Cisco Government Affairs E-Update

Volume 1, Issue 30

07 September 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

Cisco's E-Update keeps you up to date on the major policy news of the week. Focusing on broadband, education and e-government areas, but covering high-tech and telecom in general, the E-Update is a great source of information for state, federal and international policymakers. To subscribe, send a message with “subscribe” in the subject line to “Subscribe-eUpdate@cisco.com

CISCO@WASHINGTON, DC

PRESIDENT BUSH ADDRESSES HIGH-SPEED ACCESS (From White House Transcript)- Q    Mr. President, what role should the federal government play in helping deploy high speed Interent access?

THE PRESIDENT:  Well, a lot of that is going to be taking place through the market.  And technology is such that areas that might not get access quickly as a result of no economies of purchase, or economies of scale, will be able to have Internet access.

I think, for example, of Crawford, Texas.  It's a place where you're not going to generally get a lot of fiber-optics, although I think there may be some there as a result of Laura's and my presence.  Hopefully that high-speed access will come as a result of -- over the air, as opposed to through fiber-optics.  And once we get over the air high-speed access, then a lot of rural America that heretofore hasn't had access will get it.  The technologies are evolving.

One of my concerns, of course, is the economic slowdown will perhaps slow down some of the progress made, as far as high speed access.  And we've done something about it.  I'm going to remind Congress that they need not overspend, and should not overspend.  It's going to affect economic growth; that all of us in Washington need to be thinking about how to grow the economy.

And I've laid out an economic growth plan, starting with tax relief. I hear there are some up here that are now second-guessing tax relief, and surely they're not advocating a tax increase -- because if they are, they will find mighty resistance in the White House.  Plus, that's bad economics.  So for those who criticize the tax relief plan, the next step is, what do you have in mind?  And if it's a tax increase, that would be bad for America. Good to see everybody.  Thank you.  http://www.whitehouse.gov/news/releases/2001/08/20010831-3.html  

OFFICIAL: BUSH HIGH-TECH POLICY COMING SOON - After months of silence, the Bush administration will weigh in "shortly" on a range of high-tech issues ranging from junk e-mail to online privacy, a senior administration official said Wednesday. http://www.cnn.com/2001/TECH/industry/09/05/spam.reut/index.html

"TECHNOLOGY, INFORMATION PRODUCTION, AND MARKET EFFICIENCY” - Federal Reserve Board Vice Chairman Roger Ferguson speech at a conference sponsored by the Federal Reserve Bank of Kansas City, in Jackson Hole, Wyoming. http://www.federalreserve.gov/boarddocs/speeches/2001/200108312/default.htm

COMMERCE SECRETARY EVANS PROPOSES DELAYING 3G SPECTRUM AUCTIONS - http://osecnt13.osec.doc.gov/public.nsf/docs/20010906-3G-auction-date

WALL STREET JOURNAL INTERVIEW WITH FCC CHAIRMAN MICHAEL POWELL – He talks about walking the tightrope of telecom regulation. http://interactive.wsj.com/articles/SB1000046544529628070.htm (Paid Subscription Required)

HOUSE TO FOCUS ON NET ACCESS AND COMPETITION - Shortly after Congress reconvenes, the House will take up a complex bill that raises two simple, essential questions about the nation's digital future. In the effort to deliver high-speed Internet service to consumers, what is the ideal number of competitors? And should the government make that decision?  In recent years, the battle for high-speed, or broadband, access has been dominated by two technologies. One is digital subscriber lines, or D.S.L., which use telephone wires. The other is cable modems, which use cable television lines. Despite the development of satellite and land-based wireless systems, the broadband media world will continue to be ruled by phone wires and cable lines for many years.  http://www.nytimes.com/2001/09/03/technology/03NECO.html?pagewanted=print

CONGRESS TO LOOK AT TELECOM BILLS - Two legislative proposals related to the Telecommunications Act of 1996 became hot topics in Washington, D.C., this summer and promise to spark heated discussion when Congress returns from its seasonal recess this month.  The proposals, which come down on opposing sides of the battle between regional Bell operating companies and competitive local exchange carriers (CLEC), look to modify aspects of the 1996 act's competitive guidelines. http://www.idg.net/ic_684594_1794_9-10000.html

FCC TRANSFERS WIRELESS LICENSES BACK TO NEXTWAVE - The Federal Communications Commission (FCC) today returned $16 billion worth of wireless spectrum licenses to NextWave Telecom Inc., in compliance with a federal appeals court ruling that the agency illegally canceled the airwave rights. The reinstatement of NextWave's licenses comes a day after the U.S. Court of Appeals for the District of Columbia Circuit issued the mandate implementing its decision that the FCC had no right to revoke the wireless licenses after the company had filed for bankruptcy protection.  NextWave in 1996 emerged as the top bidder in a wireless spectrum auction conducted by the FCC, in which the company agreed to pay $4.7 billion for licenses to offer wireless services in more than 90 markets across the nation.  But when NextWave defaulted on its payment plan, the FCC revoked the licenses. Earlier this year, the commission sold the disputed licenses at another auction for roughly $16 billion. In June, however, the appeals court ruled that the FCC illegally canceled NextWave's licenses. http://www.newsbytes.com/news/01/169657.html

TECHNOLOGY TO TRANSFORM WARFARE AT DOD - The Defense Department’s newly named chief information officer said Friday that using technology to transform warfare is one of his top priorities.  John Stenbit, the new assistant secretary of Defense for command, control, communications and intelligence, who also serves as the Defense Department CIO, said a new vision of future warfare will provide the impetus for the transformation of the Pentagon’s information systems. http://www.govexec.com/dailyfed/0801/082801j1.htm

TELECOMMUTING HEARING - The House Government Reform Committee's Subcommittee on Technology and Procurement Policy held a hearing titled "Public Service for the 21st Century: Innovative Solutions to the Federal Government's Technology Workforce Crisis." Witnesses related a variety of government related obstacles to telework in both the public and private sectors.  Testimony and prepared statements from hearing: http://www.house.gov/reform/tapps/hearings.htm

CISCO@INTERNATIONAL

BRITISH SCHOOLS FLOCKING TO THE INTERNET - British schools are flocking to the Internet and gearing up to let their pupils surf the web in droves, according to a government report published on Tuesday.  The report said 96 percent of British primary schools were now connected to the net -- up from just 17 percent in 1998.  http://dailynews.yahoo.com/h/nm/20010904/wr/britain_education_dc_1.html

YANKEE GROUP: WIRELESS NET GROWS EVER WIDER IN ASIA - There will be 411.2 million mobile data subscribers in the Asia-Pacific region at the end of 2006, says the Yankee Group.

http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357137&rel=true

FRENCH BUSINESS WORRIES ABOUT LACK OF HIGH SPEED INTERNET ACCESS IN RURAL FRANCE  - Eighty per cent of French territory, in which 25 per cent of the French population live, is being denied the opportunity of high speed Internet....

http://tm0.com/sbct.cgi?s=166389374&i=387270&d=1741589

INDIA CONVERGENCE BILL HINTS AT CROSS-SERVICE RESTRICTIONS - The Communications Convergence Bill 2001, slated to be introduced in Parliament, has hinted at cross-service restrictions for licensed services like broadcasting, cable distribution, Internet services and telephony, while leaving the responsibility for framing the details regarding this to the proposed super-regulator Communications Commission of India (CCI). http://www.business-standard.com/today/economy4.asp?Menu=3

ECOMMERCE GROWING IN SOUTH AFRICA - Forty-seven percent of South African Internet users have made an online purchase, according to a new study from the University of Pretoria.

http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357139&rel=true

BROADBAND USE ON THE INCREASE IN JAPAN - AsiaBizTech reports that the number of broadband users in Japan is predicted to grow by 81 percent every year until 2005.

http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357124&rel=true

BROADBAND BASE IN ASIA TO TRIPLE BY 2005 - The number of broadband subscribers in the Asia-Pacific region (excluding Japan) will rise to 37.8 million by 2005, up from 11.4 million this year, and 6.1 million last year.  http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357145&rel=true

GOVERNMENTS SHOULD PUSH ONLINE TAX FILING - European governments could save 70 percent of the cost of processing corporate tax returns if they moved to online tax filing, says

Forrester Research. http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357142&rel=true

CISCO@US STATES

CENSUS SHOWS HIGH INTERNET PRESENCE - America is seeing a dramatic increase in the number of homes wired to the Internet, Census figures show, as the demand grows for quicker communication -- from shopping to e-mail to instant messaging. About 42 percent of all U.S. households could log on to the Web in 2000, up from 18 percent three years earlier, according to the Census Bureau report released Thursday. People shop, check stock quotes and do research online. But it is the desire for fast communication that have made Internet access a ``must-have'' item for many people, said Susannah Fox, research director for the Pew Internet and American Life Project.  http://www.nytimes.com/aponline/technology/AP-Census-Computers.html

MICROSOFT’S GATES CALLS FOR A CUT IN HIGH-SPEED NET COSTS - He Says Prices Limit Broadband's 'Miracle' Capabilities - High-speed Internet access for computer users is too expensive and threatens to limit the adoption of some powerful new services that would be available in the next few years, Microsoft Corp. Chairman Bill Gates said today.  In an interview, Gates urged government policymakers to meet with representatives of the cable and telephone industries to determine what it would take to provide broadband services for $30 a month, instead of the monthly fee of about $50 that consumers pay for access via cable lines or enhanced telephone wiring. Although most of the nation's heavily populated areas have high-speed access available, such access is used by less than 15 percent of the country.  http://www.washingtonpost.com/wp-dyn/articles/A49024-2001Sep5.html

STUDY:  INTERNET PREFERRED TO LIBRARY – U.S. Middle school-age kids with Internet access are far more likely to turn to the Web than the library for help with their homework, according to a study released today.  In a survey of 754 kids aged 12-15 who use the Internet, the Pew Internet and American Life Project found that 71 percent said they rely on Web-based sources the most for help with their homework or completing a school project. Only 24 percent said they use the library as their primary source of schoolwork information.  http://www.newsbytes.com/news/01/169662.html

MONTANA GETS ITS FIRST CIO - A North Dakota executive for Basin Electric Power Cooperative has been hired as Montana's first chief information officer, reports the Billings Gazette. Brian Wolf of Bismarck, N.D., was chosen from a field of about 40 applicants. Wolf begins work Oct. 1.  He will advise the governor on the state's information technology systems and also will advise the Administration Department, which oversees the state's mainframe computer and computer hardware and software selections.

The Council of State Governments (CSG) has named the Georgia Secretary of State's Web site the best executive-branch site in the nation and will formally present the Eagle E-Government Award at its annual meeting in Anchorage, Alaska, next month. The Illinois Criminal Justice Information Network, eMaryland Marketplace and Virginia's VATaxOnline received honorable mentions in the category.  Minnesota won honors for the best legislative site, and the North Dakota Supreme Court's Internet home was named the best judicial site. North Carolina's NC@Your Service was dubbed the best state portal.  www.statesnews.org

GOVERNMENT AFFAIRS HIGH TECH COMMUNITY – Broadband Deployment – It is estimated that 2.5 BILLION hours are wasted with people accessing the Internet via dial-up. Broadband access, or always-on, high-speed Internet, allows productivity increases, standard of living increases and new applications that haven't even been thought of. Broadband can be delivered via satellite, wireline, wireless, cable, fiber and technologies are being tested for access through electrical wires. Broadband is the future of the internet and the future of communications.  What does broadband mean in your life?  Add your thoughts at Cisco’s High Tech Community - http://forums.cisco.com/cgi-bin/Community/HtCom?page=main.

FACTS AND STATS OF THE WEEK:

ONE-HALF OF SINGAPORE ONLINE - 50% of Singaporean homes had 'net access and 60% had personal computers by the end of 2000, according to the Infocomm Development Authority of Singapore (IDA). The survey, which drew its figures from interviews with 1,500 households, estimates that there were 1.3 million internet users in Singapore in 2000. The IDA also reports that 53% of users were male, 61% were under 30 years old, and 40% had polytechnic or some other tertiary education.

HIGH-SPEED ACTION IN HONG KONG - NetValue reports that almost 15% of all 'net connections in Hong Kong were high-speed connections at the end of June 2001. The number of digital subscriber line, cable, or high-speed satellite subscribers increased by 56% between the months of January and June 2001. Along with the growth in broadband connections, the use of applications such as online games, large file transfers, and streaming video has also increased.

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.

OTHER TECH STORIES OF THE WEEK

NEW CABLE STANDARD MAY TRIPLE SPEEDS - The latest version, which will be called DOCSIS 2.0, significantly increases cable bandwidth, or network capacity, particularly for so-called upstream transmissions, according to CableLabs. The standard, which will be finished by year's end, is designed to triple the speed at which cable modem users may send data and Internet traffic. But equipment--certified as being based on the standard--is unlikely to be ready for more than a year, some analysts say.

http://news.cnet.com/news/0-1004-200-7079103.html?tag=pt.msnbc.feed..ne_7079103

KIDS, ACADEMICS SHARE INTERNET2 - Elementary school kids probably have seen images of the space shuttle on television but few have experienced the kind of up-close look that is possible only with a scanning electron microscope.  That all could change with the help of Internet2.  http://www.wired.com/news/school/0,1383,45864,00.html

AOL TIME WARNER SAID TO BE PURSUING AT&T BROADBAND - In an effort to become the nation's largest cable operator, AOL Time Warner proposed late last week to merge its cable operations with AT&T's, executives close to the negotiations said yesterday. While AOL has not yet made a formal merger offer for AT&T's cable business, which is called AT&T Broadband, the proposal is the first signal that AOL is earnestly pursuing a deal. http://www.nytimes.com/2001/09/10/business/media/10AOL.html (Free Subscription Required)

http://www.washingtonpost.com/wp-dyn/articles/A2111-2001Sep9.html

NOTIONS OF NEW ECONOMY HINGE ON PACE OF PRODUCTIVITY GROWTH - Rising prosperity still bathed the nation a year ago when Alan Greenspan opened the annual symposium of Federal Reserve policy makers in this mountain resort with a confident boast that the strong gains in worker productivity that seemed to underlie the robust expansion of the 1990's would continue.  That contention appears to haunt him today. The nation's boom has collapsed despite the faith of Mr. Greenspan, the Fed chairman, that the ever-greater efficiencies of the information age would keep on raising profits, incomes and employment at a healthy pace. Instead, the nation is barely skirting a recession, stock prices have fallen, the budget surplus is shrinking and the new economy is losing its charm.  http://www.nytimes.com/2001/09/03/business/03ECON.html

DISNEY, NEWS CORP. TO OFFER VIDEO ON DEMAND ONLINE - Hollywood's rush to harness the Internet as a distribution pipeline for movies continued as Walt Disney Co. and News Corp. said they have formed a joint venture to deliver films on demand to consumers via the Web and digital cable-television systems.  The move comes just three weeks after a consortium of five major studios announced plans to create a so-called video-on-demand service that would allow consumers to download films from the Web to be viewed at their convenience. That effort included all of the big Hollywood studios except for Disney and News Corp.'s 20th Century Fox, which have simultaneously been working to create a service of their own via Disney's Movies.com site (www.movies.com). http://interactive.wsj.com/articles/SB999722838134238679.htm (Paid Subscription Required)

WIRED SENIOR CITIZENS AMONG THE MOST ENTHUSIASTIC INTERNET USERS - Senior citizens are among the most enthusiastic users of the Internet - once their children and grandchildren encourage them to go online for the first time, according to a study released Sunday.  The Pew Internet & American Life Project said 69 percent of wired seniors use the Internet on a typical day, compared with 56 percent for all users. Popular uses include using e-mail, getting news and weather reports, checking out hobbies and researching health information.  http://www.nandotimes.com/technology/story/76199p-1068764c.html

SECURITY AND INTERNET ISSUES FOR US BUSINESSES - Security is still a major online issue for US companies: 31% say it's their biggest 'net concern and 21% say that bandwidth issues are key. http://www.emarketer.com/estatnews/estats/ebusiness/20010830_n2h2.html?ref=wn

CISCO AND VERIZON TEAM UP FOR TELEWORKING - Cisco Systems Inc., the No. 1 maker of computer-networking equipment and Verizon Communications Inc., the largest U.S. local telephone company, said they are teaming up to provide equipment and services to Fortune 1000 companies so their employees can have the same connectivity at home as they do at the office. http://dailynews.yahoo.com/h/nm/20010910/tc/tech_cisco_verizon_dc_1.html

TEENAGERS LEAD WAY WITH ONLINE SPENDING - Teenagers are spending millions of dollars online across Europe and the US and the market is forecast to grow rapidly, according to Datamonitor, the business information company.  http://tm0.com/sbct.cgi?s=166389374&i=388510&d=1754515

WORKING HARD: TECHNOLOGY FUSES WORK AND LEISURE TIME - More than half (54%) of US adults believe new technologies make their leisure time more enjoyable, and 59% say the internet, cellphones and other devices boost productivity on the job. http://www.emarketer.com/estatnews/estats/edemographics/20010906_ipsos.html?ref=wn

HIGH-SPEED INTERNET: A HOUSEHOLD NECESSITY - According to Parks Associates, US residential broadband subscribers will total 10.7 million in 2001 and jump to 30.6 million by 2004. Parks reviews the different ways high-speed subscribers will connect in 2001 and finds that 4.2 million will make digital subscriber line (DSL) connections, 6.2 million will use cable modems and just 350,000 will connect with some form of broadband wireless innovation. http://www.emarketer.com/estatnews/estats/broadband/20010905_parks.html

DISTANCE LEARNING YET TO HIT HOME - In the height of the distance learning boom, software CEO Michael Saylor had an ambitious plan: to use $100 million of his own money to create a free online university with lectures from the world's "geniuses and leaders."  While it might have seemed like a good idea at the time, Saylor's vision for a free virtual education never materialized.   http://www.wired.com/news/school/0,1383,45855,00.html

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

CISCO.COM/GOV AND E-UPDATE FEEDBACK

As we continue to build out Cisco’s Government Affairs web site, as well as our new service, this E-Update, we welcome comments, criticisms, praise and suggestions.  Please send any feedback to John Earnhardt at jearnhar@cisco.com.

To contact any member of the Government Affairs team, please visit our “Contact Us ” page. http://www.cisco.com/gov/contact/index_ext.html

SUBSCRIBING/UNSUBSCRIBING:

You are receiving this update because you requested it.  If you no longer wish to receive this update, send a message with “unsubscribe” in the subject line to Subscribe-eUpdate@cisco.com.

If you received this message because it was forwarded to you and you wish to subscribe to this weekly E-Update, please send a message to Subscribe-eUpdate@cisco.com with “Subscribe” in the subject line.  Or, visit our Government Affairs homepage (www.cisco.com/gov) and click on the “Subscribe” button in the lower left-hand corner.

 

 
All contents copyright © 1992--2001 Cisco Systems, Inc. Important Notices and Privacy Statement .