Top Stories

  • Republican Sen. Josh Hawley of Missouri will introduce a bill today modifying section 230 of the Communications Decency Act to prohibit social media platforms from exhibiting political bias in content moderation or risk losing the immunity that exempts them from liability for the content posted on their sites. Called the “Ending Support for Internet Censorship Act,” the bill would be the first proposed legislation aimed at modifying the section as lawmakers, including Sen. Ted Cruz (R-Texas) and Speaker of the House Nancy Pelosi (D-Calif.), ramp up criticisms of the protections. (The Verge)
  • The Federal Communications Commission said it will vote at its July meeting on whether it should begin auctioning a band of largely unused 2.5 GHz spectrum that had been reserved for education purposes in an effort to expand fifth-generation wireless networks. Chairman Ajit Pai said the proposal would “allow for more efficient and effective use of the airwaves” and advance the United States’ leadership in 5G. (Reuters)
  • House Financial Services Committee Chairwoman Maxine Waters requested Facebook Inc. halt development of its forthcoming cryptocurrency, called Libra, until Congress and regulators can “examine these issues and take action.” Waters joins a growing group of lawmakers who are raising concerns about the new project, including Financial Services ranking member Rep. Patrick McHenry (R-N.C.), Sen. Sherrod Brown (D-Ohio) and Sen. Mark Warner (D-Va.) (CNBC)

Chart Review

Events Calendar (All Times Local)

06/19/2019
House Ways & Means Committee’s hearing on the 2019 trade policy agenda, including negotiations with China 9:30 am
Senate Finance Committee’s hearing on the president’s trade policy agenda and the United States-Mexico-Canada agreement 10:15 am
SHLB Coalition’s webinar discussion scoring the broadband proposals in Congress, feat. Public Knowledge and NTCA 1:00 pm
Broadband USA’s June webinar on building smart cities and communities at a regional level 2:00 pm
06/20/2019
American Antitrust Institute’s 20th annual policy conference 8:30 am
American Enterprise Institute’s conversation with Rep. Stivers on patent reform in 2019 8:30 am
House Small Business Committee’s hearing on the importance of accurate Census data 10:00 am
George Washington University’s Trade and Data Governance Hub’s panel discussion on digital trade, feat. Sen. Ron Wyden 12:00 pm
06/21/2019
FCC Technology Advisory Council meeting 10:00 am
06/24/2019
FCC’s Upper Midwest Rural Tour
06/25/2019
FCC’s Upper Midwest Rural Tour
06/26/2019
FCC’s Upper Midwest Rural Tour
View full calendar

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General

Amazon leases 15 more Boeing planes to expand air cargo network by 28%
Paul Sawers, VentureBeat

Amazon has announced plans to expand its air cargo network by more than a quarter to 70 planes by 2021, after signing a deal with GE Capital Aviation Services (GECAS) to lease 15 Boeing 737-800 aircraft.

‘I feel like a target’: US trade war worries tech workers of Chinese descent
Julia Carrie Wong, The Guardian

Technology workers of Chinese descent say that they are experiencing backlash due to the US-China trade war and fears over Huawei, according to a survey commissioned by the Guardian through Blind, an app allowing anonymous workplace communication.

Government watchdog says cost of NASA rocket continues to rise, a threat to Trump’s moon mission
Christian Davenport, The Washington Post

The rocket NASA plans to use to get astronauts to the moon by 2024 has for years suffered significant cost overruns and schedule delays. But those problems are even worse than originally thought, according to a federal watchdog report expected to be released Wednesday.

Uber Eyes Acquisition of Mighty AI for Self-Driving Car Effort
Amir Efrati and Nick Wingfield, The Information

Uber has held recent talks to buy Seattle-based Mighty AI, a startup that helps autonomous vehicle developers train their computer vision algorithms to better identify objects on the road, said three people briefed on the discussions. The potential deal is another sign of a looming shakeout in the self-driving car field, where companies have collectively raised billions of dollars to tackle similar problems.

Target Outages Illustrate Retail’s Growing Tech Complexity
Sara Castellanos, The Wall Street Journal

The technical problems at Target Corp. stores over the weekend illustrate the challenge of unifying a large retailer’s technology infrastructure with its bricks-and-mortar presence and underscore the importance of having trusted vendors and backup plans.

The future of diversity and inclusion in tech
Megan Rose Dickey, TechCrunch

Silicon Valley is entering a new phase in its quest for diversity and inclusion in the technology industry. Some advocates call this part “the end of the beginning,” Code2040 CEO Karla Monterroso tells TechCrunch.

U.S. Futures Mark Time Before Fed as Bonds Decline: Markets Wrap
Todd White, Bloomberg

U.S. equity futures adopted a holding pattern on Wednesday while European stocks and Treasuries slipped as investors prepare for the latest Federal Reserve meeting to conclude, with anticipation growing that policy makers will signal a readiness to lower rates.

Intellectual Property and Antitrust

Activists urge Google to break up before regulators force it to
Paresh Dave, Reuters

Shareholder activists want Google parent Alphabet Inc to break itself up before regulators force the world’s biggest internet ad seller to split into different pieces. SumOfUs, a U.S.-based group that aims to curb the growing power of corporations, is set to make that proposal at Alphabet’s annual shareholder meeting on Wednesday at an auditorium at the company’s offices in Sunnyvale, California.

Andrew Yang says breaking up big tech won’t solve ‘fundamental problems’ of social media
The Hill

Entrepreneur and Democratic presidential candidate Andrew Yang warned Tuesday that breaking up big tech companies, an idea that has drawn support from fellow 2020 contenders, wouldn’t address the fundamental problems of social media.

Microsoft’s Missteps Offer Antitrust Lessons for Tech’s Big Four
Dina Bass, Bloomberg

Of the five biggest tech companies in the U.S., Microsoft is the only one that isn’t currently in the crosshairs of U.S. antitrust authorities. The software giant already took its turn through the regulatory wringer starting two decades ago, a years-long confrontation that resulted in the finding that the Redmond, Washington-based company had illegally maintained its monopoly for personal-computer operating-system software.

Google is investigating claims it steals lyrics from Genius
Corinne Reichert, CNET

Google has responded to reports that it’s stealing lyrics from Genius, explaining how it finds lyrics to show on its search pages. Google conceded its lyrics feature has been “under scrutiny this week,” but said it pays music publishers for the rights to display their lyrics.

Telecom, Wireless and TV

Huawei Sanctions Evidence Deemed Too Risky for China to See
Patricia Hurtado, Bloomberg

Some evidence used to charge Huawei Technologies Co. with bank fraud and violating U.S. sanctions on Iran was deemed so sensitive that the Chinese telecom giant’s lawyers must now take unusual steps to review the information — and even then, the company may never see it.

Wisconsin Assembly passes 5G technology regulation bill
The Associated Press

The Wisconsin Assembly has passed a bill that would limit the regulation of 5G, or “small cell,” technology. The bill approved Tuesday now heads to Gov. Tony Evers for his consideration.

Mobile Technology and Social Media

Facebook Token Runs Into Instant Political Opposition in Europe
Alastair Marsh, Bloomberg

Facebook Inc.’s ambitious plan to roll out its own cryptocurrency ran into immediate political opposition in Europe, with calls for tighter regulation of the social-media giant. French Finance Minister Bruno Le Maire said the digital currency known as Libra shouldn’t be seen as a replacement for traditional currencies.

Facebook Warns It Can’t Fully Solve Toxic Content Problem
Joe Mayes and Stefan Nicola, Bloomberg

Facebook Inc. is under pressure to rid its site of hate speech and fake news but warned it can’t build a platform impervious to human nature. “This is not a fully solvable problem,” Carolyn Everson, a vice president responsible for marketing at the social media giant, said on a panel Tuesday at the Cannes Lions advertising festival in the south of France.

Twice burned: Winklevii overshadowed by Zuckerberg yet again
Barbara Ortutary, The Associated Press

Can a Libra and two Geminis get along? How about Facebook and the Winklevoss twins?

Cybersecurity and Privacy

House votes against curtailing warrantless collection of Americans’ data
Emily Birnbaum, The Hill

The House on Tuesday rejected an amendment that would have limited the government’s ability to collect Americans’ personal communications without a warrant. The House voted 175-253 against the amendment introduced by Reps. Justin Amash (R-Mich.) and Zoe Lofgren (D-Calif.) amid opposition from national security hawks.

State attorneys general demand that Congress take action on election security
Maggie Miller, The Hill

Twenty-two Democratic state attorneys general demanded Tuesday that Congress take action to secure election systems ahead of the 2020 vote. The group of attorneys general, led by Minnesota’s Keith Ellison, sent a letter to the leaders from each party of the Senate Appropriations Committee and the Senate Rules Committee begging them to work together to bolster election security in the states, including passing legislation.

Maryland Gov. Hogan sets up new computer security office to protect state networks
Ian Duncan, The Baltimore Sun

Gov. Larry Hogan signed an executive order Tuesday designed to strengthen the state’s defenses against cyber attacks, appointing a single official with responsibility for computer security at all state agencies. The order creates the post of Maryland Chief Information Security Officer, who will lead a security management office in the state’s IT department and chair a council that will coordinate cyber security efforts among state agencies.

China’s Most Advanced Big Brother Experiment Is a Bureaucratic Mess
Bloomberg

The city of Suzhou, known as “the Venice of the East” for its web of intricate waterways, captured the imagination of Marco Polo when he journeyed through China more than seven centuries ago. Today it’s drawing attention for another grand project: a sprawling network of databases designed to track the behavior of China’s population.

How 13 Became the Internet’s Age of Adulthood
Julie Jargon, The Wall Street Journal

At 13, kids are still more than a decade from having a fully developed prefrontal cortex, the part of the brain involved in decision-making and impulse control. And yet parents and educators unleash them on the internet at that age—if not before—because they’re told children in the U.S. must be at least 13 to download certain apps, create email accounts and sign up for social media.

Opinions, Editorials and Perspectives

New York AG: Sprint, T-Mobile merger would raise prices and hurt consumers
Letitia James, USA Today

Whether talking about cars, baby food or cellphones, competition has always been a driver of innovation and lower prices. That’s why I and nine other attorneys general have sued to halt the merger of T-Mobile and Sprint.

Facebook and Google Don’t Need Your Data to Make Lots of Money
Gabriel Weinberg, The New York Times

It’s easy to see tech companies as a monolithic villain in the battle over consumer privacy. But in fact, there are countless tech companies, like mine, that believe that people have a fundamental right to avoid being put under surveillance and that it should be easy for them to exercise that right.

Facebook Under Oath: You Have No Expectation of Privacy
Charlie Warzel, The New York Times

In a San Francisco courtroom a few weeks ago, Facebook’s lawyers said the quiet part out loud: Users have no reasonable expectation of privacy.

Sprint Deal Now a Regulatory Joke
Holman W. Jenkins, Jr., The Wall Street Journal

If you thought the Justice Department’s handling of the AT&T and Time Warner merger was an embarrassment, check out its act in the pending tie-up of Sprint and T-Mobile. To recap, while insisting his actions were unrelated to Donald Trump’s denunciation of the deal during the campaign, Justice’s antitrust chief Makan Delrahim sued to stop the AT&T merger on flimsy grounds.

Research Reports

CTA Quarterly Outlook Reports – Q1 2019
Consumer Technology Association

A unique offering in the marketplace, CTA’s quarterly outlook reports measure current and future performance of key CE categories by providing analysis, forecasting and perspective on a range of measures.

Morning Consult