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PBS Explores The Growing Impact of Broadband

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Traditional Hollywood studios now compete with streaming content providers like Netflix and Amazon to capture viewers’ attention. Hari Sreenivasan looks at the growing impact of broadband and its effect on our viewing habits and entertainment industry with Brian Stelter of the New York Times and Lisa Donovan of Maker Studios. (8 minutes)

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Traditional Hollywood studios have long produced the movies and television programs we love to watch, but in the era of high-speed broadband, companies like Netflix, Amazon, YouTube, and Hulu are some of the new power players.

All of them stream movies, TV and video. Increasingly, they’re creating their own unique content as well. For the moment, Netflix has raised the stakes most prominently. Last month, it debuted all at once 13 episodes of its original $100 million dollar series “House of Cards” all at once. It stars Kevin Spacey as a cynical U.S. House majority whip. Its success turned up the heat on its competitor, Amazon Prime, which is spending millions on new content.

Amazon in turn announced an exclusive deal with PBS to stream its hit show “Downton Abbey.” Cable providers like Xfinity and Time Warner are making more of their content available for their online customers, an audience that is growing.

According to comScore, a company that tracks digital media, every day, 75 million people in America watch videos online.

[flv width=”512″ height=”308″]http://www.phillipdampier.com/video/PBS Tennessee Internet 3-21-13.flv[/flv]

Chattanooga, Tenn., is home to American’s fastest Internet connection — up to 200 times faster than the national average. Hari Sreenivasan talks with Sheldon Grizzle of The Company Lab and Richard Bennett from the Information Technology and Innovation Foundation about whether Chattanooga offers a model for the rest of the U.S. (9 minutes)

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Internet use is now so ubiquitous in the U.S. that not having access or online literacy can create major hurdles. As part of the NewsHour’s series on broadband technology and its effect on society, Hari Sreenivasan explores the so-called digital divide with Vicky Rideout of VJR Consulting and former FCC official Karen Kornbluh. (9 minutes)

Say Goodbye to Insight Cable, Time Warner Cable Has Arrived

Phillip Dampier March 20, 2013 Consumer News, Video Comments Off on Say Goodbye to Insight Cable, Time Warner Cable Has Arrived

insightOver the next three months, customers of Insight Cable will notice some major changes from their cable operator.

New owner Time Warner Cable is retiring the Insight name for good and replacing it with their own.

Customers will gradually see Time Warner Cable’s logo introduced on company trucks, billing statements, channel guides, and all correspondence.

The company promises one thing is not changing for now: your rates. But that promise won’t last long. Time Warner adjusts rates annually.

Time Warner Cable will also leave current channel lineups in place, but expect to see technology upgrades that will deliver services like online video and faster broadband speeds that may not yet be available in all Insight Cable areas.

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WCPO’s consumer reporter lets northern Kentucky subscribers know ‘Insight Cable’ is a name headed for the history books.  (1 minute)

Google Fiber Announces Next Gigabit Fiber City: Olathe, Kansas

Phillip Dampier March 20, 2013 Broadband Speed, Competition, Consumer News, Google Fiber & Wireless, Public Policy & Gov't, Video Comments Off on Google Fiber Announces Next Gigabit Fiber City: Olathe, Kansas

google fiberThe city of Olathe, Kansas will be the next home for Google Fiber, according to an announcement published yesterday on the Google Fiber Blog.

The Olathe City Council unanimously approved an agreement to wire the city for the benefit of its 127,000 residents, located 20 miles southwest of Kansas City.

This is the first expansion of Google Fiber outside of the immediate Kansas City area, but unlikely to be the last.

Rich Greenfield from BTIG Research predicts Google will likely announce a second major city for its fiber network sometime this year. Olathe doesn’t qualify at that city because it technically within the greater Kansas City metropolitan area.

The agreement with the Olathe City Council also includes permission to build a city-wide Wi-Fi network.

olatheGoogle noted the city’s willingness to cut red tape and to ease the introduction of the service were partly determining factors. Google earlier cited the importance of having a smooth working relationship with utility companies and local government officials that make fiber installation a lot easier.

Comcast will be Google’s largest competitor in the city.

“We think that fiber and widespread Internet access will help to create jobs, grow local businesses, and make Olathe even stronger as it grows,” said Rachel Hack, community manager for Google Fiber. “We still have a lot of planning and engineering work to do before we’re ready to bring fiber to Olathe. Once we get those processes underway, we’ll be able to announce more about pre-registration and construction timing.”

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KCTV in Kansas City reports the Olathe City Council unanimously approved the entry of Google Fiber into the community of 127,000.  (2 minutes)

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KMBC in Kansas City notes Olathe is Kansas’ fastest growing city, but Google’s decision is leaving residents of larger cities like Overland Park feeling left out. But Olathe already has a lot of pre-existing fiber installed independent of Google, making it easier to provide service.  (2 minutes)

Time Warner Cable and Its Kansas City Contractor Likely Targets for $100,000,000+ Lawsuits

Phillip Dampier March 20, 2013 Consumer News, Video Comments Off on Time Warner Cable and Its Kansas City Contractor Likely Targets for $100,000,000+ Lawsuits
Heartland Midwest headquarters (WDAF-TV)

Heartland Midwest headquarters (WDAF-TV)

Time Warner Cable and its contractor Heartland Midwest are among the most likely targets for negligence lawsuits that could run well into the hundreds of millions of dollars after the Kansas City Fire Department blamed a contractor for piercing a natural gas line while trying to install fiber optic cable for the cable operator.

The resulting explosion on Feb. 19 destroyed portions of the Country Club Plaza, killed one employee of a landmark Kansas City restaurant that was flattened in the blast, and left 16 injured.

Attorneys are already laying the groundwork for several lawsuits that are expected to be filed shortly.

Heartland Midwest may be deemed the most culpable by those attorneys. Pieces of the contractor’s drill were found inside the broken gas line, according to a report from an investigations team. Time Warner Cable’s deeper pockets make them a natural target because they hired Heartland as a third-party contractor. A lawsuit could claim the cable company was negligent by hiring the contractor and inadequately supervising their work.

Because of the large amount of anticipated damages requested, legal experts expect lawsuits could also target the agency responsible for marking utility lines before digging —  they may have missed the buried gas line. Other targets: Missouri Gas Energy, the owner of the gas line, the Kansas City Fire Department, which may not have moved fast enough to evacuate the immediate area, and even the owners of JJ’s Restaurant which was destroyed in the explosion. Observers note it was their gas pilot light that ignited the natural gas vapor.

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FOX4 in Kansas City reports attorneys are laying the groundwork to file lawsuits against Time Warner Cable, its contractor, and others they may accuse of negligence in a February natural gas explosion that killed a restaurant employee. Damages could run more than $100,000,000.  (3 minutes)

Special Report: Georgia’s ‘Men From A.L.E.C.’: Who Do Your Legislators Really Represent?

alec exposedThe corporate-funded American Legislative Exchange Council (ALEC) took a hit in the Georgia legislature last week as the clock ran out on several initiatives backed by its members and supporters on behalf of the group’s corporate clients.

While H.B. 282, a municipal broadband ban introduced by Rep. Mark Hamilton (R-Cumming) was soundly defeated in an unusual, bipartisan 94-70 vote, two other measures supported by Hamilton never came up for votes, including one that would have placed restrictions on city employees speaking out against corporate-ghostwritten bills like the public broadband ban he introduced.

Hamilton is no stranger at ALEC. He received $3,527.80 in ALEC “scholarships” in 2008 alone, according to the Center for Media and Democracy. Those payments covered certain travel expenses, wining and dining, and entertainment for state lawmakers (and often their families) bought and paid for by ALEC’s corporate members which include large telecom companies. After 2008, ALEC no longer had to disclose their scholarships and neither do many politicians who receive them.

In the last cycle, Hamilton cashed checks well into the thousands of dollars from AT&T, Charter Communications, Comcast and Verizon. That doesn’t include $1,000 from the Georgia Cable TV Association.

special reportRep. Don Parsons, another bill supporter, happens to be an active member of the ALEC Telecommunications and Information Technology Task Force. He has received $5,735.48 during his first three years in that role.

ALEC’s principle role is to get corporate-backed legislative ideas written into state laws. The group maintains a large database of pre-approved legislation ready-made for introduction in any statehouse. Simply change a few words here and there and suddenly it isn’t AT&T, Verizon, Time Warner Cable or Comcast introducing the bills they helped draft, it is Reps. Hamilton and Parsons.

In 2013, these two representatives went over the top for their corporate friends at ALEC.

Mark Hamilton’s H.B. 228: The “Keep Your Mouth Shut Else or Else” Act

Hamilton

Hamilton

Among the most overreaching bills introduced in the 2013 session was Rep. Hamilton’s H.B. 228 – an untitled bill that would prohibit local government employees from using government computers, fax machines or email to promote or oppose legislation by the General Assembly. It would also prohibit employees from contacting members of the General Assembly or the governor to discuss the impact of pending legislation on local governments, unless the employee is registered as a lobbyist or information is requested directly by a member of the General Assembly.

The greatest wish-come-true of ALEC is introducing legislation supported by unshackled corporate interests while muzzling local governments from objecting to the legislation.

In the community broadband battle, large cable and phone companies have limitless budgets to spend opposing public broadband with scare mailers, push polling, newspaper, radio and even television ads. Local officials fighting to defend their interests in better broadband do not. Hamilton’s bill would have taken this imbalance even further, making it a crime for any agencies, authorities, bureaus, departments, offices, and commissions of the state or any political subdivision of the state to provide members of the General Assembly with information about their broadband problems. Communities could not correct misinformation, explain a bill’s unintended consequences, or request changes to the bill.

“HB 228 is utterly ridiculous,” said Conyers City Manager Tony Lucas. “When did a local government, contacting one of our representatives or our governor, become professional lobbying? It’s respective governments conducting business for or on behalf of our citizens.”

Don Parsons’ H.B. 176: AT&T’s “Put Your Cell Tower Wherever You Want” Act

Rep. Parsons had trouble coming up with a good name for his latest legislative gift to AT&T. Originally entitled the “Advanced Broadband Colocation Act,” that title was eventually scrapped because it was not snappy enough. In its place, the “Mobile Broadband Infrastructure Leads to Development (BILD) Act” was suddenly born.

Parsons

Parsons

But after reading both it and a substitute amendment, we call it the “Put It Anywhere Act,” because the bill’s real intent is to largely strip away cell tower location authority from Georgia’s local governments.

Parsons does not host an AT&T cell tower in his backyard in Marietta, but other Georgian homeowners might had the bill passed.

H.B. 176 allowed cell towers to be placed anywhere a wireless company wanted with very limited local input. Companies were under no obligation to prove that the new towers were needed. Local governments could no longer veto their choices, much less limit additions to existing towers or suggest more suitable alternative locations.  Parsons’ bill even removed authority from local governments to insist that companies remove abandoned towers before constructing new ones.

Parsons went all-out for AT&T. Knowing that resource-strapped local governments often have bigger priorities, he set a deadline on cell tower applications at 90 days for existing towers, five months for new ones. Unless the community rejects a proposal showing good cause, it would be deemed automatically approved.

Amy Henderson, director of communications for the Georgia Municipal Association, scoffed at claims the bill was designed to streamline the cell tower application process.

“Dictatorship is just streamlined government,” she told the Rockdale Citizen. “It doesn’t necessarily mean it’s in the best interest of the public.”

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Rep. Parsons’ rambling YouTube video featuring a laundry list of AT&T talking points about the need for cell companies to throw up cell towers wherever they please because it is good for business (even if it isn’t so good for you or your neighbors). Parsons’ video then launches into a hissyfit directed at the Georgia Municipal Association, unhappy with Parsons’ sweeping transfer of authority away from local communities in favor of AT&T and others. Al Gore never sighed this much. It garnered a whopping 41 views on YouTube to date and in the spirit of open dialogue, Parsons disabled comments on the video.  (17 minutes)

Private vs. Public: A Phone-y Debate

handoutAt the heart of most of ALEC’s legislative initiatives is a sense that public institutions are somehow hampering private enterprise. Community broadband is considered an especially dangerous threat because incumbent providers claim public broadband represents unfair competition.

But as ALEC itself demonstrates, corporate welfare is alive and well in the statehouses of even the reddest states. The idea that taxpayers should not be footing the bill for things the private sector can do without costing taxpayers a nickel just doesn’t fly with reality.

As Free Press reports, phone and cable companies have been on federal welfare since their inception. A 2011 Institute on Taxation and Economic Policy study shows AT&T and Verizon receiving more than $26 billion in tax subsidies from 2008–2010.

The FCC’s 2012 report on Universal Service Fund subsidies shows nearly $3 billion in federal payments to AT&T, Verizon and Windstream. In 2010, Windstream — a telecommunications company with services across the South — applied for $238 million in federal stimulus grants to improve its service in 16 states. More than 16 million taxpayer dollars went to upgrade the company’s services in Georgia.

“Phone and cable companies would not be recording the soaring profit margins that they do, if there were truly a free market,’” said Free Press Research Director S. Derek Turner. “They have created an unlevel playing field that gives them massive first-mover advantages. The real-dollar benefits of that can’t be quantified.”

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