May 2005

Benton's Communications-related Headlines for 5/31/05

For thems that can afford it, the Broadband Policy Summit is this week. For
this and other upcoming media policy events, see
http://www.benton.org/calendar.htm

POLICYMAKERS
Bush Eyes Barrales for FCC

DIGITAL TELEVISION
Tuner Subsidies Possible Deal Breaker for DTV Bill
Intel Study to Show Broadcast Spectrum Auction Could Yield $24 Billion
Dual Carriage Revisited

MEDIA
We the (Media) People

TELECOM
Verizon, SBC Lose TV Fight With Texas Bill
New Rural Broadband Bill Offers Tax Incentives for ISPs

QUICKLY -- Viewers Trust PBS, and They Should; Lawmakers Back Noncom Trust
Fund; Consultants Shape Newscasts; Spanish Ads On English TV?; Radio
TIVO-like devices; Cracking Down in L.A.; Call boxes falling by the
wayside; Can Technology Help Reduce Poverty?; In Asia, It's Nearly
Impossible to Tell A Song From an Ad

POLICYMAKERS

BUSH EYES BARRALES FOR FCC
Senior White House official Ruben Barrales is the latest Oval Office
favorite on the short list for one of the two open FCC seats. The other
open FCC slot appears guaranteed to Christine Kurth, telecom aide to Senate
Commerce Committee Chairman Ted Stevens. Before joining the White House in
2001, Barrales was CEO of Joint Venture: Silicon Valley Network, an
organization promoting the high-tech region

Benton's Communications-related Headlines for 5/27/05

** Hope you enjoy the holiday weekend; we'll be back Tuesday May 31 (Geez,
what happened to May?) **

DIGITAL TELEVISION
Barton: 2009 Analog-Cutoff Date 'Frozen'
Barton To Attach DTV Bill To Budget Package
NCTA Chief Fears Dual Carriage

OPINIONS
The Press of Business
Assault On the Media
The Assault on NPR
Radicals for 'Media Reform'
Broadcast Flag -- Pro and Con
Blogs: The next big thing for advertisers?

QUICKLY -- FCC Chief: Broadband Is Top Priority; Consumer Panel Gets More
Members; Captioning Violations by DC Broadcasters; DC B'casters Uneasy
Despite Nielsen Meeting; Here Comes High-definition Radio; Liberal Talkers
Call Conservative Media Bias A "Matter of Life & Death"; Experts Caution
about Citywide Wi-Fi; Wireless Innovation: Driving U.S. Economic Growth;
"The Hulk" is a Internet Super Hero

DIGITAL TELEVISION

BARTON: 2009 ANALOG-CUTOFF DATE 'FROZEN'
At a hearing on draft digital-TV legislation Thursday, House Commerce
Committee chairman Joe Barton (R-Texas) said the "discussion draft" had
room for negotiation on numerous points, but the Dec. 31, 2008, cutoff date
is "pretty much frozen." Rep Barton also said he would support a limited,
means-tested subsidy for digital converter boxes to low-income analog
viewers, although no subsidy was in the draft. Committee members have
agreed that there needs to be a hard date set to end the transition to
digital television, but have not been able to agree on digital broadcasters
public interest obligations, multicast must-carry , cable's downconversion
of DTV for analog subscribers, and how to treat consumers fairly when the
government renders their analog TV's "inoperable." The key consumer
fairness issue and a point of wide divergence among the members is a
government subsidy for converter boxes to allow disenfranchised analog-only
sets to operate in the digital age. Some legislators want a subsidy for all
73 million analog sets, including second or third analog-only sets in cable
and satellite homes, regardless of income. Several legislators backing the
subsidy warned that telcom policy was in danger of being trumped by budget
concerns, and argued that the first dollars should go to covering subsidy
before any other budgetary claims were put on it. Ranking committee
Democrat John Dingell (MI) said the bill must address two questions
answered: 1) "Why should ordinary citizens pay more because of a
governmental decision that makes their television sets obsolete?" and 2)
"Why can't the proceeds from the sale of spectrum, which is a public good,
be used to reimburse citizens for their transition costs and for other
important telecommunications and public safety needs?"
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA604007.html?display=Breaking+...
(free access for Benton's Headlines subscribers)
* Lawmakers divided on offering subsidy for digital TV converter boxes
http://www.usatoday.com/printedition/money/20050527/2b_digital27.art.htm
* Barton to Get Earful on DTV
http://www.broadcastingcable.com/article/CA603931.html?display=Breaking+...
(free access for Benton's Headlines subscribers)
* DTV Transition Debate Focuses On Implementation Details
http://www.njtelecomupdate.com/lenya/telco/live/tb-BSQG1117138792204.html
* Looming Issues on DTV
[SOURCE: HearUsNow.org]
http://www.hearusnow.org/tvradiocable/7/

BARTON TO ATTACH DTV BILL TO BUDGET PACKAGE
The chairman of the House Energy and Commerce Committee said Thursday that
he plans in September to attach legislation providing a fixed date for the
end of analog television broadcasting to the budget reconciliation package
due to, well, budget considerations. "I have a little thing called
reconciliation staring me in the face, which is not something the minority
needs to be concerned about," Chairman Joe Barton (R-TX) said of the
Democrats. The House Budget Committee has instructed him to raise $14.7
billion through legislative changes, including $4.7 billion through the
auction of radio-frequency spectrum. But the committee's leading Democrats
criticized Rep Barton's decision to link digital television legislation to
the budget. "We should not rush a bill through Congress because of budget
or artificial pressures," said Rep. John Dingell of Michigan, the
committee's top Democrat. He said it was because of budget pressures in
1997, when Congress embarked on the 10-year transition to digital
television, that "we have wasted a lot of money and seen resources poorly
applied." Rep Dingell, Rep. Fred Upton (R-MI), and Rep. Edward Markey
(D-MA), said the Congressional Budget Office has estimated that the
radio-frequencies set to be vacated by broadcasters could fetch more than
$10 billion.
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-XNZB1117138470914.html

NCTA CHIEF FEARS DUAL CARRIAGE
Testifying on Capitol Hill for the first time since becoming NCTA president
March 1, National Cable & Telecommunications Association president Kyle
McSlarrow said proposed digital-television legislation would effectively
require the dual carriage of some TV stations on channel-constrained
systems. Cable operators want the authority to carry must-carry stations in
analog or digital, but not both. "What we have urged is: Give us the
flexibility," McSlarrow said. In his comments, McSlarrow did not mention
that Comcast and Time Warner Cable are planning a digital simulcast of all
analog services over the next year or two, probably making the NCTA's
problems with Barton moot for those two MSOs. After buying Adelphia
Communications, the two MSOs would serve roughly 60% of all cable
subscribers. Nor did McSlarrow mention that cable operators could skirt the
"downconvert one, downconvert all" restriction by convincing would-be
must-carry stations that operators were actually interested in carrying
twice to enter into retransmission-consent deals.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA604211.html?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

OPINIONS (everybody's got 'em)

THE PRESS OF BUSINESS
[Commentary] Rupert Murdoch pretty much owns this country's eyeballs. The
question is, does he have designs on any other parts of our anatomy? The
conquest of the United States by this aging, Australian-born, workaholic
billionaire fascinates me. Murdoch's reach has become so broad and
all-encompassing that it's tempting to break out the "Citizen Kane"
analogies, especially in light of his well-known conservative political
views. Murdoch practices capitalism in its most naked, elemental form.
Instead of following an agenda, he's guided by greed, cunning and a
razor-sharp instinct for what people want to watch, hear and read. In the
same vein, Fox News is engineered to fill a market niche, not to spur the
conquest of Middle Eastern oil fields. The growth of conservative talk
radio suggested there might be a similar opportunity in television -- and
it turned out there was. Maybe Murdoch would have had qualms if the opening
had been on the left, but somehow I doubt it.
[SOURCE: Washington Post, AUTHOR: Eugene Robinson eugenerobinson( at )washpost.com]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/26/AR200505...
(requires registration)

ASSAULT ON THE MEDIA
[Commentary] The war on Newsweek shifted attention away from how the
Guantanamo prisoners have been treated, how that treatment has affected the
battle against terrorism and what American policies should be.
Newsweek-bashing also furthered a long-term and so far successful campaign
by the administration and the conservative movement to dismiss all negative
reports about their side as the product of some entity they call "the
liberal media." It is about Power 101. It is a sophisticated effort to
demolish the idea of a press independent of political parties by way of
discouraging scrutiny of conservative politicians in power.
[SOURCE: Washington Post, AUTHOR: E. J. Dionne Jr.]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/26/AR200505...
(requires registration)

THE ASSAULT ON NPR
[Commentary] News has made National Public Radio America's great radio
success story of the last 20 years. While commercial radio has cut news,
gone Top 40, and stumbled, NPR's listenership has soared. It now tops 23
million a week, its largest audience in history. Now, the chairman of the
Corporation for Public Broadcasting, Kenneth Tomlinson, is ushering in an
era when NPR member stations may, reportedly, soon be encouraged by the
corporation to shift their programming from news to music. It is time to
step off this path.
[SOURCE: Boston Globe, AUTHOR: Tom Ashbrook]
http://www.boston.com/news/globe/editorial_opinion/oped/articles/2005/05...
* Hands Off Public Broadcasting
http://mediamatters.org/handsoff/

RADICALS FOR 'MEDIA REFORM'
[Commentary] Earth to PBS: when you are under attack for being a nest of
left-wingers, it might not be the best strategy to let your most
identifiable left-wing stars go to radical-left conferences and attack
conservatives as evil. That tends to exacerbate your image problem, see.
[SOURCE: Media Research Center, AUTHOR: Brent Bozell]
http://www.mediaresearch.org/BozellColumns/newscolumn/2005/col20050525.asp

BROADCAST FLAG -- PRO AND CON
[Commentary] Dan Glickman of the MPAA argues why the broadcast flag should
go forward; DC lawyer Jim Burger argues why the broadcast flag won't work.
[SOURCE: C-Net|News.com]
http://news.com.com/Why+the+broadcast+flag+should+go+forward/2010-1071_3...
http://news.com.com/Why+the+broadcast+flag+wont+work/2010-1071_3-5720006...

BLOGS: THE NEXT BIG THING FOR ADVERTISERS?
[Commentary] Do blogging and advertising work together?
[SOURCE: C-Net|News.com, AUTHOR: Juan Cole, University of Michigan]
http://news.com.com/Blogs+The+next+big+thing+for+advertisers/2010-1071_3...

QUICKLY

FCC CHIEF: BROADBAND IS TOP PRIORITY
The continued development and rollout of high-speed Internet access will be
the "No. 1 priority" for FCC Chairman Kevin Martin, he said Tuesday.
"Making sure that all consumers have the opportunity and are connected to
those advanced telecommunications services increases productivity, allows
more overall economic growth, makes it easier for people to do work from
home, take medical information to and from home [and] communicate and
gather information in all kinds of ways," Martin said. "It affects the way
that we entertain ourselves, the way that we educate our children, the way
that we work," he said. "I think that the opportunity for the growth of
individuals and for our society by increasing that connectiveness through
broadband is critical, so I think that is our No. 1 priority."
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-RRIY1117138239767.html

ADDITIONAL MEMBERS NAMED TO CONSUMER ADVISORY COMMITTEE
The FCC's new Consumer Advisory Committee meets Friday June 10 and,
apparently, FCC Chairman Kevin Martin thinks 35 makes for too small a party
-- he's added 20 additional members to the committee: five represent
consumer interests; nine represent disability interests; one represents the
interests of state regulators, and three represent industry interests. In
addition, two individuals have been selected to serve based upon their
expertise in areas including broadband deployment, telecommunications relay
services, and captioned-telephone services. See list of new members at the
URL below.
[SOURCE: Federal Communications Commission]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-05-1323A1.doc

FCC CITES DC STATIONS FOR CAPTIONING VIOLATIONS
Three Washington (DC) stations face FCC fines for failing to provide closed
captioning or some other type of on-screen visual cue to accompany their
meteorologists' warnings that viewers in some areas should take cover as a
powerful thunderstorm/tornado watch hit the region May 25, 2004.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell & John Eggerton]
http://www.broadcastingcable.com/article/CA604132?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

BROADCASTERS UNEASY DESPITE NIELSEN MEETING
Forging ahead with next week's deployment, Nielsen Media Research Thursday
met with its clients in Washington, D.C., to discuss the looming rollout of
"Local People Meters." After the two-and-a-half-hour session, local
broadcasters were still expressing concern about the accuracy of the new
LPM system and still asking Nielsen to push back the June 2 launch.
[SOURCE: Multichannel News, AUTHOR: Linda Moss]
http://www.multichannel.com/article/CA604130.html?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

HIGH-DEFINITION RADIO GEARS UP FOR REALITY
The radio conglomerates, chipmakers and other companies behind HD radio--a
digital form of broadcasting that essentially fits into the same spectrum
as current analog channel--say their campaign to promote the technology is
about to begin. Boston Acoustics and other companies are expected to show
off HD radios next week at the Computex trade show in Taipei. While $400 HD
radios are now available in limited quantities, tabletop HD radios selling
for $150 to $250 will start to appear in stores later this year.
[SOURCE: C-Net|News.com, AUTHOR: Michael Kanellos ]
http://news.com.com/High-definition+radio+gears+up+for+reality/2100-1041...

LIBERAL TALERS CALL CONSERVATIVE MEDIA BIAS A "MATTER OF LIFE AND DEATH"
A panel including Air America radio talk hosts Al Franken and Randi Rhodes
told a group of Democrats this week that the Conservative bias in the
American news media is "not simply a matter of taste, but of life and death."
[SOURCE: RadioInk]
http://www.radioink.com/HeadlineEntry.asp?hid=128905&pt=todaysnews

THE CITYWIDE WI-FI REALITY CHECK
Large cities such as Philadelphia and San Francisco see wireless broadband
technology as a low-cost solution to providing broadband access to
low-income residents. They also believe that these Wi-Fi networks can help
them save millions of dollars in operational costs by providing broadband
connectivity for public-safety and other agencies within city government.
Many believe the networks will help boost economic development by drawing
more people to the city. Experts warn that deploying Wi-Fi in dense urban
areas may not be as easy as it sounds.
[SOURCE: C-Net|News.com, AUTHOR: Marguerite Reardon]
http://news.com.com/The+citywide+Wi-Fi+reality+check/2100-7351_3-5722150...

WIRELESS INNOVATION: DRIVING US ECONOMIC GROWTH
Assistant Secretary Michael D. Gallagher spoke at the National Spectrum
Managers Association: Spectrum Management 2005 meeting.
[SOURCE: National Telecommunications and Information Administration]
http://www.ntia.doc.gov/ntiahome/speeches/2005/MGallagher_NSMA_AUDIENCE.htm

CHAIRMAN STEVENS RECEIVES INTERNET SUPER HERO AWARD
Just geeky-looking enough to qualify for consideration, Senate Commerce
Committee Chairman Ted Stevens (R-Alaska), known on Capitol Hill as the
Hulk, received the Wired Kids' first annual Internet Super Hero Award at
the organization's fifth Wired Kids Summit. Sen Stevens was presented with
the honor for his commitment to educating and protecting children on the
World Wide Web.
[SOURCE: US Senate Commerce Committee Press Release]
http://commerce.senate.gov/newsroom/printable.cfm?id=238221
--------------------------------------------------------------
...and we are outta here. Have a great weekend. Go Cubs!
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

Benton's Communications-related Headlines for 5/26/05

A legislative hearing on a staff discussion draft of the DTV Transition Act
of 2005 -- today at 11:30am. For this and other upcoming media policy
events, see http://www.benton.org/calendar.htm

TELEVISION
Adelstein Pushes "Prominent' Disclosures
Interactive Ads Start to Click On Cable and Satellite TV
TV Changes are Signal for Debate
CEA to 'Unequivocally Endorse' 2008 DTV Hard Date at Hill Hearing Today
D.C. TVs Protest Nielsen

NEW RESEARCH
FCC Releases New Telephone Subscribership Report
US Drops To 12th Place In Latest Int'l Broadband Ranking

QUICKLY -- Charging for News; IPV6 Summit; Agents Shut Down File-Sharing
Site; Electronic Government; Amber Alert Gets Web Extension

TELEVISION

ADELSTEIN PUSHES 'PROMINENT' DISCLOSURES
Democratic FCC Commissioner Jonathan Adelstein wants the FCC to require
"clear and prominent" disclosure of paid content on TV, including product
placements, paid endorsements, and video news releases. He said he had
nothing against plugs or endorsements, per se, so long as they were clearly
labeled as such. He called for the tighter rules in a speech to The Media
Institute in Washington Wednesday, saying: "A disclosure that appears on
screen for a split second during the credits in small type that no one
could possibly read without pausing their DVR-- and pulling out a
magnifying glass-could not possibly qualify." He pointed out that though
the FCC has rules requiring disclosure of paid content, the rules "do not
clearly spell out the prominence of the disclosure required."
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA603908?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
* FCC's Adelstein Promises Crackdown on 'Covert Commercial Pitches'
http://www.tvweek.com/news.cms?newsId=7895
* FCC Panelist Wants Probe Of Product 'Payola'
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/24/AR200505...
* FCC Official Calls for Inquiry Into Televised Product Promotions
http://online.wsj.com/article/0,,SB111705468940043343,00.html?mod=todays...
(requires subscription)
* Probe of Stealth TV Ads Sought
http://www.latimes.com/business/printedition/la-fi-payola26may26,1,92708...
Text of speech: "Fresh is Not as Fresh as Frozen:" A Response to the
Commercialization of American Media
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-258962A1.doc

INTERACTIVE ADS START TO CLICK ON CABLE AND SATELLITE TV
A growing number of companies are experimenting with interactive television
commercials, a potentially powerful form of advertising that lets viewers
opt to get more information about products -- and lets advertisers find out
about viewers and their habits. For years, advertising and television
industry executives have been predicting that new interactive technologies
would transform TV commercials. No longer would businesses use commercials
primarily to reach mass audiences with broad branding messages, promoters
of interactive ads said. New technology would let viewers use TV ads to
seek out information and even order specific products, much as consumers
today use Web sites, they predicted. Some believe that the stars now are
aligning in the $60 billion-a-year TV-commercial business to make that
change occur. The standard of the business, the 30-second spot, is becoming
increasingly threatened by the growing popularity of video on demand and
digital video recorders, like TiVo, that allow viewers to skip through
traditional commercials when watching recorded shows. Industry experts
predict that in five years half of TV will be watched this way, and that as
many as 80% of the viewers who do so will fast-forward through most ads.
[SOURCE: Wall Street Journal, AUTHOR: Peter Grant peter.grant( at )wsj.com ]
http://online.wsj.com/article/0,,SB111707331062643771,00.html?mod=todays...
(requires subscription)

TV CHANGES ARE SIGNAL FOR DEBATE
Come Jan. 1, 2009, tens of millions of Americans could have to buy or lease
new equipment to continue watching all the channels they receive now. Those
most affected: households with no cable or satellite service that get only
broadcast channels via antenna. But many pay-TV homes could feel the
impact, too. A House hearing today in Washington will kick off a
contentious debate about how to steer the nation's bumpy transition to
digital TV. A central question: Should the government subsidize converter
boxes so analog TV owners won't be left in the dark?
[SOURCE: USAToday, AUTHOR: Paul Davidson]
http://www.usatoday.com/printedition/money/20050526/3b_digital_26.art.htm

CEA TO 'UNEQUIVOCALLY ENDORSE' 2008 DTV HARD DATE AT HEARING TODAY
The House Subcommittee on Telecommunications and the Internet will discuss
the DTV Transition Act of 2005 today, but lucky for us outside the Beltway,
CommDaily has seen into and reports back on the future. Testifying for TV
manufacturers, Randy Newman will sing "We love it," referring to the draft
legislation's proposal for Dec. 31, 2008 as the cut off for analog TV
broadcasts. But since this is Washington, the endorsement will be nuanced
with a caution NOT to accelerate the mandate to have a digital television
tuner in TV sets sold in the US. Meanwhile, the cable lobby will let
Congress know it has concerns with the bill's effective dual must-carry
provision. Under the bill, cable operators may convert a digital must-carry
signal to analog anywhere between the head-end and the subscriber's
premises so the signal can be viewed on analog TVs. But if cable operators
elect to do a conversion for one mustcarry broadcaster within a market,
they must do the conversion for all other must-carry broadcasters within
that market, according to the bill. The problem with this provision, cable
will say, is that some must-carry stations don't have compelling
programming (as if Seinfeld episodes are not as compelling today as they
were ten years ago!) and they use space that cable operators could fill
with more quality shows (like more recent repeats of The Sporanos). Out of
a nationwide body of 1,200 commercial broadcasters, about 100 elect for
retransmission consent, rather than must-carry, because the content is so
desirable that cable operators are willing to cut deals with the
broadcasters -- either to carry other programming streams or get favorable
channel placement. Finally, representing consumers (yes, the vision is
getting clearer), a tan and rested Gene Kimmelman will testify on behalf of
consumers and say something like: "We are not opposed to a hard deadline
for the transition, but if we have a deadline, it should come with tangible
benefits for consumers" -- read this to mean subsidies for DTV convertor
boxes and freeing up spectrum for unlicensed use.
[SOURCE: Communications Daily, AUTHOR: Paul Gluckman, Anne Veigle]
(Not available online)
Watch the hearing live at 11:30 (eastern)
http://energycommerce.house.gov/108/Hearings/05262005hearing1533/hearing...

DC TV's PROTEST NIELSEN
Washington affiliates/owned stations of all the networks except NBC are
banding together to push for the delay of Nielsen Media Research's
new electronic Local People Meter (LPM) ratings system, slated to roll out
in the market June 2.
[SOURCE: Broadcasting&Cable, AUTHOR: Allison Romano and John Eggerton]
http://www.broadcastingcable.com/article/CA603659?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
* TV Stations Worry 'People Meters' Miss Minorities
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/25/AR200505...

NEW RESEARCH

FCC RELEASES NEW TELEPHONE SUBSCRIBERSHIP REPORT
The sexy and talented Alex Belinfante has done it again... On Wednesday,
the FCC released its latest report on telephone subscribership levels in
the United States. The report presents subscribership statistics based on
the Current Population Survey (CPS) conducted by the Census Bureau in March
2005. The report also shows subscribership levels by state, income level,
race, age, household size, and employment status. ere's some key stats: 1)
telephone subscribership penetration rate in the U.S. was 92.4%; 2)
telephone penetration rate was 80.4% for households with annual incomes
below $5,000, while the rate for households with incomes over $75,000 was
96.9%; 3) households headed by whites had a penetration rate of 93.2%,
while those headed by blacks had a rate of 87.7% and those headed by
Hispanics had a rate of 88.2%.
[SOURCE: Federal Communications Commission]
Press Release:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-258942A2.doc
Find the full report at: http://www.fcc.gov/wcb/iatd/recent.html

UNITED STATES DROPS TO 12TH PLACE IN LATEST INT'L BROADBAND RANKING
The United States dropped from 10th place to 12th place last year in a per
capita ranking of developed nations with high-speed Internet access,
according to statistics released Wednesday by the Organization for Economic
Cooperation and Development. High-speed Internet services in the United
States are growing steadily -- at almost exactly the average of the 30
countries within the OECD. According to the latest statistics, 12.8 percent
of Americans had broadband in December 2004 -- compared with 24.9 percent
in world-leader South Korea and 19 percent in the Netherlands, which is was
in second place.
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-EGOF1117055685117.html

QUICKLY

NEWS GROUPS WRESTLE WITH ONLINE FEES
For news outlets, the free-vs.-pay debate is assuming heightened urgency --
and generating a fair amount of flip-flopping these days -- because
Internet readership and advertising are booming at a time when newspaper
circulation is declining at accelerated rates. Newspapers are struggling to
figure out how to make money from their growing Internet audience without
cannibalizing their print editions.
[SOURCE: Washington Post, AUTHOR: Leslie Walker]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/25/AR200505...
(requires registration)

TECHIES RAMP UP FOR INTERNET'S NEXT INCARNATION
A look at the discussions at the IPV6 Summit.
[SOURCE: Washington Post, AUTHOR: Ellen McCarthy]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/25/AR200505...
(requires registration)

FEDERAL AGENTS SHUT DOWN FILE-SHARING WEB SITE
Darth Vader -- no, scratch that -- federal agents Wednesday used the force
of law to shut down a Web site that they said was letting people download
movies and other copyrighted material free. Users of the Elite Torrents
site were able to download copies of the new "Star Wars" movie before it
was shown in theaters, authorities said. The action was the first criminal
enforcement against individuals who are using BitTorrent technology,
Justice and Homeland Security Department officials said. Elite Torrents had
more than 133,000 members and 17,800 movies and software programs in the
past four months.
[SOURCE: Washington Post, AUTHOR: Mark Sherman]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/25/AR200505...
(requires registration)

ELECTRONIC GOVERNMENT: FUNDING OF THE OFFICE OF MANAGEMENT AND BUDGET'S
INITIATIVES
In accordance with the President's Management Agenda, the Office of
Management and Budget (OMB) has sponsored initiatives to promote electronic
government -- the use of information technology, such as Web-based Internet
applications, to enhance government services. Generally, these "e-gov"
initiatives do not have direct appropriations but depend on a variety of
funding sources, including monetary contributions from participating
agencies. GAO was asked to review the funding of e-gov initiatives that
relied on such contributions: specifically, to determine, for fiscal years
2003 and 2004, whether agencies made contributions in the amounts planned
and to determine the timing of these contributions.
[SOURCE: Government Accountability Office]
http://www.gao.gov/cgi-bin/getrpt?GAO-05-420
Highlights - http://www.gao.gov/highlights/d05420high.pdf

AMBER ALERT GETS WEB EXTENSION
Broadcasters' Amber alert system is being extended to the Web. The National
Center for Missing and Exploited Children NCMEC has teamed with online
marketers ADVO and Prospectiv to deliver geographically targeted Amber
alerts via e-mails to subscribers to ADVO's Shopwise.com Web site and to
Prospectiv's EverSave.com,, The KnowledgeStop.com, and Healthy-Individual.com.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA603622?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

Benton's Communications-related Headlines for 5/25/05

For upcoming media policy events, see http://www.benton.org/calendar.htm

BROADCASTING
Mitchell Declares PBS' Independence
PubTV Hails the Digital Opportunities Investment Trust
Bipartisan DTV Bill After Memorial Day, Stevens Says
Stevens: Bundle Set-Tops with Analog TVs
Adelstein Takes Aim At Covert Commercialization
Paxson Seeks Protection From NBC
Desperate No More? Networks See a Rebound in Viewers

INDECENCY
M

Benton's Communications-related Headlines for 5/24/05

PBS: More Essential Than Ever. PBS President Pat Mitchell will make a major
speech on the future of public TV today. For this and other upcoming media
policy events, see http://www.benton.org/calendar.htm

TELEVISION
Broken Promises: How Digital Broadcasters Are Failing to Serve the Public
Interest
Deaf Complain About Idol Captioning
Barton Bill Outlines Dual-Carriage Scenario
Budget Considerations Drove 2008 Transition Date in DTV Bill
Television Reloaded
"Big 3" Revenues
Assaults on TV Misdirected

MEDIA
Why We Need A Media And Democracy Act
Media Often Ignore Women as Sources, New Study Finds

QUICKLY -- Preparing for WRC; Low Power TV; House Votes to Outlaw Computer
Spyware; Is this TV's Future?; Jammed Radio Signal Cited in Capital Plane
Incident; Toward a 'Faith-Based' Fourth Estate; Microsoft Must Comply or
Face Fine; Gates Funds more High-Tech Schools

TELEVISION

BROKEN PROMISES: HOW DIGITAL BROADCASTERS ARE FAILING TO SERVE PUBLIC INTEREST
Local public affairs programming is practically non-existent on digital
television, according to a study released Monday by the Media Policy
Program of the Campaign Legal Center. Among the key findings: 1) Only 0.3%
of digital programming focused on local public affairs

Benton's Communications-related Headlines for 5/23/05

Tomorrow the New America Foundation hosts a discussion -- The Politics of
America's DTV Transition: Will the Telecom Act Rewrite Repeat the Fiasco of
the 1996 Giveaway? For this and other upcoming media policy events, see
http://www.benton.org/calendar.htm

BROADCASTING
DTV Bill Would Set 2008 Hard Transition, Newly Released Draft Says
Tough Road for Public TV
Networks Use Web in Debate on Indecency

OWNERSHIP
It's Not All In the Family
FCC Tackles Cable Reach
NAB Makes Further Ownership Filing at Supreme Court
How Old Media Can Survive In a New World

TELECOM
Slower Growth Hits Cellphone Services Overseas
TV Could Make VOIP Safer

QUICKLY -- News Media "Seriously Missing"; Ad Council Promotes PSA
Partners; Grow Up, TV Advertisers; Scholarly Journals' Premier Status Is
Diluted by Web

BROADCASTING

DTV BILL WOULD SET 2008 HARD TRANSITION, NEWLY RELEASED DRAFT SAYS
The House Commerce Committee released a draft of legislation intended to
quickly end analog TV broadcasts in the US. The bill targets Dec. 31, 2008
as the cutoff date. Starting January 1, 2009, most current TV sets would
have to be connected to a digital tuner, a digital-to-analog converter box,
or cable, satellite, or other multichannel video services. The bill calls
for warning labels on analog sets sold starting 45 days after the bill is
passed letting consumers know of the coming transition. The bill does NOT
include subsidies for households that currently rely on over-the-air
broadcasts. "Despite the good-faith negotiations with Chairmen Barton and
Upton on a digital television transition bill, we have important
outstanding issues that could not be resolved before the Chairmen concluded
the talks," said a joint statement by Reps Dingell (D-MI), ranking member
of the House Commerce Committee, and Rep. Markey (D-MA), ranking member of
the Telecom Subcommittee. "While we agree that a 'date certain' for the
digital transition advances several public policy goals, including
addressing vital public safety needs, we continue to believe we should not
take action to shut off millions of television sets without a workable
remedy for consumers," the statement said. The bill also directs the FCC to
conduct a public outreach program educating consumers about the digital
transition, which would include 2 60-sec. public service announcements to
air during the 8-9 a.m. and 8-9 p.m. hours from July 1 through Dec. 31, 2008.
[SOURCE: Communications Daily, AUTHOR: Anne Veigle, Paul Gluckman]
(Not available online)
* DTV Draft Bill Sets 2008 Date
http://www.broadcastingcable.com/article/CA603039?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
* Republicans Release Draft DTV Bill
http://www.njtelecomupdate.com/lenya/telco/live/tb-ROIQ1115856037000.html
** A hearing on the bill has been scheduled for Thursday **
http://energycommerce.house.gov/108/Hearings/05262005hearing1533/hearing...
** The NAB already has a reaction to the draft critical of the lack of
analog TV subsidies and silence on multicast must-carry; see: **
http://www.nab.org/xert/corpcomm/newsletters/tvtoday/2005/052305/DTVLegi...
* NAB Unveils Text for DTV Transition Ad
The National Association of Broadcasters on Friday released the copy for an
advertisement the association plans to run in Capitol Hill newspapers next
week urging lawmakers to proceed cautiously on a plan to force broadcasters
to make the switch to digital TV. "Don't give over 20 million American
homes a snow job," reads the ad's headline from a lobbying group better
known for bullshit than weather reports.
[SOURCE: TVWeek, AUTHOR: Doug Halonen]
http://www.tvweek.com/news.cms?newsId=7869

TOUGH ROAD FOR PUBLIC TV
A Q&A with CPB Board Chairman Kenneth Tomlinson who is on a mission to get
out the truth about his involvement with public television. He says the
biggest problem facing public broadcasting today is that he economic model
for public television is broken. There's a need to find new sources of
support for public television -- or it won't continue. CPB is focusing on
cracking major donors. Tomlinson says, "We need to give people more of a
reason to support public broadcasting. We need to upgrade the educational
base of our children's programming so that the educational component is
seen as something very, very important to the future of the nation. We need
to support cultural programs. We need programs Americans want to support
because they enrich their lives."
[SOURCE: Broadcasting&Cable]
http://www.broadcastingcable.com/article/CA602832?display=Technology&ref...
(free access for Benton's Headlines subscribers)
See also --
* Wash. Post repeated baseless claim that CPB ombudsman is a "liberal,"
failed to question contradictory claims by Tomlinson
http://mediamatters.org/items/200505200005

NETWORKS USE WEB IN DEBATE ON INDECENCY
Hoping to defuse pressure for further government indecency crackdowns,
networks and cable companies are borrowing a Web page from the playbook of
their critics. A new coalition called TV Watch, bankrolled in part by CBS
parent Viacom Inc., Fox owner News Corp. and NBC Universal, recently
launched an Internet site, at televisionwatch.org. The move recognizes the
importance of the Web in the public relations battle by broadcasters to
blunt the growing influence of media watchdog organizations such as the
Parents Television Council. Those groups are aggressively shaping
Washington's indecency debate, successfully using the Internet to get their
message out publicly and to pressure legislators and regulators with
complaints.
[SOURCE: Los Angeles Times, AUTHOR: Jube Shiver Jr]
http://www.latimes.com/business/printedition/la-fi-tvwatch23may23,1,4637...
(requires registration)

OWNERSHIP

IT'S NOT ALL IN THE FAMILY
Last year, NBC became the last major broadcast network to marry a big
Hollywood studio, buying Universal. Such vertical integration of the TV
business assures studios a ready buyer for shows they develop and, for
networks, lets them control costs and locks in a piece of the upside if a
show becomes a hit in syndication. But of the six new series NBC is adding
to its schedule this year, just two come from NBC Universal Television
Studio (affectionately known as "NUTS"). The remaining orders were spread
across four rival producers. And of the shows NBC picked up from outsiders,
none are co-productions in which the network jointly finances a series and
participates in the profits. Other networks bought outside their corporate
families, too. No one is saying there isn't plenty of in-house dealing in
the vertically integrated shops. All of UPN's new series come from sibling
Paramount Television, as do two-thirds of CBS' rookie shows. Warner Bros.
will supply three-quarters of the new series on The WB.
[SOURCE: Broadcasting&Cable, AUTHOR: John M. Higgins]
http://www.broadcastingcable.com/article/CA603031?display=News&referral=...
(free access for Benton's Headlines subscribers)
Please see --
* The Death of "Synergy" -- Ad Infinitum
"[W]hile it's nice to see the broadcast nets are loosening up and looking
outside their own four walls, let's not declare victory yet. The nets are
only buying shows from each other. The number of shows on the fall
schedule made by anyone other than one of the five conglomerates that own
the nets is zero, as far as we can tell. Meaning the net new independent
voices added to the mix next fall -- bupkiss."
http://creativevoices.typepad.com/blog/

FCC TACKLES CABLE REACH
The FCC believes that the 1992 Cable Act still gives the Commission
authority to limit national cable ownership reach. In a notice of proposed
rulemaking released last week, the FCC is also examining whether to change
its vertical limits, including rules barring an operator from devoting more
than 40% of its lineup to programming it owns. The FCC is reexamining its
rules again now, in part, because of the proposed sale of Adelphia assets
to cable giants Comcast and Time Warner. Comcast, the largest cable
operator, reaches 28.2% of pay-TV homes in the U.S.; if the FCC approves
the plan to divvy up Adelphia's assets, Comcast would grow slightly to
28.9% of homes, an addition of 680,000 subscribers. Time Warner, the No. 2
operator, would add 3.5 million subscribers and reach 18% of pay-TV homes.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA603036?display=News&referral=...
(free access for Benton's Headlines subscribers)
* Ownership Rules Get a Revival
http://www.multichannel.com/article/CA603053.html?display=Top+Stories&re...
(free access for Benton's Headlines subscribers)

NAB MAKES FURTHER OWNERSHIP FILING AT SUPREME COURT
Last week, National Association of Broadcasters replied to the arguments of
the FCC and public interest groups, who had urged the Supreme Court not to
review a lower court's decision upholding the FCC's adoption of Arbitron
radio markets and retention of the top-4 restriction on TV duopolies. NAB
stressed that the high court needs to clarify the standard that the FCC
must meet to justify its regulation of local radio and TV station ownership
in its required periodic reviews of the broadcast ownership rules,
especially because different courts have disagreed on this question. The
Supreme Court will decide in June whether or not it will hear all the
appeals of NAB and other media entities arising from the FCC's last review
of its broadcast ownership rules.
[SOURCE: National Association of Broadcasters]
http://www.nab.org/newsroom/PressRel/Filings/OwnershipSupCtReply51605.pdf

HOW OLD MEDIA CAN SURVIVE IN A NEW WORLD
Newspaper publishers, book publishers, movie studios, music companies, ad
agencies, television networks -- they're all trying to figure out how they
fit into a new-media world. Their old way of doing business isn't as
profitable as it used to be, but they haven't found a new way that's as
profitable, either. So we decided to ask a wide group of media experts for
their suggestions. Concerning broadcast network news, one expert suggests
engaging viewers in a conversation. That means tearing down the facade of
how news is made. He suggests posting full, unedited video of interviews
online. Networks also might present behind-the-scenes clips showing the
creation of a news program from inception to broadcast, and let viewers
relay feedback to help further report the story. "The end result is more
accountability and more credibility," he says, "something the networks
could use." One expert suggests cutting the network primetime schedule to
improve the overall quality of offerings and replacing those shows with
cheaper, more profitable fare such as news, game shows or sitcoms in
syndication. The networks would save money on prime-time programming, and
the local stations they own would pump increased revenue. Ron Simon,
television curator at New York's Museum of Television and Radio, thinks the
government should force TV networks to set aside time for independent or
upstart production companies.
[SOURCE: Wall Street Journal]
http://online.wsj.com/article/0,,SB111643067458336994,00.html?mod=todays...
(requires subscription)
* Media Giants' Big Broadband Push
CNN, ABC News, Scripps Networks and TV Guide are rolling out free video-
and audio-streaming products for broadband users, signaling a renewed
confidence in online advertising.
[SOURCE: Broadcasting&Cable, AUTHOR: Ken Kerschbaumer]
http://www.broadcastingcable.com/article/CA602847.html?display=Technolog...
(free access for Benton's Headlines subscribers)

TELECOM

SLOWER GROWTH HITS CELLPHONE SERVICES OVERSEAS
Markets for cellphone services in Europe and Japan, where explosive growth
spearheaded the wireless revolution in the 1990s, are slowing substantially
and in some places contracting -- signaling big challenges for large
providers and a shake-up for the entire industry. cellphone voice services
are fast becoming a basic commodity distinguished primarily by price. Some
providers are introducing new services, such as picture messaging and video
downloads, but the revenue they generate is minuscule alongside the vast
sums spent on voice calls, and their growth is expected to be slow. In
Europe, there has been an influx of so-called no-frills service providers
basically run on a model similar to that of low-cost airlines. U.S. service
providers increasingly rely for growth on new services, such as news
headlines and sports scores, and lower-spending subscribers, such as
teenagers. Many big carriers let subscribers add a relative for just $10 on
certain plans.
[SOURCE: Wall Street Journal, AUTHOR: David Pringle david.pringle( at )wsj.com]
http://online.wsj.com/article/0,,SB111679994892240122,00.html?mod=todays...
(requires subscription)

TV COULD MAKE VOIP SAFER
Rosum, a Redwood, Calif. startup, has developed a technology that, imbedded
in Internet-based cell phones, can constantly monitor local TV signals,
each of which contains data identifying the geographic location of the
transmitter tower. During a 911 call, Rosum's technology would route the
call to the closest emergency communications center rather than the
caller's hometown. Rosum CEO Skip Speaks says he needs broadcasters in each
market to provide a little coordination for the whole thing to work and
hopes to convince them that the points they would score with the FCC is
reason enough to participate.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA602826?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

QUICKLY

SERIOUSLY MISSING
[Commentary] After 9/11, we were promised, the news media would toughen up,
dig deeper, cover the world for us. What we seemed to have gotten was
softer coverage and a propensity to pull punches. How odd and dangerous it
is that, in these most perilous times, the news business has rarely seemed
more frivolous.
[SOURCE: Broadcasting&Cable, AUTHOR: Editorial Staff]
http://www.broadcastingcable.com/article/CA603033.html?display=Opinion&r...
(free access for Benton's Headlines subscribers)
* AT CBS, Soft Side Gets a Voice in Hard News
http://www.nytimes.com/2005/05/23/business/media/23cbs.html?

AD COUNCIL PROMOTES PSA PARTNERS
A Who's Who of trade association chiefs will join legislators, nonprofit
execs, crash test dummies, Smokey the Bear, and McGriff (the crime dog),
for a Capitol Hill breakfast May 26 celebrating the power of PSA's.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA603035?display=Breaking+News&...
(free access for Benton's Headlines subscribers)

GROW UP, TV ADVERTISERS
[Commentary] Last week, CBS announced the cancellation of four prime-time
shows simply because they appealed to a just-over-50 crowd. CBS is fighting
its reputation as the geezer network by dumping the baby-boomer demographic
bulge, though these graying heads will be alive and spending accumulated
wealth for decades to come. Why are television advertisers spurning this
demographic gold mine?
[SOURCE: Los Angeles Times, AUTHOR: Editorial Staff]
http://www.latimes.com/news/printedition/opinion/la-ed-demo23may23,1,245...
(requires registration)

SCHOLARLY JOURNALS' PREMIER STATUS IS DILUTED BY WEB
For decades, traditional scholarly journals have held an exalted and
lucrative position as arbiters of academic excellence, controlling what's
published and made available to the wider community. These days, research
is increasingly available on free university Web sites and through start-up
outfits. Scholarly journals are finding their privileged position under attack.
[SOURCE: Wall Street Journal, AUTHOR: Bernard Wysocki Jr.
bernie.wysocki( at )wsj.com]
http://online.wsj.com/article/0,,SB111680539102640247,00.html?mod=todays...
(requires subscription)
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

Benton's Communications-related Headlines for 5/20/05

The Politics of America's DTV Transition: Will the Telecom Act Rewrite
Repeat the Fiasco of the 1996 Giveaway? May 24 at the New America
Foundation. For this and other upcoming media policy events, see
http://www.benton.org/calendar.htm

PUBLIC BROADCASTING
A Different Reception For Public Broadcasting
Public Broadcasting Czar May Not Be

MEDIA
Comcast, Time Warner Pitch FCC on Merger
Guild Chief Under Fire for Comments About Attacks on
Journalists in Iraq
Stations Of The Cross

TELECOM
FCC Requires VoIP Providers to Provide Enhanced 911 Service
Markey's Concerns Linger Over Bells' Video Rollouts

QUICKLY -- Universal service management item deleted; Revenues for Top
Radio Stations; Tech-Driven Threats to Mainstream Media; Mommy Bars; I-SPY Act

PUBLIC BROADCASTING

A DIFFERENT RECEPTION FOR PUBLIC BROADCASTING
"Liberal advocacy journalism." "Liberal media bias." "Liberalism is too
prominent on public TV, radio news and talk programs while conservative
ideas are marginalized." -- "This is not a controversy that I brought to
public broadcasting," contends Corporation for Public Broadcasting Chairman
Kenneth Y. Tomlinson . "There is an element within public broadcasting that
brought this controversy on itself." Pressed repeatedly for examples of
public broadcasting bias, Tomlinson cited only one program that he found
objectionable: Moyers's show, "Now." Tomlinson and CPB have relatively
limited direct influence over what's seen and heard on PBS and NPR. CPB
cannot, for example, force either service to air a program the agency
underwrites. The agency provides less than 10 percent of PBS's annual
budget and less than 1 percent of NPR's. But CPB is a vital source of
funding for the larger public broadcasting system. Its grants to public
radio and TV stations find their way back to NPR and PBS in the form of
station programming fees. One public television station manager, Bill Reed,
president and CEO of KCPT-TV in Kansas City, Mo., late last week sent a
letter to Tomlinson that was widely distributed among station managers. It
said, in part, "For you and members of the CPB board to go on this sad,
ridiculous witch hunt at a time when we should be standing together to make
sure that public broadcasting is funded adequately is a betrayal of your
responsibilities as a board member. You and those board members who support
you should be sacked."
[SOURCE: Washington Post, AUTHOR: Paul Farhi]
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/19/AR200505...
(requires registration)

PUBLIC BROADCASTING CZAR MAY NOT BE
The investigation of CPB Board Chairman Kenneth Tomlinson may have
traction. Tomlinson hired Mary Catherine Andrews, former director of the
Office of Global Communications at the White House, to write a set of
guidelines for CPB's two new ombudsmen to use when monitoring political
content on PBS. The problem is that Andrews was still on staff at the White
House when she wrote the rules. This may violate Section 398 of the of the
Public Broadcasting Act of 1967, which bars federal employees from engaging
in any "direction, supervision or control over public telecommunications."
In addition, Tomlinson is the chair of the U.S. Broadcasting Board of
Governors, the panel that oversees all federally-sponsored broadcasting
agencies, such as Voice of America. As almost all of the media coverage of
the CPB case has failed to mention, in his role at the BBG, Tomlinson
himself is a "federal employee" -- yet he is explicitly trying to direct,
shape, mold and supervise public telecommunications in his role at the CPB.
[SOURCE: Columbia Journalism Review, AUTHOR: Paul McLeary]
http://www.cjrdaily.org/archives/001527.asp
* Tomlinson used Diane Rehm interview to further distort his actions as CPB
chairman
http://mediamatters.org/items/200505190007
* Kondracke baselessly claimed that CPB appointed a "liberal" ombudsman
Roll Call executive editor Morton M. Kondracke claimed that Kenneth Y.
Tomlinson, the Republican chairman of the Corporation for Public
Broadcasting (CPB), appointed a "liberal ombudsman and a conservative
ombudsman" to monitor response to public television and radio broadcasts.
Kondracke was referring to recent appointees Ken Bode and William Schulz,
respectively. But while Schulz is clearly a conservative, Media Matters for
America has previously noted that Bode is hardly a liberal. A former NBC
national political correspondent and former CNN senior political analyst,
Bode is an adjunct fellow at the conservative Hudson Institute.
http://mediamatters.org/items/200505180003
* Hands Off NPR and PBS
http://www.commoncause.org/site/pp.asp?c=dkLNK1MQIwG&b=186966
* Save PBS from partisan operatives
http://www.freepress.net/action/pbs

MEDIA

COMCAST, TIME WARNER PITCH FCC ON MERGER
Comcast and Time Warner Thursday spelled out in a filing why the FCC should
approve their plan to carve up bankrupt Adelphia Communications. For
starters, the two companies said the deal would allow Adelphia subscribers
to receive advanced services such as cable telephone, high speed Internet
and high-definition television. The companies also said the deal will set
them up to better compete with regional Bell phone companies by boosting
the size of their regional clusters. Individual cable franchises are
generally much smaller than phone company service areas. With larger
service areas, Comcast and Time Warner say they will be able to roll out
voice and Internet services that will compete with the phone companies.
Another longstanding aim of the FCC will also be achieved

Benton's Communications-related Headlines for 5/18/05

For upcoming media policy events, see http://www.benton.org/calendar.htm

CABLE
FCC to Examine Cable Ownership Rules
Cable Group Takes On Big Interests
Cable's Eyes on Wireless Prize

TELEVISION
Stay Tuned for Balance Debates
With Ratings Tight, TV Networks Vie For Richest Viewers
Venezuela Backing International News Channel
Web Pulls Ad Buyers From TV
Pols Seek Softer DTV Date For Translators

MUNICIPAL/GOVERNMENT BROADBAND
The Case For Municipal Broadband
Deceptive Myths About Municipal Broadband
The Six Leading Access Technologies
Information Security: Federal Agencies Need to Improve
Controls over Wireless Networks

QUICKLY -- Gene Kimmelman Profile; 911 dialing for Internet phones; Power
to the Edges -- Online Civic Engagement; I Want My God-TV

CABLE

FCC TO EXAMINE CABLE OWNERSHIP RULES
On Tuesday the FCC announced the adoption of a rulemaking proceeding that
examines the Commission's cable horizontal and vertical ownership
limits. The Commission intends to take a fresh look at rules that are
meant to foster competition and diversity in the video programming market.
The proceeding seeks additional comment and empirical evidence to enable
the Commission to formulate sustainable cable horizontal and vertical
ownership limits. The Notice suggests regulatory approaches and solicits
empirical evidence and theoretical justification supporting or
contradicting each of the suggested approaches by taking the following
actions: 1) Examining the legal framework governing cable ownership, 2)
Examining industry developments that may affect the development of
sustainable cable ownership limits, 3) Examining the relevant product and
geographic markets, the economic basis for establishing particular cable
horizontal and vertical ownership limits and the potential benefits and
harms of cable industry consolidation; and 4) Addressing the viability of
proposals for setting limits suggested in the record in response to a 2001
rulemaking proceeding. In a joint statement, FCC Commissioners Copps and
Adelstein expressed disappointment that the Commission never acted on the
four year old proceeding -- and ask that it now become a top priority.
[SOURCE: Federal Communications Commission]
* Press Release:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-258699A1.doc
* Second Further Notice of Proposed Rulemaking:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-05-96A1.doc
* Copps & Adelstein Joint Statement:
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-05-96A2.doc
Coverage --
* FCC Tries Again On Cable Ownership
Media Access Project has threatened to take the FCC to court if the sale of
Adelphia assets to industry giants Comcast and Time Warner is approved
before a new cable limit is imposed. MAP President Andrew Schwartzman said
setting a limit has increased in importance because the pay-TV industry is
more concentrated than it was in 2001. Schwartzman said he supports new FCC
Chairman Kevin Martin's decision to seek a new round of comments on cable
ownership because the record generated by the 2002 attempt is stale.
Nevertheless, Schwartzman doubted that Chairman Martin would set a limit
low enough to gain MAP's support for the final product.
http://www.broadcastingcable.com/article/CA602187?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
* FCC Opens Cable-Ownership Rulemaking
http://www.multichannel.com/article/CA602137.html?display=Breaking+News&...
(free access for Benton's Headlines subscribers)
* FCC To Review Cable Ownership Regs
http://www.njtelecomupdate.com/lenya/telco/live/tb-JUSV1116363915680.html

CABLE GROUP TAKES ON BIG INTERESTS
An association of smaller cable operators kicked off its annual convention
in Washington Monday by pushing a list of public policy proposals that it
wants to see Congress and the FCC adopt on behalf of rural cable and
communications customers. Among the groups that ACA aims to challenge:
local broadcasts and the broadcasting networks, direct broadcast satellite
companies, telecommunications companies seeking to expand into video
services and the broadband division of the Agriculture Department's Rural
Utility Service. ACA has taken the lead in Washington -- even garnering
support from the National Cable and Telecommunications Association and
BellSouth -- in a petition urging the FCC to jettison a decades-old rule
protecting local broadcasters against out-of-market competitors, part of a
campaign -- admittedly uphill -- to eliminate the ability for broadcasters
and networks to charge cable operators a "retransmission consent" fee.
[SOURCE: Technology Daily, AUTHOR: Drew Clark]
http://www.njtelecomupdate.com/lenya/telco/live/tb-ROSG1116358390804.html

CABLE'S EYES ON WIRELESS PRIZE
Large cable companies such as Comcast and Time Warner have been able to
offer television programming, high-speed Internet connections and, most
recently, phone service. But, unlike phone companies, they haven't been
offering a wireless product. After the recent spate of deals among huge
telecommunications companies, all eyes are now focused on their rivals:
cable companies. Cable companies have been in talks with wireless companies
for months about joining forces as a way to give cable operators another
weapon in their battle against the telephone giants. The repercussions
would be especially significant if such a move was made by Comcast Corp.,
the country's largest cable operator, with more than 21 million
subscribers. The question Wall Street is asking is whether Comcast will act
as part of a cable-industry consortium, or strike an alliance of its own.
The most attractive partner may be T-Mobile USA , which isn't a direct
threat to Comcast in the way that SBC Communications and Verizon
Communications have become. An alliance with the newly formed Sprint-Nextel
Communications is also possible, as Sprint has aggressively pursued deals
with cable companies. But Comcast may prefer to get involved with a company
over whom it could have greater influence.
[SOURCE: Wall Street Journal, AUTHOR: Peter Grant peter.grant( at )wsj.com,
Jesse Drucker jesse.drucker( at )wsj.com and Dennis K. Berman
dennis.berman( at )wsj.com ]
http://online.wsj.com/article/0,,SB111638321449636624,00.html?mod=todays...
(requires subscription)

TELEVISION

STAY TUNED FOR BALANCED DEBATES
CPB's independent inspector general, Kenneth Konz, said he will investigate
charges by two key House Democrats that CPB Board President Ken Tomlinson
violated the Public Broadcasting Act by commissioning a political content
review of Now with Bill Moyers and recruiting a White House staff member to
write guidelines for CPB's new ombudsmen. If the controversy flags, it's
sure to revive next year if Tomlinson seeks reappointment to the board,
which requires Senate confirmation. His term expires in fall 2006. The
danger to public broadcasting is that the partisan struggle will continue,
poisoning CPB's reputation and perhaps public TV's. CPB's drive for
political balance on the air could lead to a public or private showdown
with PBS over editorial standards. The corporation's annual production aid
to PBS, worth $26.5 million next year, will depend on its approval of the
PBS standards on balance and other journalistic issues, now being reviewed
by a panel of outside journalists. Further conflict could be expected if
CPB hires Tomlinson's reported candidate for president, Patricia Harrison,
a former co-chair of the Republican National Committee who is now an
assistant secretary of state.
[SOURCE: Current, AUTHOR: Karen Everhart and Jeremy Egner]
http://www.current.org/cpb/cpb0509mess.shtml
* CPB Turns to NPR as Latest "Bias" Target
http://www.fair.org/index.php?page=2516

WITH RATINGS TIGHT, TV NETWORKS VIE FOR RICHEST VIEWERS
What viewers with higher incomes watch on TV is becoming more important to
the broadcast networks as they try to set themselves apart from the pack
and sell their fall schedules to advertisers. The four primary broadcast
networks -- ABC, CBS, Fox and NBC -- are finishing the season in one of the
tightest ratings races ever. Last year, the networks finished with 1.4
ratings points separating them; this year they're running only 0.3 of a
ratings point apart. To distinguish themselves to advertisers, broadcasters
increasingly are touting how popular their shows are with moneyed viewers.
Networks can charge advertisers a premium for delivering wealthy viewers,
since they are the hardest group to reach. High-income people tend to be
light television watchers, and are also more likely to own ad-skipping
devices such as TiVo. NBC, for example, has long played up the youth and
wealth of its viewers, and charges advertisers a premium of 5% to 20% to
reach them. Baiting wealthy types is also a strategy, some network ad
executives say, to lure more luxury marketers to broadcast TV -- a popular
medium for pitching shampoo and crackers, but not five-star hotels and
private jets.
[SOURCE: Wall Street Journal, AUTHOR: Brooks Barnes brooks.barnes( at )wsj.com]
http://online.wsj.com/article/0,,SB111638115994136568,00.html?mod=todays...
(requires subscription)

VENEZUELA BACKING INTERNATIONAL NEWS CHANNEL
On May 24 Venezuela's President Hugo Chvez will launch Televisora del Sur
(Telesur) -- TV of the South -- a 24-hour hemispheric TV news network, with
Venezuelan journalist Aram Aharonian at the helm. The idea, Chvez has
explained, is to combat "the conspiracy" by foreign networks to ignore or
distort information about Latin America. "We have been trained to see
ourselves through foreign eyes," Aharonian says. "Europeans and Americans
see us in black and white, and yet this is a Technicolor continent."
Chvez's Telesur is drawing comparisons to Al-Jazeera, the Qatar-based Arab
satellite network. Al-Jazeera has been criticized repeatedly by the U.S.
government and military for inflammatory and biased reporting in Iraq and
elsewhere in the Middle East. New sources of news can be healthy, says John
Dinges, associate professor of journalism at Columbia University in New
York. "I am in favor of initiatives that create additional voices in the
news," he says. "Al-Jazeera, for example, has made an important impact on
journalism in the Middle East." If Telesur is a propaganda tool for Chvez,
"that's politics, not journalism," Dinges says. "But if it's being done in
order to spread an alternative journalistic voice, it will be good
journalism and a contribution." Telesur's programming, available by
satellite, will be split between news and "Latin America interest"
documentaries, reaching viewers across South, Central and North America.
The network is a regional endeavor: Argentina owns 20%, Cuba 19% and
Uruguay 10%. But Venezuela, with 51%, is the main player: The government
has provided $2.5 million in start-up money. Other funding will come from
corporate sponsors, though not advertising.
[SOURCE: USAToday, AUTHOR: Danna Harman]
http://www.usatoday.com/printedition/news/20050518/a_venezuelatv18.art.htm

WEB PULLS AD BUYERS FROM TV
After years of siphoning ad dollars from newspapers and magazines, the
Internet is starting to chip away at the biggest and most powerful medium
of all: television. The Internet has become another dark cloud on the
horizon, threatening to shrink the $60-billion-a-year market for broadcast
network, cable and local TV ads. Online ad revenue surged 33% to $9.6
billion in the United States last year and is expected to grow as much this
year. A recent study by Forrester Research found that people spend 34% of
their media consumption time, including both home and work, on the
Internet. That's slightly more than the amount of time they spend watching
TV. Still, only 6% of advertising dollars go to the Web. Some broadcast
executives discount the threat. Broadcast networks reach more than 98% of
the estimated 110 million homes with TV sets in the United States, and
marketers say most online ads can't stir up consumers' emotions like the
traditional 30-second spot. But the broadcast networks already are under
pressure from cable television, video-on-demand and ad-skipping
technologies. They also face advertiser resistance to their tradition of
hiking ad rates year after year even as they lose viewers. The broadcast
networks' share of TV-watching time fell to 43% this season from 53% in
1999, according to Nielsen Media Research. But during that period,
prime-time ad revenue jumped 33% to $9.5 billion, according to Goldman Sachs.
[SOURCE: Los Angeles Times, AUTHOR: Chris Gaither and Meg James]
http://www.latimes.com/business/printedition/la-fi-internet18may18,1,188...
(requires registration)

POLS SEEK SOFTER DATE FOR TRANSLATORS
Thirteen legislators from states with significant rural areas have sent a
letter to House Commerce Committee Chairman Joe Barton (R-TX) and ranking
member John Dingell (D-MI) asking that a new DTV transition bill include a
gradual phase-in for TV translators. Some rural areas need translators to
carry TV signals to mountainous and remote areas where direct reception is
limited. The translators are hard to access and thus costly to upgrade.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA602241.html?display=Breaking+...
(free access for Benton's Headlines subscribers)

MUNICIPAL/GOVERNMENT BROADBAND

THE CASE FOR MUNICIPAL BROADBAND
There are 2,007 municipalities in the United States that provide electric
service to their residents. By 2004, at least 621 of these provided some
sort of communications services to residents as well. This number is
expected to grow. This article attempts to outline some of the prominent
arguments supporting the movement toward municipal broadband, and to
evaluate some of the central arguments against it.
[SOURCE: Broadband Properties, AUTHOR: Carl Kandutsch]
http://www.broadbandproperties.com/2005issues/may05issues/Carl_Kandutsch...

DECEPTIVE MYTHS ABOUT MUNICIPAL BROADBAND
From the home office of the Baller Herbst Law Group, the Top Ten myths
surrounding municipal broad-band. Myth #10. Municipalities should not
invest in risky projects when the private sector is ready, willing and able
to serve the community's needs. Myth #9: Municipalities have unfair access
to poles, ducts, conduits, rights of way, and other public facilities. Myth
#8: Municipal communications projects raise First Amendment concerns. Myth
#7: Municipalities drive investment capital out of the market. Myth #6:
Municipal communications projects are likely to fail. Myth #5
Municipalities use public funds to cross-subsidize communications services.
Myth #4: Municipalities don't have to pay taxes. Myth #3: Municipalities
have access to cheap financing. Myth #2: Municipalities, as regulators,
favor their own service entities over the private companies they regulate.
And the #1 Myth: Municipalities want to compete with the private sector.
[SOURCE: Broadband Properties, AUTHOR: Jim Baller]
http://www.broadbandproperties.com/2005issues/may05issues/Jim_Baller_Ten...

THE SIX LEADING ACCESS TECHNOLOGIES
There are six leading groups of broad-band access technologies, with many
flavors of each available: 1) Hybrid Fiber Coax, 2) Digital Subscriber
Line, 3) Fiber to the Home, 4) Wireless, 5) Broadband over Powerline, and
6) Satellite. This paper explains them.
[SOURCE: Broadband Properties, AUTHOR: Sandy Teger and Dave Waks,
Co-founders, Broadband Home Central]
http://www.broadbandproperties.com/2005issues/may05issues/Sandy_Teger_an...

INFORMATION SECURITY: FEDERAL AGENCIES NEED TO IMPROVE CONTROLS OVER
WIRELESS NETWORKS
Wireless networks offer a wide range of benefits to federal agencies,
including increased flexibility and ease of network installation. They also
present significant security challenges, including protecting against
attacks to wireless networks, establishing physical control over
wireless-enabled devices, and preventing unauthorized deployments of
wireless networks. To secure wireless devices and networks and protect
federal information and information systems, it is crucial for agencies to
implement controls -- such as developing wireless security policies,
configuring their security tools to meet policy requirements, monitoring
their wireless networks, and training their staffs in wireless security.
However, federal agencies have not fully implemented key controls such as
policies, practices, and tools that would enable them to operate wireless
networks securely. Further, GAO tests of the security of wireless networks
at six federal agencies revealed unauthorized wireless activity and "signal
leakage" -- wireless signals broadcasting beyond the perimeter of the
building and thereby increasing the networks' susceptibility to attack.
Without implementing key controls, agencies cannot adequately secure
federal wireless networks and, as a result, their information may be at
increased risk of unauthorized disclosure, modification, or destruction.
[SOURCE: Government Accountability Office]
http://www.gao.gov/new.items/d05383.pdf
*Government says Wi-Fi networks not secure
http://www.reuters.com/newsArticle.jhtml;jsessionid=0P34Z51RG5TUACRBAEOC...

QUICKLY

AND NOW, IN THE CONSUMERS' CORNER...
A profile of the ubiquitous, the unassuming, the unsinkable... Gene
Kimmelman of Consumers Union. "I have a pretty good sense of the political
trends, what is doable in Congress and the agencies," he says. His tag team
partner is Mark Cooper, director of research at the Consumer Federation of
America. "I'm the brains, he's the brawn," says Cooper, who's also a fellow
at the Center for Internet Society at Stanford University's Law School. He
posts his 44-page resume on his Web site,
http://cyberlaw.stanford.edu/blogs/cooper/. Cooper frequently appears
before state public utility commissions, but also conducts press briefings
and testifies on Capitol Hill. See what they are like -- and what they are
up against -- at the URL below.
[SOURCE: National Journal Insider Update, AUTHOR: David Hatch]
http://www.njtelecomupdate.com/lenya/telco/live/tb-BLGC1116360448408.html

FCC SET TO REQUIRE 911 DIALING FOR INTERNET PHONES
Internet telephone providers will soon have to offer full emergency 911
calling services under an order the Federal Communications Commission is
expected to adopt Thursday in response to incidents of customers having
trouble getting help.
[SOURCE: Reuters, AUTHOR: Jeremy Pelofsky]
http://www.reuters.com/newsArticle.jhtml;jsessionid=0P34Z51RG5TUACRBAEOC...
* FCC to Rule On 911 Access For Web Phones
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/17/AR200505...
(requires registration)
* FCC to Review Cable-TV Rules
http://online.wsj.com/article/0,,SB111636179170436103,00.html?mod=todays...
(requires subscription)

POWER TO THE EDGES: TRENDS AND OPPORTUNITIES IN ONLINE CIVIC ENGAGEMENT
The age of connectivity brought about by the Internet and other digital
information technologies is reshaping how Americans do business, obtain
news and information about the world, engage in social functions, shop,
express their creativity, and engage in community life. This report
provides an overview of the state of online democracy; what it is, where it
is headed, and what it means for activists and those who support them. A
literature review was completed, online discussions were monitored and
nineteen in-depth interviews with leaders in the fields of online
technologies, nonprofit capacity building, citizen engagement and social
networks were conducted. This effort is intended to be a snapshot in time,
not the ultimate guide, and to serve as a jumping off point for further
discussions to occur online about how these tools and the culture of online
civic engagement can be further developed and scaled for broader, deeper
and more lasting citizen action.
[SOURCE: E-Volve Foundation]
http://evolvefoundation.org/?q=pacesummary

I WANT MY GOD-TV
[Commentary] Facing low ratings, NBC sees the light and offers
biblically-themed programming.
[SOURCE: Los Angeles Times, AUTHOR: Editorial Staff]
http://www.latimes.com/news/printedition/opinion/la-ed-nbc18may18,1,2782...
(requires registration)
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
--------------------------------------------------------------

Benton's Communications-related Headlines for 5/17/05

For upcoming media policy events, see http://www.benton.org/calendar.htm

MORE FROM SAINT LOUIS
A Million-Word March for Media Reform
Copps Calls 'Big Media' Foes To Action
Adelstein: Ban Interactive Ads to Kids
Moyers Addresses 'Liberal' Label

OWNERSHIP
FCC: Sequence Matters
Television Group Revenues

CABLE/BROADCASTING
Verizon, SBC Take TV Battle To Statehouses
Stevens Advocates Family-Friendly Tier for Cable Programming