The Amazon Tax fight isn’t over in California

On July 14, 2011, in General, by Neil Stevens

While Jerry Brown has signed the budget bill that imposed an Internet Sales Tax on California, an arguably unconstitutional attempt to tax out-of-state businesses conducting interstate commerce with Californians, the fight’s not over. I’ve said again and again that Amazon doesn’t play around. And sure enough, the very night Brown signed the bill, Amazon emailed me and every other Amazon Associate in California to terminate our contracts.

Amazon’s not stopping there though. This company is admirable in its insistence that it will do the right thing and stand up for the shareholders. That trend continues as now Amazon has filed for a referendum on ABx1 28, the Amazon Tax portion of the budget. Referendum is of course one of the three classic Progressive acts of Democracy that the far left celebrates, held up along side Initiative and Recall, the latter of which we’re currently seeing used with gusto in Wisconsin.

But as it turns out, the big question surrounding the Amazon Tax referendum is: Will the progressive left hypocritically fight to prevent it from happening at all?

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Tech at Night: FCC, Net Neutrality, Spectrum, Amazon

On July 14, 2011, in General, by Neil Stevens
Tech at Night

Sorry if you’ve been missing Tech at Night this week. Monday I just ran out of time as I had to do a whole bunch of housekeeping*, and tonight I’m running late. So let’s go.

In classic Tech at Night style, let’s talk about the FCC. They took forever to get the ball rolling on Net Neutrality, but it’s coming now and it’s a vehicle for censorship, says Seton Motley. As he says, “As every place we get our news and information continue their rapid migration to the Internet, Net Neutrality will lord larger and larger over the free market – and our free speech. Which is why we must rid ourselves of it as rapidly as possible.”

More fuel for the FCC reform fire: Free State Foundation points out the FCC has known for years of its problems with the intercarrier compensation system, which is how money changes hands when phone calls are carried across different private phone networks. They knew in 2001. That’s a long time coming. Though if they do tackle it now, we need to watch out for the Universal Service Fund becoming an Internet Tax.

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Tech at Night

Friday, Friday, Friday. Black Friday? Net Neutrality rules have become one step closer to official as the FCC finally delivered something to the OMB after months of stalling. Verizon, MetroPCS, Virginia AG Ken Cuccinelli, and others ended up unable sue to throw out the illegal power grab until it’s published, so the longer the FCC waited, the longer everyone else had to wait to begin to defeat rules that will harm innovation, investment, and jobs, say Fred Upton and Greg Walden.

It’ll be 90 more days at least before the rules hit the Federal Register and the rush to the courthouse begins.

Meanwhile the FCC’s bad run in the courts continues as it lost another case. Of course, this was actually a Bush-era rule, being thrown out on a technicality. But the Obama FCC continued its defense, and lost.

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Tech at Night

I remember when the Digital Millennium Copyright Act passed. It created a boatload of new rules and restrictions on Americans, in the name of tightening copyright online. One of the key provisions of the DMCA is the “safe harbor” rule, which effectively turns ISPs into agents of copyright, by making them honor so-called DMCA takedown notices in exchange for not being held responsible for what’s put by their customers on their public servers.

We were supposed to accept harsh limitations on basic practices like reverse engineering, in order to get what we were told were strong and effective copyright protections. So when I see new copyright criminalization proposed, I have to ask: Did the DMCA fail? Should we repeal it then? Or are we just throwing a bone to the RIAA and MPAA who don’t want to have to bother enforcing their own rights anymore, and get a subsidy from the DoJ to enforce it for them? Come on.

Sure, Some are saying it’s not as bad as it sounded, but if one policy failed, we can’t just keep adding new ones. Repeal and replace, don’t just create an ever-greater web of problems. Or better: just tweak the DMCA instead of adding whole new criminal provisions! Let’s not grow government more than we have to just because big business asks for it. I’m not anti-business, but I’m always wary when big business and big government work together.

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Tech at Night

When it comes to the FTC beginning to persecute Google, I think conservatives have mixed feelings because the problem of overbearing government is one of Google’s making. So while we do need to keep government in its place here, the situation is understandable.

The FTC going after Twitter, though? That just doesn’t make sense. It’s not even the largest “social media” software around, not at all. Facebook’s the big boy, but Twitter’s the one that get investigated. Adam Thierer suggests there’s an ulterior motive involved, one of creating a “threat regime” where the government threatens and bullies as a matter of policy, a theory put out by Tim Wu.

With Google, I know to win the day we’ll have to fight understandable conservative feelings against the firm. With Twitter though that shouldn’t be a problem, so we need all hands on deck to expose the FTC’s overreach here.

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Nima Jooyandeh facts.