Wednesday, October 26, 2011

Kindle sparks Amazon profit fall

Profits at the online retailer Amazon have dropped 73% after the company invested heavily in the Kindle tablet computer.

The company, the world's largest online internet retailer, said third quarter net income was $63m (�40m, 45m euros).

During the period it launched the Kindle "Fire" model, which runs apps and streams films and other non-text content.

The results left Amazon shares down 12% in after hours trading.

The company said that sales had grown by 44% and that last month, on 28 September, it had its "biggest order day ever for Kindle, even bigger than previous holiday peak days".

It now offers four Kindle devices, including a 3G model.

Lower margins

Jeff Bezos, the founder and chief executive of Amazon, said: "In the three weeks since launch, orders for electronic ink Kindles are double the previous launch. And based on what we're seeing with Kindle Fire pre-orders, we're increasing capacity and building millions more than we'd already planned."

Amazon also forecast lower-than-expected sales for the next quarter, which includes the crucial Christmas period, and said it could even see an operating loss as it continues to invest in the Kindle Fire.

Amazon's profit margins have generally been lower than other technology firms, a situation that analysts say is now catching up with them.

"Investors have always given Amazon a hallpass to invest and it looks like they may have had their patience exhausted," Lawrence Haverty from Gamco Investors told the BBC.

"Its operating margin is only 4%. Most technology companies need an operating margin of over 20% so I think investors are asking themselves if the business will ever really be profitable," he said.



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Tuesday, October 25, 2011

AI computing pioneer dies aged 84

Artificial intelligence researcher, John McCarthy, has died. He was 84.

The American scientist invented the computer language LISP.

It went on to become the programming language of choice for the AI community, and is still used today.

Professor McCarthy is also credited with coining the term "Artificial Intelligence" in 1955 when he detailed plans for the first Dartmouth conference. The brainstorming sessions helped focus early AI research.

Prof McCarthy's proposal for the event put forward the idea that "every aspect of learning or any other feature of intelligence can in principle be so precisely described that a machine can be made to simulate it".

The conference, which took place in the summer of 1956, brought together experts in language, sensory input, learning machines and other fields to discuss the potential of information technology.

Other AI experts describe it as a landmark moment.

"John McCarthy was foundational in the creation of the discipline Artificial Intelligence," said Noel Sharkey, Professor of Artificial Intelligence at the University of Sheffield.

"His contribution in naming the subject and organising the Dartmouth conference still resonates today."

LISP

Prof McCarthy devised LISP at Massachusetts Institute of Technology (MIT), which he detailed in a landmark paper in 1960.

The computer language used symbolic expressions, rather than numbers, and was widely adopted by other researchers because it gave them the ability to be more creative.

In 1971 Prof McCarthy was awarded the Turing Award from the Association for Computing Machinery in recognition of his importance to the field.

He later admitted that the lecture he gave to mark the occasion was "over-ambitious" when he tried to put forward new ideas on how to code commonsense knowledge into a computer programme.

He later went on to win the National Medal of Science in 1991.

"When I spoke to him two years ago he said that he was a little disappointed in the direction of AI today," said Prof Sharkey.

"He was unremitting in his dedication to the idea of building a truly intelligent machine."

Prof Sharkey added that Prof McCarthy wished he had called the discipline Computational Intelligence, rather than AI. However, he said he recognised his choice had probably attracted more people to the subject.

After retiring in 2000, Prof McCarthy remained Professor Emeritus of Computer Science at Stanford University, and maintained a website where he gathered his ideas about the future of robots, the sustainability of human progress and some of his science fiction writing.



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Monday, October 24, 2011

Wikileaks halts file publishing

The whistle-blowing website Wikileaks is suspending its publication of classified files.

Wikileaks said that it would focus instead on raising funds to ensure its future survival.

The announcement came after what the group called a blockade by US-based finance companies.

This followed its disclosure on the internet of hundreds of thousands of secret US government files and diplomatic cables.

Wikileaks founder Julian Assange said that since last December an "arbitrary and unlawful financial blockade" had been imposed by Bank of America, Visa, MasterCard, PayPal and Western Union.

"The attack has destroyed 95% of our revenue," he said.

The former computer hacker said the organisation had lost "tens of millions of dollars in lost donations at a time of unprecedented operational costs".

"A handful of US finance companies cannot be allowed to decide how the whole world votes with its pocket," he added.

Mr Assange said Wikileaks must "aggressively fundraise in order to fight back against this blockade and its proponents".

He said the group was taking pre-litigation action against the blockade in Iceland, Denmark, the UK, Brussels, the United States and Australia and had lodged an anti-trust complaint at the European Commission.

A Wikileaks spokesman, Kristinn Hrafnsson said its website would reopen for submissions of confidential documents on 28 November.

Norfolk farmhouse

Mr Assange is in Britain awaiting a decision by the High Court on the appeal against his extradition to Sweden to face sex assault charges.

After the hearing in July, judges did not give a date for their decision on Mr Assange's bid to overturn a judgment made in February.

He fears extradition to Sweden may lead to him being sent to the United States to face separate charges relating to Wikileaks, for which he could face the death penalty.

The Australian won bail in December and has been staying at Ellingham Hall, a 10-bedroom Norfolk farmhouse owned by Vaughan Smith, director of the Frontline media club.

His bail conditions include wearing an electronic tag and daily appearances at a nearby police station.

Mr Assange describes the allegations as "without basis".

Bank of America and Mastercard have refused to comment to the BBC.

PayPal referred the BBC to a statement issued last December which said that Wikileaks had violated its "Acceptable Use Policy", specifically alleging that WikiLeaks was encouraging sources to release classified material, which was likely to be a violation of US law.

Visa Europe also said that merchants wanting to accept Visa payment must abide by its operating regulations and also the applicable laws in the country or countries where the cardholder and the merchant were based.



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Fund 'would boost games industry'

The UK games industry has called on the Scottish government to establish a fund to boost the video games sector north of the border.

Games industry association Tiga has proposed a creative content fund (CCF) to encourage new studio production.

It also wants to stimulate the creation of new intellectual property.

Under the proposal, the CCF would provide funding of up to �100,000 to game developers and operate on a commercial basis.

Tiga said the measure could help put Scotland on the global map as a centre for video games development.

It claimed the country was losing out after the UK coalition government failed to introduce games tax relief, with investment and jobs going overseas to countries which have tax relief.

Tiga chief executive Richard Wilson said: "The Westminster coalition government is failing to invest in the Scottish and UK game development sector.

'Decisive leadership'

"The Scottish government now has the chance to show decisive leadership in support of the video games industry by adopting Tiga's proposal for a creative content fund.

"Tiga's proposed CCF would improve developers' access to finance, stimulate original IP (intellectual property) generation and promote studio growth.

"It would enhance the independence of developers and strengthen the prospects for the expansion of the Scottish video games industry."

He added: "In the long term it would establish Scotland as one of the best places in the UK to develop games. It would give a really powerful signal to the UK and global games industry that it's open for business."

The proposed CCF would make investment available on a matched-funding basis.

It would be entitled to recoup the money from recipients out of successful sales of the games once they had generated a certain amount of revenue and over an agreed time period, together with a defined share of the additional profits.

These profits could then be used to augment the CCF and be applied to future projects.

'Significant support'

The Scottish government said it already provided "significant support" for the games sector in Scotland, handing out more than �6.75m last year.

That figure included direct support to computer games companies from Scottish Enterprise and Creative Scotland.

A spokeswoman said: "We will continue to put pressure on the UK government to implement tax breaks, which we believe is the best way enhance the competitive edge of our computer games industry on the international stage.

"Giving Scotland control of these tax levers would be the best way of ensuring we support all our key industries."

A UK Treasury spokeswoman said the government was committed to making the UK "the best place to start, finance and grow a business" and making it an attractive location for innovative industries.



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Saturday, October 22, 2011

German satellite to fall from sky

A big German spacecraft is about to make an uncontrolled fall from the sky.

The Roentgen Satellite (Rosat) is due to come back to Earth at some stage over the weekend - possibly Sunday.

Just as for Nasa's UARS satellite, which plunged into the atmosphere in September, no-one can say precisely when and where Rosat will come in.

What makes the redundant German craft's return interesting is that much more debris this time is likely to survive all the way to the Earth's surface.

Experts calculate that perhaps as much as 1.6 tonnes of wreckage - more than half the spacecraft's launch mass - could ride out the destructive forces of re-entry and hit the planet.

In the case of UARS, the probable mass of surviving material was put at only half a tonne (out of a launch mass of more than six tonnes).

The difference is due to some more robust components on the German space agency (DLR) satellite.

Rosat was an X-ray telescope mission and had a mirror system made of a reinforced carbon composite material. This mirror complex and its support structure are expected to form the largest single fragment in what could be a shower of some 30 pieces of debris to make it through to the surface.

But again, as was the case with UARS, any Rosat wreckage is strongly tipped to hit the ocean, given that so much of the Earth's surface is covered by water.

Destructive design

UARS' final resting place was tracked to a remote region of the Pacific, north-east of the Samoan islands.

Rosat could come down anywhere between 53 degrees North and South latitude - a zone that encompasses the UK in the north and the tip of South America in the south.

Future spacecraft sent into orbit may have to meet stricter guidelines that limit the amount of debris likely to fall back on to the planet, but these rules are still some way from being introduced said Prof Richard Crowther, an expert on space debris and adviser to the UK Space Agency.

"Up until now we've designed satellites to survive the harsh environment of space, and we haven't given much thought to designing them for destructive re-entry," he told BBC News.

"But in future, we will have to consider whether we have got this balance right, and perhaps satellites should be designed in such a way that we can ensure more of what comes down is destroyed in the atmosphere and doesn't hit the surface.

"Unfortunately, there is a whole legacy of spacecraft - 50 years of satellites - and we are going to have to put up with this situation for quite some time, I'm afraid."

Science success

Rosat was launched in 1990 to survey the X-ray sky. It mapped more than 100,000 sources of this high-energy radiation. X-rays tend to come from the hottest and most violent parts of the cosmos, such as the regions around exploded stars and the "edges" of black holes.

The spacecraft worked for eight-and-a-half years before its star tracker failed and it could no-longer work out its position and point correctly. It was shut down in February 1999, and has been in descent ever since. Controllers do not have any contact with the craft; all they know is its altitude and path across the sky through radar tracking.

The fall to Earth has accelerated in recent months and weeks as the spacecraft has experienced increased drag as a result of its passage through residual air molecules still found more than 200km above the planet.

The deeper it reaches, the faster Rosat will be pulled in. But without a propulsion system, the precise timing and location of its impact cannot be influenced by controllers.

Tough materials

Rosat will start to tumble rapidly when it engages the thicker parts of the atmosphere, about 80km up.

Mechanical forces will first rip off its flimsiest structures, such as its solar arrays and antennas.

The heating the satellite then experiences as it plunges downwards will deform and melt low-temperature materials and vaporise them.

Only high-temperature metals such as stainless steel and titanium will put up much resistance.

Tracking stations will typically witness the uncontrolled return of at least one piece of space debris every day; and on average, one intact defunct spacecraft or old rocket body will come back into the atmosphere every week.

Something the size of Nasa's UARS satellite is seen to enter uncontrolled perhaps once a year.

Much larger objects such as space station cargo ships return from orbit several times a year, but they are equipped with thrusters capable of guiding their dive into a remote part of the Southern Ocean.



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Friday, October 21, 2011

Galileo sat-nav rides into orbit

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The Soyuz rocket carrying the first two satellites lifts off from the base in French Guiana

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Europe's first satellite-navigation spacecraft are heading into orbit.

The two Galileo satellites were launched by a Russian Soyuz rocket from its new base in French Guiana at 07:30 local time (10:30 GMT; 11:30 BST).

The European Commission (EC) is investing billions of euros in its own version of the American GPS system.

It expects Galileo to bring significant returns to EU nations in the form of new businesses that can exploit precise space-borne timing and location data.

The Soyuz mission is a long one - it will be several hours before confirmation is received that the satellite pair have been put in their correct orbit 23,000km above the Earth.

The spacecraft are pathfinders for the Galileo system as a whole.

Together with another pair of satellites to be lofted next year, they will prove that Galileo works as designed, from the spacecraft in the sky to all the control and management operations on the ground.

"This phase is called in-orbit validation - IOV," said Javier Benedicto, the Galileo project manager at the European Space Agency (Esa), the EC's technical agent on the project.

"The intention is to test and verify the various system functionalities and the ultimate system performance," he told BBC News.

Deployment of the full Galileo system is likely to take most of the decade.

  1. A large antenna will transmit signals to users on the ground
  2. Distress signals are picked up by a search and rescue antenna
  3. Another antenna receives information on the status of Galileo
  4. The spacecraft is controlled from the ground via telecommands
  5. Sensors make sure the satellite is always pointing at Earth
  6. Further sensors keep an eye on where the Sun is in the sky
  7. A laser retroreflector can determine the satellite's exact height
  8. Radiators expel excess heat to protect electronics from overheating


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Jobs vowed to &#39;destroy&#39; Android

Steve Jobs said he wanted to destroy Android and would spend all of Apple's money and his dying breath if that is what it took to do so.

The full extent of his animosity towards Google's mobile operating system is revealed in a forthcoming authorised biography.

Mr Jobs told author Walter Isaacson that he viewed Android's similarity to iOS as "grand theft".

Apple is suing several smartphone makers which use the Android software.

According to extracts of Mr Isaacson's book, obtained by the Associated Press, Mr Jobs said: "I'm going to destroy Android, because it's a stolen product. I'm willing to go thermonuclear war on this."

He is also quoted as saying: "I will spend my last dying breath if I need to, and I will spend every penny of Apple's $40 billion in the bank, to right this wrong."

Sour times

Apple enjoyed a close relationship with Google prior to the launch of the Android system. Google products, including maps and search formed a key part of the iPhone's ecosystem.

"Start Quote

I'm going to destroy Android, because it's a stolen product. I'm willing to go thermonuclear war on this."

End Quote Steve Jobs Apple co-founder

At that time, Google's chief executive, now chairman, Eric Schmidt also sat on the board of Apple.

However, relations began to sour when Google unveiled Android in November 2007, 10 months after the iPhone first appeared.

In subsequent years Apple rejected a number of Google programs from its App store, forcing the company to create less-integrated web app versions.

Android has subsequently enjoyed rapid adoption and now accounts for around 48% of global smartphone shipments, compared to 19% for Apple.

But its growth has not gone uncontested. Apple has waged an aggressive proxy-war against Android, suing a number of the hardware manufacturers which have adopted it for their tablets and smartphones.

Motorola was one of the first to be targeted, although it is Samsung that has borne the brunt of Mr Jobs' ire.

The South Korean firm is currently banned from selling its Galaxy Tab 10.1 in Australia and Germany because of a combination of patent infringements and "look and feel" similarities. A smartphone ban is also pending in the Netherlands.

Samsung it counter-suing Apple for infringing, it claims, several wireless technology patents which it holds the rights to.

Defence mechanism

Patents blogger Florian Mueller, who has been following the court cases closely, said Apple would be conscious of its past, where other companies exploited some of its early ideas.

"If Apple doesn't want the iPhone and iPad to be marginalized the way it happened to the Macintosh at the hands of the Wintel duopoly, it has to use the full force of its intellectual property to fend off the commoditization threat that Android represents," he told BBC News.

Mr Mueller was also critical of Eric Schmidt's dual role at the time: "The fact that Eric Schmidt stayed on Apple's board while he was preparing an iOS clone was an inexcusable betrayal of Steve Jobs' trust."

Mr Schmidt resigned from the Apple board in August 2009. He was later quoted by Bloomberg as saying: "I was on the board until I couldn't stay on the board anymore."



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Thursday, October 20, 2011

Mobile phone cancer link rejected

Further research has been published suggesting there is no link between mobile phones and an brain cancer.

The risk mobiles present has been much debated over the past 20 years as use of the phones has soared.

The latest study led by the Institute of Cancer Epidemiology in Denmark looked at more than 350,000 people with mobile phones over an 18-year period.

Researchers concluded users were at no greater risk than anyone else of developing brain cancer.

The findings, published on the British Medical Journal website, come after a series of studies have come to similar conclusions.

'Reassuring'

But there has also been some research casting doubt on mobile phone safety, prompting the World Health Organization to warn that they could still be carcinogenic.

In doing so, the WHO put mobile phones in the same category as coffee, meaning a link could not be ruled out but could not be proved either.

The Department of Health continue to advise that anyone under the age of 16 should use mobile phones only for essential purposes and keep all calls short.

"Start Quote

These results are the strongest evidence yet that using a mobile phone does not seem to increase the risk of cancers of the brain or central nervous system in adults"

End Quote Hazel Nunn Cancer Research UK

The Danish study, which built on previous research that has already been published by carrying out a longer follow-up, found there was no significant difference in rates of brain or central nervous system cancers among those who had mobiles and those that did not.

Of the 358,403 mobile phone owners looked at, 356 gliomas (a type of brain cancer) and 846 cancers of the central nervous system were seen - both in line with incidence rates among those who did not own a mobile.

Even among those who had had mobiles the longest - 13 years or more - the risk was no higher, the researchers concluded.

But they still said mobile phone use warranted continued follow up to ensure cancers were not developing over the longer term, and to see what the effect was in children.

Hazel Nunn, head of evidence and health information at Cancer Research UK, said: "These results are the strongest evidence yet that using a mobile phone does not seem to increase the risk of cancers of the brain or central nervous system in adults."

Prof Anders Ahlbom, from Sweden's Karolinska Institute, praised the way the study was conducted, adding the findings were "reassuring".

Prof David Spiegelhalter, an expert specialising in the understanding of risk who is based at the University of Cambridge, said: "The mobile phone records only go up to 1995 and so the comparison is mainly between early and late adopters, but the lack of any effect on brain tumours is still very important evidence."

And Prof Malcolm Sperrin, director of medical physics at Royal Berkshire Hospital, said: "The findings clearly reveal that there is no additional overall risk of developing a cancer in the brain although there does seem to be some minor, and not statistically significant, variations in the type of cancer."

But the researchers themselves do accept there were some limitations to the study, including the exclusion of "corporate subscriptions", thereby excluding people who used their phones for business purposes, who could be among the heaviest users.



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Libel &#39;threat&#39; to web anonymity

Websites should have protection from defamation cases if they act quickly to remove anonymous postings which prompt a complaint, a report says.

A joint parliamentary committee says it wants a "cultural shift" so that posts under pseudonyms are not considered "true, reliable or trustworthy".

It says websites which identify authors and publish complaints alongside comments should get legal protection.

But Mumsnet said the proposal could have a "chilling effect" on websites.

The report by the joint committee of MPs and peers who examined the draft defamation bill covers a wide range of defamation issues.

Its recommendations - including more protection for scientists and academics writing in peer-reviewed journals and more work on reducing "unacceptably" high costs of libel cases by encouraging more to be resolved through mediation - have been welcomed by the Libel Reform Campaign.

'Entirely legitimate'

The committee also proposes a new "notice and take-down procedure" for defamatory online comments - aimed at providing a quick remedy for those who are defamed and to give websites which use the procedure more legal protection.

Under the current law, websites are liable for defamatory statements made by their users. If they fail to take down a post when they receive a complaint, they risk being treated as the "primary publisher" of the statement.

"Start Quote

Anonymity may encourage free speech but it also discourages responsibility"

End Quote Draft Defamation Bill Committee

The report says many "entirely legitimate" comments may be removed by websites who are keen to avoid legal liability.

It recommends that where complaints are made about comments from identified authors - the website should promptly publish a notice of the complaint alongside it.

The complainant can then apply to a court for a "take-down" order - which if granted, should result in the comment being removed, if the website is to avoid the risk of a defamation claim.

But where potentially defamatory comments are anonymous, the website should immediately remove them on receipt of a complaint, unless the author agrees to identify themselves, the report says.

'Mischievous and malicious'

The author of the comment can then be sued for defamation but if a website refuses to take down an anonymous remark it "should be treated as its publisher and face the risk of libel proceedings".

The report also says a website could apply to a court for a "leave up" order - if it considers the anonymous comment to be on a matter of "significant" public interest.

"Start Quote

If you think all anonymity is bad you could end up with unintended consequences of removing peer-to-peer support, in particular around sensitive issues"

End Quote Mumsnet spokeswoman

The committee criticises comments made anonymously, which it says "may encourage free speech but it also discourages responsibility" and sets out moves it hopes will lead to a "cultural shift towards a general recognition that unidentified postings are not to be treated as true, reliable or trustworthy".

It says the aim of its proposal is to reduce damage "inflicted by the mischievous and the malicious".

But Mumsnet, a parenting website, says many of its members rely on the ability to ask questions or post comments anonymously.

Many of the women posting messages do so under a "user name", rather than their real name - and the site is worried the proposal will mean more people demanding messages be taken down.

Its co-founder, Justine Roberts said while it was right to stop people from "assassinating the character of others from behind the cloak of anonymity" the report did not recognise how useful anonymous postings were "in allowing people to speak honestly about difficult real-life situations".

"The recommendations could have a chilling effect on sites like Mumsnet where many thousands of people use anonymity to confidentially seek and give advice about sensitive real-life situations."

In 2007, the website settled a libel case with Gina Ford, author of the Contented Little Babies book, over comments posted about her by its users.

A spokeswoman said they received about 10 complaints a month about comments on the site - and "two or three big ones a year" - often from small companies who have been reviewed by its members. It often agrees to take comments down.

But she said anonymous posts were important to the site - for example in its campaign for better care for women who have miscarried, where they have had a midwife and doctor making anonymous contributions.

"What we're really keen to do is to say there is some value in it [anonymous posts] and that is very different to being an anonymous troll and waging war on someone.

"If you think all anonymity is bad you could end up with unintended consequences of removing peer-to-peer support, in particular around sensitive issues."



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ARM chip promises cheaper phones

UK chip designer ARM has unveiled a new processor, which should allow manufacturers to make cheaper smartphones.

The company hopes the Cortex A7 will enable a mobile computing revolution in developing countries where current technologies are often unaffordable.

Consumers in developed countries should also see a benefit.

The ultra-efficient chip can be paired with more powerful processors in a "hybrid" model to reduce power use.

ARM's designs are used in approximately 95% of the world's smartphones.

A range of big name manufacturers have already signed-up to use the A7 processor along with the company's "big.LITTLE" architecture.

Samsung, LG, NVidia and Texas Instruments were among those to throw their weight behind the technology.

Apple is also known to make use of ARM-designed chips in its mobile devices, although it has historically been reluctant to say so publicly.

Smaller and cheaper

Used as the sole processor in a smartphone, the A7 is said to offer comparable power to current chips at a fraction of the price, while consuming much less battery power.

Its silicon core is only one-fifth of the size of existing technologies, allowing a reduced production price, according to ARM chief executive Warren East.

"You typically make chips on a silicon wafer and it costs roughly the same amount of money for each wafer. If you can get 2,000 devices on a wafer or 1,000 devices on a wafer it makes a huge difference to the cost per device," he told BBC News.

"We can see the developed world moving on and mobile being the nexus for all sort of consumer electronics. In the Bric countries (Brazil, Russia, India and China) we are seeing catch-up.

"As we look forward these smartphones are going to be totally ubiquitous and in the much less developed areas, such as Africa, you will see smartphones becoming tools that people use to make their lives easier."

Mr East said that the trend would happen regardless of intervention, but cheaper devices would greatly accelerate that, enabling smartphones to be produced for under $100 (�60) by 2013 or 2014.

Little and large

In countries where price is less of an issue, the Cortex A7 may be combined with high end mobile processors to offer a powerful, yet energy-efficient package, ARM said.

For less demanding tasks such as checking in the background for email and social networking updates, the A7 processor would handle the work.

Using a technology known as big.LITTLE, the phone would instantly switch over to chips such as the Cortex-A15 when more horsepower was needed.

"It's not just trying to solve the issue of doing yet another CPU with higher performance," said Avner Goren, general manager of Omap strategy at Texas Instruments, one of ARM's clients.

"I don't need massive processing all the time, I need it only some of the time, and for the rest I can use A7. This allows me now to continue the path to more and more powerful devices but without sacrificing battery life."

Although ARM currently enjoys a dominant position in the smartphone and tablet markets, the Cambridge-based firm is facing the prospect of stiff competition from Intel, which has recently entered the mobile processor business.

Its Sandy Bridge and forthcoming Ivy Bridge processors are also aimed at the smartphone and tablet markets.



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