Headlines is taking another break. We'll be back TUESDAY JULY 6.
For upcoming media policy events, see http://www.benton.org/calendar.htm
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
MEDIA
Appellate Court Remands FCC's Media Ownership Rule Changes
Don't Blame TV
BROADBAND PROPOSALS
Bush and Kerry Offer Plans for High-Tech Growth
Bush Supports Internet Tax Ban, Spectrum Trust Fund
Kerry Makes Pitch to High Tech
TELECOM
Rules Driving Telecom Shifts
SPECTRUM
New Objections to FCC Deal With Nextel Over Spectrum
Managing Spectrum in the 21st Century
INTERNET
Anti-Spyware Bill Advances in Congress
MEDIA
APPELLATE COURT REMANDS FCC'S MEDIA OWNERSHIP RULE CHANGES
In Prometheus Radio Project v. FCC, score a major victory for the
Prometheus Radio Project. The Third Circuit Court of Appeals released its
ruling Thursday remanding the FCC's June 2003 decision to relax regulation
of broadcast ownership. The rules would have allowed one company to own 3
TV stations, 8 radio stations and a newspaper in a single market. The court
remanded local TV ownership rules, which would give broadcasters greater
opportunities to own 2 or 3 stations depending on market size. The Court
also ruled that the FCC should fix flaws in its diversity index, which it
used to determine the new local cross-ownership rules. The court also sent
back to the FCC a new local radio market definition, which would generally
prevent larger radio clusters, though it would also give companies,
including Clear Channel, new opportunities in some cases. Both rules were
sent back to the Commission on the grounds that the evidence and reasoning
presented didn't justify the changes as serving the public interest.
Consumer advocacy groups claimed victory. Andrew Schwartzman, President of
Media Access Project, said the decision was a big win for diversity in the
media. Mark Cooper of the Consumer Federation of America said, "The rules
were never supported by public opinion; they can't drag their feet
anymore." Consumers Union launched a national campaign urging President
Bush to shift course on media ownership rules in view of the court's
decision. The group urged the FCC to act swiftly on the court's remand.
"The American people, the Congress, and now the courts have said that
competition, localism and democratic dialogue must exist in our nation's
media," said CU Public Policy Director Gene Kimmelman.
[SOURCE: Communications Daily, AUTHOR: Tania Panczyk-Collins, Terry Lane]
(Not available online)
See the court documents including the decision
http://www.ca3.uscourts.gov/staymotion/Petition.htm
Read comments from FCC Commissioners:
Powell http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-248793A1.doc
Copps http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-248779A1.doc
Adelstein http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-248773A1.doc
Coverage in
NYTimes http://www.nytimes.com/2004/06/25/business/media/25MEDI.html
Ruling Only Irritates Big Owners
http://www.nytimes.com/2004/06/25/business/media/25owners.html
WSJ
http://online.wsj.com/article/0,,SB108809840424546633,00.html?mod=todays...
WP http://www.washingtonpost.com/wp-dyn/articles/A3853-2004Jun24.html
USAToday http://www.usatoday.com/usatonline/20040625/6319215s.htm
B&C http://www.broadcastingcable.com/article/CA429374?display=Breaking+News
Multichannel News
http://www.multichannel.com/article/CA429410?display=Breaking+News
Press releases
MAP http://www.mediaaccess.org/prometheus_decision/index.html
Consumers Union http://www.consumersunion.org/pub/campaignmedia/001212.html
Common Cause http://www.commoncause.org/news/default.cfm?ArtID=350
CWA http://www.cwa-union.org/news/PressReleaseDisplay.asp?ID=432
Free Press http://mediareform.net/news/release.php?id=22
DON'T BLAME TV
Although obesity rates in the US for both children and adults are alarming,
the chairman of the Federal Trade Commission writes, banning junk food ads
on kids' programming is impractical, ineffective and illegal. In fact,
advertising is part of the solution, Chairman Muris writes. "We need to
harness that same power to help fight obesity. Year after year,
manufacturers have shown great ingenuity in pitching foods to kids as tasty
and fun; their challenge now is to develop and promote healthy foods, too.
I urge them to accept this challenge." The role of the FTC, Chairman Muris
writes, is to ensure that advertising claims are truthful.
[SOURCE: Wall Street Journal, AUTHOR: FTC Chairman Timothy Muris]
http://online.wsj.com/article/0,,SB108811772070847171,00.html?mod=todays...
(requires subscription)
BROADBAND PROPOSALS
BUSH AND KERRY OFFER PLANS FOR HIGH-TECH GROWTH
Both Sen John Kerry (D-MA) and President George Bush (R-TX) delivered
speeches proposing new high-tech policies on Thursday [see stories for more
covergae]. Here are quotes from the speeches. President Bush: (Referring to
broadband adoption) "On a per capita basis, America ranks 10th amongst the
industrialized world. That's not good enough. We don't like to be ranked
10th in anything. The goal is to be ranked first when it comes to per
capita use of broadband technology. It's in our nation's interest. It's
good for our economy." (On access in rural areas) "A lot of people in rural
America like living there. The quality of life is really good. You walk
down your street and know who you're looking at, and, generally, they'll
say: 'How are you doing? It's good to see you. I hope you're having a
wonderful day. What can we do to help you?' And it makes sense to be able
to take the potential of broadband to rural America."
Sen Kerry: "We need a leadership that says if Bangalore in India can be
completely wired, then so should all of America, and it will be. In the
last century, across a continent that stretched from sea to shining sea,
there were entire islands of darkness in America," he added, citing
Franklin D. Roosevelt's Rural Electric Administration as a model. "Today,
visionary national leadership can build a bridge across the digital divide
and bring the promise of broadband technology to every home in America,
just the way we brought electricity to every home in America."
Broadband is currently available in 93% of all US ZIP codes.
[SOURCE: New York Times, AUTHOR: Jodi Wilgoren & David Sanger]
http://www.nytimes.com/2004/06/25/politics/campaign/25campaign.html
(requires registration)
BUSH SUPPORTS INTERNET TAX BAN, SPECTRUM TRUST FUND
President Bush (R-TX) spoke at the Department of Commerce on Thursday about
technology policy. He said he views broadband rollout, including broadband
over powerlines (BPL), more efficient use of the spectrum and wireless
broadband, as key building blocks of the U.S. economy. He called for a
permanent ban on taxes on Internet services and a spectrum transition fund.
Although the focus was on broadband, President Bush also stated his support
of the FCC's decision appeal the Triennial Review Order decision by the
U.S. Appeals Court, D.C. "In this case, the FCC provided regulatory
certainty, and by doing so created incentives for communication companies
to build out their fiber optic broadband lines to more homes," President
Bush said. "It's a good decision. I think the decision will benefit
American consumers, as well."
[SOURCE: Communications Daily, AUTHOR: Howard Buskirk, Patrick Ross]
(Not available online)
See full text of the President's remarks at
http://www.whitehouse.gov/news/releases/2004/06/20040624-7.html
Also see a discussion of the President's "Innovation Agenda" at
http://www.whitehouse.gov/ask/20040624.html
Cable liked President's focus on broadband
http://www.ncta.com/press/press.cfm?PRid=509&showArticles=ok
KERRY MAKES PITCH TO HIGH TECH
Sen John Kerry (D-MA) was in San Jose Thursday delivering his
much-anticipated proposals on technology policy. His plan is to auction off
spectrum currently used for broadcast television to fund: 1) a cut in
long-term capital gains taxes on small businesses and "reforming or
eliminating" regulations that block America's high-tech competitiveness, 2)
a 20% tax incentive for companies investing in next-generation high-speed
Net infrastructure, 3) increases in government-funded university research,
including the extension of the research and development tax credit and 4)
more investment in elementary and secondary math and science education, and
incentives for colleges to increase the number of science and engineering
graduates. He also called for universal access to broadband services by the
end of 2006 for public safety officials.
[SOURCE: C-Net|News.com, AUTHOR: John Borland]
http://news.com.com/Kerry+makes+pitch+to+high+tech/2100-1028_3-5246632.h...
A press release from the Kerry campaign is available at
http://www.johnkerry.com/pressroom/releases/pr_2004_0624.html
And the full text of his plan is available at
http://www.johnkerry.com/pdf/pr_2004_0624.pdf
Coverage in
WP http://www.washingtonpost.com/wp-dyn/articles/A3738-2004Jun24.html
TELECOM
RULES DRIVING TELECOM SHIFTS
On June 9, the Bush Administration decided not to challenge a federal
appeals court ruling that struck down FCC rules on local telephone network
access. The rules, aimed at spurring competition under the 1996
Telecommunications Act, expired June 15. This week we started to see the
fallout of the decision. AT&T has announced it will no longer compete for
local customers in 46 states while local phone giant SBC announced it will
invest $4 billion to $6 billion over five years to offer digital
television, high-speed Web access and Internet-based phone service over an
expanded fiber-optic network in California and 12 other states. The
announcements signal how competitors and incumbents will react to new rules
the FCC must craft for local phone competition. FCC Chairman Michael Powell
has promised new rules in the next couple of weeks. Consumer advocates
believe the Bush Administration decision will lead to fewer local phone
choices for consumers -- and higher prices for service.
[SOURCE: San Jose Mercury News, AUTHOR:John Woolfolk
jwoolfolk( at )mercurynews.com]
http://www.mercurynews.com/mld/mercurynews/business/technology/8999897.h...
There's also more on the decision not to appeal phone competition rules to
the Supreme Court. See releases from:
Association for Local Telecommunications Services
http://206.161.82.210/NewsPress/062204PR%20Powell%20TRO%20ltr.pdf
CompTel/ASCENT http://www.comptelascent.org/news/recent-news/062404.html
USTA http://www.usta.org/news_releases.php?urh=home.news.nr2004_0624
SPECTRUM
NEW OBJECTIONS TO FCC DEAL WITH NEXTEL OVER SPECTRUM
The FCC appears close to approving a deal that would allow Nextel, the
nation's 6th-largest cell phone carrier, to swap spectrum used for its
services to ensure an end to interference problems it has cause in public
safety communications. The upcoming elections are increasing pressure on
the Commission to complete the deal which has Nextel moving to valuable
spectrum in the 1.9 gigahertz band and paying $5.4 billion. Steve Largent,
the chief executive of the Cellular Telecommunications and Internet
Association, said that his association is pushing the FCC to either hold an
auction for the 1.9-gigahertz spectrum, or give Nextel less valuable
2.1-gigahertz spectrum that he says is closer in value to the amount Nextel
is spending. House Budget Committee Chairman Jim Nussle (R-IA) plans to
introduce a bill today that would force the FCC to transfer any money
raised from the sale of spectrum to the Treasury. In any case, a court
challenge to the FCC decision appears likely.
[SOURCE: New York Times, AUTHOR: Ken Belson]
http://www.nytimes.com/2004/06/25/technology/25spectrum.html
(requires registration)
MANAGING SPECTRUM IN THE 21ST CENTURY
The Commerce Department's National Telecommunications and Information
Administration (NTIA) Thursday released two reports proposing ways to
better manage the nation's crowded airwaves for the 21st Century including
the establishment of an innovation test-bed for increased sharing between
federal and non-federal spectrum users. The report recommends that the
FCC and the NTIA should each identify approximately 10 MHz of spectrum to
be made available for this program.
The recommendations proposed in the first report (see
http://www.ntia.doc.gov/reports/specpolini/presspecpolini_report1_062420...)
build upon the recent experiences of the federal spectrum management
community in its efforts to implement policies for third generation (3G)
wireless, Wireless Fidelity (WiFi) and Ultrawideband (UWB). Although these
new technologies offer great potential economic and commercial benefits,
before they could be introduced, critical federal government systems had to
be protected. While ultimately successful, the effort to introduce these
new technologies exposed limitations of the nation's spectrum management
system. The report contains 15 recommendations on 1) modernizing and
improvising the spectrum management system, 2) creating incentives for more
efficient use of spectrum, 3) streamlining deployment of new services
(while ensuring homeland security) and 4) meeting critical public safety
spectrum needs.
The second report (see
http://www.ntia.doc.gov/reports/specpolini/presspecpolini_report2_062420...)
contains eight recommendations from state and local governments on the same
issues.
[SOURCE: NTIA]
http://www.ntia.doc.gov/ntiahome/press/2004/specpolini_06242004.htm
See FCC Chairman Powell's comments on the reports
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-248816A1.doc
Press release from CTIA
http://www.ctia.org/news_media/press/body.cfm?record_id=1411
INTERNET
ANTI-SPYWARE BILL ADVANCES IN CONGRESS
The House Energy and Commerce Committee voted 45-4 for a bill introduced by
Reps Mary Bono (R-CA) and Ed Towns (D-NY) would allow the Federal Trade
Commission to seek millions of dollars in fines for logging users'
keystrokes or stealing their identities. The bill is designed to crack down
on deceptive "spyware" that hides in users' computers and secretly monitors
their activities.
[SOURCE: Reuters]
http://www.reuters.com/newsArticle.jhtml;jsessionid=IHP4WHIU5P35CCRBAE0C...
See the House Commerce Committee Press release at
http://energycommerce.house.gov/108/News/06242004_1330.htm
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...and we are outta here. We'll be back TUESDAY, JULY 5. Enjoy the holiday
... and then we promise to go an entire week or so without taking a day off!
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