Benton's Communications-related Headlines for 5/04/05

For upcoming media policy events, see http://www.benton.org/calendar.htm

POLICYMAKERS
Dialing Up K Street
Stevens Sees June Action On Telecom Bill

MEDIA
Politicizing Public Broadcasting
Adelstein Hasn't Joined 'Tiering' Bandwagon
Bells Press For Nat'l Video Franchises
Is ABC providing airtime to Focus on the Family ad
after denying it to United Church of Christ?

TELECOM
Phone Consolidation May Cost Corporate Clients Clout
What the Phone Deals Mean for You
Qwest Signals Pursuit of Assets
Consumer Bill of Rights
Local Officials Sound off on Municipal Wireless
First Responder Issue Spurs Turf Fight

POLICYMAKERS

DIALING UP K STREET
Ready to place your bets on the make-up of the new FCC? There's one open=20
Republican seat and Commissioner Kathleen Abernathy, also a Republican, has=
=20
indicated she's ready to leave when a successor is picked. Who will get=20
those seats? Two Capitol Hill staff members, Christine Kurth (Senate) and=20
Howard Waltzman (House) apparently are the most likely nominees. Kurth, 34,=
=20
is deputy staff director at the Senate Commerce Committee, and a long-time=
=20
aide to the committee=92s chairman, Sen. Ted Stevens, R-Alaska. Waltzman,=
36,=20
is chief counsel for telecommunications and the Internet at the House=20
Energy and Commerce Committee and currently the lead drafter of legislation=
=20
to update the 1996 Telecommunications Act. In the past two weeks, House=20
Energy and Commerce Chairman Joe Barton, R-Texas and Stevens have sent word=
=20
to the White House that they are backing their respective aides for the=20
slots, sources said. A White House announcement of the nominees is=20
imminent, sources added. Kurth would likely take positions close to her=20
boss, Stevens -- who has consistently expressed concern about telecom=20
regulations affecting rural communities. Waltzman would be a =93Bell=20
company=92s dream,=94 as one telecom analyst put it =AD since he has helped=
to=20
write regulations that would loosen restrictions on the local phone=20
companies. If Waltzman does move to the FCC, several lobbyists noted that=20
his departure would leave a gap on the Hill, unless he is able to finish up=
=20
drafting rewrite legislation before leaving.
[SOURCE: National Journal Insider Update, AUTHOR: Bara Vaida]
http://www.njtelecomupdate.com/lenya/telco/live/tb-WKNU1115070261210.html

STEVENS SEES JUNE ACTION ON TELECOM BILL
The Senate Commerce Committee had a closed door session with God -- wait,=20
double-check that -- no, with Bill Gates last Thursday. We dear, mere=20
mortals can't know what Mr Gates said, but not to worry, his comments will=
=20
only affect how Congress approaches rewriting the nation's=20
telecommunications laws. Why should we bother with that? Meanwhile at an=20
open hearing in the House last week, officials from organizations=20
representing state and local governments expressed concern about potential=
=20
federal telecommunication legislation preempting traditional functions of=20
local government. Luckily, industry lobbyists are urging Congress to be=20
cautious until these corporations agree on how they'd like to divvy the=20
telecommunications pie. (They have money at stake in this debate, you know.)
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-XXEH1114716589355.html
http://www.njtelecomupdate.com/lenya/telco/live/tb-PSHY1114637430624.html
http://www.njtelecomupdate.com/lenya/telco/live/tb-HCSR1114807489959.html

MEDIA

POLITICIZING PUBLIC BROADCASTING
[Commentary] The last thing Americans need is public broadcasting where the=
=20
politics of the moment limits the news of the day. Yet that could be where=
=20
the Corporation for Public Broadcasting is heading if Kenneth Tomlinson,=20
the chairman, keeps pushing for partisan Republicans in the management of=20
public television and radio. Although he has insisted that he does not want=
=20
to politicize PBS or cut any programs, Mr. Tomlinson has managed to spread=
=20
the word throughout the PBS community that he does not like anything that=20
he considers too anti-corporate, anti-White House or anti-Republican. For=20
journalists whose basic code is to "speak truth to power," this is not good=
=20
news: those are the main powers in the country. Their real fear, an=20
understandable one at this stage, is that Mr. Tomlinson and his supporters=
=20
have a larger agenda - to "hollow out" public broadcasting and fill it with=
=20
programming that suits their political agenda. And if public broadcasting=20
becomes too political to suit all but the most loyal Republicans or too=20
boring in the name of balance, that could mean the slow death of such=20
broadcasting, which could have been the goal all along. Public broadcasting=
=20
is not supposed to be an arm of the government. The Corporation for Public=
=20
Broadcasting was designed to serve as a heat shield protecting the=20
broadcasting wing from Washington's political friction. Instead of=20
shielding PBS, Mr. Tomlinson's corporation is in danger of spreading=20
today's political heat throughout every level of the network.
[SOURCE: New York Times, AUTHOR: Editorial Staff]
http://www.nytimes.com/2005/05/04/opinion/04wed2.html
(requires registration)

ADELSTEIN HASN'T JOINED 'TIERING' BANDWAGON
In a speech to cable industry public relations execs, FCC Commissioner=20
Jonathan Adelstein indicated he's not ready to try to make the cable=20
industry to offer family-themed tiers or "a la carte" channels to protect=20
children from inappropriate programming. Instead he praised new cable=20
content ratings education efforts, and the industry's multicasting deal=20
with noncommercial broadcasters, which he called a smart move as well as a=
=20
public-spirited one. Commissioner Adelstein also talked about his decision=
=20
to join an FCC majority to reject broadcasters' demand for cable carriage=20
rights for all their digital multicast channels. He said broadcasters gave=
=20
him little reason to support their request by refusing to agree to a quota=
=20
of local programming and other public interest obligations in return for=20
expanded carriage rights. Cable, on the other hand, went the extra mile in=
=20
demonstrating commitment to the public interest by striking a multicast=20
carriage deal with public TV stations. "You did a better job responding to=
=20
policymakers' concerns," he said. "It was a very smart move, but it was=20
also one that serves the public."
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA529598?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)
* Adelstein Backs Cable on Blocking Approach
http://www.multichannel.com/article/CA529437.html?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)
* Aide: Stevens Not Ready On Cable Indecency
Senate Commerce Committee chairman Ted Stevens (R-Alaska) is still=20
considering his options regarding legislation that might impose program=20
indecency rules on cable television, said Lisa Sutherland, the committee=92s=
=20
majority staff director.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA529632.html?display=3DBreaking+New...
ferral=3DSUPP
(free access for Benton's Headlines subscribers)

BELLS PRESS FOR NAT'L VIDEO FRANCHISES
Bell companies seeking to enter the video marketplace are facing obstacles=
=20
in obtaining cable television franchises locally -- and some are pressing=20
for the authority to offer these services nationwide. If the former "Baby=
=20
Bells" are successful, they could displace the role of municipalities in=20
ratifying franchise agreements. But increasingly, many municipalities are=20
seeking to offer communications services such as broadband -- rather than=20
simply regulate cable communications.
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-XGKN1115136626882.html

IS ABC PROVIDING AIRTIME TO FOCUS ON THE FAMILY AD AFTER DENYING IT TO=20
UNITED CHURCH OF CHRIST?
During the May 2 season finale of the ABC reality series Supernanny, James=
=20
C. Dobson's Christian ministry Focus on the Family plans to air a=20
nationwide commercial promoting the organization's toll-free phone number=20
and its Focus On Your Child parenting website. In December 2004, ABC=20
reportedly refused to air a commercial on its broadcast network from the=20
United Church of Christ promoting its inclusive policy towards gays, racial=
=20
minorities, and people with disabilities. While the ABC Family cable=20
channel ran the commercial, according to a United Methodist Church press=20
release, ABC's broadcast network (which airs Supernanny) joined=20
broadcasters such as CBS, NBC, and UPN in rejecting the ad as "too=20
controversial."
[SOURCE: Media Matter for America]
http://mediamatters.org/items/200505020008

TELECOM

PHONE CONSOLIDATION MAY COST CORPORATE CLIENTS CLOUT
After a total of more than $100 billion in deal making, Verizon=20
Communications and SBC Communications have emerged as two giants set to=20
dominate the telecommunications industry. The companies will control=20
everything from the nation's two largest cellphone providers to the copper=
=20
lines connecting every home and business in their vast service territories.=
=20
the two giants will be able to control a phone call from the time it is=20
placed in Chicago to the time it is completed in Los Angeles or Tokyo.=20
Together, they will control an overwhelming portion of the massive business=
=20
market for data and phone services. Analysts say that business customers=20
could face the most change, with fewer providers leaving them with less=20
leverage to secure discounts. In the wake of the SBC-AT&T and Verizon-MCI=20
acquisitions, businesses will receive 87% of their services from their=20
top-two providers. In the business market, cable doesn't exist as a real=20
competitor for many phone providers.
[SOURCE: Wall Street Journal, AUTHOR: Jesse Drucker jesse.drucker( at )wsj.com=20
and Christopher Rhoads christopher.rhoads( at )wsj.com]
http://online.wsj.com/article/0,,SB111515681560723724,00.html?mod=3Dtoda...
s_marketplace
(requires subscription)

WHAT THE PHONE DEALS MEAN TO YOU
Get ready for the battle of the bundles -- telephone giant vs cable giant:=
=20
who will offer households the most attractive packages of=20
telecommunications services. But not all consumers will benefit equally --=
=20
and some maybe not at all. Consumer advocates say bundles will benefit=20
consumers who already spend at least $50 to $60 a month on phone service=20
and who have cellphones and high-speed Internet connections. Also, large=20
parts of the country, especially rural areas, won't have the option of=20
getting phone service from their cable provider for several years. Cable=20
companies that own systems in less densely populated areas like Adelphia=20
Communications and Charter Communications have been slower to introduce=20
phone, although they all plan to do it eventually. About 15% of households=
=20
got phone service from Baby Bell rivals in the first half of 2004,=20
according to the Federal Communications Commission, although the growth of=
=20
rival services was slowing. Changes in FCC rules made it harder for=20
companies like AT&T and MCI to compete with the Bells and soon the Bells=20
will own these competitors.
[SOURCE: Wall Street Journal, AUTHOR: Shawn Young shawn.young( at )wsj.com and=20
Peter Grant peter.grant( at )wsj.com]
http://online.wsj.com/article/0,,SB111515700772523730,00.html?mod=3Dtoda...
s_personal_journal
(requires subscription)

QWEST SIGNALS PURSUIT OF ASSETS
Qwest Chief Executive Dick Notebaert said Tuesday that the industry would=20
look for ways to create "a meaningful third leg" to compete with the two=20
giants being formed by the acquisition of AT&T by SBC Communications and of=
=20
MCI by Verizon Communications. Analysts suggested that Qwest might target=20
companies that sell services to businesses, or possibly assets that Verizon=
=20
and SBC could be forced to unload to lessen government worries that the=20
mergers would hurt competition.
[SOURCE: Associated Press]
http://www.latimes.com/business/printedition/la-fi-qwest4may04,1,3317438...
ry?coll=3Dla-headlines-pe-business
(requires registration)

CONSUMER BILL OF RIGHTS
California PUC Commissioner Susan Kennedy proposed enacting a stripped-=20
down version of rules to protect telephone customers that the agency voted=
=20
to suspend in January. In a written statement, Commissioner Kennedy said=20
she had no quarrel with the idea of a so-called consumer bill of rights,=20
but said she thought the PUC had erred in trying to enforce the rights with=
=20
hundreds of specific regulations, such as requiring companies to print=20
brochures in type of at least 10 points. "Those regulations made the IRS=20
code look simple," she said. Kennedy's proposal does go further than the=20
original plan. For instance, it would require SBC and other phone companies=
=20
to offer high-speed Internet service to customers as a stand-alone product=
=20
and not require them to sign up for traditional phone service.
[SOURCE: San Francisco Chronicle, AUTHOR: Pia Sarkar]
http://sfgate.com/cgi-bin/article.cgi?file=3D/c/a/2005/05/03/BUGN9CIU4H1...

LOCAL OFFICIALS SOUND OFF ON MUNICIPAL WIRELESS
A group of local government officials gathered in Philadelphia this week to=
=20
discuss strategies for deploying their own citywide broadband wireless=20
networks. Attending the Digital Cities Convention, sponsored by the=20
Wireless Internet Institute, the officials focused on everything from=20
network construction to political pressure for broadband service. Some=20
officials said their cities are building their own networks because local=20
telephone or cable suppliers have moved too slowly in bringing broadband to=
=20
residents. Others said they consider wireless networks a draw for business=
=20
and a smart way to reduce operating costs for local government.
[SOURCE: C-Net|News.com, AUTHOR: Marguerite Reardon]
http://news.com.com/Local+officials+sound+off+on+municipal+wireless/2100...
1_3-5694248.html?tag=3Dnefd.top

FIRST RESPONDER ISSUE SPURS TURF FIGHT
While lawmakers are engaging in a Capitol Hill turf battle over legislation=
=20
to free up airwaves for police and firefighters, first responders are=20
saying that they don't care which lawmaker or committee takes credit --=20
only that Congress acts.
[SOURCE: Technology Daily, AUTHOR: Greta Wodele]
http://www.njtelecomupdate.com/lenya/telco/live/tb-UKGK1115136941429.html
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Happy Mother's Day. See ya next week.
--------------------------------------------------------------
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. While the summaries are=20
factually accurate, their often informal tone does not always represent the=
=20
tone of the original articles. Headlines are compiled by Kevin Taglang=20
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------