Will Blackberry Embrace Android?

BlackBerry Ltd’s move to embrace Android, although geared towards lifting revenue from its software and device management segment, could inadvertently give its device arm a new lease on life.

“From the standpoint of marketing, this is a great way for BlackBerry to get visibility. It really doesn’t hurt them much, and the upside is high,” said Rob Enderle, who runs technology consulting firm Enderle Group.

Enderle and other financial and tech analysts agree that the move by BlackBerry does present its own set of challenges as the company would have to support two platforms and potentially put some resources into marketing an Android device, but with little to lose most agree it comes with little downside.

“If Android has one significant weakness it is security and that’s just the thing that BlackBerry can fix, so it could play out pretty well and I am actually quite surprised that they did not try this sooner,” said Enderle, adding that BlackBerry has to deliver a compelling device in order for the gambit to work.

Reuters reported last week that BlackBerry was considering a move to test run Android on its upcoming slider device, as part of a bid to convince potential corporate and government clients that its device management system, BES12, is truly able of manage and secure not just BlackBerry devices, but also devices powered by Google’s Android, Apple’s iOS and Microsoft’s Windows operating system.

“In order for BES12 to succeed it has to be viewed by all as platform agnostic, and what better way to demonstrate that other than by doing it yourself,” said Ramon Llamas, an analyst with technology research firm IDC.

BlackBerry, which once dominated the smartphone market, has seen its market share drop to under 1 percent, as the iPhone and a slew of Android devices from Samsung have captured market share. John Chen, a turnaround expert brought in to fix its slide, is now pivoting BlackBerry to focus more on its well-regarded software and device management business.

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Can MB Challenge Tesla?

On the heels of Tesla announcing a home and commercial battery product line, Mercedes-Benz unveiled its own brand of energy storage products for those with solar systems to store surplus power.

The Mercedes-Benz energy storage plants for private use are available for order now and are expected to ship in September.

The batteries were first developed for cars, but Mercedes-Benz said the energy storage units “meet the very highest safety and quality standards” for home use.

Up to eight battery modules with an energy capacity of 2.5 kWh can be combined into an energy storage plant with a capacity of 20 kWh.

“Households with their own photovoltaic systems can thus buffer surplus solar power virtually free of any losses,” the carmaker said in a statement.

What wasn’t announced by Mercedes-Benz was information about the size of or pricing for the new batteries.

In May, Tesla announced its Powerwall batteries for home use and its Powerpack batteries for commercial use. Today, Tesla CEO Elon Musk announced his company would double the power output of the Powerwall batteries but keep their prices the same.

Tesla’s Powerwall batteries will go from having a two-kilowatt (kW) steady power output and 3.3kW peak output to a 5kW steady output and 7kW peak output, Musk said. The price of the batteries will remain the same: $3,000 for the 7kW/hour (KWh) daily cycle version and $3,500 for the 10kWh backup UPS version. Total installation cost will run around $4,000, according to Musk.

Up to nine Powerwall battery units can be daisy-chained together on a wall to provide up to 90kWh of power.

The average U.S. household uses about 20 kWh to 25 kWh of power every day, according to GTM Research.

Tesla Energy’s new commercial-grade battery is called the Powerpack, and will sell in 100kWh modules for $25,000 each. Musk said the Powerpack can scale infinitely, even powering factories and small cities.

Mercedes-Benz’s batteries, being produced by subsidiary Deutsche Accumotive, are its first industrial-scale lithium-ion units, and they’ve already been tested “on the grid,” the company said.

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Acer Shifts Focus To IoT

Acer is still churning out PCs, but the Taiwanese vendor is far more bullish about the Internet of Things (IoT), a market the company doesn’t want to miss out on.

Acer held a news conference not for a new consumer product, but to promote an upcoming miniature PC that will be sold to developers.

The PC, called the aBeing One, will arrive in the third quarter, and is aimed at developers working in the IoT area. It’s designed to connect to smart home and wearable products, and act as a hub that can analyze incoming data from the devices.

The PC vendor has spoken to many IoT companies looking for an affordable hardware system they can develop on, said Robert Wang, a general manager with Acer.

“Fast-moving IoT developers keep running into this issue,” he said after Acer’s news conference. “Now they can buy from us.”

It’s a big change for the vendor, given that it once focused on selling consumer notebooks. However, with PC sales sagging and competition rife in the mobile devices area, the company has been shifting toward enterprise products.

That emphasis was apparent at this week’s Computex show in Taipei. Acer notebooks and tablets were still on display, but equal billing was given to itscloud computing business, which is starting to power IoT devices, not only from Acer, but also its clients.

In addition, Acer is hoping to pave the way for more third-party IoT devices. It has partnered with Canonical to install a version of Ubuntu on its aBeing product, so that the hardware can serve Ubuntu developers working on smart connected gadgets.

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Facebook To Require Stronger Digital Signature

Facebook will require application developers to adopt a more secure type of digital signature for their apps, which is used to verify a program’s legitimacy.

As of Oct. 1, apps will have to use SHA-2 certificate signatures rather than ones signed with SHA-1. Both are cryptographic algorithms that are used to create a hash of a digital certificate that can be mathematically verified.

Apps that use SHA-1 after October won’t work on Facebook anymore, wrote Adam Gross, a production engineer at the company, in a blog post.

“We recommend that developers check their applications, SDKs, or devices that connect to Facebook to ensure they support the SHA-2 standard,” Gross wrote.

SHA-1 has been considered weak for about a decade. Researchers have shown it is possible to create a forged digital certificate that carries the same SHA-1 hash as legitimate one.

The type of attack, called a hash collision, could trick a computer into thinking it is interacting with a legitimate digital certificate when it actually is a spoofed one with the same SHA-1 hash. Using such a certificate could allow an attacker to spy on the connection between a user and an application or website.

Microsoft, Google, Mozilla and other organizations have also moved away from SHA-1 and said they will warn users of websites that are using a connection that should not be trusted.

The Certificate and Browser Forum, which developers best practices for web security, has recommended in its Baseline Requirements that digital certificate issuers stop using SHA-1 as of Jan. 1.

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IRS Reducing Size Of Cybersecurity Staff

The Internal Revenue Service, which confirmed rumors of a breach of 100,000 taxpayer accounts, has been consistently reducing the size of its internal cybersecurity staff as it increases its security spending. This may seem paradoxical, but one observer suggested it could signal a shift to outsourcing.

In 2011, the IRS employed 410 people in its cybersecurity organization, but by 2014 the headcount had fallen by 11% to 363 people, according to annual reports about IRS information technology spending by the U.S. Treasury Department Inspector General.

Despite this staff reduction, the IRS has increased spending in its cybersecurity organization. In 2012, the IRS earmarked $129 million for cybersecurity, which rose to $141.5 million last year, an increase of approximately 9.7%.

This increase in spending, coupled with the reduction in headcount, is an indicator of outsourcing, said Alan Paller, director of research at the SANS Institute. Paller sees risks in that strategy.

“Each organization moves at a different pace toward a point at which they have outsourced so much that the insiders do little more than manage contracts, and lose their technical expertise and ability to manage technical contractors effectively,” said Paller.

An IRS spokesman was not able to immediately answer questions about the IRS’s cybersecurity spending.

This breach is drawing congressional scrutiny. On Tuesday, U.S. Senator Orrin Hatch (R-Utah), who heads the Senate Finance Committee, called the breach “unacceptable.”

The IRS’s total IT budget in 2014 was $2.5 billion, an increase from the prior year’s $2.3 billion, with 7,339 employees last year, little change from 7,303 reported in 2013.

The agency’s IT budget has fared better than the agency overall. Congress has been cutting spending at the agency. IRS funding has been reduced by $1.2 billion over the last five years, from $12.1 billion in 2010 to $10.9 billion this year. An IRS official told lawmakers earlier this year that the budget cuts have delayed critical IT investments of more than $200 million, which includes replacing aging IT systems.

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FCC To Tighten Rules On Robocalls

The top U.S. telecommunications regulator wants to make it more difficult for telemarketers and other businesses to robocall and text messages consumers under changes to autodialing rules being proposed.

The Federal Communications Commission plans to vote on June 18 on the proposal, which would give legal cover to telephone companies to offer consumers technologies that would block robocalls, regardless of where they originate.

“The FCC wants to make it clear: Telephone companies can – and in fact should – offer consumers robocall-blocking tools,” FCC Chairman Tom Wheeler said in a blog post.

The wireless carriers have worried that blocking automated calls could be construed as violations of the law that requires them to ensure that all calls placed over their networks reach their intended recipients.

The proposal would also reassert that consumers have to agree to receive automated calls and texts and clarify that they can revoke their consent in any “reasonable” way, including a simple request for calls to stop, without the need to file convoluted paperwork.

Robocalls and robotexts are by far the most common cause of consumer complaints at the FCC, topping 215,000 in the last year alone. Consumer advocates and the majority of U.S. states attorneys general had pressed the FCC to clarify the robocall rules.

Numerous business associations, including the U.S. Chamber of Commerce, have also pushed for clarifications, facing a growing number of lawsuits prompted by violations such as calling cellphone users whose numbers used to belong to someone else.

The FCC’s proposal would reassert that companies should try to avoid numbers reassigned to consumers who have not agreed to receive their calls. If they do not know that a number has been reassigned, they are allowed one call to find out.

The business community had also complained that some lawsuits unfairly target them for using dialing technologies that could be modified to become autodialers. FCC officials said any technology with the capacity to dial random or sequential numbers qualifies as an autodialer, even if it would require modification.

U.S. law prohibits telemarketing calls to both landline and cellphones of consumers who have not given written consent.

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Will A.I. Create The Next Industrial Revolution?

Artificial Intelligence will be responsible for the next industrial revolution, experts in the field have claimed, as intelligent computer systems replace certain human-operated jobs.

Four computer science experts talked about how advances in AI could lead to a “hollowing out” of middle-income jobs during a panel debate hosted by ClickSoftware about the future of technology.

“It’s really important that we take AI seriously. It will lead to the fourth industrial revolution and will change the world in ways we cannot predict now,” said AI architect and author George Zarkadakis.

His mention of the “fourth industrial revolution” refers to the computerization of the manufacturing industry.

If the first industrial revolution was the mechanisation of production using water and steam power, followed by the second which introduced mass production with the help of electric power, then the third is what we are currently experiencing: the digital revolution and the use of electronics and IT to further automate production.

The fourth industrial revolution, which is sometimes referred to as Industry 4.0, is the vision of the ‘smart factory’, where cyber-physical systems monitor physical processes, create a virtual copy of the physical world and make decentralized decisions.

These cyber-physical systems communicate and cooperate with each other and humans in real time over the Internet of Things.

Dan O’Hara, professor of cognitive computing at Goldsmiths, University of London, explained that this fourth industrial revolution will not be the same kind of “hollowing out” of jobs that we saw during the last one.

“It [won’t be] manual labour replaced by automation, but it’ll be the hollowing out of middle-income jobs, medium-skilled jobs,” he said.

“The industries that will be affected the most from a replacement with automation are construction, accounts and transport. But the biggest [industry] of all, remembering this is respective to the US, is retail and sales.”

O’Hara added that many large organisations’ biggest expense is people, who already work alongside intelligent computer systems, and this area is most likely to be affected as companies look to reduce costs.

“Anything that’s working on an AI-based system is bound to be very vulnerable to the replacement by AI as it’s easily automated already,” he said.

However, while AI developments in the retail space could lead to the replacement of jobs, it is also rather promising at the same time.

Mark Bishop, professor of cognitive computing at Goldsmiths, highlighted that AI could save businesses money if it becomes smart enough to determine price variants in company spending, for example, scanning through years of an organisation’s invoice database and detecting the cheapest costs and thus saving on outgoings.

While some worry that AI will take over jobs, others have said that they will replace humans altogether.

John Lewis IT chief Paul Coby said earlier this year that the blending of AI and the IoT in the future could signal the end of civilisation as we know it.

Coby explained that the possibilities are already with us in terms of AI and that we ought to think about how “playing with the demons” could be detrimental to our future.

Apple co-founder Steve Wozniak added to previous comments from Stephen Hawking and Elon Musk with claims that “computers are going to take over from humans”.

Woz made his feelings on AI known during an interview with the Australian Financial Review, and agreed with Hawking and Musk that its potential to surpass humans is worrying.

“Computers are going to take over from humans, no question. Like people including Stephen Hawking and Elon Musk have predicted, I agree that the future is scary and very bad for people,” he said.

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Are Cyber Criminals Hard To Catch?

Despite 100,000 cyber crimes being committed every year UK authorities only caught 12 hackers.

In fact on average just one person was convicted of an offence under the Computer Misuse Act every month for the past 23 years.

We assume that it was not the same bloke, because he would be the most luckless criminal ever.

Campaigners from the Digital Trust, which supports victims of online abuse, said police do not know how to cope with the problem.

Need more laws

Criminal justice expert Harry Fletcher, who is a director of the Digital Trust, said: “The police still concentrate their resources on traditional offences offline, but most people are more likely to be mugged online than in the street.

“The law needs to change. It should, for example, be an offence to use any technological device to locate, listen to or watch a person without legitimate purpose.

“In addition, restrictions should be placed on the sale of spyware without lawful reasons. It should also be against the law to install a webcam or any other form or surveillance device without the target’s knowledge.”

Of course just creating new laws is not going to mean that more hackers will be caught, it will just mean that there are more crimes which they could be arrested for.

The conviction rate against hackers are not bad, if the coppers do arrest someone. Between 1990 to 2006 only 183 defendants were proceeded against and 134 found guilty under the Computer Misuse Act.

Unfortunately the Trust did not see, to realize that a lot of the hacks against companies and individuals come from overseas, particularly Russian or China. Changing laws in the UK would not change anything.

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LinkedIn Acquires Startup Refresh

In a move that could produce even more automated suggestions and tips for LinkedIn users, the professional network has purchased California startup Refresh, the maker of an app that gathers news and insights about participants in meetings.

Launched three years ago, Refresh is designed to be a “digital briefing book” that can call up online information related to people that users are scheduled to meet. The information can be anything from blog posts, news articles or Facebook posts to personal notes or favorite sports teams.

The Refresh mobile and desktop app is aimed at helping people relate to one another more quickly, but it can also be used to refresh one’s memory when running into acquaintances unexpectedly.

The details of the deal were not disclosed. Refresh has stopped taking on new users and its app will shut down April 15.

“Refresh has surfaced insights associated with hundreds of millions of meetings, and has been central to countless connections and closed deals,” co-founder Bhavin Shah wrote on the Refresh blog in announcing the deal.

LinkedIn already has an app called Connected that was somewhat of a rival to Refresh. It can log the people users have met and offer updates and information about interests shared with “connections,” which are acquaintances in the LinkedIn lingo. It’s unclear whether Refresh features will be added to Connected or the LinkedIn website itself.

“Our team will focus its efforts on providing LinkedIn members with more insights to help them better do their jobs,” Shah wrote.

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Panasonic Appears To Be On The Hunt

Japanese electronics giant Panasonic Corp said it is gearing up to spend 1 trillion yen ($8.4 billion) on acquisitions over the next four years, bolstered by a stronger profit outlook for its automotive and housing technology businesses.

Chief Executive Kazuhiro Tsuga said at a briefing on Thursday that Panasonic doesn’t have specific acquisition targets in mind for now. But he said the firm will spend around 200 billion yen on M&A in the fiscal year that kicks off in April alone, and pledged to improve on Panasonic’s patchy track record on big deals.

“With strategic investments, if there’s an opportunity to accelerate growth, you need funds. That’s the idea behind the 1 trillion yen figure,” he said. Tsuga has spearheaded a radical restructuring at the Osaka-based company that has made it one of the strongest turnaround stories in Japan’s embattled technology sector.

Tsuga previously told Reuters that company was interested in M&A deals in the European white goods market, a sector where Panasonic has comparatively low brand recognition.

The firm said on Thursday it’s targeting operating profit of 430 billion yen in the next fiscal year, up nearly 25 percent from the 350 billion yen it expects for the year ending March 31.

Panasonic’s earnings have been bolstered by moving faster than peers like Sony Corp and Sharp Corp to overhaul business models squeezed by competition from cheaper Asian rivals and caught flat-footed in a smartphone race led by Apple Inc and Samsung Electronics. Out has gone reliance on mass consumer goods like TVs and smartphones, and in has come a focus on areas like automotive technology and energy-efficient home appliances.

Tsuga also sought to ease concerns that an expensive acquisition could set back its finances, which took years to recover from the deal agreed in 2008 to buy cross-town rival Sanyo for a sum equal to about $9 billion at the time.

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