ALERT ON Tomorrow's Mark Up of Internet Bill (COPE)

Most folks reading this will have heard about the Communications Opportunity and Enhancements Act of 2006, aka COPE. I shall blog more thoroughly on this presently. For now, I want to focus on a narrow issue that may get lost in the shuffle: the efforts of Rep. Steve Buyer (R-IN) to accomplish for his telco masters what AT&T could not accomplish in his home state — killing muni broadband.

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Comcast/TW/Adelphia Deal In Trouble — Update

Back in December 2005, I wrote this piece suggesting that it might not be smooth sailing for the proposed deal between Comcast and Time Warner to split the bankrupt Adelphia systems between them and achieve total cable dominance. At the time, I was a lone voice suggesting that the split at the FCC might force the companies to chose between accepting conditions or walking away, especially as Adelphia creditors demand that the parties close the deal and come up with the money.

Apparently according to this article in Variety, I am no longer a lone nut or in denial. The endless delay and the likelihood that the FCC will impose conditions (despite the party-line green light the Federal Trade Commission gave at the end of January) has a number of analysts suggesting the deal may crumble in the face of creditor concerns and possible “deal breaker” conditions on access to regional sports networks and net neutrality.

Meanwhile, Robert McDowell’s nomination as fifth FCC Commissioner, on whom Time Warner and Comcast pin their hopes to break the tie and prevent real coditions on the merger, remains stuck in the Senate. McDowell is non-controversial, but scheduling a vote remains hostage to the vagaries of Senate politics. Senators can place a hold on any nominee for any reason. McDowell has been caught up in various controversies and thus remains in limbo. Given the short legislative calendar this session, because folks want to rush back home and campaign, it is possible that McDowell will remain in limbo until the fall. Or he may get cleared by a Senate vote when they come back this week.

If you were an Adelphia creditor, would you want to bet on the timing? Or would you rather see the deal close? And that gets you fighting with TW and Comcast.

Hmmmm….. maybe the other bids weren’t so bad after all. Anything would clear more easily than this mess. And wouldn’t it be nice to get paid?

Stay tuned . . . .

Shutting out “controversial” religious ads

Wanted to share with you the ongoing problems folks at United Church of Christ (UCC) (a frequent client of my employer, Media Access Project), are having with getting an advertisement of their on the air. As some of you may recall, the United Church of Christ has found it difficult to buy air time for advertisements urging folks to come to church. Please note, that’s BUY airtime. UCC has not asked for a freebie public service announcement.

Apparently, the message that Jesus ministers to everyone regardless of whether they are mainstream or not is still too “controversial” for mainstream networks. Worse, and further proof of the power of consolidation to supress debate, the cable networks owned or affiliated with the broadcast networks have now joined in the black out of UCC’s controversial “God loves everyone” message. Even the Viacom gay and lesbian network has rejected the advertisement (apparently a church that actually welcomes members of their target audience is too controversial).

For anyone who laughs at the idea that a “free market” will willingly forgo revenues just to block potentially unpopular speech, I advise you to look again. You can read a god op ed on the matter here.

Below I reprint a letter from the Rev. Bob Chase, the head of UCC’s Office of Communication, describing the situation.

As an Orthodox Jew, I am not myself a member of UCC. But I know what it is to be non-mainstream. Anyone who cares about ensuring a free and robust exchange of ideas in this country should ask why UCC can’t find anyone to sell it air time. Is it UCC’s activism on media ownership issues? Their “controversial” decision to appeal to non-mainstream (e.g., gay) parishoners?

And what makes you think the next “controversial” message about your favorite cause will get through?

Stay tuned . . . .

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My speech from the Community Wireless Conference

On March 31-April 2, I attended the Second National Summit for Community Wireless. It was an amazing event. The energy was unbelievable. My one regret was that I agreed to do two panels. Because the panels were so long, that meant doing two thirds of the day talking when I wanted to be attending other things and learning what was going on.

And there is plenty going on in Community Wireless. Community wireless can include a local government, or “muni wireless” component, but it doesn’t have to. At it’s best, community wireless is about empowering a local community to use the tool of wireless intra-net and inter-net to reenforce everything good about the community. If the community owns the network, and uses it to create educational, social and other opportunities the members of the community value, then community wireless works real well.

I got to give the final plenary talk. I spoke from bullet points, and got really worked up emotionally while speaking (my voice actually broke on the last few lines). My attempts to recreate my speach feel overly wordy and intellectual compared to what I actually said. But I think it is still a valuable exercise to try to capture what I said and put up somewhere people can see. Hopefully, it will do some good.

Remember, we can change the world by talking.

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Satellite Radio Has Good Political Sense, NOT

Normally I like XM and Sirius just fine. But this rather sad attempt to claim they complied with the terms of their license by designing interoperable radios, but not producing them, makes me laugh.

Normally, I wouldn’t care (much) if XM and Sirius want to go all anticompetitive against each other or if the FCC lets them. But with a Senate bill pending to cut off satellite radio’s traffic and weather service, I’m not sure I’d pick this moment to look like I’m flouting the law. But hey, what do I know?

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This week's Candorville a MUST READ

Candorville started in the Washington Post last year, and it is an amazingly funny progessive comic strip. This week (April 3) features Bell mergers, Bellsouth’s disgraceful efforts to shut down the New Orleans muni wireless network, Bellsouth’s efforts to get the LA legislature to pass antimuni bills, and today why we need network neutrality.

Must send fan letter to Darrin Bell. He can say in four panels what it took me a whole essay to say.

Stay tuned . . . .

I am Jack Abramoff

For me, the story of Jack Abramoff is not the story of a corrupt DeLay catspaw finally brought to justice, ultimately bringing down DeLay himself. Nor is it a celebratory tale of the hypocrisy of those who profess religion while behaving corruptly. For me, it is a tragedy and cautionary tale that raises fundamental questions about the viability of Modern Orthodox Judaism and one of its central tennets: that a one can fully embrace modernity while fully embracing the teachings of our sages and leading a life dedicated to God. Quite literally, “there but for the grace of God go I,” and may yet. What then is my moral duty to myself, my family and my God?

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Anonymous bidding and not so anonymous shakedowns at the FCC

Say what you like about Martin in other areas, but he is (so far) sticking to his guns on whether to require anonymous bidding for the upcomming AWS spectrum auction. MAP has actively supported this proposal, because it will make the auctions work better and facilitate entry by minority owned businesses and new, disruptive competitors (I’m stuck with them by statute, so I may as well try to get them to work right).

In perhaps the most telling evidence that anonymous/blind/sealed bidding (in which the identity of the bidder is not disclosed during the action) is a good idea, every incumbent (except VZ Wireless, which has been “targeted” in certain auctions) is lobbying fiercly against it. My favorite little tidbits of when the Sausage Factory turns nasty below.

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An Examination of the Economics of Whitacre Tiering

Today’s lecture in my occassional “Economics of Market Power” series comes from the hot policy debate over whether we should let dsl (and cable) providers charge third parties for “premium” speeds to reach their customers. I call this behavior “Whitacre Tiering” (as distinguished from other sorts of tiering traffic or bandwidth) in honor of AT&T CEO Ed Whitacre, a chief proponent of the concept.

Last time, I explained why permitting Whitacre tiering would be a disaster for democracy. This time, I’ll explain why Whitacre tiering produces really, really awful results from an economic perspective. It gives actors all the wrong incentives, adds new layers of uncertainty and inefficiency to the market generally, and discourages investment in bandwidth capacity at every stage of the network (thus aggravating the broadband incentives problem you may have read about recently, rather than solving it, as some defenders of Whitacre tiering maintain).

But hey, don’t blame me, I’m just the messenger! Go do the math yourselves. All you need is a basic knowledge of Econ 101. OTOH, if you have a religious belief, possibly supported by self-interest or fueled by PAC money, that all deregulation is good and all regulation is bad, mmmkay (not that Senator Enisgn is likely to ever read this), I expect you will remain unpersuaded. Rather like passionate believers in Ptolemy’s geocentric model of the cosmos, I expect the true believer neo-cons, the companies whose self-interests are implicated, and their wholly owned subsidiaries in state and Federal legislatures, to devise theoretical models and epicycles to explain away all the nasty empirical problems and assure me I live in the delightful world of competition and frictionless switching to competitors.

It moves, it moves . . . .

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What did Martin Really Say About a “Tiered” Internet?

Much has been made over statements made by FCC Chairman Kevin Martin at this week’s TelecomNext trade show. As we at MAP have just had an experience with how often the press misunderstands Martin’s rather carefull statements, I am not as ready as many of my comrades to declare that the end is nigh. There is a huge difference between “customer tiering” (where a customer gets to chose the level of service), “provider provisioning” (where a provider pushes packets faster via Akami or bit torrent), and “Whitacre tiering” (where the ISP charges third parties for “premium” access to subscribers without regard to subscriber preferences). As explained below, figuring where Martin is proves harder than people assume.

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