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U.S. Cloud Vendors Hurt By NSA

September 4, 2013 by  
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Edward Snowden’s public unveiling of the National Security Agency’s Prism surveillance program could cause U.S. providers of cloud-based services to lose 10% to 20% of the foreign market — a slice of business valued at up to $35 billion.

A new report from the Information Technology & Innovation Foundation (ITIF) concludes that European cloud computing companies, in particular, might successfully exploit users’ fears about the secret data collection program to challenge U.S. leadership in the hosted services business.

Daniel Castro, author of the report, acknowledges that the conclusions are based, so far, on thin data, but nonetheless argues that the risks to U.S. cloud vendors are real.

Indeed, a month prior, the Cloud Security Alliance reported that in a survey of 207 officials of non-U.S. companies, 10% of the respondents said that they had canceled contracts with U.S. service providers after Snowden’s leak of NSA Prism documents earlier this year.

“If U.S. companies lose market share in the short term, it will have long-term implications on their competitive advantage in this new industry,” said Castro in the ITIF report. “Rival countries have noted this opportunity and will try to exploit it.”

To counter such efforts, the U.S. must challenge overstated claims about the program by foreign companies and governments, said Jason Weinstein, a partner in the Washington office of law firm Steptoe & Johnson and a former federal prosecutor and deputy assistant attorney general specializing in computer crime.

“There are a lot of reasons to be concerned about just how significant those consequences will be,” Weinstein said. “The effort by European governments and European cloud providers to cloud the truth about data protection in the U.S. was going on well before anyone knew who Edward Snowden was. It just picked up new momentum once the Prism disclosures came out.”

Weinstein contends that European countries have fewer data protection rules than the U.S.

For example, he said that in the U.K. and France, a wiretap to get content can be issued by a government official without court authority, but that can’t happen in the U.S.

“U.S. providers have done nothing other than comply with their legal obligations,” he said. But because of Snowden’s leaks, “they are facing potentially significant economic consequences.”

Gartner analyst Ed Anderson said his firm has yet to see any revenue impact on cloud providers since the Prism disclosures, but added, “I don’t think Prism does U.S. providers any favors, that’s for sure.”

Nonetheless, Anderson added, “I think the reality is [the controversy] is likely to die down over time, and we expect adoption to probably continue on the path that it has been on.”

One reason why U.S. providers may not suffer is because “the alternatives aren’t great if you are a European company looking for a cloud service,” he said.

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Intel Launches 530 Series SSD

August 9, 2013 by  
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Intel’s new SSD 530 series was detailed a while ago, but now it is finally official. Intel has formally announced the new drives in three form factors: mSATA, M.2 and 2.5-inch.

The drives will be available in a wide range of capacities, starting at 80GB, through 120GB, 180GB, 240GB, 360GB and 480GB for 2.5-inch drives. As for M.2 and mSATA drives, they will be available in 80GB, 120GB, 180GB and 360GB capacities.

Intel’s new 530 drives are based on 20nm MLC flash and the brains behind the brawn come from LSI, in the form of the SandForce SF-2281 controller. Although transfer speeds will vary depending on capacity, the fastest 530-series drives will deliver read speeds of up to 540MB/s and write at 490MB/s. As for random performance, they boast 41k IOPS in random read and 80k IOPS in random write.

Intel also says the 530-series is its most power efficient storage product to date, which is hardly surprising, but it is good news for notebook vendors who will use mSATA units.

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BlackBerry’s Secure Goes To iOS

July 1, 2013 by  
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BlackBerry continues to expand its support for Android and iOS with Secure Work Space, which separates work and personal apps and data, as the device maker tries to hold on to enterprise users by becoming more platform neutral.

Remaining relevant in a world where more than 9 out of 10 smartphones shipped are based on either Google’s Android or Apple’s iOS isn’t easy for BlackBerry. But the company still has fans in enterprise IT departments and hopes to remain an option for users by continuing to embrace the two dominant platforms. The company can already manage devices based on Android and iOS, and support for BlackBerry Messenger is on the way.

BlackBerry announced Secure Work Space in March and has now made good on a promise to ship it before June 30. The software is an add-on to BlackBerry Enterprise Service (BES) 10, and it adds a managed container to protect corporate data and applications running on Android and iOS devices.

Users get integrated email, calendar and contacts, as well as secure browser access to intranets and document editing capabilities. Data is protected both when stored on the device and when transferred to and from enterprise servers, according to BlackBerry.

“The concept is right and very similar to what AT&T offers with Toggle. Creating two different “personas” on mobile devices is becoming a best practice for enterprises. Buying it from BlackBerry is probably most relevant for enterprises that have a major commitment to BlackBerry 10 and BES 10,” said Leif-Olof Wallin, research vice president at Gartner.

On BlackBerry 10 smartphones, BlackBerry has tightly integrated a personal and a work environment with the Balance feature.

BlackBerry is far from the only vendor that has adopted this concept. One competitor is Good Technology, which on Tuesday announced a whole host of new applications compatible with its Dynamics Security Mobility platform, which includes support for both app wrapping and encrypted app containers. The list of newcomers includes Mobility for SAP and remote access app Splashtop.

But for those interested in Secure Work Space, which is based on software from OpenPeak, the BES 10 server software is free to download. Annual client access licenses for Secure Work Space are $99 per year and device. For enterprises that want to get their feet wet, the platform is also available as a 60-day free trial bundle that includes device management for BlackBerry 10, iOS and Android devices, as well as Secure Work Space licenses for 50 users.

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Will Foxcomm Invade The US?

December 17, 2012 by  
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Foxconn Technology Group is weighing whether or not to expand its existing manufacturing operations in the U.S., in a move that could be linked with Apple’s plan to bring back Mac manufacturing to the country.

Foxconn made the statement last Friday after Apple CEO Tim Cook said in interviews with NBC and Businessweek that Apple would manufacture one of its Mac lines in the U.S. by the end of next year.

“So we’ll literally invest over $100 million,” Cook said. “This doesn’t mean that Apple will do it ourselves, but we’ll be working with people, and we’ll be investing our money.”

Analysts said Foxconn could be involved. The Taiwan-based firm is a major supplier for Apple, helping to build its iPhone and iPad. But much of that manufacturing is done in China, where Foxconn employs 1.2 million workers and labor costs are lower.

Without elaborating, Foxconn said it was considering the expansion in order to meet the needs of it customers, and to “leverage the high-value engineering talent” available in the U.S. market.

It’s unclear what kind of manufacturing operations the company already has in the U.S. An expansion in the nation, however, would face challenges, said Amy Teng, an analyst with research firm Gartner.

“From the financial perspective, I don’t see any advantage in why they (Foxconn) would assemble there, unless this is part of Apple’s plan,” she said. Labor costs in the U.S. are higher and it will be harder for the company to recruit U.S. workers for menial factory jobs, when compared to China.

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Lenovo Launches The IdeaPad

August 2, 2012 by  
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Although it was introduced six months ago at CES, Lenovo’s new IdeaTab has finally showed up at Lenovo’s site with a pretty decent price around $343.20. The IdeaPad comes with a 10.1-inch screen, Qualcomm’s dual-core Snapdragon S4 CPU, Android 4.0 ICS and optional keyboard dock, it certainly sounds like a good deal.

The specification list for the Ideatab S2110 kicks off with a 10.1-inch IPS 1280×800 display, Qualcomm’s 1.5GHz dual-core Snapdragon S4 CPU, 1GB of RAM and Android 4.0 ICS OS. The rest of the specs include back 5MP and front 1.3MP cameras, 802.11bgn WiFi, Bluetooth 4.0, and a battery capable of up to 9-10 hours of WiFi web browsing, according to Lenovo.

Same as the Asus Transformer line of tablets, Lenovo’s Ideatab S2110 also features an optional keyboard dock that gives you an extra ten hours of battery life and adds two USB ports and a card reader.

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Is B.Y.O.D Proving To Be A Headache?

May 29, 2012 by  
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IT managers trying to cope with the growing bring-your-own-device (BYOD) trend can expect to see an explosion in the number of smartphones and tablets used by employees in the next few years.

As a result, IT shops won’t be able to provide the security necessary to protect company data, says Gartner analyst Ken Dulaney.

“The number of devices coming in the next few years will outstrip IT’s ability to keep the enterprise secure,” he said, adding that IT workers are “going crazy” and “get into fights” over whether users should have upgrades.

To help IT cope, software vendors should create what Dulaney called “beneficial viruses” that could be embedded in corporate data carried on mobile devices. These software tools would require users to have licenses in order to access files, just as digital rights management technology does with music and video files.

Beneficial viruses would also “be smart enough” to delete the sensitive data if a device is lost or stolen, or if data winds up on an unauthorized device, Dulaney said, adding, “It’s time for the SAPs and Oracles to begin thinking about doing that, and it’s a lot harder than we think.”

Today, IT shops use mobile device management software to monitor which mobile users are authorized to access applications and whether they can access the data outside the corporate cloud.

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Global Semiconductors On the Rise

May 9, 2012 by  
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Global semiconductor revenue is expected to rise at faster and force bigger chipmakers to acquire smaller rivals to increase their market share, according to bean counters at research outfit IDC.

In an industry report, IDC predicts that revenue may expand by between six percent and seven percent this year. Global semiconductor sales rose 3.7 percent to $301 billion in 2011, as orders for chips used in wireless devices offset declining revenue for computing-related chips, IDC said.

But it thinks all this will coase nergers and acquisitions among chipmakers will continue. Already Qualcomm bought Atheros and Texas Instruments took over National Semiconductor. But IDC thinks that industry consolidation may allow bigger chipmakers to offer products that are used in a wider range of applications.

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LG Only Wants To Support Android

May 7, 2012 by  
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Smartphone-maker LG Electronics has backed off manufacturing Windows Phone devices for now and will instead focus on Android phones, according to a report.

The Korea Herald reported Monday that LG, based in Seoul, South Korea, will take a step back from the Windows Phone platform, though it intends to “continue research and development efforts” on the Microsoft operating system.

LG currently makes the Optimus 7 based on Windows Phone 7 and other WP7 handsets.

LG has noted that Windows Phone 7-based devices hold less than 2% of the global smartphone market, according to multiple market analysts.

“The total unit[s] of Windows Phone sold in the global market is not a meaningful figure,” an LG spokesman told the Korea Herald.

In 2009, LG had decided to make Windows Phone its primary smartphone OS, with plans for 26 new Windows phones in 2012.

Ken Dulaney, an analyst at Gartner, said the LG decision to cut its Windows Phone plans, at least temporarily, is likely not an absolute reversal of strategy.

He theorized that LG may be waiting for Windows Phone 8 to materialize late this year before producing more devices on the platform.

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Windows 8 Tablet Being Developed By ASUS

January 5, 2012 by  
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Chinese newspapers have indentified Asustek as one of five international PC brands that will work with Microsoft on the “Windows on ARM” (WOA) architecture.

Microsoft is to release its first operating system that supports chips from Arm next year. Only five PC brands have been invited by Microsoft to join WOA, a development project that shows its aggressiveness in tapping the burgeoning tablet PC market. Asustek is the latest announcement. So far Samsung, Toshiba, HP and Lenovo have been identified as working with Microsoft to develop notebooks and tablets that run on WOA architecture.

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Lenovo Passes Dell, Becomes No. 2 PC Vendor

October 20, 2011 by  
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Lenovo surged past Dell to become the world’s second largest PC vendor at the end of the third quarter, according to research firms IDC and Gartner.

Top PC maker Hewlett-Packard also saw its worldwide PC shipments grow by 5.3 percent in the quarter, despite reports that the company may spin off its PC business.

Both research firms said growth for the quarter failed to reach earlier projections. IDC said at the end of the third quarter, worldwide PC shipments increased by 3.6 percent year-over-year, below its earlier 4.5 percent growth projection.

Gartner said PC shipments grew by 3.2 percent year-over-year, which was lower than the research firm’s original projection of 5.1 percent growth for the quarter.

Analysts have pointed to sluggish spending because of weak economic conditions as a key reason behind the slowdown in PC growth. The rise of tablets has also hurt shipments.

“For the moment, PCs have taken a backseat to a range of other devices competing for shrinking consumer and business budgets,” said IDC analyst Jay Chou in a statement.

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