child aged 14 or younger. The “V” content descriptor was present on 84% of the shows that contained violence.
benton.org/node/148379 | Parents Television Council
Share: Twitter | Facebook
back to top

ADVERTISING

FACEBOOK FOLLOWED YOU
[SOURCE: Slate, AUTHOR: Farhad Manjoo]
Facebook is a hugely popular free service that’s supported solely through advertising, yet is packed with users who are actively hostile to the idea of being marketed to on their cherished social network. Considering all of this, the best place to start is with your primary concern about Web ads. This is what I hear from readers every time I write about the online ad economy, especially ads on Facebook: “I don’t know how Facebook will ever make any money -- I never click on Web ads!” How does Facebook expect to become a huge business if most people you know never click on ads? The answer is surprisingly obvious. It’s a fact well-known to advertisers, though it’s not always appreciated by people who use Facebook or even by folks in the Web ad business: Clicks don’t matter. Whether you know it or not -- even if you consider yourself skeptical of marketing -- the ads you see on Facebook are working. Sponsored messages in your feed are changing your behavior -- they’re getting you and your friends to buy certain products instead of others, and that’s happening despite the fact that you’re not clicking, and even if you think you’re ignoring the ads.
benton.org/node/148337 | Slate
Share: Twitter | Facebook
back to top

CONTENT

REGISTER OF COPYRIGHTS
[SOURCE: The Verge, AUTHOR: Greg Sandoval]
The Register of Copyrights needs a drink. Maria Pallante heads up the US Copyright Office, which helps establish practices and standards for copyright registration. During a speech at Columbia University, Pallante announced she will try to convince Congress to review and revise the country's copyright law, which was last seriously changed in 1998 with the controversial Digital Millennium Copyright Act. The 49-year-old Pallante's ambitious plan has already been set in motion: the House subcommittee that oversees intellectual property and the internet has scheduled a hearing for this afternoon to discuss Pallante's recommendations. In her Columbia speech, Pallante said the time is right for "Congress to once again think big," and create "the next great copyright act." As she outlined the areas of the law she believes need to be fixed, she focused on the Digital Millennium Copyright Act. The DMCA, created to deal with copyright issues on the internet, is much maligned in both Silicon Valley and Hollywood. Many in tech and in entertainment believe the law should favor them more and the other less. Before wading in, Pallante paused and took a swig from a water bottle. Anyone about to tackle the DMCA, Pallante told the audience, should have a drink. Considering the task ahead of her, she might want to try bourbon.
benton.org/node/148334 | Verge, The
Share: Twitter | Facebook
back to top

CRACKDOWN ON ILLEGAL STREAMING
[SOURCE: The Hill, AUTHOR: Brendan Sasso]
US Register of Copyrights Maria Pallante urged Congress to overhaul the nation's aging copyright system. One of her top priorities, she said, would be to make it a felony to stream copyrighted songs or videos without permission. It is currently a felony to distribute illegal copies of copyrighted works for download, but websites that offer unauthorized streams are only guilty of a misdemeanor. "There is a gap in the law," Pallante said during a hearing of the House Judiciary Committee's subcommittee on Courts, Intellectual Property and the Internet. "If there is illegal streaming happening, especially in an egregious, willful, profit-driven kind of way, how do you get at that activity if the best that you can do is go after them for a misdemeanor?" She explained that streaming is rapidly becoming a more popular way for consuming online content, including illegal content, than downloading.
benton.org/node/148390 | Hill, The
Share: Twitter | Facebook
back to top

YOUTUBE’S ENGINES
[SOURCE: Financial Times, AUTHOR: Tim Bradshaw]
Serving up billions of hours of video every month would put huge strain on most websites. Social networks such as Twitter and Tumblr still occasionally struggle with much smaller numbers of people viewing just text and pictures. But at YouTube, which delivers more bandwidth-intensive videos, there is no “Fail Whale” – the mascot that Twitter shows when it has collapsed under too many tweets. When Google acquired the scrappy Californian start-up for $1.65 billion in 2006, it plugged YouTube into its own vast server farm to spread the load. In recent months, Google has been investing in new technology to streamline both video uploading and its streaming player, to improve quality for viewers – and increase efficiencies for YouTube. While Google is tight-lipped on whether YouTube has ever turned a profit, these technical changes are commercially significant. Studies show that the faster a video loads, the more likely people are to watch it in full, and to return to the site again soon. It also means they are more likely to watch the ads that increasingly precede the videos.
benton.org/node/148386 | Financial Times
Share: Twitter | Facebook
back to top

GOVERNMENT & COMMUNICATIONS

HOUSE COMMITTEE PASSES IT REFORM ACT, GIVING CIOs BUDGET AUTHORITY
[SOURCE: nextgov, AUTHOR: Joseph Marks]
The House Oversight and Government Reform Committee unanimously passed legislation that would mark the most significant reform in more than a decade to the way the government purchases information technology. The Federal Information Technology Acquisition Reform Act would make agency chief information officers presidential appointees. It would also grant them authority to shift funding between technology projects, a power now only granted to the Veterans Affairs Department CIO. The legislation was jointly sponsored by Oversight Chairman Rep. Darrell Issa (R-CA) and by Rep. Gerry Connolly (D-VA), ranking member of the committee's government operations panel. It’s now on its way to the full House for consideration. Complementary legislation has not yet been introduced in the Senate. The IT Reform Act could save 10 times the $80 billion the government spends on IT annually by reducing government’s reliance on outdated IT systems, by helping agencies make smarter decisions about new purchases and by raising the government’s use of bulk purchasing and interoperable systems, Chairman Issa said during the committee business meeting. The bill also would require that only one person in each agency holds the title CIO and that that CIO has a direct line to the agency secretary on important matters. Having a single agency CIO will make that official more accountable, Reps Issa and Connolly both said, noting that some agencies now have more than a dozen CIOs which dilutes that title’s power.
benton.org/node/148375 | nextgov
Share: Twitter | Facebook
back to top