Google testing phone service: report

Google, the company, whose empire is based on its ability to connect people and businesses through computers, is now connecting them the old-fashioned way '” over the phone.

The New York Times reports (27 February) that, starting late last year, the site began showing green phone icons next to selected advertisements that appear with search results. When the icon is clicked, the user is prompted to enter his or her phone number. The phone will then ring, with the business on the other end of the line (dial-up users would have to disconnect from the internet first).

According to the newspaper,Google is not charging marketers for the service yet, but analysts say it is a sure bet the company will, thereby ushering in the era of "pay-per-call" advertising in earnest.

"Google's entry into this market will popularise this whole space," said Greg Sterling, an analyst with Kelsey Group, a marketing consultancy. "And given the sheer volume of advertisers, this could generate considerable revenue for them."

The NYT reports that the pay-per-call advertising market looks as if it may well evolve just as the pay-per-click market did. Google watched and waited while another company, Overture, demonstrated the viability of the business before releasing its own version of the service. Yahoo then bought Overture in 2003 for US$1.6 billion, while Google built its own technology.

Likewise, says the newspaper,the pay-per-call market has largely been developed by a company called Ingenio, which is based in San Francisco, and has been offering advertisers the service since 2004.

{mospagebreaktitle=Is Microsoft dropping hints about a new gadget?:report}Is Microsoft dropping hints about a new gadget?:report

A cryptic web site that was set up by Microsoft but does not bear its name appears to hint that the company will reveal information about a new consumer product on Thursday. The site caused a flurry of speculation on internet gadget gossip sites over the weekend.

The New York Times reports (27 February) that the web site, www.origamiproject.com, suggests that the introduction of a personalised mobile device that "will change your life" is in the offing, but gives no details. It promises an update on Thursday.

A video clip unearthed by bloggers on the web site of the video production firm Digital Kitchen appears to be an advertisement for a hand-held, wireless touch-screen computer from Microsoft called Origami.

According to the newspaper, Richard Doherty, the president of Envisioneering, a consumer electronics consulting firm, said that his company had received an invitation to a briefing for analysts at Microsoft's headquarters on Thursday.

However, the NYT reports that Frank Shaw, a spokesman for Microsoft, said Saturday that the company was not planning an announcement on Thursday, but that it would have something to talk about at an industry event next month. He would not comment on the intent of the web site but confirmed that it did belong to Microsoft. The Digital Kitchen video, he said, was created about a year ago and shows an early prototype of Origami.

The newspaper says that Intel has been working on multimedia tablet-style PC's running Windows for some time. One prototype, called Ruby, was shown to some industry analysts last year. According to one analyst who saw Ruby, it was about the size of the device in the Digital Kitchen video.

Several commentators suggested the device would be a Microsoft-branded media player aimed at competing with the Apple iPod. Microsoft has had little success in using its conventional model of rallying branded hardware makers around its software and services to create a compelling alternative to Apple's combination of the iPod and the iTunes music store, according to the NYT.

The NYT says that a number of industry analysts said that Microsoft, which has traditionally generated little suspense with its product announcements, was trying to steal a page from Apple Computer's playbook by fueling anticipation with secrecy.

{mospagebreaktitle=Microsoft offering 6 Versions of Windows Vista}Microsoft offering 6 Versions of Windows Vista

Microsoft plans six core offerings of its upcoming Windows Vista operating system, targeting how people use computers instead of PC hardware specifications, the company has said.

Reuters reports in The New York Times (27 February) that the world's largest software maker plans three offerings aimed at consumers, two at business users and a stripped-down edition for emerging markets. Unlike the current Windows XP, there will no versions designed specifically for advanced 64-bit computing, multimedia computers or Tablet PCs.

According to Reuters, Windows Vista, due out in the second half of 2006, is the much-anticipated upgrade to Microsoft's flagship product. Windows, which is found in about 90 percent of all computer desktops, is also one of Microsoft's earnings cash cows.

The company, which accidentally posted some details of the Vista product lineup on one of its Web sites earlier in the month, has promised that Vista will feature improved security, simplified search across the desktop and a cleaner interface.

Reuters reports that Microsoft expects Windows Vista Home Premium to be the mainstream consumer product, allowing users to record and watch high-definition television, burn and author DVDs and perform other multimedia functions.

It also incorporates Tablet PC technology to decipher handwriting to let users write notes on the computer.

Vista Home Premium, says Reuters, will be the middle option for consumers, sandwiched between the high-end Windows Vista Ultimate, which also includes business-oriented features, and a bare-bones Windows Vista Home Basic without the multimedia capabilities.

For business users, Microsoft plans Windows Vista Business for small and medium-sized businesses that may not have a information technology support staff.

Reuters adds that Windows Vista Enterprise will be aimed at large, global companies with encryption features to protect information even if a computer is stolen and tools to enable compatibility with applications designed for older operating systems.

{mospagebreaktitle=Cyberthieves' new internet scam}Cyberthieves' new internet scam

Most people who use e-mail now know enough to be on guard against "phishing" messages that pretend to be from a bank or business but are actually attempts to steal passwords and other personal information.

The New York Times reports (27 February) that, however,there is evidence that among global cybercriminals, phishing may already be passé.

In some countries, like Brazil, says the newspaper, it has been eclipsed by an even more virulent form of electronic con '” the use of keylogging programs that silently copy the keystrokes of computer users and send that information to the crooks. These programs are often hidden inside other software and then infect the machine, putting them in the category of malicious programs known as Trojan horses, or just Trojans.

The NYT says that two weeks ago, Brazilian federal police descended on the northern city of Campina Grande and several surrounding states, and arrested 55 people '” at least 9 of them minors '” for seeding the computers of unwitting Brazilians with keyloggers that recorded their typing whenever they visited their banks online. The tiny programs then sent the stolen user names and passwords back to members of the gang.

The newspaper's report says that the fraud ring stole about US$4.7 million from 200 different accounts at six banks since it began operations last May, according to the Brazilian police. A similar ring, broken up by Russian authorities earlier this month, used keylogging software planted in e-mail messages and hidden in web sites to draw over US$1.1 million from personal bank accounts in France.

According to the report, these criminals aim to infect the inner workings of computers in much the same way that mischief-making virus writers do. The twist here is that the keylogging programs exploit security flaws and monitor the path that carries data from the keyboard to other parts of the computer. This is a more invasive approach than phishing, which relies on deception rather than infection, tricking people into giving their information to a fake web site.

The NYT says that he monitoring programs are often hidden inside ordinary software downloads, e-mail attachments or files shared over peer-to-peer networks. They can even be embedded in web pages, taking advantage of browser features that allow programs to run automatically.

According to data compiled by computer security companies in 2005, the use of "crimeware" like keyloggers to steal user names and passwords '” and ultimately cash '” has soared. The crimes often cross international borders, and they put Internet users everywhere at risk.

The Anti-Phishing Working Group, a consortium of industry and law enforcement partners that fights online fraud and identity theft found that the number of web sites known to be hiding this kind of malicious code nearly doubled between November and December, rising to more than 1,900. The antivirus company Symantec has reported that half of the malicious software it tracks is designed not to damage computers but to gather personal data.

The newspaper reports that over the course of 2005, iDefense, a unit of Verisign that provides information on computer security to government and industry clients, counted over 6,000 different keylogger variants '” a 65 percent increase over 2004.

{mospagebreaktitle=News Corporation's newest entertainment venture, for cellphones}News Corporation's newest entertainment venture, for cellphones

The New York Times reports that twelve executives from the News Corporation gathered recently in a makeshift office in Barcelona to plot their newest entertainment venture. But they did not come to discuss television dramas, film or newspapers, their core businesses, but how to create entertainment for the cellphone.

The report (27 February) says that, in what is the boldest venture yet by an established media company to insinuate itself into millions of cellphones, the News Corporation has created a mobile entertainment store called Mobizzo and a production studio to focus exclusively on developing cellphone entertainment in much the same way that 20th Century Fox creates movies and television.

The newspaper says thatNews Corporation executives hope that the store, which is to make its debut immediately, will capitalise on a nascent but rapidly growing appetite for video, graphics and music on cellphones.

Analysts predict that the number of global mobile phone customers will double to four billion in five years. And that has spurred a wireless gold rush among media companies that, as in the early days of the internet, do not want to be left behind.

According to the NYT., the News Corporation's service is one of the first virtual mobile shopping malls of its kind by a major media company. What makes it different from previous offerings is that it is selling directly to consumers, bypassing the exclusive arrangements common with wireless phone companies. Other companies, including MTV and more recently CBS, are seeking to tap the same market.

The newspaper says that analysts predict that the sale of mobile phone content by entertainment concerns and others directly to users could grow to 50 percent of all wireless content purchases by 2008.

The report says that, so far, Mobizzo has acquired some of its 2,000 pieces of content from the unlikeliest places: a Hollywood tattoo designer, a Chinese art collective and a Los Angeles street artist. Rupert Murdoch, the News Corporation's chief executive, is so taken with the idea, executives say, that he wants Mobizzo to be a global brand by the end of the year.

{mospagebreaktitle=Technology convergence comeback in 2006}Technology convergence comeback in 2006

Convergence -- a catch phrase during the dot-com boom that became the butt of jokes in the ensuing crash -- is making a comeback in the new era of cutting-edge gadgets and communications, according to a Reuters report in The New York Times (27 February).

Reuters says that advances in miniaturisation have yielded a bumper crop of newfangled multipurpose gadgets in the last two years, ranging from game consoles that can be used as photo viewers to cellphones that double as cameras and music players.

At the same time, developments in high-speed communications are allowing providers of traditional services like cable TV, internet and phone services to move beyond their realms to products like video on demand and music and video downloads.

According to Reuters, as the lines between product offerings become blurred, a looming high-tech identity crisis is creating rivals out of companies that once considered themselves to be in separate industries.

Telecoms operators believe they have a shot at being TV companies, while cable companies are selling internet and mobile services, and handset makers are getting into music players and cameras.

And, says Reuters,While traditional tech and telecom firms fight it out, internet companies like Google, Microsoft MSN and Yahoo are building up powerful brand names to leverage in the future, both on and off the web.

Reuters also says that mobile phones have one of the hottest areas for convergence in the gadget space, with manufacturers adopting a ``Swiss Army Knife'' approach by packing in as many functions as possible, said Aloysius Choong, an analyst at International Data Corp.

Signs of convergence are on display the world over, says Reuters, including spanning the semiconductor industry in Asia, where the hearts and memories of many devices are made, to cutting-edge telecoms development from Europe to the thriving US internet community experimenting with new products and services.

Reuters reports that many of the major players, from Asian contract chipmakers to European consumer electronics giant Thomson to US media powerhouses, will detail their strategies at the Reuters Global Technology, Media and Telecoms Summit taking place this week in Hong Kong, Paris and New York.

{mospagebreaktitle=US survey: rural broadband users closing gap}US survey: rural broadband users closing gap

The use of high-speed internet services is growing fast in rural America, partly closing the gap between country and city, a survey shows.

The Associated Press reports in The New York Times (26 February) that last fall, 24 percent of rural Americans had broadband internet access at home, more than double the 9 percent rate reported in 2003, according to a survey released Sunday by the Pew Internet and American Life Project.

By comparison, 39 percent of urban and suburban dwellers had broadband last fall, up from 22 percent in 2003.

The AP report says that the main reason for lower rural broadband adoption appears to be availability, the study said. But Pew also noted that country dwellers are on average older, less educated and poorer than urbanites and suburbanites, factors that are associated with lower levels of internet use.

However, rural Americans who have broadband internet are almost as likely as others to use it on a given day.

According to the study, adding in people who use dial-up or access the internet only at work, 62 percent of country dwellers use the internet, compared with 70 percent elsewhere.

Rural internet users are slightly more likely than others to participate in online education and to download games, and less likely to bank online or buy travel tickets.

{mospagebreaktitle=AskJeeves retires Jeeves, looks to future}AskJeeves retires Jeeves, looks to future

AskJeeves.com has announced that it has retired Jeeves, its mascot servant, and will now answer the door simply as Ask.com, adopting a self-service approach for users looking for a focused way to search the Web beyond guessing keywords.

Reuters reports in The New York Times (27 February) that the new Ask.com features a slick, do-it-yourself toolbox that helps users refine more types of searches with the first click of their computer mouse for maps, images, dictionaries, weather, local info or documents stored on their computers.

Users can select from up to 20 different types of specialised search tools Ask.com has developed. Later this year, Ask will encourage outside developers to build tools to perform more specialised searches, the company said.

The Reuters report says that more popular rival search sites from Google, Yahoo or MSN require multiple clicks to reach such specialised information.

AskJeeves, the fourth most popular US internet search site, started out in 1996 by promising concrete answers to questions posed by web users. Jeeves, the butler character, was meant to symbolise this theoretically better form of service.

Reuters says that a novelty for many web users at first, AskJeeves struggled to attract a regular following. Having computers answer questions proved harder than many users first hoped.

Google arrived in 1998 with a page-ranking system based on the idea that credible answers typically come from sites that rank highest in terms of links from other sites. AskJeeves and other search sites have struggled to stand out ever since.

The Reuters report says that Barry Diller acquired AskJeeves last year and is working to make the search site the centerpiece of his IAC/InterActiveCorp internet conglomerate of sites.

{mospagebreaktitle=Matsushita plans digital SLR camera debut}Matsushita plans digital SLR camera debut

Panasonic brand maker Matsushita Electric Industrial has said it plans to introduce its first digital single-lens reflex (SLR) camera later this year, aiming to grab a slice of the fast-growing market.

Reuters reports in The New York Times (26 February) that the world's biggest consumer electronics maker has been developing technologies and devices for digital SLR cameras jointly with Japanese precision equipment maker Olympus.

A Matsushita spokeswoman said the company had not decided on a price range for the LUMIX DMC-L1, a prototype of which is being exhibited at the PMA 2006 International Convention and Trade Show in Orlando, Florida.

Reuters says that Olympus has already introduced its E-330 digital SLR camera using the jointly developed mirror box unit and sensor.

Digital SLR cameras, which use interchangeable lenses, are generally more expensive and yield higher profit margins than simple point-and-shoot compact cameras that can be produced by low-cost electronics makers.

According to reuters, the digital SLR camera market has been growing rapidly, and global shipments in this market are expected to increase 48 percent to 5.62 million units by 2008, according to Japan's Camera and Imaging Products Association.

Konica Minolta Holdings and Sony, as well as Pentax and a unit of South Korea's Samsung Electronics have sought similar digital SLR camera alliances to pool resources and cut costs.