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Europe Assesses Safe Harbor Agreement
by William New
The European Commission data protection working party last week released a working paper on the functioning of the "safe harbor" agreement under which U.S. companies agree to provide an "adequate" standard of protection for personal data from the European Union. The working paper was issued in advance of the end of the two-year implementation period of the agreement that was signed on July 26, 2000.
In the paper, the working party called on all authorities, organizations and companies involved in the safe-harbor framework to cooperate in the collection of information by Oct. 31 on: efforts to increase transparency; the possibility for additional verification mechanisms; ways to increase knowledge of the safe harbor prerequisites; measures to refine dispute settlement mechanisms; and difficulties arising from multiple privacy policies by the same operator.
At its July 2 meeting, the data protection working party also decided that Microsoft's .Net Passport system raises legal issues and requires further analysis to assess compliance with EU data protection principles.
EU Threatens More Action On Telecom Competition
European Competition Commissioner Mario Monti on Monday threatened expanded action to further open telecommunications competition in the European Union. Monti, speaking at a public hearing on unbundling the local loop -- also known as the "last mile" or the connection that allows a carrier or Internet service provider to deliver service to consumers -- criticized the failure to sufficiently open local access to new competitors.
"Despite the efforts deployed by public authorities at EU and national level, the results of local-loop unbundling throughout Europe are extremely disappointing at this point in time," Monti said. Fewer than 900,000 lines are unbundled, he said, noting, "In many countries, unbundling has not gone beyond a merely experimental stage."
Monti recognized the telecom industry's difficult time economically, but said, "I insist that competition law applies irrespective of the economic and financial environment."
Monti said the commission will do "everything within our powers to foster effective access" to the local loop. He said so far the commission has focused on rights of access and price distortions, but that, "it may well, in the near future, expand its field of action to the issue of discrimination, both with the tools offered by competition law and the unbundling regulation."
Europe, Canada Seek Open Telecom, Computer Services
The European Union and Canada submitted requests to other World Trade Organization members by the July deadline seeking more open markets for telecommunications and computer services.
The requests were the latest phase in the ongoing negotiations to update and expand the WTO General Agreement on Trade in Services (GATS). Countries are expected to make offers next March.
Canada made requests to 40 countries (but no least-developed ones) particularly stressing the WTO category of "computer and related services," which includes consulting on computer hardware installation, software implementation, data processing and database services. Canada is requesting that countries improve their commitments by removing limits on foreign capital participation and by eliminating restrictions limiting the duty-free exemption from import duties.
Canada also will seek removal of impediments to foreign involvement in research and development activities, such as requirements to use a local partner in providing services, or the need to hire locally. On telecom, Canada will seek to get other countries to commit to open their markets as much as Canada has.
The European Union issued requests to 109 nations, but not to countries that are negotiating to join the 15-member union. It did not make requests on audiovisual services, unlike the United States.
Europe said it will seek commitments from trading partners on a range of business services, particularly those important to attracting foreign direct investment, such as computer services.
On telecom, the European Union stressed that countries allow full competition, and asked that the telecom regulatory frameworks follow principles developed in the previous telecom liberalization negotiations concluded in 1997. These principles include independent regulators, adoption of competition and interconnection rules, and principles for licensing, universal service and attribution of scarce resources like frequencies, it said.
Europe invited the least developed countries to adopt a regulatory framework based on the principles, but it suggested they start by allowing competition in data services and mobile services.
'E-inclusion' Stressed For U.N. World Info Summit
The first preparatory committee (PrepCom) meeting of the World Summit on the Information Society concluded last week with an agreement to coordinate and consolidate efforts to ensure information and communications technologies "benefit all the inhabitants of the world," the U.N. International Telecommunication Union said in a release.
Yoshio Utsumi, ITU secretary-general, told the meeting that in order for the summit to be a milestone, developed and developing countries must commit to a "true meeting of the minds."
PrepCom agreed to a list of possible themes for the summit, focused around open access and expression, development of a framework (including intellectual property rights and data protection), building infrastructure, user needs (such as consumer protection, gender issues and affordability), applications and education.
The world summit will be held in two parts, in Geneva on Dec. 10-12, 2003, and in Tunis, Tunisia in 2005. The next PrepCom is scheduled for March 2003. There also will be regional conferences along the way.
Commerce Leads Women/Minority Trade Mission
The Commerce Department is leading a trade mission focused on women and minority-owned companies to Italy and Spain this week. Maria Cino, Commerce assistant secretary and director general of the agency's commercial service, is leading the July 8-15 mission. Six of the 10 companies on the trip are in the high-tech industry.
Participants will attend the Global Summit of Women 2002 in Barcelona, which facilitates international business networking between women. Companies include Illinois-based Global Med-Net, an emergency medical information storage and forwarding service; Shubnum, a California-based management consultancy providing strategic business solutions and implementation services software; and Chamrock Computer Network, a New York-based services company; Tranxition, an Oregon-based computer systems company; and Confida, a technology consulting firm based in Florida.
China's ISPs Increasingly Police Themselves
China's Internet service providers (ISPs) under "self-discipline pacts are increasingly censoring Web content in China for subversive political material," YahooNews reported from the state Xinhua news agency. According to the China Internet Association, the agreements ban the ISPs from producing or releasing content that is "harmful" to national security or society.
The initiative began in March, but is increasing at the same time the government is engaged in a major crackdown on Internet cafes. The government has taken to installing software on computers to record attempts at accessing banned Web sites.
One In Four UK Firms Fired Workers For Internet Misuse
One in four companies in the United Kingdom has fired workers for misuse of the Internet, most often for accessing pornography sites, the Guardian reported. The research was based on a survey for Personnel Today magazine, which found that 69 percent of those fired for abusing Internet privileges used pornography. Forty percent of misuse complaints came from fellow employees, it found.
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