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Thursday, April 28, 2011

Wireless carriers get consent to use location data (AP) : Technet

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Wireless carriers get consent to use location data (AP) : Technet


Wireless carriers get consent to use location data (AP)

Posted: 28 Apr 2011 03:50 PM PDT

WASHINGTON – The nation's four largest wireless carriers say they obtain customer permission before using a subscriber's physical location to provide driving directions, family-finder applications and other location-based services, and before sharing a subscriber's location with any outside mobile apps that provide such services.

But in letters to Congress released Thursday, the wireless companies also say they have no power to require device makers like Apple or independent developers of location-based apps to get similar user consent if these apps don't rely on the carriers themselves to track a user's whereabouts.

"While new third-party applications bring many consumer benefits, there are risks too," Kent Nakamura, vice president for policy and privacy for Sprint, wrote in a letter to Reps. Joe Barton, R-Texas, and Ed Markey, D-Mass. "And because mobile devices are now an open platform, consumers can no longer look to their trusted carrier ... to answer all of their questions."

The letters from the four carriers — AT&T Wireless, Verizon Wireless, Sprint Nextel and T-Mobile USA — were released one day after Apple admitted that its popular iPhone stores data used to help the device locate itself for up to a year. Faced with an uproar among privacy watchdogs and lawmakers after two researchers revealed iPhone location tracking practices last week, Apple said Wednesday that it will no longer store the data on phones for more than seven days, will encrypt the data and will stop backing up the files to user computers.

Google, too, acknowledged last week that phones running its Android software store some GPS location data for a short time.

Privacy watchdogs warn that location data that gets stored over time can provide a window into very private details about a person's life. Databases filled with such information, they fear, could become inviting targets for hackers, stalkers, divorce attorneys and, of course, law enforcement agents.

Representatives from both Apple and Google are expected to testify at a Senate Judiciary Subcommittee hearing on the matter next month. The Senate Commerce Committee is also planning a hearing.

Despite this week's intense focus on location privacy, the letters from the four big wireless carriers are actually in response to requests for information issued by Barton and Markey in late March.

The lawmakers asked the wireless companies to explain their policies for handling location data after The New York Times reported that a Deutsche Telekom customer had discovered that the German phone company had kept detailed information about his phone's location over a period of months. Deutsche Telekom owns T-Mobile USA, but is seeking to sell the company to AT&T.

One theme running through the letters released Thursday was that the wireless carriers all comply with federal rules that prohibit phone companies from using customer data — including location information — for purposes other than providing service, or from sharing it with outside parties, without first obtaining subscriber consent.

But those rules do not encompass device makers such as Apple, software providers like Google or mobile apps. Although many apps rely on cell tower triangulation provided by wireless carriers to determine a user's location — and may therefore be indirectly bound by federal rules — many others depend on GPS technology, Wi-Fi hot spot databases and even Internet Protocol addresses to pinpoint a user's location. Right now, few government privacy rules apply when those technologies are used.

Companies are experimenting with various approaches to help users understand that locations are being tracked. Popular apps such as the social networking service FourSquare asks users to actively "check in" to the places they visit. Many also notify users that they collect location data — and require users to agree_ before an app can be downloaded. Apple requires iPhone apps to obtain user permission to gather location information

Meanwhile, CTIA -The Wireless Association, the wireless industry's top trade group, has developed a voluntary set of industry guidelines to ensure that location-based services adequately notify consumers about location tracking and obtain consent.

Still, government officials may get involved. The Federal Communications Commission is looking at what rules could — and should — apply. The issue is also on the radar screen at the Federal Trade Commission, which wants to ensure that apps and other mobile services that gather location data do so with the full understanding and permission of users. And Barton hinted Thursday that Congress may weigh in too.

"After thoroughly reviewing the responses from the wireless carriers, I am left with a feeling of uneasiness and uncertainty," Barton said in a statement. "The companies informed us that customer consent before access of location data is a common practice, but the disconnect is when third-party applications come in to play ... It is time we hold third-party developers accountable, and I am determined to work with other members of Congress to get this done."

Microsoft 3Q growth overshadowed by tablet threat (AP)

Posted: 28 Apr 2011 05:06 PM PDT

Even as Microsoft Corp.'s earnings grow at a robust rate, investors can't seem to shake the feeling that the boom days are winding down for the world's largest software maker.

The company's fiscal third-quarter results, released Thursday, provided little reassurance despite a 31 percent increase in earnings, exceeding analyst estimates. Microsoft shares still dipped.

The main reason for the anxiety: Revenue in the division that includes Microsoft's foundation, the Windows operating system, declined from the same time last year for the second-straight quarter. The slide stems from consumers buying fewer personal computers that run the company's software.

The downturn occurred during the same period that rival Apple Inc. couldn't produce enough iPads, a potentially game-changing computer tablet, to meet the rabid demand.

That trend feeds into the theory that Microsoft's lucrative franchise in PC software will head into a gradual decline unless the company can make up for its late start in a tablet market that currently depends on rival operating systems made by Apple Inc. and Google Inc.

Catching and surpassing rivals was once something that Microsoft did well. Its word-processing and spreadsheet programs, Internet Explorer browser and Xbox 360 video game consoles all are examples of widely used products inspired by the success of other companies.

In a sign that it may have lost a step, Microsoft hasn't been able to make up as much ground during the past seven years as technology usage as shifted to the Internet and smartphones. It hasn't been for a lack of trying, especially on the Internet, where Microsoft has invested billions dollars in mostly fruitless effort to undercut Google's dominance of online search and advertising.

Microsoft made some Internet strides in the January-March period as it picked up search market share and its online division's revenue rose 14 percent.

But there also was a significant stumble: Microsoft's technology is producing less revenue per search than anticipated from a recently launched partnership with Yahoo Inc. The trouble required Microsoft to pay Yahoo extra money during the quarter and may have contributed to a slightly larger operating loss in the online operations than the same time last year.

Revenue in Microsoft's Windows division during the January-March period fell 4 percent from a year ago, slightly worse than the fall-off in PC shipments tracked by the research firm IDC.

The negatives seemed to overshadow the bright spots that enabled Microsoft to generate earnings that exceeded analyst estimates. The pluses included higher software and server sales to businesses and a hot consumer electronics commodity in the Kinect motion sensor controller that's causing more video game players to buy the Xbox 360 too.

Microsoft shares still shed 39 cents to $26.32 in extended trading Thursday after the quarterly results came out. Before that drop, the stock had fallen by about 4 percent so far this year. That contrasted with a 10 percent increase in the Dow Jones industrial average, which includes Microsoft, during that time.

Microsoft, which is based in Redmond, Wash., earned $5.2 billion, or 61 cents per share, in the latest quarter. That compares with net income of $4 billion, or 45 cents per share, a year ago.

It wasn't as impressive a quarter as Apple's performance. Apple's earnings nearly doubled during the first three months of the year to almost $6 billion. Higher net income is one reason investors have minted Apple with a $320 billion market value — nearly $100 billion more than Microsoft's

The results in Microsoft's latest quarter included a tax benefit of 5 cents per share from a settlement of an audit covering 2004 to 2006. Even without that one-time gain, Microsoft's earnings would have topped the average estimate of 55 cents per share among analysts surveyed by FactSet.

Revenue increased 13 percent to $16.4 billion — about $250 million above analyst estimates.

Driven by the Kinect demand, revenue in the company's entertainment division climbed 60 percent.

The tablet threat seems likely to dog Microsoft for years. Apple sold 19.5 million iPads in the sleek devices' first year on the market, prompting other hardware workers to design tablets running on Google's Android software. Goldman Sachs estimates about 47 million fewer notebook computers could be sold this year and next year as more people embrace tablet computers.

PCs aren't becoming obsolescent, especially for businesses that have grown comfortable with Microsoft's operating system and Office productivity software. But consumers are holding on to the Windows-driven PCs that they already have and recent trends indicate that the tablet might be a suitable choice when they replace their machines. In the latest quarter, Microsoft said sales of the lightweight laptops known as "netbooks" fell 40 percent — another indication of tablets' momentum.

BlackBerry maker slashes short-term sales forecast (AP)

Posted: 28 Apr 2011 04:53 PM PDT

NEW YORK – Research In Motion Ltd., the maker of the BlackBerry, on Thursday cut its earnings and sales forecasts for the current quarter, saying it's selling fewer and cheaper phones than it had expected.

RIM co-CEO Jim Balsillie blamed the shortfall on delays in launching new high-end BlackBerrys, saying the company is in "transition" to a new generation of phones.

"We're cutting over to a whole new platform, a whole new set of products," he told analysts on a conference call. "We feel very, very excited and committed to the long-term strategic strength of the company. We do not feel that that is in question."

Investors were skeptical, sending the stock down $6.16, or 11 percent, to $50.43 in extended trading.

It's the second hit for the stock in just over a month. When reporting earnings for its fiscal fourth quarter on March 24, the Waterloo, Ontario, company said it expects earnings of $1.47 to $1.55 per share for the current quarter, below analyst expectations at the time.

On Thursday, it lowered that range to $1.30 to $1.37 per share. It also said the number of BlackBerrys shipped will be toward the lower end of the previously forecast range of 13.5 million to 14.5 million. .

It expects revenue to come in below the $5.2 billion to $5.6 billion range it had given on March 24. It reports first-quarter results in June.

RIM still expects a comeback in the second half of its fiscal year, thanks to new phones and "cost management." It's sticking to its full-year earnings forecast of $7.50 per share.

Analysts had taken RIM at its word, and set their fiscal first-quarter expectations in the middle of the company's ranges. But they have been more cautious about full-year earnings, projecting earnings of $6.86 per share as surveyed by FactSet, well below the company's forecast.

RIM said shipments of the PlayBook, its first tablet, are in line with expectations. The tablet went on sale recently, to mixed reviews.

RIM slashed its outlook a week after rival Apple Inc. reported a blowout quarter, with a record 18.65 million iPhones shipped.

BlackBerrys are known for their security and reliability as email devices, but they haven't kept pace with iPhones or phones based on Google Inc.'s Android software when it comes to running third-party applications.

Balsillie promised the company would show "very powerful stuff" at next week's BlackBerry World conference in Orlando, Fla., which presumably will include a software update. It's not clear if RIM will go as far as demonstrating new phone software based on the radically different operating system of the PlayBook.

What is a checkpoint-friendly bag? (Yahoo! News)

Posted: 28 Apr 2011 07:02 PM PDT

Post by Michael Gray: Flying was once a fun and convenient adventure. After breezing through the security checkpoint, you could then spend some time chilling out among the shops, bars, and coffee joints while you waited for your plane. In this contemporary world of heightened wariness, though, security lines can take hours to get through all on their own. It's become important for the experienced traveler to do everything possible to make the security checkpoint experience as smooth and easy as possible. 

We talked a few weeks ago about how to make your carry-on luggage a little more checkpoint-friendly. One of the best ways to save time in security lines is to use a checkpoint-friendly bag. This leads to the obvious question: What is a checkpoint-friendly bag?

In late 2008, the Transportation Security Administration released guidelines to help certain laptop cases pass through the X-ray procedure more easily. The TSA worked with bag manufacturers to help develop these "checkpoint-friendly" designs, including some testing and feedback with the manufacturers. The TSA then released the information as a general set of guidelines for travelers. If you're using a bag designed following the rules, you probably won't have to take out your laptop and place it in a second, separate bin. 

The goal of the design is to provide security officers with a clear, unobstructed view of your laptop. They know what a laptop should look like, and the whole point of a checkpoint-friendly bag is to make sure they get as clear a view as possible.

What a checkpoint-friendly bag won't do
While so-called checkpoint-friendly bags hopefully have been created using the TSA's guidelines, the manufacturer's label is no guarantee that you won't have to take your laptop out of the bag at the airport anyway. First, the TSA doesn't endorse any specific bag as being checkpoint-friendly. It has released guidelines for manufacturers to follow, but that's not a promise that users won't have to unpack their laptops. Second, the final decision about taking laptops out of bags is left up to the security officers working in the airport. They have the final call about whether your computer can remain in your bag, and no amount of manufacturer branding will change that.

Things to avoid
A laptop bag that has certain features will absolutely not qualify as being checkpoint-friendly, since these things will definitely block an officer's view of your laptop:

  • Metal zippers, snaps, or buttons directly next to the laptop. When you're looking down at your laptop from overhead, if there is any metal over or under your laptop, the bag isn't really checkpoint-friendly.
  • Pockets over or under the laptop. Just like with metal parts, if pockets or compartments are next to the laptop, the contents will interfere with the X-ray picture of your computer.
  • Thick dividers or padding that completely surround the laptop. This thick material can obscure the image of the laptop, even if there's no metal.

The general design of the bag
A good laptop bag does more than carry your laptop. The bag's padding protects the laptop from incidental damage when it might bump into walls or other objects. As we just discussed, though, a great deal of padding can actually interfere with an X-ray scan. Extra pockets also interfere, which is a problem because most people carry more stuff in their bag than just a laptop.

The solution to the problem is the way the bag opens up. You can think of the bag design like a folded piece of paper. The laptop portion of the bag is on one side of the paper, while everything else is on the other. Normally, the paper is folded. When you need to go through security, you can unfold the paper so that the laptop half has none of the problems we talked about before.

What else to look for
Of course, there's more to a checkpoint-friendly bag than the way it opens up. When you put your stuff through the X-ray conveyor belt, you usually use the big, plastic bins. The bins make sure that collisions and machinery can't accidentally damage your belongings. A checkpoint-friendly bag should lay flat on the conveyor belt while still providing protection on all four sides of your laptop.

If TSA officers do have to get to your laptop, your bag should allow them to do so. Mechanisms that lock your laptop into the bag or make it difficult to get your computer out of its place might significantly increase wait time for everyone around.

Lastly, it helps if your checkpoint-friendly laptop bag looks like it's checkpoint-friendly. These special bags unfold in some obvious way and rarely look like backpacks or thick messenger bags. The TSA officers in charge of making sure the line is moving smoothly need to know instantly that your bag follows the checkpoint-friendly guidelines. Otherwise, they'll ask you to take your laptop out anyway.

A few checkpoint-friendly bags
The Toshiba Laptop Sleeve is an example of the most basic checkpoint-friendly bag. It's essentially an envelope to protect your laptop while you carry it around. It has no pockets or other pieces to interfere with the X-ray picture.

The Mobile Edge Alienware backpack is a little fancier. The rear half unfolds, moving the laptop away from the rest of the bag. It's a clever design that lets you have a full backpack while remaining checkpoint-friendly.

This Lowepro Nopa Trifold laptop case is a more complicated design, since it unfolds in a trifold fashion. That method of unfolding moves the laptop a huge distance from the other bag compartments, keeping the laptop well away from any cables and electronics you might carry. 

These three bags all exemplify the design principles behind the TSA's checkpoint guidelines. Nothing obstructs the X-ray view of the laptop, and they all open to up to keep the computer visible.

[Image credit: redjar]
computing everywhere travel series

U.S. Army creates its own app store (Yahoo! News)

Posted: 28 Apr 2011 06:17 PM PDT

U.S. Army App StorePost by Jacob Bolm -- Last year, the U.S. Army announced that it was interested in issuing smartphones to soldiers -- the idea being that these devices would help improve communication on the battlefield. With the introduction of an official Army Marketplace app store, the plan comes one step closer to reality.

The Army Marketplace currently features a few dozen iPhone and Android apps that soldiers created during the Army's Apps for the Army contest -- a development competition that was meant to kick off its smartphone initiative. As it stands right now, the apps are available only through a secure military website, though the long-term plan is to develop a phone-based app that will give soldiers access to the store in the same way the iPhone App Store and Android Market apps work. Civilians won't have access to the store unless they have an official Department of Defense login to access the server.

The Army recently announced that it will test a ruggedized Android phone for its smartphone program, but has yet to arrive at a definitive choice for the model. The iPhone is currently undergoing testing by the National Institute of Standards and Technology to determine if it is secure enough to host government information, but the agency is still months away from finishing testing. In the meantime, apps are being developed for both mobile operating systems to be ready for whichever platform makes the final cut.

(Source)

7 crazy DARPA robot videos

Startup Creates Modern Emergency Alert System for Mobile (Mashable)

Posted: 28 Apr 2011 04:23 PM PDT

This post is made possible by Microsoft BizSpark as a new part of the Spark of Genius series that focuses on a new and innovative startup each day. Every Thursday, the program focuses on startups within the BizSpark program and what they're doing to grow. We're taught early in life to call 911 (substitute your country's emergency contact number) during an emergency. It's simple and easy to remember. But with the advent of sophisticated mobile devices that support multitasking and location-tracking, is this emergency response system in need of a technology makeover?

[More from Mashable: Blurb Releases iPhone App for Creative Storytellers]

Newly launched startup Guardly and its CEO Josh Sookman believe so. Guardly is a mobile personal safety service that works on the iPhone, and soon Android and BlackBerry, to give the mobile user a one-tap way to contact 911 and friends and family, as well as transmit the user's location, simultaneously.

"It takes eight taps to dial 911 on the iPhone," Sookman says. Should the Guardly user place the app in the device's dock, that process is reduced to three taps, he says.

[More from Mashable: Group Video Calling Arrives on Android & iPhone]

Here's how Guardly's more intricate response system works: When a user clicks "Send Alert" in the app, he or she puts Guardly's personal safety service into motion. First comes a five-second countdown timer that vibrates with every second that passes. When the countdown hits zero, the user's default group is notified and, depending on the user's preferences, a call is placed to 911.

Everyone in the user's selected safety network is then sent a link to an Emergency Response Page -- accessible via web or mobile -- which serves as a home base and a group collaboration hub that supports location updates for all participants, photos and messages. There's also an option for safety network members to join a conference call and connect through voice.

Guardly's emergency alert system includes one more key additive. Normally, an individual unable to make an outgoing call on a mobile device would need to retry the call until he or she finds an adequate signal. Once the user initiates an alert via Guardly, however, the service continues to check the device's connection and automatically dials 911 or the user's contacts upon locating a signal.


Reducing Response Time & Group Response


Sookman, since getting his first cellphone more than 10 years ago because his parents were concerned about his safety, has been thinking about the way in the which mobile and location technologies could be coupled and applied to personal safety.

His early thoughts took shape during his tenure with BlackBerry Partners Fund where he worked as an investment analyst for the mobile sector. "The notion [for Guardly] arose when I was thinking about how to apply the evolution of mobile phones to reducing the response time in emergencies," he says.

Sookman found there to be a huge gap in the personal safety market. There are applications that allow the user to notify people, he says, but they're all one dimensional. He felt there was an opportunity to engineer a group response experience to facilitate communication after the notification.


Platform for Emergency Response


Guardly's bigger picture vision extends beyond mobile. The startup aims to be the emergency alert and real-time collaboration platform integrated into other hardware devices. Think glucose monitors, heart rate monitors and any other piece of equipment that has the capacity to detect and measure, but not alert.

It's a vision that will first need to find support from users. Guardly's iPhone app [iTunes link] has been live for just under three weeks. In its first week, the app saw roughly 5,000 downloads and continues to see significant traction, Sookman says, though he admits that the startup needs to introduce new ways to engage users during non-emergencies. We can expect application updates in the weeks and months ahead that address these shortcomings, he says.

Still, Guardly has its work out for it. Convincing users to adopt the startup's more complex, albeit more modern, emergency alert system will not be an easy task. After all, what's simpler than dialing 911?

Image courtesy of Flickr, loop_oh


Series Supported by Microsoft BizSpark

The Spark of Genius Series highlights a unique feature of startups and is made possible by Microsoft BizSpark, a startup program that gives you three-year access to the latest Microsoft development tools, as well as connecting you to a nationwide network of investors and incubators. There are no upfront costs, so if your business is privately owned, less than three years old, and generates less than U.S.$1 million in annual revenue, you can sign up today.

This story originally published on Mashable here.

Former Miss USA says she felt "violated" by TSA agent (AFP)

Posted: 28 Apr 2011 05:25 PM PDT

WASHINGTON (AFP) – A former Miss USA who says she felt "helpless and violated" during a pat down by a female airport security guard in Dallas, Texas has started a Twitter campaign on her blog to stop "invasive" body searches.

Susie Castillo, 31, who won the Miss USA Pageant in 2003, says she was hand searched after she refused to go through a full body scanner at the Dallas Fort Worth International airport.

"To say that I felt invaded is an understatement," Castillo wrote on her blog. "What bothered me most was when she ran the back of her hands down my behind, felt around my breasts, and even came in contact with my vagina!"

Castillo also tearfully recounts the April 21 incident in a five-minute video on her website.

"I felt completely helpless and violated during the entire process (in fact, I still do), so I became extremely upset," she wrote on her website. "I just kept thinking, 'What have I done to deserve this treatment as an upstanding, law-abiding American citizen?' Am I a threat to US security? I was Miss USA, for Pete?s sake!"

Castillo said on her blog that she has started a Twitter campaign to stop invasive "enhanced pat downs."

The US Transportation Security Administration allows passengers who are requested to go through full body scanners to refuse, but they are then subject to a pat-down.

The TSA announced in October that it was implementing new pat-down procedures, but they have been criticized by passengers. In November, the TSA body searched a screaming three-year old, a search which was partially captured by a cell phone camera.

ICANN hires hacker to keep Internet safe (AFP)

Posted: 28 Apr 2011 03:36 PM PDT

SAN FRANCISCO (AFP) – The agency in charge of the world's Internet addresses on Thursday appointed veteran hacker Jeff Moss to be its chief of security.

Moss, whose hacker name is Dark Tangent, is the founder of Black Hat computer security conferences as well as an infamous DefCon gathering of hackers that takes place annually in Las Vegas.

Moss will begin work Friday at the Washington, DC offices of the Internet Corporation for Assigned Names and Numbers (ICANN) as vice president and chief security officer.

"I can think of no one with a greater understanding of the security threats facing Internet users and how best to defend against them than Jeff Moss," said ICANN chief executive Rod Beckstrom.

"He has the in-depth insider's knowledge that can only come from fighting in the trenches of the on-going war against cyber threats."

A self-described hacker for more than 20 years, Moss has a resume that includes stints at Secure Computing Corporation and in the security division of professional services firm Ernst & Young.

Moss is on the US Department of Homeland Security Advisory Council.

"I'm looking forward to bringing my skill sets to ICANN," Moss said.

"Its role in coordinating the global Internet addressing system means that it is positioned to become the leader in identifying and dealing with online threats to the Domain Name System that could affect two billion global Internet users," he continued.

Beckstrom joined Moss at Black Hat in Las Vegas last year to announce a key upgrade to the Internet that promised to stop cyber criminals from using fake websites that dupe people into downloading viruses or revealing personal data.

ICANN teamed with online security services firm VeriSign and the US Department of Commerce to give websites encrypted identification to prove they are legitimate.

The Domain Name System Security Extensions, referred to as DNSSEC, basically adds a secret, identifying code to each website address.

The domain name system is where the world's Internet addresses are registered and plays a key role in enabling computers around the world to speak with one another online.

"The global threats to the Internet's Domain Name System are in essence the digital cold war of the new millennium," said Merlin Hay, member of the British House of Lords and chairman of the Information Society Alliance.

"To win this war we need someone like Jeff Moss who understands the hacker's mindset and has the international experience to grasp that today's online attacks can come from just about anywhere on the planet."

Sony sued over PlayStation Network hack (AFP)

Posted: 28 Apr 2011 06:27 PM PDT

SAN FRANCISCO (AFP) – Sony is being sued in US court by gamers irked by news that a hacker cracked PlayStation Network defenses and pilfered data that could potentially be used for fraud or identity theft.

Separate cases filed in different district courts in California on Wednesday accused Sony of being negligent and breaching its contracts with PlayStation Network users.

Both suits seek damages and class action status.

Sony did not comment on the lawsuits Thursday, but said it was working with investigators and would restore services only when it was confident it was secure.

The PlayStation Network and Qriocity streaming music service were turned off on April 20 in the wake of an "external intrusion," according to Sony spokesman Patrick Seybold.

"We are currently working with law enforcement on this matter as well as a recognized technology security firm to conduct a complete investigation," Seybold said in a blog posted Thursday on the PlayStation website.

"This malicious attack against our system and against our customers is a criminal act and we are proceeding aggressively to find those responsible."

Launched in November 2006, the PlayStation Network allows PlayStation console users to play games online, challenge others on the Internet, stream movies, or get other services.

The Japanese electronics giant said it was possible hackers had taken users' credit card data

"While all credit card information stored in our systems is encrypted and there is no evidence at this time that credit card data was taken, we cannot rule out the possibility," Seybold said, warning that "...we are advising you that your credit card number and expiration date may have been obtained."

Sony said it had emailed all 77 million PlayStation Network users worldwide to warn them that their data may have been stolen.

The lawsuit filed in Southern California on behalf of a Michigan PlayStation Network user contended that the security breach resulted from Sony's "failure to use reasonable care and maintain appropriate security procedures."

The lawsuits also faulted Sony for not alerting PlayStation Network users until April 26th about the hack, which the company reportedly discovered between April 17 and 19.

Stolen data included people's passwords, birthdates, and other personal information that could be used to hack into online accounts or impersonate them on the Internet.

Smartphone boom lifts phone market in first quarter (Reuters)

Posted: 28 Apr 2011 08:59 PM PDT

HELSINKI, April 29 (Reuters) – Strong demand for smartphones gave a further boost to overall cellphone market volumes in January-March, and making iPhone supplier Apple a rare winner on the market, research firms said on Friday.

IDC saw January-March market growth of 20 percent, helped also by strong gains by smaller vendors as the three largest phone makers -- Nokia, Samsung Electronics and LG Electronics -- lost market share.

Apple's iPhone sales more than doubled from a year ago, buoyed by strong sales on Verizon Wireless and additional carrier deals elsewhere, with market share rising to 5 percent.

"The iPhone once again sold particularly well in developed economic regions of the world, such as North America and Western Europe," IDC said.

Apple is now within striking distance to LG, who had 6.6 percent market share in the quarter. Nokia's share dropped to 29 percent from 35 percent a year ago, while Samsung slipped to 19 percent, IDC said.

Strategy Analytics estimated handset shipments grew 17 percent from a year ago, driven by surging smartphone demand in mature regions and increasingly popular models with multiple SIM cards in emerging markets.

"The first quarter of 2011 was marked by supply-chain disruptions related to the Japan earthquake tragedy and by ongoing mild component constraints in areas such as touchscreens, memory and cameras," said Neil Mawston, analyst at Strategy Analytics.

Mawston said component shortages would continue for at least the next 6 to 9 months, causing restricted volumes or rising input prices, but operational challenges from this would remain minor for most manufacturers.

(Reporting by Tarmo Virki; Editing by Muralikumar Anantharaman)

Renren revised IPO filing shows slower user growth (Reuters)

Posted: 28 Apr 2011 05:27 PM PDT

NEW YORK (Reuters) – In the run-up to one of the hottest social media IPOs of the year, China's Renren Inc lowered the number of users it said it gained in the first quarter of 2011, raising questions about the rest of the information it provided to investors in official filings.

According to the revised filing on April 27, the Chinese Facebook clone's monthly unique log-in user base grew by only 5 million, or 19 percent, in the first quarter of 2011 -- not the 7 million, or 29 percent, it reported in its first filing.

The difference came as the company, in its revision, said it had 26 million monthly unique log-in users in December 2010 -- the month before the quarter began -- after having originally put the number at 24 million.

Although bankers brush off concerns about the data and statistics provided by the frothy Chinese technology sector, Renren's revision highlights a broader trend of opaque reports Chinese companies provide to potential investors who are clamoring to profit from the booming pace of Internet expansion in China.

China's Internet sector -- the world's largest by users -- is red hot because it is difficult for outside competitors to overcome the political and cultural barriers to operate there, and some analysts warn of a bubble.

Renren, whose investors include private equity firm General Atlantic, hopes to tap the strong appetite for Chinese tech stocks and raise up to $584.1 million in an IPO next week. It is one of the first of a handful of Chinese "Facebooks," including Kaixin001, that are looking to boost their profile with U.S. listings.

Renren was not immediately available for comment.

Morgan Stanley, Deutsche Bank Securities and Credit Suisse are leading the underwriters on the Renren IPO.

(Reporting by Alina Selyukh and Clare Baldwin; Editing by Gary Hill)

Summary Box: BlackBerry maker RIM's profit warning (AP)

Posted: 28 Apr 2011 04:57 PM PDT

BLACKBERRY DOWN: Research In Motion Ltd., the maker of the BlackBerry, cuts its sales and earnings forecasts for the current quarter, which ends in May.

THE REASON: RIM hasn't launched a fresh high-end BlackBerry in a while, and it's losing out to competitors.

STAYING POSITIVE: The company is sticking to its full-year forecast, saying new models will turn things around. But investors are skeptical, sending the stock down.

Controversial Dog Wars app remains in Android Market (Appolicious)

Posted: 28 Apr 2011 05:10 PM PDT

Samsung launches patent counterattack against Apple (Reuters)

Posted: 28 Apr 2011 06:04 PM PDT

SAN FRANCISCO (Reuters) – Samsung Electronics filed its own U.S. lawsuit against Apple, accusing the iPad maker of infringing 10 patents in an escalation of the dispute over tablet and mobile technology.

The latest legal move comes after Apple sued Samsung earlier this month, claiming the Samsung's Galaxy line of mobile phones and tablets "slavishly" copies the iPhone and iPad.

Apple and Samsung are part of a wider web of litigation among phone makers and software firms over who owns the patents used in smartphones and tablets, as rivals aggressively rush into a market in which Apple jumpstarted with iPhone and iPad.

Samsung is one of the fastest growing smartphone makers and has emerged as Apple's strongest competitor in the booming tablet market with models in three sizes, but it remains a distant second in the space.

Samsung's Galaxy products use Google's Android operating system, which directly competes with Apple's mobile software.

Apple was Samsung's second-biggest customer last year, mostly for semiconductors. The iPhone maker's claims against Samsung focus on Galaxy's design features, such as the look of its screen icons.

The lawsuit filed by Samsung on Wednesday in a California federal court follows litigation initiated against Apple in South Korea, Japan and Germany last week.

Apple copied many of Samsung's innovations, according to Samsung's U.S. lawsuit. For instance, one of the patents Samsung accuses Apple of violating involves the ability for mobile phones to display the time, the lawsuit says.

"As users travel across time zones, the ability of a mobile device to update to the local time is important for tracking appointments and meetings," the lawsuit said.

An Apple spokeswoman on Thursday referred to a previous statement from the company, which accused Samsung of "blatant copying."

The case in U.S. District Court, Northern District of California is Samsung Electronics Co Ltd and Samsung Telecommunications America LLC v. Apple Inc., 11-2079.

(Reporting by Dan Levine, editing by Bernard Orr)

Sony Blames Long PSN Outage on a 'Criminal Attack' (NewsFactor)

Posted: 28 Apr 2011 01:57 PM PDT

Stop us if you've heard this one before: Sony's PlayStation Network and Qriocity music service are still down. The outage, which could soon become fodder for late-night comedians, is in its 11th day, with no specific timetable for being back online. The company did say that it expects to have "some services up and running within a week."

In an FAQ posted Thursday on the official PlayStation Blog, Nick Caplin, head of communications at Sony Computer Entertainment Europe, wrote that the company realizes the "outage has been frustrating" to users, and Sony is "taking steps to make our services safer and more secure than ever before."

'Criminal Attack'

The FAQ attempts to answer a variety of questions that at least some of the 75 million affected PSN users have been asking. Among other things, Sony had previously described the shutdown as the result of an "external intrusion," but now the FAQ describes it as "a criminal attack against our system and against our customers," and said the company is working with law enforcement.

Earlier this week, Sony revealed -- days after the network and music service went down -- that some unspecified amount of personal data was compromised. The company has said it took several days to discover the breach. In the FAQ, it now says that all the credit-card data was "encrypted," but that, at any rate, "we have no evidence that credit-card data was taken" -- although the company added that it "cannot rule out the possibility."

The bad news is that the "personal data table," which was "behind a very sophisticated security system that was breached in a malicious attack," was not encrypted.

In the Northern District of California, the first class-action lawsuit has been filed against Sony Computer Entertainment America on behalf of a PSN subscriber in Alabama, alleging lax security measures and slow notification to users about a breach of their confidential information.

'We Didn't Do It'

On Wednesday of last week, the PSN and Sony's Qriocity media service went down. Later on that day, Sony posted a notice that it was aware of the problem, and would soon update users. On Thursday, the company said it was still "investigating" the outage, and said it might take as much as a day or two to get the services back up.

Friday brought word from Sony that the cause was related to an "external intrusion," and that it had shut down the networks itself to deal with the problems. A variety of Sony watchers surmised that the "external intrusion" could have been by members of the Anonymous hacker group. With several major new game titles coming out last week, the timing of the outage was particularly suspicious.

Anonymous has denied involvement, while simultaneously posting updates to its Facebook page that suggest it could have been involved. On its AnonNews web site, where anyone can post, there is a notice dated Friday titled For Once We Didn't Do It. The posting noted that, while some individual Anons could "have acted by themselves," AnonOps was not involved and "does not take responsibility for whatever has happened."

However, on Anonymous' Facebook page, the page owner posted last week that "we have no qualms about our actions" while discussing the outage.

Meanwhile, Sen. Richard Blumenthal (D-Conn.) in a letter to the company on Tuesday, said a security breach of this size, involving many users who are children, "raises concerns of data privacy, identity theft, and other misuse of sensitive personal and financial data." He particularly criticized the delay in notifying users.

Britain's information commissioner has also said he will be looking into the situation.

Sony's S1 and S2 'PlayStation Tablets' vs. the iPad (ContributorNetwork)

Posted: 28 Apr 2011 03:56 PM PDT

Contribute content like this. Start here.

For decades, Sony's brand has stood for entertainment. So now that Sony's releasing its own tablets to compete with the iPad, which it's calling the S1 and S2 for now, you'd naturally assume two things: That there's some reason to buy one instead of an iPad, and that that reason is entertainment, whether it be music, movies or video games.

As it turns out, the Sony "PlayStation tablets" will have all three, but they'll probably leave something to be desired.

Qriocity killed the cat

Instead of Apple's iTunes for music and video, Sony's S1 and S2 tablets will ship with Qriocity, the streaming music and video service that Sony launched late last year. Its "Music Unlimited" service lets you stream "millions" of tracks to your compatible device, which at the moment includes Sony's Bravia TVs and PlayStation 3 gaming consoles, as well as Windows PCs (not Macs). Its "Video On Demand" service works similarly, and has titles from a lot of big-name studios.

The problem is that Qriocity's $9.99 a month service has to compete with iTunes, which may not offer a streaming option but which actually lets you keep your music. And there are plenty of free streaming music services available, like Pandora, Spotify and Last.fm. Worse, Qriocity is suffering from an extended network outage as of the time of this writing, along with Sony's PlayStation Network. Users' personal data may have been leaked, and there's no word yet on when the service will be back online.

Great for its time

Speaking of the PlayStation Network, the "PlayStation" part of the "PlayStation Tablet"'s unofficial moniker is the other half of its selling points. If you're used to the PSN on a PlayStation Portable or PlayStation 3, though, you'll probably be disappointed.

First off, the Android app that you'll use to log in to the PlayStation Network doesn't let you chat, or buy movies or games or anything. You'll use a separate store to buy PlayStation games, and none of the current titles are available; just PSOne classics like Crash Bandicoot and Wild Arms. A handful of exclusive games are available for PlayStation Certified devices like the S1 and S2, but these are Android games from publishers like Gameloft, and unless you've been following the Android gaming market you've probably never heard of them.

Say what you will about Apple's products, but the iPad is great for gaming.

Show us the hardware

I haven't said anything about the S1 or S2's hardware yet, because none of it excites me. They're both Tegra 2 tablets; they've both got wi-fi and 3G capability; the S1 will have dual cameras, and the S2 will have dual screens. That, and the S1 being "shaped like a magazine" where it tapers out towards one end, is about the most interesting thing I can say about them. And I have no idea how the S2's dual screen thing will play out in real life, but it reminds me of the Kyocera Echo.

The Upshot

If you're heavily invested in Sony hardware (PlayStation game consoles, Bravia TVs), it might be worth a shot to pick up a tablet that'll play nicely with them. You can even use its DLNA feature to stream music and video to compatible TVs and speakers.

Anyone else shouldn't wait, though, and should just pick up an iPad 2 instead -- even if they haven't invested in other Apple products.

Jared Spurbeck is an open-source software enthusiast, who uses an Android phone and an Ubuntu laptop PC. He has been writing about technology and electronics since 2008.

Microsoft net profit up but surpassed by Apple (AFP)

Posted: 28 Apr 2011 04:34 PM PDT

NEW YORK (AFP) – US software giant Microsoft posted a more than 30 percent rise in quarterly net profit on Thursday but pocketed less than gadget-maker Apple for the first time in two decades.

Microsoft said net profit increased 31 percent to $5.23 billion in the third quarter of its fiscal year while revenue rose 13 percent to $16.43 billion in what the company called a "mixed" market for personal computers.

Earnings per share of 61 cents were better than the 56 cents forecast by Wall Street analysts.

Apple reported quarterly net profit of $5.99 billion last week on revenue of $24.67 billion -- the first time it has posted a higher net profit than the Redmond, Washington-based Microsoft since March 1991.

In May of last year, Apple, maker of the Macintosh computer, the iPod, iPhone and iPad, dethroned Microsoft as the largest US technology company in terms of market capitalization.

Microsoft said Windows 7 was the fastest selling operating system in history with 350 million licenses sold although revenue for the segment was down four percent in the quarter to $4.4 billion, in line with PC trends.

"We delivered strong financial results despite a mixed PC environment, which demonstrates the strength and breadth of our businesses," Peter Klein, Microsoft's chief financial officer, said in a statement.

"Consumers are purchasing Office 2010, Xbox and Kinect at tremendous rates, and businesses of all sizes are purchasing Microsoft platforms and applications," Klein said.

Bill Koefoed, Microsoft's general manager for investor relations, said in a conference call with financial analysts that business PC growth was nine percent in the quarter.

"The business PC refresh cycle continues and is still in the early stages," Koefoed said, adding that emerging markets now represent nearly half of all worldwide PC shipments.

He said the consumer PC market declined eight percent in the quarter and cited several factors, "including a 40 percent decline in netbooks, broader consumer macroeconomics, increased competition for consumer spending and the strength of Windows 7 consumer PCs in the prior year."

"In total, we estimate the PC market declined one to three percent," Koefoed said.

A number of industry analysts have attributed part of the weakness in PC sales to new touchscreen tablet computers, particularly Apple's iPad, and a growing market segment where Microsoft is yet to make a mark.

Koefoed and Klein also cited problems with monetization of the Internet search partnership Microsoft has entered into with Yahoo! in a bid to take on market leader Google.

"We are partnering closely with Yahoo! to improve monetization as quickly and efficiently as possible," Klein said.

Koefoed said "the expected monetization of the combined Yahoo! and Bing search marketplace in the US and Canada is taking longer than planned and revenue per share remains below our expectations."

Consequently, he said, "we have delayed international integration efforts to focus on improvements in the US and Canada."

While Microsoft's online services division saw revenue grow 14 percent to $648 million it suffered an operating loss of $726 million.

Microsoft said revenue at its business division grew 21 percent in the quarter and Office 2010 has become the fastest selling version of the productivity suite ever.

Revenue grew 60 percent in the entertainment and devices division, Microsoft said, primarily from the popularity of the Kinect motion-controller for the Xbox 360 game console.

Computer server and tools revenue was up 11 percent, Microsoft said.

Microsoft shares were down 1.27 percent at $26.37 in after-hours trading.

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