Imposing more regulations on tech companies has costs and government should proceed with caution, Larry Downes, senior fellow at the Georgetown Center for Business and Public Policy, wrote in the Harvard Business Review. The drumbeat continues to break up some of the biggest tech players, or at least impose new regulations, he said. “What if, for example, artificial intelligence puts an entire generation out of work? … What if social media companies learn so much about us that they undermine -- intentionally or otherwise -- democratic institutions, creating a tyranny of ‘unregulated’ big data controlled by a few unelected young CEOs?” Downes asks. “The problem with such speculation is that it is just that. In deliberative government, legislators and regulatory agencies must weigh the often-substantial costs of proposed limits against their likely benefit, balanced against the harm of simply leaving in place the current legal status quo.”
House Communications Subcommittee Vice Chairman Leonard Lance, R-N.J., and ranking member Mike Doyle, D-Pa., filed the House version of the Advancing Innovation and Reinvigorating Widespread Access to Viable Electromagnetic Spectrum (Airwaves) Act Wednesday. Sens. Cory Gardner, R-Colo., and Maggie Hassan, D-N.H., filed the Senate version (S-1682) in August (see 1708010069). The legislation aims to identify spectrum for unlicensed use and free up mid-band spectrum for wireless industry purchase via a future FCC auction. The Airwaves Act “is the kind of bill that will make a difference in the lives of Internet users,” Lance said in a news release: “By opening up more federal spectrum for commercial usage we are helping lay the groundwork for 5G.” It “would establish a reliable pipeline for licensed and unlicensed spectrum,” Doyle said in the news release. “The pipeline will provide spectrum for robust and competitive deployments of 5G wireless broadband networks, which will build on the success of Wi-Fi by making additional, much needed, unlicensed spectrum available.” The legislation “demonstrates that Congress supports -- on a bipartisan, bicameral basis -- firm spectrum deadlines and auctions for key bands,” said FCC Commissioner Mike O'Rielly. Many industry entities lauded the Airwaves Act's House debut, including the Competitive Carriers Association, CTIA, Mobile Future, Public Knowledge, WifiForward and Verizon.
Congressional panels with antitrust oversight should hold hearings on Google's YouTube reportedly asking musicians to agree not to disparage the streaming-video service in exchange for promotional support, the Content Creators Coalition wrote Judiciary Committee chairmen and some other leaders Monday. "Google’s actions are clearly aimed at thwarting the Congressional review of the Digital Millennium Copyright Act’s safe harbors as well as the public debate." The copyright group alleges the company is abusing its monopoly power. The company didn't comment.
President Donald Trump signed a continuing resolution to fund the federal government through Feb. 8, as expected (see 1801220038). The House passed the measure 266-150 after an 81-18 Senate vote Monday. The federal government fully reopened Tuesday morning, which is "good news," FCC Chairman Ajit Pai told the Broadband Development Advisory Committee (see 1801230043). Another government closure would hurt device makers and tech companies, Hogan Lovells lawyers blogged. Michele Farquhar, Trey Hanbury and Ryan Thompson questioned what a “protracted shutdown” would mean for the technology, media and telecom industries and the billions of dollars of investment that depend on action by regulators. “How soon before Samsung and Apple face launch delays for products that need FCC approval to enter the market?” they asked Tuesday. “When will GoPro, Nintendo, Tile, Roku and other consumer electronics makers start to see product delays? ... Will a shutdown affect the nation’s bid in the global race for leadership in the deployment of advanced, fifth-generation wireless networks?” Device makers would likely feel the pinch first, they wrote. In the U.S., “virtually all electronic devices must receive FCC equipment certification prior to sale,” they noted.
Consensus is building in Congress around a “trio of music-related copyright bills that would improve the ability of recording artists, producers, and songwriters to exercise their rights in copyrighted music or at least to enjoy the financial rewards for their efforts" (see 1712290025 and 1801080054), blogged Free State Foundation senior fellow Seth Cooper Tuesday. Cooper urged Congress to take up Classics Act (HR-3301), the AMP Act (HR-881), and the Music Modernization Act (HR-4706). "The Copyright Act is in need of comprehensive updating to address changes brought about by digital technologies and the Internet," he said.
House Commerce Committee Republican leaders pressed Apple CEO Tim Cook Friday for more information on the company's decision to slow performance of iPhone 6s in response to diminishing performance of the smartphone's batteries. The company apologized in December for its actions, which continue to draw criticism (see 1712290019). Senate Commerce Committee Chairman John Thune, R-S.D., also pressed Cook for answers last week (see 1801100063). Apple indicated in a recent briefing with House Commerce members and staff that “thus far, it is unable to ascertain whether it has taken the necessary steps to ensure that affected consumers will be able to obtain a replacement battery in a timely manner,” said Chairman Greg Walden, R-Ore., House Communications Subcommittee Chairman Marsha Blackburn, R-Tenn., and others in a letter to Cook. “Apple has also indicated that it has yet to develop policies to protect consumers should it fail to develop alternative methods to prevent instantaneous iPhone shutdowns, other than limiting processor performance, by the time the term of its reduced-cost battery replacement program expires at the end of 2018.” The House Commerce leaders sought responses by Jan. 26. Apple didn't comment.
House IP Subcommittee Chairman Darrell Issa, R-Calif., said Wednesday he won't seek re-election this year. Issa, a former CTA chairman, is a lead sponsor of the Compensating Legacy Artists for their Songs, Service and Important Contributions to Society (Classics) Act (HR-3301) and has been active on other copyright, patent and privacy issues during this Congress (see 1706120059, 1707200012 and 1709140068). He barely won-re-election in 2016 against Democratic political newcomer Doug Applegate (see 1611070058 and 1611290002). Issa cited his work for “better intellectual property protections to stop the piracy of American ingenuity,” protecting “the Internet from harmful regulation, and enacting the nation's first open data standards” among his top achievements since he joined Congress in 2001.
Telecom and tech CEOs joined other business leaders in urging Congress to pass bipartisan legislation immediately that would permanently allow "Dreamers who are currently living, working and contributing to our communities to continue doing so." A Verizon release Wednesday called attention to a letter, which was signed by its CEO Lowell McAdam and more than 100 other corporate executives, including the CEOs of AT&T, Amazon, Facebook, Apple and Google. "The imminent termination of the [Deferred Action for Childhood Arrivals] program is creating an impending crisis for workforces across the country. It is critical that Congress act to pass legislation before January 19th. This window of action leaves only 45 days for implementation prior to March 5th," they wrote the Senate and House Republican and Democratic leaders. "In addition to causing a tremendous upheaval in the lives of DACA employees, failure to act in time will lead to businesses losing valuable talent, cause disruptions in the workforce, and will result in significant costs. Studies by economists across the ideological spectrum have also determined that if Congress fails to act our economy could lose $215 billion in GDP."
Senate Commerce Committee Chairman John Thune, R-S.D., is pressing Apple CEO Tim Cook to explain the company's decision to slow the performance of iPhone 6 cellphones in response to diminishing performance of iPhone 6 batteries. Apple apologized in December for its actions, which continue to draw criticism (see 1712290019). “The large volume of consumer criticism leveled against the company in light of its admission suggests that there should have been better transparency with respect to these practices,” Thune said in a letter released Wednesday. He asked Apple to disclose whether it used similar throttling technology in previous iPhone models and how the company decided to cut the price of replacement batteries to $29 after the public outcry. Thune sought answers from Apple by Jan. 23. Apple didn't comment.
Sen. Orrin Hatch, R-Utah, and House Transportation Committee Chairman Bill Shuster, R-Pa., separately announced Tuesday their plans to retire at the end of this Congress. Hatch was the Senate Judiciary Committee’s top Republican from 1995 to 2005, and chairman for most of that period. He remained active on a range of tech policy issues, including on antitrust, IP and privacy (see 1702160055). Hatch played an important role last year in convincing Sen. Elizabeth Warren, D-Mass., to end her hold on now-DOJ Antitrust Division head Makan Delrahim’s nomination (see 1709250025). Hatch is expected to co-lead the filing a Senate companion to the Music Modernization Act (HR-4706) this month (see 1712290025). Hatch is “an American patriot and the gold standard for public service,” said NAB President Gordon Smith in a statement. “Few have achieved more.” Hatch’s “impact on our nation will extend far beyond his retirement at the end of this year” given his support for “policies to promote American innovation,” said TechNet CEO Linda Moore in a statement. Shuster announced his retirement plans in a Washington Examiner interview. Shuster is expected to be a leading figure in the House’s handling of President Donald Trump’s anticipated infrastructure legislative package (see 1704060067). He also was a main sponsor of FAA reauthorization legislation that would include drone regulatory language (see 1706220057).