APEC Forum Produces Digital
Economy Statement |
10/27. The Asia Pacific Economic
Cooperation (APEC) Plenary
in Los Cabos, Mexico agreed to a
Statement
to Implement APEC Policies on Trade and the Digital Economy. It
addresses electronic commerce, tariffs on information technology
products, protection of digital intellectual property, education and
universal access, and other issues.
The Statement begins with the observation that "The exponential
growth in Internet connectivity and use of electronic commerce as a
channel for international business require the development of trade
policies that promote a networked world." It continues that APEC
members "need to make constructive efforts to liberalize the trading
environment with effective trade rules for the digital economy where
products and services can be exchanged using electronic networks
free of tariffs and other barriers."
The Statement provides that "The digital economy should continue
to flourish in a liberal and open trade environment, which will lead
to greater development of e-commerce and economic growth." Also,
"Where legitimate policy objectives require domestic regulations
that affect trade in products and services using electronic
networks, such regulations should be transparent, non-discriminatory
and least restrictive on trade, taking Economies' international
commitments into account."
It also states that the APEC "Economies support a long term
moratorium on customs duties on electronic transmissions."
The Statement also addresses the Information Technology
Agreement, and provides that APEC economies will work towards
"eliminating tariffs on additional information technology products
at the broadest level possible".
The Statement also recites that "APEC Economies identified and
exchanged information on the following services related to
electronic commerce: telecommunications and value added services,
subscription video services (including via cable or satellite and
excluding broadcasting), computer and related services, advertising,
distribution (including products distributed electronically),
express delivery, and video rental/leasing (including online
rentals)." (Parentheses in original.)
It continues that "For services it identifies as critical to
electronic commerce, each Economy will: (a) reduce progressively or
eliminate limitations on the number of suppliers permitted to supply
such services; (b) reduce progressively or eliminate limitations on
ownership and control that: (i) prevent significant foreign
investment in the supply of telecommunications services; and (ii)
prevent majority ownership or control of suppliers of other
services; and (c) otherwise accord market access and national
treatment with a minimum of exceptions."
Intellectual Property. The Statement provides that the
APEC "Economies will fully implement and enforce the WTO Agreement
on Trade Related Aspects of Intellectual Property Rights" and "will
ratify and fully implement the WIPO Copyright Treaty and the WIPO
Performances and Phonograms Treaty as soon as possible."
It also provides that "Economies will ensure through adequate
oversight mechanisms that their government entities use only legal
software or other content." Finally, it provides that each economy
"to the largest extent possible ensure that the internet and
e-commerce does not facilitate trade in infringing and counterfeit
goods, and will put into place appropriate regulatory and
enforcement systems aimed at curtailing these activities."
Education and Access. In a separate agreement titled "APEC
Economic Leaders' Declaration", the APEC countries wrote that "We
noted the contribution of the e-APEC Strategy, the Beijing
Initiative on Human Capacity Building and the APEC Human Capacity
Building Strategy for the New Economy as an effective response to
the need for transforming the digital divide into a digital
opportunity. We welcomed the expansion of cyber education and called
for more activities aimed at improving teacher quality, promoting
language study and facilitating more use of distance learning. We
also welcomed significant progress in the revitalization of the APEC
Education Foundation and expansion of the Consortium for APEC Cyber
Education Cooperation."
It also states that "We reiterated our commitment to realizing
our goal of universal access by the year 2010 and we recognized the
importance of focusing on further action on connectivity for rural
areas; micro, small and medium enterprises; women; youth; and the
disabled." See,
text.
The APEC forum was established in 1989 to promote economic
cooperation and integration in the Pacific region. The APEC
countries that participated in this meeting were Brunei Darussalam,
Hong Kong China, Indonesia, Japan, Korea, Malaysia, Mexico, New
Zealand, Papua New Guinea, Peru, The Philippines, Singapore, Chinese
Taipei, Thailand, United States, and Vietnam. This APEC meeting also
addressed other issues, such as terrorism, and North Korean nuclear
weapons. |
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FTC Official Addresses Merger
Enforcement |
10/24. Joseph Simons, Director of the
Federal Trade Commission's (FTC)
Bureau of Competition, gave a
speech
in Santa Monica, California titled "Merger Enforcement at the FTC".
He addressed the continuity of merger policy, the level of merger
activity, vertical mergers, including the Synopsis merger, and
international merger review coordination. He also discussed at
length the FTC's October 4, 2002 cruise line decisions. See also,
FTC
release,
closing
letter [PDF] to Royal Caribbean,
closing
letter [PDF] to Carnival,
closing
letter [PDF] to Princess Cruises,
statement of the FTC, and
dissenting
statement of FTC Commissioners Sheila Anthony and Mozelle
Thompson.
Simons gave the keynote address to the Tenth Annual Golden State
Antitrust and Unfair Competition Law Institute, hosted by the
Antitrust and Unfair Competition Law Section of the State Bar of
California. |
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People and Appointments |
10/24. The Securities and Exchange
Commission (SEC) named William Webster to be Chairman of
the Public Company Accounting Oversight Board (PCAOB). The PCAOB was
created by the Sarbanes Oxley Act of 2002 to oversee the audits of
the financial statements of public companies. The SEC also named
Kayla Gillan, Daniel Goelzer, Willis Gradison, and
Charles Niemeier to be members of the PCAOB. Webster is a
former judge of the U.S. District Court (EDMO) and U.S. Court of
Appeals (8thCir), and a former Director of the Federal Bureau of
Investigation (FBI) and Central Intelligence Agency (CIA). He is
currently a partner in the law firm of
Milbank Tweed. See,
SEC release,
with biographies of appointees.
10/25. Sen. Paul Sarbanes
(D-MD), Chairman of the
Senate Banking Committee, said that
Securities and Exchange Commission
(SEC) Chairman
Harvey Pitt
should resign, because of the SEC's appointment of William
Webster to head the Public Company Accounting Oversight Board (PCAOB).
Pitt and fellow Republican SEC Commissioners Cynthia Glassman and
Paul Atkins favored Webster, while Democratic Commissioners Harvey
Goldschmid and Roel Campos, and Sen. Sarbanes, favored John Biggs,
of the TIAA-CREF pension
fund. Sen. Sarbanes stated in a
release
that "Chairman Pitt failed to build a consensus within the
Commission, as he publicly promised he would do, for a strong
Oversight Board that would command instant respect by the investing
public. That the selection process appears to have been shaped by
political and industry influences only compounds this failure. The
country would be best served if Mr. Pitt stepped down as Chairman of
the SEC."
10/22. The Consumer Electronics
Association (CEA) elected Kathy Gornik, President of
Thiel Audio Products, to be
Chair of the CEA's Board of Directors and Executive Board, effective
January 1, 2003. Loyd Ivey, Ch/CEO of Mitek Corporation, was
elected Vice Chair. Jerry Kalov, of Kay Associates, was
re-elected as Industry Executive Advisor. See,
CEA release for other selections.
10/18. Archie Dunham, Chairman of
Conoco Phillips, was elected
chairman of the National Association
of Manufacturers (NAM). See,
NAM release. |
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DOJ Recommends Approval of
BellSouth Long Distance Applications for Florida and Tennessee |
10/25. The Department of Justice's (DOJ)
Antitrust Division releases
its
evaluation [19 pages in PDF] of
BellSouth's
Section 271
application with the Federal
Communications Commission (FCC) to provide in region interLATA
service in the states of Florida and Tennessee. It conditionally
recommended approval. The DOJ wrote that "The Commission should
review the concerns expressed in this Evaluation, and if it is
satisfied that these concerns have been addressed, the Department
recommends that the Commission approve BellSouth’s application." The
DOJ expressed concerns regarding several areas of the process
through which upgrades to operations support systems (OSS) software
are developed and prioritized. It also expressed concerns about the
measurements used to track the performance of those systems.
BellSouth has previously obtained Section 271 approvals for the
states of Georgia, Louisiana, Alabama, Kentucky, Mississippi, North
Carolina, and South Carolina. The deadline for the FCC to decide on
this application is December 19. This is WC Docket No. 02-307. See,
DOJ release and
BellSouth release. |
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FCC Approves Transfer of
Licenses to Intelsat |
10/25. The Federal Communications
Commission (FCC) released an
Order and Authorization [MS Word] approving the transfer of
common carrier and non-common carrier earth station licenses,
private land mobile radio (PLMR) licenses, and international section
214 authorizations from Comsat, a subsidiary of
Lockheed Martin, to
Intelsat. This is IB Docket
No. 02-87.
FCC Commissioner
Michael Copps
wrote in a
separate statement [MS Word] that "I am always troubled when the
Federal Communications Commission allows foreign government
controlled entities to obtain U.S. licenses. As I have stated
before, I believe that foreign government control represents a
serious potential threat to U.S. consumers and to competition. There
is a fundamental difference between companies that operate in a free
market and state-run corporations that may act counter to free
market forces. Here, foreign governments control -- through
government-owned monopoly corporations, holding companies, and other
devices -- approximately 30 percent of Intelsat. While the
privatization of Intelsat has clearly made great progress, it is
still substantially owned by foreign governments." |
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Sniper Capture Spurs Debate
over Databases and Privacy |
10/25. The use by law enforcement agencies of computerized
databases to solve the Washington DC area sniper case has spurred
debate over the development, use, and sharing of databases by law
enforcement and other government agencies.
For example,
Jonathan Alter, Newsweek Senior Editor and columnist, wrote an
opinion article
published in the MSNBC web site titled "Actually, the Database Is
God".
Alter wrote that "Computerized fingerprinting triumphed. It was
by matching a print found on a gun catalog at a crime scene in
Montgomery, Ala., to one in an INS database in Washington state that
the Feds cracked open the case and paved the way for the arrest of
the two suspected snipers."
He then criticized arguments that have been advanced by civil
libertarians. He wrote: "So if gathering as much as information as
possible on databases and then sharing it among law enforcement
agencies is so effective, why don’t we see more of both? Part of the
explanation is the usual bureaucratic inertia and squabbling, but
there's a deeper reason. Even after September 11, privacy concerns
still carry plenty of clout in this country. Commonsense reforms --
like printing visa expiration dates on the driver’s licenses of
immigrants -- are still resisted by many civil liberties groups. And
because it’s always easier to stop a new idea than to implement one,
the database approach to preventing terrorism is not moving as
quickly as it should. This is one of those cases where civil
libertarians and the gun lobby are together on the wrong side."
Alter concluded, " ``Database coordination.´´ It's not much of a
campaign slogan, but it might save your life."
In contrast, the Center for
Democracy and Technology (CDT) argued in its October 25
CDT Policy
Post that "it seems that the case was broken when the alleged
sniper (or someone who knew him) called police and gave them crucial
information." (Parentheses in original.)
The CDT acknowledged the role of fingerprint databases. It wrote
that "The alleged sniper was identified in part because a
fingerprint lifted from a Montgomery, Alabama robbery murder was
matched with a fingerprint taken by law enforcement authorities from
the 17 year old companion of the accused following the youth's
arrest in connection with an altercation in Washington state."
However, the CDT added, "But the key point is this: The database
at issue (actually now a networked series of databases) is woven
through with a series of rules intended to limit its use and protect
privacy." (Parentheses in original.)
The Brady Campaign, a
pro gun control organization, wrote in its web site that "In the
Maryland sniper shootings, police rapidly matched bullet fragments
from each victim to prove that the same gun was used in all of the
shootings. The technology to match bullets to firearms is known as
``ballistic fingerprinting.´´ It worked and provided police with
important crime leads. But what was missing, what police desperately
needed, was a nationwide database of the ballistic fingerprint of
every gun before it is sold so that police could determine not just
that the bullets came from the same gun, but which specific gun --
manufacturer, model, serial number -- the bullets were fired from.
That would have helped police trace the sniper after the very first
victim." See,
item titled "Ballistic Fingerprints Help Solve Crimes".
The National Rifle Association
(NRA) opposes maintaining a database of ballistic fingerprints. See,
October 17
statement of NRA officers Wayne LaPierre and Chris Cox. |
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District Court Enjoins Insider
Traders |
10/23. The U.S. District
Court (NDIll) entered an Order of Permanent Injunction against
Joseph Sidoryk, Gary Camp, Todd Camp, and Thomas Siska. On July 23,
2002 the Securities and Exchange
Commission (SEC) filed a civil complaint against the four
alleging insider trading in the stock of
Three Five Systems in
violation of federal securities laws. Sidoryk is Director of
Strategic Accounts at Three Five and primary liason to
Motorola. Three Five designs,
develops and manufactures display systems employing liquid crystal
display (LCD) and liquid crystal on silicon (LCoS) microdisplay
technology.
The Order permanently enjoins Sidoryk, Gary Camp, Todd Camp, and
Siska from future violations of § 17(a) of the Securities Act of
1933, § 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
thereunder. The Order also requires payment of disgorgement,
interest and civil penalties. See,
SEC
release. |
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More News |
10/25. The
U.S. Court of Appeals (9thCir) issued its
opinion in
Bank of America v. San Francisco, affirming the
summary judgment of the District Court enjoining cities from
enforcing city ordinances prohibiting banks from charging ATM fees
to non-depositors. The Appeals Court held that the ordinances were
preempted by the Home Owners’ Loan Act (HOLA), 12 U.S.C. §§
1461-1470, and the National Bank Act, 12 U.S.C. § 24. It also held
that the Electronic Fund Transfer Act (EFTA), 15 U.S.C. §§
1693-1693r, does not permit cities to regulate ATM fees as a
consumer protection measure.
10/25. The World Intellectual
Property Organization (WIPO) announced in a
release that the WIPO and
Educause, the administrator of the .edu top level generic
domain, have signed an agreement which makes the WIPO the sole
dispute resolution service provider for the .edu domain. The WIPO
stated that "WIPO's
Arbitration and
Mediation Center will apply the .edu Domain Name Dispute
Resolution Policy (eduDRP) -- a modified version of the Uniform
Domain Name Dispute Resolution Policy (UDRP) -- a low cost and
speedy alternative to litigation, in the drive to resolve
``cybersquatting´´ disputes arising in the .edu domain." |
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Monday, October 28 |
The Senate will meet at 10:30 AM in pro forma session only. |
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Tuesday, October 29 |
9:30 AM - 4:30 PM. The Securities
and Exchange Commission (SEC) will hold a full day hearing on
issues relating to the structure of the U.S. equity securities
markets. The SEC stated in a
release
that the topics will include "the collection, consolidation and
dissemination of market data through intermarket plans; broker
dealers' duty of best execution and corresponding marketplace rules
relating to intermarket access, trade throughs, and price
protection; the role of national securities exchanges, electronic
communications networks (ECNs), and alternative trading systems; and
the self regulatory system". See also,
schedule
and list
of participants. Location: SEC, 450 5th Street, NW. 8:45 AM -
3:45 PM. The National Institute of
Standards and Technology's (NIST) Advanced Technology Program
(ATP) Advisory Committee will hold a partially closed meeting. The
agenda includes a review of ATP policy, organization, and budget,
and an update from an international community panel on technology
programs. Pre-registration is required to attend; contact Carolyn
Peters by Thursday, October 24, at
carolyn.peters @nist.gov
or 301 975-5607. See,
notice in Federal Register. Location: NIST, Administration
Building, Lecture Room B, Gaithersburg, MD.
12:15 PM. The
FCBA's Common Carrier Committee will host a brown bag lunch. The
speaker will be Bill Maher, Chief of the
FCC's Wireline Competition Bureau. Location:
Willkie Farr & Gallagher, 1875
K Street, 2nd Floor, NY conference Room.
Deadline for the DOJ's
Antitrust Division to release its evaluation of
SBC's Section 271 application with
the
FCC to provide in region interLATA service in the state of
California. This is WC Docket No. 02-306. |
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Wednesday, October 30 |
POSTPONED TO APRIL 30, 2003.
The
FCC will hold Auction No. 46. This is the 1670-1675 MHz band
auction. See,
notice of postponement in Federal Register, October 10, 2002,
Vol. 67, No. 197, at Pages 63095 - 63096.
9:00 AM - 12:00 NOON. The Telecommunications Service Priority
(TSP) System Oversight Committee will hold a meeting. The agenda
includes TSP/WPS program update, TSP sponsorship policies, and OSS
concept. For more information, contact Deborah Bea at 703 607-4933.
See,
notice in the Federal Register. October 11, 2002, Vol. 67, No.
198, at Page 63452. Location: National Communications System (NCS),
second floor conference room, 701 South Court House Road, Arlington,
VA.
10:00 AM - 12:00 NOON and 2:00 - 4:00 PM. The
FTC
and the
DOJ's
Antitrust Division will hold
the final workshops in their joint series titled "Competition and
Intellectual Property Law and Policy in the Knowledge Based Economy"
on October 25 and 30 and November 6. The October 30 event is titled
"Competition, Economic, and Business Perspectives on Substantive
Patent Law Issues: Non-Obviousness and Other Patentability
Criteria". Location: FTC, Room 432, 600 Pennsylvania Ave., NW.
12:00 NOON. Deadline to submit comments to the Office of the
U.S. Trade Representative (USTR)
regarding the acts, policies, and practices of trading partners of
the U.S. that are relevant to the decision as to whether they should
be identified under Section 182 of the Trade Act of 1974 (19 U.S.C.
§ 2242). Section 182, which is commonly referred to as the "Special
301" provisions in the Trade Act, requires the USTR to identify
countries that deny adequate and effective protection of
intellectual property rights or deny fair and equitable market
access to U.S. persons who rely on intellectual property protection.
The USTR also requests comments on the U.S. Government's 1998
Memorandum of Understanding with Paraguay on intellectual property
matters, including enforcement. See,
notice in the Federal Register
12:30 PM. The
FCBA's Online Communications Committee will hold a brown bag
lunch. The topic will be the role of ISPs in security and law
enforcement compliance. The speakers will be Christopher Bubb
(AOL Time Warner) and Betty Ellen Shave (Associate Chief for
International Matters, Computer Crime and Intellectual Property
Section, Department of Justice. Location:
Cole Raywid & Braverman, 1919
Pennsylvania Ave., NW, No. 200.
EXTENDED TO DECEMBER 6.
Deadline to submit comments to the
FCC in response to its
Notice of Proposed Rulemaking (NPRM) [15 pages in PDF] in its
proceeding titled "In the Matter of Digital Broadcast Copy
Protection". This NPRM proposes that the FCC promulgate a
broadcast flag rule, and seeks comment on this, and related
questions. This is MB Docket No. 02-230. See also,
FCC release [PDF]. See also,
Order [PDF] of October 11, 2002 extending deadlines. |
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Thursday, October 31 |
The Senate will meet at 10:30 AM in pro forma session only.
8:30 AM- 4:15 PM. Day one of a two day CLE seminar hosted by the
FCBA titled "Communications Law 101: A Practitioner's Primer".
The price to attend is $250 for lawyers and paralegals in private
practice or corporate positions, and $125 for those in government
service, non-profit positions or in law school. Location: Georgetown
University Law Center, 600 New Jersey Ave., NW.
12:00 NOON - 1:00 PM. The National
Telecommunications Cooperative Association (NTCA) will host a
luncheon to release the results of its 2002 Wireless Survey. RSVP to
Donna Taylor at 703 351-2086 or
dtaylor@ntca.org by October 28. Location: NTCA Headquarters,
4121 Wilson Blvd., 10th floor, Arlington, VA. If traveling by Metro,
go to the Ballston/MU on the orange line.
2:30 - 4:30 PM. The FCC's WRC-03 Advisory Committee will meet.
See,
notice in the Federal Register. Location: FCC, 445 12th Street,
SW, Room TW-C305 (Commission Meeting Room). |
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Friday, November 1 |
8:30 AM - 1:00 PM. Day two of a two day CLE seminar hosted by
the
FCBA titled "Communications Law 101: A Practitioner's Primer".
The price to attend is $250 for lawyers and paralegals in private
practice or corporate positions, and $125 for those in government
service, non-profit positions or in law school. Location: Georgetown
University Law Center, 600 New Jersey Ave., NW.
Deadline to submit reply comments to the
FCC regarding BellSouth's
Section 271 application with the FCC to provide in region interLATA
service in the states of Florida and Tennessee. This is WC Docket
No. 02-307. See,
FCC notice [PDF].
Deadline to submit reply comments to the
FCC regarding the petition for
declaratory ruling in CC Docket No. 01-92 requesting that the FCC
determine that wireless termination tariffs are not a proper
mechanism for establishing reciprocal compensation arrangements
between local exchange carriers (LECs) and commercial mobile radio
service (CMRS) providers. See,
FCC notice [PDF]. |
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