Communications-related Headlines for 5/14/99

TELEVISION
NBC Edits 'Nuclear Waste' From Mini-Series, and
Outside Pressure Is Charged (NYT)
FCC Adapts Rules for Set-Top Cable Boxes (WP)

TELEPHONY
ICC Leery of Ameritech Merger (ChiTrib)
FCC Adopts Wireless 911 Rules (FCC)
Access to Buildings and Facilities by Telecommunications
Providers (House)
Proceeding to Adopt Rules for New Commercial Services (FCC)

NEW SPECTRUM USES
Roundtable Discussion of Low Power FM (FCC)

FCC REFORM
Federal Communications Commission Reform:
The States' Perspective (House)

INTERNATIONAL
Yugoslavia May Lose Some Net Access (SJ Merc)
European Digital-TV Services to Expand (WSJ)
Performance of Intergovernmental Satellite Organizations on
International Anti-Bribery Requirements (NTIA)

EMPLOYMENT
Tech visas to hit 12-month limit 4 months early (SJ Merc)
Email Abuse Leads To Firings At Investment Firm (CyberTimes)
Nortel to Cut 1,000 Jobs (WP)

TELEVISION

NBC EDITS 'NUCLEAR WASTE' FROM MINI-SERIES, AND
OUTSIDE PRESSURE IS CHARGED
Issue: Television Content/Censorship
The NBC mini-series "Atomic Train" was supposed to be about the deeds of
here Rob Lowe who battles a runaway train loaded with atomic waste and a
nuclear bomb (just to make it really exciting). The network is deleting all
reference in the show to nuclear waste, however, and dubbing in "hazardous
waste." Sen Richard Bryan (D-NV) claims that the network is responding to
pressure from the nuclear power industry since NBC is owned by General
Electric which also has a nuclear energy unit. NBC is claiming the changes
are being made so as to not mislead the public -- the network is going
through the trouble and cost, estimated at tens of thousands of dollars, it
says, because the program had been promoted as real-to-life: "If our own
promotional positioning led people to perceive it as nonfiction," said Dr
Rosalyn Weinman, NBC's executive vice president for content policy, "then I
think our level of responsibility includes not only putting a disclaimer out
but also to taking that next step. There's a lot of science here, and a lot
of regulatory and transportation issues, and we didn't have the time to vet
it properly. The conservative broadcasterly thing to do was to make those
changes."
[SOURCE: New York Times (A19), AUTHOR: Lawrie Mifflin]
(http://www.nytimes.com/yr/mo/day/news/national/nbc-editorial.html)
See also:
NUCLEAR INDUSTRY ADS CALLED POTENTIALLY DECEPTIVE
[SOURCE: New York Times (C2), AUTHOR: Matthew Wald]
(http://www.nytimes.com/yr/mo/day/news/financial/nuke-power-ads.html)

FCC ADAPTS RULES FOR SET-TOP CABLE BOXES
Issue: Cable
Aware that companies are hurrying to develop new services for distribution
through the residential cable connection, the Federal Communications
Commission adopted a compromise on cable boxes Thursday to speed the
introduction of multi-functional set-top boxes. The FCC agreed to exempt
old-fashioned analog cable boxes from FCC rules adopted last year requiring
a separate security component. The new digital boxes and analog/digital
hybrids will be required to have the security device. The rules are based on
a new generation of cable services that may include Internet service,
on-demand movies, and interactive television, in addition to far more TV
channels. The cable boxes will be sold to consumers rather than rented to
them by cable companies. Separately, the FCC on Thursday adopted a rule
requiring cell phones to include circuitry that will connect emergency calls
to 9-1-1 operators more effectively. The agency also asked for comments
about how the spectrum currently used by TV channels 60-62 and 65-67 should
be used in the future.
[SOURCE: Washington Post (Online), AUTHOR: Reuters]
(http://www.washingtonpost.com/wp-srv/business/daily/may99/cable13.htm)
See also:
NAVIGATION DEVICES
Issue: Cable
From News Release: In order to improve consumer choice and foster
competition, the FCC has adopted an order revising its rules regarding the
commercial availability of navigation devices (e.g cable television set-top
boxes). The Order on Reconsideration affirms and refines rules adopted in
1998 to allow for consumer purchase and ownership of navigation devices.
This order furthers the goal of providing competition in the
telecommunications marketplace by creating a market for consumers to own
equipment used to access video programming and other services in their
homes. The Order modifies the FCC's separation requirement with regard to
analog-only devices. The Order finds that deferring application of the rules
to analog-only devices at this time will further allow the industries to
focus on the development of digital equipment and expedite achievement of
Section 629's goal of commercial availability. Key elements of the order
include: Analog Equipment, Integrated Boxes, Devices in Inventory, CableLabs
Standards Process, Application of Rules to various MVPD technologies,
Functions of Equipment Performing Conditional Access, and Portability. More
detail is available at the URL below. News Media contact: Morgan Broman at
(202) 418-2358. Cable Services Bureau contacts: Deborah Klein, Thomas Horan
at (202) 418-7200. TTY: (202) 418-7172
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Cable/News_Releases/1999/nrcb9009.html)

TELEPHONY

ICC LEERY OF AMERITECH MERGER
Issue: Mergers
The $60 billion merger of Ameritech and SBC my be in doubt after the first
public deliberations of the commissioners of the Illinois Commerce
Commission. "I find the record to be appallingly vague on many issues," ICC
Chairman Richard Mathias said in the first indication of his
opinion of the deal. Chairman Mathias has indicated before that SBC and
Ameritech must prove the merger passes legal muster by providing a
preponderance of evidence -- his comments indicate that the companies have
not done that. ICC hearing examiners rejected the findings of ICC staff who
suggested major conditions be placed on the combined company or outright
rejection of the deal. Chairman Mathias said any conditions should be
spelled out clearly "but if they're not clear, then businessmen will do what
they have traditionally done in any industry and nibble around the edges."
Commissioner Terry Harvill said the ICC needs assurances "that residential
and small business customers will not be left be left behind" by the
combined companies "national-local strategy" to enter the local telephone
markets in 30 cities outside the 13 states of SBC-Ameritech. Commissioner
Ruth Kretschmer said, "I don't want to see funds generated in Illinois used
in other regions." Commissioner Richard Kolhauser appears to be the most
favorable to the deal: "All the people who talk about competition
theoretically are in the end turning out to be regulators at heart," he
said, who did agree with the others about the vagueness of the formal
record. "The record is weak," he said. "Ninety percent of it is speculation
-- from all parties." A decision by the ICC is expected in June; the FCC is
also reviewing the merger and is expected to render a decision in July.
[SOURCE: Chicago Tribune (Sec 3, p.1), AUTHOR: Jon Van]
(http://chicagotribune.com/textversion/article/0,1492,ART-28515,00.html)

FCC ADOPTS WIRELESS 911 RULES
Issue: Wireless
From the News Release: The Federal Communications Commission adopted rules
that will improve the ability of cellular phone users to complete wireless
911 calls. The action will improve the security and safety of analog
cellular users, especially in rural and suburban areas, by approving three
mechanisms any of which will result in more wireless 911 calls being
completed than occurs today. As part of its efforts to promote public
safety, the Commission adopted the Enhanced 911 (E911) First Report and
Order in 1996, which among other things required that cellular carriers
complete all 911 calls, not just those of their subscribers. At the same
time, the Commission adopted a Second Notice of Proposed Rulemaking (NPRM)
to develop additional means of improving E911 system performance to serve
public safety needs. One issue in the Second NPRM concerned proposals to
improve the transmission of 911 calls, particularly from locations where the
wireless caller's preferred carrier has a "blank spot" - an area where the
system's radio signal is very weak or non-existent. A Second Report and
Order (Order) addresses this particular issue. Additional detail available
at the URL below. News Media contact: Meribeth McCarrick at 202-418-0654,
via e-mail mmccarri( at )fcc.gov or TTY at (202) 418-7233. Wireless
Telecommunications Bureau contact: Dan Grosh (Policy Division) at 418-1310,
via e-mail: dgrosh( at )fcc.gov, or TTY at (202) 418-7233. Report No. WT 99-13 --
Docket No. CC Docket No. 94-102
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Wireless/News_Releases/1999/nrwl9016.html)

ACCESS TO BUILDINGS AND FACILITIES BY TELECOMMUNICATIONS PROVIDERS
Issue: Competition
Chairman Biley's statement at oversight hearing: Competition brings
consumers long-term benefits. Competition is the best mechanism to ensure
low rates. Competition also brings better service and more choice....True:
we'd all like to see more competition. But the solution there is not to turn
our backs on the progress we've made. Instead, we should focus on ways to
remove the remaining obstacles to competition. Which brings us to the
subject of building access, the so-called 'last hundred feet.' This is an
important component to promoting competition in local telephone markets.
Consumers who live in apartment or commercial buildings are no less entitled
to the benefits of competition. I am therefore concerned when I hear charges
that building owners and managers go a long way to deny competitors access
to their properties. I know how difficult it must be to accommodate new
folks seeking access to office buildings and apartments. However, some
building owners and managers are mistakenly restricting access. I recognize
this is not true of all building owners. Some owners and managers support
competition in retail sales of electricity, which pleases me. Many owners
have done the right thing for their tenants and opened their door to
competition. So we need to find an answer to the following question: how do
we take care of the 'bad actors?' The FCC has done some good work in this
area. But much work remains, and the FCC ought to be using its power to help
us find some solutions. Let me also say that I strongly support
collaborative solutions to this problem. I applaud those building owners and
telecommunications companies that have tried to fashion a compromise, and
urge you to continue your good work. But those who choose to dig in their
heels should know that we will continue to monitor this situation. I am
committed to opening the local loop, and building access is a key component
to that effort.
[SOURCE: House of Representatives]
(http://com-notes.house.gov/cchear/hearings106.nsf/a8421c4f5171dd23852567370
07cd80f/0324b779580271698525677000522fbd?OpenDocument)

NEW SPECTRUM USES

ROUNDTABLE DISCUSSION OF LOW POWER FM
Issue: Radio
From FCC News Release: William E. Kennard, chairman of the Federal
Communications Commission (FCC), participated today in a roundtable
discussion on low power radio with representatives of many religious
organizations. The discussion took place at First Congregational Church in
Washington, DC, and was moderated by Randy Naylor of the National Council of
Churches. Chairman Kennard said his job as FCC chairman was to ensure that
the public spectrum is used to benefit all Americans and this goal will be
served by a low power radio service that will give more Americans access to
stations that serve the needs of their local communities. The Commission has
proposed allowing FM stations to operate at low power levels to broadcast to
their local communities. Comments are due on this proposal by June 1. "As
I've traveled around the country," he said, "I've met dozens of people who
want to use the airwaves to speak to their communities -- churches,
community groups, elementary schools, colleges, and minority groups. In the
Commission's proposal for a low power radio service, these people see the
opportunity to have their voices carry through their communities. To have
their voices heard. And to bring together their communities through a shared
message broadcast to all -- whether a church service, a school concert or
assembly, or a speech by a local public official. " Also attending the
roundtable discussion were: Rev. Joan Brown Campbell, General Secretary,
National Council of Churches of Christ; Rev. Everett Parker, United Church
of Christ (UCC); Rev. John Mack, Sr. Pastor, First Congregational Church,
Washington, DC; Randy Naylor, National Council of Churches; Rev. Edward
Rivera, Cleveland, OH; Kathleen Golden, Producer, Mary Knoll World
Productions; Katherine Grincewich, Asst. General Counsel, U.S. Catholic
Conference; Rev. Anand Veeraraj, Princeton, NJ; Sally White-Dishton, Intern,
Westmoreland UCC, Washington, DC; Barbara Ferguson-Kamara, Asst. to Mayor,
Washington, DC; Dr. James Mack, Howard Univ.; Kwami Osei Reed, UCC; Roberto
Gutierez, Oblates of Mary Immaculate, Austin TX; Andrew Schwartzmann, Media
Access Project. Chairman Kennard's statement available at
(http://www.fcc.gov/Speeches/Kennard/Statements/stwek928.html).
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Miscellaneous/News_Releases/1999/nrmc9028.html)

PROCEEDING TO ADOPT RULES FOR NEW COMMERCIAL SERVICES
Issue: Spectrum
From News Release: The Commission began a proceeding to adopt service rules
to permit new services on spectrum bands formerly designated exclusively for
UHF television service. By previous Commission action, these spectrum bands
could potentially be used for a variety of wireless or broadcasting
services, and today's proceeding will ultimately establish rules by which
the Commission will license permitted services. The availability of this
spectrum is the result of the Commission's efforts to free up channels 60-69
for new users as part of the transition to digital television (DTV). The
746-764 MHz and 776-794 MHz bands have been used by television stations on
channels 60-62 and 65-67. Congress directed, in the Balanced Budget Act of
1997, that this 36 megahertz of spectrum be reallocated and auctioned for
commercial purposes, and specified that the auction take place after January
1, 2001. (Congress also directed in the Balanced Budget Act that 24
megahertz of spectrum be reallocated for public safety services, and the
Commission has separate proceedings underway to implement those services.)
After the auction and licensing of successful bidders for these commercial
bands, existing full power UHF licensees will be permitted to continue
operations protected from interference until the deadline for conversion to
DTV. News Media contact: Meribeth McCarrick at 202-418-0654
(mmccarri( at )fcc.gov) or TTY at (202) 418-7233. Wireless Telecommunications
Bureau contacts: Stan Wiggins (swiggins( at )fcc.gov) or Ed Jacobs
(ejacobs( at )fcc.gov) at (202) 418-1310 or TTY at (202) 418-7233.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Wireless/News_Releases/1999/nrwl9017.html)

FCC REFORM

FEDERAL COMMUNICATIONS COMMISSION REFORM: THE STATES' PERSPECTIVE
Issue: FCC/Budget Issues
Thursday, May 20, 1999, 2:00 p.m. in 2322 Rayburn House Office Building.
Subcommittee on Telecommunications, Trade, and Consumer Protection hearing
on FCC Reform
[SOURCE: House of Representatives]
(http://www.house.gov/commerce/schedule.htm)

INTERNATIONAL

YUGOSLAVIA MAY LOSE SOME NET ACCESS
Issue: Internet/Access
Portions of Yugoslavia may soon be without access to the Internet. Loral
Space and Communications, an American satellite company, says that it might
be ordered to cut transmission into Yugoslavia as part of the US's trade
embargo on that country. The Government order that banned the sale of "any
goods, software, technology or services," however, was ambiguous as to the
treatment of communications services. David Leavy, spokesman for the
National Security Council, said that "generally informational material is
exempt" but that electronic commerce would likely fall under the ban.
"We'll need to inquire further about the appropriate applications of the
law," he said. Jim Dempsey of the Center for Democracy and Technology
emphasized the importance of the Internet to democracy: "The Internet
remains at this point one of the major sources inside Yugoslavia for
objective news reporting about the war." Mr Dempsey also noted that the it
is the "main sources for any remaining democratic voices within Yugoslavia
to communicate with the outside world."
[SOURCE: San Jose Mercury News, AUTHOR: Ted Bridis (Associated Press)]
(http://www.mercurycenter.com/svtech/news/breaking/ap/docs/442241l.htm)

EUROPEAN DIGITAL-TV SERVICES TO EXPAND
Issue: DTV
Interactive services are developing at a faster pace in Britain and Europe
than in the US, says Georges Nahon, director of Microsoft Europe's Internet
unit -- which is why Microsoft has plans to continue investing in European
cable companies, with hopes of becoming a major provider of complex software
for digital TV services. Microsoft has already invested in Britain's NTL
and plans to invest in Telewest Communications PLC, as well as five other
major European cable companies. European consumers, like those in the US,
continue to remain wary of the new technological services that transmit
blurry Web pages to TV screens and currently offer flawed email services.
Microsoft executives, however, "insist that their investments in Britain
will bear fruit" given the country's sophisticated fiber-optic
technology and the success of satellite TV and the Internet in the UK.
[SOURCE: Wall Street Journal (B4), AUTHOR: Gautam Naik and Matthew Rose]
(http://wsj.com)

PERFORMANCE OF INTERGOVERNMENTAL SATELLITE ORGANIZATIONS ON
INTERNATIONAL ANTI-BRIBERY REQUIREMENTS
Issue: Satellite
Comments received in the Commerce Department's proceeding on progress made
by Intergovernmental Satellite Organizations' (ISOS) signatories in
providing full and open competition in their communications satellite
markets. (Comment period closed May 12, 1999)
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/occ/index.html)

EMPLOYMENT

TECH VISAS TO HIT 12-MONTH LIMIT 4 MONTHS EARLY
Issue: Employment
While Congress doubled the number of visas available for foreign workers
with high-tech skills just this year, the Immigration and Naturalization
Service says it has already used up its annual allotment of the H-1B visas.
The visa limit, which was temporally raised to permit the entrance of
115,000 workers annually, has been reached four months earlier than
expected. News of the visa shortage stirred arguments from both sides of the
this contentious issue. "This proves that there is a real shortage of
high-tech workers," said Sen. Spencer Abraham (R-MI), who sponsored the
bill boosting the cap last year. "It shows the need for the legislation we
passed last year." Dan Stein, of Federation for American Immigration Reform
disagreed. "This has nothing to do with labor shortages. This has to do with
cheap labor and labor exploitation. All Abraham has done (with the law) is
corrupt the recruitment process in
software and information technology industries.''
[SOURCE: San Jose Mercury News, AUTHOR: Newhouse News Service]
(http://www.mercurycenter.com/svtech/news/breaking/merc/docs/visas051499.htm)

EMAIL ABUSE LEADS TO FIRINGS AT INVESTMENT FIRM
Issue: Employment/Privacy
Edward Jones, a large investment firm in St Louis (MO), recently fired 18
employees, allowed one to resign, and warned 41 others for abusing the
company's email system. Employment lawyer Amy H. Kohn sees this as part of a
growing trend of employers monitoring company email. "There is heightened
awareness and a moving toward a closer examination of companies' approach to
email." Edward Jones employees are now required to sign a document agreeing to
"acceptable uses" of email before they are given an account. Edward Jones would
not disclose details of the incident, but said an employee complained of an
"inappropriate" email. A company spokeswoman said "the company took action to
make sure each of us is comfortable in our place of work." A related suit in a
Brooklyn federal district court was dismissed recently because a judge declared
that a single email is not enough to "create a hostile working environment."
As more employers are monitoring email, the American Civil Liberties Union
(ACLU) receives 6-7 complaints a week about "email snooping" on the job. One
woman complained that her boss printed an intimate message she sent to her
boyfriend and posted it on a bulletin board. ACLU legal director Jeremy
Gruber says there is little privacy protection under the law for employee
email and people should know that deleting a message does not guarantee it
is removed from the company's network. He also notes that many people are at
their jobs for more than 8 hours per day and it's reasonable that they
should conduct some personal business.
[SOURCE: CyberTimes, AUTHOR: Pamela Mendels]
(http://www.nytimes.com/library/tech/99/05/cyber/cyberlaw/14law.html)

NORTEL TO CUT 1,000 JOBS
Issue: Employment
Selling plants and cutting 1,000 jobs, Nortel Networks is restructuring to
make Canada's largest telecommunications company more competitive. The
Thursday announcement will affect 4,000 employees. Nortel will contract out
all but its most complex printed circuit board assembly and estimates that
about 3,000 of its employees will move to work for the contractors. About
1,000 more jobs will be cut as part of its retrenchment program originally
announced in January. In Canada, Nortel is selling plants and repair centers
in Brockville and Mississauga, Ontario and northern Toronto and
electro-mechanical assembly operations in Calgary and the Montreal area.
[SOURCE: Washington Post (Online), AUTHOR: Associated Press]
(http://www.washingtonpost.com/wp-srv/WAPO/19990513/V000491-051399-idx.html)

--------------------------------------------------------------
...and we're outta here. And Headliner Ted Tate is really outta
here...moving on to greener pastures after graduation. Many thanks to Ted
who has promised his new wife that he'll not give her any more summaries of
Washington Post stories. We'll officially welcome a new member to the
Headlines team on Monday.