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TOP STORIES FOR FRIDAY, DECEMBER 27, 2002 States Look at Online Sales Tax AT&T Wireless Postpones High-Speed Service China Closes 3,300 Internet Cafes AND Online Course Teaches Risks of Alcohol Use Newsreels Go Online Sun Wins Java Ruling Against Microsoft STATES LOOK AT ONLINE SALES TAX As the economy continues to suffer and many states are dealing with budget shortfalls, some are considering the possibility of collecting sales tax on online purchases. Current law does not require states to collect sales tax from companies unless they have a physical presence in the state. Furthermore, a moratorium on Internet sales taxes is in place until November 1, 2003. Still, online spending is expected to reach $40 billion this year and could hit $105 billion in another five years. Collecting no tax on this amount of commerce means that states are losing potentially large sums of money to online shopping. One study from the University of Tennessee estimated that states, cities, and counties lost $13.3 billion in sales tax last year from online commerce. Even if Congress continues to prohibit tax on out-of-state sales, states such as California can collect large sums if they force businesses within the state to collect tax on in-state sales. Such collection is allowed, but California currently does not collect such tax. Associated Press, 26 December 2002 (registration req'd) http://www.nandotimes.com/technology/story/689488p-5121454c.html AT&T WIRELESS POSTPONES HIGH-SPEED SERVICE AT&T Wireless and its Japanese partner NTT DoCoMo said their upcoming high-speed service will not be available until the end of 2004 and will be deployed in fewer cities than had been previously planned. The two companies previously announced that the service would be available in 13 metro areas by June 2004. When the service debuts, it will only be in San Francisco, Seattle, Dallas, and San Diego. Nextel Communications recently announced a delay in its offering of a similar so-called third-generation service. Businesses are the expected customers of the high-speed service, and the service providers involved attribute the postponements to significantly reduced demand from business customers in the current economy. San Jose Mercury News, 26 December 2002 http://www.siliconvalley.com/mld/siliconvalley/4820694.htm CHINA CLOSES 3,300 INTERNET CAFES In response to a fire in June at an Internet cafe in Beijing, the Chinese government has closed 3,300 cafes and ordered safety improvements in nearly 12,000 others, which are closed until the changes are made. The fire in June killed 25 people, and Chinese authorities said many cafes did not have proper safety plans or equipment, such as fire exits. Government officials also have voiced complaints that the cafes expose Chinese youth to objectionable online material. The Chinese government has encouraged adoption of Internet technology for business and education but has worked to limit what it sees at the negative aspects of Internet access in China. Wall Street Journal, 27 December 2002 (sub. req'd) http://online.wsj.com/article/0,,SB1040997621506132113,00.html AND ***************************************************** ONLINE COURSE TEACHES RISKS OF ALCOHOL USE An online course called AlcoholEdu, developed by Outside the Classroom, teaches college students some of the risks associated with alcohol use in an informal, anonymous way. Mothers Against Drunk Driving has formed a partnership with Outside the Classroom, and the course in used by about 350 schools, including Villanova University and Dartmouth College. The course, which is conducted online and works best over a high-speed connection such as can be found in many college dorms, begins with a survey and tells students that they will not be preached to about using alcohol. Paul F. Pugh, dean of students at Villanova, praised the anonymous nature of the course, noting that anonymity encourages much more honest responses. Jack H. Turco, director of health services at Dartmouth, said the course gives his institution an easy way to provide alcohol education to all of its incoming students, without having to arrange individual classes or find faculty to teach them. New York Times, 25 December 2002 (registration req'd) http://www.nytimes.com/2002/12/25/nyregion/25ALCO.html NEWSREELS GO ONLINE British Pathe, which compiled many thousands of newsreels between 1910 and 1970, has put more than 3,500 hours of footage online. The footage is still copyrighted by British Pathe, but unlike some other copyright owners, the company has opted not to use digital copyright protections. The company has instead placed a small watermark on the newsreels and a note on its Web site expressing an expectation "that the images downloaded are not misused in any way." Low-resolution versions of the clips are available for free, and high-resolution clips can be licensed from the company, which also sells VHS and DVD copies. A representative of the Electronic Frontier Foundation said he was not surprised that the strategy appears successful because British Pathe is "treating their customers like customers, not criminals." Representatives from Fox Movietone newsreels and AOL Time Warner's Time Inc. said they have no plans to offer their newsreels in the same manner. Wired News, 27 December 2002 http://www.wired.com/news/digiwood/0,1412,56667,00.html SUN WINS JAVA RULING AGAINST MICROSOFT A federal judge in Baltimore this week ruled in favor of Sun Microsystems in its antitrust case against Microsoft. Sun had accused Microsoft of using its monopoly power in the operating systems market to hurt Sun's Java technology, as well as the Netscape browser. Judge J. Frederick Motz agreed, saying Microsoft's products, specifically its .Net technology that competes with Java, must live or die in the market by their own value, not because of monopoly influence exerted by Microsoft. Motz ordered Microsoft to begin shipping Java with its Windows operating system and to stop shipping an older version of Java that Sun says confuses consumers about compatibility and how to develop Java software. Sun's lawsuit also asks for $1 billion in damages, though that part of the suit has not been decided. New York Times, 24 December 2002 (registration req'd) http://www.nytimes.com/2002/12/24/technology/24SOFT.html ***************************************************** EDUPAGE INFORMATION To subscribe, unsubscribe, or change your settings, visit http://www.educause.edu/pub/edupage/edupage.html Or, you can subscribe or unsubscribe by sending e-mail to [EMAIL PROTECTED] To SUBSCRIBE, in the body of the message type: SUBSCRIBE Edupage YourFirstName YourLastName To UNSUBSCRIBE, in the body of the message type: SIGNOFF Edupage If you have subscription problems, send e-mail to [EMAIL PROTECTED] For past issues of Edupage or information about translations of Edupage into other languages, visit http://www.educause.edu/pub/edupage/edupage.html ***************************************************** OTHER EDUCAUSE PUBLICATIONS EDUCAUSE publishes periodicals, including "EQ" and "EDUCAUSE Review," books, and other materials dealing with the impacts and implications of information technology in higher education. 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