On The Hill
Kerry Plays All Sides In Communications Debate
     Sen. John Kerry has been aligned with the interests of each major communications industry segment -- Bell telephone companies, cable operators and Internet players -- at various times during the attempt to rewrite telecommunications law this Congress. But at last month's Senate Commerce Committee vote on the issue, the Massachusetts Democrat returned to his roots and took actions aligned with the cable television industry. Except for the prickly subject of network neutrality, Kerry sided with cable interests -- and against those of Bell companies, broadcasters and local government officials -- on core votes and amendments. The cable industry has been the most generous industry toward Kerry in his career, according to a Technology Daily analysis of Federal Election Commission donor data. But despite more than $2.4 million in career support from there, Kerry's leanings on communications legislation have not always been clear. He has backed the Bells at times, including as recently as February.

Trade
Techies Lament Collapse Of Trade Talks
     World Trade Organization officials announced this week that negotiations for a global trade deal dating back to 2001 will not lead to an agreement by the end of 2006, and members of the business and technology community lamented the collapse of talks. The Association for Competitive Technology, Information Technology Association of America, AeA, International Chamber of Commerce, U.S. Council for International Business, and Organization for Economic Cooperation and Development all voiced disappointment. "Our members are dismayed by this breakdown because it leaves standing very real barriers to the IT industry's ability to compete on the global stage," ITAA Senior Vice President Joe Tasker said in a statement. "While the parties work to revive negotiations, we hope they will take a very hard look at their positions and recommit to a significant and comprehensive pact." WTO Director-General Pascal Lamy did not say when the negotiations would resume. He said internal work within countries is needed.

Lobbying
Group Criticizes Bill To Curb Networking Site Access
     The House passed a bill aimed at limiting access to online social networks from public schools and libraries, but a leading technology group is trying to drain support for the measure before the Senate takes action. The bill, H.R. 5319, would require schools and libraries receiving special funding for Internet services to keep young people from accessing Web sites like MySpace and chat rooms. There is concern that the sites have become havens for pedophiles and pornographers trolling for victims. The Information Technology Association of America fought behind the scenes against the legislation and went public with its objections early this week. Association Vice President Mark Uncapher said the legislation could deny access to places where users may post home pages or other information, including Amazon.com book reviews or at America Online, eBay and Yahoo. ITAA plans to express those concerns to Senate leaders and staff.

Intellectual Property
Kazaa File-Sharing Service Settles With Industry
     Major movie and music studios reached a global settlement in their lawsuit over the Kazaa file-sharing network. The action comes roughly a year after the Supreme Court decided the landmark MGM v. Grokster case. The justices unanimously ruled that file-sharing services like Kazaa can be held liable for users' copyright infringement. Sharman Networks, which owns Kazaa, was a co-defendant in the case and operated one of the most popular file-swapping networks at the time of the court battle. Sharman called the settlement a "historic turning point" for the high-tech and content industries. It will work on new methods to curb unauthorized sharing on its system and pay about $115 million to members of the International Federation of the Phonographic Industry, the Recording Industry Association of America and the Motion Picture Association of America. Grokster announced a similar deal with movie and music companies last November.

Taxes
Merchants Eye Ways To Simplify E-Commerce Taxes
     Merchants and experts appeared before a Senate subcommittee to critique legislation that aims to simplify the taxation of Internet sales. Sen. Michael Enzi, R-Wyo., touted his legislation to update tax law. His bill, S. 2152, looks to give all retailers, including e-commerce sites, the same responsibility to collect sales taxes. Enzi contends that it is unfair that remote Internet sellers have an advantage over small businesses with physical stores. Enzi emphasized that his bill would not create a tax for the Internet. Many states have signed on to a streamlined sales- and use-tax agreement, with the goal of simplifying the tax structure so companies can more easily collect taxes from their interstate customers and remit them to the states where consumers reside. Speaker Christopher Rants from the Iowa House said that if Congress does not act soon on federal legislation to implement the agreement among states, momentum will slow.

Science
Lawmakers Study Flow Of Data After Nixing Tech Office
     The House Science Committee examined how Congress has functioned without the unbiased scientific information once provided by the Office of Technology Assessment, which was killed a decade ago. Committee Chairman Sherwood Boehlert, R-N.Y., warned that even though he disagreed with the decision to de-fund the office, "OTA is not likely to be coming back anytime soon." He added that Congress still has "plenty of current sources of information, particularly the National Academies." While witnesses agreed, they told the committee that unbiased advice and reports tailored to congressional needs are missing. Catherine Hunt, president-elect of the American Chemical Society, said scientists from think tanks, universities and trade associations try to provide reliable information to Congress, but sometimes they have "a vested interest in the outcome." Peter Blair, an executive director at the National Research Council, said not having trusted scientific investigators is like buying a house without a home inspector.

Security
Initial Tests Of 10-Print IDs For Foreigners Planned
     The Homeland Security Department plans to begin testing technology in the coming months to take 10 fingerprints of foreign visitors but does not expect to have systems in place at all ports of entry until 2008 or 2009, an official in charge of the effort said. The department will begin test programs in fiscal 2007 for capturing 10 fingerprints through the US-VISIT immigrant-tracking system, Robert Mocny, the program's acting director, said in an interview. Foreigners currently must give only two fingerprints and a facial photograph to US-VISIT, which checks their biometric information against government watch lists of known or suspected terrorists. Some critics have noted that the system is not compatible with the FBI's automated fingerprint identification system, which uses 10 fingerprints and a photo to track criminals. Mocny said it will take until 2008 or 2009 to meet the new requirement.