May 25, 2016 (House Bills)

BENTON'S COMMUNICATIONS-RELATED HEADLINES for WEDNESDAY, MAY 25, 2016

FCC Open Meeting https://www.benton.org/calendar/2016-05-25

LEGISLATION
   FCC Reform Bill Passes House
   House clears bills on FCC, dialing 911
   Commissioner Pai Statement On Passage of Kari's Law by US House - press release [links to Benton summary]
   FTC Testifies Before Congress about Proposed Bills That Address the Agency’s Ability to Protect Consumers and Competition - press release [links to Benton summary]

WIRELESS/SPECTRUM
   Tech groups want public probe of zero-rating plans
   Reps Latta and Welch Launch Bipartisan Internet of Things Working Group [links to House of Representatives Commerce Committee]
   China's Huawei sues Samsung Electronics claiming mobile patent infringement [links to Reuters]
   Google’s Project Ara is about more than just modular phones [links to Verge, The]

INTERNET/BROADBAND
   HUD Proposes Broadband Requirement for HUD-Financed Housing - press release
   Pressure builds from GOP to delay Internet domain transition [links to Benton summary]
   AT&T’s data caps impose harshest punishments on DSL users [links to Benton summary]
   Update: Effective Dates, Reconsideration/Appeal Deadlines Set in Lifeline Overhaul CommLawBlog analysis [links to Benton summary]
   Major Changes in the Works on the Business Data Services (a/k/a Special Access Services) Front - CommLawBlog analysis [links to Benton summary]

OWNERSHIP
   Viewpoint Diversity and the Public Interest: Considering Freedom of Expression - speech
   One fascinating reason cable companies won’t willingly compete against each other
   Microsoft shuts down last major piece of Nokia purchase, cuts 1,850 jobs [links to Seattle Times]

ADVERTISING
   Comcast Sued by Viamedia for Monopolization of ‘Spot’ Cable Ad Sales Market
   Coming soon to Google Maps: Advertising [links to USAToday]

GOVERNMENT & COMMUNICATIONS
   Using Innovative Technology in Planning for the 2020 Census - press release [links to Benton summary]
   FTC To Host September Workshop On Testing Effectiveness of Consumer Disclosures - press release [links to Benton summary]
   Tom Wheeler, independent agency - AEI op-ed [links to Benton summary]
   GAO: Feds spend billions to run ancient technology [links to Associated Press]

SECURITY/PRIVACY
   Apple rehires prominent security pro as encryption fight boils [links to Reuters]
   The Privacy Problem with Digital Assistants [links to Atlantic, The]
   How Russia's New Facial Recognition App Could End Anonymity [links to Atlantic, The]

CONTENT
   This new search engine could be way smarter than Google [links to Washington Post]
   Study: 85% of Internet Users Surf While Watching TV [links to Multichannel News]
   Twitter Tweaks Will Make 140-Character Limit Roomier [links to Wall Street Journal]

TELEVISION
   Groups to FCC: Block Buffoons, Unlock the Box [links to Multichannel News]
   NCTA Likens Set-Top Proposal to Failed Broadcast Flag [links to Broadcasting&Cable]
   ACA: 200 Small Video Providers Could Shut Down Due to New FCC Set-Top Requirements [links to telecompetitor]
   Comcast: Set-Top Box Proposal Fails on All Counts [links to Broadcasting&Cable]
   Computer & Communications Industry Association: FCC Is Dialing Up Needed Navigation Competition [links to Multichannel News]
   Ev Ehrlich: Any Cable-Box Change Must Help Consumers [links to Wall Street Journal]

ELECTIONS & MEDIA
   Clinton declines Fox News debate with Sanders [links to Politico]
   NCTA's Powell Has Problems With Trump Campaign Style [links to Broadcasting&Cable]

JOURNALISM
   Op-Ed: When will courts realize that leaks are vital to the American public? [links to Columbia Journalism Review]

DIVERSITY
   Viewpoint Diversity and the Public Interest: Considering Freedom of Expression - speech
   Public Knowledge Encourages Silicon Valley to Make Diversity in Tech a Priority [links to Public Knowledge]

HEALTH
   Digital technologies to enhance health care and well-being globally [links to International Telecommunication Union]

LABOR
   In Quest To Organize Gig Economy Workers, Unions Sometimes Clash [links to Fast Company]
   Time Warner Cable and Cablevision employees are preparing for layoffs [links to New York Post]

POLICYMAKERS
   Holman Jenkins: Tom Wheeler is not the first whose life in politics left him unfit for responsibility [links to Wall Street Journal]

STORIES FROM ABROAD
   European officials announced a new set of rules aimed at regulating how the 500 million people in the region buy, access and consume online services from video streaming to messaging applications [links to Benton summary]
   WhatsApp ban ignites Brazil censorship fears [links to Benton summary]
   How Russia's New Facial Recognition App Could End Anonymity [links to Atlantic, The]

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LEGISLATION

FCC REFORM BILL PASSES HOUSE
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The House has passed a Federal Communications Commission reform bill (HR 2589) that would require the FCC to publish changes to its rules within 24 hours of their adoption, with a caveat for dissenters. HR 2589 would amend the Communications Act to require the FCC to publish on its Web site the text of any items adopted no later than 24 hours after dissenting statements, if any, have been submitted by any of the commissioners. The noncontroversial bill was introduced by Rep Renee Ellmers (R-NC) and passed out of the House Commerce Committee unanimously April 28. It passed the House on suspension on suspension of the rules, a parliamentary procedure for quickly approving noncontroversial legislation. While 40 minutes was allotted for debate on the House floor, 20 minutes for each side, almost all of that went unused, with both sides taking about four minutes to agree that they agreed on the bill. Communications Subcommittee Chairman Greg Walden (R-OR) said the bill would help the FCC operate in a more effective and transparent manner, and would address the FCC's "struggle" to make new rules available in a timely fashion.
benton.org/headlines/fcc-reform-bill-passes-house | Broadcasting&Cable
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HOUSE CLEARS BILLS ON FCC, DIALING 911
[SOURCE: The Hill, AUTHOR: David McCabe]
The House cleared a trio of communications bills May 23, including one meant to make it easier to dial 911 in some situations and another that supporters say makes the Federal Communications Commission more transparent. Kari’s Law mandates that multi-line phone systems allow people to dial 911 directly. It also requires phone systems to notify people at the location where it is installed, like a hotel, that someone has dialed 911. The bill passed on a voice vote. The House also passed a bill requiring the Federal Communications Commission to publish the content of rules it approves within 24 hours of the last dissent on the item being submitted. The third bill, the Securing Access to Networks in Disasters Act, requires the commission to start a proceeding with the aim of making sure that people have access to mobile service during the disasters. It passed 389 to 2. One bill, however, failed to pass under suspension of the rules — a bruising outcome for House leadership. That legalisation would have required telecommunications operators to provider law enforcement with cellphone location data in emergency situations. But advocates said that it was too broadly written and had the potential to be abused by police officers.
benton.org/headlines/house-clears-bills-fcc-dialing-911 | Hill, The | Reuters
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WIRELESS/SPECTRUM

TECH GROUPS WANT PUBLIC PROBE OF ZERO-RATING PLANS
[SOURCE: The Hill, AUTHOR: Mario Trujillo]
A large group of tech companies and advocates wants a public probe of new service offerings from wireless carriers, which they say could run afoul of network neutrality rules. The group (which includes the Benton Foundation) sent a letter to the Federal Communications Commission pressing the agency to take its review of zero-rating plans out from behind closed doors. “Making decisions on these cases would set precedents for future practices, and would have implications for the Internet ecosystem that reach far beyond the stakeholders directly affected by these individual plans,” they wrote.“These decisions are too important to happen behind closed doors.” The letter was signed by companies like Yelp, Vimeo, Foursquare, Kickstarter, Medium, Mozilla and Reddit. Advocacy groups like Engine, Credo, Demand Progress and Access Now also signed on. “We urge you to open a public process to inform your evaluation of existing zero¬rating plans,” the letter said. “The FCC’s process in this critical area would be immeasurably enriched by the participation of diverse stakeholders, many of whose input helped shape the Open Internet rules.”
benton.org/headlines/tech-groups-want-public-probe-zero-rating-plans | Hill, The | Read the letter | B&C | Vice
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INTERNET/BROADBAND

HUD PROPOSES RULE REQUIRING INSTALLATION OF BROADBAND TECHNOLOGY DURING CONSTRUCTION OF MOST HUD-FINANCED MULTIFAMILY HOUSING
[SOURCE: Department of Housing and Urban Development, AUTHOR: Press release]
In an effort to extend affordable Internet access to children and families living in federally assisted housing, Housing and Urban Development Secretary Julián Castro proposed a rule to require the installation of broadband infrastructure into most HUD-financed multifamily housing developments during their construction or substantial rehabilitation. Recognizing that it is generally easier and cheaper to install the necessary technology for high-speed Internet at the time of construction, HUD is proposing that, when feasible, developers include these technologies in their multifamily development plans. HUD's proposed rule seeks to require that, when feasible, developers install broadband infrastructure at the time of new construction or substantial rehabilitation in multifamily rental housing that is funded or supported by HUD. Additionally, the rule will help states and local governments address the need for broadband access and climate change for low- and moderate-income residents in the communities they serve.
benton.org/headlines/hud-proposes-broadband-requirement-hud-financed-housing | Department of Housing and Urban Development | see Proposed Rule
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OWNERSHIP

VIEWPOINT DIVERSITY AND THE PUBLIC INTEREST
[SOURCE: Federal Communications Commission, AUTHOR: Jon Sallet]
Appreciation of the importance of freedom of expression is important and that it must be part of the discussion as public policy is created and law is shaped. After all, the [Federal Communications Commission] has long looked to the multiplicity of voices as a fundamental element of free speech and has relied upon diversity in speech as an important goal. The fundamental inquiry – which I will ask in various ways but not even attempt to answer – is “when should that value be advanced, in what circumstances, and how?”.... The enforcement of the antitrust laws in speech industries can serve free speech interests. The next question is: What happens if traditional antitrust economic concerns are not present? …. I do believe that these questions do, and that they should, all connect to your own basic goals – to enable the discovery of truth through journalism, through a competitive media and communications marketplace and, of course, through freedom of expression.
[Sallet is the FCC’s General Counsel]
benton.org/headlines/viewpoint-diversity-and-public-interest-considering-freedom-expression | Federal Communications Commission
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REASON CABLE COMPANIES WON'T COMPETE
[SOURCE: Washington Post, AUTHOR: Brian Fung]
Recently, Charter chief executive Tom Rutledge said the company's plan is to focus on telephone companies in its overbuilding strategy, not cable companies. “When I talked to the [Federal Communications Commission], I said I can’t overbuild another cable company, because then I could never buy it, because you always block those,” Rutledge said. “It’s really about overbuilding telephone companies.” Several important things are going on here, so let's unpack them one at a time. First, Rutledge is confirming there will be no overbuilding of cable, meaning that Charter won't try to deploy new cable infrastructure in places where there's already a cable company. In effect, Charter is committing to a non-aggression pact with other cable companies. Rutledge's justification for not competing with other cable firms appears to boil down to an anticipation of more mergers and acquisitions. What Charter really wants is the flexibility to buy up other cable companies in the future, and it'll have a harder time selling those deals to government regulators if Charter has been competing with the target firms the whole time. You see, antitrust officials tend to be skeptical of acquisitions that wind up eliminating a competitor from a market. It's why they didn't bite at AT&T's effort to buy up T-Mobile back in 2011, which would have reduced the number of national wireless carriers from four to three.
benton.org/headlines/one-fascinating-reason-cable-companies-wont-willingly-compete-against-each-other | Washington Post
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ADVERTISING

COMCAST SUED BY VIAMEDIA
[SOURCE: Wall Street Journal, AUTHOR: Shalini Ramachandran]
Viamedia Inc. has filed a lawsuit against Comcast, alleging that the cable company violated antitrust law through its business practices in the $5 billion local cable advertising-sales market. Viamedia, which competes against Comcast in the business of local cable advertising, accused Comcast of outsize influence and business practices that are squeezing out firms like Viamedia and causing them financial harm. The suit was filed on May 23 in federal court in the Northern District of Illinois. The US Justice Department has already been probing Comcast’s practices in the so-called “spot” cable ad sales business since late 2014. In November, the Justice Department had requested additional information from several companies in the market, including Comcast, for an investigation focused on “monopolization or attempted monopolization” in locations where Comcast offers service. Comcast said the advertising market is “robustly competitive” and local cable advertising only accounts for 7% of local ad sales because of competition with other media like radio and broadcast TV. “We are currently reviewing the suit and generally do not comment on pending litigation,” Comcast said. Viamedia is seeking damages of $225 million or more, according to the suit. The firm said it has lost potential investors and customers as a result of Comcast’s practices.
benton.org/headlines/comcast-sued-viamedia-monopolization-spot-cable-ad-sales-market | Wall Street Journal
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