Start up: inside Apple’s A9X, Amazon unlimited?, VTech hacked, YouTube v Palestine, and more

This could be the prelude to hypothermia. But what does that feel like? Photo by Nicolas Valentin on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

A selection of 10 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

All-in-one PC shipments to drop over 10% in 2015 » Digitimes

Aaron Lee and Joseph Tsai:

All-in-one PC shipments may drop a double-digit percentage on-year in 2015 due to weaker-than-expected demand. Shipments in 2016 are unlikely to see any major growth and may stay flat from 2015, according to sources from the upstream supply chain.

The largest all-in-one PC vendor, Lenovo, is expected to see flat shipment performance and a worldwide market share of around 30% in 2016. Despite the fact that the China government has recently lifted restrictions on opening internet cafes in the country which has boosted demand for all-in-one PCs, Lenovo will not benefit much from related demand since most Internet cafe players require customization, an area that Lenovo is having difficulties to coordinate, causing the opportunities to be mainly seen by second-tier and China white-box makers, the sources noted.

As for the second-largest, Apple, its iMac shipments are expected to grow 5% on year in 2016. iMac’s main manufacturer, Quanta Computer, reportedly has increased its personnel for the product line for 2016, but the ODM declined to comment on market speculation.

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Inside the Apple A9X chip » The Motley Fool

Ashraf Eassa on the chip powering the iPad Pro:

Following is a die shot of the A9X, courtesy of Chipworks:

Chipworks’ Dick James tells me that he sees a 12-cluster GPU, two CPU cores, and an absence of the level-three cache memory found inside the A9 chip (I’ll explain why I think Apple didn’t include it later in this article). I agree with his assessment. The two CPU cores can be seen in the green box, and I believe that inside of each blue box are two GPU clusters, for a total of 12 clusters…

According to Chipworks, the chip measures in at approximately 147 square millimeters, a whopping 40% larger than the size of the TSMC-built variant of the A9 chip inside of the iPhone 6s/6s Plus. This is an absolutely huge increase in area (and by extension transistor count) from the A9, which no doubt means that this monster of a chip is far more difficult to manufacture, especially on a relatively new manufacturing technology.

Two CPU cores? Bah. Surely it should be at least eight to be worth talking about?
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Is Amazon’s online storage really ‘unlimited’? Read the fine print » ZDNet

Ed Bott:

It’s a trial offer, with the price for the second and subsequent years rising to $60, and renewing automatically unless you say no.

I can tell that some of you are ready to begin migrating the 10 terabytes of data you stored in Microsoft’s OneDrive before they killed that golden goose. May I suggest you first read the Amazon Cloud Drive Terms of Use?

When you do, you will discover that that word, unlimited, does not mean what you think it means.

And you might find that if you really have a lot of data to store that you won’t be able to after all, because they research reserve the right to suspend or terminate “if we determine that your use violates the Agreement, is improper, substantially exceeds or differs from normal use by other users, or otherwise involves fraud or misuse of the Service…” (Emphasis added.)
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Israel to coordinate with Google and YouTube to censor Palestinian videos of conflict » Informed Comment

Saed Bannoura:

The Israeli Deputy Foreign Minister, Member of Knesset Tzipi Hotovely, held meetings this week with representatives of YouTube and Google, to find ways of cooperating to censor Palestinian videos from occupied Palestine, videos she dubbed as “inciting violence and terrorism.”

Israeli daily Maariv said Hotovely will be working with Google and YouTube officials in a joint mechanism that will be in charge of “monitoring and preventing” any publication of materials deemed by Tel Aviv to be “inflammatory.”

Hotovely announced in a Hebrew-only press release that she met with YouTube CEO Susan Wojcicki, and Google’s Director of Public Policy, Jennifer Oztzistzki, at Google’s Silicon Valley Offices.

Hotovely said that she received a comprehensive review mechanism for companies to monitor the films that allegedly incite violence, claiming that the supposed ‘incitement videos’ drive young children to go out and stab: “The attacks daily in Israel are the result of youths and children incited by the education system and the social networks, this is a daily war of incitement.”

You can’t be a video hosting service without getting caught in the politics of an area. And of course “incitement to violence” is over the boundary of free speech pretty much everywhere.
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As freezing persons recollect the snow: first chill, then stupor, then the letting go » Outside Online

Peter Clark with a scary description of what happens as hypothermia sets in:

When your Jeep spins lazily off the mountain road and slams backward into a snowbank, you don’t worry immediately about the cold. Your first thought is that you’ve just dented your bumper. Your second is that you’ve failed to bring a shovel. Your third is that you’ll be late for dinner. Friends are expecting you at their cabin around eight for a moonlight ski, a late dinner, a sauna. Nothing can keep you from that.

Driving out of town, defroster roaring, you barely noted the bank thermometer on the town square: minus 27 degrees at 6:36. The radio weather report warned of a deep mass of arctic air settling over the region. The man who took your money at the Conoco station shook his head at the register and said he wouldn’t be going anywhere tonight if he were you. You smiled. A little chill never hurt anybody with enough fleece and a good four-wheel-drive.

But now you’re stuck.

(Via Eugene Wei.)
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A 59-year-old woman reviews the Apple Watch in real life » Privilege

“Lisa”:

I do think it’s important that we women and we midlifers engage in the tech cycle, if only to ensure that the Brave New World isn’t designed just for 28-year old men.

I first realized I liked the watch as I pushed a cart through Whole Foods. I’d invited my family over for dinner, and was doing the grocery shopping. I’d texted both my sister-in-law and sister to find out if their kids would be OK with the menu. The replies came as I passed the tortilla section. And I did not have to stop, block the aisle, and find my phone in my bag –  just pressed the Message smile emoji. A lightweight interaction.

Besides, the Watch is very good-looking, as Mom might say.

But let us review and deconstruct. Not literally. Taking apart solid state devices is not my idea of fun.

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100 million LTE phones shipped in China in Q3 2015 » Counterpoint Technology Market Research

Neil Shah:

This has been primarily driven by a meteoric rise in consumers adopting LTE technology as the always-on high speed mobile internet becomes the crux of Chinese consumers’ lives aided by competitive pricing by China Mobile. More than 200m 4G LTE subscribers have been added at the end of Q3 2015 compared to exactly a year ago. China’s LTE subscriber base also crossed 300m users during the quarter. It took just 20 months to cross 300m 4G subs, whereas for 3G subs it took more than 50 months.

Mature Chinese smartphone user base are upgrading their digital lives faster than any other mobile user on this planet. The growing traction of mobile-centric commerce, rise of O2O services, content consumption (video, audio and so forth) coupled with deeply integrated social and messaging communication is making  high quality ubiquitous mobile internet a basic need for the Chinese consumers.

Huawei was the no 1 LTE phone supplier with slightly less than one-fifth of the market, followed by Xiaomi, Apple, Oppo and Vivo.

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One of the largest hacks yet exposes data on hundreds of thousands of kids » Motherboard

Lorenzo Franceschi-Bicchierai:

The personal information of almost 5 million parents and more than 200,000 kids was exposed earlier this month after a hacker broke into the servers of a Chinese company that sells kids toys and gadgets, Motherboard has learned.

The hacked data includes names, email addresses, passwords, and home addresses of 4,833,678 parents who have bought products sold by VTech, which has almost $2 billion in revenue. The dump also includes the first names, genders and birthdays of more than 200,000 kids.

What’s worse, it’s possible to link the children to their parents, exposing the kids’ full identities and where they live, according to an expert who reviewed the breach for Motherboard.

That expert being Troy Hunt, who has a long writeup on how crap VTech has been. All this harvesting of personal data ahead of inevitable hacks? No way to delete your account (hardly any companies give you that option).
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Report: Apple plans to nix 3.5mm port on iPhone 7, require Lightning for wired headphones » 9to5Mac

Citing a reliable source, a report from Japanese blog Macotakara claims that Apple plans to remove the 3.5mm headphone port from the upcoming iPhone 7, helping to achieve a “more than 1mm” reduction in thickness compared to the iPhone 6s. While the screen shape and radius will remain similar, the device will once again become Apple’s thinnest iPhone ever, albeit with a new restriction: headphones will only be able to connect over Lightning or Bluetooth…

Macotakara says that the 3.5mm port “can hardly be thinner because it is the world standard,” which is accurate, though the current-generation iPod touch is 1mm thinner than the iPhone 6s despite having a 3.5mm port inside. It should be noted that Apple actively contemplated switching to the smaller but less popular 2.5mm headphone port standard many years ago, abandoning the plan after users complained about the original iPhone’s recessed 3.5mm port.

Will be good business for Bluetooth headphone companies. Such as Beats?
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More China firms developing own ARM-based chips » Digitimes

Monica Chen and Jessie Shen:

China-based ZTE has received a cash injection from the government enabling the company to accelerate the development of its own application processors, while Lenovo also intends to develop ARM-based chips in-house, according to industry sources.

ZTE has received CNY2.4bn (US$73.8m) from China’s National IC Industry Investment Fund, which will help it accelerate the mobile chip development, said the sources.

Huawei has its subsidiary HiSilicon provide ARM-architecture SoCs, which are found in many of the smartphone vendor’s models including high-end ones, the sources indicated. Huawei’s increasing use of HiSilicon chips is already unfavorable to the existing suppliers including MediaTek and Qualcomm.

All essentially trying to differentiate themselves from rivals. Didn’t know about Huawei’s subsidiary, but it makes sense for a network infrastructure company to have a chip designer.
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Errata, corrigenda and ai no corrida: none notified.

Start up: blocking Trump,dissecting Pencil, evaluating Uber, and more


“Hey, I can’t find our product marketing guy in here either!” Photo of an HTC Vive wearer by pestoverde on Flickr.

You can now sign up to receive each day’s Start Up post by email. You’ll need to click a confirmation link, so no spam.

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

Apple Pencil teardown » iFixit

We’ve caught sight of more chips at the other end, so we ditch the battery and move to the fun stuff—like the teeeny logic board!

This little board is folded in half to make the most of the minimal space. Clever!

What is this—a logic board for ants? Not quite, but weighing in at a whopping 1.0 gram it’s definitely the smallest we’ve ever seen.

Really, really tiny engineering.
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IBM Watson Trend pegs Apple Watch as hottest holiday gift » Apple Insider

Neil Hughes:

IBM on Wednesday launched a new app and service called Watson Trend, which forecasts what consumer products will be popular this holiday season based on online chatter. Currently dominating the list: the Apple Watch.

IBM Watson Trend is a free download from the iOS App Store, designed for both iPhone and iPad. It uses IBM’s supercomputer technology to read and interpret millions of reviews, expert blogs and social media conversations to determine what gifts people are talking about.

By far the most popular device on the list is the Apple Watch, which has maintained a “trend score” above 90 (out of 100) since mid-August. With a perfect score of 100 as of Wednesday, the Apple Watch has a score nearly double that of the next closest product: Samsung TVs.

Of course, the Watson algorithm simply says that users are talking about the Apple Watch, not necessarily buying it. Apple’s actual hottest selling product is the iPhone lineup, which observers expect to sell nearly 80m units in this quarter alone.

Isn’t in the UK app store >:-| but is on the web too. The only phone in the list on Thursday night was the iPhone 6S, at a trend score of “3” out of 100. Hm.
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Sky News broadcasts first 360-degree virtual reality news report on migrants crisis » UK Press Gazette

Dominic Ponsford:

Sky News has broadcast its first virtual reality news report: Migrants Crisis, The Whole Picture.

The report has been produced with technology from Jaunt Inc and uses a camera with multiple lenses to take a 360-degree moving image.

This can be then viewed with a smartphone placed inside a Google Cardboard VR viewer, which costs around £15.

It’s the future; mark it in your diary for future reference.
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Gawker’s Kinja retreat is more evidence publishers struggle as tech companies » Digiday

Ricardo Bilton:

Gawker the tech company is back to being just Gawker the media company.

Alongside the news that it’s shifting its coverage to focus on politics, Gawker said that it’s also abandoning its pipe dream of licensing its publishing and commenting platform Kinja to other media companies. The shift away from the licensing model made sense, “given the competition that exists from technology companies devoted entirely to that challenge,” wrote CEO Nick Denton. Gawker, will, however, continue to use the platform for its own sites.

Gawker called itself a tech company for the same reason that the likes of BuzzFeed and Vox Media do: Compared to the sky-high valuations and thick margins of tech companies, media companies make for bad investments. The “media-company-as-tech-company” narrative made for better PR story than an actual business model.

“The idea of selling tech to other publishers is probably foolhardy at best,” said Todd Sawicki, CEO of Zemanta, a firm that amplifies content ads. “It’s like fighting a land war in Asia. If your goal is to sell tech to other publishers, I would question that from the start.”

Harsh, but fair. I could never see how anyone would want to buy Kinja – the price of commenting and publishing platforms has long since fallen to zero, since (or possibly before) WordPress 1.0.
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VBB-Livekarte

Fascinating live map of public transport in Berlin. Notable too because the map is from OpenStreetMap, not Google. (Via Benedict Evans.)
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Magic Leap poaches HTC Vive’s executive director of global marketing ahead of launch [exclusive] » UploadVR

Will Mason:

In an exclusive interview with UploadVR, Gattis said that his decision came down to two things, the technology’s potential and how close that potential was to being realized.

“I think what struck me so much about Magic Leap was the quality of the technology and seeing how far along it was. I knew there was a great vision but I didn’t know how far along the technology was and how close it is to becoming real and commercial,” he says. “That was the biggest takeaway for me, how it advanced and how quickly it has gotten to the point it is at now.”

One of the things that makes Gattis’ hire as the Director of Product Marketing so interesting is it suggests that the company may be getting close to finally pulling back the veil on what they have been working on. Recently, Magic Leap began speaking a little bit more about its technology now that it has moved out of the R&D phase and into the “transitional stage for presenting a new product.”

“Do you want to work at our gigantically VC-funded company on the west coast, or for that dwindling company which is laying people off?” Tough recruiting pitch, eh.
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Boom: the Return » Solipsism Gradient

Rainer Brockerhoff:

the recently-released iPad Pro seems to have the much-awaited USB3 capability on its Lightning connector. It does ship with a Lightning-to-USB2 cable, though, and USB3 capability isn’t mentioned in the tech specs.

The main objection to this actually happening is that Lightning, with its 8 pins, doesn’t have enough pins to support the standard USB 3 specification. This is, again, the old assumption that Lightning cables are “just… wires leading from one end to the other”.

To restate what I posted previously, if you actually look at the USB3 pinout, there are the two differential pairs which Lightning already has, and one additional pair for USB2 compatibility. So a legacy wire-to-wire USB3 cable would need 9 pins — but, remember, Lightning connectors don’t work that way!

In other words, if you plug in an old Lightning-to-USB2 cable into an iOS device, the cable itself already has to convert the two differential pairs to USB2’s single pair. So, no need to have the extra legacy pair on the Lightning connector itself — a future Lightning-to-USB3 cable will generate that as well, and use the two high-speed pairs when plugged into a USB3 peripheral. The current pinout is, therefore, quite sufficient.

So.. USB3 for free? Seems good. What’s the delay, then?
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What is Sky Q, when is it coming and how can I get it? » Pocket-lint

Luke Edwards and Chris Hall:

The Sky Q Mini box is your gateway to viewing Sky content in other rooms. This connects to your main Sky Q box, either by Wi-Fi or via powerline networking, letting you use your electrical wiring to carry the information between boxes. Powerline networking is built-in across Sky Q devices, which works if you also subscribe to Sky broadband and have the Sky Q Hub installed.

The Sky Q Mini box also only supports up to full HD, but it can work as a Wi-Fi hotspot, expanding your Sky Broadband connection. Again, this is reliant on a Sky Q Hub. It is possible to use the Sky Q TV service and the Mini boxes using a separate internet service provider, but you cannot use them as Wi-Fi extenders or through powerline connectivity.

You’ll get full access to all the Sky Q features through the Mini box, be that live TV, watch recordings stored on the main Sky Q or Silver boxes, or view on demand content.

Sky Q touch remote: The new remote adds touch, so there will be less button pressing and more swiping to help you get around. It’s also a Bluetooth remote, so there’s no need for line-of-sight, perfect for those who want to hide the Sky Q box out of sight.

It also features a built-in microphone, and in the future it will be offering voice as a search option, helping you quickly find your content.

Sky, clearly, begs to differ with the notion that “the future of TV is apps”. It’s going pretty strongly for the integrated viewing approach. It’s also adept at staying just in line with peoples’ expectations for how they want to consume content.
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Quarter: Apple Pencil Dock and Protective Cap by Jason Lim » Kickstarter

Neat and cheap idea for how you keep the Apple Pencil from vanishing: plug it in to the device. Come on, Jony Ive, your team’s falling behind.
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Analyzing 1.1bn NYC taxi and Uber trips, with a vengeance » Todd W. Schneider

Schneider grapples with the amazingly detailed yellow taxi data – pickup and dropoff points (seriously – who cares about privacy, eh?) – and compared it with “green taxi” (non-Manhattan) and Uber trips:

Uber has grown dramatically in Manhattan as well, notching a 275% increase in pickups from June 2014 to June 2015, while taxi pickups declined by 9% over the same period. Uber made 1.4 million more Manhattan pickups in June 2015 than it did in June 2014, while taxis made 1.1 million fewer pickups. However, even though Uber picked up nearly 2 million Manhattan passengers in June 2015, Uber still accounts for less than 15% of total Manhattan pickups:

Queens still has more yellow taxi pickups than green taxi pickups, but that’s entirely because LaGuardia and JFK airports are both in Queens, and they are heavily served by yellow taxis. And although Uber has experienced nearly Brooklyn-like growth in Queens, it still lags behind yellow and green taxis, though again the yellow taxis are heavily influenced by airport pickups:

Uber is clearly expanding the market, which is not what the narrative might lead you to expect.
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Trump content blocker for iOS » Trump Trump

Trump-free browsing. Block links, images and websites related to the word Trump. Why would you want anything Trump on your iPhone? Banish Trump from the web. The easiest way to make Trump go away for good. No need to manually edit blacklists, rules, etc. Filter Trump out of your life.

I think everyone can agree that this is A Good Thing.
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Errata, corrigenda and ai no corrida:

Start up: wearables grow, adblocking as chemo?, how silent calls lead to fraud, Acer woes, and more


Replace “George Davis” with “Google” and you get its message. Photo by ross mcross on Flickr.

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

Apple debuts at the number two spot as the worldwide wearables market triples in 2Q15 » IDC

In its first appearance in the wearables market, Apple finds itself within striking distance of the established market leader, Fitbit. According to the International Data Corporation (IDC) Worldwide Quarterly Wearable Device Tracker, Apple shipped a total of 3.6 million units in the second quarter of 2015 (2Q15), just 0.8m units behind Fitbit’s 4.4m units. Total shipment volume for the quarter came to 18.1m units, up 223.2% from the 5.6m units shipped in 2Q14.

“Anytime Apple enters a new market, not only does it draw attention to itself, but to the market as a whole,” noted Ramon Llamas, Research Manager for IDC’s Wearables team. “Its participation benefits multiple players and platforms within the wearables ecosystem, and ultimately drives total volumes higher. Apple also forces other vendors – especially those that have been part of this market for multiple quarters – to re-evaluate their products and experiences. Fairly or not, Apple will become the stick against which other wearables are measured, and competing vendors need to stay current or ahead of Apple. Now that Apple is officially a part of the wearables market, everyone will be watching to see what other wearable devices it decides to launch, such as smart glasses or hearables.”

This rather mixes oranges and.. um, because the Fitbit is not a “watch”. I’d prefer to see “watches” and “bands” separated, but that might be tricky. Telling that none of the Android Wear watches did more than 0.6m; and that Samsung’s early lead hasn’t translated into, well, anything. The figure for Apple Watches feels high, though.

Also: “hearables”?
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The realities of a $50 smartphone » Engadget

Daniel Cooper:

“If you had asked me this a year ago, I would have said that it was impossible.” Wayne Lam is the principal telecoms analyst for IHS, a market intelligence firm that looks at the technology market. As part of the experiment, he offered to cook up a hypothetical device that, if someone built it today, could probably be mass-produced for under $50. He worked out that the upper limit for a bill of materials would be around $42, and worked backward to build out a spec list from there. It wasn’t pretty, since “any time you put a constraint on the design, like a maximum price, you end up having to make compromises.”

Really impressive. Of course, that doesn’t leave any margin for distribution, marketing, or R+D, but it’s amazing the market has come so far in just eight years.
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Dark patterns : user interfaces designed to trick people

Harry Brignull and others:

Normally when you think of “bad design”, you think of the creator as being sloppy or lazy but with no ill intent. This type of bad design is known as a “UI anti-pattern”. Dark Patterns are different – they are not mistakes, they are carefully crafted with a solid understanding of human psychology, and they do not have the user’s interests in mind. We as designers, founders, UX & UI professionals and creators need to take a stance against Dark Patterns.

You can send them your examples via the site.

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Acer honourary chairman Shih would ‘welcome’ takeover bid » The Register

Paul Kunert:

The major players, such as HP, Lenovo and Dell, would gain nothing on the technology front from buying Acer – which derived 65% of its revenues from PCs last year – save for perhaps some low-margin market share.

Surely it would be cheaper to let the company continue to wither on the vine?

More than a decade ago, Acer said it was the PC maker of the future, based partly on the relatively tiny workforce – it employs 7,000 heads, which is fewer than some vendors employ in their country operations.

As we pointed out recently, Acer is running out of runway and something has to give. We doubt any of the majors in the industry will want to buy the business, and the politics involved in merging with Taiwanese rivals HTC or Asus make such a move unlikely, though not entirely implausible.

Becoming a question of whether Acer or HTC will be forced into someone else’s arms first. Acer is bigger, but shrinking fast.
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Handling App Transport Security in iOS 9 » Google Ads Developer Blog

Tristan Emrich, mobile ads developer relations:

All iOS 9 devices running apps built with Xcode 7 that don’t disable ATS [App Transport Security, which forces HTTPS connections] will be affected by this change. The following log message appears when a non-ATS compliant app attempts to serve an ad via HTTP on iOS 9:

“App Transport Security has blocked a cleartext HTTP (http://) resource load since it is insecure. Temporary exceptions can be configured via your app’s Info.plist file.”

While Google remains committed to industry-wide adoption of HTTPS, there isn’t always full compliance on third party ad networks and custom creative code served via our systems. To ensure ads continue to serve on iOS9 devices for developers transitioning to HTTPS, the recommended short term fix is to add an exception that allows HTTP requests to succeed and non-secure content to load successfully.

Publishers can add an exception to their Info.plist to allow any insecure connection.

Translation: ads are insecure, and trackable, but let them through. (Obviously, many app developers will need to for revenue.) Once again, Apple is forcing the pace on advertisers.
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Why phone fraud starts with a silent call » All Tech Considered : NPR

Aarti Shahani:

Maybe you gave your number to Target or some other big retailer that got hacked. Maybe you entered an online raffle to win a free iPhone.

According to the Federal Trade Commission, these robocalls are on the rise because Internet-powered phones make it cheap and easy for scammers to make illegal calls from anywhere in the world.

That initial call you get, with silence on the other end, “[is] essentially the first of the reconnaissance calls that these fraudsters do,” Balasubramaniyan says. “They’re trying to see: Are they getting a human on the other end? You even cough and it knows you’re there.”

The next step is gathering information about your bank or credit card account. You get a call with a prerecorded voice that tells you, for example, “[we’re] calling with an important message about your debit card. If you are the cardholder please stay on the line and press 1. Otherwise please have the cardholder call us at 1-877…”

If you’re thinking about ignoring it, the message tries to scare you into paying attention with a warning: “A temporary hold may have been placed on your account and will be removed upon verification of activity.”

That number leads to another automated system that prompts you to share personal details like your date of birth, your card number and secure PIN, the expiration date, your Social Security number.

It can be tricky because many real banks have a similar system.

Foolish of the banks, really.
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Improving quality isn’t anti-competitive » Google Europe Blog

Kent Walker, Google’s general counsel:

The response we filed today [to the EC] shows why we believe those allegations [of stifling competition] are incorrect, and why we believe that Google increases choice for European consumers and offers valuable opportunities for businesses of all sizes.

The Statement of Objections [SO] says that Google’s displays of paid ads from merchants (and, previously, of specialized groups of organic search results) “diverted” traffic away from shopping services. But the SO doesn’t back up that claim, doesn’t counter the significant benefits to consumers and advertisers, and doesn’t provide a clear legal theory to connect its claims with its proposed remedy.

Our response provides evidence and data to show why the SO’s concerns are unfounded. We use traffic analysis to rebut claims that our ad displays and specialized organic results harmed competition by preventing shopping aggregators from reaching consumers. Economic data spanning more than a decade, an array of documents, and statements from complainants all confirm that product search is robustly competitive. And we show why the SO is incorrect in failing to consider the impact of major shopping services like Amazon and eBay, who are the largest players in this space.

Funny thing: I’ve skim-read the SO (it’s long – 100+ pages) and it picks away at lots of these traffic analysis claims (which were themselves dismantled thoroughly by Foundem, one of the complainants to the EC). Among the SO’s complaints was that Google didn’t provide enough data about shopping traffic. I don’t think the EC is going to roll over on this one. Nor, evidently, is Google. Though in arguing “choice for consumers” it’s using the wrong antitrust doctrine – that applies in the US, but not the EU.

Can’t find where Google has published its response, either. Surely it would want that public too? Also: an analysis of Google’s blogpost by “Focus On The User” (anti-Google, not involving Microsoft).
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Apple’s content blocking is chemo for the cancer of adtech » Doc Searls Weblog

Searls calls “tracking” ads (eg Doubleclick etc) “adtech”, as opposed to simple brand ads:

• Apple’s iAd is for brand advertising, not adtech. At least that’s what I gather from Apple’s literature. This puts them on the side of [advertising] wheat, and Apple’s competitors — notably Google, Facebook and all of adtech — on the side of chaff.

• Apple has put a big stake in the ground on the subject of privacy. This is clearly to differentiate itself from adtech in general, and from Google and Facebooks in particular.

• Brand advertising is more valuable to publishers than adtech. Its provenance and value are clear and obvious, it sells for better prices, and — while some of it may be annoying — none of it shares its business model with spam, which adtech does. Nor is brand advertising corrupted by fraud, which is rampant in adtech. So rampant, in fact, that T.Rob Wyatt, a security expert, calls adtech “the new digital cancer.”

This is why content blocking is chemo for the cancer of adtech. It is also why it is essential for everybody involved in the advertising-funded online ecosystem to start separating the wheat from the chaff, and to make clear to everybody that the wheat — plain old brand advertising — is (to mix metaphors) the baby in the advertising bathwater.

(Searls was taken to task for using “chemo” and “cancer”; he pointed out that he has had loved ones die of cancer, and “I’m not sure they would have disapproved of the metaphor.”)

As bandwagons go, the anti-adtech one is rolling downhill at top speed. I’ve already got three different ones I’m testing on an iOS 9 phone.
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The Labour Purge…. and social media privacy. » Paul Bernal’s Blog

Bernal notes that the Labour Party is trawling social media to try to find out if newly joined members really “support” the party:

We should not expect people to have social media profiles – let alone identifiable social media profiles. What is more, this is particularly important for some of the people that Labour should care about and support the most. People may be ‘digitally excluded’, for a start – but they might also have extremely valid reasons to be pseudonymous on the internet. Vulnerable people, in particular, might need pseudonymity to protect them from those to whom they are vulnerable. Whistleblowers. People with abusive spouses. People with abusive or manipulative employers. Trade unionists, for example, might have that status used against them – there’s a reason that Trade Union membership is considered ‘sensitive personal data’ under the Data Protection Act. People might wish not to have their religion revealed to all and sundry. People might wish to separate their personal and professional lives for perfectly good reasons.

There is much more to say on this subject – but the underlying issue is the one that is most disturbing. What the Labour Party is doing may well breach the Data Protection Act – there is a discussion to be had here – but it is certainly at least verging on the creepy.

The Labour Party has long had a problem with privacy; it tried really hard to introduce ID cards (with biometrics!), and was only stopped by losing an election.
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Start up: Tim Cook’s stock question, Samsung’s pen trouble, bending the iPhone 6S, and more


Yeah, Sanford Wallace probably preceded you here. Photo by epSos.de on Flickr.

A selection of 10 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Apple CEO Tim Cook got 280,000 Apple shares the day of the market rout » Fortune

Philip Elmer DeWitt:

By coincidence or design, Tim Cook was scheduled to receive a boatload of Apple stock the same day he stopped a market rout.

Apple disputes it, but the note Tim Cook sent CNBC’s Jim Cramer Monday, could, in theory, have personally saved him millions of dollars in unvested Apple shares.

Here’s the background.

In August 2011, when Tim Cook was tapped to replace the ailing Steve Jobs, Apple’s board of directors awarded him 1 million restricted stock units (RSUs), half to vest in five years, the rest in 10. At the time they were awarded, the shares were worth $323 million.

At Cook’s request, the terms by which those shares are distributed were changed two years later; the shares now vest on a yearly basis by a complicated formula that includes a performance incentive tied to the company’s performance.

It’s complicated. Cook had better have got that email read by a lawyer before he hit send (some time between 0500 and 0600 – by which time he’d have been up for a couple of hours already). Else things could get ugly. Credit to Daniel Tello who first brought this up.

Update: Tello says that “the latest info on [the] Cook stock reveals he actually picked the only day he could NOT benefit, instead makes a rebound worse for him.” Storm over, looks like. (Though there will doubtless be some more back and forth over revealing details about mid-quarter performance to a journalist who also holds some stock.)

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Facebook ‘Spam King’ guilty for sending 27 million messages » Bloomberg Business

Joel Rosenblatt:

A Las Vegas man pleaded guilty to sending more than 27 million unsolicited messages through Facebook Inc. servers after gaining access to about 500,000 accounts on the social network, according to prosecutors.

Sanford Wallace, 47, known as the “Spam King,” admitted to his mass spamming in 2008 and 2009 while pleading guilty Monday to fraud and criminal contempt, San Francisco U.S. Attorney Melinda Haag said in a statement.

Oh, but that’s not nearly enough context. Sanford Wallace has been a spammer for absolutely ages; he goes back to the neolithic age of the web. Read the Wikipedia entry. And reflect: once a spammer, always a spammer.
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Meet Wileyfox, an ‘edgy’ new mobile brand powered by Cyanogen » CNET

Rich Trenholm:

Among the new features offered by Cyanogen are security features that will appeal to consumers worried about their privacy. The unlock screen can scramble the numbers to make it harder for snoops to spy on your PIN. And if you’re alarmed by apps like Spotify that ask for access to unexpected parts of your phone, you can turn on and off individual app permissions. So for example, you can permit an app access to your camera but not your contacts, or require the app to ask each time it wants to use a different part of your phone. It also shows you the last time an app dipped into the further reaches of your phone, which is bound to be an eye-opening experience.

As a new brand, the company needs to carve attention from phone fans. “It’s an edgy brand,” says industry analyst Ben Wood of CCS Insight, “but it needs to be so it whips up a frenzy of social media interest. That’s the lifeblood for brands like this.”

Pretty standard phone (though it has dual SIM – unusual in western Europe). Cyanogen makes it more unusual: it’s not clear from the screenshots whether this is running Google Mobile Services (GMS) or not. Seems not, to my eye (but take a look for yourself).
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Nigerian network operators deactivate 10.7m SIM cards » Techpoint Nigeria

Yemi Johnson:

Dr. Tony Ojobo, Director of Public Affairs, NCC, speaking yesterday on Channels TV about the current SIM card deactivation being witnessed by network subscribers across the country said that about 10.7 million lines in the country have been barred from all GSM networks by the operators.

According to Ojobo, the commission had returned 18.6 million SIM cards data to MTN; 7.4 million to Airtel; 2.2 million to Globacom and 10.4 million to Etisalat for corrections back in September 2014, stressing that the returned SIM cards had one challenge or the other, including some that were pre-registered and others without the required biometric information. Yet, the Telcos failed to respond to the NCC’s warning to get those lines properly registered, even in ensuing meetings until now.

The call to deactivate unregistered lines however, came from the NCC, after its meeting with the office of the National Security Adviser (NSA), Department of State Security (DSS), the network operators. The parties present at the meeting had pointed attention to crimes committed in the country via unregistered telephone lines across various networks.

Odd: is this to do with Boko Haram, or something else?
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Aluminum and strength » All this

Dr Drang watches a video in which “Lew” tries to bend what seems to be the new iPhone 6S case, and then has it analysed by professionals:

While it’s obvious that zinc is the primary alloying element, which means the alloy is in the 7xxx series, the software didn’t find a good match in its database. Lew didn’t say anything about this in the video, but you can see it in the area I’ve circled at the top of the report.

I did a little looking around in my aluminum references, and I didn’t find a match, either. What’s weird is the tungsten (W) at 0.106%. I don’t have any aluminum specifications that call for tungsten, and in the 7xxx specs I’ve seen, “other” elements are limited to 0.05%.

In the video, Lew finesses this unknown by calling the new material “7000 series,” which is certainly true, but it’s not the whole truth. To me, the fact that the aluminum in the new shell doesn’t meet a standard specification is one of the most interesting findings. It suggests that Apple has developed its own proprietary aluminum alloy.

It wouldn’t be the first time Apple’s done this. The Apple Watch Sport uses a proprietary 7xxx alloy, which is mentioned on both the “Craftsmanship” page and in Jony Ive’s “Aluminium” video, which is where I got that splashy image.

The natural question is “Is this new iPhone aluminum alloy the same as the Apple Watch Sport alloy, or was it developed specifically for the iPhone?” Since I haven’t seen the chemistry of the Sport alloy, I have no idea what the answer is.

Is there any other company for which you’d get a lab involved for a leak of a shell of a phone? (That said, this stuff is so educational. Do read on for what he says about the difference heat treatment makes to aluminium strength.)
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Mobile ads: Media companies are losing the battle » Fortune

Mathew Ingram:

Is piggy-backing on Facebook’s platform the only way publishers can make mobile work? Perhaps. Entering into that kind of relationship also involves a significant transfer of power from the media outlet to the giant social network, something that has long-term risks. But for most publishers—and even for the New York Times—subscriptions aren’t generating enough revenue, and few people are paying for their apps.

For many companies that are watching the mobile chasm grow ever larger, in other words, there may be no other option. Their revenues are already so anemic that they can’t afford to build or buy anything that is going to move the needle. They can either play ball with Facebook and hope that will get them where they need to be, or they can stay on the sidelines and ultimately fade away.

The next year or two is going to be truly fascinating. Possibly ugly too.
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Reluctant licence fee payers don’t like life without the BBC after all » The Guardian

Roy Greenslade:

What would it be like to live without the BBC? How would people react to losing the chance to see the corporation’s TV channels, hear its radio programming or access its online output?

The BBC commissioned research to find out how people might cope (or not cope) without the broadcaster. So 70 families in 15 locations across the UK agreed to the blocking of all BBC services for nine days. Of those, 48 had previously said they were either in favour of not paying the £145.50 [US$227] annual licence fee (and doing without the BBC) or paying only a reduced fee.

According to the study, carried out on the BBC’s behalf by research agency MTM, by the end of the period of deprivation two thirds had changed their minds.

Those nine days “saved” them £3.60 (US$5.63). The BBC is a bloody bargain – especially after you get exposed to the repeatedly fresh hell that is US TV, which has the attention span of a gnat. (There are no ad breaks on the BBC.) As with mobile phones and medical bills, the US doesn’t know how badly off it is when it comes to TV in comparison to the UK.
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I Don’t Own, I Uber » Medium

Megan Quinn:

the move [from San Francisco to London, UK] meant [the car] had to go, and so it was sold for next-to-nothing to a really nice dad with two kids.

While I may have been sad to see my car go, I wasn’t concerned about being car-less because — when not on strike — public transportation is pretty good in Europe, and Uber is nearly ubiquitous in major cities. I knew Uber was more expensive in London, but everything was more expensive in London and I had factored that into my decision to move in the first place.

What I didn’t expect was that depending on Uber (UberX specifically) would actually be cheaper than owning and driving a car. Much cheaper. Yes, the company says this, but I didn’t think it was realistic yet.

Well, it is. At least for me.

About half the price, even allowing for the fact that petrol costs virtually nothing in the US compared to the UK. And that’s before amortisation of the car’s value. Mark this: it’s significant.
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Probable Note 5 design flaw can cause S Pen to break pen detection when inserted backward, or get hopelessly stuck » Android Police

David Ruddock:

On the Note 5, inserting the S Pen the wrong way provides exactly as much resistance as inserting it the right way. Which is to say: basically none at all. Once you insert the pen far enough in the wrong direction (again, which causes no strange resistance or feel than putting it in the right way), it will get stuck. It doesn’t even have to “click” in. At this point, of course, you will panic. And you will try to get it out – and most likely, you’ll succeed. The problem is that if you do succeed, there’s a very real possibility you’ll break whatever mechanism the device uses to detect whether the pen is attached or detached from the phone. Which is exactly what happened to our review unit.

Yes, seriously. Watch the video.

We’re really not sure how this made it past testing at Samsung – it seems like such an obvious thing to design into the S Pen slot, especially when Samsung has full reason to know that inserting the pen the wrong way can damage the direction-sensitive detection mechanism in the slot.

Android Police was the site that discovered this flaw (not “probable flaw” – it is, no question; and Ruddock does call it that in the comments.) It’s really quite a doozy. (“Antennagate” was easily solved with a bumper, and “Bendgate” seems to have been more about care of larger phones than anything.) Samsung’s response, reported by The Verge: “We highly recommend our Galaxy Note5 users follow the instructions in the user guide to ensure they do not experience such an unexpected scenario caused by reinserting the S pen in the other way around.” Recommendations don’t come much higher.
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A week without the Apple Watch » waitingtoDOWNLOAD

Lee Peterson survived:

I’ve missed notifications, workout tracking and the ability to control what’s playing on my iPhone the most – I miss the connivence of it.  Could I do without it, well yes and no – I mean yes I can live without it but now it’s opened up a whole new world I don’t think I could go without it.  It’s kept me in the moment more, stopped me from checking social media so much and for the first time I’m able to see how active (or inactive) I am allowing me to do something about it.

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Start up: adblocking animus, Amazon’s aims, Ubuntu phone reviewed, the iPod Watch, and more


“They say this replacement can’t be hacked remotely!” Photo by Hugo90 on Flickr.

A selection of 10 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

New iPhone apps will include ad blockers for the mobile web » MIT Technology Review

Tom Simonite:

Some [iOS developers] are now testing ad blocking apps they intend to release when iOS9 becomes available. Their results suggest these apps could be popular. For example, when Dean Murphy, an app developer based in the U.K., hacked together an ad blocker in about an hour earlier this month, he found it slashed the time taken to load the popular Apple blog iMore from 11 seconds to just two seconds.

He is now working to release a fully polished ad blocker called Crystal, and expects there will be many others when iOS9 launches. “Apple has laid a solid foundation for quality ad blocking applications,” he says.

One of Murphy’s competitors will be an app called Purify, created by Chris Aljoudi, who leads development of the desktop ad blocker uBlock, which he says has over one million active users. A video of Purify in action shows how it makes a news site load faster and strips pre-roll video ads from YouTube. Aljoudi says his tests have showed that Purify cuts Web browsing data usage by about a quarter—which could cut some people’s data bills and extend battery life. Both Aljoudi and Murphy intend to make their apps cheap, but not free.

I think they’re going to make good money. Advertisers (and sites) have a problem coming their way. Here’s Purify at work:

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The Verge’s web sucks » blog.lmorchard.com

Les Orchard tried examining The Verge’s desktop site, and found it linked him to 47 third-party trackers:

I feel like someone just set up the entire vendor hall from an awful tech conference in my living room. Seriously, could you folks just not pick one or two or ten? Did you hit every booth and say “Yeah, cool, sign us up!” I feel thoroughly spindled & folded & researched, here.

As a webdev at Mozilla, I’ve been in hour-long meetings where we’ve agonized over whether it’s copacetic to include just one little Google Analytics snippet without notifying users and updating the privacy policy. But, I know we’re crazy in our own very special ways.

In former lives, I’ve worked at ad agencies and digital marketing companies. I’m no stranger to conversations that revolve around partners & bizdev & analytics & media buys. I can only imagine things have intensified & evolved since I’ve been out of those trenches.

Still – and maybe this is the Mozilla brain-damage talking – I can’t imagine a sane conversation that resulted in The Verge extending an invitation to over 20 companies to set up shop on my computer with every page visit.

The reckoning is moving just that bit closer each day. Once a significant number of people start getting faster, better experiences from using adblockers (or tracker-blockers), they won’t care that the ads aren’t targeted. Newspaper and magazine ads didn’t use to follow you around the room, and they were quite a good business.
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I got my music back. At least most of it » Loop Insight

Jim Dalrymple, after the debacle of last week:

So now I have the iTunes Match service that I pay for separately, and Apple Music, both of which use iCloud Music Library. There is really no way to get away from them if you want to use the latest and greatest from Apple.

I’ll admit, I’m still trying to get my head around how this works.

Some of the songs I own were incorrectly tagged as Apple Music, but that’s been fixed too, which means they show up correctly in iTunes. That is great news.

However, I’m still missing a couple of hundred songs. Apple’s theory is that I deleted them—that when I was trying to fix Apple Music, I mistakenly deleted my own files. While I concede that it is within the realm of possibility that I deleted my own files, it doesn’t make sense to me.

Apple is clearly struggling with Apple Music – a colossal effort launched in a huge number of territories – which is why my advice would be not to get worked up about precisely what seems to be working or not at present. And especially not to delete anything that you think you might own.
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Ubuntu Phone review: years in the making, but still not consumer-ready » Engadget

Jamie Rigg:

I get the idea of Scopes [which are like Live Tiles in Windows], kind of. They are supposed to give the user a personal experience, remove their reliance on walled apps and bring content to the forefront. I just don’t think Scopes deliver, or maybe I’m just so used to the app-first experience that I’m having trouble adapting to the Scope way of doing things. And if that’s the case, then most people will be in the same boat. My main problem with Scopes is that I feel I’m being bombarded with content. If I want to check out upcoming concerts on an iOS/Android device, I’d load up the Songkick app. But when that’s not what I’m looking for, I don’t really want to see Songkick listings permanently displayed on my phone, like I’m being advertised to. You could argue the solution is to remove the Songkick feed from the Scopes it populates. But, if I was constantly adding and removing sources from Scopes when they are or aren’t relevant, I don’t see how that’s preferable to having dedicated apps that offer a better experience.

It seems like there’s just no way to create a new user interface at present, certainly on a mobile screen. The gigantic gravitational field of the app-driven iOS/Android system precludes it.

Also, this sounds like crap.
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Toshiba’s woes show how PC sales slump is squeezing big tech firms » The Guardian

I wrote about the Others:

It is whispered among some analysts that only the preinstallation of third-party antivirus programs – which try to get users to sign up to subscriptions – keeps some PC makers afloat at all, owing to the fees they receive from antivirus software firms.

It was the PC business that triggered the current turmoil at the Japanese giant [Toshiba], after an internal auditor asked in late January to look at the accounts for the company’s laptop business. That eventually concluded with an examination by an external panel, whose 294-page report noted “inappropriate accounting” in various business segments, including those “relating to component transactions” in the PC business.

In a statement on 21 July it said that 111bn yen (£580m) of assets in the PC business in the past six financial years were “under consideration” for re-evaluation. That could affect its financial results, which will be finalised by 31 August. But even in its most recent quarterly report, before any restatement, Toshiba said that its PC business recorded restructuring costs of 46bn yen in the previous three quarters, and that otherwise it “would have recorded positive operating income over three consecutive quarters”.

46bn yen is $370m. Is Toshiba really saying it made an average operating profit of $123m per quarter in the PC business? That’s as much as Asus, which is one of the biggest makers. Seems unlikely.
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Twitter is deleting stolen jokes on copyright grounds » The Verge

Dante D’Orazio:

some people just copy good tweets from other people and act like they came up with the 140-character witticism on their own. This has been going on since the beginning of Twitter.

It now appears Twitter is using its legal authority to crack down on these tweet-stealers. A number of tweets have been deleted on copyright grounds for apparently stealing a bad joke.

As first spotted by @PlagiarismBad, at least five separate tweets have been deleted by Twitter for copying this joke:

saw someone spill their high end juice cleanse all over the sidewalk and now I know god is on my side
— uh (@runolgarun) July 9, 2015
Olga Lexell, who, according to her Twitter bio, is a freelance writer in LA, appears to be the first person to publish the joke on Twitter. In a tweet posted this afternoon, she confirmed that she did file a request to have the tweets removed.

I simply explained to Twitter that as a freelance writer I make my living writing jokes (and I use some of my tweets to test out jokes in my other writing). I then explained that as such, the jokes are my intellectual property, and that the users in question did not have my permission to repost them without giving me credit.

She added that most of the accounts that were reusing her tweets without accreditation were “spam accounts that repost tons of other people’s jokes every day.” This also isn’t the first time Twitter has complied with a request like this: Lexell tells The Verge that she’s filed similar requests for other jokes. Twitter staffers typically remove the offending tweets “within a few days” without asking Lexell any follow-up questions.

Couldn’t she, you know, just not tweet them but try them on other people? Or try them from a protected account? This is quite weird.
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Pakistan to shut down BlackBerry services by December for “security reasons” » Reuters

Syed Raza Hassan:

Pakistan, a nuclear-armed nation of 180 million people, is plagued by militancy, criminal gangs and drug traffickers.

“PTA has issued directions to local mobile phone operators to close BlackBerry Enterprise Services from Nov. 30 on security reasons,” an official with the Pakistan Telecommunications Authority said in a text message.

He asked not to be named due to the sensitivity of discussing communications and intelligence.

BlackBerry was not immediately available to comment.

A report released this week by British-based watchdog Privacy International said Pakistan’s powerful military intelligence agency, the Inter-Services Intelligence (ISI), was seeking to dramatically expand its ability to intercept communications.

BlackBerry encrypts data such as emails and its BlackBerry Messenger messages sent between a user’s phone and public networks, ensuring greater privacy for users but making life harder for police and intelligence agencies.

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Fiat Chrysler recalls 1.4 million vehicles to defend against hacks » Bloomberg Business

Mark Clothier:

Fiat Chrysler Automobiles NV is recalling about 1.4 million cars and trucks equipped with radios that are vulnerable to hacking.

The company was already distributing software to insulate connected vehicles from illegal remote manipulation after Wired magazine published a story about software programmers who were able to take over a Jeep Cherokee being driven on a Missouri highway. Fiat Chrysler reiterated that it’s not aware of any real-world unauthorized remote hack into any of its vehicles.

It stressed that no defect was found and that it’s conducting the campaign out of “an abundance of caution.”

Fiat Chrysler said it has blocked unauthorized remote access to certain vehicles systems via an over-the-air update on Thursday.

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Amazon and the “profitless business model” fallacy » Remains of the Day

Eugene Wei (who used to work at Amazon):

There are very few people in technology and business who are what I’d call apex predators. Jeff [Bezos] is one of them, the most patient and intelligent one I’ve met in my life. An apex predator doesn’t wake up one day and decide it is done hunting. Right now I envision only one throttle to Jeff’s ambitions and it is human mortality, but I would not be surprised if one day he announced he’d started another side project with Peter Thiel to work on a method of achieving immortality.

One popular thesis among Amazon profitability skeptics is that Amazon can’t “flip a switch” and become profitable. The most common guess as to how Amazon flips the switch is that it will wait until it is the last retailer standing and then raise prices across the board, so Amazon skeptics argue against that narrative possibility.

But “flipping a switch” is the wrong analogy because Amazon’s core business model does generate a profit with most every transaction at its current price level.

In that light, it’s wrong to look at the AWS “profits” as a proportion of revenue and say “wow”. The profit number is meaningless. Amazon can make any part of the business look as profitable or unprofitable as it likes.
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The future of Apple Watch will be more like the iPod’s than the iPhone’s » Beyond Devices

Aaron Miller (in a guest post on Jan Dawson’s site):

First, and most importantly, the Apple Watch is an ecosystem product. Right now, the Watch only works as an extension of the iPhone. Its upper boundary is the total number of iPhones in the world.

This makes the Watch much more like the iPod than the iPhone. From the time the iPod first launched, it was a product tied to a computer, first to Macs then eventually to Windows computers as well. (Remember the Digital Hub strategy?) Just as the iPod existed to enhance the Personal Computer + iTunes ecosystem, the Watch exists to enhance the iPhone ecosystem. The iPhone, even if tied to iTunes early on, was never merely an ecosystem enhancement—nor designed to be one, like the iPod or Apple Watch have been.

Naturally, we expect the Watch’s reliance on iPhones to change over time. LTE and GPS seem like inevitable Apple Watch additions, for example, as does a Watch-native App Store. With true third-party apps coming soon, reliance on the iPhone will diminish even more. But there’s one limitation that may always tie Apple Watches to iPhones: the screen…

…the Apple Watch category is not just smartwatches. The correct category is wearables, and wearables right now, at the birth of the Apple Watch, are very similar to the early MP3-player market. Some are huge and multi-functional. Some are svelte and limited. Some are banking on unique features trying to find a niche.

Wonder what other wearables Apple might have in mind. What’s the iPod shuffle version of a Watch?
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Start up: Amazon’s profitable cloud, Apple Music woes, early days of search, and more

Kepler 452b
“Hello! Have you heard of ‘Greece’? Do you have spare money?” Artist impression by Nasa.

A selection of 9 links for you. Lather them all over yourself. I’m charlesarthur on Twitter. Observations and links welcome.

How Lycos almost won the search engine wars » Gizmodo

Jim Gilliam with a tale from the pit:

A few months later, our team made a huge discovery. In our ongoing efforts to make search results better, Dennis set up an eye-tracking lab and began scientific testing of how people used search. We watched where people looked on the pages and noticed something shocking: people didn’t look at the ads. Not only that, but the more we tried to make the ads stand out, the less people looked at them. Our entire advertising philosophy was based on making ads flashy so people would notice them. But we saw, quite counterintuitively, that people instinctively knew that the good stuff was on the boring part of the page, and that they ignored the parts of the page that we—and the advertisers—wanted them to click on.

This discovery would give us an edge over everyone in the industry. All we had to do was make the ads look less like ads and more like text. But that was not what the ad people wanted, and the ad people ran Lycos. The advertiser was seen as our true customer, since advertising was where our revenue came from. Our team argued that our customers were also the people searching, and without them, we’d lose the advertisers. The eye-tracking revelation wasn’t enough to convince them, so we tried another tack.

In the ultracompetitive world of search engines, the biggest factor aside from the quality of the results was how fast they loaded. We were constantly trying to take things out of the pages to make them load faster. So I created a program that took queries coming into our site and ran them on all the major search engines, ranking them in order of speed.

And guess which speed-obsessed, blinky-ad-ignoring company came along next? It’s an extract from Gilliam’s new book, The Internet Is My Religion. Have a free download of the book.
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Amazon Web Services is now a $6 billion-a-year cloud-computing monster » Quartz

Dan Frommer:

AWS generated almost $400m in operating income during the quarter, and almost $1bn over the past four quarters. It represented almost 40% of Amazon’s consolidated-segment operating income for the second quarter in a row—despite only generating about 8% of the company’s sales.

In short: AWS is one of Amazon’s most valuable assets.

That 40%-8% ratio is something to ponder. Prices are going to fall as Microsoft and Google keep trying to win share. Will profits remain as strong?
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Apple Music is a nightmare and I’m done with it » Loop Insight

Jim Dalrymple had a terrible experience:

I went through about 15 albums one night and manually added all of the missing songs. It was frustrating, to say the least, but I did it. I nearly lost my mind the next morning when I checked my iPhone and Apple Music and taken out all of the songs I added the night before. I was right back where I started.

In some cases, like Bob Dylan and Neil Young, a few of the songs show up twice on one album. When you tap to play the song, they both show the animated icon in iTunes, as if they are both playing. Note in the screenshot that the songs are different in terms of their length of playing time. Either Apple Music shaved a few seconds off one of the tracks, or they’re from different albums.

I’ve had some problems a little like this – duplicate tracks on iOS devices, ie not the originating device, which is the desktop. But nothing like Dalrymple’s awful loss of thousands of tracks. I’ve lost nothing. (People, don’t suffer the same way; make backups.) I’m just waiting for it to sort itself out. And I have a backup.

I suspect that Apple’s servers are suddenly under a colossal load, and that this is related in some way. Apple Music is very, very complicated. Not that that excuses track deletion. But it’s Spotify plus the iTunes Music Store plus iTunes Match. A gigantic beast.
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An identity thief explains the art of emptying your bank account » Bloomberg Business

Dune Lawrence:

On this particular winter night [in Minsk] in 2009, [Dmitry] Naskovets checks the online orders that have come in and sees a routine assignment. A client has tried to buy a MacBook Pro online with a stolen credit card, but American Express blocked the purchase. Now it’s Naskovets’s job to work it out with Amex.

He calls the toll-free number, using software that makes it look as if he’s dialing from the U.S. Any information the customer rep might ask for, Naskovets’s client sends him instantly by chat. The questions don’t usually get beyond the cardholder’s date of birth, Social Security number, or mother’s maiden name, but the woman fielding this call is unusually thorough. She notices that the phone number on the account has changed recently, triggering extra security. She puts Naskovets on hold while a colleague dials the old number and gets the actual cardholder on the line.

Thus begins an absurd contest: Naskovets against the man he’s impersonating. The agents throw out questions to distinguish the fake. When did you buy your home? What color was the car you bought in 2004? Each time Amex puts him on hold, he knows the legitimate cardholder is being asked the same question. At last, the rep thanks him, apologizes, and approves the purchase. Naskovets was even better than the real thing.

Scary.
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Apple Watch: a work in progress but packed with potential » CCS Insight

Ben Wood says his initial expectations were too high, and that he has been left underwhelmed. But, he adds:

this is version 1.0 and Apple has a proven track record of making a nice first device and then slowly but surely making it better and better. I’m not going to lie — I was among those who misjudged the original iPhone. It was easy to pick holes in the first model when it launched: poor battery life, no concessions to operators or subsidy, and missing features like 3G and MMS made it easy to jump to the wrong conclusions. But over time it’s become one of the most transformative electronic devices of our generation. That’s because the product that appeared in 2007 is not the product that hundreds of millions of people are using today. It was a full year before Apple opened the App Store, a major catalyst to the iPhone’s success. I predict we’ll take a similar journey with its watch.

When you go beyond the basic features and think about the sheer potential of the device you start to realise how significant it is. To me, it comes down to offering capabilities that are so compelling it’s not even worth the milliseconds it takes to whip your smartphone out of your pocket.

A perfect example of this is payment. Apple Pay landed in the UK this month. Although I’ve only used it a few times, my initial impression is that having a secure, predictable payment mechanism easily accessible on your wrist is hugely useful, whether you’re buying a coffee or hopping on a bus.

Another inspiring application is an electronic hotel room key – something Apple is already supporting at some Starwood hotels. No more arriving at your room struggling to get an unreliable plastic keycard out of your pocket or wallet, with a coffee in one hand and a suitcase in the other. A tap of the wrist and you’re in.

Things get even better when you add another layer of intelligence. At some point in the future, you’ll arrive at the hotel or approach the counter to pay for your coffee; a nearby beacon will tell your Apple Watch what information you’re likely to need. As if by magic the relevant loyalty card appears on the watch face ready to help you check in or pay for the coffee. These types of rich application are limited only by developers’ imagination and the software needed to create them.

Judging devices that obey Moore’s Law on their first incarnation really is a mug’s game.
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NASA just discovered ‘Earth 2.0’ » Business Insider

Jessica Orwig:

Kepler 452b will forever be remembered as the first, second Earth or what NASA refers to as “Earth 2.0” ever discovered:

Here’s what we know so far about this Earth 2.0:

It’s 60% larger than Earth.
• It’s most likely rocky, meaning it has a solid surface as opposed to a gaseous one, like Jupiter.
• It’s about 1,400 light years from Earth.
• It orbits its star every 385 days, very similar to Earth’s orbital length.
• The planet and star it’s orbiting are about 6 billion years old — 1.5 billion years older than our sun.

Any chance they could bail out Greece? Just asking.
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Google+: a case study on app download interstitials » Official Google Webmaster Central Blog

David Morell, software engineer at Google+ on why “hey, get our app!” things that take over the page might bug users:

Despite our intuition that we should remove the interstitial, we prefer to let data guide our decisions, so we set out to learn how the interstitial affected our users. Our analysis found that:
• 9% of the visits to our interstitial page resulted in the ‘Get App’ button being pressed. (Note that some percentage of these users already have the app installed or may never follow through with the app store download.)
• 69% of the visits abandoned our page. These users neither went to the app store nor continued to our mobile website.

While 9% sounds like a great CTR for any campaign, we were much more focused on the number of users who had abandoned our product due to the friction in their experience. With this data in hand, in July 2014, we decided to run an experiment and see how removing the interstitial would affect actual product usage. We added a Smart App Banner to continue promoting the native app in a less intrusive way, as recommended in the Avoid common mistakes section of our Mobile SEO Guide. The results were surprising:
• 1-day active users on our mobile website increased by 17%.
• G+ iOS native app installs were mostly unaffected (-2%). (We’re not reporting install numbers from Android devices since most come with Google+ installed.)

So much is weird about this. Why were they ever showing the interstitial to Android users, since “most” already had it? The news that not blocking a screen leads to people not giving up (especially for an app they’re likely to already have) isn’t that astonishing. Also: only 17% more read the page? That doesn’t seem so great, given that there were 69% abandoning before. Note too how the measurements aren’t congruent: in the first set, you’re told how many follows to the app there were, and how many abandoned. In the second, you’re told how “1-day active users” increased and how nothing happened to iOS installs – not how many clicked through.

When you aren’t given congruent statistics (in experiment A, X happened; in experiment B, X changed by Y), be distrustful.

And the other missing stat: the balance between iOS users and Android users who came to the page. It all just seems like a study in “what were you even thinking by trying to force people to click past an interstitial?”
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Worldwide smartphone market posts 11.6% year-over-year growth in Q2 2015, the second-highest shipment total for a single quarter » IDC

According to the latest preliminary release from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, vendors shipped a total of 337.2 million smartphones worldwide in the second quarter of 2015 (2Q15), up 11.6% from the 302.1 million units in 2Q14. The 2Q15 shipment volume represents the second highest quarterly total on record. Following an above average first quarter (1Q15), smartphone shipments were still able to remain slightly above the previous quarter thanks to robust growth in many emerging markets. In the worldwide mobile phone market (inclusive of smartphones), vendors shipped 464.6 million units, down -0.4% from the 466.3 million units shipped 2Q14.

Quite a contrast with the gloomier number from Trendforce on Tues/Weds. That gives smartphones 73% of sales; the 90% point, when featurephones are just edge cases, is fast approaching. Minor details: Samsung was the only top vendor to see a fall in shipments (and that by about 1m, so within margins of error). Apple, Huawei and Xiaomi all seeing growth faster than the market.

A notable quote from Melissa Chau on the phone team: “IDC now tracks over 200 different smartphone brands globally, many of them focused on entry level and mid-range models, and most with a regional or even single-country focus.”
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Lottery IT security boss guilty of hacking lotto systems to win $14.3m » The Register

Iain Thomson:

Iowa state lottery’s IT security boss hacked his employer’s computer system, and rigged the lottery so he could buy a winning ticket in a subsequent draw.

On Tuesday, at the Polk County Courthouse in Des Moines, Iowa, the disgraced director of information security was found guilty of fraud.

Eddie Tipton, 52, installed a hidden rootkit on a computer system run by the Multi-State Lottery Association so he could secretly alter the lottery’s random number generator, the court heard. This allowed him to calculate the numbers that would be drawn in the state’s Hot Lotto games, and therefore buy a winning ticket beforehand.

The prosecution said he also tampered with security cameras covering the lottery computer to stop them recording access to the machine.

Hmm – worth a one-hour drama. Not really a miniseries or a film.
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Start up: Windows 10’s puzzle, Adobe’s coming obituary, our digital romances, and more


A better sound to be found inside? Photo by pumpkinmook on Flickr.

A selection of 8 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Windows 10 signifies Microsoft’s shift in strategy » The New York Times

Nick Wingfield:

in recent years, Windows has become an afterthought for many software developers, who have turned to the huge and engaged audience on smartphones. That shift has left Microsoft in a precarious position with consumers in recent years.

To generate more interest from developers, Microsoft has designed Windows 10 to run on PCs, smartphones and other devices, which is meant to make it easier for developers to write apps that run across all of them. And the company has sworn there will be one billion devices running the software in the next two to three years, giving developers a huge potential market to reach with their creations.

“I think we will see really huge adoption” of Windows 10, said Kevin Sather, director of product marketing for systems at Razer, a maker of high-end gaming computers and other devices.

The benefits of fast and free adoption of Windows 10 could well outweigh the revenue Microsoft is giving up. The company does not disclose how much upgrade revenue it normally makes from a new operating system, but analysts estimate that it is small compared with the other ways the company makes money from the operating system.

What this doesn’t explain is why Windows 10, even free, should suddenly make consumers devote any more time to their PCs, or buy Windows tablets any more than they do. Obviously Microsoft is a business-oriented company. So will this actually make any difference at all to the general direction of travel, away from the desktop to mobile? I just don’t see it.
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Free sound improving techniques » PWB Electronics

Try the freezing experiment using a CD first – they are usually the easiest object to hand. If you have two identical CDs all the better as you can keep one CD as the control (no treatment) and put the other CD through the freezing/slow defrost process.

Place one CD in a plain plastic bag and place this bag in the domestic deep freezer overnight. When you remove the CD from the freezer, allow it to return to room temperature very, very slowly. You can achieve a slow defrost quite easily by wrapping it in a towel or blanket. Listen to the CD which has been through the freezing process first and then see if you can listen to the other (unfrozen) CD with the same pleasure !! Putting the previously frozen CD through the freezing/slow defrost process a second time gives you a further improvement in the sound.

Impossible to distinguish from satire. Or reality.
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Only around 15% of WP 8.1 users to upgrade to Windows 10 Mobile? » All About Windows Phone

Steve Litchfield:

There’s something of a blanket assumption that everyone currently using Windows Phone 8.1 will upgrade to Windows 10 Mobile – after all, Microsoft has been promising that ‘majority’ of users will join the Window 10 ecosystem. But, after a few recent experiences of mine with budget devices, I thought it worth sounding a note of caution and reality – I’d put money on the actual conversion numbers to Windows 10 Mobile being significantly less than 50% and maybe as low as 15%.

He tested trying to update to Windows 10 Mobile on wiped-clean Lumias. It wasn’t great. Why? Storage: some of those low-end phones just won’t have the spare space – especially for those with any apps installed.
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Tech world prepares obituary for Adobe Flash » WSJ

Robert McMillan:

in 2007, along came the iPhone. Adobe engineers embraced it immediately. “Everyone who was in the organization was carrying an iPhone,” said Carlos Icaza, an Adobe senior engineer at the time.

But Apple’s smartphone also troubled Mr. Icaza, who was in charge of Flash development on mobile phones. Flash had become bloated over the years and required lots of computing power to run. That wasn’t a big deal on PCs, but on mobile phones, with their limited battery life, it was a major problem, and Apple had opted not to support the technology.

Flash needed a major rewrite to work on the iPhone, but Mr. Icaza couldn’t get his superiors to allocate the necessary resources.

“For me, it was, ‘What the hell is going on? We have this amazing device that is going to change the world and everybody knows it,’” he said in an interview. “Nobody at the organization was trying to make Flash work on this device.”…

…Adobe itself now considers Flash to be immaterial to its business, meaning that it accounts for less than 5% of company revenue, but it is still widely used on websites built for browsers. The software runs on under 6% of the Internet’s home pages and its use is declining, according to BuiltWith Pty Ltd, which tracks Internet technology.

You don’t hear that 6% stat thrown around much, do you?
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I tried all the apps that are supposed to mend a broken heart » Fusion

Kristen Brown:

A few months into the relationship I’d asked Siri to remember which of the many Johns* [*his name wasn’t John] in my contacts was the one I was dating. At the time, divulging this information to Siri seemed like a big step — at long last, we were “Siri Official!” Now, though, we were Siri-Separated. Having to break the news to my iPhone—my non-human, but still intimate companion—surprisingly stung.

Siri wasn’t the only screen-based trial of my break-up. Our relationships now exist across networked webs of digital connections, webs that we build up each time we begin a new romance and then must painfully break down when one ends. When I flicked open my laptop at work, the bottom-right corner was empty where a Google chat had previously sat waiting for me. Notifications of unread Snapchat messages used to lead to goofy photos of John, but now they’re just, disappointingly, announcements from Team Snapchat. Every time I send a note to a particular group of friends, Google’s algorithm suggests I add John to the e-mail thread.

Our relationship was the digital equivalent of moving in together, and now painful memories of him were scattered all over my online home. Technology was making my heartache worse, but that’s not how these things are supposed to work: Technology is supposed make our lives easier, so I sought out tech fixes for a broken heart.

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Online cheating site AshleyMadison hacked » Krebs on Security

Brian Krebs:

In a long manifesto posted alongside the stolen ALM data, The Impact Team said it decided to publish the information in response to alleged lies ALM told its customers about a service that allows members to completely erase their profile information for a $19 fee.

According to the hackers, although the “full delete” feature that Ashley Madison advertises promises “removal of site usage history and personally identifiable information from the site,” users’ purchase details — including real name and address — aren’t actually scrubbed.

“Full Delete netted ALM $1.7mm in revenue in 2014. It’s also a complete lie,” the hacking group wrote. “Users almost always pay with credit card; their purchase details are not removed as promised, and include real name and address, which is of course the most important information the users want removed.”

Their demands continue: “Avid Life Media has been instructed to take Ashley Madison and Established Men offline permanently in all forms, or we will release all customer records, including profiles with all the customers’ secret sexual fantasies and matching credit card transactions, real names and addresses, and employee documents and emails. The other websites may stay online.”

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The Apple Watch review » Anandtech

Joshua Ho and Brandon Chester:

Although this is a review of the Apple Watch, the Apple Watch will ultimately be quickly forgotten with the launch of future iterations of the Apple Watch. After all, Apple is not trying to sell the world on the idea of a smarter watch, but the idea of a watch altogether.

For those still deciding on whether the first Apple Watch makes sense, I have no reservations in saying that it’s the best wearable I’ve ever used. However, at the same time I find it hard to recommend this first-generation Apple Watch. It’s clear that there are far too many obvious areas to improve upon, areas where Moore’s law will help to dramatically improve the experience. In the case of smartphones, Moore’s law made it possible to deliver true all-day battery life and fluid app performance. After spending a few months with the Apple Watch, all I can see is a need for more compute and battery life, like what happened with smartphones.

Finally, we get back to the question of whether Apple will be sell people on the concept of a watch. In the months since I first used the watch I’ve ended up wearing it every day. I distinctly noticed its absence when I forgot the charger on a trip. I don’t know if Apple will succeed in convincing others of the utility of a watch, but they’ve definitely convinced me.

To the despair of graph-lovers everywhere, the authors declare that they can’t figure out a standard method for testing battery life, because you can configure the Apple Watch and Android Wear to behave so differently on notifications. But I agree with their conclusion – what you begin to notice, increasingly, over time is the utility.
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Dropdowns should be the UI of last resort » LukeW

Luke Wroblewski:

No one likes filling in forms. And the longer or more complicated a form seems, the less likely we are to jump in and start filling in the blanks -especially on small screens with imprecise inputs (like our fingers).

dropdowns v tabs

While there’s two extra fields in the “painful” version above, the primary difference between these two flight booking forms is how they ask questions. One makes use of dropdown menus for nearly every question asked, the other uses the most appropriate input control for each question.

Dropdowns really are a pain, but it takes this post to point out quite why. There’s a longer writeup with links to video clips too.
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Start up: Fitbit’s problem, Google’s staff boom, Apple Watch keeps ticking, and more


Oh, that tsunami. Photo(montage) by arkhangellohim on Flickr.

A selection of 12 links for you. Use them wisely. I’m charlesarthur on Twitter. Observations and links welcome.

Fitbit’s dilemma: what problems will it solve better than other devices? » Mobile Forward

Hristo Daniel Ushev on the company that’s presently valued at $9bn (that’s the net present value of the stock market’s guess of its total future profits):

Smartwatches – at least the Android ones – will eventually rival the price of Fitbit’s high-end products. Fitbit will need to either make smarter products or lower-priced products. It doesn’t appear to have the basis for the former, and it likely won’t have the cost structure for the latter (compared to low-cost rivals). It might just maintain an existence in the US, where its installed base and brand are strong (today). I don’t doubt there will always be some consumers who prefer the Fitbit’s design, user interface, analytics, subscription services, or power efficiency.

But, at least in terms of the performance level visible today, Fitbit’s proficiency in those areas doesn’t appear to be unique enough to constitute a protect-able advantage.

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Earthquake experts on ‘The Really Big One’: Here’s what will actually happen in Seattle » GeekWire

Following the New Yorker article on the coming (but nobody knows when) earthquake around Seattle, some earthquake scientists did a Reddit AMA:

“Washington’s resilience plan estimates it could be months before all major transport routes are reopened, though emergency routes … will open up before that,” Doughton said. Bridge inspectors will be among the first responders, checking for small cracks that could lead to devastating failures soon after the quake.

With transportation down, supplies are going to be tight. Goetz recommends that residents keep a 7-to-10-day supply of food, water and essentials in case of a major earthquake, along with some supplies at work and in their car.

“Beyond supplies, I always encourage people to talk about their plans,” Goetz said, “especially around communication, which we know will be affected. Where will they be? How can they get back together? Where could they meet if not at home?”

She also suggests staying put once the quake starts.

“Getting on the roads will only create more congestion and depending on the damage to bridges and streets, you honestly may not get very far,” she said. “Smartest plan—take a protective action, keep yourself safe, check on others and help them afterwards.”

Yeeaah. Not quite going to buy that seaside condo in Seattle though.
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Toyota recalls 625,000 hybrids: Software bug kills engines by THERMAL OVERLOAD » The Register

Iain Thomson:

The recall is for Prius vehicles sold between 2012 and 2014, and affects 109,000 vehicles in the US, 340,000 in Japan, 160,000 in Europe, and sundry other locales. Toyota didn’t say how many cases the Prius had suffered, but did mention that there were no reports of injury as a result of the flaw.

“In the involved vehicles, the current software settings for the motor/generator control engine control unit (ECU) and hybrid control ECU could result in higher thermal stress in certain transistors, potentially causing them to become damaged,” Toyota said in the recall notice.

“If this happens, various warning lights will illuminate and the vehicle can enter a failsafe mode. In rare circumstances, the hybrid system might shut down while the vehicle is being driven, resulting in the loss of power and the vehicle coming to a stop.”

Seems not good.
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No more mobile fun: mobile game app users decrease for five consecutive months » BusinessKorea

Cho Jin-young:

The number of mobile game app users has decreased for the first time in the last two years. It clearly shows stagnation in the growth of the domestic mobile game market.

According to market research institution Nielsen Korea on July 14, the number of mobile game app users with Android OS stood at 19.95 million last month. The figure has decreased by 850,000, or 4.11 percent, from the 20.81 million of June last year. It is the first time in the last two years that the monthly number of game app users has shown a year-on-year decrease.

In particular, the number of game app users is on the decrease this year, even though the total number of mobile app users is steadily increasing.

Offered as a data point.
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Microsoft has finalized Windows 10 » The Verge

Tom Warren:

Microsoft has now finalized Windows 10, ready for its release later this month. Sources familiar with Microsoft’s plans tell The Verge that the software giant has selected build 10240 as the final release to manufacturing (RTM) copy, allowing PC makers to start loading the software onto new machines ready for release. We understand that Microsoft is signing off on the build internally today, and may announce the RTM publicly by the end of the week or choose to ignore the milestone and focus on the launch.

Goes live on 29 July, in case you’d forgotten.
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Preliminary Q2 2015 global smartphone market and observations » Tech.pinions

Ben Bajarin:

For Samsung, we believe shipments will be in the low 70m range, 73-74m to be exact. Our Apple estimates are for 53m units sold. Huawei announced 50m smartphones sold in the first half of 2015 which, by doing the math on first quarter sales, means 32m smartphones shipped. Xiaomi announced 34m smartphones shipped in first half of 2015 for first quarter shipments of 20m.

For philosophical reasons, I do not lump Lenovo and Motorolla sales together. If we were to combine the two, Lenovo would be #4 and Xiaomi #5.

Folks love to talk about Xiaomi but it is clear their initial target of 100m smartphones sold in 2015 is unlikely.

(This is content for subscribers; there’s more to it, obviously, and you can pay per-article.)
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Feb 2015: Google layoffs inevitable » blogorrhea

Kaz Thomas, in February 2015:

Google G+A expenses
With ad revenues leveling off and expenses skyrocketing (G&A has quadrupled in 5 years), Google is headed for a financial meltdown, and when it happens, the company will need to shave $2 billion a year off its $16 billion/yr in R&D and G&A costs, which means, if we count the fully burdened cost of a Google employee at $200K per year, it needs to shave 10,000 jobs.

Google has $100 billion in the bank, so the situation is hardly dire, but Wall St. likes to see expenses cut by some other method than hauling money out of the bank. They like to see a sound Income Statement, and very soon, Google’s Income Statement will be anything but sound.

On a percent-of-income basis, Google outspends Apple on R&D six-to-one. Where is that money going? Driverless cars, Google Glass, body odor patents. Stuff that doesn’t have a chance in hell of generating revenue any time soon. On the one hand, Google is to be credited with thinking long-term, something American companies don’t tend to do very well, but on the other hand, Google needs to execute well on the revenue side.

Now read on.
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Google takes stricter approach to costs » WSJ

Alistair Barr:

Google staff adds by quarter

Google will offer an update on its expenses on Thursday, when it reports second-quarter financial results after regular trading hours and Ms. Porat is expected to speak during a conference call with Google analysts for the first time. The company declined to comment for this article.

The clearest sign of the new attitude: Google added 1,819 employees in the first quarter, bringing its total to 55,419. That was the smallest increase since the final quarter of 2013; last year, Google added an average of 2,435 employees per quarter.

For many years, Google teams assumed they could add staff each year. Now, Google executives are selecting which groups can hire, based on the company’s strategic priorities. Since late last year, many Google teams have had to submit plans describing how additional employees will produce specific business objectives, such as increased revenue or more users.

For example, Google last year capped hiring at the struggling Google+ social-media division, while the Nest connected-home unit was given more leeway to grow, according to people familiar with the changes.

It’s been really evident since this article appeared that Wall Street really likes Google’s course of action here: its stock rose every day (until, of course, now I choose to link to it) from this article appearing.
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MacBook users outraged over ‘Staingate’ display damage » ZDNet

Adrian Kingsley-Hughes:

“We are a group of Apple customers that paid more than 2000 USD/EUR for a Macbook that is showing horrific stains in the screen,” writes the group on its website, Staingate.org.

“The stains can start as early as 7 months after the purchase. There is no clear pattern as to how it starts: some experience it in small spots around the edge, on other screens it appears in the middle as large patches.”

Apple claims that this is “cosmetic damage” and as such it is not covered by the warranty, leaving owners facing repair costs that can total up to $800.

The worst affected MacBooks appear to be those sold in 2013 but it seems that the problem dates back to 2009.

Seems to be a problem with the antiglare coating, as Kingsley-Hughes says. Currently over 3,000 people on the Staingate database. “Cosmetic”, perhaps, but cosmetic on the thing you look at all the time.
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Apple Watch, not dead yet » Re/code

Dawn Chmielweski:

To find another way to gauge the popularity of the Apple Watch, we consulted several veteran technology analysts with contacts in Apple’s manufacturing supply chain who claimed Slice’s data does not represent the whole market, and does not correspond to what they’re hearing from supplier sources.

Ben Bajarin of Creative Strategies said he is seeing production gain momentum, not decrease, as Apple moves into its September quarter. He has raised his own Apple Watch sales forecast based on research with suppliers, estimating Apple will sell 20m smartwatches this calendar year, up from his initial projection of 19m.

Information research firm IDC is hearing the same based on its ongoing source checks in the global manufacturing and supply chain. IDC said the Apple Watch appears to be selling as expected: Following an initial burst of interest from Apple enthusiasts, demand tapered off. But sales continue apace, and appear to be on track to reach about 21.2m units sold this year.

“What we’ve heard and what I’ve confirmed with other analysts is … [the Apple watch] is still growing,” said Ryan Reith, research director for IDC’s mobile devices team. “They’re expecting it to grow throughout the year.”

Wait to see how big the “Other” chunk is in Apple’s results next Tuesday, and how much changed from previous quarters.
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Have you been hacked? Take this quiz to find out » The New Republic

Has your information been compromised, perhaps without your knowing it? Only the hackers know, but perhaps this quiz can help.

Just answer yes – it’ll be quicker. (One of my emails is on this list. Sodding Adobe.) Or you could use the excellent Have I Been Pwned site, maintained by Troy Hunt.
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The web we have to save » Medium

Hossein Derakhshan, who was jailed in Iran for six years and only released seven months ago, on the changes he perceives:

the web started out by imitating books and for many years, it was heavily dominated by text, by hypertext. Search engines put huge value on these things, and entire companies — entire monopolies — were built off the back of them. But as the number of image scanners and digital photos and video cameras grows exponentially, this seems to be changing. Search tools are starting to add advanced image recognition algorithms; advertising money is flowing there.

But the Stream, mobile applications, and moving images: They all show a departure from a books-internet toward a television-internet. We seem to have gone from a non-linear mode of communication — nodes and networks and links — toward a linear one, with centralization and hierarchies.

The web was not envisioned as a form of television when it was invented. But, like it or not, it is rapidly resembling TV: linear, passive, programmed and inward-looking.

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Start up: Windows Phone hits the buffers, more Flash woes, do Google ads discriminate?, and more


If there’s a stream and nobody listens… hang on. Photo by jjjj56cp on Flickr.

A selection of 9 links for you. They flip, they bend, they twirl away. I’m charlesarthur on Twitter. Observations and links welcome.

Zero-day Flash player exploit disclosed in ‘Hacking Team’ data dump » The Hacker News

Swati Khandelwal:

While analyzing the leaked data dump, researchers discovered at least three software exploits – two for Adobe Flash Player and one for Microsoft’s Windows kernel.
Out of two, one of the Flash Player vulnerabilities, known as Use-after-free vulnerability with CVE-2015-0349, has already been patched.

However, the Hacking Team described the other Flash Player exploit, which is a zero-day exploit with no CVE number yet, as “the most beautiful Flash bug for the last four years.”
Symantec has also confirmed the existence of the zero-day flaw in Adobe Flash that could allow hackers to remotely execute code on a targeted computer, actually allowing them to take full control of it.

Researchers found a Flash zero-day proof-of-concept (POC) exploit code that, after testing, successfully worked on the most latest, fully patched version of Adobe Flash (version 18.0.0.194) with Internet Explorer.

Successful exploitation of the zero-day Flash vulnerability could cause a system crash, potentially allowing a hacker to take complete control of the affected computer.

Flash depresses me. I removed it from my machine some time ago; it’s basically a malware vector whose functions can almost always be replaced with HTML5 by normal users. See below.


How to enable click-to-play plugins in every web browser » Hot-To Geek

Chris Hoffman:

Most web browsers load Flash and other plug-in content as soon as you open a web page. Enable “click-to-play” plug-ins and your browser will load a placeholder image instead — click it to actually download and view the content.

Click-to-play allows you to conserve download bandwidth, improve page load times, reduce CPU usage, and extend laptop battery life. This feature gained popularity with Flashblock for Firefox and is now built into modern browsers.

Do this, for the safety of your system.


Satya Nadella email to employees on sharpening business focus » Microsoft News Center

Phones. Today, we announced a fundamental restructuring of our phone business. As a result, the company will take an impairment charge of approximately $7.6bn related to assets associated with the acquisition of the Nokia Devices and Services business in addition to a restructuring charge of approximately $750m to $850m.

This isn’t actual lost money, but lost value of the business – a “goodwill” writedown. The phones aren’t any more or less profitable as a result.

I am committed to our first-party devices including phones. However, we need to focus our phone efforts in the near term while driving reinvention. We are moving from a strategy to grow a standalone phone business to a strategy to grow and create a vibrant Windows ecosystem that includes our first-party device family.

Translation: phones that don’t run Windows are not needed. Say goodbye to those Nokia featurephones (24.7m in Q1, likely fewer in Q2, probably zero by Q4).

In the near term, we will run a more effective phone portfolio, with better products and speed to market given the recently formed Windows and Devices Group. We plan to narrow our focus to three customer segments where we can make unique contributions and where we can differentiate through the combination of our hardware and software. We’ll bring business customers the best management, security and productivity experiences they need; value phone buyers the communications services they want; and Windows fans the flagship devices they’ll love.

Translation: cheap Lumias continue; will do a flagship. Business customers will get support on whichever platform.

In the longer term, Microsoft devices will spark innovation, create new categories and generate opportunity for the Windows ecosystem more broadly. Our reinvention will be centered on creating mobility of experiences across the entire device family including phones.

Translation: phones aren’t so important, are they?


September 2013: The deal that makes no sense » Stratechery

Ben Thompson, back in September 2013:

Early this morning Microsoft acquired Nokia for €3.79 billion (plus €1.65 billion for patents). It is a deal that makes no sense.

While industry observers love to pontificate about mergers and acquisitions, the reality is that most ideas are value-destroying. It is far better to form an alliance or partnership; most of the benefits, none of the costs.

A partnership similar, in fact, to the one formed just two years ago between Microsoft and Nokia.

From Microsoft’s perspective, that was a brilliant deal; Matt Drance characterized it as “Microsoft Buys Nokia for $0B,” and he wasn’t far off. The premier pre-iPhone phone maker, with what was even then one of the best supply chains, distribution networks, and brands in the world would be exclusively devoted to Windows Phone.

There is nothing further to be gained by an acquisition.

Actually, turned out to have negative value, financially speaking. (The whole post is very well worth re-reading in hindsight.)


Two-Factor authentication » Apple Developer

Is going to be built in to iOS 9 and OSX 10.11 (aka “El Capitan”):

Whenever you sign in with your Apple ID on a new device or browser, you will verify your identity by entering your password plus a six-digit verification code. The verification code will be displayed automatically on any Apple devices you are already signed in to that are running iOS 9 or OS X El Capitan. Just enter the code to complete sign in. If you don’t have an Apple device handy, you can receive the code on your phone via a text message or phone call instead.

Once signed in, you won’t be prompted for a verification code again on that device unless you erase your device, remove it from your device list, or need to change your password for security reasons. When signing in on the web, you can choose to trust your browser so you won’t be prompted for a verification code the next time you sign in from that computer.

The problem with 2FA is always “what if I lose my phone?” Google gets around this by letting you have printed codes that act as verification numbers; it’s a good idea that Apple might do well to take up.

But this looks a lot better than the version used at present in iCloud.


Study suggests Google’s ad-targeting system may discriminate » MIT Technology Review

Tom Simonite:

Researchers from Carnegie Mellon University and the International Computer Science Institute built a tool called AdFisher to probe the targeting of ads served up by Google on third-party websites. They found that fake Web users believed by Google to be male job seekers were much more likely than equivalent female job seekers to be shown a pair of ads for high-paying executive jobs when they later visited a news website.

AdFisher also showed that a Google transparency tool called “ads settings,” which lets you view and edit the “interests” the company has inferred for you, does not always reflect potentially sensitive information being used to target you. Browsing sites aimed at people with substance abuse problems, for example, triggered a rash of ads for rehab programs, but there was no change to Google’s transparency page.

What exactly caused those specific patterns is unclear, because Google’s ad-serving system is very complex. Google uses its data to target ads, but ad buyers can make some decisions about demographics of interest and can also use their own data sources on people’s online activity to do additional targeting for certain kinds of ads. Nor do the examples breach any specific privacy rules—although Google policy forbids targeting on the basis of “health conditions.” Still, says Anupam Datta, an associate professor at Carnegie Mellon University who helped develop AdFisher, they show the need for tools that uncover how online ad companies differentiate between people.

Google didn’t respond to the researchers’ requests. But, oddly, it changed the language on that transparency page. This is the AdFisher study


Apple Music and the listener-to-buyer ratio » Music Industry Blog

Mark Mulligan on the maths of streaming v buying:

What quickly becomes apparent is that the most viable route to ensuring Apple Music streaming revenue offsets the impact of lost iTunes sales revenue is as big an installed base of streaming users as possible. The more Apple Music users there are, the more likely more of them will find and listen to your music. This is why the scale argument so is so important for streaming and also why small labels feel the effect less quickly. If you have a vast catalogue you don’t need to worry too much about the listener-to-buyer ratio because you have so many tracks that you are a much bigger target to hit. The laws of probability mean that most users are going to listen to some of your catalogue.

Let’s say you are a big major with 1 million tracks out of the 5 million tracks that get played to any meaningful degree in streaming services. That gives you a 20% market share. But if you are an independent with 50,000 tracks that gives you 1%, 20 times less than the major. Which means that you are 20 times less likely to have your music listened to. And that is without even considering the biases that work in favour of the majors such as dominating charts and playlists, and other key discovery points.


YouTube gaming star PewDiePie ‘earned $7m in 2014’ » BBC News

YouTube continues to be a profitable enterprise for its top tier stars, who earn money from advertisements placed around their videos.

The site’s terms and conditions forbid creators from disclosing how much they earn, but on Monday gamer Olajide Olatunji, known as KSI, told the newspaper Metro he had earned enough money to buy his parents a house.

Although some stars supplement their income with product placement deals, [Felix] Kjellberg [aka PewdiePie] says he does not do very many.

“I make more than I need from YouTube,” he wrote on Reddit. “With that freedom, but also to respect my fans for making that possible, I don’t end up doing many endorsements.”

[Ian] Maude [of Enders Analysis] has a word of caution for anybody eyeing up YouTube with dreams of becoming a millionaire.

“As with many things, a few people at the top do exceptionally well but there’s a long tail of people who don’t make any money at all,” he said.

Why can’t they disclose how much they earn?


Apple Watch sales plunge 90% » MarketWatch

Brett Arends:

two-thirds of the watches sold so far have been the lower-profit “Sport” version, whose price starts at $349, according to Slice, rather than the costlier and more advanced models that start at $549.

In an ambitious bid for the luxury market, Apple also unveiled a gold “Edition” model priced at $10,000 or more. So far, fewer than 2,000 of them have been sold in the U.S., Slice contends.

Slice bases its research on electronic receipts sent to millions of email addresses following purchases. The company conducts market research on behalf of consumer-goods companies, among others, many of them in the Fortune 500.

Wall Street has been desperately trying to work out how well the new watch has been selling, but Apple has been refusing to say. The company, which in the past has updated Wall Street on the sales of new products soon after the launch, has yet to release any numbers about the watch.

Those Edition watches will have made a ton of profit. But apparently the fall in sales is “ominous”. Seems like about 3m sold in the US in the quarter. That’s about four times the number of Android Wear devices sold in seven months or so from multiple manufacturers at lower prices worldwide last year. Ominous.


Start up: uncommenting The Verge, Siri v lights, the washing machine trials, web ad delights, and more


Life without the Apple Watch: which word fits? Photo by alexknowshtml on Flickr.

A selection of 8 links for you: laugh and point at the screen as though you found something funny. I’m charlesarthur on Twitter. Observations and links welcome.

We’re turning comments off for a bit » The Verge

Nilay Patel, editor-in-chief:

What we’ve found lately is that the tone of our comments (and some of our commenters) is getting a little too aggressive and negative — a change that feels like it started with GamerGate and has steadily gotten worse ever since. It’s hard for us to do our best work in that environment, and it’s even harder for our staff to hang out with our audience and build the relationships that led to us having a great community in the first place.

That’s a bad feedback loop, and we want to stop it. So we’re going to call timeout for a while and turn comments off by default on all posts for the next few weeks. It’s going to be a super chill summer.

We’re still dedicated to community, so our forums will remain open — in fact, we’ll be doing more to promote great posts from the forums on our front page and on our social channels than ever before. And we’ll be turning comments on on a post-by-post basis when we want to open things up, so look for that.

But in the meantime, let’s all take that minute and relax. Let someone else curate your playlists, you know? Comments will be back. There will always be another party. Freedom lasts forever.

I refer the honourable ladies and gentlemen to my analysis from last November of how Gresham’s Law explains precisely this phenomenon. We’ll see how the “comments will come back, honest” works out.

And here’s the Verge forum discussing it. Guess which tech company the discussion quickly degenerates into accusing The Verge of favouring? It’s the tech version of Godwin’s Law, and just as corrosive.


Aparna Chennapragada, head of Google Now, discusses apps, search, AI » Re/code

Mark Bergen:

Chennapragada spelled out the three-pronged direction of the product — what she called the “bets” her team is taking. The first bet was embedding Now with Google’s full “Knowledge Graph” — the billions-thick Web of people, places and things and their many interconnections.

The second is context. Now groks both the user’s location and the myriad of signals from others in the same spot. If you enter a mall, Now will tailor cards to what people in that mall typically ask for. “Both your feet are at the mall. You shouldn’t have to spell it out,” Chennapragada said. “Why should I futz with the phone and wade through 15 screens?”

And this is where the third benchmark for Now comes in: Tying that context to the apps on your phone, or ones you have yet to download. In two years, Google has indexed some 50 billion links within apps. In April, it began listing install links to apps deemed relevant in search. Indexed apps will be included in Now on Tap when it arrives in the latest Android version this fall.

Your phone knows you’re at the mall. Is this a place where I need my phone to know I am? I find these scenarios puzzling, because “things I might be at the mall to do” are truly difficult to narrow down, and enunciate, and likely aren’t the same between visits. The times I’d need Google Now to leap into action would be when I found myself somewhere unscheduled and without transport. That’s when I want help.


Hacking Team responds to data breach, issues public threats and denials » CSO Online

Steve Ragan:

Newly published documents from the cache include invoices for services with Italian law enforcement, Oman, South Korea, UAE, Kazakhstan, Mongolia, Lebanon, Germany, Saudi Arabia, Mexico, Brazil, Singapore, Egypt, and Vietnam. The total value of the invoices is €4,324,350 Euro.

The hack went without comment for several hours, until members of Hacking Team woke on Monday morning. One of the company’s staffers, Christian Pozzi, offered several comments on the breach, despite his statement that he couldn’t comment.

“We are awake. The people responsible for this will be arrested. We are working with the police at the moment,” Pozzi wrote.

“Don’t believe everything you see. Most of what the attackers are claiming is simply not true…The attackers are spreading a lot of lies about our company that is simply not true. The torrent contains a virus…”

Pozzi took to Twitter to repeat the same message for the most part, the key points being that Hacking Team is working with law enforcement on this matter, that the massive torrent file has malware in it (it doesn’t), customers are being notified, and that his company has done nothing illegal: “… We simply provide custom software solutions tailored to our customers needs…”


My week without Apple Watch » Tech.pinions

Ben Bajarin:

When I had the Apple Watch on, I averaged 28 fewer times I looked at my iPhone each day. This is a good proxy of how notifications on the watch help minimize the number of times I need to look at my phone to see the nature of each notification.

After reflecting on what looking at my phone fewer times meant in my daily life, I concluded the experience was less disruptive. Don’t get me wrong — I love my iPhone. It is my primary computer. However, having to respond to your phone or pull it out of your pocket or bag for each phone call or text message turns out to be fairly disruptive. As I’ve observed my wife’s behavior as well with her Apple Watch, she articulates similar feelings. As she is out and about, not having to fumble through her purse each time her phone dings is a less disruptive experience in many daily situations. Particularly since not all notifications are important or in need of an immediate response. However, without the use of the Apple Watch, you would not know this without getting your phone out and looking at it. This is an area of immense value that can only be understood once experienced.

I’d agree with this: I’m using an Apple Watch, and the value in not having to have your phone right there is substantial – but also difficult to quantify, because of course you can do without it. Filtering notifications matters; but being able to see or respond to the ones you deem urgent matters a lot.

(If you have an Apple Watch, Bajarin is working with a company called Wristly to do research; you could join.)


Hats off to web advertising. No, really. » WSJ

Chris Mims:

Vast advertising markets that had to decide what ad to show in milliseconds meant that from the very beginning of internet advertising, unprecedented amounts of data were flowing into growing quantities of computing power.

Like a kind of Manhattan project for data, solving the problem of ad matching and delivery meant taking formerly obscure areas of research and transforming it into something everyone could use. “Powerful machine learning techniques were just starting to be developed in academia,” says [Gokul] Rajaram [formerly lead engineer at early ad network Juno, then Google and Facebook, and now at Square], but ad networks would have been impossible without them.

As I researched, I discovered the alumni of ad tech platforms are everywhere, launching startups and leading projects within established companies. What they all have in common is an unusual and broadly powerful toolkit that is being applied to everything from agricultural drones and cybersecurity to food safety and the improvement of hiring practices.

It’s a fair point: we love to hate ads, but the necessity of making them work has driven a lot of improvement.


Here’s what it’s like to control your lights with Siri » The Verge

Jacob Kastrenakes:

If you’re anything like me, you’ll immediately begin using this ability to mess with the people you live with: turning off lights so that they’re sitting in a dark room, turning on a light while they’re set up to watch Netflix. I didn’t see the Siri control as much more than a novelty at first, but the utility became more apparent once I set up two lamps in the same room. At that point, it became easier to turn them on and off simultaneously with Siri than to walk over to each one individually. It’s a basic start, but there’s so much more you could do once additional pieces of the home become connected.

Must be a hell of a big room for it to be easier to talk to the phone than to stand up. Also, what is the “so much more” you can do? Lights are the classic “wrong application”: we usually turn lights on when we enter a room, turn them off when we leave. In between, there’s hardly ever anything we want to do to them – and if we do, then it’s either a short reach, or a couple of steps. Pretending otherwise is automation for its own sake.

Home automation still needs really simple sensors and actuators that we can fit ad-hoc to things we choose, not devices where it’s built-in but not actually useful.


Chaebol slapfight: Samsung, LG in first trial over washing machine vandalism » BusinessKorea

Cho Jin-young:

In the first trial between the two Korean home appliance giants, the legal representatives for LG gave an item-by-item rebuttal of the allegations that CEO Cho Seong-jin and two other officials at the company broke the doors of three Samsung washing machines intentionally. 

“The doors of the front-door washing machines are big and heavy, so they can naturally tilt downward to some extent and swing a little bit, which can be easily found in other washing machines,” a legal representative for LG appealed.

The attorney also raised suspicions about the authenticity of the damaged washing machines presented to the court as evidence, arguing that the products seemed to have had more scratches than before, and that they could not be the results of Cho touching the washers.

What’s “de minimis non curat lex” in Korean? (Also: “first” trial?)


YouTube is the No.1 music streaming platform – and getting bigger » Music Business Worldwide

Scary news for those who don’t feel YouTube is paying music rights-holders enough: it’s the biggest music streaming service on earth, and it’s growing faster than Spotify or any of its rivals.

That’s according to MBW analysis of the latest market stats out of the UK and US, which show that YouTube increased its market share of total on-demand streams in the first six months of this year on both sides of the Atlantic.

In the first half of 2015 in the US, overall on-demand streams grew 92.4% year-on-year to 135.2bn.

The majority of this growth was down to YouTube (plus Vevo and other video services), which saw a stream volume increase of 109.2% to 76.6bn.

Though it seems like Vevo is a big player in this. But yes, YouTube swamps everything else.