Communications-related Headlines for 8/18/2000

POLITICAL DISCOURSE
Not Many Eager To Check Out E-Political Coverage (USA)

TELEPHONY/WIRELESS
AT&T, British Telecom Chiefs Consider A Union, Hoping to Keep Up
With Rivals (WSJ)
German Airwaves Fetch High Bids (WP)
Japanese Cell-Phone Service Thrives With 'Microbilling' (WSJ)
U.S. Providers Bet More Americans Will Shop Via
Their Mobile Phones (WSJ)
E911 Implementation (FCC)

INTERNET
.us Domain Space (NTIA)

PRIVACY
EPIC Asks Court to Set Deadline for Release of
Carnivore Information (EPIC)
Judge Shelves Plan for Sale Of Online Customer Database (NYT)

INTELLECTUAL PROPERTY
Judge Halts Program to Crack DVD Film Codes (NYT)

JOBS
Verizon Unions Revise Plan As Talks Near Deadline (NYT)

POLITICAL DISCOURSE

NOT MANY EAGER TO CHECK OUT E-POLITICAL COVERAGE
Issue: Political Discourse
While both parties' national conventions have had strong presence on the Web,
not many people have been logging on for coverage. Traffic on the four most
popular Internet news sites was down 14 percent during the Republican
convention in Philadelphia from the week before. A survey by the Joan
Shorenstein Center on the Press, Politics and Public Policy at Harvard
University found only one in 30 adults spent more than a few seconds viewing
Internet political coverage during the GOP gathering. Democratic officials
said their convention Web site, Dems2000.com, received about 250,000 unique
visitors a day, more than double the traffic of a few weeks ago. But
according to Chris Hunter, an analyst with NetElection.org, a research
project at the Annenberg Public Policy Center of the University of
Pennsylvania, "The Democrats didn't deliver...Hype and gizmos are winning,
and citizens are losing." One expert, Steven Clift of Minnesota E-Democracy,
said Web users would log on if the subjects hit closer to home. "The Net is
global, but politics is local," he says.
[SOURCE: USAToday (9A), AUTHOR: Richard Wolf]
(http://www.usatoday.com/usatonline/20000818/2563894s.htm)

TELEPHONY/WIRELESS

AT&T, BRITISH TELECOM CHIEFS CONSIDER A UNION, HOPING TO KEEP UP WITH RIVALS
Issue:Merger
AT&T and British Telecommunications, two old-line telephone behemoths
struggling to keep pace with faster-moving rivals, have put out feelers
about the possibility of combining their businesses. The two companies have
discussed the idea of a combination during their regular meetings about
Concert, the global joint venture between AT&T and BT that provides phone
and data services to large corporate customers. Although the two companies
caution that no deal is imminent, and it is still unclear whether the
informal talks will lead to negotiations, the latest conversations are more
serious and have focused on specific issues relating to a combination of
their businesses. But a move to any transaction deal would face tremendous
regulatory hurdles. BT shareholders might balk at a potential merger with
AT&T because it would expose them to the highly competitive U.S. market, as
well as to AT&T's woes. But for both companies, a combination offers the
prospect of efficiencies of scale, new revenue streams and opportunities in
the global Internet market.
[SOURCE: Wall Street Journal (A3), AUTHOR: Anita Raghavan And Gautam Naik]
(http://interactive.wsj.com/articles/SB96655657320405686.htm)

GERMAN AIRWAVES FETCH HIGH BIDS
Issue: Spectrum
Yesterday, a closely watched airwave auction in Germany ended with six
companies bidding more than $46 billion for wireless licenses. The high
prices in the German spectrum sale, and a $36 billion auction in Britain in
April, have left many industry analysts wondering whether unsold airwaves in
U.S. are undervalued. The European companies plan to use the airwaves
auctioned this year for third-generation, or "3G," services that will allow
users to access the Internet from mobile devices. The Federal Communications
Commission plans to sell to wireless carriers spectrum that is currently
occupied by a handful of U.S. broadcasters, including Paxson. The agency has,
however, already delayed the auction of the airwaves twice as it struggles
to come up a with a plan that would satisfy broadcasters that want to be
paid for moving from the prime real estate. Based on the European airwave
sales, the airwaves used by TV stations between channels 59 and 69 could be
worth between $20 billion and $40 billion, analysts predict.
[SOURCE: Washington Post (E03), AUTHOR: Christopher Stern]
(http://washingtonpost.com/wp-dyn/articles/A46556-2000Aug17.html)
See Also:
$50 BILLION FOR GERMAN WIRELESS LICENSES
[SOURCE: New York Times (C4), AUTHOR: Edmund Andrews]
(http://www.nytimes.com/library/financial/081800germany-wireless.html)

JAPANESE CELL-PHONE SERVICE THRIVES WITH 'MICROBILLING'
Issue: Wireless
The fastest-growing Internet service called "i-mode," run by Japan's NTT
DoCoMo allows subscribers to send and receive e-mail as well as access Web
sites that have been tweaked to fit on tiny screens of their cell phones.
Subscribers can tap into online news, browse through restaurant guides, buy
plane tickets on Japan Airlines, and trade stocks. At the end of the month,
any charges imposed by these or other i-mode-approved sites are bundled
together in one monthly phone bill -- a so-called microbilling system that
is simple for users and profitable for the companies involved. DoCoMo has
registered 10 million subscribers in 18 months, with up to 50,000 new users
a day. When DoCoMo set out to build i-mode, executives never imagined it
would be such a runaway success. The company had blown away
rivals in voice service but had zero experience with the Internet. The
i-mode team avoided what it considered vague, and to many Japanese customers
off-putting, technical terms such as "Internet" and "Web." DoCoMo is also
studying other possible payment schemes to complement its microbilling
system. Users will probably one day be able to "download" money into their
phones to buy things from vending machines or convenience stores. Further
down the road are electronic settlement systems that will make phones work
like credit or bank debit cards.
[SOURCE: Wall Street Journal (B1), AUTHOR: Robert A. Guth]
(http://interactive.wsj.com/articles/SB96655594017665802.htm)

U.S. PROVIDERS BET MORE AMERICANS WILL SHOP VIA THEIR MOBILE PHONES
Issue: Wireless/Ecommerce
With m-commerce in its infancy here in the U.S., cell-phone-toting Americans
are limited to buying things such as books and CDs, stocks and roses for Mom
from specialized sites. However, American consumers can expect more
m-commerce options soon. Sprint PCS, for example, is considering vending
machines capable of taking cell-phone orders. Yet, many Americans own
outdated analog phones, and security is far from perfect on wireless
networks. And since American wireless-service providers have adopted
different standards for transmitting information via phones, some companies
are simply delaying their move into mobile commerce until one method wins
out. The potential value of m-commerce in the U.S. is huge: The amount that
Americans spend shopping via mobile devices could soar to as much as $21
billion by 2004, up from almost nothing now, according to IDC. Right now,
the wireless carriers have a big say in where Americans do their mobile
shopping because they control what users see on their initial
wireless-Webpage. Companies like Amazon.com, Barnes&Noble.com and E*Trade
Group have deals to have direct links to their sites from those pages.
Industrious users could type in the Web addresses of other sites, but a cell
phone's tiny buttons can make that cumbersome. Thus, companies seeking to
hawk their wares to m-shoppers are busy cutting deals with wireless carriers
to get prime placement on their users' phone screens.
[SOURCE: Wall Street Journal (B1), AUTHOR: Andrea Petersen]
(http://interactive.wsj.com/articles/SB966557435941583567.htm)
See Also
OVERSEAS, PEOPLE USE MOBILE PHONES TO BANK, BUY WINE, AND PAY RENT
[SOURCE: Wall Street Journal (B1), AUTHOR: Gautam Naik & Almar Latour]
(http://interactive.wsj.com/articles/SB96655581264901058.htm)

E911 IMPLEMENTATION
Issue: Wireless
In this Public Notice, the Wireless Telecommunications Bureau (Bureau) seeks
comment on a request filed by the King County, Washington E-911 Program
Office for assistance in resolving a conflict related to the implementation
of wireless Phase I Enhanced 911 (E911) service in the State of Washington.1
The King County Request states that King County and several other counties
in Washington State have ordered Phase I service from wireless carriers
operating in the State and that the Public Safety Answering Points (PSAPs)
in these counties are capable of receiving and utilizing Phase I information
over their existing E911 networks. According to the request, some carriers
have agreed to implement Phase I service only if King County and the several
other requesting counties pay for some or all of certain network and data
base components associated with the delivery of the Phase I service. King
County requests that the Bureau clarify whether the funding of certain of
the network and data base components of Phase I service, and the interface
of these components to the existing E911 system, are the responsibility of
the wireless carriers or the PSAPs.
Parties interested in filing comments may do so on or before September 18,
2000 and reply comments are due on or before October 11, 2000. To file
formally, parties must submit an original and four copies to the office of
the Secretary, Federal Communications Commission, 445 12th Street, S.W.,
TW-A325, Washington, D.C. 20554. In addition, parties must submit one copy
to E. Wendy Austrie, Policy Division, Wireless Telecommunications Bureau,
Federal Communications Commission, Room 3-B101, 445 12th Street, S.W.,
Washington, D.C. 20554. Copies of the King County Request may be obtained
from the following docket: CC Docket No. 94-102. Comments and reply comments
will be available for public inspection during regular business hours in the
FCC Public Reference Room, Room CY-A257, 445 12th Street, S.W., Washington,
D.C. 20554.
For further information concerning this proceeding, contact E. Wendy
Austrie, Policy Division, Wireless Telecommunications Bureau at (202) 418-1310.
[SOURCE: FCC]
(http://www.fcc.gov/Bureaus/Wireless/Public_Notices/2000/da001875.html)

INTERNET

.US DOMAIN SPACE
Issue: Internet
The Commerce Department's National Telecommunications and Information
Administration (NTIA), in a notice to be published shortly in the Federal
Register, announced a Notice and a Request for public comment on a draft
statement of work that the department contemplates will be ultimately
incorporated into a request for proposals to manage .us on behalf of the
U.S. government. The .us domain is the "national" or "country code" top
level domain (ccTLD) assigned to the United States for domain name
registration and is currently managed as a locality-based hierarchy in which
second-level domain space is allocated to States and U.S. territories. See
Media Advisory at
(http://www.ntia.doc.gov/ntiahome/press/2000/dotusma81700.htm).
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/domainname/usrfc2/dotusrfc2.htm)

INTELLECTUAL PROPERTY

JUDGE HALTS PROGRAM TO CRACK DVD FILM CODES
Issue: Intellectual Property
Judge Lewis Kaplan has ruled that Eric Corley and his company, 2600
Enterprises, cannot distribute a computer program used to copy DVD films.
Like the Napster case, this ruling will contribute to the rules that govern
commerce and free speech in the digital world. "Each side is entitled to its
views," Judge Kaplan wrote. "In our society, however, clashes of competing
interests like this are resolved by Congress." Judge Kaplan found that the
Digital Millennium Copyright Act, passed by Congress in 1998 and which
prohibits the distribution of software designed to circumvent copyright
protections, did not violate Mr. Corley's First Amendment right to free
speech, and he prohibited Mr. Corley from posting the program in the future
or from establishing Internet links with other sites that provided copies of
the code.
[SOURCE: New York Times (C1), AUTHOR: John Sullivan]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/18dvd.html)
See Also
FILM INDUSTRY WINS A VICTORY IN BATTLE AGAINST DVD COPYING
[SOURCE: Wall Street Journal (B6), AUTHOR: Lee Gomes]
(http://interactive.wsj.com/articles/SB966535449808186585.htm)
JUDGE BACKS HOLLYWOOD IN DVD MOVIE CASE
[SOURCE: Washington Post (E01), AUTHOR: David Streitfeld]
(http://washingtonpost.com/wp-dyn/articles/A47253-2000Aug17.html)

PRIVACY

EPIC ASKS COURT TO SET DEADLINE FOR RELEASE OF CARNIVORE INFORMATION
Issue: Privacy
In a submission filed on August 17, EPIC asked U.S. District Judge James
Robertson to order the FBI to release information concerning the Carnivore
surveillance system no later than December 1. In an FOIA lawsuit filed by
EPIC, Judge Robertson had ordered the FBI to establish a timetable for
release of the information. The Bureau identified 3000 pages of relevant
material and set a release schedule that would begin in 45 days, but did not
include a date for the completion of processing. After EPIC filed suit on
August 2, the FBI granted EPIC's request to expedite the processing of a
request submitted to the Bureau on July 12.
[SOURCE: Electronic Privacy Information Center]
(http://www.epic.org/privacy/litigation/carnivore_release.html)

JUDGE SHELVES PLAN FOR SALE OF ONLINE CUSTOMER DATABASE
Issue: Privacy/Ecommerce
Judge Carol Kenner set aside a Federal Trade Commission plan to limit the
sale of Toysmart.com's customer database. Absent an actual buyer, the judge
ruled, the concerns about the misuse of information were hypothetical. "The
problem would go away if we had a privacy law that required all companies to
treat information fairly whether they got it in a fire sale or obtained it
from the customers directly," said Jason Catlett, a privacy advocate who
maintains the Junkbusters.com Web site.
[SOURCE: New York Times (C2)]
(http://www.nytimes.com/library/tech/00/08/biztech/articles/18toys.html)
See Also
JUDGE REJECTS TOYSMART'S AGREEMENT WITH FTC BECAUSE OF LACK OF BUYER
[SOURCE: Wall Street Journal (B6), AUTHOR: Jerry Guidera And Frank Byrt]
(http://interactive.wsj.com/articles/SB966545566173284584.htm)

JOBS

VERIZON UNIONS REVISE PLAN AS TALKS NEAR DEADLINES
Issue: Jobs
High-level representatives of Verizon and the striking unions met through
the night to try to resolve the issue of movement of work resulting from the
merger of Bell Atlantic and GTE. As the unions presented a unified proposal,
mandatory overtime seem to slip as a key issue. A FTC representative said,
"obviously we're disappointed" by the ruling, but said the judge had not
rejected the "basic premise" of the Commission's position.
[SOURCE: New York Times (C5), AUTHOR: Simon Romero]
(http://www.nytimes.com/library/financial/081800verizon-talks.html)
See Also
UNIONS REPORT PROGRESS IN NEGOTIATIONS WITH VERIZON AS TALKS CONTINUE
[SOURCE: Wall Street Journal (A4), AUTHOR: Jennifer Rewick]
(http://interactive.wsj.com/articles/SB966556121730288948.htm)

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Service is posted Monday through Friday. The Headlines are highlights
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