regulation
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China adding new restrictions on online games August 1
Though China's online game market continues to exponentially increase in value, the nation's Ministry of Culture plans on slapping another round of restrictive regulations on MMOs and other online titles on August 1. The new regulations are designed to protect minors from "unwholesome" content while playing online, while also introducing measures which will prevent them from succumbing to the sweet, sweet siren song of online gaming addiction. One major rule in the new regulations limits the purchase of in-game goods and services to virtual cash -- a regulation which seems to do away with the microtransaction business model altogether. Moreover, minors aren't permitted to conduct virtual transactions whatsoever. So, when you see that level 80 Mage that's still sporting his starting gear, don't be too confused -- he's probably just 14 years old.
AT&T considering cutting its spending on U-Verse?
AT&T could be ready to join Verizon in pulling back spending on its TV business, as the Wall Street Journal reports CEO Randall Stephenson said the company would have to "re-evaluate whether we put shovels in the ground" in the face of new regulation on broadband internet providers. Current targets see U-Verse increasing its service area from the current 24 million homes to 30 million in 2011, but that's now at risk. Beyond just digging ditches and installing new boxes to bring services to different neighborhoods we'd like to see further expansion on features (Xbox 360, c'mon AT&T, especially with the new model) while some have complained about still being restricted to only one HD channel at a time in some areas and of course, there's value in competition for local cable providers.
Google, Verizon, Comcast, and more band together to form tech (and policy) advisory group
BITAG doesn't exactly roll off the tongue, as far as spoken acronyms go, but the Broadband Internet Technical Advisory Group (also goes by TAG, for short) is looking to make (radio) waves. Facilitated by former FCC Chief Technologist (and University of Colorado at Boulder Adjunct Professor) Dale Hatfield, the group aims to "develop consensus on broadband network management practices and other related technical issues that can affect users' experience," which largely leads to addressing technical issues and making suggestions to policymakers. The group runs the gamut of major players in the broadband industry, including AT&T, Cisco, Comcast, DISH, EchoStar, Google, Intel, Level 3, Microsoft, Time Warner Cable, and Verizon. Naturally, the aforementioned companies already on board are lauding the move, and for its part the NCTA is happy to see a forum for tech and engineering experts to openly discuss issues and policies. Providing the counterargument would be the folks at DSL Reports, who show reserve that this may end up being nothing more than "policy dog and pony show" to avoid stricter government regulations on network neutrality. At this point that remains to be seen, as this organization doesn't seem to have even hit infancy yet. Expect more in the coming weeks as it continues to form and attempts to organize. We submit for your perusal the press release, just after the break.
FCC leaves out the 'effective competition' description for the wireless industry
Make of this what you will, but when the FCC recently released its report on the state of competition in the wireless industry, it left a few choice words out. Namely, it failed to describe the industry as having "effective competition" for the first time since 2002. The report -- which covers the period of 2008 and part of 2009 -- could signal the government is getting ready to regulate and impost policies to encourage and increase competition in the wireless industry. AT&T's senior vice president of federal regulatory policy, Robert Quinn, said that the move toward more regulation is "unwarranted," while Verizon's Kathleen Grillo said that the "facts" have already shown that there is, in fact, enough competition in the industry. Regardless, the report actually fails to come to a conclusion on the whole matter, leaving the FCC's options pretty open at this point, so we're going to have to keep an eye on the boys.
FCC task force seeks to squash 'bill shock,' give you the 411 on impending overages
Call us crazy, but it seems as if the FCC has been earning its keep of late, and the toiling continues today with an effort meant to address "bill shock." For those unaware, bill shock is a phenomena on par with bitter beer face in terms of significance, and it typically occurs when you accidentally roam internationally, text well beyond your monthly limit or burn through your minutes within the first week of your billing period. 'Course, some would argue that you -- as a functioning human being -- should keep tabs on how often you use your own mobile, but we wouldn't kvetch with a heads-up here and there so long as these alerts are cheap and easy to implement. As of today, the Consumer Task Force is listening for solutions, and while some carriers already ping you when you leave the country and are about to incur severe roaming charges, that practice is far from uniform. Too bad such a service would essentially nix your ability to play the ignorance card when you get back from that jaunt to Mexico, eh?
FCC ponders opening set top boxes to broadband connections, greater competition
The FCC has this week signaled its intent to snoop around set top boxes and how they may be improved. Prompted by "a lack of competition and innovation in this market," the regulator will look into ways it can encourage the proliferation of broadband internet access provision as well as stimulating further advances. One potential solution may involve compelling cable and broadband providers to supply "bridge" network interface devices that'll allow users to hook up their set top box to a modem and get groovy online. Whatever the final proposals are, and they'll take more definite shape in February, we're pleased to see the FCC take a proactive approach toward an industry it perceives to be stagnating. Our idea? Boxee Boxes for everyone!
NYT: GAPP and Ministry of Culture clashing over Chinese WoW regulation
The New York Times has brought its journalistic bear to the story earlier this week about China deciding not to approve WoW's release over there under new service provider Netease, and it seems what we thought was confusion between two agencies has turned into a war. On one side, you have the General Administration of Press and Publication (GAPP), who earlier this week said that Netease (WoW's local provider of Blizzard's game in China) could not legally be collecting subscriptions on a game that GAPP hadn't yet approved. But on the other side is the Ministry of Culture, who did approve WoW's content when it was run by The9, and are now saying that GAPP "overstepped its authority" by thinking it could "penalize online gaming" at all. Which means that the silly game of World of Warcraft has fallen smack dab in between two government agencies lobbying for power. In the past, says the NYT, GAPP has approved games pre-release, and the Ministry of Culture has overseen games once they've started running online. But WoW is a weird exception (it has been online for a few years already, and only went offline when Blizzard switched providers), and it looks like both agencies are grabbing for power and the sizable fees that come along with regulation. If they continue to clash, it'll be up to the State Council, China's cabinet, to determine who's in charge. And the NYT says if that happens, the Ministry of Culture has the edge, with lots of friends in the cabinet already. Meanwhile, Netease hasn't taken the game offline yet, apparently -- they still haven't been given official notice to do so. There's no word on how long this will take to shake out, but even China's players are tired of the fighting; they just want to get back into Azeroth and play. Thanks to everyone who sent this in!
ICANN set to allow non-Latin characters in domain names, half the world rejoices
In the name of cultural and linguistic diversity, our loyal comrades over at the ICANN are about to approve availability of domain names in non-Latin alphabets. That's right, Chinese and Japanese folks will finally be able to address their websites in their native tongue, as will fans of Arabic, Cyrillic, Greek or Hindi scripts. Basically, linguists of every type are finally invited to the interwebs party, a move described by ICANN chairman Peter Thrush as "the biggest change technically to the internet since it was invented." This follows an extensive two-year testing period for a translation engine that can convert your lazy Latin scribblings into the refined hieroglyphics of modern Cantonese. Pending approval this Friday, the first new domain names will start coming out in 2010, when we can expect a whole new wave of internet land grabbing. [Via Switched]
FCC net neutrality rules enter drafting process, face McCain challenge
Our old friends at the FCC have started to put words into action, as the net neutrality regulations proposed by Chairman Julius Genachowski have now entered the rule-drafting stage. The provision of most import here is that broadband providers would be forbidden from traffic discrimination or "management," and compelled to provide equal access and services to their users, irrespective of the type or bandwidth uptake of their internet activity. Of course, this is hardly a bumpless road, with Senator John McCain proposing the Internet Freedom Act of 2009, whose sole reason for existing will be to prevent the FCC from putting those rules through. Even if things do go smoothly, though, "reasonable network management" will still be an available recourse for telecoms, where it is necessary to block spam and illegal content, such as child pornography. Which sounds kinda like censorship to us. Look, we have no more interest in child porn than we do a pair of Lady Gaga Heartbeats, but any time we hear of internet providers having either the right or responsibility to block content, we get an uneasy feeling in the pit of our libertarian stomachs. Anyhow, the great big gears of regulation have finally started turning, and we can look forward to more political wrangling as the rules take shape over the coming months.
FCC formally launches inquiry into wireless competition
Well, we can't say we didn't see this one coming. At today's meeting, the FCC has said that it will be launching a formal inquiry into the wireless industry and specifically into certain business practices of the big four: AT&T, Sprint, T-Mobile USA , and Verizon Wireless. The commission hasn't yet detailed exactly how they're going to go about this, but you can bet they'll be looking into exclusivity deals between handset manufacturers and carriers. And who knows? They might be interested in the whole iPhone / AT&T / Google Voice conundrum, especially if it turns out that AT&T had a hand in dissing the app. According to Reuters, the agency is looking into "how competition affects consumers," with an eye towards further investigations into other areas, including cable and broadband. [Via Phone Scoop]
FCC to look into Google Voice, iPhone debacle next week?
The FCC's next open committee is on Thursday, and maybe -- just maybe -- we'll be able to get to the bottom of this whole "App Store / Google Voice rejection" mess. First, the committee plans to look into ways to "foster innovation and investment in the wireless communications market," issues related to "truth-in-billing," and exclusivity agreements between carriers and handset manufacturers, which critics say punish consumers in rural areas that the "big four" (Verizon, AT&T, Sprint, T-Mobile) don't serve. Also in the queue, according to Ars Technica, is the wireless open access docket, which will mostly be given over to Skype's inquiry into Apple's rejection of Google Voice for iPhone and its relationship to a "pending Petition filed by Skype to confirm a consumer's right to use communications software and attach nonharmful devices to wireless networks." And of course, all this goes down a few days after Apple, AT&T, and Google were required to respond to letters from the Commission inquiring about Apple's dissing the Google Voice app. If you've never had the opportunity to sit in one of these sessions, let us tell you -- they're incredibly exciting, fast-paced events. As always, the meeting will be broadcast live over Real Video -- hit the read link for details. [Via Ars Technica]
FCC queries AT&T, Apple on Google Voice iPhone app rejection
digg_url = 'http://digg.com/apple/FCC_queries_AT_T_Apple_on_Google_Voice_iPhone_app_rejection'; Yeah, we're pretty much all peeved by Apple suddenly ejecting all traces of Google Voice from the app store, but now it looks to have drawn the ire of the Federal Communications Commission, as well. According to a report from The Wall Street Journal, the agency has sent out three letters, one each to Apple, AT&T, and Google. To the latter company, it asked for a description of the Google Voice app and whether previous Google apps have been approved for the store (it has, but that's another interesting story). To Cupertino, it's asking the phone manufacturer to explain itself over the sudden exorcism and what involvement, if any, AT&T had in this decision. The report doesn't make a direct indication of what the letter to the carrier said, but we can imagine it's similar to what Apple got, plus some doodles at the end of a stick figure letting out an exasperated sigh. In a statement today, FCC Chairman Julius Genachowski said it "has a mission to foster a competitive wireless marketplace, protect and empower consumers, and promote innovation and investment." Hey Julius, while you're at it, can you see about Skype and Slingbox for us, too? Thanks. Update: TechCrunch has published the three letters sent out, all very interesting reads. The FCC asks Apple specifically if any approved VoIP apps are allowed to be used over AT&T's 3G network, and more generally what are the "standards for considering and approving iPhone applications" and more details into the approval process. It also asks for the contact information of all developers of rejected Google Voice apps, presumably for further investigation. In the Google letter, it seems to be asking if Voice will be able to be utilized in any capacity over the web, without inclusion in the iTunes store. Unsurprisingly, a number of questions to Apple and AT&T concern the carrier's involvement in which apps or types of apps get rejected. All companies have until August 21st to respond and can request confidentiality on all or portions of their response. Update 2: AT&T spokesman Brad Mays has sent us a statement denying any involvement in the app store process: "AT&T does not manage or approve applications for the App Store. We have received the letter and will, of course, respond to it," he says. That said, its involvement in Slingbox's rejection certainly does raise some eyebrows here.
Report: UK Advertising authority to warn publishers to tone down violent ads
Overwhelming violence has never really been a problem in UK games advertising -- in fact, less than 1 percent of video game ads were turned down by the regulatory Advertising Standards Agency in the past year (a Kane and Lynch ad and Condemned 2 ad were the only offenders). However, according to a report from MCV, the ASA will publish new guidelines for gaming advertisements in September which will suggest publishers consider the "wider context of the impact their ads have," rather than simply fulfill the ASA's base requirements.Basically, the ASA is suggesting that publishers think about whether their advertisements will "offend and cause distress" throughout their ad consumers. Though the ASA admits that violent game ads have yet to be a problem in the UK, it'll use the new guidelines to "qualify the existing guidance to help publishers avoid problems in the future." That statement just confirms our long-held suspicion that the ASA is full-to-brim with psychics.
GDC09: How to avoid new legal pitfalls in virtual world design and policy
At last week's Game Developers Conference 2009, we got the chance to sit in on Mark Methenitis' talk on How to avoid new legal pitfalls in virtual world design and policy. You may have noticed the sheer quantity of legal cases, rulings and issues surrounding virtual environments and MMOGs that have direct impacts on users and players lately. We found the talk to be an engaging and interesting one, which certainly went a long way towards clarifying some of the past, present and future problems and we've got a tasty summary of the highlights for you.
China's The9 faces bankruptcy if Wrath expansion not approved by government
We reported the other day on the issues that The9 is having with getting the Wrath of the Lich King expansion released in China. The government is unwilling to approve the World of Warcraft expansion, citing 'health' and decency concerns about the game's content. The9 is the licensed operator of World of Warcraft in China, and the company paid a significant amount in licensing fees to Blizzard Entertainment in April of 2008 to secure the rights to operate Wrath, according to Shanghai-based JLM Pacific Epoch. Although the Chinese regulatory body, the General Administration of Press and Publication (GAPP), is chiefly concerned with removing "unhealthy" content from the game, their stance could prove disastrous for The9. If GAPP doesn't green light the Wrath of the Lich King expansion in China, The9 will not be able to recoup their losses and may face bankruptcy. One of Azeroth's millions of citizens? Check out our ongoing coverage of the World of Warcraft, and be sure to touch base with our sister site WoW Insider for all your Lich King needs!
FCC commissioner Deborah Tate resigns
The Huffington Post (among other sources) is reporting that FCC Commissioner Deborah Tate has resigned. This is the woman who, less than a month ago, said that World of Warcraft was one of the top reasons for college drop-outs. Now, I can't entirely blame someone for seeing MMOs as a bad thing, there are certainly a lot of people who don't seem to have the ability to throttle their playtime, but that really wasn't her first silly act or statement while she held her position (taking advice from corporations is bad, mmkay). A lot of people will take this news as a godsend.Of course, that doesn't mean she didn't do any good at all. Your personal views may differ from hers depending on the topic, but she's generally pretty well regarded for her efforts when it comes to issues regarding children and their protection. Personally, I don't agree with the extreme 'think of the children!' mentality (or Tate's approach to it) that's become increasingly common, but again, my opinion doesn't represent a nation. A few out of line comments don't negate her efforts entirely.
FCC Comissioner: World of Warcraft causes college dropouts
Oh boy. Deborah Tate is an FCC Commissioner (and will be for another three years at least -- she was appointed for another five year term in 2007), and claimed in a speech about telecom policy and regulation last week that "one of the top reasons for college drop-outs in the U.S. is online gaming addiction -- such as World of Warcraft -- which is played by 11 million individuals worldwide."Never mind that World of Warcraft, is a game, not an addiction, and never mind that most of those 11 million people play it and are completely healthy socially and financially, and never mind even that any evidence you'd find that World of Warcraft causes dropouts is anecdotal at best. Can you really blame a game for someone making the choice to leave college? We, as you might have guessed, think not.And there's more: Tate's Wikipedia page says that not only has she spoken out strongly in favor of DRM, and not only has she taken talking points directly from Clear Channel in trying to work on the Sirus/XM merger (a government official speaking the words of a corporation, that's just what we need), but she has also blamed television for childhood obesity. Nice one. One more reason why we are thrilled to see that we may finally get some folks in the FCC who actually know what they're talking about when it comes to online gaming.
Verizon aims to compete with cable in Newburgh, New York
It's not like New York is hurtin' for FiOS TV or anything, but the latest news involving the two revolves around a bit more than just expansion of service. Just under two months after the FCC approved a rule that would ban exclusive agreements that cable television operators have with apartment buildings, the New York Public Service Commission has issued an order "confirming Verizon's video franchise with the town." Reportedly, such an order will enable consumers in the Orange County town of Newburgh to have "a real choice for their cable television service" when FiOS TV arrives sometime next year. Additionally, Verizon has secured video franchises in 75 other NY communities, all of which are conveniently listed in the read link below.
Several Second Life banks hacked - millions stolen
The last few days have seen some consternation in the Second Life economic markets as several banks have had their servers brute-forced hacked. Understandably there is a fair amount of uncertainty as some of the affected parties are being less than forthcoming, but according to Nobody Fugazi, normally a reliable commentator, the following banks have been attacked, although SLIB seems to have escaped without any loses: L&L Bank and Trust SL Investor's Bank Giovinazzo Choice Investments Whitfield Holdings/Royal Invest SL Business Bank LNLBT has publicly stated it has lost over US$11,000 (about L$3,000,000) and has currently suspended trading. LNLBT has also notified the governance team at LL and is working with them. One has to wonder when the police or FBI will be involved too. Hacking a server for cash is a criminal offense in most places, and although US$11,000 isn't the biggest fraud in the world, it's not something you're likely to see ignored.
Correcting the record on New York's proposed game laws
When the Inquirer erroneously claimed that New York was planning a "video game ban for under 30s," we just added another mark on our "wacky Inquirer story" tally sheet. When the error started spreading to sites like 1up, PlanetXbox360 and Yahoo! Tech, we figured some sort of clarification was in order.So let's be perfectly clear. Neither of the two bills currently being proposed by the New York state legislature will stop adults 18 and over from buying any video games. The confusion seems to stem from a section appearing in both New York Bill A00547 and New York Bill A02024 which says that access to a mandated "adult" video game section of stores will require customers to show ID unless the customer "reasonably appears to be at least thirty years of age."In other words, if you look like you're under 30, they'll ask to see some ID. If the ID says you're over 18, you'll still be allowed to enter the section and buy the games. As both bills say in their texts, stores that sell or rent games "shall store and display such [violent] video games ... in a location designated for persons over the age of eighteen, in a manner which restricts access to such games."If this system sounds familiar, it's probably because it's similar to the ID check system set up in most states to regulate tobacco and alcohol sales. Whether or not video games should be similarly classified is definitely worthy of debate (personally, we think not), but let's make sure we're arguing about the right thing here.
