December 2013

White House declines to split NSA, Cyber Command

The Obama Administration has decided against separating the leadership of the National Security Agency and the Pentagon’s premier force in cyberspace, a move that all but ensures continued military leadership of both entities.

The White House began studying the potential divorce when Gen. Keith Alexander indicated he would retire from the helm of both organizations early next year -- but a spokeswoman for the Administration, Caitlin Hayden, said the current setup “is the most effective approach to accomplishing both agencies’ missions.” The move guarantees that any future director of both the NSA and U.S. Cyber Command must remain a military officer, a senior Administration official later confirmed. For now, the Administration believes the existing setup is critical to both counterterrorism and cybersecurity. “NSA plays a unique role in supporting Cyber Command’s mission, providing critical support for target access and development, including linguists, analysts, cryptanalytic capabilities and sophisticated technological infrastructure,” said Hayden. “These capabilities are essential in enabling DoD cyberspace operations planning and execution.” “Without the dual-hat arrangement, elaborate procedures would have to be put in place to ensure that effective coordination continued and avoid creating duplicative capabilities in each organization,” she continued.

Public Knowledge Seeks Appeals Court Review of FilmOn Injunction

Labeling FilmOn an "antenna rental service," Public Knowledge has filed a friend of the court (amicus) brief asking the Federal D.C. Court of Appeals to reconsider a D.C. District court decision to block the service.

Like Aereo, whose various broadcaster court challenges have been appealed to the Supreme Court, FilmOn uses remote antennas to deliver TV station programming over the Internet. And like Aereo, FilmOn argues it is not providing a public performance requiring copyright payments, but instead is providing access to individual antennas collecting the free TV signals users are entitled to. Public Knowledge says such services are "likely legal" (Public Knowledge also filed amici briefs in support of Aereo in its various court battles with broadcasters), but it is more concerned in this instance with the standard the district court used in issuing a preliminary injunction, which it says was misapplied and, if left standing, could discourage technological innovation. "The court misapplied the preliminary injunction standard, invoking categorical presumptions forbidden by Supreme Court precedent and factual assumptions that, if affirmed, could create a systematic bias against emerging technologies, suppressing investment and vital risk-taking," Public Knowledge told the appeals court. Regardless of the outcome of this case, this Court should disavow these errors..." Public Knowledge says the court erred in presuming that the public interest in copyright protection is always served by granting injunctions, and argues that the public's interest in promoting broadcast reception would actually be harmed by an injunction -- broadcasters argue it is just the opposite.

Cablevision says broadcasters overreaching in Aereo case

Cablevision Systems said that broadcast networks are seeking a "radical" legal ruling that would spell trouble for cloud-based content services and threaten Cablevision's ability to offer DVR recording to its customers. The position taken by Cablevision is the latest development in hard-fought litigation involving Aereo, an online television venture backed by Barry Diller, as well as broadcast networks and cable providers.

Broadcasters including Walt Disney's ABC and Comcast Corp's NBCUniversal claim that Aereo's streaming service violates their copyright. Aereo does not pay licensing fees to the broadcasters, while pay-TV operators, such as Cablevision and Comcast, shell out billions in retransmission consent fees to broadcasters. The television industry is closely watching the case to see whether it could disrupt the traditional TV model. The industry sees Aereo and similar services as a threat to its ability to control subscription fees and generate advertising income, its two main sources of revenue.

Huawei Pulls Back on Network Side, but Still Hopes to Build U.S. Brand for Phones

While it is ready to concede that the time isn’t right to crack the US cellular network gear market, Huawei still wants to make a name for itself in the market for smartphones.

Globally, the Chinese firm sells a range of smartphones, including plenty in the middle and higher ends of the market. In the US, though, it has struggled to move beyond entry-level devices, mostly for prepaid carriers such as Cricket’s Leap and T-Mobile’s MetroPCS. “What is stopping us is we don’t have strength of brand at the high end,” said Executive VP Colin Giles, who joined Huawei in July after spending more than a decade running Nokia’s operations in China. The company has tried efforts such as sponsorships and movie tie-ins, but Giles said that changing the perception of the company will take time, and will require a sustained investment. “If you are serious about the US, you need to commit to marketing,” Giles said in an interview.

Netflix Says Binge Viewing is No 'House of Cards'

Netflix is trying to better understand your binge-viewing habits. The company will reveal a snapshot of a phenomenon that is reshaping TV culture -- viewers devouring shows in long jags, episode after episode. Executives say they found a strikingly consistent pattern in the pace at which people binge: In general, about half the viewers studied finished a season (up to 22 episodes) within one week.

"Our viewing data shows that the majority of streamers would actually prefer to have a whole season of a show available to watch at their own pace," said Ted Sarandos, chief content officer of Netflix. The data adds to evidence that binge viewing is becoming a social norm. It also shows that no matter what kind of shows are available, viewing patterns are remarkably similar. Netflix's message is that the stream-and-binge model it helped create is here to stay, undermining the stereotype of stupefied couch potatoes.

10 Surprising Things Connected to the Internet

A new report published by the Center for Data Innovation showcases just how diverse the “things” connected to the Internet can be.

  1. Trash Cans -- a solar-powered trash can and compactor that uses its online connection to alert sanitation crews when it is full
  2. Bridges -- in order to improve safety, researchers and engineers in the U.S. and around the world are using bridge sensors that can detect structural changes.
  3. Parking Lots -- self-powered, wireless parking sensors to collect real-time data on the occupancy of individual parking spaces.
  4. Buses -- In St. Louis, the public bus service MetroBus is using electronic sensors to collect information on bus speed, engine temperature and oil pressure.
  5. Hand-Washing Stations -- HyGreen is currently using their hand-washing reminder and recording system in hospitals to prevent the spread of diseases.
  6. Helmets -- the sensor hails from Shockbox, a company that pitches the helmet sensor as a way to eliminate the guesswork on possible concussions and to improve injury notifications to parents.
  7. Egg Cartons -- A line of LED lights in the tray display which eggs are oldest and need to be used first.
  8. Pill Bottles -- trigger a series of escalating notifications that include flashing lights, text messages, audio reminders and phone calls.
  9. Water Monitors -- to identify a leak, be more conservative, or just check the accuracy of a utility bill
  10. Air Quality Monitors -- a device that senses and collects data in real-time about air quality in a home or office.

December 13, 2013 (FCC Meeting and Oversight Hearing)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for FRIDAY, DECEMBER 13, 2013

A double dose of spectrum today http://benton.org/calendar/2013-12-13/ [see a preview http://benton.org/node/169986]

NEWS FROM THE FCC
   FCC Outlines IP Transition Trials
   Research Pact Benefitting People With Hearing Disabilities Signed
   Benton Foundation Welcomes FCC's IP Transition Presentation - press release
   Public Knowledge Comments on the FCC's IP Transition Presentation - press release
   Free Press Focuses on Broadband Future in FCC Technology Transitions Task Force - press release [links to web]
   COMPTEL Comments on FCC Technology Transitions Policy Task Force Presentation - press release [links to web]
   USTelecom Welcomes Task Force Recommendations on IP Transition - press release [links to web]
   AT&T Statement on the FCC’s Task Force Recommendations on the IP transition - press release [links to web]
   The IP/Broadband Transition -- Public Policy Still Matters - research
   FCC Initiates Public Comment Period to Review Rules for Wireless Services Onboard Aircraft - press release
   Ban on in-flight calling proposed because people talking is annoying
   FCC Adopts Rules to Make 911 Calling More Reliable - press release
   FCC, cellphone carriers agree to 'unlocking' policy
   FCC’s Rosenworcel: We Need Engineers - speech [links to web]

FCC OVERSIGHT
   Recap: FCC Oversight Hearing

GOVERNMENT & COMMUNICATIONS
   Review Panel Said to Urge NSA Curbs
   The NSA is out of control and must be stopped - The Verge editorial [links to web]
   This White House petition on Internet privacy now requires a response
   Verizon Responds to Shareholders’ Concerns on User Data [links to web]

INTERNET/BROADBAND/TELECOM
   US Supreme Court rules for Sprint in fees fight
   Who Will Win the 1 GigaBit Ultra High-Speed Internet Race? - op-ed [links to web]
   Colorado School Broadband Provider Reports To Lawmakers [links to web]
   Austin may change rules to allow Google to attach fiber to AT&T’s poles [links to web]
   Cyber-enabled Competitive Data Theft: A Framework for Modeling Long-Run Cybersecurity Consequences - research [links to web]

SPECTRUM/WIRELESS
   White House: Continuing to Build Smart Policies for Spectrum Sharing - press release [links to web]
   iPhones Dominate Sales at All Four Major US Carriers [links to web]

TELEVISION/RADIO
   Aereo Supports Broadcasters Petition to Supreme Court [links to web]
   DirecTV Explores Online Video Service [links to web]
   FCC Proposes Fining Maryland Noncommercial Stations for EEO Violations [links to web]
   NAB on Retransmission: There's "Snow" Problem [links to web]
   HBO doesn’t think Netflix is a competitor. Here are all the reasons that’s wrong - analysis [links to web]
   Streaming-only cable package coming soon [links to web]

COMMUNITY MEDIA
   How Americans Value Public Libraries in Their Communities - research [links to web]

EDUCATION
   Here’s why we absolutely need education technology - analysis [links to web]
   Schools Use Web Tools, and Data Is Seen at Risk [links to web]

LABOR
   Chris Hayes attends secret union meeting with unhappy NBC workers [links to web]

JOURNALSIM
   Network News Coverage Of Obamacare Rollout Overwhelmingly Negative - research [links to web]
   Paywalls Boost Ad Rates for Some Magazines and Newspapers, OPA Study Finds [links to web]

OPEN GOVERNMENT
   Public Knowledge Supports Guidelines for Open Government Data - press release [links to web]

POLICYMAKERS
   Former Google executive to run U.S. patent office [links to web]

COMPANY NEWS
   Twitter reverses changes to blocking feature after mass protest
   Google’s Road Map to Global Domination [links to web]
   Fon makes Brooklyn the poster child for its shared Wi-Fi community in the US [links to web]
   CenturyLink's Ewing: We're evaluating other areas for FTTH [links to web]

STORIES FROM ABROAD
   Overtime work at Foxconn still beyond China’s legal limits
   Google’s Hopes of EU Settlement Suffer Blow
   Television and Mobile Ubiquitous In Vietnam [links to web]
   Copper theft leaves Londoners without broadband service [links to web]
   China Denies Spying on European Diplomats [links to web]

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NEWS FROM THE FCC

FCC OUTLINES IP TRANSITION TRIALS
[SOURCE: telecompetitor, AUTHOR: Joan Engebretson]
The Federal Communications Commission’s Technology Transitions Policy Task Force outlined its recommendations for trials, to be voted on in January by the full FCC, that would launch a wide-ranging effort to test the transition to Internet Protocol delivery. The January order, if adopted, would:
Invite service-based experiments with short timelines for submission, establishing criteria for experiments and creating a speedy process for public comment and commission evaluation. The focus will be on consumer impact
Recommend actions the commission should take to support targeted experiments and research
Describe structured observations and data collection initiatives
Establish a timeline for the adoption of a managerial framework to resolve important legal and policy questions raised by the TDM-to-IP transition
benton.org/node/170030 | telecompetitor | see the FCC presentation | B&C
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NATIONAL INSTITUTE ON AGING TO PARTNER ON RESEARCH ADVANCING ACCESSIBILITY TO COMMUNICATIONS
[SOURCE: Federal Communications Commission, AUTHOR: Press release]
Federal Communications Chairman Tom Wheeler and the National Institute on Aging (NIA) Deputy Director Dr. Marie A. Bernard signed an agreement to partner on research into the use of modern IP technology to improve and make more accessible phone service to Americans who are deaf, deaf-blind, or hard of hearing. Under the joint agreement, the FCC will collaborate with the NIA to develop and support research plans for assessing Internet Protocol (IP) technologies that can benefit older adults with hearing disabilities or deafness. Such benefits could be incorporated into the FCC’s Interstate Telecommunications Relay Services (TRS) program, which enables people with disabilities to do what most Americans take for granted: make a simple phone call. The interagency Memorandum of Understanding establishes guidelines for the two agencies to work together on objective, rigorous research into the current and anticipated use of IP-based relay technologies to provide service to people who are deaf, deaf-blind and hard of hearing. Specifically, the research plans will assess and evaluate the effectiveness, efficiency and consumer response to current and future approaches to delivering TRS, including automated speech-to-text and video plus automated speech-to-text technologies.
benton.org/node/170028 | Federal Communications Commission
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BENTON FOUNDATION STATEMENT
[SOURCE: Benton Foundation, AUTHOR: Amina Fazlullah]
The Benton Foundation commends the work of the Technology Transitions Policy Task Force. Today’s presentation is an important, positive step on a long road to transitioning to all-IP networks. We are glad to see the emphasis the FCC is placing on the universal deployment of broadband networks, promoting public safety, protecting consumers, and preserving and enhancing competition and interconnection. There’s strong consensus that the transition must embrace these core values. As the Commission considers the next steps in managing the transition, Benton asks that it also include in a new Network Compact additional values that are dear to consumers and crucial if vulnerable communities – children, seniors, low-income and minority households, and people and businesses in rural and remote areas – are to enjoy the full benefits of IP networks:
Affordability: Since enactment of the Communications Act of 1934, the availability of world-class networks at affordable rates has been a key policy goal.
Accessibility: The 54 million Americans with disabilities must be able to make full use of broadband networks and the video and voice services that run over these networks.
Diversity: In addition to ubiquitous availability, Americans must have the ability to access and distribute content that reflects the country’s diversity of viewpoints.
Openness: Consumers must retain their rights to utilize any legal applications, content, devices, and services of their choosing on the broadband networks to which they subscribe.
Speed: Consumers need fast networks that allow them access to, and choice of, a full range of services to meet their needs.
Innovation: For consumers, the promise of the IP transition is new services and ways to collaborate and communicate that are better and more advanced than current basic telephone communications.
While there’s no doubt that the nation is on the verge of a bold digital opportunity, smart policy decisions, not just capital investments, are needed if every American -- regardless of zip code, race, disability or income – is to get a chance to tap into a world where voice, video and information are available faster and in more and better ways than ever before. The Task Force advanced us on that path today; now is the time for the full Commission to act.
http://benton.org/node/169915
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PK STATEMENT
[SOURCE: Public Knowledge, AUTHOR: Harold Feld]
We are pleased to see that the FCC is taking a thorough and deliberative process that respects our fundamental values as well as the technology. This transition will impact everyone in the United States, whether they use traditional landline, a mobile phone or some sort of Internet based technology. This is a "network of networks," and every household and every business in America counts on all the pieces of this network working together smoothly. Those who keep claiming we can upgrade one-third of our communications network without any plan or oversight and have nothing go wrong are either fooling themselves or selling something. Those who express impatience with the FCC's deliberative approach need a healthy dose of humility about technology and an appreciation of what happens if people can't reach 9-1-1 because of glitch in the upgrade, or if people start to fall off the grid. If we want this to be an upgrade for everyone, not an upgrade for the lucky and a downgrade for the rest, we need a genuine public debate about the future of our phone system. Public Knowledge and the Center for Media Justice developed a toolkit to help Americans become active participants rather than passive spectators in the shaping of our digital future. We hope communities and businesses across America will take the opportunity created by this proceeding, as well as state and local government proceedings, to make their needs heard.
benton.org/node/170024 | Public Knowledge
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THE IP/BROADBAND TRANSITION – PUBLIC POLICY STILL MATTERS
[SOURCE: National Association of State Utility Consumer Advocates, AUTHOR: Trevor Roycroft]
Anna-Maria Kovacs’ recent white paper, prepared on behalf of the Internet Innovation Alliance, argues (1) that incumbent local exchange carriers (ILECs) are not investing in broadband because of alleged regulatory obligations that require wasteful investment in “duplicate” copper-based circuit-switched networks; (2) that the small volume of voice traffic, compared to all Internet protocol (IP) traffic, negates the importance of policy oversight of the IP transition; and (3) that competition has given consumers “a plethora of choices,” over “various platforms,” which further undermines the need for regulatory oversight. Dr. Kovacs’ arguments do not stand up to scrutiny. This transition does not eliminate the underlying public policy objectives that regulators have promoted -- affordable rates, high quality services, 911 access, or broadband deployment. The following areas continue to require the attention of policymakers, regardless of the technology that is utilized to provide critical telecommunications services: Affordability, Limited Competition, Reliability and Service Quality, Access to Emergency Services, Carrier of Last Resort and Universal Service, and Informed Consumers and Consumer Education.
benton.org/node/169956 | National Association of State Utility Consumer Advocates
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FCC INITIATES PUBLIC COMMENT PERIOD TO REVIEW RULES FOR WIRELESS SERVICES ONBOARD AIRCRAFT
[SOURCE: Federal Communications Commission, AUTHOR: Press release]
The Federal Communications Commission initiated a proceeding to consider a proposal that would permit airlines to install equipment on aircraft that could safely expand the availability of in-flight mobile wireless services to passengers. The FCC will now seek to solicit public input on the proposal, and will carefully review input from consumers and stakeholders before taking any final action. The proposed rules, if adopted after a period of public review and comment, would expand the existing default ban on the use of cellphones in-flight to include frequency bands not previously subject to the prohibition. However, if an airline chooses to equip its aircraft with specialized onboard equipment that would prevent harmful interference with wireless networks on the ground, the airline would have the ability to enable in-flight wireless broadband access to passengers. The new systems could allow airlines to offer an array of new choices to the flying public, including Internet, e-mail, text and potentially voice services. The new technology also would provide airlines with a high level of control over the in-cabin communications environment. The proposal would not require airlines to install onboard access systems or to provide mobile wireless services to passengers on their fleets. Under the proposal, the use of mobile wireless devices would still be prohibited as a default, unless an airline installs an onboard system to manage the service. Under the proposal, individual airlines would be free, consistent with the Commission’s rules and relevant Federal Aviation Administration (FAA) and Department of Transportation (DoT) rules, to make their own decisions about whether to offer mobile wireless services at all, and, if so, which services to offer. If an airline chooses to install new onboard equipment, consumers would be able to use their mobile devices’ full wireless data capabilities in addition to the current choice of access to Wi-Fi on some flights. Airlines would be in total control of what types of mobile services to permit onboard, including whether to permit Web surfing, emailing, and texting, but not voice calls. Specifically, the Commission’s Notice of Proposed Rulemaking seeks comment on the following proposals to:
Remove existing, narrow restrictions on airborne use of mobile devices in the 800 MHz cellular and Specialized Mobile Radio (SMR) bands, replacing them with a more comprehensive framework encompassing access to mobile communications services in all mobile wireless bands;
Harmonize regulations governing the operation of mobile devices on airborne aircraft across all commercial mobile spectrum bands;
Add the authority to provide mobile communications services on airborne aircraft across all commercial mobile spectrum bands to existing Part 87 aircraft station licenses;
Allow mobile communications services on airborne aircraft only if managed by an Airborne Access System certified by the FAA, which would control the emissions of onboard portable electronic devices (PEDs) by requiring them to remain at or near their lowest transmitting power level; and
Limit authorization for mobile communications services to aircraft travelling at altitudes of more than 3,048 meters (approximately 10,000 feet) above the ground.
benton.org/node/170014 | Federal Communications Commission | Chairman Wheeler | FCC FAQ | Washington Post | Washington Post | Bloomberg | The Hill | Washington Post | The Hill
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PEOPLE TALKING IS ANNOYING
[SOURCE: ars technica, AUTHOR: Jon Brodkin]
Although the Federal Communications Commission (FCC) voted to consider a rule change that would allow cellular phone calls during airplane flights, Department of Transportation Secretary Anthony Foxx said his department will consider banning in-flight calls. In addition Sens Lamar Alexander (D-TN) and Dianne Feinstein (D-CA) sponsored legislation called the Commercial Flight Courtesy Act to ban in-flight phone calls. "Over the past few weeks, we have heard of concerns raised by airlines, travelers, flight attendants, members of Congress, and others who are all troubled over the idea of passengers talking on cellphones in flight -- and I am concerned about this possibility as well," Sec Foxx said. "As the FCC has said before, their sole role on this issue is to examine the technical feasibility of the use of mobile devices in flight… DOT will now begin a process that will look at the possibility of banning these in-flight calls."
benton.org/node/170012 | Ars Technica | The Hill | Wall Street Journal | The Hill | Reuters | Los Angeles Times | The Hill | Politico
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FCC ADOPTS RULES TO MAKE 911 CALLING MORE RELIABLE
[SOURCE: Federal Communications Commission, AUTHOR: Press release]
The Federal Communications Commission adopted rules to help ensure that Americans’ phone calls to 911 are delivered during disasters. The rules are designed to improve 911 communications networks nationwide by requiring 911 service providers -- generally, the wireline phone companies that route both wireline and wireless calls to 911 call centers -- to take reasonable measures to provide reliable and resilient 911 service, as evidenced by an annual certification. The FCC also strengthened its rules to ensure that 911 service providers give 911 call centers timely and useful notification of 911 network outages. The new rules are designed to maximize flexibility for 911 service providers and account for differences in network architecture without sacrificing reliability. Accordingly, the rules require service providers to certify annually that they have either implemented industry-backed best practices or acceptable alternative measures that are reasonably sufficient in light of their particular circumstances, so long as they briefly explain those measures. The best practices cover three core areas: auditing 911 circuits for physical diversity, maintaining central office backup power, and maintaining reliable and resilient network monitoring systems. If needed, the Bureau may follow up with service providers to address deficiencies revealed by the certification process. The FCC will review these rules in five years to determine whether they are still technologically appropriate, adequate, and necessary. In addition, the FCC amended its rules to now give 911 service providers deadlines and other more specific requirements for notifying 911 call centers of outages.
Commissioners Pai and O’Rielly dissented.
benton.org/node/170010 | Federal Communications Commission | Chairman Wheeler | Commissioner Clyburn | Commissioner Rosenworcel | Chairman Pai | Chairman O’Rielly
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FCC, CELLPHONE CARRIERS AGREE TO 'UNLOCKING' POLICY
[SOURCE: The Hill, AUTHOR: Brendan Sasso]
Under pressure from the Federal Communications Commission, major cellphone carriers agreed to a new policy to allow customers to "unlock" their phones and switch providers. The companies agreed to the voluntary policy after FCC Chairman Tom Wheeler warned them they could face mandatory regulations if they failed to act. CTIA, the lobbying organization for the cellphone industry, said it plans to include the policy in its bylaws. Here are the half-dozen steps to assist with consumer unlocking per CTIA’s letter to the FCC:
1. Disclosure. Each carrier will post on its website its clear, concise, and readily accessible policy on postpaid and prepaid mobile wireless device unlocking.
2. Postpaid Unlocking Policy. Carriers, upon request, will unlock mobile wireless devices or provide the necessary information to unlock their devices for their customers and former customers in good standing and individual owners of eligible devices after the fulfillment of the applicable postpaid service contract, device financing plan or payment of an applicable early termination fee.
3. Prepaid Unlocking Policy. Carriers, upon request, will unlock prepaid mobile wireless devices no later than one year after initial activation, consistent with reasonable time, payment or usage requirements.
4. Notice. Carriers that lock devices will clearly notify customers that their devices are eligible for unlocking at the time when their devices are eligible for unlocking or automatically unlock devices remotely when devices are eligible for unlocking, without additional fee. Carriers reserve the right to charge non-customers/non-former-customers a reasonable fee for unlocking requests. Notice to prepaid customers may occur at point of sale, at the time of eligibility, or through a clear and concise statement of the policy on the carrier’s website
5. Response Time. Within two business days after receiving a request, carriers will unlock eligible mobile wireless devices or initiate a request to the OEM to unlock the eligible device, or provide an explanation of why the device does not qualify for unlocking, or why the carrier reasonably needs additional time to process the request.
6. Deployed Personnel Unlocking Policy. Carriers will unlock mobile wireless devices for deployed military personnel who are customers in good standing upon provision of deployment papers.
Brian Fung at the Washington Post writes, “Everyone leaves happy, right? Not exactly.” Fung points out that the agreement leaves your carrier the sole gatekeeper for all unlocking requests. So if you're preparing to travel abroad and want to use your device on European networks, chances are your unlocking request will be turned down if you aren't already at the end of your contract.
benton.org/node/170008 | Hill, The | CTIA – The Wireless Association | CTIA statement | AdWeek | The Verge | GigaOm | | GigaOm | Reuters | Reuters | Washington Post | Washington Post – Fung | ars technical | IDG News Service
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FCC OVERSIGHT

RECAP: FCC OVERSIGHT HEARING
[SOURCE: Benton Foundation, AUTHOR: Kevin Taglang]
The Communications and Technology Subcommittee of the House Commerce Committee gathered all Federal Communications Commission members for an oversight hearing. In general, there was more praise than criticism for the FCC’s work. Rep Anna Eshoo (D-CA), ranking member of the subcommittee, said FCC Chairman Tom Wheeler had 100% goodwill from the committee and she thought probably the entire Congress. FCC Commissioner Jessica Rosenworcel was praised for her E-rate advocacy, and former Acting Chair Mignon Clyburn was repeatedly hailed for her accomplishments.
The biggest controversy for new Chairman Wheeler walking into the hearing was his decision to begin a proceeding that could result in a lift in the ban on in-flight cellphone use. Chairman Wheeler was forced to defend the rulemaking by describing the FCC as a “technical agency.” “Where there is new onboard technology that eliminates the potential for interference, then there is no need for an interference rule,” said Chairman Wheeler. He went on to say that he had discussed the possible agency moves with Transportation Secretary Anthony Foxx. "I have spoken to Transportation Secretary Foxx this morning, and he has told me that yes, the FCC is the technical agency and that the Department of Transportation is the aviation agency and that they will be moving on a rule to address voice calls on airplanes," Chairman Wheeler said.
Past in-flight calls, Subcommittee Chairman Greg Walden (R-OR) blasted the FCC for failing to address “long overdue responsibilities,” such as the review of media ownership rules now nearly three years behind schedule. He also took the FCC to task for a study on reducing minority barriers to entry that he said crossed the line by investigating how broadcast stations make editorial decisions. Chairman Wheeler said that in order to determine whether there are barriers to entry, the FCC must get data, and that to collect data it needs to do studies. He said flatly that the study in question was not an effort to influence the media.
The members of the subcommittee was concerned about details and decisions that the FCC will need to make around the spectrum auction, which will provide much needed spectrum for the mobile marketplace and fund the public safety network. Chairman Wheeler promised that next month the FCC would start providing some of the information that the stakeholders need to make that decision, pointing out that "before he took this job I was in the business of doing business deals." He was a venture capitalist, and that was what the auction was. "This is a business decision that someone who has a license needs to make a decision about," he said.
Democrats wanted some assurances (and they got them) on a number of other issues, including network neutrality, making sure the agency would continue to work to expand broadband to schools through the E-rate program, and building out a next generation public safety network.
FCC Commissioner Ajit Pai said the commission shouldn’t ax its UHF discount without also considering raising its national cap on broadcast TV station ownership -- which currently bars broadcasters from owning television stations reaching more than 39% of the nation’s TV homes. “This step is long overdue, notwithstanding any change to the UHF discount,” said Commissioner Pai. “Eliminating the UHF discount would substantially tighten the national ownership limit.” Pai’s comments were quickly endorsed by the National Association of Broadcasters.
benton.org/node/170006 | Benton Foundation | AdWeek | The Hill | Broadcasting&Cable | TVNewsCheck | TVNewsCheck
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INTERNET/TELECOM

COURT RULES FOR SPRINT
[SOURCE: Reuters, AUTHOR: Lawrence Hurley]
The Supreme Court ruled for a Sprint Nextel subsidiary locked in a dispute with the utilities regulator in Iowa. The High Court said in a unanimous ruling that a federal district court can consider a lawsuit filed by subsidiary Sprint Communications challenging an Iowa Utilities Board decision even though the legal process in Iowa courts is not yet complete. The dispute arose in 2009 when Sprint declined to pay access charges for its calls carried by Iowa Telecom - now Windstream Iowa Communications - that were transmitted over the Internet rather than the traditional phone network. The Iowa Utilities Board, which regulates telecommunications in the state, said Sprint was required to pay. Sprint maintains that under the federal Telecommunications Act of 1996, VoIP calls are an "information service" not a "telecommunications service" and that therefore the company does not have to pay access charges.
benton.org/node/170039 | Reuters
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GOVERNMENT & COMMUNICATIONS

REVIEW PANEL SAID TO URGE NSA CURBS
[SOURCE: New York Times, AUTHOR: David Sanger]
A presidential advisory committee charged with examining the operations of the National Security Agency has concluded that a program to collect data on every phone call made in the United States should continue, though under broad new restraints that would be intended to increase privacy protections, according to officials with knowledge of the report’s contents. The committee’s report, the officials said, also argues in favor of codifying and publicly announcing the steps the United States will take to protect the privacy of foreign citizens whose telephone records, Internet communications or movements are collected by the NSA. But it is unclear how far that effort would go, and intelligence officials have argued strenuously that they should be under few restrictions when tapping the communications of non-Americans abroad, who do not have constitutional protections under the Fourth Amendment. The advisory group is also expected to recommend that senior White House officials, including the president, directly review the list of foreign leaders whose communications are routinely monitored by the NSA. One of the expected recommendations is that the White House conduct a regular review of the NSA’s collection activities, the way covert action by the CIA is reviewed annually. Another likely recommendation, officials say, is the creation of an organization of legal advocates who, like public defenders, would argue against lawyers for the NSA and other government organizations in front of the Foreign Intelligence Surveillance Court, the nation’s secret court that oversees the collection of telephone and Internet “metadata” and of wiretapping aimed at terrorism and espionage suspects. President Obama has already hinted that he objects to the absence of any adversarial procedures in front of the court’s judges.
benton.org/node/170047 | New York Times | WSJ
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THIS WHITE HOUSE PETITION ON INTERNET PRIVACY NOW REQUIRES A RESPONSE
[SOURCE: Washington Post, AUTHOR: Brian Fung]
Over 100,000 people have signed onto a WethePeople petition asking President Barack Obama to support changes in a 27-year-old privacy law called the Electronic Communications Privacy Act (ECPA). The law, which was written in 1986, and long before Gmail and Facebook, allows the seizing of e-mail and other digital communications without a warrant. Critics say it doesn't provide enough privacy protections for online communications. "Americans are deeply concerned about NSA surveillance," the petition reads. "But the NSA’s not the only problem. An outdated law says the IRS and hundreds of other agencies can read our communications without a warrant." Crossing the 100,000-signature threshold means that the White House must now issue a response to the petitioners, though there's no telling when that might come. The petition narrowly made the deadline with several hundred extra signatures to spare (and more are still coming in).
benton.org/node/169984 | Washington Post | read the petition | The Hill
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COMPANY NEWS

TWITTER REVERSAL
[SOURCE: Los Angeles Times, AUTHOR: Jessica Guynn]
In a quick reversal, Twitter has rolled back most of the controversial changes it made to its “block” feature after a sharp outcry from users. The mass protest on Twitter was the first for Twitter as a public company. Executives held an emergency meeting to deal with the escalating situation. Twitter users took to the service to protest under the hashtag #RestoreTheBlock. They said the changes to the block feature would encourage online abuse and harassment on the service. Many women in particular said they would no longer feel safe on Twitter, where they say they receive rape and other threats. Under the original system, users could prevent people who were harassing them from following them and interacting with their tweets. Under the new rules that Twitter rolled out Dec 12, a blocked user could view the person’s tweets and tweet at the person. Twitter said it was trying to protect victims of harassment from retaliation. But users did not see it that way.
benton.org/node/170040 | Los Angeles Times | San Francisco Chronicle
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STORIES FROM ABROAD

FOXCONN WORKING CONDITIONS
[SOURCE: Financial Times, AUTHOR: Sarah Mishkin]
Apple supplier Foxconn has improved factory conditions since a series of worker suicides drew attention to the company’s labor practices in 2010, but workers still do more overtime than permitted by Chinese labor law, an audit of its operations has found. Foxconn is “not in compliance” with Chinese law allowing only 36 hours of overtime a month, according to an inspection by the Fair Labor Association, a monitoring group brought in by Apple to help the company improve working conditions. FLA’s report is its final verification that Foxconn, also known as Hon Hai Precision Industries, is adhering to earlier agreed upon plans to improve working conditions. Although overtime remains a problem, the company made progress reducing working hours and improved factory facilities by building additional exits and toilets. After this, FLA said it “expects . . . Apple will continue to monitor compliance at Foxconn.”
benton.org/node/170037 | Financial Times
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GOOGLE’S HOPES OF EU SETTLEMENT SUFFER BLOW
[SOURCE: Wall Street Journal, AUTHOR: Vanessa Mock]
Google’s hopes of settling its high-profile antitrust case in the European Union suffered a setback as rivals and consumer groups publicly blasted its latest proposal for resolving the EU's competition concerns. A raft of complainants said the Internet giant's new proposals were only a modest improvement on an earlier offer, and would do next to nothing to improve competition in online search. The negative feedback intensifies pressure on the EU's antitrust chief, Joaquín Almunia, either to bring Google back to the negotiating table for a third time or to launch a formal complaint, unleashing a legal process that could culminate in large fines for the U.S.-based company, according to EU competition-law specialists. Almunia has said previously that he hopes to reach a settlement by next spring. Google, which enjoys an Internet-search market share of more than 90% in the EU, put forward a second set of proposals in October aimed at addressing accusations that it squeezes out rivals in its search results. In November, the deadline for some complainants to respond was extended to the week of Dec 10.
benton.org/node/169964 | Wall Street Journal
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Review Panel Said to Urge NSA Curbs

A presidential advisory committee charged with examining the operations of the National Security Agency has concluded that a program to collect data on every phone call made in the United States should continue, though under broad new restraints that would be intended to increase privacy protections, according to officials with knowledge of the report’s contents.

The committee’s report, the officials said, also argues in favor of codifying and publicly announcing the steps the United States will take to protect the privacy of foreign citizens whose telephone records, Internet communications or movements are collected by the NSA. But it is unclear how far that effort would go, and intelligence officials have argued strenuously that they should be under few restrictions when tapping the communications of non-Americans abroad, who do not have constitutional protections under the Fourth Amendment. The advisory group is also expected to recommend that senior White House officials, including the president, directly review the list of foreign leaders whose communications are routinely monitored by the NSA.

One of the expected recommendations is that the White House conduct a regular review of the NSA’s collection activities, the way covert action by the CIA is reviewed annually. Another likely recommendation, officials say, is the creation of an organization of legal advocates who, like public defenders, would argue against lawyers for the NSA and other government organizations in front of the Foreign Intelligence Surveillance Court, the nation’s secret court that oversees the collection of telephone and Internet “metadata” and of wiretapping aimed at terrorism and espionage suspects. President Obama has already hinted that he objects to the absence of any adversarial procedures in front of the court’s judges.

Schools Use Web Tools, and Data Is Seen at Risk

Public schools around the country are adopting web-based services that collect and analyze personal details about students without adequately safeguarding the information from potential misuse by service providers, according to new research.

A study by the Center on Law and Information Policy at Fordham Law School in New York, found weaknesses in the protection of student information in the contracts that school districts sign when outsourcing web-based tasks to service companies. Many contracts, the study found, failed to list the type of information collected while others did not prohibit vendors from selling personal details -- like names, contact information or health status -- or using that information for marketing purposes.