Domain: bloomberg.com
Stories and comments across the archive that link to bloomberg.com.
Stories · 1,477
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Apple To Start Publishing AI Research To Hasten Deep Learning (bloomberg.com)
In what is a major deviation in its strategy, Apple will allow its artificial intelligence teams to publish research papers for the first time. From a report on Bloomberg: When Apple introduced its Siri virtual assistant in 2011, the company appeared to have a head start over many of its nearest competitors. But it has lost ground since then to the likes of Alphabet's Google Assistant and Amazon's Alexa. Researchers say among the reasons Apple has failed to keep pace is its unwillingness to allow its AI engineers to publish scientific papers, stymieing its ability to feed off wider advances in the field. That policy has now changed, Russ Salakhutdinov, an Apple director of AI research, said Monday at the Neural Information Processing Systems conference in Barcelona. One attendee posted a photo of a slide from Salakhutdinov's presentation stating "Can we publish? Yes. Do we engage with academia? Yes." -
Facebook Knows What You're Streaming (bloomberg.com)
Facebook is gathering information about the shows Roku and Apple TV owners are streaming. The company then uses the Facebook profile linked to the same IP addresses to tailor the commercials that are shown to individual users. From a report on Bloomberg: For the past few weeks, the social network says, it's been targeting ads to people streaming certain shows on their Roku or Apple TV set-top boxes. It customizes commercials based on the Facebook profiles tied to the IP addresses doing the streaming, according to a company spokesman. He says Facebook is trying out this approach with the A&E network (The Killing, Duck Dynasty) and streaming startup Tubi TV, selecting free test ads for nonprofits or its own products along with a handful of name brands. This push is part of a broader effort by social media companies to build their revenue with ads on video. Twitter is placing much of its ad-sales hopes on streaming partnerships with sports leagues and other content providers. In October, CFO Anthony Noto told analysts on an earnings call that the ads played during Twitter's NFL Thursday Night Football streaming exclusives had been especially successful, with many people watching them in their entirety with the sound turned on. The participants in these partnerships don't yet have a default answer to questions such as who should be responsible for selling the ads or who should get which slice of revenue. -
Apple Will Use Drones To Improve the Quality of Apple Maps (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Apple plans to use drones and new indoor navigation features to improve its Maps service and catch longtime leader Google (Warning: source may be paywalled; alternate link), according to people familiar with the matter. The Cupertino, California-based company is assembling a team of robotics and data-collection experts that will use drones to capture and update map information faster than its existing fleet of camera-and-sensor ladened minivans, one of the people said. Apple wants to fly drones around to do things like examine street signs, track changes to roads and monitor if areas are under construction, the person said. The data collected would be sent to Apple teams that rapidly update the Maps app to provide fresh information to users, the person added. Apple is also developing new features for Maps, including views inside buildings and improvements to car navigation, another person familiar with the efforts said. Apple filed for an exemption on Sept. 21, 2015, from the Federal Aviation Administration to fly drones for commercial purposes, according to documents obtained by Bloomberg News. At that time, exemptions were required to commercially operate drones. In a response dated March 22, 2016, the FAA granted Apple approval to "operate an unmanned aircraft system to conduct data collection, photography, and videography," according to one of the documents. Apple's application told the FAA that it would use a range of drones sold by companies such as SZ DJI Technology Co. and Aibotix GmbH to collect the data. Apple has hired at least one person from Amazon's Prime Air division to help run the drone team, one of the people said. -
Destructive Hacks Strike Saudi Arabia, Posing Challenge to Trump (bloomberg.com)
State-sponsored hackers have conducted a series of destructive attacks on Saudi Arabia over the last two weeks, erasing data and wreaking havoc in the computer banks of the agency running the country's airports and hitting five additional targets, according to two people familiar with an investigation into the breach. From a report on Bloomberg: Saudi Arabia said after inquiries from Bloomberg News that "several" government agencies were targeted in attacks that came from outside the kingdom, according to state media. Although a probe by Saudi authorities is still in its early stages, the people said digital evidence suggests the attacks emanated from Iran. That could present President-elect Donald Trump with a major national security challenge as he steps into the Oval Office. The use of offensive cyber weapons by a nation is relatively rare and the scale of the latest attacks could trigger a tit-for-tat cyber war in a region where capabilities have mushroomed ever since an attack on Saudi Aramco in 2012. -
Amazon Worker Jumps Off Company Building After Email Note (bloomberg.com)
An anonymous reader writes: An Amazon employee was injured when he leaped off a building at the company's Seattle headquarters in what police characterized as a suicide attempt. The man, who wasn't identified by authorities, sent an e-mail visible to hundreds of co-workers, including Chief Executive Officer Jeff Bezos, before the incident occurred, according to a report on Bloomberg. The man survived the fall from Amazon's 12-story Apollo building at about 8:45 a.m. local time Monday and was taken to a Seattle hospital, police said. The man had recently put in a request to transfer to a different department, but was placed on an employee improvement plan, a step that can lead to termination if performance isn't improved, said the person, who asked not to be identified discussing company personnel matters. More than 20,000 people work in multiple buildings at Amazon's headquarters. -
Amazon Said to Plan Premium Alexa Speaker With Large Screen (bloomberg.com)
Amazon's Echo speakers have garnered a lot of interest over the past few months. Many people believe that they like Amazon Echo because of how easy it's to operate -- there is no display, you talk with Alexa, Amazon's digital assistant, which is reasonably good at understanding your queries. But in what seems like a deviation from the idea that made Echos so popular, Amazon is reportedly working on an Echo-like speaker, only this time it is more premium and has a 7-inch display, too. From a report on Bloomberg: The new device will have a touchscreen measuring about seven inches, a major departure from Amazon's existing cylindrical home devices that are controlled and respond mostly through the company's voice-based Alexa digital assistant, according to two people familiar with the matter. This will make it easier to access content such as weather forecasts, calendar appointments, and news, the people said. The latest Amazon speaker will be larger and tilt upwards so the screen can be seen when it sits on a counter and the user is standing, one of the people said. -
Advertising Company AppNexus Bans Breitbart News Over Hate Speech (betanews.com)
Mark Wilson quotes a report from BetaNews: Right-wing website Breitbart -- the darling of the so-called alt-right movement (which it defines as being "younger people who are anti-globalists, very nationalist [and] terribly anti-establishment") -- has been blocked by a leading ad exchange. The site, home to Milo Yiannopoulos (also known as @Nero and banned from Twitter) will no longer be permitted to sell ad space via AppNexus. The move comes after an audit by AppNexus found that Breitbart was in violation of its policies on hate speech and incitement to violence. AppNexus's spokesperson Joshua Zeitz told the BBC: "We use a number of third-party standards to determine what is and isn't hate speech, and if we detect a pattern of speech that could incite violence or discrimination against a minority group, we determine that to be non-compliant and we simply won't serve ads against it. I'm not going to put the examples out there because I'm not going to engage in a tit-for-tat on what is compliant." Bloomberg, which was the first publication to report on the news, noted that AppNexus' investors included Microsoft, News Corp and Sir Martin Sorrell's WPP. -
No Evidence of Aloe Vera Found in the Aloe Vera at Wal-Mart, CVS (bloomberg.com)
From a Bloomberg report:The aloe vera gel many Americans buy to soothe damaged skin contains no evidence of aloe vera at all. Samples of store-brand aloe gel purchased at national retailers Wal-Mart, Target and CVS showed no indication of the plant in various lab tests. The products all listed aloe barbadensis leaf juice -- another name for aloe vera -- as either the No. 1 ingredient or No. 2 after water. There's no watchdog assuring that aloe products are what they say they are. The U.S. Food and Drug Administration doesn't approve cosmetics before they're sold and has never levied a fine for selling fake aloe. That means suppliers are on an honor system, even as the total U.S. market for aloe products, including drinks and vitamins, has grown 11 percent in the past year to $146 million, according to Chicago-based market researcher SPINS LLC. "You have to be very careful when you select and use aloe products," said Tod Cooperman, president of White Plains, New York-based ConsumerLab.com, which has done aloe testing. Aloe's three chemical markers -- acemannan, malic acid and glucose -- were absent in the tests for Wal-Mart, Target and CVS products conducted by a lab hired by Bloomberg News. The three samples contained a cheaper element called maltodextrin, a sugar sometimes used to imitate aloe. The gel that's sold at another retailer, Walgreens, contained one marker, malic acid, but not the other two. -
Apple Abandons Development of Wireless Routers, To Focus On Products That Return More Profit (bloomberg.com)
Apple has disbanded its division that develops wireless routers in a move that further sharpens the company's focus on consumer products that generate the bulk of its revenue, Bloomberg reports. From the article:Apple began shutting down the wireless router team over the past year, dispersing engineers to other product development groups, including the one handling the Apple TV. Apple hasn't refreshed its routers since 2013 following years of frequent updates to match new standards from the wireless industry. The decision to disband the team indicates the company isn't currently pushing forward with new versions of its routers. Routers are access points that connect laptops, iPhones and other devices to the web without a cable. Apple currently sells three wireless routers, the AirPort Express, AirPort Extreme, and AirPort Time capsule. The Time capsule doubles as a backup storage hard drive for Mac computers. -
Walmart Tests Blockchain For Use In Food Recalls (bloomberg.com)
An anonymous reader quotes a Bloomberg article about Walmart: Like most merchants, the world's largest retailer struggles to identify and remove food that's been recalled. When a customer becomes ill, it can take days to identify the product, shipment and vendor. With the blockchain, Wal-Mart will be able to obtain crucial data from a single receipt, including suppliers, details on how and where food was grown and who inspected it... "If there's an issue with an outbreak of E. coli, this gives them an ability to immediately find where it came from. That's the difference between days and minutes," says Marshal Cohen, an analyst at researcher NPD Group Inc...."
In October, Wal-Mart started tracking two products using blockchain: a packaged produce item in the U.S., and pork in China. While only two items were included, the test involved thousands of packages shipped to multiple stores... If Wal-Mart adopts the blockchain to track food worldwide, it could become of the largest deployments of the technology to date.
America's Centers for Disease Control and Prevention estimates roughly their recalls affect roughly 48 million people annually, according to the article, "with 128,000 hospitalized and 3,000 dying." -
The Next iPhone Will Feature An OLED Display, Says Bloomberg (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Apple Inc. has big plans to outfit its next iPhone with vibrant, energy-sipping organic LED displays, seeking to entice consumers with new technology that's already been embraced by other high-end smartphone makers. The trouble is that the four main suppliers for such components won't have enough production capacity to make screens for all new iPhones next year, with constraints continuing into 2018, people familiar with the matter said, presenting a potential challenge for the Cupertino, California-based company. OLED screens are more difficult to produce, putting Apple at the mercy of suppliers that are still working to manufacture the displays in mass quantities, the people said. The four largest producers are Samsung Display Co., LG Display Co., Sharp Corp., and Japan Display Inc. While Samsung is on track to be the sole supplier for the new displays next year, the South Korean company may not be able to make enough due to low yield rates combined with increasing iPhone demand. The supply constraints may force Apple to use OLED in just one version of the next-generation iPhone, push back adoption of the technology or cause other snags. Apple plans to ship at least one new iPhone with an OLED screen next year, the 10th anniversary of the smartphone's debut, people with knowledge of the matter said. A pair of other new iPhone models will likely feature screens that use older LCD technology, partly because there won't be enough OLED displays to satisfy anticipated demand, according to KGI Securities analyst Ming-Chi Kuo. The OLED iPhone, at least, will have a new look that extends glass from the display to the device's back and edges, according to a person familiar with Apple's plans. This all-glass design will have a virtual Home button embedded in an edge-to-edge screen, rather than a physical button that can be pressed, the person added. -
Apple's Chip Choices May Leave Some iPhone Users in Slow Lane (bloomberg.com)
Not all iPhone 7s are created equal, it turns out. The latest flagship smartphones from Apple that run on Verizon's network are technically capable of downloading data faster than those from AT&T. Yet in testing, the two phones perform about the same, according to researchers at Twin Prime Inc. and Cellular Insights. From a Bloomberg report: Neither firm is clear on the reason, but Twin Prime says it may be because Apple isn't using all the potential of a crucial component in the Verizon version. "The data indicates that the iPhone 7 is not taking advantage of all of Verizon's network capabilities," said Gabriel Tavridis, head of product at Twin Prime. "I doubt that Apple is throttling each bit on the Verizon iPhone, but it could have chosen to not enable certain features of the network chip." "Every iPhone 7 and iPhone 7 Plus meets or exceeds all of Apple's wireless performance standards, quality metrics, and reliability testing," Apple spokeswoman Trudy Muller said. "In all of our rigorous lab tests based on wireless industry standards, in thousands of hours of real-world field testing, and in extensive carrier partner testing, the data shows there is no discernible difference in the wireless performance of any of the models." It would be an unusual step for a major phone company to restrain its devices. Normally, companies battle to make the fastest, most reliable handsets. Apple may be doing this because it wants to ensure a uniform iPhone experience, according to analysts. -
Elon Musk: Tesla's Solar Roof Will Cost Less Than a Traditional Roof (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: After Tesla shareholders approved the acquisition of SolarCity, the new company is now an unequivocal sun-to-vehicle energy firm. And Chief Executive Officer Elon Musk didn't take long to make his first big announcement as head of this new enterprise. Minutes after shareholders approved the deal -- about 85 percent of them voted yes -- Musk told the crowd that he had just returned from a meeting with his new solar engineering team. Tesla's new solar roof product, he proclaimed, will actually cost less to manufacture and install than a traditional roof -- even before savings from the power bill. "Electricity," Musk said, "is just a bonus." If Musk's claims prove true, this could be a real turning point in the evolution of solar power. The rooftop shingles he unveiled just a few weeks ago are something to behold: They're made of textured glass and are virtually indistinguishable from high-end roofing products. They also transform light into power for your home and your electric car. "So the basic proposition will be: Would you like a roof that looks better than a normal roof, lasts twice as long, costs less and -- by the way -- generates electricity?" Musk said. "Why would you get anything else?" Much of the cost savings Musk is anticipating comes from shipping the materials. Traditional roofing materials are brittle, heavy, and bulky. Shipping costs are high, as is the quantity lost to breakage. The new tempered-glass roof tiles, engineered in Tesla's new automotive and solar glass division, weigh as little as a fifth of current products and are considerably easier to ship, Musk said. -
AOL To Cut 500 Workers To Narrow Focus On Mobile, Video (bloomberg.com)
According to a report from Bloomberg, AOL is firing as many as 500 employees as part of a restructuring plan to focus on mobile, video and data. The move comes a year after Verizon acquired the company for $4.4 billion. Bloomberg reports: The layoffs are occurring in all of AOL's business units, said the person, who asked not to be identified disclosing the scope of the cuts. AOL employs about 6,400 people worldwide, the person said. In addition to the job cuts, the company will split into two parts, according to the memo. One will be dedicated to media properties, which include Huffington Post and TechCrunch, and the other will focus on platforms, like AOL's advertising technology. "Mobile, video, and data are the key growth drivers of that strategy and the company will be putting resources into each of these areas," [Chief Executive Officer Tim Armstrong wrote in a memo to employees Thursday.] With the wireless industry maturing, AOL parent Verizon has been buying up media and advertising-technology companies and working to refine go90, its free video-streaming service aimed at phone-toting teens. -
Tesla 'Easter Egg' Makes the World's Fastest Car Even Faster (bloomberg.com)
The world's fastest-accelerating car is about to get even faster. Tesla's high-end Model S will soon be able to go from zero to 60 miles per hour in just 2.4 seconds, following a software enhancement next month that shaves off a 10th of a second. That's a new threshold that distinguishes it from any other production car on the road. From a report on Bloomberg: Tesla Motors CEO Elon Musk teased the update in a tweet on Wednesday -- but there's a twist. When the changes are delivered wirelessly next month to all P100D Model S vehicles, the owners will have to figure out how to enable it. It's what's known in the tech industry as an "Easter Egg" -- a hidden feature that requires a specific series of gestures to unlock. These speeds are crazy fast. For perspective, the Model S already outpaces sold-out supercars with tiny production runs, such as Ferrari's $1.4 million LaFerrari, Porsche's $845,000 918 Spyder, and Bugatti's $2.3 million Veyron Grand Sport Vitesse. Tesla's seven-seat Model X SUV will also shed a 10th of a second, putting it on a par with a $1.15 million McLaren P1. -
China Tells Trump Climate Change Isn't a Hoax it Invented (bloomberg.com)
China couldn't have invented global warming as a hoax to harm U.S. competitiveness because it was Donald Trump's Republican predecessors who started climate negotiations in the 1980s, China's Vice Foreign Minister Liu Zhenmin said, according to a Bloomberg report. From the article:U.S. Presidents Ronald Reagan and George H.W. Bush supported the Intergovernmental Panel on Climate Change in initiating global warming talks even before China knew that negotiations to cut pollution were starting, Liu told reporters at United Nations talks on Wednesday in Marrakech, Morocco. Ministers and government officials from almost 200 countries gathered in Marrakech this week are awaiting a decision by President-elect Trump on whether he'll pull the U.S. out of the Paris Agreement to tackle climate change. The tycoon tweeted in 2012 that the concept of global warming "was created by and for the Chinese in order to make U.S. manufacturing non-competitive." China's envoy rejected that view. "If you look at the history of climate change negotiations, actually it was initiated by the IPCC with the support of the Republicans during the Reagan and senior Bush administration during the late 1980s," Liu told reporters during an hour-long briefing. -
Facebook Finds More Ad-Metric Errors, Vows Clarity About Fixes (bloomberg.com)
Facebook said today it has uncovered more miscalculated metrics related to how consumers interact with content from publishers. From an article on Bloomberg, submitted by an anonymous reader: The social-networking company conducted a broad review after discovering three months ago that it had overstated how long people watched videos on its site. The miscalculation wasn't broadly disclosed, sparking some criticism of the social network. Now, Facebook says it has found four other instances where it miscalculated reach on its site, including overstating how long people spent reading Instant Articles and how many people interacted with businesses' Facebook Pages. Companies and marketers rely on Facebook to tell them how well the content they post is performing, so that they can make strategic decisions about what to do next and how much to invest through advertising or otherwise. To avoid future errors, the company said it's establishing a measurement council made up of top advertisers and partners. Facebook will also allow more third party measurement companies such as Nielsen to track and supplement its metrics. Additionally, Facebook is revising the descriptions for its data to explain exactly what they measure, for example reporting "3-second video views" instead of just "video views." -
Apple Considering Expansion Into Wearable Glasses, Says Report (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Apple is weighing an expansion into digital glasses, a risky but potentially lucrative area of wearable computing, according to people familiar with the matter. While still in an exploration phase, the device would connect wirelessly to iPhones, show images and other information in the wearer's field of vision, and may use augmented reality, the people said. They asked not to be identified speaking about a secret project. Apple has talked about its glasses project with potential suppliers, according to people familiar with those discussions. The company has ordered small quantities of near-eye displays from one supplier for testing, the people said. Apple hasn't ordered enough components so far to indicate imminent mass-production, one of the people added. Should Apple ultimately decide to proceed with the device, it would be introduced in 2018 at the earliest, another person said. The glasses may be Apple's first hardware product targeted directly at AR, one of the people said. Apple has AR patents for things like street view in mapping apps. It was also awarded patents for smart glasses that make use of full-fledged virtual reality. Apple is unlikely to leverage VR in a mass-consumer product, Cook suggested in October. Apple's challenge is fitting all the technology needed into a useful pair of internet-connected glasses that are small and sleek enough for regular people to wear. -
BlackBerry's Keyboard is Coming Back for One Last Dance (bloomberg.com)
BlackBerry has officially stopped making its own phones, but the company has one last treat for die-hard fans: a new phone sporting its trademark physical keyboard. According to Bloomberg: Chief Executive Officer John Chen had hinted at the phone in September, but hadn't confirmed it until Thursday, when he spoke to Emily Chang in an interview on Bloomberg TV. "We have one keyboard phone I promised people," Chen said. "It's coming." Under Chen, BlackBerry has gradually shifted from smartphones to software and said in September it would completely stop producing, stocking and distributing its own phones. Instead, it will license the BlackBerry brand to outside companies to put on phones they build themselves. The physical keyboard is BlackBerry's best-known smartphone feature, with many former users still lamenting its absence as they clumsily tap out e-mails on their iPhones and sign off with words like "pardon the typos." -
Alibaba Posts $1 Billion in Sales in 5 Minutes on Singles' Day (bloomberg.com)
Alibaba Group posted $1 billion (6.81 billion yuan) of sales within the first five minutes of its Singles' Day sales, a 24-hour event that may offer clues on the health of the Chinese economy and its largest online retailer. From a report on Bloomberg:Investors are keeping a close eye on the annual Nov. 11 spending blitz that dwarfs Black Friday and Cyber Monday in the U.S., to see if Alibaba can reprise the 60 percent leap in transactions to 91.2 billion yuan it managed last year. The e-commerce giant again turned up the star-wattage for 2016, enlisting Hollywood actress Scarlett Johansson, sports celebrity David Beckham, basketball legend Kobe Bryant and pop-rock band One Republic to headline a pre-sale gala and drum up international attention. Pioneered by Alibaba in 2009 and since replicated by rivals including JD.com Inc., Singles' Day has become somewhat of a barometer of Chinese consumer sentiment. -
Alphabet's 'Project Wing' Drone Service Nixes Starbucks Partnership (bloomberg.com)
Bloomberg is reporting that Google's parent company Alphabet is tightening the reigns on Project Wing, a unit of Alphabet's X research lab, by "trimming headcount and shelving initiatives." What's more is that they've reportedly nixed a partnership with Starbucks. Bloomberg reports: Following the departure of project leader Dave Vos in October, the unit also froze hiring and began asking some staff to seek jobs elsewhere in the company, according to some of those people [familiar with the decision]. The decisions are part of a broader Alphabet effort to rein in spending and try to turn more experimental projects from loss-making risky bets into real businesses. Drones are in a particularly knotty place. U.S. federal regulation does not yet allow for delivery, except in select test zones. However, Alphabet's deceleration comes as other technology companies, including Amazon.com Inc., plow money into drone delivery. In August, Project Wing won approval for test flights at a U.S. site, part of a White House effort to encourage unmanned vehicle delivery. Then in September, Alphabet announced a new foray: a partnership with Chipotle Mexican Grill Inc. to deliver food via drone at Virginia Tech. Alphabet was in advanced talks with Starbucks and had tested delivery with the coffee-chain operator, according to two people familiar with the plans. Those plans were nixed, largely over disagreements about the access to customer data that Alphabet wanted, according to a former X employee. -
Ireland Will Bring the Fight Over Apple Taxes To the EU Court (digitaltrends.com)
An anonymous reader quotes a report from Digital Trends: The tax debate between Apple, Ireland, and the European Union may escalate in the next few months. According to recent reports, the Irish Finance Minister, Michael Noonan, will bring the debate to the EU court, a move that could trigger a years-long court battle. The battle stems from a European Commission finding that Ireland had been giving Apple tax breaks, something that has attracted a number of multinational employers to Ireland. The EU, however, has ordered the practices to change. After a three-year probe into Ireland's relationship with Apple, the European Commission ordered Ireland to collect $14.5 billion in back taxes from the company. That is the largest state-aid payback demand in history. The decision has been the subject of criticism, particularly from this side of the Atlantic. The U.S. Treasury Department says the decision is a threat "to undermine foreign investment, the business climate in Europe, and the important spirit of economic partnership between the U.S. and the EU." Apple has also vowed to fight against the EU decision, and those appeals will follow the ones already pending in Luxembourg, where the EU is headquartered. Those pending appeals include cases against Starbucks. -
LeEco's CEO Jia Yueting Says Company Overstretched, Now Running Out of Cash (bloomberg.com)
LeEco is a giant conglomerate in China. The company offers a range of services -- from online streaming service, to smartphones, to TV, to electric cars. On top of that, the company has been aggressively expanding into different markets with India and the United States being the two notable ones. How does it make so much cash? You wonder. It doesn't actually, according to the CEO, who has informed the employees that the company is quickly running out of cash. An anonymous reader shares a Bloomberg report: The billionaire chairman of China's LeEco has admitted his technology empire is running out of cash to sustain a headlong rush into businesses from electric cars to smartphones. In a lengthy letter to employees, company co-founder Jia Yueting apologized to shareholders and pledged to slash his income to 1 yuan (15 cents), slow LeEco's madcap pace of expansion, and move the company toward a more moderate phase of growth. LeEco is the umbrella holding company for a sprawling family of businesses that includes sports media, automobiles, smartphones and TVs. The company known for its LeTV streaming service has aggressively pursued funding and placed bets on new ventures, from an electric car plant in Nevada to a $2 billion acquisition of California TV maker Vizio Inc. "No company has had such an experience, a simultaneous time in ice and fire," Jia wrote in a letter, obtained by Bloomberg News, describing LeEco's rise and subsequent issues. "We blindly sped ahead, and our cash demand ballooned. We got over-extended in our global strategy. At the same time, our capital and resources were in fact limited." -
Scientists at De Beers Fight the Growing Threat of Man-Made Diamonds (wsj.com)
"In the past few years, lab-grown diamonds have become indistinguishable from natural diamonds to the naked eye..." reports the Wall Street Journal. This creates a problem for diamond-mining company De Beers. HughPickens.com writes: While synthetics make up just a fraction of the market, they have growing appeal to younger buyers -- a headache for mine owners, who are under pressure to cut supply and lower prices, because traders, cutters and polishers are struggling to profit amid a credit squeeze and languishing jewelry sales... "Martin Roscheisen, chief executive of Diamond Foundry Inc., a San Francisco synthetic-diamond producer with a capacity of 24,000 carats, says he believes nearly all diamonds consumers purchase will be man-made in a few decades," reports the Journal. "To counter the threat, last year De Beers helped launch a trade association with other producers to market the attraction of natural diamonds. It also started marketing a new, cheap detector called PhosView, that uses ultraviolet light to detect lab-grown stones that quickly screens tiny synthetic diamonds.
It always seemed like a waste of money to me. After all, it's literally raining diamonds on Saturn. -
Steve Ballmer Says Smartphones Came Between Him and Bill Gates (fortune.com)
Steve Ballmer once said Apple's iPhone would flop because it cost too much -- though he now admits that he failed to anticipate carriers subsidizing the cost of the phone. But that was only the beginning. An anonymous reader quotes Fortune: The former CEO of Microsoft says he and Gates drifted apart over Microsoft's move into the hardware business in the early 2010s, according to Bloomberg. Ballmer says he was the one who pushed for Microsoft to design smartphones and tablets at a time when Apple was already well established. He says Gates and the board seemed reluctant to do so. "There was a fundamental disagreement about how important it was to be in the hardware business," Ballmer told Bloomberg. "I had pushed Surface. The board had been a little -- little reluctant in supporting it. And then things came to a climax around what to do about the phone business."
Microsoft eventually took a $900 million write down for its first tablet, the Surface RT -- plus most of the value of their $9.5 billion acquisition of Nokia Oyj's handset unit as Microsoft pushed into hardware. "Ballmer's only regret: not doing it sooner," Bloomberg reports, adding that Surface is now profitable and this year will generate more than $4 billion in sales. -
Why America Needs India's Rockets (bloomberg.com)
Since 2005, U.S. satellite manufacturers have been prohibited from hiring India's space agency to launch their equipment. Private American launch companies, such as SpaceX, are quite happy with this arrangement, which was intended to protect them. But the ban is not only wrong in principle -- it's actually impeding an exciting new American industry, according to Bloomberg. From the article: Last month, under pressure from satellite operators and manufacturers, U.S. trade officials began reviewing the decade-old policy. They should heed the pressure and overturn it. Emerging India may seem like an unlikely competitor for Silicon Valley rocket companies. Yet since 1969, the Indian Space Research Organization has consistently punched above its modest weight class, racking up a series of cheap and practical achievements. One of its most important feats was the development of the Polar Satellite Launch Vehicle, which was designed to carry satellites for monitoring agriculture and water resources, among other things. What made the PSLV unique was that it was designed to launch small satellites. And that's a good niche to occupy at the moment. Over the past few years, the small-satellite market has boomed as advances in miniaturization made space accessible to governments and companies that might never have considered it. The uses for such gear seem almost limitless, from shoebox-sized climate-monitoring devices to Samsung's plan to use thousands of micro-satellites to provide global internet access. Some $2.5 billion has been invested in the industry over the past decade. But getting all those satellites into space is now proving to be a problem, and U.S. policy is partly to blame.The article adds that apart from SpaceX, no other U.S. company has offered a rocket for small satellite launches, even though the demand has surged. This in turn, has resulted in American satellite companies with few choices. Though the U.S. Trade Representatives has offered occasional waivers from the moratorium, India continues to offer a far cheaper reliable option, and it's not even being considered.
To offer more context, India's Mars mission has a budget of $73 million -- making it far cheaper than comparable missions including NASA's $671 million Maven satellite. Further reading on Vox.com, "India's mission to Mars cost less than the movie Gravity." -
Google Rejects EU Antitrust Charges, Says Evidence is Lacking (reuters.com)
Google said Thursday it is rejecting accusations made by European Union that it abuses its dominant position with its shopping and advertising services, ramping up its fight back against the bloc's regulators. "The Commission's revised case still rests on a theory that doesn't fit the reality of how most people shop online," said Kent Walker, Google's general counsel, in a blog post. From a report on Reuters: "We never compromised the quality or relevance of the information we received. On the contrary, we improved it. That isn't 'favoring' -- that's listening to our customers," Walker said. His comments came as the company formally replied to the two charges, one of which it received in April last year and the other in July this year, earlier on Thursday.The official blog post here. Further reporting on Bloomberg. -
CenturyLink To Buy Level 3 For $34 Billion, Create a More Formidable Competitor To AT&T (bloomberg.com)
In what is seen as a move to build a more formidable competitor to AT&T, rival CenturyLink today announced it is buying Level 3 Communications for about $34 billion in cash and stock. From a report on Bloomberg: Both companies have amassed giant networks to haul internet traffic through deals over the years. Level 3 is one of the largest providers used by internet services including Netflix and Google to route traffic across the web, operations that would bolster CenturyLink's core offerings to businesses. Level 3 was the second-biggest U.S. provider of ethernet services -- running high-bandwidth internet connections for companies -- in the first half of this year, trailing only AT&T, according to Vertical Systems Group. CenturyLink was fifth on the list. -
Qualcomm To Buy NXP Semiconductors in $47 Billion Deal (bloomberg.com)
Qualcomm, the largest maker of mobile-phone chips, will acquire NXP Semiconductors NV in a transaction valued at $47 billion, aiming to speed an expansion into new industries and reduce its dependence on the smartphone market. Bloomberg reports: San Diego-based Qualcomm agreed to pay $110 a share in cash for NXP, the biggest supplier of chips used in the automotive industry, or 11 percent more than Wednesday's close, the companies said in a statement Thursday. The deal will be funded with cash on hand as well as new debt. Chief Executive Officer Steve Mollenkopf is betting the deal, the largest in the chip industry's history, will accelerate his company's entry into the burgeoning market for electronics in cars. Eindhoven, Netherlands-based NXP is strong in that sector following its acquisition last year of Freescale Semiconductor Ltd. "It's no secret that we've been looking around," Mollenkopf said in an interview. "If you look at our growth strategy it's to grow into adjacent markets at the time that they are being disrupted by the technology of mobile." -
Google Fiber Pauses Operations, CEO Leaves, and About 9 Percent of Staff Is Being Let Go (bloomberg.com)
The future of Google Fiber has been shaky ever since Google's parent company, Alphabet, was founded. The original plan was to expand Fiber's blazing fast internet service to more than 20 cities, with the goal of eventually delivering nationwide gigabit service. However, Alphabet hit the reset button on those plans Tuesday. Not only is Google Fiber CEO Craig Barratt leaving, but about 9 percent of staff is being let go. That translates to about 130 job losses, since the business has about 1,500 employees. Bloomberg reports: Barratt wrote in a blog post that the company is pulling back fiber-to-the-home service from eight different cities where it had announced plans. Those include major metropolitan areas such as Dallas, Los Angeles and Phoenix. Moving into big cities was a contentious point inside Google Fiber, according to one former executive. Leaders like Barratt and Dennis Kish, who runs Google Fiber day-to-day, pushed for the big expansion. Others pushed back because of the prohibitive cost of digging up streets to lay fiber-optic cables across some of America's busiest cities. "I suspect the sheer economics of broad scale access deployments finally became too much for them," said Jan Dawson, an analyst with Jackdaw Research. "Ultimately, most of the reasons Google got into this in the first place have either been achieved or been demonstrated to be unrealistic." -
Twitter Plans To Cut About 300 Jobs As Soon As This Week: Bloomberg (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Twitter Inc. is planning widespread job cuts, to be announced as soon as this week, according to people familiar with the matter. The company may cut about 8 percent of the workforce, or about 300 people, the same percentage it did last year when co-founder Jack Dorsey took over as chief executive officer, the people said. Planning for the cuts is still fluid and the number could change, they added. An announcement about the job reductions may come before Twitter releases third-quarter earnings on Thursday, one of the people said. Twitter, which loses money, is trying to control spending as sales growth slows. The company recently hired bankers to explore a sale, but the companies that had expressed interest in bidding -- Salesforce.com Inc., The Walt Disney Co. and Alphabet Inc. -- later backed out from the process. Twitter's losses and 40 percent fall in its share price the past 12 months have made it more difficult for the company to pay its engineers with stock. That has made it harder for Twitter to compete for talent with giant rivals like Alphabet Inc.'s Google and Facebook Inc. Reducing employee numbers would relieve some of this pressure. -
Alibaba Founder To Chinese Government: Use Big Data To Stop Criminals (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Chinese billionaire Jack Ma proposed that the nation's top security bureau use big data to prevent crime, endorsing the country's nascent effort to build unparalleled online surveillance of its billion-plus people. China's data capabilities are virtually unrivaled among its global peers, and policing cannot happen without the ability to analyze information on its citizens, the co-founder of Alibaba Group Holding Ltd. said in a speech published Saturday by the agency that polices crime and runs the courts. Ma's stance resonates with that of China's ruling body, which is establishing a system to collect and parse information on citizens in a country where minimal safeguards exist for privacy. "Bad guys in a movie are identifiable at first glance, but how can the ones in real life be found?" Ma said in his speech, which was posted on the official WeChat account of the Commission for Political and Legal Affairs. "In the age of big data, we need to remember that our legal and security system with millions of members will also face change." In his speech, Ma stuck mainly to the issue of crime prevention. In Alibaba's hometown of Hangzhou alone, the number of surveillance cameras may already surpass that of New York's, Ma said. Humans can't handle the sheer amount of data amassed, which is where artificial intelligence comes in, he added. "The future legal and security system cannot be separated from the internet and big data," Ma said. Ma's speech also highlights the delicate relationship between Chinese web companies and the government. The ruling party has designated internet industry leaders as key targets for outreach, with President Xi Jinping saying in May last year that technology leaders should "demonstrate positive energy in purifying cyberspace." -
AT&T Considers Buying Time Warner (bloomberg.com)
In what would likely be one of the largest telecommunications takeovers in American history, Bloomberg is reporting that ATT has discussed the idea of a possible merger or other partnership with Time Warner Inc (may be paywalled; alternate source). Bloomberg reports: The talks, which at this stage are informal, have focused on building relations between the companies rather than establishing the terms of a specific transaction, the people said, asking not to be identified as the deliberations are private. Neither side has yet hired a financial adviser, the people said. Acquiring Time Warner would give ATT, one of the biggest providers of pay-TV and of wireless and home internet service in the U.S., a collection of popular programming to offer to subscribers, from HBO to NBA basketball to the Cartoon Network. ATT CEO Randall Stephenson has been looking to add more content and original programming as part of his plan to transform the Dallas-based telecommunications company into a media and entertainment giant. Time Warner Chief Executive Officer Jeff Bewkes is a willing seller if he gets an offer he thinks is fair, said one of the people. Bewkes and his board rejected an $85-a-share approach in 2014 from Rupert Murdoch's 21st Century Fox Inc., which valued Time Warner at more than $75 billion. Last year, ATT paid $48.5 billion to acquire satellite-TV provider DirecTV, its biggest deal in at least 10 years, according to data compiled by Bloomberg. ATT has been developing an internet-based version of the pay-TV service, called DirecTV now. -
T-Mobile Fined $48 Million By FCC For Mischaracterizing 'Unlimited' Plan and Throttling Users' Data (bloomberg.com)
T-Mobile will have to pay $48 million in fines after reaching a settlement with the FCC over the way it promoted its unlimited data plans. T-Mobile's unlimited data plans don't charge you for going over a certain data limit, but the carrier can slow down connection speeds after you reach a certain threshold. From a Bloomberg report: The Federal Communications Commission on Wednesday announced the settlement, including a $7.5 million fine and $35.5 million worth of discounted gear or data for customers of third-largest U.S. wireless carrier T-Mobile and its MetroPCS unit. An investigation found that company policy allows T-Mobile to decrease data speeds when customers on plans sold as unlimited exceed a monthly data threshold, the FCC said in a news release. The agency heard from hundreds of "unhappy" customers who complained of slow speeds and said they weren't receiving what they were sold, according to the news release. -
Americans Work 25% More Than Europeans, Study Finds (bloomberg.com)
Americans are addicted to their jobs. U.S. workers not only put in more hours than workers do almost anywhere else. They're also increasingly retiring later and taking fewer vacation days, reports Bloomberg. From the article: A new study tries to measure precisely how much more Americans work than Europeans do overall. The answer: The average person in Europe works 19 percent less than the average person in the U.S. That's about 258 fewer hours per year, or about an hour less each weekday. Another way to look at it: U.S. workers put in almost 25 percent more hours than Europeans. Hours worked vary a lot by country, according to the unpublished working paper by economists Alexander Bick of Arizona State University, Bettina Bruggemann of McMaster University in Ontario, and Nicola Fuchs-Schundeln of Goethe University Frankfurt. Swiss work habits are most similar to Americans', while Italians are the least likely to be at work, putting in 29 percent fewer hours per year than Americans do. -
HP Plans To Cut Up To 4,000 Jobs Over Next 3 Years Amid PC Slump (bloomberg.com)
Yesterday, it was reported that the PC industry is on a two-year downslide as PC shipments have declined for eight consecution quarters. Today, HP announced it will cut between 3,000 and 4,000 jobs over the next three years due to the PC slump. Bloomberg reports: The company will eliminate positions across the board, Chief Executive Officer Dion Weisler said on Thursday. The comments came as HP held its analyst meeting in New York. The reductions could include 1,000 jobs being outsourced if the number of positions edges close to 4,000, Chief Financial Officer Cathie Lesjak said. Weisler is searching for additional ways to drive profitability after his PC company gained independence last year from Hewlett Packard Enterprise, which sells corporate tech gear. Earlier this year, Weisler said HP would need to accelerate a plan announced in 2015 to eliminate about 3,000 positions over three years. Instead, those reductions are to be completed this fiscal year. HP has about 50,000 employees now. HP said the newest job cuts will generate cost savings of about $200 million to $300 million annually starting in fiscal 2020. The Palo Alto, California-based computer maker expects to take $350 million to $500 million in charges in connection with the plan, and of that tool about $200 million will be labor costs, according to a regulatory filing. -
Amazon To Hire 20% More Holiday Workers To Meet Growing Demand (bloomberg.com)
Amazon.com is hiring 20 percent more seasonal workers this year, suggesting it anticipates a strong holiday season. Bloomberg reports: The e-commerce giant will add 120,000 seasonal positions, up from 100,000 last year, "to support growing customer demand," said Mike Roth, vice president of customer fulfillment, in a statement. The workers will fill spots in fulfillment and sorting centers and at customer service sites in the U.S. Last year more than 14,000 seasonal employees were shifted to full-time roles after the holidays and the company expects to increase that number this year, Roth said. -
Uber and Didi Face Regulatory Challenges Throughout China (yahoo.com)
hackingbear writes: Contrary to the central government's wish to boost employment from peer-to-peer economy, the Chinese cities of Shenzhen, Shanghai, and Beijing, who have invested big interest in traditional taxi services, are all looking to pass municipal regulations on ride-hailing businesses that could wipe out many of Uber and Didi's drivers and cars. "There will be a sharp drop in market supply of rideshare vehicles. In Shanghai, for instance, less than 20 percent of existing rideshare vehicles meet the proposed (wide) wheelbase requirements. There will be significant decrease in the number of rideshare drivers. Of over 410,000 activated driver accounts in Shanghai, only less than 10,000 are residents with Shanghai residency registration," said Didi on its social media outlets. In China, ridesharing drivers are usually migrant workers who have few other choices of employments, and rich urban residents are not interested in such jobs. Given the sore state of the economy in China, high unemployment would mean social unrest; the ridesharing economy may prevail at the end as it has become too big to be strictly regulated. Separately, the Chinese government opened an antitrust probe into Uber's sale of its China operations to Didi in September after the announcement of the merger. -
AT&T Considers Stopping All Samsung Note 7 Sales (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: ATT Inc. is considering stopping all sales of Samsung Electronics Co.'s flagship Galaxy Note 7 over concerns about the smartphone's safety, according to a person familiar with the situation. A final decision will likely come as soon as Friday, said the person, who asked not to be identified because the deliberations are private. ATT spokesman Fletcher Cook declined to comment. Like many competitors, the second-largest U.S. wireless carrier is already offering alternative smartphones to people who return Note 7 devices. Samsung started replacing the Note 7 last month because of a flaw in its lithium battery that can lead to overheating and pose a burn hazard to customers. Airlines have banned customers from using the smartphones on flights, and the evacuation of a Southwest Airlines Co. plane earlier this week was blamed on smoke caused by a replacement device. ATT's move would be a further blow to Samsung. The wireless carrier is the third-biggest customer of the South Korean company, according to estimates compiled by Bloomberg. Samsung is already facing a bill that analysts estimate stretching into the billions of dollars for the recall of 2.5 million Note 7 phones that it announced last month. A U.S.-based Samsung spokeswoman didn't immediately have a comment. -
Appeals Court Reinstates Apple's $120 Million Slide-To-Unlock Patent Win Over Samsung (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Apple Inc. won an appeals court ruling that reinstates a patent-infringement verdict it won against Samsung Electronics Co., including for its slide-to-unlock feature for smartphones and tablets. In an 8-3 ruling, the U.S. Court of Appeals for the Federal Circuit said a three-judge panel was wrong to throw out the $119.6 million verdict in February. Instead, it ordered the trial judge to consider whether the judgment should be increased based on any intentional infringement by Samsung. In this case, Apple claimed that Samsung infringed patents for the slide-to-unlock feature, autocorrect and a way to detect phone numbers so they can be tapped to make phone calls. The bulk of the award, $98.7 million, was for the detection patent that the earlier panel said wasn't infringed. The February decision also said the other two patents were invalid. That was a wrong decision, the court ruled Friday, because it relied on issues that were never raised on appeal or on information that was beyond the trial record. "The jury verdict on each issue is supported by substantial evidence in the record," Circuit Judge Kimberly Moore wrote for the majority. -
Appeals Court Reinstates Apple's $120 Million Slide-To-Unlock Patent Win Over Samsung (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Apple Inc. won an appeals court ruling that reinstates a patent-infringement verdict it won against Samsung Electronics Co., including for its slide-to-unlock feature for smartphones and tablets. In an 8-3 ruling, the U.S. Court of Appeals for the Federal Circuit said a three-judge panel was wrong to throw out the $119.6 million verdict in February. Instead, it ordered the trial judge to consider whether the judgment should be increased based on any intentional infringement by Samsung. In this case, Apple claimed that Samsung infringed patents for the slide-to-unlock feature, autocorrect and a way to detect phone numbers so they can be tapped to make phone calls. The bulk of the award, $98.7 million, was for the detection patent that the earlier panel said wasn't infringed. The February decision also said the other two patents were invalid. That was a wrong decision, the court ruled Friday, because it relied on issues that were never raised on appeal or on information that was beyond the trial record. "The jury verdict on each issue is supported by substantial evidence in the record," Circuit Judge Kimberly Moore wrote for the majority. -
Samsung Could Face Second Recall As US Probes Burnt Phone (bloomberg.com)
The Federal Aviation Administration and the Consumer Product Safety Commission are investigating Wednesday's incident, when a passenger's phone emitted smoke on a Southwest Airlines plane readying for departure from Louisville, Kentucky. Bloomberg reports: "If it's the fixed phone and it started to smoke in his pocket, I'm going to guess there'll be another recall," said Pamela Gilbert, a former executive director of the consumer agency. "That just doesn't sound right." Samsung has been engulfed in crisis since the Note 7 smartphones began to burst into flames just days after hitting the market in August. The Suwon, South Korea-based company announced last month that it would replace all 2.5 million phones sold globally at that point. Samsung said it had uncovered the cause of the battery fires and that it was certain new phones wouldn't have the same flaws. The first indications of the existing recall's financial impact could be seen Friday with the company's release of earnings that rose at the slowest pace in five quarters. Operating income increased just 5.5 percent to 7.8 trillion won ($7 billion) in the three months ended Sept. 30. -
Google Canceled the Launch of a Robotic Arm After it Failed the 'Toothbrush Test' (bloomberg.com)
Mark Bergen, reporting for Bloomberg: Google published research this week detailing how its software enables robots to learn from one another. To demonstrate, the company's scientists showed videos featuring robotic arms whirling inside its labs. Google's robotics group built those machines and wanted to sell them to manufacturers, warehouse operators and others. However, executives at Google parent Alphabet Inc. nixed the plan because it failed Chief Executive Officer Larry Page's "toothbrush test," a requirement that the company only ship products used daily by billions of people, according to people familiar with the situation. -
Boeing CEO Vows To Beat Elon Musk To Mars (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Boeing Chief Executive Officer Dennis Muilenburg sketched out a Jetsons-like future at a conference Tuesday, envisioning a commercial space-travel market with dozens of destinations orbiting the Earth and hypersonic aircraft shuttling travelers between continents in two hours or less. And Boeing intends to be a key player in the initial push to send humans to Mars, maybe even beating Musk to his long-time goal. "I'm convinced the first person to step foot on Mars will arrive there riding a Boeing rocket," Muilenburg said at the Chicago event on innovation, which was sponsored by the Atlantic magazine. Like Musk's SpaceX, Boeing is focused on building out the commercial space sector near earth as spaceflight becomes more routine, while developing technology to venture far beyond the moon. The Chicago-based aerospace giant is working with the National Aeronautics and Space Administration to develop a heavy-lift rocket called the Space Launch System for deep space exploration. Boeing and SpaceX are also the first commercial companies NASA selected to ferry astronauts to the International Space Station. Boeing built the first stage for the Saturn V, the most powerful U.S. rocket ever built, which took men to the moon. Nowadays, Muilenburg sees space tourism closer to home "blossoming over the next couple of decades into a viable commercial market." The International Space Station could be joined in low-earth orbit by dozens of hotels and companies pursuing micro-gravity manufacturing and research, he said. Muilenburg said Boeing will make spacecraft for the new era of tourists. He also sees potential for hypersonic aircraft, traveling at upwards of three times the speed of sound. -
Google Unveils Pixel and Pixel XL, the First Phones It 'Designed Inside and Out' (www.bgr.in)
At an event on Tuesday, Google unveiled the Pixel and Pixel XL smartphones, the first phones "designed inside and out by Google." Focusing less on the hardware, the company says the biggest selling point of the phones is Google Assistant, which will be available to users wherever they go. Both Pixels have a quad-core 2.15GHz 64-bit processor, 4GB of RAM, 32GB or 128GB of storage, a 12.3MP rear camera, an 8MP front camera, a fingerprint scanner on the back, and a USB-C port on the bottom. The major differences between the two are in size, display (5-inch vs 5.5-inch), and battery (2770mAh vs 3450mAh). The company says the rear camera on both phones is top-notch as well, scoring 89 on DxO, the highest ever for a smartphone. Both phones also come with "endless cloud storage," the company said. It will let users backup unlimited storage in full-resolution images and videos shot with the Pixel. Pricing starts at $649 for the smaller 5-inch Pixel, available for preorder today. Mark Gurman of Bloomberg shares the inside story of how these phones were conceived. -
Amazon's Kindle Unlimited Is a Victim of Its Success in Japan (wsj.com)
You really need to understand the market before you start operating there. Take Amazon's case for instance, which has found itself in the middle of a backlash with publishers in Japan. When Amazon launched its "all-you-can-read-subscription" Kindle Unlimited service in Japan, the company didn't know it would become such a big success. And yet it did. So much so that Amazon had to sharply scale back within weeks of its introduction in the country. Before Amazon introduced the feature in Japan, it partnered with Japanese publishers to offer their popular content, committing to pay them a premium through the end of this year when a customer reads at least 10 percent of a book or other content. It worked -- too well, WSJ reports. From an article: Since it's easy for readers to get through the first 10% of a magazine or photo book in just a few minutes, Amazon quickly found itself on the hook for large payments (Editor's note: the link could be paywalled; alternate source), a person at one publisher said. A person at another publisher said Amazon made an overture for talks in September saying it had hit its budget limit for the payments to publishers and wanted revisions to its contract with the publisher." -
The Yahoo Hackers Weren't State-Sponsored, Security Firm Says (csoonline.com)
itwbennett writes from a report via CSO Online: After Yahoo raised eyebrows in the security community with its claim that state-sponsored hackers were responsible for the history-making breach, security firm InfoArmor now says it has evidence to the contrary. InfoArmor claims to have acquired some of the stolen information as part of its investigation into "Group E," a team of five professional hackers-for-hire believed to be from Eastern Europe. The database that InfoArmor has contains only "millions" of accounts, but it includes the users' login IDs, hashed passwords, mobile phone numbers and zip codes, said Andrew Komarov, InfoArmor's chief intelligence officer. Earlier this week, Chase Cunningham, director of cyber operations at security provider A10 Networks, called Yahoo's claim of state-sponsored actors a convenient, if trumped up, excuse: "If I want to cover my rear end and make it seem like I have plausible deniability, I would say 'nation-state actor' in a heartbeat." "Yahoo was compromised in 2014 by a group of professional blackhats who were hired to compromise customer databases from a variety of different targeted organizations," Scottsdale, Arizona-based InfoArmor said Wednesday in a report. "The Yahoo data leak as well as the other notable exposures, opens the door to significant opportunities for cyber-espionage and targeted attacks to occur." -
Vladimir Putin Is Replacing Microsoft Programs With Domestic Software (bloomberg.com)
An anonymous reader quotes a report from Bloomberg: Moscow city will replace Microsoft Corp. programs with domestic software on thousands of computers in answer to President Vladimir Putin's call for Russia's authorities to reduce dependence on foreign technology amid tensions with the U.S. and Europe. The city will initially replace Microsoft's Exchange Server and Outlook on 6,000 computers with an e-mail system installed by state-run carrier Rostelecom PJSC, Artem Yermolaev, head of information technology for Moscow, told reporters Tuesday. Moscow may expand deployment of the new software, developed by Russia's New Cloud Technologies, to as many as 600,000 computers and servers, and may also consider replacing Windows and Office, Yermolaev said. Putin is urging state entities and local companies to go domestic amid concerns over security and reliability after U.S. firms shut down paid services in Crimea following Russia's 2014 annexation. The plan poses a challenge to the likes of Microsoft, SAP SE and Oracle Corp. in the country's $3 billion software market. Adding to pressure, Putin's internet czar German Klimenko wants to raise taxes on U.S. technology companies to help Russian competitors such as Yandex NV and Mail.ru Group Ltd. -
Facebook Told To Stop Taking Data From German WhatsApp Users (bloomberg.com)
An anonymous reader shares a Bloomberg report: Facebook, already under scrutiny in the U.S. and the European Union for revisions to privacy policies for its WhatsApp messaging service, was ordered by Hamburg's privacy watchdog to stop processing data of German users of the chat service. In a renewed clash with the social-network operator, Johannes Caspar, one of Germany's most outspoken data protection commissioners, ordered Facebook to delete any data it already has. The news comes as EU privacy regulators, who previously expressed concerns about the policy shift, meet in Brussels to discuss their position. There's no legal basis for Facebook to use information of WhatsApp customers, Caspar said Tuesday. "This order protects the data of about 35 million WhatsApp users in Germany," Caspar said. "It has to be their decision as to whether they want to connect their account with Facebook. Therefore, Facebook has to ask for their permission in advance. This has not happened." -
Indian Students Score a Partial Win in Facebook Privacy Dispute (bloomberg.com)
WhatsApp announced last month that it would stop begin sharing some of users' information -- phone number, contact information of people in your address book etc -- with Facebook. Two Indian students last month expressed their concern over this, adding that WhatsApp was "severely" compromising their privacy and those of other billion plus users, and that it was reneging from its original promise. They approached Delhi High Court, and after hearing from everyone, the bench of chief justice told WhatsApp that it must delete data of users who are opt out of privacy policy changes before September 25. Bloomberg adds: The Delhi High Court on Friday ruled that WhatsApp has to delete all data on users who choose to stop using the service before Sept. 25, when the new policy takes effect. Also, it can only share data collected after that date. However, going forward, WhatsApp is free to share information on users who haven't opted out. The court also asked India's government to consider if it was feasible to craft regulations to oversee WhatsApp and other messaging apps, though it didn't specify what form they could take.