regulation
Latest
The man who defined net neutrality is running for office in New York
Many will tell you to run for office if you really want to change the political status quo. Tim Wu, the professor who defined the term "net neutrality," has clearly taken that advice to heart -- he's now running for lieutenant governor in New York state. As he explains to the Washington Post, he sees this as a chance for state governments to get more of a say in both net neutrality issues and telecom mergers. People aren't happy with "concentration in the media industries and tech industry into political strength," Wu says.
US government wants tighter controls for in-car navigation
Many are in favor of rules that prevent texting while driving, but in-car navigation is a murkier legal area -- how do you minimize distractions without limiting the ability to get from point A to point B? Like it or not, the US government may settle that debate before long. The proposed Grow America Act would let the National Highway Traffic Safety Administration (NHTSA) set rules for dash-mounted GPS units, smartphone mapping apps and anything else you'd use for driving directions. While it's not clear what the NHTSA would do with its power, the Department of Transportation's voluntary guidelines ask for limits on eye-catching visuals (think videos) and interaction times; don't be surprised if these enter the rulebooks.
Canadian airlines will let you use devices during takeoff and landing
American airlines may let you use your mobile devices at every stage of flight, but their Canadian counterparts still insist that you power down until you're in mid-air. That's going to change shortly, though: Transport Canada has greenlit the use of electronics during takeoff and landing. As long as carriers can show that passenger gadgets in airplane mode (that is, with wireless off) won't interfere with avionics, you'll get to use your gear at any time. Of course, you'll get to switch on WiFi for most of a given trip if you're on an aircraft with internet access.
Germany wants Google to stop sharing customer data between services
Google's privacy-related woes in Europe aren't over just because France has issued a fine over a lack of transparency -- if anything, they're getting worse. Germany now says it will order the search firm to stop pooling user data, such as search histories and video viewing habits, under unified accounts. This strategy gives Google overly "in-depth" profiles of its customers and denies the right to limit what the company can see, according to a data protection officer speaking to Bloomberg.
Near collision with airliner prompts US to crack down on drone use
The FAA might not have full legal authority to regulate drones just yet, but it at least has some evidence to support its case for tighter restrictions. The administration's Jim Williams has revealed that an unmanned vehicle nearly smacked into a US Airways jetliner in Florida this past March; it came so close that the pilot was initially convinced there would be damage. While the remote-controlled aircraft was already violating rules by flying at 2,300 feet (it had to stay below 400 feet), Williams used the incident to argue for a better-safe-than-sorry approach to drone rules. It could be "catastrophic" if one of these vehciles gets sucked through an engine, he said.
Mozilla asks the FCC to rethink net neutrality with content providers in mind
Like some, Mozilla is concerned that the FCC's second take on net neutrality won't be enough to guarantee that internet service providers (ISPs) treat all content fairly. To that end, the Firefox developer has just given the FCC a solution of its own: regulate the relationship between ISPs and "remote delivery services" like Dropbox and Netflix. If these content hosts were subject to the same common carrier rules as phone lines, Mozilla argues, ISPs wouldn't be allowed to discriminate against incoming services by blocking them or slowing them down.
FTC: State bans on Tesla's direct sales model are hurting competition
Tesla has just gained a valuable ally in its battle to sell cars directly to customers: the Federal Trade Commission. The regulator now argues that state bans on direct sales are "protectionist," propping up the traditional dealership business model rather than protecting companies from unfair abuses by automakers. It's the "competitive process" that should decide which sales model is better, not the law. The FTC also doesn't buy the notion that Tesla's modest US sales (22,500 in 2013) are a threat to the wider industry (15 million). It believes that the only thing at risk is the old way of buying cars, which might not be necessary now that customers can skip the sales pitch and do most of their research online.
China to restrict game sales based on content like gambling, violence
Since China temporarily lifted its ban on foreign video game consoles in January, it was a matter of time before the government offered new rules to regulate console and game distribution. According to a Shanghai government release translated by Games in Asia, those rules will dictate the kind of content that won't be allowed to be sold in the country, such gambiling-related game features. Additionally, anything deemed threatening to "China's national unity, sovereignty, or territorial integrity" and content that "instigates racial/ethnic hatred" won't be distributable in the country. Games also may not promote "obscenity, drug use, violence or gambling," as well as cults and superstitions. Approved games cannot violate China's constitution, nor can they harm its culture, traditions and public ethics. The policies state that foreign companies must work with a local company to produce consoles within the Shanghai Free Trade Zone, such as Sony's PlayStation 4 or Microsoft's Xbox One, the latter of which arrived in 26 more regions just last month. Plus, games in China must go through an approval process with Shanghai's culture department, which will take "no longer than 20 days." This applies to game updates with new content, such as DLC, even if the game itself was already approved. Lastly, all console games will be required to have a simplified Chinese version, so publishers won't be able to simply re-sell Hong Kong and Taiwan versions of their games. [Image: Microsoft]
Sorry, folks: powdered alcohol isn't legal in the US just yet
We hope you weren't planning on inhaling indulging in powdered alcohol this fall -- it looks like the US government was a little too hasty in giving the dry drink the A-OK. The Alcohol and Tobacco Tax and Trade Bureau tells CNN that it approved Lipsmark's upcoming Palcohol "in error." As to why? Lipsmark says that there was a "discrepancy" as to the levels of powder in each bag, and that it had to resubmit the labels for approval. It doesn't have a new launch window, but it sees the feds' change of heart as just a temporary setback.
EU to require that EVs and hybrids make noise to alert pedestrians
The EU has been talking for years about requiring pedestrian alert noises on electric cars and hybrids, and some vehicles already do. In the future, however, those warning systems will be mandatory. The European Parliament has backed a proposal that would require sound-making hardware in new electric vehicles by July 2019. The European Commission would lock down the final rules by July 2017. Whether or not you're a fan of the potential regulation, gas-powered vehicles aren't being let off the hook. Parliament also wants to start lowering conventional engine noise levels as soon as July 2016, so every Europe-friendly automaker will have to be mindful of audio before too long. [Image credit: Harry_NL, Flickr]
Tesla strikes deal to keep selling its electric cars in Ohio
Tesla has lately been losing its fight to keep selling cars directly to customers, but it just negotiated an important truce. The EV maker has reached a tentative deal with Ohio that lets it conduct direct sales in the state through a maximum of three stores. If passed into law, the agreement would also prohibit other car companies from trying the same strategy. The compromise doesn't completely satisfy a rapidly growing Tesla, but it gives both sides a chance to see how the middleman-free approach works without upsetting the status quo for franchise dealerships. It may also help achieve stalemates in New York and other states that are threatening to ban Tesla's business model outright. [Image credit: Michael Kappel, Flickr]
SEC investigation of Bitcoin-based stock sale could lead to broader regulation
In July of last year gambling site SatoshiDice.com was sold by its creator for 126,315 BTC (Bitcoins) which was roughly $11.5 million at the time. The deal, which was executed on the Romania-based Bitcoin exchange MPEx, has drawn the interest of the Securities and Exchange Commission (SEC). The agency sent MPEx operator Mircea Popescu a letter requesting paperwork related to the SatoshiDice sale, including any contracts signed with Erik Voorhees, the founder of the gambling site. The SEC isn't necessarily saying either MPEx or SatoshiDice broke the law, but it's in the process of deciding whether or not these sorts of stock sales executed as Bitcoin trades are legal in the US. If the federal government finds that American financial law has been violated, it could have serious consequences for the future of the virtual currency.
EU law to require that all cellphones charge through a common standard
The EU successfully pushed for voluntary adoption of a cellphone charging standard a few years ago, and it's now close to making that standard mandatory. The European Parliament has voted in favor of a draft law requiring that cellphones work with a common charger. Provided the Council of Ministers green lights the regulation, EU countries will have until 2016 to put it into their local laws; phone makers will have until 2017 to change their hardware. The charger requirement is a formality when many phone designers already support the concept, but it could force some companies to shape up -- and spare more Europeans from tossing out power adapters when they switch handsets. [Image credit: Thierry Monasse/AFP/Getty Images]
New Jersey is the latest state to ban Tesla's direct-to-customer car sales
Tesla's direct-to-customer sales model just hit another big roadblock. New Jersey's Motor Vehicle Commission has voted in favor of a rule banning direct car sales, effectively kicking Tesla out of the state as of this April. For those keeping score, this is the EV maker's third such defeat, following similar moves by Arizona and Texas -- while Tesla won a legislative battle to go dealer-free in North Carolina, it appears to be losing the war. Not surprisingly, the company is furious. It accuses Governor Chris Christie of not just reneging on a promise to delay the rule for the sake of debate, but of speeding things up to please dealerships that fear real competition. Whether that's an accurate representation or just corporate bluster, the ban will undoubtedly hurt Garden State residents who want a wider selection of eco-friendly rides.
Judge rules that flying commercial drones is legal, for now (update: FAA appeals decision)
The Federal Aviation Administration may want to go through some rigorous testing before it allows commercial drone flights on a broader basis, but the National Transportation Safety Board isn't willing to wait that long. One of the Board's judges has determined that the FAA currently has no authority to regulate drones; the move effectively makes drones legal, and it spares a pilot from a $10,000 fine for shooting a commercial with his unmanned aircraft. The Administration has no rules on the books for such vehicles, according to the judge, and the 2007 policy notice it has been using to ban drones isn't binding. There's still a possibility that the FAA will create enforceable rules down the line. For now, though, Amazon and UPS don't have to worry about legal threats to their delivery drone plans. Update: The FAA is appealing the judge's decision, and according to the press release this "has the effect of staying the decision until the Board rules." Basically, don't expect Netflix's Drone 2 Home deliveries to take off anytime soon.
Federal Reserve has no authority to regulate Bitcoin, according to Chairwoman
Well, it doesn't appear that the Federal Reserve will be stepping in to regulate the volatile virtual currency Bitcoin any time soon. According to the new Fed Chairwoman Janet Yellen, the central banking system has no authority over Bitcoin. In testimony before the Senate Banking Committee she said that, "this is a payment innovation that is taking place entirely outside the banking industry." Without a central issuer or operator it's incredibly difficult to successfully regulate and supervise these types of currencies. Don't think that Bitcoin is untouchable, however. Yellen went on to say that, "it certainly would be appropriate, I think, for Congress to ask questions about what the right legal structure would be for virtual currencies that involve nontraditional players." Legal efforts to restrict Bitcoin have already taken off in other countries, and Senator Joe Manchin (a Democrat from West Virginia) has suggested banning the crypto-currency in the US. While an outright ban of Bitcoin seems unlikely given its growing acceptance, Japan's Ministry of Finance has indicated that it could work with other nations to establish a set of international regulations. If a set of rules could be agreed upon at an international level, it could prevent people from taking advantage of loopholes that only serve to encourage instability and abuse. The public posturing and legal wrangling is hardly surprising following the shutdown of Mt. Gox, the largest Bitcoin exchange in the world. The firm currently holds 744,000 Bitcoins (roughly $423 million), and the future of those funds is shaky at best. Whether or not the currency continues its ascension to legitimacy may rest on the results of the Fed's investigation into Mt. Gox. But it seems increasingly likely that the government will step in to put some restrictions on Bitcoin, sooner rather than later. (Photo by George Frey/Getty Images)
US Senator asks for a Bitcoin ban, but don't hold your breath
Many will tell you that Bitcoin stands on shaky legal ground. Senator Joe Manchin, however, believes it's outright dangerous -- to the point that he has sent a letter to regulators asking them to ban the digital currency. There's no regulation, he says, and Bitcoin's mix of anonymity and irreversibility is appealing to a shady crowd; the Senator believes that black markets and thieves operate with relative freedom. Manchin also points out that the digital cash is prone to both deflation and surprises that risk creating chaos, such as the recent shutdown of the Mt. Gox exchange. Don't cash out any virtual savings just yet, though. The letter doesn't pay much attention to legitimate commercial uses or those countries where Bitcoin is legal. It also plays up the "disruptive" effect on the economy; as Business Insider notes, the currency's worldwide market cap has never ventured beyond a comparatively small $14.5 billion. Whether or not you believe the new currency is safe, we'd add that the letter doesn't automatically translate to new regulations. Even if officials agree to Manchin's request, it could still be a long while before any Bitcoin ban takes effect. [Image credit: Third Way Think Tank, Flickr]
Europe pushes for a less US-dominated internet
The European Union is more than a little jittery about a US-centric internet after learning the extent of the country's mass surveillance. Accordingly, the European Commission has proposed a whole host of measures that would shift control to the international community. It wants a firm schedule for globalizing internet infrastructure, more power for the Internet Governance Forum, fewer conflicts between countries' internet laws and a venue for improving transparency policies. The regulator doesn't want to give too much clout to any one group, though -- Commission VP Neelie Kroes prefers a "multi-stakeholder" approach that lets innovators move at their own pace. The proposal still needs support from both the Council of the EU and the European Parliament before it can take effect, but it could give Europe a united front when it's pushing for changes in internet policy. [Image credit: The Council of the European Union]
China drafting new rules for consoles, disallows products 'hostile to China'
Roughly one week after China temporarily lifted its ban on foreign-made video game consoles, the government is looking to draft new rules for regulation, Bloomberg reported. Among the principles that govern the distribution of game consoles under the rules of the free trade zone, head of China's Ministry of Culture Cai Wu said "things that are hostile to China, or not in conformity with the outlook of China's government, won't be allowed." "We want to open the window a crack to get some fresh air, but we still need a screen to block the flies and mosquitoes," Wu added. Whether that indicates further regulation in China on the distribution of games based on their content is unknown. China started its plans last year to revoke the console ban, which began in 2000. Following the ban's temporary suspension last week, the stock prices for both Sony and Nintendo saw small increases.
FCC Chairman Tom Wheeler tells carriers to get on board with his plan to let people unlock their phones... or else
Congress, the White House and the FCC's new chairman Tom Wheeler have all come out in favor of setting our phones free, but the telcos who can actually grant our handsets liberty have been slow to heed the governmental call. Because of that, Wheeler sent a veiled threat letter to the CTIA imploring it to amend its Consumer Code to include a policy ensuring our rights to get our phones unlocked once we're off contract. Apparently, the FCC has been working with the CTIA for eight months to craft a policy that requires telcos to: provide a clear, concise and readily accessible policy on unlocking unlock mobile devices for legitimate owners of those devices once their service contract has been fulfilled notify customers when their devices are eligible to be unlocked and/or automatically unlock those devices for free unlock devices or provide an explanation of a denial of any unlock requests within two days unlock devices for military service men and women upon deployment The two sides are in agreement with four of the five requirements, with the only sticking point being the bit about service providers having to notify us when our devices are eligible to be unlocked. Tom Wheeler, however, isn't willing to see The Wireless Association's side of things because "absent the consumer's right to be informed about unlocking eligibility, any voluntary program would be a hollow shell." Furthermore, he wants the new unlock policy put in place before the holidays this year, whether by the CTIA's voluntary or the FCC's regulatory action. Looks like we'll be getting phone freedom for Christmas this year. We like the sound of that.
