Tuesday, June 30, 2009

Sang-Hun, "Rural South Koreans’ Global Links Grow, Nourished by a Satellite Crop"

Access: 6/30/09

June 30, 2009
YEONGJU JOURNAL

Rural South Koreans’ Global Links Grow, Nourished by a Satellite Crop

YEONGJU, South Korea — Lee Si-kap, a shy farmer living in this central South Korean town, holds a record: He owns more satellite dishes than any other South Korean — 85 of them, receiving 1,500 satellite television channels from more than 100 countries, some as far away as South Africa and Canada.

To passers-by, Mr. Lee’s home stands like an exclamation mark in the otherwise nondescript countryside dotted with apple orchards and ginseng fields. Satellite dishes cover his roof like giant steel mushrooms.

They spread into his front yard and blossom in a field behind his house, some as large as 16 feet in diameter.

Once dismissed as a local eccentric, Mr. Lee has more recently emerged as something of a hero of modest fame, featured on national television as “antenna man.” Since late last year, he and thousands of fellow satellite enthusiasts — including the husbands of foreign brides and a few dedicated souls searching for signals from extraterrestrial life forms — have started a campaign to install free satellite dishes for poor foreign brides living in rural South Korea, so they can receive broadcasts from their home countries.

“Thanks to Mr. Lee, I now miss my country, my mother and father less than I used to,” said Bui Thi Huang, a 22-year-old bride from Haiphong, Vietnam, who now lives here in Yeongju, about 100 miles southeast of Seoul.

In recent years, the South Korean countryside has had an influx of brides from poorer countries like Vietnam, China and the Philippines. Like Ms. Bui, they marry South Korean farmers who have difficulty finding a spouse because so many young Korean women have rejected rural life and migrated to cities.

In towns like Yeongju, these young foreign brides have become a bedrock of the local economy. They work alongside their husbands in the fields and have brought back a sound that was fast becoming a distant memory among the aging farm population here: crying babies.

In South Korea, which had once prided itself on being a homogeneous society, 4 out of 10 women who married in rural communities last year were foreign born. In Yeongju alone, the number of foreign wives increased by 28 percent in the past year and a half, to 250, half of them from Vietnam.

“These women have a hard time fitting in. The local governments, and the husbands, often focus only on making them ‘Korean,’ teaching them the Korean language and computer skills,” said Mr. Lee, 39, who has never married. “They don’t quite understand how isolated these women feel.”

When Mr. Lee, who lives with his 80-year-old mother and 97-year-old grandfather, is not toying with his satellite equipment, he tends his pepper and sesame fields or makes the rounds of nearby villages to see if the foreign brides are having any problems with their television reception.

Mr. Lee and his friends still encounter objections from husbands who are determined to shield their foreign brides from any reminders of their native lands, for fear these might only magnify their homesickness. But they are encouraged that many families have reported that watching satellite broadcasts from home actually helps the women to overcome their loneliness and better adjust to life here.

Mr. Lee says his sympathy for foreign brides stems in part from his own experience of feeling cut off from society.

He felt deeply hurt when his father abandoned him and his mother when he was a small boy, and, lacking self-confidence, had trouble making friends in his neighborhood and at school. He rarely ventured outside his village, and said he still feared making phone calls.

What saved him, he said, was “music — and satellite television.”

“Music was my only friend,” said Mr. Lee, whose dream is to meet his idol, the American heavy metal rock musician Ronnie James Dio. “And because I couldn’t get much rock music on Korean television, I turned to satellite television.”

Satellite television introduced him to the wider world — to Japanese baseball, life on Pacific islands, Russian folk music and religions in India and Nepal.

He installed his first satellite dish in 1992, when he was 23 and had already returned to farming after receiving a vocational college degree in electronics. Collecting secondhand satellite dishes has since become a hobby that verges on an obsession. When most farmers here look to the sky, they read clouds for weather. When Mr. Lee looks skyward, he says, he imagines satellites in earth orbit. To him, the air is filled with broadcast signals, “like seeds from thistles.”

Farmers here at first did not know what to make of their bachelor neighbor, who listened to heavy metal music, often belting out the lyrics in English, sometimes in Japanese. They would see him on the roof under the blazing sun of summer or under the starry winter sky, fiddling for hours with his satellite equipment.

Although he does not understand most languages on the broadcasts he receives, Mr. Lee said: “It gets addictive. The more dishes you have, the more channels you can get.

“Nothing compares with the joy of catching a new broadcast channel from a faraway country,” he said. “It’s like pulling in a big fish. It’s the excitement of discovering something from outside the boundaries of your usual world.”

Thursday, June 18, 2009

Stelter and Stone, Stark Images, Uploaded to the World

http://www.nytimes.com/2009/06/18/world/middleeast/18press.html?_r=1&ref=world&pagewanted=print
Access: 6/18/09

June 18, 2009
Stark Images, Uploaded to the World
By BRIAN STELTER and BRAD STONE

A man bled to death on a street in Tehran on Monday. As one bystander tenderly held the man’s head, five others held out their cameras.

They captured photos and videos of the man, and of the blood that stained his white shirt. On Wednesday afternoon, an anonymous individual uploaded the disturbing video to YouTube, where it was viewed by thousands and shared by bloggers.

“This is absolutely despicable,” wrote one of those commenting on the YouTube video, urging the protesters to stay active. “The rest of the world is watching and cheering you on.”

Via the Internet, the world has received unprecedented looks at the continuing unrest in Iran. As foreign journalists are forced to leave Tehran and others are essentially confined to their hotel rooms, news organizations are looking more and more to the Iranians themselves to provide the news, or at least the pictures.

Dozens of videos of the sometimes violent protests by opponents of the Iranian president, Mahmoud Ahmadinejad, have appeared on YouTube and other sites in the days following last Friday’s presidential election, provided by Iranians eager to circumvent the shroud of censorship their government was trying to place over the unfolding events. On Wednesday, amateur videos of an opposition rally were one of the primary sources of television pictures from Tehran. Another video showed a protest inside a Tehran train station.

YouTube said it had relaxed its usual restrictions on violent videos to allow the images from Iran to reach the rest of the world.

“In general, we do not allow graphic or gratuitous violence on YouTube,” the company said in a statement. “However, we make exceptions for videos that have educational, documentary, or scientific value. The limitations being placed on mainstream media reporting from within Iran make it even more important that citizens in Iran be able to use YouTube to capture their experiences for the world to see.” But the Iranian government continued to try to restrict Web communications. On Wednesday, Iran’s Revolutionary Guard warned that protesters trying to stoke tensions using Internet sites like Twitter would be subject to retribution.

“We warn those who propagate riots and spread rumors that our legal action against them will cost them dearly,” a statement from the military force said.

At the same time, the opposition candidate Mir Hussein Moussavi was using his public profile page on Facebook to organize protests scheduled for Thursday.

Meanwhile, the Iranian visas of many visiting journalists have expired, meaning that the corps of international reporters in the country is shrinking. Newspapers and television news networks are increasingly supplementing their on-the-ground reporting with video images, with frequent caveats that their authenticity cannot be verified.

On Wednesday, CNN frequently showed amateur videos, with a graphic that labeled them “unverified material.” It showed a YouTube video of the aftermath of an apparent raid at Tehran University. The video showed rooms that appeared to have been burned extensively.

It is unclear how the gripping videos are being uploaded, given the restrictions on Internet access within Iran. Behind the scenes, a sophisticated cat and mouse game is playing out, with the Iranian government trying to thwart free Internet communications, and an informal coalition of Iranian protesters and their sympathizers trying to keep the floodgates open to data.
Throughout the week, supporters of the protesters around the world had been making their own computers available to Iranians who wanted to evade government censors.

These people have been publishing the IP addresses of their computers to public forums like Twitter — offering them as so-called proxy servers.

Greg Walton, founder of Psiphon, a provider of Web proxy services, said the continued Internet activity from Iran was a testament to the durability of the Internet and the commitment of Iranians to get their story out despite the government crackdown.

“Information is still coming out of Iran,” he said. “Twitter is still buzzing from people giving live updates from the street, and YouTube is full of live videos testifying to the brutality of the regime’s crackdown. The Internet is fragile but still operational.”

Christiane Amanpour, CNN’s chief international correspondent and a native of Iran, arrived back in London on Tuesday after her one-week Iranian visa expired. While CNN still has personnel in Tehran, Ms. Amanpour expects a heavier emphasis on amateur video.

“You can’t keep any of this news down anymore, and that’s a huge change from the past,” she said in an interview. “The process of getting the word out is totally democratized.”

Wednesday, June 17, 2009

Stone and Cohen, Social Networks Spread Defiance Online

http://www.nytimes.com/2009/06/16/world/middleeast/16media.html?em=&pagewanted=print
Access: 6/17/09

June 16, 2009

Social Networks Spread Defiance Online

As the embattled government of President Mahmoud Ahmadinejad appears to be trying to limit Internet access and communications in Iran, new kinds of social media are challenging those traditional levers of state media control and allowing Iranians to find novel ways around the restrictions.

Iranians are blogging, posting to Facebook and, most visibly, coordinating their protests on Twitter, the messaging service. Their activity has increased, not decreased, since the presidential election on Friday and ensuing attempts by the government to restrict or censor their online communications.

On Twitter, reports and links to photos from a peaceful mass march through Tehran on Monday, along with accounts of street fighting and casualties around the country, have become the most popular topic on the service worldwide, according to Twitter’s published statistics.

A couple of Twitter feeds have become virtual media offices for the supporters of the leading opposition candidate, Mir Hussein Moussavi. One feed, mousavi1388 (1388 is the year in the Persian calendar), is filled with news of protests and exhortations to keep up the fight, in Persian and in English. It has more than 7,000 followers.

Mr. Moussavi’s fan group on Facebook has swelled to over 50,000 members, a significant increase since election day.

Labeling such seemingly spontaneous antigovernment demonstrations a “Twitter Revolution” has already become something of a cliché. That title had been given to the protests in Moldova in April.

But Twitter is aware of the power of its service. Acknowledging its role on the global stage, the San Francisco-based company said Monday that it was delaying a planned shutdown for maintenance for a day, citing “the role Twitter is currently playing as an important communication tool in Iran.”

Twitter users are posting messages, known as tweets, with the term #IranElection, which allows users to search for all tweets on the subject. On Monday evening, Twitter was registering about 30 new posts a minute with that tag.

One read, “We have no national press coverage in Iran, everyone should help spread Moussavi’s message. One Person = One Broadcaster. #IranElection.”

The Twitter feed StopAhmadi calls itself the “Dedicated Twitter account for Moussavi supporters” and has more than 6,000 followers. It links to a page on the photo-hosting site Flickr that includes dozens of pictures from the rally on Monday in Tehran.

The feed Persiankiwi, which has more than 15,000 followers, sends users to a page in Persian that is hosted by Google and, in its only English text, says, “Due to widespread filters in Iran, please view this site to receive the latest news, letters and communications from Mir Hussein Moussavi.”

Some Twitter users were also going on the offensive. On Monday morning, an antigovernment activist using the Twitter account “DDOSIran” asked supporters to visit a Web site to participate in an online attack to try to crash government Web sites by overwhelming them with traffic.

By Monday afternoon, many of those sites were not accessible, though it was not clear if the attack was responsible — and the Twitter account behind the attack had been removed. A Twitter spokeswoman said the company had no connection to the deletion of the account.

The crackdown on communications began on election day, when text-messaging services were shut down in what opposition supporters said was an attempt to block one of their most important organizing tools. Over the weekend, cellphone transmissions and access to Facebook and some other Web sites were also blocked.

Iranians continued to report on Monday that they could not send text messages.

But it appears they are finding ways around Big Brother.

Many Twitter users have been sharing ways to evade government snooping, such as programming their Web browsers to contact a proxy — or an Internet server that relays their connection through another country.

Austin Heap, a 25-year-old information technology consultant in San Francisco, is running his own private proxies to help Iranians, and is advertising them on Twitter. He said on Monday that his servers were providing the Internet connections for about 750 Iranians at any one moment.

“I think that cyber activism can be a way to empower people living under less than democratic governments around the world,” he said.

Global Internet Freedom Consortium, an Internet proxy service with ties to the banned Chinese spiritual movement Falun Gong, offers downloadable software to help evade censorship. It said its traffic from Iran had tripled in the last week.

Shiyu Zhou, founder of the organization, has no idea how links to the software spread within Iran. “In China we have sent mass e-mails, but nothing like in Iran,” he said. “The Iranian people actually found out by themselves and have passed this on by word of mouth.”

Jonathan Zittrain, a professor at Harvard Law School who is an expert on the Internet, said that Twitter was particularly resilient to censorship because it had so many ways for its posts to originate — from a phone, a Web browser or specialized applications — and so many outlets for those posts to appear.

As each new home for this material becomes a new target for censorship, he said, a repressive system faces a game of whack-a-mole in blocking Internet address after Internet address carrying the subversive material.

“It is easy for Twitter feeds to be echoed everywhere else in the world,” Mr. Zittrain said. “The qualities that make Twitter seem inane and half-baked are what make it so powerful.”

Wines: Civic-Minded Chinese Find a Voice Online

http://www.nytimes.com/2009/06/17/world/asia/17china.html?ref=world&pagewanted=print
Access: 6/17/09

June 17, 2009

Civic-Minded Chinese Find a Voice Online

BEIJING — There was a time when the story of the 21-year-old waitress who fatally stabbed a Communist Party official as he tried to force himself on her would have never left the rural byways of Hubei Province where it took place.

Instead, her arrest last month on suspicion of voluntary manslaughter erupted into an online furor that turned her into a national hero and reverberated all the way to China’s capital, where censors ordered incendiary comments banned. Local Hubei officials even restricted television coverage and tried to block travel to the small town where the assault occurred.

On Tuesday, a Hubei court granted the woman, Deng Yujiao, an unexpectedly swift victory, ruling that she had acted in self-defense and freeing her without criminal penalties.

The case of Ms. Deng is only the most recent and prominent of several cases in which the Internet has cracked open a channel for citizens to voice mass displeasure with official conduct, demonstrating its potential as a catalyst for social change.

The government’s reactions have raised questions about how much power officials have to control what they call “online mass incidents.” China’s estimated 300 million Internet users, experts say, are awakening to the idea that, even in authoritarian China, they sometimes can fight City Hall.

“It’s about raising the public awareness of democratic ideas — accountability, transparency, citizens’ rights to participate, that the government should serve the people,” said Xiao Qiang, a journalism professor at the University of California, Berkeley, who tracks China’s Internet activity. “Netizens who are now sharing those more democratic values are using these cases, each time making inch-by-inch progress.”

China still exerts sweeping and sophisticated control over the Internet, employing thousands of people to monitor Internet traffic for forbidden material and using software to spot key words that hint at subversion. But the system is not infallible, and Internet users frequently find ways to skirt the censors.

Since late last year, online tempests have blown up over a video of an official in Guangdong Province who assaulted a young girl and bragged that he was above punishment, and a Nanjing city official who was spotted wearing a $14,500 Vacheron Constantin watch and smoking $22-a-pack cigarettes, evidence of a lifestyle well beyond his means.

Early this year, an online outcry exposed prison officials’ cover-up of the beating death of an inmate. At the moment, outrage is focused on officials in Yunnan Province who battled a rabies outbreak by dispatching “killing teams” that, according to news reports, beat 50,000 dogs to death.

Not all the crusades are entirely civic-minded. In more than a few cases, virtual mobs have harassed offending officials, posting personal information and other details. The nickname for such mobs, “human-flesh search engines,” hints at their pitiless nature.

But the Internet campaigns have repeatedly produced results. Six officials were punished or fired in the prison beating. The Nanjing official with the flashy watch was sacked. The Yunnan dog killings have provoked harsh criticism, even in state-run newspapers.

Most such cases, says Mr. Xiao, the Berkeley professor, spawn tens or hundreds of thousands of mentions on Internet blogs and other forums.

But Ms. Deng’s case eclipsed them all, racking up four million posts and counting, he said. Her story resonates with millions of Chinese who not only are fed up with low-level corruption but also prize chastity in young women, causes that transcend politics.

“Deng Yujiao is a metaphor for someone who fights back against officials, and of course the officials are those who spend the taxpayers’ money, who are so abusive to ordinary citizens and so corrupt,” he said. “It’s almost a stereotype of the online image of officials. That’s why this case becomes so big.”

As she described it to a lawyer, Ms. Deng was a waitress in a karaoke parlor in rural Badong County, a Hubei Province backwater along the Yangtze River. Like more than a few such venues, this one offered “special services,” or prostitution, in a backroom spa, the only room with hot water.

On the night of May 10, Ms. Deng said, she was in the room washing clothes, when a local official, Huang Weide, came in and demanded that she take a bath with him. She refused, and after a struggle fled to a bathroom.

But Mr. Huang and two companions — including a second official, Deng Guida, who was not related to Ms. Deng — tracked her to the bathroom, then pushed her onto a couch. As they attacked, Ms. Deng said, she took a fruit knife from her purse and stabbed wildly. Mr. Deng fell, mortally wounded.

Ms. Deng was arrested, investigated for involuntary manslaughter and, after the police reportedly found pills in her purse, variously described as sleeping pills and antidepressants, sent her to a mental ward.

But when a blogger, Wu Gan, publicized her case, a cascade of posts crowned her a national hero for resisting official abuse of power and demanded a fair trial.

Under public pressure, Hubei officials freed her on bail. Mr. Wu helped recruit a prominent Beijing law firm to represent Ms. Deng.

On May 22, Beijing censors ordered Web sites to stop reporting on the case. Four days later, television and the Internet were cut off in Yesanguan, the town where the attack occurred. The official explanation for the shutdown was as a “precaution” against lightning strikes.

Spurred by the Internet frenzy, Chinese journalists had converged on Badong County. But after censorship was imposed, local officials began screening outsiders, and some journalists seeking to report there were beaten. Mr. Wu’s blog was shut down by censors.

Even Yangtze River boat service to Badong was suspended, ostensibly because the docks needed repair, after protesters vowed to hold a demonstration there.

The two surviving local officials who were involved in the assault have been fired, but no charges were brought against them.

The ruling on Tuesday, widely reported in state media, was a vindication for Ms. Deng and her Internet supporters. But the story may not end there.

Last month, a group of young people abruptly appeared in the middle of downtown Beijing, carrying on their shoulders a woman wearing a mask and wrapped in white cloth. They laid her on the ground and arranged signs around her, then took pictures.

The signs read, “Anyone could be Deng Yujiao.”

The photos immediately appeared on the Internet.

Thursday, June 4, 2009

Zeleny and Cooper, Obama Calls for Alliances With Muslims

Source: http://www.nytimes.com/2009/06/05/world/middleeast/05prexy.html?_r=1&hp=&pagewanted=print
Access: June 4, 2009

June 4, 2009

Obama Calls for Alliances With Muslims

CAIRO — President Obama pledged on Thursday to “seek a new beginning between the United States and Muslims around the world,” imploring America and the Islamic world to drop their suspicions of one another and forge new alliances to confront violent extremism and heal religious divides.

“We have a responsibility to join together on behalf of the world we seek,” he said. “A world where extremists no longer threaten our people, and American troops have come home; a world where Israelis and Palestinians are each secure in a state of their own, and nuclear energy is used for peaceful purposes; a world where governments serve their citizens, and the rights of all God’s children are respected.”

He dwelled on Iran, Iraq, and Afghanistan but reserved some of his sharpest words for the Israeli-Palestinian conflict. He offered no major initiatives on the Middle East peace process although he put Israelis and Palestinians on notice that he intends to deal directly with what he sees as intransigence on key issues.

The speech in Cairo, which he called “the timeless city,” redeemed a promise he made nearly two years ago while running for president. It was, perhaps, the riskiest speech of his young presidency, and Mr. Obama readily conceded that not every goal would be easily or quickly achieved.

“I have come here to seek a new beginning between the United States and Muslims around the world; one based upon mutual interest and mutual respect; and one based upon the truth that America and Islam are not exclusive, and need not be in competition,” he said. “Instead, they overlap, and share common principles — principles of justice and progress; tolerance and the dignity of all human beings.”

His message was sweeping and forceful — at times scolding — promoting democracy in Egypt, warning Israelis against building new settlements, and acknowledging that the United States had fallen short of its ideals, particularly in the Iraq war. It also evoked a new and nuanced tone, and some of Mr. Obama’s language drew appreciative applause from his audience of 3,000 invited guests in the Major Reception Hall at Cairo University.

Several times, for instance, he spoke of “Palestine,” rather than the more ambiguous term often used by American leaders, “future Palestinian state.” And, in reference to the Palestinians, he pointedly mentioned “the daily humiliations — large and small — that come with occupation.”

He described the bond between the United States and Israel as “unbreakable,” and urged Hamas, the Islamic militant group in control of the Gaza Strip, to stop violence. But in his next breath, Mr. Obama said Israel must curtail its expansion of West bank settlements and recognize Palestinian aspirations for statehood. He also acknowledged that Hamas, which the United States labels a terrorist organization, “does have some support among some Palestinians.”

“But they also have responsibilities,” Mr. Obama said, listing them as “to end violence, recognize past agreements, recognize Israel’s right to exist.”

“Israelis must acknowledge that just as Israel’s right to exist cannot be denied, neither can Palestine’s,” Mr. Obama said. “The United States does not accept the legitimacy of continued Israeli settlements. This construction violates previous agreements and undermines efforts to achieve peace. It is time for these settlements to stop.”

And, while Israel’s hawkish government has not accepted a so-called two-state solution, Mr. Obama said: “The only resolution is for the aspirations of both sides to be met through two states, where Israelis and Palestinians each live in peace and security.”

“This is in Israel’s interest, Palestine’s interest, America’s interest and the world’s interest,” he said. In the Middle East, “too many tears have been shed; too much blood has been shed.”

The address drew initial support from Palestinians. Nabil Abu Rudeineh, a spokesman for Palestinian President Mahmoud Abbas, called it “a good start and an important step towards a new American policy.”

Mr. Obama strode onto the stage to loud applause and a standing ovation in the conference hall. He conceded that his speech came at “a time of great tension between the United States and Muslims around the world.”

But he sought to explain that he represented the new face of American leadership. He did not mention the name of George W. Bush, who preceded him in office, and whose policies contributed to the mistrust.

“America is not and never will be at war with Islam. We will, however, relentlessly confront violent extremists who pose a grave threat to our security,” Mr. Obama said. “Because we reject the same thing that people of all faiths reject: the killing of innocent men, women, and children.” Mr Obama said: “I consider it part of my responsibility as president of the United States to fight against negative stereotypes of Islam wherever they appear. But that same principle must apply to Muslim perceptions of America. Just as Muslims do not fit a crude stereotype, America is not the crude stereotype of a self-interested empire.”

Mr. Obama offered few details for how to solve myriad problems and conflicts around the globe, but he offered up his own biography as a credible connection to his audience. While the message touched upon a litany of challenges, it boiled down to simply this: Barack Hussein Obama was standing at the podium as the American president.

“I am also proud to carry with me the goodwill of the American people, and a greeting of peace from Muslim communities in my country: assalaamu alaykum,” Mr. Obama said, delivering a common greeting signifying peaceful intent.

Mr. Obama said the terrorist attacks in the United States on Sept. 11, 2001 caused “enormous trauma to our country.” He offered no direct criticism of the previous administration, but reminded his audience that he has “unequivocally prohibited the use of torture” and has ordered the prison to be closed at Guantánamo Bay, Cuba.

“The fear and anger that it provoked was understandable, but in some cases it led us to act contrary to our traditions and our ideals,” Mr. Obama said. “We are taking concrete actions to change course.”

The president divided his speech into seven sections, often sounding like the university professor he was before he sought political office. He touched on “sources of tension” from wars in Iraq and Afghanistan, democracy, religious freedom, women’s rights and economic development and opportunity.

He said the Iraq war had been a “war of choice that provoked strong differences in my country and around the world.”

“Although I believe that the Iraqi people are ultimately better off without the tyranny of Saddam Hussein, I also believe that events in Iraq have reminded America of the need to use diplomacy and build international consensus to resolve our problems whenever possible.”

By contrast, he described America’s military presence in Afghanistan as a necessity after the attacks of Sept. 11, 2001.

“Make no mistake: we do not want to keep our troops in Afghanistan,” he said. “We would gladly bring every single one of our troops home if we could be confident that there were not violent extremists in Afghanistan, and now Pakistan, determined to kill as many Americans as possible. But that is not yet the case.”

Turning to Iran’s contentious nuclear program, he said any nation “should have the right to access to peaceful nuclear power if it complies with its responsibilities” under international regulations to counter the proliferation of nuclear weapons.

Iran maintains its nuclear enrichment program is for peaceful civilian purposes but many in the West suspect it is designed to build a nuclear bomb. “This is not simply about America’s interests,” Mr. Obama said, “It is also about preventing a nuclear arms race in the Middle East that could lead this region and the world down a hugely dangerous path.”

As his visit to the region began Wednesday in Saudi Arabia, Mr. Obama was greeted with reminders of the vast gulfs his address must bridge, as voices as disparate as Al Qaeda’s and the Israeli government’s competed to shape how Mr. Obama’s message would be heard.

In a new audiotape, Osama bin Laden condemned Mr. Obama for planting what he called new seeds of “hatred and vengeance” among Muslims, while in Jerusalem, senior Israeli officials complained that Mr. Obama was rewriting old understandings by taking a harder line against new Israeli settlements.

Wednesday, June 3, 2009

Reuters, "Buy American" provision in U.S. stimulus bill

From: http://uk.reuters.com/article/economyNews/idUKTRE51C4RG20090213?pageNumber=1&virtualBrandChannel=0
Access on June 3, 2009

FACTBOX: "Buy American" provision in U.S. stimulus bill
Fri Feb 13, 2009 6:58pm GMT

(Reuters) - The U.S. Congress is expected to approve an $787 billion economic stimulus, including a Buy American provision that has aroused concerns among trade partners and some U.S. business groups.

Here are details of the provision:
* The Buy American provision imposes a general requirement that any public building or public works project funded by the new stimulus package use only iron, steel and other manufactured goods produced in the United States.
* The stimulus package includes about $48 billion in transportation projects, roughly $30 billion in infrastructure improvements and additional other spending that could be covered by the Buy American provision.

TRADE PACT COMMITMENT CLAUSE
* The bill stipulates that the Buy American provision be "applied in a manner consistent with United States obligations under international agreements."
* That is further explained in separate report language on the bill to clarify that it requires the United States to comply with obligations under the World Trade Organization's government procurement agreement and under the North American Free Trade Agreement and other U.S. free trade accords.
* The report language says products from least-developed countries would be treated in the same manner as countries with which the United States has formal trade commitments.
* The trade compliance language gives members of the WTO's government pact such as the European Union, Japan, Canada, South Korea and Taiwan comfort they could provide material for a public works project funded by the stimulus bill.
* But countries such as China, Brazil, Russia and India which are not members of the government procurement accord or do not have free trade pacts with the United States are not protected by that clause.

WAIVER AUTHORITY
* The act allows the Buy American mandate to be waived if the federal agency overseeing a particular project deems it would be "inconsistent with the public interest."
* It can also be waived if iron, steel and the relevant manufactured goods "are not produced in the United States in sufficient and reasonably available quantities and of a satisfactory quality" or if it would increase the overall cost of a project by more than 25 percent.
* The waivers can apply to a "category of cases" so if a particular product is not made in the United States, contractors would not have to apply over and over again for permission to use it.
(Reporting by Doug Palmer; editing by David Storey)

Timmons, India Feels Less Vulnerable as Outsourcing Presses On

From http://www.nytimes.com/2009/06/03/business/global/03outsource.html?_r=1&ref=world&pagewanted=print
Access on 3 June 2009 (emphasis mine)

June 3, 2009
India Feels Less Vulnerable as Outsourcing Presses On
By HEATHER TIMMONS

NOIDA, India — The global downturn has slowed the rapid growth in India’s outsourcing business, but only slowed it. In fact — because of the pressure on companies, and even governments, to reduce costs — many outsourcing businesses are booming. And a mood that was deeply uncertain just six months ago has turned much more optimistic.
Unemployment has risen to 8.9 percent in the United States, a 26-year high, increasing longstanding pressures to “keep jobs in America.” But managers of companies big and small, squeezed between political pressures and the necessity of slimming down to survive, are choosing the bottom line.

J. Brandon Black, president and chief executive of the Encore Capital Group, a debt collection company based in San Diego, said he planned to significantly increase his work force in India in the next few years, in part because of the tough economic times.

“The thing it boils down to is the supply of well-trained educated labor at reasonable prices is just too great to ignore,” said Mr. Black. In India, “we’re hiring college-educated people.” The company is not doing that in the United States, where it would incur greater infrastructure and health care costs.

“Outsourcing is here to stay,” Mr. Black said.

Some of America’s biggest companies continue to invest in India, even as they trim costs at home.

Hewlett-Packard said last month that it would cut an additional 6,400 jobs, on top of the 24,000 it said it was eliminating in September after a merger with Electronic Data Systems. About half of the September cuts are expected to come from the United States. In March, the computer giant said it was opening “HP Software University” in eight cities in India to train software testers.

Last month, Honeywell International, the manufacturing behemoth based in Morristown, N.J., said it would invest $50 million in a new research and development facility in Bangalore that would employ 3,000. The move comes after Honeywell began a reorganization, closing plants and trimming hundreds of jobs recently in the United States.

The company declined to comment for this article, but when it initially announced its India plans, its chairman and chief executive, David M. Cote, said about half of Honeywell’s employees and half of its business were outside the United States.

“Anything that creates any kind of protectionism, anything that stops the globalization activity, will be harmful,” he said.

Many in India say they believe that demographics are on their side in the long run.
“In most developed economies, the work force is aging,” said Ranjit Tinaikar, a partner with McKinsey, a consulting firm. The health care costs associated with employing those Western workers will continue to increase, he said, creating a “big opportunity” for India.

A decade ago, McKinsey and India’s powerful information technology and outsourcing trade group, Nasscom, predicted that revenue from outsourcing by foreign companies would reach $50 billion in India in 2010. The global economic slowdown has delayed that by three or four quarters — revenue is predicted to reach $47 billion this year.

And in April, Nasscom and McKinsey predicted that by 2020, outsourcing would yield $175 billion in revenue here.

Growth will slow this year at many of India’s biggest outsourcing companies, however, because of the implosion of some of their largest clients: banks, mortgage servicing companies and Wall Street firms. But that does not mean revenue is no longer growing.

“People who have never looked at outsourcing before are saying they have to do it,” said Amitabh Chaudhry, the chief executive of Infosys BPO, the outsourcing arm of one of the largest Indian information technology companies. He expects his unit to grow 25 to 30 percent this year, compared with 40 to 50 percent in the past.

But political pressures are making a difference in how business is done. One growing trend, many outsourcing executives say, is placing more Indian employees in offices in the client’s home country. That way the job, ostensibly, does not move abroad. But over the long term, many are likely to be moved across the globe.

“Our view is we start work onshore, then move it to Poland or Morocco, and then over time to India,” said Sachdev Ramakrishna, director of marketing for Steria, an information technology and outsourcing company. Steria is based in Paris, but one-quarter of its employees are in India, and it has offices in Morocco and Poland. “It’s like opening the tap in bits.”

Since Steria’s clients include public utilities and governments in Europe, getting them comfortable with the idea of moving jobs abroad can take time. “Everyone recognizes that this is a changed world order, and the focus is more on preservation of jobs,” Mr. Ramakrishna said.
And yet, new business is coming from all over: insurance companies with a growing number of elderly clients to monitor; pharmaceutical companies looking for more efficient ways to conduct drug trials and handle customer calls (even emergency inquiries, like overdose concerns); corporate legal teams balking at $350-an-hour fees to outside law firms. Even companies based in once union-friendly countries like France and Germany, as well as once-flush Middle Eastern firms, struggling media companies and companies that have been taken over by private equity firms are looking to outsource.

Indian companies that relied on Wall Street and big banks for much of their business are aggressively learning new skills.

East of New Delhi, on a corporate campus that was once farmland, dozens of Indian doctors, nurses and pharmacists are scheduling checkups for patients in the United States and monitoring clinical trial data for some of the world’s biggest pharmaceutical companies.
Thirty miles to the southwest, in the town of Gurgaon, hundreds of Indian lawyers in a glass high-rise are conducting due diligence on deals, combing through contracts and studying intellectual property rights for Western clients.

In the legal field, “there’s been a sea change in awareness of what’s possible” in the last 12 months, said Daniel Reed, the chief executive of UnitedLex, which has its headquarters in Atlanta but has the bulk of its employees in Gurgaon. More and more sophisticated work is coming to India, he said.

Matthew Fawcett, the general counsel of JDS Uniphase, a fiber optics company in California, started looking at outsourcing some legal work to India two years ago and is now a UnitedLex client.

“When you run a legal department of a publicly traded company,” he said, “you care about cost and overhead.”

Patni Computer Systems, which employs doctors and nurses in Noida, is working with health insurance companies in the United States whose policies provide home care for elderly patients. Patni’s doctors and nurses call the patients regularly for checkups, and if the patient needs a physical examination, they call the insurance company, which dispatches a nurse.
“It’s a proactive measure, rather than reactive” said Sanjiv Kapur, the head of Patni’s outsourcing business, intended to prevent the patient from falling ill and winding up in the hospital. “It’s less costly for the insurance company.”

My input: What's new about this? The health insurance companies part...