Office 365 Subscription Slows Signficantly 

Microsoft said that consumer subscriptions to Office 365 topped 23 million, signaling that the segment’s once quite large year-over-year growth had slowed significantly.

IBM’s Watson To Power Self-Driving Cars

Olli, a self-driving passenger shuttle running IBM Watson Internet of Things technology, made its debut in a shopping area of the Washington,D.C. suburbs.

Hospitals Should Brace For Surge In Ransomware Attacks

U.S. hospitals should brace for a surge in “ransomware” attacks by cyber criminals who take computer networks hostage, then demand payment in return for unlocking them, a non-profit healthcare group warned on Friday.

Malware Turns Computers Into Cellular Antenna

A team of Israeli researchers have improved on a way to steal data from air-gapped computers, thought to be safer from attack due to their isolation from the Internet.

They’ve figured out how to turn the computer into a cellular transmitter, leaking bits of data that can be picked up by a nearby low-end mobile phone.

While other research has shown it possible to steal data this way, some of those methods required some hardware modifications to the computer. This attack uses ordinary computer hardware to send out the cellular signals.

Their research, which will be featured next week at the 24th USENIX Security Symposium in Washington, D.C., is the first to show it’s possible to steal data using just specialized malware on the computer and the mobile phone.

“If somebody wanted to get access to somebody’s computer at home — let’s say the computer at home wasn’t per se connected to the Internet — you could possibly receive the signal from outside the person’s house,” said Yisroel Mirsky, a doctoral student at Ben-Gurion University and study co-author.

The air-gapped computer that is targeted does need to have a malware program developed by the researchers installed. That could be accomplished by creating a type of worm that infects a machine when a removable drive is connected. It’s believed this method was used to deliver Stuxnet, the malware that sabotaged Iran’s uranium centrifuges.

The malware, called GSMem, acts as a transmitter on an infected computer. It creates specific, memory-related instructions that are transmitted between a computer’s CPU and memory, generating radio waves at GSM, UMTS and LTE frequencies that can be picked up by a nearby mobile device.

The GSMem component that runs on a computer is tiny. “Because our malware has such a small footprint in the memory, it would be very difficult and can easily evade detection,” said Mordechai Guri, also a doctoral student at Ben-Gurion.

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Microsoft To Open Source Radio Code

Microsoft has begun to open source some more of its code, this time for the Microsoft Research Software Radio (Sora).

“We believe that a fully open source Sora will better support the research community for more scientific innovation,” said Kun Tan, a senior researcher on the Sora project team.

Sora was created to combat the problem of creating software radio that could keep up with the hardware developments going on around it.

The idea behind it is to run the radio off software on a multi-core PC running a basic operating system. In the example, it uses Windows. But then it would.

A PCIe radio control board is added to the machine with signals processed by the software for transmission and reception, while the RF front-end, with its own memory, interfaces with other devices.

The architecture also supports parallel processing by distributing processing pipelines to multiple cores exclusively for real-time SDR tasks.

Sora has already won a number of awards, and the Sora SDK and API were released in 2011 for academic users. More than 50 institutions now use it for research or courses.

As such, and in line with the groovy open Microsoft ethos, the software has now been completely open sourced, with customizable RF front-ends, customizable RCB with timing control and synchronization, processing accelerators and support for new communication models such as duplex radios.

The Sora source code is now up on GitHub. Use cases already in place include TV whitespace, large scale MIMO and distributed MIMO systems.

Microsoft has made a number of moves towards open sourcing itself over the past year. Most notably, The .NET Framework at the heart of most Windows programs was offered up to the newly created .NET Foundation.

It was announced yesterday that Google is releasing its Kubernetes code to the Linux Foundation to set up a standardized format for containerization.

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IBM Partners With BOX

IBM and BOX have signed a global agreement to combine their strengths into a cloud powerhouse.

The star-crossed ones said in a joint statement: “The integration of IBM and Box technologies, combined with our global cloud capabilities and the ability to enrich content with analytics, will help unlock actionable insights for use across the enterprise.”

Box will bring its collaboration and productivity tools to the party, while IBM brings social, analytic, infrastructure and security services.

The move is described as a strategic alliance and will see the two companies jointly market products under a co-banner.

IBM will enable the use of Box APIs in enterprise apps and web services to make a whole new playground for developers.

The deal will see Box integrate IBM’s content management, including content capture, extraction, analytics, case management and governance. Also aboard will be Watson Analytics to study in depth the content being stored in Box.

Box will also be integrated into IBM Verse and IBM Connections to allow full integration for email and social.

IBM’s security and consulting services will be part of the deal, and the companies will work together to create mobile apps for industries under the IBM MobileFirst programme.

Finally, the APIs for Box will be enabled in Bluemix meaning that anyone working on rich apps in the cloud can make Box a part of their creation.

Box seems to be the Nick Clegg to IBM’s ham-faced posh-boy robot in this relationship, but is in fact bringing more than you’d think to the party with innovations delivered by its acquisition of 3D modelling company Verold.

What’s more, the results of these collaborations should allow another major player to join Microsoft and Google in the wars over productivity platforms.

It was announced today that Red Hat and Samsung are forming their own coalition to bring enterprise mobile out of the hands of the likes of IBM and Apple which already have a cool thing going on with MobileFirst.

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Microsoft Unveils Hologram Visor

Microsoft Corp surprised the tech world with the unveiling of a prototype hologram visor that can bring the Minecraft video game, Skype calls and even the landscape of Mars to three-dimensional life.

The veteran tech pioneer, which long ago lost the mantle of the world’s most inventive company, is making a bold play to regain that title in the face of stiff competition from Google Inc and Apple Inc.

Virtual or enhanced reality is the next frontier in computing interaction, with Facebook Inc focusing on its Oculus virtual reality headset and Google working on its Glass project.

Microsoft said its wire-free Microsoft HoloLens device will be available around the same time as Windows 10 this autumn. Industry analysts were broadly excited at the prospect, but skeptical that it could produce a working model at a mass-market price that soon.

“That was kind of a ‘Oh wow!’ moment,” said Mike Silver, an analyst at Gartner who tried out the prototype on Wednesday. “You would expect to see a relatively high-priced model this year or next year, then maybe it’ll take another couple of years to bring it down to a more affordable level.”

Microsoft does not have a stellar record of bringing ground-breaking technology to life. Its Kinect motion-sensing game device caused an initial stir but never gripped the popular imagination.

The company showed off a crude test version of the visor – essentially jerry-rigged wires and cameras pulled over the head – to reporters and industry analysts at a gathering at its headquarters near Seattle.

It did not allow any photographs or video of the experience, but put some images on its website.

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U.S. And Britain Ramping Up Cyber Defense

The U.S. and Britain are increasing their collaboration to thwart digital threats. They are planning to launch more attacks against each other to test their defenses and scare away possible enemies.

The U.S. and the U.K. have been working together to prevent cyber attacks for some time, but are going to increase the collaboration. They will combine their expertise to set up “cyber cells” on both sides of the Atlantic to increase sharing information about threats and to work out how to best protect themselves and create a system that lets hostile states and organization know they shouldn’t attack, said U.K. prime minister David Cameron in an interview published by the BBC.

Cyber attacks “are one of the biggest modern threats that we face,” according to Cameron who is visiting Washington for talks with U.S. president Barack Obama. One of the topics high on the agenda is digital security.

The countries will increase the “war games” launched at each other to test defenses. “It is happening already but it needs to be stepped up,” Cameron said, adding that British intelligence service GCHQ and the U.S. equivalent NSA have know-how that should be shared more.

“It is not just about protecting companies, it is also about protecting people’s data, about protecting people’s finances. These attacks can have real consequences to people’s prosperity,” he said.

However, in order to protect companies and citizens better, increased snooping powers to track terrorists on social networks are necessary, said Cameron. He is planning to discuss this issue with Obama and U.S. companies including Google and Facebook.

The increased cooperation between the countries comes in the wake of the Sony hack and the apparent hacking of the U.S. Central Command’s Twitter account by ISIS (Islamic State of Iraq and Syria), which posted tweets threatening families of U.S. soldiers and claiming to have hacked into military PCs.

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Bitcoin Use Growing

Bitcoin is gaing greater acceptance at U.S. online merchants including Overstock.com and Expedia, as customers use a digital currency that just a few years ago was virtually unknown but is now showing some staying power.

Though sales paid for in bitcoin so far at vendors interviewed for this article have been a fraction of one percent, they expect that as acceptance grows, the online currency will one day be as ubiquitous as the internet.

“Bitcoin isn’t going anywhere; it’s here to stay,” said Michael Gulmann, vice president of global products at Expedia Inc. in Seattle, the largest online travel agent. “We want to be there from the beginning.” Expedia started accepting bitcoin payments for hotel bookings on July 11.

Until recently a niche alternative currency touted by a fervent group of followers, bitcoin has evolved into a software-based payment online system. Bitcoins are stored in a wallet with a unique identification number and companies like Coinbase and Blockchain can hold the currency for the user.

When buying an item from a merchant’s website, a customer simply clicks on the bitcoin option and a pop-in window appears where he can type in his wallet ID number.

Still, broad-based adoption of bitcoin is at least five years away because most consumers still prefer to use credit cards, analysts said.

“Bitcoin is a new way of making payments, but it’s not solving a problem that’s broken,” said George Peabody, payments consultant at Glenbrook Partners in Menlo Park, California. “Retail payments aren’t broken.”

There are also worries about bitcoin’s volatility: its price in U.S. dollars changes every day.

That risk is borne by the consumer and the bitcoin payment processor, such as Coinbase or Bitpay, not the retailer. The vendor doesn’t hold the bitcoin and is paid in U.S. dollars. As soon as a customer pays in bitcoin, the digital currency goes to the payment processor and the processor immediately pays the merchant, for a fee of less than 1 percent.

“We don’t have to deal with the actual holding of the bitcoin: it’s the payment processor that takes the currency risk for us,” said Bernie Han, chief operating officer at Dish Network Corp, in Englewood, Colorado. “That’s what makes it appealing for us and I guess for other merchants as well.”

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NSA Software Reengineered

Hackers have found a way to reverse engineer the technology of the United States National Security Agency (NSA) spy gadgets.

Thanks to documents leaked by fugitive former NSA contractor and whistleblower Edward Snowden, the group has built a copycat device able to gather private data from computer systems.

The Advanced Network Technology catalogue, leaked by Snowden, is the Argos book of the NSA showing a range of toys available to agents. One such device known has a “retro reflector” had eluded identification, beyond that it acted as a bug, keylogger and screengrabber.

Michael Ossman and his team from Great Scott Gadgets, a Colorado based hacking group, decided that the best defence against such devices was to create their own to understand what makes them tick.

It transpired that the key technology being used is called software defined radio (SDR), an approach that uses software to generate radio transmissions through signal processing, doing away with a lot of hardware circuitry.

“SDR lets you engineer a radio system of any type you like really quickly so you can research wireless security in any radio format,” Ossmann told New Scientist.

The technique can be used for almost any type of radio signal and therefore the devices are capable of tracking anything, from what you’re listening to through a Bluetooth headset to the binary signals of your internet traffic.

The group, which will demonstrate its work at the Defon hacking conference in Las Vegas, runs a website at NSAplayset.org that is a repository for all of the information it gathered.

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