Articles by Adam Thierer 
Senior Fellow in Technology & Innovation at the R Street Institute in Washington, DC. Formerly a senior research fellow at the Mercatus Center at George Mason University, President of the Progress & Freedom Foundation, Director of Telecommunications Studies at the Cato Institute, and a Fellow in Economic Policy at the Heritage Foundation.
Some impressive numbers here from the CTIA’s Semi-Annual Wireless Industry Survey. There are now more than 276 million wireless users in the U.S., which is almost 14 million more subscribers that there were at this point last year. (Seriously, is there anyone in America who doesn’t have their own phone in their pocket or purse these days?) More amazing is the seemingly never-ending explosive growth of text messaging. The CTIA report that:
text messaging continues to be enormously popular, with more than 740 billion text messages carried on carriers’ networks during the first half of 2009—breaking down to 4.1 billion messages per day. That’s nearly double the number from last year, when only 385 billion text messages were reported for the first half of 2008. Wireless subscribers are also sending more pictures and other multi-media messages with their mobile devices—more than 10.3 billion MMS messages were reported for the first half of 2009, up from 4.7 billion in mid-year 2008.
Most of us probably hadn’t even sent one text message ten years ago. And now there 4.1 billion of the suckers flying off our phones every day. That is astonishing.
And we’re still gabbing plenty, too. “[W]ireless customers have already used more than 1.1 trillion minutes in the first half of 2009—breaking down to
6.4 billion minutes-of-use per day.” As the Grim Reaper said in Monty Python’s “Meaning of Life“… “You always talk, you Americans. You talk and you talk..”
http://www.youtube.com/v/YoBTsMJ4jNk&color1=0xb1b1b1&color2=0xcfcfcf&hl=en&feature=player_embedded&fs=1
Like James Gattuso, I have a lot of questions about the Federal Trade Commission’s new “Guides Concerning the Use of Endorsements and Testimonials in Advertising,” especially as they apply to bloggers. (And over at Silicon Angle, Mark ‘Rizzn’ Hopkins has been doing a great job keeping tabs on the many questions and hypothetical situations that others have been posing about the new rules). But the one thing I just can’t wrap my head around is how the FTC plans to enforce these rules against those speakers or media outlets who have print publications which are fully protected by the First Amendment. So, I was pleased to see my favorite press critic Jack Shafer of Salon, ask the same question in his latest column on “The FTC’s Mad Power Grab”:
Because of a pesky thing called the First Amendment, the guidelines don’t apply to news organizations, which receive thousands of free books, CDs, and DVDs each day from media companies hoping for reviews. But if the guidelines don’t apply to established media like the New York Review of Books, which also happens to publish reviews on the Web, why should they apply to Joe Blow’s blog? Regulating bloggers via the FTC while exempting establishment reporters looks like a back-door means of licensing journalists and policing speech.
Exactly. Is the FTC just going to ignore such speakers or media organizations but enforce against everyone else? Isn’t that just a bit silly and radically unfair? Moreover, might such a policy end up incentivizing some folks to create token print publications to get around such the regulations? I doubt it, but you never know.
Regardless, as Shafer notes, the rules are so hopelessly open-ended and arbitrary that they are bound to pose problems for whomever they are enforced against: Continue reading →
Interesting piece here from Slate’s Farhad Manjoo on why AT&T should dump unlimited data plans and end what he calls the “iPhone all-you-can-eat buffet.” He notes that: “The typical smartphone customer consumes about 40 to 80 megabytes of wireless capacity a month. The typical iPhone customer uses 400 MB a month. AT&T’s network is getting crushed by that demand.” Because “some iPhone owners are hogging the network” and causing “a slowed-down wireless network,” Manjoo recommends a congestion pricing model as a method of balancing supply and demand:
How would my plan work? I propose charging $10 a month for each 100 MB you upload or download on your phone, with a maximum of $40 per month. In other words, people who use 400 MB or more per month will pay $40 for their plan, or $10 more than they pay now. Everybody else will pay their current rate—or less, as little as $10 a month. To summarize: If you don’t use your iPhone very much, your current monthly rates will go down; if you use it a lot, your rates will increase. (Of course, only your usage of AT&T’s cellular network would count toward your plan; what you do on Wi-Fi wouldn’t matter.)
To understand the advantages of tiered pricing, let’s look at AT&T’s current strategy of spending billions to build more network space. Why won’t this work? For the same reason building more roads doesn’t reduce traffic—more capacity increases the attractiveness of driving, which brings a lot more cars to the road, which leads to more gridlock.
Congestion pricing and metering is something I’ve written quite a bit about here in the context of wireline broadband (1, 2, 3), but Manjoo is equally correct that it could be applied for wireless data plans. It has the added value of taking pressure off lawmakers to impose Net neutrality regulation since pricing of the pipe becomes an effective substitute for most other forms of network management. In other words, price, don’t block bandwidth-hogging customers and applications. The problem, Manjoo explains: Continue reading →
Just FYI… I’ll be speaking tomorrow in Second Life about “Government’s Place in Virtual Worlds and Online Communities” as part of an ongoing series hosted by Metanomics, “an active community with a passion for exploring the uses and issues related to virtual worlds.” Metanomics takes a serious look at virtual worlds and the evolving use of virtual world technologies. I’m excited to be the guest on tomorrow’s show where we will be discussing free speech and privacy policy, online child protection concerns, and issues related to cyber-bullying and anonymity as they effect online communities and virtual worlds.
Those of you who already have Second Life avatars can be a member of the “live studio audience” at the Metanomics virtual studio, which you can find in Second Life here. Or you can watch and participate in the online broadcast at the Metanomics website where you can text comments to other audience members or ask questions. A video of the virtual broadcast will be made available later and I will post it (or a link to it) here.
In terms of background material, here are a few things I’ve penned that deal with issues that might come up on the show: Continue reading →
While I was away at Oxford University last week, a USA Today story ran entitled “Online Hate Speech: Difficult to Police… and Define.” The author, Theresa Howard, was kind enough to call me for comment on the issue before I left and I made two general points in response to her questions about how serious online hate speech was and how we should combat it:
(1)
“The Internet is a cultural bazaar. It’s the place to find the best and worst of all human elements on display.” What I meant by that, quite obviously, is that you can’t expect to have the most open, accessible communications platform the world has ever known and not also have a handful of knuckleheads who use it spew vile, hateful, ridiculous comments. But we need to put things in perspective: Those jerks represent only a very, very small minority of all online speech and speakers. Hate speech is not the norm online. The overwhelmingly majority of online speech is of a socially acceptable — even beneficial — nature.
(2)
“When advocacy groups work together and use the new technology at their disposal, they have a way of signaling out bad speech and bad ideas.” What I meant by that was that the best way to combat the handful of neanderthals out there that spew hateful garbage is to: (a) use positive speech to drown out hateful speech, and (b) encourage websites to self-police themselves or use community policing techniques to highlight hateful speech and encourage the community to fight back. Importantly, this process is reinforcing. When online communities “flag and tag” objectionable or hateful content, it is easier for better site policing to occur, for social norms to develop, and for better speech to be targeted at that bad speech. Moreover, these new tools and methods are helping groups like the Anti-Defamation League and the National Hispanic Media Coalition to better identify hate speech and then channel their collective energy and efforts to unite the rest of the online community against those hateful speakers and sites.
I think this approach makes more sense than calling in governments to police online hate speech through censorship efforts. This is especially the case because, at the margins, “hate speech” can often be tricky to define and, at least in the United States, regulatory efforts could conflict with legitimate free speech rights. Again, the best way to deal with and marginalize such knuckleheads is with more and better speech. Fight stupidity with sensibility, not censorship.
I’ll be heading to Oxford University this week to participate in an Oxford Internet Institute (OII) forum on the subject of “Child Protection, Free Speech and the Internet: Mapping the Territory and Limitations of Common Ground.” It’s being led by several experts from the OII as well as my good friends John Morris and Leslie Harris of the Center for Democracy & Technology (CDT). The aims of this forum are:
- To facilitate a dialogue between NGOs campaigning to protect respectively, child protection and children’s rights online, and freedom of speech and other civil liberties online.
- To promote a better understanding of each others’ positions, to share perspectives and information with a view to identifying areas of common ground and areas of disagreement.
- To identify any shared policy goals, and possible tools to support the achievement of those goals.
- To publicize the findings of the forum in international policy debates about Internet governance and regulation.
Conference participants were asked to submit a 2-3 pg summary of their views on a couple of questions that will be discussed at this event. I have listed those questions, and my answers, down below the fold. It’s my best attempt to date to succinctly outline my views about how to balance content concerns and free speech issues going forward. Continue reading →
In a week in which neutrality regulation is making a lot of news, I hope that Robert Hahn and Hal Singer’s terrific new study, “Why the iPhone Won’t Last Forever and What the Government Should Do to Promote its Successor” gets some attention. It provides a wonderful overview of how dynamically competitive the mobile marketplace has been over the past two decades and why critics are wrong to get worked up about the short-term “dominance” of Apple’s iPhone. Here’s the abstract of their paper:
Because of the overwhelming, positive response to the iPhone as compared to other smart phones, exclusive agreements between handset makers and wireless carriers have come under increasing scrutiny by regulators and lawmakers. In this paper, we document the myriad revolutions that have occurred in the mobile handset market over the past twenty years. Although casual observers have often claimed that a particular innovation was here to stay, they commonly are proven wrong by unforeseen developments in this fast-changing marketplace. We argue that exclusive agreements can play an important role in helping to ensure that another must-have device will soon come along that will supplant the iPhone, and generate large benefits for consumers. These agreements, which encourage risk taking, increase choice, and frequently lower prices, should be applauded by the government. In contrast, government regulation that would require forced sharing of a successful break-through technology is likely to stifle innovation and hurt consumer welfare.
“New technologies often seemingly emerge from nowhere, but also frequently lose their luster quickly,” Hahn and Singer go on to argue. As evidence they cite the recent examples of Second Life and MySpace, which were hyped as potentially become dominant providers in their respective areas just a few years ago, but now are subjected to intense competition. “[T]he the mobile handset market is subject to these same disruptive forces,” they argue: Continue reading →
Yesterday up on Capitol Hill, I hosted a very interesting discussion about “Next-Generation Parental Controls & Child Safety Efforts.” I thought I’d provide a quick recap here for those who couldn’t attend. [Note: audio of the event will be up shortly at the link above and transcript is in the works.] The event featured Steve Crown, Vice President and Deputy General Counsel of Microsoft Corporation’s Entertainment & Devices Division; Dane Snowden, Vice President of External & State Affairs of CTIA – The Wireless Association; and Stephen Balkam, Chief Executive Officer of Family Online Safety Institute.
Steve Crown of Microsoft kicked the show off with a terrific overview of some the current and next-generation parental control tools and awareness efforts that Microsoft is deploying to help empower parents and keep kids safer both online and in gaming environments. Crown outlined Microsoft’s 5-prong strategy regarding how they have approached these issues on the gaming front, and I think it represents an excellent model of how sensible industry self-regulation and “best practices” can go a long way toward addressing concerns that many parents and policymakers have. The five strategies Crown outlined were: (1) Respect both the freedom of game creators and freedom of choice for game consumers; (2) empower parents with ratings, tools, and information; (3) use independent ratings (like the ESRB) to label content; (4) require all games be rated before they can be used on a platform so that parents can implement blocking controls; and (5) respect regional laws and rating systems in different parts of the globe.
In my book on
Parental Controls & Online Child Safety: A Survey of Tools & Methods, I’ve documented many of the empowerment tools that Microsoft has deployed in recent years to make this empowerment vision a reality. One of the most important things MS does on its XBox 360 console is to provide an immediate “out-of-the-box” prompt for parents to set up parental controls and establish other limitations on online chat, spending, or Internet access. Microsoft announced another cool new feature in November 2007, the “Family Timer.” It lets parents limit how and when children play games on the console. This is similar to the time management tools Microsoft offers in its Vista operating system for PCs. Incidentally, my wife has asked me to start using the Family Timer on our XBox — not for our kids, but for me! This particular 40-year-old man is still a big kid at heart.
Continue reading →
Whatever you think about this messy dispute between AT&T and Google about how to classify web-based telephony apps for regulatory purposes — in this case, Google Voice — the key issue not to lose site of here is that we are inching ever closer to FCC regulation of web-based apps! Again, this is the point we have stressed here again and again and again and again when opposing Net neutrality mandates: If you open the door to regulation of one layer of the Net, you open up the door to the eventual regulation of all layers of the Net.
You might not buy that story initially but if you doubt it then I invite you to read just about any history of American broadcast media regulation over the course of the past seven decades. (You might want to start with Krattenmaker & Powe’s Regulating Broadcast Programming or Jonathan Emord’s
Freedom, Technology, and the First Amendment). In such histories you will find a common theme: Once regulation of media and communications platforms gets underway, the natural progression of things is uni-directional — Up! That is, when new questions arise about how to “deal with” a new service, network, platform, or technology, the general tendency is the “regulate up” instead of “deregulating down.” When regulators are given a greater say about the contours of markets as technologies evolve and/or converge, we shouldn’t be surprised that their first instinct is to “bring them into the fold.”
And, sadly, that is exactly what is likely to occur eventually with Google Voice. The only really interesting question is what else regulators start mucking with in the search and applications layer once they get their hands on it. And if you still insist that I am being overly paranoid about “regulatory creep” and the prospect of the FCC gradually transforming into the Federal Information Commission, then consider what the agency had to say about cloud computing in paragraph 60 (pg. 21) of the FCC’s recent Wireless Innovation and Investment Notice of Inquiry, which was launched on August 27th: Continue reading →
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