Sign up for our Technology Newsletter 
IBM Sued Over Disaster
IBM has been hit with a multimillion-dollar lawsuit by chemical products manufacturer Avantor Performance Materials, which alleges that IBM lied about the suitability of an SAP-based software package it sells in order to win Avantor’s business.
In 2010, Avantor decided to upgrade its ERP (enterprise resource planning) platform to SAP software, according to the lawsuit, filed Thursday in U.S. District Court for the District of New Jersey.
“Seizing upon Avantor’s decision — and fully aware that, given the competitive pressures of Avantor’s industry, and the specialized demands of its customers, Avantor could not tolerate any disruptions in customer service — IBM represented that IBM’s ‘Express Life Sciences Solution’ … was uniquely suited to Avantor’s business,” the lawsuit states. “The Express Solution is a proprietary IBM pre-packaged software solution that runs on an SAP platform.”
But Avantor discovered a different truth after signing on with IBM, finding that Express Life was “woefully unsuited” to its business and the implementation brought its operations to “a near standstill,” according to the suit.
IBM also violated its contract by staffing the project with “incompetent and reckless consultants” who made “numerous design, configuration and programming errors,” it states.
In addition, IBM “intentionally or recklessly failed” to tell Avantor about risks to the project and hurried towards a go-live date, the suit alleges.
“To conceal the System’s defects and functional gaps, IBM ignored the results of its own pre-go-live tests, conducted inadequate and truncated testing and instead recommended that Avantor proceed with the go-live as scheduled — even though Avantor had repeatedly emphasized to IBM that meeting a projected go-live date was far less important than having a fully functional System that would not disrupt Avantor’s ability to service its customers,” the suit states.
The resulting go-live, which occurred in May, “was a disaster,” with the system failing to process orders properly, losing some orders altogether, failing to generate need paperwork for U.S. Customs officials and directing “that dangerous chemicals be stored in inappropriate locations,” the suit states.
Avantor has suffered tens of millions of dollars in monetary damages, as well as taken a hit to its reputation among partners and customers, the suit states.
Lenovo On The Rise
Lenovo has topped off a great 2012 with record sales figures and revenues, and claimed it took 15.6 percent of the PC market.
Lenovo is the PC maker that has bucked the industry trend of a shrinking PC market, posting faster than average industry growth for 14 consecutive quarters. All of that has left the firm announcing an 11 percent increase in second fiscal quarter sales to $8.7bn with profits of $162m, an increase of 13 percent over the same period last year.
Lenovo has managed to maintain the legendary status held by IBM’s Thinkpads and introduce its own low-cost models aimed at consumers. The firm has also been pushing smartphones in China and close to half of its revenues in its second fiscal quarter came from its home market.
Yang Yuanqing, chairman and CEO of Lenovo said, “Our global PC market share reached another historic high, moving us closer to our dream of becoming the worldwide PC leader. With four years’ effort, our consumer PC business has become the world’s number one in this segment for the first time. Our smartphone business in China, which we started only two years ago, has again strengthened its number two position,”
Samsung And Yahoo Ink A Deal
November 14, 2012 by admin
Filed under Around The Net
Comments Off on Samsung And Yahoo Ink A Deal
Yahoo announced a deal on Tuesday with Samsung to integrate its Broadcast Interactivity service into the company’s Smart TVs.
The agreement will allow Yahoo to push real-time content alongside TV shows and advertisements on Samsung TVs, such as “subtle, on-screen prompts” that inform viewers of additional content that they can watch.
“With the touch of a remote, connected tablet or phone, Samsung Smart TV viewers can easily surface content or offers related to the TV shows and commercials they are watching,” Samsung said.
TV programmers can use the integration feature to provide Samsung TV customers with “complementary content” such as trivia, additional information about the show being watched and interactive gaming.
Showtime Networks and National Geographic Channel are two of the first TV programming partners that will take advantage of the agreement, Yahoo said.
If TV ads aren’t annoying enough, Yahoo said the partnership also creates new forms of advertising by “extending traditional 30-second commercials into immediate actions”.
In other words, with broadcast interactivity enabled commercials, advertisers can embed “calls-to-action” for downloading apps or digital media, providing coupons, ordering samples, reading reviews or viewing product information. Just in case you really want to know more about that Mr Muscle sink unblocker, or the next JML cleaning gadget that is set to transform your home life forever.
Lenovo Adds Enterprise Servers
Eager to expand its horizons beyond PCs and tablets, Lenovo on Monday announced the first server from the newly created Enterprise Product Group, which deals in servers, storage, networking and software.
The ThinkServer TD330 is a tower server based on Intel’s Xeon E5-2400 processors. The server will support up to 16 processor cores and start at $929.
Lenovo last week announced the formation of the Enterprise Product Group. It is headed by Roy Guillen, vice president and general manager of the division. Guillen was previously vice president and general manager of Dell’s data center solutions (DCS) division.
Lenovo already offers low-end servers and workstations for homes and small businesses, but the new division will target small, medium-size and large enterprises. Lenovo has offered low-end servers based on Intel’s Xeon E3 and E5 processors, but the company did not respond to a request for comment on whether existing ThinkServer products would be part of the enterprise product portfolio.
“We’ve placed expanded emphasis on building our server portfolio this year, introducing products that meet the needs of all our customers — from enterprise customers to small businesses,” Guillen said in a statement.
Lenovo established itself as a PC company after it bought IBM’s PC division in 2005. Lenovo’s progress in the PC market has been rapid, with IDC placing the company as the world’s largest PC vendor for the first time in the third quarter this year. The new enterprise division will put Lenovo in competition with IBM, Hewlett-Packard and Dell, which also sell x86 servers.
Amazon Goes To Court
Amazon is suing Daniel Powers, its ex VP in charge of global sales for Amazon Web Services because he joined Google in a cloud role.
Taking the new job, asserts Amazon, violates Powers’ non-compete agreement with Amazon, which let Powers go this summer with a reasonable severance package.
There is a risk that Powers could take important information that he learned about the Amazon web services business to its rival, Google, and that is what the firm is seeking to stop.
According to Geekwire Amazon wants an injunction against Powers to prevent him from “engaging in any activities that directly or indirectly support any aspect of Google’s cloud computing business”.
A court filing claims that Amazon has an agreement with Powers that says he will not join a rival for a “limited time following the termination of his employment”.
Powers, it warns, is a veteran who knows the cloud business from “top to bottom”, adding that he has “acquired and currently possesses extensive knowledge of Amazon’s trade secrets and its highly confidential information”.
The complaint says that he has extensive and detailed information about Amazon Web Services’ prospects, business, potential business partners, pricing strategies and goals.
Amazon has not provided us with further comment.
Tech CEOs Ready For Tablet Wars
The biggest names in consumer technology, smacked by a string of disappointing quarterly results this month, are gearing up for what appears to be the fiercest holiday battle in years.
Investors and consumers have already largely written off flaccid quarterly numbers from tech behemoths like Microsoft, Apple, Google and Amazon. What counts is the next 60 days, when the biggest names in technology do battle at a near-unprecedented scale and pace.
Just last Thursday, Amazon compared its Kindle Fire with Apple’s new iPad mini, point by point, in its earnings release, an unusual forum to name rivals. Apple CEO Tim Cook compared Microsoft’s Surface tablet to an over-engineered car that can fly and float. And Microsoft went for the iPad, saying its Surface boasted twice its storage.
All three tablets will vie for the shrinking consumer dollar these holidays. By tech standards, it’s getting ugly.
“The tablet space is where the growth is. That’s why they are all fighting over it. PC shipments are down and some tablet buyers may never buy another PC,” said Michael Allenson, strategic consulting director in the Technology and Telecom Research Group at Maritz Research.
Cloud Storage Specs Approved
The International Organization for Standardization (ISO) has ratified the Cloud Data Management Interface (CDMI), a set of protocols defining how businesses can safely transport data between private and public clouds.
The Storage Networking Industry Association’s (SNIA) Cloud Storage Initiative Group submitted the standard for approval by the ISO last spring. CDMI is the first industry-developed open standard specifically for data storage as a service.
“There is strong demand for cloud computing standards and to see one of our most active consortia partners contribute this specification in such a timely fashion is very gratifying,” Karen Higginbottom, chairwoman of the ISO committee, said in a statement. “The standard will improve cloud interoperability.”
The CDMI specification is a way to create an interface for accessing data in the cloud by preserving metadata about information that an enterprise stores in the cloud. With metadata associated with the information, companies can retrieve data no matter where it’s stored.
“With the metadata piece, it’s also complementary with existing interfaces. The standard can be used with Amazon, for file or block data and it can use any number of storage protocols, such as NFS, CIFS or iSCSI,” said SNIA Chairman Wayne Adams.
Based on a RESTful HTTP protocol, CDMI provides both a data path and control path for cloud storage and standardizes a common interoperable format for securely moving data and its associated data requirements from cloud to cloud. The standard applies to public, private and hybrid deployment models for storage clouds.
Did Huawei Steal From Cisco?
Huawei has replied to US rival Cisco after the networking firm made allegations about the Chinese company relating to a lawsuit between the two firms.
The case dates back to 2003 and relates to the alleged theft of source code by Huawei from Cisco for use in its networking products. The case was settled confidentially out of court.
Cisco complained about what it saw as a willful distortion of the facts of the case after Huawei’s chief representative in the US, Charles Ding, claimed the outcome was that Cisco stood down over its allegations.
In response, Cisco released excerpts from a report by an independent analyst that was used to form the basis of a settlement, which Cisco said proved Huawei had used its source code in its products.
However, in a statement sent to The INQUIRER, Huawei said it was “disappointed with the continued rhetoric from Cisco” and claimed there was no basis to its argument.
“With respect to the lawsuit which took place about 10 years ago, the fact is the court dismissed the case, upon a joint stipulation of the parties, after the neutral expert’s review. This shows Cisco’s present allegations have no merit,” it said.
Furthermore, the firm also said it didn’t believe Cisco had the right to report elements of the review.
“We don’t think Ding violated the agreement between Cisco and Huawei, which had a negotiated confidentiality provision in it,” it said. “Cisco’s general counsel’s selective and misleading cropping of a confidential report from the Neutral Expert may have violated that provision.”
Huawei added that it would consider releasing more information on the case, though, in an effort to paint a more complete picture of the case.
“However, since Cisco has put selected snippets into the public domain, the truth may require that more than carefully selected quotes be put in the public record. Huawei is exploring the best way to accomplish that goal,” it said.
Lenovo Eyes The U.S.
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.
Windows 7 Infection Rate Soaring
Windows 7′s malware infection rate soared by as much as 182% this year, Microsoft said on Tuesday.
But even with that dramatic increase, Windows 7 remained two to three times less likely to fall to hacker attack than the aged Windows XP.
Data from Microsoft’s newest twice-yearly security report showed that in the second quarter of 2012, Windows 7 was between 33% and 182% more likely to be infected by malware than in the second quarter of 2011.
The infection rate for Windows RTM, or “release to manufacturing,” the original version launched in Oct. 2009, was 33% higher this year for the 32-bit edition (x86), 59% higher for the 64-bit (x64) OS.
Windows 7 Service Pack 1 (SP1) — the upgrade that shipped in Feb. 2011 — saw even larger infection increases: 172% for x86, 182% for x64.
Microsoft blamed several factors for the boost in successful malware attacks, including less savvy users.
“This may be caused in part by increasing acceptance and usage of the newest consumer version of Windows,” said Microsoft in its latest Security Intelligence Report. “Early adopters are often technology enthusiasts who have a higher level of technical expertise than the mainstream computing population. As the Windows 7 install base has grown, new users are likely to possess a lower degree of security awareness than the early adopters and be less aware of safe online practices.”