Communications-related Headlines for 4/27/98

Education
NYT: U.S. Official Calls for Studies of Technology in Classrooms

Digital TV
B&C: HDTV No Problem, Says Cable
B&C: PBS Switch to DTV May Get Pushed Back
B&C: Help for DBS Could Hurt Smaller Stations

Cable
B&C: No Must, No Fuss
B&C: NCTA Opposes Digital Must Carry

First Amendment
WP: Writer's Internet Porn Case Tests 1st Amendment

Campaign Finance Reform
NYT: Winding Road to Reform

Spectrum
B&C: Spectrum, Spectrum Everywhere
WSJ: For Wireless Services, Talk Gets Far Cheaper as Competition
Rages On

E-Commerce
NYT: A Shift So Fundamental That Not Even Microsoft May Know How to
Respond

** Education **

Title: U.S. Official Calls for Studies of Technology in Classrooms
Source: New York Times (CyberTimes)
http://www.nytimes.com/library/tech/98/04/cyber/articles/27education.html
Author: Pamela Mendels
Issue: Education
Description: Linda Roberts, director of the Office of Educational Technology
at the Dept. of Education, made a pitch yesterday to begin serious studies
of whether the use of technology (computers and the Internet) in schools
improves student achievement. "It's important to collect baseline data and
to deliberately track performance," said Roberts during a conference on
schools and technology in Manhattan. The research is necessary, she said, to
show that the billions of dollars being spent to wire schools are worth it.
"School districts will be called to task for 'What are you doing with your
money and what difference does it make?'" At both the conference in
Manhattan and at the SchoolTech Exposition and Conference, Roberts pointed
to the need for rigorous assessment of classroom technology. "We've GOT to
collect the data," she said during the latter keynote. While the Clinton
administration has been a "major booster" of technology use in schools, a
number of critics are questioning whether the investment in school
technology is a wise one. Among other items, they wonder how much of the
push for technology in schools is being generated by hardware and software
companies with "an economic interest in cultivating a lucrative market for
their wares in schools. They also question "how much truly valuable
classroom content exists free on the Web. And they note that technology is
expensive and quickly obsolete, and that, to date, there is little hard
research establishing that it helps students learn better."

** Digital TV **

Title: HDTV No Problem, Says Cable
Source: Broadcasting & Cable (p6)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: HDTV
Description: Cable executives assured Congress last week, that digital
set-top boxes will pass through all HDTV signal formats without degrading
signal quality, despite accusations from the Consumer Electronics
Manufacturers Association that TCI and other cable companies are not
designing set-top boxes to do so.

Title: PBS Switch to DTV May Get Pushed Back
Source: Broadcasting & Cable (p6)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: Public Broadcasting
Description: Public broadcasting may have trouble getting federal money
for its transition to digital, and Congress' House appropriations committee
may ask the FCC to delay the transition for at least two years, claiming
that FCC deadlines are too tight for the technology and money involved.
Because CPB's money is appropriated two years ahead of time, using CPB's
1999 $50 million to start the transition would take away money from other
programs such as Medicare and education. But CPB president insists that
public broadcasting needs to start the $1.7 billion transition now in order
to make FCC's 2003 deadline, otherwise local stations risk losing their
licenses. Congress, however, is saying the deadline is arbitrary and can be
moved.

Title: Help for DBS Could Hurt Smaller Stations
Source: Broadcasting & Cable (p20)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: HDTV
Description: Allowing phased-in must carry for digital broadcast is unfair
to non-network affiliates, according to the Association of Local Television
Stations. "Promoting competition in one market while subverting it in
another is shortsighted and self-defeating," wrote ALTV President James
Hedlund. As an example, he pointed to DBS provider EchoStar, which has
been asking Congress for legislation that would allow it to provide some
but not all local signals, despite it's technical ability to provide all
local signals. EchoStar lobbyist Karen Watson replied, "Let the consumer
decide whether offering four or five local stations is enough. If it's not,
then they won't choose us."

** Cable **

Title: No Must, No Fuss
Source: Broadcasting & Cable (p4)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: HDTV
Description: ABC, CBS, NBC and Fox -- and top cable operators, including
Tele-Communications, Inc. and Time Warner Cable -- are trying to negotiate
agreements by which the operators will carry the networks' digital TV
signals. If the talks are successful, the networks would withdraw from the
expected battle before the FCC over whether to impose digital must-carry
rules. These rules would require cable operators to carry the broadcasters'
local
"digital" signal as well as their local analog signals. While discussions
look promising, questions remain: Will cable operators pass through digital
signals without degradation? How many signals will systems carry? Digital
technology permits the broadcast of one high-definition picture of multiple
standard definition pictures. Currently, operators seem resistant to carry
more than one signal, regardless of the format.

Title: NCTA Opposes Digital Must Carry
Source: Broadcasting & Cable (p42)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: HDTV
Description: Cable is committed to giving its customers digital television
but is firmly against any digital must-carry regulations, said National
Cable Television President Decker Anstrom. "The idea that must carry is
central to the transition to digital television is simply ridiculous." But
broadcasters say that there is no difference between digital and analog
must carry. Anstrom says that federal regulations will hurt subscribers
because cable operators will drop cable networks in order to carry
broadcasters' digital signals. "A few hundred rich people get a few hours
of as-yet unknown HDTV programming and everyone would lose four cable
networks." Yet, while cable argues against must-carry for themselves, they
think that direct broadcast companies should face must-carry if they want
to provide local broadcast signals.

** First Amendment **

Title: Writer's Internet Porn Case Tests 1st Amendment
Source: Washington Post (B1,B4)
http://www.washingtonpost.com/
Author: Ruben Castaneda
Issue: First Amendment
Description: One of the first legal cases concerning the First Amendment and
the legal boundaries of reporting through the Internet has been brought to
trial in U.S. District Court in Greenbelt MD. The case revolves around
Larry Matthews, a freelance reporter and radio newsman with 31 years of
experience, who works as an editor at National Public Radio. Matthews was
working on a story about the prevalence of child pornography over the
Internet. After having little luck discussing the issue with people online
after identifying his mission and position as a radio reporter, Matthews
decided to take on the persona of the people he was trying to reach. The
tactic worked and then Matthews was "ensnared by the investigative
techniques" he said he was trying to report about and charged with
trafficking in child pornography. Prosecutors in the case have asked U.S.
District Judge Alexander Williams Jr. to prohibit Matthews and his
attorney's from using the First Amendment as a defense in this trial.
Matthew's attorneys on the other hand, have asked Judge Williams to dismiss
the case on the grounds that Congress never intended to have the law applied
so broadly that reporters and other researchers would be prosecuted. Several
First Amendment experts said that they were unaware of any other case where
a reporter or researcher has been "prosecuted for obtaining or sending
outlawed materials from the Internet" and that they were alarmed that
prosecutors were trying to prevent Matthews from presenting a defense based
on the First Amendment.

** Campaign Finance Reform **

Title: Winding Road to Reform
Source: New York Times (A18)
http://www.nytimes.com/yr/mo/day/editorial/27mon1.html
Author: NYTimes Editorial Writers
Issue: Campaign Finance Reform
Description: "Unregulated 'soft money' from corporations, unions and rich
donors is already running 20 percent ahead of the last campaign cycle at
this point and could easily exceed $500 million by Election Day in 2000,
nearly double the amount raised last time. It is important to recognize that
legislation sponsored by Rep.s Christopher Shays (CT) and Martin Meehan (MA)
is not an extremist scheme that would impose unheard-of restrictions on
American politics. Their bill would simply restore sound rules that have
been brazenly circumvented in recent years." The biggest danger, now that
Speaker Newt Gingrich has yielded to "popular pressure" and promised a fair
and free vote on campaign finance reform, lies in watered-down bills
"dressed-up" to look like reform.

** Spectrum **

Title: Spectrum, Spectrum Everywhere
Source: Broadcasting & Cable (p20)
http://www.broadcastingcable.com/
Author: Paige Albiniak & Harry A. Jessell
Issue: Spectrum
Description: FCC commissioner Michael Powell last week claimed that the
1969 Supreme Court assertion that broadcast spectrum is scarce no longer
holds true. Digital convergence will give the public an unlimited number of
broadcast outlets over broadcast television, cable, satellite, and the
Internet, he said. "We cannot continue to expand the envelope of public
interest obligations without a sincere and rigorous evaluation of the
viability of maintaining a lesser First Amendment standard for broadcasting."

Title: For Wireless Services, Talk Gets Far Cheaper as Competition Rages On
Source: Wall Street Journal (A1,A8)
http://wsj.com/
Author: Elizabeth Jensen
Issue: Wireless
Description: Increased competition among companies offering wireless service
in Jacksonville Fla. has presented consumers with low prices and
unlimited-usage packages. Prices have plunged an average of 46 percent,
according to one industry estimate. These mass reductions make one wonder:
"How can anyone earn much in such a game? Even the combatants are predicting
casualties." "I wouldn't expect anyone to be around in five years," said
Scott Ford, president of Alltel Corp. who just entered the "fray" here in
February. "You'll see merger mania," predicts Frank Bell, a Sprint vice
president who is overseeing its summer launch here. "Because of the cost of
playing in this game, you need to be prepared to be in it for the long
haul." In the top 25 U.S. markets, all but two already have five wireless
franchises. It is predicted that the battle taking place in Jacksonville is
an "early version" of what many cities can expect.

** E-Commerce **

Title: A Shift So Fundamental That Not Even Microsoft May Know How to Respond
Source: New York Times (D5)
http://www.nytimes.com/library/tech/98/04/biztech/digicom/27digicom.html
Author: Denise Caruso
Issue: E-Commerce/Microsoft (future of?)
Description: A report issued by the "venerable" Silicon Valley research
institute, SRI International, and written by senior consultant, Robert
Jacobson, looks at the software industry from the vantage point of the year
2003. Jacobson projects that Microsoft will "devolve" into five separate
"Baby Softs" and the real force at play will be technology itself. This
force is already making an impact on Microsoft and almost every other larger
corporation. "Consider how the increasing power of technology has
contributed to the vast chaos of mergers, acquisitions and strategy shifts
in today's business world. Even as giant conglomerates are forming, PCs and
the global Internet are creating an increasingly favorable economic climate
for smaller, more nimble companies, niche markets and customized products
and services." In short, "information technology is creating a shift so
Fundamental that not even a PC pioneer like Microsoft may know how to
respond. The company is so huge, and to date has proved so unwilling to
relinquish any control of its markets, that the SRI report suggest the
software giant may collapse under its own weight...Just as in other
industries transformed by technology, software buyers are no longer bound to
accept what Microsoft chooses for them." Instead consumers may begin to reap
the benefits of "open source code' and component software movements where
programmers and motivated users can customize the inner workings of
operating systems and application programs. Customized software trends would
be "antithetical" to Microsoft's current system of mass-marketing a
controlled general purpose operating system.
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