All Telecommunications News, Blogs, and Podcasts

AT&T Trouble Borrowing, Are You Kidding Me ?

ucanphil — Wed, 01 Oct 2008 08:12:48 -0700

Big business really wants to shove the $700 billion bailout down America's throat. AT&T and others want to scare us into supporting the bailout.

Businesses Pressure Congress on Bailout Plan from the Wall Street Journal

AT&T feeling credit crunch strain from cnn.com

Power Net Global Customers charged for switch to Williams Communications

ucansue — Fri, 26 Sep 2008 14:02:24 -0700

Power Net Global (PNG) customers have reported to UCAN that their local AT&T phone bills show they've been switched to a new long distance carrier called Williams Communications. Although PNG insisted customers received notice of this change, not one customer reported ever seeing any notice. PNG told UCAN it had an agreement with AT&T not to charge UCAN customers. AT&T said it had no information about any agreement and by law, had to charge.

PNG told UCAN that as a reseller of phone service, it uses the phone lines of other companies. Prior to switching its agreement to Williams Communications, it used Quest's lines. PNG alleged it switched to Williams because Quest's prices were too high. UCAN does not endorse PNG. In about 2002, PNG promised to provide great customer service to UCAN members and there were no added fees. Now that PNG does charge fees and because it did not take care of its customers as promised, UCAN no longer believes it is the best long distance choice for customers.

If you are a victim of a long distance "switch" charge, immediately call PNG at 1-877-441-6096 to request a credit for the charge. Please also feel free to call UCAN at 619-696-6966 or write sue [at] ucan [dot] org to learn about better long distance options.

UCAN advice to cancel AT&T services for deceased parents

ucansue — Fri, 26 Sep 2008 13:11:51 -0700

UCAN is distressed at calls from relatives of AT&T customers trying to cancel service for deceased parents. And when we say "trying", that's exactly what is meant both literally and figuratively. Without the account passwords, cancellation of service for deceased persons is almost impossible. A FierceTelecom article written by Doug Mohney summed up the problem and provided two examples showing consumers in two states are not happy with these AT&T billing and cancellation practices that can be read by clicking on the link above.

Sons and daughters of AT&T customers have called UCAN to state that death certificates faxed to the company are not enough. In addition, callers are promised return calls that never happen. When relatives call the company again to see what else is needed to cancel an account and get credits, they are asked for passwords that no one knows. In some cases, relatives reported to UCAN that their parent(s) never had passwords and therefore, it would be impossible to provide them. FierceTelecom jokingly suggests putting all passwords into wills so accounts can be closed. It turns out that it can be a very frustrating hurdle that no one needs while dealing with grief and burial plans.

The only preventative measure UCAN can suggest is to make sure you are added to parents' accounts if they are ill or when you come to the realization that they may not be able to handle these account affairs on their own. Because my mom is now almost 87 and although still very aware and bright, her vision and hearing are both impaired. It was time to put myself on her accounts to protect her interests.

New 442 Area Code to Invade North San Diego County - What About 760 ?

ucanphil — Tue, 23 Sep 2008 22:03:00 -0700

The 442 area code is coming to North (San Diego) County. Will it be an overlay or split?

If you live in North County and want to keep your current phone number with the 760 area code, then e-mail the PUC urging adoption of the overlay. The Chambers of Commerce of Carlsbad, Encinitas, Escondido, San Marcos, Oceanside and Vista favor the overlay as well. They requested modification of the PUC's earlier decision favoring a split.

An overlay means all current 760 area code customers keep 760 and new phone numbers are assigned area code 442.

A split means the current 760 area code is split into 442 and 760. North County customers would be assigned to the new 442 area code.

After a well-attended Carlsbad public participation hearing overwhelmingly favoring the overlay, PUC Administrative Law Judge Maribeth Bushey wrote in her September 16 proposed decision, "We have considered the volume and substance of these comments and have determined that we should ... adopt a geographic overlay. This will allow all customers to retain their existing telephone numbers, which we understand to be the highest priority for customers."

The PUC is expected to issue a final decision on October 16.

Your e-mail to the PUC at public.advisor [at] cpuc [dot] ca [dot] gov helps make sure the PUC implements the overlay.

Related sites, articles and blogs

Area Code protests result in tentative victory

Keep760.org

PUC - 760 Area Code site

UCAN says telephone company deregulation will raise rates

ucansue — Fri, 19 Sep 2008 14:27:28 -0700

UCAN agrees with other consumer groups that the lengthy AT&T contract received by most residential customers was a silent alarm announcing price increases were coming and that we should be prepared for a raise in basic local telephone service. Well, Thursday on 9/18/08, the California Public Utilities Commission (CPUC) approved price hikes of up to $3.25 per month on land line phones for the upcoming year through 2010.

The only good part of the entire deregulation mess is that the CPUC kept a cap on local land line rates for 2+ years. The major 4 phone companies were sure they would be granted total deregulation just like they've received everything requested over the past few years. Consumer groups like UCAN aren't happy because they've constantly opposed every rate increase. The dregulation of price is being sought in many other states as well. Just like when AT&T went to each state and the FCC to get support for recreating the Baby Bell monopoly, it is working just as hard to undo any price controls to charge you as much as it wants without any regulation. We all have seen how that's worked for Wall Street!!!

After January 2011, Verizon, AT&T and the smller phone companies in California will be allowed to charge whatever they want for basic local service in most parts of the state, according to the CPUC.

AT&T's New Residential Service Agreement - Get Ready to Read the Terms, But Only If You Have Internet Access and Plenty of Time

ucanphil — Thu, 18 Sep 2008 23:02:36 -0700

Several UCAN members have contacted us about AT&T's new 16-page Residential Service Agreement which is accompanied by a notice that begins, "Enclosed is the new AT&T Residential Service Agreement for residential services provided by AT&T. Please read it carefully."

The service agreement refers the customer to AT&T's Guidebook 28 times.

“Guidebook or Guidebooks” are those documents that contain the standard descriptions, pricing, and other terms and conditions for Services. In some jurisdictions, the Guidebook(s) may be called “Catalogs” or “Service Descriptions and Price Lists.” You can find AT&T’s Guidebooks at att.com/servicepublications. If you do not have access to the Internet, you may call your AT&T customer care center for assistance in obtaining a Guidebook, as follows: If you receive Services in AR, CA, CT, IL, IN, KS, MI, MO, NV, OH, OK, TX, or WI, call 1.800.288.2020. If you receive Services in AL, FL, GA, KY, LA, MS, NC, SC, or TN, call 1.888.757.6500. AT&T reserves the right to modify the Guidebook(s) as described elsewhere in this Agreement; you should regularly review the Guidebook(s) for the Services to which you subscribe to ensure you are familiar with the current controlling terms and conditions.

The Los Angeles Times discussed the Guidebook in its September 14, 2008 article AT & T buries customer rights in 2,500-page 'guidebook'. When we contacted AT&T customer service to request the complete AT&T California Guidebook, the customer service representative (CSR) directed us to Guidebook - DRAFT, a collection of 20 parts, broken into multiple sections, many listed as "VACANT", each linked to a different pdf file. We asked how consumers, seemingly bound by the guidebook (and AT&T's future changes to its guidebook), without internet access can read the guidebook. The CSR suggested a trip to the library because the guidebook is only available on the internet.

We encourage you to send your comments objecting to the AT&T service agreement by e-mail to the PUC at public.advisor [at] cpuc [dot] ca [dot] gov

Cox won't play ball with AT&T

art neill — Mon, 15 Sep 2008 15:17:54 -0700

The word of the day is "irony." AT&T has sued Cox Communications for anti-competitive behavior at the Federal Communications Commission (FCC). Specifically, AT&T wants access to Cox's Cable channel 4, a regional cable station in San Diego created by Cox over 12 years ago that shows upwards of 150 San Diego Padres baseball games.

The issue is likely to be hard fought, and is in many ways a unique question the FCC has not fully addressed. On the one hand, Cox will argue that Channel 4 is not the type of "satellite-delivered" content the FCC compels cable companies to share with competitors. Cox will argue that Channel 4 is "terestrially" delivered station specifically exempted from forced sharing with competitors.

That said, the FCC has previously identified local sports programming as "must-have" type of programming, and could justifiably compel licensing of the Padres games to avoid giving Cox an unfair competitive advantage. It is interesting to note that Cox licenses the channel 4 content and baseball games to Time Warner, which simply exists in other areas of San Diego County than Cox, as opposed to being a direct competitor. AT&T U-Verse competes with both Time Warner and Cox directly, and in its suits identifies the lack of Padres games as a documented reason for customers leaving U-Verse or being slow to adopt the new fiber-optic offering.

The irony of the suit by America's classic anti-competitive company is not lost on Cox. Cox's position in various media reports is that Channel 4 is similar to AT&T's monopoly over the Iphone, and DirecTV's monopoly over NFL Sunday Ticket. The problem is these analogies really don't work that well. While its true the Iphone is limited to AT&T's network (unless you engage in various widely publicized hacks that void your warranty), consumers can still go out and get voice and data service, and even have some competing touch screen phones available on other carriers. As to NFL Sunday Ticket, unlike channel 4, this service is all about out-of-market games, not so much local sports. Indeed, you can use a $7 rabbit ears antenna and watch most of the chargers games (perhaps not those on ESPN), whereas if you don't get Time Warner or Cox, you simply don't get the Padres. Believe it or not, the Padres are irreplaceable when you look at it that way.

The decision is likely to be quite interesting, and could increase competition regionally by making satellite and fiber optic options more competitive in offering access to the Padres games.

Of course if you're tech savvy enough, the day seems to be coming where you can largely dump your cable, satellite, or fiber optic programming and use the web entirely as your entertainment, news, and multimedia outlet.

For some, a laptop, proper tv connector cable, and hulu.com, youtube.com, and other video service websites are already an adequate replacement. With higher bandwidths and wider HD video offerings on the web arriving, the Internet itself can be traditional cable & satellite television's biggest competitor in the years to come.

"Walkout against Student Protests" provided under a Creative Commons license by "uberculture."

If you have questions about using Creative Commons licensed content, or using a Creative Commons license on your own blogs, podcasts, photos, or other content, contact our affiliate New Media Rights at http://www.NewMediaRights.org for free legal advice and information.

CTIA Wireless & Entertainment 2008: showcasing carriers' inability to embrace or even define "open access" and "open networks"

art neill — Wed, 10 Sep 2008 12:25:46 -0700

In this morning's keynote from the "CTIA Wireless & Entertainment 2008" expo, show, extravaganza, cabal, AT&T, T-Mobile, and Verizon agreed to speak in vague generalities and put no meat on the open access or open networks bones. Each carrier talks about major caveats to its "open" policies, and each carrier has significant differences in how they define "open." So for now, think of "open" as the new marketing buzzword, the new "green" if you will. Look for the use of "open" to increase in use as a feel good marketing tool, and its meaning and substance to be inversely proportional.

Here's an article on the keynotes from FierceWireless, CTIA: Carriers talk "open" network but no clear definition

"During this morning's keynote session at the CTIA Wireless I.T. & Entertainment show in San Francisco, three of the top four U.S. wireless company CEOs attempted to explain their interpretation of "open" access and "open" wireless networks. However, it quickly became clear that "open" still means different things to different operators and some have a clearer vision than others."

Read it here then share your thoughts on open access and open wireless networks below. What devices and services do you want to be able to use on your wireless network?

Until open access comes around for your own devices and services, you could always learn how to hack your cell phone at our affiliate New Media Rights.

Sprint cell phone international roaming plan problem sent to UCAN

ucansue — Tue, 09 Sep 2008 14:06:33 -0700

A Sprint PCS customer in Connecticut wrote UCAN the following question and explained her personal story: How does joining an international calling plan for about a one-month trip to Israel end up costing double the entire cost of the trip? The customer stated she couldn't find out how this amount was derived because her bill had no itemized call breakdowns to show how the billing total was determined. The customer called to dispute the bill and requested itemization of her bill. The response was a demand for payment or service termination within ten days of the date of the notice. The notice was recieved on or about August 18, 2008 and was dated August 10, 2008.

Background: In preparing for the trip to Israel, the customer shopped for phone service that had the best international plan for incoming and outgoing calls in Israel. The customer's first choice was to remain with Sprint and therefore, was given Sprint's international plan costing $4 to initiate the plan based on the same conditions as the current calling plan and nothing extra beyond the $4 per month. The customer's current plan was for 300 minutes per month for outgoing calls & unlimited incoming calls. Sprint had also added bonus minutes due to complaints about constant dropped calls in the middle of business conversations. On or about July 14, 2007, the customer's husband phoned Sprint for reassurance of the costs of calling home andthe costs of incoming calls from the family. He was told outgoing calls were $1.49 per minute and incoming calls were $.07 cents per minute with $.69 cents per minute roaming charges. It couldn't get much better than this and so they had no worries about limiting the number of calls.

Boom: Here comes the bill on or about August 14, 2008 after being put on hold repeatedly for 15-20 minutes each time. Sprint informed the customer a mistake was made on the rates quoted, but would honor the roaming charge of $.69 cents instead of the $2.49 per minute charged on the bill. This adjustment would have subtracted about $904 from the existing giant bill.

Lesson Learned: If you don't see it in writing, don't count on it. If a company's web site didn't back the low rates quoted, you know there's a problem.

Any international roaming nightmare stories to match this one? Share them with the community below.

Pre-Paid Cellular Phone Services: The best and worst deals for people who need cell phones for emergencies.....only

michael — Mon, 08 Sep 2008 20:22:26 -0700

UCAN News

T-Mobile: Pay by the Day Plan: OUR FIRST CHOICE JUST BECAUSE YOU CAN ROLLOVER OF THE UNUSED 1000 MIN. FROM THE
1 YR. OFFER FOR ANOTHER YR. FOR AS LITTLE AS $10.00.
http://www.t-mobile.com/shop/plans/Default.aspx?plancategory=4
$10.00 Sim card needed. Online phone offers less discount and rebate from
$0.00 to $99.99 plus shipping.
Pay by Day Plan
$1.00 a day when phone is used, $.10 per minute, no per minute charge between
T-mobile customers. $10.00 min. refill every 90 days adds 30 minutes,
$25.00 adds 130 minutes, $50.00 adds 400 minutes $100 adds 1000 minutes. GOTCHA, unwanted incoming call costs a $1.00 if no other
calls are made that day.. Not eligible for gold reward, See below.
$10.00 min. refill every 90 days adds 30 minutes, $25.00 adds 130 minutes,
$50.00 adds 400 minutes. $100 adds 1000 minutes good for a year, you
become Gold Rewards member, any future refill amount extends all minutes for
another year.

AT&T Go Phone OUR NEW SECOND CHOICE It is a good alternative
if calling other AT&T customers
http://www.wireless.att.com/cell-phone-service/go-phones/pyg-plans-phones.jsp?_requestid=299955
A dollar a day when phone is used, plus $.10 a minute, unlimited AT& T
M2M. $25.00 min. refill every 90 days, $100.00 for a year. $.25 a min., no free M2M. $25.00 min. refill every 90 days, $100.00
for a year, 400 minutes,
Online phones less discounts and rebates $4.99 to $49.99 plus shipping.

Tracfone OUR SECOND AND A HALF CHOICE -
http://www.tracfone-orders.com/bpdirect/tracfone/Start.do?action=view&market=GSM5AT&aid=&vid=&vc=&sahcid=&com=&zip=92103&locale=en&siteType=TR&gotoPhonelist=true&AID=
Best current ONLINE offer $99.99, free shipping, no activation, 20 free minutes
if activated on line. First time users will need to call a CSR to help in
activation because it can be somewhat complex

Free camera phone
free double minutes for life
1 year of service, 400 minutes

Boost Mobile
http://plans.boostmobile.com/pdf/english/paygo_basic.pdf
A dollar a day plus $.20 for 9:00 am to 7:00 pm, $.10 N&W. Charge
taxes and surcharges
Online phones from 50.00 and up.

Virgin Mobile
http://www.virginmobileusa.com/rates/minute.do
Not recommended, $20.00 a month for 200 minutes.

Comcast serves up more consumer abuse

Charles Langley — Fri, 29 Aug 2008 10:30:28 -0700

UCAN News

UCAN Editor's Note: Today, Comcast firmly cemented its reputation as one of the world's most atrocious internet service providers by being the first major company to limit the bandwidth used by its customers. From now on, Comcast customers who download too much data will have their service terminated. Not surprising. This is the same company that caused their 75 year old customer Mona Shaw so much mental angst that she ended up seeking free therapy on the Dr. Phil show, where UCAN's Executive Director was drafted to serve as a co-therapist.

No wonder there is a growing movement of consumers who believe that "Comcast Must Die."

Comcast to restrict monthly broadband use

Friday, August 29, 2008 (SF Chronicle)
Comcast to restrict monthly broadband use
Ryan Kim, Chronicle Staff Writer

Comcast soon will begin cracking down on heavy users of its Internet
service in a move that critics fear could be a step toward restricting
unlimited broadband access to download and upload files while surfing the
Web.

The country's largest cable company and second-largest Internet provider
said Thursday that beginning Oct. 1, residential users who download and/or
upload more than 250 GB of data a month will be notified and asked to curb
their use. Customers who exceed the limit a second time in six months will
face termination of their account.

The limit clearly defines a policy that Comcast has had in place for many
years. In the past, excessive users faced similar restrictions, but the
limits were never spelled out and actually fluctuated month to month
depending on overall traffic. Comcast would not disclose the range of the
old limits.

Comcast officials said the move will help maintain a smooth experience for
the majority of customers, who use far less than 250 GB a month. The
current median monthly data use is 2 to 3 GB, Comcast said. The company,
however, has no immediate plans to release a meter for customers to track
their own usage.

"We have some extremely high bandwidth users that consume a
disproportionate amount of data, and that can degrade service for others,"
said Charlie Douglas, a spokesman for Comcast. "To maintain a high quality
of service for users we've gone with this."

Critics, meanwhile, said they're disappointed with Comcast's willingness
to set limits instead of adding capacity.

"This wouldn't be necessary if Comcast had chosen to expand its capacity,"
said Michael Shames, executive director of the Utility Consumers' Action
Network in San Diego. "They've chosen instead to degrade service."

S. Derek Turner, research director of Free Press, a media nonprofit group,
said that while the limit seems high now, it might not be sufficient in
the future as technology evolves and broadband use grows. He blamed a lack
of competition that allows Comcast to profit from "artificial scarcity."

"Unfortunately, Americans will continue to face the consequences of this
lack of competition until policymakers get serious about policies that
deliver the world-class networks consumers deserve," Turner said in a
statement.

Douglas responded to critics by saying the company has continued to invest
in its network and has expanded the number of nodes or local hubs by 10
percent each year. The company plans to introduce a cable technology
called Docsis 3.0 that can dramatically increase bandwidth. It is
scheduled to be available to 20 percent of homes by the end of this year.

Even with the added capacity, Douglas said, Internet providers like
Comcast still will need to manage their networks to ensure a few users
don't clog up the system for others.

"Every service provider has to do something to make sure data is flowing
as efficiently as possible," he said.

Comcast has been in the spotlight for its network management policies
recently. The Federal Communications Commission concluded this month that
Comcast wrongly delayed and blocked file transfers between people using
peer-to-peer applications. The issue came to light last year after an
investigation by the Associated Press found that Comcast was disrupting
BitTorrent file sharing.

Comcast, which maintains it delayed but never blocked traffic, has begun
exploring several management techniques to keep up with use, which has
grown dramatically recently with the popularity of Internet video. New
measures being tested in Pennsylvania do not block specific applications,
but temporarily slow down the traffic of excessive users at peak periods.
Comcast also has been considering charging users for exceeding a monthly
limit, but that option was not addressed in Thursday's announcement. How
big is 250 GB?

To approach the monthly limit Comcast is placing on its Internet users,
you would have to do one of the following:

-- Send 50 million e-mails
-- Download 62,500 songs
-- Download 125 standard-definition movies
-- Upload 25,000 high-resolution digital photos Source: Comcast

E-mail Ryan Kim at rkim @ sfchronicle.com.

Apple slammed with lawsuit over iPhone 3G

ucansue — Thu, 21 Aug 2008 11:08:15 -0700

Fierce Wireless, one of the industry's leading electronic news monitoring sources, stated today in an article by Sue Marek, that Apple's IPhone didn't measure up to what it advertised and represented to consumers. The main issues in the lawsuit included the fact that the connectivity speed for data, Internet & like functions were allegedly much slower than advertised and that there was erratic connection in general. Read More.

Please post your experiences with the Apple IPhone 3G.

New AT&T Residential Service Agreement --What does it mean?

ucansue — Fri, 15 Aug 2008 15:27:19 -0700

UCAN News

UCAN found a good CBS5.com story from the San Francisco area about the new AT&T long "legaleze"-type contracts recently sent to AT&T residential service customers. Read More.
What does it mean? It means that after January 1, 2009, AT&T
can raise your rates as high as it wants and whenever it chooses to do so.

There is a two-sided cover that comes with the AT&T written service agreement. Read it here. Finally, attached is the 16-page contract for your review. Read the full agreement here. UCAN encourages you to post your questions on our web site. We will do our best to answer each person in the state of California.

UCAN is reading the new AT&T contract to provide you with a breakdown of its contents well before the deadline of October 1, 2008. Watch for UCAN's breakdown of the "gotcha" areas--coming soon. UCAN also measured the length of the AT&T fold-out service agreement and it is close to 1 yard long. UCAN has found an Indemnification Clause, a possible statement meaning that AT&T is holding the customer responsible for all charges on the phone bill including unauthorized charges, and is wondering if AT&T is asking customers to sign that they agree to allow 3rd parties to monitor their services---Does that sound like giving permission to wiretap to you?

Again, watch for updates on this contract and UCAN's dissection of it.

Time Warner Roadrunner "Turbo" broadband Internet: Are you really getting what you paid for?

art neill — Tue, 29 Jul 2008 10:10:58 -0700

Recently I had to "choose" a broadband Internet provider. After having my "choices" narrowed down for me by a serious lack of competition ( I hear U-Verse is on its way some day), I went with my first, last, and only choice, Time Warner. Despite feeling trapped, the Time Warner customer service rep wooed me with promises of a new broadband paradigm, Roadrunner "turbo." For some reason this "15 Mbps down, 2 Mbps" up Internet was cheaper than the default 8 Mbps/ 1 Mbps option of yesteryear, so I pounced on the deal like a caged tiger given extra scraps of meat at dinner.

All seemed fair. I signed away my first born and promised to tattoo the Time Warner logo on my body, and Time Warner promised to possibly show up in a 4 hour window. After installation, the problems began. I noticed slower loading times than I had previously with Roadrunner.

So I ran a series of speed tests at speakeasy.net. The results showed all servers on Speakeasy returning almost exactly 1500 Kbps, that's 1.5Mbps, Time Warner's basic rate. Not 15 Mbps, 1.5 Mbps. I called Time Warner to chat about the issues with my service, and to see when the "turbo" would take effect.

This is where things get interesting. Apparently, had I never called, I would have simply been provided the basic bandwidth, while paying the "turbo" price. The technical department said that what can happen is that the turbo signal does not "attach" to a particular line that the cable modem is on. The explanation was vague, but the lesson is clear, check the bandwidth you're getting from your broadband Internet provider by using a tool like speakeasy.net, and don't take it for granted that the install was done properly.

This seems to be especially true these days with Time Warner's Roadrunner "turbo" Internet.

Share your story on your broadband Internet provider with everyone below!

UCAN Not Endorsing the Power Net Global (PNG) Option in 2008; PNG Has Changed

ucansue — Thu, 24 Jul 2008 10:56:30 -0700

Power Net Global (PNG) has changed. UCAN is no longer including the option of using Power Net Global (PNG). In 2002, UCAN did a consumer guide and a newsletter showing PNG as a great option for long distance phone service because not only did UCAN members get installation fees waived, but there were NO monthly fees for customers using this service. The company now charges minimum monthly usage fees and added a .99 cent monthly fee. To top things off, PNG recently started rounding up each call to the nearest minute instead of the six-second increcements it use to use. The bottom line is that there are better deals out there for consumers!

So, now PNG has instituted the following charges to consumers using its service: 1) .99 cent monthly fee; 2) Minimum Monthly Usage Fee; and 3) Each call rounded up to the nearest minute even though the web site of the company still advertises billing in 6-second increments.

Another problem with PNG is that customers who sign up, get bills & pay them electronically, had no notice of the rounding up to the nearest minute change that allegedly changed from 6-second billing increments prior to April 2008.

Whenever you are choosing phone service, go to on-line comparisons that present the facts as they are and follow up your comparison by calling a potential phone company with the comparisons in front of you to make sure you have all the facts about every statement made. When you call a company, repeat what you have been told after asking the CS rep for his/her ID #. It also wouldn't hurt to ask the rep if what you were promised could be sent to you in a confirmation email or fax.

Battle of cable, telecom titans may not benefit consumers

Laura Impastato — Mon, 14 Jul 2008 14:08:31 -0700

UCAN In the Media

From the Los Angeles Times

David Lazarus:

Consumer Confidential

It's boiling down to cable vs. telecom

AT&T Inc., Verizon Communications Inc. and Qwest Communications International Inc. -- the three biggest U.S. phone companies -- announced last week that they're working together for the first time to help customers stay connected when they move to a new city.

The companies' new website, Movearoo.com, describes itself as "a one-stop shop for America's moving needs," offering everything from bundled telecom services to change-of-address forms.

What the site doesn't include is any information about what local cable providers may offer for people seeking cheaper communications alternatives.

Meanwhile, six leading cable companies have banded together for something called Project Canoe, which is intended to create a nationwide system for targeting ads to specific viewers.

Project Canoe could give the cable industry a leg up on telecom companies by making their networks more attractive to marketers.

Both Movearoo.com and Project Canoe represent an evolution in how telecom and cable companies operate, an escalating of competition from the company level to that of entire industries.

"It's a duopoly," said Michael Shames, executive director of the Utility Consumers' Action Network in San Diego. "It's two titans battling for the hearts, minds and wallets of consumers."

According to Frank Kellam, Verizon's business development manager, the three big phone companies have been quietly planning for the last year and half to create a "solution to ease the stress of moving."

He said the detente among AT&T, Verizon and Qwest reflects a changing business environment in which cable and, to a lesser extent, online Voice over Internet Protocol service providers like Skype are encroaching on phone companies' traditional territory.

"We are adjusting our strategy to keep our customers away from the cable and VoIP companies," Kellam said.

Joe Izbrand, an AT&T spokesman, echoed this sentiment. He said the telecom companies want to ensure that no matter where people move, "they have choices other than cable companies."

It doesn't take much imagination to foresee even greater cooperation among telecom companies as they try to fend off these rivals.

And as the phone companies become more intertwined as business partners, they'll have less incentive to challenge one another in the few areas where they really do compete, such as wireless service.

In the cable arena, Project Canoe isn't as overt a gesture of defiance toward competitors as Movearoo.com, but in some ways it's an even more sophisticated stab at circling the wagons of one industry.

As it grows harder for marketers to cut through the clutter of the information and entertainment landscape, the Holy Grail for advertisers is to be able to pitch products at the people most likely to buy them.

In other words, movie studios want to reach households with teens. Pet food companies want to reach households with cats or dogs.

That's already possible with some cable systems, but no uniform technological standard exists to give marketers nationwide reach. Project Canoe is intended to remedy that.

The participating companies are Time Warner Cable, Cox Communications, Comcast, Cablevision Systems, Charter Communications and Bright House Networks. Trade publications say each has chipped in to create a $150-million pool to develop the technology.

"Project Canoe will help the participating cable companies deliver more value to our advertising partners with increased measurability, targetability and interactivity," said Landel Hobbs, chief operating officer of Time Warner Cable. "It also allows cable networks to enhance their advertising offering."

He added: "All of that can be accomplished without compromising the privacy of our customers, which is of tantamount importance to us. In fact, in many ways, targeted advertising, done right, can be beneficial to consumers."

That remains to be seen, as does the impact on cable viewers' privacy.

By definition, targeting a TV ad at a specific household requires knowing what that household watches. Cable companies know this already, of course, but they've never before attempted to profit from that information on such a grand scale.

"How is this different from what Google does?" asked Alex Dudley, a Time Warner spokesman.

Indeed, Google monitors people's Internet searches and targets online ads accordingly.

But most people go online with an expectation that little or no privacy exists in cyberspace. Many people probably feel otherwise about what they choose to watch in their living rooms or bedrooms.

Meanwhile, what sort of targeted ads might crop up after an evening spent watching the Playboy Channel? This could make for some awkward conversations between husbands and wives.

Shames at the Utility Consumers' Action Network said these moves by the telecom and cable industries may be good for the respective businesses, but they almost surely won't be good for consumers.

"All they're doing is creating obstacles to each other's industry from gaining an advantage," he said. "That's not competition."

Well, it is. But not the kind that benefits customers.

Consumer Confidential runs Wednesdays and Sundays. Send your tips or feedback to david.lazarus [at] latimes [dot] com.

DNA testing industry wrestles with California law

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Your Vote

July 13 2008

Telecom and cable companies are fond of saying how much competition exists in their respective industries. Dissatisfied customers can always take their business elsewhere, the companies insist.

In fact, few telecom and cable companies actually compete head to head. And now, these businesses are forming unprecedented partnerships as the two industries vie for nationwide dominance over voice, video and Internet services.

Warrantless wiretap votes equal dollars from Telecom PAC

Sandy Young — Mon, 30 Jun 2008 14:19:33 -0700

Telecom political action groups gave twice as much money to Democrats who switched from opposing to supporting legal amnesty to Telecoms that aided the government's warrantless wiretapping program.

Last week Wired reported that Maplight.org had analyzed campaign donations and found that 94 of 220 Democrats who had previously voted against Telecom amnesty had switched their vote to support a bill that expands the government's ability to conduct wiretaps inside American Telecom facilities.

Media General News Service reported that AT&T, Verizon, Sprint, and others sought immunity from prosecution for cooperation with the government's anti-terrorism wiretapping program. Click here to read the entire article.

The center for independent media, The Washington Independent, weighed in with their article, "FISA vote tied to telecom donation." Much is summed up with a quote from Mary Boyle, a spokeswoman with Common Cause: "We certainly know that contributions go a long way to gaining access and influence," she said. "The appearance is that money buys votes." Click here to read the entire aritcle.