quinta-feira, 14 de dezembro de 2017

The FCC just killed net neutrality

Resultado de imagem para the verge logo

It’s over


Illustration by Alex Castro / The Verge

Net neutrality is dead — at least for now. In a 3-2 vote today, the Federal Communications Commission approved a measure to remove the tough net neutrality rules it put in place just two years ago. Those rules prevented internet providers from blocking and throttling traffic and offering paid fast lanes. They also classified internet providers as Title II common carriers in order to give the measure strong legal backing.
Today’s vote undoes all of that. It removes the Title II designation, preventing the FCC from putting tough net neutrality rules in place even if it wanted to. And, it turns out, the Republicans now in charge of the FCC really don’t want to. The new rules largely don’t prevent internet providers from doing anything. They can block, throttle, and prioritize content if they wish to. The only real rule is that they have to publicly state that they’re going to do it.

Opponents of net neutrality argue that the rules were never needed in the first place, because the internet has been doing just fine. “The internet wasn't broken in 2015. We were not living in some digital dystopia,” commission chairman Ajit Pai said today. “The main problem consumers have with the internet is not and has never been that their internet provider is blocking access to content. It's been that they don't have access at all.”
While that may broadly be true, it’s false to say that all of the harms these rules were preventing are imagined: even with the rules in place, we saw companies block their customers from accessing competing apps, and we saw companies implement policies that clearly advantage some internet services over others. Without any rules in place, they’ll have free rein to do that to an even greater extent.

READ THE DISSENTING STATEMENTS OF THE DEMOCRATIC FCC COMMISSIONERS

Supporters of net neutrality have long argued that, without these rules, internet providers will be able to control traffic in all kinds of anti-competitive ways. Many internet providers now own content companies (see Comcast and NBCUniversal), and they may seek to advantage their own content in order to get more eyes on it, ultimately making it more valuable. Meanwhile, existing behaviors like zero-rating (where certain services don’t count toward your data cap) already encourage usage of some programs over others. If during the early days of Netflix, you were free to stream your phone carrier’s movie service instead, we might not have the transformational TV and movie company it’s turned into today.
One of the two Democrats on the commission, Jessica Rosenworcel, called today’s vote a “rash decision” that puts the FCC “on the wrong side of history, the wrong side of the law, and the wrong side of the American public.” This vote, Rosenworcel says, gives internet providers the “green light to go ahead” and “discriminate and manipulate your internet traffic,” something she says they have a business incentive to do.

“​This is not good,” Rosenworcel says. “Not good for consumers. Not good for businesses. Not good for anyone who connects and creates online.”
Commissioner Clyburn, the other Democrat, said the implications of today’s vote are “particularly damning ... for marginalized groups, like communities of color, that rely on platforms like the internet to communicate.” No one will be able to stop internet providers if they allow the social media services these groups rely on to slow down, blocking the dissemination of information, Clyburn said.

WHAT PUBLIC LIBRARIES WILL LOSE WITHOUT NET NEUTRALITY

Both Rosenworcel and Clyburn also criticized the FCC’s handling of the public comment period that proceeded this vote, saying that the administration acted inappropriately in ignoring millions of voices in support of net neutrality. “It is abundantly clear why we see so much bad process with this item: because the fix was already in,” Clyburn said. Rosenworcel said the commission showed a “cavalier disregard” for the public and a “contempt” for citizens speaking up.
The vote comes after a contentious and messy public comment period. After opening the proposal up for feedback earlier this year, the commission received a record-breaking 22 million comments. But many of those comments were spam — 7.5 million, according to the commission — and the FCC has refused to help investigations into what happened. The commission was also quiet about website problems that caused its comment form to crash briefly in May.

Those comments are likely to play a role in whatever lawsuit hits following this vote. Net neutrality supporters are almost certain to sue the commission in an attempt to invalidate this proceeding and restore the 2015 net neutrality rules. While the commission is allowed to change its mind, it isn’t allowed to change rules for “arbitrary and capricious” reasons. In court, the FCC will have to prove that enough has changed since 2015, and that there’s enough evidence in the record of comments, to back up the conclusion that it ought to revoke net neutrality.

NEW YORK ATTORNEY GENERAL SAYS FCC'S NET NEUTRALITY VOTE WOULD COME AFTER A “CORRUPTED” COMMENTS PROCESS

Since the beginning of this proceeding, the commission has made it very clear that it isn’t really interested in most public comments either, despite a requirement to accept and consider them. The commission has stated time and again that it only values legal arguments, so we may see complaints that millions of consumer comments were ignored. Even if they don’t include the spam, the net neutrality proceeding was still the most commented ever at the commission.
This is the first time in more than a decade that the FCC has actually been opposed to net neutrality. The FCC has been promoting open internet rules since the mid-2000s, though it wasn’t until 2010 that they were turned into formal regulations. In 2014, those were overturned in court after the FCC was sued by Verizon. The court said that the FCC could try again using Title II, and so it did that in 2015. Those rules, which have been in place for two years, are the ones getting overturned today.

The vote ran over over an hour, with extensive speeches from the five commissioners, particularly from the two dissenting Democrats. In an highly unusual moment, the commission’s meeting room was evacuated briefly “on advice of security.” Cameras that remained on and streaming showed dogs being brought in to search the room.
Now that the vote is over, the commission will take a few weeks to make final adjustments to the rules. They’ll then be filed with the Federal Register and appear there in a few months. At that point, net neutrality will officially be off the books, and these new rules (or really, the absence of any) will take effect.
So what can you expect to change now that net neutrality is over? Not all that much — not overnight, at least. Rather than large swaths of the internet suddenly becoming unavailable or only offered for a fee, internet providers will likely continue to explore subtler methods of advantaging themselves and their partners, like offering data to use certain services for free or speeding up delivery of their own content.
These are things that may initially sound good. But in the long run, they disadvantage upstarts that don’t have the money to pay up. The problem is that, eventually, we may not know what products and services we missed out on because they never made it through the mess.

quarta-feira, 13 de dezembro de 2017

"As redes sociais estão dilacerando a sociedade”, diz um ex-executivo do Facebook


Resultado de imagem para el pais logo

Chamath Palihapitiya lamenta ter participado da criação de ferramentas que destroem o tecido social




Chamath Palihapitiya durante o fórum da Escola de Negócios de Stanford em 10 de novembro.
Chamath Palihapitiya durante o fórum da Escola de Negócios de Stanford em 10 de novembro.




Um ex-alto executivo do Facebook fez um mea culpa por sua contribuição para o desenvolvimento de ferramentas que, em sua opinião, “estão dilacerando o tecido social”. Chamath Palihapitiya, que trabalhou na empresa de Mark Zuckerberg de 2007 a 2011, da qual chegou a ser vice-presidente de crescimento de usuários, acredita que “os ciclos de retroalimentação de curto prazo impulsionados pela dopamina que criamos estão destruindo o funcionamento da sociedade. Sem discursos civis, sem cooperação, com desinformação, com falsidade”.
Palihapitiya fez essas declarações sobre o vício em redes sociais e seus efeitos em um fórum da Escola de Negócios de Stanford no dia 10 de novembro, mas o site de tecnologia The Verge as publicou na segunda-feira e, através dele, jornais como o The Guardian. Palihapitiya — que trabalhou para aumentar o número de pessoas que usam as redes sociais — recomendou ao público presente no fórum que tomasse um “descanso” no uso delas.
Esclareceu que não falava apenas dos Estados Unidos e das campanhas de intoxicação russas no Facebook. “É um problema global, está corroendo as bases fundamentais de como as pessoas se comportam consigo mesmas e com as outras”, enfatizou, acrescentando que sente “uma grande culpa” por ter trabalhado no Facebook. Falou sobre como as interações humanas estão sendo limitadas a corações e polegares para cima e como as redes sociais levaram a uma grave falta de “discurso civil”, à desinformação e à falsidade.




Na palestra, Palihapitiya — agora fundador e CEO da Social Capital, com a qual financia empresas de setores como saúde e educação — declarou ser uma espécie de objetor de consciência do uso de redes sociais e anunciou que quer usar o dinheiro que ganhou no Facebook para fazer o bem no mundo. “Não posso controlar [o Facebook], mas posso controlar minha decisão, que é não usar essa merda. Também posso controlar as decisões dos meus filhos, que não podem usar essa merda”, disse, esclarecendo que não saiu completamente das redes sociais, mas que tenta usá-las o mínimo possível.
O ex-vice-presidente do Facebook alertou que os comportamentos das pessoas estão sendo programados sem que elas percebam. “Agora você tem que decidir o quanto vai renunciar”, acrescentou. Palihapitiya fez referência ao que aconteceu no estado indiano de Jharkhand em maio, quando mensagens falsas de WhatsApp sobre a presença de supostos sequestradores de crianças acabaram com o linchamento de sete pessoas inocentes. “Estamos enfrentando isso”, criticou Palihapitiya, acrescentando que esse caso “levado ao extremo” implica que criminosos “podem manipular grandes grupos de pessoas para que façam o que eles querem”.


After Facebook, I took the capital they rewarded me with and then focused on using it to make change. –@chamath, Founder & CEO @SocialCapital

Mas Palihapitiya não criticou apenas os efeitos das redes na maneira pela qual a sociedade funciona, mas todo o sistema de funcionamento de Silicon Valley. Segundo ele, os investidores injetam dinheiro em “empresas estúpidas, inúteis e idiotas”, em vez de abordar problemas reais como mudança climática e doenças curáveis.
As críticas de Palihapitiya às redes se juntam às do primeiro presidente do Facebook, Sean Parker, que criticou a forma como a empresa “explora uma vulnerabilidade da psicologia humana” criando um “ciclo de retroalimentação de validação social”. Além disso, um ex-gerente de produto da empresa, Antonio García-Martínez, acusou o Facebook de mentir sobre sua capacidade de influenciar as pessoas em função dos dados que coleta sobre elas e escreveu um livro, Chaos Monkeys, sobre seu trabalho na empresa. No último ano vem crescendo a preocupação com o poder do Facebook, seu papel nas eleições norte-americanas e sua capacidade de amplificar notícias falsas.

terça-feira, 21 de novembro de 2017

Justice Department Sues to Block AT&T-Time Warner Merger


Photo
The deal for Time Warner is designed to help AT&T counter slowing growth in its core wireless, internet and satellite businesses while fending off online video upstarts like Netflix and Hulu.CreditSam Hodgson for The New York Times
WASHINGTON — The Justice Department sued to block AT&T’s $85.4 billion bid for Time Warner on Monday, setting up a showdown over the first blockbuster acquisition to be considered by the Trump administration and drawing limits on corporate power in the fast-evolving media landscape.
By challenging the deal, the Justice Department is taking an approach to antitrust issues that is starkly different from the Obama administration’s. In 2011, for instance, the department approved a similar deal — Comcast’s acquisition of NBCUniversal — after imposing numerous conditions on the transaction.
If AT&T’s bid for Time Warner were to go through, the merger would create a media and telecommunications behemoth. By itself, AT&T is one of the nation’s largest internet and telephone providers. With its 2015 acquisition of DirecTV, the country’s largest satellite company, it also became the largest television distributor in the United States.
The combined company would have an unrivaled ability to reach consumers through news and entertainment programming. Among Time Warner’s properties are HBO, the home to “Game of Thrones”; Warner Bros., the studio behind blockbusters like “Wonder Woman” and the Harry Potter film series; and Turner Broadcasting, which includes the news channel CNN and the sports-heavy TNT network.
Makan Delrahim, the Justice Department’s top antitrust regulator, said a union of the two companies would harm consumers and weaken competition.
Continue reading the main story
“This merger would greatly harm American consumers,” Mr. Delrahim, the assistant attorney general for antitrust, said in a statement. “It would mean higher monthly television bills and fewer of the new, emerging innovative options that consumers are beginning to enjoy.”
AT&T said it would defend the proposed deal in court, arguing that companies don’t directly compete against each other and that the government hasn’t challenged a similar kind of merger in decades.
“It defies logic, and it’s unprecedented,” AT&T’s chief executive, Randall L. Stephenson, said in a news conference on Monday after the suit was filed.
The complaint was filed in Federal District Court for the District of Columbia against AT&T, DirecTV and Time Warner.
In a call with reporters on Monday, a Justice Department official said the agency remained open to negotiating a settlement. To gain favor with the antitrust division, the official said, the companies would have to sell off some of their assets.
During the news conference, Mr. Stephenson said that the Justice Department had a long history of approving similar mergers and that the company was not willing to part with any assets to get the deal approved.
In its complaint, the Justice Department said consumers would most likely face higher prices for cable or satellite television subscriptions because AT&T would be able to charge more for licensing of valuable programming like the N.C.A.A. men’s basketball tournament, which is broadcast in large part on Turner networks.
The government argued further that AT&T’s acquisition of Time Warner would stifle innovation from online streaming firms like SlingTV, which competes with AT&T’s DirecTV Now service. AT&T could withhold programs from those online providers.
A combined AT&T and Time Warner, the complaint said, would be more harmful to consumers and larger in scope than Comcast-NBCUniversal. Comcast’s cable and broadband service reaches more than one-third of the nation.
“Both AT&T/DirecTV’s video distribution services and Time Warner’s TV networks are available nationwide, so the harm would occur throughout the country,” the Justice Department said in its complaint.
Mr. Stephenson has argued that AT&T needs media content in order to compete against internet firms like Google and Facebook for digital advertising dollars. With a big stock of television programming, it would also compete more effectively for subscribers against companies like Comcast and Verizon, which both own content.
While speaking with reporters on Monday, Mr. Stephenson obliquely raised the issue of possible interference by the White House. President Trump, a frequent critic of news coverage by CNN, said during the 2016 presidential campaign that the deal should be blocked. Mr. Stephenson called the issue of CNN the “elephant in the room” and speculated about its role in Mr. Delrahim’s decision.
“Frankly, I don’t know,” Mr. Stephenson said.
Mr. Delrahim has spoken at length about how Justice Department officials should handle mergers involving two companies that don’t compete against each other, like the one between AT&T and Time Warner. Problems with those mergers have traditionally been resolved by adding conditions known as consent decrees, which restrict the new company’s behavior or operations.
Mr. Delrahim has argued that those remedies are not effective. Instead, he has spoken in favor of so-called structural remedies, like forcing a company to sell assets before a merger or acquisition.
On Sept. 29, he was put in a position to act on that theory, when he was sworn in at the Justice Department.
Throughout the summer, Justice Department officials and AT&T lawyers had discussed conditions that would allay antitrust concerns. During the talks, AT&T representatives said the combined company would abstain from anticompetitive business practices. At least some Justice Department staff members seemed open to the idea, according to two people familiar with the government review.
The antitrust staff, which included holdovers from the Obama administration, presented Mr. Delrahim with three options: Accept the deal with conditions, accept the deal with divestitures, or block it altogether.
Five weeks later, it became clear to AT&T that the deal was in trouble.
An article by The Wall Street Journal on Nov. 2 reported that the Justice Department was considering filing a lawsuit against the deal. The next day, according to a company official, AT&T asked for a meeting with Mr. Delrahim and senior staff.
Photo
Jeffrey L. Bewkes, the chief executive of Time Warner, left, and Randall L. Stephenson, AT&T’s chief executive, speaking last year before a Senate subcommittee hearing on the AT&T-Time Warner merger.CreditJoshua Roberts/Reuters
Mr. Stephenson and the company’s general counsel flew from Dallas to Washington a few days later to meet with the officials. After the meeting, the two sides were far from reaching a deal.
According to AT&T sources, the Justice Department asked the company to rid itself of Turner or DirecTV, the satellite TV provider.
Government officials, however, said AT&T had offered to sell CNN. By the end of the day’s talks, Mr. Stephenson put out a statement saying he had never offered to sell CNN.
The next day, on Nov. 9, Mr. Stephenson, speaking at The New York Times’s DealBook conference, said the company was prepared to defend itself in court. He added that a significant merger of companies that were not direct competitors with each other had not been challenged in 40 years.
In recent weeks, the Justice Department reached out to several state attorneys general who had been investigating the transaction to see if they would join the lawsuit as plaintiffs. None of them have yet joined, leaving the Justice Department as the sole plaintiff.
Whether or not Mr. Trump played a role in the Justice Department’s attempt to block the deal will remain a subject of debate, fanned in part by the president himself. On Nov. 15, he wrote on his @realDonaldTrump Twitter account: “While in the Philippines I was forced to watch @CNN, which I have not done in months, and again realized how bad, and FAKE, it is. Loser!” The tweet was retweeted on the official @POTUS account.
In July, Senator Amy Klobuchar of Minnesota, the ranking Democrat on the Senate Judiciary antitrust subcommittee, wrote a letter to Attorney General Jeff Sessions that asked, “Has any employee of the White House or adviser to the president (either official or unofficial) had any contact with any Department of Justice employee regarding the AT&T/Time Warner transaction?”
Mr. Delrahim has strongly denied there has been interference by the White House or Mr. Trump.
Legal experts were divided on the merits of the suit.
Gene Kimmelman, the president of Public Knowledge, a nonprofit consumer advocacy group and a former senior antitrust official at the Justice Department, said, “We believe the Justice Department has presented a persuasive case that should satisfy any federal judge that this transaction is illegal and should be blocked, regardless of any politics surrounding the deal.”
Ryan Radia, a legal and regulatory expert at the Competitive Enterprise Institute, took a different view. “The AT&T-Time Warner merger is a vertical transaction that wouldn’t reduce competition in any distinct market,” Mr. Radia said. “Under established antitrust principles, the government will have a difficult time showing a court that the deal is likely to harm consumers.”
Anxiety over the merger has simmered in the CNN newsroom for months, with staff members speculating about the role of the president’s animosity toward the network.
On Monday, CNN was the only cable news channel to broadcast the AT&T news conference. Anchors reminded viewers that Mr. Trump had once tweeted a video that portrayed him body-slamming a wrestler with a CNN logo for a head.
AT&T’s general counsel, David R. McAtee, said in a statement on Monday: “Today’s D.O.J. lawsuit is a radical and inexplicable departure from decades of antitrust precedent. We are confident that the court will reject the government’s claims and permit this merger under longstanding legal precedent.”