Google, the Authors Guild and the Association of American Publishers ended a three-year battle over claims that the search engine violated copyright law by digitizing millions of protected books for Google Book Search. The agreement announced Tuesday ends class-action suits by book authors and the guild, as well as separate litigation by five large publishers representing the AAP, the parties said. The settlement will boost Internet access to in-copyright works while allowing authors to control, and be paid for, access to their intellectual property, they said. The class-action deal must be approved by the U.S. District Court for the Southern District of New York.

With the proper revisions, major cable and wireless associations said, they would back FCC Chairman Kevin Martin’s plan to overhaul the Universal Service Fund and intercarrier compensation. Meanwhile, Qwest, congressmen and consumer advocates took sides. The FCC plans to vote Nov. 4 on the Martin plan. Sunshine was to have gone into effect Tuesday (CD Oct 28 p2).

FCC and Agriculture Department officials are promoting a $1.5 billion federal loan and grant program for telecom infrastructure, broadband and distance learning projects in rural communities. The funding comes from money provided in the resolution that funds the government through March 6 that Congress passed in September. The FCC and USDA began in February promoting the programs, which had similar funding in FY 2008, starting with a joint Web site and four workshops planned throughout the country, the last set for Nov. 20 in Phoenix.

Any FCC intercarrier compensation and Universal Service Fund decision is unlikely to affect a merger between CenturyTel and Embarq, Embarq CEO Tom Gerke said in a Monday conference call. CenturyTel announced it will acquire Embarq for $11.6 billion, including assumption of debt. The deal is expected to close Q2. Analysts agreed they see few regulatory hurdles.

With a lobbying ban looming, telecom interests are making feverish last-minute pitches to sway commissioners on possible overhauls for the Universal Service Fund and intercarrier compensation. Unless the FCC says otherwise, lobbying on the issue ends sometime Tuesday, with release of the commission’s sunshine notice for the Nov. 4 meeting. Verizon recently joined AT&T and Qwest in endorsing comprehensive reform.

Commissioner Deborah Tate praised the FCC for drafting a revamp for the universal service fund and intercarrier compensation. But speaking Friday at a Free State Foundation forum, the commissioner mostly kept mum on her opinions of the proposed order circulating on the eighth floor. Tate said she’s “inclined to support” a pilot USF Lifeline/LinkUp program proposed by Chairman Kevin Martin to get broadband to low-income households. She didn’t say anything about the draft’s other points except that she hopes for consensus.

With the FCC set to vote Nov. 4 on rules for the TV white spaces, both sides of the extended debate on the spectrum are making a final push. Proponents of opening the white spaces for use by unlicensed mobile devices want the FCC to adopt the order as circulated last week by Chairman Kevin Martin. Foes want the agency to seek comments on an Office of Engineering and Technology report on white spaces interference, or otherwise delay a vote.

With the FCC set to vote Nov. 4 on rules for the TV white spaces, both sides of the extended debate on the spectrum are making a final push. Proponents of opening the white spaces for use by unlicensed mobile Internet devices want the FCC to adopt the order as circulated last week by Chairman Kevin Martin. Foes want the agency to seek comments on an Office of Engineering and Technology report on white spaces interference, or otherwise delay a vote.

The Independent Telephone and Telecommunications Alliance, a mid-sized carriers trade group, is “encouraged” that NARUC wants public comment on intercarrier compensation and Universal Service Fund proposals at the FCC, it said. “NARUC clearly recognizes the weight and potential unintended consequences of the FCC rushing to adopt such a large and complicated order in such a relatively short time frame,” said ITTA President Curt Stamp. “We are hopeful that the FCC will heed the advice of their state colleagues and give this Order time for meaningful review and consideration in a comment period.” Stamp said the changes proposed for intercarrier comp and USF could have a “devastating” effect on midsized carriers: “The stakes are too high for the FCC to rush to judgment on this issue.”

Don’t extend cost-assignment forbearance to incumbent carriers Embarq, Frontier and Windstream, competitive local exchange carriers urged the FCC. Earlier this year, the FCC granted AT&T, Verizon and Qwest forbearance from the rules, which among other things require carriers to separate intrastate and interstate costs. Tuesday, CompTel, One Communications and TW Telecom opposed the mid-sized incumbents’ request for similar relief. The FCC “should not exacerbate its error in granting cost assignment forbearance to AT&T, Verizon and Qwest,” the CLECs said. If the FCC does extend relief, however, it should condition forbearance on the elimination of Universal Service Fund subsides that the requesting incumbents and Bells receive, they said. Also, the commission should give the carriers “more detailed” instructions on how to develop a compliance plan showing how they will give the agency usable accounting data at the agency’s request once the order takes effect, the CLECs said. The CLECs and others have slammed compliance plans submitted by the Bells.