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Can Blackberry Be Sold?

August 20, 2013 by  
Filed under Smartphones

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Struggling smartphone maker BlackBerry is reviewing several options that could include joint ventures, partnerships or an outright sale, as the company’s leading shareholder steps down from its board in a possible prelude to taking a different role.

BlackBerry, which pioneered on-your-hip email with its first smartphones and email pagers, said on Monday it had set up a committee to review its options, sparking debate over whether Canada’s one-time crown jewel is more valuable as a whole or snapped up piece by piece by competitors or private investors.

The company said Prem Watsa, whose Fairfax Financial Holdings Ltd is BlackBerry’s biggest shareholder, was leaving the board to avoid a possible conflict of interest as BlackBerry determines its next steps.

The resignation of Watsa, often described as Canada’s version of Warren Buffett, suggests Fairfax may be part of a solution.

BlackBerry, once a stock market darling, has bled market share to the likes of Apple Inc and phones using Google Inc’s Android operating system, and its new BlackBerry 10 smartphones have failed to gain traction with consumers.

Blackberry shares rose 7.5 percent to $10.80 in New York and C$10.84 in Toronto in afternoon trading. But the shares remain well below the levels seen in June, before the company reported dismal results that included poor sales of the BlackBerry 10 phones it viewed as key to a successful turnaround.

The share price peaked at about C$150 in June 2008.

A clean balance sheet makes the smartphone seller an enticing takeover candidate. Like Dell Inc, it is a tech icon in need of a turnaround. But BlackBerry’s cash flow is worse, meaning leverage would be extra risky.

The company’s assets include a well-regarded services business that powers BlackBerry’s security-focused messaging system, worth $3 billion to $4.5 billion; a collection of patents that could be worth $2 billion to $3 billion; and $3.1 billion in cash and investments, according to analysts.

But the smartphones that bear its name have little or no value, and it may cost $2 billion to shutter that unit, the analysts said.

Analysts expressed skepticism about the new committee, noting that BlackBerry announced similar steps more than a year ago when it hired JPMorgan and RBC as financial advisers. A source said both are still involved in the strategic review.

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Samsung’s Eight-core Chip Goes Hacking

August 13, 2013 by  
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A Samsung eight-core chip used in some Galaxy S4 mobile devices is now available for hackers to play with on a developer board from South Korea-based Hardkernel.

Hardkernel’s Odroid XU board has incorporated Samsung’s eight-core Exynos 5 Octa 5410 chip, which is based on ARM’s latest processor designs. Samsung recently announced a new eight-core chip, the Exynos 5 Octa 5420, which packs faster graphics and application processing than the 5410. The 5420 has not yet been shipped yet, however.

The Odroid board is priced at $149 through Aug. 31, after which it will be offered for $169. Samsung for many months has said that a board with an eight-core chip would be released, and has shown prototype developer boards at conferences.

Odroid-XU will provide developers an opportunity to write programs tuned for Samsung’s octa-core chip, which has been a source of controversy. Analysts have said the eight-core design is overkill for small devices like smartphones and tablets, which need long battery life.

The eight-core chip design also takes up a lot of space, which prevented Samsung from putting LTE radios inside some Galaxy S4 models. Qualcomm, which hesitantly moved from the dual core to the quad-core design on its Snapdragon chips, on Friday criticized eight-core chips, calling the idea “dumb.”

Despite the criticism, the board will give developers a first true glimpse of, and an opportunity to write and test applications for, ARM’s Big.Little design. The design combines high-power cores for demanding applications with low-power cores for mundane tasks like texting and calling.

Samsung’s iteration of Big.Little in the Exynos 5 Octa 5410 chip combines four processors based on ARM’s latest Cortex-A15 processor design, which incorporates four low-power Cortex-A7 CPUs. The Cortex-A15 is ARM’s latest processor design and succeeds the previous Cortex-A9 core, which was used in popular smartphones like Apple’s iPhone and the Galaxy S3. Samsung said the eight-core chip provides a balance of power and performance, with the high-power cores kicking in only when necessary.

The board has an Imagination Technologies PowerVR SGX544MP3 graphics processor, 2GB of low-power DDR3 DRAM, two USB 3.0 ports and four USB 2.0 ports. Other features include Wi-Fi, Ethernet and optional Bluetooth. Google’s Android 4.2 operating system is preloaded, and support for other Linux distributions like Ubuntu is expected soon. The board has already been benchmarked on Ubuntu 13.04.

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Is nVidia Working On A Tablet?

August 12, 2013 by  
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According to a report over at Tabtech.de that managed to spot an unknown device in the result page of the GFXBench, Nvidia might be gearing up to release a phablet or tablet.

The device is listed as Nvidia Tegra Note Premium and scores just slightly lower than the Nvidia Shield in GFXBench. It feature Tegra 4 clocked at 1.8GHz and has a resolution of 1280×800 which probably points out to a tablet rather than phablet but everything is possible. It was running Android 4.2.2 Jelly Bean when it was tested.

At Computex 2013 back in June, Nvidia showcased a rather unique device that was used to demonstrate pressure-sensitive functions of a stylus and which might be the device that showed up in the GFXBench results. The 1280×800 resolution is not impressive and far off from what the competition currently has to offer, but then again Nvidia might want a cheaper tablet or phablet on the market.

In any case we will surely keep an eye out for Nvidia’s Tegra Note Premium, whatever it turns out to be.

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PayPal Extend Bug Bounty

August 8, 2013 by  
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PayPal is expanding its bug bounty program to individuals aged 14 and older, a move intended to reward younger researchers who are technically ineligible to hold full-fledged PayPal accounts.

PayPal’s program, which is a year old this month, only applied to those 18 years and older. Under the old rule, participants in the program were required to hold valid accounts, which excluded minors, said Gus Anagnos, PayPal’s director of information security.

In May, 17-year-old Robert Kugler, a student in Germany, said he’d been denied a reward for finding a vulnerability. PayPal said the bug had already been found by two other researchers, which would have made Kugler ineligible for bounty.

In an apparent miscommunication, Kugler said he was initially told he was too young rather than the bug had already been discovered. Nonetheless, PayPal said it would look to bring younger people into its program, which pays upwards of $10,000 for remote code execution bugs on its websites.

Those who are under 18 years old can receive a bug bounty payment through a PayPal student account, an arrangement where a minor can receive payments via their parent’s account, Anagnos said.

Anagnos said other terms and conditions have been modified to make its program more transparent, such as clarifying which PayPal subsidiaries and partner sites qualify for the program.

PayPal pays much less for vulnerabilities on partner websites, which have a URL form of “www.paypal-__.com.” A remote execution bug found on that kind of site garners only $1,500 rather than up to $10,000 on the company’s main sites.

Like other bug bounty programs run by companies such as Microsoft and Google, PayPal will publicly recognize researchers on its website with a “Wall of Fame” for the top 10 researchers in a quarter. Another “honorable mention” page lists anyone who submitted a valid bug for the quarter.

Eusebiu Blindu, a testing consultant from Romania, was one of the researchers listed on the Wall of Fame for the first quarter of this year.

“I think Paypal is the best bug bounty program, and I am glad I participated in it from the first days of its launching,” he wrote on his blog.

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Baidu Acquires App Maker

July 26, 2013 by  
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Baidu Inc, China’s top search engine, plans to purchase app store 91 Wireless for $1.9 billion to strengthen its position in the country’s highly competitive mobile computing sector.

Baidu will buy a 57.4 percent stake in 91 Wireless, one of China’s earliest appstores, from NetDragon Websoft Inc for $1.09 billion, and the remainder from other shareholders, both companies said on Tuesday.

“It’s good for Baidu because if you look at mobile, currently apps are more popular than mobile sites because Internet download speeds are slow. So with the acquisition of this appstore, Baidu can work more closely with the apps developer and be able to enhance further their search capabilities,” said Elinor Leung, an analyst with CLSA in Hong Kong.

China’s mobile Internet market is expected to double to about 300 billion yuan ($48 billion) in 2014 from 150 billion yuan in 2012, with the number of active mobile Internet users rising to 749 million from 521 million during the same period, according to research firm Analysys International.

NetDragon’s shares lost as much as a fifth of their value on Tuesday and were down 18 percent at HK$19.74 at 0305 GMT (11.05 p.m ET)

NetDragon also said in a statement that it would scrap the planned spinoff and listing of 91 Wireless on Hong Kong’s secondary Growth Enterprise Market if the acquisition is finalized.

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WiLan Loses In Court

July 25, 2013 by  
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Wi-Lan has suffered defeat in its patents trial against Alcatel Lucent, Ericsson, HTC and Sony, as a Texas court decided that the firms did not infringe its patents.

Wi-Lan filed a lawsuit against Alcatel Lucent, Ericsson, HTC and Sony in 2010 claiming the firms infringed patents that relate to data transmission over wireless networks. However a Texas court ruled that the four firms did not infringe Wi-Lan’s patents and found one patent Wi-Lan asserted against HTC and two it asserted against Alcatel Lucent invalid.

Wi-Lan had asserted that Alcatel Lucent and Ericsson infringed three patents, none of which claims were upheld by the court. The firm also asserted that HTC and Sony infringed another patent, and there the court not only judged against infringement but invalidated the patent.

Alcatel Lucent and HTC both said that Wi-Lan was trying to stretch its patents to cover technology in their devices.

Sally Julien, a spokeswoman for HTC said, “HTC believes that Wi-Lan has exaggerated the scope of its patent in order to extract unwarranted licensing royalties from entities who have been focused on bringing innovation forward in their own products.”

Kurt Steinert, an Alcatel Lucent spokesman said, “We think this validates our belief that Wi-Lan was stretching the boundaries of its patents, and the jury confirmed that belief.”

Wi-Lan has managed to get several companies to license its technology including Dell and Panasonic, and in May it initiated legal proceedings against Blackberry over a patent relating to Long Term Evolution network technology. However in this case the firm did not prevail against two large telecom equipment companies and two big smartphone makers.

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Microsoft Drops The Surface

July 24, 2013 by  
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Microsoft has dropped the prices on its Surface RT tablets by as much as 30%, with the entry-level 32GB model selling for $349.

The 64GB Surface RT was also discounted by $150, and now sells for $449, or 25% off its former price.

When Microsoft launched the tablet, it sold the 32GB device for $499 and the 64GB configuration for $599.

Microsoft started selling the Surface RT at the lower prices Sunday, as did some of its U.S. retail partners, including Best Buy and Staples. On its website, Staples noted that the discounted prices are valid until July 20, and only while supplies last.

Microsoft’s website, however, listed no caveats, hinting that the lower prices might be permanent or at least will be honored for longer than one week.

The prices are another attempt by Microsoft to clear its existing inventory in preparation for a second-generation line of Windows RT devices. Previously, Microsoft had launched multiple deals to rid itself of the poor-selling tablet, most recently in June when it slashed prices by 60% in a bid to get universities and K-12 schools to buy the device.

Earlier, it kicked off a buy-a-Surface-RT-get-a-free-cover deal that ran until June 30. And at several conferences, including June’s TechEd North America and this month’s Microsoft Partner Conference, the company sold attendees a 64GB Surface RT for $100, 83% off list price.

Today’s sale prices were nearly Microsoft’s cost, which according to estimates of the tablet’s component prices, runs the company at least $284 for the 32GB Surface RT.

Microsoft has not abandoned Windows RT, the pared-down operating system that powers the Surface RT, but virtually every third-party OEM has either pointedly ignored the OS or publicly announced that they would not support it with devices of their own. Instead, the OEMs have flocked to Windows 8 Pro, even though some analysts question the value of touch devices on a platform whose biggest selling point is legacy software that doesn’t support touch.

Microsoft has not revealed sales figures for the Surface line — which also includes the Surface Pro, powered by Windows 8 Pro — but estimates by research firms like IDC have been lackluster.

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Tech Hiring Up This Year

July 22, 2013 by  
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Hiring of technology professionals has been increasing since the first half of this year, with new IT hires accounting for about 10% of all the job growth in the U.S. in June, according to two independent assessments.

Total tech employment reached 4.47 million in June, an increase of 22,600 jobs from the prior month, or a .51% gain, according to TechServe Alliance, an IT services industry group which tracks employment data month-to-month. The total excludes tech manufacturing employment.

Similarly, Foote Partners, which researches IT employment trends, reported a gain of 18,200 new tech jobs last month.

These gains are coming at the same time that some tech employers are cutting jobs.

IBM has cut more than 3,000 workers over the past few weeks, struggling Hewlett-Packard is still eliminating jobs, and Symantec is seeing layoffs as well.

The U.S. economy added 195,000 jobs overall in June, according to the Labor Dept.

Foote said that IT employment in the first half of this year is averaging 13,500 new jobs per month.

“While the pace of job creation in the national labor force appears stuck at 7.6% unemployment and new jobs are heavily in part-time positions and low wage full-time segments, IT jobs have been on a sustained growth upswing and wages are holding steady if not growing slightly,” said David Foote, chief analyst, in a statement.

Reports on IT employment figures from analyst can differ widely depending on what U.S. labor department categories are use in the calculations.

Another firm that analyzes the labor market, Janco Associates, reported a gain of 9,900 jobs in June based on the categories it tracks.

Despite the increase in hiring, IT salaries remain flat, said Janco.

“Based on our interviews with over 96 CIOs in the last 30 days, we concluded that CIOs are not in a great hurry to hire new staff except to meet short term needs until they see a clear trend as to what is happening with the economy,” said Janco CEO Victor Janulaitis in a statement.

Janulaitis said that “67% of the CIOs we interviewed do not see any real push to expand staffing over the next 12 months.”

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MS Office Demand Fizzles

July 19, 2013 by  
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After a promising start, downloads of Microsoft’s free Office for the iPhone quickly nosedived, as the latest data from a mobile app analytics company showed.

But at least 200,000 copies of the small suite — iPhone versions of Word, Excel and PowerPoint — were downloaded in the first six days.

Distimo, a Dutch firm that tracks app store market data for several platforms, including Apple’s iOS, Google’s Android, and Microsoft’s Windows 8 and Windows Phone, said Office Mobile for the iPhone debuted in the No. 10 spot on June 15, the day after Microsoft launched the free app.

That was Office Mobile’s peak: On June 16, Office Mobile slipped to the No. 19 position among all free iPhone apps, then continued to slide throughout the week of June 17-23, starting that seven-day stretch at No. 36, falling to No. 86 by Friday, June 21, and ending at No. 299 on June 23.

From June 24 to July 6, Office Mobile was not on Distimo’s leaderboard, which lists only the top 400 downloaded apps.

The number of downloads of Office Mobile for iPhone is unknown — Distimo requires a paid account to show developers the estimated downloads of their apps and those of competitors, and did not reply to questions Sunday — but the tally was probably significant.

According to Distimo,  to place in the App Store’s No. 10 spot, an app must average 72,000 downloads daily. Office Mobile was ranked No. 10 on June 15. Apps ranked at No. 50 averaged 23,000 downloads daily: Office Mobile held position at No. 50 or lower for five consecutive days.

Those numbers implied that at least 200,000 copies of Office Mobile were downloaded in the six days between June 15 and June 20.

Likewise, the sharp decline of Office Mobile’s position in the App Store’s free list after just a week hints at a pent-up demand that was quickly satisfied.

Although rumors of Office on iOS had circulated since the iPad’s 2010 introduction, they heated up last November when reports claimed Microsoft would launch a mobile version of the suite this year and tie the software to Office 365. At the time, most analysts agreed that Office 365 was the smart move because it could boost interest in the subscription concept Microsoft has bet will result in more, and more regular, revenue from its Office cash cow.

Linking Office on iOS to Office 365 would also let Microsoft avoid the Apple “tax,” the 30% cut that Apple takes from all App Store sales.

Only Office 365 subscribers can use Office Mobile. Subscriptions range from the consumer-grade Office 365 Home Premium, which costs $100 annually, to several business plans that start at $150 per user per year and climb to $264 per user per year.

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Malware Infections On Android Rising

July 8, 2013 by  
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An increasing number of Android phones are infected with mobile malware programs that are capable of turning the handsets into spying devices, according to a report from Kindsight Security Labs, a subsidiary of telecommunications equipment vendor Alcatel-Lucent.

The vast majority of mobile devices infected with malware are running the Android operating system and a third of the top 20 malware threats for Android by infection rate fall into the spyware category, Kindsight said in a report released Tuesday that covers the second quarter of 2013.

The Alcatel-Lucent subsidiary sells security appliances to ISPs (Internet service providers) and mobile network operators that can identify known malware threats and infected devices by analyzing the network traffic.

Data collected from its product deployments allows the company to compile statistics about how many devices connected to mobile or broadband networks are infected with malware and determine what are the most commonly detected threats.

The malware infection rate for devices connected to mobile networks is fairly low, averaging at 0.52%, Kindsight said in its report. These infected devices include mobile phones as well as Windows laptops that use a mobile connection through a phone, a 3G USB modem or a mobile hotspot device.

In January the number of infected mobile phones accounted for slightly more than 30% of all infected devices connected to mobile networks, but by June they grew to more than 50%.

The vast majority of infected mobile phones run Android. Those running BlackBerry, iOS and other operating systems represent less than 1% of infected mobile devices, Kindsight said.

When calculated separately, on average more than 1% of Android devices on mobile networks are infected with malware, Kindsight said in its report.

The malware threat most commonly seen on Android devices was an adware Trojan program called Uapush.A that sends SMS messages and steals information, Kindsight said. Uapush.A was responsible for around 53% of the total number of infections detected on Android devices.

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