6/3. The Federal Communications Commission (FCC) released the agenda [4 pages in PDF] for its meeting of Thursday, June 10, 2004. The agenda includes a RO and NPRM regarding the eligibility, licensing and service rules for the 2500-2690 MHz band, currently used by ITFS and MDS/MMDS. FCC Chairman Powell stated on June 3 that "These new rules will unleash the power of wireless broadband over fixed and mobile platforms in this band".

This item is third on the agenda. First, the FCC will consider a notice of proposed rulemaking (NPRM) regarding mandatory electronic filing for international telecommunications services and other international filings.

Spectrum Sharing in the 1.6 and 2.4 GHz Bands. Second, the FCC will consider a report and order (RO) concerning spectrum sharing in the 1.6 and 2.4 GHz bands. This item is titled "Review of the Spectrum Sharing Plan Among Non-Geostationary Satellite Orbit Mobile Satellite Service Systems in the 1.6/2.4 GHz Bands (IB Docket No. 02-364); and Amendment of Part 2 of the Commission's Rules to Allocate Spectrum Below 3 GHz for Mobile and Fixed Services to Support the Introduction of New Advanced Wireless Services, including Third Generation Wireless Systems (ET Docket No. 00-258)."

2500-2690 MHz Band and ITFS/MDS. Third, the FCC will consider a RO and further NPRM regarding the eligibility, licensing and service rules for the 2500-2690 MHz band. This band is currently used by Instructional Television Fixed Service (ITFS), Multipoint Distribution Service (MDS), and Multichannel Multipoint Distribution Service (MMDS). See also, FCC web page titled "ITFS & MDS Radio Services".

FCC Chairman Michael Powell discussed this proceeding in a speech [PDF] at the Wireless Communications Association International (WCA) conference in Washington DC on June 3. He said that "We are working hard to develop new rules allowing more efficient and productive use of the spectrum in the 2.5 GHz band, much of which is currently underutilized."

Powell reviewed the history of ITFS/MDS. He said that "Initially designed as a broadcast-style wireless cable service in the 1980s, this band has evolved along with the telecom industry itself, and the Commission has added flexibility to the band’s rules incrementally over the past several years. In 1995, the FCC established geographic licenses for the service and auctioned the unused spectrum. In 1998, we authorized the use of two-way services, and in 2001, added a mobile allocation to the band. Now it is time for new rules that will allow MDS and ITFS licensees to enjoy the complete flexibility available to licensees of other wireless services."

Powell (at right) said that "These new rules will unleash the power of wireless broadband over fixed and mobile platforms in this band, and provide tremendous benefits for Americans in the form of personalized and ubiquitous services, economic growth, and greater security."

"The key to success in the MDS-ITFS proceeding is for the Commission to provide for flexible use of the spectrum disciplined with vibrant competition and a realization of the true opportunity cost of the spectrum resource allows for innovation to flourish" said Powell. "By allowing the creation of secondary markets, we are providing the industry with more commercial flexibility in obtaining and allocating spectrum. Further, our spectrum leasing initiative will make spectrum more easily accessible to wireless operators interested in serving niche markets."

The full title of this item is "Amendment of Parts 1, 21, 73, 74 and 101 of the Commission’s Rules to Facilitate the Provision of Fixed and Mobile Broadband Access, Educational and Other Advanced Services in the 2150-2162 and 2500-2690 MHz Bands (WT Docket No. 03-66, RM-10586); Part 1 of the Commission’s Rules – Further Competitive Bidding Procedures (WT Docket No. 03-67); Amendment of Parts 21 and 74 to Enable Multipoint Distribution Service and the Instructional Television Fixed Service Amendment of Parts 21 and 74 to Engage in Fixed Two-Way Transmissions (MM Docket No. 97-217); Amendment of Parts 21 and 74 of the Commission’s Rules with Regard to Licensing in the Multipoint Distribution Service and in the Instructional Television Fixed Service for the Gulf of Mexico (WT Docket No. 02-68, RM-9718); and Promoting Efficient Use of Spectrum Through Elimination of Barriers to the Development of Secondary Markets (WT Docket No. 00-230)."

See also, story titled "FCC Announces NPRM To Provide Flexibility To Users of MMDS/ITFS Spectrum" in TLJ Daily E-Mail Alert No. 624, March 17, 2004.

Competition in Video Markets. Fourth, the FCC will consider a notice of inquiry (NOI) seeking information and comments for its 11th annual report to the Congress on the status of competition in the market for the delivery of video programming. The Communications Act, as amended by the 1992 Cable Act, requires these annual reports. See, 47 U.S.C. § 548 (g). The FCC released its 10th annual report [146 pages in PDF] on competition in video markets on January 28, 2004.

TRS. Fifth, the FCC will consider a RO, order on reconsideration, and further NPRM regarding the provisions, regulations, and compensation of telecommunications relay service (TRS) for persons with hearing and speech disabilities. This is CC Docket Nos. 90-571, 98-67, and 03-123.

§ 251 Unbundling and Multiple Dwelling Units. The sixth and final item on the agenda is consideration of an order on reconsideration regarding requests from BellSouth and Sure West to reconsider and/or clarify the unbundling obligations, under 47 U.S.C. § 251, of incumbent local exchange carriers (ILECs) relating to multiple dwelling units and the network modification rules. This is CC Docket No. 01-338, CC Docket No. 96-98, and CC Docket No. 98-147.

The meeting will be held at 9:30 AM at the FCC, 445 12th Street, SW, in Room TW-C05, the Commission Meeting Room. The meeting is open to the public, and will be webcast by the FCC.

6/3. Federal Communications Commission (FCC) Chairman Michael Powell gave a speech [PDF] at the Wireless Communications Association International (WCA) conference in Washington DC.

Powell stated, as he has in the past, that "The FCC's role -- and my mission -- is to facilitate competition that will spur broadband deployment and make this goal a reality. Wireless broadband can bring much needed competition to existing DSL and cable-modem service."

Powell also addressed unlicensed use of spectrum. He said that "In the unlicensed bands, we have found that innovation multiplies when the participants are able to cooperatively introduce a number of new broadband services only lightly touched by regulation. That's why we continue to promote innovative uses of unlicensed spectrum such as our allocation of additional spectrum in the 5 GHz band and our recent inquiry smart radio devices that could make use of unused broadcast television spectrum without creating interference. We also will continue to support ultrawideband technologies and look to new and emerging platforms such as broadband over power lines for solutions."

Powell also discussed the FCC's report and order and notice of proposed rulemaking, to be considered at the June 10 meeting of the FCC, regarding eligibility, licensing and service rules for the 2500-2690 MHz band, currently used by ITFS and MDS/MMDS. See, story in this issue titled "FCC Announces Agenda for June 10 Meeting".

Finally, Powell addressed economic growth. He said that "Our economy's explosive growth at the end of last year is directly attributable to our investments in the Internet and information technologies in the 90's. If the United States hopes to see its economy grow in the future, I think the continued proliferation of broadband technologies -- with wireless playing a critical part -- is the key to that solution."

6/2. Kenneth Starr, an attorney at the law firm of Kirkland & Ellis, gave a speech at a luncheon hosted by the Progress and Freedom Foundation (PFF) titled "The Supreme Court and the Future of the Telecom Act of 1996". Starr argued that the fundamental legal issues raised by the Federal Communications Commission's (FCC) triennial review order's (TRO) unbundling provisions are not about telecommunications. The fundamental issues are executive power, and the separation of powers.

Starr is a former Solicitor General (SG), and former Judge of the U.S. Court of Appeals (DCCir), who now works at a law firm that represents the interests of incumbent local exchange carriers (ILECs).

He argued that the larger question involved in the TRO and the March 2 opinion [62 pages in PDF] of the DC Circuit in USTA v. FCC is not the unbundling requirements under Section 251 of the Communications Act. Rather, the most important question raised is the nature of federal executive power. He opines that were the courts to adopt the position advocated by the FCC Commissioners Martin, Copps and Adelstein, then federal authority, separation of powers, and governmental accountability would be undermined.

See also, story titled "Appeals Court Overturns Key Provisions of FCC Triennial Review Order" in TLJ Daily E-Mail Alert No. 848, March 3, 2004. This case is also known as USTA II.

Starr said that "In my judgment, the right answer is that the SG should not accede to what the FCC appears to be requesting. First and foremost, the three member majority, over two vigorous dissents, has embarked on an entirely new venture, with, in my judgment, no basis in the law, but with enormous implications for the administrative state, and Presidential power."

He continued that the three member majority on the FCC "has determined to delegate fundamental questions of national telecommunications policy to state entities, and to do that, it has advanced a truly revolutionary view of federal statutes. Namely -- this is its position -- that an independent agency can, in the absence of an express prohibition, delegate its substantive powers to state agencies and officials."

"This then is not simply a quibble over the interpretation of the Communications Act. This is new, and it cuts across agency lines. It is quite distinct from the kinds of issues that would have guided the Solicitor General in the past to accept the Commission's interpretation of its own organic statute", said Starr. He continued that this goes beyond intra-executive Chevron deference.

"It is a fundamental decision that goes far beyond the domain of the FCC. It is not simply a squabble over unbundling. It is a fundamental disagreement about power in the executive, and then, our federal system. The way to look at the issue before the Solicitor General is that it is not a question of telecommunications law, at all. It is a general issue of administrative law, with a very powerful separation of powers overlay", said Starr.

"Let's first understand what the majority is arguing. I saw this from the DC Circuit's opinion. I quote, ``the Commission claims that agencies have the presumptive power to subdelegate to state commissions, so long as the statute authorizing agency action refrains from foreclosing such a power. Given the absence of any express foreclosure the Commission argues that its interpretation of the statute on the matter of subdelegation is entitled to deference under Chevron.´´"

Starr added that there is a difference between subdelegation within the federal executive, and subdelegation to an outside party. He said that there is a presumption in favor of the former, and against the latter.

Starr said that one rationale for a presumption against subdelegation to a state is that governmental accountability becomes blurred.

"This is not about TELRIC. It is about power", concluded Starr.

Starr also advanced other arguments, such as the uncertainty that would result from a continuation of litigation. He stated that "What we do know is that were the Solicitor General to decide to go forward to the Supreme Court, great uncertainty will linger over this important sector of our economy for yet another year. I believe that is a very bad thing in terms of the business climate needed for sound decision making, fostering investment, and the like. Indeed,  ... were the SG to decide to go forward, and should the Court determine to hear the case, oral arguments will not occur until the next calendar year, 2005, with the decision to come about this time next year."

Christopher Wright, a lawyer with the law firm of Harris Wiltshire & Grannis, then offered a rebuttal. Wright represents the interests of competitive local exchange carriers (CLECs) in this matter. He is a former General Counsel of the FCC, and previously worked in the Office of the Solicitor General.

Wright argued that the Supreme Court should grant certiorari in this case, and reverse the DC Circuit.

He said that Starr is wrong on the subdelegation of authority argument. He argued that the delegation of authority to the states found in the TRO is based on the language of Sections 251 and 251 of the Act. He said that Congress made the delegation. So, he said, "I don't think that there is a subdelegation going on here at all."

This case is about TELRIC, concluded Wright. The DC Circuit, in its USTA II opinion, is trying to reverse the Supreme Court's opinion in the Verizon case.

See, the May 13, 2002 opinion [104 pages in PDF] of the Supreme Court in Verizon v. FCC, upholding the FCC's rules regarding how incumbent local exchange carriers (ILECs) charge interexchange carriers (IXCs) and competitive local exchange carriers (CLECs) for access to their facilities.

6/3. The House Commerce Committee amended and approved a committee print of HR __, the "Satellite Home Viewer Extension and Reauthorization Act".

The Committee approved, by voice vote, an amendment [48 pages in PDF] offered by Rep. Fred Upton (R-MI), the Chairman of the Subcommittee on Telecommunications and the Internet. The Committee also approved, by voice vote, an amendment [1 page in PDF] offered by Rep. Barbara Cubin (R-WY).

See, committee print [23 pages in PDF] as reported by the Subcommittee on Telecommunications and the Internet on April 29, 2004. The Upton amendment substantially replaces the subcommittee version.

See also, brief prepared statement of Rep. John Dingell (D-MI), the ranking Democrat on the full Committee.

6/2. The House Commerce Committee's Subcommittee on Telecommunications and the Internet held a hearing titled "Advancing the DTV Transition: An Examination of the FCC Media Bureau Proposal".

Ken Ferree, Chief of the Federal Communications Commission's (FCC) Media Bureau (MB) outlined the MB's tentative proposal to expedite the transition to digital television (DTV) in his prepared testimony.

See also, prepared statement of Rep. Joe Barton (R-TX), the Chairman of the full Committee, and prepared statement of Rep. John Dingell (D-MI), the ranking Democrat on the full Committee.

See also, prepared testimony of Edward Fritts (P/CEO of the National Association of Broadcasters), prepared testimony of Robert Sachs (P/CEOfficer of the National Cable & Telecom Association), prepared testimony of Richard DalBello (Satellite Broadcasting & Communications Association), prepared testimony of Gary Shapiro (P/CEO of the Consumer Electronics Association), prepared testimony of Gloria Tristani (United Church of Christ), and prepared testimony of Thomas Lenard (Progress & Freedom Foundation).

The Senate Commerce Committee is scheduled to hold a hearing on the transition to DTV on Wednesday, June 9, 2004.

6/3. The House Financial Services Committee met to mark up several bills. It began its consideration of HR 3574, the "Stock Option Accounting Reform Act", but then postponed further consideration. See, story titled "Capital Markets Subcommittee Approves Stock Options Bill" in TLJ Daily E-Mail Alert No. 897, May 13, 2004.

6/3. The Senate Judiciary Committee held an executive business meeting. The agenda included consideration of S 1635, the "L-1 Visa (Intracompany Transferee) Reform Act of 2003", and S 2013, the "Satellite Home Viewer Extension Act of 2004". The Committee held over items both of these items.

6/3. The House Judiciary Committee's Subcommittee on Courts, the Internet, and Intellectual Property held an oversight hearing titled "Oversight of the Operations of the U.S. Copyright Office". See, prepared testimony [PDF] of Marybeth Peters, the Register of Copyrights.

The House will meet at 12:00 NOON.

The Senate will meet at 9:30 AM. It will resume consideration of S 2400, the Department of Defense authorization bill for FY 2005.

The Supreme Court is on recess until Monday, June 7.

10:00 AM. The Senate Judiciary Committee will hold a hearing on the nomination of Michael Watson to be a Judge of the U.S. District Court for the Southern District of Ohio. See, notice. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirksen Building.

The Federal Communications Bar Association's (FCBA) Wireless Committee will host a luncheon event. The speaker will be Ed Thomas, Chief of the Federal Communications Commission's (FCC) Office of Engineering and Technology (OET). The price to attend is $15.00. RSVP by Tuesday, June 1 to wendy@fcba.org. Location: Sidley Austin, 1501 K Street, NW, 6th Floor.

Day four of a four day conference and expo hosted by the Wireless Communications Association International (WCA) titled "WCA 2004". See, agenda. Location: Marriott Wardman Park Hotel, 660 Woodley Park Road, NW.

Deadline to submit comments to the Federal Trade Commission (FTC) in response to its notice of proposed rulemaking (NPRM) regarding its Hart Scott Rodino premerger notification rules. See, notice in the Federal Register, April 8, 2004, Vol. 69, No. 68, at Pages 18685 - 18721.

Deadline to submit comments to the Executive Office of the President's (EOP) Office of Management and Budget (OMB) on the Small Business Paperwork Relief Act Task Force draft report that makes recommendations concerning the improvement of electronic dissemination of information collected under federal requirements, and a plan to develop an interactive government wide internet program to identify applicable collections and facilitate compliance. See, notice in the Federal Register, May 5, 2004, Vol. 69, No. 87, at Pages 25147 - 25157.

The House will not meet.

The Supreme Court will return from a one week recess.

Deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its notice of proposed rulemaking (NPRM) regarding the provision of international telecommunications service. This NPRM is FCC 04-40 in IB Docket No. 04-47. See, notice in the Federal Register, March 22, 2004, Vol. 69, No. 55, at Pages 13276 - 13278.

8:15 AM - 5:00 PM. The National Institute of Standards and Technology's (NIST) Visiting Committee on Advanced Technology will hold a partially closed meeting. See, notice in the Federal Register, May 24, 2004, Vol. 69, No. 100, at Page 29520. Location: NIST, Employees Lounge, Administration Building, Gaithersburg, MD.

? 10:00 AM. The Senate Judiciary Committee will hold an oversight hearing "on activities of the Department of Justice, focusing on terrorism and other related topics". Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirksen Building.

10:00 AM. The Senate Appropriations Committee's Subcommittee on Commerce, Justice, State, and the Judiciary will hold a hearing on intellectual property rights. Location: Room 124, Dirksen Building.

10:00 AM - 12:00 NOON. The Advisory Committee for the 2007 World Radiocommunication Conference (WRC-07) will meet. See, notice [PDF]. Location: Federal Communications Commission (FCC), 445 12th Street, SW, Room TW-C305 (Commission Meeting Room).

9:30 AM. The Senate Commerce Committee will hold a hearing on the transition to digital television. Location: Room 253, Russell Building.

9:30 AM. The Senate Foreign Relations Committee will hold a hearing titled "Evaluating International Intellectual Property Piracy". The witnesses will be Jack Valenti (Motion Picture Association of America), Mitch Bainwol (Recording Industry Association of America), Robert Holleyman (Business Software Alliance), and Douglas Lowenstein (Entertainment Software Association). See, notice. Location: Room 419, Dirksen Building.

10:00 AM. The House Commerce Committee's Subcommittee on Oversight and Investigations will hold a hearing titled "Problems with the E-rate Program: Waste, Fraud, and Abuse Concerns in the Wiring of Our Nation's Schools to the Internet". The hearing will be webcast. See, notice. Location: Room 2322, Rayburn Building.

? 10:00 AM. The Senate Judiciary Committee will hold an oversight hearing "on activities of the Department of Homeland Security, focusing on terrorism and other related topics". Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirksen Building.

12:15 PM. The Federal Communications Bar Association's (FCBA) Young Lawyers Committee will host a brown bag lunch. This is an election and organizational meeting. Person interested in running for office should contact either Ryan Wallach at rwallach@willkie.com or 202-303-1159, or Pam Slipakoff at Pam.Slipakoff@fcc.gov or 202-418-7705. Location: Willkie Farr & Gallagher, 1875 K Street, NW, second floor.

12:15 PM. The Federal Communications Bar Association's (FCBA) Mass Media Practice Committee will host a brown bag lunch. The speaker will be Ken Ferree, Chief of the Federal Communications Commission's (FCC) Media Bureau. The topic will be "Current Issues at the Media Bureau". Location: National Association of Broadcasters, 1771 N Street, NW.

2:00 PM. The U.S. Court of Appeals (FedCir) will hear oral argument in Neomagic v. Trident Microsystems. Location: Courtroom 402, 717 Madison Place, NW.

Deadline to submit comments to the U.S. Patent and Trademark Office (USPTO) regarding its proposed rules changes to adjust certain patent fee amounts to reflect fluctuations in the Consumer Price Index (CPI). See, notice in the Federal Register, May 10, 2004, Vol. 69, No. 90, at Pages 25861 - 25864.

Deadline to submit comments to the Rural Utilities Service (RUS) regarding its proposed rules changes regarding accounting policies and procedures for RUS Telecommunications Borrowers. See, notice in the Federal Register: May 10, 2004, Vol. 69, No. 90, at Pages 25848 - 25856.

Deadline to submit requests for grant applications to the National Telecommunications and Information Administration (NTIA) for grants under the Pan-Pacific Education and Communications Experiments by Satellite (PEACESAT) program. See, notice in the Federal Register, May 10, 2004, Vol. 69, No. 90, at Pages 25883 - 25885.

9:30 AM. The Federal Communications Commission (FCC) will hold a meeting. See, agenda [PDF]. The event will be webcast. Location: FCC, 445 12th Street, SW, Room TW-C05 (Commission Meeting Room).

10:00 AM. The Senate Banking Committee will hold a hearing on the nomination of Alan Greenspan to be Chairman of the Federal Reserve Board. See, notice. Location: undisclosed.

12:15 PM. The DC Bar Association and the Federal Communications Bar Association's (FCBA) Transactional Practice Committee will host a brown bag lunch. The topic will be "The Nuts and Bolts of Transfers of Control at the FCC". The speakers will be Neil Dellar (FCC's Office of the General Counsel), William Dever (Wireline Competition Bureau), William Freedman (Enforcement Bureau), Susan O'Connell (International Bureau), Royce Sherlock (Media Bureau), Jeff Tobias (Wireless Telecommunications Bureau), and Julie Veach (Wireline Competition Bureau). Prices vary. See, notice. Location: DC Bar Conference Center, B-1 Level, 1250 H St.

1:00 - 4:00 PM. The American Enterprise Institute (AEI) will host a panel discussion titled "Market Shock and Trading Efficiency: A Comparison of Electronic and Non-Electronic Markets". The speakers will be Peter Wallison (AEI), Kenneth Lehn (University of Pittsburgh), Sukesh Patro (UPitt), Kuldeep Shastri (UPitt), Paul Bennett (New York Stock Exchange), Lawrence Harris (Securities and Exchange Commission), Frank Hatheway (Nasdaq), Mike Plunkett (Instinet), Benn Steil (Council on Foreign Relations). See, notice. Location: AEI, 12th floor, 1150 17th St., NW.

8:30 AM - 3:00 PM. George Mason University Law School (GMULS) will host a conference titled "The Law and Economics of Cyber Security". The speakers (and their affiliations and topics), include Bruce Kobayashi (GMULS, The Law & Economics of Cybersecurity), Yochai Benkler (Yale LS, Distributed Social Provisioning of Redundant Critical Infrastructures), Randy Picker (University of Chicago LS, Raising Transaction Costs and Network Security: Of Heterogeneity and Autarchy), Jack Goldsmith and Tim Wu (University of Virginia LS, Internet Jurisdiction over Crime and Terrorism). Joel Trachtman (Tufts LS, Global Cybersecurity, Jurisdiction, and International Organization), Amitai Aviram (Florida State University, A Paradox of Spontaneous Formation), Eric Posner and Doug Lichtman (University of Chicago LS, National versus International Regulation), and Neal Katyal (Georgetown LS, The Dark Side of Private Ordering for Cybersecurity). See, conference brochure [PDF]. Location: GMULS, 3301 North Fairfax Drive, Arlington, VA.

6/3. George Tenet, Director of Central Intelligence, announced his resignation. He has been head of the Central Intelligence Agency (CIA) since 1997. See, speech to CIA employees.

President Bush delivered a statement in which he said that "He's done a superb job on behalf of the American people." Bush added that "He will serve at the CIA as the director until mid July, at which time the deputy director of the Central Intelligence Agency, John McLaughlin, will serve as the acting director."

See also, joint statement of Sen. Pat Roberts (R-KS) and Sen. Jay Rockefeller (D-WV) the Chairman and Vice Chairman of the Senate Select Committee on Intelligence; statement of Rep. Chris Cox (R-CA), the Chairman of the House Homeland Security Committee; statement of Rep. Jane Harman (D-CA), the ranking Democrat on the House Intelligence Committee; and statement of Attorney General John Ashcroft.

6/3. The U.S. Court of Appeals (9thCir) issued its opinion [PDF] in Ballaris v. Wacker Siltronic, a case involving claims of unpaid overtime wages against a company that manufactures silicon wafers for the computer industry. The Appeals Court affirmed in part and revered in part. This case is Michael Ballaris v. Wacker Siltronic Corporation, U.S. Court of Appeals for the 9th Circuit, App. Ct. No. 02-35956, an appeal from the U.S. District Court for the District of Oregon, Judge Garr King presiding, D.C. No. CV-00-01627-KI.

6/1. The Department of Justice's (DOJ) Antitrust Division released a redacted version [43 pages in PDF] of the trial brief that it filed with the U.S. District Court (NDCal) in US v. Oracle. The parties also filed their Joint Stipulations of Fact [5 pages in PDF]. On February 26, 2004, the U.S. and seven states filed a complaint in U.S. District Court (NDCal) against the Oracle Corporation alleging that Oracle's proposed acquisition of PeopleSoft, Inc. would lessen competition substantially in interstate trade and commerce in violation of Section 7 of the Clayton Act, which is codified at 15 U.S.C. § 18. The plaintiffs seek an injunction of the proposed acquisition. See, story titled "Antitrust Division Sues Oracle to Enjoin Its Proposed Acquisition of PeopleSoft" in TLJ Daily E-Mail Alert No. 846, March 1, 2004. This case is U.S., et al. v. Oracle, U.S. District Court for the Northern District of California, D.C. No. C 04-00807 VRW.

6/3. The Department of Justice's (DOJ) Antitrust Division announced that it closed its investigation of Movielink, a joint venture of Sony Pictures Entertainment, Inc., Paramount Pictures Corp., Metro Goldwyn Mayer Studios Inc., Warner Bros., and Universal Studios to provide video on demand (VOD) services. The DOJ stated in a release that "The Division’s substantial investigation of Movielink does not indicate that the formation of this joint venture by five of the major movie studios harmed competition or consumers of movies. The investigation focused on whether formation of the joint venture facilitated collusion among the studios or decreased their incentives to license movie content to competing video-on-demand (VOD) providers. The Division considered several theories of competitive harm but ultimately determined that the evidence does not support a conclusion that the structure of the joint venture increased prices or otherwise reduced competition in the retail markets in which Movielink competes. The Division will continue to monitor activity in these emerging markets as part of its ongoing enforcement of the antitrust laws."