Published: Thursday 13 December 2012
“The FCC has long been captured by the industries it’s supposed to regulate, cornered by the courts, and constrained by a hopelessly narrow vision of what’s possible.”

On Thursday night at the Washington Hilton, communications lawyers, media industry lobbyists, tech policy wonks and a few beat reporters will gather for the FCC Chairman's Dinner — an annual night of backslapping and inside jokes where the head of the Federal Communications Commission gives a "funny" speech zinging his colleagues and critics.

The event will almost certainly be the last time Julius Genachowski, the FCC's current chief, takes the stage. He's expected to step down as soon as a replacement can be nominated and confirmed, and the dinner is a major stop on a farewell tour designed to shore up his legacy.

Politico and the 

Published: Monday 3 December 2012
The emergency issue has been part of a trend in deregulation of the telecommunications industry.

 

In a natural disaster or other emergency, one of the first things you're likely to reach for is your cellphone. Landlines are disappearing. More than 30 percent of American households now rely exclusively on cellphones.

Despite that, cell carriers have successfully pushed back against rules on what they have to do in a disaster. The carriers instead insist that emergency standards should be voluntary, an approach the Federal Communications Commission has gone along with.

Published: Sunday 2 December 2012
Murdoch has set his sights on the Los Angeles Times and the Chicago Tribune — the major papers in the nation’s second- and third-largest cities.

The Federal Communications Commission is charging ahead with its plan to let Rupert Murdoch gobble up more media outlets. And we've just learned that the FCC may try to hold a secret vote to allow more media consolidation in the U.S. — possibly within the next two weeks.

Murdoch has set his sights on the Los Angeles Times and the Chicago Tribune — the major papers in the nation's second- and third-largest cities (where, incidentally, he already owns several TV stations).

And get this: The FCC is trying to change the rules so Murdoch can get exactly what he wants. Worse, FCC Chairman Julius Genachowski is hoping the agency can pass these changes without you noticing.

Murdoch's media grab would be illegal under the current rules. But Chairman Genachowski is pushing the other commissioners for changes that would translate into a giveaway for Rupert and other media barons.

Here are five things you need to know about the FCC's giveaway to big media.

1) It will give Rupert Murdoch more power.

If the FCC guts its ownership rules, nothing will stop Murdoch and other media giants from getting even more control over your news.

2) It will make our media less diverse.

Women own less than 7 percent of all broadcast outlets, while people of color control only 3.6 percent of all TV stations and just 8 percent of all radio stations. Most of the TV stations women and people of color own fall outside the top four in each media market. As it happens, the FCC proposal targets stations outside the top four — which means that ownership ...

Published: Sunday 25 November 2012
Murdoch already owns the Wall Street Journal, the New York Post, Fox News Channel, Fox movie studios, 27 local TV stations and much, much more.

What if I told you the Obama administration's first major post-election policy move was a big, fat gift for Rupert Murdoch?

You might ask: The same Rupert Murdoch who owns Fox News?

The same Rupert Murdoch who scandalized England with phone-hacking, influence peddling and bribery?

The same Rupert Murdoch who stays up late Saturday nights pondering things on Twitter like what to do about "the Jewish-owned press"?

Crikey.

Murdoch already owns the Wall Street Journal, the New York Post, Fox News Channel, Fox movie studios, 27 local TV stations and much, much more.

Word is that Murdoch now covets the Los Angeles Times and the Chicago Tribune  — the bankrupt-but-still-dominant newspapers (and websites) in the second- and third-largest media markets, where Murdoch already owns TV stations.

Under current media ownership limits, he can't buy them. It's illegal ... unless the Federal Communications Commission changes the rules.

But according to numerous reports, that's exactly what FCC Chairman Julius Genachowski plans to do. He's circulating an order at the FCC to lift the ...

Published: Wednesday 17 October 2012
In a recent poll taken this year, United States citizens continue to oppose unlimited campaign spending by corporations or unions.

Citizens United versus the Federal Communications Commission (FCC) continues to be widely detested. In a recent poll taken this year, United States citizens continue to oppose unlimited campaign spending by corporations or unions. Unfortunately, media is not covering the American people’s opinions about money in politics. The word needs to be spread and this Supreme Court decision needs to become recognized. In this clip, you will see a series of short interviews with pro-democracy activists talking about how they are moved to act of Citizens Untied.

Published: Friday 28 September 2012
“That fact, gleaned through a review of TV station political ad records now available in our Free the Files news application, highlights the role that unlimited anonymous money is playing in this year’s election.”

 

Dark money groups flooded Albuquerque’s airwaves in August, aiming to sway a hotly contested U.S. Senate race by making more than half the political ad buys on top TV stations.

That fact, gleaned through a review of TV station political ad records now available in our Free the Files news application, highlights the role that unlimited anonymous money is playing in this year’s election.

Our analysis of a month of ad orders in the Senate race between Republican Heather Wilson and Democrat Rep. Martin Heinrich is possible because of a new Federal Communications Commission rule requiring major-market affiliates of ABC, CBS, Fox and NBC to upload political ad files to a government website.

In statements to ProPublica, the campaigns of Heinrich and Wilson blamed each other for relying on dark money.

Wilson campaign spokesman Chris Sanchez accused “environmental extremists” of pouring money “into New Mexico to falsely attack Heather Wilson because they know her opponent, Congressman Heinrich, supports their radical agenda.”

Heinrich campaign spokeswoman Whitney Potter accused “corporate special interest groups” of spending millions in secret money to support Wilson “because they know she will support their misplaced priorities that put the wealthy special interests ahead of middle-class families in New Mexico.”

The Senate race has attracted national attention because, with incumbent Democratic Sen. Jeff Bingaman retiring, it is a rare open seat. The race was considered tight earlier this year. After a summer of heavy spending by outside groups on both sides, Heinrich is now the favorite.

In August, while Wilson’s campaign contracted to spend about $512,000 on ads in Albuquerque, four prominent conservative groups booked almost $658,000 of ads attacking Heinrich, station records show.

That means about 56 percent ...

Published: Sunday 12 August 2012
The commission ruled in April that affiliates of CBS, NBC, ABC, and Fox in the nation’s biggest markets must post their revenue from political ads online for the public to see.

Industry analysts are predicting that upwards of $3 billion will be spent on political advertisements in the 2012 election. This is an increase of more than $500 million from 2008. But who will benefit the most from this cash infusion? Not President Obama. Not even Mitt Romney. Rather, the National Association of Broadcasters, a lobbying group that proclaims itself “the voice for the nation’s radio and television broadcasters.”

A new FCC rule could provide the public with real-time data about who is profiting from the vast Super PAC spending. The commission ruled in April that affiliates of CBS, NBC, ABC, and Fox in the nation’s biggest markets must post their revenue from political ads online for the public to see. While such records are currently made public, they are kept in paper form at each station, essentially making them inaccessible.

Although TV stations are required by law to offer discounted rates to candidates seeking airtime to run their advertisements, they are not required to offer discounted rates to the groups that are doing most of the spending, super PACs. As a free-market society would have it, competition breeds profit. With limited airtime available for campaign ads in an election year, many groups are vying for the position of having their ads reach the largest media markets in highly contested political races. Thus, as competition increases, the cost of advertising also increases, and it is no surprise that NAB supported this style of political campaigning. As Rolling Stone illustrates:

The more cash that chases limited airtime, the more the ads will cost, and the more politicians must lean on deep-pocketed patrons. In short, the dirtier the system, the better for the bottom-line at TV stations ...

Published: Friday 3 August 2012
“Though the new system is far from perfect, it will likely give the public and journalists a new window into how an expected few billion dollars are spent on political ads on local television this election cycle.”

 

After a bruising months-long fight between media corporations and the Federal Communications Commission, a government website came online today that will feature political ad data from television stations around the country.

This means that detailed files about political advertising — which show who is buying political ads, how much they are paying, and when the ads are running, among other information — will finally be available online. In the past, those interested in the files, which are by law public, had to travel to stations to get physical copies.

Though the new system is far from perfect, it will likely give the public and journalists a new window into how an expected few billion dollars are spent on political ads on local television this election cycle.

For now, only the affiliates of the top four broadcast networks in the top 50 markets will have to upload their political files to the FCC site. (The Sunlight Foundation has a map of the missing markets here.) All broadcasters will have to start complying in July 2014.  And the rule is not retroactive for political ad data — so the site will only have information on political ad buys going forward.

The FCC requires broadcasters to ...

Published: Saturday 14 July 2012
“The data is expected to help shed light on dark money spending by outside groups as well as spending by campaigns.”

 

The National Association of Broadcasters, an industry group representing television stations around the country, is asking a court to block the implementation of a new rule that will put political ad information online before it goes into effect next month.

The Federal Communications Commission announced last week that the rule will go into effect Aug. 2. It will require affiliates of the four major networks in the nation’s top 50 markets to post on a new website data about who is buying political ads and how much they are paying, among other information. The data is expected to help shed light on dark money spending by outside groups as well as spending by campaigns. The information is already public but is only available on paper at stations.

In a motion filed Tuesday with the U.S. Court of Appeals for the District of Columbia, the broadcasters’ trade group said that if the new FCC rule goes into effect, broadcasters “will suffer irreparable harm … because the [rule] compels television stations to post the prices for specific advertisements to a public website immediately after the sales occur.” The motion also argues that the FCC has “engaged in arbitrary and capricious decision making by disregarding the competitive harm that is likely to result.”

The broadcasters have been fighting the new rule for the better part of a year, first mounting an aggressive lobbying effort before the FCC vote in April, then

Published: Saturday 30 June 2012
If it seems odd that a federal regulator was scooped by a sleep-deprived student, get used to it, because the federal government is often the last to know about digital invasions of your privacy.

 

 

Jonathan Mayer had a hunch.

A gifted computer scientist, Mayer suspected that online advertisers might be getting around browser settings that are designed to block tracking devices known as cookies. If his instinct was right, advertisers were following people as they moved from one website to another even though their browsers were configured to prevent this sort of digital shadowing. Working long hours at his office, Mayer ran a series of clever tests in which he purchased ads that acted as sniffers for the sort of unauthorized cookies he was looking for. He hit the jackpot, unearthing one of the biggest privacy scandals of the past year: Google was secretly planting cookies on a vast number of iPhone browsers. Mayer thinks millions of iPhones were targeted by Google.

This is precisely the type of privacy violation the Federal Trade Commission aims to protect consumers from, and Google, which claims the cookies were not planted in an unethical way, now reportedly faces a fine of more than $10 million. But the FTC didn't discover the violation. Mayer is a 25-year-old student working on law and computer science degrees at Stanford University. He shoehorned his sleuthing between classes and homework, working from an office he shares in the Gates Computer Science Building with students from New Zealand and Hong Kong. He doesn't get paid for his work and he doesn't get much rest.

If it seems odd that a federal regulator was scooped by a sleep-deprived student, get used to it, because the federal government is often the last to know about digital invasions of your privacy. The largest privacy scandal of the past year, also involving Google, wasn't discovered by federal regulators, either. A privacy official in Germany forced Google to hand over the hard drives of cars equipped with 360-degree digital cameras that were taking pictures for its Street ...

Published: Sunday 24 June 2012
Under the revised bill, which passed the committee on a voice vote with bipartisan support, the General Accountability Office will simply conduct a study of the effect of the political ad rule on the TV ad sales market.

Republicans on the House Appropriations Committee today dropped an effort to defund a new Federal Communications Commission rule that will make political ad data available on the Internet.

The FCC rule, which was OKed by the commission earlier this year and is expected to go into effect sometime this summer or fall, would require TV stations to put detailed records on political ad buys on a new Web site. The files are currently public but are kept on paper at stations.

The broadcast industry has vigorously fought the rule. Earlier this month Rep. Jo Ann Emerson, R-Mo., chair of an appropriations subcommittee, added an amendment to a bill that would have blocked the FCC from using any funds to implement the transparency measure. The defunding amendment passed the subcommittee on a party-line vote.

The maneuver to defund the transparency rule attracted media attention and sparked outrage from outside public interest groups and Democrats.

But in a full committee hearing this morning, the Republicans backed down. Emerson offered a new amendment that removed the defunding language.

Under the revised bill, which passed the committee on a voice vote with bipartisan support, the General Accountability Office will simply conduct a study of the effect of the political ad rule on the TV ad sales market. The GAO will also look at the costs to broadcasters of putting political ad files online, which media companies have argued would costly.

The amendment requires the FCC to report to the committee on its response to the GAO study, which is due by July 2013.

Broadcasters are still fighting the FCC rule, which will not go into effect until the completion of a government review. The companies have sued in federal court to block the rule and also filed an appeal at the FCC.

Emerson, the subcommittee chair, did not immediately respond to our ...

Published: Thursday 14 June 2012
Washington attorneys for a group of twelve companies filed a petition for reconsideration of the rule, which was approved by the FCC in April and requires online disclosure about political ad purchases by campaigns and outside groups like super PACs.

A group of broadcasters are formally asking the Federal Communications Commission to soften a new rule requiring TV stations to put political ad data on the Internet.

Washington attorneys for a group of twelve companies filed a petition for reconsideration of the rule, which was approved by the FCC in April and requires online disclosure about political ad purchases by campaigns and outside groups like super PACs. The information, which includes who buys ads, for how much, and when they run, is currently open to the public but is available only on paper at individual stations.

With the broadcasters’ petition yesterday, the FCC will now have to consider whether to modify the transparency measure. The rule isn’t expected to go into effect until this summer at 

Published: Friday 8 June 2012
“The FCC voted in April to require television stations to put detailed data on political ad purchases online.”

 

The opponents of a new rule to post political ad information online have opened up another front in a long-running fight, inserting language into an appropriations bill that would bar the Federal Communications Commission from implementing the transparency measure.

The FCC voted in April to require television stations to put detailed data on political ad purchases online. The information, which includes who buys ads, for how much, and when they run, is currently open to the public but is available only on paper at individual stations. Media companies have lobbied hard against the rule, and the National Association of Broadcasters recently sued in federal court to stop it. The rule is currently under review by the government and will not go into effect until July at the earliest.

Rep. Jo Ann Emerson, R-Mo., chair of the financial services and general government subcommittee of the House appropriations committee, added language to an appropriations bill ordering that no funds to be used to implement the disclosure rule. The bill, which passed the subcommittee Wednesday, funds the FCC and other agencies for fiscal year 2013.

The move by Emerson adds another question mark to the process of creating an FCC website with political ad data. At a subcommittee hearing Wednesday, a Democratic amendment to remove the Emerson language was defeated on a party line vote.

"I suspect there will be a big fight in committee and on the floor," Rep. José Serrano, D-N.Y., who led the Democratic effort to defeat the language, told ProPublica.

He added that Democrats ...

Published: Wednesday 30 May 2012
Published: Tuesday 29 May 2012
“In effect, the delay in implementation means information on who is buying political ads, where, and for how much, will remain trapped in filing cabinets at TV stations through several crucial months of the presidential campaign.”

 

After years of consideration, the Federal Communications Commission finally voted last month to require broadcasters to post online political ad data currently kept only on paper at the stations. Yet it’s unclear when the data — which will provide a detailed picture of campaign and super PAC ad spending — will actually begin to be posted.

The National Association of Broadcasters sued to stop the rule last week, asking a federal appeals court in Washington to declare the measure unlawful. But even if the lawsuit fails, the earliest broadcasters will have to begin submitting data to a new FCC website is July, three months after the FCC’s vote. And it could be delayed until later in the summer, into the fall, or beyond.The reason for the slow rollout? A law called the Paperwork Reduction Act.

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Published: Tuesday 8 May 2012
“Lawsuits and other legal actions in four states turned up evidence that AT&T and Verizon charged local school districts much higher rates than it gave to similar customers.”

After 15 years of neglect, federal regulators are finally planning to tell phone companies selling services to schools and libraries how to comply with a rule requiring them to charge bargain prices.


Last week ProPublica revealed that the Federal Communications Commission had failed to provide guidance for the low pricing rule case since the 1997 launch of the school program, called E-Rate. Lawsuits and other legal actions in four states turned up evidence that AT&T and Verizon charged local school districts much higher rates than it gave to similar customers or more than what the program allowed.


The preferential pricing rule, called lowest corresponding price, was designed to give schools a leg up in the complicated world of voice and data pricing, and to make sure school children had access to the Internet. But despite evidence of inflated pricing, the FCC never brought an enforcement case against a service provider for violating the rule.



While the main victims of this failure are the nation's schoolchildren who receive suboptimal broadband access, there's another set of victims: the vast majority of people with a cellular or landline phone contract. That's because the program provides a subsidy to schools to help them pay for the telecom services. Telephone consumers pay for this subsidy, usually through a “Universal Service Fund” charge on individual phone bills. The subsidy fund is capped at about $2.25 billion a year.



Schools and libraries draw on this fund to help pay for the services provided by the telecom companies — virtually all schools are eligible, but the poorer the school, the more it can draw. Here's the rub: Requests for help almost always exceed the available funding. So when phone companies charge inflated rates to ...

Published: Thursday 3 May 2012
Most money in our elections goes to TV stations to run political advertisements and according to writers Robert McChesney and John Nichols in the Monthly Review, the amount of political ad spending is skyrocketing.

 

May Day, Murdoch and the murder of Milly Dowler. What do they have to do with the 2012 U.S. general election? This year’s election will undoubtedly be the most expensive in U.S. history, with some projections topping $5 billion. Not only has the amount of spending increased, but its nature has as well, following the 2010 U.S. Supreme Court’s Citizens United ruling, which allows unlimited spending by corporations, unions and so-called super PACs, all under the banner of “free speech.” This campaign season will unfold amidst a resurgent Occupy Wall Street movement launched globally on May 1, the same day the British Parliament released a report on Rupert Murdoch’s media empire charging that he is “not a fit person to exercise the stewardship of a major international company.” Now more than ever, people should heed the advice of the famous Watergate source, Deep Throat: “Follow the money.”

Most money in our elections goes to TV stations to run political advertisements. According to writers Robert McChesney and John Nichols in the Monthly Review, the amount of political ad spending is skyrocketing, such that “factoring for inflation, the 1972 election spent less than 3 percent of what will be spent on TV political ads in the 2012 election cycle.”

For just one relatively small race, a recent Pennsylvania congressional primary between Democrats, journalist Ken Knelly provided a comprehensive analysis of the local TV news coverage compared with the ...

Published: Thursday 3 May 2012
We speak with David Leigh, investigations editor at The Guardian, the news outlet that first exposed the phone-hacking practices taking place within the Murdoch media empire.

A British parliamentary report has issued a scathing report that finds Rupert Murdoch is "not a fit person" to run a major international media company because of how News Corp. handled its phone hacking scandal. The Parliamentary Select Committee on Culture, Media and Sport said Murdoch and his son, James, showed "willful blindness" about the scale of phone hacking at the News of the World tabloid. The panel’s finding has prompted a U.S. watchdog group, Citizens for Responsibility and Ethics in Washington, to call on the Federal Communications Commission to revoke News Corp’s 27 Fox broadcast licenses in the United States. We speak with David Leigh, investigations editor at The Guardian, the news outlet that first exposed the phone-hacking practices taking place within the Murdoch media empire. Leigh says the British panel’s findings could threaten Murdoch’s media presence across the Atlantic: "People are now beginning to say, ’Doesn’t this bleed over into the man who runs Fox News and has all those TV outlets in the U.S.?’ If he is not fit and proper person in Britain, then he is not a fit and proper person in the U.S. either.”

Published: Tuesday 1 May 2012
More than a decade later, as schools struggle for funding amid widespread budget cuts, there is growing evidence that the program’s crucial low-price requirement has been widely neglected by federal regulators and at least one telecom giant.

At the dawn of the Internet era, Congress set out to avert a digital divide between rich and poor students. In a landmark bill, lawmakers required the nation’s phone companies to provide bargain voice and data rates to schools and to subsidize the cost of equipment and services, with the biggest subsidies going to the schools with the most disadvantaged children.

More than a decade later, as schools struggle for funding amid widespread budget cuts, there is growing evidence that the program’s crucial low-price requirement has been widely neglected by federal regulators and at least one telecom giant.

A decade after the program started, AT&T was still not training its employees about the mandatory low rates, which are supposed to be set at the lowest price offered to comparable customers. Lawsuits and other legal actions in Indiana, Wisconsin, Michigan, and New York have turned up evidence that AT&T and Verizon charged local school districts much higher rates than it gave to similar customers or more than what the program allowed.

AT&T has charged some schools up to 325 percent more than it charged others in the same region for essentially the same services. Verizon charged a New York school district more than twice as much as it charged government and other school customers in that state.

The companies say they comply with the rules of the program, known as E-Rate.

Meanwhile, the federal government has made scant effort to enforce the requirement that companies give the preferential rate to schools. The Federal Communications Commission, which oversees the program, has yet to bring an enforcement action against any carrier for violating the low-price rule, according to interviews and documents, some obtained under the Freedom of Information Act. And the FCC, acting through the private company that administers the program, has provided little if any guidance to companies on how to apply the best-price rule. ...

Published: Saturday 14 April 2012
Some form of the rule seems likely to pass, but the industry and others are lobbying the FCC to alter the nature of the final rule.

The Federal Communications Commission is scheduled to vote April 27 on whether to require TV stations to post online public information about political ad buys. Some form of the rule seems likely to pass, but the industry and others are lobbying the FCC to alter the nature of the final rule.

(With the help of readers around the country, ProPublica is collecting stations’ public paper files containing data on political ads and posting them online because the information is generally unavailable elsewhere. See “Free the Files.”)

Right now we only know the broad thrust the proposed FCC rule: That broadcasters would have to electronically send the commission updates to its political file — in other words, information about what political ads are being purchased, by whom, and for how much money — instead of merely maintaining paper files at the stations, the current practice. The information would be made public on an FCC website.

The rule would apply initially to affiliates of the four major networks — ABC, CBS, NBC and FOX — in the top 50 markets. All other stations would have another two years before they'd have to begin filing electronically.

But the FCC won’t release the exact text of the rule until after the panel votes to finalize it later this month. Meanwhile, the wording is subject to change based on input from interested parties.

That’s why the National Association of Broadcasters has been paying visits to key FCC ...

Published: Monday 27 February 2012
“Randall Stephenson’s decisions cost AT&T over $4 billion and he didn’t even lose his bonus.”

If a blunder you committed cost your employer $4 million, how long would you stay employed? In America today, a CEO can cost his company $4 billion and still collect both a paycheck and a bonus.

People in America get fired all the time. Break too many plates as a dishwasher, lose too many games as a coach, miss too many deadlines as a reporter, you’re going to be history.

We need this accountability. We couldn’t function, as a healthy society, without it. But accountability has to be universal. To create and sustain excellence, no society can hold only some people accountable — and give others a free pass.

Yet some societies — deeply unequal societies — do give out free passes. All the time. In these unequal societies, grand accumulations of wealth translate into grand accumulations of power. The powerful make their own rules. They rig daily life's games. They come out winners no matter how poorly they play.

Consider Randall Stephenson, the chief exec at telecom giant AT&T. Stephenson had a bad year in 2011. A really bad year. His decisions cost AT&T over $4 billion. What price did Stephenson pay for this debacle? Last week we learned that price — and much more about the dysfunction that defines us.

Our story starts back last March when CEO Stephenson triumphantly announced that AT&T had just closed a deal to buy T-Mobile, the American wireless phone subsidiary of Germany’s Deutsche Telekom.

Stephenson clearly wanted T-Mobile in the worst way. The $39 billion purchase price he agreed to pay for the wireless carrier amounted to almost double the $23.2 billion value that analysts on Wall Street had placed on the company the previous December.

Stephenson also agreed to pay Deutsche Telekom a $4.2 ...

Published: Thursday 23 February 2012
“The Federal Communications Commission should forbid television broadcasters from charging for campaign ads, and we should peacefully demonstrate outside the FCC offices at 445 12th Street SW, in Washington, D.C., until it does so.”

Big money has always been a problem in American politics, but now humongous money threatens to capsize the ship of state. Billionaires are very, very good at getting rich, mostly through stealth monopolies, relatively sure things (e.g., casinos) or through riding investment bubbles. But they are seldom scientists, physicians or educators, and can often entertain rather cranky beliefs, such as climate change denial or misogyny. Thus, the GOP super wealthy, having produced the tea party in 2010, have now given us national candidates so extreme that they often seem to be running for Supreme Leader of Iran instead of president of the United States. Although the Citizens United ruling of the Supreme Court contributed to this problem, the culprits here are, fundamentally, the length of U.S. campaigns and the cost of television advertising for them.

Ari Berman has shown that about four-fifths of the money raised by super PACs in 2011 for the Republican primary contests was donated by only 196 individuals, who gave $100,000 or more each. Politics has become a game of the super rich, but the money they donate is significant only because of the way it is spent. An increasingly large percentage of it pays for television and radio commercials, and it is used by our new aristocracy to keep pet candidates alive. Newt Gingrich, for instance, might not have made it to South ...

Published: Sunday 12 February 2012
“Public interest groups have waged a spirited campaign to prevent a corporate takeover of the Internet.”

AT&T spared no expense in 2011 when it sought government approval of its $39 billion deal to acquire T-Mobile. The merger would have created a duopoly, leaving AT&T and Verizon in control of nearly 80 percent of the wireless market.

AT&T would then have been able to set higher prices, at a cost to people on modest incomes who depend on their cell phones to connect with work, family, and the details of modern life.

The poor and people of color would have been hard-hit. The National Hispanic Media Coalition, for example, said the merger would increase the cost of wireless services for Latinos. And the Center for Media Justice noted that the merger would have resulted in “fewer options and higher prices” for people of color, who disproportionately depend on access to the Internet through mobile devices.

Knowing there would be opposition to this deal, AT&T began doling out money in Washington, D.C. The company spent $16 million on lobbying during the first nine months of 2011 in its drive to pass the merger, dished out $2 million in campaign contributions to both Democratic and ...

Published: Monday 17 October 2011
AT&T's $39 billion purchase of T-Mobile attracts unusual backers.

At first sight, it’s hard to understand why the Shreveport-Bossier Rescue Mission, a homeless shelter and clinic in Louisiana, would lobby the Federal Communications Commission.

“It is important that we, as Christians, never stop working on behalf of the underserved and forgotten,” the Rev. R. Henry Martin, director of the clinic, wrote to FCC Chairman Julius Genachowski in June. “It might seem like an out-of-place endorsement, but I am writing today in order to convey our support for the AT&T/T-Mobile merger.”

Martin went on to praise the potential expansion of wireless broadband service that AT&T Inc. has said the purchase of its smaller rival will enable. “People often call on God to help the outcasts and downtrodden that walk among us,” Martin wrote to the FCC. “Sometimes, however, it is our responsibility to take matters into our own hands. Please support this merger.”

Not included in Martin’s letter to the FCC was the fact that his organization had received a $50,000 donation from AT&T just five months earlier. Indeed the Shreveport-Bossier Mission is one of at least two-dozen charities that were recipients of AT&T’s largesse and have written in support of the T-Mobile buyout, which will cut the number of national wireless companies from four to three.

They include a Dollars-for-Scholars program outside New Orleans; an agency that helps special-needs adults find work in Michigan; and a Habitat for Humanity chapter in South Carolina.

Influence peddling?

Earlier this year, merger endorsements by the National ...

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