Is The Tech Industry Going Independent?

The tech industry is undergoing a shift toward a more independent, contingent IT workforce. And while that trend might not be cause for alarm for retiring baby boomer IT professionals, it could mean younger and mid-career workers need to prepare to make a living solo.

About 18% of all IT workers today are self-employed, according to an analysis by Emergent Research, a firm focused on small businesses trends. This independent IT workforce is growing at the rate of about 7% per year, which is faster than the overall growth rate for independent workers generally, at 5.5%.

The definition of independent workers covers people who work at least 15 hours a week.

Steve King, a partner at Emergent, said the growth in independent workers is being driven by companies that want to stay ahead of change, and can bring in workers with the right skills. “In today’s world, change is happening so quickly that everyone is trying to figure out how to be more flexible and agile, cut fixed costs and move to variable costs,” said King. “Unfortunately, people are viewed as a fixed cost.”

King worked with MBO Partners to produce a recent study that estimated the entire independent worker headcount in the U.S., for all occupations, at 17.7 million. They also estimate that around one million of them are IT professionals.

A separate analysis by research firm Computer Economics finds a similar trend. Over the last two years, there has been a spike in the use of contract labor among large IT organizations — firms with IT operational budgets of more than $20 million, according to John Longwell, vice president of research at Computer Economics.

This year, contract workers make up 15% of a typical large organization’s IT staff at the median. This is up from a median of just 6% in 2011, said Longwell. The last time there was a similar increase in contract workers was in 1998, during the dot.com boom and the run-up to Y2K remediation efforts. Computer Economics recently published a research brief on the topic.

“The difference now is that use of contract or temporary workers is not being driven by a boom, but rather by a reluctance to hire permanent workers as the economy improves,” Longwell said.

Computer Economics expects large IT organizations to step up hiring in 2014, which may cause the percentage of contract workers to decline back to a more normal 10% level. But, Longwell cautioned, it’s not clear whether that new hiring will be involve full-time employees or even more contract labor.

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Cryptolocker Infects 250K Systems

DELL’s security research team has revealed that a new form of ransomware, dubbed “Cryptolocker” has managed to infect up to 250,000 devices, stealing almost a million dollars in Bitcoins.

“Based on the presented evidence, researchers estimate that 200,000 to 250,000 systems were infected globally in the first 100 days of the CryptoLocker threat,” Dell announced in a Secureworks post.

The firm worked out that if the Cryptolocker ransomware threat actors had sold its 1,216 total Bitcoins (BTC) that they collected from September this year, immediately upon receiving them, they would have earned nearly $380,000.

“If they elected to hold these ransoms, they would be worth nearly $980,000 as of this publication based on the current weighted price of $804/BTC,” Dell said.

Cryptolocker is unique when compared against your average ransomware. Instead of using a custom cryptographic implementation like many other malware families, Cryptolocker uses third-party certified cryptography offered by Microsoft’s CryptoAPI.

“By using a sound implementation and following best practices, the malware authors have created a robust program that is difficult to circumvent,” Dell said.

Conventionally, ransomware prevents victims from using their computers normally and uses social engineering to convince them that failing to follow the malware authors’ instructions will lead to real-world consequences. These consequences, such as owing a fine or facing arrest and prosecution, are presented as being the result of a fabricated indiscretion such as pirating music or downloading illegal pornography.

“Victims of traditional forms of ransomware could ignore the demands and use security software to unlock the system and remove the offending malware,” Dell explained. “Cryptolocker changes this dynamic by aggressively encrypting files on the victim’s system and returning control of the files to the victim only after the ransom is paid.”

Dell said that the earliest samples of Cryptolocker appear to have been released on 5 September this year. However, details about its initial distribution phase are unclear.

“It appears the samples were downloaded from a compromised website located in the United States, either by a version of Cryptolocker that has not been analysed as of this publication, or by a custom downloader created by the same authors,” Dell added.

Dell seems to think that early versions of Cryptolocker were distributed through spam emails targeting business professionals as opposed to home internet users, with the lure often being a ‘consumer complaint’ against the email recipient or their organisation.

Attached to these emails would be a ZIP archive with a random alphabetical filename containing 13 to 17 characters, containing a single executable with the same filename as the ZIP archive but with an EXE extension, so keep your eye out for emails that fit this description.

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Is SAP Searching In The Clouds?

Esoteric business software maker, which no one is really certain what it does, SAP is debating whether to accelerate moving more of its business to the cloud.

The move would be a change in strategy which might initially have only a small impact on its sales. Co-chief executive Jim Hagemann-Snabe said the change would generate more sales by 2017 particularly in markets like the US where there is a big push onto the cloud.

Talking to a Morgan Stanley investor conference this morning, Hagemann-Snabe said that this would have impact on the 2015 level, I don’t expect enormous impact but it would have some impact because you are delaying some revenues. In the long term however it makes a lot of sense, which is not the sort of thing people expect from SAP.

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Did Stuxnet Infect A Russian Nuclear Plant?

Kaspersky has claimed that the infamous Stuxnet computer worm “badly infected” the internal network of an unnamed Russian nuclear plant after it caused chaos in Iran’s nuclear facilities.

Speaking at a keynote presentation given at the Canberra Press Club 2013, Kaspersky CEO Eugene Kaspersky said a staffer at the unnamed nuclear plant informed him of the infection.

“[The staffer said] their nuclear plant network which was disconnected from the internet was badly infected by Stuxnet,” Kaspersky said.

“So unfortunately these people who were responsible for offensive technologies, they recognise cyber weapons as an opportunity.”

Stuxnet was discovered to have spread throughout industrial software and equipment in 2010 and is believed to have been created by the United States and Israel to attack Iran’s nuclear facilities. According to Kaspersky’s source, the malware was carried into the Russian nuclear plant and installed on a physically separated “air-gapped” network.

Kaspersky also made a rather outlandish joke during his speech, saying that all data is subject to theft. “All the data is stolen,” Kaspersky said. “At least twice.”

“If the claim of the Russian nuclear plant infection is true, then it’s easy to imagine how this “collateral damage” could have turned into a very serious incident indeed, with obvious diplomatic repercussions,” said security expert Graham Cluley.

“There is no way to independently verify the claim, of course. But it is a fact that Stuxnet managed to infect many computer systems outside of its intended target in Iran,” Cluley added. “Indeed, the very fact that it spread out of control, was what lead to its discovery by security firms.”

Earlier this year, Symantec claimed that the Stuxnet computer worm could date back further than 2010 and was more widespread than originally believed.

Symantec’s report called “The Missing Link” found a build of the Stuxnet attack tool, dubbed Stuxnet 0.5, which it said dated back to 2005 and used different techniques to sabotage industrial facilities.

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SAP To Stop Offering SME

The maker of expensive esoteric software which no-one is really sure what it does, SAP has decided to pull the plug on its offering for small businesses. Business weekly Wirtschaftswoche said SAP would stop the development of a software dubbed Business By Design, although existing customers will be able to continue to use it.

SAP insists that development capacity for Business By Design was being reduced, but that the product was not being shut down. Business by Design was launched in 2010 and was supposed to generate $1 billion of revenue. The product, which cost roughly 3 billion euros to develop, currently has only 785 customers and is expected to generate no more than 23 million euros in sales this year.

The Wirtschaftswoche report said that ever since the SAP product’s launch, customers had complained about technical issues and the slow speed of the software.

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Stanford Develops Carbon Nanotubes

Researchers at Stanford University have demonstrated the first functional computer constructed using only carbon nanotube transistors.

Scientists have been experimenting with transistors based on carbon nanotubes, or CNTs, as substitutes for silicon transistors, which may soon hit their physical limits.

The rudimentary CNT computer is said to run a simple operating system capable of multitasking, according to a synopsis of an article published in the journal Nature.

Made of 178 transistors, each containing between 10 and 200 carbon nanotubes, the computer can do four tasks summarized as instruction fetch, data fetch, arithmetic operation and write-back, and run two different programs concurrently.

The research team was led by Stanford professors Subhasish Mitra and H.S. Philip Wong.

“People have been talking about a new era of carbon nanotube electronics moving beyond silicon,” Mitra said in a statement. “But there have been few demonstrations of complete digital systems using [the] technology. Here is the proof.”

IBM last October said its scientists had placed more than 10,000 transistors made of nano-size tubes of carbon on a single chip. Previous efforts had yielded chips with just a few hundred carbon nanotubes.

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Oracle Goes After SAP’s HANA

Oracle has upped its game in its fight against SAP HANA, having added in-memory processing to its Oracle 12c database management system, which it claims will speed up queries by 100 times.

Oracle CEO Larry Ellison revealed the update on Sunday evening during his opening keynote at the Oracle Openworld show in San Francisco.

The in-memory option for Oracle Database 12c is designed to ramp up the speeds of data queries – and will also give Oracle a new weapon in the fight against SAP’s rival HANA in-memory system.

“When you put data in memory, one of the reasons you do that is to make the system go faster,” Ellison said. “It will make queries go faster, 100 times faster. You can load the same data into the identical machines, and it’s 100 times faster, you get results at the speed of thought.”

Ellison was keen to allay concerns that these faster query times would have a negative impact on transactions.

“We didn’t want to make transactions go slower with adding and changing data in the database. We figured out a way to speed up query processing and at least double your transaction processing rates,” he said.

In traditional databases, data is stored in rows, for example a row of sales orders, Ellison explained. These types of row format databases were designed to operate at high speeds when processing a few rows that each contain lots of columns. More recently, a new format was proposed to store data in columns rather than rows to speed up query processing.

Oracle plans to store the data in both formats simultaneously, according to Ellison, so transactions run faster in the row format and analytics run faster in column format.

“We can process data at ungodly speeds,” Ellison claimed. As evidence of this, Oracle demoed the technology, showing seven billion rows could be queried per second via in-memory compared to five million rows per second in a traditional database.

The new approach also allows database administrators to speed up their workloads by removing the requirement for analytics indexes.

“If you create a table in Oracle today, you create the table but also decide which columns of the table you’ll create indexes for,” Ellison explained. “We’re replacing the analytics indexes with the in-memory option. Let’s get rid of analytic indexes and replace them with the column store.”

Ellison added that firms can choose to have just part of the database for in-memory querying. “Hot data can be in DRAM, you can have some in flash, some on disk,” he noted. “Data automatically migrates from disk into flash into DRAM based on your access patterns. You only have to pay by capacity at the cost of disk.”

Firms wanting to take advantage of this new in-memory option can do so straightaway, according to Ellison, with no need for changes to functions, no loading or reloading of data, and no data migration. Costs were not disclosed.

And for those firms keen to rush out and invest in new hardware to take advantage of this new in-memory option, Ellison took the wraps off the M6-32, dubbed the Big Memory Machine. According to Ellison, the M6-32 has twice the memory, can process data much faster and costs less than a third of IBM’s biggest comparable machine, making it ideal for in-memory databases.

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Inventor Predicts Future Of 3D

Pablos Holman predicts that in the not too distant future our diets will be tailored to our metabolisms, adding a few bits of broccoli, a smattering of beets and some meat — all extruded from a 3D printer in an appetizing form to please our palates.

Holman is a futurist and inventor at the Intellectual Ventures Laboratory in Bellevue, Wash., where he and others work on futuristic projects like printable food. He was not alone in speaking on the topic at the Inside 3D Printing Conference last week.

Avi Reichentall, CEO of 3D Systems, one of the largest consumer printer companies, has already been able to configure his machines to create a variety of sugary goods, including cakes and candy. The sweets were on display with ornate designs.

Reichentall said consumers can expect his company to build a machine that will take a place next to the coffee maker on a kitchen counter, but instead of a caffeine shot, it will offer a sugar rush.

“We are working on a chocolate printer. I want a chocolate printer in my kitchen. I want it to be as cool as a Keurig coffee maker,” Reichentall said. “We now have 3D printed sugar. We’re going to bring to pastry chefs and confectionaries and bakers a whole range of new sugar printing capabilities.

“This is coming to a marketplace near you very soon,” he said.

While Reichentall focuses on desserts, Holman is busy with main courses, creating machines that can take freeze-dried food and hydrate it as it is being extruded through nozzles to create an eye-pleasing meal.

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IBM Goes Linux

IBM reportedly will invest $1bn in Linux and other open source technologies for its Power system servers.

The firm is expected to announce the news at the Linuxcon 2013 conference in New Orleans, pledging to spend $1bn over five years on Linux and related open source technologies.

The software technology will be used on IBM’s Power line of servers, which are based on the chip technology of the same name and used for running large scale systems in data centres.

Previously IBM Power systems have mostly run IBM’s proprietary AIX version of Unix, though some used in high performance computing (HPC) configurations have run Linux.

If true, this will make the second time IBM coughs up a $1bn investment in Linux. IBM gave the open source OS the same vote of confidence around 13 years ago.

According to the Wall Street Journal, IBM isn’t investing in Linux to convert its existing AIX customers, but instead Linux will help support data centre applications driving big data, cloud computing and analytics.

“We continue to take share in Unix, but it’s just not growing as fast as Linux,” said IBM VP of Power development Brad McCredie.

The $1bn is expected to go mainly for facilities and staffing to help Power system users move to Linux, with a new centre being opened in France especially to help manage that transition.

Full details are planned to be announced at Linuxcon later today.

Last month, IBM swallowed Israeli security firm Trusteer to boost its customers’ cyber defences with the company’s anti-hacking technology.

Announcing that it had signed a definitive agreement with Trusteer to create a security lab in Israel, IBM said it planned to focus on mobile and application security, counter-fraud and malware detection staffed by 200 Trusteer and IBM researchers.

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IBM Still Talking Up SyNAPSE

IBM has unveiled the latest stage in its plans to generate a computer system that copies the human brain, calculating tasks that are relatively easy for humans but difficult for computers.

As part of the firm’s Systems of Neuromorphic Adaptive Plastic Scalable Electronics (SyNAPSE) project, IBM researchers have been working with Cornell University and Inilabs to create the programming language with $53m in funding from the Defense Advanced Research Projects Agency (DARPA).

First unveiled two years ago this month, the technology – which mimics both the size and power of humanity’s most complex organ – looks to solve the problems created by traditional computing models when handling vast amounts of high speed data.

IBM explained the new programming language, perhaps not in layman’s terms, by saying it “breaks the mould of sequential operation underlying today’s von Neumann architectures and computers” and instead “is tailored for a new class of distributed, highly interconnected, asynchronous, parallel, large-scale cognitive computing architectures”.

That, in English, basically means that it could be used to create next generation intelligent sensor networks that are capable of perception, action and cognition, the sorts of mental processes that humans take for granted and perform with ease.

Dr Dharmendra Modha, who heads the programme at IBM Research, expanded on what this might mean for the future, sayng that the time has come to move forward into the next stage of information technology.

“Today, we’re at another turning point in the history of information technology. The era that Backus and his contemporaries helped create, the programmable computing era, is being superseded by the era of cognitive computing.

“Increasingly, computers will gather huge quantities of data, reason over the data, and learn from their interactions with information and people. These new capabilities will help us penetrate complexity and make better decisions about everything from how to manage cities to how to solve confounding business problems.”

The hardware for IBM’s cognitive computers mimic the brain, as they are built around small “neurosynaptic cores”. The cores are modeled on the brain, and feature 256 “neurons” (processors), 256 “axons” (memory) and 64,000 “synapses” (communications between neurons and axons).

IBM suggested that potential uses for this technology could include a pair of glasses which assist the visually impaired when navigating through potentially hazardous environments. Taking in vast amounts of visual and sound data, the augmented reality glasses would highlight obstacles such as kerbs and cars, and steer the user clear of danger.

Other uses could include intelligent microphones that keep track of who is speaking to create an accurate transcript of any conversation.

In the long term, IBM hopes to build a cognitive computer scaled to 100 trillion synapses. This would fit inside a space with a volume of no more than two litres while consuming less than one kilowatt of power.

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