Gov't Straining to Secure Computer Systems

Hackers Increasingly Gaining Access to Networks, Congress Is Told
Federal computer networks are being targeted on an unprecedented scale and recent high-profile compromises at two key federal agencies are likely just the most visible symptoms of a government-wide security epidemic, government security experts told a congressional oversight committee today.

Officials from the Commerce and State departments appeared before the House Homeland Security Committee's cyber-security panel to explain at least three separate instances where sensitive government electronic data was compromised.
Donald Reid, senior coordinator for security infrastructure at the State Department's Bureau of Diplomatic Security, described how an employee at an agency installation in East Asia opened a virus-infected e-mail attachment disguised as the text of a congressional speech. Investigators later found that the virus leveraged a previously unknown security hole in Microsoft's Word software that allowed the sender to evade anti-virus programs and hijack any computer running the Windows operating system that is used to open the document.

Further investigation showed that hackers had infiltrated State Department systems in Washington and other agency posts in the Pacific region. In the process of examining the infected systems in Washington, forensics experts learned that attackers had infiltrated them using another undocumented software security hole, a flaw in Microsoft's Windows operating system.

Dave Jarrell, manager of the critical infrastructure protection program at the Department of Commerce, said agency investigators learned in July 2006 that hackers using Chinese networks had broken into its network after one of its top officials complained that he was unable to log on to his computer. A follow-up audit showed that the official had been locked out of his account after hackers unsuccessfully tried to log into his system, and that it was among at least 32 other systems on the department's network that were seeded with a malicious software program designed to cloak the fact that unauthorized users had gained access to the network.

Officials from both agencies assured lawmakers that no classified information or networks were compromised by the break-ins. But Rep. James Langevin (D-R.I.), the panel chairman, said it was impossible for the officials to make that statement definitively, as neither agency had completed its annual required annual inventory of computer systems.

"I think these incidents have opened a lot of eyes in the halls of Congress. The truth is we don't know the scope of our networks. We don't know who's inside our networks. We don't know what information has been stolen. We need to get serious about this threat to our national security." Langevin said. "These are not the only agencies experiencing problems. They are simply the only attacks that have been made public."

Indeed, evidence indicates that all federal agencies were similarly compromised last summer, said Marcus Sachs, director of the SANS Internet Storm Center, a Bethesda, Md.-based organization that tracks Internet security trends.

"These attacks didn't affect just the federal government, but also the private sector, state agencies and other national governments," Sachs said in an interview during a break at Thursday's committee hearing. "What we don't know is what they were able to do, what did the attackers do after that? There is just no telling."

Federal agencies are fending off and cleaning up digital attacks against their information systems on a scale never seen before, said Jerry Dixon, director of the Department of Homeland Security's National Cyber Security Division. In 2006, the NCSD received reports of nearly 24,000 security "incidents," activity that ranges from attackers probing electronic networks for security holes to computer virus infections to cases of unauthorized access to government information resources. The NCSD is already on track to receive more than double that number of incident reports in 2007, Dixon said.

Protecting large government and private sector networks is a task complicated by the regular need to update thousands of computers and servers. According to analysis by washingtonpost.com, in at least 10 instances last year, Microsoft was rushed to issue a security update to fix previously unknown software flaws that criminals were using to break into vulnerable systems. In all of 2006, Microsoft shipped 104 updates to plug software holes labeled "critical," flaws so dangerous that hackers could exploit them with little or no help from the victim. Forty-one of those vulnerabilities resided in the widely used Word and other Microsoft Office programs that could be exploited by virus writers just by convincing a recipient to open an infected e-mail attachment.

Both the Commerce and State departments received failing grades for their handling of computer security in 2006, according to "report cards" handed down from congressional oversight committee last week. The Department of Homeland Security, which is responsible for ensuring the security of federal information systems and leading by example, earned a grade of "D."

"I don't know how [DHS] thinks it's going to lead this nation in securing cyberspace when it can't even secure it's own networks," Langevin said. "Not only are these grades embarrassing, they're dangerous."
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Road to Apple/Cisco iPhone compatibility leading through VoIP?

Part of the deal that got Cisco to grant Apple the use the iPhone name was that Apple and Cisco would pursue opportunities to make their respective iPhones interoperable. According to the Seattle Post-Intelligencer, Apple is currently making good on that promise. Cisco's Chief Development Officer Charlie Giancarlo told the paper that the discussions are happening at the highest level, at least on Apple's end.

iPhone Apparently, the idea is not to make the companies' respective iPhones work together, but rather, to have Apple's work with other Cisco products.

Cisco is best known for building routers that power the Internet and corporate networks. A number of years ago, Cisco started to incorporate VoIP technology in its routers and to build related products, such as ethernet and WiFi phones that allow organizations to leverage their IP networks for both data and voice, rather than operating two separate infrastructures. Cisco wants Apple's iPhone to work with these private VoIP installations so that iPhone users can enjoy services like teleconferencing and instant messaging. Whether that's something Apple or its cellular partners are also interested in remains unclear at this time.

This news fuels the question whether the iPhone will be able to place VoIP calls over WiFi in home environments. Wireless carriers typically include so many "free" minutes in their plans that for many users, it's not worth the trouble to set up VoIP service. However, it turns out that a quarter of mobile customers is interested in dual-mode service after all. Unconfirmed reports indicate that at least one carrier is pursuing the iPhone for this very purpose. On top of that, users who call internationally (both to other countries and when in other countries) will likely save a lot of money using VoIP service that's not necessarily provided by their cell phone carrier.
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Microsoft, Samsung Patent Deal Includes Linux Coverage

While cross-licensing patent arrangements are common, the key to the deal between Microsoft and Samsung is that Samsung has so many patents, according to Samir Bhavnani, an analyst at Current Analysis. "And Samsung is one of the biggest and fastest growing consumer electronics companies in the world."
Two patent-holding giants, Microsoft Relevant Products/Services and Samsung, announced Thursday that they have entered into a broad cross-licensing agreement. In addition to allowing each to license the other's patents, the deal grants liability coverage to Samsung for Linux-related intellectual property that Microsoft contends it owns.

Samsung, which said it was the largest publisher of U.S. patents in 2006, will be able to use Microsoft patents across its product lines, including computer products, set-top boxes, media players, camcorders, televisions, and others.

The liability coverage, according to the companies, enables the Seoul, South Korea-based Samsung to use the Linux operating system in its products without the liability risk that Microsoft will sue it or its customers.

Microsoft will similarly be able to use Samsung's patents for computer-related and digital-media products. The financial terms were not disclosed, but the companies said that financial payments will be made to compensate both parties "for the value of their portfolios."

Novell Deal

Microsoft noted that, in the last 12 months, it has inked similar arrangements with such companies as Fuji Xerox Relevant Products/Services, NEC, Nortel, and Seiko Epson. Comparable Linux coverage was issued to Fuji Xerox and Novell.

Following the announcement of the Novell cross-licensing pact in November of last year, Microsoft CEO Steve Ballmer said that users of Linux were engaged in an unauthorized use of Microsoft's intellectual property. "Every Linux customer," he reportedly said at the time, "basically has an undisclosed balance-sheet liability." Members of the Linux open-source community protested his remarks.

After its deal with Microsoft created controversy, Novell took exception with Ballmer's interpretation. "Our agreement with Microsoft is in no way an acknowledgment that Linux infringes upon any Microsoft intellectual property," Ron Hovsepian, Novell President and CEO, said in a statement at the time. "When we entered the patent cooperation agreement with Microsoft, Novell did not agree or admit that Linux or any other Novell offering violates Microsoft patents."

The Open Invention Network (OIN), an alliance whose members include Sony, IBM, NEC, Red Hat, Philips, and Novell itself, has been obtaining patents or patent agreements to avoid any claims against those who use Linux. Launched in 2005, OIN makes its patents available, free of charge, to "any company, institution or individual that agrees not to assert its patents against the Linux System."

'So Many Patents'

Cross-licensing arrangements are common, said Samir Bhavnani, director of research at technology research firm Current Analysis. "But the key to this deal," he said, "is that Samsung has so many patents. And Samsung is one of the biggest and fastest growing consumer electronics companies in the world."

He also noted that Samsung does a lot of work with Linux. "Linux is in a lot more devices than people generally realize," he said. As for the Linux liability protection provisions, he contended that "people who file Linux lawsuits typically don't win."

The real impact of this deal, Bhavnani said, is that consumers and businesses "will probably get products in their hands faster than if this deal hadn't taken place."
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Mozilla Thunderbird 2 takes flight

Mozilla on Thursday launched Thunderbird 2, the latest version of its free, open-source e-mail client featuring message tagging and customization.

Thunderbird 2, with its enhanced features, is intended to ease the organization of e-mail via message tags, advanced folder viewing, and speedier inbox and message searching.

Under its message tagging feature, users can assign single or multiple custom tags to their e-mail, such as "from mom" or "weekend projects." Users would also be able to assign default tags, as well.

"In Thunderbird 2, we incorporated the proven benefits of tagging to e-mail," Scott MacGregor, Mozilla's lead engineer for Thunderbird, said in a statement. "Tagging initially gained popularity on blogs, photo and link-sharing sites as an intuitive way to organize online information."

Thunderbird 2's customization features are designed to allow users to create their own message template, or use any hundreds of free add-ons to change the appearance and functionality of their e-mail client.

Thunderbird 2 also includes a backward-forward function to browse messages, and allows users to save e-mail searches in folders for reuse.
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PS3 Updated to Firmware 1.70; Q2 Line-up Confirmed

Thanks to the latest firmware update for the PlayStation 3 owners will be able to download and play PSone titles directly on the console (not just PSP), and rumble support has been added for PS and PS2 accessories. 16 titles have been confirmed for the PS3 in Q2. [Update: Dual Shock rumble not 'officially' supported]

Late last night PS3 owners were greeted with a system update message. The new 1.70 firmware brings with it a few very important features. Primary among those is that PS3 owners should now be able to download and play PSone software on the console itself. Up to this point, original PlayStation titles were only being made available as downloads that you could transfer to the PSP.

At the time of the update the PSP versions of the downloadable games were the only ones available, but it's likely that Sony will be updating the PlayStation Store with the PS3-compatible PSone games soon. Saved data for PlayStation format software can also now be used on the PSP. This could prove useful for gamers on the go who want to continue a game they've started on the PS3.

The third major feature of the update relates to rumble support. The firmware enables the vibration function of accessories that are for use with PlayStation and PlayStation 2 format software. We're assuming this means a USB adapter for a Dual Shock PS2 controller would allow vibration to work in backwards compatible games; we've put in an inquiry with SCEA for clarification.
[UPDATE] We got in touch with Dave Karraker, SCEA's Sr. Director, Corporate Communications, who advised us that gamers cannot use a Dual Shock on the PS3 and get force feedback. He said the firmware update is primarily for PS2 peripherals made by third parties, such as Flightstick 2 (Hori), Logitech Driving Force Pro, Logitech Driving Force, and the Logitech G25 Racing Wheel. "This would allow you to play compatible PS2 games on the PS3 with these peripherals and get force feedback. The only PS3 native game that would work with these peripherals and achieve force feedback is Gran Turismo HD," Karraker explained.

[UPDATE 2] User reports on message reports across the Internet, including NeoGAF, have found that third-party USB adapters do indeed enable the Dual Shock with rumble functionality on PS2 games. SCEA's Karraker explained, "None of the USB adapters that are offered on the market today for the Dual Shock controller are licensed by SCEA, so we didn't test their compatibility with 1.7. So, we can't comment on whether or not PS2 games with rumble will function on PS3 utilizing a Dual Shock controller with an unlicensed USB adapter."

SCEA also outlined its "extensive" second quarter line-up today. More than 100 titles are expected to hit store shelves for PS3, PS2 and PSP during the next few months. For the PS3, specifically, 16 titles will soon be released, split evenly between retail and digital download at the PlayStation Store. Here's a Q2 breakdown of key titles for the three PlayStation platforms:
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Dell Still Losing Market Share to Hewlett and Others, Data Shows

Dell’s personal computer sales continued to decline in the first quarter in the United States and across the world, according to analyses of PC sales made public yesterday by IDC and Gartner, two major consulting and market analysis firms.
Dell Computer also continued to lose market share in the first three months of year to Hewlett-Packard, the world’s largest PC vendor, and to overseas companies like Lenovo and Acer.

Dell’s shipments worldwide fell 6.9 percent from the first quarter of 2006, pushing its share of the market to 15.2 percent from 18.2 percent last year, according to IDC. It was a particularly sharp decline given that the overall market grew 10.9 percent.
Statistics from Gartner, based in Stamford, Conn., showed a similar trend.

“When you were king of the hill for as long as Dell was, it gave room for everyone else to maneuver,” said Loren Loverde, an analyst with IDC, based in Framingham, Mass.

IDC said that Hewlett-Packard shipped 28.2 percent more computers in the first quarter worldwide than a year earlier, and held 19.1 percent of the market. The other standout was Acer, the Taiwanese maker, whose worldwide shipments rose 41.4 percent.

Acer shipped about the same number of PCs as Lenovo, the Chinese company that bought I.B.M.’s PC operations. Acer and Lenovo tied for the title of the world’s third- largest PC vendor, according to statistics gathered by IDC. (Gartner gave a slight edge to Acer.)

Dell’s biggest problems were in the United States, where its PC shipments slipped 14.4 percent while the overall market grew 3.6 percent. Dell remained the No. 1 PC vendor in its home market with 26.8 percent of shipments, but it was no longer dominant. Hewlett-Packard’s shipments rose 25.5 percent, seven times the overall market growth rate. It had 24.2 percent of the domestic market, IDC said.
Apple also picked up market share in the United States, growing to 5 percent, from 4 percent, as its shipments increased 30 percent, according to Gartner. Apple grew faster than any other PC maker in the United States, Gartner said.

Dell’s weakness in the quarter was in part a result of its focus on sales to large American companies. IDC said that the corporate market in the United States was one of the few weak spots for PC sales. Indeed, the growth in worldwide shipments exceeded its forecasts.

The consumer market in the United States, which has been showing a preference for notebook computers, remained strong, surprising analysts. Gartner analysts had been expecting less than 1 percent growth in the United States.

Dell, which announces its financial results May 31, had no comment on the reports.

Despite having capitalized on the strength of notebook sales worldwide, Hewlett-Packard said that it had revamped its desktop line to emphasize style. In an announcement yesterday, it said that all its computers would come in a glossy black finish to match the finish on its notebooks and TVs.

“People still buy a lot of desktop PCs,” said Satjiv Chahil, the head of the company’s PC marketing.
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MySpace News goes live

Following the rumors last month that MySpace was getting into the news aggregation game, MySpace News has now gone live. Built on technology developed by Newroo (which News Corp. acquired last year), MySpace news combines the aggregation functionality of Google News, with user voting similar to Digg.

From London's Times newspaper (which is also owned by News Corp.):

MySpace is going into the news business with a service that will scour the internet for news stories and let users vote on which ones receive the most exposure.

This approach blends elements of Google News and sites such as Digg and Netscape, which rely on readers to submit stories and determine their prominence.

Despite speculation to the contrary, MySpace News won't favor News Corp-owned content, and, according to the site's FAQs page, news outlets will be able to opt-out — presumably to avoid being sued, as has happened to Google News — and that sites that aren't currently featured (including blogs) can apply to be included.

As I've said previously, it's clear that with MySpace News (and previous efforts around video), News Corp. wants to make the social network a one-stop-shop, with no reason for users to go elsewhere.

MySpace is fast becoming a portal 2.0 in disguise.
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MySpace takes on Google News and Digg

MySpace is going into the news business with a service that will scour the internet for news stories and let users vote on which ones receive the most exposure.

This approach blends elements of Google News and sites such as Digg and Netscape, which rely on readers to submit stories and determine their prominence. It also marks the site’s ambitions to become a web portal like Yahoo!, providing its users with a front door to the internet.

MySpace, which is owned by News Corp, also the parent company of Times Online, will display headlines from external new sites, a practice that attracted legal challenges when Google used it for its news service.

The search engine recently reached a settlement with Agence France-Presse after the news agency claimed that Google had infringed its copyright.
Dan Strauss, who headed the group that developed MySpace News, said that publishers would be able to opt out of the service if they didn’t want their stories to appear on it. He also said that media outlets owned by News Corp would not receive favourable treatment.

The feature, which is expected to be launched as a ‘beta’ test feature, uses technology developed by Newroo, which News Corp bought last year.
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Beeb extends download trial to Macs

The BBC is to extend its trial of downloadable content from 5,000 to 20,000 people.

Anyone signing up for the trial will get access to TV and radio archive programmes, as well as scripts and programme notes. The original trial involved 1,500, which was increased to 5,000 in 2005.
The final aim is to allow viewers to download anything from the archive through their TV. But for the purposes of the trial only about 1,000 hours of content will be available.

Ashley Highfield, director of future media and technology at the BBC, announced the changes at a new media trade show in Cannes, France.

He also said the BBC's iPlayer - through which content is accessed - will be re-written to work on Macs and eventually on set-top boxes too.

Highfield complained that Apple's "proprietary and closed framework for digital rights management gives us headaches".

Highfield said the trial will help the BBC decide "where we should draw the line between a licence fee funded service and a commercial service".

The Beeb will also trial set-top boxes which can record broadcast TV as well as download web content. Some of this technology might find its way onto Freeview boxes in the future.

The archive trial is separate from the iPlayer, which gives access to the last seven days of programming.

A spokeswoman for the BBC said it had already been inundated with requests to take part in the trial, but if you're a woman living in Scotland, Wales, or Northern Ireland please get in touch.
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World’s first tree reconstructed

Earth's oldest known tree stood nearly 30 feet tall and looked like a modern palm, a new reconstruction shows.

Workers uncovered hundreds of upright stumps of the 385 million-year-old tree more than a century ago, after a flash flood in Gilboa, New York uncovered them, but little else was known about the tree’s appearance.

Then, in 2004, scientists unearthed a 400-pound fossilized top — or crown — of the same genus a few miles away. The following summer, the same team discovered fragments of a 28-foot trunk. Piecing together stump, trunk and crown now reveals what the full tree looked like for the first time.
“These were very big trees,” said study team member William Stein, a paleobotanist at the State University of New York at Binghamton.

“Our reconstruction shows them to be a lot longer and much more treelike than any of the reconstructions before,” Stein told LiveScience. “I don’t think any of us dared think of them being quite that big.”

The tree belonged to a group of early fern-like plants called Wattieza. Unlike flowering plants, which use seeds to reproduce, Wattieza used spores, the reproductive method of choice for algae, ferns and fungi.

The finding, detailed in the March 19 issue of the journal Nature, will help scientists understand a crucial turning-point in our planet’s history — when the first forests appeared.

“In forming the first forests, they must have really changed the Earth system as a whole, creating new types of micro-environments for smaller plants and insects, storing large amounts of carbon and binding the soil together,” said study leader Christopher Berry of Cardiff University in Wales.

Now extinct, Wattieza lived during the Middle Devonian period, before aquatic creatures clambered onto land. “The trees preceded dinosaurs by 140 million years,” said study team member Ed Landing of the New York State Museum. “There was nothing flying, no reptiles and no amphibians.”

The rise of land plants such as Wattieza drastically altered the climate and paved the way for terrestrial animals and insects.

“The rise of forests removed a lot of carbon dioxide from the atmosphere,” Berry explained. “This caused temperatures to drop and the planet became very similar to its present-day conditions.”
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Hackers Exploit Windows DNS Vulnerability

Several security vendors have issued a workaround patch for the DNS bug now being exploited by hackers, but word from Microsoft on an official DNS patch is sketchy. Chris Budd, of the Microsoft Security Response Center, says that Microsoft has teams around the world working on the DNS patch, and hopes to have updates no later than May 8, 2007.
According to I.T. security Relevant Products/Services firm Sophos, a worm is exploiting an unpatched zero-day vulnerability in the DNS services of several Windows operating systems.

Also known as Nirbot or Rinbot, the W32/Delbot-AI worm is taking advantage of a vulnerability in the way the Windows DNS Server's Remote Procedure Call (RPC) interface has been implemented. The hackers' worm has been able to exploit the flaw by sending a specially crafted RPC packet to vulnerable servers.

If the worm successfully infects a server, it allows hackers to gain control over the computer, giving them the ability to determine what it does and steal information from unsuspecting users. The worm also can exploit an old vulnerability present in Symantec's antivirus product line, which was patched a year ago.

Laying in Wait

Several security vendors have issued a workaround patch, but word from Microsoft Relevant Products/Services on an official patch is sketchy.

"While we don't have a firm estimate on when we'll complete our development and testing of updates for this issue, we have teams around the world working on it 24 hours a day, and hope to have updates no later than May 8, 2007, for the May monthly bulletin release," Chris Budd, of the Microsoft Security Response Center, wrote in the corporate blog.

This flaw in Microsoft's code has only been known for a handful of days, and already there is a worm that is taking advantage of the problem in its attempt to infect as many computers as possible, noted Graham Cluley, senior technology consultant for Sophos.

"Time and time again hackers are forcing companies like Microsoft to scramble around to develop, test, and roll out a software patch," Cluley said in a statement. "Businesses should ensure that their computers are properly configured, and protected with up-to-date antivirus software, hardened firewalls, and patches."

A Watching Eye

The computer underground appears to be reveling in waiting until Microsoft has released its monthly batch of patches before unleashing its latest attacks, continued Cluley. "Microsoft will not be enjoying having the security of their software brought into question again," he concluded.

While the current worm exploits are unsophisticated, there is considerable danger that more sophisticated attacks could be in the works, according Paul Zimski, PatchLink's director of product and market strategy. PatchLink, whose customers include KPMG, Wells Fargo, and Yahoo, has issued an emergency patch ahead of the official Microsoft fix.

"The DNS servers are a particularly high-value target because a hacker that 'owns' DNS servers can do a 'man in the middle' attack," Zimski said. "While this attack isn't going to hit every desktop, it is very serious."
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Microsoft-Samsung pact includes Linux patent 'protection'

April 18, 2007 (Computerworld) -- Microsoft Corp. on Wednesday signed a broad cross-licensing agreement with close partner Samsung Electronics Co. that includes a controversial provision granting the Korean electronics conglomerate rights to patents that Microsoft claims have been illegally borrowed by the Linux operating system.

Samsung is the third company to ink a similar cross-licensing pact, which critics said de facto advances Microsoft’s unproven claims to Linux-related intellectual property. The first deal, an alliance signed Nov. 2 between Microsoft and longtime rival Novell Inc., saw the latter firm agreeing to pay Microsoft $40 million in return for immunity for Novell’s customers against any Linux-related patent violations.

Microsoft CEO Steve Ballmer riled the open-source community a few weeks later when he openly said that because of Linux’s unauthorized use of Microsoft intellectual property, "every Linux customer basically has an undisclosed balance-sheet liability."

His comments drew rebukes from open-source community members and vendors, including Novell, which argued that it was absurd for Microsoft to claim its patents are violated by the free open-source operating system. But they warned that the more such pacts Microsoft signs, the better its as-yet-unproven claims may look in court if Microsoft someday tries to enforce them.

According to a press release, Samsung will be able to use Microsoft’s patents in its wide range of consumer electronic and PC products. Microsoft will gain access to Samsung’s large patent portfolio "relating to digital media and computer-related inventions." An unspecified amount of money will be exchanged between the two firms compensating each company for the value of their respective patent portfolios.

Microsoft executives were unavailable to comment. Samsung, through a spokesman, declined to comment. Even groups such as the Open Invention Network, which was critical of Microsoft’s deal with Novell, declined to comment.
OIN was founded by IBM, Novell, Red Hat Inc. and others in late 2005 with the express goal of buying up Linux-related patents to protect the open-source operating system from just such claims.

Besides Samsung and Novell, Microsoft agreed last month to a cross-licensing deal with Fuji Xerox Co. that includes Linux patent protection for the Japanese firm.
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Pac-Man Championship on Xbox Live

ow, fans of 'Pac-Man,' one of the world's all time favorites, will have a chance to compete online on Xbox Live Arcade, and become the world's best 'Pac-Man' player.

Microsoft and Namco Bandai Games have together announced the first-ever Xbox 360 'Pac-Man' World Championship, presented by Quiznos.
According to Jeff Bell, Corporate Vice President of Global Marketing of Microsoft's Interactive Entertainment Business, "Pac-Man reached an iconic status in the '80s across multiple generations and cultures, so the Xbox 360 'Pac-Man' World Championship provides a great incentive for fans old and new to fall in love with the game all over again."

Starting April 25th through May 9th, fans of 'Pac-Man' will compete on the classic arcade game via the Xbox Live Arcade. A total of nine finalists in the Xbox 360 'Pac-Man' World Championship will advance to the finals, based upon highest Xbox Live Arcade leaderboard scores.

Top finalists from Asia, Australia/New Zealand, Canada, Japan, and Mexico will be joined by two finalists from Europe and the US. This group will be further joined by the winner of the 'Pac-Man' FANatic contest, a competition where 'Pac-Man' fans from the US and Canada have to submit a video demonstrating why they are ultimate "Pac-Man" fans.

The winners will be flown to New York City for the finals on June 5th, and the final winner will be crowned Xbox 360 'Pac-Man' World Champion by Toru Iwatani, creator of 'Pac-Man.'

He/she will receive other great prizes, including 26 years of free Quiznos toasted subs; 100,000 Microsoft Points for games, movies, and other fun content available on Xbox Live; and a one-of-a-kind Xbox 360 featuring a special design inspired by 'Pac-Man.'

Gamers interested in practising can download 'Pac-Man' (400 Microsoft Points) from Xbox Live Arcade on the Xbox 360. For a complete list of participating countries and country-specific eligibility criteria, gamers can visit http://www.xboxlivetournament.com/ starting April 25, 2007.
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Microsoft aims to double user base with $3 Windows and Office

Microsoft has launched an effort to double its user base to 2 billion by 2015, offering students in developing countries entry level versions of Windows and Office for next to nothing. It's also an effort to keep users in poorer nations hooked on Windows and away from Linux.

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According to Microsoft, its Student Innovation Suite will be an affordable and reliable software package for governments who buy and give free Windows-based PCs to primary and secondary students for their personal use at home and for schoolwork.

The Microsoft suite, which will be sold to qualifying governments for US$3, includes Windows XP Starter Edition, Microsoft Office Home and Student 2007, Microsoft Math 3.0, Learning Essentials 2.0 for Microsoft Office, and Windows Live Mail desktop.

Interestingly, the package, which will be be offered in the second half of 2007, includes Windows XP instead of Vista, suggesting that it is aimed at lowly configured and perhaps recycled computers.

Microsoft, which has a massive piracy problem in developing countries, is caught between a rock and a hard place in poorer nations. Most consumers cannot afford its premium priced software and the only way to access Microsoft products is to buy cheap pirated copies. The problem for Microsoft is if it cracks down too hard on piracy in poor countries it risks pushing consumers into the arms of open source alternatives such as Linux.

With an eye on low cost Linux-based initiatives, such as the One Laptop Per Child program, Microsoft is attempting to tap into a view from some humanitarian organizations such as FAIR that putting recycled PCs from the first world to use in developing countries makes more sense than selling them cheap new Linux boxes.

The last thing Microsoft wants to see is a Linux third world. Therefore, since most recycled PCs will be Windows machines running XP, it is in Microsoft's interests to persuade cash poor governments to buy cheap recycled PCs which will be capable of running its US$3 software.
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Google Presentations: Are We Heading to a Google Office Suite?

What possible rivalry could there be between two companies, out of which one has been founded over 30 years ago and is running the global software show, while the other is just seven years old and has the purpose to help users search the dense jungle of today's Internet? If we were talking about any other companies, I would have advised you to bet on the first one, but when we're talking about Microsoft and Google, no rules apply. Through what miracle has a company that's been around for just seven years has managed to turn itself into a threatening and dangerous presence for the giant from Redmond?

Some years back, when the Internet was just a newborn, Microsoft has analyzed the baby and decided that it shouldn't get too involved in it's growth and development, because it hadn't had any chances of reaching adulthood. It rather took upon itself the task of educating another son from the great family of IT technology, the PC. The events that followed seemed to prove the great OS master right, and after the dot.com crash, the other founding fathers shared the same opinion.

The story would have probably ended here, and the Internet would have probably remained just an e-mail vehicle, if it wasn't for one of the older brothers, who decided to take charge of its education and discipline. The beginning has not been quite a bright one, since the little kid had turned into a rather rebelling and disorganized teenager, and Google didn't have enough money in order to supply it with expensive gear.

However, slowly, but surely, with just a handful of Linux servers placed in the right places, with some search algorithms which nobody can really understand and which are still giving headaches to the experts from the rival companies and with a few commercials well placed in the educational breaks, Google has managed to take this child into the world and make it a lot friendlier. And the result is represented by the few billion dollars accumulated in the company's bank accounts, which have become a real threat for Microsoft, whose favorite child, the PC, hasn't been able to keep up the pace with the Internet.

Leaving the joke aside, the Microsoft vs. Google confrontation actually represents the battle between too concepts. Even if Microsoft still lingered in the sweet illusion that the PC is in the centre of the network, Google has understood a lot faster that the network is actually a huge PC. And that's how, in just seven years, Google has managed to occupy a position that is quite threatening for Microsoft's supremacy.

And now Google wants to extend its capabilities into the software as a service world and the search giant is using Google Appls against its Redmond rival, to tackle the world-wide popularity of Microsoft Office.

Google Apps has been available as a free service since August 2006 for small and large businesses. It includes the large storage-capacity service Gmail (where you can store not only emails, but chat history and even files from your desktop, with the help of a Mozilla plug-in), Google Calendar (shared calendaring), Google Talk, which is an instant messaging and voice-over-IP application, and the Start Page feature for creating a customizable home page on a specific domain.
According to Google’s statement, Google Apps has been used until now by more than 100,000 small businesses and hundreds of universities.

A simple calculus shows that if Google were to convert at least half of Google Apps Standard Edition users into Premium Edition users, the company would win around $2,500,000 annually (assuming that half of the 100,000 subscribers are businesses that have at least 1 Google Apps account). The sum is rather modest compared to what Google gets from advertisement and is infinitesimal compared to MS Office revenues.

But now Google is adding Presentations into the mix. Eric Schmidt Google CEO was speaking at the Web 2.0 conference in San Francisco and was using a beta version of Google Presentation to display his slides.

Also Google Official Blog has some details about the new features, including a possible timeframe for the launch: this summer.

The lack of an alternative to MS Powerpoint to complete the Docs and Spreashets was considered one of the weak points of Google Appes. It seems like they solved the problem and when Presentations will be launched we will have an almost complete Office web-based suite.

Still, Google Apps relies on an entirely different concept from Microsoft Office. In Google Apps, the PC is considered an extension of the Internet, merely an access point towards it. That is not the case with Microsoft Office, which was developed with the PC as the center, having the Internet connection as an extension. In other words, comparing Microsoft’s Office with Google Apps is much like comparing apples and peaches.

But, even in this situation, the addition of Presentations into Google Apps is a wake-call for the Redmond company. Will they listen?

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