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Television
FCC Efforts To Re-Regulate Cable Face Gridlock
by David Hatch
Efforts by FCC Chairman Kevin Martin to re-regulate the cable industry were in disarray Tuesday, as the agency repeatedly postponed a meeting amidst gridlock over whether to declare that cable operators have achieved market dominance and need to be restricted.
Martin recently concluded that cable had reached such dominance, but he based the assessment on data whose accuracy and thoroughness have been questioned not only by the cable industry but also by some of his colleagues.
The developments follow intense lobbying by cable officials to block a series of regulatory proposals as letters poured in from lawmakers expressing concerns about Martin's plans.
During an informal briefing with reporters, Martin recommended that operators be required to file additional subscriber statistics to help the FCC decide whether cable has reached the so-called 70/70 threshold that triggers fresh regulation. The benchmark is reached when cable service is available to more than 70 percent of households and serves at least 70 percent of them.
"There wasn't a majority" of commissioners interested in collecting more cable data on Monday, Martin said Tuesday, adding that it "appears" there might be now. "As soon as we work that out, we'll figure out if we're going to go forward with that issue or not."
The cable finding was supposed to be in the agency's latest report on video competition, to be voted on Tuesday morning. An FCC spokesman clarified that the annual report may be adopted this afternoon regardless of the status of the 70/70 matter.
Also uncertain was the fate of an item modifying the agency's leased access and program service rules. In an effort to promote independent and diverse channels, the FCC had planned to slash by 75 percent the fees that programmers pay to lease cable capacity. The agency also intended to require that cable-carriage disputes be settled through FCC arbitration instead of private negotiations. "I'm not sure exactly where that will end up," Martin said of the proposals.
Early Tuesday, the agency dropped from the agenda a plan to mandate cable carriage of ancillary broadcast digital signals if they are leased to new entrants and small businesses, including minority- and female-owned businesses. "The commissioners wanted some more time to think about the minority ownership proposals that we've put forward, so we removed those from the agenda," Martin said.
On Monday, a dozen House members, including Democrats Anna Eshoo of California, Darlene Hooley of Oregon, Jay Inslee of Washington and Albert Wynn of Maryland, wrote the chairman to complain about the proposal.
"You have presented no evidence to support your assertion that multicast must-carry would promote program diversity and increase programming choices for consumers," they argued. They warned that his approach instead would put the "opposite effect by putting additional broadcast channels at the front of the line ahead of the many diverse programming services offered by cable."
The National Cable and Telecommunications Association agrees with that view, arguing that the plan would limit capacity for other channels.
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Education
Lawmakers And Techies Favor Testing In Science
by Aliya Sternstein
Despite controversy over major education legislation, there is consensus among many lawmakers, teachers, education reform advocates and local officials that science proficiency should be prioritized for competitiveness.
Reps. Brian Baird, D-Wash., Brian Bilbray, R-Calif., and Michael Honda, D-Calif., each sent letters over the past couple months to leaders of the House Education and Labor Committee, urging that school performance assessments include science proficiency.
On Nov. 13, President Bush vetoed what Republicans dubbed a "pork-filled" fiscal 2008 funding bill for the Education Department and two other departments. With the veto came concerns about the fate of legislation to renew a 2002 education law that focuses on holding schools and teachers accountable.
Performance is currently measured with standardized student tests in reading and mathematics. Lawmakers are working to renew the No Child Left Behind Act, which is set to expire this year, with more of a focus on science.
"I am particularly concerned that the current discussion draft of the reauthorization bill does not contain a firm requirement that student achievement in science be factored into the accountability system of the [law]," Bilbray wrote Nov. 9. While the law requires that students be tested on science starting with the 2007-2008 school year, the law does not require that the results be factored into evaluations of school performance.
"A solid education in the sciences is a necessary component for America to retain its economic competitiveness in the global world," he continued.
Honda, a former teacher, principal and school board member, wrote on Oct. 31 that including science as a required evaluation element and concentrating more on other areas besides math and reading will "begin to reverse a negative trend that is narrowing the curriculum and forcing other subjects into the fringes."
The education community is divided on the science-testing issue but adamant that science, technology, engineering and math, or STEM, be a key part of the learning experience.
Reggie Felton, director of federal relations for the National School Boards Association, said, "Of course we need to focus on STEM, but the current [law] is so flawed that we wouldn't want the current accountability system to be extended to any disciplines." The association claims that the assessments fail to accurately portray the progress of students, schools and school districts -- resulting in too many schools being identified as "failing."
James Brown, co-chairman of the STEM Education Coalition, said he was encouraged by the bipartisan support for holding schools accountable in teaching science. "Establishing strong accountability for science is an essential piece of a larger puzzle," he said.
But the National Education Association argues that a well-rounded curriculum should be inclusive yet not limited to math and science. Social studies, foreign language, physical education, music and art are not given enough credit, NEA President Reg Weaver said.
To prepare students for the 21st century, he said it is critical that "we not lose sight of the fact that science is important, that math is important but also that other subjects are important as well."
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E-Commerce
Toy Story: Toward A Safer Holiday Season Online
by Andrew Noyes
The start of the holiday shopping season has reinvigorated calls from federal and state lawmakers for Internet-based retailers to enhance their consumer protections, particularly for toy sales.
Legislation sponsored by Illinois Democrat Bobby Rush, chairman of the House Energy and Commerce Subcommittee on Commerce, Trade and Consumer Protection, includes hazard-labeling provisions for online and catalogue toy and game sales.
The bill, H.R. 4040, would require companies to include an "appropriate cautionary statement" to be displayed on or immediately adjacent to an advertisement in a "clear and conspicuous manner." Rush's panel approved the measure earlier this month.
A similar Senate consumer-safety measure, S. 2045, was approved by the Commerce Committee in late October. Barbara Boxer, D-Calif., offered an amendment on Web sellers and catalogues.
"Internet sites just aren't stepping up to the plate the way they should," S. 2045's sponsor Mark Pryor, D-Ark., said in a Monday statement. "Parents have enough to do than to cross-check every toy they buy off the Internet."
Minnesota Democrat Amy Klobuchar, one of the bill's co-sponsors, told Technology Daily that she and Pryor are "trying to get [the bill] to the floor before Christmas" but that might be too optimistic. Differences in the House and Senate versions could be resolved easily, she added.
Rachel Weintraub, senior counsel for the Consumer Federation of America, said she is encouraged by the legislation. She said existing laws are outdated because "the point of purchase has shifted from brick-and-mortar to the Internet."
Rep. Nita Lowey, D-N.Y., said the convenience of shopping online "should not mean sacrificing protections from unsafe products."
That is why Rep. Edward Markey, D-Mass., has pushed for a provision in H.R. 4040 to require the Consumer Product Safety Commission to create a public database of toy incidents. "When it comes to toy safety, the more information consumers have and the more outlets for that information, the better," he said.
In California, state Sen. Dean Florez has requested that the online auctioneer eBay install filters to identify and remove recalled products being sold online. He also may introduce legislation that would make such measures mandatory for those doing business online in the Golden State.
Klobuchar, Senate Majority Whip Richard Durbin, D-Ill., and Sen. Bill Nelson, D-Fla., wrote to eBay in September voicing concerns about the availability of recalled toys on the site. A review of the site at the time found 125 listings for recalled toys with small magnets, Klobuchar said.
"While we have fairly enhanced systems to pull products off of store selves," Florez said in a statement, "we still don't have an adequate system to address person-to-person Internet sales."
An eBay spokeswoman said the company already provides Web links to the Consumer Product Safety Commission's extensive recall resources and relies on its user community to flag potentially dangerous or recalled products.
She did not know whether the company would be willing or able to institute the type of filter that Florez suggested. "EBay does feel that it goes beyond what it's legally required to do already," the spokeswoman said.
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Telecom
Panel Opposes Sale Of Verizon Lines In New England
by Michael Martinez
A public utility advisory panel in Maine on Monday urged regulators there to reject the proposed sale of New England telephone lines belonging to Verizon Communications to a smaller firm based in North Carolina.
A hearing examiner's report to the Maine Public Utilities Commission advised regulators to block the proposed sale of the Verizon lines to FairPoint Communications. The report, which is not binding, found that the transaction would subject ratepayers and shareholders to substantial risks that outweigh any potential benefits.
Verizon made waves earlier this year when it announced plans to divest in northern New England and sell its wireline businesses in Maine, New Hampshire and Vermont to FairPoint for $2.7 billion. Union groups, including the AFL-CIO and Communications Workers of America, vigorously oppose the deal.
FairPoint currently operates in 18 states and is carrying a substantial debt. The hearing examiner's report recommended that if regulators were to approve the deal, they first should require it to be restructured to reduce FairPoint's bond debt by $600 million. The report also urged that FairPoint significantly increase its investments in high-speed Internet infrastructure in the affected states.
Some of the union groups working to derail the agreement hailed the report as an indictment of the deal. Rand Wilson, communications coordinator for the AFL CIO's local groups in New England, said the report sends a strong message to the regulators about why the transaction is unworkable.
Utility regulators in New Hampshire and Vermont have not yet voted on the deal. The Maine PUC is scheduled to deliberate Dec. 13.
"Everybody is grappling with the shaky finances of this transaction," Wilson said. "FairPoint is woefully in debt, and their business model doesn't look like it will serve these communities well, either."
Pete McLaughlin, business manager of the International Brotherhood of Electrical Workers Local 2327, said in a statement that support for the deal is dwindling "with each passing day."
FairPoint spokesman Jeff Nevins said his company is disappointed in the report and will send a formal response next Monday to the commission. He said the firm still believes strongly that the deal is good for New England consumers and that it will create hundreds of jobs.
"We're willing to negotiate and work on the deal," Nevins said.
Verizon Senior Vice President Eric Rabe said he expects regulators will impose conditions. But he said FairPoint already has worked diligently to address any concerns the commissioners may have.
"FairPoint has bent over backwards to reassure all the interested parties that they're going to do all the right things to make this work," he said. "I'm not sure what serious legitimate complaint can be waged here."
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Security
Ten Fingerprints To Be Required At Some Airports
by Chris Strohm
Starting next week, the Homeland Security Department will begin requiring foreigners who fly into certain U.S. airports to have 10 fingerprints scanned as part of an upgraded security system.
The department will require foreigners arriving at Washington Dulles International Airport outside of Washington, D.C., to provide 10 fingerprints under an expanded version of the US-VISIT migrant-tracking system. The system will be deployed at nine other airports by next March, a US-VISIT spokeswoman said.
Foreigners previously have been required to have only two fingerprints scanned into the system, which compares that biometric information to government watch lists in order to identify potential terrorists, criminals or people who have violated immigration laws.
The transition to 10 fingerprints has been years in the making. Critics have noted that US-VISIT is not fully compatible with the FBI's integrated fingerprint database, which uses 10 prints. Additionally, the State Department is using 10-fingerprint scanners at most of its visa-issuing centers around the world.
"The transition from collecting two digital fingerprints to collecting 10 fingerprints from international visitors is one of the department's top priorities because it furthers the department's ability to keep dangerous people out of the United States while making legitimate travel more efficient," the department said in a statement.
The spokeswoman said Homeland Security has begun a public relations campaign to inform international travelers of the new procedures and does not expect wait times at airports to increase. "We're working on doing this in a way that doesn't impede travel," she said.
She noted that US-VISIT has been operating for four years, so foreigners are accustomed to having fingerprints scanned. "We've had that experience behind us, so this is not new," she said.
Homeland Security awarded contracts to CrossMatch Technologies and Identix Identification Services to supply 10-fingerprint scanners, the spokeswoman said. Identix has since become L-1 Identity Solutions.
The department plans to evaluate how the scanners are operating at the airports in March and select one of the companies to continue supplying scanners.
According to the department's schedule, the upgraded US-VISIT system will be deployed at 107 other airports by Dec. 31, 2008. Additionally, the department will begin collecting 10 fingerprints of international travelers at seaports and land ports by that date. The system is only used during secondary screening procedures at land crossings.
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Politics
Humor, Negativity Get Most Attention In Web Video
by Heather Greenfield
Having the top-watched presidential video on YouTube may sound like a strategy for campaigns to pursue -- until they learn that the music video "I've Got a Crush On Obama" ranks No. 1.
The "Obama girl" video that stars a young actress singing of her affection for Democrat Barack Obama (4 million views), the "Vote Different" attack on Democrat Hillary Clinton (nearly 4 million), and the video of Clinton singing the national anthem off key are the three most-watched videos about the candidates.
Even the outtakes of Obama girl typically received twice the views of campaign-produced videos. In all cases, the candidates' own footage from their time in the "YouTube spotlight" earlier this year ranked among the top five videos about them.
Campaign-produced videos rarely go viral, meaning that they spread rapidly via e-mail and Internet outlets like blogs. Only Clinton, Democrat John Edwards and Republican candidate Mitt Romney had videos other than their spotlights make the top five.
Footage of Romney's 1994 debate with Sen. Edward Kennedy, D-Mass., has been far more popular, as have a spoof of three Romney supporters denouncing Obama girl and a cartoon about Mormonism, Romney's religion.
But some strategies may be gleaned from the YouTube popularity list. Strategists for Democratic and Republican candidates who had more flattering videos on their most-watched lists said things that work include humor, honesty, and videos that either fit existing narratives of candidate liabilities or answer questions that reporters may not dare ask.
The most popular video about Democrat John Edward remains the one of him primping to the tune "I Feel Pretty." But Edwards' campaign produced the other four top videos about him. "Hair," his humorous response to "I Feel Pretty," ranks fifth.
"What we decided to do is turn the tables and ask people what really mattered, haircuts or 47 million people without health care, 35 million in poverty or soldiers fighting in Iraq without the proper body armor," said Eric Schultz, an Edwards spokesman.
Another video that Edwards' team spliced together of Clinton seeming to argue both for and against bringing U.S. troops home from Iraq went viral this month. Schultz said the video "crystallized" concerns about doubletalk on the war.
Other popular videos support the theory that footage about candidate liabilities get the most views. For example, the No. 2 video about Republican Rudy Giuliani is one where he faces microphone trouble while defending abortion during a debate, prompting jokes about lightning striking.
Republican John McCain's popular videos mostly feature him answering questions about everything from whether he is too old to how the GOP can defeat Clinton, whom a female questioner called "the bitch."
Eric Frenchman, the chief Internet strategist at Connell Donatelli, which consults for McCain's campaign, said the popular videos are no surprise. "People have cameras and people post," Frenchman said. "As long as you're on message, you're good."
He said McCain excels in an environment where people can ask real questions. "The more people that can see him in action, the better for the campaign."
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Intellectual Property
Supreme Court Won't Hear Viacom Trademark Case
by Andrew Noyes
The Supreme Court on Monday declined to hear an appeal of a trademark case brought against the media company Viacom by a small California software firm. The high court also took a pass on a long-running patent dispute between two pharmaceutical companies.
In the trademark matter, M2 Software asked the court to hear its complaint regarding the Viacom-owned MTV2 cable music channel, previously known as M2, after the 9th U.S. Circuit Court of Appeals sided with the television firm.
M2, which creates software for recording labels, music publishers, artists and producers, sued Viacom and MTV Networks nearly a decade ago. In 2004, a district court barred Viacom from using M2 or "M2: Music Television."
The appellate panel, however, decided in February that "no reasonable fact-finder could conclude that M2 Software was entitled to any actual damages" and that Viacom had not willfully infringed on the trademark.
The plaintiff "has not produced any evidence of confusion between its mark and Viacom's mark, but rather only evidence as to who was the rightful trademark owner," the court said.
M2 Software appealed to the Supreme Court, claiming that federal law does not uniformly require that trademark infringement be intentional for a rights holder to seek a share of an alleged infringer's profits.
On the patent front, the high court refused to hear a case brought by Advanced Cardiac Solutions. The Federal Circuit Court of Appeals and a district court found that the Alabama firm infringed on a rival's patent on a chemical used during heart surgery.
Central Admixture Pharmacy Services filed its initial suit against its competitor in August 2000. The appeals court held in April that Central's patent was valid and that the company had not engaged in false marking or advertising, which ACS had claimed.
Meanwhile, the justices' closed-door conference on Friday could decide the fate of a pair of high-profile cases -- one that involves Rep. Jim McDermott and House Minority Leader John Boehner, R-Ohio.
In May, the U.S. Circuit Court of Appeals for the District of Columbia ruled that McDermott, D-Wash., did not have the right to disclose to reporters the contents of an illegally taped December 1996 telephone call between Boehner and GOP officials.
The other case under review involves adult publisher Perfect 10. According to the popular SCOTUS Blog, it would examine whether trademark and right-of-publicity claims filed under state law fall within an immunity exception of the federal Communications Decency Act.
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Cyber Security
America Already Is In A Cyber War, Expert Says
by Michael Posner, CongressDaily
A technology expert said Tuesday that the United States is in the midst of an active cyber war and is now implementing still-secret security plans for protection.
Andrew Palowitch, a former CIA official who is now an industry consultant to the commander of the U.S. Strategic Command, peeled back a gauzy layer over the secret national cyber-security initiative that will be a blueprint for protection.
"We are currently in a cyber war and war is going on today," Palowitch said in a talk at Georgetown University's Center for Peace and Security Studies. He credited Gen. James (Hoss) Cartwright, vice chairman of the Joint Chiefs of Staff, with that assessment but said he agrees with it.
"America is under widespread attack in cyberspace," Palowitch said in citing Cartwright's statistics that there were 37,000 reported breaches of government and private systems in fiscal 2007. There were nearly 13,000 direct assaults on federal agencies then, and 80,000 attempted computer network attacks on Defense Department systems, he added.
Some of those assaults "reduced the U.S., military operational capabilities," Palowitch said. He never discussed who the enemy might be.
Palowitch spoke only in non-classified, general terms about the cyber-security initiative, a program conceived to protect government and private networks from cyber attacks. The program is slowly being implemented, he said, but its specific details may remain secret.
Responsibility for the initiative will rest with the Defense and Homeland Security departments. As part of the initiative, a U.S. Air Force cyber command was established in September. On Nov. 6, Homeland Security's cyber division received $115 million in reallocated funds.
And this month the White House Office of Management and Budget directed all agencies to reduce their total external connections so there is no more than 50 "trusted" Internet connections. Currently there are 1,300 avenues in all federal agencies for possible cyber terrorists.
As the cyber war continues, Palowitch said, a whole range of issues will have to be addressed, including legal, civil rights, policy and liability.
Besides being a defense consultant, Palowitch is the chief technology officer for Science Applications International Corp., a major designer of devices to protect computers and networks from attack.
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Today's Feature:
People Column
It's a changing of the guard but not the colors at ActBlue.org. The online fundraising site, which has raised $32 million for Democratic candidates since 2004, plans to promote Jonathan Zucker to executive director.
Every Tuesday, read the People Column by Heather Greenfield.
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E-briefs
E-Government: California Secretary of State Debra Bowen announced Monday that the proponents of a proposed initiative to effectively ban touch-screen voting machines in her state may begin collecting signatures in order to qualify it for a vote next fall. The proposed ballot initiative would change the state's definition of "tangible ballot" to exclude all touch screens and other types of ballots powered by direct-recording devices. Proponents of the measure must collect signatures from 433,971 registered voters to ensure that it is placed on the ballot next year. The signatures must be collected by April 24. More than two dozen states already require votes to be backed up by some type of paper trail.
Antitrust: European antitrust regulators suspended their probe of IBM's bid for Swedish software provider Telelogic AB until they get more details on the deal, the European Commission said Tuesday. AP reports that the commission, the European Union's regulatory arm, said it needs more information from the companies to determine if the $828 million deal violates EU competition rules. Resumption of the in-depth review will start once the requested information is given to EU officials, the commission said. An initial EU investigation found IBM and Telelogic were direct competitors and leading vendors worldwide in software modeling and in development tools, adding that a linkup between the two "could have adverse effects on competition." The EU had set a Feb. 20 deadline but no new date was given.
Telecom: Verizon Wireless announced Tuesday that customers can use unaffiliated software, applications and devices on its nationwide network beginning in 2008. "I continue to believe that more openness -- at the network, device and application level -- helps foster innovation and enhances consumers' freedom and choice in purchasing wireless service," FCC Chairman Kevin Martin said in a statement hailing the development. The New America Foundation said the move appears aimed at heading off competition from Google and other potential new wireless entrants. Google recently announced the creation of an alliance to develop open specifications for new wireless devices. Rep. Edward Markey, D-Mass., also is preparing legislation aimed at preventing operators of wireless and wireline networks from potentially discriminating against content providers. Verizon's move drew praise from the wireless association CTIA and Markey. Gigi Sohn, president of the digital-rights group Public Knowledge, is "cautiously optimistic" because the arrangement is limited to Verizon.
Privacy: The FTC on Tuesday released a survey showing that 8.3 million American adults were victims of identity theft in 2005. Of the victims, 3.2 million experienced misuse of existing credit cards; 3.3 million experienced misuse of non-credit card accounts; and 1.8 million found that new accounts were opened or other frauds were committed in their name. Costs associated with ID theft varied widely, the study showed. In at least half of the incidents, thieves obtained goods or services worth $500 or less and 10 percent of the time, losses were valued at more than $6,000. Thieves obtained more goods and services -- and victims spent more time and money recovering -- in instances involving new accounts rather than the hijacking of existing ones. The study underscored the importance of consumer vigilance to deter identity thieves and detect suspicious financial activities, said Lydia Parnes, director of the FTC's Consumer Protection Bureau.
Environment: Greenpeace's latest "Guide to Greener Electronics" names Nintendo as the first company to score zero out of a possible 10 points. The sixth edition of the quarterly guide that came out Monday was expanded to cover televisions and computer games. Greenpeace rates consumer electronic companies based on their products' levels of toxic chemicals and their recycling initiatives. Microsoft and Philips also came in at the bottom of the ranking, with scores of 2.7 and 2, respectively. Meanwhile, Sony Ericsson took over the top spot from Nokia. Nokia and Motorola got penalty points for not fully honoring their own recycling take-back policies in several countries. Consequently, Nokia fell from the top position to ninth place and Motorola dropped from ninth to 14th. "Companies shouldn't be under any illusions that Greenpeace won't check up on their claims of green greatness," said Iza Kruszewska, toxics campaigner at Greenpeace International.
Cyber Security: Targeted attacks on computers and vulnerabilities in Web applications topped the list of threats to government and industry information systems in 2007, according to a new report from the SANS Institute to be released Wednesday. GovExec.com reports that while proper security measures can help lock down agency systems, employees are easily duped by the increasingly sophisticated methods of hackers. While threats such as "botnets" and "malware" attacks have existed for years, new means of intrusion have emerged that are far more difficult to detect, SANS said. Alan Paller, director of research at the institute, said malicious intruders gain access by exploiting vulnerabilities in Web browsers, office applications and media players, and often face few obstacles in accessing sensitive information from back-end databases. The institute recommends security awareness training and monitoring of network traffic, as well as sending periodic "spear phishing" e-mails that are benign to test employees' knowledge.
Science: The Food and Drug Administration and Duke University Medical Center announced on Tuesday a collaboration to modernize the way clinical trials for treatments are conducted. A public-private partnership -- hosted by Duke -- will develop new standards and technologies to improve the safety, quality and speed of trials. Most agree that the process is too slow and unwieldy. Currently, most trial data is recorded on paper. Establishing standards, like common electronic forms for collecting research and data management systems, would allow researchers to analyze and compare results instantly nationwide -- enabling them to spot safety problems faster. "Indeed, there is concern that our research system is falling behind the needs of society to determine the balance of benefit and risk from drugs, devices and surgical procedures," said partnership Co-Chairman Robert Califf, Duke's vice chancellor for clinical research. "Society is appropriately demanding more evidence about medical practice." The recommendations are expected to take several years to develop.
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Editor in Chief -- Louis Peck, 202-739-8481
Editor -- K. Daniel Glover (bio)
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Special Correspondent -- Chris Strohm (bio)
Staff Writer -- Michael Martinez
Senior Business Affairs Manager -- Chris Hamby
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