Sprint Nextel representatives delineated the importance of conditions on cable Wi-Fi and backhaul if the FCC approves proposed deals between Verizon Wireless, SpectrumCo and Cox, during a meeting with FCC Commissioner Jessica Rosenworcel. The transactions involve both a sale of AWS licenses to Verizon and commercial agreements between Verizon and the cable operators, the focus of Sprint’s concerns. “The relationships that would arise from the Commercial Agreements, assuming no mitigating regulatory action, would give the Cable Companies a financial incentive to deny WiFi access to Verizon’s competitors, to the detriment of customers of Sprint and other wireless competitors,” Sprint said (http://xrl.us/bngeeo). “When a Cable Company customer uses a smartphone in his or her home or in another location on the Cable Company’s network, the phone can automatically shift from metered licensed spectrum to unlicensed, unmetered WiFi service. The phone will detect the availability of WiFi and seamlessly use preprogrammed authentication codes, with no action required by the subscriber. An agreement between the Cable Company and Verizon could continue this easy access for Verizon customers, while disadvantaging customers of competing wireless carriers by not allowing their mobile phones to access the WiFi signal ‘network’ or by erecting access barriers such as denying automated authentication, and/or requiring the entry of a complex code every time the customer wants to use the WiFi service, even in his or her own home.” Sprint also raised backhaul concerns. “Adding large numbers of microcells requires additional backhaul connections from the two major groups of suppliers: ILECs and cable providers,” the carrier said. “The close partnerships contemplated by the Commercial Agreements would destroy even the limited backhaul competition that currently exists, replacing it with cooperation that will allow Verizon and the Cable Companies to increase profits through cooperation instead of competing on price.” Communications Workers of America, meanwhile, filed a study at the FCC warning of job losses if the deals are confirmed without conditions (http://xrl.us/bngef9). “If Verizon were to build out its network, about 72,000 new jobs would be created,” concentrated in eight Eastern states and Washington, D.C. “If done right, the proposed deal would add tens of thousands of new jobs and allow underserved communities access to high-quality broadband service,” said Debbie Goldman, CWA telecommunications policy director. “The FCC has the obligation carefully to assess this deal in terms of likely job loss. We expect regulators to reject this deal unless the parties accept conditions that would create jobs, increase network investment, and promote consumer choice.” Reuters reported that the Department of Justice is concerned about the marketing deals. Two critics of the transaction and one neutral official said they give the news report some weight. “I'm not sure where Justice goes with it -- proposing conditions on the license transfer that would be enforced at DOJ; keeping ongoing investigations into anti-competitive activity open; submitting recommendation to FCC in the record, etc.,” one of the critics said.
Hearst Television and Time Warner Cable are in a retransmission consent blackout. It began late Monday night and includes the broadcaster’s WCVB (ABC) Boston, KCWE (CW) and KMBC (ABC) both in Kansas City, Mo., WLWT (NBC) Cincinnati, WTAE (ABC) Pittsburgh and seven other TV stations, the cable operator’s website said (http://xrl.us/bm93wo). “Time Warner Cable has reached hundreds of agreements with other broadcasters without broadcaster blackouts, but Hearst’s demand for a nearly 300 percent increase is way out of line.” Viewers should “make alternative arrangements for receipt of our signal,” said the website of WLWT (http://xrl.us/bngefx). It noted that Cincinnati Bell, DirecTV and Dish Network also carry the station. Time Warner Cable is “ready to continue negotiations,” a spokeswoman said.
Comcast’s NBCUniversal sold its 16 percent stake in A&E Television Networks back to A&E for $3 billion in cash, the cable operator said in an SEC filing Monday (http://xrl.us/bnged3). That’s “well above the initial price floated around months ago of $2B, and even higher than the price reported by trade press on 7/6 of $2.8B” (CD July 9 p13), analyst Marci Ryvicker of Wells Fargo wrote investors.
Cox Communications executives spoke about the “overlap” in locations where the cable operator’s phone customers are and those of a telco in Arizona, a filing on their meeting with an aide to FCC Chairman Julius Genachowski said. “Cox competes with Accipiter in portions of the fast-developing North Valley and West Valley areas outside of Phoenix,” the filing in docket 10-208 said (http://xrl.us/bngebi). “Most of the places where Accipiter and Cox compete are within master-planned developments and connecting areas. Accipiter has been spending most of its efforts to build out in places where it competes with Cox, not to serve underserved populations in sparsely populated areas.” The cable operator has opposed Accipiter’s USF waiver request (CD June 8 p15).
Univision began using a mobile portal developed by Trilibis Mobile, the vendor said Tuesday (http://xrl.us/bngd3i). Trilibis developed the portal using SmartPath, its mobile publishing platform, it said. Trilibis will also help the Spanish-language TV network develop ads for mobile pages and websites, it said.
U.S. Special Operations Command awarded L-3 Communications’ GCS subsidiary a $500 million, five-year contract to produce very small aperture terminal satellite systems, L-3 said (http://xrl.us/bngd2m). GCS provides satellite communications systems used by the Defense and Homeland Security departments, L-3 said.
While smart grids bring great “advantages and benefits” to society, their dependence on the Internet and computer networks and applications make them vulnerable to cyberattacks that could have “potentially devastating results,” the European Network and Information Security Agency said in a report (http://xrl.us/bngdww). ENISA’s report said the European Commission and member states should work to improve the regulatory and policy framework for smart grid cybersecurity at the national and EU levels. The EC and states in cooperation with ENSIA should “foster dissemination and knowledge sharing initiatives,” it said. The EC also should work with ENISA, the states and the private sector to develop a “minimum set of security measures based on existing standards and guidelines,” ENISA said.
Sprint Nextel asked Texas to eliminate the company’s status as an eligible telecom carrier (ETC) in the state, in a Monday filing with the Texas Public Utility Commission (http://xrl.us/bngdxe). The company said it “plans to continue to provide wireless service in Texas as a non-ETC,” after holding ETC status for the past seven years. The effective date of its ETC relinquishment is in well over 90 days and not until Dec. 31, the company said. Sprint plans to stop accepting new Lifeline customers after Nov. 30, and will inform existing customers that its Lifeline credit will be discontinued, Sprint said. The telco noted that AT&T Texas and Verizon Southwest hold ETC status in Texas and thus, “Sprint, in its ETC capacity, does not provide service in an area that is not served by another ETC.” Sprint attributes its decision to relinquish ETC status to its “high-cost USF phase-out obligation,” part of the FCC’s 2010 implementation order.
Hispanics primarily use mobile devices to access the Internet, a study by Hispanic Institute and Mobile Future said (http://xrl.us/bngdvp). Hispanics are 17 percent more likely to use mobile devices to go online and 20 percent more likely to watch video through mobile devices than non-Hispanic whites, it said. Young Hispanics spent $500 million on mobile apps this year, it said. The report said policymakers must consider Hispanics’ heavy use of mobile devices when implementing national broadband policy. Wireless spectrum availability, broadband user taxes, and support for discount programs such as Lifeline and Link Up are especially important, the report said. “Mobile broadband is essential for the economic advancement of Hispanics,” said Gus West, board chair of institute. “In today’s information age, the Hispanic community relies on mobile devices to stay connected for so many aspects of their lives -- to do everything from interacting with public officials to paying bills to taking their prescriptions thanks to text-message reminders."
Seven carriers from around the world banded together to allow mobile devices to connect in multiple countries, the companies said. KPN, NTT Docomo, Rogers Communications, SingTel, Telefónica, Telstra and Vimpelcom formed an alliance to centrally manage global SIM cards and worldwide machine-to-machine devices with Jasper Wireless’ control center, they said. They aim to reduce business operational costs, simplify new business model development and increase the rate of new products and services entering the market, they said in a news release Tuesday.