7/14. Yahoo announced in a release on July 12, 2008, that "it has rejected a joint proposal from Microsoft Corporation and Carl Icahn for a complex restructuring of Yahoo! that would include the acquisition of Yahoo!'s search business by Microsoft."

Yahoo stated that the proposal was made on Friday, July 11, and that it "is not in the best interests" of Yahoo stockholders.

See also, Schedule 14A (Proxy Statement Pursuant to Section 14(a) of the Securities Exchange Act of 1934) filed with the Securities and Exchange Commission (SEC) by Carl Icahn and others on  July 14, 2008.

Icahn and others seek to elect a board of directors at Yahoo's 2008 Annual Meeting Stockholders to be held on August 1, 2008.

This filing states that these directors would, if elected, "Hire a talented and experienced CEO to replace Jerry Yang and return Jerry to his role as ``Chief Yahoo´´".

This filing also states that these directors would "Inform Microsoft that unless we believe any ``alternative transaction´´ will result in a $33 or higher stock price, all talks of alternative transactions are over", and "Offer publicly to sell Yahoo to Microsoft in a friendly and cooperative transaction".

Roy Bostock, the current Chairman of Yahoo, stated that "Microsoft, having failed to advance in search, is aligning with the short-term objectives of Mr. Icahn to coerce Yahoo! into selling its core strategic search assets on terms that are highly advantageous to Microsoft, but disadvantageous to Yahoo! stockholders."

He added that "Microsoft and Mr. Icahn are trying to dismantle the Company and deliver our search business to Microsoft on terms that would be disadvantageous to Yahoo! stockholders. We are prepared to let our stockholders, not Microsoft and Carl Icahn, decide what is in their best interests and we look forward to the upcoming vote."

7/11. The Government Accountability Office (GAO) released a report [68 pages in PDF] titled "Telecommunications: FCC Needs to Improve Performance Management and Strengthen Oversight of the High-Cost Program".

Universal service is a name for a collection of programs administered by the Federal Communications Commission (FCC) and its Universal Service Administrative Corporation (USAC) that tax certain consumers of phone and other services to subsidize certain entities. See also, USAC's web page for the high cost program.

The report states that "The high-cost program’s structure has contributed to inconsistent distribution of support and availability of services across rural America."

That is, "two carriers serving similar customers in similar environs can receive different levels of support, which can lead to different levels of telecommunications service across rural areas."

The report also finds that although this program only supports basic telephone service, "the program also indirectly supports broadband service in some rural areas, particularly those areas served by rural carriers. Since rural carriers receive high levels of support, these carriers can upgrade their networks with new technologies, which often facilitate broadband service, in addition to basic telephone service."

And since different carriers are treated differently, the high cost program's effect on broadband service in the rural areas varies.

The report also finds that "the program provides support to both incumbent and competitive carriers; as a result, it creates an incentive for competition to exist in areas where it might not occur otherwise. For the most part, wireless carriers have used this incentive, which has contributed to recent growth in the program."

Also, the report states that although over $30 Billion has been spent on the high cost program since passage of the Telecommunications Act of 1996, the "FCC has not established long-term or intermediate performance goals and measures."

The GAO prepared this report for the House Commerce Committee (HCC).

Rep. John Dingell (D-MI), the Chairman of the HCC, stated in a release that "Universal service is a fundamentally American value: every consumer should have access to affordable communications, regardless of where they live ... Proper management of the Universal Service Fund is critical and apparently has been sorely lacking."

Rep. Joe Barton (R-TX), the ranking Republican on the HCC, repeated his opposition to the program. He said in the same release that "I'd be happy to abolish the fund and leave several billion dollars a year in the pockets of telephone users who earned it, but until that glorious day arrives, it seems reasonable to reform the offender if we can."

7/9. David McCormick, the Department of the Treasury's (DOT) Under Secretary for International Affairs, gave a speech at the Center for International & Strategic Studies (CSIS) in which he discussed, among other topics investment protectionism and the Committee on Foreign Investment in the United States (CFIUS).

McCormick (at right) said that there "is the growing risk of protectionism, particularly directed toward foreign investment, including investment from sovereign wealth funds, here in the United States. In the aftermath of 9/11, we have seen a backlash against foreign investment on national security grounds, with some voicing concerns about the potential for foreigners to gain control over key sectors or critical technologies within our borders."

He said that "Foreign control over U.S. businesses may, in some cases, raise genuine national security concerns. But we also know that foreign direct investment flows into the United States strengthen the U.S. economy by stimulating growth and creating jobs. U.S. affiliates of foreign multinationals employ over five million U.S. workers, or 4.5 percent of all private sector employment. Foreign-owned firms in the United States also pay on average 25 percent more than U.S. firms and help stimulate investment in research and development in high-technology areas that promote innovation and competitiveness. Thus, a significant component of our economic policy mission is safeguarding national security but in a manner that maintains and strengthens the U.S. economy through our longstanding commitment to an open investment policy."

He continued that the CFIUS "reviews certain foreign investments in U.S. businesses to determine whether they raise any genuine national security concerns. The preponderance of transactions in the United States do not require a CFIUS review, and for cases that do, we are taking steps to clarify and streamline the process."

He did not comment on 3Com, Bain Capital Partners and Huwei in his prepared speech. See, story titled "3Com Huawei Transaction to be Reviewed by CFIUS" in TLJ Daily E-Mail Alert No. 1,652, October 9, 2008, and story titled "Bain Drops Bid to Acquire 3Com in Face of CFIUS Review" in TLJ Daily E-Mail Alert No. 1,722, February 25, 2008.

7/10. The World Trade Organization (WTO) released revised negotiating texts for Doha round trade negotiations. See, WTO release with hyperlinks to relevant documents.

Pascal Lamy (at right), Director General of the WTO, announced in a release that "These revised texts set the stage for a decisive moment in the Doha round. Ministers and other senior officials will soon arrive for intensive negotiations the week of 21 July. They need negotiating documents which are clear and precise as they consider the complex issues of agriculture and industrial goods trade."

Lamy added that "These texts go a very long way in that direction. These negotiations have been long and tough but the prize awaiting us should we reach agreement is worth the effort. A deal to open trade in agriculture and goods means more growth, better prospects for development and a more stable and predictable trading system. We must not let this opportunity slip through our fingers".

The Office of the U.S. Trade Representative (OUSTR) issued a release [PDF]. It states in part that "We will be reviewing the revised texts in the coming days. Ambassador Schwab looks forward to meeting with Ministers in Geneva the week of the July 21st. The U.S. is committed to concluding a successful Doha Round this year that achieves new market access for agricultural and industrial products and services in both developed and emerging market economies."

See also, June 23, 2008, speech by Peter Mandelson, the EC Trade Commissioner.

7/11. Atul Malhotra, a former VP at Hewlett Packard (HP), pled guilty in U.S. District Court (NDCal) to one count of theft of trade secrets of IBM.

The Department of Justice (DOJ) stated in a release that Malhotra was until 2006 director of sales and business development in output management services for IBM Global Services. HP then hired him as VP for imaging and printing services.

Malhotra copied documents of IBM that he knew contained trade secrets, took them with him to his new job with HP, and shared them with his superiors.

Sentencing is scheduled for October 29, 2008.

This case is USA v. Atul Malhotra, U.S. District Court for the Northern District of California, San Jose Division, D.C. No. CR 08-00423 JF, Judge Jeremy Fogel presiding.

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The House will meet at 12:30 PM morning hour debate, and at 2:00 PM for legislative business. Votes will be postponed until 6:30 PM. The House will consider numerous non-technology related items under suspension of the rules. See, Rep. Hoyer's schedule for week of July 14, and schedule for July 14.

The Senate will meet at 2:00 PM for morning hour. It will then begin consideration of S 2731 [LOC | WW], the "Tom Lantos and Henry J. Hyde United States Global Leadership Against HIV/AIDS, Tuberculosis, and Malaria Reauthorization Act of 2008".

2:00 PM. Sen. Arlen Specter (R-PA) and other Republican Senators will host an event titled "Protecting American Justice: Ensuring Confirmation of Qualified Judicial Nominees". Sen. Specter's notice states that the Senators will address "the need to remove politics from the confirmation process and ensure timely consideration of highly capable judicial nominees". They are concerned about, among other things, Senate Democrats' two year delay of the nomination of Peter Keisler to be a Judge of the U.S. Court of Appeals (DCCir). Location: Room 385, Russell Building.

Deadline to submit comments to the Federal Communications Commission (FCC) regarding numerous applications to change the community of AM or FM licenses. See, notice in the Federal Register, May 14, 2008, Vol. 73, No. 94, at Pages 27824-27825.

Accelerated deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its notice of proposed rulemaking (NPRM) regarding small, minority owned and women owned businesses in broadcasting. See, original notice in the Federal Register, May 16, 2008, Vol. 73, No. 96, at Page 28400-28407, and notice accelerating comment deadlines in the Federal Register, May 29, 2008, Vol. 73, No. 104, at Page 30875. The FCC adopted this NPRM on December 18, 2007, and released the text on March 5, 2008. See, NPRM [70 pages in PDF], first corrections [2 pages in PDF] and second correction [2 pages in PDF]. This NPRM is FCC 07-217 in MB Docket Nos. 07-294, 06-121, 02-277, and 04-228, and MM Docket Nos. 01-235, 01-317, and 00-244.

Deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Further Notice of Proposed Rulemaking (FNPRM) regarding whether the eligible telecommunications carrier (ETC) obligation to provide monthly digital television (DTV) transition notices to low income subscribers should be expanded to require the provision of such notices to all subscribers, and whether multichannel video programming distributors (MVPDs) should be required to provide on air DTV transition education on their systems. This FNPRM [30 pages in PDF] is FCC 08-119 in MB Docket No. 07-148. See also, correction [PDF]. See, notice in the Federal Register, May 28, 2008, Vol. 73, No. 103, at Pages 30591-30596.

The House will meet at 9:00 AM for morning hour, and at 10:00 AM for legislative business. The House will consider numerous non-technology related items under suspension of the rules. See, Rep. Hoyer's schedule for week of July 14.

9:00 AM. The Information Technology and Innovation Foundation (ITIF) will host a breakfast book discussion. The speakers will be Richard Lipsey, author of the book [Amazon] titled "Economic Transformations: General Purpose Technologies and Long Term Growth", and Robert Atkinson (ITIF). See, notice. Location: ITIF, Suite 200, 1250 Eye St., NW.

10:00 AM. The House Homeland Security Committee's (HHSC) Subcommittee on Emergency Communications, Preparedness and Response will hold a hearing titled "Assessing the Framework and Coordination of the National Emergency Communications Plan". The witnesses will be Robert Jamison (Department of Homeland Security), Chris Essid (DHS), Richard Mirgon (Douglas County, Nevada), Charles Werner (Charlottesville, Virginia Fire Department), and Michael Alagna (Motorola). See, notice. The HHSC will webcast this hearing. Location: Room 311, Cannon Building.

10:00 AM. The Senate Finance Committee (SFC) will hold a hearing titled "International Enforcement of Intellectual Property Rights and American Competitiveness". The witnesses will be Andrew Lack (Chairman, Sony BMG Music Entertainment), Jeffrey Kindler (Ch/CEO of Pfizer Inc.), John Barton (Stanford Law School), Walter Cahill (International Alliance of Theatrical Stage Employees, Moving Picture Technicians, Artists and Allied Crafts). See, notice. Location: Room 215, Dirksen Building.

10:00 AM. The Senate Banking Committee (SBC) will hold a hearing titled "The Semiannual Monetary Policy Report to the Congress". The witness will be Ben Bernanke, Chairman of the Federal Reserve Board. See, notice. Location: Room 325, Russell Building.

10:00 AM. The Senate Homeland Security and Governmental Affairs Committee will hold a hearing on the nomination of Gus Coldebella to be General Counsel of the Department of Homeland Security (DHS). See, notice. Location: Room 342, Dirksen Building.

10:30 AM. The Senate Judiciary Committee's (HJC) Subcommittee on Antitrust, Competition Policy and Consumer Rights will hold a hearing titled "The Google Yahoo Agreement and the Future of Internet Advertising". The witnesses will be David Drummond (Google), Michael Callahan (General Counsel of Yahoo), Brad Smith (SVP & General Counsel of Microsoft), Matthew Crowley (Yellowpages.com), and Tim Carter (P/CEO of Askthebuilder.com). See, notice. Location: Room 226, Dirksen Building.

12:00 NOON - 1:00 PM. The Center for American Progress (CAP) will host a discussion of the book [Amazon] titled "Arts, Inc.: How Greed and Neglect Have Destroyed Our Cultural Rights". This book contains a criticism of copyright law. The speakers will be Bill Ivey (the author), Robert Lynch (America for the Arts) and Sally Steenland (CAP). See, notice. A light lunch might be served. Location: CAP, 10th floor, 1333 H St., NW.

1:30 PM. The House Judiciary Committee's (HJC) Antitrust Task Force may hold a hearing titled "Competition on the Internet". The HJC will webcast this hearing. See, notice. Location: Room 2141, Rayburn Building.

2:30 PM. The House Rules Committee (HRC) will meet to adopt a rule for consideration of HR 5959 [LOC | WW], the "Intelligence Authorization Act for Fiscal Year 2009". Location: Room H-313, Capitol Building.

CHANGED TO JUNE 30. Deadline to submit initial comments to the Federal Communications Commission (FCC) in response to its notice of proposed rulemaking (NPRM) regarding small, minority owned and women owned businesses in broadcasting. See, notice in the Federal Register, May 16, 2008, Vol. 73, No. 96, at Page 28400-28407. The FCC adopted this NPRM on December 18, 2007, and released the text on March 5, 2008. See, NPRM [70 pages in PDF], first corrections [2 pages in PDF] and second correction [2 pages in PDF]. This NPRM is FCC 07-217 in MB Docket Nos. 07-294, 06-121, 02-277, and 04-228, and MM Docket Nos. 01-235, 01-317, and 00-244. See, notice accelerating comment deadlines in the Federal Register, May 29, 2008, Vol. 73, No. 104, at Page 30875.

The House will meet at 10:00 AM for legislative business. The House may consider HR 5959 [LOC | WW], the "Intelligence Authorization Act for Fiscal Year 2009", subject to a rule. See, Rep. Hoyer's schedule for week of July 14.

TIME? Day one of a two day hearing of the U.S.-China Economic and Security Review Commission titled "Research and Development and Technological Advances in Key Industries in China". Location?

8:30 - 10:30 AM. The Institute for Policy Innovation (IPI) will host an event titled "Broadband Gets Personal: An International Perspective on Mobile Broadband". The speakers will be David Gross (Deputy Assistant Secretary of State for International Communications & Information Policy), Matthew Kirk (Vodafone), Kathleen Abernathy (Akin Gump), Barry Aarons (IPI), Massimiliano Trovato (Fellow, Istituto Bruno Leoni), David Jeppsen (NTT DoCoMo). RSVP to Erin Humiston at 972-874-5139 or erin at ipi dot org. Breakfast will be served. Location: Lisagor Room, National Press Club, 13th Floor, 529 14th St., NW.

10:00 AM. The House Foreign Affairs Committee will meet to mark up several items, including HRes 1069, a resolution condemning the use of children's television programming by Hamas' Al-Aqsa TV to indoctrinate hatred, violence, and anti-Semitism toward Israel. Location: Room 2172, Rayburn Building.

12:00 NOON - 1:30 PM. The Alliance for Public Technology (APT) will host a brown bag lunch titled "The Telehealth Promise: Better Health Care and Cost Savings for the 21st Century". The speakers will be Jonathan Linkous (American Telemedicine Association), Alexander Vo (University of Texas Medical Branch), and Joy Howell (APT). See, notice. Location: APT, 10th floor, 919 18th St., NW.

6:00 - 9:15 PM. The DC Bar Association will host a program titled "Antitrust Investigations: Tactical and Ethical Issues". The speakers will be Kathryn Fenton (Jones Day), Ray Hartwell (Hunton & Williams), Donald Klawiter (Mayer Brown), and James Fredricks (Department of Justice). The price to attend ranges from $80 to $115. For more information, contact 202-626-3488. This event qualifies for continuing legal education (CLE) credits. See, notice. Location: DC Bar Conference Center, B-1 Level, 1250 H St., NW.

The House will meet at 10:00 AM for legislative business. The House may consider HR 5959 [LOC | WW], the "Intelligence Authorization Act for Fiscal Year 2009", subject to a rule. See, Rep. Hoyer's schedule for week of July 14.

TIME? Day two of a two day hearing of the U.S.-China Economic and Security Review Commission titled "Research and Development and Technological Advances in Key Industries in China". Location?

9:30 AM. The House Commerce Committee's (HCC) Subcommittee on Telecommunications and the Internet will hold a hearing titled "What Your Broadband Provider Knows About Your Web Use: Deep Packet Inspection and Communications Laws and Policies". The HCC will webcast the hearing. Location: Room 2123, Rayburn Building.

10:00 AM. The Senate Judiciary Committee (SJC) may hold an executive business meeting. The agenda includes consideration of S 2746 [LOC | WW], the "OPEN FOIA Act of 2008". The SJC rarely follows its published agendas. Location: Room 226, Dirksen Building.

1:00 - 4:00 PM. The Department of Health and Human Services' (DHHS) Office of the National Coordinator for Health Information Technology's (ONCHIT) American Health Information Community Electronic Health Records Workgroup will hold a meeting. See, notice in the Federal Register, June 20, 2008, Vol. 73, No. 120, at Page 35138. Location: Switzer Building, Conference Room 1114, 330 C St., SW.

6:00 PM. Deadline to submit upfront payments to the Federal Communications Commission (FCC) for Auction 78, the AWS-1 and Broadband PCS auction. See, Public Notice (DA 08-1090) and notice in the Federal Register, May 29, 2008, Vol. 73, No. 104, at Pages 30919-30938.

6:30 - 8:30 PM. The Federal Communications Bar Association's (FCBA) Young Lawyers Committee will host an event titled "Happy Hour". For more information, contact David Redl at dredl at ctia dot org, Marlo Go at mgo at ctia dot org or Cathy Hilke at CHilke at wileyrein dot com. Location: Marvin, 2007 14th St., NW.

Deadline to submit initial comments to the Copyright Office (CO) in response to its proposed rule changes regarding retransmission of digital television broadcast signals by cable operators pursuant to 17 U.S.C. § 111. See, notice in the Federal Register, June 2, 2008, Vol. 73, No. 106, at Pages 31399-31415.

Deadline to submit initial comments regarding broadband availability mapping (BAM) to the Federal Communications Commission (FCC) in response to its Further Notice of Proposed Rulemaking (FNPRM) regarding BAM and modifications to the FCC Form 477 data collection. The FCC adopted this FNPRM on March 19, 2008, but did not release the text [81 pages in PDF] until June 12, 2008. It is FCC 08-89 in WC Docket No. 07-38.See, notice in the Federal Register, July 2, 2008, Vol. 73, No. 128, at Pages 37911-37922. See also, story titled "FCC Adopts Order Regarding Broadband Data Collection" in TLJ Daily E-Mail Alert No. 1,734, March 20, 2008.

Rep. Hoyer's schedule for week of July 14 states that "no votes are expected in the House".

3:00 PM. Deadline to submit applications for grants to the National Institute of Standards and Technology (NIST) for construction of research science buildings. See, notice in the Federal Register, May 27, 2008, Vol. 73, No. 102, at Pages 30380-30381.