Tag Archives: AT&T

AT&T, Dependably in Forefront of Consumer Abuse

AT&T

Comedy is funnier when it hits you in the gut. That’s what made a famous skit by Lily Tomlin about the phone company’s abuse of customers so memorable, one tag line being “We are omnipotent.”

AT&T is still at it. As columnist James Temple writes in the San Francisco Chronicle Friday:

In August 2006, the California Public Utilities Commission voted unanimously to allow AT&T and other companies that provided local telephone service to raise prices at will.

Then-Commissioner Rachelle Chong, a Republican, credited as the driving force behind the deregulation plan, argued that growing competition from Internet phone service and cell phones would keep prices low.

“By the end of the 2010, these rate caps will no longer be necessary,” Chong said when the new rules were being phased in. “The market will be so competitive it will discipline prices.””Price discipline?” That should have ’em rolling in the aisles. Temple goes on to report that AT&T’s flat-rate plan for local calls is up 118 percent and services such as call waiting up nearly 180% since 2006. U.S. median household income is down 8.1% since 2007.

Tomlin’s original crack about omnipotence wasn’t much exaggerated. AT&T’s stranglehold on the California Legislature and the state Public Utilities Commission is near-legendary.

Chong, the AT&T cheerleader on the commission, took  a luxurious junket to Tokyo, funded and run by the telecom industry. Other commissioners and legislators went as well, as reported by Consumer Watchdog, without an ethical qualm.

Judy Dugan

Also on that 2007 Tokyo trip was the state Assembly’s Utilities and Commerce committee chair Lloyd Levine, who co-authored 2006 legislation sponsored by AT&T and Verizon in 2006 that allowed the telecom companies to to get into the cable and video business with one unregulated statewide franchise, while eliminating local control and consumer protection of all cable services.


Consumer Watchdog fought the legislation, predicting that prices would rise, not fall, customer service would degrade, companies would cherry-pick the richest markets for their much-touted new services and local public-access TV, previously funded by the cable companies, would disappear.

The other co-sponsor of the cable deregulation was then-Speaker of the Assembly Fabian Nunez, who received the language of the proposed bill directly from a corporate/right-wing think tank called the American Legislative Exchange Council, or ALEC, described thusly by SourceWatch:

ALEC is a corporate bill mill. It is not just a lobby or a front group; it is much more powerful than that. Through ALEC, corporations hand state legislators their wishlists to benefit their bottom line. Corporations fund almost all of ALEC’s operations. They pay for a seat on ALEC task forces where corporate lobbyists and special interest reps vote with elected officials to approve “model” bills. Learn more at the Center for Media and Democracy’s ALECexposed.org

After the cable deregulation passed, AT&T partner Verizon took out full-page ads to thank Nunez personally. Nunez kept on benefiting from telecom donations and sponsorships, even as our predictions about price, service and public access came true.

AT&T is also the sponsor of the legislative Democrats’ chief yearly fund-raising event, the Pebble Beach Speakers Cup, and was a major donor to former Gov. Arnold Schwarzenegger. Every penny of that lavish spending has gone to legislation and deregulation that boost AT&T’s bottom line at the expense of consumers. And neither the 2013 Legislature nor the governor’s office seems moved to undo the wreckage of AT&T’s deregulatory spree.

No wonder we’re not laughing.

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Posted by Judy Dugan, former research director for Consumer Watchdog, a nonpartisan, nonprofit organization dedicated to providing an effective voice for taxpayers and consumers in an era when special interests dominate public discourse, government and politics. Visit us on Facebook and Twitter.

Disconnected From Reality: Prop. 32′s AT&T Ad

This is a video and article from Frying Pan News. Check Frying Pan News for regular in-depth coverage of Prop 32, its funders, and how it will impact working Californians.

Newspapers across California are calling out Proposition 32-a ballot measure that would outlaw using automatic payroll deductions from union members and corporations for political purposes. Editorial writers and columnists charge the initiative is dishonest for positioning itself as an anti-corporate campaign finance effort – even as supporters of the initiative have recently taken to union-bashing to frame their arguments. However, for a period of several months over the summer, Prop. 32 backers did their best to fool Californians with a disingenuous Occupy Wall Street-inspired “fight the power” advertising campaign. Let’s take a look at some vintage Trojan Horse political advertising.

0 minutes 05 seconds – Nice special effects. Michael Bay is impressed.

0:16 – Does that briefcase combination read “666”? Perhaps the flow of “special interest” money into politics is a deal with the devil. Only problem: The devil is wearing a wedding band. Given that such Christian conservative Proposition 8 backers as Howard Ahmanson and Larry T. Smith are among the primary bankrollers of Prop. 32, we’ll guess that, in this case, the devil must be gay-married!

More…

0:19 – Here’s a funny story: Billionaire Thomas Siebel, the man credited with paying for this advertisement, runs a technology company called C3, which has Condoleeza Rice and former Secretary of Energy Spencer Abraham on its board of directors. So, yes, politicians do quite literally work for special interests-the interests behind Prop. 32.

0:26 – Charles Munger Jr. is personally spending more than $60,200 per day to pass Prop. 32.

0:32 – Prop. 32 backers love to demonize AT&T’s political spending. Probably because AT&T, (unlike, say, the Koch brothers, who toss comparable amounts of money around the political realm, almost exclusively to Republicans) actually support state Democrats in California. The Los Angeles Times story in question opens with a description of a fundraiser that raised $1 million for the California Democratic Party.

0:56 – Not going to stand up for AT&T on this one. However, it’s worth noting that the Koch brother-owned gypsum, pulp paper product and packaging company, Georgia-Pacific, is in the midst of lobbying to gut the regulations of California’s Green Chemistry Initiative-a 2008 law protecting California citizens from exposure to toxic industrial chemicals. Georgia-Pacific is an LLC (limited liability company), that, thanks to loopholes in Prop. 32’s language, won’t be hampered in the slightest by the initiative’s proposed restrictions. The Kochs have so far donated $4 million to support 32.

1:04 – We called AT&T to see if the company was for or against Prop. 32. Interestingly, the company’s Director of Communications, Lane Kasselman, told us AT&T has “no position” on the measure. Which seems kind of counterintuitive – if, as this ad suggests, the bill stands to completely cut off their access to channels of power in Sacramento. Wonder why is AT&T staying so neutral? Perhaps because 32 is a sham and won’t restrict its political influence in the slightest.

1:21 – Only individuals will be allowed to donate…plus LLCs, PACs, Super Pacs, 501(c)(6) corporate trade associations, politically motivated non-profits and corporations that don’t use automatic payroll deductions, which is all of them…You get the picture.

1:26 – “Special interest” count: Seven.

1:27 – Eight.

1:34 – Nine (16 if you include screen titles).

1:44 – Fade to black already. Whoever made this ad is the same kid in high school who had to triple-space and use size 14 font to finish his five-page papers.

1:50 – “Supported by small business owners, farmers, educators and taxpayers.” And by that we mean large corporations, chemical companies, management consultants and billionaires who don’t want to pay their taxes.

Moveon is Not Greenwashing Gavin Newsom’s Corporate Party

When San Francisco blogger Sasha McGee noticed that Gavin Newsom was being feted by PG&E and AT&T at the Denver convention, it wasn’t much of a surprise to see a DLC candidate running for governor of the largest state. What was a surprise, was that Moveon was also listed as a sponsor.

But fear not, Moveon hasn’t sold out, their logo showing up was a mistake.

In addition to the somewhat unseemly relationship between Newsom and PG&E, it seemed strange that MoveOn would cosponsor an event with one of the big drivers behind the move to preemptively absolve the nation’s biggest telecommunications companies of any consequences from their spying on Americans. MoveOn was a strong champion of the idea that these companies broke the law, and should suffer the consequences. That much of AT&T’s involvement took place in San Francisco only added particular irony to the situation.

Well, MoveOn now calls their being listed as a sponsor “a mistake” (they’re apparently sponsoring an event at the same time), and swears they’re going to get their name taken off the publicity for the event.

Indeed. And there is a huge gulf between the people-powered progressive side of the Democratic Party and the corporate-powered, DLC side represented by Gavin Newsom. For instance, compare how Moveon and Gavin Newsom responded to Al Gore’s push to go to 100% clean energy. Moveon issued a challenge to sign on that they would deliver, “to elected leaders and candidates across the country.” Gavin Newsom apparently didn’t get the memo as he opposes San Francisco turning on 100% clean energy:

When I approached Newsom at Netroots Nation after he gave a well-received speech on climate change, I asked him if he supported the Clean Energy Act. His initial response was “yes,” but he added that he didn’t think it was all that substantive. Eric Jaye was standing next to us at the time – and as I started to walk away, Jaye said something to Newsom. The Mayor then called out to me and asked, “did you mean the one about PG&E?” I said “yes,” and he then said: “oh, it’s horrible. I don’t support it.” Newsom wouldn’t explain why, and denied that Jaye working for PG&E had anything to do with his position.

And moveon plays well with other, while just last week Gavin Newsom’s taxpayer funded press secretary used the term, “lunatic fringe” to refer to the Democratic Party. Moveon works in solidarity with progressive blogs, while Gavin Newsom crossed the local netroots picket line and hired former Lieberman-consultant Garry South, whose idea of listening to online feedback can best be summed up in his own words (directed at calitics publisher Brian Leubitz:

Here’s my final word: When you have actually run and won a campaign electing a Democrat to any office at any level, instead of just sitting at your computer composing bile and bilge and hitting “send,” come back and talk to me.  Until then, you can kiss my . . . baby.

If Gavin Newsom wants to publicize AT&T and PG&E buying his ass, that is his decision. But he can’t hide behind moveon. And to have two of the worst corporations pay for him to have a party during the speech of the VP nominee is selfishly uncool. As for moveon, always cool. Please spread the word so people don’t get the impression moveon has any association with the awful corporations trying to elect Newsom governor.

E-Board Labor Caucus: Net Neutrality Debate, and a Breakthrough

So I typed up a long transcript of the debate in the Labor Caucus on the two competing net neutrality resolutions, but the computer ate it.  So let me summarize.

When we last left our story at the CDP convention, the various net neutrality resolutions were referred to the Labor Caucus.  The caucus officers got together and put together a resolution that merged some of the elements of the other ones.  The chair of the Caucus is Jim Gordon, a member of CWA (Communications Workers of America).  Now, CWA has been pushing an astroturf campaign called “Speed Matters,” which advocates for building out high-speed networks by reserving a piece of the bandwidth for proprietary video services for the telecoms.  That is ludicrous, and a wormhole into overturning the principle of net neutrality and a completely open Internet for everyone. 

So Brad Parker, of Progressive Democrats of America, submitted a different resolution, one that demands equal access and no two-tiered structure on the Internet, where telecoms can extract payment in return for speedy content delivery.  And in the Labor Caucus this morning, both proposals were heard and a compromise position is in the process of being reached.  This is good news.  The caucus rank-and-file was clearly in support of equal access and net neutrality, and not for reserving any special services for telecoms.  Jim Gordon’s defense was that “if we don’t build out the Internet, it’ll tumble.”  Right, because they’re standing in bread lines at AT&T.  We all believe that it’s pathetic that the United States is 16th in connectivity in the world, but we do not believe that telecoms need another revenue stream to incentivize them to build it.  Indeed, the calcification of our connectivity is a DIRECT result of the laws being written for the benefit of telecoms who have no reason to innovate.  The Internet is the lifeblood of communication in America, and it cannot be controlled in any part by private interests, it should be like a public utility.

At the meeting, a compromise was reached, and the two competing resolutions (both endorsed by the Labor Caucus) is being merged into one.  Brad Parker is writing the new resolution and is confident that the bit about “reserving a portion of the bandwidth” will be struck out.  The people of the CDP have spoken, and I believe we will come out with a resolution we can all get behind.  I found that when you explain this issue in clear terms, people understand it.  It’s a free speech and free press.

What Happened at the Convention, Once and for All

Two weeks may have passed between the Democratic Convention and today, but that hasn’t stopped us from speculating over what actually happened during that weekend. During these two weeks, everyone seems to have developed a theory on who knew what ahead of time, who was conspiring to silence the progressives, and who was really behind the mysterious quorum call. Two weeks have passed since then, and I’d like to do my part to end all the speculation NOW.

Last Thursday, I hopped on over to OC Drinking Liberally. John Hanna, Co-chair of the Resolutions Committee, also happened to be there. Pretty soon, hekebolos showed up, and we all went to the back room of Memphis to discuss what really happened at the convention. Later on, we also talked about what we can do better next time, but I’ll talk about that part of the discussion another time.

Right now, I’m inviting you to follow me after the flip to find out WHAT REALLY HAPPENED TO ALL THOSE RESOLUTIONS. I have been collecting information from a few brave individuals for quite some time now, and my meeting with John Hanna on Thursday put an end to my own speculation on all these rumors. So why not join me after the flip, so that you can also toss the speculation and just find out what happened?

OK, let’s start out by going through all those wild rumors. Here’s what true, and here’s what’s just wild.

Rumor #1: There was a deal made between PDA and party leadership on impeachment- TRUE! Yes, PDA did meet with party leaders before and during the convention. A friend of mine involved in PDA told me that the party leaders knew about PDA’s plans for San Diego, and they did not want the convention to turn ugly. PDA agreed to soften the language on impeachment of Bush, the leaders agreed to tough language on Cheney, and everyone agreed to fold all the resolutions into one.

Rumor #2: There was a grand conspiracy among the party leaders to “appoint” a delegate to make the quorum call- FALSE (well, kinda sorta)! Neither John Hanna NOR Art Torres had any advance knowledge of the quorum call. This makes sense, as Torres really did look bewildered and genuinely frustrated at the podium. However, other folks that I spoke with earlier did drop me a hint. They’ve called Bob Mulholland a “street fighter”, and they have suggested that he wouldn’t hesitate to pull a stunt like this. Hmmm, so does this mean we have a culprit?

Rumor #3: John Hanna conspired to silence the true antiwar voices who wanted to “stengthen” Don Perata’s Out of Iraq Resolution- FALSE! He wanted the Perata Resolution clean, but he didn’t block the amendments by Karen Bernall (deauthorize the war) and the Hull-Richters (defund the war). John Hanna wanted to ensure that the Perata’s Out of Iraq Resolution ended up looking like what Perata wants to put on the ballot next February. However Garry Shay, of the Rules Committee, urged him to come up with a way to allow Bernall and the others (even the Hull-Richters) to be heard. So they worked out a deal. The rules would be temporarily suspended, so that the amendments could be split off from the Perata measure, and they could become their own resolutions. All the delegates can then vote on each proposal separately, and all sides can get a fair shake. John seemed sincere when he said that he thought the perfect deal had been struck, and everyone could get what he/she wanted… Until Karen Wingard stepped in.

Rumor #4: John Hanna conspired with AT&T and CWA to kill the net neutrality resolution- ABSOLUTELY FALSE! Unfortunately, John Hanna and the party leaders weren’t as familiar with net neutrality then as they are now. So out of good faith that Jim Gordon would work out a fair agreement with CWA and AT&T on net neutrality, the Resolutions Committee agreed to refer it to the Labor Caucus. But now, John Hanna regrets taking Jim Gordon’s word when he promised John that he’d come up with a resolution in the Labor Caucus that “the net neutrality folks will like”. John told us that he didn’t know about the CWA/AT&T deep hostility toward net neutrality. And yes, he wants our forgiveness, and he wants to make it up to us. That’s why he’s willing to give us another chance to get net neutrality passed. (And I’ll talk more about this in a future story.)

Basically, John Hanna regrets what happened with many of the resolutions. He now says that he should have just allowed Karen Bernall to do a petition drive for her own “Out of Iraq” resolution, even though her resolution had been “gutted and amended” to make way for Perata. He says that he might change the rules to allow for this next time. He has also said that we weren’t given a fair chance to clarify what was about to happen to net neutrality. And yes, this might inspire some changes in the rules as well. I know that we were all let down by what happened two weeks ago, but let’s not allow these disappointments to stop us from doing better next time.

Now we know how the internal politics are played. And now, we have a better grasp of the rules that we need to follow. So let’s follow the rules (including whatever new ones that might actually make our jobs easier), and let’s get our agenda accomplished. And now that we have made amends with the past, let’s get back to making a better future. : )

Why the CDP Needs to Support Net Neutrality

Maybe this is why we have a Computers and Internet Caucus, from the comments:

I keep reading this Net Neutrality pablum with absolutely NO DISCUSSION about what the heck it is.  Sounds soooo easy to support right ?  Like Bush’s Clean Skies Initiative or his Healthy Forests plan, why don’t some of you stop complaining and start explaining ?  I’m on the Labor Caucus and I’m gonna believe my brothers & sisters at CWA unless you start the education process.

OK, after the flip, because the CDP would look awful for siding with the wrong side in the labor split over the issue.

First, what is Net Neutrality:

Network Neutrality – or “Net Neutrality” for short – is the guiding principle that preserves the free and open Internet.

Put simply, Net Neutrality means no discrimination. Net Neutrality prevents Internet providers from speeding up or slowing down Web content based on its source, ownership or destination.

Net Neutrality is the reason why the Internet has driven economic innovation, democratic participation, and free speech online. It protects the consumer’s right to use any equipment, content, application or service on a non-discriminatory basis without interference from the network provider. With Net Neutrality, the network’s only job is to move data – not choose which data to privilege with higher quality service.

While the new AT&T honcho has vowed to control all video on the AT&T/SBC/PacBell network, right now you can still see user produced video, here’s my favorite on Net Neutrality:

And here’s Amanda:

And here’s a video AT&T only want it’s customers to see if Senator Byron Dorgan cut a deal with them:

Senator Kennedy has some thoughts too:

And Moby:

Hell, even ninjas are talking about the issue:

Because of a free internet, these videos on a policy issue have been viewed more than 2 million times. Democrats dominate online because it is a level playing field, this is critical for the future of the Party.

Nuñez Drops $4 Million on Sweet AT&T Home Entertainment Center

In preparation for his upcoming appearance on MTV’s Cribs, California Assembly Speaker Fabian Nunez has constructed perhaps the most state-of-the-art home entertainment system that anyone has ever seen, using equipment exclusive to AT&T and costing a whopping $4 million dollars – in fact, exactly $4 million dollars, to the penny.  Nuñez reportedly paid with a co-signed check.

“This system’s got it all,” said an ebullient Nuñez while introducing the system to reporters at his downtown LA condo.  “There’s complete wireless Internet throughout the place, unlimited long distance and cellular service through Cingular, an iPhone, IP television through AT&T U-verse (just OK’d by the state Public Utilities Commission), and we even threw a cell tower on the roof so we’d never drop a signal.”  AT&T doesn’t currently make computers or television monitors or what Nuñez described as “kickass” speakers, but they made a special dispensation for the Speaker, creating limited-edition electronics and hiring some of the best engineers from Sony and Toshiba to do it.

over…

Amazingly, the bill for this service came to precisely $4,000,000.00, coincidentally the same cost that the California Democratic Party refunded to Nuñez last fall after the 2006 elections.  AT&T spokesman Donald Ralston denied that this home entertainment system was simply the final piece of some secret deal made between the company, Nuñez and the Party.  “Hey, if I had a spare $4 million lying around, I’d get myself this same deal,” Ralston said.  “You can get Internet in the bathroom.  Did you hear me?  The bathroom!”

The home entertainment center may prove an asset in the upcoming statewide initiative over relaxing term limits for state legislators.  Nuñez plans to offer voters free nights in his “tricked-out” Web-enabled condo, so they can obtain more information on the term limits battle and why state lawmakers need the wisdom of experience to negotiate the difficult straits of Sacramento.  He also is using the AT&T deal itself as a selling point.  “Do you think some rookie lawmaker could get himself this kind of setup?  Did the spokesman tell you that you can get Internet in the BATHROOM???”

Other amenities in the condo include a Web-based kitchen with cooking timers and automated appliances “like the Jetsons,” in Nuñez’ words.  The bathroom reportedly is also Internet-enabled.  A text message from Nuñez’ iPhone can also unlock the front door.

Fellow lawmakers in the Assembly have offered tepid but mildly jealous support, although Minority Leader Mike Villines claimed that the living room blinds with a giant representation of the AT&T logo on them was “a bit much.”

Nuñez Should Be Primaried

Let me first say that I am generally a supporter of relaxing restrictive term limits, in the larger context of reforming elections generally so that the people get to decide when their legislator’s time is up.  But take a look at the condescension dripping from this statement from the Assembly Speaker:

Riding high from a session last year that many praised as the Legislature’s most productive in years, and without an obvious landing pad when he is termed out next year, Nuñez has increasingly said in recent months that he thinks that voters will be open to adjusting term limits.

“You can’t do the job effectively if you can’t be there for a reasonable amount of time, to have a real grasp on the issues,” he told a group of newspaper publishers last month. ” … It takes a couple of years to develop the level of expertise and know-how to negotiate a balanced budget.”

To me, that reads as “I own this seat, and I deserve to be here as long as I possibly can.”

Edit by Brian to move some stuff over the flip…so flip it!

There are these things called primary elections, and the people (in a perfect world, anyway) are supposed to judge the qualifications of each candidate and make their own choice.  You can run on experience, but you’re not entitled to your position because of it.  And you certainly should not be able to change the rules mid-stream and subvert the prior will of the voters in a power grab to keep the Speaker’s gavel:

The proposed initiative would extend the terms of sitting lawmakers by allowing them to remain in place until they have served 12 years in their current house. Some could end up serving as many as 20 years in the Legislature before having to leave.

People already termed out of the Assembly or Senate could not run for those houses again. Former lawmakers’ years of service would count toward the 12-year cap if they returned to the Capitol.

How clever.  So those who used to be in government and see this as an opportunity to return get the door slammed in their face, but Nuñez gets to extend himself for six more years.  It’s like a sentencing law that only applies to people who have already committed the crime instead of those who are in the process of committing it.

We all know that this was the real reason for the move of the Presidential primary to February.  Nuñez wants to run again in 2008, so he crafted a law that will enable him to do so.  He also has over $7 million in the bank for any possible campaigns, $4 million of it from AT&T laundered through the California Democratic Party for services rendered.

At least Don Perata, who also stands to gain from the change in the law (although according to Frank Russo he may have to get the law rewritten to benefit), is a little more discreet about it, and he says the right things:

After he learned of the proposed initiative Thursday from Nuñez, Perata issued a statement that any modification should be tied to a discussion of how to make government more open and accountable.

“It’s not just about how long we serve,” Perata said, “but how well we serve.”

But Nuñez is so lustful of power that he doesn’t mind the appearance of impropriety.  If he is serious about relaxing term limits in the pursuit of more enlightened public officials, he would sign a pledge vowing not to run again and benefit from the law he is shepherding.  Nunez could run for state Senate and serve 8 years if he wanted to stay in public office.  He could bring his experience in Sacramento to bear in the other chamber.  But he’s just got to have that gavel in his hand.  It’s the only way to enrich his campaign coffers, I guess.

If he refuses to sign such a pledge, and insists on using the state initiative process as a personal power grab, then someone in the 46th Assembly District ought to challenge him for that seat.  And there would be exactly two issues in that campaign: this initiative, and the $4 million handoff from AT&T.  And while Nuñez has a nice record in other areas and a great deal of powerful friends and influence in his district, I suspect those two issues would be very persuasive.