DIGITAL DIVIDE
Irving Urges Community Action on Digital Divide (NNN)
Blacks Spending on Computers Surges-Survey (SJM)
MERGERS
Bell Atlantic offers Internet trust to speed GTE merger (SJM)
INTERNET
House Passes Cybersquatting Bill (CyberTimes)
ICANN Board Selected (USA)
Online Retail Sales Sour, Jobs Rocket (USA)
Thirst for Knowledge Drowns Site (ChiTrib)
INFRASTRUCTURE
Phone Convergence Not So Fast, Exec Warns (ChiTrib)
DIGITAL TV
Waves of Interference Slow Digital TV (USA)
INTERNATIONAL
A Web-Savvy Singapore Seeks To Turn People Into E-Citizens (WSJ)
China's Web Boom Attracts Big Crowd of Entrepreneurs (WSJ)
FCC REFORM
FCC Reshapes for the Future (FCC)
DIGITAL DIVIDE
IRVING URGES COMMUNITY ACTION ON DIGITAL DIVIDE 10/19/99
Issue: Digital Divide
Larry Irving, recently departed from the National Telecommunications and
Information Administration (NTIA), urged a luncheon audience to take active
steps to bridge the digital divide. Irving's speech was delivered at the
public policy forum entitled "Resolving the Digital Divide: Information,
Access, and Opportunity," sponsored by the Joint Center for Political and
Economic Studies. Building upon the legacy of NTIA's "Falling Through the
Net" reports, Irving spoke of his accomplishments, frustrations and future
plans for addressing the questions of the digital divide. He stressed the
need to address cultural aspects that perpetuate the situation. "There is
something wrong with a culture that says 'be like Mike' and they mean
Michael Jordan (and not) Michael Dell... we have got to get our kids right."
Irving urged the preservation of the E-rate and issued a challenge to
leaders of African American, Latino, and Native American tribal colleges to
make information technology a priority. Irving left the luncheon audience
with vague, but enticing, information about a pilot program that he is
considering launching, modeled on an Australian program for community
Internet access. He plans to make a formal announcement about the program
before the end of the year.
Recordings of the entire day's events are available in RealAudio format
(http://www.jointcenter.org/pressrel/digital.htm)
[SOURCE: NewsBytes News Network , AUTHOR: Staff Writer]
BLACKS' SPENDING ON COMPUTERS SURGES-SURVEY
Issue: Digital Divide
According to "The Buying Power of Black America," the annual market survey
published by Target Market News, African American households nearly
quadrupled the amount they spent for computer hardware in 1998 compared to a
year earlier. The spending increase pushes African American household
computer-related spending to $1.3 billion. Additionally, the survey found
that annual income also increased by 12%, outpacing the increase in White
and Latino households. Ken Smikle, president of Target Market News,
attributed
the increase in computer-related spending to the lure of the Internet as an
alternative to traditional media.
[SOURCE: San Jose Mercury, AUTHOR: Reuters]
(http://www.sjmercury.com/svtech/news/breaking/reuters/docs/1010276l.htm)
MERGERS
BELL ATLANTIC OFFERS INTERNET TRUST TO SPEED GTE MERGER
Issue: Merger
Bell Atlantic has proposed a deal that would let it close its $74 billion
merger with GTE without selling its Internet assets. Bell Atlantic is
suggesting that it place GTE's Internet backbone business into a trust that
it could not control until it got approval to offer long-distance in most of
its region (about 65%). Bell Atlantic, like other Bells, cannot offer
long-distance voice or data traffic to its customers until it convinces the
Federal Communications Commission (FCC) its markets are open to rivals.
Analysts believe the FCC appears open to the idea. Analysts also expect the
FCC to approve Bell Atlantic's request to offer long-distance in New York by
December, making it the first Bell to win such approval. This could mean
that Bell Atlantic would have the Internet backbone out of the proposed
trust as early as late 2000, assuming it also receives long-distance
approval in New Jersey and Pennsylvania because those three states combined
would put the company at the 70% mark of its existing phone lines. The
proposal would allow Bell Atlantic to create the largest local phone company
and use GTE's Internet network to compete with AT&T, SBC Communications and
MCI WorldCom by offering a package of voice, data and wireless services to
customers nationwide. Bell Atlantic has also said it is willing to sell
GTE's
100,000 long-distance customers in Bell Atlantic's region. The company does
not want to lose GTE's Internet backbone, as it is key to offering
businesses and consumers high-speed Net and other data services, and the
company argues to that interstate Internet traffic should be exempt from the
long-distance prohibition.
[SOURCE: USA Today (3B), AUTHOR: Paul Davidson]
(http://www.usatoday.com)
INTERNET
HOUSE PASSES CYBERSQUATTING BILL
Issue: Internet Regulation
"This legislation will make cybersquatters think twice before trying to
profit off the hard work of others," Representative J.C. Watts Jr. of
Oklahoma, the House Republican conference chairman, said. "Congress acted
today out of the best interests of e-commerce as well as simple fairness."
The House passed, by voice vote, a bill to crack down on so-called
cybersquatting, the practice of buying up popular words as Internet
addresses in the hopes of reselling them to companies and trademark holders
at a hefty profit. The Senate has passed a similar bill, so the legislation
will now go to a conference committee. Civil libertarians are concerned that
the proposals will hinder free speech on the Internet.
[SOURCE: CyberTimes, AUTHOR: Jeri Clausing (jeri( at )nytimes.com)]
(http://www.nytimes.com/library/tech/99/10/cyber/articles/27cybersquatting.h
tml)
See Also:
EVICTION NOTICE: HOUSE BILL TO OUTLAW 'CYBERSQUATTING' WITH INTENT TO PROFIT
[SOURCE: Wall Street Journal, AUTHOR: Jon Simons]
(http://interactive.wsj.com/articles/SB940977109375239764.htm)
CYBERSQUATTING BILL PASSED BY HOUSE
[SOURCE: USA Today(E2), AUTHOR: AP]
(http://www.usatoday.com/life/cyber/tech/ctg518.htm)
ICANN BOARD SELECTED (USA)
Issue: Internet
The Internet Corporation for Assigned Names and Numbers (ICANN) concluded a
round of board elections Tuesday, selecting three Europeans, one Canadian,
one Asian and one US candidate to fill six remaining available board seats.
Each of ICANN's three supporting organizations selected 3 board members.
Earlier this month the Domain Name Supporting Organization (DNSO) elected
the first three permanent board members including Mexican candidate
Alejandro Pisanty, Spanish candidate Amadeu Abril i Abril and Canadian
Candidate Jonathan Cohen. On Tuesday, The Address Supporting Organization
(ASO) and Protocol Supporting Organization (PSO) completed their elections
Tuesday. The PSO selected Philip Davidson (Europe), Vinton Cerf (United
States), and Jean-Francois Abramatic (Europe). The ASO elected Ken Fockler
(Canada), Pindar Wong (Asia), and Rob Blokzijl (Europe). When all is said
and done, ICANN's permanent board will consist of 18 members -- three each
from its supporting organization and nine elected from ICANN's
still-undetermined at-large membership. Under the structure for electing the
at-large board members, an at-large "membership" of no fewer than 5,000
Internet stakeholders will elect an 18-member at-large council, which will
select nine of its own members to serve on the ICANN board. Those elections
are slated to take place in the next year. ICANN is the not-for-profit
company charged by the US Commerce Department with managing the DNS.
[SOURCE:USA Today, AUTHOR: David McGuire)
(http://www.usatoday.com/life/cyber/nb/nb5.htm)
ONLINE RETAIL SALES SOUR, JOBS ROCKET
Issue: E-Commerce
Online retailing is expected to hit $176 billion this year, according to a
study from the University of Texas, sponsored by Cisco Systems. The study
indicates revenue from online sales grew 127% to $37.5 billion in the first
quarter of 1999, from $16.5 billion in the first quarter of 1998.
However, Internet sales accounted for only a small portion of overall retail
sales of $2.7 trillion in 1998. The study also found that 2,000 secure Web
sites, capable of conducting electronic transactions, are added to the
Internet each month. The number of jobs relating to Internet commerce
increased 78% to 900,000 in the first quarter of 1999. The increase in the
number of Internet commerce related positions created offsets the decline in
retail store jobs, Anitesh Barua, co-director of the study said. The 10
largest Internet retailers garnered 27% of the online sales revenue in the
first quarter of 1999. The study available online
(http://www.internetindicators.com).
[SOURCE: USA Today (3B), AUTHOR: Sara Nathan]
(http://www.usatoday.com)
THIRST FOR KNOWLEDGE DROWNS SITE
Issue: Internet Content
Ten million people have been trying to log into Encyclopedia Britannica's
new Web site (www.britannica.com) each day since its launch last week. Only
about 1 in 100 have been able to reach the first page of the Web site and
even they have probably not been able to browse the 40-volume reference set.
With Britannica's reputation on the line [all puns intended], the company is
scrambling to add the large number of servers needed to handle the traffic.
Jorge Cauz, the company's chief of marketing, said "Nobody in his right mind
would have built an infrastructure capable of addressing the demand we had
in the first day." "The fact that hardly anybody in Internet history ever
inspired the traffic that Britannica triggered shows you the enormous
potential of the open-source model they are offering," said one observer.
The allure of Britannica, he noted, is the impeccable accuracy of its
encyclopedia in an online world teeming with information, much of it false,
dubious or hopelessly slanted.
[SOURCE: Chicago Tribune (Sec 3, p.1), AUTHOR: James Coates & Darnell
Little]
(http://chicagotribune.com/business/printedition/article/0,2669,SAV-99102701
39,FF.html)
INFRASTRUCTURE
PHONE CONVERGENCE NOT SO FAST, EXEC WARNS
Issue: Convergence
Robert Taylor, chief executive of Focal Communication, a Chicago-based local
phone carrier, threw some cold water on the excitement of the annual meeting
of the National Communications Forum. The annual meeting draws
telecommunications engineers from throughout the country to discuss the
redesign of the phone network from a vehicle intended primarily to carry
voice conversations to one that will mostly convey data. Even though Taylor
said he is as eager as anyone to see the phone network upgraded into a data
system, he pointed out that "we're dealing with a physical network, and
working with physical media requires manual labor, time and effort."
Converting copper lines to carry data at high speeds with so-called DSL
technology, for example, requires each pair of wires to be touched and
reconfigured, Taylor said. "As long as upgrading the network is a physical
process, it'll be a slow process." The successful companies of the future,
Taylor says, will be those that react fastest to the future, not the ones
that predict it better.
[SOURCE: Chicago Tribune (Sec 3, p.3), AUTHOR: Jon Van]
(http://chicagotribune.com/business/printedition/article/0,2669,SAV-99102701
35,FF.html)
DIGITAL TV
WAVES OF INTERFERENCE SLOW DIGITAL TV
Issue: Digital Television
The good news is that broadcasters started transmitting the first digital
signals last year and more than half of all US homes should be within
reception range of at least one DTV signal by next month. The bad news is
that DTV is still very expensive and consistent good reception wanes. Some
recent developments haven't helped ease the way for digital TV: 1.) the FCC
has been petitioned to reconsider the transmission standard due to
reception problems in urban areas, 2.) digital TV sales are lagging and a
congressional study has indicated that prices won't drop fast enough to meet
the FCC's full transition target of 2006, 3.) broadcasters are about to fall
behind the FCC's rollout schedule, with only about 100 out of 120 stations
sending out signals in November and 4.) few cable companies are passing
along high-definition signals to subscribers. Industry leaders say they do
not consider any of these issues to be critical.
[SOURCE: USA Today (7D), AUTHOR: Mike Snider]
(http://www.usatoday.com)
INTERNATIONAL
A WEB-SAVVY SINGAPORE SEEKS TO TURN PEOPLE INTO E-CITIZENS
Issue: International
The Singapore government is attempting to rewire its citizens. Singapore
hopes to transform this island nation of about four million, which lacks any
natural resources, from an economy built on trade and services to one built
upon information technology, says Michael Yap, chief executive of the
National Computer Board. To achieve that goal, Singapore has begun one of
the most far-reaching technology-promotion efforts in the world within its
government. "Our purpose is to prepare Singaporeans for a Web life, so they
become the 'netizens' of tomorrow, super-connected, technologically savvy,
civic-minded and knowledgeable," says Pam Soh, an official at the National
Computer Board. Singapore officials have launched a host of services that
have the ability to make the government more efficient. Such examples of
the technologies are 1) central databases allowing bureaucrats to track
everything from immigrant work permits to detailed information on the
population; 2) during tax time, an online filer can call up a tax form that
already has personal wage information and family data completed by the
government; 3) immigration officials at airports can swap data with the
government agency that issues work permits to turn away foreign workers who
lack a valid permit immediately; and 4), a citizen can register a change of
address at local police stations, which is immediately sent electronically
to government agencies. Some people are still concerned that the government
has poured millions into developing a technology infrastructure with no
people to use it, as Singapore One, the countries' costly Internet service,
has only 30,000 paying subscribers. George Yeo, Singapore's minister of
trade and industry, believes it is a generational divide and the young will
be the ones to embrace it.
[SOURCE: Wall Street Journal, AUTHOR: Michelle Levander]
(http://interactive.wsj.com/articles/SB940977342335830954.htm)
CHINA'S WEB BOOM ATTRACTS BIG CROWD OF ENTREPRENEURS
Issue: International
In China, the Internet is taking off because the country is hungry for
community and news of the world. China's online population will hit seven
million by the end of the year, up from two million last year, according to
Internet consultant BDA Ltd. There are many things attracting people to the
web, such as China.com Corp. (www.china.com), a Chinese-language Web portal
backed
by AOL and Hong Kong's New World Infrastructure Ltd. Since travel in outside
of China is limited, the Internet is a diverse place for citizens to go and
explore. Netease.com (netease.com), another portal started two years ago has
become one of the top Web sites in China, according to industry surveys,
with chat rooms, bulletin boards, free services allowing users to set up
their own Web pages and in July, the company held its first online auction.
China's Internet market is clearly still in its infancy and Netease has not
yet turned a profit. The growth of e-commerce is slow because by the lack of
a nationwide credit-card network. There are also no laws governing the
industry and no organizations to monitor site traffic, leaving open the
possibility that companies are distorting data. Despite the uncertainty,
Internet consolidation is beginning to happen --companies are merging and
beginning to expand their offerings.
[SOURCE: Wall Street Journal, AUTHOR: LESLIE CHANG]
(http://interactive.wsj.com/articles/SB940977439170199782.htm)
FCC REFORM
FCC RESHAPES FOR THE FUTURE
Issue: FCC Reform
The Federal Communications Commission (FCC) today announced the official
creation of two new bureaus -- the Enforcement Bureau and the Consumer
Information Bureau -- that will become effective November 8. FCC Chairman
William Kennard made the announcement during testimony today before the
House Telecommunications Subcommittee on the FCC's 5-Year Strategic Plan.
"Our decision to establish bureaus devoted exclusively to enforcement and
consumer information signals the enormous importance of these functions in
our transition from an industry regulator to a market facilitator. This
reorganization is the first step in a larger effort to streamline and
modernize the FCC. I look forward to continuing to work with my colleagues
at the Commission and in Congress to implement the additional measures that
will be critical to redefining ourselves as we enter the 21st Century."
Consumer Information Bureau contact: Stacey Mesa at (202) 418-0254
Enforcement Bureau contacts: Jane Mago at (202) 418-1100 until November 8,
and 418- 7450 beginning November 8; and John Winston at (202) 418-1107.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Miscellaneous/News_Releases/1999/nrmc9072.html)
See Also:
FCC REFORM FOR THE NEW MILLENNIUM
Links to the testimony delivered by Chairman Kennard and the four other FCC
commissioners.
[SOURCE: House of Representatives]
(http://com-notes.house.gov/cchear/hearings106.nsf/12b6a0781fa86e88852567e50
07558f4/b1da34d22461b9d485256810004d911e?OpenDocument)
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