Television
B&C: Gore group considers two hours of free airtime
B&C: FCC looks beyond free airtime
B&C: Ready *and* not, here comes DTV
B&C: Under fire from both sides
B&C: Big bucks planned for anti-tobacco ads
WSJ: Tribune Co. to Keep Two Florida Outlets Pending FCC Review
NYT: Another Setback in Quest To Marry TV and Phones
Telephony
TelecomAM: Rural States Say FCC Universal Service Plan Will Raise Rates
WSJ: Proposals Offer Baby Bells Quick Entry In Long Distance if They Are
Split Up
WSJ: Cellular Carriers Bypass Dealers, Creating Static
WP: Undersea Cables Carry Growing Rivers of Data
NYT: MCI and Worldcom Set For Telefonica Alliance
Education
WP: A Corporate Seat in Public Classrooms
Encryption
WSJ: Sun Holding Off On Plans to Market Encryption System
** Television **
Title: Gore group considers two hours of free airtime
Source: Broadcasting&Cable (p.50)
http://www.broadcastingcable.com/
Author: Michael Stroud
Issue: Digital TV/Free Time for Candidates
Description: At its meeting in Los Angeles last week, the Gore commission
heard testimony from Tracy Westen, president of the Center for Governmental
Studies who proposed that national political parties be granted two hours
per TV station in free political airtime for 60 days before an election.
"The only way many candidates can now compete is by raising extraordinary
amounts of money," Mr. Westin said. "At least [this approach] allows
everybody to get in the door." [For a summary of the meeting see
http://www.benton.org/Policy/TV/meeting4.html]
Title: FCC looks beyond free airtime
Source: Broadcasting&Cable (p.12)
http://www.broadcastingcable.com/
Author: Chris McConnell
Issue: Digital TV
Description: A draft of next month's proposed rulemaking at the Federal
Communications Commission includes political airtime, children's educational
programming, local informational programming, and programming for
"underservered" populations. The rulemaking will probably be released at the
Commission's April 2 public meeting. Some of the proposed public interest
obligations may apply to analog licenses as well. [For more on digital TV
see http://www.benton.org/Policy/TV/]
Title: Ready *and* not, here comes DTV
Source: Broadcasting&Cable (p.29)
http://www.broadcastingcable.com/
Author: Steve McClellan
Issue: Digital TV
Description: This week's B&C cover story examines the status of the
transition to digital television. Although the FCC gave its final OK last
month on the new channel assignments, broadcasters "don't yet have their
digital acts together." The Big Four networks are expected to announce their
plans at the next National Association of Broadcasters meeting April 4-9.
ABC, NBC, and CBS are expected to do some mix of HDTV in primetime and SDTV
during daytime hours. Fox appears interested in doing SDTV at all times. But
the networks have not decided on format yet. Extensive stories cover
must-carry rules, cable compatibility, and television set availability.
Title: Under fire from both sides
Source: Broadcasting&Cable (p.24)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: FCC
Description: FCC Chairman Bill Kennard has been under heavy scrutiny from
Republicans since Congress reconvened -- now he's under fire from Democrats
as well. Rep. John Dingell (D-MI) launched an attack on Chairman Kennard
last week -- he's unhappy with the Commission's implementation of the
Telecom Act of 1996 and the Chairman's willingness to consider mandates for
free time for political candidates. Insiders say the new Chairman has not
given enough attention to congressional allies and critics.
Title: Big bucks planned for anti-tobacco ads
Source: Broadcasting&Cable (p.26)
http://www.broadcastingcable.com/
Author: Paige Albiniak
Issue: Television/Advertising
Description: The Clinton administration pledged $7 million last month for
radio and multimedia ads to educate the public about a new law forbidding
sales of tobacco products to anyone under 18 years old. The Administration
plans to spend ~$300 million this year on anti-drug and census education --
"bringing the grand total of administration spending on television and radio
ads to about half a billion dollars. National Association of Broadcasters
President Eddie Fritts has warned broadcasters that making the government
pay for these ads may be fodder for demanding additional public interest
obligations. "The fact that broadcasters are not ready and willing to
provide a significant amount of time for discussion of issues like this is
quite revelatory. The fact is that it shouldn't be necessary to buy the
time," said Andy Schwartzman of the Media Access Project
http://www.mediaaccess.org/.
Title: Tribune Co. to Keep Two Florida Outlets Pending FCC Review
Source: Wall Street Journal (B5)
http://wsj.com/
Issue: Ownership
Description: The FCC extended a temporary waiver that had allowed the
Tribune Co. to own both the Sun-Sentinel of Fort Lauderdale and WDZL-TV in
Miami. The
waiver was set to expire March 22, at which time Tribune would have been
forced to sell one of the properties. FCC rules generally bar common
ownership of a TV station and a daily newspaper that serve the same market.
However, the agency is expected to soon review whether the rules should be
scrapped.
Title: Another Setback in Quest To Marry TV and Phones
Source: New York Times (D7)
http://www.nytimes.com/library/tech/yr/mo/biztech/articles/09phone.html
Author: Seth Schiesel
Issue: Television
Description: The much anticipated convergence of television and telephone
took another step back last week when Stephen Weiswasser announced that he
would step down from his position of running Americast, a joint television
venture established by Ameritech, BellSouth, GTE, SBC Communications and the
Walt Disney Co. Americast, based in Los Angeles, was developed in 1995 as a
vehicle for delivering television programs over telephone lines. Weiswasser
said, "the reason I'm leaving, candidly, is not because I think it's dying.
It's that the things that brought me to Americast are not now the things
that Americast is doing. The original concept was that we at Americast were
going to develop a lot of new content." Last summer, Americast decided to
give up its marketing and programming divisions in favor increased emphasis
on technology development. This move seems to be a developing trend in
corporate strategies, as "a focus on core businesses has come back into
vogue among high-technology companies."
** Telephony **
Title: Rural States Say FCC Universal Service Plan Will Raise Rates
Source: Telecom AM
http://www.telecommunications.com/am/
Issue: Universal Service
Description: The FCC's plan to reform universal service would cause major
rate distortions within high-cost areas, representatives of rural states
said. Maine PUC Chairman Thomas Welch and Bell Atlantic Senior VP Thomas
Tauke said the federal gov't. should give more support to states with a
disproportionate number of high-cost customers. North Dakota PSC
Commissioner Bruce Hagen said his state would need to impose a 42% surcharge
under the FCC's plan, whereas absorbing costs nationally would require only
an 8% charge.
Title: Proposals Offer Baby Bells Quick Entry In Long Distance if They Are
Split Up
Source: Wall Street Journal (B8)
http://wsj.com/
Author: Stephanie N. Mehta
Issue: Long Distance
Description: In an unexpected move, Republican Sen. Mike DeWine of Ohio and
Democratic Sen. Herb Kohl of Wisconsin began circulating a draft version of
a bill that would let the Bells offer long distance phone services in their
home markets if they completely divest themselves of their local network
facilities. LCI International filed a similar petition with the FCC, calling
for the Bells to create separate wholesale and retail businesses if the
Bells want to quickly enter the long-distance market. Not surprisingly, none
of the five Baby Bells are embracing the idea, which some proponents have
dubbed "Divestiture II" in reference to the 1984 breakup of the old American
Telephone & Telepgraph Co. "It doesn't make sense," said Randy L. New, VP of
legislative implementation for BellSouth, the Atlanta-based Bell. "Breaking
up the Bell operating companies is a very radical thing to do."
Title: Cellular Carriers Bypass Dealers, Creating Static
Source: Wall Street Journal (B1)
http://wsj.com/
Author: Stephanie N. Mehta
Issue: Competition/Wireless
Description: Local dealers who helped build the cell-phone market are saying
that the wireless-phone carriers are trying to squeeze them out of business.
Strategis Group, a Washington research firm, estimated that at least 50
lawsuits have been filed by dealers against carriers. Most of the suits
allege unfair trade practices, which the carriers deny. There's no question
that the carriers, faced with more competition from upstarts, are getting
more aggressive. Not only are they invading dealers' turfs with their own
stores and kiosks, but they are also offering special prices and
telemarketing to reach potential customers in their own homes.
Title: Undersea Cables Carry Growing Rivers of Data
Source: Washington Post (A1,A10)
http://www.washingtonpost.com/wp-srv/WPlate/1998-03/09/041l-030998-idx.html
Author: Mike Mills
Issue: Infrastructure
Description: Undersea fiber-optic cables have become one of the most
important components of today's communication- and information-based world.
The majority of the world's telephone and Internet traffic travels through
these hair-thin tubes laying along the floors of the world's seas. Last year
the AT&T Corp. purchased a worldwide fleet of ships made by Tyco
International Ltd. "that has installed more transoceanic fiber than any
other company." Rob Jones, captain of one of these ships, the C.S. Global
Link, said, "most people really do not have a grasp of the amount of
telephone cables that are undersea, and that their calls actually go through
them." According to the KMI Corp., of Newport RI, there are 228,958 miles of
fiber-optic cable currently lining the ocean floor - that is enough to
encircle the earth about 10 times. KMI estimates that by the end of 1999
another 177,717 miles of cable will be installed.
Title: MCI and Worldcom Set For Telefonica Alliance
Source: New York Times (D3)
http://www.nytimes.com/yr/mo/day/news/financial/mci-telefonica-deal.html
Author: Seth Schiesel
Issue: Merger
Description: Telefonica, the largest communications provider in Latin America
and Spain's dominant telephone company, plans to announce today an alliance
with Worldcom Inc. and MCI Communications Corp. The announcement would come
11 months after Telefonica dropped its original U.S. partner, the AT&T
Corp., for a deal with the international group called Concert, led by
British Telecommunications PLC. When Telefonica made its decision last
April, MCI was part of Concert. So while BT is still in charge of Concert,
Telefonica's latest move appears to demonstrate that the company is
primarily interested in dealing with MCI. BT also announced last month, that
it was no longer interested in maintaining a link with the Spanish company
now that MCI wasn't part of Concert.
** Education **
Title: A Corporate Seat in Public Classrooms
Source: Washington Post (A1,A6)
http://www.washingtonpost.com/wp-srv/WPlate/1998-03/09/056l-030998-idx.html
Author: Rene Sanchez
Issue: Education/Advertising
Description: In reaction to all of the advertising placement by private
companies in schools, state lawmaker Marlin Schneider (WI) proposed
a total ban on it. But his idea is receiving strong opposition, much of it
from educators. In response to this opposition, Schneider, a former teacher,
said, "Schools need the money and they have nowhere else to turn. So they're
letting these companies come in and saturate kids with advertising. Ads are
everywhere in schools now." While corporate advertising isn't new to the
nation's school systems, companies are becoming more sophisticated and
relentless in their efforts to lure students to their products. "The issue
is igniting complex debates: Some school boards say that selling advertising
space on their sites or using corporate material in class can be a creative,
harmless way to raise money without burdening taxpayers. Others denounce the
pacts as schemes that turn schools into instruments of corporate propaganda
and pollute young minds in a captive setting that should be held more
sacred." (Is the message on the billboard or the blackboard?)
** Encryption **
Title: Sun Holding Off On Plans to Market Encryption System
Source: Wall Street Journal (B8)
http://wsj.com/
Author: Don Clark
Issue: Encryption
Description: A controversial plan by Sun to market Russian-made encryption
software is stalled, as the computer maker awaits findings of a U.S.
government inquiry that has dragged on for nine months. The Palo Alto,
Calif., company announced a plan to market data-security software developed
by Elvis+Co., a company formed by scientists from the former Soviet space
program. Sun, which holds a 10% stake in Elvis+, planned to ship the
software to foreign customers from distributors outside the U.S. Sun's move
attracted wide attention because it seemed to fall outside the jurisdiction
of U.S. regulatory agencies, which control the export of powerful encryption
products on grounds that terrorists and others could use them to foil
wiretaps. Nevertheless, the U.S. Commerce Dept. began a review of Sun's
plans, examining the contention that Elvis+ received no technical assistance
from Sun that would make the encryption software subject to U.S. export
controls.
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