The FCC’s excuse for delaying the AT&T/Qualcomm spectrum deal was to work on the AT&T/T-Mobile deal. The latter has been withdrawn, so what’s the excuse now?
AT&T and Sprint both get bad reviews. Sprint’s Nextel deal went through. AT&T’s T-Mobile deal is getting blocked. Hmm. Looks shady, which is why I support Chuck Grassley’s push for FCC transparency involving LightSquared, even though so far their claims on spectrum make sense to me and John Deere and the GPS industry are getting rural pushback against their LightSquared opposition.
Yeah, I never thought I’d mention John Deere in Tech at Night, either.
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Why can’t the news come in even intervals, instead of batching up all at once?
So yes, the Senate Net Neutrality vote is coming up. Credit where it’s due: Kay Bailey Hutchison moved the ball forward on this, no doubt about it. Credit also to Marco Rubio making headlines with his strong support of the repeal.
And Rubio is right: the whole thing is ridiculous. This regulation closes; it does not open the Internet. Which is why Obama is threatening a veto: can’t have the Congress undoing a regulatory power grab, can we? The representatives of the people, what do they know?
Don’t forget to tell your Senators, especially if they’re Democrats or Scott Brown, to vote for the repeal!
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Last week I noted that the FCC is officially moving ahead with its new subsidy program. The administration will convert the Universal Service Fund – currently taxing the public and handing it out to rural telephone carriers – into a grab bag of Internet subsidies. The rural phone companies are unhappy, and everyone else is racing to get a cut. C Spire, apparently serving many rural southern customers, says the order “runs counter to the administration’s goal of promoting broadband deployment.” The Tech/Users Coalition, a group that includes Obama allies Google and Sprint, calls the USF “antiquated” and cheers the reform effort, while pressing for as much subsidy of Internet connectivity as possible. IIA also supports the effort.
Look, I don’t blame any business for looking to get a cut here. The money’s there, it’s perfectly legal, and that’s the way it is. Nobody squawked at the rural carriers collecting checks all these years. But that said, I hope Republicans will look to repeal all of this in 2013.
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Not much to say tonight, which is good because I think I’m getting sick again, and if I had a lot to say I’d probably just skip tonight’s Tech.
It’s official: the race for FCC handouts is on, as the FCC voted to repurpose the old rural telephone subsidy, the Universal Service Fund (a fund that comes from your special tax dollars) into a grab bag of Internet subsidies.
In 2013 we should look at repealing the whole thing, just as Republicans continue to press for Net Neutrality repeal.
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Top story is easy to pick tonight. The legislation that’s been known in the Senate as PROTECT IP, the Internet censorship blacklist bill that promises to make a huge power grab online, Communist China-style, has come to the House. They’re calling it by two different names: E-PARASITES and Stopping Online Privacy Act, but by either name it’s just as bad.
Even as the current laws do work, this bill expands government, and puts the government’s thumb firmly on one side of the scales balanced by the DMCA. Current law attempts to provide a balance between the rights of all of us online, and the rights of copyright holders accusing others of infringement. PROTECT IP/E-PARASITES/SOPA would give copyright holders private nuclear options to knock sites offline, and government would enforce it.
No, really, how bad is it? It threatens, Twitter, Facebook, and Youtube, three critical tools used by conservatives and Republicans against this administration, and this House bill would arm this administration against them. It’s insane. It’s just so poorly thought out. PROTECT IP also removes safe harbor concepts critical to the DMCA that gave ISPs reason to be fair to the little guy when pounded on by the big guy. No more, should this pass.
PROTECT IP. SOFA. E-PARASITES. I don’t care what you call it, creating national censorship blacklists to be enforced by law by all ISPs is just a terrible idea. Censorship by its very nature hinders public oversight of that censorship. In fact, some of the first things they censored in Australia’s version were lists of things censored, which meant when the censorship expanded to other topics, any discussion of that was threatened with legal action.
Kill this bill.
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Mary Bono Mack, pay attention: Here’s the model for any privacy ventures you should attempt: voluntary action by private individuals, educated by simple government actions. If you really must get government involved, teach the people to fish, so that they can protect their own privacy for a lifetime.
Because if we insist on regulating the Internet problems of the moment, not only do we expand a government that’s already to big, we risk looking pretty stupid, too. Ah, Prodigy. I never did get their modem to work.
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Sorry if you missed Tech at Night on Friday. I was under the weather. But I’m back, and with so much to review.
How about legislation, good and bad? Well, mostly bad.
- Senate Democrats continue to push for senseless regulation of 4G Internet speeds, hindering vital new technology to increase high-speed Internet competition in America. Worse, Democrat Anna Eshoo is piling on in the House.
- Mary Bono Mack continues her push on privacy and security even though I don’t really see a government role in that, at least when it comes to private sector data. High profile cases do not good models make.
- Joe Barton wants to harass Amazon now, once again proving we did the right thing in not letting him head up Energy and Commerce. Seriously: If you’re allying with a Massachusetts Democrat, reconsider.
- When government comes preaching fairness, watch out: the push for a nationally-enforced Internet sales tax continues, which of course is just the first step to a joint state-national sales tax akin to the Canadian Harmonized Sales Tax. It’ll start at just one percent, I’m telling you. “One penny, for the children,” or “for seniors,” or even “for the Global War on Terror.” And then it will grow.
- We’re deeply in debt and running a massive deficit, but it’s time for a new program on “distracted driving”!
- OK, one piece of good news: Kay Bailey Hutchison is pressing the issue in the budget supercommittee of all places. encouraging voluntary incentive auctions of spectrum is great news no matter what the context, as we need all we can get. Giving the D block, previously proven to be unwanted at auction, over to civil defense is also good news, I believe. We learned that on 9/11. Look, I’d be all for auctioning it… if we hadn’t already tried and failed.
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Oh for crying out loud. For all that Washington talks tough about getting Americans access to high speed Internet, the “supercommittee” wants to tax new spectrum licensees. That’s just what we need: make it more expensive to build out America’s wireless infrastructure in order to pay for the President and his Cabinet to hand out money to their friends and political supporters. Isn’t that special? Here’s a joint letter against it from a number of industry groups.
Then you’ve got Dick Blumenthal, Al Franken, and Amy Klobuchar, leading the charge for the Democrat-controlled Senate that hasn’t passed a budget in 900 days, but wants to get government involved on what can or can’t be called 4G wireless Internet. Great prioritization here.
Spectrum’s important, though. Merely having access to a solid Internet connection lets Americans ave lots of money every year. Not just from being able to buy online, but also from gathering information, and simply from being able to stay at home. IIA did the math and American families each can save thousands of dollars a year online. And we’re busy regulating, taxing, and harassing firms like Google and AT&T, instead of getting government out of the way of investment. Yes, I’m frustrated.
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Columbus Day winds to a close, a cold slows me down, but Tech at Night marches on somehow. You know what’s also marched on? The New York Stock Exchange’s website. The anarcho-terrorists of Anonymous promised to take that website down (note: just the website, not the actual trading computers). Well, they failed, unless you count a two minute outage as success. Heck, RedState pretty much goes down for about 5 minutes every night, and we’re not even trying.
Speaking of security: in theory I love the idea of government focusing on government Internet security, while leaving the private sector alone. It doesn’t surprise me though if it turns out Obama’s brain trust can’t even do that right. Barack Obama’s disastrous regulatory record doesn’t suggest competence.
Which is why Mary Bono Mack needs to drop her ongoing privacy investigations, because it can only lead to more power for the government online, and that won’t end well.
Remember when I gave a little cheer for the supercommittee’s plans to auction off some spectrum? that plan is getting some criticism from people who want to keep some unlicensed spectrum free. If the spectrum can’t be put to use for high-speed Internet, then maybe it’s not worth bothering. If it can, though, let’s do it.
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Net Neutrality goes to court. Great news, too: Verizon’s preferred venue won the lottery, and the Net Neutrality fight will happen in the DC Circuit Court of Appeals. This is, of course, the same circuit that slapped down Net Neutrality last time in Comcast v FCC.
Oh, but here’s a big surprise. Despite the FCC claiming previously that “We look forward to defending our open Internet framework in court,” they’re actually doing everything they can not to have to defend it in court by attempting to get Verizon’s appeal dismissed. So much for that day in court.
As for Sprint Nextel, even as they sue claiming competition will be impaired if T-Mobile and AT&T join up, their own strategy update presentation admitted the truth. See the 9:46AM slide, showing the growth rate of the year-on-year net postpaid subscribers across the top four providers. In 2010, Sprint was the only one to accelerate, while AT&T saw the biggest drop in its growth. In the first half of 2011, Verizon and Sprint are accelerating, while would-be deal makers AT&T and T-Mobile look on pace to notch their third and fifth (respectively) years of slower growth.
Yes, that’s right. Sprint’s gaining subscribers at a faster clip, and is trying to keep the laggards from combining to keep the pressure (and 4G prices) up. And they’ve gotten the Barack Obama/Eric Holder Department of Justice to help, using your taxpayer dollars.
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