October 2013

Former NSA chief learns the other side of eavesdropping thanks to a Twitter user

“Former NSA spy boss Michael Hayden on Acela behind me blabbing ‘on background as a former senior admin official,’ ” tweeted Tom Matzzie, a former Washington director of the political group Move On.org . “Sounds defensive.” For the next 15 minutes, the accidental eavesdropper gave periodic — and detailed — updates about Hayden’s conversation.

At one point, Hayden dropped the name “Massimo,” which led Matzzie to suspect Hayden was talking to Time’s national security reporter, Massimo Calabresi. “Michael Hayden on Acela giving reporters disparaging quotes about admin,” wrote Matzzie. “ ‘Remember, just refer as former senior admin.’ ” Hayden denied chastising the Obama administration. “I didn’t criticize the president,” Hayden told The Washington Post. “I actually said these are very difficult issues. I said I had political guidance, too, that limited the things that I did when I was director of NSA. Now that political guidance [for current officials] is going to be more robust. It wasn’t a criticism.” He said he told Calabresi that Obama’s decision to use a BlackBerry put his communications at risk, and the NSA decided it needed to make his device more secure. Matzzie, Hayden said, “got it terribly wrong.” He dismissed the tweets as a“[B.S.] story from a liberal activist sitting two seats from me on the train hearing intermittent snatches of conversation.”

Why the Government Never Gets Tech Right

[Commentary] For the first time in history, a president has had to stand in the Rose Garden to apologize for a broken Web site.

But HealthCare.gov is only the latest episode in a string of information technology debacles by the federal government. So why is it that the technology available to President Barack Obama as president doesn’t compare to the technology he used to win an election? Much of the problem has to do with the way the government buys things. The President should use the power of the White House to end all large information technology purchases, and instead give his administration’s accomplished technologists the ability to work with agencies to make the right decisions, increase adoption of modern, incremental software development practices, like a popular one called Agile, already used in the private sector, and work with the Small Business Administration and the General Services Administration to make it easy for small businesses to contract with the government. Large federal information technology purchases have to end. Any methodology with a 94 percent chance of failure or delay, which costs taxpayers billions of dollars, doesn’t belong in a 21st-century government.

[Clay Johnson, a former Presidential Innovation Fellow and lead programmer for Howard Dean’s 2004 campaign, is the chief executive officer of the Department of Better Technology, a nonprofit that develops technology for governments. Harper Reed is the former chief technology officer of Obama for America.]

FCC Set to Ease Media Ownership

The Federal Communications Commission is considering softening the decades-old 25% foreign-ownership limit on TV and radio stations, a move that could open up new sources of investment capital at a time of frenzied consolidation in the television station sector. At its Nov. 14 meeting, the FCC will vote on a measure to encourage foreign ownership of struggling broadcast stations.

The 25% ownership limit is rooted in federal law, although the FCC has always had the authority to waive the rule for individual companies. It rarely uses that ability, however. The FCC hopes next month's declaration will encourage broadcasters to consider applying for a waiver, rather than simply assuming the Commission would reject expanded foreign ownership. The move could have far-reaching consequences for some in the media sector, including Spanish-language broadcaster Univision Communications, which is controlled by private-equity firms but whose shareholders include Mexican media giant Grupo Televisa. Televisa owns 8% of Univision's equity and debt that is convertible into more equity, a deal that was structured around the 25% foreign-ownership cap. Should the FCC soften its treatment of the cap, Televisa could become a potential suitor for Univision.

How ad industry's youth obsession is wrecking the TV business

The TV industry, like much of corporate America, chases youth. That pursuit has a major impact on programming.

It helps explain why a low-rated show such as NBC's "Community" can keep going (and going, and going ...) while older-skewing shows are usually toast. Even if they have more total viewers. Most TV networks are chasing viewers in the "demo," or the demographic ages 18 to 49 as measured by Nielsen. But how and why did that happen? And is that even rational? The first question is easier to answer. During the early years of commercial TV, Nielsen estimated total audiences. It sounds ridiculous in our tech-savvy world, but back then Nielsen's measurements depended largely on written diaries that members of each household in the survey were obligated to fill out. That's how we know, for example, that 73-million people watched The Beatles on Ed Sullivan's show in February 1964. It's also why network TV aimed for mass audiences and maintained conventions such as a "family hour," when parents and kids could sit down together to watch shows. This led critics to charge that executives were programming a "lowest common denominator" medium — a "vast wasteland," in the timeless phrase of former FCC chief Newton Minow — that weeded out minority views and tastes. But it was how TV worked for 40 years.

But when Nielsen introduced "people meters" in 1987, that all changed. These meters allowed for more precise measurement of viewing — and also for speedy and detailed breakdowns by age and gender. Marketers loved this data. The ad industry believed young adults were the most valuable market segment by far. Even though older adults usually had greater net worths, young people went out more and spent more money on movies and beer. Also, people under 40 were believed to be more susceptible to ad pitches and hence more likely to change brands or to try something totally new. The effect on TV programming was dramatic.

Germany, Brazil Turn to UN to Restrain American Spies

Brazil and Germany joined forces to press for the adoption of a United Nations General Resolution that promotes the right of privacy on the Internet, marking the first major international effort to restrain the National Security Agency's intrusions into the online communications of foreigners, according to diplomatic sources familiar with the push. Brazilian and German diplomats met in New York today with a small group of Latin American and European governments to consider a draft resolution that calls for expanding privacy rights contained in the International Covenant Civil and Political Rights to the online world.

Germany wants a German Internet as spying scandal rankles

As a diplomatic row rages between the United States and Europe over spying accusations, state-backed Deutsche Telekom wants German communications companies to cooperate to shield local internet traffic from foreign intelligence services. Yet the nascent effort, which took on new urgency after Germany said that it had evidence that Chancellor Angela Merkel's mobile phone had been monitored, faces an uphill battle if it is to be more than a marketing gimmick.

It would not work when Germans surf on websites hosted on servers abroad, such as social network Facebook or search engine Google, according to interviews with six telecom and internet experts. Deutsche Telekom could also have trouble getting rival broadband groups on board because they are wary of sharing network information. More fundamentally, the initiative runs counter to how the Internet works today -- global traffic is passed from network to network under free or paid-for agreements with no thought for national borders.

Merkel and Hollande to change intelligence ties with US

Angela Merkel, the German chancellor, said she and her French counterpart would launch a “joint initiative” to renegotiate their intelligence services’ co-operation with the US, saying protocols must be set following revelations of widespread American eavesdropping on European leaders.

Merkel said other countries were welcome to join the initiative, but at the outset they would involve only parallel bilateral efforts between the American intelligence agencies and, separately, Paris and Berlin. She said she and François Hollande, the French president, hoped to complete the agreements with the US by the end of the year. Although she did not lay out specific red lines to be included in such agreements, some officials said she is likely seeking something similar to the “five eyes” deal between the US, UK, Canada, Australia and New Zealand, in which the English-speaking allies work almost seamlessly on signals intelligence.

US spying in Europe: Will it backfire on Google and Facebook?

A public backlash against reported US surveillance activities in France, Germany, and Italy could lead to tough new laws that put American technology companies in the tough spot of being forced to defy either US authorities or the European Union.

The revelations have revived EU legislation that would force companies such as Facebook, Yahoo, or Google to get approval from European officials before handing over data on European residents to US law enforcement -- or face enormous fines. If enacted, there could be sticky situations where “a US company would be faced with a valid request for data by US authorities and the EU is saying they can’t supply it,” says Christopher Wolf, a global privacy law expert at Hogan Lovells in Washington. But Wolf and others accuse EU nations of political grandstanding, saying they, too, are conducting mass surveillance -- and it’s far from clear any new restrictions aimed at US firms would greatly improve Europeans’ privacy.

Thoroughly Modern Merkel: Always Texting

German Chancellor Angela Merkel’s texting habits are so well-known in Germany that it was national news when the government announced it would be updating its secure cellphone systems with a service that ran on BlackBerry devices instead of Nokias.

The company that created the encryption system, Secusmart GmbH, dubbed it the Kanzlerphone, or Chancellor Phone. In an indication of the sensitivity of the matter, Secusmart issued a news release claiming the device possibly eavesdropped on by the US wasn't a Secusmart-secured phone but one issued to Merkel by her political party. Neither the German government nor Merkel's party, the Christian Democratic Union, confirmed that claim. The government said it was Merkel's personal cellphone that may have been under surveillance, but didn't specify who provided it. But the reports highlighted the pitfalls facing world leaders who want to stay connected.

Superfast Internet boost as rollout reaches three in four homes in UK

Almost three in four homes in the UK can access superfast broadband, a sharp increase from last year that will bolster government ambitions to make services available across the country.

The annual broadband report by Ofcom, the UK telecoms regulator, showed more than a fifth of homes have so far taken the often expensive superfast broadband packages, a number that has doubled over the past year. However, almost 8 percent of broadband connections are still very slow, at less than 2Mbit per second, highlighting the troubles experienced in remote areas. Ofcom also highlighted worries over mobile coverage on the roads and railways after gauging availability for the first time. The regulator found that only just over a third of the length of the country’s A and B roads were covered by all four of the country’s 3G network providers. It found that almost 10 percent had no 3G coverage at all, with a quarter of motorways also not covered by the main operators.