Cisco Government Affairs E-Update

Volume 1, Issue 25

03 August 2001

Brought to you by Cisco Government Affairs Online: http://www.cisco.com/gov

NEW UPDATED FACTS AND STATS!!!!

For hundreds of Facts & Stats on the Internet, the Internet Economy and Internet related processes go to Cisco Government Affairs Facts and Stats page. http://www.cisco.com/gov/factsNStats/index.html

This Week@Cisco in Government Affairs

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CISCO@INTERNATIONAL

EU IN RENEWED PUSH FOR BETTER INTERNET ACCESS - The European Commission said on Thursday it was intensifying its efforts to ensure that European Union countries improved access to the internet and boosted competition in local telecommunications markets. http://news.ft.com/ft/gx.cgi/ftc?pagename=View&c=Article&cid=FT3N90HTWPC&live=true

EU TAKES A LINE ON 3G NETWORK SHARING - It is a tale of two commissioners. One is a cautious Italian only too conscious of the power he wields. The other is a canny Finn who waxes lyrical about the possibilities of new technology. Between them, Brussels commissioners Mario Monti and Erkki Liikanen are helping shape the future of Europe's telecoms sector - in particular the response to the E120bn ($105bn) costs of third generation mobile phone licence auctions. http://news.ft.com/ft/gx.cgi/ftc?pagename=View&c=Article&cid=FT3G290RWPC&live=true
(See European Commissioner Liikanen interviewed on Cisco’s Government Affairs Website - http://www.cisco.com/gov/multimedia/index.html#commissioner)

WORLDBANK, AUSTRALIA LAUNCH INTERNET AID PLAN - The World Bank and Australia on Thursday launched a $750 million program to provide education and training via the Internet in the world's poorest countries. http://dailynews.yahoo.com/h/nm/20010802/wr/tech_poor_dc_1.html

RIGHTS GROUP CLAIMS CHINA RESTRICTING FREEDOM ON THE WEB - China has devised 60 sets of rules to control Internet content under which 14 cybernauts have been jailed for expressing their personal views, a New York-based rights group said Thursday. http://www.nandotimes.com/technology/story/54572p-804363c.html

AFRICAN INTERNET OPERATORS STILL FACE HUGE OBSTACLES - The Internet industry in Africa still faces massive roadblocks on the way to development, said Ajit Jatania, CEO of Simba Technologies in Tanzania, this week. Jatania said in addition to the traditional problem of costly

bandwidth, other obstacles include: it's difficult to collect revenues, licensing policies are restrictive to new players in the market, and technology is considered a high-risk industry with a long-lead time to break-even on investments. http://www.itweb.co.za/sections/internet/2001/0108031218.asp

INDIA REPORT: E-COMMERCE IS NOT DEAD - The Nasscom-BCG report on E-commerce opportunities for India Inc. belied fears that e-commerce was dead. Forecasting a strong growth during the next four years, the report has set the agenda for all the three players, the private sector, the IT industry and the government in order to achieve the numbers by 2005. http://www.ciol.com/content/news/repts/101080204.asp

EUROPE E-LEARNING EVENT SEEKS PRESENTERS - For an audience of approximately 2000 includes CEOs, managers, technology developers, instructional designers, instructors, learners, academics and government practitioners, VNU Business Media is seeking formal proposals for breakout sessions at the Online Learning 2002 Europe conference, set for 5-6 March in London. Presentations should cover European-specific e-learning projects, including: case studies, panels, learning differences and strategic approaches. The organizers are only looking for session proposals from non-US presenters at this time. Please visit: http://www.vnulearning.com/guidelines-olle.htm

PAIR BUSY BUILDING 3G RELATIONS – Cable television company i-Cable Communications and sister telecommunications firm New T&T are believed to be considering a number of joint bid options for Hong Kong's third-generation (3G) licence auction. http://technology.scmp.com/comm/ZZZDO4B5RPC.html (free registration required)

EUROPEAN COMMISSION OKAYS E-SIGNATURE NETWORK - http://www.newsbytes.com/news/01/168581.html

BROADBAND DRIVE IN HONG KONG - CLP TeleCom is hoping most Hong Kong households will be connected to Oxygen by 2003, making the company's retail service the top residential broadband communications provider. http://technology.scmp.com/ZZZ228B5RPC.html

NEWSBYTES: AGING INFRASTRUCTURE HOLDING BACK AUSTRALIA - Australia's outdated copper wire network is causing the country to lag behind, according to a new report. http://www.nua.ie/surveys/index.cgi?f=VS&art_id=905357017&rel=true

CISCO@WASHINGTON, DC

HOUSE PASSES WEB TAX BAN - A House of Representatives panel voted Thursday to bar states from taxing Internet access and extend for five years a ban on other Internet-specific taxes, declining to approve legislation that would help states tax online commerce. http://dailynews.yahoo.com/h/nm/20010802/wr/tech_taxes_dc_4.html

TESTIMONY OF CONGRESSIONAL BUDGET OFFICE ON TAXING INTERNET AND OTHER REMOTE SALES: http://www.cbo.gov/showdoc.cfm?index=2961&sequence=0&from=7

HOUSE EDUCATION & THE WORKFORCE COMMITTEE APPROVES BILL TO EXPAND INTERNET LEARNING OPPORTUNITIES IN HIGHER EDUCATION - http://edworkforce.house.gov/press/press107/hr1992pc8101.htm

SENATE COMMITTEE APPROVES NTIA NOMINEE NANCY VICTORY - The Senate Commerce Committee held a hearing this week on several pending nominations, including that of Nancy Victory to be Assistant Secretary of Commerce for Communications and Information. Sen. Conrad Burns (R-MT) described the NTIA as "one of the most important seats" at the Department of Commerce at the August 1 hearing. Broadband Deployment. Sen. George Allen (R-VA) asked Victory about efforts to promote deployment of broadband Internet access services in rural areas. She responded that this is "definitely a goal". She added that "I don't believe that the administration has taken a position on any of the legislative proposals yet." Nor did she state her views on the Tauzin Dingell bill, or any other legislative proposals. She only stated that any government action "should be technology neutral." Sen. Allen added that in addition to copper and cable, fiber, wireless, and satellite will be important to broadband deployment. (News@TechLawJournal.com)

CONGRESS TO RETURN TO STACK OF TELECOM BILLS - Legislators will return from their summer hiatus to several bills that could change the telecom industry, from loosening regulations on Baby Bells to protecting the privacy of cell phone owners. http://news.cnet.com/news/0-1004-200-6733870.html

TAUZIN - DINGELL A RE-MONOPOLIZATION `SCAM`? - Interview By: James K. Glassman, Host, Tech Central Station with Rep. Tom Davis (R-VA) - “Part of me thinks this whole bill is a scam in one sense,” said Davis, “and they’re just trying to remonopolize this thing and squash the competition.” http://www.techcentralstation.com/BigShotFriday.asp

TREASURY CIO: $300 MILLION NEEDED FOR E-GOVERNMENT - Jim Flyzik believes $300 million would be the right number to get federal e-government initiatives truly off the ground. But the Treasury Department chief information officer — who also is acting assistant secretary for management, as well as vice chair of the Federal CIO Council — said the government doesn’t need to budget the entire amount. Instead, he thinks the government should provide $100 million in new funding, industry should agree to match that amount, and federal agencies should be challenged to find funds within their existing budgets to contribute to the total. http://www.washtech.com/news/govtit/11618-1.html

OMB CHIEF STRESSES COMPETITIVE SOURCING, NOT OUTSOURCING - The Bush administration wants better financial management, a serious movement toward electronic government, and competitive sourcing to provide citizens better and faster service, a top government executive said this week. http://www.gcn.com/vol1_no1/daily-updates/4783-1.html

HUMAN CAPITAL: BUILDING THE INFORMATIONTECHNOLOGY WORKFORCE TO ACHIEVE RESULTS, by David M. Walker, comptroller general of the United States, before the Subcommittee on Technology and Procurement Policy, House Committee on Government

http://www.gao.gov/cgi-bin/getrpt?gao-01-1007t (Adobe Reader required)

BENEFICIARIES OF THE BANDWIDTH BLOWOUT - By: James K. Glassman, Host, Tech Central Station - "Given the bandwidth glut, capacity on fiber networks is now dirt cheap. And as any economist will tell you, that’s a very strong incentive for people to create new applications -- new products and services to travel over those dormant wires." http://www.techcentralstation.com/NewsDesk.asp?FormMode=MainTerminalArticles&ID=78

HIGH-TECH GROUP URGES SENATORS TO KILL BROADBAND BILL – A coalition of high-tech companies today urged Senate lawmakers to discard a broadband deployment bill that would free incumbent telcos from market opening requirements, saying the measure would bring competition to a screeching halt. The Information Technology Association of America (ITAA) called for the demise of H.R. 1126, a measure introduced by Sen. Sam Brownback, R-Kan., to help spur the deployment of high-speed Internet services in rural and underserved areas. http://www.newsbytes.com/news/01/168546.html

CISCO@US STATES

CISCO HOSTS PENNSYLVANIA BROADBAND CZAR – AeA and TechNet hosted Tim McNulty, Governor Tom Ridge’s (R-PA) Deputy Chief of Staff for Technology Initiatives at Cisco this week. Attendees from other high-tech silicon valley companies heard from McNulty, AeA, Technet and Cisco on what is being done to accelerate the roll-out of broadband in the states.

SHAHEEN MAKES RURAL BROADBAND PITCH - New Hampshire Gov. Jeanne Shaheen last Friday urged the state's two U.S. senators to support legislative language designed to help expand access to affordable high-speed Internet access for rural areas of western New England and, eventually, all of New Hampshire. “In order to expand economic opportunity to all New Hampshire citizens, we must have a digital infrastructure that includes access to affordable, high-speed Internet and advanced telecommunications services through the Granite State," Shaheen wrote. "The federal government can help make it possible for states to work cooperatively on this effort." (National Journal Tech Daily)

UTILITIES SHIFT TO HIGH-SPEED BROADBAND BUSINESS - The conventional wisdom that small towns are the boonies in today's communications boom is turned on its head in places like Glasgow, Ky., where nearly half of the 6,000 residents have high-speed Internet service at rates city slickers would envy. In Glasgow, the local electric utility is offering speedy Web hookups for as little as $24 a month, plus 50-channel TV viewing for a mere $13.50. http://dailynews.yahoo.com/h/ap/20010729/tc/city_run_telecom_1.html

SCHOOL ONLINE ACCOUNTABILITY IN MICHIGAN AND PENNSYLVANIA - Michigan schools now offer Internet-accessible school information -- everything from test scores and graduation rates to teacher salaries -- as part of a new system designed by Standard and Poor's. The firm hopes to make Michigan the first of many states to present such information online. Michigan and Pennsylvania reportedly are the only two states to undertake such a project. "More and more people have home computers and are turning to the Internet to do everything from ordering Christmas presents to finding out information about their kids' schools," Michigan Governor Engler’s spokesperson said. "We think this is a good tool and that it's something we can continue to improve upon." (National Journal Tech Daily)

CONSUMER PRIVACY BILL IN CALIFORNIA - The Davis administration is quietly working with banking and insurance company lobbyists to rewrite a major consumer-privacy measure now pending in the Legislature, a confidential memorandum shows.

http://www.sfgate.com/cgi-bin/article.cgi?file=/c/a/2001/08/03/MN203370.DTL

NEW CIO NAMED IN DELAWARE - http://www.civic.com/civic/articles/2001/0730/web-del-08-03-01.asp

DEMOCRATIC GOVERNORS 2001 - The Democratic Governors' Association (DGA) will focus on its recently drafted policy positions for 2001 at its new economy conference in New Jersey on Sept. 10-11. http://www.democraticgovernors.org/dga/policy/ruralinit.PDF

U.S. MATH SCORES ARE UP SINCE 1990 - http://nces.ed.gov/nationsreportcard/mathematics/results/

Statement of Education Secretary Rod Paige: http://www.ed.gov/PressReleases/08-2001/08022001.html

GALLUP POLL: AMERICANS STRONGLY BEHIND MANDATORY SCHOOL TESTING - http://www.gallup.com/poll/releases/pr010802.asp

WEB SITE OF THE WEEK: Americans for the Digital Bridge. Site supports Senator Rockefeller’s (D-WV) “Broadband Internet Access Act of 2001” - S. 88. Includes news, testimonials and list of supporters. http://www.americansforthedigitalbridge.com/

FACTS AND STATS OF THE WEEK:

WIRED HOUSEHOLDS GO OFF THE METER - Oftel reports that the number of households in the UK with internet access has risen from 6 million in 2000 to 10 million in 2001. Oftel finds that 35% of the 10 million wired households chose some form of unmetered internet access package. Oftel mentions that unmetered usage tends to create high levels of 'net traffic.

MEN AND WOMEN ONLINE - Like most of the 26 countries measured by Nielsen//NetRatings, the internet audiences of Germany and France are predominantly male. As of June 2001, German men make up 63% of the internet audience while French men comprise 62% in their respective countries. The situation differs across the pond, where female users in the US

and Canada in June 2001 outnumber male users. In the US, 52% of users are women and Canadian women make up 51% of 'net users. This has served an example for the Asia/Pacific region, in which females are going online at growing rates. Since January 2001, the online female population this region has grown by 36% on average. The number of South Korean women surfing the 'net has increased by 55%, followed by Taiwan with 27% and Singapore and Australia with 16%.

HOME IS WHERE THE NETWORK IS - According to Parks Associates, the future of networked households is upon us. Parks questioned 696 US house builders in July 2001 and found that 56% are installing programmable thermostats in the houses they build. Additionally, 44% are installing monitored security, 39% are putting in zoned heating, ventilation and air conditioning, 22% are installing wired lighting controls and 17% have built in central home controls.

YOU'VE GOT CORREO! - 50% of Hispanic adults have used the internet, according to a survey by the Pew Internet & American Life Project. The online Hispanic population has grown by 25% from March 2000 through February 2001. 78% of Hispanic internet users go online at least 3 to 5 times a week and 61% of users are online every day. According to the survey, Hispnic users are more likely to browse the web for fun, download music, play online games and sample multimedia clips than online whites. Hispanics also surf for more serious topics: 61% conduct research for school or job training, 51% search for health and medical information, 50% have done research for work and 41% have hunted for jobs.

For more Facts and Stats on the New Economy, visit our Facts and Stats page. Also, see our special State of the Internet report on this page.

For daily, topical Facts and Stats visit our Hot In Tech page.

CISCO GOVERNMENT AFFAIRS@2001

Cisco’s top policy focuses for 2001 are the areas of Education, Broadband Deployment and eGovernment. To read or listen to our thoughts on these issues, please visit our Government Affairs home page or our visit our multimedia section . http://www.cisco.com/gov/multimedia/index.html

E-UPDATE ARCHIVE

To view past issues of Cisco’s Government Affairs E-Update, visit our E-Update Archive page . http://www.cisco.com/gov/archive/eupdates/index.html

DISCLAIMER

Positions in articles and papers from outside sources are in no way endorsed by Cisco Systems' Office of Government Affairs. We offer articles on topics of interest to our audience to further the debate on the issues that are important to high-tech. To view our positions on the policy matters that we care about, please visit our Government Affairs homepage. – http://www.cisco.com/gov

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