Communications-related Headlines for 11/25/98

ED TECH
School Laptop Program Raises Concerns About
Equal Access (CyberTimes)

UNIVERSAL SERVICE
Joint Board Makes Universal Service Recommendations
to FCC (FCC)

E-COMMERCE
Building a Business Behind the Screen: America Online Sets Its Sights on
E-Commerce (NYT)
eWallet Aims to Be the Internet's Middle Man (WSJ)

TELEPHONE
FCC Says Sprint and Telmex Overcharged on Some Rates (NYT)

INTERNET
Who Am I Now? Pros and Cons of Multiple E-Mail Addresses (WSJ)
Library To Trim Internet Restrictions (NYT)

ANTITRUST
A Day of Hostile Questions in Microsoft Trial (WP)
Competition On The Internet (NYT)

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EDTECH
======

SCHOOL LAPTOP PROGRAM RAISES CONCERNS ABOUT EQUAL ACCESS
Issue: EdTech
515 school districts and private schools are participating in a laptop
program sponsored by Toshiba and Microsoft. Parents are asked to pay $2,000
or make loan payments of $30 to $80/month. The computers come bundled with
word processing and other software to help kids take notes, write papers and
do research. About 60,000 students and teachers are participating in the
program. The program has gotten mixed reviews with some contending students
improve performance if they make good use of the computers and others saying
that some students do not use the machines often enough. A question of
equity has arisen as some families cannot afford the program and cannot get
breaks on the price. See these sites for more information: Microsoft laptops
program http://www.microsoft.com/education/k12/aal/vision.htm and Beaufort
County School District http://www.beaufort.k12.sc.us/learning/beaufort/.
[SOURCE: New York Times (CyberTimes), AUTHOR: Pamela Mendels
mendels( at )nytimes.com]
http://www.nytimes.com/library/tech/98/11/cyber/education/25education.html

=================
UNIVERSAL SERVICE
=================

JOINT BOARD MAKES UNIVERSAL SERVICE RECOMMENDATIONS TO FCC
Issue: Universal Service
From the news release: The Federal-State Joint Board on Universal Service
made recommendations to the FCC on how to ensure that local telephone rates
in rural and high cost areas remain affordable and reasonably comparable to
rates in urban areas both today and as America's telecommunications
marketplace moves from monopoly to competition. The recommendation will help
inform the FCC's decision next spring related to the amount of universal
service support non-rural carriers (in general, large local telephone
companies) should receive for serving high cost areas. The Joint Board's
Recommended Decision, and the FCC's pending proceeding, are intended to
carry out Congress's directive that universal service be preserved and
advanced in a manner compatible with competition. Highlights include: 1) no
state should receive less support from the new high cost mechanism for
non-rural carriers than it receives from current explicit federal support
mechanisms, 2) the 25/75 jurisdictional division of responsibility for high
cost areas will be replaced by a new methodology, 3) the Joint Board
reaffirmed that support should be based on forward-looking costs, 4) the FCC
should work with carriers to prevent them from over-recovering their
contribution amounts, and 5) the Commission should take decisive action to
ensure that consumers are not misled as to the nature of charges on bills
associated with recovering universal service contributions.
[SOURCE: FCC]
http://www.fcc.gov/Bureaus/Common_Carrier/News_Releases/1998/nrcc8085.html

============
E-COMMERCE
============

BUILDING A BUSINESS BEHIND THE SCREEN: AMERICA ONLINE SETS ITS SIGHTS ON
E-COMMERCE
Issue: Merger
The complex merger deal between America Online and Netscape includes AOL's
announcement that it will enter electronic commerce. Netscape already has
created software to support e-commerce. AOL says it has ambitions to offer
a much wider array of software, consulting and services for online
merchants. Analysts say that IBM is the present leader in e-commerce
support, although other companies offer various kinds of support. AOL
argues that its advantage in this "increasingly crowded bazaar" is its
ability to combine a broad subscriber base of about 15 million customers
with Netscape software, plus hardware from Sun Microsystems. Barry Schuler,
AOL's president for interactive services, said, "We will consult on how to
merchandise and sell online. We understand the consumer piece of the
puzzle." Some competitors worry that America Online's electronic commerce
services may simply be a device to sell its software and hardware.
[SOURCE: New York Times (B1), AUTHOR: Saul Hansell]
http://www.nytimes.com/library/tech/98/11/biztech/articles/25commerce.html
See also:
AOL CLOSES DEAL TO BUY NETSCAPE FOR $4.2 BILLION
[SOURCE: Washington Post (A1), AUTHOR: Elizabeth Corcoran]
http://www.washingtonpost.com/wp-srv/business/longterm/tech/aolnetscape/sto
ries/aol112598.htm
AOL SETS ACCORD TO PURCHASE NETSCAPE IN A STOCK TRANSACTION FOR $4.3 BILLION
[SOURCE: Wall Street Journal (A3), AUTHOR: Thomas E. Weber]
http://www.wsj.com/
AFTER A LIFE AT WARP SPEED, NETSCAPE LOGS OFF
[SOURCE: Wall Street Journal (B1), AUTHOR: Kara Swisher]
http://www.wsj.com/
FOR SUN, AN AOL DEAL COULD LEAD TO BIGGER HORIZONS
[SOURCE: Wall Street Journal (B1), AUTHOR: David Bank]
http://www.wsj.com/
KEYS TO THE DEAL: AOL'S BIG '98 AND NETSCAPE'S BROWSER
[SOURCE: Washington Post (A8), AUTHOR: Leslie Walker & Rajiv Chandrasekaran]
http://www.washingtonpost.com/wp-srv/WPlate/1998-11/25/117l-112598-idx.html

EWALLET AIMS TO BE THE INTERNET'S MIDDLE MAN
Issue: Electronic Commerce
The eWallet company releases free software today that is intended to speed
online purchasing during the holiday season. The software creates a task
bar on local Windows 95 computers which allows a one-time entry of billing
and address information for frequent use thereafter. By clicking on the
task bar and entering a personal identification code each time, the data can
be sent to the Web site where the purchase is to be made and automatically
fill out the company's Web form. A variety of companies have been trying
solutions to consumers' desires to consolidate billing information.
Previous efforts have worked with merchants rather than consumers. eWallet
intends to make money by selling tiny ads that appear on the bottom of the
PC screen where its software is loaded.
[SOURCE: Wall Street Journal (B6), AUTHOR: Don Clark]
http://www.wsj.com/

==========
TELEPHONY
==========

FCC SAYS SPRINT AND TELMEX OVERCHARGED ON SOME RATES
Issue: Telephone
The FCC said Tuesday that the joint venture between Sprint and Telefonos of
Mexico (Telmex) committed anti-competitive practices in the long-distance
market and rejected part of their proposed rate structure. FCC Chairman
William Kennard said the high rates affected the "most vulnerable consumers"
of Telmex-Sprint Communications (TSC), immigrants making calls back to
Mexico. Sprint officials responded, "We are confident that neither any U.S.
carrier nor the public interest has been hurt by TSC's entry into the U.S.
market." The FCC action was taken after AT&T and MCI WorldCom complained
that the joint venture remained anti-competitive. The FCC rejected the
proposed settlement rate of Telmex for the next two years and described as
anticompetitive a 58 percent surcharge levied by Telmex for international
calls made to Mexico.
[SOURCE: New York Times (C2), AUTHOR: Stephen Labaton]
http://www.nytimes.com/yr/mo/day/news/financial/sprint-mexico-phones.html
See also:
SPRINT VENTURE'S FEES UNDER SCRUTINY
[SOURCE: Washington Post (C5), AUTHOR: Associated Press]
http://www.washingtonpost.com/wp-srv/WPlate/1998-11/25/106l-112598-idx.html
FCC RULES RATES HAVE TO BE LOWERED ON U.S.-MEXICO CALLS
[SOURCE: Wall Street Journal (B17), AUTHOR: WSJ Staff Reporter]
http://www.wsj.com/

=========
INTERNET
=========

WHO AM I NOW? PROS AND CONS OF MULTIPLE E-MAIL ADDRESSES
Issue: E-mail
More than one e-mail address for a single user is becoming more popular and
more useful. How many you end up with can depend on how much e-mail you
get, how visible you are online, how many outside interests you have and the
level of your privacy concerns. Keeping your personal e-mail away from the
eyes of the boss and the rest of the office is an obvious reason. Sometimes
you don't want people to know who you are because of your interests. Rachel
Vagts maintains a popular fan site for a television program and uses one to
deal with unsolicited messages from people chatting about the show. Some
e-mail sources, such as Hotmail and Yahoo, allow your mail to be picked up
anywhere you can log on to the Internet that allows you to stay in touch
even while travelling. Using one particular account for electronic commerce
can allow you to channel annoying reminders about new products or services.
Some downsides are that some services charge fees for multiple accounts,
that you must remember multiple passwords, and that you might miss an
important message unless you check all your accounts regularly.
[SOURCE: Wall Street Journal (B8), AUTHOR: Andrea Petersen]
http://www.wsj.com/

LIBRARY TO TRIM INTERNET RESTRICTIONS
Issue: Internet/ Content
As a result of the court ruling, a majority of Loudoun County's library
board members say they are willing to adapt a more flexible Internet
filtering policy. On Monday, U.S. district Judge Leonie M. Brinkema ruled
that the board's decision to install software on library computers that
blocked sexually explicit material on the Internet "offends the guarantee of
free speech in the First Amendment". Members of Virginia's Loundoun County
library board are now leaning towards a proposal to leave the filtering
software on computers intended for use by children, but allow adults to turn
off the program if they wish to have unlimited access to the Internet.
According to a story in the New York Times, libraries around the country are
reviewing the Loundoun court decision as they analyze their own Internet
policies.
[SOURCE: Washington Post (B1), AUTHOR: David Nakamura]
http://www.washingtonpost.com/wp-srv/WPlate/1998-11/25/081l-112598-idx.html
See also:
REVIEWS FOLLOW BAN ON LIBRARY INTERNET FILTER
[SOURCE: New York Times (A24), AUTHOR: Joel Brinkley]
http://www.nytimes.com/library/tech/yr/mo/biztech/articles/25library.html

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ANTITRUST
==========

A DAY OF HOSTILE QUESTIONS IN MICROSOFT TRIAL
Issue: Antitrust
Tuesday was the third day of questioning for government whiteness, economist
Frederick Warren-Boulton. Microsoft's lawyers were eager to work AOL's deal
with Netscape into their defense. They announced plans to file a motion for
dismissal -- after the government has finished presenting its evidence -
pointing to AOL's pending deal as proof that Microsoft has not quelched all
competition. While the judge might not see this as significant grounds for
dismissal, it might make him less likely to impose drastic remedies if
Microsoft is found guilty.
[SOURCE: New York Times (C5), AUTHOR: Joel Brinkley]
http://www.nytimes.com/library/tech/yr/mo/biztech/articles/25microsoft.html
See also:
MICROSOFT CITES DEAL, SAYS CASE SHOULD END
[SOURCE: Washington Post (C3), AUTHOR: Robert MacMillian]
http://www.washingtonpost.com/wp-srv/WPlate/1998-11/25/099l-112598-idx.html
MICROSOFT CITES AOL-NETSCAPE BID AT TRIAL
[SOURCE: Wall Street Journal (B7), AUTHOR: Keith Perine]
http://www.wsj.com/

COMPETITION ON THE INTERNET
Issue: Antitrust
[Editorial] While the AOL-SUN-Netscape deal may be proof of the software
industry's rapidly changing landscape, that does not mean that there is
never a need for government intervention. The authors encourage the
government to actively peruse its antitrust case against Microsoft, in which
they have "presented solid evidence that Microsoft has used its monopoly in
operating systems to muscle rivals and partners so as to head off
competition in other software realm". They conclude; "Only when companies
know they can get their products to the consumer will they have the
incentive to innovate and turn the Internet into the revolutionary medium it
promises to be."
[SOURCE: New York Times (A26), AUTHOR: New York Times Editorial Staff]
http://www.nytimes.com/yr/mo/day/editorial/25wed1.html

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Happy Thanksgiving!!