Cisco Government Affairs E-Update

Volume 1, Issue 31

21 September 2001

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

LIBERTYUNITES.ORG – Along with our friends and partners at AOL Time Warner, Amazon.com, E-Bay, Microsoft and Yahoo, Cisco this week participated in launching a website to help the United States begin the healing process after last week’s tragedies.  In a time of urgent need, millions of people have contributed their time, prayers, and money to New York and Washington, DC’s desperately overwhelmed rescue and philanthropic organizations.  But the need for help continues to grow.  As the rubble is cleared, the rebuilding process for the survivors and their communities is only just beginning.  From medical and rehabilitation needs to psychological assistance and financial support for the families of the victims, the burdens on charitable organizations will be staggering.  Please visit www.libertyunites.org and see what you can do to help.

RED CROSS LAUNCHES WEBSITE FOR ATTACK SURVIVORS - The American Red Cross has launched an online network to help unite families with survivors of Tuesday's airborne attacks on the World Trade Center and the Pentagon.  www.redcross.org

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

This Week@WASHINGTON, DC

FCC UNLIKELY TO EXTEND TELECOM WIRETAP DEADLINE - An open-ended extension sought by the telecommunications industry of a deadline to comply with certain digital wiretap requirements is unlikely to be granted as federal law-enforcement officials mount the nation's most intensive search for terrorists ever.  (Dow Jones Newswire)

SPECTRUM OFF-LIMITS AFTER ATTACK - Wireless-industry analysts say last week's terrorist attacks will make it hard for wireless companies to gain the right to use a larger portion of potential airwaves, and that could spark a wave of consolidation.  Wireless companies such as Verizon Wireless , Sprint PCS, Cingular Wireless, AT&T Wireless and Nextel Communications have long sought to gain licenses from the Federal Communications Commission for more wireless spectrum that would allow them to support so-called 3G, or third-generation, wireless services.  But the Sept. 11 terrorist attack on the World Trade Center has made that scenario very unlikely, since the additional spectrum would most likely come from the U.S. military.  http://news.cnet.com/news/0-1004-200-7228872.html?tag=pt.msnbc.feed..ne_7228872

SECURITY AND PRIVACY - The Bush administration will ask for more power to eavesdrop on phone calls, the Internet and voicemail messages, according to an outline of a bill obtained by Wired News.  In response to last week's catastrophic terrorist attacks, President Bush plans to ask Congress to approve far-reaching legislation that rewrites U.S. laws dealing with electronic surveillance, immigration and support for terrorists.  "We will call upon the Congress of the United States to enact these important anti-terrorism measures this week," Attorney General John Ashcroft said Monday. "We need these tools to fight the terrorism threat which exists in the United States, and we must meet that growing threat."  http://www.wired.com/news/politics/0,1283,46953,00.html

AMERICANS STILL GUARD TELEPHONE, E-MAIL PRIVACY - Last week's terrorist attacks have prompted a few Americans to say they are more willing to trade some personal privacy for security, according to a new study.  However, while some respondents told the Pew Research Center they generally supported the concept of sacrificing some civil liberties in order to try to curb terrorism, when asked specifically about increased government monitoring of personal telephone calls or e-mails, most balked.  http://www.newsbytes.com/news/01/170291.html

NEXTWAVE, FCC DISCUSS SETTLEMENT - NextWave Telecom Inc., a wireless telecommunications company that has been mired in bankruptcy proceedings for the past three years, has tentatively agreed to give up its claims to a nationwide slice of airwaves in return for a $5 billion settlement payment.  http://www.washingtonpost.com/wp-dyn/articles/A1232-2001Sep20.html

FCC PLEDGES HELP TO COMMUNICATIONS FIRMS - U.S. Federal Communications Commission Chairman Michael Powell pledged on Thursday to aid Verizon Communications and other communications companies following the attack at the World Trade Center.http://dailynews.yahoo.com/h/nm/20010920/tc/attack_telecoms_fcc_dc_2.html

FEMA RECORDS WEB RECORD - The Federal Emergency Management Agency's Web site set a record for Web usage with more than 3.4 million hits Sept. 12—the day after terrorists struck the World Trade Center and the Pentagon. The site (www.fema.gov) is providing users with news, links, and phone numbers related to disaster relief and recovery in Manhattan and near Washington, D.C. http://www.fcw.com/geb/articles/2001/0910/web-fema-09-14-01.asp

INFORMATION TECHNOLOGY MANAGEMENT: Social Security Administration Practices Can Be Improved.  GAO Report - http://www.gao.gov/cgi-bin/getrpt?gao-01-961 (Adobe Acrobat)

This Week@INTERNATIONAL

COMMUNICATIONS WATCH: CHINA BRACES FOR TELECOM BREAKUP - Lost in China's euphoria over its successful Olympic bid is a wave of deregulation. This summer, after a strongly worded Ministry of Information Industry report urged the government to "break the monopoly and introduce competition," China began planning a breakup of China Telecom, the country's fixed-line telephone monopoly. China's State Development Planning Commission is now weighing several options. http://www.redherring.com/index.asp?layout=story&channel=10000001&doc_id=1770020177&rh_special_report_id=

 

ENORMOUS INTERNET GROWTH IN CHINA - Internet in China has seen enormous growth with more than 240,000 websites being created over the past 18 months, according to Australian Broadcasting Corporation. http://www.abc.net.au/news/science/computers/2001/09/item20010908025908_1.htm

NEW DSL STANDARD OFFERS FASTER SPEEDS - An emerging high-speed Internet standard in Europe holds potential for faster download speeds and broader availability for many U.S. businesses--if they're willing to wait a while.  Although DSL speeds vary widely, the new G.SHDSL could be two to three times faster than most versions of DSL targeted at business customers. The G.SHDSL standard also can deliver data farther than earlier DSL technologies, which are limited to a relatively short distance.

http://news.cnet.com/news/0-1004-200-7242800.html?tag=pt.msnbc.feed..ne_7242800

CHINA UNICOM'S LONG-DISTANCE LEAP - The telecommunications boom has come to a halt in the United States and Europe. But China Unicom is racing forward. As China embraces Internet-based telephony, its telecommunications future is being beta-tested in Guangzhou. http://www.fastcompany.com/online/51/unicom.html

DENMARK AWARDS 3G-PHONE LICENSES FOR ALMOST TWICE THE MINIMUM BID - Telestyrelsen said Thursday it has awarded all four of its third-generation mobile-phone licenses to TDC Mobile International AS, Orange SA, Telia Mobile AB and HI3G Denmark Aps.  A total of five bids were made, the Danish telecommunications authority said, although it didn't name the fifth bidder.  The price for each license was 950 million Danish kroner ($118.3 million or 127.6 million euros), well above the minimum bid price of 500 million kroner.  http://interactive.wsj.com/articles/SB1000974189852225080.htm (paid subscribers only)

RECENT SPEECHES BY MR. ERKKI LIIKANEN, Member of the European Commission, responsible for Enterprise and the Information Society –

"MOBILE SERVICES IN EUROPE: CURRENT CHALLENGES AND FUTURE PERSPECTIVES" - 19 SEPTEMBER 2001

http://www.europa.eu.int/rapid/start/cgi/guesten.ksh?p_action.gettxt=gt&doc=SPEECH/01/399|0|RAPID&lg=EN;

"WHAT DID THE BURST OF THE BUBBLE DO TO eEUROPE?" - 18 SEPTEMBER 2001

http://www.europa.eu.int/rapid/start/cgi/guesten.ksh?p_action.gettxt=gt&doc=SPEECH/01/393|0|RAPID&lg=EN;

HONG KONG CANCELS 3G AUCTION - The Hong Kong government has scrapped plans to auction third-generation mobile phone licences for lack of bidders.  Instead, it awarded the four licences at the minimum reserve price, one to each of the four companies that came forward.  http://news.bbc.co.uk/hi/english/business/newsid_1552000/1552117.stm

PIRELLI GRASPS THE POISONED CHALICE OF TI - Pirelli's success in securing the financing for the takeover of Olivetti, the holding company of Telecom Italia, now leaves it facing the even more difficult task of slashing Olivetti's debt and restructuring the telecoms group.

http://tm0.com/sbct.cgi?s=166389374&i=393560&d=1808554

BT TO FOCUS ON OFFERING WEB ACCESS NOT CONTENT - Openworld, the internet division of British Telecommunications, has largely abandoned providing online content and will concentrate instead on offering simple access services.  http://tm0.com/sbct.cgi?s=166389374&i=393080&d=1801954

FRANCE: SPEECH ON CHALLENGES OF TELECOM DEREGULATION (EN FRANCAIS) - Jean Michel Hubert, Chairman of French Regulatory Authority (ART) did a speech in Rabat (Morocco) to illustrate benefits and challenges of telecom deregulation. http://www.art-telecom.fr/communiques/discours/d49.htm

ONLY A THIRD OF UGANDAN FIRMS ONLINE - A new report from Metrocomia has found that only 32 percent of companies in Uganda have a website. http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357189&rel=true

GERMAN B2C ENJOYING HEALTHY GROWTH - Online retail sales in Germany were up 50 percent in the first half of 2001, compared with the second half of 2000, reports Newsbytes. http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357193&rel=true

UK IT TRAINING MOVES ONLINE SLOWLY - Elearning will account for 20 percent of the UK IT training market by 2004, according to research from Ovum. http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357188&rel=true

INTERNET POPULATION RISING IN CANADA - Over half of all Canadian households have at least one occupant that is a regular Internet user, up from 42 percent last year.

http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357182&rel=true

IT SPENDING HEALTHY IN MIDDLE EAST - European software firms should target the Middle East, according to a new report from Frost & Sullivan. http://www.nua.com/surveys/index.cgi?f=VS&art_id=905357177&rel=true

This Week@US STATES

INTERNET SURPASSES ITS ORIGINAL GOAL -- Nearly 40 years after it was conceived as a method of maintaining communications in the event of an attack on the United States, the Internet — long since broadened past that purpose — last week had the first real test of its original goal. To judge by the availability of media sites, many of which were inaccessible in the hours just after the first plane hit the World Trade Center on Tuesday morning, one might assume the Internet had failed the test. But in fact, according to firms that analyze Web site traffic and performance, while some sites slowed, the overall flow of data across the Internet was not degraded by either damage to critical fiber optic lines or the clogging of those lines by Web users. http://www.nytimes.com/2001/09/17/technology/17ECOM.html (free registration required)

CRUCIAL E-MAIL DURING TRAGEDY - When the US encountered a crisis, e-mail became the most reliable form of communication. http://www.emarketer.com/analysis/marketing/20010918_mark.html?ref=marw

A NEED FOR A BETTER E-GOVERNMENT - Brown University's Taubman Center for Public Policy found that websites from city government agencies in the 70 largest cities in the US need to improve their online access to government information and services. Researchers found that 64% provide access to publications, 13% offer services that are fully executable online, 7% are multilingual — offering content in 2 or more languages — and less than 1% include commercial advertising. The top 3 cities were San Diego, CA, Albuquerque, NM and Seattle, WA.

CALIFORNIA ENDS LEGISLATIVE SESSION ON HIGH NOTE - In the waning hours of the California legislature last Friday night, the Assembly failed to take up for a vote the onerous "Protective Orders" legislation, thus transforming it into a two-year bill.  The legislature also failed to pass the "Opt-in" privacy bill which would have placed serious burdens on businesses who use data within the organizations of their parent companies.  Governor Gray Davis is expected to sign the Internet Tax Freedom moratorium extension, as well as bills which fund high-tech high schools, math and algebra programs in middle schools and workforce training.

HOUSEHOLDS CANNING SECOND PHONE LINES FOR BROADBAND - U.S. households are dispensing with their second phone lines, which have been used for surfing the Net and other services, and moving over to broadband, according to a new report by Dataquest.  The report, "U.S Residential Wireline Voice Access Lines Head South, Revenue Heads North," concludes that almost 6 percent of all U.S. households have dispensed with a traditional phone line since January of this year. http://www.newsbytes.com/news/01/170284.html

ONLINE RETAILERS BUCK U.S. ECONOMY'S DOWNWARD TREND  - The online business-to-consumer (B2C) market in the United States is growing rapidly despite the recent economic downturn, according to a new study by Emarketer.  The e-business statistics company estimates B2C annual revenues will quadruple from $38.3 billion in 2000 to $156 billion in 2005. http://www.newsbytes.com/news/01/170348.html

INTERNET NOW PART OF DAILY LIFE - Usage patters suggest the Internet increasingly is becoming a part of everyday life for Americans, according to a new study.  The study of the most popular Web destinations during the month of August, by Internet measurement company Jupiter Media Metrix, found Web surfers flocked to education sites and destinations related to the National Football League - largely due to the impending start of school and football season, respectively. http://www.newsbytes.com/news/01/170192.html

FIFTEEN PERCENT OF OVER-65s HAVE INTERNET ACCESS IN THE US, according to a new study by Pew Internet and American Life Project. Senior citizens have also proved to be faithful Net users with 69% going on line every day compared with the 56% of all Internet users.

http://www.pewinternet.org/reports/pdfs/PIP_Wired_Seniors_Report.pdf

http://www.pewinternet.org/

INTER-CONTINENTAL ROBOT SURGERY - Surgeons in the US have successfully used computers and robots to take part in operations in a different continent.  Researchers from the influential Johns Hopkins University in Baltimore have revealed that they now have the technology to carry out "telesurgery" on patients anywhere in the world.  Already 17 patients undergoing surgery at Rome's Policlinico Casilino University have benefited from the technological advances.  http://news.bbc.co.uk/hi/english/health/newsid_1370000/1370875.stm

TAKEN CLASSES TO THE MASSES – Fathom, a for-profit company started by Columbia University to offer courses over the Internet, has a different tone from the rest of the university. http://www.washtech.com/news/software/12508-1.html

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:

For 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

VIDEO ON THE WEB MOVES TO MAINSTREAM AFTER ATTACKS - Video on the Internet has emerged as a critical conduit of news about last week's devastating attacks on the United States, bringing a fringe medium closer to the mainstream and making it a more serious competitor to television, broadcasters and experts said.  Viewership for video news over the Web has been unprecedented, with many people apparently tuning in from offices and other locations around the world where television coverage of the air attacks on New York and Washington was unavailable, broadcasters said. http://dailynews.yahoo.com/h/nm/20010919/tc/attack_media_streaming_dc_1.html

AT&T'S BOARD TO HEAR STATUS OF BROADBAND TALKS - AT&T Corp.'s board will be briefed on at least three proposals to acquire or invest in its AT&T Broadband unit at a three-day strategy retreat this weekend, but few definite decisions are expected to emerge, sources familiar with the matter said this week.  AT&T, which has discussed options for its cable operation with several potential suitors since rival Comcast Corp. made an unsolicited $36.4 billion stock bid for the unit two months ago, will spend part of the retreat getting a status report on ``multiple'' proposals, the sources said. http://dailynews.yahoo.com/h/nm/20010919/tc/telecoms_att_meeting_dc_1.html

DOUBLING OF VISITORS SHOWS REACH OF ONLINE NEWS - The growing importance of the internet as a news source was underlined by statistics showing that many news sites experienced a surge in demand in the wake of last week's terrorist attacks on the US.  Data collated by Jupiter Media Metrix shows that the number of daily unique visitors to a huge number of sites more than doubled last week.  CNN confirmed its status as a multimedia news operation, as its site matched the success of its television operation, attracting an average of 4.6m daily users, more than three times its usual audience of about 1.3m.  http://dailynews.yahoo.com/h/nm/20010919/tc/telecoms_att_meeting_dc_1.html

VIRULENT NIMDA COMPUTER WORM HITS U.S., ASIA - A damaging new computer worm was spreading like wildfire across the Internet on Wednesday, hitting both home users and business in an outbreak that could prove more widespread and costly than the Code Red viruses, computer security experts said. http://dailynews.yahoo.com/h/nm/20010919/tc/tech_worm_dc_10.html

AIRLINES SUSPEND INTERNET ONLY FARES - http://www.msnbc.com/news/630908.asp?0si=-

E-MAIL ADDRESSES TO DOUBLE BY 2005 - The world's e-mail accounts will double by 2005, a high-tech consultancy predicted Monday.  According to IDC, a high-tech consultancy based in Framingham, Mass, e-mail addresses will increase by 138 percent each year, growing from 505 million in 2002 to 1.2 billion in 2005. IDC also predicted that the number of person-to-person e-mails sent on an average day will exceed 36 billion worldwide in 2005.  http://www.nandotimes.com/technology/story/80812p-1127172c.html

PERMANENT TECHNOLOGY REVOLUTION - Only last year, it seemed self-evident that we were witnessing an economic miracle - an information technology revolution powered by innovation in computers, software and telecommunications.  A slump in technology shares will not eliminate the sector's impact on productivity. http://tm0.com/sbct.cgi?s=166389374&i=393552&d=1808321

BUSINESSES TURN TO VIDEOCONFERENCING AFTER ATTACKS - Indian technology consulting firm MindTree Consulting used videoconferencing to link its U.S. workers to worried families back home after terror attacks reduced New York's landmark World Trade Center to a pile of burning rubble. http://us.news2.yimg.com/f/42/31/7m/dailynews.yahoo.com/h/nm/20010914/tc/attack_telecoms_videoconferencing_dc_1.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.

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