AT&T said Monday it closed its $4.83 billion deal with Crown Castle International (http://soc.att.com/1hi7zKb). The deal, announced in late October, gave Crown Castle control of more than 9,000 AT&T towers for an average of 28 years. Crown Castle will have the option to buy the towers for $4.2 billion at the end of that period. AT&T also sold the tower company about 600 AT&T towers as part of the deal. AT&T will lease back space on the towers for at least the next 10 years, but has the option to re-up its leases for the next 50 years (CD Oct 22 p5). AT&T said it will use the proceeds from the sale for “general corporate purposes, including opportunistic share repurchases and repayment of commercial paper."
Dish Network and Sprint plan to develop and deploy next year a fixed wireless broadband service trial in Corpus Christi, Texas, the companies said Tuesday in a news release (http://bit.ly/1jeRERc). Depending on a customer’s location, Dish will install either a ruggedized outdoor router or an indoor solution, they said. Both solutions will feature built-in high-gain antennas to receive the 4G test-driven development long term evolution signal on Sprint’s 2.5 GHz spectrum, they said. The companies plan to expand into additional markets in the future, they said.
ViaSat’s Exede Evolution satellite Internet plan will offer unlimited access for email and webpages using download speedus of up to 12 Mbps and upload speeds of up to 3 Mbps. The service “eliminates data usage caps for these essential online services and provides a fixed cap for other activities, such as video streaming,” ViaSat said in a press release (http://bit.ly/18xcdDJ). ViaSat is offering the plan in 30 states, “which includes much of the Exede national footprint,” it said. The expansion of the service plan represents the second phase of its introduction earlier this year, ViaSat said.
Several lawmakers praised Monday’s ruling by the U.S. District Court for the District of Columbia that National Security Agency phone surveillance likely violates the Fourth Amendment (CD Dec 17 p3). Sens. Patrick Leahy, D-Vt., and Mark Udall, D-Colo., praised the ruling on Monday. But Senate Intelligence Committee Chairwoman Dianne Feinstein, D-Calif., pointed to other legal support for surveillance and said the Supreme Court must resolve the question. “Clearly we have competing decisions from those of at least three different courts (the FISA Court, the D.C. District Court and the Southern District of California),” Feinstein said in a statement Tuesday (http://1.usa.gov/19QvjQn). “I have found the analysis by the FISA Court, the Southern District of California and the position of the Department of Justice, based on the Supreme Court decision in [1979’s Smith v. Maryland], to be compelling.” Rep. Jim Sensenbrenner, R-Wis., author of the original Patriot Act and the surveillance overhaul the USA Freedom Act, said the decision “highlights the need to pass” his legislation, according to his office (http://1.usa.gov/1bMrU8n). “I am encouraged by the district court’s ruling,” Sensenbrenner said. “It will add to the growing momentum behind the USA FREEDOM Act, which has garnered support from a large, diverse bloc of my colleagues and the business community. The Executive Branch should join Congress to institute meaningful reform.” Sens. Ron Wyden, D-Ore., Richard Blumenthal, D-Conn., Tom Udall, D-N.M., Bernie Sanders, I-Vt., and Rand Paul, R-Ky., support the ruling and back updates to surveillance law. The ruling “hits the nail on the head,” Wyden said (http://1.usa.gov/1gD2yOA), in particular highlighting the ruling’s emphasis on the ineffectiveness of the surveillance. “This ruling dismisses the use of an outdated Supreme Court decision affecting rotary phones as a defense.” Paul said the ruling is “an important first step in having the constitutionality of government surveillance programs decided in the regular court system rather than a secret court where only one side is presented,” calling phone surveillance an abuse (http://1.usa.gov/18Oxu6G). “Today’s ruling is an important first step toward reining in this agency but we must go further,” Sanders said (http://1.usa.gov/IRlBX6). “I will be working as hard as I can to pass the strongest legislation possible to end the abuses by the NSA and other intelligence agencies.” Blumenthal backed congressional action, “creating greater transparency and a special advocate whose client is the Constitution to advocate on behalf of Americans’ liberty and privacy,” he said (http://1.usa.gov/1hYbYEO). Tom Udall said he hopes Monday’s “ruling will prove to be an important milestone on the path toward increased transparency and comprehensive reforms to our surveillance programs, including an end to bulk phone record collection and the creation of a new privacy advocate within the secretive FISA court” (http://1.usa.gov/18SLmQl). Privacy advocates and Edward Snowden, the former NSA contractor responsible for the surveillance leaks earlier this year, also hailed the ruling.
Common Cause backed the FCC pulling a draft media ownership order circulated by then-Chairman Julius Genachowski that was a “bad idea to allow billionaire moguls to control even more of our media,” said the nonprofit on its blog Tuesday (http://bit.ly/1jfr7Df). It said current Chairman Tom Wheeler deserves credit for saying the draft will be reworked. The order, which would have allowed some types of broadcaster-newspaper cross ownership while attributing some TV station resource sharing deals in a way that might have curtailed them, was yanked from circulation earlier this month (CD Dec 16 p1). “It was an ugly dinosaur still stalking the Commission’s hallways long after it should have been extinct,” said Special Adviser to the Media and Democracy Reform Initiative Michael Copps, a former Democratic commissioner. “Maybe, just maybe, the new FCC will go on from here to become a true protector of the people’s interest on the people’s airwaves.”
The administration’s nominee for Central Intelligence Agency general counsel does not personally believe phone surveillance violates the Fourth Amendment, she told the Senate. The Senate Intelligence Committee held an open hearing Tuesday reviewing the nomination of Caroline Diane Krass, currently principal deputy assistant attorney general in the Office of Legal Counsel, to be CIA general counsel. Multiple senators quizzed her on Monday’s Klayman v. Obama district court ruling that National Security Agency phone surveillance likely violates the Fourth Amendment (CD Dec 17 p3). Sen. Angus King, I-Maine, raised the question early on. “I haven’t had a chance to study it carefully,” but the decision reflects the battle over the “appropriate balance” being sought in surveillance law, Krass told him of the ruling. Congress appears poised for “legislative response” and she would follow any laws enacted, she said. Sen. Susan Collins, R-Maine, followed up: “I want to ask your personal opinion of whether or not you agree with the judge’s decision.” Krass did not agree, she said. “I have a different view of the Fourth Amendment,” one in which phone metadata are not protected, Krass said, calling the 1979 Supreme Court decision in Smith v. Maryland “good law.” That case has lent legal backing to the U.S. treatment of metadata. She did say much has changed since then and some of those factors are “worth considering.” In written answers to Senate Intelligence questions submitted before the hearing, Krass said she’s not “personally familiar with the CIA’s Attorney General Approved-procedures” on the collection, retention or dissemination of data on U.S. citizens but would make the question a priority if necessary. At the hearing, Chairwoman Dianne Feinstein, D-Calif., reiterated an earlier statement. “I welcome a Supreme Court review,” Feinstein said. “It’s been more than 30 years” since Smith v. Maryland, she said, telling the nominee, “I think your position is really most important in this. … You are going to encounter some heat from us in that regard.” It’s hard to exercise oversight if the legality is murky, Feinstein said. King said “secret agencies tend toward abuse” and told Krass to be an advocate for the people of the U.S., not the director of the CIA or director of national intelligence.
Roll out of devices designed to use the unlicensed spectrum in the unused TV bands known as the TV white spaces may ramp up beginning in 2015, said Microsoft Principal Group Program Manager Amer Hassan at a Microsoft panel on unlicensed spectrum Tuesday. Silicon vendors are already starting to design microchips to take advantage of the spectrum, Hassan said. The TV white spaces will become increasingly important as more devices become available that use Wi-Fi connectivity, said several panelists. The Internet of Things, in which everyday devices such as refrigerators and toothbrushes will share data and applications over the Internet, “will be dominated by unlicensed spectrum,” said Richard Thanki of the University of Southampton Institute of Complex Systems Simulation. Thanki said such technology will also have industrial applications, leading to manufacturing equipment and warehouses that take advantage of wireless connectivity. Since the devices don’t need to exchange huge amounts of data, the TV white spaces are particularly suited to their use, Thanki said. All the panelists said the number of devices that take advantage of the white spaces is on the rise. It’s possible that the incentive auction could reduce the amount of available unlicensed spectrum, said New America Foundation’s Wireless Future Project Director Michael Calabrese. The incentive auction has created “uncertainty” about how much of the white spaces will be left in the wake of the repacking process, Calabrese said.
The FCC Media Bureau granted a Comcast petition Tuesday to exempt the cable provider from municipal rate-setting for basic-video and some other prices for 39 communities in California, said a Media Bureau order (http://bit.ly/1bYgizW). Comcast’s petition cited video competition from DirecTV and Dish Network. The deregulation affects just under 600,000 California households, including the communities of Roseville, Salinas and Santa Rosa.
The FTC filed a complaint seeking permanent injunction against Lin Miao and Andrew Bachman, and companies they own, for allegedly placing charges on wireless subscriber bills in violation of federal law. “Defendants have been engaging in a widespread scheme to place unauthorized third-party charges on consumers’ mobile phone bills, a harmful and illegal practice known as ‘cramming,'” the FTC said (http://1.usa.gov/1bLidqK). “Defendants have been operating a scam in which they have been billing consumers for text message-based subscription services even though the consumers did not authorize any purchase of the services.” Mobile subscribers targeted by the companies have been charged for celebrity gossip alerts, “fun facts,” horoscopes and “similar kinds of information,” the FTC said. Many subscribers paid their bills without noticing the charges, the agency said.
The Expanding Opportunities for Broadcasters Coalition “seems to stand in stark contrast to what is in the best interests of broadcasters and broadcasting,” said NAB auction pointman Rick Kaplan in blog post on the NAB website Monday (http://bit.ly/1k9wsKg). NAB’s executive vice president was responding to testimony from EOBC Executive Director Preston Padden at a Senate hearing last week. Padden’s complaints that the incentive auction isn’t moving fast enough and could fail don’t represent the concerns of broadcasters that want to keep broadcasting, Kaplan said. The EOBC’s mission is “to make sure that its members are paid as much money as possible and paid as quickly as possible for their spectrum licenses,” said Kaplan. “The day their checks are cashed, their engagement in this auction ends; the EOBC has no interest in the subsequent repacking or consumer welfare.” NAB and the Association of Public Television Stations recognize the auction is complex, and their members don’t share Padden’s urgency, Kaplan said. Broadcasters “want to weigh the potential benefits of participation” and aren’t “quick-hit investors looking to turn a quick profit because of the government’s unique offer to buy back licenses,” said Kaplan. Congress, the FCC and the public should treat NAB and APTS rather than EOBC as representative of broadcasters, Kaplan said. EOBC’s membership is a “closely guarded secret,” Kaplan said. “I love the NAB and have the greatest respect for its leadership,” responded Padden in an email. “Auction based payments to broadcasters, based on wireless spectrum values, are the ‘incentive’ that will drive the success of the Incentive Auction and our Coalition genuinely is committed to that success."