Start up: Douglas Adams’s living video game, Sony cuts, Microsoft’s future, haunted empires and more


How To Train Your Dragon was a success for Dreamworks, but other films aren’t. Picture by donielle on Flickr.

A selection of 9 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Samsung patents home-screen backup and transfer solution » Phandroid

No major smartphone manufacturer has yet to create a solution for copying home screen setups from one device to another. It’s a feature we’ve been hoping to see in Android from Google’s own ingenuity for quite some time, but someone seems to have beaten them to the punch.

Samsung’s latest patent details a software solution that would allow a user to configure a home-screen and copy it to another remote device. The details in the patent are very specific about the process, but an abstract look at the thing reveals a few different possible scenarios…

Umm, “no major smartphone manufacturer”? Apple has had this backup thing called iCloud since 2011 which lets you create a phone that clones your previous layout, apps, settings, everything. Commenters also mention an app called Nova – and say that Lollipop does it anyway.


Sony to cut 1,000 jobs in smartphone business, says Nikkei » Re/code

Sony plans to cut another 1,000 jobs in its smartphone division, mainly in Europe and China, the Nikkei business daily reported.

The cuts are in addition to the 1,000 jobs Sony said it would eliminate in its mobile unit in October, the Nikkei said.

Overall, Sony’s mobile division workforce will shrink by about 30% to 5,000 by the end of the fiscal year ending March 2016, the report said.

Can’t remember when I saw a report of Sony expanding a division. (Maybe the PlayStation division does it quietly.) Of course, contract manufacturing means you don’t need a gigantic dedicated workforce to make a lot of phones. Just the right workforce.


My thesis on Microsoft » Beyond Devices

Jan Dawson:

I see a downward trajectory over time in sales of Windows in total, even accounting for the many different form factors Windows runs on. As such, last quarter’s poor performance in Windows sales is much more indicative of the longer-term trend than short-term headwinds. I see Windows 10 slowing the decline a little, but I actually think the free upgrades could stall or postpone new device purchases for some users, which may be counterproductive in the short term. I don’t see Windows 10 solving any of the fundamental challenges I just outlined.

Software sales to consumers will shrink to zero

To my mind, the other major question about Microsoft’s future is its ability to continue to sell software to consumers for a price. I’ve talked for some time now about the fact that, in Microsoft’s two major software categories (OS and productivity), its two major competitors and essentially every other company now give their software away for free.

Hard to argue with any part of this. The downward pressure on Microsoft is inescapable. Strange that at a time when software is eating the world, the ability to charge for it is vanishing.


Haunted Empire » Asymco

Horace Dediu:

I’ve often said that corporate governance is medieval, or pre-scientific in its approach to understanding causality. That may be too generous. As far as the reward/punishment system (also known as Human Resources) it’s probably pre-neolithic. The luxuries and extravagance which we heap upon the leader provide abundant evidence. Leaders insist on these ironic “pay packages” and boards approve them because they know they can and will be ritualistically sacrificed if and when the mobs turn against them.

A manager would be a fool to accept even generous pay given the risk, actually near certainty, of ritualistic slaughter. They demand and are unquestionably given absurd pay that has no relationship to performance. Such pay has no relationship to performance because it isn’t designed to reward performance but to account for the risk of arbitrary and very public sacrifice. Boards (and hence shareholders) are deliberately hiring a scapegoat for sins as yet unknown. Luxury and violence are thus finely balanced in what is called “Executive Search”.

A finely-judged thumb in the eye for a lot of management speak, and for a book about Apple.. oh, what was the name…


How DreamWorks Animation can claw its way back » The Hollywood Reporter

The maker of Shrek is in financial trouble:

And while the film unit is clearly troubled — four of the last six movies have resulted in write-downs (Rise of the Guardians, Mr. Peabody & Sherman, Turbo and Penguins of Madagascar) — Katzenberg has put new co-presidents (Bonnie Arnold and Mireille Soria) in charge of filmmaking and is making good on his 2013 promise to diversify “from an animated feature film company into a multifaceted, branded-entertainment company.” For its most recent quarter, DWA reported a $46.4m loss, but its television segment showed a $2.3m profit and consumer products posted a $4.2m profit.

There also are signs that its digital acquisition AwesomenessTV is profitable (DWA reported a $1.2m profit attributed to “other items,” which consists largely of Awesomeness). DWA paid $33m for Awesomeness in 2013 with a potential earn-out of another $115m. Instead, DWA settled the earn-out last year for $80m then sold 25% of Awesomeness to Hearst Corp. for $81.3m. The net result is that DWA paid about $33m for a 75% stake in a fast-growing, potentially highly profitable digital asset that has a perceived value of more than $300m.

But by focusing on expansion and diversification, Katzenberg acknowledges he might have been distracted from job No. 1: making profitable movies.

Contrast with Pixar, bought by Disney and still turning out successful films – yet always focussing on the story, and not just churning them out. Pixar, of course, was made successful by Steve Jobs. And it retains its focus.


The Apple Watch: The next big thing or living on borrowed time? » Harvard Business School

From September 2014:

Q Do you think the Apple Watch will fundamentally change our lives in a similar way the iPhone and iPad did?

Ryan Raffaelli, Harvard Business School assistant professor: We often define radical innovations as “competency- destroying,” meaning that they render all related products and services in the same market category obsolete. While the Apple Watch is certainly the most advanced smartwatch on the market today, I’m not sure it fits the traditional definition of a “radical” innovation. For instance, it is unlikely the Apple Watch will have the same transformative effect on society as other life-changing innovations throughout history – think about the steamship’s impact on the sailing industry, how the personal computer ended the use of typewriters, or how electronic fuel injection systems replaced carburettors.

The news that the Apple Watch isn’t as radical as the steamship or fuel injection will, surely, persuade Jony Ive once and for all that it’s time to give it up and head off into the sunset.


BlackPwn: BlackPhone SilentText type confusion vulnerability » Azimuth Security

In the phone market, one of the premier products to be released in recent years is undoubtedly the BlackPhone (http://www.blackphone.ch), which has been cited numerous times in tech publications as being one of the best available defences against mass surveillance, as it provides full end-to-end encryption facilities for voice calls and text/MMS messaging.

While exploring my recently purchased BlackPhone, I discovered that the messaging application contains a serious memory corruption vulnerability that can be triggered remotely by an attacker.  If exploited successfully, this flaw could be used to gain remote arbitrary code execution on the target’s handset. The code run by the attacker will have the privileges of the messaging application, which is a standard Android application with some additional privileges. Specifically, it is possible to:

• decrypt messages / commandeer SilentCircle account
• gather location information
• read contacts
• write to external storage
• run additional code of the attacker’s choosing (such as a privilege escalation exploit aimed at gaining root or kernel-mode access, thus taking complete control of the phone)

How surprising that people would believe a claim made by a company about having excellent security.


The secret Douglas Adams RPG people have been playing for 15 years » Kotaku

Fantastic tale from Lewis Packwood:

Yoz [Grahame] then quickly forgot all about the employee forum, but six months later he happened to take a quick peek. And there were ten thousand posts in there.

Bearing in mind that the forum was buried deep within the website and was (just about) password secured, this was a phenomenal result. But even more fascinatingly, the forum had evolved into an extension of the game itself.

Visitors to the forum had created fictional employees and passengers on the Starship Titanic and begun role playing as them. Someone would make up an implausible, Adams-esque scenario, and everyone else would react to it in character, resulting in some enormously complex storylines and in-jokes that developed and diversified over years. And this strange fictional world had appeared entirely spontaneously, without any input from Douglas Adams or The Digital Village. Indeed, Yoz was as surprised as anyone when he stumbled across it: “It was like ignoring the vegetable drawer of your fridge for a year, then opening it to find a bunch of very grateful sentient tomatoes busily working on their third opera,” he says.

I loved Starship Titanic. Not least because there were two alternative endings, diametrically opposed in their result.


A pirated version of the Assassin’s Creed application for Android is bundled with malware » 0xicf

“Blackpiano”:

The Trojanized variety of the Assassin’s Creed application has the potential to be quite potent, because when a user downloads it, what he or she is actually downloading is malware. The malware in turn downloads a fully functional, pirated version of the actual application. The gaming app works as advertised, so the standard mobile gamer is going to have a tough time realizing that the package they’ve downloaded is malicious…

…The malicious application is capable of sending multi-part text messages, harvesting text messages from a victim’s device, and sending stolen information to a remote Command & Control (C2) server. We were able to locate phone numbers belonging to Russian bank “Volga-Vyatka Bank of Sberbank of Russia” in the malicious application code for which SMS messages are being intercepted to steal sensitive information.

Sneaky.


Start up: Google v security redux, how your browser can track you, unboiling eggs (really), Android MVNO = flop, and more


Don’t worry, we’ll soon have that nice and runny for you. Photo by Sidereal on Flickr.

A selection of 10 links for you. Avoid contact with hands. I’m charlesarthur on Twitter. Observations and links welcome.

This guy found a way to block robocalls when phone companies wouldn’t » WIRED

Robert McMillan:

Aaron Foss won a $25,000 cash prize from the Federal Trade Commission for figuring out how eliminate all those annoying robocalls that dial into your phone from a world of sleazy marketers.

The year was 2013. Using a little telephone hackery, Foss found a way of blocking spammers while still allowing the emergency alert service and other legitimate entities to call in bulk. Basically, he re-routed all calls through a service that would check them against a whitelist of legitimate operations and a blacklist of spammers, and this little trick was so effective, he soon parlayed it into a modest business.

Last year, his service, called Nomorobo, blocked 15.1 million robocalls. He uses cloud computing services—primarily Amazon Web Services and Twilio—to block Florida timeshare sellers and fake Microsoft support gurus from the 190,000 VOIP customers1 who use his free product.

I know, you’re saying “Where do I sign up??” Except for this addendum to the story:

113:00 EST. Correction. An earlier version of this story stated that the Nomorobo service works with mobile phones. It runs on VOIP phones only.

Damn.


How you can be tracked by your browser’s fingerprint and how you can stop it » CompTutor

You have your browser set to Private Browsing or Incognito mode where it doesn’t store coookies or history. You load up your favorite VPN, Tor, or I2P and are thinking, “I am totally secure and no one can track me now.” Wrong. You still are possibly leaving a digital fingerprint or browser fingerprint behind. Just because you have a secure computer and can change your IP, people can still find you. Browser Fingerprinting is how some agencies have been able to identify people even through Tor or a VPN.

The EFF, or Electronic Frontier Foundation, discovered this a few years ago and has set up a website to demonstrate their findings. Check out the website below, run their fingerprinting test, and see if your online fingerprint is unique to you out of everyone they have tested. I’m guessing it will be.

https://panopticlick.eff.org

It’s “canvas fingerprinting”, which has already found favour with Google, and relies on characteristics of HTML5-capable browsers.


Microsoft is no longer manufacturing the Surface 2 » The Verge

The big unmentioned detail there is that it’s the end of the line for Windows RT, which everyone except for Microsoft had already given up on. Its future looked even bleaker during Microsoft’s Windows 10 announcements last week, with the company saying that the new OS was not coming to the Surface RT or Surface 2, its last remaining Windows RT devices.

The Surface 2 debuted near in the fall of 2013 as a successor to the Surface RT, which received a lukewarm response and ended up costing Microsoft millions in stock that did not sell. It was thinner and lighter than the previous model, and also had a considerably better display, but was still stymied by Windows RT, which did not support traditional Windows programs.

RT’s really dead now, Jim.


Android Wi-Fi Direct vulnerability disclosed » Threatpost

Michael Mimoso:

Google and Core Security are at odds over the severity of a vulnerability affecting a number of Android mobile devices, details of which were released by the security vendor today.

The issue was reported to the Android security team on Sept. 26 and in subsequent communication between the two parties, the severity of the vulnerability was debated, culminating today with Core’s disclosure. Google three times acknowledged Core’s report and request for a timeline on a patch, and each time Google said it did not have one.

The flaw is a remotely exploitable denial-of-service vulnerability in Wi-Fi-Direct, a standard that allows wireless devices to connect directly. The implementation is used not only between Android devices, but also printers, cameras, PCs and more.

So here’s Google not fixing new flaws in Android. Shouldn’t Core Security feel justified in releasing exploit code and full details?

Read on for Google justifying not fixing old code in Android….


Google defends policy that leaves most Android devices unpatched » Computerworld

Remember the WebView weaknesses that had everyone jumping up and down because around 60% of Android devices that hit Google Play (and potentially many more altogether) are vulnerable? Gregg Keizer followed up:

“Until recently, we have also provided backports for the version of WebKit that is used by WebView on Android 4.3 and earlier,” wrote Adrian Ludwig, Android lead security engineer on Google+. “But WebKit alone is over 5 million lines of code and hundreds of developers are adding thousands of new commits every month, so in some instances applying vulnerability patches to a two-plus-year-old branch of WebKit required changes to significant portions of the code and was no longer practical to do safely.”

So it’s too much trouble for Google to fix code that’s over two years old, but it feels justified in publicising security flaws – and exploit code – for Windows and OSX? What’s that Biblical saying about beams and motes?


‘Thunderstrike’ attack also fixed in OS X 10.10.2 » iMore

Rene Ritchie:

“Thunderstrike” is the name for an attack that can target Mac hardware via the Thunderbolt port. Apple had previously updated the Retina 5K iMac and 2014 Mac mini to partially secure them against Thunderstrike. Now, the upcoming OS X Yosemite 10.10.2 will fix the problem for all recent Macs running Yosemite.

Thunderstrike was explained here: it requires physical access or very good social engineering. Good that it’s being fixed for “all recent Macs running Yosemite”; bad that it isn’t going further back. (Is it even possible to fix it further back? Nobody seems to know for sure.)


Why an Apple-featured indie dev abandoned iOS in favor of PC » Gamasutra

Alex Wawro:

what’s more interesting about [Erik] Asmussen’s current project, at least from a developer’s perspective, isn’t so much where it is now as where it isn’t — namely, Apple’s App Store.

Like many developers, Asmussen quit his job a few years ago to dive into mobile development full-time; but despite some significant success with mobile games like PWN: Combat Hacking, Asmussen has decided to devote himself to PC development.

“I finally gave up on iOS after I got a ‘Best New Games’ feature and saw how little revenue that actually brought in,” Asmussen tells me, via email. “The risk/reward profile was just terrible, combined with annoying barriers like having to put all updates through a review process. So I decided to switch to PC. That has proven to be a good decision by any measure.”

Why? Because

his final mobile game, PWN: Combat Hacking, earned roughly $10k in its launch month.

“Which sounds cool, until you consider that it took a year to build and about $3-4K in art,” adds Asmussen. “And that that figure is in the top percentile of indie mobile games. And that it got the biggest app store feature short of the top banner.”

Asmussen laments the fact that mobile game makers often can’t get people into their games until after they’re released, and believes that developing PC games for Steam’s Early Access service is more empowering for small-scale developers.

(Thanks @Jaykannan for the link.)


Apple reports record first quarter results » Apple

The results were fueled by all-time record revenue from iPhone® and Mac® sales as well as record performance of the App Store℠. iPhone unit sales of 74.5m also set a new record.

“We’d like to thank our customers for an incredible quarter, which saw demand for Apple products soar to an all-time high,” said Tim Cook, Apple’s CEO. “Our revenue grew 30 percent over last year to $74.6bn, and the execution by our teams to achieve these results was simply phenomenal.” 

Oh, yeah, this happened. Not quite a record for Mac shipments (that happened in the previous quarter) but those iPhone numbers? That is phenomenal execution, as Cook says. It’s so easily overlooked that there’s no value in all the brand stuff and marketing if you can’t actually deliver product to people. Between Apple and Samsung, that’s about half of the smartphone market sewn up.


Chemists find a way to unboil eggs » Phys Org

Janet Wilson on news that will delight, well, anyone?

Like many researchers, he has struggled to efficiently produce or recycle valuable molecular proteins that have a wide range of applications but which frequently “misfold” into structurally incorrect shapes when they are formed, rendering them useless.

“It’s not so much that we’re interested in processing the eggs; that’s just demonstrating how powerful this process is,” [Gregory] Weiss [professor of chemistry and molecular biology at UCal at Irvine] said. “The real problem is there are lots of cases of gummy proteins that you spend way too much time scraping off your test tubes, and you want some means of recovering that material.”

But older methods are expensive and time-consuming: The equivalent of dialysis at the molecular level must be done for about four days. “The new process takes minutes,” Weiss noted. “It speeds things up by a factor of thousands.”

To re-create a clear protein known as lysozyme once an egg has been boiled, he and his colleagues add a urea substance that chews away at the whites, liquefying the solid material. That’s half the process; at the molecular level, protein bits are still balled up into unusable masses. The scientists then employ a vortex fluid device, a high-powered machine designed by Professor Colin Raston’s laboratory at South Australia’s Flinders University. Shear stress within thin, microfluidic films is applied to those tiny pieces, forcing them back into untangled, proper form.

Unspilling milk next, I hope.


5 reasons why a Google MVNO would fail » FierceWireless

Phil Goldstein enumerates them rather clearly. Summarised, they are:
1) engineering phones and networks is difficult (you can’t get one phone to join both T-Mobile and Sprint in the US as they use GSM and CDMA)
2) Google would need customer service centres and distribution – outside its core competency
3) incumbent carriers spend billions on ads, and have inbuilt advantages
4) the service wouldn’t be differentiated, and what’s the target audience?
5) if it doesn’t get scale, Google might kill it.

His article goes into much more detail. It feels persuasive.


Start up: web design for 2015, Nexus 6’s long slipway, hacking journalism under threat?, Zoë Keating v YouTube redux, and more


In 2012 the Nexus 6 designers were expecting to deal with these to unlock the phone. Photo by kevin dooley on Flickr.

A selection of 7 links for you. Refrigerate before use. I’m charlesarthur on Twitter. Observations and links welcome.

The challenge for web designers in 2015 (or how to cheat at the future) » Memespring

Richard Pope:

The 7 years of the Apple App Store and the android equivalents have, in effect, been mass, micro funded experiments in UI design for small, touch sensitive devices with lots of sensors and outputs. They have generated winning patterns like:

Checkboxes replaced by switches
Check-ins
Edit without save button
Everything can be contextual, any bit of UI can disappear between pages
Everything has it’s own settings page
Floating buttons
Keeping primary navigation off canvas (hidden behind the page)
Minimal or zero page header (the context an old school page header / nav gives seems less important when you are holding the app in your hand.)
Multiple, focused apps for the same service
Offline by default
Overscroll to refresh
Reserving dropdown menus for actions on the current context
Search scoped to their current context (the app)
These are patterns that people use day in day out on facebook, Gmail and WhatsApp. These are the new normal, what people expect.

But with a few notable exceptions – eg the mobile versions of Wikipedia and Forecast – these are not patterns that are making their way on to the web.

So, here is the challenge for anyone designing and building for the web in 2015.

He also points out what you can do with HTML5 browsers now too. Worth considering.


Dennis Woodside on Motorola, Google and the future of Dropbox » Telegraph

Matt Warman spoke to Woodside, formerly chief executive at Motorola, and now chief operating officer at Dropbox:

the 6-inch Nexus 6, he can now admit, was stymied by just one of those big players [which he previously criticised for keeping prices high]. A dimple on the back that helps users hold the device should, in fact, have been rather more sophisticated. “The secret behind that is that it was supposed to be fingerprint recognition, and Apple bought the best supplier. So the second best supplier was the only one available to everyone else in the industry and they weren’t there yet,” says Woodside. Nonetheless, he adds, the addition of fingerprint recognition, “wouldn’t have made that big a difference.”

Here’s what’s interesting about this. Apple bought Authentec in mid-2012 (for $356m). The Nexus 6 was released in September 2014. Motorola’s development of that smartphone was so far in train that it didn’t have time to change the design of the back fascia from dimpled to flat.

Smartphones take two or more years to design and implement. Consider that: what comes out now was being worked on in early 2013.

Kudos to Woodside for admitting fingerprint recognition wouldn’t have made much difference. As it wasn’t being tied into a payment system, it would have been a gimmick – and those don’t add lasting value.


We should all step back from security journalism » Medium

Quinn Norton:

Part of Barrett Brown’s 63 month sentence, issued yesterday, is a 12 month sentence for a count of Accessory After the Fact, of the crime of hacking Stratfor. This sentence was enhanced by Brown’s posting a link in chat and possessing credit card data. This, and a broad pattern of misunderstanding and criminalizing normal behavior online, has lead me to feel that the situation for journalists and security researchers is murky and dangerous.

I am stepping back from reporting on hacking/databreach stories, and restricting my assistance to other journalists to advice. (But please, journalists, absolutely feel free to ask me for advice!) I can’t look at the specific data another journalist has, and I can’t pass it along to a security expert, without feeling like there’s risk to the journalists I work with, the security experts, and myself.

Brown’s sentence wasn’t quite as simple as “linking to stolen stuff”, but Norton’s concern is understandable – especially given the tendency of US law enforcement to go like a runaway train after hackers, and those defined as hackers, of all stripes.


Zoe Keating’s experience shows us why YouTube’s attitudes to its creators must change » Music Industry Blog

Mark Mulligan weighs in on the Zoë Keating row linked here on Monday:

it is the Content ID clause that is most nefarious. Content UD is not an added value service YouTube provides to content owners, it is the obligation of a responsible partner designed to help content creators protect their intellectual property. YouTube implemented Content ID in response to rights owners, labels in particular, who were unhappy about their content being uploaded by users without their permission. YouTube’s willingness to use Content ID as a contractual lever betrays a blatant disregard for copyright.

Ben Thompson is much more straightforward: on Stratechery.com he analyses Keating’s position, and suggests – for her particular situation, as a niche player seeking the most eager fans – that she should tell YouTube to take a hike. Especially when you look at her income breakdown: 60,000 tracks (roughly) sold on iTunes generated $38,195, while 1.9m YouTube views (mostly of her music on other peoples’ videos) earned $1,248.

Would the iTunes sales have happened without the YouTube views? Quite possibly not – but using ContentID as a lever, as Mulligan says, is to aggressively deny her copyright.


Digital music sales on iTunes and beyond are now fading as fast as CDs. – The Atlantic

Derek Thompson has some shudder-making figures:

how about the hits? The top 1% of bands and solo artists now earn about 80% of all revenue from recorded music, as I wrote in “The Shazam Effect.”

But the market for streamed music is not so concentrated. The ten most-popular songs accounted for just shy of 2% of all streams in 2013 and 2014. That sounds crazy low. But there are 35m songs on Spotify and many more remixes and covers on SoundCloud and YouTube, and one in every 50 or 60 online plays is going to a top-ten song. With the entire universe of music available on virtual jukeboxes, the typical 3.5-hour listening session still includes at least one song selected from a top-ten playlist that accounts for .00003% of that universe. The long tail of digital music is the longest of tails. Still, there is a fat head at the front.


China buying more iPhones than US » FT.com

Analysts at UBS estimate that China accounted for 36% of iPhone shipments in the most recent quarter, compared with 24% for the US. During the same period last year, 29% of units were sold in the US and 22% were in China, UBS said.

Predictable enough, given the size of China, and the fact that the US is essentially saturated. The fact that two markets probably account for 60% of all iPhone shipments – around 36m phones in the quarter – is perhaps a concern for Apple. It’s much the same for Samsung: losing its lead in China has hurt it and left the US as its key market.

However, this rather gives the lie to those stories from September which said that Apple was washed up in China when smugglers had to cut prices of the iPhone 6 – ignoring the fact that the devices were going to go on sale officially in a few weeks. Nope, then the problem was that

Four years ago, the iPhone 4 was a status symbol, with the black market booming before the product was officially introduced. Today, the iPhone is simply one option among many, as local companies like Xiaomi and Meizu Technology rival Apple in terms of coolness while charging less than half the price.


Demographics of key social networking platforms » Pew Research Center’s Internet & American Life Project

Tons of demographic data (including age, ethnicity, gender, education, income and location) about the online over-18s in the US:
• 71% use Facebook (more women than men, strong in 18-29);
• 23% use Twitter (men strongly growing, skews towards degree-qualified);
• 26% use Instagram (53% of 18-29s; also strong among Hispanics and African-Americans);
• 28% use Pinterest (up from 21% in August 2013; 3:1 women:men, strongly skewed to white)
• 28% use LinkedIn, strongly up among women since 2013, but now equal across sexes; skews strongly to university education

The whole study is fascinating: Facebook growth is slowing down, but it’s still “home base”, and used most daily.


Start up: where’s Apple’s Hololens?, the Xiaomi copiers, CES or Skymall product?, YouTube’s tough licensing, and more


Where’s Apple in this virtual reality landscape? No iPhones there. A screenshot from the Drax files Oculus Rift view by draxtor on Flickr.

A selection of 8 links for you. Can be swapped for Green Shield stamps at participating stores. I’m charlesarthur on Twitter. Observations and links welcome.

Apple needs a Microsoft HoloLens augmented reality competitor » Business Insider

Dave Smith:

By all accounts, it sounds like augmented reality devices like these are “the next big thing.” And at this point, Microsoft, Google, Facebook, Samsung, and others have invested hundreds of millions — even billions — of dollars into these new virtual and augmented reality experiences. 

Apple, meanwhile, is nowhere to be found. 

Oh no! And already millions– well, thousands– ok, hundreds.. er, dozens of people are using Oculus Rift, and Google has retreated on Google Glass. So where the hell is Apple in this.. race? Smith continues:

Last June, I wrote about how Apple’s patent for “interactive holograms” was one I wanted to see become a reality. Filed in October 2012 but published in April 2014, Apple had created a system that allows you to interact with projected images that appear to hang in mid-air, even letting you control and manipulate those virtual objects with the swipes and gestures iOS users are used to (pinch to zoom, etc.)

It’s not too late for Apple to use this patent.

Not too late? If anything, it’s way too early for Apple to use it. It seems people don’t learn the lessons of Google Wallet v Apple Pay, or Palm and RIM v the iPhone: throwing technology out there isn’t enough; you need the business and experience to fit in too.


5 new phone makers hoping to replicate Xiaomi’s success » Tech In Asia

Much more detail in the article, but the five brands (or sub-brands) are:
• Yu Yureka (by Micromax)
• Shenqi (by Lenovo)
• Ivvi (by Coolpad)
• OnePlus (born out of Oppo)
• Himax.


DNS poisoning slams web traffic from millions in China into the wrong hole » The Register

A widespread DNS outage hit China on Tuesday , leaving millions of surfers adrift.

DNS issues in China between 7am and 9am GMT left millions of domains inaccessible. Two-thirds of China’s DNS (Domain Name System) infrastructure was blighted by the incident, which stemmed from a cache poisoning attack.

Chinese netizens were left unable to visit websites or use social media and instant messaging services as a result of the screw-up, the Hong Kong-based South China Morning Post reports.

The snafu, which affected China’s root servers, meant all queries resolve to the IP address 65.49.2.178. A fix was implemented around two hours after the snag first surfaced.

Put like that, it sounds like “yeah, yeah”. But when it happens to you, as it did to Craig Hockenberry, it’s very different.


Quiz: CES gadget or SkyMall product? » PandoDaily

SkyMall produced an in-flight magazine selling “Innovations”-style products (as in, stupid, useless, and yet able to make you go “ooh!”), but has now filed for bankruptcy. David Holmes had the brilliant idea of making this quiz:

judging by some of the products that caught the media’s attention at CES this year, I’m not sure SkyMall and Silicon Valley are so far off in their passion for absurdity. The “Rollkers” at CES? Sounds a lot like these OrbitWheels sold through SkyMall. Or what about the “gTar”? Is it so different than the All-Star Guitar, which is basically a fake guitar you plug into an iPad? Can you even tell which one is from CES and which one is a SkyMall product?

I didn’t even try to score myself because I’d put them all in both category. But the fact that Holmes can confuse us at all shows what a microcosm of crap CES has become.


What should I do about Youtube? » Zoë Keating

Keating is a successful cellist whose videos have a respectable, if not mind-boggling, number of views:

My Google Youtube rep contacted me the other day. They were nice and took time to explain everything clearly to me, but the message was firm: I have to decide. I need to sign on to the new Youtube music services agreement or I will have my Youtube channel blocked.

This new music service agreement covers my Content ID account and it includes mandatory participation in Youtube’s new subscription streaming service, called Music Key, along with all that participation entails. Here are some of the terms I have problems with:

Must have ads, must be in 320kbps (nonsensical), can’t release elsewhere first, must allow all catalog in free and paid music service, five-year contract. Non-optional. Keating wants control; YouTube doesn’t want her to have control. And there seem to be strange goings-on in search:

Here is something weird. Until yesterday a search for “Zoe Keating” would yield a Google Knowledge Graph box on the right with all my info, including links to listen to my music. It always bugged me that those links were only to Google Play, Rhapsody and Spotify, all services which have hardly any of my music in them. If the metadata about me is really pure, why not link to the only services that actually have all my music? i.e. Bandcamp, SoundCloud and iTunes? I know the links were there yesterday because I searched to get the list for this blog. As of today, there are no music links whatsoever. Ideas?

Her sad conclusion: “The revolution has been corporatized.” And now read on..


Is Google playing fair with Android developers? » The Information

Transcript of long and really interesting interviews with various developers from The Information’s “Next Phase of Android” event held recently. Lots to consider, but I was struck by this:

Tom Moss, CEO of Nextbit: The next phase of Android is that people have finally shifted away from asking, “Is there going to be a third mobile platform?” or, “My friends all use iOS, so is Android a thing?” And now you can think, if you can’t compete with Android, you can compete with Google by co-opting Android. That’s what Kirt is doing. In my own game theory, I was thinking, “God, I hope Microsoft doesn’t adopt Android and come out with a bunch of services to grab market share.” It’s not the OS wars any more. It’s the services.

Kirt McMaster [CEO of Cyanogen]: This notion of a creating a Windows Phone or a Facebook phone is absurd. All of these guys have failed. We’re able to build on top of Android and make Android better. Now we’re opening up Android and partnering with everybody you can imagine. Google is running the table, and nobody likes that. We’ve emerged as the white horse that opens the entire platform up. We think this is where the innovation is going to happen.

(The piece is paywalled.) The idea that “Google is running the table, and nobody likes that” might sound surprising. Moss’s fear about Microsoft and services sounds like Nokia X – which still seems to me a tolerable idea, except that Google would make AOSP an unusable husk if Microsoft really made headway with it.


Smart mousetraps and lazy mice » Drop Labs

Cherian Abraham, explaining the – surprising – 6% figure (at peak) for fraud committed using Apple Pay according to early reports:

No, iPhones weren’t stolen and then used for unauthorized purchases, TouchID was not compromised, Credentials weren’t ripped out of Apple’s tamper proof secure element – nor the much feared but rarely attempted MITM attacks (capture and relay an NFC transmission at a different terminal). Instead fraudsters bought stolen consumer identities complete with credit card information, and convinced both software and manual checks that they were indeed a legitimate customer.

Partly, that’s because banks didn’t have very good checks (called the “Yellow Path” – is it an Oz reference?) to verify identity when someone wanted to enter a credit card onto a phone.

Apple bears some of the responsibility though:

In fact initially “Yellow Path” was marked optional for card issuers by Apple – which meant that only a couple of Issuers directed much focus at it. Apple reversed its decision and made it mandatory less than a month before launch – which led to issuers scrambling to build and provide this support. Why any bank would consider this optional is beyond me.

Either way, Card issuer implementations of the Apple Pay Yellow Path have proved to be inadequate.

It’s the whole insecure US credit system in microcosm.


Google suggesting Firefox users change their search engine & home page » Search Engine Land

Danny Sullivan on how Firefox users visiting Google are being encouraged to switch away from Yahoo:

I figured it was inevitable Google would do this, if the Firefox-Yahoo deal really did seem to be having an impact. Even the loss of a little share might be enough to scare investors. Certainly, I’ve taken enough calls from various press outlets wondering if the deal and subsequent share loss meant a big problem for Google.

My response has always been that if Google was worried, it could and would fight back in this type of manner. Now it is, and I suspect it will regain some of that share lost to Yahoo.

I also suspect Yahoo won’t gain much more search share than it has, because with the Firefox deal fully rolled out, it’s effectively hit a high water mark for all that particular channel is likely to produce.

“People can switch away any time.”


Start up: Apple Watch battery life, Amazon Echo reviewed, 3D lightning, dark web buying, Google MVNO only data?, and more


It’s fine, they’re all micro-USB. Photo by practicalowl on Flickr.

A selection of 10 links for you. Slippery when wet. I’m charlesarthur on Twitter. Observations and links welcome.

Apple targets for Apple Watch battery life revealed, A5-caliber CPU inside » 9to5Mac

Mark Gurman (who has a good track record):

According to our sources, Apple opted to use a relatively powerful processor and high-quality screen for the Apple Watch, both of which contribute to significant power drain. Running a stripped-down version of iOS codenamed SkiHill, the Apple S1 chip inside the Apple Watch is surprisingly close in performance to the version of Apple’s A5 processor found inside the current-generation iPod touch, while the Retina-class color display is capable of updating at a fluid 60 frames per second.

Apple initially wanted the Apple Watch battery to provide roughly one full day of usage, mixing a comparatively small amount of active use with a larger amount of passive use. As of 2014, Apple wanted the Watch to provide roughly 2.5 to 4 hours of active application use versus 19 hours of combined active/passive use, 3 days of pure standby time, or 4 days if left in a sleeping mode.

Umm. 19 hours is.. 7am to 2am of the next day. That could work if you’re really prepared to recharge it daily. Begins to sound like work, though. In September I reckoned that “a watch that needs constant recharging isn’t a watch, it’s a burden”.


Amazon Echo review: listen up » The Verge

David Pierce:

Other than a blue-green light that flashes around the top of the canister, Alexa offers no real feedback while she works. So when a command fails to register, it just… fails. Sometimes she doesn’t hear me; sometimes she doesn’t know quite what I’m saying. In either case, she ignores me and just keeps on playing the 30-second preview of “Uptown Funk.” (This, by the way, is the one place where the Echo can actually buy things for you: just say “Buy that song,” and it’ll get added to your Prime library.)

The hardest thing about using the Echo is that I can’t get a firm grip on its limitations. If I knew not to ask it certain questions, or to always phrase questions certain ways, that would be fine. But I can’t explain why Alexa knows Andrew Jackson is the proper response to “Who was the seventh president of the United States?” but can’t tell me Thomas Jefferson was the third. I can stand right next to it, and it hears me fine… until it doesn’t.

For $200, hard to see the point. A phone can do much the same, and more besides. A Bluetooth speaker is cheaper. Was this a Bezos idea too?


3D lightning » Calculated Images

Richard Wheeler:

Reddit is a great website, where the ability to share and discuss things on the web gives some great little discoveries. Things that would otherwise seem impossibly unlikely, like two people in completely different places getting a photo of the same lightning bolt, suddenly pop up all the time.

And once you have that, you can do some maths and use a couple of assumptions, and draw what the bolt of lightning looked like in 3D space. Oh yes you can. (And again a year later.)

(The rest of the blog is quite fun too, apart from the entry about Elvish script. Not wanted on voyage.)


Apple, marketing, and black culture » Haywire

It isn’t discussed often, and maybe it’s marketing, too — but there’s a pattern here, and a clever one at that. Apple is using powerful images, quotes, videos, and other forms of media created by black artists and orators. And, while it’s great PR, I also believe it’s quite genuine and surely consistent. The company is obviously intentional with how it interacts with the public at large. Many companies may try this kind of PR, but they wouldn’t be able to pull it off. When you step back and look at the language in the letters, the imagery and messages on their site, the cultural strategy in acquiring Beats, and the 2014 holiday video spot, the threads tie together tastefully to portray a different side of Apple not often covered in the tech blogs.

I was really struck by this when I appeared as a guest on Channel 4 News with Lethal Bizzle (look him up if you don’t) to talk about the Beats acquisition. Quietly, yet effectively, Apple is positioning itself to appeal to urban, not just black, culture. Beats is a big part of that.


Ordnance Survey change in operating model: Written statement » UK Parliament

From Matthew Hancock, of the Department of Business, Innovation and Skills:

Ordnance Survey exists in a fast moving and developing global market. There has been rapid technology change in the capture and provision of mapping data, and increasingly sophisticated demands from customers who require data and associated services – including from government. To operate effectively, Ordnance Survey needs to function in an increasingly agile and flexible manner to continue to provide the high level of data provision and services to all customers in the UK and abroad, in a cost effective way, open and free where possible. Company status will provide that.

Mapping data and services are critical in underpinning many business and public sector functions as well as being increasingly used by individuals in new technology. Ordnance Survey sits at the heart of the UK’s geospatial sector. Under the new model, the quality, integrity and open availability of data will be fully maintained, and in future, improved. Existing customers, partners and suppliers will benefit from working with an improved organisation more aligned to their commercial, technological and business needs.

Hmm. Ordnance Survey was a “trading fund” – basically, a little company unto itself inside the government, although making some map data free in 2010 meant it got a straightforward subsidy from government to fund that.

It’s not clear why it should need to change from “trading fund” to “Government Company” (nor even what the difference actually is). Unless – as some fear – it’s a prelude to privatisation.


Deep web marketplaces » Joel Monegro

Monegro bought a pair of boots for his girlfriend to find out more about how these places – accessible only via Tor – work:

Over the past couple of weeks, I’ve been frequenting the deep web marketplaces most famously used for buying drugs online with Bitcoin.

I wanted to see if there was anything we could learn about how these illicit marketplaces work that could be applied to improve the legal marketplaces we invest in at [venture capital company] USV.

As part of my research, I purchased an item on Evolution (no, not drugs – a pair of furry boots) in an effort to understand the dynamics of these marketplaces, from trust and safety to flow of funds. This is what I learned in the process. 

It’s fascinating, and Tor and bitcoin underlie it all. The manoeuvres taken by those who ship from or to physical addresses is hugely inventive too. It’s solving the question of “how do you carry out transactions requiring trust when you don’t, and can’t, trust anyone?”


Google reportedly on the verge of launching ‘Nova,’ a cellular phone service to compete with big four carriers » Android Police

Jacob Long:

The report, first published by The Wall Street Journal, mentions that the program has been codenamed “Nova” internally. That sounded familiar to us, because we had been tipped about a similar program called “Nova” last year. We had not been able to get more info and did not report on it – until now.

Our tipster told us that Google Voice (now, that would probably be Hangouts) would be the backbone of the Google plans, which would be data-only. With access to mobile data and possession of a Voice number, the experience would theoretically be nearly equivalent to a conventional phone plus data plan. The tipster also told us that the plans would offer unlimited data, while leaning on WiFi where available.

Android Police has excellent sources in (or around) Google, and this would make a lot of sense. You’d be pretty screwed for voice call quality if you couldn’t get a 3G signal, though, and as Google is looking to MVNO using Sprint and/or T-Mobile (one is GSM, one is CDMA), their 2G networks aren’t compatible. So you’d need 3G to make a call. And those two networks are smaller than AT&T or Verizon. So you’d be geographically limited.

Looks like Google is banking on people wanting smartphones only for data. In which case you might as well get a tablet..?


Microsoft’s Windows RT isn’t dead…yet » CNET

Shara Tibken:

All of the major device makers working with Windows RT scrapped their products either before they hit the market (such as HP and Toshiba) or following dismal sales once the products were released (in the case of Dell). To say interest in the software was – and remains – low is an understatement. Even the ARM chipmakers who were to benefit from the operating system, including Nvidia and Qualcomm, largely threw in the towel, focusing their investments and efforts elsewhere.

The only device to really utilize the software has been Microsoft’s own Surface tablet. The company released the first generation of its Windows RT-based Surface in late 2012 but revealed in July 2013 that it lost $900m on the device.It released Surface 2 later that year but hasn’t created any more Windows RT tablets since then. At the same time, Microsoft has released three generations of the Surface Pro lines of tablets that run Intel chips, and it continues to heavily advertise the devices.

Would love to know how many Windows RT installs there are, and what percentage are Surfaces. I’d wager it’s around 80% or higher.


Net Neutrality: no on reclassification, yes on adding content & app providers » Inside BlackBerry

John Chen:

Unfortunately, not all content and applications providers have embraced openness and neutrality. Unlike BlackBerry, which allows iPhone users to download and use our BBM service, Apple does not allow BlackBerry or Android users to download Apple’s iMessage messaging service. Netflix, which has forcefully advocated for carrier neutrality, has discriminated against BlackBerry customers by refusing to make its streaming movie service available to them. Many other applications providers similarly offer service only to iPhone and Android users. This dynamic has created a two-tiered wireless broadband ecosystem, in which iPhone and Android users are able to access far more content and applications than customers using devices running other operating systems. These are precisely the sort of discriminatory practices that neutrality advocates have criticized at the carrier level.

Therefore, neutrality must be mandated at the application and content layer if we truly want a free, open and non-discriminatory internet.

Epic trolling by Chen, in this extract from a letter sent to a Senate committee on Commerce, Science and Transportation. Net neutrality, of course, is a debate about whether a network allows bits to flow regardless of origin or destination – not who writes bit-wrangling programs for one endpoint or another.

More briefly, net neutrality is an argument about bridgekeepers and tolls; Chen is trying to make it about “who tries to get across the bridges and to which destination”. It doesn’t take much reflection to see that you can legislate the former for positive net (ha) outcome, but that legislating the latter turns you into a controlled economy. Is John Chen really a secret Marxist?

(Even the people on the Crackberry forums, usually the most loyal of the loyal, don’t back him.)


San Francisco woman pulled out of car at gunpoint because of license plate reader error » American Civil Liberties Union

On March 30, 2009, Denise Green, a 47 year-old black woman, was pulled over by multiple SFPD squad cars. Between four and six officers pointed their guns at her—one had a shotgun, she says—and told her to raise her hands above her head and exit her car. She was ordered to kneel, and she was handcuffed. Green, who suffered from knee problems, complied with all of their orders. Four officers kept their guns trained on her as she stood handcuffed, she says. Officers then searched her car and her person, finding nothing derogatory. After about 20 minutes, the police let her go.

It turns out that Denise Green was stopped because police, acting on a tip from a controversial piece of law enforcement surveillance technology, mistakenly thought she was driving a stolen car. A license plate reader had misread her plate and alerted officers that her car, a Lexus, was stolen.

The reader “saw” a 7 instead of the 3 that was actually there. Equally, there seems to have been plenty of human error in the system too – ignoring Dispatch saying the stolen vehicle was a grey truck, not the burgundy Lexus Green was driving.

Automated face recognition next, of course. All you humans look the same.


Start up: bitcoin’s price spiral, Siri gets smarter, Samsung + BlackBerry?, the truth about Google’s 20% time, and more


Is bitcoin’s price heading down this way? Photo by Christopher Chan on Flickr.

A selection of 11 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

As bitcoin’s price slides, signs of a squeeze » NYTimes.com

Sydney Ember:

the [bitcoin mining] industry is starting to feel the effects of the sustained decline. Some mining companies that invested heavily in resources when the price of Bitcoin was rising are struggling to keep their operations open.

“It obviously makes the environment for Bitcoin businesses difficult,” said Jonathan Levin, a digital currency consultant.

Bitcoin miners are computers that run Bitcoin’s open-source program and perform complex algorithms. If they find the solution before other miners, they are rewarded with a block of 25 Bitcoins — essentially “unearthing” new Bitcoins from the digital currency’s decentralized network. Such mining operations, though potentially lucrative, are also expensive, requiring huge amounts of equipment and electricity.

Now, these miners, who had bet on a higher price of the virtual currency to pay for resources, are selling their Bitcoins to keep their electricity running and return money to their lenders.

“People have these very real fiat-based liabilities that they have to pony up for, and to do that, they’re going to have to sell Bitcoins,” Mr. Schvey of TradeBlock said. These sales could in turn be driving down the price further.

This seems to me the best explanation for why bitcoin’s price is falling (along with Russia cracking down on exchanges there, which would also force sales). That in turn suggests a lower long-term price – some miners will be driven out permanently. (You can see the real-time price at coindesk.com/price – $172 as I write, below any level since October 2013.)


Bitcoin ponzi CryptoDouble disappears with at least 2233 bitcoins » CryptoCoinsNews

Bitcoin scams are back. CryptoDouble, a website founded on the promise of doubling its users’ deposits within 100 hours, ceased all its operations. At least 2233 BTC (about $500,000) have been cashed out on BTC-E, leaving thousands of customers out of pocket.

The service gained a significant popularity on Bitcointalk, where customers first testified about the service and its supposed effectiveness.

Despite several warnings from advanced Bitcoin users and previous Bitcoin Ponzi scams, a significant number of users have been attracted by the website’s promises and its investment possibilities.

Stories like this continue to demonstrate that bitcoin users aren’t somehow smarter than the rest of us.


Apple, Ericsson clash on LTE patents » Light Reading

Apple, however, appears to have initiated legal proceedings, filing a lawsuit in a US court on January 12 to prove that it has not infringed a subset of Ericsson’s patents and should pay lower royalties than the networks giant has demanded.

The device maker believes royalties should be based on the cost of the chips used in its devices, according to Reuters, but says Ericsson has been calculating licensing fees as a percentage of the value of the whole device.

Ericsson defended its approach in an email sent to Light Reading.

“Our view is that royalties should be based on the value that the technology in the device brings to the end-user,” said an Ericsson spokesperson. “The price of the chip-set has nothing to do with the value the technology brings to the end-user.”

Ericsson has also called on US legal authorities to determine whether its licensing offer to Apple is fair, reasonable and non-discriminatory.

Possibly the previous deal was set up when Ericsson still had a mobile phone unit (with Sony), which led to prices being bargained down via patent swaps. Now, Ericsson just makes network kit – so there’s nothing for Apple to bargain against.

Alternatively, Ericsson is demanding a ton of money.


This is what happens when you create an online community without any rules » The Washington Post

Caitlin Dewey:

8chan, the more-lawless, more-libertarian, more “free” follow-up to 4chan, disappeared from the internet under predictable circumstances Monday: Multiple people complained to 8chan’s registrar that the message board hosted child porn.

8chan has since resurfaced at a new URL, 8ch.net, and purportedly recovered its original domain. But that doesn’t erase the inevitable lesson of the matter: When you create an Internet community with virtually no rules, things are bound to go down the drain.

The response of the denizens of 8chan: dox Dewey.


Exclusive: Samsung approaches BlackBerry about buyout – source » Reuters

Jennifer Ablan and Liana Baker:

Samsung Electronics recently approached BlackBerry about buying the smartphone maker for as much as $7.5bn in a play for its patent portfolio, according to a person familiar with the matter and documents seen by Reuters.

South Korea’s Samsung proposed an initial price range of $13.35 to $15.49 per share, representing a premium of 38% to 60% over BlackBerry’s current trading price, the source said.

Executives from the two companies, which are working with advisers, met last week to discuss a potential transaction, the source said, asking not to be identified because the conversations are private.

It remains unclear whether Blackberry, which has regained some of its lost swagger under CEO John Chen over the past year or so, was open to the approach. Representatives for the company declined to comment.

BlackBerry’s patents have for some time seemed like the only thing with ongoing value that it has. Its corporate and government customers might be happy enough with Samsung buying it.

For my analysis of BlackBerry’s most recent results, read There must be a horse in there somewhere.


360 Security climbs Google Play chart to top Tools and Free App categories » 360Safe

An excited press release from the company:

It’s safe to say that the third version of 360 Security, which we’ve just announced, is off to an explosive start.

On Tuesday 360 Security climbed to the top of the Google Play charts, peaking at No. 1 among Android Tools in 20 countries and counting. 360 Security has also broken into the Top 3 among all free Android apps in the U.S.

We knew heading into the development of 360 Security that the awareness surrounding smartphone threats and performance were low. Topping the Google Play chart means that the general audience in not only the US but also around the world are increasingly attentive today of the vulnerabilities and performance problems that may lurk within their devices.

I find this depressing.


Mayer: Google’s ‘20% Time’ does not exist » Business Insider

Nicholas Carlson (who has written a well-received book about Yahoo, and Marissa Mayer’s tenure there so far:

I learned that in the spring of 2013, Mayer stood up on stage during an all-employee meeting at Yahoo and debunked the 20% time myth.

Mayer was announcing something called the CEO Challenge — an initiative where teams that came up with cool new product ideas would get spot bonuses of $250,000. Mayer warned Yahoo employees not to work on CEO Challenge products instead of doing their regular work.

“It’s funny,” she said. “People have been asking me since I got here, ‘When is Yahoo going to have 20% time?'”

“I’ve got to tell you the dirty little secret of Google’s 20% time. It’s really 120% time.”

As in, work them into the ground. Play on their insecurities about what they can get done compared to those around them. Lots of companies do it.


As Blinkbox sold, just 4% in UK use the service monthly » GlobalWebIndex

Blinkbox, bought by TalkTalk and soon to be shut down, was reported to be making Tesco a considerable loss – and it’s easy to see why. Only 4% of UK online adults used Blinkbox last month. Even when we extend this to those who have used the service ever, the figure rises to just 14%.

Like most VOD services, Blinkbox could claim peaks among younger consumers. But these numbers were still low – 7% of 16-34s in the UK used the service monthly.

Perhaps most significantly, almost a fifth of UK internet users say they have never even heard of Blinkbox. In an industry where Netflix is grabbing Emmy awards, brand recognition problems of this type are pretty telling.

In fact, Netflix can boast a 22% usage rate in the UK – with almost 4 in 10 UK internet users saying they have used Netflix at some point.

Tesco is big, but I’m not that surprised about Blinkbox. Launched in 2007, Tesco bought into it in 2011, but it was still a hard sell: Tesco might have pushed it, but it had other distractions at the time. (Even so, 14% is creditable.)


Samsung returns to roots in components as phones stall » Bloomberg

This is from 8 January, so a week old – but I find it interesting for the analyst estimates:

Operating profit from semiconductors was probably 2.7trn won in the fourth quarter on sales of 10.8trn won, according to the median estimate of six analysts surveyed by Bloomberg News. That would be a 35% increase in earnings from a year earlier.

Samsung and Globalfoundries Inc. are teaming up in the made-to-order chip business, an alliance aimed at winning orders from Taiwan Semiconductor Manufacturing Co In October, Samsung said it would spend 15.6trn won building a chip plant south of Seoul.

“Samsung’s main business is now shifting back to semiconductors,” Peter Lee, a Seoul-based analyst at NH Investment & Securities (016420), said in a Jan. 2 report. The annual operating profit from the chip business this year will outpace that of the mobile unit, he said.

Operating income at the phone division probably fell to 1.6trn won on sales of 27trn won, according to the analyst survey. That would be the unit’s smallest quarterly profit in almost four years as Samsung faces increasing competition in China and India, the world’s two biggest smartphone markets.

Fewer shipments and higher marketing spending for new models during the quarter curtailed profit growth and limited the benefits of the September release of the large-screen Note 4, said Lee Seung Woo, an analyst at IBK Securities Co. in Seoul…

…Samsung probably shipped 75 million smartphones worldwide in the last three months of 2014, after selling 78.7 million units in the third quarter, according to HMC’s Roh.


Doonesbury Collection: the Newton

From August 1993. I was on a tour of Silicon Valley not long after, and visited companies including General Magic – whose staff included Andy Rubin, who went on to Danger and of course to found Android, and you know the rest there. I can’t remember if I met him or not. But I do remember that these strips were stuck beside doors as an Awful Warning.

Contrast that to now…


Quick thoughts: on Apple’s subtle machine learning improvements » Beyond Devices

Jan Dawson, following up on reports that Apple’s Siri has quietly got faster, notes that it has also got smarter about telling him how long it would take to get to his basketball game:

What Apple’s machine learning engine did here was (as far as I can guess 1):

• Note that I had an item called “Basketball” in my calendar for that morning
• Make a connection with past appointments on Saturday mornings also called “Basketball”
• Look up past location behavior in its location database to connect a particular location with past instances of “Basketball” in my calendar
• Look up this address and calculate driving time between my current location and this destination
• Present it to me at a relevant time in the Today screen.

Again, Apple has talked up some functionality around using calendar locations explicitly entered in your calendar to provide these sorts of alerts, but I’m not sure it’s ever talked about the deeper machine learning stuff in evidence here. I’ve never seen exactly this sort of extrapolation from past behavior again since this occasion, but I have received other notifications on this screen that it’s time to leave for appointments where I’ve explicitly entered a location in my calendar, based on heavy traffic (it happened to me this past week at CES, for example).

Siri got a stuttering start, rather like Maps. Both function sufficiently well now; it’s the under-the-hood things that Apple is working on, slowly but surely.


Start up: PC sales droop, app store revenues, security on Android and Microsoft, Apple Watch promise, and more


Not so many of these. Pic by PeeZeeZicht on Flickr.

A selection of 8 links for you. Do not use as a sterile swab. I’m charlesarthur on Twitter. Observations and links welcome.

PC leaders continue growth and share gains as market remains slow » IDC

Worldwide PC shipments totalled 80.8m units in the fourth quarter of 2014 (4Q14), a year-on-year decline of -2.4%, according to the International Data Corporation (IDC) Worldwide Quarterly PC Tracker. Total shipments were slightly above expectations of -4.8% growth, but the market still contracted both year on year and in comparison to the third quarter.

Although the holiday quarter saw shipment volume inch above 80m for the first time in 2014, the final quarter nonetheless marked the end of yet another difficult year – the third consecutive year with overall volumes declining. On an annual basis, 2014 shipments totaled 308.6m units, down -2.1% from the prior year.

Gartner gives 4Q 2014 a +1% growth, to 83.7m, and the whole year essentially level at 315.9m. Gartner includes 2-in-1 units, where IDC doesn’t. And growth came from enterprise – consumer sales kept falling.

Also remarkable: Apple shows as fifth largest, ahead of Asus, for IDC, with 5.75m; Gartner reckons Asus shipped 6.2m units (because it includes 2-in-1s).


App Annie Index Market Q3 2014 » App Annie

Google Play worldwide quarterly downloads were about 60% higher than iOS App Store downloads in Q3 2014, roughly the same lead as last quarter.

Emerging markets continued to show remarkable growth on Google Play and have helped drive the store’s impressive download growth over the last year. In the Q3 2013 Market Index, Google Play downloads were only 25% higher than iOS App Store downloads.

iOS retained its strong lead in app store revenue over Google Play. In Q3 2014, iOS App Store’s revenue was around 60% higher than Google Play’s.

Japan, iOS’ second largest market behind the US, led revenue growth in Q3 2014.

So iOS gets 62% of the downloads (100/160) but 160% of the revenue – in other words, 2.5x as much revenue per download on average (160/(100/160)). That gap is likely to expand as Android reaches more emerging markets. If you want to reach lots of users with a free app, Android is increasingly the place to go (other things being equal); if you want the money, it’s iOS.

Lots of other fascinating trends, including Indonesia’s growth and what is driving Google Play download growth.


Slick, useful apps put the wow in Apple Watch » WSJ

Chris Mims:

I’ve seen some of the applications that will launch for the Apple Watch when it makes its debut as early as March, albeit in simulation, and some are extraordinary. Along with the details Apple has already released about how the watch will work, it’s convinced me Apple Watch will be a launching pad for the next wave of billion-dollar consumer-tech startups…

To use a historical analogy, the shift to mobile is one reason messaging supplanted email. Email was a product of a particular set of behaviours, including sitting down at a computer at a designated time and putting a certain amount of thought into responses. BlackBerry turned email into something like messaging, and touch-screen smartphones made it apparent that email was itself an anachronism, merely one conduit among many for what has become real-time communication.

Consider the same sequence of events for contextual information—that is, alerts delivered at a particular time and place, such as reminders. Our phones buzz, we pull them out of our pockets or purses, read a push alert, swipe to unlock, wait a split second for an app to load, then perform an action that might have been designed with more free time and attention in mind than we have at that moment, if we’re on the go or preoccupied. All that friction is one reason, I suspect, why location-based social networks like Foursquare never took off.

An insightful piece; Mims isn’t just lauding the idea of a watch, but the interaction model. (Subscription required.)


A call for better coordinated vulnerability disclosure (CVD) » Microsoft Security Response Center

Chris Betz is Microsoft’s Google’s senior director of the MSRC, and one might guess that he’s mightily pissed off just now:

CVD philosophy and action is playing out today as one company – Google – has released information about a vulnerability in a Microsoft product, two days before our planned fix on our well known and coordinated Patch Tuesday cadence, despite our request that they avoid doing so. Specifically, we asked Google to work with us to protect customers by withholding details until Tuesday, January 13, when we will be releasing a fix. Although following through keeps to Google’s announced timeline for disclosure, the decision feels less like principles and more like a “gotcha”, with customers the ones who may suffer as a result. What’s right for Google is not always right for customers. We urge Google to make protection of customers our collective primary goal. 

Google gave Microsoft 90 days to fix the vulnerability – and declined to hold back to 93 days so the fix could be rolled out. Just a bit childish?

However Google has form on this: in 2010 one of its researchers, TravisOrmandy, gave Microsoft just five days to issue a fix – and then issued proof-of-concept code when it didn’t hit that deadline. The POC was exploited in the wild.

On the other hand, Jonathan Zdziarski points to this 2005 paper (PDF) which uses empirical data to indicate that “Our results suggest that early disclosure has significant positive impact on the vendor patching speed”. Sure, but Microsoft was patching. It just wanted to do it on its own, clear, schedule; Google’s assumption is that it knows Microsoft’s security priorities better than Microsoft does.


Google under fire for quietly killing critical Android security updates for nearly one billion » Forbes

Thomas Fox-Brewster:

Android smartphone owners who aren’t running the latest version of their operating system might get some nasty surprises from malicious hackers in 2015. That’s because one of the core components of their phones won’t be getting any security updates from Google, the owner of the Android operating system.

Without openly warning any of the 939 million [devices] affected, Google has decided to stop pushing out security updates for the WebView tool within Android to those on Android 4.3, better known as Jelly Bean, or below, according to appalled security researchers. That means two-thirds of users won’t receive cover from Google, the researchers noted.

It’s a wonder that Microsoft can resist discovering a few exploits and publicising them. But it seems that Rapid7 and Rafay Baloch have been churning them out pretty regularly, so no need to bother.

Apple also stops security fixes of iOS version [x-2] – but the proportion, and number, using those is generally tiny: at present it’s 4% by Apple’s figures – compared to 60.1% running a version of Android below 4.4.


Samsung considers rolling out Windows phone » Korea Times

This is one of those “all the promise at the front, all the disappointment at the back” stories. Begin:

In a move to cut reliance on Google’s Android mobile operating system, Samsung Electronics is considering releasing cheaper handsets running on Microsoft’s Windows 8.1 platform, sources said Sunday.

“Samsung has run pilot programs on the stability of Windows 8.1 software on devices. It is interested in promoting Windows mobiles,” said an official directly involved.

But the key issue is whether Samsung and Microsoft will settle their ongoing legal dispute over royalties.

“If the companies settle their litigation, then Samsung will manufacture handsets powered by the Microsoft-developed mobile platform,” the official said. “The timing could be the third quarter of this year at the earliest.”

Third quarter? Gah. That’s not going to move the needle – if Windows Phone is still a thing in the third quarter.


Vodafone UK’s CEO talks 4G and the future of the network » Vodafone blog

“For us it’s about having the strongest network,” [CEO] Jeroen [Hoencamp] says of 4G. “One of the things that makes us different from others is that we have our ‘low band spectrum’. What that means is that our 4G is on a lower frequency, which travels further and deeper indoors. Forget all the technicalities, though: all it means is that we can offer great indoor coverage, and that’s important because the bulk of mobile activity actually takes place indoors – whether people are at work and at home.

“Wherever we build 4G, we’ve proved that we can deliver great unbeatable 4G speeds and coverage, but it’s not a race to have the highest speeds because when it comes to mobile, speed only gets you so far.”

Jeroen explains that you need to have something extra to make that speed worth having:

“We could build a network just to achieve massive speeds,” he says, “but the reality is that you don’t currently need anything beyond 20Mbps on a mobile device. Even for streaming video you only need a couple of megabits per second, so we think less about absolute speed and more about using that bandwidth to enable more customers to enjoy great content on the move, even in the busiest places and at the busiest times.”

He also claims that “customers don’t buy 4G for the latest technology – they switch to Vodafone 4G because there’s particular content they want to access.” This sounds half-right – who cares about a snazzy tech name – but you can get what you want on any network. “The strongest 4G signal” sounds like something Vodafone is going to built an ad campaign around, though.


Here’s what happens when you install the top 10 Download.com apps » How-To Geek

Lowell Heddings watched his PC suffer so that you wouldn’t have to. It’s all pretty predictable (and horrible, and entertaining), but here’s the payoff:

Freeware software vendors make almost all of their money by bundling complete nonsense and scareware that tricks users into paying to clean up their PC, despite the fact that you could prevent the need to clean up your PC by just not installing the crappy freeware to begin with.

And no matter how technical you might be, most of the installers are so confusing that there’s no way a non-geek could figure out how to avoid the awful. So if you recommend a piece of software to somebody, you are basically asking them to infect their computer.

Also read the comments, where one person claiming to run a freeware download site (it seems) says that they’ve been offered up to $1.50 per download to bundle software. Multiply by a few million…

You wondered why innovation died on the desktop? Partly it was the rise of mobile. But it is also the prevalence of this sort of thing. Imagine if you were wary of recommending any less-known app to anyone on the grounds that it could screw up their phone and spill their life out.


Start up: Monumental confusion, obligatory (useless) 4K, drone cost surprise, Yahoo’s search inroad, ereaders stall, and more


However, it’s rather difficult to define quite what constitutes “piracy” in some situations. Photo from robotson on Flickr.

A selection of 11 links for you. Not valid in Ohio. I’m charlesarthur on Twitter. Observations and links welcome.

Mobile game piracy isn’t all bad, says Monument Valley producer (Q&A) » Re/code

Remember the remarkable “95% unpaid installs on Android, 60% on iOS” stat from Us Two Games? Here’s a followup:

Re/code: First off, how was that 95 percent statistic determined?

Dan Gray: Five percent are paid downloads, so the ratio is 9.5 to 1, but a portion of those are people who have both a phone and a tablet, people who have more than one Android device with them. So a small portion of that 95 percent is going to be taken up by those installs.

Q: Do you know how big that portion is?

A: It’s impossible for us to track that data. The only thing we can do is, two bits of data: One, how many purchases we have and, two, how many installs we’ve got. And we just leave people to draw conclusions from that as they wish, because we can’t clarify any further than that…

…When you compare the most affluent regions, obviously that kind of slants it toward developing markets and Android devices, where people are less inclined to spend $4 on a game. Let’s say you take U.S. only: those paid rates for Android and iOS are actually considerably closer. They’re closer than five and 40%.


The TidBITS Wishlist for Apple in 2015 » TidBITS

Though Apple fulfilled many user wishes in 2014, there is still more to be done. Here are some of what the TidBITS crew would like to see from Apple in 2015. We’ll circle back to this article at the end of the year to see what changed.

Tidbits is a longstanding online Mac weekly newsletter/site, and all the points made here – too many to enumerate briefly – are spot-on. This ought to be circulated within Apple.


4K TVs are coming for you, even if you don’t want them » Yahoo Tech

Rob Pegoraro, pointing out that manufacturers are pushing 4K resolution as hard as they can, despite the lack of bandwidth to transmit it or content to show. And there’s another thing:

Will you see that added resolution from your couch? You will on the CES show floor, where the crowds force you to within a few feet of sets that span from 50 to more than 100in across. From that perspective, 4K TVs almost always look spectacular.

Things change when you’re gazing at a 4K screen smaller than 55 inches (Samsung’s start at 48 inches and Sharp’s at 43 inches) from across the living room. In many cases, your existing set already shows all the resolution you can discern with 20/20 vision.

How close will you need to sit to see all those extra pixels? A Panasonic rep said the company recommends a viewing distance of 3.5 feet for a 50in 4K set, the smallest it will sell this year. That’s cozy even by Manhattan-apartment standards.

The average screen size has crept up — the NPD Group says 50 to 64in now represents the mainstream of the market — but the math of visual acuity suggests that to get sufficient benefit from 4K, you’re best off buying at the upper end of that scale.

I’ve seen the point made repeatedly that you won’t get any benefit from 4K across the average living room. This isn’t going to prevent a spec-based marketing push though.


The privacy tool that wasn’t: SocialPath malware pretends to protect your data, then steals it » Lookout Blog

Lookout recently discovered SocialPath, a piece of malware that advertises itself as an online reputation management tool. It claims that it will alert its users any time their photo is uploaded somewhere on the Internet. Instead, it steals the victim’s data.

We found one variant associated with this family in Google Play. We alerted Google to the malware and it has since been removed. This app offers a slightly different service — it promises to act as a backup service saving your contacts. It says it will also soon add features for saving your photos, videos, and other data “so if you lose your phone, you will not lose its contents.”

SocialPath targets Sudan predominantly — a region that has been rife with political unrest since the country split when an oil-rich South Sudan seceded.

Unclear whether it’s a nefarious government scheme – seems unlikely, but just possible. However then we come to Lookout’s advice:

You should always:
• Download apps from trusted developers — read reviews, research the developers, make sure you’re choosing a trustworthy product, especially if this tool is promising to help you protect sensitive information
• Don’t download apps from third party marketplaces

But this was on Google Play, at least in one variant. How do you decide in that situation?


Can drones deliver? (PDF) » IEEE Xplore

A guest editorial on the economic viability (or otherwise) of Amazon’s drone delivery, by Rafaeillo D’Andrea, formerly of Kiva:

A high-end lithium-ion battery costs roughly $300/kW h, and can be cycled about 500 times, resulting in a cost of roughly 0.8 cents per km for a 2 kg payload. The total cost of batteries and power is thus 1 cent per km for a 2 kg payload.

So, is package delivery using flying machines feasible? From a cost perspective, the numbers do not look unreasonable: the operating costs directly associated with the vehicle are on the order of 10 cents for a 2 kg payload and a 10 km range. I compare this to the 60 cents per item that we used over a decade ago in our Kiva business plan for the total cost of delivery, and it does not seem outlandish.

This seems surprising, and it would be helpful to know what proportion of Amazon deliveries are 2kg or less. There’s a non-PDF version with more discussion at Robohub.


Xiaomi’s Ambition » stratechery

Ben Thompson, explaining how demographics and non-renting in China works in Xiaomi’s favour as it expands its portfolio with super-keen fan buyers:

This, then, is the key to understanding Xiaomi: they’re not so much selling smartphones as they are selling a lifestyle, and the key to that lifestyle is MiUI, Xiaomi’s software layer that ties all of these things together.

In fact, you could argue that Xiaomi is actually the first “Internet of Things” company: unlike Google (Nest), Apple (HomeKit), or even Samsung (SmartThings), all of whom are offering some sort of open SDK to tie everything together (a necessity given that most of their customers already have appliances that won’t be replaced anytime soon) Xiaomi is integrating everything itself and selling everything one needs on Mi.com to a fan base primed to outfit their homes for the very first time. It’s absolutely a vertical strategy – the company is like Apple after all – it’s just that the product offering is far broader than anything even Gene Munster [proponent for years of a TV set from Apple] could imagine. The services Lei Jun talks about sell the products and tie them all together, but they are all Xiaomi products in the end.

Just bear in mind that there are about a billion people in China, and the one-child rule is being relaxed, and you begin to glimpse how big Xiaomi could be. “A computer on every desk”? Pah. A Xiaomi device in every room in all of China and beyond, more like.


“Best” Apple Mac mini (Late 2014) 2.8GHz review » Macworld UK

Andrew Harrison:

one thing we don’t ordinarily expect is for a newly revised computer to appear which computes more slower than the model that it replaces. Particularly when there’s been not one but two long years between the now-obsolete and shiny new editions.

That’s exactly what’s happened with Apple’s 2014 model of the Mac mini though. Today’s 2014 Mac mini range is in many respects slower than the 2012 range it replaces. Read: 2014 Mac mini v 2012 Mac mini comparison review.

Utterly amazing. It doesn’t offer a quad-core option, the RAM is soldered in place, and changing the disk drive is nigh on impossible. It’s like the worst sort of con job that Apple used to pull when Steve Jobs was in charge. I’d love to hear the reasons for these changes-that-aren’t-improvements.


Yahoo achieves highest US search share since 2009 » StatCounter Global Stats

In December Yahoo achieved its highest US search share for over five years according to the latest data from StatCounter, the independent website analytics provider. Google fell to the lowest monthly share yet recorded by the company*. These December stats coincide with Mozilla making Yahoo the default search engine for Firefox 34 users in the US.

StatCounter Global Stats reports that in December Google took 75.2% of US search referrals followed by Bing on 12.5% and Yahoo on 10.4%.

If you allow that StatCounter’s numbers are correct, Yahoo moved from 8.2% of US search in November 2014 to 10.4% in December. How many Firefox users does that represent? How many have yet to move to version 34? How many have/will switch their default from Yahoo back to Google? One to watch.


Kindle sales have ‘disappeared’, says UK’s largest book retailer » Telegraph

Waterstones, which expects to break even this year. plans to open at least a dozen more shops this year as the ebook revolution appears to go in reverse.

Amazon launched the Kindle, which is now in its seventh generation, in 2007. Sales peaked in 2011 at around 13.44m, according to Forbes. That figure fell to 9.7m in 2012, with sales flat the following year. It is estimated that Amazon has sold around 30m Kindles in total.
At the same time, British consumers spent £2.2bn on print in 2013, compared with just £300m on ebooks, according to Nielsen.

London bookstore Foyles has reported a surge in sales of physical books over Christmas.
US book giant Barnes & Noble is looking to spin off its Nook ereader business, which is estimated to be losing $70m a year. Meanwhile, core sales, excluding Nook, rose 5pc in the most recent quarter.

It seems that e-readers had a natural ceiling on adoption, which was far short of 100% (or even 90%). That in turn means that ebooks aren’t going to take over the world. Physical books, meanwhile, are pretty much guaranteed a readership somewhere. Now the challenge for publishers is working out the correct balance of effort and investment to put into ebooks and physical ones.


A&E in crisis: a special report » Daily Telegraph

Robert Colville:

here’s where I’m going to start: in a small green-painted room off one of the main corridors of that same hospital, where 10 women and two men are studying the spreadsheet projected on the walls and firing jargon back and forth.

“Four in urology with a decision to admit.” “306 is gone, 728 still waiting.” “With all that agreed, does that give you any ITU capacity?” “They’re desperate to bring the liver over from Worcester.” “Time to be seen is at 1hr 54.”

This is the “Ops Centre” of one of the country’s biggest hospitals, where I am spending the week as a fly on the wall. At this and other daily bed meetings, the senior nurses and managers get together to work out who is in the hospital, and where they need to go next.
They go through, ward by ward, listing spare beds and allocating them to the people in A&E. They can see who’s been waiting longest, where the pressure points are, and what needs to be done to resolve them.

This, then, is the story about the NHS that I want to tell. It’s the story of the NHS as a system – a system that takes millions of patients through from the GP surgery and A&E department to treatment, recovery and discharge.

This is a tour de force from Colville, in a piece so long and deep it could have come from the New Yorker (of the 1980s). If you want to understand the pressures on the UK’s NHS emergency services – which are clearly shown here not to be just about “money” – this is the single article to read.


Reporting on cyberattacks: the media’s urgent problem » Medium

Dave Lee is a (terrific) BBC technology writer, here writing in a personal capacity about the impossibility of knowing what’s really going on in some stories:

Let’s take an active story. The hack on Sony Pictures raises many issues about the reporting of hack attacks, and the coverage so far carries worrying implications.

Experts are queueing up to dispute the FBI’s confident claim that it was North Korea — mainly because the evidence pointing the finger at Kim Jong-un is either a) flakey at best or b) top secret, and therefore not open to scrutiny, journalistic or otherwise.

The result of this political back-and-forth is far-reaching, and one that from here on in is being reported on without anyone having any real clue whether the basis of the story — that it was North Korea — is in any way accurate.

We simply don’t know who did it — and yet the atmosphere created by the coverage means the US is considering reclassifying North Korea as a terrorist state. That move would open the door significantly when it comes to what the US considers a “proportional response” to the attack on Sony.


Start up: more on AMOLED deterioration, Panic in the stores, tracking the trolls, questions for 2015 and more


AMOLED screens. What will they look like in a few years’ time? Photo by RafeB on Flickr.

A selection of 9 links for you. May contain nuts. I’m charlesarthur on Twitter. Observations and links welcome.

Are AMOLED displays at risk of burn-in? >> PC Pro

Paul Ockenden:

The blacks are better on an AMOLED screen, since its pixels are turned off and emit no light; IPS black pixels merely attempt to block the backlight, with only partial success. AMOLED screens aren’t as sharp as IPS panels, however, and can be more difficult to read in bright sunlight. To my mind, however, the biggest problem with AMOLED displays is that they suffer from screen burn.

The problem is the “O” in the AMOLED acronym, which stands for “organic”. The organic compounds used in AMOLED displays are polymers or copolymers, such as polyfluorene (PFO) and polyphenylene vinylene (PPV), both of which degrade with use.

This is partly due to the fact that the chemistry involved in creating the electroluminescence is irreversible, so the luminous pixels degrade as they’re used up, like a battery. These organic materials tend to crystallise, too – an effect that is exacerbated at higher temperatures. That’s something to bear in mind the next time your phone becomes warm while you’re playing a game or watching a video.

The answer to the headline’s question is “yes”. This seems like the sort of thing that would be easily overlooked by reviewers who use a device for a few days and praise its “gorgeous AMOLED screen“. But come back in a couple of years, and is it still?


The 2014 Panic report >> Panic Blog

Cabel Sasser:

This is the biggest problem we’ve been grappling with all year: we simply don’t make enough money from our iOS apps. We’re building apps that are, if I may say so, world-class and desktop-quality. They are packed with features, they look stunning, we offer excellent support for them, and development is constant. I’m deeply proud of our iOS apps. But… they’re hard to justify working on.
Here’s a way to visualize the situation. First up is a sample look at Units Sold for the month of November 2014: Wow! 51% of our unit sales came from iOS apps! That’s great!

But now look at this revenue chart for the same month… Despite selling more than half of our total units, iOS represents just 17% of our total revenue.
There are a few things at work here:
1. We’re not charging enough for our iOS apps. Or Mac users are simply willing to pay more for apps. Or both.
2. We’re not getting the word out well enough about our iOS apps.
3. The type of software we make just isn’t as compelling to iOS users as it is to Mac users. Our professional tools are geared for a type of user that simply might not exist on the iPad — admins and coders. We might have misjudged that market.

It’s really hard to say for sure. One thing is for certain: we are more likely to increase the price of our iOS software over time in an effort to make it make sense. And we’re less likely to tackle any huge new iOS projects until we get this figured out.

The problem with getting enough revenues from the iOS store, quite apart from the hassle Panic had when one of its apps was yanked from the store by Apple, is one that will be echoed by many companies. The question is whether it’s inherent to mobile – that niche apps (high value-added, small user numbers) – or to Apple’s store structures, which don’t allow trials (for example).


Global smartphone market to record de-growth [in value] for the first time in 2015, semiconductor to advance as high return industry >> ETNews Korea

It has been forecast that 2015 will be a year in which the global smartphone market will record the first negative growth in history based on the amount. Although a growth is expected based on the forwarding volume, the rate at which average selling price (ASP) decreases has accelerated. The global smartphone market scale in 2014 is estimated at $298.1bn, which increased by 10% from the year before. However, it is forecast that the scale will decrease by 4.3% to $285.2bn next year.

Stock market analyst Kim Hye-yong from Woori Investment and Securities forecast, “The global smartphone ASP this year [2014] is $234.50, which decreased by 13.9% from last year. Next year [2014], it will drop by 16.3% to $196.”

According to Kim, common carrier subsidy policy is not working in the emerging market that centers on the open market and, as a result, high-end smartphones are not selling well across the world. He estimated that Chinese companies, despite their growth on the outside, will record a deficit or just about meeting the breakeven point as their profitability is insufficient.


The Death Of Expertise >> The Federalist

Tom Nichols:

I am (or at least think I am) an expert. Not on everything, but in a particular area of human knowledge, specifically social science and public policy. When I say something on those subjects, I expect that my opinion holds more weight than that of most other people.

I never thought those were particularly controversial statements. As it turns out, they’re plenty controversial. Today, any assertion of expertise produces an explosion of anger from certain quarters of the American public, who immediately complain that such claims are nothing more than fallacious “appeals to authority,” sure signs of dreadful “elitism,” and an obvious effort to use credentials to stifle the dialogue required by a “real” democracy…

…I fear we are witnessing the “death of expertise”: a Google-fueled, Wikipedia-based, blog-sodden collapse of any division between professionals and laymen, students and teachers, knowers and wonderers – in other words, between those of any achievement in an area and those with none at all…

…None of this ignorance stops people from arguing as though they are research scientists. Tackle a complex policy issue with a layman today, and you will get snippy and sophistic demands to show ever increasing amounts of “proof” or “evidence” for your case, even though the ordinary interlocutor in such debates isn’t really equipped to decide what constitutes “evidence” or to know it when it’s presented. The use of evidence is a specialized form of knowledge that takes a long time to learn, which is why articles and books are subjected to “peer review” and not to “everyone review,” but don’t tell that to someone hectoring you about the how things really work in Moscow or Beijing or Washington.

This is a storming essay about the ways in which the value of real domain expertise is being degraded and devalued. Read it and gape.


20 questions for 2015 >> Benedict Evans

I wrote a detailed post a few weeks ago looking at some of the key structural questions in mobile – with the platform wars over (their first phase, at least), what’s happening to Android, what will happen to interaction models and so on. But it’s also worth looking at just how much could change just in 2015 – or even in January. Everything is wide open. So, here, in no special order, are 20 questions for 2015, any one of which would change things a lot. I’ve written about most of these topics already in 2014 – in 2015 they’re even more interesting.


Apple questions for 2015 >> Above Avalon

Neil Cybart:

In recognition of the beginning of a new year, I want to share my running list of questions that I have been keeping for Apple in 2015. By no means is this an exhaustive list, but rather things that I know to be on the lookout for.

It’s a pretty long list, if not exhaustive. Some key questions in there, with designer Marc Newson, SVP operations Jeff Williams and ex-iOS chief Scott Forstall all in there. Plus would you believe in an Apple Pen?


Meet the dogged researchers who try to unmask haters online >> MIT Technology Review

Adrian Chen:

Internet hatred [näthat] is a problem anywhere a significant part of life is lived online. But the problem is sharpened by Sweden’s cultural and legal commitment to free expression, according to Mårten Schultz, a law professor at Stockholm University and a regular guest on Troll Hunter, where he discusses the legal issues surrounding each case. Swedes tend to approach näthat as the unpleasant but unavoidable side effect of having the liberty to say what you wish. Proposed legislation to combat online harassment is met with strong resistance from free speech and Internet rights activists.

What’s more, Sweden’s liberal freedom-of-information laws offer easy access to personal information about nearly anyone, including people’s personal identity numbers, their addresses, even their taxable income. That can make online harassment uniquely invasive. “The government publicly disseminates a lot of information you wouldn’t be able to get outside of Scandinavia,” Schultz says. “We have quite weak protection of privacy in Sweden.”

Imagine what the childish (and sometimes dangerous) doxxing wars being played out over various hashtags would look like if every country made available the amount of information that Sweden does. Stieg Larsson, author of the “Dragon Tattoo” books and an investigator into far-right hate groups, didn’t get married because doing so would have required him to state his place of residence.


What it would really take to reverse climate change >> IEEE Spectrum

Ross Koningstein and David Fork were in charge of Google’s “moonshot” announced in 2007 to come up with renewable energy sources that cost less than coal. It was shut down in 2011:

Our reckoning showed that reversing the trend would require both radical technological advances in cheap zero-carbon energy, as well as a method of extracting CO2 from the atmosphere and sequestering the carbon.

Those calculations cast our work at Google’s RE<C program in a sobering new light. Suppose for a moment that it had achieved the most extraordinary success possible, and that we had found cheap renewable energy technologies that could gradually replace all the world’s coal plants—a situation roughly equivalent to the energy innovation study’s best-case scenario. Even if that dream had come to pass, it still wouldn’t have solved climate change. This realisation was frankly shocking: Not only had RE<C failed to reach its goal of creating energy cheaper than coal, but that goal had not been ambitious enough to reverse climate change.

We’re a long way down the climate change road; what would really be needed would be an all-in effort on something like fusion and solar power.


No credit >> All this

Dr Drang:

Thursday night I got a fraud notice via text and email. When I called the bank, I found several charges from an online video game company that my older son uses. He’d made a single purchase, which went through, and then fifteen minutes later four or five charges from that same vendor were attempted and blocked. Was this a programming error at the game company? fraud by the company? fraud by some third party masquerading as the game company? Don’t know. I do know it wasn’t because my son was buying things by mistake—he’s eighteen and has enough experience online to know better. The bank cancelled the credit card and we canceled his game account. Happy New Year.

As I said, this will be our fifth card in the past twelve months. We started 2014 with a card we’d had for a couple of years, but it was replaced in early February after the Target breach. Sometime in spring, the bank caught a fraudulent charge at a Kmart in Chicago, so our 3–4 month old card was cancelled and a new one issued. That one lasted all the way to October, when it was cancelled because of the Home Depot breach. And now this.

When the new card arrives on Monday, I’ll go through the list of accounts and change them all to the new number. My list is on paper, but this time I’m going to switch to a system like Jamie Phelps’s, that’ll allow me to just click a single link instead of dig my way through a series of pages for each account.

It’s puzzling how European banks and retailers were able to coordinate the introduction of Chip+PIN – which would kill this sort of fraud almost dead – and yet the US has completely failed at it. The UK introduced Chip+PIN in 2004. The problem hasn’t gone away – it’s forced it to different places, principally online, where phishing is still a big problem that await Apple Pay-style methods to reduce them.


Start up: so who did hack Sony? Apple on Pay, Pegatron workers, BlackBerry’s phone timing, and more


“Hey, from here you can see the posters for The Interview coming down!” Photo of Pyongyang, North Korea, by orangetruck1 on Flickr. (Searching Flickr for CC-licensed photos of “North Korea” yields some strangely anodyne pictures from “North Korea travel”.)

A selection of 9 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Why the Sony hack is unlikely to be the work of North Korea >> Marc’s Security Ramblings

Marc Rogers, with the only piece you need to read on the Sony hack, making 10 points (a couple excerpted here):

It’s clear from the hard-coded paths and passwords in the malware that whoever wrote it had extensive knowledge of Sony’s internal architecture and access to key passwords. While it’s plausible that an attacker could have built up this knowledge over time and then used it to make the malware, Occam’s razor suggests the simpler explanation of an insider. It also fits with the pure revenge tact that this started out as.

4. Whoever did this is in it for revenge. The info and access they had could have easily been used to cash out, yet, instead, they are making every effort to burn Sony down. Just think what they could have done with passwords to all of Sony’s financial accounts? With the competitive intelligence in their business documents? From simple theft, to the sale of intellectual property, or even extortion – the attackers had many ways to become rich. Yet, instead, they chose to dump the data, rendering it useless. Likewise, I find it hard to believe that a “Nation State” which lives by propaganda would be so willing to just throw away such an unprecedented level of access to the beating heart of Hollywood itself.

5. The attackers only latched onto “The Interview” after the media did – the film was never mentioned by GOP right at the start of their campaign.

CNN was reporting on Thursday night that (unnamed) hackers stole a sysadmin’s credentials to get access to the company’s system. That fits with everything we know, though that’s not unknown for hackers who aren’t nation states; it’s been used by external hackers trying to get into companies for ages. What doesn’t fit a nation state attack is what Rogers points to in No.4: if North Korea wanted, it could ruin Sony silently.

What still puzzles me is why US sources are indicating that they think it is North Korea. Perhaps I’m too disbelieving it would do something weird like this.


Apple Pay will change marketing, not just payments >> Business Insider

If you think Apple Pay is only about payments, you’re not alone. UBS recently noted that Apple Pay (unlike Google Wallet) doesn’t let you “push” offers to people, and speculated that flaw would keep some merchants away from the platform.

[CEO of Vibes, Jack] Philbin disagrees because Apple already has a way for merchants to push these offers: Passbook. 

“The marketing is done through Passbook,” said Philbin. “Apple Pay is just the payment functionality.”

Passbook has been around since 2012. What’s changed is that iPhone users are paying a lot more attention to their mobile wallets now that there’s an easy way to pay for things from their phones as well.

Vibes’ clients — which include retailers like Gap, The Home Depot, and Bloomingdales— saw a 54% increase in people installing coupons or loyalty cards into Passbook from September to October, which Philbin attributes to the introduction of Apple Pay.


Apple ‘failing to protect Chinese factory workers’ >> BBC News

Filming on an iPhone 6 production line showed Apple’s promises to protect workers were routinely broken. It found standards on workers’ hours, ID cards, dormitories, work meetings and juvenile workers were being breached at the Pegatron factories.

Apple said it strongly disagreed with the programme’s conclusions. Exhausted workers were filmed falling asleep on their 12-hour shifts at the Pegatron factories on the outskirts of Shanghai.

One undercover reporter, working in a factory making parts for Apple computers, had to work 18 days in a row despite repeated requests for a day off. Another reporter, whose longest shift was 16 hours, said: “Every time I got back to the dormitories, I wouldn’t want to move.

“Even if I was hungry I wouldn’t want to get up to eat. I just wanted to lie down and rest. I was unable to sleep at night because of the stress.”

Apple declined to be interviewed for the programme but said “”We are aware of no other company doing as much as Apple to ensure fair and safe working conditions.We work with suppliers to address shortfalls, and we see continuous and significant improvement, but we know our work is never done.”

Pegatron’s Wikipedia entry doesn’t say who else it makes things for. Its corporate social responsibility report for 2013 (PDF) says “‘Joyful Working; Happy Living’ is Pegatron Group’s caring philosophy to employees.” Some employees, perhaps.


Former Apple supplier Wintek shutters China plants >> FT.com

Taiwanese group Wintek, formerly a major supplier of touchscreens for Apple’s iPhone and iPad, has shuttered two plants in southern China and axed 7,000 jobs, leaving unpaid suppliers to chase debts of Rmb230m ($37m).

Armed police surrounded the plants in the city of Dongguan as workers collected their final pay this week, while suppliers demonstrated in front of the factories.

The company sought insolvency protection in October, filing in Taiwan for a restructuring of more than NT30bn ($961m) in debts owed to both local and mainland lenders and suppliers.

The move to in-panel technology with the iPhone 5 didn’t go Wintek’s way; now it’s laying off thousands of staff and may go bust. Keeping up with Apple’s demands is tough.


Stop the presses! >> Counternotions

Kontra, on the dire “reporting” of the (untrue) suggestion by the replacement plaintiff’s lawyers that Apple had deleted songs on peoples’ iPods (it hadn’t):

Yes, journalism isn’t exact science, but from epidemiology to space exploration, from technology reporting to business coverage, the sheer amount of fact-free, opinion-framing ‘news’ is now exceeding our collective ability to notice, care or correct. Yes, journalism has always been messy, but the speed with which it’s generated, aggregated and distributed may now be overwhelming us. Yes, we have ever growing access to filtering software to shape our own sphere of coverage, and yet tens of millions of people read, and likely most believed, that Apple had deliberately and secretly deleted competitors’ songs from users’ iPods, an impression which may never be sufficiently corrected.

All people needed to do was say “Apple deleted songs, court told” and they’d have been factually correct, even if the claim is bunkum.


Sony Pictures employees now working in an office “from ten years ago” >> TechCrunch

John Biggs:

She works for Sony Pictures. She said she’s now working in an office on lock-down, a throw-back to an earlier time when the Internet wasn’t around.

“We are stuck in 1992 over here,” she said.

She requested anonymity but agreed to talk a bit about her day-to-day experience as a Sony Pictures Employee post-hack. She said things were getting back to normal and were, in some ways, more pleasant.

But the thing that bothers her most is the need to depend on old technology to do new work, now.

“We had barely working email and no voicemail so people talked to each other. Some people had to send faxes. They were dragging old printers out of storage to cut checks,” she said. “It was crazy.”

…“My bank account was hacked [on the day of the first attack,]” said our source who works at SPE offices in Los Angeles. “At first we just thought it was total coincidence.”

Now she suspects someone found something in the email dump that allowed them to access her accounts.

Smart journalism from Biggs.


Why the BlackBerry Classic is critical to the new BlackBerry >> CNET

Roger Cheng:

CEO John Chen made a few remarks, then pulled out the Classic for a photo opportunity. But as the presentation went on, it was clear whom the company was targeting: the IT guy working in a highly regulated business.

The conversation dashed past the typical walkthrough of the Classic’s features, spending a healthy chunk of time on the phone’s enterprise software capabilities and looping in guests like the chief information officer for Citco Fund Services, the founder of Niederhoffer Capital Management and the chief operating officer of Ontario-based Mackenzie Richmond Hill Hospital.

It’s a far cry from Alicia Keys, the pop music sensation BlackBerry once played up as its “global creative director.”

The timing of this launch fascinates me: two days before BlackBerry announces its quarterly results. Look back to September, and BlackBerry launched the Passport on 24 September – two days before it announced (not great) results.

And yes, BlackBerry’s quarterly results are today (Friday) at 1300GMT. Analyst forecasts are for $936m in revenue (a fall against the year-ago period) and a 5c per share loss. Perhaps we’ll hear how many Passports were sold, and whether it has a future.


Different relationships with their phones: iPhone versus Android >> The Network Garden

Mark Sigal did some user testing:

in the new app that we are building, one question in user testing was how important having a desktop web version of the functionality would be.

Get this, 90% of the Android users thought it was pretty important, most commonly because the test user saw the PC as the central part of their computing experience — even though the app is for a highly mobile type of action.

By contrast, 90% of the iPhone users looked cockeyed at the question, noting that the action is designed for palm in the hand, on the go types of behaviors, adding (I’m paraphrasing) that their iPhone is their hub, not the PC.

Same questions. Same product feature for feature; a variety of young to middle age males and females, and the only difference is iPhone versus Android.

His blog is worth reading more generally.


Nokia publishes maps on your iPhone, leaves Lumia in the shadows >> IT Vikko

This is a link to the Google Translation of this page (the headline is from the Bing translation, but it doesn’t have a static URL):

Nokia is not planning to upgrade in the near future the Here Maps application for Lumia phones. “When Nokia made handsets, we were a little different. Now, we are developing application on the basis of a realistic markets.”

Ouch. Harsh divorce; the parent doesn’t want to see its child any more.