June 2014

Federal Communications Commission Chairman Tom Wheeler's E-rate reform proposal took heat from a bunch of education associations, but not all were giving the plan a low grade, particularly those who applauded Wheeler for moving on reforms they see as needed now.

The State Educational Technology Directors Association (SETDA) "applauded" the momentum toward reform represented by the proposal. It pointed out that many of the proposals were ones it had suggested, including prioritizing broadband, increasing transparency, and increasing infrastructure investments.

“By focusing E-rate on high-speed broadband and expanding funding for Wi-Fi, Chairman Wheeler’s proposal for the modernization of E-rate lays the foundation for the permanent expansion of E-rate that the nation’s schools and libraries so desperately need," said Bob Wise, president of the Alliance for Excellent Education. "I appreciate Chairman Wheeler’s sense of urgency on this matter. I urge the FCC to modernize E-rate, and to quickly take the next step of expanding the program to bring today’s schools and libraries into the digital age."

Writers Guild of America, West, President Christopher Keyser, will tell the Senate antitrust subcommittee on June 24 that the proposed AT&T/DirecTV merger "threatens the progress of our most vital communication platforms and will stifle the creativity, independence and innovation enabled by online video."

The merger will inevitably lead to collusion on price, choice and service, he said, cannot be mitigated by conditions, is not in the public interest, and should be blocked. Keyser said that was coming from a group representing more than 8,000 TV and movie writers.

"The writers whom I represent have experienced two decades of consolidation, which has reduced a once vibrant market of independent producers to one in which seven companies control almost all of television," he said in written testimony for a Senate antitrust subcommittee hearing on the deal.

Mike White, president of DirecTV, says its merger with AT&T is all about competitive bundles, faster broadband, and being more competitive with cable.

That is according to his testimony for hearings in the House and Senate Antitrust subcommittees June 24. White and AT&T Chairman Randall Stevenson were preparing to take turns pitching the deal as witnesses for both hearings.

White points out that cable ads point to his company's lack of an Internet offering and cable's speed advantages. And while DirecTV plays up other advantages of satellite in its now-famous marionette ads about the lack of wires, White was conceding the disadvantages and saying DirecTV must adapt--or in this case be adopted by a broadband player like AT&T. He said consumers are increasingly demanding bundles (although at least one media research analyst--Craig Moffett of MoffettNathanson, suggested what consumers really want are discounts).

"We must offer our own integrated bundles if we hope to meet this new consumer demand," he said. He also said it was "enormously" important to be able to prove over-the-top video, as well as improve its linear video given all the services and extras cable operators can offer.