For upcoming media policy events, see http://www.benton.org/calendar.htm
NEWS FROM NAB CONVENTION
FCC Conflicted Over Digital Carriage
Statement by Common Cause at the NAB Conference
FCC Divided on Broadcasters' Public Interest Obligation
Copps Favors Cable-Indecency Regs
And More News from Las Vegas
TELEVISION
Bush Ad Buy Goes Bye-Bye
Study: Net Diversity Efforts Mixed
MADD is Mad About Booze Ads
Diller, Vivendi Reach Agreement
Media Ownership Madness and the Third Person Effect Hypothesis
Return of the (Un)Fairness Doctrine: The Media Ownership Reform Act
INTERNET
Feds Ding AT&T Over Internet Calls
Kerry's Broadband Policy Plans Emerging
Libraries Wired and Reborn
Marketers Falling Short on Can-Spam, Study Says
GOP Finds Its Online Voice, and Roars
QUICK HITS
The Cartoon Guide to Federal Spectrum Policy
IDT Uses Wi-Fi to Offer Cheaper Cell Service
Champion of Public Broadcasting Award
Voting Panel Grills Diebold
NEWS FROM NAB CONVENTION
FCC CONFLICTED OVER DIGITAL CARRIAGE
National Association of Broadcasters convention attendees heard conflicting=
=20
messages from FCC commissioners Tuesday. While Commissioners Copps and=20
Adelstein reiterated their stand for specific, quantifiable obligations,=20
Commissioner Kevin Martin said broadcasters are "as involved in their local=
=20
communities as any industry I've seen." He is "very hesitant to quantify=20
the public interest obligations because "a floor often becomes a ceiling,"=
=20
that curtails community service. Commissioner Martin saw a number of=20
nodding heads when he said "the most important thing" that the FCC can do=20
to help complete the transition to digital is clarify the must-carry issue.=
=20
Meanwhile, Commissioner Susan Abernathy seems to be on the fence; public=20
interest obligations "are very different if [broadcasters] get must-carry=20
rights," Commissioner Abernathy said. "It=92s hard to separate the two=
issues."
[SOURCE: Broadcasting&Cable, AUTHOR: Steve McClellan]
http://www.broadcastingcable.com/article/CA411972?display=3DBreaking+News
(requires subscription)
STATEMENT BY COMMON CAUSE AT THE NAB CONFERENCE
There's been some coverage of what FCC Commissioners Copps and Adelstein=20
said at a press event organized by the Public Airwaves, Public Interest=20
Coalition at the National Association of Broadcasters convention. Here are=
=20
remarks by coalition member Common Cause.
Since 1997, the top five station groups in the country and their parent=20
companies, along with the National Association of Broadcasters, have spent=
=20
nearly $150 million on campaign contributions and lobbying in Washington.=20
That investment has paid off. Broadcasters are on the cusp of a digital=20
revolution that could bring them billions in new revenues, thanks to the=20
$70 billion worth of digital TV licenses they received for free from the=20
Federal Communications Commission seven years ago. Broadcasters now want=20
the FCC to approve a "multi-cast must-carry" rule that would require cable=
=20
companies to carry their new digital channels. Broadcasters have lobbied=20
Congress and the FCC for special treatment because they say that they serve=
=20
the public interest. But serving the public interest is not about running=
=20
public service announcements or covering fires, or sponsoring telethons and=
=20
breast cancer walks. Rather it is informing the public so that they can=20
participate in their democracy. We are here to say to broadcasters, "You=20
can do better." We are here to present them with a new vision of=20
television, one that permits their news staffs and producers to use their=20
creativity to connect their audiences to their local, state and national=20
governments, and to engage viewers in lively discussions and debates about=
=20
issues they care about. Our 250,000 Common Cause members and supporters=20
across the country, and our 115,000 e-mail activists will be bringing this=
=20
same message to their local broadcasters, to their elected Members of=20
Congress, to the Presidential candidates, and to the FCC. We may not have=20
$150 million, but we have the public on our side. We are here to launch a=
=20
petition campaign that will spread across the country. We want the NAB to=
=20
know: "What happens today in Vegas will not stay in Vegas."
[SOURCE: Common Cause]
http://www.commoncause.org/news/default.cfm?ArtID=3D319
For more reports from Las Vegas see:
http://www.commoncause.org/news/default.cfm?ArtID=3D318
http://www.commoncause.org/news/default.cfm?ArtID=3D320
FCC DIVIDED ON BROADCASTERS' PUBLIC INTEREST OBLIGATION
Federal Communications Commission Chairman Michael Powell said that he was=
=20
"not averse to the Commission's considering new public interest=20
obligations" for broadcasters. Others commissioners appear divided on the=20
issue as they let their views be known during a series of high-profile=20
industry events in Las Vegas.
[SOURCE: Media Channel, AUTHOR: Timothy Karr]
http://www.mediachannel.org/views/dissector/affalert185.shtml
COPPS FAVORS CABLE-INDECENCY REGS
The Federal Communications Commission's Michael Copps believes it is time=20
for cable programming to face the same scrutiny that broadcasting does when=
=20
it comes to indecency -- especially when children are expected to be in the=
=20
audience. Commissioner Copps would support an FCC rulemaking on questions=20
related to the constitutionality of applying broadcast-indecency=20
regulations to cable in light of at least one Supreme Court ruling that=20
government must meet a high legal burden in order to regulate pay TV=20
services. Other FCC commissioners are not so aggressive. "That direction=20
would have to come from Congress," Republican FCC Commissioner Kathleen=20
Abernathy said. Democrat FCC Commissioner Jonathan Adelstein added, "I=20
think we would be on much safer constitutional ground if Congress were to=20
give us some clarification here."
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA411968?display=3DBreaking+News
(requires subscription)
Also see:
AN INDECENT CRACKDOWN
An editorial on the "silly, but potentially dangerous" crackdown on=20
indecent broadcast content and how it could spread to cable TV as well.
[SOURCE: New York Times, AUTHOR: Editorial Staff]
http://www.nytimes.com/2004/04/22/opinion/22THU2.html
(requires registration)
AND MORE NEWS FROM LAS VEGAS
FCC Commissioner Kevin Martin has joined Commissioners Copps and Adelstein=
=20
in support of the Public Interest, Public Airwaves Coalition's proposal for=
=20
that broadcasters provide 5 min. per night of candidate-centered discourse=
=20
before an election. The National Association of Broadcasters presented to=20
reporters a packet of materials countering the Coalition=92s arguments.=20
Commissioner Copps wants a comprehensive proceeding on the public interest=
=20
obligations of digital television broadcasters =93in order to ensure that=20
multicasting serves the multi-faceted public interest.=94 FCC Chairman=20
Powell=92s Chief of Staff Jonathan Cody repeated the urgings of his boss for=
=20
the industry to reestablish a voluntary code of ethics.
The FCC may soon be deciding on a three year-old petition from the Network=
=20
Affiliated Stations Alliance (NASA) asking the FCC to investigate alleged=20
illegal practices of the four major networks. Commissioner Adelstein has=20
championed this cause since arriving at the Commission. =93We finally need=
to=20
complete action on this one way or the other to decide whether there is any=
=20
clarification of the rules to look at these contracts and make sure that=20
the right to reject rule is fully protected in all of these contracts. Some=
=20
people on the network side say that it is. Well, if it is, there shouldn't=
=20
be any concern there. And if we agree it isn't, we need to make sure that=20
our rules are complied with,=94 Commissioner Adelstein said.
The NAB=92s new task force on responsible programming elected David Kennedy,=
=20
CEO of Susquehanna Radio, and Gary Chapman, Chairman of LIN TV, as=20
co-chairs for panel that will develop self-policing methods in the areas of=
=20
indecent content. The task force will look at a code of conduct.
Finally, a plan proposed by Emmis Broadcasting's Jeffrey Smulyan to use=20
broadcasters excess digital channels to sell programming to the public is=20
gaining steam. At a news conference eleven other broadcasting groups are on=
=20
board with Emmis. The plan calls for subscribers to buy a set-top box for=20
less than $100 and pay the TV station =93roughly=94 $25 monthly for local=20
signals and at least 30 cable channels. The unnamed system would deliver=20
signals via its extra digital channel space, while the station=92s principal=
=20
DTV signal would remain =93free, over-the-air.=94 [Scary... that sounds like=
=20
competition.]
[SOURCE: Communications Daily, AUTHOR: ]
(Not available online)
TELEVISION
BUSH AD BUY GOES BYE-BYE
With political advertising itself such a big issue in this election, the=20
candidates' ad strategies have become news. "Free" news coverage 24/7 has=20
convinced the Bush campaign to slash ad spending, but media executives keep=
=20
raking the big bucks in. The only winners thus far are media executives,=20
who are happy to collect cash from all parties. Analyst Tom Wolzien=20
estimates the total election-year advertising buy (including congressional=
=20
races) at more than $1.5 billion. How effective the ads are is hardly the=20
concern of broadcasters and cable titans. Where else can politicians go to=
=20
reach voters en masse? In our ever-fragmenting media omniverse, even as=20
their ratings plunge, television networks still represent the best spot=20
money can buy.
[SOURCE: Media Channel, AUTHOR: Rory O=92COnnor]
http://www.mediachannel.org/views/dissector/affalert182.shtml
Also see
WP: Campaign Ads Heating Up
President Bush and Sen. John F. Kerry ratcheted up their air war on=20
Wednesday, with the incumbent accusing his opponent of "doublespeak" and=20
the challenger promising a new approach to the violence in Iraq.
http://www.washingtonpost.com/wp-dyn/articles/A32413-2004Apr21.html
USAToday: http://www.usatoday.com/usatonline/20040422/6136107s.htm
STUDY: NET DIVERSITY EFFORTS MIXED
More coverage of the Children Now report Headlines noted yesterday. In Fall=
=20
Colors 2003-2004: Prime Time Diversity Report, Children Now finds that for=
=20
every two actual Latinos viewers see in real life, they only see one on=20
prime-time network broadcasts. And almost half of Middle Eastern characters=
=20
(46%) portrayed on TV were criminals, compared to 15% of Asian/Pacific=20
Islanders and Latinos, 10% of African Americans and 5% of whites. Luckily=20
no Native American were cast as criminals, but that's because they are=20
absent from prime-time programming. All the networks have pledged to take=20
steps to increase representation of minorities both in front of and behind=
=20
the camera.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA411956?display=3DBreaking+News
(requires subscription)
MADD IS MAD ABOUT BOOZE ADS
The Center on Alcohol Marketing and Youth has found that alcohol ads air in=
=20
all 15 of the shows most popular with youth ages 12-17, including Survivor,=
=20
Fear Factor and That 70's Show. The organization estimates that=20
12-20-year-olds see two beer or spirit ads for every three that adults see,=
=20
and three alcopop ads for every four that adults see. These findings have=20
Mothers Against Drunk Driving asking advertisers to promise not to place=20
alcohol ads in TV shows with less than 90% adult audiences.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA412169?display=3DBreaking+News
(requires subscription)
Also see:
WSJ: More Teens View Alcohol Ads
http://online.wsj.com/article/0,,SB108257004527089442,00.html?mod=3Dmm%5...
ia%5Fmarketing%5Fhs%5Fleft
DILLER, VIVENDI REACH AGREEMENT
Apparently Federal Trade Commission approval of the NBC-Vivendi Universal=20
merger was not the last hurdle the deal faced -- it was Barry Diller. When=
=20
he sold his USA entertainment assets to Vivendi in 2002, Mr. Diller=20
negotiated a number of complex restrictions on Universal movie, theme parks=
=20
and TV assets. NBC had made removing the covenants a condition of closing=20
the deal, fearing Mr. Diller could use them to thwart NBC's plans for=20
everything from the lucrative "Law & Order" TV franchise to the future of=20
the theme parks. In exchange for dropping its covenants, InterActive will=20
receive letters of credit valued at about $2 billion to cover the value of=
=20
its preferred shares in Vivendi Universal Entertainment.
[SOURCE: Los Angeles Times, AUTHOR:Richard Verrier]
http://www.latimes.com/business/printedition/la-fi-vivendi22apr22,1,8407...
tory?coll=3Dla-headlines-pe-business
MEDIA OWNERSHIP MADNESS AND THE THIRD PERSON EFFECT HYPOTHESIS
In the debate over media ownership regulation, it has become evident that=20
fanaticism has trumped the facts and emotionalism has won out over=20
empirical evidence. The hyperbolic rhetoric, shameless fear-mongering, and=
=20
unsubstantiated claims that have thus far driven the absurd backlash to=20
media liberalization have absolutely no foundation in reality whatsoever.=20
But that hasn't stopped some lawmakers from spinning outlandish Chicken=20
Little tales about a world in which they didn't control the media.
[SOURCE: Cato Institute, AUTHOR: Adam Thierer athierer( at )cato.org]
http://www.cato.org/tech/tk/040420-tk.html
RETURN OF THE (UN)FAIRNESS DOCTRINE: THE MEDIA OWNERSHIP REFORM ACT
Rep. Maurice Hinchey (D-NY) recently introduced a bill titled The Media=20
Ownership Reform Act=20
(http://thomas.loc.gov/cgi-bin/query/z?c108:H.R.4069:), which proposes the=
=20
radical re-regulation of the media marketplace in America. His draconian=20
bill (H.R. 4069) would not only undo all the limited ownership reforms that=
=20
the FCC pushed through last summer, it would reinstate cable=ADbroadcaster=
=20
cross-ownership regulations that were struck down by the courts and more=20
tightly restrict the number of radio stations a firm can own locally and=20
nationally. Worst of all, the bill would resurrect two disastrous FCC rules=
=20
that were thought to have been swept into the dustbin of history long ago:=
=20
the so-called "Fin-Syn" rules and the hideously misnamed Fairness Doctrine.
[SOURCE: Cato Institute, AUTHOR: Adam Thierer athierer( at )cato.org]
http://www.cato.org/tech/tk/040420-tk-2.html
INTERNET
FEDS DING AT&T OVER INTERNET CALLS
The FCC ruled on Wednesday that AT&T must pay traditional local access=20
charges to complete Internet phone calls, putting the long-distance carrier=
=20
on the hook for billions of dollars in deferred fees. AT&T had argued that=
=20
it was not required to pay the access fees to local landline companies for=
=20
completing long-distance calls, when those calls travel partly over the=20
Internet. But the FCC disagreed. The FCC said its ruling affects only calls=
=20
that begin and end on the public-switched telephone network and use=20
Internet Protocol networks in between. The ruling is not expected to impact=
=20
commercial VoIP providers. "The carrier has long been obligated to pay=20
access charges for this service, and we unanimously confirm that it still=20
is required to do so," FCC Chairman Michael Powell said in a statement.=20
AT&T warned in a statement that this is the FCC's first step in regulating=
=20
the Internet. Other Net phone service providers said they were happy that=20
the FCC had issued its decision, which ended a two-year wait that has, to=20
some degree, stalled development of VoIP services. Earlier this year the=20
FCC ruled that calls that travel entirely over the Internet are not subject=
=20
to access fees. The Commission is in the process of a larger review of=20
Internet telephone service.
[SOURCE: C-Net|News.com, AUTHOR: Ben Charny]
http://news.com.com/2100-7352_3-5197204.html?tag=3Dnefd.top
Additional coverage
Reuters: AT&T Loses Fee Fight Over Some Web Calls
http://www.reuters.com/newsArticle.jhtml;jsessionid=3DFJEATR0MBL4FUCRBAE...
A?type=3DinternetNews&storyID=3D4899775§ion=3Dnews
WSJ: FCC Rejects AT&T Bid To Avoid Fees on Web Calls
http://online.wsj.com/article/0,,SB108258607410889811,00.html?mod=3Dtoda...
s_marketplace
FCC's Decision:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A1.doc
Powell Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A2.doc
Abernathy Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A3.doc
Copps Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A4.doc
Martin Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A5.doc
Adelstein Statement:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-97A6.doc
KERRY'S BROADBAND POLICY PLANS EMERGING
Sen John Kerry is expected to announce his plan for broadband policy soon.=
=20
He is being advised on the issue by former FCC Chairman Reed Hundt who=20
predicts that part of the plan will be defining broadband as a "universal=20
service," making broadband more affordable in rural and other underserved=20
areas and freeing up new sections of the wireless spectrum that could be=20
used for affordable broadband services. President Bush has already=20
announced that his administration's goal to reach universal access to=20
broadband by 2007, without providing additional details. Even though both=20
candidates are talking about broadband, it is unlikely it will become a=20
defining issue. "Technology policy delivers about zero votes," said Rick=20
White, the former Washington state congressman who now serves as the chief=
=20
executive officer for TechNet, a bipartisan technology industry trade=20
group. "People vote on other issues."
[SOURCE: C-Net|News.com, AUTHOR: John Borland]
http://news.com.com/2100-1034_3-5197218.html?tag=3Dnefd.top
LIBRARIES WIRED, AND REBORN
What has the Internet done for libraries? Transformed them and help them do=
=20
what they have always aimed to do: providing information free to the=20
public. In 1996, 28% of all libraries had PC's for public access to the=20
Internet. Now, 95% of libraries offer Internet access. The Bill and Melinda=
=20
Gates Foundation has helped by installing or paying for more than 47,000=20
PCs as well as providing leadership, training and a simplified recipe for=20
using and maintaining PC's in public libraries. And Internet-connected=20
computers are clearly bringing more people into libraries. A year after=20
computers are put in libraries that do not have them, visits rise 30=20
percent on the average and attendance typically remains higher, according=20
to a study led by Andrew C. Gordon, a professor of public policy at the=20
University of Washington.
There's much more at the URL below. Also see "Toward Equality of Access" at=
=20
http://www.gatesfoundation.org/nr/Downloads/libraries/uslibraries/report...
wardEqualityofAccess.pdf=20
to see how libraries are helping to bridge the Digital Divide.
[SOURCE: New York Times, AUTHOR: Steve Lohr]
http://www.nytimes.com/2004/04/22/technology/circuits/22gate.html
(requires registration)
MARKETERS FALLING SHORT ON CAN-SPAM, STUDY SAYS
A Jupiter Research survey has found that many companies are not complying=20
with provisions in the Can-Spam Act that require updating of email lists=20
weekly to delete addresses that have opted out. A quarter of marketers=20
indicated that they delete e-mail addresses on a monthly basis, quarterly=20
or never. While 21% of the marketers allow consumers to simply reply to an=
=20
e-mail to opt out, about one-third said within their e-mails that "Replies=
=20
to this e-mail will not be processed." The Can-Spam Act requires that=20
messages include a valid physical address of the sender, but only 64=20
percent actually include a street address, according to the report.
[SOURCE: C-Net|News.com, AUTHOR: Dinesh C. Sharma]
http://news.com.com/2100-1028_3-5196362.html?tag=3Dnefd.top
GOP FINDS ITS ONLINE VOICE AND ROARS
Think the Republicans got lost somewhere in cyberspace? Think again. The=20
GOP's underreported e-campaign may lack the media razzle-dazzle of the=20
Deaniac phenomenon, but it promises to leave no less a mark on the annals=20
of political campaign history. For George W. Bush, the Internet is a potent=
=20
tactical weapon and his aides intend to wield it with party discipline and=
=20
order to November 2 and beyond.
[SOURCE: Media Channel, AUTHOR: Michelle Levander]
http://www.mediachannel.org/views/dissector/affalert184.shtml
QUICK HITS
THE CARTOON GUIDE TO FEDERAL SPECTRUM POLICY
This Cartoon Guide seeks to use the public's intuitive grasp of the=20
acoustic spectrum to bring the public into the policy debate over=20
unlicensed access to the radio spectrum. And, since Hollywood is turning so=
=20
many comics into movies these day, it is obviously a way for author Jim=20
Snider to make tons of cash.
[SOURCE: New America Foundation, AUTHOR: J.H. Snider]
http://www.newamerica.net/Download_Docs/pdfs/Pub_File_1555_1.pdf
IDT USES WI-FI TO OFFER CHEAPER CELL SERVICE
Think cell phone service is too expensive? Long-distance company IDT is=20
planning to launch a cell phone service based on Wi-Fi technology aimed at=
=20
low- to moderate-income subscribers. At first the company will give away=20
free phones (they will eventually cost ~$100) and monthly service will be=20
about $2/month. Service areas will be limited to Wi-Fi hotspots. "We're=20
creating a new industry . . . that can provide affordable phone service for=
=20
everyone," says Jim Courter, CEO of IDT, a leading provider of prepaid=20
calling cards. Daniel Briere, CEO of research firm TeleChoice, says such=20
services could threaten wireless firms. But Yankee Group's Roger Entner=20
says cellphone service is ubiquitous and, for as little as $20 a month,=20
affordable. ''I don't think they will have a massive market here."
[SOURCE: USAToday, AUTHOR: Paul Davidson]
http://www.usatoday.com/usatonline/20040422/6136133s.htm
CHAMPION OF PUBLIC BROADCASTING AWARD
The Association of Public Television Stations have awarded Lisa Sutherland=
=20
in the office of Alaskan Senator Ted Stevens, and BettiLou Taylor, staff=20
director of the Senate Labor-HHS-Education appropriations subcommittee the=
=20
Champion of Public Broadcasting Award in its first year. Ms. Sutherland has=
=20
been a strong supporter of efforts to preserve federal funding for public=20
broadcasting, and especially funding for the digital transition. Ms. Taylor=
=20
helps ensure that public broadcasting receives the strong bi-partisan=20
support needed to secure modest funding increases each year.
[SOURCE: Association of Public Television Stations ]
http://www.apts.org/html/whatsnew/sutherland_taylor_04.htm
VOTING PANEL GRILLS DIEBOLD
Electronic voting is back in the news in California where the state's=20
Voting Systems and Procedures Panel has found that "Diebold marketed, sold=
=20
and installed its TSx (voting machine) in these four California counties=20
prior to full testing, prior to federal qualification, and without=20
complying with the state certification program," read a staff report on the=
=20
investigation of Diebold Election Systems released Tuesday. An audit of all=
=20
17 California counties using the company's equipment, the report went on to=
=20
say, "discovered that Diebold had, in fact, installed uncertified software=
=20
in all its client counties without notifying the Secretary of State as=20
required by law, and that the software was not federally qualified in three=
=20
client counties." The panel could decide Wednesday or Thursday to recommend=
=20
a variety of remedies, from decertifying some of Diebold's voting equipment=
=20
to barring electronic voting methods altogether. More at the URL below.
[SOURCE: C-Net|News.com, AUTHOR: Paul Festa]
http://news.com.com/2100-1028-5197192.html?tag=3Dcd.top
--------------------------------------------------------------
For additional stories concerning the field, see today's Media Headlines=20
from Free Press http://www.freepress.net
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service=20
provided by the Benton Foundation (www.benton.org). Posted Monday through=20
Friday, this service provides updates on important industry developments,=20
policy issues, and other related news events. Headlines are compiled by=20
Kevin Taglang (ktaglang( at )etpost.net) -- we welcome your comments.
--------------------------------------------------------------