1. Monthly archive
  2. October 2016

October 2016

CenturyLink’s bid to acquire Level 3 could spark bidding war among wireless operators

CenturyLink’s deal to acquire Level 3 for $25 billion underscores the ever-increasing value of fiber for wireless carriers, Jonathan Chaplin of New Street Research said. And that could lead to a bidding war for Level 3 among mobile operators and others looking to shore up their fiber assets. Level 3 boasts “a strong metro fiber footprint” with roughly 34,000 connected buildings, according to a New Street Research report. That footprint alone isn’t enough to support a nationwide densification buildout, but it could play a key role as carriers prepare to deploy 5G networks and technologies. “This is far from a ‘silver bullet’ for a wireless company – they will need a much more distributed fiber network than Level 3 has in order to densify economically – but it is a start,” Chaplin wrote in a research note to subscribers before the deal was officially announced this morning. “Level 3 is undoubtedly a better asset than XO, which Verizon acquired recently, for example…. Level 3 is an increasingly strategic asset, so we also wouldn’t be surprised to see a competitive process evolve if they are in talks.”

AT&T falsely claimed pro-Google Fiber rule is invalid, FCC says

The Federal Communications Commission has given a helping hand to Louisville (KY) in the city's attempt to enforce local rules that would make it easier for Google Fiber to compete against AT&T. AT&T sued the local government in Louisville and Jefferson County in February to stop a One Touch Make Ready (OTMR) ordinance designed to give Google Fiber or other new competitors faster access to utility poles.

Oct 31, the US government submitted a statement of interest on behalf of the FCC, which says that one of AT&T’s primary legal arguments is incorrect. AT&T—also known as BellSouth Telecommunications in Kentucky—argued that the Louisville ordinance is preempted by the FCC’s pole-attachment rules. The local ordinance "conflicts with the procedures created by the FCC, and upsets the careful balances struck by the FCC in crafting its pole attachment regulations," AT&T's lawsuit said. But that is false, the FCC says. The FCC does have rules ensuring reasonable access to utility poles, but states are allowed to opt out of the federal pole-attachment rules if they certify to the commission that they regulate the rates, terms, and conditions of pole attachments. Kentucky is one of 20 states that has opted out of the federal regime and imposed its own rules, the FCC noted. “Accordingly, the federal pole-attachment regulations enacted under Section 224 [of the Communications Act] simply do not apply here,” the FCC wrote. More generally, One Touch Make Ready rules are consistent with federal communications policies and regulations that seek expanded broadband deployment, the FCC also wrote.

When it comes to blacklisting the media, Sen Richard Burr trumps The Donald

For much of the presidential campaign, Donald Trump banned certain media outlets — including The Washington Post, Politico and BuzzFeed — from receiving press credentials at his events. That meant reporters from those news agencies could not watch rallies from designated press areas, which usually include work stations, or take advantage of shorter security lines. They had to sit and wait with everyone else. Sen Richard Burr (R-NC) is taking the blacklist to a new level. He is not merely withholding press passes from the News & Observer of Raleigh; he is refusing to even give the newspaper a schedule of events for his reelection campaign.

The move, according to News & Observer reporter Colin Campbell, is "effectively limiting the newspaper from reporting on Burr’s public appearances." It's tough to cover events you don't know about. While some are well-advertised, "there have been several events we only learned of via Twitter after they had ended," Campbell said. "The Burr campaign had been sending near-daily news releases in early October outlining where Burr would be campaigning, but The N&O stopped receiving those releases in recent weeks," Campbell reported. He said the paper received an email in which Burr's campaign explained that it had "put an embargo on sending you scheduling details until you demonstrate the ability to cover this race from a balanced point of view."

Secretary of Commerce Penny Pritzker Delivers Keynote Address at Bureau of Industry and Security Annual Update Conference

US Secretary of Commerce Penny Pritzker delivered the keynote address at the Bureau of Industry and Security (BIS) Annual Update Conference Luncheon in Washington D.C. Speaking to more than 1,000 public and private sector leaders from across the export control landscape, Secretary Pritzker highlighted the key role BIS plays in national security and emphasized the vital work the agency has undertaken in support of significant foreign policy issues related to Cuba and Russia.

During her speech, Secretary Pritzker discussed the Bureau’s significant work over the last several years in support of U.S. economic growth and national security. In addition, Secretary Pritzker highlighted the success of this Administration’s export control reform initiative, which has helped rationalize the export control system and streamline the licensing process for exporters. Secretary Pritzker also illustrated BIS’ continued commitment to supporting U.S. national security and foreign policy through employing the range of tools at its disposal.

Did FBI Director James Comey's Email Announcement Break The Law?

FBI Director James Comey's letter to Congress reporting a renewed look into e-mails that could be related to Hilary Clinton's private server rocked the presidential race on Oct 28. The Clinton campaign and supporters have jumped on Comey for making such a dramatic announcement so close to an election. The question being raised now is whether the timing and style of the announcement make it illegal.

Democrats allege this is more than just an 11th-hour inconvenience. Senate Democratic Leader Harry Reid says Comey may have violated a law known as the Hatch Act by making the investigation public this late in the election season. In a letter to Comey, Reid said the move revealed a "clear double standard" and accused Comey of using his position as FBI director to influence the election. The Hatch Act prohibits federal employees from using their official authority or influence to affect the result of an election. An official complaint was filed with the Office of Special Counsel and the Office of Government Ethics by Richard Painter, the chief White House ethics lawyer under the George W. Bush administration from 2005 to 2007. Painter wrote about his decision in an op-ed for The New York Times on Sunday, calling Comey's move "an abuse of power."

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