The Commerce Department Bureau of Industry and Security extended by two weeks to Nov. 9 comments on its pre-rule on foundational technologies (see 2010050039), says Friday's Federal Register. It clarified the agency will accept “confidential business information” if commenters follow certain guidelines such as that they “clearly identify” that private portion and justify its nondisclosure.
The Louisiana House supported creating a state broadband office, voting 94-0 Tuesday to send HB-74 by Rep. Daryl Deshotel (R) to the Senate. The Louisiana Senate Commerce Committee unanimously cleared companion SB-61 by Sen. Beth Mizell (R) Wednesday with amendments to more closely align it with HB-74 and make technical edits. “Currently, there is no mechanism in the state to receive money or to disseminate money,” Mizell said at the livestreamed hearing. The office will be “proactive,” not “regulatory,” and Gov. John Bel Edwards (D) plans to reshuffle existing resources to pay for it, she said. Commerce Committee Chairman Ronnie Johns (R) said he understands: “I have kids at home right now ... trying to go to school virtually and cannot.” Governors and legislatures are increasingly showing frustration with broadband gaps and taking action (see our report here).
Apple stopped selling Bose, Logitech and Sonos audio products. Sonos closed 7% lower Tuesday at $14.54, Logitech down 6.1% at $75.83. A Bose spokesperson confirmed its products are no longer being sold via Apple. She noted that it isn’t the only audio company yanked from Apple’s shelves. Removal of competing Bluetooth and smart speakers from Apple led to speculation Apple is going to add to its audio line at its Oct. 13 virtual event, announced Tuesday, where it’s expected to launch the next generation of iPhones. Apple didn’t respond to questions. Sonos didn’t comment. Apple’s move underscores a risk Sonos highlighted in an SEC filing last fall that if partner competitors, such as Amazon and Apple, continue to compete with Sonos more directly, they would be able to promote their products more prominently than Sonos, refusing to promote its speakers. A Logitech spokesperson didn’t comment now, saying the company is in a quiet period ahead of its Oct. 20 quarterly report. The company has been targeting videoconferencing and gaming with its audio products amid a slowdown in the Bluetooth speaker category.
The Commerce Department Bureau of Industry and Security's handling of emerging and foundational technologies drew rhetorical fire on a Center for Strategic and International Studies webinar. Experts said Friday the lengthy process is impeding Committee on Foreign Investment in the U.S. work. “It’s a hard list," said Wiley's Nova Daly of BIS work to come up with information on such technologies that need curbs when involving certain other countries. "Emerging technologies shift and change.” Putting controls on emerging and foundational technologies is "a requirement by law," the expert added. "It will help CFIUS do its job in terms of being able to make sure we don't lose those critical technologies.” The Foreign Investment Risk Review Modernization Act (FIRRMA) let CFIUS review transactions involving such tech. Because of some BIS delays in issuing those controls, CFIUS may not have a clear definition for what technologies to target, experts say. Making CFIUS partly dependent on BIS “was a really bad idea, and I think it needs to be re-looked,” said David Hanke, who helped draft FIRRMA and now is at Arent Fox. “There needs to be more agility, there needs to be more speed, the ability for [Treasury] to see something coming, and whether or not it's covered by BIS and the commerce control list, to be able to designate that in a quick manner.” Thomas Feddo, Treasury's CFIUS lead, cautioned critics from placing too much blame on BIS. “I'm not an export controls expert. I wish Commerce was here to defend themselves,” he said. “I think they might make some argument that they're making a great deal of progress.” Feddo said CFIUS doesn't necessarily need BIS to designate critical technologies for the committee to target transactions. BIS didn't comment Monday. A BIS spokesperson Friday pointed to its notice that day announcing six additional emerging technology controls. The agency hasn't issued foundational tech final controls (see 2008260013).
The FCC Wireline Bureau extended to Dec. 31 the Wednesday deadline for COVID-19 telehealth program funding recipients to buy eligible devices and implement eligible services to address the pandemic, said the bureau Monday in docket 20-89. Participants needing an extension have cited the time needed to complete "procurement steps" required by their states and delays caused by the COVID-19 pandemic or by recent hurricanes, it said.
Photoshop inventor Adobe is promoting its “content authenticity initiative” as an open, voluntary standard to thwart content manipulation for nefarious or criminal purposes, said Dana Rao, Adobe general counsel. “You can make videos and images that could be very lifelike” and difficult to differentiate between truth and fake, he told an Axios webinar Wednesday. “Everyone should be concerned," he said. “The basis of a democracy is a shared understanding of facts. If we can’t agree on what the facts are, we can’t do anything about policies like climate change.” It’s easy to edit videos and images “and create a fiction from a fact,” said Rao. “The problem with images and video is that people believe them. They believe them more than the written word.” People “can’t always trust what they see,” he said. “Years ago, you might have gotten an email from a bank. It asked you for your Social Security number, and you may have just typed it in and sent it away. You know better now. You know that some of these emails are fake, even if they have beautiful letterheads. People need to think that way about online content.”
California Gov. Gavin Newsom (D) should call back the legislature for a special session to close the digital divide, the Electronic Frontier Foundation said Tuesday with Common Sense Kids Action and about 50 California organizations and officials. A broadband bill the groups supported stalled at the finish line in the Assembly; SB-1130 would have increased the state internet speed standard to 25 Mbps symmetrical (see 2008310034).
The International Trade Commission should deny Realtek’s request for “early adjudication” that a domestic industry doesn’t exist, in DivX’s patent complaint against major TV brands and chip companies, because of the allegedly questionable TV assembly operations of licensee Element Electronics (see 2009280034), DivX replied (login required) in docket 337-3489. Realtek based its petition on “unsubstantiated allegations” of deceptive ad claims against Element that the FTC declined to investigate, said DivX. Another DivX reply Monday said Samsung raised “no compelling public interest issues” when it argued Thursday against an exclusion order on LG, Samsung and TCL smart TVs (see 2009250060). DivX’s Sept. 10 complaint alleges the smart TVs and their video processors infringe four DivX adaptive bitrate streaming patents. Components suppliers MediaTek, MStar and Realtek are also named as proposed respondents. Element is the only company assembling TVs in the U.S., said DivX. Realtek and Samsung didn’t comment Tuesday.
The California Public Utilities Commission should pump the brakes on state LifeLine changes until the FCC resolves federal Lifeline minimum service standards (MSS), the National Lifeline Association commented Thursday in CPUC docket R.20-02-008. Many at the federal agency seek to freeze MSS at 3 GB and oppose an FCC plan to raise MSS to 4.5 GB monthly; it would increase to 11.75 GB on Dec. 1 otherwise (see 2009150072). NaLA raised legal concerns with the CPUC’s proposal, saying it’s “likely to be challenged in federal court because it breaks with the Commission’s own precedent and mandates that the wireless Basic and Standard Plans be provided to California LifeLine participants for free in violation of Section 332(c)(3) of the Communications Act.” Federal law bans state commissions from setting wireless Lifeline co-payments, TracFone commented. Requiring free services is prohibited rate regulation, said the company, being bought by Verizon. The CPUC Public Advocates Office praised the agency’s plan to include wireline broadband service in LifeLine. "Given more than six months have passed since the start of the pandemic and many Californians may be in need of affordable broadband options to perform these essential activities, Cal Advocates urges the Commission to implement the [proposed decision's] interim rules swiftly and with urgency.” The California Emergency Technology Fund agreed. Frontier Communications raised concerns the proposal recommends replacing only $2 of a $4 monthly federal funding reduction coming in December. “This proposal will result in rate increases of up to $2.00 and harm low-income consumers at a time when they are most vulnerable from the COVID-19 pandemic and the ongoing financial crisis.”
About three-quarters of Americans think online search, social media and e-commerce platforms wield too much power, fearing it’s a “major or moderate” threat to competition, a Consumer Reports survey found. CR canvassed 3,200 adults online July 7-22, finding 52% think paid placement of search results is “fair only if it is disclosed.” Nearly a quarter think it's unfair regardless. Nearly half of Americans have trouble differentiating a paid ad from an “objective search result,” said CR. Fifty-eight percent aren't “confident that they are getting objective and unbiased search results when using an online platform to shop or search for information,” it said. Nearly eight in 10 worry that big tech mergers and acquisitions can “undermine competition and limit consumer choice,” it said. Six of 10 “support more government regulation” to curb the growing power of large online platforms that may be harming consumers, said CR. The Internet Association didn't comment.