Intel’s Security Exec Jumps Ship

Michael Fey has left Intel Security Group to become chief operating officer at Blue Coat. Blue Coat is apparently not the traditional garb of a British Holiday Camp entertainer, but apparently a privately owned network security company.

Fey was one of the few top McAfee managers to stay with the company after it was bought by Intel in 2011. McAfee is now part of Intel Security Group, where Fey had been chief technology officer. Fey said that his role at Blue Coat would be “very similar” to his old job but he was allowed to focus on the cloud and the advanced threats space more.

“Blue Coat had tremendous growth behind the scenes and now I get to focus on taking that growth and trying to get it to the billion-dollar revenue mark,” he told Reuters.

Since the $7.7 billion acquisition by Intel, McAfee has lost senior managers and key talent in technology development, research and sales. At Blue Coat, Fey will replace David Murphy, who will stay on as a strategic adviser to the board.

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McAfee’s Biometric Software Coming Soon

A McAfee security product that will use biometric technology to authenticate users will be available for download by the end of the year, said Kirk Skaugen, senior vice president and general manager of the PC Client Group at Intel, last week.

“Your biometrics basically eliminate the need for you to enter passwords for Windows log in and eventually all your websites ever again,” Skaugen said.

Further product details were not immediately available. But one of the major inconveniences in using PCs and tablets is remembering passwords, which biometrics can tame.

An average user has about 18 passwords and biometric authentication will make PCs easier to use, Skaugen said.

Biometric authentication isn’t new. It’s being used in Apple Pay, where fingerprint authentication helps authorize credit card payments through the iPhone or iPad. Intel has been working on multiple forms of biometric authentication through fingerprint, gesture, face and voice recognition.

McAfee is owned by Intel, and the chip maker is building smartphone, tablet and PC technology that takes advantage of the security software. Intel has also worked on biometric technology for wearable devices like SMS Audio’s BioSport In-Ear Headphones, which can measure a person’s heart rate.

Intel also wants to make PCs and tablets easier to use through wireless charging, display, docking and data transfers. Such capabilities would eliminate the need to carry power brick and cables for displays and data transfers. Such capabilities will start appearing in laptops next year with sixth-generation Core chips code-named Skylake, which will be released in the second half.

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Symantec Uncovers Advanced Spying Malware

An advanced malicious software application has been discovered that since 2008 was used to spy on private companies, governments, research institutes and individuals in 10 countries, anti virus software maker Symantec Corp said in a report on Sunday.

The Mountain View, California-based maker of Norton anti virus products said its research showed that a “nation state” was likely the developer of the malware called Regin, or Backdoor. Regin, but Symantec did not identify any countries or victims.

Symantec said Regin’s design “makes it highly suited for persistent, long-term surveillance operations against targets,” and was withdrawn in 2011 but resurfaced from 2013 onward.

The malware uses several “stealth” features “and even when its presence is detected, it is very difficult to ascertain what it is doing,” according to Symantec. It said “many components of Regin remain undiscovered and additional functionality and versions may exist.”

Almost half of all infections occurred at addresses of Internet service providers, the report said. It said the targets were customers of the companies rather than the companies themselves. About 28 percent of targets were in telecoms while other victims were in the energy, airline, hospitality and research sectors, Symantec said.

Symantec described the malware as having five stages, each “hidden and encrypted, with the exception of the first stage.” It said “each individual stage provides little information on the complete package. Only by acquiring all five stages is it possible to analyze and understand the threat.”

Regin also uses what is called a modular approach that allows it to load custom features tailored to targets, the same method applied in other malware, such as Flamer and Weevil (The Mask), the anti virus company said. Some of its features were also similar to Duqu malware, uncovered in September 2011 and related to a computer worm called Stuxnet, discovered the previous year.

Symantec said Russia and Saudi Arabia accounted for about half of the confirmed infections of the Regin malware and the other countries were Mexico, Ireland, India, Iran,Afghanistan, Belgium, Austria and Pakistan.

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Oracle And SAP Settle Piracy Dispute

Oracle has won a limited victory in its long-running lawsuit with rival SAP.

The action was taken in reference to events dating back to 2007, which saw employees of SAP’s TomorrowNow unit accused of illegally downloading Oracle software.

German company TomorrowNow was bought by SAP as a means to undercut Oracle’s internal tech support rates, with the ambition of getting customers to migrate to SAP solutions, reports Reuters.

In 2006, TomorrowNow started the process of undermining its parent’s position, offering cut-price support to users of the Siebel database and CRM.

Oracle was originally awarded $1.3bn back in 2010, but this was adjusted downwards on multiple appeals.

SAP acknowledged that its employees had been in the wrong, but disputed the damages awarded. SAP offered a $306m payment in 2012, but did so more in hope than expectation given its admissions.

Earlier in the year, a federal judge gave Oracle the option to settle for $356.7m or force a retrial, and the company has now decided on the former with a further $2.5m in interest.

“We are thrilled about this landmark recovery and extremely gratified that our efforts to protect innovation and our shareholders’ interests are duly rewarded,” said Oracle’s general counsel Dorian Daley.

“This sends a strong message to those who would prefer to cheat than compete fairly and legally.”

SAP agreed: “We are also pleased that, overall, the courts hearing this case ultimately accepted SAP’s arguments to limit Oracle’s excessive damages claims and that Oracle has finally chosen to end this matter.”

SAP announced a partnership with IBM last month to bring its HANA service to enterprise cloud users.

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New Data Suggest IT Hiring Increasing

Whenever IT hiring increases, as it did last month, the default explanation from analysts is this: The economy is improving.

That might be true, and it may well explain the U.S. Department of Labor’s report today that showed the U.S., overall, added 214,000 jobs last month.

Of that total employment gain, IT hiring grew by 7,800 jobs in October, compared with a gain of 6,900 jobs in September, according to TechServe Alliance, an IT industry group.

Another IT labor analyst group, Janco Associates, calculated last month’s IT gains at 9,500 jobs.

Government data can be reported in different ways, depending on which job categories are included in the IT job estimates, and it is why analysts report job numbers differently.

Hiring trends are also affected by Labor Department adjustments, and the government’s adjusted data adds nearly 25,000 telecom jobs over the past two months, according to Janco. Because of this adjustment, Janco termed the recent growth in IT over the past several months “explosive,” while TechServe put last month’s results as “modestly stronger.”

There is no one reason for October’s gain. An improving economy may be at the heart of any answer. Independent of the government numbers, Computer Economics, in a recent report on contingent versus full-time hiring, said it is seeing a drop in the use of contract workers at large companies and more reliance on full-time workers, which is a sign of an improving economy.

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Adobe Eases Privacy Concerns

Tests on the latest version of Adobe System’s e-reader software reveals the company is now collecting less data following a privacy-related row last month, according to the Electronic Frontier Foundation.

Digital Editions version 4.0.1 appears to only collect data on e-books that have DRM (Digital Rights Management), wrote Cooper Quintin, a staff technologist with the EFF. DRM places restrictions on how content can be used with the intent of thwarting piracy.

Adobe was criticized in early October after it was discovered Digital Editions collected metadata about e-books on a device, even if the e-books did not have DRM. Those logs were also sent to Adobe in plain text.

Since that data was not encrypted, critics including the EFF contended it posed major privacy risks for users. For example, plain text content could be intercepted by an interloper from a user who is on the same public Wi-Fi network.

Adobe said on Oct. 23 it fixed the issues in 4.0.1, saying it would not collect data on e-books without DRM and encrypt data that is transmitted back to the company.

Quintin wrote the EFF’s latest test showed the “only time we saw data going back to an Adobe server was when an e-book with DRM was opened for the first time. This data is most likely being sent back for DRM verification purposes, and it is being sent over HTTPS.”

If an e-book has DRM, Adobe may record how long a person reads it or the percentage of the content that is read, which is used for “metered” pricing models.

Other technical metrics are also collected, such as the IP address of the device downloading a book, a unique ID assigned to the specific applications being used at the time and a unique ID for the device, according to Adobe.

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China Using Home Servers Admidst Cyber Concerns

A Chinese firm has developed the country’s first homegrown servers, built entirely out of domestic technologies including a processor from local chip maker Loongson Technology.

China’s Dawning Information Industry, also known as Sugon, has developed a series of four servers using the Loongson 3B processor, the country’s state-run Xinhua News Agency reported Thursday.

“Servers are crucial applications in a country’s politics, economy, and information security. We must fully master all these technologies,” Dawning’s vice president Sha Chaoqun was quoted as saying.

The servers, including their operating systems, have all been developed from Chinese technology. The Loongson 3B processor inside them has eight cores made with a total of 1.1 billion transistors built using a 28-nanometer production process.

The Xinhua report quoted Li Guojie, a top computing researcher in the country, as saying the new servers would ensure that the security around China’s military, financial and energy sectors would no longer be in foreign control.

Dawning was contacted on Friday, but an employee declined to offer more specifics about the servers. “We don’t want to promote this product in the U.S. media,” she said. “It involves propriety intellectual property rights, and Chinese government organizations.”

News of the servers has just been among the ongoing developments in China for the country to build up its own homegrown technology. Work is being done on local mobile operating systems, supercomputing, and in chip making, with much of it government-backed. Earlier this year, China outlined a plan to make the country into a major player in the semiconductor space.

But it also comes at a time when cybersecurity has become a major concern for the Chinese government, following revelations about the U.S. government’s own secret surveillance programs. “Without cybersecurity there is no national security,” declared China’s Xi Jinping in March, as he announced plans to turn the country into an “Internet power.”

Two months later, China threatened to block companiesfrom selling IT products to the country if they failed to pass a new vetting system meant to comb out secret spying programs.

Dawning, which was founded using local government-supported research, is perhaps best known for developing some of China’s supercomputers. But it also sells server products built with Intel chips. In this year’s first quarter, it had an 8.7 percent share of China’s server market, putting it in 7th place, according to research firm IDC.

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Will Facebook Enter The Healthcare Arena?

Facebook Inc already can tell who your friends are and the what types of things grabs your attention. Soon, it could also know the state of your health.

On the heels of fellow Silicon Valley technology companies Apple Inc and Google Inc, Facebook is plotting its first steps into the fertile field of healthcare, said three people familiar with the matter. The people requested anonymity as the plans are still in development.

The company is exploring creating online “support communities” that would connect Facebook users suffering from various ailments. A small team is also considering new “preventative care” applications that would help people improve their lifestyles.

In recent months, the sources said, the social networking giant has been holding meetings with medical industry experts and entrepreneurs, and is setting up a research and development unit to test new health apps. Facebook is still in the idea-gathering stage, the people said.

Healthcare has historically been an area of interest for Facebook, but it has taken a backseat to more pressing products.

Recently, Facebook executives have come to realize that healthcare might work as a tool to increase engagement with the site.

One catalyst: the unexpected success of Facebook’s “organ-donor status initiative,” introduced in 2012. The day that Facebook altered profile pages to allow members to specify their organ donor-status, 13,054 people registered to be organ donors online in the United States, a 21 fold increase over the daily average of 616 registrations, according to a June 2013 study published in the American Journal of Transplantation.

Separately, Facebook product teams noticed that people with chronic ailments such as diabetes would search the social networking site for advice, said one former Facebook insider. In addition, the proliferation of patient networks such as PatientsLikeMe demonstrate that people are increasingly comfortable sharing symptoms and treatment experiences online.

Chief executive Mark Zuckerberg may step up his personal involvement in health. Zuckerberg and his wife Priscilla Chan, a pediatric resident at University of California San Francisco, recently donated $5 million to the Ravenswood Health Center in East Palo Alto.

Any advertising built around the health initiatives would not be as targeted as it could be on television or other media. Pharmaceutical companies, for instance, are prohibited from using Facebook to promote the sale of prescription drugs, in part because of concerns surrounding disclosures.

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Will HP Dump Snapfish?

Hewlett-Packard Co is taking a look at putting its web-based photo sharing service Snapfish on the block, and has held discussions with multiple private equity and industry buyers, a person with knowledge of the situation said.

Snapfish, which HP bought for more than $300 million in 2005 and currently sits within its printing and personal systems group, is considered non-core for the company, the person said, asking not to be named because the matter is not public.

A spokesman for HP declined to comment.

Last year, HP replaced the printing and personal business’ long-time head Todd Bradley with former Lenovo executive Dion Weisler. Bradley has since left the technology company, to join Tibco Software Inc as its president.

Some of the parties that have been eyeing Snapfish have also expressed interest in buying another online photo-sharing services provider, Shutterfly Inc, the person said.

Shutterfly hired Frank Quattrone’s Qatalyst Partners over the summer to find a buyer, and is expected wrap up its process in the next several weeks, people familiar with the matter have said previously.

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FCC Mandates Text-To-911

The U.S. Federal Communications Commission voted last week to require U.S. mobile carriers and many text-messaging apps to support functionality that allows texting emergency dispatch centers, even after questions about whether the centers will be ready by the deadline.

The commission’s vote requires U.S. mobile carriers and some texting apps to put emergency text-to-911 functionality in place by the end of the year.

Even though the nation’s four largest mobile carriers have all added text-to-911 functionality this year, less than 2 percent of the nation’s 6,800 emergency dispatch centers are ready to receive texts, said Commissioner Ajit Pai. The commission’s action will give smartphone users the impression they can send text to emergency responders, when many will not be able to, he said.

The FCC’s action “encourages the public to dive into text-to-911 functionality, when in reality, there’s hardly any water in the pool,” Pai said. “The order is sure to result in massive consumer confusion, and therefore will endanger, rather than advance, public safety.”

FCC Chairman Tom Wheeler applauded the largest mobile carriers — Verizon Wireless, AT&T, Sprint and T-Mobile USA — for adding text-to-911 functionality. The agency needs to push other carriers and emergency dispatch centers, called public-safety answering points or PSAPs, to do the same, he added.

“A lot of time of has passed since [the four largest] carriers stepped up and did something voluntarily, and the other carriers serving the consumers of America did not,” he said. “If you don’t step up to your responsibility, we will.”

Smartphone users should still call 911 if possible, but text-to-911 services need to be more widely available, Wheeler said.

The adoption of text-to-911 will let smartphone users contact police and other emergency responders when it’s not safe to talk on the phone, Wheeler said. It will also aid people with hearing or speech disabilities, he noted.

“Texting is now as important a function on a mobile device as talking,” Wheeler said. “Some of those text messages are cries for help.”

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