7.6 quake jolts Alaska, triggers tsunami warning













Anchorage


Low clouds blanket Anchorage, Alaska. The tsunami waves are expected to hit Cordova and Craig, which are southeast of Anchorage.
(Marc Lester / AP Photo/The Anchorage Daily News / January 5, 2013)





































































JUNEAU, Alaska—





A tsunami warning is in effect for parts of southern Alaska and coastal Canada after a strong earthquake shook the region at midnight Friday.

The warning area includes coastal areas from about 75 miles southeast of Cordova, Alaska, to the north tip of Vancouver Island, Canada, the Alaska Tsunami Warning Center said. The warning area extends for about 475 miles.

The magnitude 7.5 quake struck at midnight Friday (1 a.m. PST Saturday) and was centered about 60 miles west of Craig, Alaska, the U.S. Geological Survey said.

A tsunami with a “significant widespread inundation of land is expected,” the center said in a statement.

The first wave was expected around 1:15 a.m. (2:15 a.m. PST) in Craig, and 2:50 a.m. in Cordova, further to the north.

The center said widespread dangerous coastal flooding is possible.

In addition to the warning, a tsunami advisory is in effect for coastal Alaska from Cape Suckling to 75 miles southeast of Cordova and from the Washington state border to the tip of Vancouver Island.

A tsunami warning means an area is likely to be hit by a wave, while an advisory means there may be strong currents, but that widespread inundation is not expected to occur.


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After much speculation, CEO Kilar to leave Hulu






(Reuters) – Hulu Chief Executive Jason Kilar will leave the streaming TV company this quarter, he wrote in a blog post on the company’s website on Friday, raising more questions about its future path under multiple owners.


Kilar has long been rumored to be exiting the company as it faces stiff competition from Netflix Inc, Amazon.com Inc as well as Google Inc and Apple Inc.






Hulu chief technology officer Rich Tom is also leaving, according to the post.


Kilar gave no reason for his departure or indicate his future plans. Hulu did not name a replacement for the executives.


Kilar, Hulu CEO since July 2007, last year steered the company to $ 700 million in revenue and grew subscribers to 3 million. More than 200,000 new subscribers have signed up with the service in the last seven days, he noted.


“My decision to depart has been one of the toughest I’ve ever made,” Kilar wrote. “The things that have clearly brought the most joy to my heart (and what I believe to be the most important inputs in our business) have been this team and the values and principles we hold dear.”


Still, the popular service, which started primarily as a free site for people to catch up on television shows they might have missed, has had a rocky path over the last five years.


Part of the problem stems from its complicated ownership structure involving media conglomerates Walt Disney Co, News Corp and Comcast NBC Universal, and how much content each should make available to Hulu.


The owners face a dilemma: The success of Hulu could potentially eat away at the lucrative business of getting cable companies to pay for programming. Furthermore, it is now building out its own stable of original content exclusive to Hulu.


Disney CEO Bob Iger said in a statement that Kilar had been “an integral part of the Hulu story, transforming it from an interesting idea into an innovative business model that continues to evolve… We appreciate what he’s built, and we share his confidence in his team’s ability to drive Hulu forward from here.”


A statement from News Corp CEO Rupert Murdoch said Kilar had helped build Hulu into one of the leading online video services and called the company “incredibly well positioned for the road ahead.”


BTIG analyst Richard Greenfield expects News Corp’s Fox to buy out its partners in the venture this year.


“With full ownership of Hulu, FOX accelerates Hulu‘s push into original programming and explores adding cable network content to create a virtual MVPD (multichannel video programmer distributor) service,” Greenfield said in a January 3 research note.


Comcast, the third partner in the venture declined to comment on Kilar’s departure. Unlike Disney and News Corp, Comcast does not have any management control of Hulu, which was a regulatory condition related to its acquisition of NBC Universal in 2011.


Hulu put itself on the block in 2011 with suitors including Google, Amazon, DirecTV Group and Dish Network Corp, Reuters reported at the time. Talks collapsed over the price of the deal.


Private equity firm Providence Equity Partners said in October last year that it had sold its 10 percent stake in Hulu to the remaining owners.


Kilar’s name surfaced as a potential candidate for the top job at Yahoo Inc after Scott Thompson resigned last year but Kilar removed himself from consideration.


(Reporting By Jennifer Saba and Liana Baker in New York; Editing by Gunna Dickson and Tim Dobbyn)


Tech News Headlines – Yahoo! News





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Anna Faris Joins Chuck Lorre’s CBS Pilot ‘Mom’






LOS ANGELES (TheWrap.com) – Anna Faris has joined the ranks of big-screen talent taking on small-screen projects.


The House Bunny” and “Scary Movie 4” star Faris has been cast to star in “Mom,” the CBS pilot from “Two and a Half Men” and “The Big Bang Theory” executive producer Chuck Lorre, individuals familiar with the situation told TheWrap on Friday.






Faris will play a newly sober single mom who attempts to pull her life together in California’s Napa Valley. (Which could pose a problem, given the region’s prodigious wine output.)


The half-hour, multi-camera comedy, which has received a pilot production order from a spec script, is executive-produced by Lorre and Eddie Gorodetsky (who’s served as a producer on “The Big Bang Theory” and “Two and a Half Men“). The pair are also writing, along with Gemma Baker (“Two and a Half Men“). Baker is also a producer on the project.


Chuck Lorre Productions is producing in association with Warner Bros. Television.


TV News Headlines – Yahoo! News





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Pregnancy Centers Gain Influence in Anti-Abortion Fight


Brandon Thibodeaux for The New York Times


Amber Jupe, right, attended a session conducted by Margo Shanks at a Care Net facility; the program addressed signs of fetal alcohol syndrome.







WACO, Tex. — With free pregnancy tests and ultrasounds, along with diapers, parenting classes and even temporary housing, pregnancy centers are playing an increasingly influential role in the anti-abortion movement. While most attention has focused on scores of new state laws restricting abortion, the centers have been growing in numbers and gaining state financing and support.




Largely run by conservative Christians, the centers say they offer what Roland Warren, head of Care Net, one of the largest pregnancy center organizations, described as “a compassionate approach to this issue.”


As they expand, they are adding on-call or on-site medical personnel and employing sophisticated strategies to attract women, including Internet search optimization and mobile units near Planned Parenthood clinics.


“They’re really the darlings of the pro-life movement,” said Jeanneane Maxon, vice president for external affairs at Americans United for Life, an anti-abortion group. “That ground level, one-on-one, reaching-the-woman-where-she’s-at approach.”


Pregnancy centers, while not new, now number about 2,500, compared with about 1,800 abortion providers. Ms. Maxon estimated that the centers see about a million clients annually, with another million attending abstinence and other programs. Abortion rights advocates have long called some of their approaches deceptive or manipulative. Medical and other experts say some dispense scientifically flawed information, exaggerating abortion’s risks.


Jean Schroedel, a Claremont Graduate University politics professor, said that “there are some positive aspects” to centers, but that “things pregnant women are told at many of these centers, some of it is really factually suspect.”


The centers defend their practices and information. “Women who come in are constantly telling us, ‘Abortion seems to be my only alternative and I think that’s the best thing to do,’ ” said Peggy Hartshorn, president of Heartbeat International, which she described as a “Christ-centered” organization with 1,100 affiliates. “Centers provide women with the whole choice.”


One pregnant woman, Nasya Dotie, 21, single, worried about finishing college and disappointing her parents, said she was “almost positive I was going to have an abortion.”


A friend at her Christian university suggested visiting Care Net of Central Texas. She met with a counselor, went home and considered her options. She returned for an ultrasound, and though planning not to look at the screen, when a clinician offered, she agreed. Then, “I was like, ‘That’s my baby. I can’t not have him.’ ”


Thirteen states now provide some direct financing; 27 offer “Choose Life” license plates, the proceeds from which aid centers. In 2011, Texas increased financing for the centers while cutting family planning money by two-thirds, and required abortion clinics to provide names of centers at least 24 hours before performing abortions. In South Dakota, a 2011 law being challenged by Planned Parenthood requires pregnancy center visits before abortions.


Cities like Austin, Baltimore and New York have tried regulating centers with ordinances requiring them to post signs stating that they do not provide abortions or contraceptives, and disclosing whether medical professionals are on-site. Except for San Francisco’s, the laws were blocked by courts or softened after centers sued claiming free speech violations. Similar bills in five states floundered. Most legal challenges to “Choose Life” license plates failed, although a North Carolina court said alternate views must be offered.


Some observers say harsh anti-abortion statements from the 2012 elections may also benefit pregnancy centers.


“Do you want some individual politician talking about rape, or some woman who says, ‘I care about you’?” Dr. Schroedel said.


Conservatives like Rick Santorum, during his presidential campaign, and the Texas governor, Rick Perry, have praised pregnancy centers.


Some centers use controversial materials stating that abortion may increase the risk of breast cancer. A brochure issued by Care Net’s national organization, for example, says, “A number of reliable studies have concluded that there is an association between abortion and later development of breast cancer.”


Dr. Otis Brawley, the American Cancer Society’s chief medical officer, who calls himself a “pro-life Catholic,” said studies showing abortion-breast cancer links are “very weak,” while strong studies find no correlation.


Other claims include long-term psychological effects. The Care Net brochure says that “many women experience initial relief,” but that “women should be informed that abortion significantly increases risk for” clinical depression, suicidal thoughts and behavior, post-traumatic stress disorder and other problems. An American Psychological Association report found no increased risk from one abortion.


With largely volunteer staffs and donations from mostly Christian sources, centers usually offer free tests and ultrasounds, services that clinics like Planned Parenthood charge for. They offer advice about baby-rearing or adoption, ask if women are being pressured to abort, and give technical descriptions of abortion and fetal development. Many offer prayer and Bible study.


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After Fiscal Deal, Tax Code May Be Most Progressive Since 1979





WASHINGTON — With 2013 bringing tax increases on the incomes of a small sliver of the richest Americans, the country’s top earners now face a heavier tax burden than at any time since Jimmy Carter was president.




The last-minute deal struck by the departing 112th Congress raised taxes on a handful of the highest-earning Americans, with about 99.3 percent of households experiencing no change in their income taxes. But the Tax Policy Center estimates that the average family in the top 1 percent will pay a federal tax rate of more than 36 percent this year, up from 28 percent in 2008. That is the highest rate since 1979, at least.


By some measures, the tax code might now be the most progressive in a generation, tax economists said, while noting that every American is paying a lower burden currently than they did then. In fact, the total federal tax rate is still vastly lower for the very rich than it was at any point in the 1940s through 1970s. It has risen from historical lows, but is still closer to those lows than where it was in the postwar decades.


“We made the system more progressive by raising rates at the top and leaving them for everyone else,” said Roberton Williams of the Tax Policy Center, a research group based in Washington. “The offsetting issue is that the rich have gotten a lot richer.”


Indeed, over the last three decades the bulk of pretax income gains have gone to the wealthy — and the higher up on the income scale, the bigger the gains, with billionaires outpacing millionaires who outpaced the merely rich. Economists doubted that the tax increases would do much to reverse that trend.


With the recovery failing to improve incomes for millions of average Americans and the country running trillion-dollar deficits, President Obama made “tax fairness” a centerpiece of his re-election campaign. In the heated negotiations with House Speaker John A. Boehner, that translated into the White House’s insistence on tax increases for the top 2 percent of households and a continuation of tax breaks and cuts for a vast number of taxpayers.


Republicans resisted increasing tax rates and aimed for lower revenue targets, arguing that spending was the budget’s primary problem and that no American should see his or her taxes go up too much in such a sluggish economy. But ultimately they relented, and Congress cut a last-minute deal.


“A central promise of my campaign for president was to change the tax code that was too skewed towards the wealthy at the expense of working middle-class Americans,” Mr. Obama said after Congress reached an agreement.


That deal includes a host of tax increases on the rich. It raises the tax rate to 39.6 percent from 35 percent on income above $400,000 for individuals, and $450,000 for couples. The rate on dividends and capital gains for those same taxpayers was bumped up 5 percentage points, to 20 percent. Congress also reinstated limits on the amount households with more than $300,000 in income can deduct. On top of that, two new surcharges — a 3.8 percent tax on investment income and a 0.9 percent tax on regular income — hit those same wealthy households.


As a result of the taxes added in both the deal and the 2010 health care law, which came into effect this year, taxpayers with $1 million in income and up will pay on average $168,000 more in taxes. Millionaires’ share of the overall federal tax burden will climb to 23 percent from 20 percent.


The result is a tax code that squeezes hundreds of billions of dollars more from the very well off — about $600 billion more over 10 years — while leaving the tax burden on everyone else mostly as it was. And the changes come after 30 years of both Republican and Democratic administrations doing the converse: zeroing out federal income taxes for many poor working families while also reducing the tax burden for households on the higher end of the income scale.


“Back at the end of the Carter and beginning of the Reagan administrations, we had a pretty severe income-tax burden for people at a low level of income. It was actually kind of appalling,” said Alan D. Viard, a tax expert at the American Enterprise Institute, a right-of-center research group in Washington. “Policy makers in both parties realized that was bad policy and started whittling away at it” by expanding credits and tinkering with tax rates.


After those changes and the new law, comparing average tax rates for poor households and wealthy households, 2013 might be the most progressive tax code since 1979. But economists cautioned that measuring progressivity is tricky. “It’s not like there is some scientific measure of progressivity all economists agreed upon,” said Leonard E. Burman, a professor of public affairs at Syracuse University. “People look at different numerical measures and they’ve changed in different ways at different income levels.”


Mr. Viard said that over time the code had become markedly more progressive for the poor compared with the middle class. But it arguably did not become much more progressive for the rich compared with the middle class, or the very rich compared with the rich, in part because of the George W. Bush-era tax cuts on investment income.


An anesthesiologist who earns a $500,000 salary subject to payroll and income taxes might pay a higher tax rate than a hedge fund manager making $1 billion subject mostly to capital-gains taxes, for instance.


Economists are also divided on the ultimate effect of those tax increases on the wealthy to income growth and income inequality in the United States. The recession hit the incomes of the rich hard, but they have snapped back much more strongly than those for middle or low-income workers.


“I’d still rather be really rich, even if I’m getting taxed much more than a low-income person” would be, Mr. Williams of the Tax Policy Center added.


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Legislators want Army Corps to explain habitat removal decision









Two state senators on Thursday called on the U.S. Army Corps of Engineers to explain its decision to plow under 43 acres of lush wildlife habitat at the Sepulveda Basin without prior notice or coordination with community leaders and environmentalists.


Sens. Kevin de Leon (D-Los Angeles) and Fran Pavley (D-Agoura Hills) asked for details about what led to the agency's declaration in August that its "vegetation management plan" for the area did not require an environmental impact report because it would not significantly disturb wildlife and habitat.


On Dec. 10, Army Corps bulldozers, mowers and mulching machines stripped nearly all the greenery from the swath of Los Angeles River flood plain just west of Interstate 405 and north of Burbank Boulevard, wiping out habitat for mammals, reptiles and hundreds of species of birds.





"When a clunky federal bureaucracy doesn't collaborate with state and local officials and community leaders, you create a real mess, which is what we have right now at the Sepulveda Basin," De Leon said in an interview.


He noted that although the corps is not subject to state environmental laws, protections from the federal National Environmental Policy Act may apply.


"If the Army Corps doesn't cooperate, the next step is to engage members of Congress to exercise their powers, or have the state attorney general notify the U.S. district attorney's office," De Leon said.


Pavley, whose district includes the Sepulveda Basin, said she wants to know the extent of damage caused to trails, markers and signs funded with "state and local park monies" and installed and maintained "by thousands of hours of volunteer work."


Army Corps of Engineers District Cmdr. Col. Mark Toy was unavailable for comment. But corps spokesman Jay Field said the agency will cooperate fully with the senators.


The area existed as a wildlife preserve adjacent to the Sepulveda Dam for more than three decades. In 2010, it was reclassified as a corps "vegetation management area" with a new five-year mission of replacing trees and shrubs with native grasses as part of an effort to improve access for corps staffers, increase public safety and discourage crime, lewd activity, drug abuse and homeless camps.


Environmental groups led by the San Fernando Valley Audubon Society interpreted the plan to suggest the agency would avoid removal of native willow and cotton groves, elderberries, coyote brush and mule fat. Much of that vegetation was planted decades ago under a corps program to create the wildlife preserve.


Kris Ohlenkamp, conservation chairman of the San Fernando Valley Audubon Society, said the corps' management plan was vague. "But this much is clear: What the corps actually did to that land is not represented anywhere in the plan."


Army Corps Deputy District Cmdr. Alexander Deraney has said his agency's actions were "more or less in line with the plan." He said the corps wanted to preserve the native vegetation but discovered that "the native brush was so grown into non-native brush that it would be impossible to separate them."


The corps has ceased operations on the property pending consultations and meetings with environmental and community groups.


louis.sahagun@latimes.com





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This Is Anderson Cooper with Bird Poop on His Face






We realize there’s only so much time one can spend in a day watching new trailers, viral video clips, and shaky cell phone footage of people arguing on live television. This is why every day The Atlantic Wire highlights the videos that truly earn your five minutes (or less) of attention. Today:  


RELATED: Yes, Someone Turned Their Dead Cat Into a Helicopter






We have some terrible news for you today: Anderson Cooper has imperfections. Weird, right? We always thought Cooper was Elvish or some otherworldly being created for the tears of stars and moonbeams, but, guys, he’s totally human. And he has under-eye bags and he’s totally unafraid to smear bird feces on them to make them go away. This is a bad sign for regular humans with regular, un-Cooper-like people problems:


RELATED: ‘Morgan Freeman’ Reads ’50 Shades’; The Science of Orgasms


RELATED: Stephenie Meyer’s Dreams Are Worth $ 750 Million Per Hour


This video will make you wish adopting parents was a thing:


RELATED: Stop-Motion Guacamole Making; Robots Will Replace Our Caricaturists


RELATED: Your Brain on Love; Whit Stillman Waited 14 Years to Make a Movie About College


This one will make you wish the same thing about grandparents: 


Rule No. 32928 of the world: Fireworks are totally awesome and spectacular and are even more awesome and spectacular in reverse. 


And finally, here are some facts that will blow your mind … or, more likely, elicit weird looks at that cocktail party you were invited to:


Wireless News Headlines – Yahoo! News





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Congressional critics of bin Laden film step up pressure on CIA






WASHINGTON (Reuters) – Three U.S. senators, including the chair of the Senate Intelligence Committee, have stepped up their pressure on the CIA over its response to “Zero Dark Thirty,” a new film about the hunt for Osama bin Laden.


In a letter sent to the CIA and released on Thursday, Dianne Feinstein, the head of the Intelligence Committee, Armed Services Committee Chairman Carl Levin and Senator John McCain asked the agency for evidence that “enhanced interrogation techniques” produced information that helped U.S. authorities locate and kill the al Qaeda leader in May 2011.






The letter is the latest broadside in a renewed political fight over enhanced interrogation techniques, which some equate with torture, touched off by the nationwide premiere of “Zero Dark Thirty” on January 11.


The movie depicts a detainee being subjected to harsh interrogation techniques, which President George W. Bush‘s administration later abandoned, and suggests they played a role in finding bin Laden, who was behind the September 11, 2001, attacks on the United States.


Last month, in response to an earlier letter from the senators, acting CIA director Michael Morell said in a statement that some of the information that led agency analysts to conclude that bin Laden was hiding in Abbottabad, Pakistan, “came from detainees subjected to enhanced techniques but there were many other sources as well.”


In their latest letter, sent on Monday, the lawmakers said that an Intelligence Committee review of the CIA’s post-September 11 interrogation and detention program determined that an agency detainee who provided the most accurate information about a courier who led the CIA to bin Laden “provided the information prior to being subjected to coercive interrogation techniques.”


A lengthy report on the investigation, which the committee approved last month in a mostly party-line vote, remains highly classified.


Feinstein, Levin and McCain requested the CIA produce evidence to back up Morell’s assertion that useful information related to the hunt for bin Laden came from detainees subjected to harsh techniques, and whether it was obtained before, during or after enhanced interrogations.


The senators’ release of the letter came a day after Reuters reported that Feinstein’s committee was reviewing CIA records about the agency’s interactions with “Zero Dark Thirty” filmmakers Kathryn Bigelow and Mark Boal to see if the spy agency gave them “inappropriate” access to secret material.


The committee also will investigate whether CIA personnel are responsible for the film’s portrayal of harsh interrogation practices and the implication that they were effective, a person familiar with the matter said.


Asked for comment on the senators’ latest request, CIA spokesman John Tomczyk said: “As we’ve said before, we take very seriously our responsibility to keep our oversight committees informed and value our relationship with Congress.”


(Editing by Warren Strobel and Bill Trott)


Movies News Headlines – Yahoo! News





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Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



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Google’s Lawyers Work Behind the Scenes to Carry the Day





SAN FRANCISCO — For 19 months, Google pressed its case with antitrust regulators investigating the company. Working relentlessly behind the scenes, executives made frequent flights to Washington, laying out their legal arguments and shrewdly applying lessons learned from Microsoft’s bruising antitrust battle in the 1990s.




After regulators had pored over nine million documents, listened to complaints from disgruntled competitors and took sworn testimony from Google executives, the government concluded that the law was on Google’s side. At the end of the day, they said, consumers had been largely unharmed.


That is why one of the biggest antitrust investigations of an American company in years ended with a slap on the wrist Thursday, when the Federal Trade Commission closed its investigation of Google’s search practices without bringing a complaint. Google voluntarily made two minor concessions.


“The way they managed to escape it is through a barrage of not only political officials but also academics aligned against doing very much in this particular case,” said Herbert Hovenkamp, a professor of antitrust law at the University of Iowa who has worked as a paid adviser to Google in the past. “The first sign of a bad antitrust case is lack of consumer harm, and there just was not any consumer harm emerging in this very long investigation.”


The F.T.C. had put serious effort into its investigation of Google. Jon Leibowitz, the agency’s chairman, has long advocated for the commission to flex its muscle as an enforcer of antitrust laws, and the commission had hired high-powered consultants, including Beth A. Wilkinson, an experienced litigator, and Richard J. Gilbert, a well-known economist.


Still, Mr. Leibowitz said during a news conference announcing the result of the inquiry, the evidence showed that Google “doesn’t violate American antitrust laws.”


“The conclusion is clear: Google’s services are good for users and good for competition,” David Drummond, Google’s chief legal officer, wrote in a company blog post.


The main thrust of the investigation was into how Google’s search results had changed since it expanded into new search verticals, like local business listings and comparison shopping. A search for pizza or jeans, for instance, now shows results with photos and maps from Google’s own local business service and its shopping product more prominently than links to other Web sites, which has enraged competing sites.


But while the F.T.C. said that Google’s actions might have hurt individual competitors, over all it found that the search engine helped consumers, as evidenced by Google users’ clicking on the products that Google highlighted and competing search engines’ adopting similar approaches.


Google outlined these kinds of arguments to regulators in many meetings over the last two years, as it has intensified its courtship of Washington, with Google executives at the highest levels, as well as lawyers, lobbyists and engineers appearing in the capital.


One of the arguments they made, according to people briefed on the discussions, was that technology is such a fast-moving industry that regulatory burdens would hinder its evolution. Google makes about 500 changes to its search algorithm each year, so results look different now than they did even six months ago.


The definition of competition in the tech industry is also different and constantly changing, Google argued.


For instance, just recently Amazon and Apple, which used to be in different businesses than Google, have become its competitors. Google’s share of the search market has stayed at about two-thirds even though competing search engines are “just a click away,” as the company repeatedly argued. That would become the company’s mantra to demonstrate that it was not abusing its market power.


Claire Cain Miller reported from San Francisco, and Nick Wingfield from Seattle.



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