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Will IBM Realize Growth In 2015?
International Business Machines Corp said it is projecting growth in its hardware sector next year as the company invests in research and development and abandons low-performing ventures.
The comments come less than one month after the world’s largest technology service company reported its lowest quarterly revenue in five years, weighed by sluggish global demand for its hardware, which plunged 23 percent in the first quarter of 2014.
The company added that growth in Latin America, the Middle East and Africa remain strong, and blamed falling revenue in China on government reforms affecting state-owned clients, and on the country’s hardware-heavy portfolio.
“We move on and we spread ourselves out, more industries, more clients, cloud, data, et cetera, around there,” said IBM Chief Executive Ginni Rometty at an investor briefing on Wednesday.
Chief Financial Officer Martin Schroeter said to stabilize the hardware sector IBM would continue to “refresh” hardware and further invest in research and development.
“Quite frankly, we are seeing very good growth out of software, good growth out of services, but challenges in hardware,” said Schroeter. “We will stabilize that hardware base and I am comfortable we will make that happen in 2014,” he said.
He reiterated the company’s EPS target for 2015 of at least $20. He expects a shift to higher-value business to bring in $3.25 and share repurchases to add $2 in earnings per share by 2015.
Can MediTek Win With Amazon?
According to the Taiwan Economic Daily, the chipmaker will supply SoCs for upcoming Amazon tablets. Details are sketchy and it is unclear whether MediaTek has landed an order for all Kindle Fire SKUs or just one of them. The paper claims MediaTek will start shipping the chips later this year, but we have no way of confirming or denying the report.
The chip in question appears to be the MT8135. It is a mid-range big.LITTLE part announced last year and it features two Cortex A15 and two Cortex A7 CPU cores. The GPU comes from Imagination and it’s the relatively fresh PowerVR G6200. The GPU is capable of churning out 83.2 GFLOPS at 650MHz, depending on the configuration of course.
It sounds like a decent all-round SoC, with a substantially faster GPU than previous MediaTek offerings in the same segment, which were powered by venerable SGX 54x and Mali 400/450 GPUs.
Information is limited and we can’t say for sure whether or not MediaTek actually landed the deal, or whether the deal includes more than a single Kindle Fire SKU. If true, it is a big coup for the Taiwan-based chipmaker, as Amazon ships up to two million Kindle tablets each quarter.
It would also help MediaTek’s ambitious tablet plans. The company hopes to double shipments of tablet-centric SoC products this year.
RedHat Buys InkTank
Red Hat has announced that it bought storage system provider Inktank.
Inktank is the company behind Ceph, the cloud based objects and block storage software package used in a number of Openstack cloud configurations.
Ceph will continue to be marketed alongside Red Hat’s own GlusterFS in a deal worth $175m, which the company does not believe will adversely affect its financial forecasts for the year.
In a statement, Brian Stevens, EVP and CTO of Red Hat said, “We’re thrilled to welcome Inktank to the Red Hat family. They have built an incredibly vibrant community that will continue to be nurtured as we work together to make open the de facto choice for software-defined storage. Inktank has done a brilliant job assembling a strong ecosystem around Ceph and we look forward to expanding on this success together.”
As part of the deal Ceph’s Monitoring and Diagnostics tool Calamari will also become open source, allowing users to add their own modules and functionality.
Inktank founder Sage Weil used his blog to assure users that the two storage systems will be treated with equal respect. “Red Hat intends to administer the Ceph trademark in a manner that protects the ecosystem as a whole and creates a level playing field where everyone is held to the same standards of use.”
Red Hat made the announcement fresh from Red Hat Summit in New York, where the company reaffirmed that it is the Linux distribution of choice at the CERN supercollider in Switzerland.
The Inktank deal is set to close later this month.
ARM To Focus On 64-bit SoC
ARM announced its first 64-bit cores a while ago and SoC makers have already rolled out several 64-bit designs. However, apart from Apple nobody has consumer oriented 64-bit ARM devices on the market just yet. They are slowly starting to show up and ARM says the transition to 64-bit parts is accelerating. However, the first wave of 64-bit ARM parts is not going after the high-end market.
Is 64-bit support on entry-level SoCs just a gimmick?
This trend raises a rather obvious question – are low end ARMv8 parts just a marketing gimmick, or do they really offer a significant performance gain? There is no straight answer at this point. It will depend on Google and chipmakers themselves, as well as phonemakers.
Qualcomm announced its first 64-bit part late last year. The Snapdragon 410 won’t turn many heads. It is going after $150 phones and it is based on Cortex A53 cores. It also has LTE, which makes it rather interesting.
MediaTek is taking a similar approach. Its quad-core MT6732 and octa-core MT6752 parts are Cortex A53 designs, too. Both sport LTE connectivity.
Qualcomm and MediaTek appear to be going after the same market – $100 to $150 phones with LTE and quad-core 64-bit stickers on the box. Marketers should like the idea, as they’re getting a few good buzzwords for entry-level gear.
However, we still don’t know much about their real-world performance. Don’t expect anything spectacular. The Cortex A53 is basically the 64-bit successor to the frugal Cortex A7. The A53 has a bit more cache, 40-bit physical addresses and it ends up a bit faster than the A7, but not by much. ARM says the A7 delivers 1.9DMIPS/MHz per core, while the A53 churns out 2.3DMIPS/MHz. That puts it in the ballpark of the good old Cortex A9. The first consumer oriented quad-core Cortex A9 part was Nvidia’s Tegra 3, so in theory a Cortex A53 quad-core could be as fast as a Tegra 3 clock-for-clock, but at 28nm we should see somewhat higher clocks, along with better graphics.
That’s not bad for $100 to $150 devices. LTE support is just the icing on the cake. Keep in mind that the Cortex A7 is ARM’s most efficient 32-bit core, hence we expect nothing less from the Cortex A53.
The Cortex A57 conundrum
Speaking to CNET’s Brooke Crothers, ARM executive vice president of corporate strategy Tom Lantzsch said the company was surprised by strong demand for 64-bit designs.
“Certainly, we’ve had big uptick in demand for mobile 64-bit products. We’ve seen this with our [Cortex] A53, a high-performance 64-bit mobile processor,” Lantzch told CNET.
He said ARM has been surprised by the pace of 64-bit adoption, with mobile parts coming from Qualcomm, MediaTek and Marvell. He said he hopes to see 64-bit phones by Christmas, although we suspect the first entry-level products will appear much sooner.
Lantzsch points out that even 32-bit code will run more efficiently on 64-bit ARMv8 parts. As software support improves, the performance gains will become more evident.
But where does this leave the Cortex A57? It is supposed to replace the Cortex A15, which had a few teething problems. Like the A15 it is a relatively big core. The A15 was simply too big and impractical on the 32nm node. On 28nm it’s better, but not perfect. It is still a huge core and its market success has been limited.
As a result, it’s highly unlikely that we will see any 28nm Cortex A57 parts. Qualcomm’s upcoming Snapdragon 810 is the first consumer oriented A57 SoC. It is a 20nm design and it is coming later this year, just in time for Christmas as ARM puts it. However, although the Snapdragon 810 will be ready by the end of the year, the first phones based on the new chip are expected to ship in early 2015.
While we will be able to buy 64-bit Android (and possibly Windows Phone) devices before Christmas, most if not all of them will be based on the A53. That’s not necessarily a bad thing. Consumers won’t have to spend $500 to get a 64-bit ARM device, so the user base could start growing long before high-end parts start shipping, thus forcing developers and Google to speed up 64-bit development.
If rumors are to be believed, Google is doing just that and it is not shying away from small 64-bit cores. The search giant is reportedly developing a $100 Nexus phone for emerging markets. It is said to be based on MediaTek’s MT6732 clocked at 1.5GHz. Sounds interesting, provided the rumour turns out to be true.
Can AMD Lead?
He is one of the drivers behind AMD’s transformation, with the ultimate goal of turning the chipmaker into a new organization that is not so heavily dependent on the PC market. John confirmed that the company is on the road to achieve a huge milestone in its transition plans, generating approximately 50 percent of its revenue from the non-PC market by the end of 2015.
The time for the talk could not been better, as the market reacted positively to AMD’s Q1 earnings and at press time the stock was at $4.14, up $0.45 or 12.06 percent which is a huge jump for a tech stock. Keep in mind that many tech stocks have been bearish over the last four weeks, with several massive selloffs, especially in software and internet companies.
AMD fighting back in CPU space
We covered numerous topics from desktops, notebooks and tablets strategy all the way to the server, semi-custom APUs and of course the graphics market.
John said that leadership in the graphics sector is critical in AMD’s strategy, none more so than in the PC space where AMD wants to use their performance APU’s to compete with Intel’s Core i3 and Core i5 processors in the lucrative mainstream market. This is what AMD wants to address with Kaveri and to some extent with Kabini APUs.
AMD has high hopes for its upcoming server parts where they just launched their first ARM 64-bit product for the dense server space, where AMD expects to be a leader. On the other side of the spectrum the frugal AM1 platform launched a few weeks ago and it is getting very positive reviews. The first Kaveri parts have been on sale for a while, although we would like to see more desktop SKUs, not to mention mobile Kaveri APUs, including ULV variants.
Semi-custom APUs are blurring the line between AMD’s traditional product classes, but sales appear to be good, with more than 12 million Xbox One and PlayStation 4 consoles in the wild.
Phenomenal discrete GPU sales
Byrne is quietly confident when it comes to the GPU market, having just seen very strong sales in the performance and enthusiast high end segments of the market. The surge was driven by competitive products, great games and bundles, even with the cryptocurrency craze which was more or less a fluke for AMD.
The company remains committed to the GPU market, and expects to bring the successful R9 / R7 architecture further down into the mainstream price points in 2014, with similar traction. This means AMD will continue the fight against Nvidia in desktop and notebook GPU markets, while at the same time taking on Intel on desktop and notebook side with new APUs.
AMD thinks that the mix of great gaming performance, HSA, Mantle, Open CL, compute performance and some cool technologies like facial recognition can boost its position in the GPU market. This is just one part of the magic potion that is really starting to work for AMD, but it’s good to know that when it comes to graphics and gaming, AMD will stay committed to these markets in 2014 and beyond.
Enthusiasts need not worry. Although the company is reinventing itself and pursuing non-PC revenue streams, AMD will still be there to cater to their needs.
Many Websites Still Exposed
The world’s top 1,000 websites have been updated to protect their servers against the “Heartbleed” vulnerability, but up to 2% of the top million remained unprotected as of last week, according to a California security firm.
On Thursday, Menifee, Calif.-based Sucuri Security scanned the top 1 million websites as ranked by Alexa Internet, a subsidiary of Amazon that collects Web traffic data.
Of the top 1,000 Alexa sites, all were either immune or had been patched with the newest OpenSSL libraries, confirmed Daniel Cid, Sucuri’s chief technology officer, in a Sunday email.
Heartbleed, the nickname for the flaw in OpenSSL, an open-source cryptographic library that enables SSL (Secure Sockets Layer) or TLS (Transport Security Layer) encryption, was discovered independently by Neel Mehta, a Google security engineer, and researchers from security firm Codenomicon earlier this month.
The bug had been introduced in OpenSSL in late 2011.
Because of OpenSSL’s widespread use by websites — many relied on it to encrypt traffic between their servers and customers — and the very stealthy nature of its exploit, security experts worried that cyber criminals either had, or could, capture usernames, passwords,\ and even encryption keys used by site servers.
The OpenSSL project issued a patch for the bug on April 7, setting off a rush to patch the software on servers and in some client operating systems.
The vast majority of vulnerable servers had been patched as of April 17, Sucuri said in a blog postthat day.
While all of the top 1,000 sites ranked by Alexa were immune to the exploit by then, as Sucuri went down the list and scanned smaller sites, it found an increasing number still vulnerable. Of the top 10,000, 0.53% were vulnerable, as were 1.5% of the top 100,000 and 2% of the top 1 million.
Other scans found similar percentages of websites open to attack: On Friday, San Diego-based Websense said about 1.6% of the top 50,000 sites as ranked by Alexa remained vulnerable.
Since it’s conceivable that some sites’ encryption keys have been compromised, security experts urged website owners to obtain new SSL certificates and keys, and advised users to be wary of browsing to sites that had not done so.
Sucuri’s scan did not examine sites to see whether they had been reissued new certificates, but Cid said that another swing through the Web, perhaps this week, would. “I bet the results will be much much worse on that one,” Cid said.
Can AMD Grow
AMD posted some rather encouraging Q1 numbers last night, but slow PC sales are still hurting the company, along with the rest of the sector.
When asked about the PC market slump, AMD CEO Rory Read confirmed that the PC market was down sequentially 7 percent. This was a bit better than the company predicted, as the original forecast was that the PC market would decline 7 to 10 percent.
Rory pointed out that AMD can grow in the PC market as there is a lot of ground that can be taken from the competition. The commercial market did better than expected and Rory claims that AMD’s diversification strategy is taking off. AMD is trying to win market share in desktop and commercial segments, hence AMD sees an opportunity to grown PC revenue in the coming quarters. Rory also expects that tablets will continue to cannibalize the PC market. This is not going to change soon.
Kaveri and Kabini will definitely help this effort as both are solid parts priced quite aggressively. Kabini is also available in AMD’s new AM1 platform and we believe it is an interesting concept with plenty of mass market potential. Desktop and Notebook ASPs are flat which is something that the financial community really appreciated. It would not be so unusual that average selling prices were down since the global PC market was down.
Kaveri did well in the desktop high-end market in Q1 2014 and there will be some interesting announcements in the mobile market in Q2 2014 and beyond.
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.
Dell RedHat Join Forces
The Dell Red Hat Cloud solution, a co-engineered, enterprise grade private cloud, was unveiled at the Red Hat Summit on Thursday.
The Openstack-based service also includes an extension of the Red Hat partnership into the Dell Openshift Platform as a Service (PaaS) and Linux Container products.
Dell and Redhat said their cloud partnership is intended to “address enterprise customer demand for more flexible, elastic and dynamic IT services to support and host non-business critical applications”.
The integration of Openshift with Redhat Linux is a move towards container enhancements from Redhat’s Docker platform, which the companies said will enable a write-once culture, making programs portable across public, private and hybrid cloud environments.
Paul Cormier, president of Products and Technologies at Red Hat said, “Cloud innovation is happening first in open source, and what we’re seeing from global customers is growing demand for open hybrid cloud solutions that meet a wide variety of requirements.”
Sam Greenblatt, VP of Enterprise Solutions Group Technology Strategy at Dell, added, “Dell is a long-time supporter of Openstack and this important extension of our commitment to the community now will include work for Openshift and Docker. We are building on our long history with open source and will apply that expertise to our new cloud solutions and co-engineering work with Red Hat.”
Dell Red Hat Cloud Solutions are available from today, with support for platform architects available from Dell Cloud Services.
Earlier this week, Red Hat announced Atomic Host, a new fork of Red Hat Enterprise Linux (RHEL) specifically tailored for containers. Last year, the company broke bad with its Fedora Linux distribution, codenamed Heisenbug.
Source
Heartbleed Hits Oracle
Oracle issued a comprehensive list of its software that may or may not be impacted by the OpenSSL (secure sockets layer) vulnerability known as Heartbleed, while warning that no fixes are yet available for some likely affected products.
The list includes well over 100 products that appear to be in the clear, either because they never used the version of OpenSSL reported to be vulnerable to Heartbleed, or because they don’t use OpenSSL at all.
However, Oracle is still investigating whether another roughly 20 products, including MySQL Connector/C++, Oracle SOA Suite and Nimbula Director, are vulnerable.
Oracle determined that seven products are vulnerable and is offering fixes. These include Communications Operation Monitor, MySQL Enterprise Monitor, MySQL Enterprise Server 5.6, Oracle Communications Session Monitor, Oracle Linux 6, Oracle Mobile Security Suite and some Solaris 11.2 implementations.
Another 14 products are likely to be vulnerable, but Oracle doesn’t have fixes for them yet, according to the post. These include BlueKai, Java ME and MySQL Workbench.
Users of Oracle’s growing family of cloud services may also be able to breath easy. “It appears that both externally and internally (private) accessible applications hosted in Oracle Cloud Data Centers are currently not at risk from this vulnerability,” although Oracle continues to investigate, according to the post.
Heartbleed, which was revealed by researchers last week, can allow attackers who exploit it to steal information on systems thought to be protected by OpenSSL encryption. A fix for the vulnerable version of OpenSSL has been released and vendors and IT organizations are scrambling to patch their products and systems.
Observers consider Heartbleed one of the most serious Internet security vulnerabilities in recent times.
Meanwhile, this week Oracle also shipped 104 patches as part of its regular quarterly release.
The patch batch includes security fixes for Oracle database 11g and 12c, Fusion Middleware 11g and 12c, Fusion Applications, WebLogic Server and dozens of other products. Some 37 patches target Java SE alone.
A detailed rundown of the vulnerabilities’ relative severity has been posted to an official Oracle blog.