Google Buys Patents From IBM

Google has purchased more than 1,000 patents from IBM, as part of its strategy to strengthen its patent portfolio to counter litigation, according to records of the United States Patent and Trademark Office.

Jim Prosser, a Google spokesman, confirmed the transfer, reported by a blog SEO by the Sea, but did not provide details such as the the purchase price Google paid for the patents.

Google also acquired another over 1,000 patents from IBM in July. It transferred recently some patents to smartphone maker HTC to help it pursue patent litigation against Apple.

Google has been interested in buying patents for some time now, which led to its failed bid in June for the patents of Nortel Networks, and its proposed acquisition of Motorola Mobility for about US$12.5 billion.

The tech world has recently seen an explosion in patent litigation, often involving low-quality software patents, which threatens to stifle innovation, Kent Walker, Google’s senior vice president and general counsel, said in a blog post in April.

“But as things stand today, one of a company’s best defenses against this kind of litigation is (ironically) to have a formidable patent portfolio, as this helps maintain your freedom to develop new products and services,” he added.

The acquisition of Motorola Mobility’s patents was a key consideration for Google to start talking to the company in early July. But Motorola told Google that it could be a problem for Motorola Mobility to continue as a stand-alone entity if it sold a large portion of its patent portfolio, according to a filing by Motorola to the U.S. Securities and Exchange Commission on Tuesday.

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SpyEye Poses Risk To Banking Defenses

Financial institutions are facing more trouble from SpyEye, a piece of malicious software that steals money from customers online bank accounts, according to new research from security vendor Trusteer.

SpyEye is a dastardly piece of malicious software: it can harvest credentials for online accounts and also initiate transactions as a person is logged into their account, literally making it possible to watch their bank balance drop by the second.

In its latest versions, SpyEye has been modified with new code designed to evade advanced systems banks have put in place to try and block fraudulent transactions, said Mickey Boodai, Trusteer’s CEO.

Banks are now analyzing how a person uses their site, looking at parameters such as how many pages a person looks at on the site, the amount of time a person spends on a page and the time it takes a person to execute a transaction. Other indicators include IP address, such as if a person who normally logs in from the Miami area suddenly logs in from St. Petersburg, Russia.

SpyEye works fast, and can automatically and quickly initiate a transaction much faster than an average person manually on the website. That’s a key trigger for banks to block a transaction. So SpyEye’s authors are now trying to mimic — albeit in an automated way — how a real person would navigate a website.

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RIM Cuts 11% Of Workforce

BlackBerry maker Research In Motion Ltd plans to slash approximately 11 percent of its workforce to curb costs as it struggles to compete against Apple Inc and Google Inc.

The announcement of 2,000 job cuts on Monday came a month after the Canadian company acknowledged that it would reduce headcount for the first time in a decade.

One analyst said the job cuts were slightly deeper than expected but were key to RIM’s recovery from a slump triggered by product delays and intense competition from Apple’s iPad and iPhone as well as devices powered by Google’s Android software.

RIM’s U.S.-listed stock, already near multi-year lows, was down as much as 2 percent before the market opened. It was trading down 1.8 percent at $27.40 on the Nasdaq
just before the open.

“This is not totally unexpected. I think the size of (the cuts) is a little bit bigger than what they were intimating before,” said Jefferies & Co analyst Peter Misek. “I think this is obviously realigning the cost structure to a new growth, or sales, reality.”

RIM said one-time charges from the job cuts were not included in its outlook for the second quarter or for the full year, and it would explain the financial impact of the cuts when it reports second quarter results on September 15.

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An Apple/Hulu Hookup In The Works?

Apple Inc is in very preliminary talks to join the bidding for Hulu, the online video site that Walt Disney Co, News Corp and its other owners have put up for sale, Bloomberg cited two anonymous sources as saying.

Apple has begun initial discussions that may eventually lead to an acquisition, Bloomberg reported without providing any more details.

An Apple spokesman declined to comment on the rumor.

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Hackers Creating Networking Website

Anonymous, which has taken credit for several high-profile cyber attacks in recent months, plans to launch what it says will be a new social networking site called AnonPlus.

The group’s move was apparently spurred by Google’s decision to shut down Anonymous’ Google+ account for community standard violations, a report by Mashable says.

For the moment, at least, AnonPlus appears to be little more than a single, somewhat poorly formatted page explaining what the site will be about.

“This lil info dump of a site is here simply to dispence (sic) info, soon the actual site will go up and you can begin to interact with it,” a message on the site notes.

“This project is not overnight and will take many of those out there who simply want a better internet,” the message noted. “We will not be stopped by those looking to troll or those willing to stop the spreading of the truth.”

The message doesn’t mention Google shutting down Anonymous’ Google+ account, but it does promise members that with AnonPlus there would be no fear of “censorship”, “blackout” or “holding back.”

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Mobile Networks Near Capacity

Mobile networks in North America are using 80 percent of capacity, with 36 percent of base stations facing capacity constraints, according to a survey by investment firm Credit Suisse.

Networks in other regions also are more than 50 percent utilized, with the global average at 65 percent, Credit Suisse said after surveying carriers around the world. That level of use matches the average “threshold” rate that would trigger the service providers to start buying more network equipment, the report said. Looking ahead, on average the carriers expected their utilization rate to grow to 70 percent within 12 months.

Credit Suisse used the results to predict new sales by makers of cellular equipment, such as Ericsson, Alcatel-Lucent, Nokia Siemens Networks and Huawei Technologies. But at a certain level, heavy use of a base station can also affect the mobile experience of individual subscribers. The survey found that 23 percent of base stations worldwide had capacity constraints (defined as a utilization rate over 80 percent during busy hours), while 36 percent in North America were under that kind of pressure.

The North American networks were 72 percent utilized two years ago. The region’s carriers expect the rate to ease back down to that point within two years. North American service providers are likely to buy more equipment soon, because having their networks 74 percent filled is the threshold rate in that region, the survey said.

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Twitter Security Lagging,Says Experts

The fast-growing microblogging site Twitter is lagging behind some other Internet services in using methods to help secure the accounts of users, security experts say.

Weaknesses in Twitter’s security became apparent on the U.S. July 4 Independence holiday as a still unidentified hacker took control of a Fox News Twitter account and tweeted falsely claiming that U.S. President Barack Obama was dead.

While the hijacking of Twitter accounts is not new, the false Tweets about Obama generated headlines around the world.

The Secret Service is investigating the matter. Fox News has said does not know how the attacker gained control of its account, but complained that it took Twitter more than five hours to return control of the account to Fox.

“What Twitter needs to do now is to commit to a thorough review of their security practices,” said Daniel Diermeier, a professor at Northwestern University’s Kellogg School of Management. “For Twitter this is a very serious problem.”

Security experts said the attack might have been prevented if Twitter had offered two-factor authentication technology to secure its accounts.

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TI Chip Goes 1080p On Android Devices

Texas Instruments on Tuesday said its OMAP chip had been certified to unlock full 1080p movies from Netflix for Google’s Android 2.3 based devices, which includes smartphones and tablets.

TI’s on-chip security feature, called M-Shield, will be able to decode 1080p high-definition movie streaming from Netflix, stated Fred Cohen, director of the OMAP user experience team at TI. A security layer unlocks the encoded video, which can then be viewed on smartphones and tablets or TV sets connected through an HDMI (high-definition multimedia interface) port.

The purpose of having this technology is to provide end-to-end security for protected video content, Cohen said. Movie studios are making more high-definition 1080p content available and are adamant about protecting their product, which are considered premium content.

The on-chip feature minimizes the ability to copy content, as it is easy to take control of a rooted Android device, Cohen said. It’s easy for users to access memory where the stream is temporarily stored, and then write the movie to another device.

“You have to protect those devices,” Cohen said. “We have implemented a firewall.”

TI’s security technology is to provide a security layer so devices get access to high-definition movies, Cohen said.

Netflix provides different levels of security certification depending on features such as the video quality and resolution, Cohen said. Netflix did not return a request for comment on whether it was streaming 1080p video content to mobile devices, or whether chip makers required certification to unlock secure 1080p content.

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Nokia Slashes Smartphone Prices

Nokia has lowered the price of smartphones across its entire portfolio in an attempt to slow the decline of its share in the higher-end of the cellphone market, two industry sources said on Tuesday.

One of the sources with direct knowledge of Nokia’s pricing said the company’s flagship model, the N8, the multimedia phone C7, as well as the business user-targeted E6, saw the steepest cuts of around 15 percent.

Other price cuts were smaller, both sources said. “There are no very big cuts per model, but the scale — across the portfolio — is unseen for a very, very long time,” said one of the sources, who works at a European telecom operator.

A Nokia spokesman declined to comment on specific prices and said changes were part of its normal business. “It’s business as usual,” he said.

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Pentagon Practices Cyberwar

A mock Internet where the Pentagon can practice cyberwar games — complete with software that simulates human behavior under multiple military threat levels — is due to be up and running in a year’s time, according to a published report.

Called the National Cyber Range, the computer network mimics the architecture of the Internet so military planners can study the effects of cyberweapons by acting out attack and defense scenarios, Reuters says.

Planning for the Cyber Range was carried out by Lockheed Martin, which won a $30.8 million Defense Advanced Research Projects Agency (DARPA) grant, and Johns Hopkins University Applied Physics Laboratory, which won $24.7 million.

Cyber Range plans call for the ability to simulate offensive and defensive measures of the caliber that nations might be able to carry out. DARPA wants the range to support multiple tests and scenarios at the same time and to ensure that they don’t interfere with each other. “The Range must be capable of operating from Unclassified to Top Secret/Special Compartmentalized Information/Special Access Program with multiple simultaneous tests operating at different security levels and compartments,” according to DARPA’s announcement of the project.

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