I'm glad Stephen jumped in with the full text of
Michael Powell's remarks, because having heard him
speak on other occasions I had strongly suspected that
digital divide remark was taken at least somewhat out
of context.

I am certain that Powell is not only aware of but
actively interested in solving issues around
disparities of access. And I feel this way because I
know that he proactively contacted my old
organization, One Economy, about supporting it's
"Bring IT Home" initiative (to provide broadband
access to residents of low-income housing) after
reading about their work in the Washington Post.
http://www.one-economy.org/
http://www.washingtonpost.com/wp-dyn/articles/A50706-2004Aug8.html

And while I don't know enough about the issues to
really analyze the CNET editorial describing him as
the internet's biggest foe, I suspect there is a great
deal of hyperbole there. Having heard Powell speak on
a couple of occassions and read remarks of his online,
he has usually made a great deal of sense to me. And
while I don't that I (and certainly others on this
list) would disagree with him about some things, he is
certainly someone who should not be demonized.

- Gordon Strause


--- Stephen Ronan <[EMAIL PROTECTED]> wrote:

> On Wed, 15 Dec 2004, Phil Shapiro wrote:
> [...]
> > you might recall, powell is the
> > senior u.s. government official convinced that
> there is no digital
> > divide. (see his comment below in 2001.)
> >
> > ------------------------
> >
> > Asked about the "digital divide," a term used to
> describe people of
> > color, poor and rural communities' relative lack
> of technological access,
> > Powell retorted, "You know, I think there's a
> Mercedes divide. I'd like
> > to have one; I can't afford one" (Chicago Tribune,
> 2/7/01).
> >
> > ---------------------
> 
> Another perspective on what Powell said was offered
> by Andy Oram 
> of O'Reilly and CPSR wrote after listening to the
> videotape of 
> the full press conference. He wrote 
> (http://www.webreview.com/pi/2001/06_08_01.shtml):
> "After a press 
> conference in February by the new FCC chair Michael
> Powell, his 
> humorous comments about a 'Mercedes gap' were widely
> quoted as a 
> disparagement of the goal of universal access to
> broadband. But 
> in the same speech he announced firmly that 'The
> E-Rate is a 
> wonderful program' and that the digital divide is
> 'an important 
> issue.' All in all, he left considerable ambiguity
> about his 
> views."
> 
> Below is what Powell said re: the digital divide in
> that press 
> conference... (my transcription):
> 
>
******************************************************************
> "You said the most important thing: the "so-called"
> digital 
> divide, and the reason I emphasize that is not to
> diminish its 
> importance but to suggest that the digital divide
> means lots of 
> different things to lots of different people, much
> of which is 
> not in our purview. Deployment of computers for
> example in 
> personal homes and whether the computer market is
> providing at 
> reasonable costs and accessibility those services --
> there's 
> almost nothing I have to do with that question.
> 
> "We're committed to providing in whatever
> responsible and 
> reasonable way we can the full deployment of the
> infrastructure 
> that will make this dream realizable and we do that
> in the name 
> of all Americans and I think we do that in a way
> that we think 
> will facilitate or at least eliminate barriers to do
> it in every 
> segment of the population and its geography.
> 
> "But that said, I also think that the term sometimes
> is dangerous 
> in the sense that if it suggests that the minute a
> new and 
> innovative technology hits the market there's a
> divide unless its 
> equitably distributed among every part of the
> society in every 
> component is just an unrealistic understanding of an
> American 
> capitalist system. That's not true of any good or
> service in the 
> economy, and particularly in the early stages of
> innovation... 
> You want to know what? It is going to be the
> wealthier people who 
> have more disposable income who buy $4000 digital
> TVs first. Does 
> that mean there's an HDTV divide on the first day
> that they're 
> out there? No. You know, I think there's a Mercedes
> Divide. I'd 
> like to have one, i can't afford one. I'm not
> meaning to be 
> completely flip about it because I think it's an
> important social 
> issue, but it shouldn't be used to justify the
> notion of 
> essentially the socialization of deployment of the
> infrastructure 
> because what I get afraid of is that there is a real
> risk 
> consequence to that, because if you force... if the
> standard is 
> you can't have it, you can't produce it unless you
> produce it for 
> all, always... I'm very worried it doesn't get
> produced. There is 
> an alternative that we tend to forget about that
> producers have 
> which is, don't make it. Don't deploy it. And I
> assure you that 
> happens. [...]
> 
> "If we can do things that help make the cost burdens
> and the 
> deployment burden less so that they'll also want to
> sell to 
> people with less income or more in disadvantaged
> areas, we'll do 
> everyhing we can to do that... but I don't embrace
> the idea that 
> digital divide is the same thing, as for example, as
> a universal 
> service concept... because I think this technology
> is going to be 
> one of the most wondefrul things that this society
> has produced 
> to help poor and those less advantaged americans
> because I think 
> it has a built in low-cost structure.
> 
> "You know what? Internet service in America right
> now is 
> averaging $13 a month flat, all you can eat. That's
> phenomenal. 
> That's half of what the local phone bill is that we
> subsidize and 
> that's without subsidizing it at all and you know
> what? In a lot 
> of markets you get free Internet access for
> tradeoffs. But you 
> know what? These new technologies have new promise
> for ubiquity 
> for affordability before you build a big subsidy
> program and you 
> know what? We'd better understand those
> relationships well before 
> in the name of closing a divide or a gap we
> inadvertently 
> disincent or disaffect the incentives for the good
> progress we've 
> seen. If as this matures... we still... what will
> emerge is that 
> there will be clearer pockets of the problem and
> when you get 
> those and you have a more focused understanding of
> what doesn't 
> work there, that's where you can act and act more
> decisively, but 
> I think we're still in the early innings of that
> evolution."
> 
>
******************************************************
> 
> Stephen Ronan
> [EMAIL PROTECTED]
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