Sep 4

In this quick Prizefight, CNET TV’s Brian Tong and I pit the two against each other in a 3G speed test, clocking the time it takes for each device to load CNET News from start to finish. Now, there are a couple of things to remember. Both smartphones use different Web browsers, and there are a number of factors that might affect 3G speeds, such as the area you live in and how many people are on the network at one time. However, in the spirit of friendly competition and out of pure curiosity, we decided to go for it. Check out the video to see who comes out on top.

Also, be sure to check back next week when we’ll have a full Prizefight between the
iPhone 3G and T-Mobile G1–five furious rounds of battle, judging everything from navigation to multimedia to call quality.

The T-Mobile G1 is officially on sale now, but maybe you’re still on the fence about it. What’s Google Android all about? What’s up with the design? Is it better than the iPhone 3G? Perhaps you’re wondering which of these 3G smartphones is faster? Well, glad you asked.

Aug 29

“Our proposal offers Circuit City a significant premium to its existing stock price and creates a game-changing retail concept with a sustainable competitive advantage. We believe the combination will result in a compelling consumer proposition that will drive significant revenue and margin enhancements as well as cost synergies,” Keyes said in a statement.

Blockbuster initially made the proposal on February 17, but says Circuit City has not provided the due diligence it needs to make a more definitive offer. On Monday, Blockbuster decided to go public. In a letter to Circuit City CEO Philip Schoonover, Blockbuster CEO Jim Keyes notes that the two companies have been discussing proposed tie-ups since December.

Last week news leaked out that Blockbuster had a set-top box under development that would stream video content directly into homes, which was seen by many as a last-ditch effort to adapt its business.

(Credit:
Blockbuster)

Circuit City issued its own statement saying it had received the offer, and was still evaluating its options.

Video rental giant Blockbuster on Monday announced it has offered to purchase Circuit City Stores for $6 to $8 per share, or about $1 billion to $1.3 billion.

A combination of the two companies would add up to an $18 billion business, according to Blockbuster’s calculations. Both companies have struggled in the past year–Circuit City posted a $200 million loss near the end of 2008, and Blockbuster has been fending off Netflix’s success in online video rentals, as well as the growing threat of digital movie downloads.

Blockbuster says the offer is intended to “capitalize on the growing convergence of media content and electronic devices.”

Aug 24

South Korea is one of Linux’s biggest converts. Since discovering the free operating system in 2003, officials have unveiled plans to switch all government-run offices to Linux. Now under the terms of the agreement signed between the two states, South Korea will set up Linux training centres in North Korea.

commentary

Peace, love, and Linux? Maybe. Maybe not. But it’s very cool to see the two governments collaborating on IT, if little else.

Under the banner of “Hana Linux” - literally “One” Linux - the two countries have agreed to work on a groundbreaking IT development project that might shatter the final Cold War boundary.

Who would have thought that Linux could bring about world peace? As it turns out, North and South Korea are partnering on the development of a common Linux distribution that could ease integration if the two countries ever decided to unite, as The Guardian reports:

Aug 23

Chandler consists of the Web-based Chandler Hub, and desktop clients for Windows,
Mac and Linux. It is meant to be your everywhere digital notebook for organizing appointments, tasks and notes. Chandler lets you import and export calendars to just about any iCal-compliant application, such as Google Calendar and Apple iCal; it creates alarms and reminders; and it provides simple task management.

Despite some innovations in brings to the category, it has not delivered on the promise. Here’s where it fails:

Six years in the making, the 1.0 version of Open Source Web and desktop info organizer Chandler finally arrived on Friday. It was not met with thunderous acclaim, nor did it get the kind of press its development cost of $8 million and tens of thousands of volunteer hours was supposed to generate.

And any advice to the new generation of Internet wannabe millionaires running around the valley? “Well yeah, actually. It’s easy when you’ve been successful to lose calibration about what you can accomplish, about how hard it can be, about how long it will take. There’s lots of people on the second time around that have dug themselves into one or another kind of hole. Part of what allowed Chandler to get traction and to get to 1.0 was when people on the project, myself included, where able to have more modest objectives, to have more realistic planning and to get into a more agile cycle of development, on the principle it is far better to deliver something than it is to have huge dreams and deliver nothing. That would be my advice.”

“If you view it from the point of view as something that would replace Outlook and Exchange, it has completely and utterly failed.”
–Mitch Kapor

Now Project Chandler is on its own. “It’s more of a conventional open source project in the sense that its momentum hereon is going to depend on the extent there is a community of volunteers who find it valuable enough to contribute to it and move it forward.” Are there enough volunteers to do that? “The short answer is I don’t know, but there are promising signs. The numbers of people involved, while modest, are nontrivial and growing. If you view it from the point of view as something that would replace Outlook and Exchange, it has completely and utterly failed. But from the point of view of having built something that tens of thousands of people are happily using, and were using before there was a 1.0, by those metrics, it’s pretty promising.”

Whether you’re working in the Chandler web app or using a desktop client, you enter to dos, appointments and notes in a single entry field, then add detail. But the devil is in these details, and you will get tired very quickly of the slow interface for entering calendar items.
While Chandler lets you triage your items into Now, Later and Done buckets, this is rudimentary task management at best and will leave practitioners of David Allen’s Getting Things Done wondering where the rest of the application is.
Chandler’s big selling point–seamless Web app/desktop synchronization and backup–works as advertised (although it did not work for me out of the box), but a competitor, the free but commercial Evernote, offers superior features, like picture and sound recording, and Web-based OCR of images stored.
Chandler organizes your information into collections, but unlike say Google shared calendars, there’s no way on the Chandler Hub to discover collections others want to publicize.

I can remember when Mitch Kapor–the founder of Lotus Development and Lotus 1-2-3, the man who gave reason to put a PC in every office on the planet–started this project. It was going to free the masses from domination by Microsoft Outlook and Exchange Server and triumphantly herald a new age of open-standard killer software.

Disclosure: Bob Walsh occasionally sells a copy of a Windows desktop task manager he wrote three years ago.

I talked with Kapor, who underwrote $5 million of the nearly $8 million that went into Project Chandler, He said, “It’s been a long, long journey. So long that a whole book was written about a part of it. It’s obvious to anyone who is familiar with the story and the history that it is one of the project that, to make an understatement, did not turn out the way it was originally planned.”

Kapor pulled the plug on the free money and office space for the Open Source Application Foundation back in January. “Last January I reached the conclusion that I was really ready and needing to go on to other things. And the team on the project had a really strong desire to see it through to competition. The team shrank in size pretty dramatically then. I put a little more money into it in order to enable this transition to happen in 2008, part of which was they were going to ship 1.0,” said Kapor.

With any 1.0 app you can expect rough edges and unimplemented features: neither Wikipedia or Mozilla
Firefox were much to talk about in their early days. The question about this open source project is whether Chandler 1.0 is the start of something great or the last gasp of a party no one wants to be at.

Chandler is a capable to-do list manager, but its design and capabilities are dated.

“You asked if Chandler has lived up to the dream I had six years ago. And I think the fair answer to that is in part yes and in part no. What has actually been delivered delivers on part of what the original dream was. There’s a cross-platform, fully open-source, innovative personal information manager with a very strong calendar. Those were among the original goals. Obviously it’s taken dramatically longer than I thought it would, which I would attribute to not good judgment about how long it would take or the complexity of the project.”

Aug 23

Late last month, researchers at Princeton made headlines when they published a paper exposing weaknesses in PC encryption technologies. It seems that DRAMs retain resident data for several minutes after PCs are shut down. This vulnerability can lead to “cold boot attacks” that can expose any information stored in PC memory–including encryption keys. Using several different types of attacks, researchers were able to exploit this vulnerability to defeat several disk encryption systems including BitLocker (Microsoft Windows), FileVault (Apple Macintosh), and TrueCrypt (Open Source). Read more about this security research here. (PDF)

When I first read this study, my initial reaction was that this was old news that was only relevant to the security research and academic communities. If my PC is stolen at Logan Airport or I leave it in a New York City cab, chances are pretty good that it gets fenced on the street for a few hundred bucks or traded for tubes of crack. In a situation like this, any Full-Disk Encryption (FDE) solution serves its purpose by providing anti-disclosure insurance. In other words, if my PC contains regulated data when it is stolen, FDE gives me a “get out of jail free” card on regulations like California SB 1386–I don’t have to disclose this data breach to the public or suffer the associated embarrassment and cost.

With information security, never underestimate the bad guy’s skills and desires. As Sun Tzu said in The Art of War, “If you know your enemy and know yourself, you need not fear the results of a hundred battles. If you know yourself but not your enemy, for every victory gained you will also suffer a defeat. If you know neither your enemy nor yourself, you will succumb in every battle.”

Yes, there are ways to minimize the possibility of a cold boot attack against vulnerable encryption tools but security best practices state that if you are going to implement security technologies, you ought to choose those that provide the highest security possible. BitArmor, Intel (Danbury), and Seagate offer examples of encryption technologies immune to the Princeton attacks. My guess is that others will quickly follow.

Given this scenario, Joe Blow FDE software is sufficient most of the time, but security attacks are getting more targeted and sophisticated each day. Additionally, ESG Research data indicates that about one-third of large organizations (for example, 1,000 employees or more) suffered a data breach in the last 12 months and about half of these breaches were carried out by insiders. Given the right circumstances, a junior IT administrator could use a cold boot attack to steal valuable information from a C-level executive. Cold boot attacks also provide a new avenue for industrial espionage since many users leave laptops in hibernation mode when they travel.

The Princeton report renewed a well-understood problem in the security community. Many encryption technologies are far more vulnerable than you think. That said, should chief information security officers be concerned? Yes and no.

Aug 23

Neither Microsoft nor Yahoo had immediate comment.

Meanwhile, rumors of an impending Yahoo reorganization–a big one that could come as early as this week–continue to swirl.

“If Microsoft would make a public statement, it would make a difference to a certain extent,” said the institutional investor advisory services source. “But, unless it was official like a tender offer, or unless shareholders could see the details and specific terms of the partial offer, it’s hard for shareholders to know how it will benefit them.”

(Credit:
Dan Farber/CNET News.com)

Update 10:33 a.m. PDT Tuesday: Adds details of Jerry Yang’s activities over the past week

Should Microsoft increase its buyout bid for just Yahoo’s search assets, and if the company’s investors find it appealing enough–even if Yahoo’s board does not–investor activist Carl Icahn may consider keeping with his initial game plan of running a dissident slate to win control of the board.

But the source noted that several of Yahoo’s nine board members, including its chairman, Roy Bostock, have since indicated a willingness to hold further discussions with Microsoft on a possible deal to sell the search operations.

After the Microsoft negotiations collapsed, Yahoo struck a search advertising outsourcing deal with Google. But that hasn’t impressed shareholders. Shares of Yahoo, which traded at $23.52 the day of the Google announcement, closed at $21.45 on Monday.

Microsoft has signaled that it is willing to sweeten its previous offer for a partial buyout of Yahoo’s search business, according to one major investor who has been in contact with both parties.

And you thought a deal between Microsoft and Yahoo was over and done with?

Steve Ballmer: It ain't over ’til it's over?

“When Microsoft made its offer to acquire Yahoo’s search business, Yahoo rejected the offer outright. There was no negotiating beyond the ($9 billion offer) Microsoft was offering,” the source said.

After the termination of discussions with Microsoft less than two weeks ago, Yahoo’s board said in a statement that a sale leaving the company without an independent search business “would not be in the best interests of Yahoo stockholders.”

Meanwhile, the future of Yahoo’s CEO and co-founder, Jerry Yang, as well as a number of the company’s other directors, remains undecided. Yahoo has been stunned by a run of high-profile resignations in the last couple of weeks. And while reports surfaced about the degree of Yang’s involvement in the pending re-organization of Yahoo, the CEO has been busy making the rounds on Capitol Hill to discuss the Google agreement, as well as talking about the big G to Yahoo teams from Sunnyvale to New York about the announcement. These moves come as the company’s annual shareholders meeting on August 1 draws near.

But according to an institutional investor advisory services source, Icahn would still likely stand a better chance just running a partial slate of dissident directors for minority representation on the board–even if Microsoft makes a public statement of a sweetened offer to buy only Yahoo’s search business.

This source noted that a mere press release saying the offer has been increased to a certain level will have even less effect, or meaning to shareholders: “I don’t think Microsoft publicly announcing even the terms of a sweetened bid would be enough for Carl Icahn to run a full slate, or motivate shareholders to replace the whole board.”

Investors clamoring for change have pointed to the approximately 35 percent decline in Yahoo’s share price since Microsoft’s $33 per share offer to acquire all of Yahoo. Microsoft withdrew that offer in May after failing to get a “yes” from Yahoo. Shares of Yahoo are now within hailing distance of the $19 per share trading level they hovered at prior to Microsoft’s unsolicited bid in February.

The source questioned whether unrest about the stock price would force a change at the top as well. “A lot of Yahoo directors are fed up with the process of what’s been happening,” the source said.

Not so fast.

(Credit:
Dan Farber/CNET News.com)

Yahoo's Yang: On the hot seat

Aug 23

It’s hard to believe that no one in the “Me Generation” beat them to it, but Apple has apparently registered Me.com as a possible replacement for its .Mac service.

Mac users appear to be intrigued by the idea of extending .Mac’s syncing features to their iPhones, allowing them to access files and resources stored on their home Macs via the iPhone. This could be an interesting opportunity for Apple to get iPhone buyers on the Mac train, and to entice current Mac users to obtain an iPhone.

A new .Mac service would be an afterthought to the 3G iPhone as well as any news about Mac OS X 10.6 that might arrive during Steve Jobs’ keynote speech next week at the Worldwide Developers Conference, but it bears watching.

Apple’s $99-a-year .Mac service is not all that popular among the Mac community mostly because of its price tag, even though it makes Web publishing and online storage fairly easy with tight links to its iLife software. But the big opportunity these days for .Mac could be related to the
iPhone.

Monday marks the official kickoff of iPhone Month within the Apple universe, although some would argue it started long ago. Apple is expected to release a faster iPhone with additional features perhaps as early as next week, and new software and applications should be out by the end of the month.

Could Me.com be Apple's portal linking the iPhone and the Mac?

John Gruber of Daring Fireball has assembled a list of evidence that Apple is holding onto the domain, with the likely scenario that the company wants to launch a new Internet service. The domain is currently held by a company called MarkMonitor, but the administrator of Me.com bears an Apple e-mail address. Last month, Network World noticed that Apple had snapped up a bunch of Montenegro’s new Web addresses, such as apple.me and itunes.me, and the company trademarked the term “MobileMe” a few years ago.

(Credit:
CNET Networks)

Aug 23

Hitachi's 1.5 LCDs are just that thick.

Though already available in Asia, the 1.5-inch-thick TVs from Hitachi are now available in the U.S. The sets come in three different screen sizes, 32 inches, 37 inches, and 42 inches.

See my colleague David Katzmaier’s take on the latest TV from Hitachi here.

(Credit:
Hitachi)

If you’ve been eagerly awaiting the opportunity to own the thinnest flat-panel LCD TV, now’s your chance.

One of the secrets, by the way, of how Hitachi managed to slim down the TVs so much is that they took out the ATSC tuner. And although it is definitely the thinnest LCD TV, it’s downright bloated when compared to Sony’s impossibly thin OLED TV, which measures a mere 3 millimeters thick.

Aug 23

Also worth checking out is a video that colleague Kara Tsuboi did looking at some image-editing software that Microsoft had on display. While most software looks to edit things out of photos, Microsoft Research was showing off a program that adds things back in.

Up now are several videos from last week, including highlights of a walk-around I did with Craig Mundie, Microsoft’s chief research and strategy officer.

The idea is that these days, we all shoot a lot of pretty landscapes with little action going on. The program from Microsoft lets you throw in some stock images of
cars and people and pets. Ideally, of course, you would be able to add-in your own images, but that will have to wait for an updated release.

Click here for the Craig Mundie video.

There was plenty of TechFest coverage last week, but we have a couple more bits to add to the mix.

There was a lot last week–from Micropedia, to the much-touted WorldWide Telescope to a new operating system called Singularity. To make it easier to find it all, check out this roundup of all our print and video coverage.

Aug 23

This brings ContextWeb’s total equity investment to $54 million.

ContextWeb, a contextual advertising firm and operator of the ADSDAQ Exchange, has closed a $26 million Series D funding round, the company said Tuesday.

If there was any doubt that online advertising was cooling down, this news might make you think twice.

The round was led by Investor Growth Capital, with participation from all existing investors: DFJ, DFJ Gotham Ventures, Updata Partners, DFJ New England, and Gold Hill Capital.

The funding will be used to grow the ADSDAQ Exchange, which offers a way for advertisers and publishers to buy and sell ad inventory, the company said.

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