Benton's Communications-related Headlines for 6/09/04

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

MEDIA
Broadcast Decency Amendment Proposed for DoD Authorization Bill
Radio Giant In Record Indecency Settlement
Group Calls on FTC to Launch Investigation of Interactive Advertising=20
Targeted at
Children, "Tweens," and Teens
Fewer Republicans Trust the News, Survey Finds
Ads of Both Campaigns Zero in on a Typical City
Nielsen Picks People Meter Panel
Comcast Plans to Create 24-Hour Network -- for Toddlers

TELECOM
Fraud, Waste Mar Plan to Wire Schools to Net
Semiannual Report of FCC Inspector General
Universal Service Proceeding
Broadband Internet Use Up 42% in 2003
Civil Society Policy Websites Set Up in Ten Nations

MEDIA

BROADCAST DECENCY AMENDMENT PROPOSED FOR DOD AUTHORIZATION BILL
Just when you thought it was safe to curse on TV again... it's back! Sen=20
Sam Brownback (R-KS) apparently has proposed an amendment to Department of=
=20
Defense authorization legislation that will raise the fines for=20
broadcasters who air indecent programming. The DoD bill will be considered=
=20
next week. The indecency provisions are likely to be focused just on=20
increased fines and not include more controversial provisions concerning=20
rolling back the FCC's new media ownership rules.
[SOURCE: Communications Daily, AUTHOR: Terry Lane]
(Not available online)
Also coverage in:
WSJ=20
http://online.wsj.com/article/0,,SB108673926033632255,00.html?mod=3Dtoda...
s_page_one
(requires subscription)
LATimes=20
http://www.latimes.com/business/printedition/la-fi-clear9jun09,1,4052108...
ry?coll=3Dla-headlines-pe-business
(requires registration)
NYT http://www.nytimes.com/2004/06/09/business/media/09radio.html
(requires registration)

RADIO GIANT IN RECORD INDECENCY SETTLEMENT
An announcement could be made today that Clear Channel will pay $2 million=
=20
to the FCC to settle indecency charges against the radio giant including=20
on-air remarks made by shock jock Howard Stern. Perhaps most important, one=
=20
source said, the deal would cover not only Clear Channel's outstanding=20
fines but also dozens of listener complaints in the FCC's indecency=20
pipeline that have not been ruled on. If those complaints were to result in=
=20
fines, they could cost the radio company millions. Apparently, the FCC's=20
three Republican commissioners -- Chairman Michael Powell, Kevin J. Martin=
=20
and Kathleen Q. Abernathy -- voted for the deal while Democratic=20
Commissioner Jonathan S. Adelstein agreed in part. But fellow Democrat=20
Michael J. Copps voted against the settlement instead wanting each=20
complaint against Clear Channel to be examined rather than grouped into a=20
universal settlement.
[SOURCE: Washington Post, AUTHOR: Frank Ahrens]
http://www.washingtonpost.com/wp-dyn/articles/A26431-2004Jun8.html
(requires registration)

GROUP CALLS ON FTC TO LAUNCH INVESTIGATION OF INTERACTIVE ADVERTISING=20
TARGETED AT CHILDREN, "TWEENS," AND TEENS
The Center for Digital Democracy (CDD) urged the Federal Trade Commission=20
Tuesday to review and analyze the interactive marketing and branding=20
technologies and techniques used by advertisers to target the country's=20
children, "tweens," and teens. In a letter to FTC Chairman Muris and the=20
other four commissioners, the nonprofit , public interest advocacy=20
organization wrote that the "immersive, relational, and ubiquitous nature=20
of such marketing raises serious questions about the ability of existing=20
safeguards and rules to protect our nation's children and young=20
people." The letter urged the Commission to use its subpoena power to=20
obtain any needed documents, including proprietary research studies. CDD=20
also called on the ad industry to adopt a moratorium on all interactive=20
techniques that -- in the absence of independent research suggesting=20
otherwise -- could potentially harm or negatively affect children and youth.
See more at the URLs below.
[SOURCE: Center for Digital Democracy Press Release]
http://www.democraticmedia.org/news/FTCAdPR.html
Text of letter to FTC
http://www.democraticmedia.org/resources/filings/FTCletter.html

FEWER REPUBLICANS TRUST NEWS, SURVEY FINDS
The Pew Research Center finds that Republicans have come to distrust the=20
media in greater numbers since President Bush took office while Democratic=
=20
views are mostly unchanged. "CNN's once-dominant credibility ratings have=20
slumped in recent years, mostly among Republicans and independents," the=20
survey says. "By comparison, the Fox News Channel's believability ratings=20
have held steady -- both overall and within partisan groups." While the=20
percentage of people who rate CNN as highly credible has slid from 42=20
percent six years ago to 32 percent now, the study says, "more continue to=
=20
say they can believe all or most of what they hear on CNN than say that=20
about Fox News Channel," whose credibility rating is 25 percent. MSNBC=20
clocks in at 22 percent. ("60 Minutes" edged the field with 33=20
percent.) In a finding that surprised Andrew Kohut, the Pew center's=20
director, 29 percent of Republicans say Fox News Channel is credible, only=
=20
slightly more than the 26 percent of GOPers who feel that way about CNN.=20
Among Democrats, though, 45 percent give CNN a thumbs up for credibility,=20
compared with 24 percent for Fox News Channel. The changing views "reflect=
=20
the political polarization we've seen," says Andrew Kohut, the Pew center's=
=20
director. "It reflects anger on the part of Republicans about the way the=20
media's treated Bush lately, and also reflects the appeal of Fox News."=20
Readers and viewers, he says, are "reacting to a perception of a political=
=20
point of view, whether that means bias in political reports or tone."
There's much more at the URL below.
[SOURCE: Washington Post, AUTHOR: Howard Kurtz]
http://www.washingtonpost.com/wp-dyn/articles/A26345-2004Jun8.html
(requires registration)

ADS OF BOTH CAMPAIGNS ZERO IN ON A TYPICAL CITY
A look at ad spending in Columbus, Ohio -- one of the most evenly-divided=20
cities in one of the most evenly-divided states during this election.=20
Rarely if ever has so much been spent to sway so few (population, 704,000)=
=20
so early in a presidential campaign. Approximately $4 million has been=20
spent to show the typical TV viewer there 3,000 political ads since March.
[SOURCE: New York Times, AUTHOR: Jim Rutenberg]
http://www.nytimes.com/2004/06/09/politics/campaign/09ads.html
(requires registration)

NIELSEN PICKS PEOPLE METER PANEL
On Tuesday, Nielsen Media Research named the members of its task force that=
=20
will advise the ratings company on ways to insure that the household=20
samples it creates for local people meter service in the top 10 markets=20
accurately reflect the audiences being measured. Former Illinois=20
Congresswoman Cardiss Collins will serve as the chair and be joined by Bob=
=20
Barocci, President/CEO of The Advertising Research Foundation; Melody=20
Spann-Cooper, President and General Manager of WVON-AM Chicago;Rev. James=20
L. Deemus III, Executive Director of the NAACP Chicago (Southside); Ray=20
Durazo, Chair of the Latin Business Association in Los Angeles; Mary=20
Gonzales Koenig, President of the Spanish Coalition for Jobs, Inc.; Scott=20
McDonald, Senior Vice President for Market Research at Cond=E9 Nast=20
Publications and the former top research executive at Time Warner;Byron E.=
=20
Lewis, Chair and CEO of UniWorld Group; Guillermo Linares, former member of=
=20
the New York City Council; Manuel Mirabal, President of the National=20
Puerto-Rican Coalition,Inc.; Elinor Tatum, Publisher of The Amsterdam News.=
=20
"It is important to determine the best possible method to accurately=20
reflect the choices being made by media audiences, and particularly by=20
black and Latino viewers who have been historically undercounted, because=20
of the enormous social, cultural and financial implications arising from=20
the measured popularity of media programming," said New York Congressman=20
Charles Rangel (D), who helped put the task force together.
[SOURCE: Broadcasting&Cable, AUTHOR: Steve McClellan]
http://www.broadcastingcable.com/article/CA424631?display=3DBreaking+News
(requires subscription)

COMCAST PLANS TO CREATE 24-HOUR NETWORK -- FOR TODDLERS
Here's a solution for all our four-year old readers searching for quality=20
video entertainment at 4am -- a new 24-hour cable channel for preschoolers=
=20
brought to you by Comcast, the Public Broadcasting System, Sesame Street=20
Workshop and HIT Entertainment. The as-yet-unnamed network would carry no=20
commercials and would have rights to "Barney & Friends," "Sesame Street,"=20
"Bob the Builder" and "Thomas the Tank Engine," among others. The network=20
is likely to be a digital channel. Negotiations could be finalized in weeks=
=20
and the channel could be launched by year's end.
[SOURCE: Wall Street Journal, AUTHOR: ]
http://online.wsj.com/article/0,,SB108674158907832328,00.html?mod=3Dtoda...
s_marketplace
(requires subscription)

TELECOM

FRAUD, WASTE MAR PLAN TO WIRE SCHOOLS TO NET
While the $2.25 billion-a-year E-Rate program has helped bring the Internet=
=20
to more than 90% of the nation's classrooms, lawmakers and investigators=20
say it also is riddled with waste, mismanagement and fraud. A series of=20
House hearings on E-rate will kick off on June 17 with an examination of=20
flaws in the management of E-rate. Consultants and public-interest=20
advocates say blame is shared by everyone involved in the program: public=20
officials so eager, they say, to get the much-hyped program going that they=
=20
imposed few safeguards; school administrators who welcome the federal=20
largesse but who often have little expertise in setting up high-tech=20
systems; vendors who prey on wide-eyed school officials in hopes of feeding=
=20
at the trough of taxpayers' money. E-rate's management says critics=20
overstate the fraud and waste. And E-rate backers say the program's good=20
far outweighs the bad. One problem with rules compliance is E-rate's=20
complex application process. Schools must submit detailed plans and get=20
bids before applying. As a result, districts -- especially small or poor=20
ones with little technical support -- often rely on vendors to fill out=20
requests for bids. FCC officials say that can let vendors steer proposals=20
to their own offerings. Another problem: The FCC doesn't require schools to=
=20
keep records on competitive biddings. They need only follow state and local=
=20
rules. The FCC is considering stricter record-keeping rules. Bob Williams=20
of the Center for Public Integrity believes Universal Services=20
Administrative Company scrutiny is limited because half its board are=20
telecom, cable and Internet executives -- industries that gain from E-rate.=
=20
"You basically have an industry group handing out and watching the money."
[SOURCE: USAToday, AUTHOR: Paul Davidson, Greg Toppo and Jayne O'Donnell]
http://www.usatoday.com/usatonline/20040609/6270165s.htm

SEMIANNUAL REPORT OF THE FCC INSPECTOR GENERAL
The FCC's Office of Inspector General (OIG) provided Chairman Michael=20
Powell with a review of the OIG's actions over the during the six-month=20
period ending March 31, 2004. During this reporting period, as in the=20
previous one, OIG activity continued to focus on the Universal Service Fund=
=20
(USF) -- which includes the E-rate program --activities because of=20
continuing allegations of waste and fraud, and the results of beneficiary=20
audits performed by contract auditors and Commission staff. Despite limited=
=20
resources, the OIG has implemented an aggressive program for independent=20
oversight of the USF. The oversight program includes: (1) audits conducted=
=20
using internal resources; (2) audits conducted by other federal Offices of=
=20
Inspector General under reimbursable agreements; (3) review of audit work=20
conducted by the Universal Service Administrative Company; and (4) active=20
participation in federal investigations of E-rate fraud.
[SOURCE: FCC]
http://www.fcc.gov/oig/SAR_31_FCC-OIG.pdf

UNIVERSAL SERVICE PROCEEDING
In a Notice of Proposed Rulemaking (Notice) released Tuesday, the FCC=20
announced it is seeking comment on the Recommended Decision of the=20
Federal-State Joint Board on Universal Service (Joint Board) concerning the=
=20
process for designation of eligible telecommunications carriers (ETCs) and=
=20
the Commission's rules regarding high-cost universal service support. In=20
its Recommended Decision, the Joint Board recommended that the Commission=20
adopt permissive federal guidelines for states to consider in proceedings=20
to designate ETCs under federal law. In addition, the Joint Board=20
recommended that the Commission limit the scope of high-cost support to a=20
single connection that provides a subscriber access to the public telephone=
=20
network. Finally, the Joint Board recommended that the Commission further=20
develop the record on specific issues identified in its Recommended=20
Decision relating to the high-cost support mechanism, including=20
identification of mobile wireless customer location, and standards for the=
=20
submission of accurate, legible, and consistent maps. The Commission seeks=
=20
comment on whether the Joint Board's recommendations should be adopted, in=
=20
whole or in part, in order to preserve and advance universal service,=20
maintain competitive neutrality, and ensure long-term sustainability of the=
=20
universal service fund. The Commission also seeks comment on several=20
related proposals to streamline rules governing annual certifications and=20
submission of data by competitive ETCs seeking high-cost support.
Hey, hey, slow down! Let's not have everyone click on the URL below at the=
=20
same time. Comments are not due until 30 days after publication in the=20
Federal Register.
[SOURCE: FCC]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-127A1.doc

BROADBAND INTERNET USE UP 42% IN 2003
The FCC reported Tuesday that there were 28.2 million broadband lines in=20
use by the end of 2003 up 42% from 2002. The growth was fueled by=20
residential and small-business subscriptions. Cable-based services=20
continued to be the most popular form of broadband service, the FCC found,=
=20
accounting for 16.4 million lines. Telephone-based digital subscriber line=
=20
service accounted for 9.5 million lines, while 2.3 million high-speed lines=
=20
used satellite, fiber-optic or wireless technologies.
The summary statistics released include state-by-state, population density,=
=20
and household income information, ranked by zip codes. For more info=20
contact: FCC's Industry Analysis and Technology Division at (202) 418-0940
[SOURCE: Reuters]
http://www.reuters.com/newsArticle.jhtml?type=3DinternetNews&storyID=3D5...
62
See FCC Press Release:=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-248089A1.doc
The report is available online
http://www.fcc.gov/Bureaus/Common_Carrier/Reports/FCC-State_Link/IAD/hsp...
4.pdf

CIVIL SOCIETY POLICY WEBSITES SET UP IN TEN NATIONS
APC has spent the last two years advocating for civil society involvement=20
in international ICT (information and communications technologies)=20
policy-making processes. Now 10 APC members have created national ICT=20
policy portal websites in their own countries in a joint initiative. The=20
portals which are all uniquely adapted to address each country's particular=
=20
situation all use free software that allows content-sharing in different=20
languages and between multiple information databases hosted in different=20
parts of the world. The portals have been set up by APC members -=20
organizations who work with ICTs for sustainable development, and social=20
and environmental justice- locally in Argentina, Australia, Bulgaria,=20
Colombia, the Democratic Republic of Congo*, Italy, Mexico, the=20
Philippines, South Africa, Spain, the UK and Uruguay.
More at the URL below.
[SOURCE: Association for Progressive Communications (APC) Press Release]
http://www.apc.org/english/news/index.shtml?x=3D20966
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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.
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