Tech at Night: FCC, Net Neutrality, Spectrum, Amazon

On July 14, 2011, in General, by Neil Stevens
Tech at Night

Sorry if you’ve been missing Tech at Night this week. Monday I just ran out of time as I had to do a whole bunch of housekeeping*, and tonight I’m running late. So let’s go.

In classic Tech at Night style, let’s talk about the FCC. They took forever to get the ball rolling on Net Neutrality, but it’s coming now and it’s a vehicle for censorship, says Seton Motley. As he says, “As every place we get our news and information continue their rapid migration to the Internet, Net Neutrality will lord larger and larger over the free market – and our free speech. Which is why we must rid ourselves of it as rapidly as possible.”

More fuel for the FCC reform fire: Free State Foundation points out the FCC has known for years of its problems with the intercarrier compensation system, which is how money changes hands when phone calls are carried across different private phone networks. They knew in 2001. That’s a long time coming. Though if they do tackle it now, we need to watch out for the Universal Service Fund becoming an Internet Tax.

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Tech at Night

Friday, Friday, Friday. Black Friday? Net Neutrality rules have become one step closer to official as the FCC finally delivered something to the OMB after months of stalling. Verizon, MetroPCS, Virginia AG Ken Cuccinelli, and others ended up unable sue to throw out the illegal power grab until it’s published, so the longer the FCC waited, the longer everyone else had to wait to begin to defeat rules that will harm innovation, investment, and jobs, say Fred Upton and Greg Walden.

It’ll be 90 more days at least before the rules hit the Federal Register and the rush to the courthouse begins.

Meanwhile the FCC’s bad run in the courts continues as it lost another case. Of course, this was actually a Bush-era rule, being thrown out on a technicality. But the Obama FCC continued its defense, and lost.

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Tech at Night

Amazon’s not kidding one bit about punishing states that attempt to punish it. After Amazon sent a last ditch warning to Associates that all California Associates would be terminated in the event Governor Brown signed the budget with the Amazon Tax in it, the Governor went ahead and did it.

So, every Amazon Associate in California just got terminated, including countless small businesses scraping by in a lousy economy (11% unemployment in CA, thanks to Brown, Obama, and the ARRA). I was one of them. I got the notice at 9:45pm. For the email’s contents, see below the fold.

Democrats: Killing jobs since 1861.

Contrast with Republicans who are embracing new technologies like Skype, shunned by the Nancy Pelosi era House.

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Tech at Night

And we truly are back. Friday night was a night off thanks to some maintenance at RedState. It was nice because I could rest on a Friday night… but it’s not so nice now when I have a whopping 20 Firefox windows to sort through tonight. So here we go.

With so many big stories going on, it’s hard to pick which one to start with. So I’ll start with the one that may be under the radar more than the others. The FCC refused to declare the wireless market competitive in its annual report required by the [Correction: OMNIBUS BUDGET RECONCILIATION ACT OF 1993]. This is a ridiculous position to take. Despite obvious, quantifiable proof that prices are lower, service is better, and choices abound, the FCC has refused to admit the market is competitive for ideological reasons. After all, if the FCC finds the market competitive, it can’t give itself permission to regulate further. Just more proof we need FCC reform, joining the long list of existing reasons.

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Tech at Night

Can we just start shooting the hackers? It seems like it’s war on the Internet these days, and the more there is for me to cover, the more work it is churning out Tech at Night!

Lulzsec denies the allies are in Baghdad the leader is arrested despite an earlier claim on Twitter that it was true.

Anyway, Shame on the Daily Mail for trying to turn a Lulzsec hacker into a sob story. He’s a criminal gangster who couldn’t hold a real job. Let him rot.

How bad is Lulzsec? Even other hacker gangs hate them. I assume it’s because others realize that Lulzsec’s insane overreach is going to bring the hammer of justice down on the entire field. Especially when they’re targeting security experts, besides. It’s true, too: The FBI is on the march here, on the heels of arrests already made in Spain, Turkey, and the UK.

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I’ve said before that the case against the AT&T/T-Mobile deal makes no sense. Not only does the historical record suggest that the merger will increase competition, but the actions of key players are the opposite of what we’d predict if the merger were expected to reduce competition and raise margins.

There’s something more to it, though. That something is astroturf pushing a basic agenda of an expanded government role in the media. Why yes, the same forces were behind Net Neutrality are now behind the anti-AT&T coalition, in addition to Sprint who wants to keep prices higher and competition lower, by preventing AT&T and T-Mobile from getting together and being more effective.

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Tech at Night

I’ve been treating Lulzsec, one of the online gangs attacking websites including the CIA’s, as an offshoot of 4chan and Anonymous. So I’m not surprised to find out that Lulzsec and Anonymous are joining up to attack the US Government. It’s like Hamas and Fatah merging; nobody is surprised. But attacking the government? Handcuffs hurt, boys. It’ll be fun when y’all find that out.

It’ll be interesting to see if Lulzsec Exposed has a role in making that happen, too.

Sega was hit recently, but the reason I’m linking to the story is to point out how laughably bad CBS’s photo for the story was. They show a picture of one old Sega platform (Sega CDX) with the logo of an even older Sega platform (Genesis). Ah, the big time press. Fact checked, peer reviewed, rock-solid. Not like us on the Internet in our robes and sandals.

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Tech at Night

So while there have been a number of genuine online attacks lately against the Senate, the CIA, PBS, Bioware, and more, the headlines have been full of reports of aftershocks. What seems to be going on is that existing account credentials leaked from previous attacks are being plugged into other sites, including Paypal.

Anyone who reuses passwords is vulnerable to these secondary attacks. Be careful out there.

These punks are overreaching though. Now the NSA is getting involved. These guys had a mission in life to track down and make life tough for Soviet spies. These no-life kiddies don’t have a chance.

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Tech at Night

Even as Mary Bono Mack and Republicans fiddle with the pointless SAFE Data act that won’t actually do anything to prevent or even to deter online crime, the Internet burns with a string of further attacks. The Senate was hit twice, and the CIA was hit as well.

I thought we were the party that likes to solve crime by putting the criminals in jail? Why don’t we drop this reporting theater and get back to catching criminals blackmailing the US government and private enterprise?

Seriously? We want to jail kids who upload music to YouTube, and create a Communist China-style Internet censorship blacklist, but we’re blaming the victims of online attacks?

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Tech at Night

The cyberterrorist groups Anonymous and its apparent splinter group Lulzsec are getting bold. The latter gang of criminals is attempting to blackmail the United States Government after attacking government networks, which is just insane and I hope will lead to mass arrests. While the former is attacking the Spanish government after arrests made there, and suffering further damage from mass arrests in Turkey.

I hope when the Lulzsec gang gets rolled up, just like Anonymous is getting slammed, that some of them resist. OK, that was a mean thing to say, but it’s how I feel.

Anonymous hub 4chan still refuses to take basic steps to mitigate the groups’ ability to propagandize and recruit, such as requiring account registration or closing down unmoderated sections of the site.

Oh yes, and despite all the above attacks plus one on the IMF, Mary Bono Mack’s answer is to blame the victims instead of rounding up and sending to Gitmo or Alcatraz the perpetrators.

In further news, lots going on at RedState today. Erick Erickson and Dana Rohrabacher are fighting the good fight on the America Invents Act, the Patrick Leahy giveaway that punishes inventors and favors lawyers and patent mills, in an attempt to make us more like Old Europe. I’ve been warning about this bill for a while, so I’m sure glad to see opposition growing.

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Nima Jooyandeh facts.