Communications-related Headlines for 2/8/01

E-COMMERCE
Proposed Law Stirs Concern on Europe E-Commerce (NYT)
Dot-coms charging for former freebies (USA)

PRIVACY
In Tapping the Net, the F.B.I. Insists Privacy Is Not a Victim (NYT)

MERGER
Deutsche Telekom Moves Closer To $35 Billion Mobile Deal in U.S.
(WSJ)

E-COMMERCE

PROPOSED LAW STIRS CONCERN ON EUROPE E-COMMERCE
Issue: E-Commerce
Advertisers, publishers and E-commerce companies are worried about a
proposed European Union law would erect barriers to communicating across
borders in the union. The European Commission will vote in the coming weeks
vote on the proposal, which aims to clarify which nation's laws should apply
in a dispute involving a citizen of one country and a company marketing its
goods or services, or communicating, over the Internet, from another. The
proposal argues that the law in the consumer's country should apply in such
a dispute. By giving preference to the laws in the country of the consumer
in cross- border disputes, Rome II would create "extreme legal uncertainty"
for anyone planning to do business over the Internet in Europe, said Mike
Pullen, a partner at the British law firm of Dibb Lupton Alsop. There is
also concern that such a law would affect newspapers by multiply the legal
risks associated with publishing anything controversial. "By publishing
online, newspapers would be exposed to the various defamation laws that
exist in all 15 E.U. countries," said Angela Mills, executive director at
the European Publishers' Council, which represents many of the large
European publishing houses.
[SOURCE: New York Times (W1), AUTHOR: Paul Meller]
(http://www.nytimes.com/2001/02/08/technology/08EURO.html)
(requires registration)

DOT-COMS CHARGING FOR FORMER FREEBIES
Issue: E-Commerce
Internet companies face mounting pressure to turn profits. Many spent the
past few years giving away services to establish large audiences, but with
online advertising waning, they need new revenue sources. The Internet's
biggest players, trying to shore up shaky bottom lines, are making
customers pay for services that once were free. As of Thursday, Free Edgar
will be an oxymoron. The online financial service is charging at least
$29.95 per quarter to users who want e-mail alerts on more than 10
companies. The alerts include Securities and Exchange Commission
filings and litigation notices. Amazon.com, which last week announced it is
whittling 15% of its 8,500 jobs, plans to charge publishers as much as
$10,000 to get their books included on e-mail promotions to customers. Last
week, Microsoft canceled a $400 rebate for personal computer buyers who
signed up for three years of its MSN online service. "It's monetizing of the
dot-com model," says Jill Frankle, director of e-commerce at Gomez Advisors.

[SOURCE: USA Today (A1), AUTHOR: Jon Swartz]
(http://www.usatoday.com/life/cyber/invest/2001-02-08-free-stuff.htm)

PRIVACY

IN TAPPING THE NET, THE F.B.I. INSISTS PRIVACY IS NOT A VICTIM
Issue: Privacy
As the world has gone digital, criminals have as well, and the Internet in
turn, has provided new frontiers for law enforcement tappers. In
Congressional testimony in July, the assistant director of the Federal
Bureau of Investigation's laboratory division, Donald M. Kerr said that due
to the rapid growth of the Internet, networks and databases can be used to
commit crimes and to harm the safety, security and privacy of others. Child
pornography, fraud, identity theft, even terrorism - are being perpetrated
using the Internet as a tool, he said. In attempting to stem the Internet
crime, the FBI developed an Internet wiretapping system called Carnivore.
Carnivore has met with resistance from groups as diverse as the American
Civil Liberties Union and the Republican leadership of the House of
Representatives, who claim that Carnivore can cast an investigative net that
captures the communications of bystanders along with those of a suspect. The
F.B.I. says the real value of Carnivore, by any name, is that it is much
more selective than its predecessor forms investigation. In early times,
that meant standing next to a window in the eavesdrop, the place where water
from the eaves drips, to overhear conversations.
[SOURCE: New York Times (E1), AUTHOR: John Schwartz]
(http://www.nytimes.com/2001/02/08/technology/08CARN.html)
(requires registration)

MERGER

DEUTSCHE TELEKOM MOVES CLOSER TO $35 BILLION MOBILE DEAL IN U.S.
Issue: Merger
While the U.S. Securities and Exchange Commission is expected to clear
Deutsche Telekom's $35
billion proposal to buy VoiceStream Wireless and Powertel of the U.S, the
Federal Communications Commission is still considering whether the
mobile-phone deal will harm competition, though many market-watchers believe
it will rule in Telekom's favor. VoiceStream's major shareholders agreed to
the purchase in July, so no opposition is expected. Powertel shareholders
are also expected to approve the deal. If the deals go through, Deutsche
Telekom would be the world's largest operator of a GSM or Global System for
Mobile Communications network. GSM is the current standard in Europe and
Asia and is used in parts of the U.S.
[SOURCE: Wall Street Journal (A16), AUTHOR: Rhea Wessel]
(http://interactive.wsj.com/articles/SB981585048618560612.htm)
(requires subscription)

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