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Wednesday, September 21, 2011

Review: Skype phone and adapter for home calling (AP) : Technet

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Review: Skype phone and adapter for home calling (AP) : Technet

Review: Skype phone and adapter for home calling (AP)

Posted: 21 Sep 2011 04:11 PM PDT

By PETER SVENSSON, AP Technology Writer Peter Svensson, Ap Technology Writer – Wed Sep 21, 7:11 pm ET

NEW YORK – With two new products, Skype has made it easier to make Internet calls from home phones, for savings on international calls and potentially also domestic ones.

But compared to other Internet calling options for the home, Skype's solution is a piecemeal and complicated way to save money. All the same, some Skype fans may appreciate the new cordless phone with a built-in Skype function.

We tested the phone along with the new Freetalk Connect-Me phone adapter, which Skype sells for $40. That price includes an hour calling. For an additional $20, you can get free calls to the U.S. and Canada for a year. Calls to people on Skype (as opposed to those reached by dialing a number) are free, no matter where they are.

The adapter is a small box that plugs into a power outlet. You connect cables to your Internet router, your phone jack and your home phone.

When you make a Skype call, the adapter diverts the call from the external phone line to your Internet connection. But first you have to pre-program the adapter to recognize certain speed-dial numbers as corresponding to Skype contacts or phone numbers. Since it's truly a "black box" — with no buttons or screen — you reach it through your computer's Web browser.

This clunky setup prevents you from making impromptu Skype calls. Because your phone isn't designed to work with Skype, you can't access your Skype address book directly on the handset, or see who's online to take your calls. Since home phones don't have cameras, you won't be able to do video calls.

On the plus side, the phone lets you receive Skype calls at any time, without having your computer on.

But what really sinks the Skype adapter in my esteem is the sound quality. On calls to international and domestic phones, there were odd hissing noises in the background and voices were muffled. One person I called heard her own echo, a common phenomenon on poorly configured Internet phone systems.

The audio improved greatly, to the level of a good cellphone call, when I ditched the adapter for the other recent Skype release, the GE Digital Cordless Expandable phone. It costs $70 with 400 minutes of calls thrown in. For another $20, you get a year of calls to the U.S. and Canada and 200 minutes of calls to international phones.

It looks like any cordless phone, except it has a prominent "Skype" button. It can make and receive regular phone calls, and the buttons and screen make it a lot easier to make Skype calls than it is with the adapter. The phone shows you which of your Skype contacts are online, and when you dial a number, you can choose whether to route it through Skype or the phone company.

It sounds good to be able to choose between the boring old phone company and the jazzy new Internet guerrilla for every call. But how much money will that really save you?

Most plans from phone and cable companies already include unlimited domestic calling, so there isn't much point to running those over Skype. Their international rates, though, are good. And of course, calls to Skype contacts are free.

But if you call the same few people overseas over and over again, and they're not big Skype users, there's another way of making cheap Skype calls from your home phone, without the use of an adapter or special phone. You can sign up for the To Go service on Skype's website. If you give it an international number that you like to call, it will give you a local number back. Call that number from your home phone, and Skype connects your international call at its rates, rather than the phone company's. It's like a calling card, but without the hassle of entering a bunch of numbers on the phone. (A competitor called Rebtel has a similar service.)

The drawback to Skype To Go is that you can only call phone numbers — it won't connect you to Skype users for free.

Now, it looks like you could reap some really big savings by eliminating your home phone service altogether in favor of the Skype phone or adapter. After all, Skype charges about as much for a year's worth of service as a phone or cable company does for a month.

But Skype isn't set up as a replacement for a landline, and points this out at every opportunity. For one thing, you can't call 911 on it. Also, Skype doesn't give you a phone number, unless you pay another $18 per three-month period. Without a phone number, you can make outgoing calls, but you can't receive them. The exception would be any Skype call routed to your username. Try giving that to the doctor's office! And even if you pay for a phone number, it will be a new one — you can't move your existing home number over to Skype.

See what I mean about a piecemeal solution? It's like you have to pay for every little piece of the puzzle.

To really break free from the phone or cable company, you need a full-service Internet calling product, like those sold by Vonage Holdings Corp. or Ooma. Both support 911 calls, and let you move over your phone number. Ooma's sound quality is practically indistinguishable from a regular landline.

Skype is a victim of its limited ambitions when it comes to home phone service. It wants to be an Internet phone company, but doesn't want to bother with all the regulation and nitty-gritty details that come with the "phone company" part. It will be interesting to see if Microsoft Corp., which is planning to buy Skype for $8.5 billion, will take it in a different direction.

Disney hopes game character makes it to big screen (AP)

Posted: 21 Sep 2011 04:20 PM PDT

By RYAN NAKASHIMA, AP Business Writer Ryan Nakashima, Ap Business Writer – Wed Sep 21, 7:20 pm ET

LOS ANGELES – The Walt Disney Co. has used mobile games to promote its movies, but now it's trying something new: launching a cuddly character in a game in the hope he makes it to the big screen someday.

In a first effort at the new strategy, Disney is launching this week an animated alligator named "Swampy," whose bizarre quest in the 99-cent iPhone game "Where's My Water?" is to keep clean.

The reptile, unlike his in-the-wild counterparts, lives under a big city and mostly hangs around in his bathtub, waiting for iPhone owners to dig a digital trench that allows water to flow into his poorly connected plumbing.

Disney Mobile general manager Bart Decrem says one goal of the launch is to incubate new characters that can cross over into other Disney business units like movies and merchandise.

"Maybe five years from now, wouldn't it be great if there was a movie that started up on the App Store?" Decrem said.

He said mobile devices are becoming central to kids' lives and Disney wants to make sure it is there.

"To me, this is where a generation of kids is growing up. And it's really critical for the success of the company that we be there and telling stories and introducing characters to a new generation of kids," he said.

Disney's interactive unit has long been a troubled one. Expensive forays into making video games for consoles such as the Xbox and PlayStation 3 have resulted in big losses.

In the most recent quarter through July, Disney's interactive unit lost $86 million on revenue that grew 27 percent from a year earlier to $251 million. That marked the 11th consecutive quarterly loss since Disney began breaking out results for the unit in late 2008.

Analysts have questioned what Disney is doing in the games business, especially after its $563 million purchase of social games maker Playdom last year didn't help stem the losses.

The unit's new co-presidents, John Pleasants and James Pitaro, have made it a goal for interactive to be profitable in 2013.

The focus on mobile games, rather than console games, is part of what Disney hopes aids the turnaround. Decrem said mobile games take up to a dozen people about half a year to create. That's far less expensive than console games, which can take hundreds of programmers two to three years to finish.

Disney Chief Financial Officer Jay Rasulo told an investor conference in New York on Wednesday one focus of the interactive unit is to deliver products at lower cost. "Clearly, we've got a lot of work to do in this business," he said.

Swedish daycare centers use GPS to track children (AP)

Posted: 21 Sep 2011 12:15 PM PDT

By MALIN RISING, Associated Press Malin Rising, Associated Press – Wed Sep 21, 3:15 pm ET

STOCKHOLM – Daycare centers in Sweden have started using GPS systems and other electronic tracking devices to keep tabs on children during excursions — a practice that has raised ethical and practical questions.

Some parents are worried day care centers will use the technology to replace staff. Others wonder whether getting children used to being under surveillance could affect their idea of privacy when they grow older.

Monica Blank-Hedqvist, the principal of a daycare center in the city of Borlange told The Associated Press Wednesday her staff have been using such devices during supervised walks in the forest: the kids wear vests with transmitters that staff can track on a screen.

"It is excellent, it has been only positive for us," Blank-Hedqvist said.

The devices are used as extra security by three preschool teachers watching around 20 children, to quickly discover if one of them strays away from the group, she said.

Par Strom, an author and commentator on issues related to technology and privacy, told news agency TT he is of two minds about the tracking.

"On the one hand I can see the practical advantages in some situations. At the same time you get children used to constant surveillance at a very young age," he said.

Not everyone is convinced the tracking systems can increase security for their children.

"What a shame we don't use the money and energy on salaries (for daycare employees) instead," columnist and mother of three, Malin Wollin wrote on tabloid Aftonbladet's website Wednesday. "Everyone who has ever had a cell phone, or a TV, or a computer know that technology sometimes plays up."

Johan Stromhage, spokesman for GPS device maker Purple Scout, said the trackers should be seen as a complement to staff at daycare centers and not a replacement. He also stressed the system doesn't store any personal information.

Purple Scout is currently testing its product at a daycare center in southern Sweden, but has already received orders from dozens of private childcare facilities, he said.

Erik Janzon, team leader at Sweden's Data Inspection Board, said the authority may investigate the matter.

"It could be quite harmless, or it could affect aspects of privacy," Janzon said. "It depends on what kind of information you feed into the system and the purpose of the use."

Problems could arise if the devices store personal details or information about a person's whereabouts, Janzon said, adding that even if a system is initially developed for good causes it could be misused for other purposes in the future.

Pandora gets a facelift, goes unlimited for free streaming music (Yahoo! News)

Posted: 21 Sep 2011 06:21 PM PDT

Drink-mixing typewriter lets you pick your poison with keystrokes (Yahoo! News)

Posted: 21 Sep 2011 04:18 PM PDT

Foursquare Hack Switches Your Profile Photo Based on Your Location (Mashable)

Posted: 20 Sep 2011 03:22 PM PDT

Sarah Kessler Sarah Kessler – Tue Sep 20, 6:22 pm ET

The Hack of the Week Series highlights a new hackathon programming project each week.

[More from Mashable: Rahm Emanuel Joins Foursquare With Launch of Windy City Badge]

You change depending on where you are going. So why shouldn't your profile photo? One participant at Foursquare's first global hack day came up with a way to automatically change your picture to match the kind of venue you're checked into.

[More from Mashable: Terminator Vision App Sweeps Hackathon [VIDEO]]

PlaceFace, created by Jason Pope and Jonathan Wegener at the weekend-long event in New York, asks users to select profile photos for eight Foursquare categories such as "education" and "nightlife." When a user checks into a new venue, the app changes his or her Foursquare profile photo to match the venue's category. Enthusiastic users can also connect their Twitter accounts, so the thumbnails on their tweets change at the same time.

The hack won third place, which means Pope and Wegener are the proud owners of a giant, inflatable remote-controlled shark. It also means they'll be entered in the global competition, where they have the opportunity to win a boxing-inspired prize belt.

Wegener is no stranger to this scene. At a Foursquare hack day in February, he built what is now a popular app called 4SquareAnd7YearsAgo. It uses the Foursquare API to remind you what you were doing a year ago. Pope, a software engineer at a computer security company, is a Foursquare hackathon rookie. The pair met when Wegener stopped by the hackathon for what he intended to be an hour, and ended up staying the entire weekend.

The team isn't allowed to update the hack until voting for the global competition is finished, but eventually Wegener says they might update the hack with an option to take photos on a webcam and add more of Foursquare's 364 different categories -- starting with the burrito category.

This story originally published on Mashable here.

HP may oust CEO, hire eBay veteran: source (Reuters)

Posted: 21 Sep 2011 08:02 PM PDT

By Poornima Gupta and Edwin Chan Poornima Gupta And Edwin Chan – 1 hr 41 mins ago

(Reuters) – Hewlett-Packard Co's board convened on Wednesday to consider ousting Chief Executive Officer Leo Apotheker after less than a year on the job and replacing him temporarily with former eBay CEO Meg Whitman, a source familiar with the matter said.

HP's board of directors -- facing shareholder lawsuits and intensifying criticism from investors -- is thrashing out a host of issues, including whether to name Whitman as the interim CEO, the source told Reuters,

The storied Silicon Valley giant is fighting to restore its crumbling credibility. During his 11-month tenure, Apotheker slashed sales forecasts repeatedly, backtracked on promises to integrate Palm's webOS software into devices, and struggled to halt a 50 percent plunge in the share price.

No decisions have yet been made about leadership, the source said on condition of anonymity because of the sensitivity of the issue.

Wall Street roared its approval, sending HP shares up 6.6 percent to close at $23.96, a gain of $3 billion in the company's market value.

If Apotheker is let go, he would be the third CEO in a row to be ousted by the board of the largest U.S. technology company by sales.

Analysts say the odds may have been stacked against Apotheker from the beginning. Venture capitalist Ray Lane, who this year assumed chairmanship of an often-lambasted but powerful board, has argued that previous management underinvested in areas including software and services.

"He was doomed from the beginning," said Ticonderoga Securities analyst Brian White. "The die was cast for whoever stepped into that position."

INVESTOR IRE

Investors seemed to approve of Whitman, a billionaire who joined HP's board this year on an interim basis after a failed bid to become California's governor.

Apotheker, former CEO of German business software maker SAP AG, was a surprise choice to replace the popular Mark Hurd, himself ousted last year after a scandal involving expense reports and a female contractor.

Before Hurd came Carly Fiorina -- like Whitman, a candidate for California political office -- whom investors blamed for betting on a sunset PC industry by buying Compaq. She was eventually fired by the board.

Now, HP is grappling with withering criticism from Wall Street -- and a raft of shareholder lawsuits -- over recent strategic decisions and the haphazard way in which they have been communicated.

In August, it confounded investors by killing off a much-touted line of mobile devices including the TouchPad and declaring it may spin off its massive PC division. Apotheker also spearheaded a deal to buy British software maker Autonomy that many considered too costly.

The potential loss of HP's main public face raises questions about those pivotal strategic shifts, and has even triggered speculation the board might do an about-face on some of them.

Especially rankling to investors had been a decision to fork over close to $12 billion for Autonomy, without clarifying how the niche maker of cloud-computing software would fit into or help drive a sprawling empire that spans computers, printers, software and enterprise IT solutions.

"If (HP) fires Apotheker, cancels Autonomy deal, and keeps PC division, it'll be great for the stock -- and every director should be arrested," outspoken hedge fund manager Eric Jackson said on Twitter in reaction to the news.

A MATTER OF TIME

Apotheker's possible exit has been viewed by some as merely a matter of time. Chairman Lane had been taking a more visible role in past weeks, including accompanying the CEO to visit investors to try and clarify HP's strategy.

And last week, he replaced Apotheker at an industry conference to defend HP's change in strategy and clear the confusion that followed in the market.

"It was unanimously agreed to," said a second source familiar with the situation, referring to the Autonomy deal. "The board was a big part of this."

But the pricey Autonomy deal is hard to walk away from, even if HP wanted to, this person said, adding he did not think the deal was an issue right now.

The board will, however, be deliberating over the fate of HP's personal computers group, which it wants to spin off. HP has said a decision on the group's fate - which could also include a sale or no change in status -- is expected by the end of the year.

"It's unclear if they wish to change this current strategy, or just change the messenger," said Collins Stewart analyst Louis Miscioscia.

HP's board has been held up as a model of dysfunction since the wiretapping scandal of a few years ago, when HP counsel and board chairwoman Patricia Dunn authorized electronic eavesdropping on directors and journalists to try to plug a series of media leaks.

That scandal, forever associated with a company hailed as a cornerstone of Silicon Valley, forced Dunn's resignation.

Wall Street now awaits HP's decision on future leadership. Representatives for Whitman, whose track record at eBay came under attack during her campaign, did not respond to requests for comment. A representative for HP declined to comment.

News of Apotheker's potential ouster was first reported by Bloomberg.

(Reporting by Edwin Chan in Los Angeles, Poornima Gupta in San Francisco and Paritosh Bansal in New York; Editing by Lisa Von Ahn, Matthew Lewis and Richard Chang)

Mexico "Twitter terrorists" freed: attorney (Reuters)

Posted: 21 Sep 2011 05:00 PM PDT

– Wed Sep 21, 8:00 pm ET

MEXICO CITY (Reuters) – A Mexican man and woman jailed for sending online messages that mistakenly warned an elementary school was under attack were freed on Wednesday, an attorney for the pair said.

Gilberto Martinez, a math teacher, and Maria de Jesus Bravo, a local radio host, walked out of jail on Wednesday afternoon, said their lawyer Fidel Ordonez.

The pair had been behind bars for more than three weeks after using their Twitter accounts to say that gunmen had targeted a school in the city of Veracruz one afternoon in late August.

The two faced charges that equated spreading word of a violent attack with terrorism under laws in their native Veracruz, a state on the Gulf of Mexico.

Police allege that each of them posted similar warnings about gunmen taking children hostage as parents rushed to save their kids from the reported violence.

The pair believed that they were warning of a real threat after hearing rumors of an attack that later proved untrue, their attorney said. The case immediately drew world attention as a civil liberties abuse.

"The government was shamed into setting them free," said Ordonez.

Veracruz lawmakers this week watered down the original law that could have seen the pair sent to jail for 30 years, opting for lighter sentences on similar charges.

A public outcry continued even after the law was changed, Ordonez said, and that pressure helped lead to the charges being dropped.

(Reporting by Patrick Rucker; editing by Mohammad Zargham)

Survey: 10 percent of UK under-10s have an iPhone; a third have a cell phone (Digital Trends)

Posted: 21 Sep 2011 08:06 PM PDT

Trevor Mogg Trevor Mogg – 1 hr 36 mins ago

kid using smartphoneThere was a time when little kids used to talk into toy phones to imaginary friends. Now it seems that they have real phones with Internet access and pay-as-you-go payment plans.

According to the results of a survey released this week, 10 percent of UK children under the age of 10 have their own iPhone, while a third have a cell phone. Five percent even have their own iPad.

Of the parents questioned in the survey, 10 percent said they felt it was OK for children as young four-years-old to have their own cell phone.

The study was conducted by cloud security firm Westcoastcloud to coincide with the release of its new Netintelligence iPad app, an internet security product for schools.

The survey, which questioned 2,000 families with children aged 10 or below about technology ownership, also revealed that 16 percent of kids have their own laptop. A quarter of those aged under 10 had their own email address, while 8 percent were signed up to a social networking service – which is interesting as Facebook, for example, stipulates that users of its service must be aged 13 or older.

Regarding cell phone ownership, 68 percent of parents said they got their kids a device primarily so that they could keep in touch with them when they were out, though Westcoastcloud also said that "17 percent of parents bought their kids a phone after they succumbed to their child's pestering."

Westcoastcloud's Bill Strain commented on the survey's findings, saying: "It's great that youngsters are interested and engaged with the latest technology, but children owning their own phones as young as four does seem unnecessary."

On a cautionary note, he added: "Kids will always be able to gain access to their parents' phones and laptops but when primary school age children gain access to the Internet on these devices, parents need to be aware. There's the potential that they could access unsuitable or potentially harmful content."

Over 5 percent of parents said they didn’t check what their child was looking at on their cell phone and estimated that their offspring spent around three hours a week online, using phones, computers or other devices. Surprisingly, half of those surveyed said they had no parental controls installed on their Internet-connected devices.

As part of a new Communications Act being planned by the UK government, broadband providers there may soon be forced to offer parents ways of protecting their children from harmful online content.

[Image courtesy of niderlander/Shutterstock]

Android chosen by Boeing to power Dreamliner's in-flight entertainment system (Digital Trends)

Posted: 21 Sep 2011 05:31 PM PDT

Trevor Mogg Trevor Mogg – Wed Sep 21, 8:31 pm ET

With Qantas earlier in the week announcing it would be trialing Wi-Fi connected iPads on aircraft for its in-flight entertainment service, it seemed as if the death knell was being sounded for seat-back screens. Seems like the actual people who build the planes have different ideas though.

Boeing, makers of the brand new 787 Dreamliner passenger aircraft, has said it will be going with Google's Android operating system to power in-flight entertainment services via seat-back screens.

According to an Australian Business Traveler report (via Cnet), the technical manager at Boeing's Dreamliner Gallery, Mark Larson, said that Android-based servers are being fitted to all 787s currently being manufactured, with Panasonic providing 787-certified Android touchscreens.

However, Larson added that "a lot of the larger screens (for business and first class passengers) will be non-touch because you can't reach them, although they've also got a prototype of gesturing." In others words, passengers whose screens are too far away will be able to make choices with their in-flight entertainment through a series of simple hand gestures.

The ABT report says that the touchscreen panels being fitted on Dreamliner planes will be wider than what we’re used to seeing on other aircraft, ranging in size from 7 inches to 17 inches. They’ll also be less reflective of ambient light.

With other Boeing aircraft, airlines have quite a lot of say over the type of in-flight entertainment system that's installed. With the Dreamliner, however, Seattle-based Boeing is keen to reduce production costs and so is only offering a limited choice to buyers of the new plane, for which around 820 firm orders have so far been placed.

Should the Android-powered in-flight entertainment program on the soon-to-be-flying Dreamliner planes not be to your liking, you'll be pleased to know that all seats will also be fitted with laptop sockets and USB ports. Or you could even try reading a book made from paper.

[Image: Husky]

Twitter now supports posting photos through text messaging (Digital Trends)

Posted: 21 Sep 2011 09:00 PM PDT

Mike Flacy Mike Flacy – 42 mins ago

twitter

Likely designed for people that haven't upgraded to a smartphone just yet, Twitter launched support for photo posting through sending a simple text message. While updating a Twitter account through text messages has long been a feature of the service, users haven't been able to transmit mobile pictures without the help of a Twitter application. Since Twitter launched text messaging support for users, approximately four billion SMS messages are sent and received through Twitter each month.  Users can also receive Twitter updates through text messages without having to open a Twitter account and follow a user, a service named Fast Follow.

smartphone-twitterThe new photo SMS service is available in six countries across nine different mobile service providers. In the United States, users of AT&T, Cellular South and Verizon will be able to send photos to Twitter with text messages. It works with O2 and Orange in the United Kingdom, Rogers in Canada, Vodafone in Italy, VIVA in Bahrain and TIM in Brazil. Twitter is currently working with more carriers in these countries as well as new areas to expand the service. To send a photo to Twitter through a text message, a user simply types the text of the tweet in the text message, attaches a photo just like any other text and sends the text to the Twitter short code that corresponds with their country of origin.

In addition to the new photo service, Twitter highlighted a few SMS short codes that users can text to Twitter for useful information.  For instance, texting "Suggest" sends a list of suggested users to follow to your mobile phone. Texting "Stats" to Twitter pings the service to send bio information, number of followers and a list of the accounts that the user follows. In addition, texting "Help" to Twitter sends over a batch of tips on how to effectively use Twitter over text messages.

Sprint CEO: 2011 targets exclude any iPhone launch (Reuters)

Posted: 21 Sep 2011 03:28 PM PDT

– Wed Sep 21, 6:28 pm ET

NEW YORK (Reuters) – Sprint Nextel Corp would need to change its full year guidance for 2011 if the company started selling the Apple Inc iPhone, Chief Executive Dan Hesse said on Wednesday at a conference.

While Hesse declined to comment on whether Sprint will sell the next version of iPhone, he told a Goldman Sachs investor conference the company did not include iPhone sales in its previous guidance for 2011.

Many analysts expect Sprint will become the third U.S. operator to sell the iPhone when the next version is launched.

But all Hesse would say was that, in order to meet full-year targets, Sprint would just need to have a "very strong fourth quarter."

Sprint, which has been struggling to retain customers, said in July it would add subscribers for the full year 2011 and that its profit would remain around the same as 2010.

AT&T BATTLE

The Apple iPhone is currently sold by AT&T Inc and Verizon Wireless, a venture of Verizon Communications Inc and Vodafone Group Plc.

Sprint, the No. 3 U.S. mobile provider, has been losing out to bigger rivals Verizon and AT&T, as well as smaller operators offering prepaid services for cost-conscious customers.

Hesse also spoke out against bigger rival AT&T Inc's proposed $39 billion purchase of No. 4 U.S. operator T-Mobile USA, a Deutsche Telekom AG unit, saying it would hurt competition.

The U.S. Justice Department's lawsuit to block the deal suggests the market needs four national wireless players, but Hesse said this does not necessarily mean it would block a deal among smaller services. Sprint had been in discussions to buy T-Mobile USA before Deutsche Telekom finalized the deal with AT&T in March, sources have told Reuters.

AT&T shot back at Hesse, arguing his comment showed the operator's real motives for blocking the deal was self-interest rather than any concern about the health of the U.S. wireless industry.

"Now, Mr. Hesse's public musings have made their motives much more clear," said Jim Cicconi, AT&T vice president for legislative affairs. "That they would act in their own economic interest is not surprising. That they would expect the United States Government to be a willing partner certainly is."

A U.S. court set February 13 as the date for a trial of the DoJs case against AT&T. It set an October 24 date for arguments in Sprint case against the deal. It did not consolidate the cases as Sprint had requested.

Sprint shares closed down 8 cents, or 2.4 cents, at $3.25 on New York Stock Exchange. AT&T shares were down 55 cents, or 1.9 percent, at $28.30.

(Editing by Andre Grenon)

Expect Apple to come out swinging at Tim Cook’s first announcement as CEO (Appolicious)

Posted: 21 Sep 2011 10:51 AM PDT

Softbank dives on report rival may also sell iPhone 5 (Reuters)

Posted: 21 Sep 2011 08:41 PM PDT

– 1 hr 2 mins ago

TOKYO (Reuters) – Shares in Softbank Corp (9984.T), Japan's third-largest mobile carrier, tumbled more than 10 percent on Thursday after a report said the company was set to lose its position as the sole vendor of Apple's (AAPL.O) iPhone in Japan.

The online version of the Nikkei Business magazine said rival carrier KDDI (9433.T) would begin selling the iPhone 5 in Japan from around November.

Spokesmen for KDDI and Softbank declined to comment on the report, but Softbank said there was no clause in its contract with Apple that would prevent another carrier from offering the iPhone.

Softbank's profits have ballooned since it introduced the iPhone in 2008, betting that the hit product overseas would also take off in Japan, which has long been dominated by domestic handset makers.

The iPhone has enabled Softbank to expand its customer numbers more rapidly than either of its rivals each month for the past 17 months, Nikkei Business said, leaving KDDI and NTT Docomo (9437.T) scrambling to catch up.

But many iPhone users in Japan complain about the patchy network, stirring speculation that Apple would eventually allow other carriers to distribute its phones in Japan, a strategy it is already pursuing in the United States.

Softbank's operating profit reached a record 629 billion yen ($8.2 billion) in the year to March 2011.

Shares in KDDI rose 1.3 percent in the morning session, while rival operator NTT Docomo fell 3.8 percent.

($1 = 76.420 Japanese Yen)

(Reporting by Isabel Reynolds; Editing by Edwina Gibbs and Edmund Klamann)

Hulu has more than 1 million paying subscribers: CEO (Reuters)

Posted: 21 Sep 2011 03:06 PM PDT

By Yinka Adegoke Yinka Adegoke – Wed Sep 21, 6:06 pm ET

NEW YORK (Reuters) – Hulu, the popular online video service which has been put up for sale by its joint owners, now has more than 1 million paying subscribers, Chief Executive Jason Kilar said on Wednesday.

Earlier this year Kilar forecast that Hulu would have 1 million subscribers by the end of the year. He confirmed that it reached that milestone at the end of the summer and the site is now on its way to easily exceed that number by year's end.

The site made its name as a free service for popular broadcast TV shows like The Office and Modern Family soon after the shows had been aired.

The shows and movies it initially featured were supplied by its joint equity owners News Corp, Walt Disney Co and Comcast Corp's NBC Universal. Its fourth co-owner is private equity firm Providence Equity Partners.

Hulu launched a subscription tier last November and has since added more content from partners including Viacom and Hollywood studio Miramax.

Kilar said customers' preference for TV shows and library content on Hulu and Netflix Inc is a function of the deals the sites are able to reach with programmers within the constraints of their respective financial models.

"We will invest over $375 million in content this year," said Kilar, speaking at a Goldman Sachs investor conference.

Kilar has previously said the company will have around $500 million in revenue this year.

Some programmers have been reluctant to do major U.S. deals with Hulu due to concerns that it might undercut their relationships with pay-TV distributors. CBS Corp boss Les Moonves in particular has been the most vocal about his caution with Hulu, even though his company inked a deal with Hulu in Japan.

"I'm cautiously optimistic that we'll work with everyone over time," Kilar said.

Kilar was complementary about the risks Hulu's owners had taken in setting up and supporting the business to date even though those owners put Hulu up for sale earlier this year.

Reuters reported last week that the $2 billion sale had hit speed bumps in recent weeks as the owners reconsidered whether a sale is still the best strategy.

"We're still evaluating the situation," said News Corp Chief Operating Officer Chase Carey, speaking to Reuters on the sidelines of the conference -- reiterating recent comments on a quarterly earnings call. He declined to comment further.

Earlier in the summer Disney CEO Bob Iger had said the owners were fully committed to selling Hulu.

NBC Universal is not actively involved in the sale process. Comcast agreed NBC Universal would not participate in management decisions of Hulu in order to receive regulatory approval for its takeover of the broadcaster and cable giant.

Critics of the plan to sell Hulu argue the owners should keep hold of a major distribution channel of the future rather than sell to possible new owners like Google, Amazon.com or Yahoo.

(Reporting by Yinka Adegoke; Editing by Phil Berlowitz)

Imagine What 100 Million iPads in Classrooms Would Do (The Atlantic Wire)

Posted: 21 Sep 2011 02:57 PM PDT

Adam Clark Estes Adam Clark Estes – Wed Sep 21, 5:57 pm ET

Apple's previously announced partnership with Teach for America is starting to surface in classrooms this week. Following the announcement of the iPad 2, Apple invited iPad users that were upgrading to give back their first generation devices at a retail store, and it would donate them to the poorly paid teachers in the program. In the past couple of weeks, Apple's handed out over 9,000 iPads to Teach for America corps members in 38 states.

Related: Laptop Sales Are Falling: Blame the iPad?

When the program was announced six months ago, GOOD called it a "genius idea," but now that it's actually happening, there's some doubt in the initial reactions. Recounting the experience of one TFA corp member who says she's "figured out [the iPad] can make [her students] finish their work fast for 'iPad time,'" Philip Elmer-DeWitt at Fortune says, "To make better use of the device, teachers would probably need more than one iPad per classroom. But it's a start." Jordan Crook at TechCrunch called the program "a great start" adding that "one iPad per classroom seems a bit ineffective." At ZDNet, Zach Whittaker points to the "iPad time" example as an incentive but adds "the iPad alone, or any other tablet for that matter, cannot solve the problem of lack of reading."

Related: 3 Reasons Apple Banned Sex-Themed Apps

The elephant in the room, of course, is that fact that Apple has grown to become the most valuable company in the world. After Apple's stock price soared to record levels a couple of weeks ago--around the same time the iPads were being distributed--widespread calls for Apple to pay shareholders a dividend irked internet veteran and tech blogger Jason Calacanis, who argues that Apple could spend its $76 billion in cash on education and have it work in the long run:

Give an educational discount of 60% on the iPad. This would take the $499 iPad down to $200, which is about $100 less than Apple's cost. At that price it would sell like hotcakes. Let's say Apple sells 100M iPads like this, it would cost them $10B (100M  iPads x  $100 loss = $10B). I'd LOVE to see Apple have 100M tablets in the market (they sold more than nine million in Q3 and there are now more than 28M). This would be a massive, bold move to lock up the most important space in computing today: tablets. Apple should lean into it this trend even more.   

Calacanis goes on to list some more ideas of how Apple could spend what's in their war chest. His math puts into perspective the extent to which giving away 9,000 iPads is a drop in the bucket. After all, Apple's not really donating anything except the logistics and refurbishment costs. There's also a tinge of nepotism in the fact that Steve Jobs's wife Laurene sits on Teach for America's board. Nevertheless, there's now technology in classrooms that didn't used to be there. That's nice, at least.

Google spurns Oracle $2.2 billion Android damage claim (Reuters)

Posted: 21 Sep 2011 01:45 PM PDT

By Jonathan Stempel Jonathan Stempel – Wed Sep 21, 4:45 pm ET

(Reuters) – Google Inc urged a federal judge to reject an Oracle Corp expert's recommendation that it pay more than $2.2 billion for infringing patents for Java technology used in the Android operating system.

U.S. District Judge William Alsup in San Francisco had on July 22 rejected Oracle's request for as much as $6.1 billion of damages, but gave the company a chance to revise its claim. A trial is scheduled to begin next month.

Oracle had sued Google in August 2010, claiming that the Internet search company's Android system infringed Java patents that Oracle acquired when it bought Sun Microsystems Inc seven months earlier. It also alleged copyright infringement.

The lawsuit is one of several among phone and software companies seeking a greater share of profits in the growing market for smartphones and tablets.

In a Tuesday letter to the judge, Google lawyer Robert Van Nest said a new report by Oracle damages expert Iain Cockburn recommended damages of more than $2 billion for copyright infringement, including $1.2 billion for unjust enrichment in 2012 alone, and $201.8 million for patent infringement.

Van Nest said the September 12 report is deficient because Cockburn either speculated about or did not explain how he calculated damages, and failed to show how much revenue Sun or Oracle might have earned by partnering with Google on Android.

The report "ignores governing law and the guidelines in this court's July 22, 2011 order," Van Nest concluded.

Google plans to ask Alsup to exclude portions of Cockburn's findings from the case. A Google spokesman called the revised damages estimate "flawed."

Oracle spokeswoman Deborah Hellinger declined to comment. Cockburn, a Boston University management professor, did not respond to requests for comment.

In the July 22 order, Alsup faulted Google for trying to downplay the value of Android, and use its 2006 talks with Sun regarding a lower-cost Java license as a basis to limit Oracle's damages to a fraction of what it seeks.

But he scolded Cockburn for having "overreached" in an earlier report by assuming the entire value of Android was tied to Oracle's patents, rather than only parts alleged to infringe those patents. He urged that any revised report be more specific, and threatened to exclude it altogether if it "fails to measure up in any substantial and unseverable way."

Alsup suggested that $100 million should be a "starting point" to help determine damages, before adjusting for several changes in the marketplace since the Sun license talks.

Google is based in Mountain View, California, and Oracle in nearby Redwood City.

The case in Oracle America Inc v. Google Inc, U.S. District Court, Northern District of California, No. 10-03561.

(Reporting by Jonathan Stempel in New York; Editing by Derek Caney and Matthew Lewis)
at 10:02 PM

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