ASPEN, Colorado -- Ensuring a reliable level of security among IoT devices and the networks they connect to needs stepped-up coordination between device makers and other sectors, widespread security standards, and increased use of common sense and already-established cybersecurity steps, Technology Policy Institute panelists said. Speakers from the cable, satellite and telco/wireless industries plus Rep. Darrell Issa, R-Calif., identified many challenges in keeping a wide array of connected devices safe from hackers, not to mention from privacy breaches. Government needs to rely on affected industries to develop best practices and then agencies can spread word, Issa said Monday.

Shares of some telcos fell after Windstream eliminated a dividend. Windstream said it instead will buy back up to $90 million of stock. "This is the right path,” said CEO Tony Thomas Thursday. Later that day, the company's stock fell, as did those of CenturyLink and Frontier Communications. CenturyLink and Frontier declined to comment. Rural LECs were likely to take "it on the chin today in light of the ... dividend cut," Wells Fargo analyst Jennifer Fritzsche emailed investors before the open of regular U.S. markets; she declined further comment. Windstream can use the savings "to de-lever, expedite its capital investment in building out fiber, and buy back shares," she wrote in another note. Windstream is "very confident about the track we are on," a spokesman emailed us. "The stock volatility is not unexpected given the change in our capital allocation strategy. Our equity is undervalued in the market, and we believe eliminating the dividend and implementing a meaningful share repurchase program is the best way to create long-term value for our shareholders." Windstream ended Thursday down 36 percent at $2.38, CenturyLink closed down 5.5 percent to $22.44 and Frontier slid 15 percent to $14.54.

Initial demand for the $1.75 billion incentive auction spectrum relocation fund is less than some broadcasters feared yet more than the available money. The FCC said stations and pay-TV providers eligible for reimbursements associated with moving broadcasters' channels have sought a total of $2.12 billion so far, and "we expect to receive additional estimates from MVPDs and a small number of stations."

AT&T's Washington chief sees more in common than not with major tech companies on some privacy issues. The company is "very much in favor" of the Balancing the Rights of Web Surfers Equally and Responsibility Act (HR-2520) by House Communications Subcommittee Chairman Marsha Blackburn, R-Tenn., as "I should have the same rules in place as Google has, as Amazon has," and the Browser Act "says that," said Senior Executive Vice President for External and Legislative Affairs Bob Quinn. "We’ll be in the same regulatory environment" at the FTC, he said on C-SPAN's The Communicators during a segment to be televised this weekend and to be put online. He noted the likes of Amazon and Google don't like the opt-in standard in the bill, which is "less important than the equal treatment and one regulator approach." Tech companies may be escaping some heat, as "in any debate, it's always better to be arguing about how you're going to regulate some other person than you are fighting the regulation," Quinn said: "I think they are going to be a little more defensive" as scrutiny may increase. ISPs compared to websites and apps may be "part of the same ecosystem, but [are] strikingly different in makeup," an Internet Association spokesman emailed us. "The ISP market has high entry barriers, burdensome or even nonexistent ability to switch providers, and consumers, according to FCC data, lack choice. In contrast, entry barriers at the edge are low and competition is just a click away." Meanwhile, AT&T may wrap up its buy of Time Warner by year's end, Quinn said. It's unclear how soon the full Senate will approve Makan Delrahim as DOJ antitrust chief, the executive said, after the Senate Judiciary Committee cleared him 19-1 (see 1706080025). "Timing of this is going to be tied up with a lot of other partisan disputes" on Capitol Hill, Quinn said of Senate approval: "It's not clear to us how far in that process we’re going to get" at DOJ and with any consideration of possible conditions before Delrahim takes over the Antitrust Division. "I think that conversation is just beginning," and AT&T produced all data and answered all questions the department sought, Quinn said. "That process will kick off this summer." At a meeting with tech, FCC and other officials Thursday, President Donald Trump praised AT&T (see 1706220054), after criticizing the deal on the campaign trail. DOJ declined to comment. On net neutrality, "the only way to ensure that is really through legislation," Quinn said. "Whatever this commission does, we’re in Washington, and we know the pendulum politically swings back and forth repeatedly in this town," he said of the FCC and "walk[ing] away once and for all" from Title II Communications Act common-carrier regulation of broadband service. "If the political pendulum swings the other way, we’re subject to the next FCC coming in and just backtracking." The company worried "use of Title II was going to lead to significant rate regulation," he recounted.

President Donald Trump plans to nominate Jessica Rosenworcel to again be an FCC member, as expected (see our May 26 report), the White House said just before midnight last night. It noted that she was a commissioner from 2012 until January.

The U.S. Court of Appeals for the D.C. Circuit put on hold for now FCC reinstatement of the UHF discount, which lets broadcasters own TV stations serving a bigger share of the country when they are on the UHF and not VHF band. A short order Thursday evening in Free Press v. FCC ruled the April 20 discount reinstatement "administratively stayed pending further order of the court." The group, Common Cause, Prometheus Radio Project, United Church of Christ and others that often oppose broadcast consolidation had asked the court to vacate restoration of the discount.

House Commerce aide David Redl was picked to be this administration's nominee to head the NTIA, the White House said Tuesday evening. The plan to nominate him was expected, as we previously reported.

ISPs invested about $5.6 billion, or 3.6 percent, less in 2015 and 16 than they likely would have without Title II Communications Act net neutrality rules, spending about $149 billion total, a Free State Foundation research associate blogged Friday. Michael Horney based the estimate on capital expenditure data on 16 of the largest ISPs for 2014-16, and also cited USTelecom data on broadband capital expenditures (see 1612140074). Free Press, which unlike FSF supports the 2015 FCC rules, disagreed with the analysis, while USTelecom said spending appears to be affected, and Oracle meanwhile seeks a return to pre-2015 rules. "This is not a regression analysis, so I cannot say by how much the regulatory uncertainty and costs imposed in the Open Internet Order negatively impacted broadband investment," wrote FSF's Horney. "If the FCC was right about broadband capital investment not being suppressed by the Open Internet Order, we should have expected the market to continue along or above its trend of investment growth." These "empty claims" are belied by publicly traded ISPs showing a 5.3 percent increase in investments in the two-year period, responded Free Press Policy Director Matt Wood. USTelecom estimates were "flawed and vague numbers," and "Horney descends even further," Wood said. USTelecom’s "initial analysis strongly suggests that investment in 2016 continued to trend downward," the group blogged Friday following FSF. ISPs, usually comprising 90-95 percent of annual industry capital expenditures, spent $71 billion in 2016, down from $73 billion in 2015, wrote USTelecom Vice President-Industry Analysis Patrick Brogan. "Claims by some interest groups that broadband provider capex actually may have increased in 2015 and 2016 depend on figures that ignore accounting adjustments for certain non-material items like leased cellphones and acquisitions, such as AT&T’s merger with DirecTV and a Mexican wireless operation." FCC Chairman Ajit Pai has been doing media interviews and making speeches about his plan to propose to change net neutrality rules (see 1705050025). Oracle meanwhile, backing a proposed return to Title I Communications Act net neutrality rules, sees debate having "inexplicably evolved into a highly political hyperbolic battle, substantially removed from technical, economic, and consumer reality," it wrote Pai Friday in docket 17-108 after previously backing this move. "The stifling open internet regulations and broadband classification that the FCC put in place in 2015," the year of the past net neutrality order, "threw out" the "technological consensus" and "certainty," the software maker said. "Reclassifying broadband internet access as an information service will eliminate unnecessary burdens on, and competitive imbalances for, ISPs. ... It will restore the FTC as the impartial cop on the broadband beat with authority to reach all of the participants." The company was part of a meeting with Pai last month, before he unveiled a draft NPRM to undo Title II common-carrier net neutrality rules (see 1704260002 and 1705050025).

The first live 4K stream from space, shown Wednesday at the NAB Show and online, appeared to go off without any hitches, but with some limitations due to the unique nature of the broadcast. There was a several-second delay among transmissions from the keynote room at the show and U.S. astronauts aboard the International Space Station. To us, the quality of the picture appeared better on our laptop via the re-stream at the show's website than on the very large screen showing the stream to the audience. The feed from about 250 miles above Earth was to have been encoded with Amazon Web Services Elemental software on board the space station and at the Johnson Space Center, said a previous NAB news release. Amazon didn't reply to our queries for comment. "The broadcast in the session room utilized the most state-of-art 4K technology," an NAB spokeswoman emailed us. "I'm sure the image was also splendid on small screens." The crowd in Las Vegas reacted with obvious pleasure during the stream, which featured astronauts Jack Fischer and Peggy Whitson playing table tennis with what appeared to have been water, their mic turning around in the air. "Peggy, Jack, I don’t know if you are hearing the oohs and ahs here," said Sam Blackman, CEO of Elemental Technologies, who did a Q&A with them. "This has been one of the most remarkable exchanges I’ve ever had." With Ultra HD/4K, astronauts can "get high resolution, higher frame rates, to capture different science for some of our experiments, ultra slow motion for some of the effects that are slow-lived yet are very important," said Fischer. "Even more important ... is the inspirational aspect."

Look for more congressional action on copyright reform, an aide to House IP Subcommittee Chairman Darrell Issa, R-Calif., told an NAB Show panel. Such efforts would come amid House consideration (see 1704240066) of the Register of Copyrights Selection and Accountability Act (HR-1695). "I am optimistic about copyright reform later this year," said Issa aide Tyler Grimm. "There has been a lot" of debate about the appointment process for a register of copyrights, with some uncomfortable about the departure of the last register, he said. Grimm is optimistic HR-1695 will pass the House, he said, noting it then goes to the Senate. "I think you’re going to see more [Copyright] Office modernization bills," he said. "I think that debate is going to take hold." On the potential for an overhaul of the Telecom Act, other congressional aides noted here in Las Vegas widespread agreement that some of the regulatory silos created by the act need to be changed. But prospects for quick work on a comprehensive revamp may not be good, based on their comments. Updating the act "is still something that we think is important," said House Commerce Committee Republican aide Kelsey Guyselman. "Everyone agrees that the law is outdated and needs to be fixed." She, like others, also noted partisan divides aplenty on Capitol Hill: "If that means narrower pieces of legislation, I think that’s something we are open to." House Commerce Democratic aide Jerry Leverich said, "You’re going to be hard-pressed to find anyone who says the silo approach embodied by the Communications Act" is ideal. He said ranking member Frank Pallone, D-N.J., "would be willing to negotiate on some things … making sure that consumers are protected." On FCC issues, Hill aides generally backed process changes by Chairman Ajit Pai and called the incentive auction a success. "We’ve appreciated the efforts that Chairman Pai has undertaken" in terms of processes, said Senate Commerce Committee GOP aide Cort Bush. "There certainly probably is more work that can be done statutorily." Guyselman called the auction an overall success, with "an optimal outcome" where "consumers benefit from both services in robust ways," she said of TV stations and wireless carriers. "The proof of concept played out well." Leverich agreed on the successful proof of concept, noting much work remains with repacking of stations. "We’re not all the way across the finish line yet," he said, with almost 1,000 TV stations needing to change channels and radio stations potentially being affected. "There will be a lot of things we will focus on," Leverich continued, "to make sure this next phase is as successful as the first phase."