Category: Government

European Networked and Electronic Media (NEM) initiative launches

How Europeans receive their digital entertainment in the future could change, following an event in Nice last week. At the launch of the bold and ambitious Networked and Electronic Media (NEM) initiative, the European Commission (EC) announced their intention to form an integrated, interoperable platform. Its broad scope stretches from the way media is created, through each of the stages of its distribution, to its playback.

The EC want its citizens to be able to locate the content they desire and have it delivered seamlessly, when on the move, at home or at work, no matter who supplies the devices, network, content, or content protection scheme.

With interconnectivity as its goal, it is fortunate that over 120 experts were there to share the vision and hear pledges of active support from companies such as Nokia, Intel, Philips, Alcatel, France Telecom, Thomson and Telefonica.

It might initially appear to be surprising that companies in direct competition are keen to work together, but again and again speakers stated they could not see incompatible, stand-alone solutions working. A long-term strategy for the evolution and convergence of technologies and services would be required.

The EC is being pragmatic in its approach. They have identified that many standards bodies have, and continue to, define standards in the areas that NEM encompasses, but recognise that some of these standards overlap. The NEM approach is to take a serious look at what’s available and what’s in the pipeline, pick out the best, integrate them together and identify where the gaps are. Where it finds holes, it will develop standards to fill them.

While the global access to content is not a unique idea, what is significant is that such a large and powerful organisation has stated its desire for it to be fully open and interoperable – not restricting the consumers choice at any stage in the process.

This is bound to please, if not surprise, many individuals and user organisations who feel that the wishes of the holder of rights to content are normally considered over and above those of the consumer. Following the keynote earlier in the week of EC Director João Da Silva, they now know they have a supporter within the higher echelons of the European Commission.

Many feel that the most difficult and challenging area for the EC will be to identify a solution for interoperating Digital Rights Management (DRM) schemes. Currently DRM solutions are incompatible – locking certain types of purchased content, making them unplayable on all platforms.

With the potential of having a percentage of every media transaction that takes place globally, the prize for being the supplier of the world’s dominant DRM scheme is huge. This leads the companies who feel they have a chance in controlling it to not be very open to sharing.

Although entertainment is an obvious first step, it will encompass the remote provisions of healthcare, energy efficiency and control of the Smart Home. The over-arching initiative amalgamates the work of many currently running research projects that the EC has been funding for a number of years.

The NEM is a ten-year project, which in the everything-immediately age we live in, might seem like a lifetime away, but it’s important to remember that the digital delivery of media stretches a long way into the future. Decisions made and solutions selected now will have far reaching consequences.

This piece was featured on the BBC Web site.

MPAA Judge Finds ‘bulldozer’ approach ‘improper’

Last week, members of the Motion Picture Association of America (MPAA) filed 11 lawsuits against hundreds of people they accused of using file-sharing networks to share infringing copies of movies. However, the Federal Judge ruled the ‘bulldozer’ approach improper, ordering that the case should be put on hold for all but one of the defendants.

The move by the MPAA to group defendants into arbitrarily-joined actions was probably thought of as a ‘neat’ and easy way to get the message across to other US citizens participating in file sharing. ‘Bulk’ suing could also save a heck of a lot of paper shuffling and administration work.

The MPAA sued groups of “Does” (John Doe) identified by numerical IP address and requested the discovery of names from the users’ Internet Service Providers (ISPs). However, Judge William Alsup ruled that because claims against the 12 defendants were unrelated, suing them together into one big case was improper. “Such joinder may be an attempt to circumvent the filing fees by grouping defendants into arbitrarily-joined actions but it could nonetheless appear improper under Rule 20,” the order states.

The Electronic Frontier Foundation (EFF) has filed friend-of-the-court briefs, objecting to similar misjoinder in many of the cases filed by the Recording Industry Association of America (RIAA) against alleged infringers.

“This decision helps to give due process rights to the Internet users accused of infringement,” said EFF Staff Attorney Wendy Seltzer. “Lumping them together makes it more difficult for everyone to defend against these claims.” EFF is also concerned about the movie studios’ failure to produce evidence of infringement against even Doe #1 in this case.

In a separate case, Warner Brothers Entertainment has secured a $309,600 judgement against an actor for allegedly making promotional ‘screener’ copies of ‘The Last Samurai’ and ‘Mystic River’ available for bootleg DVD copying and unauthorised Internet trading.

Carmine Caridi, a former recurring actor on ‘NYPD Blue,’ is accused of copyright infringement and is facing a default judgement of $150,000 per film and $9,600 in attorney fees. Caridi and co-defendant Russell Sprague were caught because the screeners were individually watermarked for each recipient.

According to Warner Brothers, Carmine Caridi, as a member of the Academy of Motion Picture Arts & Sciences, signed an agreement before he received the 2003 awards season screeners promising not to circulate them. It is believed that he immediately sent the VHS screeners to another address where they were copied onto DVD and converted to digital files that were posted on the Internet.

FCC Approves First Software-Defined Radio (SDR)

The US Federal Communications Commission (FCC) has announced its approval of the first software-defined radio (SDR) device allowed in the United States. The new equipment will allow users to share limited airspace, increase flexibility, and reduce interference concerns. In a move that may prove to be a radio technology revolution, the industry is now beset with pioneering work to find more creative and efficient use of airwaves in order to offer benefits to consumers.

Software-defined radio, sometimes shortened to software radio (SR), refers to wireless communication in which the transmitter modulation is generated or defined by a computer, and the receiver uses a computer to recover the signal intelligence. To select the desired modulation type, the proper programs must be run by microcomputers that control the transmitter and receiver.

However, the most significant asset of SDR is versatility. For instance, wireless systems employ protocols that vary from one service to another – even in the same type of service – whereas a single SDR set with an all-inclusive software repertoire can be used in any mode, anywhere in the world. Software defined radios can change the frequency range, modulation type or output power of a radio device without making changes to hardware components. This programmable capacity permits radios to be highly adaptable to changing needs, protocols and environments.

The ultimate goal of SDR is to provide a single radio transceiver capable of playing the roles of the cordless telephone, mobile phone, wireless fax, wireless e-mail system, pager, wireless videoconferencing unit, wireless Web browser, Global Positioning System (GPS) unit, and other functions, operable from any location.

The FCC’s approval gives the go-ahead to Vanu, a software development company, for a cellular base station transmitter. Vanu’s Radio GSM Base Station, which is based on a HP ProLiant server running Linux coupled with ADC Telecommunications’ Digivance radio subsystem, can support multiple cellular technologies and frequencies at the same time and can be modified in the future without any hardware changes. The technology has the potential to lower costs and provide new flexibility in wireless networks, thereby changing the entire cost structure over time. The first users will be military and public safety officials.

FCC

Ofcom to BT: Equivalence or else

After a long period of deliberation Ofcom, the UK regulator, has come to its conclusion on the Strategic Review of Telecommunications Phase 2 (SRT 2 to those in the know). It won’t be forcing the split of BT Retail and BT Wholesale.

For a very long time, most companies in the UK telecoms market have bemoaned BT Retail getting a better deal from BT Wholesale (they own the network) than they were able to achieve. In the competitor’s eyes, the market hasn’t been balanced. Many felt that BT has been expert in ‘playing’ the regulator, especially Ofcom’s previous rendition, OfTel – only making changes just before they were forced.

In SRT 2 Ofcom investigated three options, Full deregulation; Enterprise Act investigation; BT to deliver real equality of access. They’ve come down on the side of the latter, in their words

“Ofcom calls on BT to provide prompt and clear proposals which will achieve these behavioural changes and bring about the level of confidence required.”

and if equality isn’t achieved, they threaten to use the second; an investigation into the market under the Enterprise Act 2002, with the potential for a subsequent referral to the Competition Commission.

In theory, when equal access to the network is given, the need for Local Loop Unbundling (LLU) to provide competing broadband services will be reduced.

When we spoke to Video Networks, the company behind the London-based IP VOD-services, they said the news today would “not impact their LLU plans”. EasyNet, a significant unbundler, didn’t get back to us before we went to press.

The SRT 2 is now open for public consultation until 3 February 2005.

It would appear that the threats from Christopher Bland, Chair of BT, in the Telegraph at the weekend that “No BT would equal No Broadband” were unnecessary.
Update: OfcomWatch comment

FCC Rules VoIP Outside State Regulations

The US Federal Communications Commission (FCC) has ruled that US states are now barred from imposing telecommunications regulations on Internet phone providers, treating Voice Over IP(VoIP) calls no differently than any other application on the Internet.

The significance of the ruling is that US states cannot subject VoIP providers to their rules – the difference between a draconian and very light regulatory environment for the carriers. However, FCC Chairman Michael Powell and two of the four FCC commissioners suggested that states still have a role to play – namely to protect consumer interests.

Of course, Internet phone service providers were pleased with the decision. Vonage, for example, had postponed plans to expand into several rural areas while it awaited the FCC action. It can now ramp up those plans again and expects to announce it has entered those new markets in the next two to three months, according to a company representative.

The ruling will come as very bad news to the four regional Bell operating companies, which had a near-monopoly lock on local phone services until Internet phone providers came onto the scene. In a statement, BellSouth Vice President Jonathan Banks urged the FCC to “create a similar regime for all IP-enabled networks and services.” He describes the FCC’s decision as a “critical step towards encouraging the deployment” of such services nationwide.

Cable providers, such as Time Warner Cable, most of which now sell VoIP plans, fear that they’ll be left out of the ruling because their services run over privately owned and operated networks, not the public Internet. “In a perfect world, it would be great in just one proceeding to deal with all the issues, but we can’t do that here,” said FCC Commissioner Kathleen Abernathy. “It would be a mistake to be on sidelines and try and deal with these other regulatory framework issues.”

However, a tougher FCC ruling would have hurt projections that VoIP services will expand from the 1 million homes foreseen at year’s end to about 10 million by the end of the decade. As traditional phone carriers see more local calls flow over the Internet rather than their own more expensive networks, they have been adding their own VoIP-based services to lure business customers away from those companies that specialise in Internet phone technology.

On a slightly different note, Communications Commission Chairman Michael Powell said on Tuesday he planned to stay at the agency, possibly through 2007 when his term expires, now that President Bush has been re-elected. Powell, the son of Secretary of State Colin Powell, became a commissioner in 1997 and was elevated to chairman in 2001 by Bush. “It’s been one of my great privileges to serve under his leadership and right now that’s what I plan to continue to do,” Powell told reporters. “I’m happy where I am for the moment”, although he also stated that he plans to stay “no later than 2007.”

US FCC

OFT’s Spam Crackdown

The Office of Fair Trading, a UK government organisation set up to protect consumers, has launched a new initiative to protect internet users from spam and misleading websites. The OFT are promoting global co-operation at a conference in London today bringing together consumer protection, data protection and telecommunications agencies from more than 20 countries.

John Vickers, OFT Chair, said in a statement: “Spam is not just annoying and intrusive. It gets in the way of legitimate e-commerce, and is often a vehicle for scams and computer viruses. International collaboration by enforcement agencies, the efforts of the computer and communications industries, and smart consumers at home (who take steps to protect themselves) are all needed to combat the internet scammers.”

To date, the OFT has fought a couple of successful actions against spammers and scam sites – but with a lack of results from other global initiatives, it remains to be seen if this latest conference will have any effect. Global spam traffic increases every week, and the numbers of scam sites, viruses and spyware applications is simply going up, not down.

The OFT’s main policy at the moment is to educate the public – their site has the usual hints and advice for email and web users, but these are hardly “tips to help you fight back”. A spam filter is not “fighting back” by any definition. Fighting back would be giving the anti-spam laws some teeth, and giving global law enforcement agencies the funding and co-ordination to combat spam at it source.

The OFT

Ofcom: A New Framework for Public Service Broadcasting

Ofcom, the UK communications regulator has published the second phase of their review of public service broadcasting. Their review contains a number of proposals intended to enhance and strengthen public broadcasting in the UK to ensure that it is not damaged by the country’s transition to a multichannel, digital market. Ofcom are also keen that the public’s subsidy of the TV market, currently standing at around UK£3 billion (€4.35 billion) should not increase.

The frame work has seven proposals and includes:

  • Supporting a independent, fully-funded public BBC
  • Channel 4 to remain as a non-profit free to air broadcaster capable of entering alliances and joint partnerships with other organisations.
  • A competition to run a new Public Service Publisher using new technologies and distribution systems to meet audience needs – though the BBC is obviously disqualified from entering.

The closing date for responses to the Ofcom report is 24th November 2004, though the review will not be completed until after Phase 3 is published.

Ofcom’s report

Rajar Propose Move to Electronic Measurement

Rajar, Joint Radio Audience Research Ltd, has published its roadmap for updating the way that it measures radio audiences in the UK.

The schedule includes a tendering process to begin in April 2005, with the new contract to be awarded in September 2005, or later. After that, new versions of the Arbitron Portable People Meter (PPM) and the GfK Radiocontrol systems will be vaildated and tested, alongside a new meter from Eurisko.

Sally de la Bedoyere, managing director of RAJAR, said in a statement: “The RAJAR roadmap to enhanced radio audience measurement is ambitious, but certainly achievable. It is the final stage of a journey RAJAR began in 2001 and it leads to a seismic change in radio audience measurement, namely the possible move to electronic measurement. We are optimistic that, by 2007, we will be heralding the introduction of an audio-meter based methodology, which measures analogue, digital, digital TV and Internet listening and we shall continue to work vigorously in the pursuit of this goal.”

Kelvin Mackenzie has already announced that the tests are “twaddle”, and indeed his Wireless Group is suing Rajar, as they are claiming lost revenue due to the lack of an electronic measurement system.

Rajar

BT Drops the Cost of Local Loop Unbundling

For a very long time UK broadband providers have claimed that BT have had an obvious lack of enthusiasm for letting them in to telephone exchanges to install their own equipment, to offer services to rival BT’s. Known in the trade as local loop unbundling (LLU), BT’s rivals see it as the only profitable way to provide broadband and high-speed services, so they don’t have to pay BT for each customer, as they do if BT equipment is used.

Following on from continuous pressure from Ofcom, the UK super-regulator, and LLU price reductions announced in May, BT has now cut the cost further.. . They put this down to   their investment in new automated processes. From now the cost of a shared LLU line is 62% less than it was in June of this year, the connection charge is now standing at £37 (~$64, ~€52) while the annual rental is £27.12 (~$48, ~€36).  It looks like BT might be on a roll and if it continues, prices may be reduced by up to 70% by the end of the year.

Ofcom already indicated its enthusiasm for LLU to play a greater role in stimulating competition in the wholesale broadband sector. Last April its chief executive, Stephen Carter, hinted that Ofcom would be proactive in making LLU more attractive to rival operators.

In real terms, cutting the cost of LLU will encourage the deployment of more 3rd party equipment in BT’s exchanges, giving more choice to UK customers.  As if to prove how serious they are about it, BT is appointing an LLU director of ceremonies.  NTL and Cable & Wireless (Bulldog) have already announced multi-million-pound plans to invest in LLU in the UK, and they must be chomping at the bit to install their kit in BT exchanges and get on with the business of offering a service to their customers.

The UK is now a respectable 8th in the list of DSL countries, according to the DSL Forum. And as a member of the European Union, it is in the number one DSL region with more than 23 million subscribers.  With lower prices bringing the UK more in line with its European counterparts, and higher speeds, customers should notice improvements as the LLU market in the UK is finally ignited.

DSL Forum

Ofcom