Communications-related Headlines for 8/18/98

TELEVISION
Delays Blur Local Debut of HDTV (ChiTrib)

TELEPHONE REGULATION
FCC Should Resolve Issues Before Changing Access Charge Structure
(TelecomAM)
GTE Says FCC Shouldn't Require E911 in States Without
Laws Limiting Liability (TelecomAM)

INTERNET
Proctor & Gamble Hosts Internet Summit (NYT)
Study Finds Many Tech Firm Web Sites Lack Basic Information for
Customers (WSJ)

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TELEVISION
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DELAYS BLUR LOCAL DEBUT OF HDTV
Issue: DTV
The Federal Communications Commission's timeline for the transition to
digital television is unlikely to be met in Chicago, industry experts says,
because of problems with digital broadcasting technology, plus weak initial
demand for the sets -- estimated to cost between $5,000 and $12,000. WMAQ
channel 5, owned and operated by NBC, has filed for two extensions on its
deadline to begin digital broadcasts. "We certainly intend to make every
effort to meet our May 1 deadline," said Tom Powers, chief engineer at WMAQ.
Indeed, all four major networks in Chicago said they will do their best to
meet the May 1, 1999 deadline for network affiliates in the top 10 markets
to be broadcasting digital signals. In the other Top 10 markets, things are
further along and at least one station will begin digital broadcasts in
November -- in time for the holiday shopping spree. The conversion to
digital is targeted to be completed by 2006, but "The 2006 deadline is
meaningless and unrealistic," said Craig LaMay, an assistant professor
specializing in media at Northwestern University. "It's not as if consumers
are out there saying `we need clearer, sharper pictures.' The date was set
for budgetary reasons." [For more on the transition to digital TV see
http://www.benton.org/Policy/TV/digital.html]
[SOURCE: Chicago Tribune (Sec 3, p.1), AUTHOR: Eleanor Yang]
http://chicagotribune.com/textversion/article/0,1492,SAV-9808190358,00.html

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TELEPHONE REGULATION
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FCC SHOULD RESOLVE ISSUES BEFORE CHANGING ACCESS CHARGE STRUCTURE
Issue: Universal Service
The National Rural Telecom Association (NRTA), the National Telephone
Cooperative Association (NTCA), and the United States Telephone Association
(USTA) are asking the Federal Communications Commission to resolve universal
service issues before it reforms the access charge structure for small
telcos. In a joint filing, NRTA and NTCA wrote: "Because access revenues
constitute the largest component of the revenues of small and rural
telephone companies, there are potentially significant universal service
consequences from any material disruption of those revenues. Accordingly, a
definitive new access charge regime must await final resolution of the
universal service support mechanism for rural telephone companies." The
Commission proceeding to reform the access structure for small telcos
subject to the rate-of-return regulation is similar to the action it took
last year for larger telcos that have a price-cap regulation.
[SOURCE: Telecom AM]
http://www.telecommunications.com/am/

GTE SAYS FCC SHOULDN'T REQUIRE E911 IN STATES WITHOUT LAWS LIMITING LIABILITY
Issue: Wireless/Safety
Wireless telephone providers including GTE are warning the Federal
Communications Commission of requiring these companies to provide emergency
911 service in states that don't have laws limiting liability. "Where states
have not resolved the liability issue, [wireless] carriers face the
difficult task of providing a public safety service to the public at large,
while at the same time assuming the risk of unlimited liability attached to
providing the service." Wireless technology is "vulnerable to environmental,
geographic and topographical conditions as well as landline cable cuts,
natural disasters, etc" that subject the carriers to potential liability
when calls don't go through, GTE said. The company said that if the state
doesn't protect wireless carriers from unlimited liability, and carriers
must buy insurance, they should be able to recover that cost from the state.
Thirty-three states have passed laws granting wireless carriers immunity on
E911 calls.
[SOURCE: Telecom AM]
http://www.telecommunications.com/am/

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INTERNET
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PROCTOR & GAMBLE HOSTS INTERNET SUMMIT
Issue: Advertising
The advertising behemoth, Proctor & Gamble, is gathering hundreds of
executives in Cincinnati this week for a conference with an ambitious goal:
"improving the Internet as a marketing medium by hastening the discovery of
solutions to the panoply of problems that now vex cyberpeddlers." The
conference, called the Future of Advertising Stakeholders, which starts
tomorrow, stems from the increased frustration P&G has experienced with the
slow pace of efforts to eliminate the difficulties of online advertising.
This meeting is particularly significant because P&G is considered a leader
among mainstream
marketers and P&G has a well-known reputation for media innovation. "If
packaged-goods companies like P&G start moving ad dollars into the 'Net, it
could change the dynamics of all media," said Chuck Martin, who was the
chairman of the Adtech conference and has written books about interactive
marketing. Topics to be considered during the conference are to include,
consumer acceptance of online advertising (including privacy issues),
advertising formats like banners, measurement standards, and making online
media easier to buy.
[SOURCE: New York Times (D3), AUTHOR: Stuart Elliott]
http://www.nytimes.com/library/tech/98/08/biztech/articles/19internet-adver
tising.html

STUDY FINDS MANY TECH FIRM WEB SITES LACK BASIC INFORMATION FOR CUSTOMERS
Issue: Internet Use(fulness)
According to a study released today by consulting firm Shelley Taylor &
Associates, many company Web sites make it more difficult than necessary for
customers, investors and prospective employees to contact them or gather
information. The study looked at 50 corporate Web sites at technology
companies.
[SOURCE: Wall Street Journal (B5), AUTHOR: Don Clark]
http://wsj.com/

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