Tuesday, October 18, 2011

Apple full year profits rise 85%

The world's biggest technology company Apple has reported full year results, showing net profit for the year to 25 September at $25.9bn (�16.5bn), up 85% from the previous year.

Even that was not enough to satisfy Wall Street, with the shares falling nearly 5% in after-hours trading.

There was some disappointment with the fourth quarter of the year, when no major new products were released.

It is the first set of results since the death of co-founder Steve Jobs.

In the fourth quarter of the year, Apple sold 17.1 million iPhones, which was a 21% increase on the same period last year, and 11.1 million iPads, which was a 166% increase.

But analysts had been expecting iPhone sales of 20 million in the quarter.

Apple said sales were hurt in September by customers waiting for the new version, the iPhone 4S, which was released on 14 October.

It sold four million of the new models in the first three days after launch.

"The numbers came in weak. They need to set records every time they report to keep up the momentum," said Colin Gillis, analyst at BGC Partners.

Apple sold 4.9 million Mac computers in the quarter - up 27% over the same period last year.

"The numbers are actually quite good. The reason why the stock is off - I think some of the analysts got carried away," said Shaw Wu, analyst at Sterne Agee.



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Warning over web security attack

A key web security system is no better defended now than when hackers undermined it earlier this year.

So said Taher Elgamal, creator of the SSL (Secure Socket Layer) technology that is used to keep many different types of web transaction safe.

SSL came under attack in September when hackers stole credentials that let them pose as almost any web firm.

The stolen credentials were used to eavesdrop on the Gmail accounts of about 300,000 people.

Big target

The credentials, known as certificates, were stolen from Dutch security firm DigiNotar. The attack is believed to have been carried out by the same hackers who stole certificates from Comodo in March 2011.

In both cases, the attackers used their fake credentials to get at the web communications of people in Iran. Experts believe the hacks were carried out by the Iranian government to spy on the use of social media to organise protests by citizens.

A similar attack could be used by cyber thieves who wanted to pose as a bank or web shop to steal cash and credit card information from users.

Despite the two incidents and a claim by the hackers that they had access to four other firms that issue SSL certificates, little has been done to defend against these sorts of attacks, said Dr Elgamal, who is now chief technology officer at Axway.

"It could happen again," he said. "There's no back-up plan, which is generally a bad security model."

Dr Elgamal first developed SSL while working at Netscape and its usefulness led to it being adopted as a standard web technology known as Transport Layer Security (TLS) by the Internet Engineering Task Force.

The system guarantees the identity of a website via certificates that are issued by trusted authorities. It is used millions of times every day to re-assure people that they are connecting to the site they think they are.

The problem of what to do when certificate issuers were compromised never came up when the original work was being done on SSL/TLS, said Dr Elgamal.

"Nobody asked the question of what to do if a certificate authority turns out to be bad," he said.

The problem, he said, was not so much with the technology as it was with the firms issuing the certificates.

"There's way too many of them," he said.

However, said Dr Elgamal, TLS was not a static technology and in fact was regularly updated to tackle some of the shortcomings found by good and bad hackers

"It's a big target," he said. "Of course we could design a new one but I don't see what the point of that is as it would just become the next big target."

He pointed to updates to TLS which, if widely implemented by browser makers, could defend it from another attack.

"The fact that TLS has stood the test of time and there's been problems and the community has worked to fix them tells me it's a reasonable technology," he said.



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Machine vision spots rotten fruit

A machine that uses artificial vision and UV rays to scan through citrus fruits and get rid of rotten ones has been developed in Spain.

Usually the inspection is done manually in dark rooms, also using UV light.

But this type of light can harm workers' eyes and skin, so they must wear protective clothing and goggles.

The team from the Valencian Institute of Agrarian Research said that their technology could eliminate these risks.

The researchers describe the study in the journal Food and bioprocess technology.

Health risks

Detecting rotten citrus fruit is tricky, as interior decay is not visible to the naked eye.

That is why traditionally, workers use ultraviolet light - and when the essential oils of the decayed citrus rind react with UV rays, the fruits emit fluorescence.

But although there is usually a good chance that the oranges and mandarins that present spots of fluorescence turn out to be rotten, it is not always the case.

Florescence can be produced by defects other than decay, and thus workers often need to examine the fruit manually as well.

They must wear gloves and special goggles, and should not stay in the dark room too long.

"The biological effect of UV rays is very bad for the health," said Gregory Varennes of Roda Iberica, the company responsible for introducing the technology into the market.

"According to the tolerable radiation limits of the UV light lamps, operators must not remain in the dark room for more than one hour - but often they stay in there for longer periods.

And this labour also represents a considerable cost for the company, added Mr Varennes.

Early detection

So to avoid workers' UV exposure, Professor Jose Blasco of the Valencian Institute of Agrarian Research and his colleagues decided to let a machine do the job.

"Our system captures the images of the fruits inside an inspection chamber illuminated only with black light," he said.

"If the fruit is infected, it will show a spot of fluorescence, which is like a small right circle in the middle of the dark.

"The machine then uses image analysis techniques that are combined with UV to confirm the detection."

He added that fruit decay was one of the main causes of lost profits in the industry - meaning that detecting infected fruits as soon as possible and removing them from the rest of the pack was crucial.

The team has also developed another, similar mechanism that classifies citrus fruits on the production line according to their quality, colouring and the type of damage that the skin presents - at a speed of 15 to 20 pieces of fruit per second.

Thus, first class fruits that are destined for more demanding markets are separated from second class fruits that are perfectly edible despite having some small defects such as visible scratches.



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HTC loses Apple patent case in US

Taiwanese smartphone maker HTC has been dealt a big blow in its legal battle with Apple involving patent infringement claims.

The US International Trade Commission (ITC) has ruled that Apple did not violate patents as claimed by HTC in a complaint lodged last year.

HTC had asked the court to ban imports of several Apple products in to the US citing patent infringements.

HTC's shares fell as much as 6% after the ruling.

The case involved four patents held by HTC related to protecting data, storing contact information and managing the phone's power supply.

'Confident'

The judgement is another setback for HTC which is involved in a long and bitter battle with Apple.

In July this year, the Taiwanese phonemaker was found to have infringed two iPhone patents in a case brought by Apple at the ITC.

However, HTC said that despite the judgement, it was sticking to its claims.

"This is only one step of many in these legal proceedings. We are confident we have a strong case for the ITC appeals process and are fully prepared to protect our intellectual property," said Grace Lei, HTC's general counsel.

"We look forward to resolving this case, so we can continue creating the most innovative mobile experiences for consumers."

A full commission of the ITC is expected to decide in February, whether to uphold or reject the judge's decision.



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Monday, October 17, 2011

Samsung seeks iPhone4S sales ban

Samsung electronics has raised the stakes in its current legal battle with Apple by seeking a ban on sales of iPhone4S in Australia and Japan.

This follows similar pleas by the Korean manufacturer in France and Italy claiming patent infringement by Apple.

The move comes after a court in Australia temporarily banned the sales of Samsung's Galaxy Tab 10.1.

The two companies have been involved in a bitter legal battle involving smartphones and tablet PCs.

"Apple has continued to violate our patent rights and free ride on our technology," Samsung said in a statement. "We will no longer stand idly by and will steadfastly protect our intellectual property."

Losing ground?

While there have been claims and counter claims from both sides, Apple seems to be gaining the initial edge in the legal battle between the two.

Last week, a judge in the US ruled that Samsung's tablets infringed patents owned by Apple. However, she said that Apple needed to prove the validity of those patents in order to win an injunction preventing the sale of Samsung's Galaxy Tab.

This followed a ban by an Australia court on the sale of Samsung's Galaxy tab 10.1 in the country.

Samsung said it had filed an appeal against the Australian court's decision.

Apple has also scored a victory against its rival in Germany, Europe's biggest economy, banning the sale of the Galaxy Tab 10.1.

Meanwhile Samsung's plea for a sales ban against some of Apple products was rejected by a Dutch court last Friday.



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Saturday, October 15, 2011

EU billions for broadband plan

The European Commission is set to propose investing almost €9.2bn (�8bn) in a massive rollout of super-fast broadband infrastructure and services across the European Union.

The plan is partly aimed at stimulating further investment in rural broadband.

It is hoped the initiative will also help to create a single market for digital public services.

The Commission has already set targets for improving the speed of home internet connections across the region.

It aims to get all European households on at least 30 megabits per second (Mbps) by 2020, with half the population enjoying more than 100Mbps, so as to make the continent more competitive and productive.

Economic need

The BBC understands that the EU's executive body will propose the funding, which would be invested between 2014 and 2020, on Wednesday.

The plan would have to be approved by the European Parliament and the EU's Council of Ministers if it were to become reality.

"Europe needs these fast broadband networks to allow its economy to become more competitive in the future, and so create more jobs and prosperity," EU sources said.

"This money would stimulate much greater investment of private and other public money. Each euro [invested by the Commission] would give rise to a further six to 15 euros more."

At least €7bn of the investment would go to building high-speed broadband networks, with the funding mostly in the form of debt instruments and equity.

The hope is that giving infrastructure projects credibility in this way would encourage the private sector, as well as local and national governments, to invest at least a further €50bn in the rollout.

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European Parliament debate on fast broadband from 9 May 2011

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The remainder of the Commission's funding would be parcelled out in grants for projects that could help create a single European market for broadband-based services such as e-health, cybersecurity and intelligent energy networks.

The money would come from a new fund called the Connecting Europe Facility (CEF). This proposed fund would also be used for new transport and energy projects, with the Commission and the European Investment Bank absorbing risk and boosting the projects' credit ratings.

Part of the plan is for the CEF to pressure established telecommunications companies into investing more in their own networks, as they would not be the only ones able to bid for funding.

New players such as water, sewage and electricity utility companies would also be encouraged to enter the broadband game with CEF backing, as would construction firms, cooperatives and public authorities.

Rural boost

A particular objective is to get more money invested in rural broadband. Left to their own devices, telecoms companies often invest less in such areas because they are not as profitable as more densely-populated towns and cities.

While the Commission's digital agenda is largely about getting citizens on fast connections, it also contains plans to make electronic public services available equally across the continent.

Under the proposals to be unveiled on Wednesday, grants could go to cross-border e-health and electronic procurement services, smart energy networks and coordinated efforts to take down online child pornography.

Other examples of projects that would meet the Commission's criteria include pan-EU electronic identity schemes, systems that would encourage access to European culture, and multilingual public information services.

The Commission also hopes its plan would immediately create hundreds of thousands of jobs in the construction and telecoms equipment industries, as efforts to install fibre optic cable networks increase with the additional backing.

European funding has already found its way to several fast broadband projects in the UK. Last year the European Regional Development Fund provided �53.5m to aid BT's next-generation broadband scheme in Cornwall, while �18.5m went to the development of Northern Ireland's broadband infrastructure, also in collaboration with BT.



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Friday, October 14, 2011

Apple hits Samsung in court again

Samsung's tablets infringe patents owned by Apple, a US judge has ruled.

However, she warned that Apple needs to prove the validity of those patents if it is to win an injunction preventing the sale of Samsung's Galaxy Tab.

The decision is the latest in a dispute which spans 20 cases in 10 countries, some of which have lead to Samsung products being taken off the shelves.

Apple claims that the Galaxy range "slavishly" copies its massively-selling iPad and iPhone.

The Californian company has sought to ban the sale of the Galaxy S 4G smart phone and Galaxy Tab 10.1 tablet in the US.

A similar ruling in an Australian court led to a temporary sales ban on the tablet in that country.

US mobile networks have opposed Apple's request, saying it could affect sales of the products in the run up to Christmas.

California District Judge Lucy Koh ruled that while patents have been infringed, Apple must now show that its claim on those inventions is valid.

The disputed patents include three covering design - including the exterior look of the device - and a 'list scrolling patent' which relates to how users view documents.

Samsung argued that Apple's claims are invalid due to previously registered patents relating to design elements and functionality.

The company's attorney, Kathleen Sullivan, said her client "clearly raised substantial questions" and that the injunction bid should therefore be rejected.

"Start Quote

It's no coincidence that Samsung's latest products look a lot like the iPhone and iPad"

End Quote Apple spokeswoman

But Apple argue that its own product's design is far superior to those which came before the iPad and iPhone, and so therefore its patents should not be invalidated.

At one point in the hearing the judge held both Samsung and Apple products up on the air and challenged the defence to whether they could identify which device was which.

Samsung attorney Ms Sullivan, who was roughly 10 feet away, responded: "Not as this distance your honour."

Another lawyer for Samsung correctly distinguished the two.

A spokesman for the South Korean company described Apple's claims as "groundless".

Apple spokeswoman Kristen Huget said: "It's no coincidence that Samsung's latest products look a lot like the iPhone and iPad.

"This kind of blatant copying is wrong, and we need to protect Apple's intellectual property when companies steal our ideas."

Both companies have been locked in patent disputes since April, with each accusing the other of infringing various patents.



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Thursday, October 13, 2011

End date for analogue TV is set

The UK's analogue TV signals will be officially turned off on 24 October 2012.

The last region to enjoy the old style TV broadcasting system will be Northern Ireland and its analogue transmitters will be shut down on that date.

The switch-off brings the curtain down on a transmission technology that lasted for 80 years.

Once free of TV signals, the spectrum currently used for them will be used to support high speed mobile networks.

TV broadcasting began in August 1932 with a series of experimental analogue transmissions to test out the novel technology. The BBC began broadcasting TV to a schedule in 1936.

Freed spectrum

The UK's conversion from analogue to digital TV began in 2008, and early tests of the impact of the switch-off were held in the Cumbrian town of Whitehaven, which was also the first to receive digital-only signals.

Since the official conversion programme began most UK regions have had their analogue signals swapped for digital.

People, who do not subscribe to satellite or cable services have had to buy new televisions or set-top boxes to continue watching programmes.

About five regions, including London and Tyne Tees, remain to switch. Northern Ireland will be the last to swap to digital technology.

Digital is taking the place of analogue so viewers can be offered more channels and higher quality pictures.

The spectrum freed by the turn off of analogue signals will be re-used for a future mobile technology called Long Term Evolution. Ofcom is due to run an auction in late 2012 that will see the radio spectrum sold to operators to use for the service.

Switch-over fund

Ofcom is currently carrying out a consultation exercise to see how many people will suffer interference when LTE is turned on. It estimated that about 3% of UK viewers, about 760,000 people, will see poorer quality TV pictures when LTE is in wide use.

Filters that strip out the interfering signals are expected to solve the problem for most people but others may have to find other ways to watch digital TV.

The government set aside millions of pounds to help vulnerable people make the changes needed for the switchover. Much of that has now been subsumed into the fund to bring next-generation broadband to rural areas.



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Unix creator Dennis Ritchie dies

Pioneering computer scientist Dennis Ritchie has died after a long illness.

Mr Ritchie was one of the creators of the hugely influential Unix operating system and the equally pioneering C programming language.

A vast number of modern technologies depend on the work he and fellow programmers did on Unix and C in the early days of the computer revolution.

Those paying respects said he was a "titan" of the industry whose influence was largely unknown.

The first news of Mr Ritchie's death came via Rob Pike, a former colleague who worked with him at Bell Labs. Mr Ritchie's passing was then confirmed in a statement from Alcatel Lucent which now owns Bell Labs.

Jeong Kim, president of Alcatel-Lucent Bell Labs, said Mr Ritchie would be "greatly missed".

"He was truly an inspiration to all of us, not just for his many accomplishments, but because of who he was as a friend, an inventor, and a humble and gracious man," said Mr Kim.

Along with Ken Thompson, Brian Kernighan, Douglas McIlroy, and Joe Ossanna, Mr Ritchie was one of the key creators of the Unix operating system at Bell Labs during the 1960s and 70s.

Unix's influence has been felt in many ways. It established many software engineering principles that persist until today; it was the OS of choice for the internet; it kicked off the open source movement and has been translated to run on many different types of hardware.

It was also at Bell that Mr Ritchie created C, one of the most widely used programming languages in the world. It is familiar to almost every modern-day developer.

In 1999, Mr Ritchie's influence and accomplishments won official notice when he was awarded the US National Medal of Technology - the highest honour America can bestow on a technologist.

Mr Pike said that with his passing, the world had lost a "truly great mind."

Paying tribute on his blog, Google programmer Tim Bray said it was impossible to overstate the debt his profession owed to Dennis Ritchie.

"I've been living in a world he helped invent for over thirty years," he wrote.

On Twitter, developer James Grimmelman said: "Ritchie's influence rivals Jobs's; it's just less visible."



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Blackberry service &#39;is improving&#39;

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Stephen Bates, RIM UK: "The back-up system did not operate in the way we would expect"

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Blackberry's owner RIM said that its services "have improved significantly", following a three-day global blackout.

Millions of customers worldwide had their messaging and email service disrupted with many turning to Twitter to express their anger.

RIM put the ongoing problems down to "backlog issues", following a system failure.

Users began to report loss of services mid-morning on 10 October and the problems spread around the world.

On Thursday, RIM issued a statement saying services across Europe, the Middle East, Africa and India "have improved significantly".

"We continue to monitor the situation 24x7 to ensure ongoing stability," the update on its website said.

The firm is keen to be seen as sorting the problems swiftly, following confusion earlier in the week when it said services were back to normal, only to be contradicted by frustrated customers.

Robin Bienfait, chief information officer of RIM, the Canada-based owner of Blackberry, issued an apology for the ongoing issues.

"You've depended on us for reliable, real-time communications, and right now we're letting you down. We are taking this very seriously and have people around the world working around the clock to address this situation," he said.

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"We believe we understand why this happened and we are working to restore normal service levels in all markets as quickly as we can."

It blamed the ongoing issues on a backlog of emails to Europe from Asia and the Americas, following a "core switch failure" in its infrastructure.

"Clearly we have a backlog in Europe... as you can imagine, with the global reach of Blackberry and people using it to contact others around the world, there's a lot of messages to Europe from Asia and the Americas," RIM software vice president David Yach told a press conference in Ottawa, Canada.

"Over time that backlog has built up and affected our other systems."

'Data backlog'

Many tweeters called on the phone firm to "sort out" the problems and get the network running again.

RIM eventually explained what had caused the problems in the first place.

"The messaging and browsing delays... in Europe, the Middle East, Africa, India, Brazil, Chile and Argentina were caused by a core switch failure within RIM's infrastructure," a company statement said.

"Although the system is designed to failover to a back-up switch, the failover did not function as previously tested.

"As a result, a large backlog of data was generated and we are now working to clear that backlog and restore normal service as quickly as possible."

The server problems are believed to have originated at RIM's UK data centre in Slough.

The "issues" left many Blackberry owners only able to text and make calls.

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BBC's Rory Cellan-Jones: "Blackberry has so many high profile users who are complaining about the crash"

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Such a major failure will come as unwelcome news to RIM, which has been losing market share to smartphone rivals - in particular Apple's iPhone.

Many corporate clients have switched to the device after Apple made a concerted effort to improve its support for secure business email systems.

Malik Saadi, principal analyst at Informa Telecoms & Media, said the timing of the outages was bad for RIM.

"The current situation with the Blackberry outages couldn't come at a worse time for RIM, following some harsh criticism in recent months," he said.

Such crashes may lead RIM and others to "re-evaluate their reliance on centralised servers and instead look to investing in more corporately controlled servers", he added.

But he thinks customers will stick with the firm despite current frustrations.

"It will take more than just a couple of collapses to persuade loyal consumers of Blackberry services to look for alternatives," he said.



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