Communications-related Headlines for 9/28/2000

POLITICAL DISCOURSE
Parties Playing A Larger Role In Election Ads (NYT)
The Ad Campaign: Another Look at Gore the Man (NYT)

MEDIA & SOCIETY
Hollywood Executives Go To Washington (NYT)

MERGERS
WorldCom Appeals EU Decision That Blocked Purchase
of Sprint (WSJ)
House Panel Quizzes Case, Levin About AOL-Time Warner
Merger (WSJ)
Market Place: News Corp and Liberty Complete Asset Swap (NYT)

INTERNET
Merging TV With the Internet (NYT)
Meet the New Web. Same as the Old Web (NYT)
A Pen That Could Let You Scribble Your Way Across
the Internet (NYT)

DIGITAL DIVIDE
Technology Opportunities Program Grants to be Announced Today (NTIA)

PRIVACY
Living.com Settles Bankruptcy Case Involving Customer Lists (EPIC)

ADVERTISING
Ads on Cell Phones (NYT)

POLITICAL DISCOURSE

PARTIES PLAYING A LARGER ROLE IN ELECTION ADS
Issue: Political Discourse
A study on television spending released yesterday by the Brennan Center for
Justice at the New York University School of Law shows that from June 1 to
Sept. 20, the Republican and Democratic parties have spent more than $52
million on commercials, while the Bush and Gore campaigns have spent less
than half that, about $21 million. "What's confirmed this week is that for
the first time in history, the political parties are dominating the ad wars
in the presidential campaign," said E. Joshua Rosenkranz, president of
Brennan, a legal and research center that has developed a specialty in
campaign finance issues. The ads are paid for with "soft money," the
unregulated party donations by corporations and wealthy individuals. The
candidates' campaign organizations are barred from accepting more than
$2,000 from any one individual. "Twenty years ago, I don't know if the
R.N.C. and D.N.C. were doing much more than sponsoring brochures," said
William Benoit, a professor of communication at the University of Missouri
who has studied 50 years of campaign advertising. [Much more at URL below]
[SOURCE: New York Times (A1), AUTHOR: Peter Marks]
(http://www.nytimes.com/2000/09/28/politics/28BUY.html)
(requires registration)
See Also:
GORE CHALLENGING BUSH TO BAR SOFT MONEY FOR ADS
[SOURCE: New York Times (A21), AUTHOR: Kevin Sack]
(http://www.nytimes.com/2000/09/28/politics/28GORE.html)
(requires registration)

THE AD CAMPAIGN: ANOTHER LOOK AT GORE THE MAN
Issue: Political Discourse
Another in NYT's ongoing series on specific political ads. "Veteran," a new
commercial being aired by the Gore/Lieberman campaign, highlights the vice
president's stands on several issues, including tax cuts, welfare, child
support and Internet pornography. The ad stakes out ground for Gore that
President Clinton helped move Democrats, too, stealing issues that
Republicans have usually attacked Democrats on. It is being aired in 17
unidentified states. See a full description of the ad at the URL below.
[SOURCE: New York Times (A21), AUTHOR: Alison Mitchell]
(http://www.nytimes.com/2000/09/28/politics/28ADBO.html)
(requires registration)

MEDIA & SOCIETY

HOLLYWOOD EXECUTIVES GO TO WASHINGTON
Issue: Media & Society
Senators turned up the criticism of the movie industry at a hearing
yesterday on marketing violent films to children. Eight Hollywood executives
testified and answered for a new industry announcement about policies aimed
to curb past abuses. "I don't understand this language," said Senator
McCain, chairman of the commerce committee. "I think it's filled with
loopholes." On the campaign trail, Senator Joseph I. Lieberman of
Connecticut, the Democratic vice-presidential candidate, said the language
of the movie industry's policy "almost suggests that one could appropriately
specifically target children in their advertising of R-rated films, and
that's wrong." Four executives promised they would not market R-rated films
to teenagers under 17; others insisted that some R-rated films are
appropriate for teen audiences. At the conclusion of the hearing, Sen Sam
Brownback (R-KS) told the executives: "You've really got to help us out.
Parents are really struggling out there. You are part of the solution and
part of the problem."
[SOURCE: New York Times (A18), AUTHOR: David Rosenbaum]
(http://www.nytimes.com/2000/09/28/politics/28VIOL.html)
(requires registration)
See Also:
PARENTS SAY CENSORING FILMS IS THEIR JOB, NOT POLITICIANS'
Issue: Media & Society
In interviews conducted in Westlake (MI), a Detroit suburb, parents told the
Times that it was their responsibility -- and not that of the president,
Congress or even Hollywood -- to filter what reaches their children. The
candidates, they suggested, should save their breath for the economy and
health care. Read what these parents have to say at the URL below.
[SOURCE: New York Times (A1), AUTHOR: Jacques Steinberg]
(http://www.nytimes.com/2000/09/28/national/28PARE.html)
(requires registration)
TWO STUDIOS OFFER NEW AD PLANS
[SOURCE: USAToday (14A) AUTHOR: Andy Seiler]
(http://www.usatoday.com/usatonline/20000928/2697391s.htm)

MERGERS

WORLDCOM APPEALS EU DECISION THAT BLOCKED PURCHASE OF SPRINT
Issue: Mergers
WorldCom of U.S. has appealed the European Commission's decision to block
it from acquisition of rival Sprint. The petition to annul the commission's
June 28 decision to halt the deal was filed at the European Court of First
Instance in Luxembourg. Although WorldCom does not expect the outcome of the
petition to resurrect the failed deal, the company hopes a favorable ruling
might make it easier to complete other deals in the future. In it's
petition, WorldCom is arguing that the commission "fundamentally
misperceived both how Internet services are provided and the highly
competitive nature of the Internet marketplace." The commission blocked the
WorldCom-Sprint deal, arguing that it would have created a dominant player
in the market for top-level Internet-switching services. A commission
spokeswoman said Thursday that the European Union's executive body "is
confident that the decision is sound and will refute the legal challenge."
[SOURCE: Wall Street Journal (Interactive), AUTHOR: A WSJ.COM News Roundup
(http://interactive.wsj.com/articles/SB970133155406291496.htm)
(Requires subscription)

HOUSE PANEL QUIZZES CASE, LEVIN ABOUT AOL-TIME WARNER MERGER
Issue: Mergers
AOL Chairman Steve Case and Time Warner Chairman Gerald Levin testified on
Capitol Hill Wednesday about their companies' proposed merger, amid protests
from some representatives concerned that the views of competitors were
excluded from the hearing. Lawmakers mostly probed the two chief executives
about two top issues for federal regulators: guaranteeing open access to
Time Warner's cable systems and opening up AOL's instant-messaging system.
The two executives renewed their pledges to allow competitors access to
their systems, but they said they shouldn't have to formalize those
agreements as a condition of winning regulatory approval for their merger.
Mr. Case added he favors development of a national policy for cable access
as well as development of an industry standard for instant messaging rather
than a "piecemeal approach" of legislating by way of the merger approval.
Federal regulators are scrutinizing AOL and Time Warner's proposed merger
for possible antitrust violations and any other "public
interest" concerns. Both the Federal Communications Commission and the
Federal Trade Commission are expected to deliver a verdict in coming weeks.
[SOURCE: Wall Street Journal (B10), AUTHOR: Julia Angwin]
(http://interactive.wsj.com/articles/SB970079398189396755.htm)
(Requires subscription)
See Also:
HOUSE OPENS AOL HEARING
[SOURCE: Washington Post (E01), AUTHOR: Alec Klein]
(http://washingtonpost.com/wp-dyn/articles/A30923-2000Sep27.html)
For more see:
THE FUTURE OF INTERACTIVE TELEVISION
[SOURCE: House of Representatives]
(http://com-notes.house.gov/cchear/hearings106.nsf/12b6a0781fa86e88852567e50
07558f4/9eca73e25f21389f852569670042dd3a?OpenDocument)

MARKET PLACE: NEWS CORP AND LIBERTY COMPLETE ASSET SWAP
Issue: Alliance
News Corp and Liberty Media confirmed yesterday that they had agreed on a
complex asset swap that will increase Liberty Media's stake in News Corp,
while News Corp picks up Liberty's Gemstar-TV Guide International
holdings. The merged assets will allow for the Gemstar-TV Guide service to
be deployed throughout News Corp's wide satellite holdings, effectively
increasing the value of both News Corp's and Liberty's investment in the
to-be-spun-off Sky Global Networks. Analysts say that Rupert Murdoch is
intent on making this deal to bolster his bid for General Motors' Hughes
Electronics unit. Hughes owns DirecTV, a satellite TV service. News
Corp's acquisition of DirecTV would give it a U.S. component for the
international pay TV services of Sky Global Networks. Under the complicated
agreement, Liberty will swap 86.5 million shares (~$6.3 billion) of Gemstar
as well as some South American cable interests in exchange for News Corp
releasing 121.5 million (~$5.79 billion) nonvoting receipts in News Corp.
and $1.4 billion worth of stocks in Sky Global stocks. Liberty Media is
owned by AT&T.
[SOURCE: New York Times (C14), AUTHOR: Geraldine Fabrikant]
(http://www.nytimes.com/)
(requires registration)

INTERNET

MERGING TV WITH THE INTERNET
Issue: Convergence
A new MTV show, "Direct Effect," will encourage viewers to use their
computers as they watch TV. Viewers can help select what music videos will
be featured on the show, by voting on the Intent in real time. "I think the
presence of this sort of show is really reassuring," said Todd Boyd, a
professor at the University of Southern California's School of Cinema and
Television and an expert on hip-hop culture, "especially when you hear so
much about the 'digital divide' and large numbers of black people and
minorities being left out of the digital revolution." According to a recent
study MTV Networks/Viacom Study of Media, Entertainment and Leisure Time,
the significant swell in the number of people owning and using personal
computers in their homes has not resulted in the television losing audience
to the Internet. Instead, the two
media are co-existing. Betsy Frank, executive vice president for research
and planning at MTV Networks, said many people are multitasking, reflecting
something she called "behavioral convergence," which she defined as "people
acting as if their media platforms have already converged even though the
technology isn't there yet."
[SOURCE: New York Times (D10), AUTHOR: Michel Marriot]
(http://www.nytimes.com/2000/09/28/technology/28MTVV.html)
(requires registration)

MEET THE NEW WEB. SAME AS THE OLD WEB
Issue: Wireless
While 7.4 million American have wireless devices that can access the
Internet, only a small percentage of users with Web-ready devices actually
exploit that feature. One reason is cost. Sprint PCS, for example, estimates
that its customers pay an average of 25 cents/minute to surf the Web.
Another barrier is the limited content available on the wireless Web. Mostly
stock quotes, sports scores and weather forecasts, wireless data are served
up in basic text menus with a minimum of graphics. But Web-enabled phones
are quickly improving and some even say that many wireless users might
eventually leave behind the wired Web, with its slow downloads and
overwhelming multimedia features, just as many cell phone users have
abandoned their land lines.
[SOURCE: New York Times (D1), AUTHOR: Ian Austin]
(http://www.nytimes.com/2000/09/28/technology/28WEBB.html)
(requires registration)

A PEN THAT COULD LET YOU SCRIBBLE YOUR WAY ACROSS THE INTERNET (NYT)
Issue: InfoTech
Three companies -- Ericsson, Anoto and Time Manager -- are developing a pen
that will be able to send e-mail, faxes and e-commerce orders.
Scheduled for introduction in the second half of 2001, the Anoto Bluetooth
pen looks, handles and writes like a normal ink pen. But the Anoto pen
contains image processing and radio broadcast circuitry designed to transmit
what you write, using the Bluetooth wireless networking standard. Used on
special paper, with patterns of tiny dots, a code is formed that tells the
pen what to do with the data it is writing. Data is automatically
transmitted if the pen is within 30 feet of its owner's Bluetooth-capable
cell phone, handheld computer or network-based station.
[SOURCE: New York Times (D12), AUTHOR: Matt Lake]
(http://www.nytimes.com/2000/09/27/technology/28HOWW.html)
(requires registration)

DIGITAL DIVIDE

TECHNOLOGY OPPORTUNITIES PROGRAM GRANTS TO BE ANNOUNCED TODAY
Issue: Digital Divide
From Media Advisory: Commerce Secretary Norman Y. Mineta will release the
names of the FY 2000 winners of Technology Opportunities Program (TOP)
grants on Thurs., Sept. 28. The grants, awarded annually since 1994, are
made to local organizations that use advanced telecommunications technology
to bridge the digital divide by helping disadvantaged groups. Secretary
Mineta will announce the award of 35 grants totaling $13.9 million.
[SOURCE: NTIA]
(http://www.ntia.doc.gov/ntiahome/press/2000/topma92600.htm)

PRIVACY

LIVING.COM SETTLES BANKRUPTCY CASE INVOLVING CUSTOMER LISTS
Issue: Privacy
On September 25, the Texas Attorney General's office announced that it had
settled with bankrupt e-tailer Living.com over the disposition of its
customer data. Living.com, a home furnishings website, filed for bankruptcy
on August 29. The agreement reached with the Attorney General requires the
company to destroy financial data such as credit card numbers and give
customers an opportunity to opt-out before other personal data is
transferred to a third party. The settlement still has to be approved by a
Federal bankruptcy judge.
[SOURCE: Electronic Privacy Information Center]
(http://www.epic.org/)

ADVERTISING

ADS ON CELL PHONES
Issue: Wireless
In exchange for sharing personal information and accepting several
advertising messages a day, 1,000 test users in Boulder (CO) will receive
free cell phones and subsidized wireless service from AT&T. Beginning
tomorrow, SkyGo will begin to deliver pitches to consumers on behalf of more
than two dozen local and national businesses, including CompUSA and
Goodyear. Not everyone, however, is enthusiastic about the idea of wireless
advertisements. "There are only a few places for privacy these days," said
Michael C. Malarkey, who unexpectedly received an ad on his cell phone. "And
now you can cross the cell phone off that list." Representative Rush Holt
(D-NJ) said he planned to introduce a bill soon that would expand federal
legislation that already protects consumers from unwanted faxes to include
wireless spam.
[SOURCE: New York Times (D7), AUTHOR: Jeffery Selingo]
(http://www.nytimes.com/2000/09/28/technology/28ADS.html)
(requires registration)

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