September 2013

Obama wanted an open Internet he could spy on. Thanks to the NSA, he may get neither.

[Commentary] Brazil’s legislature is considering a bill that would store Brazilian citizens' Web data on domestic servers rather than on US ones in a bid to keep the information out of the National Security Agency's reach. Brazil also plans to lay new undersea fiber optic cable directly to Europe and build a South American version of the Internet, thereby circumventing the US-controlled portions of the Internet. This may sound ominously familiar to another project: Iran's attempt to build a "halal" Internet that's segregated from the Western version.

The United States is in the uncomfortable position of having to defend a contradictory position on Internet governance. Spying on Americans' and allies' online activity may not be antithetical to the White House's diplomatic goal — promoting Internet freedom overseas — but the military mission is orthogonal to it. If the Internet does start falling to pieces, it'll be an ironic consequence for the country that did so much to build it up.

ALA calls for leap forward in E-rate goals; streamlined program

The American Library Association (ALA) asked the Federal Communications Commission (FCC) to accelerate deployment of the high-capacity broadband needed to serve students and learners of all ages through our nation’s libraries and schools.

ALA calls for new strategic investments in telecommunications and broadband infrastructure, as well as program changes to improve cost-effectiveness and streamline processes to enable greater participation. America’s 16,417 public libraries serve more than 77 million computer users each year, yet only half of these multi-user outlets offer Internet speeds above the FCC’s home broadband recommendation of 4 Mbps. Through these Internet connections, libraries support the education, employment and e-government resources and services all increasingly moving to “the cloud.”

Culminating two months of intensive review and research, the ALA’s response to the FCC’s most comprehensive E-rate proceeding since the program’s 1997 inception acknowledges this enormous opportunity for advancing the E-rate program. Monday’s filing also aligns with President Obama’s ConnectED goal to connect America’s students through libraries and schools to the Internet through high-speed broadband and high-speed wireless within five years. The ALA calls for new E-rate funding to jumpstart and sustain high-capacity and high-speed Internet connections that support digital learning and economic development through libraries and schools. The current funding cap on the program consistently falls far short of meeting basic demand for Internet-enabled education and learning services, and technology trends clearly show needs and future capabilities only are growing.

To address this, ALA supports a two-pronged approach: 1) New temporary funding is needed to support the build-out of high-capacity broadband networks and especially provide increased support for libraries with the lowest levels of broadband connectivity. 2) A permanent increase in funding is not only justified but is a sound investment for the country.

ALA’s comments also encourage the FCC to:

  • Provide additional E-rate discounts for remote rural libraries that often confront the greatest broadband costs;
  • Streamline the E-rate’s application review process to incent consortium purchasing and replace E-rate program procurement rules with those of the applicable locality or state;
  • Lower barriers to deployment of dark and lit fiber and ownership of wide area networks when they are the most cost-effective ways to deliver high-capacity broadband to libraries and schools;
  • Work in cooperation with the library and schools communities to develop scalable bandwidth targets and benchmarks for measuring progress against these targets; and
  • Eliminate the Form 470 and allow applicants to file an “evergreen” Form 471 for multi-year contracts.

'Do not track' law needed for consumers, says Chairman Rockefeller

Consumers need legislation to protect them from online tracking, Senate Commerce Committee Chairman Jay Rockefeller (D-WV) said after an online ad group announced it was withdrawing from do not track talks at the World Wide Web Consortium (W3C).

Earlier this year, Chairman Rockefeller introduced a "do not track" bill that would allow consumers to opt-out of online tracking. “Legislation is the only way to give consumers more control over their personal information” when it comes to online tracking, he said. “When the online advertising industry has no incentive to provide consumers with strong privacy protections, this is the result,” he said in a statement, referring to the advertising representatives walking away from the talks. Federal Trade Commission Chairwoman Edith Ramirez said that she is frustrated with an online advertising group’s decision to withdraw.

US court defends its support for collecting phone data

The surveillance court that oversees the US government's massive collection of telephone data gave its fullest defense to date of why it considers the program lawful, despite the uproar after its existence was made public in June.

In an opinion dated Aug 29, Judge Claire Eagan of the US Foreign Intelligence Surveillance Court wrote that the program did not violate the basic privacy rights of Americans and was authorized under the 2001 law known as the Patriot Act. "The court concludes that there are facts showing reasonable grounds to believe that the records sought are relevant to authorized investigations," wrote the judge, one of 11 who serve on the surveillance court. US officials have said the database is valuable in preventing attacks by al Qaeda and other militant groups, and that access to the database is limited to trained personnel who are investigating international terrorist organizations. Judge Eagan's opinion is notable for its sweeping grant of authority to the government, perhaps because lawyers from the Justice Department are the only ones who argue before the secretive court, said Alex Abdo, a staff attorney at the American Civil Liberties Union. "When the court has in front of it only the government's arguments, it's not surprising that the opinion reads like a brief written by the government," Abdo said.

AT&T Said to Seek Sale of Cell Towers Valued at $5 Billion

AT&T, the largest US phone company, is seeking buyers for its wireless towers and working with TAP Advisors and JPMorgan Chase on the sale, according to people familiar with the matter.

The assets could fetch about $5 billion and possible buyers include Crown Castle International, SBA Communications and American Tower, said one of the people, who asked not to be identified because the process isn’t public. A sale would bolster AT&T’s balance sheet as it undertakes a $14 billion network upgrade, plans a stock buyback that may top $11 billion, and considers acquisitions in Europe. The tower industry is consolidating, with fewer companies controlling bigger swaths of the equipment needed to transmit wireless signals amid booming demand for mobile communications.

Statement of Acting Chairwoman Mignon Clyburn on Circulation of Rural Call Completion Order

“It is shocking that in this day and age, long-distance calls to rural Americans all too often are not being completed. Emergency calls to state troopers have failed. Families trying to check on the health and well-being of elderly parents cannot get through. Rural businesses have lost customers frustrated when it appears that no one is there to take an order. All told, this is a serious and unacceptable situation for people living in rural America. So I am pleased to announce that, today, I circulated an Order and Further Notice of Proposed Rulemaking that will help make sure that calls to rural areas are completed. The Order will enhance the FCC’s ability to investigate and crack down on this problem while also taking immediate steps that will improve the performance of long-distance calls to rural America.”

NTIA Petitions the FCC to Mandate Mobile Device Unlocking

Citing the need for greater competition and consumer choice in the marketplace for wireless services, the National Telecommunications and Information Administration (NTIA) formally petitioned the Federal Communications Commission (FCC) to require wireless carriers to unlock mobile phones, tablets, and other devices for use with other carriers upon request.

“Americans should be able to use their mobile devices on whatever networks they choose and have their devices unlocked without hassle,” said Assistant Secretary of Commerce for Communications and Information and NTIA Administrator Lawrence E. Strickling. The petition requests that the FCC immediately initiate the process of setting rules that protect Americans’ investments in mobile devices by allowing them to use their equipment with any compatible network.

5 things neither side of the broadband debate wants to admit

[Commentary] The broadband debate desperately needs new, creative thinking. And the first step is for each side to admit where they've gotten it wrong. Here are a few suggestions.

  1. American wireless service is working pretty well. Some left-leaning thinkers still bemoan the state of the wireless market, blaming the problem on excessive control by wireless network operators. But the reality is that competition among the four major cell phone carriers has served American consumers pretty well.
  2. We're falling behind on residential broadband. More recently, incumbent telephone companies have largely given up on competing with cable providers. That has given cable companies in many parts of the country a de facto monopoly on high-speed broadband service, resulting in slow innovation and poor customer service.
  3. We desperately need more broadband experimentation. Our broadband present is mediocre, but the real problem is that for many communities, there's no serious plan for progress in the future. It's not clear what the best approach is for getting the whole country to gigabit fiber networks. More experimentation is needed. That means, for example, that state laws banning cities from building municipal networks are a bad idea
  4. Discrimination concerns are mostly about video streaming. The emergence of smartphones with fast network connections has mooted both concerns. Telephone incumbents have far more to fear from cell phones than they do from VoIP applications. And with everyone carrying a web browser in their pockets, there's little danger of a residential broadband provider trying to censor websites.
  5. "Network neutrality" probably isn't the answer. As the Internet becomes increasingly dominated by large players that interconnect directly with each other, network neutrality rules will become less and less effective at preventing incumbents from using their market power against competitors. Other approaches will be needed to ensure the Internet stays open and competitive.

Admitting 5 Things About Broadband

[Commentary] Over at The Switch, Timothy Lee offered his list of 5 things neither side of the broadband debate wants to admit. I wanted to take a moment to add a bit of color to the list, to try and give you a sense of how we think about some of these things.

  1. Wireless: While no one would argue that the state of mobile software has improved massively since 2007, I don’t know that I would go so far as to say that concerns about network operator control are necessarily obsolete. Even today we have carriers preventing some types of services from running on phones connected to their network. And carriers are still working hard to prevent you from unlocking the phone that you own from their network.
  2. Wireline: DSL and satellite are not viable broadband competitors. Coming to terms with this state of affairs would bring us a huge way towards developing rational broadband policies.
  3. Broadband experimentation: We get wary that “experimentation” can also be interpreted as an excuse for existing ISPs to inject themselves into the value chain through data caps or special priority fast lanes. In a world with limited broadband competition, there are few market protections for consumers with ISPs who want to experiment by exploiting their control over customers.
  4. Discrimination concerns: Video is not the only potential victim of discrimination. The Internet moves quickly and new applications can seemingly emerge overnight. While the discussion is about video today, that doesn’t mean that it will be about video tomorrow.
  5. Network Neutrality: There are going to be a number of developments that raise concerns about Internet access but have nothing to do with network neutrality. That being said, net neutrality is an answer to some of those concerns. Verizon recently explained that the Federal Communication Commission’s net neutrality rules were the only thing preventing it from trying to force some websites and services to pay to get special access to its customers. I’m pretty confident that the existence of network neutrality is at least, in part, the reason that problematic behavior has migrated to other places in the network.

Teen advocacy groups ask FTC to block Facebook privacy changes

A coalition of more than 20 public health, youth and consumer groups that advocate for the health and welfare of teens are raising concerns about the potential negative effects of proposed changes to Facebook's privacy policy and are calling on the Federal Trade Commission to block the changes.

The American Academy of Pediatrics, the National Collaboration for Youth, Pediatrics Now and Yale Rudd Center for Food Policy and Obesity are among those groups objecting to new language under which parents or legal guardians would automatically give their permission for Facebook to use the name, image and personal information of teens in advertisements on the service. In a letter to the Federal Trade Commission, the groups said the proposed changes would expose teens to the same ad targeting and data collection as adults.