For upcoming media policy events, see http://www.benton.org/calendar.htm
MEDIA & POLITICS
Broadcasting & Hollywood Donors Favor Edwards
Cable Key to Broadcast Election Coverage
MEDIA POLICY
Media Reformers Look to Struggle Beyond Philadelphia
Michael Powell Lays an Egg
Interview with FCC Chairman Powell
EEO Audits Cleared
Cable to New Programmers: "We are the 'Gatekeepers,' so Drop Dead!"
Media Ownership Regulation Redux: A Reality Check
TELECOM
Nextel Spectrum Swap Nears FCC Decision
Congress Mulls New Net Phone Rules
IRS Eyes Net Phone Taxes
INTERNET
Web Spammers Can Be Beaten in Two Years -- Regulators
California Privacy Law Kicks In
INTELLECTUAL PROPERTY
Judiciary Gets Earful on Copyright
QUICKLY
FCC Extends Filing Periods for Two Media Policy Proceedings... & Appoints=
=20
Commissioner Robert Nelson (Mi PSC)
to serve on the Federal-State Joint Board on Universal Service
How to Build Open Information Societies
EFF Announces Ten Most-Wanted Patents
MEDIA & POLITICS
BROADCASTING & HOLLYWOOD DONORS FAVOR EDWARDS
We might not be the first outlet to tell you: Sen John Kerry picked Sen=20
John Edwards (NC) to be his running mate yesterday morning. How does this=20
play out vis-a-vis media policy? Glad you asked. The Center for Responsive=
=20
Politics reports that the retiring senator raised just a small fraction of=
=20
political donations from the communications sector, but much of this small=
=20
fraction came from mass media and high-tech firms. He won a number of "hard=
=20
money" donations from mass media executives, but didn't directly address in=
=20
his campaign the contentious issue of media ownership. He and Sen Kerry=20
missed a Sept. 2003 Senate floor vote that would have nullified the FCC=20
rules allowing more media consolidation. That motion of disapproval passed=
=20
55-40. Sens Kerry and Edwards voted in favor of the Bipartisan Campaign=20
Reform Act (BCRA) in 2002, a bill opposed by some in the broadcasting=20
community because of its restrictions on ads.
[SOURCE: Communications Daily, AUTHOR: Patrick Ross]
(Not available online)
What will the campaign web site be? Not KerryEdwards.com,=20
KerryEdwards04.com, KerryEdwards2004.com, or KerryEdwards-2004.com -- they=
=20
have all been registered by people outside Sen Kerry's campaign for=20
president. See who has the KerryEdwards URLs, what they are doing with them=
=20
and what they want for them.
[SOURCE: Washington Post, AUTHOR: David McGuire]
http://www.washingtonpost.com/wp-dyn/articles/A32602-2004Jul6.html
(requires registration)
CABLE KEY TO BROADCAST ELECTION COVERAGE
Once again, commercial broadcasters are telling federal policymakers, "The=
=20
future of free, over-the-air television is pay, cable TV." In a letter from=
=20
National Association of Broadcasters President Eddie Fritts to Senate=20
Commerce Committee Chairman John McCain (R-AZ) and FCC Chairman Michael=20
Powell, the lobbying group said the best way for the FCC and Congress to=20
boost broadcast public-affairs programming and election coverage is to=20
guarantee that cable systems have to carry all of a broadcaster's digital=20
signal, including the planned public-affairs programming on some of those=20
extra digital channels. Mr. Fritts also said that broadcasters already do=20
an "outstanding" job of covering campaigns, and argued, as the NAB=20
frequently has, that "politicians frequently reject the many offers from=20
local radio and television stations" for debates and other non-campaign ad=
=20
time.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA434132?display=3DBreaking+News
(requires subscription)
MEDIA POLICY
MEDIA REFORMERS LOOK TO STRUGGLE BEYOND PHILADELPHIA
Media companies and their well-funded lobbyists in Washington aren't going=
=20
to roll over now that an appeals court has decided against rules allowing=20
more consolidation. The struggle now, according to reformers, is for=20
Americans at the grassroots level to demand a media system that ensures=20
diversity, local control and better service of the public interest. While=20
big media still exerts considerable influence over Washington policymaking,=
=20
this is a chance for media reformers to make the review process more open=20
to those beyond the beltway so that ordinary citizens can take a more=20
active role in the shaping of American media.
[SOURCE: MediaChannel.org AUTHOR: Timothy Karr]
http://www.mediachannel.org/views/dissector/affalert221.shtml
CHAIRMAN POWELL LAYS AN EGG
He's bright, personable, an excellent lawyer, a distinguished veteran, and=
=20
the son of the Secretary of State. Yet, Michael Powell's record as the=20
Chairman of the FCC has been one misstep and reversal after another. In=20
telecom and media regulation, his quest to "deregulate" has disintegrated=20
into a search for something -- anything! -- that will pass muster with the=
=20
courts, the Congress, and, most importantly, the American people. Now that=
=20
a U.S. Court of Appeals has tossed out the FCC's new rules that would have=
=20
exponentially increased media concentration and consolidation, Michael=20
Powell's tenure as Chairman, which so many expected would lead to him=20
becoming a star in Republican politics, has come up empty. How will=20
Chairman Powell be remembered? Probably not for the Commission's few=20
accomplishments during his tenure. Rather, he will more likely be=20
remembered for the tremendous opportunity he had to move communications=20
policy forward in this country while at the same time his own political=20
star ascended to the heavens. And how he squandered that opportunity. To=20
use the lingo of Daily Variety when a Broadway show flops, Michael Powell=20
has truly "laid an egg."
[SOURCE: MediaChannel.org AUTHOR: Jonathan Rintels, Executive Director of=20
the Center for Creative Voices in Media]
http://www.mediachannel.org/views/dissector/affalert220.shtml
INTERVIEW WITH FCC COMMISSIONER POWELL
Michael K. Powell, a Republican, was nominated 31 July 1997 as a member of=
=20
the FCC by President William J. Clinton and confirmed by the U.S. Senate on=
=20
28 October 1997. President George W. Bush appointed Powell chairman of the=
=20
FCC on 22 January 2001. Gartner Fellow Kenneth McGee met recently with=20
Chairman Powell in his Washington, DC, office to discuss issues and=20
policies concerning broadband, telecommunications, media ownership and=20
content issues and digital TV.
On Media ownership Powell said: Here's the truth: the ownership debate is=20
about nothing but content. Don't be fooled. I mean, this is my greatest=20
warning to the American public. It's easy to go after every ill in society=
=20
by claiming it's the media's fault. It's the American pastime, right?=20
Anything you don't like, it's the media's fault. What scared me in that=20
debate is that it's not about the ownership rules at all. The vast majority=
=20
of people don't even know what the rules say, to be perfectly candid. Name=
=20
all six of them. Name what they actually do. Nobody can. They became a=20
stalking horse for a debate about the role of media in our society. I can=20
expect and understand consumer anger and anxiety about that. But the=20
ownership rules are not the cause or the cure. It was really an invitation=
=20
for people with particular viewpoints to push for a thumb on the scale, for=
=20
content in a direction that people preferred. The danger with that? It's=20
easy to say, "I'm comfortable with that when the government's doing it for=
=20
something I like. But I get really scared when it's something I don't." And=
=20
what is juxtaposed against the media ownership debate? Indecency, which=20
maybe is what you mean by content. Hollywood was happy to beat up on=20
ownership liberalization because they want the government to intervene so=20
we can promote more independent programming =97 which is content. But the=20
same Hollywood says the government can't say that Howard Stern can't say=20
the F word, because that's censorship and inappropriate.
http://www4.gartner.com/research/fellows/asset_91308_1176.jsp
[SOURCE: Gartner, a provider of research and analysis on the global IT=20
industry]
EEO AUDITS CLEARED
The federal appeals court in Washington last week denied a petition by 45=20
state broadcaster associations that would have blocked the FCC from=20
auditing broadcast stations' and cable systems' compliance with new=20
minority- and gender-recruiting rules that require them to establish and=20
keep detailed records of their hiring-outreach programs. The FCC is also=20
working on finalizing the new recruiting rules, which were unveiled last=20
month. The new rules require broadcasters and cable systems to track and=20
report to the FCC the gender and ethnic data of their employee ranks. That=
=20
data will be used only to track industry trends--the FCC is forbidden from=
=20
using the information to judge whether individual stations are complying=20
with a requirement to conduct broad hiring outreach efforts. The biggest=20
open question is whether individual station data will be kept confidential.=
=20
The state broadcasters associations have asked that stations' data be kept=
=20
secret to prevent activist groups and individuals from using the=20
information in discrimination lawsuits. Public comment in this proceeding=20
is due July 29; reply comments are due August 9.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA434216?display=3DBreaking+News
(requires subscription)
CABLE TO NEW PROGRAMMERS: "WE ARE THE 'GATEKEEPERS,' SO DROP DEAD!"
As a new national debate emerges over the failure of U. S. television=20
journalism to effectively report on key issues of concern it is time to=20
turn our attention to the narrow programming landscape of cable=20
television. Programmers who want to offer Americans services that provide=
=20
for independent points of view, have no chance of emerging on the=20
multi-channel dial (or the electronic program guide). Cable conglomerate=20
Comcast now controls the future of almost all potential new=20
programmers. As CableWorld magazine recently reported, "Comcast has become=
=20
the =85kingmaker, with the power to make or break a digital network. =
Without=20
a carriage commitment from Comcast, it is difficult for start-ups to raise=
=20
the investment capital they need." And as the article also makes clear,=20
Comcast is "not looking" to place any new channels on its systems. Four=20
"specific criteria" must be met before Comcast will "invest" in and carry a=
=20
programming service: "It needs to be unique to the channel lineup; it needs=
=20
to be inexpensive to program; it needs to appeal to a specific demographic;=
=20
and preferably that's a younger demographic, because it needs to make its=20
money on advertising revenue as opposed to relying heavily on affiliate=20
revenue." Given the hold that the gang of six media giants has over=20
broadcast, cable, and satellite programming, and the lack of opportunity=20
for real content diversity, it's time to address breaking up the TV=20
oligopoly. If the country is to have a serious independent press and in=20
order to foster a robust culture of ideas, breaking up big cable must be=20
high on the policy agenda.
[SOURCE: Center for Digital Democracy]
http://www.democraticmedia.org/news/marketwatch/needleye.html
MEDIA OWNERSHIP REGULATION REDUX: A REALITY CHECK
A forthcoming Cato Institute book "Media Myths: Making Sense of the Debate=
=20
over Media Ownership Regulation" provides the facts for Thierer's argument=
=20
that the Third Circuit Court of Appeals got it all wrong when overturning=20
the FCC's relaxation of media ownership rules. In sum, Thierer thinks there=
=20
are more than enough media outlets in the US to justify loosening ownership=
=20
restrictions. Look out for that coming book 'cause if something so dense=20
hits you in the head it could really hurt.
[SOURCE: Cato Institute, AUTHOR: Adam Thierer]
http://www.cato.org/tech/tk/040630-tk.html
TELECOM
NEXTEL SPECTRUM SWAP NEARS FCC DECISION
FCC Chairman Michael Powell and Commissioner Kathleen Abernathy have cast=20
votes in favor of the Nextel proposal and the proposal is expected to gain=
=20
the final vote it needs for approval. Nextel's future depends on moving to=
=20
less cluttered airwaves than those it now shares with police and fire=20
emergency communications across the country. But Nextel's competitors have=
=20
lobbied vigorously against the company's plan, and Verizon Wireless has=20
laid the groundwork to challenge it in court. Nextel has proposed=20
exchanging some of its existing airwaves and paying $850 million to=20
relocate public-safety groups and other, smaller private carriers to=20
clearer spectrum where cellular traffic won't interfere with=20
emergency-dispatch calls. Additionally, the company would be required to=20
set aside about $3 billion in case moving public-safety communications=20
costs more than $850 million. Any amount not used by public safety would be=
=20
returned to Nextel. Sen Frank Lautenberg (D-NJ) has asked the General=20
Accounting Office to review whether the FCC's spectrum-exchange proposal=20
violates federal laws against the private sale of public resources.
[SOURCE: Washington Post, AUTHOR: Yuki Noguchi]
http://www.washingtonpost.com/wp-dyn/articles/A32610-2004Jul6.html
(requires registration)
Additional coverage in USAToday
http://www.usatoday.com/usatonline/20040707/6345790s.htm
CONGRESS MULLS NEW NET PHONE RULES
Reps. Rick Boucher (D-VA) and Cliff Stearns (R-FL) are introducing=20
legislation aim at giving the FCC, not state regulators, the power to=20
oversee rules regarding phone calls made over the Internet. would=20
potentially increase the amount that customers pay for certain VoIP=20
services by importing a handful of controversial taxes and regulations from=
=20
the analog world. (Neither the states nor the FCC, however, would be able=20
to directly set prices or rates for VoIP service.) Under the bill, Rep=20
Boucher said, the FCC would have the option to regulate three key areas for=
=20
VoIP companies that link with traditional phone networks. The three areas=20
are enhanced 911, universal service, and access charges. Rep. Charles=20
Pickering (R-MS) and Sen. John Sununu (R-NH) also have introduced bills=20
related to VoIP. The Boucher-Stearns bill is numbered HR4757. The House=20
telecommunications subcommittee plans to hold a hearing Wednesday titled=20
"VoIP: Will the Technology Disrupt the Industry or Will Regulation Disrupt=
=20
the Technology?"
[SOURCE: C-Net|News.com, AUTHOR: Declan McCullagh]
http://news.com.com/Congress+mulls+new+Net+phone+rules/2100-7352_3-52581...
tml?tag=3Dnefd.top
IRS EYES NET PHONE TAXES
On Friday (while you were leaving the office early to drive to the beach),=
=20
the tireless IRS and Treasury Department were posting a notice announcing=20
they were considering applying an existing federal excise tax on phone=20
calls to voice over Internet Protocol (VoIP) calls, a move that echoes=20
similar attempts by state officials to tax or regulate the technology. The=
=20
3% excise tax is only temporary though... it was enacted in 1898 to help=20
pay for the Spanish-American war. "They're looking at VoIP and any other=20
potential technologies that are flying under the radar," said Glenn=20
Richards, a partner at Shaw Pittman in Washington who represents VoIP=20
companies. "Clearly they're trying to extend their jurisdiction to apply=20
the excise tax to as many 'calls' as they can. It's got to be a revenue=20
issue for them. If everyone starts migrating to new platforms, they're=20
facing a decrease in excise taxes." IRS spokeswoman Tara Bradshaw said that=
=20
the agency is in the "very beginning of the process" of updating its=20
regulations on what is covered by the tax code's definition of telephone=20
service. "We're just requesting information," she said. "We're not creating=
=20
new rules at this point. We're just requesting comments."
[SOURCE: C-Net|News.com, AUTHOR: Declan McCullagh]
http://news.com.com/IRS+eyes+Net+phone+taxes/2100-7352_3-5258809.html?ta...
nefd.lede
INTERNET
WE SPAMMERS CAN BE BEATEN IN TWO YEARS -- REGULATORS
Software makers and regulators have the means to bring spam under control=20
within two years, if they work together, say officials of the United=20
Nations' International Telecommunications Union (ITU) which is holding a=20
three-day meeting this week. The ITU says spam drains national economies=20
around the world of about $25 billion a year and estimates that lost=20
productivity -- through time wasted in clearing e-mail boxes -- could be=20
four times that amount. Officials said the conference would examine=20
legislation that could enable governments to crack down on Internet service=
=20
providers, or ISPs, who allow spammers to use their systems. International=
=20
cooperation would also enable regulators to assemble dossiers on companies=
=20
and individuals engaged in spamming or in "phishing" and provide the basis=
=20
for criminal prosecutions in the perpetrators' home countries.
[SOURCE: Reuters, AUTHOR: Robert Evans]
http://www.reuters.com/newsArticle.jhtml;jsessionid=3DIS3NYATRNDUDQCRBAE...
Y?type=3DinternetNews&storyID=3D5600362
CALIFORNIA PRIVACY LAW KICKS IN
The California Online Privacy Protection Act (OPPA) of 2003 went into=20
effect July 1. The legislation requires companies doing business with=20
Californians online to post a conspicuous privacy policy on their Web=20
sites, disclose the kinds of personally identifiable data that they collect=
=20
and share with third parties, clearly mark their privacy statements; abide=
=20
by their policies; inform consumers of processes to opt out of data=20
sharing; and publish a date it goes into effect. The statute is the first=20
of its kind in the nation. Privacy experts commended the new policy as=20
clear and easy to read.
[SOURCE: C-Net|News.com, AUTHOR: Stefanie Olsen]
http://news.com.com/California+privacy+law+kicks+in/2100-1028_3-5258824....
?tag=3Dnefd.top
INTELLECTUAL PROPERTY
JUDICIARY GETS EARFUL ON COPYRIGHT
Resistance is building to legislation co-sponsored by Senate Majority=20
Leader Bill Frist and Minority Leader Tom Daschle, would amend the=20
copyright act to make it a criminal offense to "intentionally aid, abet,=20
induce, or procure" copyright infringement. A group of computer companies,=
=20
fair-use advocates and electronics manufacturers has written the members of=
=20
the Senate Judiciary Committee to try to delay action on the bill. The bill=
=20
is backed by Hollywood, which is trying to protect its intellectual=20
property from easy digital pirating.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA434212?display=3DBreaking+News
(requires subscription)
Hey, there's more!
CDT CALLS FOR HEARINGS ON COPYRIGHT INDUCEMENT BILL
The Center for Democracy and Technology sent a letter to Senators Hatch=20
(R-UT) and Leahy (D-VT) Tuesday calling for hearings on S. 2560, the=20
"Inducing Infringement of Copyright Act of 2004." While intended to=20
penalize bad actors who intentionally cause copyright infringement,=20
credible concerns have been raised about the bill's potential unintended=20
consequences for valuable technologies.
[SOURCE: Center for Democracy and Technology]
http://www.cdt.org/copyright/20040706cdtletter.pdf
Consumers Union also sent a letter to the Senate about the bill, see
http://www.consumersunion.org/pub/core_telecom_and_utilities/001218.html...
e
QUICKLY
On May 27, the FCC began a factual inquiry into the households that rely=20
exclusively on over-the-air broadcasting for their television service and=20
how to minimize adverse impacts on all households in the transition to=20
digital television. The Commission recently extended the filing period for=
=20
the proceeding. Comments are now due August 11 and the date for filing=20
reply comments has been extended until September 7, 2004.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-04-2002A1.doc
On May 25, 2004, the FCC began an inquiry regarding the provision of a la=20
carte and "themed-tier" services on cable television and direct broadcast=20
satellite systems. Comments in the proceeding are now due July 15; reply=20
comments are due July 30, 2004.
The FCC has appointed Robert Nelson, Commissioner of the Michigan Public=20
Service Commission, to serve on the Federal-State Joint Board on Universal=
=20
Service. Mr Nelson can be contacted at the Michigan PSC, 6545 Mercantile=20
Way Lansing, Michigan 48911. [Go Lugnuts!]
How to Build Open Information Societies: A collection of best practices and=
=20
know-how from Europe and CIS
This publication presents a collection of knowledge-based best practices=20
accumulated by the United Nations Development Program (UNDP) in Europe and=
=20
the Commonwealth of Independent States (CIS). Its main purpose is to=20
identify and share UNDP's know-how by showing how ICT can promote=20
socio-economic development and good governance. Case studies and examples=20
from 19 countries illustrate different e-governance programmes and=20
applications - from a diverse range of initiatives including support for=20
policy formulation, customs reform, youth sexual education, rural=20
deployment of ICTs and training, country database building, and others.
Available free via the online bookstore at UNDP Eastern Europe and CIS=20
Sub-regional Resource Facility:
http://www.ecissurf.org/index.cfm?module=3DBookStore&page=3DBook&BookID=...
EFF Announces Ten Most-Wanted Patents
The Electronic Frontier Foundation's Patent Busting Project announced which=
=20
patents the organization will target first in its campaign to rid the world=
=20
of frivolous patent infringement lawsuits. After sifting through dozens of=
=20
software and Internet-related patents submitted to its patent busting=20
contest, EFF targeted ten whose crimes have made them enemies of the public=
=20
domain. All the most-wanted patents are dangerously overbroad; many pose a=
=20
threat to freedom of expression online. And every single one of the=20
targeted patents is held by an entity that has threatened or brought=20
lawsuits against small businesses, individuals, or nonprofits.
[SOURCE: Electronic Frontier Foundation Press Release]
http://www.eff.org/news/archives/2004_06.php#001665
Ten "most wanted" patents
http://www.eff.org/patent/wanted
--------------------------------------------------------------
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.
--------------------------------------------------------------