<![CDATA[Gawker: valleywag, verizon]]> http://tags.gawker.com/assets/base/img/thumbs140x140/gawker.com.png <![CDATA[Gawker: valleywag, verizon]]> http://gawker.com/tag/valleywag/verizon http://gawker.com/tag/valleywag/verizon <![CDATA[Verizon will force customers to self-install Google]]> The rumor mill says Microsoft has offered to pay twice what Google offered to take over as Verizon's default search engine on phones. I'll let Henry Blodget do the business analysis here ("MSFT will really take a bath on this one"). As a Verizon loyalist, my reaction is slow-burning rage. They're going to pocket a billion bucks and make me reconfigure my phone. Amazing what you can do if you truly hate your customers. (Photo by AP/Virginia Mayo)

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<![CDATA[ISPs agree on how to spy on you]]> Verizon, AT&T and Time Warner Cable executives told Congress yesterday they would not track user behavior online unless given explicit permission, but that they would prefer to police themselves, instead of having to deal with government oversight. Because that would be Orwellian. [Wired]

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<![CDATA[Verizon tech tapped 950 landlines for $220,000 in sex chats]]> It's gotta be some kind of world record: A former (we're guessing: fired) Verizon technician in New Jersey spent 15 weeks' time in the past 40 weeks on sex-chat lines. WCBS-TV has the minimal info available so far:

NEW YORK (CBS) ― A former Verizon technician racked up $220,000 in phone-sex calls by tapping into the land lines of nearly 950 customers, authorities charged on Tuesday.

Joseph Vaccarelli, 45, of Nutley, NJ, made approximately 5,000 calls, resulting in 45,000 minutes of call time, Bergen County Prosecutor John L. Molinelli said in a news release.

Vaccarelli placed the calls in about 30 municipalities in Bergen County, according to the release.

Verizon estimated that out of a 40-week period, Vaccarelli spent 15 weeks talking on 900 chat lines, authorities alleged.

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<![CDATA[Why do text message rates keep going up?]]> Text message rates have doubled since 2005, from about 10 cents each to 20 cents today. Senator Herb Kohl (D.-Wisc.), who chairs the Senate's antitrust subcommittee, has asked Verizon, AT&T, Sprint Nextel and T-Mobile to explain it to him. "It does not appear to be justified by rising costs in delivering text messages," the letter says. "Text-messaging files are very small, as the size of text messages are generally limited to 160 characters per message, and therefore cost carriers very little to transmit." Kohl's suspicion: The four big carriers have increased their prices nearly in sync, suggesting a collusion to wring more money out of the market rather than to compete against one another. Read the whole thing — it's no Series of Tubes. (Photo via Gizmodo)

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<![CDATA[850 new reasons for San Franciscans to hate AT&T]]> So that's what those things are. The box in the photo holds equipment for AT&T's U-verse cable service. The grumpy guy is David Crommie, president of the Cole Valley Improvement Association. He's torqued because AT&T got an exemption from environmental review requirements to install up to 850 of these things around the city. You'll also see smaller green boxes on city sidewalks — those are Comcast's. Verizon manages to bury all its equipment underground. The CVIA has stalled AT&T's plans, but the San Francisco Daily Post reports that "AT&T is now expected to reapply for exemption." (Photo by AP/Paul Sakuma)

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<![CDATA[Verizon's anti-iPhone tip sheet leaked]]> A tipster sent our gadget sister site, Gizmodo, a copy of Verizon's talking points for its employees to use against iPhone mania. Like last year's leaked "iWhatever" email from COO Jack Plating, it comes across mostly as validation that there's no phone like the iPhone in buyers' eyes.

But I disagree with my esteemed colleague Kit Eaton at Gizmodo on one thing: AT&T's network is indeed the iPhone's weak spot. At least 50 percent of the U.S. population lives in an area not served by AT&T 3G. Even David Pogue's iPhone musical called out AT&T service quality as a minus. Verizon's EVDO network — which reaches 80 percent of Americans, per the cheat sheet — would be a much better match. Someday.

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<![CDATA[Verizon Wireless chooses Google over Microsoft]]> Verizon and Google are finalizing a partnership that would turn over Verizon's mobile search and advertising to Google. Verizon considered a deal with Microsoft, but decided it wanted Google to put its search bar on device home screens because it "could prove attractive to consumers who reflexively use the Internet search engine on their PCs," reports the Wall Street Journal, citing people familiar with the matter. A translation:

Verizon picked Google because no one uses Microsoft search. The mobile ad market will hit $244 million this year, which isn't much, but almost everyone's convinced GPS-enabled mobile search is the next Google's next frontier. Google CEO Eric Schmidt told CNBC's Jim Cramer the market will eventually grow to $50 billion. (Photo by bragadocchio)

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<![CDATA[Qwest signs contract as union chalks up another win]]> The Communications Workers of America and the International Brotherhood of Electrical Workers have reached a tentative agreement with Denver-based telco Qwest, pending approval by the 20,000 employees under contract. The agreement was reached in the eleventh hour after the CWA and IBEW had voted to authorize a strike when their contracts expired at midnight on Saturday. The contract calls for 9 percent raises over its three year term, and brought employees of Qwest's directory-assistance operations under contract. Based on the language of the CWA's press release, critics might complain about the agreements reached on healthcare, with the union citing the healthcare cost epidemic and Qwest's financial performance as mitigating factors in their concessions to the bosses during negotiations.

The Qwest deal follows on a larger contract signed on behalf of Verizon employees by the CWA, also under threat of strike. "That day, with the strike deadline looming, the company started bargaining a lot more seriously," CWA spokesman Jeff Miller said of the earlier negotiations in a phone call last week. But even by adding call-center employees, the CWA has their work cut out for them expanding its rolls. "The new technologies are not as labor-intensive as past years. An awful lot of jobs have disappeared in the traditional copper wireline business," Miller added. What about fiber-optic linemen, like those working on Verizon's Fios efforts? Those employees were largely under contract already, according to Miller. And once the fiber's in the ground, those jobs will get buried, too. (Photo by AP/David Zalubowski)

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<![CDATA[Verizon avoids strike, for now]]> 65,000 employees of Verizon represented by the Communication Workers of America and the International Brotherhood of Electrical Workers agreed to postpone any strike after their contracts expired over the weekend. The unions agreed to indefinitely hold off on any work stoppage because progress was being made on the health benefits and job security fronts. Verizon has been aggressively replacing unionized employees with non-union technicians by outsourcing work to subcontractors. [WSJ] (Photo by AP/Mike Groll)

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<![CDATA[Senator Ted Stevens indicted for making "false statements"]]> Ted Stevens, the Republican Senator from Alaska who has held office for a record 40 years, has been indicted on seven counts of making false statements in connection with illegal influence peddling by the likes of convicted Veco CEO Bill Allen — who says the company dispatched employees to remodel Senator Stevens's Alaskan home and paid former Alaskan State Senator Ben Stevens, Ted Stevens's son, $234,000 in bribes. However, none of the indictments arises from his much-parodied description of Internet infrastructure as a "series of tubes."

His strong opinions in the network neutrality debate may have something do with contributions from Internet service providers like Verizon and AT&T, which are respectively third and fifth on the list of largest contributors to his current re-election campaign, both ahead of oil industry services company Veco. He also counts News Corp. and Disney as top donors, and has championed broadcast flag provisions that would have required electronics manufacturers to bar users from recording digital audio or video flagged by rightsholders.

The investigation by the Department of Justice has been going on for four years, having raided the senator's remodeled home last year. But it's clear that corporations have known that Senator Stevens's vote has been for sale for some time now. The bad news alone might spell doom for the senator's re-election campaign, which would count as good news for open Internet advocates — the Democratic challenger, Anchorage mayor Mark Begich, is a strong supporter of network neutrality legislation.

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<![CDATA["TechNigga" comic's made-for-Valleywag video]]> Disgraced video comic Loren Feldman has been removed from Verizon's phone and broadband video-on-demand library. I wouldn't compare the guy to Lenny Bruce, but this much is true: Feldman, a member of both the Screen Actors Guild and the risqué Friars Club in New York, goes out of his way to be offensive and sometimes it works. OK, so sometimes it doesn't. His year-old "TechNigga" clip, which Verizon didn't even carry, got Feldman axed from the lineup. "TechNigga" consisted of a Jew portraying a stereotypical black thug — booze, dope, hookers, etc. What could go wrong? Far funnier and less awwwwwwkward is Feldman's puppet interview with Jason Calacanis's bulldogs from April. The puppet host is a spoof of marketing consultant Shel Israel. At this point, you either know all about Shel and his contempt for Feldman, or you don't care. Just watch the video.

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<![CDATA["TechNigga" video gets 1938 Media removed from Verizon]]> 1938 Media is a one-man videoblog run by Loren Feldman. The guy is funny, in that edgily-offensive way that makes you wonder when someone's going to punch him in the face. Last week, Verizon cut a deal with Feldman to market his videos on Verizon phones and broadband connections — a big win for a one-man act. But eight days later, 1938's clips are gone from Verizon. The reason? A backlash from activist groups who've branded Feldman's shtick as racist. A year ago, Feldman posted "TechNigga," in which he pandered to stereotypes in an attempt to parody TechCrunch. The video wasn't in Verizon's collection of 1938 clips, and Feldman long ago made his apologies. Protesters don't care. Watch the first 1:05 of "TechNigga" and you'll understand everything.

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<![CDATA[Verizon CEO thinks iPhone hype is a "conspiracy"]]> Obviously tired of being pestered with questions about iPhone this and Steve Jobs that, Verizon CEO Ivan Seidenberg put on a tinfoil hat and sat down for an interview with the Financial Times:

He scoffs at suggestions that the iPhone is about to become a mass-market handset because Apple has accepted mobile operators' pleas to subsidise it. "There goes the conspiracy again," he says of Apple. "You're declaring them a winner before they've earned it on the field."

The Verizon CEO is right. Until the second coming of JesusPhone starts working financial miracles, both here and abroad, the media should be a little more skeptical of the word of Jobs — we all know what happens to those who worship false idols. (Photo by AP/Dima Gavrysh)

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<![CDATA[TelCos bought wiretapping immunity for a song]]> The average contribution from AT&T, Verizon and Sprint to the 94 Democratic congresscritters who change their votes from "no" to "yes" on the bill which would grant the companies immunity from charges of illegally wiretapping American citizens? $8,359. How much for all 293 "yes" votes, total? $2,830,087. Eleven California dems changed their votes — Speaker of the House Nancy Pelosi, who represents San Francisco, scored $24,500 in sweet, sweet lobbyist contributions. [MAPLight.org] (Photo by AP/Susan Walsh)

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<![CDATA[Why Verizon, Sprint And Time Warner Shouldn't Block Child Porn]]> The New York attorney general's office ran a "sting" in which agents posed as customers and complained to the companies that they could see child porn. When the service providers ignored them, the agency threatened the companies with fraud. Now, according to the Times, the ISPs are paying over a million dollars to Andrew Cuomo's office and promising to block child porn sites as identified by the office — to all their subscribers across the U.S. As despicable and exploitative as child porn is, blocking it this way is a terrible move.

This is apparently the first time these ISPs have agreed to censor certain web content. (AOL, whose user base is shrinking, has already blocked certain content, according to the Times.) And once that line is crossed, theoretically it could be pushed to block more and more porn. The first iteration of this filter will probably block just this universally illegal and dangerous content. But with this tool in place nationwide, another federal A.G. like Alberto Gonzales would find it much easier to enforce draconian obscenity laws. (A relevant concern: Just last week a federal jury convicted pornographer Max Hardcore of criminal obscenity for his consensual of-age extreme pornography.)

A filter doesn't stop child porn; it just moves the problem somewhere else. The distributors will just find new ways to pass the porn along, new ways to disguise it, ways to get around the cataloging system that Cuomo's office uses to search for child porn. (Since only law enforcement is allowed to view child porn so they can make sure no one else ever does, one can only speculate what leads a person to land a job on the child porn task force and how much Cuomo's description of child porn — "These are 4-year-olds, 5-year-olds, assault victims, there are animals in the pictures" — comes from direct experience.)

The decision also turns the country into Cuomo's de facto jurisdiction. If the content is coming from inside New York, why hasn't Cuomo's office shut down and prosecuted the source? If it's not from New York, how does Cuomo have authority? He argues that ISPs are responsible, and it is hard to refute the logic that no one should knowingly allow someone else to view child pornography. But isn't stopping it his job in the first place?

Photo of Andrew Cuomo by Getty

UPDATE: A Time Warner spokesperson says the Times was wrong, and the company does not plan to block any web sites, but it will access to all newsgroups.

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<![CDATA[Verizon's privacy reputation is due for an update]]>
In a statement last updated in 2003, Verizon CEO Ivan Seidenberg calls the company's "Privacy Principles" the best in the industry. One of Verizon's broadband customers doesn't buy it. He's forwarded us an email Verizon sent him updating its "Acceptable Use Policy." The policy now reads:

Verizon may, but is not required to monitor your compliance, or the compliance of other subscribers, with the terms, conditions or policies of this Agreement.

Verizon PR has long made much of its pro-privacy policies, and its lawyers have even fought the record industry in court to protect subscribers (or, more cynically, to minimize the cost of investigations). This latest change suggests Verizon's becoming friendlier to spying on its customers. Maybe it's time for a 2008 update, Ivan?

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<![CDATA[Verizon In Talks to Buy Alltel, Become Biggest Wireless Carrier With Over 80 Million Subscribers]]>

Not the first time this rumor has popped up, but Reuters is reporting that Verizon is in talks to pick up nationwide runt Alltel in a $27 billion deal that would make Verizon Wireless the biggest carrier on the block, with over 80 million subscribers, topping AT&T (67 million + 13 million). The deal's feasible—both use CDMA, and in a saturated wireless market where growth is mostly coming from theft and smaller carriers anyway, buying 'em outright might just be easier. (CNBC's reporting it too, check it for some more biz analysis.) And here's the WSJ take.[Reuters]

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<![CDATA[Spectrum winner Verizon not concerned with letter of the law adherence to Google's "open rules"]]> CancelYourIPhone.jpgThe members of Google's team for its multibillion-dollar wireless-spectrum bid worked themselves to exhaustion and sickness. That was all in an effort to force the contest's eventual winner to abide by "open access" rules Google convinced the FCC to adopt last summer for its 700-Mhz spectrum sale. The auction winner, Verizon, seems to have little concern for Google's mobile whimsy. It plans to launch and heavily market "crippled, walled garden phones with no VoIP, Verizon content, highly restricted [terms of service], [and] high priced SMS," according to Broadband Reports.

In recognition of the rules, Verizon will also make available much-more expensive devices that abide by Google's "open access" rules, but the company doesn't plan to market them. Upset, petition-filing Google lawyers say "Verizon's position would completely reverse the meaning of the rule." (Photo by mtcool1988)

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<![CDATA[AOL lands Verizon's 94 million monthly pageviews — but will splashy deal make money?]]> Lynda_Clarizio.jpgAOL moved into its new New York headquarters today, and new ad boss Lynda Clarizio has roped Verizon into paying a portion of the lease. The companies announced a deal today that will make AOL's Platform-A the exclusive manager of Verizon's Web and wireless ads. That inventory includes 94 million pageviews a month. It's Clarizio's first big deal after replacing Curt Viebranz in an internal coup earlier this year. He was the the sixth advertising chief at AOL since 2001. But should we be that impressed?

Probably not. For one thing, brokering ads, while trendy right now, is a lower-margin business than selling ads on a website a publisher owns. AOL will have to split any profit with Verizon. And Verizon's inventory, like AOL's, is likely heavy on pageviews from Web-based email and other low-value traffic.

Tacoda, the company whose acquisition brought Viebranz to AOL, had promised to boost significantly the value of ads on those pages. Executives at AOL's Advertising.com unit, including Clarizio, were skeptical of Tacoda's claims, and opposed the acquisition. After Viebranz's ouster, Clarizio now has to prove what insiders at Advertising.com argued: They could do a better job than Tacoda at making money from those ads.

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<![CDATA[Verizon pays dearly for right to operate open network]]> The big winner in the U.S. government's recent wireless-spectrum auction was Verizon, having spent at least $4.7 billion and as much as $10 billion to acquire licenses nationwide. AT&T was the next highest bidder, with satellite broadcaster EchoStar the biggest of the new kids. Verizon unveiled plans to open up its wireless network to third parties yesterday, likely in anticipation of today's announcement. I have to agree with VentureBeat's MG Siegler — the real winner here is Google, which didn't have to pay a dime, but changed the terms of the contract for the eventual winner just by entering a lowball bid. Well played, Google, well played. (Photo AP/Don Ryan)

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