NNPA has direct and long-standing ties to AT&T

Sometimes it’s hard to tell real journalism from industry-backed “dollar-a-holler” hackery, but the National Newspaper Publishers Association, an organization of Black newspaper publishers, went way over the top and made it too easy.

Their “special correspondent” Yaounde Olu wrote a particularly nutty piece of paranoia in an article titled, “Free Press Targets Poor Blacks and Women for Net Neutrality Campaign,” attacking pro-consumer group Free Press for daring to work with the Harmony Institute to undo industry propaganda, astroturf group nonsense, and multi-million dollar corporate lobbying efforts to derail broadband reforms like Net Neutrality.

If this is what passes for “news,” newspapers should reconsider their NNPA membership unless they throw in some free iPhones from AT&T:

In a bid to ensure Net Neutrality, the Free Press has commissioned the Harmony Institute to develop a strategy that will target poor, rural African- Americans in the South and women to increase support for a Net Neutrality (NN) strategy. Net Neutrality is basically the principle that all Internet traffic should be treated equally. In other words, everyone has access, and all platforms, content, and sites are treated equally. The opposite concept is a system wherein there would be limited or possibly “tiered” access. This could impact small businesses and other individuals without the economic wherewithal to access all sites.

According to the Free Press, the core supporters of Net Neutrality are affluent whites, who, have easy access to broadband and understand the issues. Poor, rural African-Americans and women, however, are the demographic that must be influenced in order to build a secure NN support base.

The Harmony Institute, a self-identified nonprofit organization committed to applying behavioral science to communications, in response to the Free Press’ commission, has produced a manual for the purpose of achieving these ends entitled Net Neutrality For the Win: How Entertainment and the Science of Influence Can Save Your Internet. This 40-page document identifies poor, rural African Americans and woman as “persuadable” for Net Neutrality messaging, and lays out very specific strategies for accomplishing their end goal of manipulating this demographic.

[…]Prominent members of the African American community have expressed serious concerns about the strategy laid out in the Free Press document. Shirley Franklin, a former mayor of Atlanta, offered the following observation, “It troubles me that an organization would target women, African-Americans and other minorities on an issue of such importance as universal broadband services without basing their advocacy on access, affordability and relevance.”

Julius Hollis, Chairman and founder of the Alliance for Digital Equality (www.alliancefordigitalequality.org), an organization whose mission is to ensure accessible and affordable broadband to the unders erved and un-served, particularly to communities of color, also weighed in on the issue. He stated, “I am extremely disappointed in the Free Press, not only in its policies and tactics that they are attempting deploy in their strategy paper, but equally disturbing are its attempts to portray the African-American and Latino consumers as expendable in their efforts to promote Net Neutrality. In my opinion, this is going back to the tactics that were used in the Jim Crow era by segregationists. It’s no better than what was used in the Willie Horton playbook by Lee Atwater who, upon his deathbed, asked for forgiveness for using such political behavior tactics.”

[…]Danny J. Bakewell, Sr., Chairman of the National Newspaper Publishers Association (NNPA), is taking the lead on fighting the Free Press’s NN strategy. He has this to say about it, “… I am outraged. And you should be too. I urge you to get out in your community and tell your friends, tell your neighbors, and tell those you meet at church and other groups about this appalling report. Most importantly, call and email Free Press and tell them you need a broadband connection to your house, not a subliminal message beamed into your subconscious.”

The Alliance for Digital Equality is directly backed by... AT&T

The NNPA and this “reporter” failed Journalism:101.  Let us count the ways:

For NNPA’s reporter, Balance is a nutrition bar, not an objective to strive for in this thinly-disguised hit piece against Free Press.  Last time I checked, Free Press was happy to answer their critics and share their own views on the subjects that concern the telecommunications industry and their specially-funded-friends.  Olu couldn’t find the space for the other side after all those “shame on you Free Press” quotes.

The portrayal of issue positioning and strategic messaging to reach various groups with a pro-Net Neutrality message is hardly an insidious, offensive plot.  In fact, unlike big telecom companies, the pro-Net Neutrality side has released their findings in public.  While the telecom industry marks their astroturfing and corporate lobbying strategies “top secret,” the pro-Net Neutrality side has nothing to hide.

But what would a newspaper association catering to African-American newspapers be doing in the middle of this fight in the first place?  As Stop the Cap! has seen and reported countless times before, when interest groups suddenly take an interest in supporting the telecom industry’s agenda items, telecom money is usually not far behind.

The most shameful part of the original article is the “reporter” couldn’t be bothered to be honest with readers and disclose the fact NNPA, the organization behind the article, has direct close ties to AT&T.  So do all of the quoted sources in the article.  The lack of disclosure is inexcusable, shoddy journalism — ultimately producing  just one more piece of industry propaganda.

“NNPA and AT&T Are Partners”

AT&T’s North Carolina President Cynthia Marshall was NNPA’s special guest at a corporate luncheon held by the group this past February, during their Winter Conference held in Charlotte, N.C.

Pharoh Martin, NNPA National Correspondent, covered the event and noted AT&T had “recently established a partnership with NNPA and the NNPA Foundation.”  Martin noted AT&T’s interest in broadband issues and reform are a top agenda item for the telecommunications company and the company ran an Internet Cafe during the event, exposing visitors to AT&T’s agenda.

The Center for Media and Democracy’s SourceWatch also notes NNPA has maintained strong ties with AT&T.

Shirley Franklin provides "dollar-a-holler" support for big cable and phone companies. (Black Agenda Report produced this montage image)

Shirley Franklin, quoted in the piece, was called a prostitute for AT&T by the Black Agenda Report.  After her stint as Atlanta mayor, she’s been an enthusiastic “dollar-a-holler” supporter for big cable and phone company interests.

Julius Hollis, chairman and founder of the Alliance for Digital Equality might be deeply disappointed with Free Press in his word salad of hyped outrage, but consumers should be even more upset that Hollis, too, is working for AT&T’s interests.  In fact his group is directly supported by AT&T.  Actually, calling the ADE a “group” might be a stretch.

As SourceWatch noted, “According to its 2007 tax return (Form 990), it had an operating budget of over $2 million, of which no money was allocated for fundraising, nor hiring of employees. In fact, the total compensation for board members exceeded the amount of all program-related expenses.”  That means loads of largesse for Hollis and the aforementioned Ms. Franklin, who “seems to be some sort of senior advisor to ADE,” according to the Black Agenda Report.

Mr. Bakewell’s admission that he’s taken a political position in this debate makes the NNPA just another player in the political arena.  They cannot call themselves impartial in this debate, nor should they be writing ostensibly unbiased news reports while also cheerleading AT&T and proclaiming a partnership with the phone giant.

Bakewell’s half-baked notions that AT&T will suddenly provide affordable broadband to most Americans while it continues to raise prices on broadband service (and in some cases limit its use), would simply be dismissed as naive if AT&T’s money wasn’t helping to feed the rhetoric.

The subliminal message beamed into the subconsciousness of NNPA’s readers is the one carefully crafted by AT&T to generate fake outrage and turn a telecommunications debate into another piece of raw meat for racial politics.  Once the puppet strings leading back to AT&T are revealed to readers, the real outrage should be reserved for the NNPA itself, cynically doing the bidding of a phone company and manipulating readers with false scandals and pointless side shows of distraction.

Obtaining universal access to affordable, high quality broadband service is not, nor has it ever been, a racial issue.  It’s an economic issue that has been exacerbated by companies that enjoy their current duopoly status and can afford to keep raising the prices on their customers, regardless of who they are.

Stop the Cap! is a pro-consumer group with no industry ties and no corporate money to hide.  We’re 100 percent consumer backed and consumer supported.  Too bad the NNPA, Ms. Franklin, Mr. Hollis and Mr. Bakewell cannot say that.

Cricket, the regional wireless carrier that claims to offer “unlimited” data plans that really are not, has jacked up prices on its wireless broadband plans and reduced wireless data usage allowances.

Cricket used to charge $40 a month for 5GB of monthly usage, $60 for 10GB.  No more.

Now the company wants you to pay more for less:

2.5GB for $40, 5GB for $50, and 7.5GB for $60 is hardly "respeKting" your wallet

Thankfully, existing Cricket customers are grandfathered into their existing $40 for 5GB plan, so they do not face the price hike and allowance cut.

Cricket’s claimed speeds up to 1.4Mbps are fiction — in our own tests we found service never exceeding 650kbps, and often averages 500kbps or less in the Rochester, N.Y. area.  When Cricket cell sites become congested, as they have in the southeastern part of the city, speeds can drop to 56kbps or less, making the service completely unusable.  While web page browsing and audio streaming are acceptable using Cricket, video streaming is not.  YouTube and other video multimedia was too painful to watch.

Cricket’s best advantage in the wireless broadband market was its pricing.  Customers accepted dramatically reduced coverage areas (don’t expect Cricket to work outside of the city, nearby suburbs, and adjacent major highways), slower speeds, and a “Fair Access Policy” that throttles your connection to dial-up speeds (or less) once you exceed your monthly allowance, all in return for service priced $20 less than most of the competition.  The modem is usually free or deeply discounted, and there is no contract requirement.

But at Cricket’s new pricing, consumers should take a look at Clearwire’s new 4G service, Comcast High Speed 2Go, or Road Runner Mobile instead.  Clear’s 4G-only plan offers unlimited access for $40.00 a month without a “Fair Access Policy” throttling your service to dial-up speeds, and much faster service than Cricket can provide.  The only downsides are the up front cost of the modem and being sure 4G is available in your area.

Clear, Comcast High Speed 2Go and Road Runner Mobile offer 4G service plans with a fallback option to 3G coverage for about $55 a month.  Clear and Comcast do not limit 4G usage, but do limit 3G access to 5GB per month before overlimit fees apply.  Road Runner Mobile offers unlimited access to both 3G and 4G service.

Cricket likes to claim it “respeKts your wallet.”  Raising prices and reducing usage allowances isn’t exactly a sign of respect.

Is Rahm Emanuel the consigliere to a deal to sell out broadband consumers to big telecom companies like AT&T, Verizon, and Comcast?

White House Chief of Staff Rahm Emanuel is said to so afraid of big phone and cable companies donating millions to Republican candidates, he told agencies like the Federal Communications Commission to go along with Verizon, AT&T, and Big Cable’s demands for an end to Net Neutrality and other pro-consumer broadband reforms.

That is the rumor industry expert Dave Burstein is hearing about the prospects of broadband reclassification actually happening at the FCC this year.

It seems Verizon’s CEO Ivan Seidenberg has become a frequent guest at the White House, appearing 16 times since President Obama took office.  Seidenberg is behind the notion that saddling giant telecommunications companies with Net Neutrality will force those firms to flood Republicans with unprecedented campaign contributions.  That’s fascinating news, especially since most politicians claim campaign contributions never make any difference in how they vote on issues.  Perhaps Verizon is just being extra charitable this year.  The Republicans, who fall lock-step in support behind the nation’s largest phone and cable companies, will be delighted to accept.

With politicians like Rahm Emanuel involved, the fix may already be in.  Rule number one in politics is to always follow the money.  Rule number two is that many politicians will always take the money and vote against their constituents’ best interests unless voters are paying attention.  When a politician is forced to weigh the consequences of accepting a fat check from a corporation and voting with them or infuriating their constituents to the point of potentially losing the next election, they’ll vote with their constituents.

Meanwhile, telecom companies are engaged in a divide-and-conquer strategy, with Verizon recently making gestures to Google, one of Net Neutrality’s strongest  proponents.  Burstein thinks that unless public interest groups and the public-at-large don’t force an end to these insider deals, Net Neutrality and other broadband reforms will become little more than a voluntary agreement not to be too evil (until they redefine ‘evil’ as ‘good’ and do it anyway):

Julius (Genachowski) has already agreed to almost everything [telecom lobbyists] really want, including loopholes wide enough to carry 350 TV channels. [Stifel Nicolaus] says there is still some opposition so that nothing is final and that the public interest groups are ready to assail Julius. Meanwhile, Verizon and Google are discussing a separate peace that will make the FCC irrelevant.

This one is about power and money, not principle. The likely outcome is an agreement that will allow everyone to say noble things, will allow Julius to look himself in the mirror, and will essentially have no substance.  I hope I’m wrong.

[flv width=”640″ height=”500″]http://www.phillipdampier.com/video/Bloomberg Bloomberg’s Shields Discusses Net-Neutrality Battle 8-3-10.flv[/flv]

Bloomberg News reviews the regulatory landscape with the FCC’s secret weekend meetings to find a deal on broadband rules.  (2 minutes)

For consumer groups like Free Press and Public Knowledge, already furious over secret backroom negotiations between FCC officials and the nation’s large phone and cable companies, any deal that culminates in providers being allowed to tamper with Internet traffic, choosing favorites along the way, is tantamount to a deal with Tony Soprano.

Tim Karr from Free Press wrote a guest editorial in the Seattle Times Sunday warning there is a corporate deal in the making to take over the Internet:

On the one side, elected officials and regulators have heard from millions of citizens demanding that Washington protect this rule that preserves the Internet’s open architecture.

On the other is a lobbying juggernaut that seeks to dismantle online openness so that phone and cable companies can rebuild the Internet as a gated community that serves their bottom line.

The problem is that policymakers aren’t holding the line for the public. They seem content simply to cut a deal between companies with the most political and economic clout.

If that doesn’t worry you, it should.

Because the deal they’re cutting is over who ultimately wins control of online information. And it goes without saying that you’re not in the running.

Google, Verizon, AT&T and others are reportedly nearing consensus on an agreement that could radically redesign the Web, allowing the carriers to build priority access lanes that admit only large companies that can pay the toll.

Where will that leave the rest of us? Stranded on the digital equivalent of a winding dirt road, with slower service, fewer choices and limited access.

Here’s the kicker. The Federal Communications Commission, the one agency tasked with protecting your interests online, may be poised to sign off on this plan. The agency is reportedly convening closed-door meetings with these companies to strike a deal that would let Internet providers implement a “paid prioritization” scheme.

According to The Washington Post, the FCC’s chief of staff wanted to “seize an opportunity to agree on ways that carriers could “manage traffic” on their networks.

If recent articles by Amazon and AT&T execs are any indication, paid prioritization would allow carriers to ransom access to their customers to the highest bidder. AT&T’s top lobbyist, James Cicconi, wrote that such extortion was “not only necessary but in the best interest of consumers.”

Don’t believe it. The beauty of the open Internet is that anyone with an idea has a chance to take on giant corporations without first having to bribe network owners for access. Net neutrality is the rule that guarantees this openness.

It’s because of Net neutrality that great ideas like YouTube (which began in an office above a pizzeria in San Mateo) and Twitter (which grew out of a daylong brainstorming session among podcasters) blossomed to revolutionize how we connect and communicate with one another.

The paid prioritization deal under consideration wouldn’t allow for the next YouTube. And the next Twitter would likely never make it off the drawing board.

This scheme would let companies like Comcast and AT&T favor their own video services, voice applications and social media. It would let Verizon build a wide moat around its Internet fiefdom, insulating itself from competition by upstart innovators that want to show consumers how things can be done better and more cheaply.

Columbia Law Professor (and Free Press board chairman) Tim Wu has said that letting carriers choose favorites is “just too close to the Tony Soprano vision of networking: Use your position to make threats and extract payments. This is similar to the outlawed, but still common, ‘payola’ schemes in the radio world.

“If allowing network discrimination means being stuck with AT&T’s long-term vision of the Internet,” Wu concludes, “it won’t be worth it.”

Should any of this come to pass, it will mark the end of any credibility for FCC Chairman Julius Genachowski, who will have sold out to the interests of big telecom and, more importantly, proved himself little more than another inside-the-beltway-liar.  The implications for the Obama Administration’s credibility on broadband issues are devastating.

It was Genachowski himself who promised this would be the most open FCC ever and that he would see to it that the open principles of the Internet were safeguarded.  It’s more than a little difficult to see that happening while Genachowski’s staff secretly meets with telecom lobbyists to conclude a deal that will turn over control of Internet traffic to a broadband duopoly.

Another rate increase letter from Time Warner Cable (click to enlarge)

For the second time in a year, Time Warner Cable is jacking up the rates on its Road Runner broadband service for residents in western New York.

Stop the Cap! reader Patrick in Rochester sent word and a screen image of a letter he received notifying him Time Warner Cable was raising the price on standalone Road Runner service to $54.95 a month, effective September 1st.  Patrick, and other customers who are only interested in getting broadband service from the cable company, were paying just under $45 a month for Road Runner standalone service in early 2009.  Today, standalone service runs $49.99 a month, but the cable company is back looking for another $5 a month starting this fall.

July 30, 2010

Dear Road Runner Customer,

We are writing to inform you that effective September 1, 2010, we will be increasing the price of our Road Runner High-Speed Internet product from $49.99 to $54.95 per month for all Road Runner Standard only customers.

If you are currently receiving Road Runner High-Speed Internet products at a discounted rate, your current discounted rate will continue until the term of your promotion is complete.  Your rate will increase to the new retail rate noted above or the effective retail rates at that time.

This rate will also apply as of September 1, 2010 for those customers with two separate Time Warner Cable accounts at the same address.  Please contact us if you’d like to combine these accounts.

Keep in mind there are many packages available allowing you to bundle our video and phone products together with your Road Runner High-Speed Internet for substantial savings….

Time Warner Cable, like many cable providers, wants to discourage customers from taking only one of its products, so it gradually increases prices to drive customers to its “better value” bundled services.  As for broadband, Time Warner Cable executives have made it clear they can raise prices whenever they want.

Landel Hobbs, Chief Operating Officer for Time Warner Cable, told investors this past February consumers love their Road Runner service.

“Consumers like it so much that we have the ability to increase pricing around high-speed data,” Hobbs said.

At $55 a month, standalone Road Runner becomes increasingly difficult to justify for many consumers, but for residents in cities like Rochester, the only alternative is far slower DSL service from Frontier Communications, complete with its 5GB monthly usage allowance.

However, you can leap off the Time Warner Rate Increase Railroad by switching to Earthlink, which is running a promotion for six months of 10Mbps service for $29.95 per month.  Earthlink service is indistinguishable from Road Runner, except Earthlink speeds do not benefit from “Powerboost” — Time Warner Cable’s very temporary speed boost during the start of large file transfers.  Most customers will prefer the boost they receive from keeping the $25 difference in price in their wallets — $150 over the life of the promotion.  At the end of six months, you can hop back to Time Warner Cable’s Road Runner service on a new customer promotion at a significant discount.  No modem exchange is required — the switch to and from Earthlink can be done over the phone.  Billing is done by Time Warner Cable for both services.  Just be aware your Road Runner e-mail account will be closed when you change providers.

You can escape Time Warner Cable's Road Runner rate hike by switching to Earthlink service at a substantial discount.

Illinois politicians raked in more than a half-million dollars in campaign contributions from AT&T, yet claim the money had no influence on their decision to let AT&T reduce investment in its landline network, still serving three-quarters of residences and businesses in the state.

Not a single “no” vote was cast in either state legislative body over the latest deregulation bill — a combined vote of 177-0 in the Illinois House and Senate.

But many lawmakers said “yes” to hefty campaign contributions from AT&T.

The St. Louis Post-Dispatch counted the money:

The AT&T legislation relaxes state rules on the company regarding its maintenance of basic land-line phone service, essentially allowing it to focus more fully on its wireless business. The bill also gave the company more flexibility in changing the packages it offers to customers without awaiting regulatory approval.

The company presented the measure as crucial to the unfettered advancement of the wireless market. Critics worried that land-line users and others would see a reduction in service from the company, and safeguards were negotiated into the bill with the consumer organization Citizens Utility Board and others. Gov. Pat Quinn signed it into law June 15.

Citizens Utility Board (CUB) Executive Director David Kolata says his group is still worried that land-lines users, rural customers and others may end up left behind as a result of the legislation. He stopped short of blaming AT&T’s heavy campaign donations for the company’s success at getting most of what it wanted from the legislation, but he noted: “Those of us who had concerns about the bill really had no money on our side.”

AT&T gave about $594,000 to state-level Illinois politicians from Jan. 1, 2009, through June 30, 2010, according to the most recent data compiled by Kent Redfield, a political scientist and campaign finance expert with the University of Illinois at Springfield. That puts the company among an elite core of high-powered donors — including Ameren, ComEd, the Illinois State Medical Society several major unions — who gave more than $500,000 during that time.

Lawmakers who receive significant money from donors, while helping usher their bills through Springfield, invariably maintain the support is a matter of shared goals, not a quid pro quo.

“They’ve been supportive of me for the last three or four terms,” state Rep. Kevin McCarthy, D-Orland Park, said of AT&T, which has given him more than $10,000 since 2006. McCarthy was the chief House sponsor of the telecom bill.

“I’m a pro-business Democrat,” he said. “I think it was a great bill for the people of our state. I appreciate their support.”

If only it were that simple.  AT&T’s contributions ebb and flow depending on legislative action items before the state legislature.  For instance, nothing provoked a bigger blizzard of AT&T money than the 2005 purchase of AT&T by SBC Communications.  Seeking regulatory approval for the merger, SBC/AT&T kicked in more than $1.17 million dollars to state legislators. Less than half that amount was handed to legislators the year before.

Money buys attention to legislative issues and can move a low priority agenda item to the front burner, especially if contributions are likely to arrive from all sides of an issue.

AT&T’s latest legislative accomplishment has bought the company the right to focus its attention on its wireless business, with financial requirements to maintain landline service quality eased.  While that might help urban residents in northern Illinois achieve better cell phone service, it could leave many rural, elderly and poor residents with deteriorating basic phone service at potentially higher prices and no broadband.

That is because AT&T’s deregulation campaign left the company off the hook for a requirement it deliver broadband to 90 percent of its landline customers outside of Chicago.

The Moline Dispatch and The Rock Island Argus had a problem with that:

CUB’s biggest objection, which we share, is that the measure as written lets AT&T off the hook from a state order to ensure that its network provide high-speed Internet access to 90 percent of its customers outside Chicagoland — including folks here in the QCA and just about every corner, and the vast middle, of the state. Telecom companies would have you believe that their industry is truly competitive. But in many areas it is not, particularly outside of large urban centers. Adds Mr. Kolata, “This should be of particular concern to residents of central and southern Illinois, as state regulators recently concluded that many areas in the land of Lincoln are ‘grossly underserved.'”

Ask any company, including this one, which has tried to get the monopoly service provider to cooperate in upgrading high-speed Internet access, or at least to get out of the way of others who would, what they think and you’re liable to get an earful. They know from experience that AT&T has shown little interest in any meaningful upgrade or expansion of its facilities in the Illinois Quad-Cities.

The telecom giant and its big communication company allies are calling this a jobs bill, but saying it doesn’t make it so. Indeed, the rewrite will have the opposite effect if it does not require the corporate giant to provide critical technology outside of Chicago.

AT&T’s landline rate plans force many Illinois residents to overpay for their phone service.  The CUB has a consumer fact sheet to help AT&T customers potentially save hundreds of dollars a year.