Is Qualcomm Losing Steam?

Qualcomm is one of the most successful companies to come out of the smartphone revolution that’s taking place. That’s because their mobile chips are powering many of the devices currently on the market.

The company’s successful strategy was once again confirmed by the latest financial statements with profit estimates between $26 and $28 billion for the full fiscal year. But not everything’s rosy inside Qualcomm as the company did mention they recently lost “a large customer”.

Who could that be? Why, none other than their frenemy, Samsung. Qualcomm’s statement seems to corroborate an earlier report that said Samsung would no longer be sourcing the high-end Snapdragon 810 chip from Qualcomm.

According to the original report, which seems to be all but confirmed now, Samsung experienced overheating issues with the high-end silicone and decided to drop it from its upcoming Galaxy S6 flagship.

Qualcomm’s execs on the other hand said their chip works exactly as intended and they offer proof of that the fact the Snapdragon 810 has already been confirmed to be in LG’s next flagship, and is expected to show up in a number of other devices including the unannounced HTC M9.

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New Malware Targeting Apple Devices

Palo Alto Networks Inc  has uncovered a new group of malware that can infect Apple Inc’s  desktop and mobile operating systems, underscoring the increasing sophistication of attacks on iPhones and Mac computers.

The “WireLurker” malware can install third-party applications on regular, non-jailbroken iOS devices and hop from infected Macs onto iPhones through USB connector-cables, said Ryan Olson, intelligence director for the company’s Unit 42 division.

Palo Alto Networks said on Wednesday it had seen indications that the attackers were Chinese. The malware originated from a Chinese third-party apps store and appeared to have mostly affected users within the country.

The malware spread through infected apps uploaded to the apps store, that were in turn downloaded onto Mac computers. According to the company, more than 400 such infected apps had been downloaded over 350,000 times so far.

It’s unclear what the objective of the attacks was. There is no evidence that the attackers had made off with anything more sensitive than messaging IDs and contacts from users’ address books, Olson added.

But “they could just as easily take your Apple ID or do something else that’s bad news,” he said in an interview.

Apple, which Olson said was notified a couple weeks ago, did not respond to requests for comment.

Once WireLurker gets on an iPhone, it can go on to infect existing apps on the device, somewhat akin to how a traditional virus infects computer software programs. Olson said it was the first time he had seen it in action. “It’s the first time we’ve seen anyone doing it in the wild,” he added.

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IBM And Tencent Team Up

Tencent Holdings Ltd announced that it would be teaming up with International Business Machines Corp (IBM) on a new cloud software business for corporate customers, a marked departure for one of the dominant forces in China’s consumer Internet industry.

Best known for its popular WeChat messaging app and its online games rather than business software, Tencent said its cloud unit would now target small and medium enterprises in the healthcare and “smart city” industries.

Many technology firms are jockeying for a slice of China’s enterprise software market, which promises to grow sharply in coming years as businesses modernize their IT operations and move data onto the cloud.

Tencent’s alliance with IBM, which has deep experience providing computing and consulting services to corporate clients, provides the Shenzhen company a competitive answer to its Chinese rival Alibaba Group Holding Ltd’s nascent cloud efforts.

An e-commerce giant, Alibaba has been slowly building its cloud unit, which recorded just $38 million in revenue in the three months ended June 30.

Tencent said it would tap IBM for its “industry expertise and enterprise reach” but did not disclose financial terms of the deal.

For IBM, the Tencent deal is just the latest in a recent spate of new software partnerships in China, where its hardware sales have been sliding.

IBM announced a deal earlier this year to install its cutting-edge DB2 database software on Chinese rival Inspur International Ltd’s machines. Big Blue also agreed to license its database and big data technology to Chinese software vendor Yonyou Software Co Ltd.

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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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Qualcomm’s Snapdragon Goes WiGi

he WiGig standard has been around since 2009, but we haven’t really seen it hitting that many retail devices. Back at IDF 2014, Intel demonstrated WiGig 802.11ad video, peripherals, 4K video transfer and it promised that Skylake based laptops will come out of the box with the technology.

WiGig will let you transfer up to 7Gbpps of audio, video or data via 2.4, 5 or 6GHz bands and is as fast as eight-antenna 802.11ac and nearly 50 times faster than highest 802.11n rate. It is backward compatible with WiFi standards, but due to its high frequency it is limited to short distances, usually up to 10 meters, cannot really penetrate walls but it can propagate by reflecting off of walls, ceilings or objects using beam forming.

Now Qualcomm showcased this technology for the first time and promised it inside Snapdragon 810 based devices. Qualcomm demonstrated peer-to-peer connection and transfer of 4K video between two 20nm Snapdragon 810 based tablets. One of the tablets was the sync side and it was connected directly to a 4K TV and it was clear that you could play a content from one tablet and sync it to the second one.

WiGig’s 7Gbps translates to 875MB per second in the best case scenario. The Qualcomm demo shows a Plutonium MSM8994 based tablet hitting up to 187MB a second (1.5 Gbit per second) available for data transfer, with 4K multi-device streaming on the side. WiGig can possibly get to external storage, enabling faster NAS systems, future peripherals such as keyboard and mouse and on a longer run it can completely eliminate the necessity for docking stations. It will take some time but this is the grand idea.

It remains to be seen when we will be able to buy first Snapdragon 810 device with 802.11ad WiGig abilities. Qualcomm mentioned 2015 a number of times, but there’s nothing more specific than that. A potential problem for this standard might be the speed of flash storage that is used in tablets and phones today. According to Androbench, the HTC One M8 can sequentially read 92.29 MB/s, sequentially write only 17 MB/s, while Nvidia’s Shield tablet can sequentially read 67.75 MB/s, and write only 14.09 MB/s.

The performance gets even less impressive with smaller files, but with numbers we are getting from latest 2014 devices, the flash has to increase speed up to 10 times in order to be ready to write files at 150MB. For theoretical maximum of ridiculously fast 875 MB/s we need about 50 times faster memory that the 14-17MB/s write speed available in the current generation of high end mobile devices.

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HTC To Make the Next Google Nexus Tablet

Google Inc has chosen HTC Corp to develop and deliver its upcoming 9-inch Nexus tablet, the Wall Street Journal reported, citing people familiar with the matter.

Google had been mulling HTC as a potential Nexus tablet partner since last year and HTC engineers have been flying to the Googleplex in Mountain View in recent months to work on the project, the report said.

Google’s decision to pick HTC reflects its long-term strategy of building a broad base of partners from device to device to prevent any one manufacturer from gaining a monopoly, the report said.

That may also be one of the reasons why Google chose HTC over bigger rivals Samsung Electronics Co Ltd, maker of the Nexus 10 tablet.

Google and HTC declined to comment on the report.

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Apple Changes Policy In China

Apple Inc has started the processing of keeping the personal data of some Chinese users on servers in mainland China, marking the first time the tech giant is storing user data on Chinese soil.

The storage of user data in China represents a departure from the policies of some technology companies, notably Google Inc, which has long refused to build data centers in China due to censorship and privacy concerns.

Apple said the move was part of an effort to improve the speed and reliability of its iCloud service, which lets users store pictures, e-mail and other data. Positioning data centers as close to customers as possible means faster service.

The data will be kept on servers provided by China Telecom Corp Ltd, the country’s third-largest wireless carrier, Apple said in a statement.

“Apple takes user security and privacy very seriously,” it said. “We have added China Telecom to our list of data center providers to increase bandwidth and improve performance for our customers in mainland china. All data stored with our providers is encrypted. China Telecom does not have access to the content.”

A source with knowledge of the situation said the encryption keys for Apple’s data on China Telecom servers would be stored offshore and not made available to China Telecom.

Apple has said it has devised encryption systems for services such as iMessage that even Apple itself cannot unlock. But some experts expressed scepticism that Apple would be able to withhold user data in the event of a government request.

“If they’re making out that the data is protected and secure that’s a little disingenuous because if they want to operate a business here, that’d have to comply with demands from the authorities,” said Jeremy Goldkorn, director of Danwei.com, a research firm focused on Chinese media, internet and consumers.

“On the other hand if they don’t store Chinese user data on a Chinese server they’re basically risking a crackdown from the authorities.”

Goldkorn added that data stored in the United States is subject to similar U.S. regulations where the government can use court orders to demand private data.

A spokesman for China Telecom declined to comment.

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More Ransomware Plaguing Android

Android users have been warned again that they too can become victims of ransomware.

A Cryptolocker-style Android virus dubbed Simplocker has been detected by security firm Eset, which confirmed that it scrambles files on the SD cards of infected devices before issuing a demand for payment.

The message is in Russian and the demand for payment is in Ukrainian hryvnias, equating to somewhere between £15 and £20.

Naturally, the warning also accuses the victim of looking at rather unsavoury images on their phone. However, while the source of the malware is said to be an app called “Sex xionix”, it isn’t available at the Google Play Store, which generally means that anyone who sideloads it is asking for trouble.

Eset believes that this is actually more of a “proof of concept” than an all-out attack, and far less dangerous than Cryptolocker, but fully functional.

Robert Lipovsky of Eset said, “The malware is fully capable of encrypting the user’s files, which may be lost if the encryption key is not retrieved. While the malware does contain functionality to decrypt the files, we strongly recommend against paying up – not only because that will only motivate other malware authors to continue these kinds of filthy operations, but also because there is no guarantee that the crook will keep their part of the deal and actually decrypt them.”

Eset recommends the usual – use a malware app. It recommends its own, obviously, and advises punters to keep files backed up. Following such advice, said Lipovsky, ensures that ransomware is “nothing more than a nuisance”.

This is not the first Android cryptolocker style virus. Last month a similar virus was found, which Kaspersky said was “unsurprising, considering Android’s market share”.

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Cheaper Windows Phones Forthcoming

Lower priced smartphones running Microsoft’s Windows Phone operating system are on the way, according to Microsoft.

Speaking at the Computex trade show in Taipei, Microsoft’s Nick Parker, who handles the company’s partnerships with device makers, said the new handsets could be out by the end of the year.

Compared to current models, which are in the “fours, fives and sixes,” he said referring to prices between $400 and $699, the new phones would have price points in the “ones, twos and threes.”

Asked to clarify if he was referring to end-market prices without carrier subsidies, Parker said he was.

He didn’t identify the manufacturers that would be bringing the phones to market, but there’s a good chance they are among nine companies Microsoft signed up to its Windows Phone development program earlier this year.

In addition to existing partners Nokia, Samsung, HTC and Huawei, Microsoft added Foxconn, Gionee, Lava (Xolo), Lenovo, LG, Longcheer, JSR, Karbonn and ZTE.

Some of the new partners have significant market share in developing countries where phones generally have lower prices than in developed markets.

Microsoft launched the latest version of its Windows Phone operating system, Windows Phone 8, in late 2012 to critical praise. The operating system was slow to catch on with consumers though, perhaps due to the absence of several popular apps on the platform, but has been slowly increasing its market share.

Windows Phone had a 3 percent share of the smartphone market in the fourth quarter of 2013, up from 2.6 percent in the last three months of 2012, according to IDC. In contrast, Google’s Android dominated the smartphone market at the end of 2013 with a 78.1 percent share. Apple’s iOS was in second place at 17.6 percent.

IDC forecasts Windows Phone will continue to increase its market share to hit 7 percent in 2018.

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HP’s Z-station Goes Nvidia

HP has added its Z Workstation family with a solution that delivers access via a virtual desktop route to workstation applications hosted in the data center.

Set to be available from next month, the HP DL380z Virtual Workstation enables organisations to provide remote access to workstation-class applications, even those calling for heavy-duty graphics, which allows them to keep data stored securely in the data centre wherever employees might be based.

As its name suggests, the HP DL380z is based on the same hardware as HP’s ProLiant DL380p server, a 2U rack-mount two-socket system based on Intel’s Xeon E5-2600 processors, which allows it to slot right into existing data centre infrastructure.

Where the HP DL380z differs is that it can be configured with up to two Nvidia Grid K2 graphics cards supporting the graphics firm’s Grid GPU virtualisation technology. This enables up to eight users to be hosted on each system, each with access to a virtual machine with GPU acceleration capabilities.

Jeff Groudan, worldwide director for HP Thin Client and Virtual Workstations, said, “For employees who work from A to B and everywhere in between, the HP DL380z allows them to access data that is securely stored in the data centre. Furthermore, the powerful HP DL380z is an always-on workhorse that can be used by businesses when not in use for virtual workstation sessions.

Remote access is delivered either by operating Citrix’s XenServer with its HDX 3D Pro technology, which the HP DL380z is certified for, or by utilising HP’s own Remote Graphics Software (RGS). The latest HP RGS release 7 adds the ability to have true workstation productivity from a tablet while bringing intuitive touch controls to non-touch applications, according to HP.

Either way, customers can provide engineers or other professional users with access to workstation-class applications from a variety of devices, including thin clients, laptops or tablets.

Pricing for the HP DL380z has yet to be confirmed.

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