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July 2015

Brookings Institution
July 20, 2015
2:00 PM - 3:00 PM EDT
http://www.brookings.edu/events/2015/07/20-global-digital-policy-west?rs...

With more than 193 member countries, the International Telecommunication Union (ITU) is a U.N. specialized agency for information and communication technologies (ICTs) whose goal is to connect people through modern communication technology. Hosted last year in Busan, South Korea, the ITU’s Plenipotentiary Conference 2014 helped propel South Korea as a central player in the dialogue on Internet policy. Crucial policy topics included Internet governance, the Internet of Things, and ICTs being used for development purposes. This event will examine global digital policy with views from the U.S. and South Korea.

On July 20, the Center for Technology Innovation at Brookings will host a panel to discuss the increasing challenges and opportunities to providing Internet access to a globalized, shifting, and high-demand population. Speakers will discuss the importance of spurring creativity, ingenuity, and innovation in economies around the world. What are the economic and social benefits of the Internet economy, and what are the possible avenues for future U.S.- Korea bilateral engagement on ICT? Participants will reflect upon the international landscape and what lies ahead in the wake of the 2014 ITU conference in Korea with a view towards the United Nation's upcoming WSIS +10 High Level Meeting, which will take place in December 2015.

After the session, panelists will take audience questions.

Panelists

Darrell M. West
Vice President and Director, Governance Studies
Founding Director, Center for Technology Innovation

Ambassador Daniel Sepulveda
Deputy Assistant Secretary of State and U.S. Coordinator, International Communications and Information Policy, Bureau of Economic and Business Affairs
U.S. Department of State

Ambassador Ahn Ho-Young
Ambassador of the Republic of Korea to the United States

Min Wonki
Assistant Minister, Ministry of Science, ICT and Future Planning, Republic of Korea
Chairman of the 2014 International Telecommunication Union (ITU) Plenipotentiary Conference


July 20, 2015 (Broadband debate heats up)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for MONDAY, JULY 20TH, 2015

This week – Promoting Broadband Infrastructure Investment (preview below) https://www.benton.org/calendar/2015-07-19--P1W

WIRELESS/SPECTRUM
   What the Heck Is The “Duplex Gap” And Why Has It Blown Up The July FCC Meeting? - analysis
   Mobile data could soon be included in federal analyses of high-speed Internet deployment

OWNERSHIP
   Dish Talks for T-Mobile Said Stalled on Structure, Valuation
   Charter lobbies up in merger bid [links to web]

CONTENT
   Remarks of FCC Commissioner Ajit Pai Before the Churchill Club - speech
   FCC’s MVPD proceeding: the next divisive issue - analysis [links to web]
   FilmOn Ruling Not The End of the World - TVNewsCheck editorial [links to web]
   Comcast's Cohen: Netflix is ‘Ultimate Frenemy’ [links to web]
   Cutting the cable cord and embracing a digital media world - analysis [links to web]
   $60 Million Settlement Approved in NCAA Video Game Lawsuit [links to web]
   The billennial generation: how bilingual millennials are changing Spanish-language TV [links to web]

LIFELINE
   Chairman Wheeler's Response to Members of Congress Regarding GAO Lifeline Report - Chairman Wheeler Letter [links to web]

INTERNET/BROADBAND
   Broadband debate heats up
   These senators wanted an FCC probe of Internet prices. They’re going to be disappointed. [links to web]
   Vandals keep snipping fiber optic cables in California with impunity [links to web]
   New Haven to Pursue Citywide Fiber-Optic Cable Network [links to web]
   Remarks of FCC Chairman Tom Wheeler For the LUS Fiber Ten Year Xtravaganza - speech [links to web]
   Why We All Need to Make the Internet Fun Again - Revere Digital op-ed [links to web]

EMERGENCY COMMUNICATIONS
   FCC Reaches $17.5 Million Settlement with T-Mobile for Nationwide 911 Outages - press release

GOVERNMENT & COMMUNICATIONS
   Encryption loophole for government will welcome all hackers - San Jose Mercury News editorial [links to web]
   Accelerating the Use of Prizes to Address Tough Challenges - White House press release [links to web]
   Putting the digital keys to unlock data out of reach of authorities - Washington Post editorial [links to web]
   A Wizard at Prying Government Secrets From the Government [links to web]

ELECTIONS & MEDIA
   Republicans' crush on Silicon Valley not returned [links to web]
   Clinton reserves nearly $8 million in TV time for fall advertising blitz [links to web]
   The Snapchat Elections Begin With Bernie, Hillary and Jeb [links to web]
   Donald Trump making biggest splash on Facebook in Iowa [links to web]
   Let them debate! - Politico op-ed [links to web]
   A Note About Our Coverage Of Donald Trump's 'Campaign' - HuffPo editorial [links to web]
   Huffington Post wrong to consign Trump to entertainment section - analysis [links to web]

SECURITY
   Encryption loophole for government will welcome all hackers - San Jose Mercury News editorial [links to web]
   Cybersecurity task force looks to next administration [links to web]
   Putting the digital keys to unlock data out of reach of authorities - Washington Post editorial [links to web]
   Lack of digital talent adds to cybersecurity problems [links to web]

HEALTH
   How the FCC’s ban on prioritization puts patients at risk - AEI op-ed [links to web]

POLICYMAKERS
   The FCC's vocal minority speaks out [links to web]

LOBBYING
   Charter lobbies up in merger bid [links to web]

STORIES FROM ABROAD
   EU Court Reins In Legal Battles Over Mobile-Phone Patents

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WIRELESS/SPECTRUM

WHAT IS THE "DUPLEX GAP" AND WHY HAS IT BLOWN UP THE JULY FCC MEETING?
[SOURCE: Tales of the Sausage Factory, AUTHOR: Harold Feld]
[Commentary] Difficult as it is to believe, there are times in policy when issues do not break down simply by partisan interest or into neat categories like incumbents v. competitors or broadcasters v. wireless carriers. Sometimes -- and I know people are not gonna believe me on this -- issues break down on pure substance and require lots of really hard choices. So it is with the question of whether to put broadcasters in the duplex gap as part of the repacking plan in the incentive auction. Did your eyes glaze over yet? Heck, for most people, it’s gonna take a paragraph or two of explanation just to understand what that sentence means. But even if you don’t know what it means, you can understand enough for this basic summary:
1) Just about every stakeholder in the auction -- wireless carriers, broadcasters, wireless microphone users, tech company supporters of using unlicensed spectrum in the broadcast bands, public interest groups -- all told the Federal Communications Commission not to put broadcasters in the duplex gap.
2) Nevertheless, the Auction Team proposed putting broadcasters in the duplex gap, based on a set of simulation that suggested that the FCC would only get back 50-60 MHz of spectrum to auction if they protected the duplex gap. The Chairman circulated a draft order adopting the Auction Team’s proposal.
3) Everybody freaked out. The Chairman found he did not have 3 votes, or possibly not even 2 votes, to adopt his proposal on duplex gap. The freak out is so intense and so bad that the FCC actually waived the Sunshine Period for this items so that interested parties can continue to talk to FCC staff and commissioners until the night before the meeting. The FCC also released additional data showing the impact would be limited to a relatively small number of cities.
4) That helped some, but not enough. Despite progress on negotiations, the FCC clearly did not have time to get to the right solution in the 5 days between the release of the new data and the actual vote. Also, a bunch of people were pissed that the Auction Team hadn’t released the data sooner, and hadn’t provided more explanation of the underlying model and the assumptions behind it.
In Policyland, this passes for high drama. It is, to say the least, highly unusual.
benton.org/headlines/what-heck-duplex-gap-and-why-has-it-blown-july-fcc-meeting | Tales of the Sausage Factory
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MOBILE DATA COULD SOON BE INCLUDED IN FEDERAL ANAYSES OF HIGH-SPEED INTERNET DEPLOYMENT
[SOURCE: Washington Post, AUTHOR: Brian Fung]
When the Federal Communications Commission decided in January to raise the minimum official speed for "broadband" by more than 500 percent, it did so on the rationale that it would help promote the rollout of high-speed Internet. But the analysis that produced that decision only covered providers of fixed or wired Internet connections, such as Comcast or Time Warner Cable. Now the agency will consider whether to account for mobile Internet providers too, when it studies whether broadband is being adequately deployed in the United States. FCC Chairman Tom Wheeler has circulated a proposal to his fellow commissioners that would, if approved, kick off a process to add cellular carriers to an annual review of the US broadband market, according to an FCC official. If the agency agrees to look into the issue, it could allow the FCC to pressure those companies more strongly to upgrade their networks -- making them faster and more robust. It may also prompt the FCC to set a minimum benchmark for what is considered "mobile broadband," much in the way that the FCC has set the threshold for wired broadband at 25 megabits per second. But bandwidth is only one part of the equation. Your Internet experience is also determined by latency, or how much time it takes for signals to bounce from one device to another. Wheeler's proposal includes coverage of these so-called quality-of-service factors, the official said. A separate part of the proposal deals with satellite Internet -- which, if approved, could someday mean the FCC will regulate the likes of SpaceX and OneWeb, which are working to develop satellite-based Internet access.
benton.org/headlines/mobile-data-could-soon-be-included-federal-analyses-high-speed-internet-deployment | Washington Post
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OWNERSHIP

DISH TALKS FOR T-MOBILE SAID STALLED ON STRUCTURE, VALUATION
[SOURCE: Bloomberg, AUTHOR: Alex Sherman, Aaron Kirchfeld, Manuel Baigorri]
Apparently, the slow-moving Dish Network talks to acquire T-Mobile US from Deutsche Telekom AG have stalled over concerns related to valuation and structure. The lack of momentum calls into question whether any transaction will get done in 2015 or at all, apparently. The two companies will soon turn their attention to a spectrum auction in 2016 in which they’d either be bidding on wireless airwaves as one company or competing. Dish and Deutsche Telekom would want to iron out an agreement in the next two or three months before focusing on the auction, and the halt in talks has made that timeframe unlikely. T-Mobile will eventually need more spectrum to continue growing, and a deal with Dish would let it avoid spending billions at government auctions. The timing pressure stems from a quiet period the two companies would face related to an auction early in 2016 of US airwaves surrendered by television stations intended to help feed the growing need for mobile carriers. The companies will be prohibited from speaking publicly or to each other due to the Federal Communications Commission’s anti-collusion rules. The ball is in Dish’s court, two people familiar with the situation said. Deutsche Telekom has told Dish what kind of offer it wants and so far Dish hasn’t met that demand.
benton.org/headlines/dish-talks-t-mobile-said-stalled-structure-valuation | Bloomberg
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INTERNET/BROADBAND

BROADBAND DEBATE HEATS UP
[SOURCE: The Hill, AUTHOR: David McCabe, Mario Trujillo]
An executive from Google Fiber and representatives from other tech firms will pitch lawmakers on ways to improve broadband investment around the country. The House Commerce Committee’s subcommittee on communications and technology will hold a hearing on ways to improve the environment for investment in both fixed and mobile broadband. Witnesses include Michael Slinger, director at Google's Fiber Cities, Craig Moffett of research firm MoffettNathanson, Jonathan Adelstein from PCIA, NextCentury Cities’ Deb Socia, and Stephen Roe Lewis of Gila River, NM. “With new services and innovative technologies constantly redefining America’s Internet needs, the old rules for network investment no longer apply. We will explore current trends in broadband infrastructure buildout and look at ways to improve that environment for continued investment and growth,” said Rep. Greg Walden (R-OR) who leads the subcommittee.
benton.org/headlines/broadband-debate-heats | Hill, The
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CONTENT

REMARKS OF FCC COMMISSIONER AJIT PAI BEFORE THE CHURCHILL CLUB
[SOURCE: Federal Communications Commission, AUTHOR: FCC Commissioner Ajit Pai]
When some in our nation’s capital look at the over-the-top video business, they see companies that have somehow escaped their regulatory clutches. Even though online video has thrived precisely because of the government's hands-off approach, they view the Internet as too important not to regulate. And so they want to do for online video what many governments have done for -- or more accurately, to -- Uber or Airbnb. In particular, the Federal Communications Commission's leadership has announced that this fall, the agency will consider classifying certain online video providers as multichannnel video programming distributors (MVPDs). I would like to make clear that I strongly oppose this proposal. Given the remarkable success of the over-the-top video industry, the burden should be on those who favor new regulations to prove what's wrong and explain why we should change. That case just hasn't been made. Amazon put it well when it told the FCC, "there has been no indication that additional regulation is needed to enable this new industry to grow and bring consumers even more benefits."
benton.org/headlines/remarks-fcc-commissioner-ajit-pai-churchill-club | Federal Communications Commission
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EMERGENCY COMMUNICATIONS

FCC REACHES $17.5 MILLION SETTLEMENT WITH T-MOBILE FOR NATIONWIDE 911 OUTAGES
[SOURCE: Federal Communications Commission, AUTHOR: Press release]
The Federal Communications Commission's Enforcement Bureau has reached a $17.5 million settlement with T-Mobile, resolving an investigation into two 911 service outages that occurred on the company's national network in 2014. The separate but related outages, which together lasted approximately three hours, prevented T-Mobile customers from reaching first responders when making wireless 911 calls. As part of the settlement, T-Mobile has agreed to strengthen its 911 service procedures and to adopt robust compliance measures to ensure that it adheres to the FCC's 911 service reliability and outage notification rules in the future. T-Mobile's networks suffered two 911 outages on August 8, 2014. Both T-Mobile outages were nationwide outages, affecting almost all of T-Mobile's then 50 million customers. Simply put, a T-Mobile customer dialing 911 during these outages would not have reached first responders. In its investigation, the Enforcement Bureau found that T-Mobile did not provide timely notification of the August 8, 2014, outages to all affected 911 call centers, as required by FCC rules. The investigation also found that the outages would have been avoided if T-Mobile had implemented appropriate safeguards in its 911 network architecture.
benton.org/headlines/fcc-reaches-175-million-settlement-t-mobile-nationwide-911-outages | Federal Communications Commission | FCC Order
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STORIES FROM ABROAD

EU COURT REINS IN LEGAL BATTLES OVER MOBILE-PHONE PATENTS
[SOURCE: Bloomberg, AUTHOR: Stephanie Bodoni]
The European Union’s top court set limits on the ability of mobile-phone makers owning key industry patents to use court injunctions to thwart competitors seeking to use the technology in their own equipment. Huawei Technologies Co. and other mobile-phone makers that own a so-called standard-essential patent can go to court seeking to bar rivals from using it -- or to ban their products -- only if they have met strict conditions, the EU Court of Justice in Luxembourg ruled on July 16. Owners of such key patents that previously committed “to grant third parties a license on fair, reasonable and non-discriminatory terms” can only seek an injunction if first they present to the alleged infringer “a specific written offer for a license,” the court said. The European Commission, the EU’s antitrust watchdog, has also sought to rein in patent abuses as Motorola Mobility, Microsoft Corp., Apple Inc. and Samsung Electronics Co. trade victories in courts across the world on intellectual property. Industry-standard technology helps ensure products such as mobile-phone antennas and global-positioning system software can operate together when made by different manufacturers. “This is the most important decision of the year in the field of patent enforcement and intellectual property,” said Axel Walz, a Munich-based lawyer specializing in IP and competition law with law firm King & Wood Mallesons. “It provides clear, useful guidelines for how the patent user and holder should behave” in disputes related to standard-essential patents, said Walz. “But the devil is in the details.”
benton.org/headlines/eu-court-reins-legal-battles-over-mobile-phone-patents | Bloomberg
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Broadband debate heats up

An executive from Google Fiber and representatives from other tech firms will pitch lawmakers on ways to improve broadband investment around the country. The House Commerce Committee’s subcommittee on communications and technology will hold a hearing on ways to improve the environment for investment in both fixed and mobile broadband.

Witnesses include Michael Slinger, director at Google's Fiber Cities, Craig Moffett of research firm MoffettNathanson, Jonathan Adelstein from PCIA, NextCentury Cities’ Deb Socia, and Stephen Roe Lewis of Gila River, NM. “With new services and innovative technologies constantly redefining America’s Internet needs, the old rules for network investment no longer apply. We will explore current trends in broadband infrastructure buildout and look at ways to improve that environment for continued investment and growth,” said Rep. Greg Walden (R-OR) who leads the subcommittee.

Encryption loophole for government will welcome all hackers

[Commentary] Recently, FBI and justice department officials appeared on Capitol Hill to ask for a backdoor that would allow them to circumvent encryption to eavesdrop on data and communications. Congress should reject this access to data, as it did in 1993 during the Clinton administration.

The request may sound reasonable in these unsettled times, but a backdoor is bad for business, bad for communications -- and bad for security. Powerful encryption is what makes secure e-commerce, social networking and online communication possible. The government should support the security of those systems, not undermine them with backdoors and loopholes. If a loophole is created, the government won't be the only one exploiting it. A recent report from experts in encryption concluded that it's impossible to create access for law enforcement without letting criminals in through the same back door. Hackers would have access to everything we send online, and it might take years for us to even realize the software was breached.

Lack of digital talent adds to cybersecurity problems

A big problem exposed by a massive data breach at the Office of Personal Management (OPM) is the woeful state of the federal government’s cybersecurity. It’s not comforting when the Obama administration’s chief information officer says Uncle Sam’s information technology needs bubble wrap and Band-Aids to help counter cyberattacks. But even if the digital networks were magically modernized, the protection of personal information belonging to federal employees and many other records would still be at risk. The reason: too few cyber experts. The federal government has a serious shortage of cyber talent and the future is dim.

A Wizard at Prying Government Secrets From the Government

Jason Leopold, who works for Vice News, reserves most of his aggression for dealing with the government. He has revealed about 20,000 pages of government documents, some of them the basis for explosive news stories.

Despite his appearance his secret weapon is the opposite of anarchic: an encyclopedic knowledge of the Freedom of Information Act, the labyrinthine administration machine that serves it and the kind of legal judo often required to pry information from it. His persistence has led to numerous revelations — some in documents that have been released exclusively to him, and others in documents that have been released to multiple reporters after pressure has been brought by Leopold.

Republicans' crush on Silicon Valley not returned

John Ellis Bush gushed with love for Silicon Valley, hanging in the offices of Thumbtack, causing a spectacle with his pre-announced Uber hail, and flashing around his Apple Watch, as he talked about how Washington needs to learn a few things from the Silicon Valley way. It’s not really a mutual relationship.

Despite Republican candidates’ high-profile outreach to the Bay Area, most tech industry bigwigs are throwing cash at Democratic front-runner Hillary Clinton. By contrast, Bush, Sen Marco Rubio (R-FL) and Sen Rand Paul (R-KY) collected just a handful of donations from Valley elite. The Republicans did receive support from many lower-level Silicon Valley employees, particularly Sen Paul, who attracted a large number of small dollar donations. All three GOP candidates have sought to make inroads in the region with a message of keeping government from getting in the way of innovation.

$60 Million Settlement Approved in NCAA Video Game Lawsuit

A federal judge approved a $60 million settlement for college athletes in a class-action lawsuit filed against the National Collegiate Athletic Association and the video game maker Electronics Arts.

Steve Berman, a Seattle-based lawyer for the plaintiffs, confirmed that Claudia Wilken, a United States District Court judge for the Northern District of California, had approved the settlement during a hearing. Judge Wilken also ruled against the NCAA in the Ed O’Bannon case, which challenged the NCAA’s use of the names, images and likenesses of college athletes. That ruling is being appealed by the NCAA. The plaintiffs in the case against the NCAA and Electronics Arts claimed that college football and basketball players’ names and likenesses were illegally used in video games for years. Players who have appeared in the company’s NCAA football and basketball games have until July 31 to make claims as part of the settlement.

Putting the digital keys to unlock data out of reach of authorities

[Commentary] A contentious debate about encryption of data on smartphones and elsewhere has become even more intense in recent weeks. A collision is unfolding between law enforcement devoted to fighting crime and terrorism and advocates of privacy and secure communications. In these chaotic digital times, both are vital to the national interest, and it is imperative that experts invest serious time and resources into finding ways to reconcile the conflict. This conflict should not be left unattended. Nineteen years ago, the National Academy of Sciences studied the encryption issue; technology has evolved rapidly since then. It would be wise to ask the academy to undertake a new study, with special focus on technical matters, and recommendations on how to reconcile the competing imperatives.

Charter lobbies up in merger bid

Charter Communications is ramping up its Washington lobbying operations as the firm makes its case to regulators reviewing its proposed merger with Time Warner Cable.

Charter went on a hiring spree, registering four lobbying firms in a single day. The roster of outside help features some heavy hitters with connections on both sides of the aisle tapped to help smooth the roughly $55 billion purchase of Time Warner and a $10.4 billion acquisition of Bright House Networks, a smaller provider with operations in five states. The hires bring the company’s total number of outside lobbyists to nine. ”In general we don’t want to find that we’re in a crucial part of the process and find that we don’t have the resources to do what we need to do,” said Alex Dudley, Charter’s Senior Vice President of Communications, when asked about the hires. As it makes its case, Charter has also hired net neutrality advocate Marvin Ammori to consult on the deal and possible conditions that regulators could place on it. According to a person familiar with his role at the company, Ammori will mostly work with Charter Executive Vice President for Government Affairs Catherine Bohigian as the company evaluates conditions.

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