Government Audit Takes Aim At Obama Broadband Stimulus Plan

April 15, 2009

If past efforts are a guide, President Barack Obama’s plan to spend $7.2 billion to bring broadband to rural communities may fall short of its goals.

President Obama needs to provide more than just broad guidelines for his $7.2 billion in broadband stimulus

President Obama needs to provide more than just broad guidelines for his $7.2 billion in broadband stimulus

Money allocated under earlier government efforts to bring Internet connections to America’s smallest communities hasn’t always been spent properly.

This is the conclusion of a report by the inspector general at the Department of Agriculture that was released this week and which examined the $1.35 billion in loans that have been granted since 2001.

The report points to a necessity for the new Obama program: establish clear rules and accountability. If Obama fails to lay out clear details for the program, the money will not be allocated with a well-defined purpose and some of it is likely to be wasted.

The report found that some of the earlier loans were made to communities that already had broadband service and which were close to metropolitan areas, instead of in rural areas of the country.

When confronted with Congressional demands to revise the program, administrators hesitated to make changes to the program’s rules, the report found.

The administrators said they were waiting for Congressional revisions to the program expected in 2008. In the meantime, however, they had proposed rules limiting the loans to communities with fewer than four service providers – a definition that could be argued to include most of the country.

If Obama wants his proposal to succeed, he had better offer more than the broad overview he has offered so far.


Broadband Showdown Coming To DC: Entrepreneurs Coudl Target Excess TV Spectrum For Broadband

April 9, 2009

The government’s broadband stimulus money is creating a showdown of sorts in Washington, D.C.

The Federal Communications Commission will channel about $7.2 billion by February 2010 to companies interested in bringing broadband connections to under-served and not-yet-served rural areas of the country.

White space spectrum being shown here between TV channels

White space spectrum being shown here between TV channels

Of course numerous companies are interested: many established firms from the cable, telco and consumer electronics industries.

Perhaps the most contentious part of the plan has to do with the wireless spectrum to be made available by the switch to digital from analog television broadcasting. The release of the new spectrum could bring entrepreneurs into the picture – and more competition to the broadband business.

The change has freed up the unused white space spectrum (54 MHz to 698 MHz) previously used for over-air television signals. Congress set a June date for the release of the swath.

“The decision to open up new spectrum is one of the most contentious the FCC has ever made,” says ABI Research vice president Stan Schatt. “It’s the equivalent of the government opening up a previously untapped oilfield.”

That’s because signals at this wavelength can pass through features such as hills and forests – making the spectrum more valuable.

Service provider startups might see this spectrum as an opportunity to compete, especially in rural areas where there is a lot of white space available. And they might be able to tap into the $7.2 billion of funding waiting to be spent.

The broadcast industry is opposed to the white-spaces plan, concerned a generation of new devices will cause interference. Chip makers, device manufacturers and consumer-electronics companies are in favor, says ABI.

Opening up the white space would be just what the broadband business needs: more competition.


US Attorney General Commands Open Government

April 6, 2009

In a recent memorandum to heads of federal executive departments and agencies, Attorney General Eric Holder, Jr. has followed President Obama’s earlier lead in instructing that the Freedom of Information Act be administered with the clear presumption of openness.

According to the Attorney General, this presumption has two important implications.

The first implication is that an agency should not withhold requested government information simply because it is permitted to do so under the law. Rather, discretionary disclosures are strongly encouraged. Just because an agency technically may be able to establish that certain records are covered by a FOIA exemption is not reason enough to withhold the records.

Perhaps more sun will shine on the affairs and activities of government, says Eric Sinrod

Perhaps more sun will shine on the affairs and activities of government, says Eric Sinrod

The second implication is that even when an agency concludes that it cannot make a full disclosure with respect to requested records, it nevertheless must consider whether a partial disclosure is appropriate. Indeed, according to the Attorney General, agencies always should be cognizant that the FOIA requires that reasonable steps be taken to segregate and release non-exempt information.

The Attorney General, of course, notes that the disclosure obligation arising under the FOIA is not absolute. He understands that the statute contains meaningful exemptions designed to protect interests such as national security, personal privacy, and law enforcement.

Nevertheless, the Attorney General echoes the President in reminding government officials that they cannot shield information as confidential merely because they may be embarrassed by disclosure, because errors or failures might be made public, or because of “speculative or abstract fears.”

In responding to President Obama’s directive that he issue new FOIA guidelines, Attorney General Holder rescinded an Attorney General FOIA memorandum from 2001 that provided that the Department of Justice would defend decisions to withhold records “unless they lack a sound legal basis or present an unwarranted risk of adverse impact on the ability of other agencies to protect other important records.”

In its place, Attorney General Holder has announced that the Department of Justice now will defend a denial of a FOIA request only if the agency reasonably foresees that disclosure would harm an interest protected by one of the FOIA exemptions or if disclosure is prohibited as a matter of law.

In response to the President’s instruction to agencies to “use modern technology to inform citizens what is known and done by their Government,” the Attorney General has directed that agencies should “readily and systematically post information online in advance of any public request.”

Attorney General Holder also has encouraged agencies to reduce FOIA backlogs and to respond to information requests in a more timely manner. Along those lines, he notes that “timely disclosure of information is an essential component of transparency,” and that “long delays should not be viewed as an inevitable and insurmountable consequence of high demand.”

Perhaps the foregoing directives by the Attorney General will cause more sun to shine on the affairs and activities of government. However, this will not happen overnight. Agencies are staffed by actual human beings. These people have been operating within a different, less-disclosure-oriented culture over the past eight years. But, over time, paradigm shifts are possible, starting from the top down.

This column is written by Eric Sinrod, an attorney at Duane Morris and a guest blogger at TechPulse 360. It was originally published on FindLaw.com.


Plan To Save Scientific Research Calls For Large Scale Government Labs And Industrial Managers

March 27, 2009
Alfred Cho says he worries about the state of scientific research

Alfred Cho says he worries about the state of scientific research

Science is the engine of the U.S. economy. But as the recession diminishes already eroded levels of research at major corporations, a calamity beacons.

“I worry very much about it,” says Alfred Cho, a Bell Lab researcher credited with the breakthrough called molecular beam epitaxy.

Cho complains that the long-term vision necessary for good science is becoming a thing of the past. Companies want to see science turned quickly into products and profits.

“Today, there is no such luxury” of the patience afforded researchers at the fabled Bell Labs four decades ago, says Cho, who in May will be inducted into the National Inventors Hall of Fame.

When Cho first arrived at Bell Labs 1068 (he serves now as a consulting vice president after retiring seven years ago at the mandatory age of 65) there were major labs at RCA, Westinghouse, GE and IBM.

Some have since disappeared. Others have been trimmed down.

“At the present time, it’s getting more and more difficult” to find the long-term vision science needs, he says.

So what is the solution? Large-scale government labs fueled with government funding and partly guided by managers with industry experience, says Cho. It is these commercial managers who would help steer projects from pure science to practical benefit.

Such a change in the nation’s scientific establishment may indeed marry the best of discovery and harvest. But any plan will also need an incentive system to make sure business managers and their firms are motivated.

Cho’s MBE technology is behind the production of switches in cell phones and lasers in DVD players.


You Tube Is Banned Again In China

March 24, 2009

Just in time to block the Jon Stewart-Jim Cramer episode of The Daily Show. Is it a coincidence?

You Tube was banned last year when police clashed with protestors

You Tube was banned last year when police clashed with protestors

China has once again moved to censor You Tube from Chinese viewers.

The action was first reported by The Wall Street Journal, and so far Google, which owns You Tube, has not been told why.

A year ago, You Tube was banned in what appeared to be an effort to let the outside world see clashes between anti-government protesters and police.

A Chinese official said at a press conference that “management of the network” was being done according to law.

Traffic to You Tube from China decreased on Monday and came to halt by early Tuesday.


Australian Internet Censorship List Includes Dentist Office

March 20, 2009

Interesting story from the Associated Press out of Sydney.

As has been widely reported, the government of Australia is considering censoring the Internet to block access to sites promoting child pornography and sexual violence.

Australia wants to censor sites promoting child pornography and sexual violence

Australia wants to censor sites promoting child pornography and sexual violence

But the Australian Communications and Media Authority has refused to release the blacklist of sites it wants service providers to filter from the public.

That list now appears to have been published on the Web site Wikileak – an organization that specializes in the publishing sensitive government material.  And it includes a dentist’s office, a kennel,  a school-cafeteria consultancy firm and online poker parlors.

(I couldn’t reach Wikileak to see for myself. The site seemed to be overloaded with traffic.)

The government’s first reaction was to hide: it claimed the list was not its list. But a manager at the dentist’s office confirmed that her site was indeed on the government blacklist, according to the Associated Press.

The question is whether Australia is taking a cue from China.


Feds Still Trying To Figure Out How To Spend Broadband Funds

March 10, 2009

How the broadband boost promised by the Obama Administration takes shape is still a vaguely defined work in progress.

FCC Chair Michael Copps is seeking public imput on where to spend broadband billions

FCC Chair Michael Copps is seeking public imput on where to spend broadband billions

The government plans to spend $7.2 billion to enhance broadband networks across the country and primarily in rural areas. On Tuesday, it kicked off its efforts by saying the money, contained in the economic stimulus bill, will be spent by October 2010.

But it acknowledged it has not decided how to define “underserved” and un-served” communities, those slated to receive the funds.

With the U.S. facing a two-pronged broadband deficit that dramatically worsened under the Bush Administration, the question is a complicated one. First of all, many rural communities in the U.S. don’t have broadband access.

Secondly, communities that do – rural or not – pay higher prices for slower speeds than many leading developed countries around the world, including Japan, Korea and France.

I have hoped that the government’s fund would address both issues. But it was unclear from Tuesday’s briefing whether this would be the case.

Here are excerpts from the stimulus bill that will guide policy makers: “1) provide broadband service to unserved areas of the United States: (2) improved broadband service to underserved U.S. areas;…(5) stimulate the demand for broadband, economic growth, and job creation.

“Provides for related grants to be used, among other things, to: (1) acquire equipment, networking capability, hardware and software, and infrastructure for broadband services; and (2) construct and deploy broadband infrastructure.”

I hope the Federal Communications Commission view its role in the broadest terms possible, addressing the speed deficit as well as rural access.


Internet Gambling Sidesteps Recession

March 9, 2009

Car sales are down, unemployment is up and corporations are running for their lives this year.

But online gambling are striking it big. Gambling yielded more than $20 billion in 2008 in “what proved to be a good year overall” for the industry, says the Global Betting and Gaming Consultants on Monday.

US Congress drafting repeal of online gambling ban

US Congress drafting repeal of online gambling ban

The Isle of Man organization said the industry appears to be resilient in the face of the downturn. “2009 has started positively for any online operators and with the prospect of new markets opening up over the next 18 months, there is certainly good reason for the sector to be optimistic,” according to the group’s Interactive Gambling Report.

As consumer stay at home to save money, online gambling is likely to attract more of their time.

Some estimates show online gaming revenue to reach $125 billion by 2015.

The 2008 report comes as Democrats in Congress work to repeal a three-year-old ban on online gambling with the support of Rep. Barney Frank, D-Mass.


Bill Would Outlaw Gang Activity On The Net

March 9, 2009

It is not clear how the police will enforce it, but Texas Republicans hope to adopt a law making it illegal for gangs to promote themselves and recruit on the Internet.

Bill has support of Governor Rick Perry

Bill has support of Governor Rick Perry

The bill was introduced in the Texas Legislature late last week by state Republican Senate John Carona and is supported by Republican Governor James Richard “Rick” Perry.

Carona argues that gangs such as the Mexican Mafia, the Texas Syndicate, MS-13 and Barrio Azteca have become more sophisticated, recruiting online from across the border to find new members in schools, communities and prisons.

The bill would create a felony for using the Internet for gang activities.


Monitoring Of Internet Communications By Educational Institutions

March 6, 2009

Faculty, administrators and students often use the IT systems of educational institutions to gain access to the Internet, to visit Web sites and to send and receive emails. That is all well and good. The question arises, though, as to how much educational institutions should monitor the use of such IT systems.

Educational institutions do have an interest in ensuring that their IT systems are used properly and for legitimate purposes. For example, educational institutions do not want their IT systems to be used by faculty to allow intellectual property belonging to the institutions to be disseminated to the outside world, and they do not want students and others associated with the institutions to engage in improper speech that defames others. Monitoring of IT systems can deter such behavior and can root out problems.

Schools have an interest in making sure their IT systems are used properly, says Eric Sinrod

Schools have an interest in making sure their IT systems are used properly, says Eric Sinrod

Furthermore, educational institutions want to do their best to avoid having viruses, worms, Trojan horses, and other malware from infecting their systems, Monitoring potentially could enable IT administrators to ascertain whether system users are taking steps to avoid practices that could lead to infection from such sources.

Still, educational institutions are considered bastions of freethinking and speech. Potential monitoring of communications on IT systems of educational institutions could be perceived as possibly undermining the higher mission of the institutions.

So, what are educational institutions to do? Should they not require users of their IT systems to agree to monitoring of user communications on their systems? Should they provide for monitoring only under certain circumstances? Or, should they allow for monitoring whenever they deem appropriate?

This author believes that educational institutions really should be able to monitor the use of their IT systems. Educational institutions, for the reasons expressed above, truly to have valid interests in proper use of their IT systems. Indeed, improper use of the systems could cause disruption or damage to the systems themselves, and potentially could subject the institutions to legal liability.

The next question is how far and wide should be the scope of the potential monitoring. One approach could be that educational institutions would only monitor communications on their IT systems if they had something akin to “probable cause” to believe that particular users are engaging in improper conduct.

This standard can create ambiguity, however. Plus, if educational institutions do not have full consent to monitor, they might run afoul of the law if they choose to monitor when it is later determined that they did not have sufficient cause. Moreover, the very ability of educational institutions to be able to monitor whenever they deem appropriate could deter users from engaging in improper conduct.

At the end of the day, this author believes that educational institutions should require users of their IT systems to agree explicitly that the institutions can monitor their IT systems whenever the institutions decide that such monitoring is appropriate.

It is true that at first blush this may cause some users to believe that Orwell’s Big Brother has arrived in the form of the IT administrators of educational institutions. But even with such general consent to monitoring, the truth of the matter is that the institutions do not have unlimited resources, and they generally will not have the time, capacity or interest to engage in so-called fishing expeditions. They will be more interested in ferreting out true problems, even though users have given consent for general monitoring.

More importantly, users simply should engage in proper communications on educational institution IT systems. If they do that, they will not have to worry about anything that unlikely monitoring would reveal.

This column was written by Eric Sinrod, an attorney at Duane Morris and a quest blogger at TechPulse 360. It was originally published at FindLaw.com.


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