Is Qualcomm In Trouble?

Qualcomm’s activities in China may lead to regulatory penalties for the chip vendor, this time from the U.S. Securities and Exchange Commission over bribery allegations.

The company is currently facing an anti-monopoly probe from Chinese authorities for allegedly overcharging clients. Qualcomm  has also said that the SEC may also consider penalizing the company, as part of an anti-corruption investigation.

The SEC’s Los Angeles Regional Office has made a preliminary decision to recommend that the SEC take action against Qualcomm for violating anti-bribery controls, the company said in its second quarter report. The accusations involve Qualcomm offering benefits to “individuals associated with Chinese state-owned companies or agencies,” the report added.

Both the SEC and the U.S. Department of Justice have been probing the company over alleged violations of the nation’s Foreign Corrupt Practices Act.

In cooperation with those official investigations, Qualcomm said it’s found instances of preferential hiring, and giving gifts and other benefits to “several individuals” with China’s state-owned companies. The gifts and benefits amounted to less than US$250,000 in value.

If the SEC takes action against Qualcomm, penalties could include giving up profits, facing injunctions, and other monetary penalties, the company said. Earlier this month, Qualcomm filed a submission with the U.S. regulator, countering any claims of wrongdoing.

Qualcomm is facing the investigations at a time when China is increasingly become a bigger part of its business. The nation is the world’s largest smartphone market, and more Chinese device manufacturers are expanding globally.

Last year, however, Chinese regulators began investigating Qualcomm due to complaints from industry groups. The company was allegedly abusing its market position and charging higher fees for its patent licensing business. In November, Chinese authorities conducted two surprise raids of Qualcomm offices in China for documents.

Chinese regulators could decide to penalize Qualcomm by confiscating financial gains made, and even imposing a fine of 1 to 10 percent on its revenues for the prior year, the company said in its quarterly report.

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Can Plastic Replace Silicon?

Can plastic materials morph into computers? A research breakthrough recently published brings such a possibility closer to reality.

Researchers are looking at the possibility of making low-power, flexible and inexpensive computers out of plastic materials. Plastic is not normally a good conductive material. However, researchers said this week that they have solved a problem related to reading data.

The research, which involved converting electricity from magnetic film to optics so data could be read through plastic material, was conducted by researchers at the University of Iowa and New York University. A paper on the research was published in this week’s Nature Communications journal.

More research is needed before plastic computers become practical, acknowledged Michael Flatte, professor of physics and astronomy at the University of Iowa. Problems related to writing and processing data need to be solved before plastic computers can be commercially viable.

Plastic computers, however, could conceivably be used in smartphones, sensors, wearable products, small electronics or solar cells, Flatte said.

The computers would have basic processing, data gathering and transmission capabilities but won’t replace silicon used in the fastest computers today. However, the plastic material could be cheaper to produce as it wouldn’t require silicon fab plants, and possibly could supplement faster silicon components in mobile devices or sensors.

“The initial types of inexpensive computers envisioned are things like RFID, but with much more computing power and information storage, or distributed sensors,” Flatte said. One such implementation might be a large agricultural field with independent temperature sensors made from these devices, distributed at hundreds of places around the field, he said.

The research breakthrough this week is an important step in giving plastic computers the sensor-like ability to store data, locally process the information and report data back to a central computer.

Mobile phones, which demand more computing power than sensors, will require more advances because communication requires microwave emissions usually produced by higher-speed transistors than have been made with plastic.

It’s difficult for plastic to compete in the electronics area because silicon is such an effective technology, Flatte acknowledged. But there are applications where the flexibility of plastic could be advantageous, he said, raising the possibility of plastic computers being information processors in refrigerators or other common home electronics.

“This won’t be faster or smaller, but it will be cheaper and lower power, we hope,” Flatte said.

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MediaTek To Offer New LTE SoC

MediaTek has shown off one of its most interesting SoC designs to date at the China Electronic Information Expo. The MT6595 was announced a while ago, but this is apparently the first time MediaTek showcased it in action.

It is a big.LITTLE octa-core with integrated LTE support. It has four Cortex A17 cores backed by four Cortex A7 cores and it can hit 2.2GHz. The GPU of choice is the PowerVR G6200. It supports 2K4K video playback and recording, as well as H.265. It can deal with a 20-megapixel camera, too.

The really interesting bit is the modem. It can handle TD-LTE/FDD-LTE/WCDMA/TD-SCDMA/GSM networks, hence the company claims it is the first octa-core with on board LTE. Qualcomm has already announced an LTE-enabled octa-core, but it won’t be ready anytime soon. The MT6595 will – it is expected to show up in actual devices very soon.

Of course, MediaTek is going after a different market. Qualcomm is building the meanest possible chip with four 64-bit Cortex A57 cores and four A53 cores, while MediaTek is keeping the MT6595 somewhat simpler, with smaller 32-bit cores.

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BlackBerry To Patch For Heartbleed

BlackBerry Ltd said it will release security updates for messaging software for Android and iOS devices by Friday to address vulnerabilities in programs related to the “Heartbleed” security threat.

Researchers last week warned they uncovered Heartbleed, a bug that targets the OpenSSL software commonly used to keep data secure, potentially allowing hackers to steal massive troves of information without leaving a trace.

Security experts initially told companies to focus on securing vulnerable websites, but have since warned about threats to technology used in data centers and on mobile devices running Google Inc’s Android software and Apple Inc’s iOS software.

Scott Totzke, BlackBerry senior vice president, told Reuters on Sunday that while the bulk of BlackBerry products do not use the vulnerable software, the company does need to update two widely used products: Secure Work Space corporate email and BBM messaging program for Android and iOS.

He said they are vulnerable to attacks by hackers if they gain access to those apps through either WiFi connections or carrier networks.

Still, he said, “The level of risk here is extremely small,” because BlackBerry’s security technology would make it difficult for a hacker to succeed in gaining data through an attack.

“It’s a very complex attack that has to be timed in a very small window,” he said, adding that it was safe to continue using those apps before an update is issued.

Google spokesman Christopher Katsaros declined comment. Officials with Apple could not be reached.

Security experts say that other mobile apps are also likely vulnerable because they use OpenSSL code.

Michael Shaulov, chief executive of Lacoon Mobile Security, said he suspects that apps that compete with BlackBerry in an area known as mobile device management are also susceptible to attack because they, too, typically use OpenSSL code.

He said mobile app developers have time to figure out which products are vulnerable and fix them.

“It will take the hackers a couple of weeks or even a month to move from ‘proof of concept’ to being able to exploit devices,” said Shaulov.

Technology firms and the U.S. government are taking the threat extremely seriously. Federal officials warned banks and other businesses on Friday to be on alert for hackers seeking to steal data exposed by the Heartbleed bug.

Companies including Cisco Systems Inc, Hewlett-Packard Co, International Business Machines Corp, Intel Corp, Juniper Networks Inc, Oracle Corp Red Hat Inc have warned customers they may be at risk. Some updates are out, while others, like BlackBerry, are rushing to get them ready.

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Box Launches HTML 5 Tool

Box has updated developer usage plans and opened access to a document viewing tool as it looks to build momentum ahead of its IPO.

Box has made its HTML5 document viewing tool called Box View available for developers to incorporate into their companies’ products and services.

It was unveiled in beta mode last September at the firm’s annual Boxworks conference and is designed to help firms ensure that documents in any format can be viewed online. The tool is based on technology Box acquired in its acquisition of Crocodoc.

Box product manager Sean Rose explained in a blog post, “Box View is an API that converts Office and PDF documents to easily embeddable HTML5, enabling developers to create beautiful experiences around content. Gone are the days of forcing users to deal with broken and inconsistent experiences across platforms.

“With just a few simple API calls, developers can create an elegant and consistent content experience across all platforms.”

Box cited some customers that are already using this service, such as UberConference, Xero and Shake to ensure that they can send information to partners, customers and contractors quickly and easily.

Furthermore, the firm has based the pricing model for the tool on a per-use basis, rather than a traditional per-user basis.

For users of the service as a Box-branded platform – so it displays the Box logo, rather than the customer’s own logo – it’s free for 1,000 document uploads per month. After that it’s priced at 2.5 cents per document.

Custom use of the tool so the customer’s own logo is displayed costs $250 per month for 2,500 uploads. Each document after that costs five cents per upload, but enterprise users can thrash out a deal with Box for any service they expect to handle over 10,000 document uploads a month.

“Most developers will never have to pay anything for Box View, and, for those that do, Box View pricing is built to scale alongside your app’s user base,” added Rose.

As part of this encouragement to developers to incorporate Box into its tools the firm has also unveiled new pricing models around its APIs, to again focus on usage levels rather than user numbers.

Integrating with Box in general is free for developers, and up to 25,000 interactions with the Box Content API is free too. For 25,000 or more API interactions the cost is $500 per month. Any more than this and custom deals are available.

Box VP of Platform Chris Yeh explained that this move was designed “specifically for businesses that want to leverage the APIs at scale” to help keep pace with the growth the firm is seeing.

“More than 35,000 developers are building on Box. Every month, our platform sees one billion third-party API calls, and the Box OneCloud ecosystem just reached 1,000 app integration partners,” Yeh said.

The updates come at a busy time for Box after it filed to go public earlier this week in a listing worth $250m, as it looks to build on its early success in the enterprise market.

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Intel Buys Into Altera

Technology gossip columns are full of news that Intel and Altera have expanded their relationship. Apparently, Altera has been Intel’s shoulder to cry on as the chip giant seeks to move beyond the declining PC market and the breakup of the Wintel alliance. Intel took the break up very hard and there was talk that Alteria might be just a rebound thing.

Last year Intel announced that it would manufacture Altera’s ARM-based quad-core Stratix 10 processors, as part of its efforts to grow its foundry business to make silicon products for third parties. Now the two vendors are expanding the relationship to include multi-die devices integrating Altera’s field-programmable gate arrays (FPGAs) and systems-on-a-chip (SoCs) with a range of other components, from memory to ASICs to processors.

Multi-die devices can drive down production costs and improve performance and energy efficiency of chips for everything from high-performance servers to communications systems. The multi-die devices will take advantage of the Stratix 10 programmable chips that Intel is manufacturing for Altera with its 14-nanometer Tri-Gate process. Intel’s three-dimensional transistor architecture combined with Altera’s FPGA redundancy technology leads to Altera being able to create a highly dense and energy efficient programmable chip die that can offer better integration of components.

At the same time, Intel officials are looking for ways to make more cash from its manufacturing capabilities, including growing its foundry business by making chips for other vendors. CEO Brian Krzanich and other Intel executives have said they will manufacture third-party chips even if they are based on competing infrastructure, which is the case with Altera and its ARM-based chips.

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AMD Buys Mobile Patents

China’s Lenovo is acquiring patents related to 3G and 4G technologies from U.S.-based Unwired Planet for $100 million, as the company sets about expanding with its proposed Motorola Mobility acquisition.

The 21 patent families that Lenovo is purchasing from Unwired Planet will help the Chinese company grow its smartphone and mobile business in new markets, it said Thursday.

In addition, Unwired Planet is licensing its patent portfolio to Lenovo for an unspecified number of years. The Nevada-based company develops mobile technologies in use by carriers including AT&T and Sprint. After its deal with Lenovo closes, Unwired Planet said it will have about 2,500 issued and pending international patents in its portfolio.

Although Lenovo is best known as a PC maker, the company is aiming to becoming a major vendor of mobile phones. Already, in its home market of China, Lenovo ranks as one of the biggest smartphone vendors, and has dozens of different models on the local market.

Lenovo’s mobile phone business is set to grow even larger. In January, the company announced it planned to buy Motorola Mobility from Google for $2.9 billion.

With the proposed acquisition, Lenovo’s handset business will get a foothold in the North American market. The company plans to keep the Motorola business intact, and even use the business to sell phones in its home market of China.

The Motorola deal will also help Lenovo shield itself from patent-related lawsuits that have been used to try to stymie the businesses of other handset makers. By buying Motorola, Lenovo will take ownership of more than 2,000 patent assets and also gain access to Google’s own patent portfolio.

Lenovo’s deal with Unwired Planet is expected to close in 30 days.

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Zeus Attached To Cancer Email Scam

Thousands of email users have been hit by a sick cancer email hoax that aims to infect the recipients’ computers with Zeus malware.

The email has already hit thousands of inboxes across the UK, and looks like it was sent by the National Institute for Health and Care Excellence (NICE). It features the subject line “Important blood analysis result”.

However, NICE has warned that it did not send the malicious emails, and is urging users not to open them.

NICE chief executive Sir Andrew Dillon said, “A spam email purporting to come from NICE is being sent to members of the public regarding cancer test results.

“This email is likely to cause distress to recipients since it advises that ‘test results’ indicate they may have cancer. This malicious email is not from NICE and we are currently investigating its origin. We take this matter very seriously and have reported it to the police.”

The hoax message requests that users download an attachment that purportedly contains the results of the faux blood analysis.

Security analysis firm Appriver has since claimed that the scam email is carrying Zeus malware that if installed will attempt to steal users’ credentials and take over their PCs.

Appriver senior security specialist Fred Touchette warned, “If the attachment is unzipped and executed the user may see a quick error window pop up and then disappear on their screen.

“What they won’t see is the downloader then taking control of their PC. It immediately begins checking to see if it is being analysed, by making long sleep calls, and checking to see if it is running virtually or in a debugger.

“Next it begins to steal browser cookies and MS Outlook passwords from the system registry. The malware in turn posts this data to a server at 69.76.179.74 with the command /ppp/ta.php, and punches a hole in the firewall to listen for further commands on UDP ports 7263 and 4400.”

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Do Chip Makers Have Cold Feet?

It is starting to look like chip makers are having cold feet about moving to the next technology for chipmaking. Fabricating chips on larger silicon wafers is the latest cycle in a transition, but according to the Wall Street Journal chipmakers are mothballing their plans.

Companies have to make massive upfront outlays for plants and equipment and they are refusing, because the latest change could boost the cost of a single high-volume factory to as much as $10 billion from around $4 billion. Some companies have been reining in their investments, raising fears the equipment needed to produce the new chips might be delayed for a year or more.

ASML, a maker of key machines used to define features on chips, recently said it had “paused” development of gear designed to work with the larger wafers. Intel said it has slowed some payments to the Netherlands-based company under a deal to help develop the technology.

Gary Dickerson, chief executive of Applied Materials said that the move to larger wafers “has definitely been pushed out from a timing standpoint”

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Will Google Use Intel Inside?

It seems that Intel has elbowed its way under the bonnet of the high profile Nexus 8 tablet. Word on the street is that the Moorefield chip which is said to make a top speed of around 2.33 GHz, when the wind is behind it, has kicked Qualcomm’s tried and tested Snapdragon chip out of the Nexus range.

The move would give the Nexus 8, some good GPU power thanks to the PowerVR G6430 graphic engine. Google may unveil the actual tablet during the Google I/O event as well as the next big upgrade to the Android software dubbed lollipop. Still it is starting to look like Intel may really become a force to be reckoned with in mobile after all.

However, we should point out that Nexus 8 CPU rumors are nothing new. There was talk of Intel, Qualcomm and even Nvidia over the past couple of months – but we are still not entirely certain what’s under the bonnet.

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