The Information Technology Industry Council (ITI) said it's “pleased” the G7 information and communications technology ministers agreed over the weekend in G7's "Charter for a Digitally Connected World" to a new global approach to ICT policy that focuses on promoting and protecting free cross-border data flows online. The G7 ministers also agreed to data localization laws and will promote effective cybersecurity and privacy policies. ITI, DigitalEurope and the Japan Electronics and Information Technology Association jointly recommended in February that G7 promote the free flow of data and oppose data localization. “By advancing these principles, G7 governments are well-positioned to shape ICT policy for our global economy and address pressing challenges that governments and industries face,” including “harmful data localization requirements that threaten to split the Internet, undermine innovation, and therefore inhibit the expansion and benefits of digital technologies,” said ITI Global Policy Director-Localization, Trade and Multilateral Affairs Ed Brzytwa in a Tuesday blog post. The G7's decision to promote free data flows “has effectively set the stage” for those issues to factor into larger G20 meetings set to occur in Ise-Shima, Japan, in May, and in Hangzhou, China, in September, Brzytwa said.
NTIA will host a May 9 roundtable as a first step in a Department of Commerce initiative to map gaps in cross-border data flows and to measure the economic impact of limiting the free flow of data, the department said in a notice to be published in the Federal Register soon. "The goal of this roundtable is to get input from stakeholders on what additional data and analysis on cross-border data flows is necessary." It's "generally accepted" that data usage and flows between countries expand economic opportunity, while restrictions to such flows could harm economies, the notice said. "But there is relatively little supporting data or evidence." NTIA will post a detailed agenda on its website before the meeting, which is scheduled for 8:30 a.m. to noon at the Bureau of Labor Statistics Conference Center, 2 Massachusetts Ave. NE.
Intellectual property rights seizures in FY 2015 rose 25 percent to 28,865 from the previous fiscal year, Customs and Border Patrol and Immigration and Customs Enforcement statistics show. Total manufacturer's suggested retail price of the seized goods also rose about 8.3 percent to $1.3 billion, a CBP news release said. Increasingly, seized goods are coming through the express mode of transport, coinciding with a drop in seized cargo. China remains the primary source country for counterfeit and pirated goods, with 52 percent of all IPR seizures by MSRP, down from FY 2014, when it was 63 percent of the total MSRP value of seized goods. China's MSRP value fell to $697 million from $773 million last year. The number of seized goods originating in Hong Kong increased about 52 percent to $472 million, now at 35 percent of the seized goods. Consumer electronics/parts were 10 percent or $132 million of the MSRP of seizures in FY 2015.
The International Trade Commission seeks comment by April 20 on a request for a Tariff Act Section 337 ban on imports of cellphones that allegedly infringe patents held by Creative Technology and Creative Labs, said an ITC notice slated for Tuesday's Federal Register. In the March 24 complaint, Creative said cellphones imported by BlackBerry, HTC, Lenovo, LG, Motorola Mobility, Samsung, Sony Mobile and ZTE copy its patented technology for organizing songs by artist and album. The technology is also used on Apple phones, but Apple licensed the patent, said Creative. The complaint asks for a limited exclusion order and cease and desist order banning import and sale of infringing products by those companies. Those companies didn't comment Monday.
Privacy Shield is a "strong foundation" to build additional domestic legislation and modernize mutual legal assistance treaties, wrote Microsoft EU Government Affairs Vice President John Frank in a Monday blog post. The EU and U.S. are "better off" with the proposed trans-Atlantic data transfer agreement to replace the old safe harbor framework (see 1602020040), he wrote, acknowledging its effectiveness rests on companies' "responsible steps" to comply. Microsoft, he said, will sign up for the voluntary framework and "put in place commitments to advance privacy as this instrument is implemented." When an eligible company publicly commits to comply with Privacy Shield requirements, its commitment is enforceable under U.S. law. However, an alliance of 41 independent national consumer groups from 31 European countries known as BEUC said the proposed framework doesn't adequately protect consumers' privacy and data and recommended it be jettisoned, in a letter to Isabelle Falque-Pierrotin, who chairs the European Commission's Article 29 Data Protection Working Party. That committee, comprised of the national data protection authorities from the 28 member states, is expected to offer a nonbinding opinion Wednesday. The EC is expected to adopt Privacy Shield this summer, but many have predicted the agreement would be immediately challenged in court like safe harbor, which the European Court of Justice invalidated in October (see 1510060001). Since the EU and U.S. privacy regimes "are oceans apart" in approach and substance, BEUC said it's "hard to grasp" that the U.S. regime can be considered "essentially equivalent" to the European level, which will be made stronger with the proposed general data protection regulation (see 1512160001). The European Parliament is expected to approve GDPR this week, though the new regulation won't be implemented for another two years.
Rovi filed a complaint at the International Trade Commission against Comcast, requesting a Section 337 Tariff Act investigation on imports of allegedly patent-infringing DVRs, including set-top boxes, designed with interactive program guides and video recording technology. The ITC sought comments by April 20, it said in a notice slated for Tuesday's Federal Register. Rovi said Comcast “built its interactive cable business on the back of Rovi’s technology” as a licensee but now “refuses to renew its license on acceptable terms” and continues to sell and lease products that copy Rovi’s technology and compete with Rovi products. Arris, Humax and Technicolor have licensed the patents, but their license agreements don’t allow them to provide receivers for use with Comcast’s Xfinity service, Rovi said. It requested a limited exclusion order and cease and desist order banning import and sale of infringing products. Comcast had no comment Monday.
The Department of Energy should “abandon” or “at least, delay finalization,” of its proposed rule to require the filing of “certifications of admissibility” at time of entry for products subject to energy efficiency standards (see 1512310008), CTA said in comments filed Monday and posted Wednesday in docket EERE–2015–BT–CE–0019. CTA objects to the proposed rule “in both substance and timing,” it said. “While all manufacturers and importers must comply with federal law and companies would also want their competitors to do so,” CTA thinks the proposed rule “is unnecessary and unsupported,” it said. The eight-page filing follows joint comments CTA filed Feb. 29 with other groups, also asking DOE to withdraw the proposed rule or suspend the rulemaking process to do “further analysis and significant outreach” (see 1603140067). There's “no evidence” DOE’s proposed rule is “necessary,” CTA said in its latest comments. DOE “has not provided any data that supports the allegation that importers across the board are disproportionately bringing non-compliant products into the country at a significant level,” CTA said. The proposed rule “only provides some anecdotal information about imported motors’ noncompliance,” it said. “CTA supports and applauds DOE’s efforts to stop noncompliance, if it is indeed occurring. Considering the high burden that the rule would impose on a vast number of importers, however, CTA asks that DOE provide statistical evidence substantiating its noncompliance concern with the imported products at issue prior to finalizing this rule.” CTA also said there's no evidence the proposed rule “will address the alleged underlying issue,” and the provisions would cover “an overly broad scope of product.” CTA also fears the proposed rule would violate World Trade Organization agreements barring international trade barriers, it said.
The Trans-Pacific Partnership will help U.S. technology companies access expanded markets, CompTIA said in a news release Monday. Executive Vice President-Public Advocacy Elizabeth Hyman said TPP will promote “strong and balanced” protections for copyright and related rights, and will protect against locality requirements that direct companies to establish local data storage facilities, which could deplete the efficiency and economic benefits of the Internet. “We understand that this agreement negotiated among twelve countries could not accomplish all the needs of U.S. businesses. Accordingly, we encourage USTR to continue to work to further allow cross-border data flows and defend against data localization requirements for the financial services industry," said Hyman. "We urge Congress to move forward to ratify the TPP.”
A Department of Commerce rule to facilitate telecom and other exports to Cuba was published in the Federal Register Wednesday. Under the rule, various exports and reexports will be subject to a general policy of license approval by the Bureau of Industry and Security, including: “(i) Telecommunications items that would improve communications to, from, and among the Cuban people; (ii) Commodities and software to human rights organizations or to individuals and non-governmental organizations that promote independent activity intended to strengthen civil society in Cuba; (iii) Commodities and software to U.S. news bureaus in Cuba whose primary purpose is the gathering and dissemination of news to the general public.” The rule was announced Tuesday (see 1601270018).
FCC Chairman Tom Wheeler joined a U.S. delegation to Cuba last week that had talks with government officials and others about improving bilateral communications links and domestic Cuban systems. "The Cubans we met were proud people who recognize the benefits new telecommunications networks can bring to education, health care and economic growth," Wheeler said in a blog post Wednesday, saying the delegation was led by Ambassador Danny Sepulveda of the State Department and included technology community representatives. "Our message was simple: we want to help (already, for instance, two companies have roaming agreements with the state-owned telecom provider). We spoke about a new undersea cable connecting our countries, commercial relations for equipment and service providers, as well as an ongoing regulatory dialog." Wheeler said the Cubans talked about upgrading to DSL and 3G wireless and "we urged them to leapfrog such linear transitions and expand to state-of-the-art services." The U.S. delegation pledged to support Cuba's efforts, and members of the island's "small but growing entrepreneurial community [are] hungry for network connectivity," he said. "It is unclear, however, just how anxious the Cuban government is to open up expanded network capabilities." The FCC recently removed Cuba from an exclusion list for international Communications Act Section 214 authorizations, easing the way for U.S. telecom carriers to provide facilities-based voice and data services to Cuba (see 1601150076). "We are also working on removing certain non-discrimination requirements on the U.S.-Cuba route, which would give U.S. carriers more flexibility to negotiate rates with the state-owned telecommunications operator and to respond to market forces," said Wheeler, who said he enjoyed his visit. Separately, the Department of Commerce said its Bureau of Industry and Security "will generally approve license applications for exports and re-exports of telecommunications items that would improve communications to, from, and among the Cuban people," under U.S. trade amendments for Cuba announced Tuesday in a release.