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Lenovo Eyes The U.S.

October 22, 2012 by  
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Lenovo hopes that computers made in its first U.S. manufacturing plant will draw more consumers, while also making the delivery of ThinkPad laptops and tablets faster to U.S. customers.

The company, which is based in China, earlier this month announced it would open a factory to make computers in Whitsett, N.C. — its first such facility in the U.S. Lenovo said the factory would create about 115 manufacturing jobs. A spokesman later added that the company may expand the facility in the future, which could create more jobs.

Manufacturing in the U.S. will help Lenovo get its products to customers more quickly, said Peter Hortensius, senior vice president of the product group at Lenovo, in an interview at a company event in New York on Tuesday evening.

The company will manufacture ThinkPad laptops and tablets starting early next year, and with the new factory, Lenovo hopes computers could reach customers within a week, or in some cases, overnight. But initial supplies of products like the ThinkPad Tablet 2, which will become available in October, will not be made in the U.S. factory.

Many Lenovo computer shipments originate from China and are supposed to reach customers in 10 days, but in some cases take weeks. The company also has factories in Japan, Brazil, Germany and Mexico.

The “Made in USA” tag on computers manufactured in North Carolina will resonate with some buyers, Hortensius said. Lenovo’s main U.S. operations are in that state, and the company also has a distribution center there.

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Japan Goes After Online Piracy

October 9, 2012 by  
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Japan will enforce anti-’piracy’ laws that criminalize illegally downloading media files.

The penalties see downloaders running the risk of a two year stay in prison and a fine of up to about $25K, according to a BBC report.

The BBC reports that the enforcement proposal follows a lobbying campaign by the Japanese music industry, adding that the penalties could apply even if someone has downloaded only a single file. The laws were passed two years ago, but so far have not been implemented.

Local rightsholders will be hoping that from now on the criminal penalties will be enforced, and in spades. They are the kind of sanctions that rightsholders dream of and are much stricter than the three-strikes policy in the US.

Anyone caught uploading is also treated more sternly, and could be jailed for as long as ten years.

Japan has a large market for media material, and its government apparently is bowing to protect the interests of rightsholders.

This past Summer the Japanese government ratified the draconian Anti-Counterfeiting Trade Agreement (ACTA), despite it being rejected elsewhere.

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I.T. Spending On The Rise

September 17, 2012 by  
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Worldwide IT spending remains on track to increase by 6% in 2012 despite the grim economic conditions in Europe, thanks to strong software, storage, smartphone and tablet sales, according to IDC.

While 2012 has been a tough year for many IT vendors, they have done better overall than many expected in the first half of the year, IDC said.

For example, software spending has been robust, even in parts of the world where the economy has been weakest, as businesses hope software tools and applications will help them implement cost-reduction strategies.

The 6% growth compares to a 7% increase in worldwide IT spending last year. IDC expects 6% growth in 2013.

Software, storage, enterprise network and mobile device markets have offset weaker sales in servers, peripherals and PCs. However, the launch of Windows 8 during the fourth quarter should help the PC market recover next year, IDC said.

U.S. IT spending will grow by 5.9% in 2012, compared to 8.5% last year. However, the strength of the dollar during the first six months of the year means that IT spending in dollar terms will grow just 4% for the full year.

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Will Facebook Go Lower?

September 6, 2012 by  
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Facebook is still overvalued and analysts are starting to agree with us that the company could fall to about $13 a share.

SmartMoney’s Jack Hough is being quoted by Forbes as saying that Facebook should be worth about half what is now – about $29.52 billion, or just a tad over $13 per share. Hough compares Facebook to Google which trades at 3.6 times its projected revenues for 2014. Analysts expect Facebook to have $8.2 billion in sales that year which means you just multiply this figure by about three.

All makes sense and is a similar view to what I said when Facebook issued its daft IPO and people lost their shirts and underpants on the deal. Part of the problem is still that Facebook has not worked out a good way to make money from advertising and it has not got an effective mobile strategy.

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Rambus Makes Cuts

August 30, 2012 by  
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Technology licensing firm Rambus Inc said it has reorganized its businesses into three divisions and will slash its workforce by 15 percent as part of its efforts to cut costs.

The company, which has posted a loss for the last three consecutive quarters, appointed a new Chief Executive in June.

Rambus expects to save between $30 million and $35 million in cash annually, most of it from cuts in its general and administrative expenses.

The Sunnyvale, California-based company said the reductions in expense and related workforce will begin in the coming weeks and are expected to be completed during the fourth quarter.

It will take a related charge of $6 million over the next two quarters.

As of December 2011, the company had 456 employees.

Rambus said it now operates three business units — Memory and Interfaces, Cryptography Research Inc and Lighting and Display Technologies. It also named Martin Scott as the new role of chief technology officer.

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Windows 8 ‘Grace Period’ Ends

August 27, 2012 by  
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Microsoft has halted the 30-day grace period, a trademark of Windows 7, in the retail copies of Windows 8, requiring that users provide a product key during setup.

The change runs counter to previous practice by the Redmond, Wash. developer. With Windows 7, for example, users could run the OS for 30 days before activating the copy by providing a legitimate key.

That “grace period” was used by some to evaluate the software prior to purchasing, to save up to $100 by using an “upgrade” license to install the OS on a newly-formatted hard drive, and to create physical partitions or virtual machines for quick testing purposes.

Because Windows 8 handles activation differently, the grace period has been eliminated.

As several blogs have noted, customers must enter a unique product key — a 25-character alpha-numeric string — to proceed during Windows 8 setup. Failure to do so stops the process in its tracks. The Consumer Preview and Release Preview used this technique too, although Microsoft provided users a generic key for those sneak peeks.

Once Windows 8 is installed — assuming the machine is connected to the Internet — it automatically seeks out a Microsoft server to verify that the key is valid and then activates the OS. “If the licensed computer is connected to the Internet, the software will automatically connect to Microsoft for activation,” states the end-user licensing agreement, or EULA, for Windows 8 Pro.

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Cisco Gives Employees The Boot

July 30, 2012 by  
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Network equipment maker Cisco Systems said on Monday that it plans to eliminate about 1,300 jobs as part of ongoing efforts to restructure the company.

“We are performing a focused set of limited restructurings that will collectively impact approximately 2 percent of our global employee population,” the company said in an emailed statement.

These actions are part of a continuous process to simplify the company and assess the economic environment in certain parts of the world, it said.

Cisco had 65,223 employees at the end of its fiscal third quarter, according to its website.

Cisco last year started a plan to cut expenses by $1 billion in an effort to make the company leaner and more efficient.

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Do Work-At-Home People Work Hard?

July 4, 2012 by  
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A new survey by Citrix shows that many people sneak in other activities while working from home.

Based on a survey of 1,013 American office workers, conducted in June by Wakefield Research, 43 percent watch TV or a movie and 20 percent play video games while officially working from home. Parents are more likely than those without children to partake in these two activities, which aren’t work-related.

Nearly a quarter admit that they have a drink or two and another quarter admit to falling asleep. Another 35 percent do household chores; 28 percent cook dinner. Strangely however telecommuters are actually more productive than their peers in the office, according to preliminary findings from Stanford University’s study of a Chinese travel agency.

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U.S. Takes Back Supercomputing Crown

June 27, 2012 by  
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The U.S., once again, is home to the world’s most powerful supercomputer after being kicked off the list by China two years ago and then again by Japan last year.

The top computer, an IBM system at the Department of Energy’s Lawrence Livermore National Laboratory, is capable of 16.32 sustained petaflops, according to the Top 500 list, a global, twice a year ranking, released Monday.

This system, named Sequoia, has more than 1.57 million compute cores and relies on architecture and parallelism, and not Moore’s Law, to achieve its speeds.

“We’re at the point where the processors themselves aren’t really getting any faster,” said Michael Papka, Argonne National Laboratory deputy associate director for computing, environment and life sciences.

The Argonne lab installed a similar IBM system, which ranks third on the new Top 500 list. “Moore’s Law is generally slowing down and we’re doing it (getting faster speeds) by parallelism,” Papka said.

U.S. high performance computing technology dominates the world market. IBM systems claimed five of the top ten spots in the list, and 213 systems out the 500.

Hewlett-Packard is number two, with 141 systems on the list. Nearly 75% of the systems on this list run Intel processors, and 13% use AMD chips.

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USA In Danger Of Cyber Experts Shortage

June 20, 2012 by  
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Leading cyber experts warned of a shortage of talented computer security experts in the United States, making it extremely difficult to keep corporate and government networks safe at a time when attacks are on the rise.

Symantec Corp Chief Executive Enrique Salem told the Reuters Media and Technology Summit in New York that his company was working with the U.S. military, other government agencies and universities to help develop new programs to train security professionals.

“We don’t have enough security professionals and that’s a big issue. What I would tell you is it’s going to be a bigger issue from a national security perspective than people realize,” he said on Tuesday.

Jeff Moss, a prominent hacking expert who sits on the U.S. Department of Homeland Security Advisory Council, said that it was difficult to persuade talented people with technical skills to enter the field because it can be a thankless task.

“If you really look at security, it’s like trying to prove a negative. If you do security well, nobody comes and says ‘good job.’ You only get called when things go wrong.”

The warnings come at a time when the security industry is under fire for failing to detect increasingly sophisticated pieces of malicious software designed for financial fraud and espionage and failing to prevent the theft of valuable data.

Moss, who goes by the hacker name “Dark Tangent,” said that he sees no end to the labor shortage.

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