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Time Warner Cable Gets Into “Dollar-a-Holler” Public Policy Game – Will Pay $20k for Essays Parroting Cable Agenda

Phillip "My Essay Would Never Get Accepted" Dampier

Wonder where Time Warner Cable is spending this year’s rate increase?  Look no further than Time Warner Cable’s all-new Research Program on Digital Communications.

For a 25-35 page essay on the topics that interest Time Warner Cable’s lobbying and Re-education campaigns, the cable operator will fork over a whopping $20,000 “stipend.”

Why?  They get to use an ostensibly “independent” researcher from a major university or non-profit group to promote their agenda with the veneer of credibility.  It’s not Time Warner Cable that suggests Internet Overcharging schemes are warranted — it’s this researcher guy from a respected university who said so.  Net Neutrality should be opposed not because we have a vested interest in doing so, but because this non-profit group catering to a minority or disadvantaged group says it will harm their members.

Copies of the “dollar-a-holler” essays get spread around Washington to influence public policymakers and other legislative movers and shakers, and inevitably become talking points in the public policy debate.  Long forgotten is who paid for them.

What kinds of questions does Time Warner Cable want answers to?

  • How are broadband operators coping with the explosive growth in Internet traffic? Will proposed limits on network management practices impede innovation and threaten to undermine consumers’ enjoyment of the Internet?
  • How can policymakers harmonize the objectives of preventing anticompetitive tactics and preserving flexibility to engage in beneficial forms of network management?
  • Regarding these issues, describe a vision for the architecture of cable broadband networks that promotes and advances innovation for the future of digital communications.
  • How might Internet regulations have an impact on underserved or disadvantaged populations?

See below for my exclusive tips and strategies to help would-be applicants succeed in getting their essay proposals approved!

Some companies have paid stipends to researchers to consider market trends, new product possibilities, and be on top of the next biggest thing.  This isn’t that.

This “research program” is being overseen by Fernando R. Laguarda, Vice President, External Affairs and Policy Counselor at Time Warner Cable.  Laguarda joined Time Warner Cable last April from Wiltshire & Grannis LLP, a boutique law firm involved in telecommunications policy strategies as part of its practice.  The firm describes, among its strengths, a “first-rate understanding of the law and policy with a keen understanding of the political and public relations forces that shape public policy battles to help fashion innovative, winning strategies.”

Time Warner Cable admits he’s there to help Time Warner re-educate lawmakers and the public about Time Warner Cable’s agenda.  From their press release announcing his hiring (underlined emphasis ours):

Laguarda will play a significant role in helping the company develop and advance its policy positions, and will assume primary responsibility for working with third party policy influencers, including think tanks, academics, public interest and inter-governmental groups, and diversity organizations.

“Fernando is an accomplished attorney who comes to Time Warner Cable with a unique mix of experiences and he will bring a fresh perspective to the many policy issues we will be addressing,” said Steven Teplitz, Senior Vice President, Government Relations, adding “he knows our business extremely well and will play an essential role in helping to advance Time Warner Cable’s advocacy agenda.”

Time Warner Cable is taking a page from Verizon and AT&T, who back research “think tanks” and have contributed heavily to organizations that suddenly declare a burning interest in their corporate policy agendas.  Take a look at Broadband for America’s member roster for a review of how that game is played.

Time Warner Cable customers are probably wondering why they are paying for this.  After all, $800 a page for essays that “will provide new information, insights, and practical advice” is mighty pricey.

Ordinary consumers are not invited to apply.  Had we, my essay proposal would have been, “Time Warner Cable Should Stop Wasting Customers’ Money on Bought-And-Paid-For Essays and Instead Use the Money to Upgrade Their Network.”  I was even planning on including some nice graphs and charts and stuff.

I would remind the nation’s second largest cable operator it earns billions from selling broadband.  Instead of blowing $20k-an-essay down a Washington public policy rathole, it could instead spend it on solving their burning network management issues with simple, cost-effective upgrades that deliver better service to customers.

Since I don’t qualify — I’m just a Time Warner Cable customer, what do I know, I’ll be a giver and not a taker and share free advice with would-be applicants.

1. Since Time Warner Cable doesn’t want a breakdown of your expenses or need to know what you are going to do with the $20k, you are going to spend most of your time and effort first learning what policy positions the cable company wants you to parrot in order to improve your chances of being a big winner.  Remember, Time Warner isn’t going to give you the whole 20k upfront.  According to their FAQ, one half of the award ($10,000) will be issued at the start of the project.  The second installment ($10,000) will be made only after your advocacy essay is delivered.  There’s a built-in incentive to tow the line.

2. You can’t write on just any topic.  You have to write about one of the company’s pre-selected topics, which is why I’m out of the running for this already.  If you’ve been paying attention to the policy debates about Internet Overcharging, Net Neutrality, and Network Management, you are already half-way there!  You know what side of the issue the cable company is on, so don’t blow your chances by saying things like “a free and open Internet should never discriminate against the traffic carried on it,” or “at a time when the broadband industry earns billions in revenue and recently increased rates for customers again, the idea of implementing usage limits or usage based billing would make Tony Soprano awe at its audaciousness.”

Polly wants a stipend

(Statements in green keep you in the running.  Statements in red will likely get your proposal introduced to the circular file.)

  • Reputable equipment manufacturers predict Internet growth so great, it threatens a vast “exaflood” which could bring the Internet to its knees.  Without wise network management and traffic control measures, just like those used on any big roadway, a cataclysmic global traffic jam is inevitable.
  • Network Neutrality should be a given for any provider because no company wants to make money by slowing down someone’s content.  That would be like extortion — pay us or we put the brakes on you.
  • Network management techniques guarantee your call from grandma will be crystal-clear, your movie download from your cable-partnered movie service will always play worry-free, and by organizing online traffic, Internet chaos is reduced.
  • There is nothing wrong with cable companies colluding with one another to preserve the industry’s flexibility to manage its own traffic, even if it means putting some questionable, independently-owned traffic at the back of the line.  Nobody wanted to view that anyway.
  • Today’s cable broadband provider is investing billions of dollars to improve network capacity and deliver customers an unparalleled online experience.  The cable industry has pioneered innovation in cable network programming they own, operate and distribute to assure quality and excellence.  Now, by taking that same formula for success to online content, and cutting out unnecessary middlemen, the industry can do for broadband what it created for cable television.  Now that’s a win-win for everyone!
  • Internet regulations have unintended consequences.  It means providers have to funnel large contributions to interest groups, or place a company employee on a group’s advisory board, so that the industry can rest assured that groups with an interest in maintaining valued contributions will advocate anything we ask, starting with “these regulations are bad for our groups and our members.”
  • Unnecessary Internet regulations will create widespread depression and anxiety for investors.  That means money to expand broadband availability in underserved or unserved communities will dry up faster than the Mojave Desert.
  • If the cable industry doesn’t get its way on this, it will punish consumers like the credit card industry did after “credit card reform.”  Word to the wise.

Dealing the Race Card Into the Net Neutrality “Dollar A Holler” Debate

Phillip Dampier February 11, 2010 Astroturf, Broadband "Shortage", Broadband Speed, Competition, Data Caps, Editorial & Site News, Net Neutrality, Online Video, Public Policy & Gov't, Rural Broadband Comments Off on Dealing the Race Card Into the Net Neutrality “Dollar A Holler” Debate

For months now, several groups purporting to represent the interests of minorities have busily been attacking Net Neutrality as beside the point for the poor and unserved consumer who has been left out of the broadband revolution.  To varying degrees, several of these groups have been spouting broadband industry talking points to the Federal Communications Commission, members of Congress, and the public at large.

For them, and the profitable broadband industry they indirectly represent, providing access at affordable prices is much more important than making sure providers don’t lord over the network they provide to customers.

Access vs. Openness

Consumers are perplexed by this either/or proposition.  For us, both issues are vitally important.  In urban, income-challenged areas, affordability is a crucial issue.  In rural areas, access to anything resembling broadband comes before worrying about the price.  For all concerned, making sure the Internet is not subject to corporate content control, either through direct censorship or through the far-more-common practice of pricing and policy controls, is just as important.

Providers have their self-interest on display when they promote broadband expansion — they want to receive the public dollars available from the broadband stimulus package to pay for that expansion.  Of course, every step of the way they have their fingers all over the process, from broadband mapping that protects incumbents from potential competition, defining what constitutes broadband to be as slow and as cheap to provide as possible, to implement usage rationing through Overcharging schemes like usage limits and usage-based billing, and to advocate for public policy that keeps the Money Party of fat profits running as long as possible without oversight.

The entry of minority interest groups into the debate is nothing new.  Groups of all kinds, including many who one would think wouldn’t have an opinion on Net Neutrality, are all part of the discussion.  Debates ensue, statements are fact-checked, back and forth discussion ensues.  What disturbs me is the small handful of groups who are willing to deal the race card when their own views and statements are challenged and they are threatened with losing the argument. Ill-equipped to argue the merits of their case in detail and withstand the scrutiny of fact-checking, some have introduced race into the debate to obfuscate the issues.

While I don’t doubt their sincerity and passion advocating for increased access and affordability, too many of these groups hurt their own case by accepting generous contributions (or advisory board members) from the telecommunications industry.  Consumers who witness the near total alignment of views between these groups their corporate benefactors are right to be concerned.  Many are asking if those views represent true conviction or “a dollar a holler” advocacy.

The Black Agenda Report, which created this graphic, ponders the same questions many consumers are asking

As Stop the Cap! documented just a few months ago, Broadband for America is a great example of industry-funded astroturf in action.  Large numbers of groups with no apparent connection to the broadband policy debate have found their way onto the roster of members.  From a cattle association to a Native American group that also has a burning interest in sharing their views about corporate jet landing rights, the one thing in common with virtually every last one of them was a financial contribution and/or board member working for big cable or telephone companies.  Thus far, debating a cattle association has not brought charges of being anti-cow, although I suspect consumers are anti-bull.  Debating the merits of Net Neutrality with Native American groups has not brought charges of anti-Native American bias.

Stop the Cap! itself has been on the receiving end of racial rhetoric offered by one of the anti-Net Neutrality advocates out there, Navarrow Wright.  Wright is a former corporate executive at Black Entertainment Television, and spends his days now as a self-proclaimed social media and branding expert. Last year, after exiting as CEO of Global Grind, a hip hop social network, Wright launched Maximum Leverage Solutions, which claims to be a full service consulting firm specializing in social media strategy and Internet Consulting.

Just a few months later, Wright suddenly discovered a big interest in the concept of Net Neutrality.  While he doesn’t disclose his client list, would it surprise anyone if a telecommunications company hired his services for their own “social media strategy?”

Since last fall, Wright has been generating a mix of provider talking points, Google bashing, and attacking groups that support Net Neutrality.  He’s called supporters of an open Internet “digital elites,” the FCC a player of “dangerous games” by ignoring the anti-Net Neutrality public, Free Press a group that wallows “in crazy claims and race-dividing rhetoric,” and tries to connect support for Net Neutrality as somehow representing opposition to increased broadband adoption.

Challenging and debunking his talking points isn’t difficult — they are precisely the same ones the broadband industry has used for several years now.  We invited Wright to a full, in-depth discussion about the merits of Net Neutrality and broadband adoption.  We even got the discussion started, but that’s exactly where it ended.

Wright is also incredibly defensive about the issue of industry-backed mouthpieces and astroturf efforts in general.  Suggesting Wright’s views are inaccurate brings his resume in response, which I suppose was designed to impress readers with suggestions of his built-in expertise, belied by his silence on these issues prior to last year.  In Wright’s original comment, he took our comments about economically disadvantaged Americans and made it an issue of color:

Our piece:

The letter represents the groups’ concerns that broadband for many in America is simply not available, especially for the economically disadvantaged.  They’ve been swayed by industry propaganda to characterize Net Neutrality as a threat to addressing the digital divide by making service ultimately even more expensive.

His response:

Phil, I know (at least I hope) your intent wasn’t to suggest that people of color have been “swayed by industry propaganda” and aren’t capable of thinking for ourselves on technology issues.

James Rucker, executive director of Color of Change added to the debate in late January, wondering why some civil rights groups are only too willing to support discredited industry talking points and advocate against Net Neutrality.

Rucker discovered the same thing we did.  Challenging these groups to explain their positions brings forth repetitious inch-deep talking points and total silence when a rebuttal is offered.  If pushed, they obfuscate with claims their views are being disrespected, when in reality they are only being fact checked.  Perhaps inconvenient, and even slightly embarrassing, but it’s completely appropriate for consumers to ask whether a conflict of interest exists when a group advocates for the positions of the same industry that is sending them big contributions.

The risk, of course, is to tie an organization’s good name to demonstrably false provider propaganda that some groups are willing to repeat, nearly word for word.

Take for instance Wright’s claim that Net Neutrality will force providers to spend money they would otherwise invest for the benefit of the rural, the downtrodden, and the unserved:

That brings me to the other corporate interests: the Internet service providers. It is the ISPs who must invest in, upgrade, maintain and build out the networks that allow us to receive these cool applications. While I don’t find the network side as sexy as the content side, I do know that we have to have it and ISPs need capital to build and maintain it. So the question remains who is going to pay for maintenance and upgrades to the network if Google gets a free ride? Basic economics tells us that if government requires ISPs to give Google a free ride, there’s only one other place to look for the money: consumers like you and me. What’s more, there are those who want to make it even more unfair by insisting that your big-bandwidth-using neighbor should not have to pay more than you, even if all you want to do is check email and watch some YouTube. Who will all of this hurt the most? Low-income consumers.

The only color that really matters here is green

Wright doesn’t know his American telecom history.  Let’s discuss this fiction:

  1. Bruce Dixon, a writer for the Black Agenda Report says it better than anyone: “Phone companies invented the digital divide more than a century ago as their core business model, preferring to extend service to affluent areas where they could levy premium charges, rather than building networks out to reach everybody.”  The cable television industry “franchise” requirement came as a direct result of cable industry redlining, the practice of wiring wealthy neighborhoods for cable while bypassing urban and rural areas deemed “unprofitable.”  It’s the same story for broadband, and Net Neutrality is beside the point.  The number crunchers look for Return On Investment (ROI) when considering who gets on the right side of the digital divide.  If they can’t make a killing on you, they’re not going to provide you service.  If you can’t afford their asking price, which is increasing regardless of Net Neutrality, why serve you?  Ultimately it is consumers who overpay for these networks, priced well above cost, generating literally billions in profits.  Why ruin a good thing with altruistic broadband expansion at a fire sale price?
  2. Regardless of what Google is doing, providers are seeking new ways to further monetize broadband service, enriching themselves even further.  Prices go up even as the costs to provide the service go down.  The old chestnut about the next door neighbor being a usage piggy is just more of the same “us vs. them” propaganda from providers who want consumers to fight amongst themselves while they run to the bank with the money.  Grandma doesn’t want her broadband service limited either, and she’s way too smart to believe a provider promising dramatic savings for less service from companies that jack up her rates year after year.
  3. The best way to guarantee affordable access to broadband service is to develop a national broadband plan that provides the same kinds of “lifeline” services already available for economically disadvantaged phone customers, legislative policies that force markets open to additional competition, government oversight to ensure providers are required to provide service throughout their respective service areas, and stimulus or Universal Service Fund assistance for projects that assure access to those who simply will never pass ROI tests.  Or we can solve everything by not passing Net Neutrality?  Please.
  4. Google doesn’t have a free ride.  First, consumers -pay- providers for connectivity.  Ultimately, they are the customers — content producers are not.  Nothing prohibits an ISP from offering hosting services to content producers at competitive prices.  If Google, Amazon, Netflix, or Hulu want to host their content on servers owned by Verizon, Comcast, Time Warner, or AT&T, nothing stops them.  Google pays for its own connectivity to the Internet.  Customers pay for accessing it.  Now providers want to get paid again.  It’s like triple-charging for snail mail – you pay for a stamp to mail it, the person you wrote pays to receive it, and the airline that flew the letter cross country has to pay to transport it.

Remember, it’s the content that drives broadband adoption. ISP’s honestly don’t fret as much about traffic as they claim.  They just care whether they can own it, control it, and profit from it.  The evidence to back this up comes from cable and phone companies in a big hurry to stream video content over their TV Everywhere projects.  Nothing consumes bandwidth like online video, yet there they are enthusiastically embracing it.  They have to, because if they don’t control it, it could eventually lead to people dropping their cable TV subscriptions in favor of online viewing.

Wright’s blog promotes another industry favorite — the dreaded phony “exaflood” which threatens to bring chaos and disorder to our online world… unless we totally deregulate broadband and let them do whatever they want to “solve it.”  That’s more of the same.  We’ve seen the results of that for more than a decade now, and the very digital divide that Wright complains about comes as a direct consequence to letting broadband providers serve, or not serve customers as they please at the prices they want.

Wright and other civil rights groups can throw as many race cards as they like against consumers who see right through their corporate-backed agenda.  That’s because consumers know Net Neutrality isn’t an issue of black or white.  The only color that really matters here is green.

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