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International Roundup:
May 31, 2000
Lawmaker Opposes Changes To Export Review; Piracy Accounts For $12 Billion Worldwide Loss
Exports
Senator Fred Thompson, R-TN, said Thursday he does not support cutting the time Congress reviews changes to computer export controls from 180 to 30 days. "I think it would be absolutely undesirable," he said during a hearing on how computer export controls have been implemented. The computer industry has been pushing Congress to reduce the 180-day waiting period, which only covers changes to export rules covering about 50 countries, saying the current policy hamstrings U.S. companies competing with foreign firms.
Piracy
Software piracy resulted in more than $12 billion worth of losses in 1999, according to a survey by industry groups on the impact of software piracy. One in every three business software applications in use during 1999 was pirated, according to a survey by the Business Software Alliance and the Software and Information Industry Association. The 10 countries with the highest piracy rates are: the United States, Japan, United Kingdom, Germany, China, France, Canada, Italy, Brazil and the Netherlands. Meanwhile, Malaysian Prime Minister Mahathir Mohamad said last week that foreign technology makers would continue to suffer piracy unless they make their products cheap for Southeast Asian consumers.
Internet Access
In a move to equalize Internet access rates worldwide, members of the Asia Pacific Economic Cooperation agreed Friday to allow private businesses to determine charges for interconnecting Internet traffic, but called on governments to intervene if they deem that competition among businesses becomes unfair.
APEC's principles on international Internet charges address a push among several member countries that U.S. Internet backbone providers should share the cost of telephone links to the Internet. The countries argue that Asian telecom companies and Internet service providers bear the cost of Internet connections between Asia and the United States and pay for traffic flowing from Asia to North America as well as from North America to Asia. U.S. industry representatives counter that Internet traffic heading for Asia is comprised mostly of Asian Internet users who use U.S.-based servers to access content.
During the ministerial meeting in Cancun, APEC members agreed that governments should not interfere in private business agreements on international Internet charges, but should step in if dominate telecom companies are squashing competition. They also agreed that Internet charges should be commercially negotiated and reflect each party's use of the network.
Privacy
A European Union committee has postponed action until Wednesday on whether to approve a privacy agreement aimed at ensuring data flows between Europe and the United States are not cut off by the union's tough privacy law.
The EU committee began its meeting on the "safe harbor" agreement Tuesday, but did not finish debate on the agreement reached in March by EU and U.S. officials. The agreement would provide U.S. companies with some protection from the EU privacy directive if they agreed to comply with privacy principles in the safe harbor agreement.
Internet Access
British Telecom must allow competitors unmetered access to the Internet over its network, the Office of Telecommunications ruled Friday in a move towards spreading flat-rate Internet service. American Online hailed the ruling, saying that the decision ends BT's role as the Internet's "gatekeeper" and was a victory for "consumers, competition and common sense." Currently, most British Web surfers currently pay local phone charges for each minute they use the Internet.
The European Commission released plans Wednesday to make the Internet more accessible for Europeans, saying every school in the European Union should have an Internet connection by the end of 2001. The plan also calls for more competition on local networks to cut the price of Internet access, encourages investment to make Internet connections quicker and sets stricter guidelines to protect online shoppers from fraud. These moves are part of the "eEurope Action Plan," which will be submitted for approval by European Union leaders at a summit from June 19-20.
- by Caroline Broder


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