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Houston, Texas — Feb 01, `08 — Beating its own record to rack up the largest annual corporate profit in American history, Exxon Mobil said Friday it earned $40.6 billion for the year, reaping the benefits of crude-oil prices around $100 a barrel.

Exxon Mobil also topped its own record for profit in a single quarter, posting net income of $11.7 billion for the final three months of the year — about $1 billion more than the same period in 2005, the previous quarterly record.

The annual profit was enough, at $3 a gallon, to buy nearly four 15-gallon fill-ups for the roughly 243 million registered passenger vehicles on American roads. Put another way, it’s almost equal to what Microsoft has offered to buy Yahoo outright.

Chevron, No. 2 behind Exxon Mobil among U.S. oil companies, also had its best year ever in 2007, saying Friday that it banked a profit of $18.7 billion.

The backlash against the oil industry, which has periodically intensified as gasoline prices have risen in recent years, was predictably swift on Friday.

One advocacy group, the Foundation for Taxpayer and Consumer Rights, called the profits “unjustifiable.” Some politicians said Congress should rescind the tax breaks awarded two years ago to encourage oil companies to boost their investments in the United States and increase domestic production.

“Congratulations to Exxon Mobil and Chevron — for reminding Americans why they cringe every time they pull into a gas station,” said Senator Charles Schumer, Democrat of New York.

WASHINGTON — Feb 01, `08 — Although a major auction of prime public airwaves, the 700 MHz, is far from finished, there already appears to be a big winner: the US consumer.

A bid on the largest portion of public wireless airwaves, now being auctioned by the US government, reached $4.7 billion Thursday, surpassing a threshold price that would trigger so-called open-access rules that would allow any legal mobile device or software program to use those airwaves.

While bidding was anonymous, analysts speculated that Google and Verizon Wireless, a joint venture between Verizon Communications and Vodafone Group, were the likely bidders on that swath, or about one-third of the total spectrum being auctioned.

Winners, however, will not be known until the entire auction by the U.S. Federal Communications Commission ends, a process that could take several more weeks. The auction began Jan. 24.

To retain the open-access conditions on that spectrum, a minimum $4.6 billion bid was required. The commission is selling a spectrum that is being freed as part of the switch to digital television in February 2009. The airwaves are considered especially valuable because the frequencies travel long distances and can easily pass through walls.

The rules, advocated by Google and a coalition of consumer and public interest groups, will help pry open traditionally closed wireless networks that prevent people from taking their phones with them when switching providers.

Google, AT&T and Verizon Communications are among 214 qualified bidders for nearly 1,100 licenses to pieces of the spectrum that vary from a nationwide swath to regional slivers.

Because of strict rules to prevent collusion, bidders won’t be identified until the auction ends, and companies are forbidden from commenting on their activity. Based on the limited bidding information available, Verizon is probably the high bidder on the open-access chunk, but Google is also a possibility, said Blair Levin, an analyst at brokerage Stifel, Nicolaus & Co.

“The amount of activity that we’ve already seen occurring demonstrates just how significant the interest is in this piece of spectrum,” FCC Chairman Kevin J. Martin said.

“The openness requirement is important both in terms of the innovation it will lead to on the edges of the network and the ability of consumers to take advantage of that innovation,” Martin further added during a briefing with reporters yesterday.

Dec 24, `07 — The website of the National Bureau of Corruption Prevention (NBCP) crashed on Tuesday, Dec 18, just hours after its launch, as droves of people logged on to complain about corruption among officials, ChinaDaily reported on Dec 20.

ChinaDaily further reports, “The website, yfj.mos.gov.cn, was closed for most of the afternoon, Beijing Youth Daily reported.

An NBCP official, who did not want to be named, confirmed the breakdown had occurred. “Repairs were carried out soon after the website broke down and normal service has now been resumed, he told the Xinhua News Agency.

“The number of visitors was very large and beyond our expectations,” he said. As of 4 pm of Wednesday, Dec 19, visitors had left 22 pages of messages in the website’s guest book.

While many of them referred to report specific cases of official corruption, these were redirected by the webmaster to other sites, such as that of the Ministry of Supervision.

Other visitors made calls for the strengthening of the government’s anti-corruption efforts, and comments about the need for special attention to be given to cases involving institutes of higher education and grassroots governments.

“The corruption problem in China is a fatal illness. Establishing more institutions will not solve the problem,” one comment read.

The enthusiasm that greeted the launch of the website reflects the growing frustration felt by the public toward corruption at government level, which has been accentuated by several high-profile cases in recent years.” More at ChinaDaily.

WASHINGTON — Dec 20, `07 — The Federal Trade Commission on Thursday approved Google’s $3.1 billion purchase of advertising rival DoubleClick, saying the deal would not substantially lessen competition.

The deal, which combines Google’s dominance in pay-per-click Internet advertising with DoubleClick’s market-leading position in flashier display ads, is also being scrutinized by European antitrust officials.

In a 4-1 vote, the FTC decided to end its eight-month investigation of the transaction.

Commissioner Pamela Jones Harbour dissented and issued a separate statement expressing reservations, arguing that the deal “may substantially lessen competition.”

She said the takeover “will affect the evolution of the entire online advertising market” as this evolves and have wide-ranging implications for consumers. “The transaction will combine not only the two firms’ products and services, but also their vast troves of data about consumer behavior on the Internet,” she said.

European antitrust authorities are expected to rule on the deal sometime next year. The European Commission last month launched a probe and said the merger “would raise competition concerns.” The European Commission declined to comment on the FTC’s decision, spokesman Jonathan Todd said.

Microsoft and other critics argue the deal would enable Google to dominate two aspects of the Internet advertising market — ad sales and ad-serving tools.

The FTC said in a report on its investigation that both the online ad sales and ad-serving markets have numerous competitors, several of which have been bolstered by recent acquisitions.

Those include Microsoft’s $6 billion purchase of DoubleClick rival aQuantive, the acquisition of online advertising provider Tacoda by Time Warner’s AOL, and Yahoo’s purchase of Internet advertising exchange Right Media for $680 million.

Other competitors include ValueClick and 24/7 Real Media, which was purchased by London-based advertising giant WPP Group PLC for $649 million in May, the FTC said.

Privacy advocates say the combined company will have access to a huge amount of data on individual Web-surfing habits. The FTC said it lacked the legal authority to block the deal on any grounds except on antitrust matters.

However, in an apparent nod to these concerns, the FTC on Thursday proposed a set of privacy guidelines for the online advertising industry, describing them as something that “clearly transcend” the Google-DoubleClick deal. It remains to be seen how such guidelines would be enforced.

Google has a dominant position in pay-per-click ads, which are based on a computer user’s searches. Its ads are usually in the form of text and are shown on the right-hand side of the screen.

DoubleClick is a market leader in the display ads preferred by many corporate advertisers. More at FTC.

St. Louis, MO — Dec 19, `07 — Microsoft, Yahoo! and Google have entered into settlements with the US to resolve claims that they promoted illegal gambling, United States Attorney Catherine L. Hanaway announced today. The total amount of the three settlements is $31.5 million in value to the United States.

Three companies also agreed to stop accepting ads for sports wagering and other online gambling, US Attorney Catherine Hanaway said.

The investigation conducted by Hanaway’s office, along with the IRS and the FBI, dates to 2000, she said. Negotiations have been going on for 12 to 18 months, she added.

All three companies said they stopped taking the ads years ago.

As part of the settlement, the companies will pay cash to the US government and provide millions of dollars worth of public service advertisements informing young adults and teenagers that Internet gambling is illegal.

The US Attorney’s office in St. Louis, MO has led in the effort to halt illegal Web-based gambling, a roughly $6 billion a year industry in the US that violates the Federal Wire Wager Act among other federal laws.

Earlier this year, the London-based Internet gambling firm BetOnSports pleaded guilty in St. Louis to federal racketeering charges. Cases are still pending against company executives. Hanaway’s office also settled a civil case against BetOnSports in November 2006. That settlement prohibits the company from accepting any bets from gamblers in the U.S.

Microsoft will pay $4.5 million to the US government, $7.5 million to the International Center for Missing and Exploited Children, and provide $9 million worth of public service advertising.

Yahoo’s settlement of $7.5 million includes forfeiting $3 million to the US govt and providing $4.5 million worth of online ads for a public service advertising campaign. Google will pay $3 million, the department said.

Google will pay $3 million, the department said. More at US Attorney’s Office, Eastern District of Missouri.

Washington — Dec 18, ‘07 — A venture led by Microsoft co-founder Paul Allen has applied to bid in an upcoming auction of 700 MHz wireless airwaves, according to FCC’s “Accepted Applications” list released on late Tuesday, Reuters reports.

Allen was listed with an entity called Vulcan Spectrum LLC among the applicants who filed to bid in the FCC auction of 700-megahertz spectrum, which is scheduled to begin on January 24.

Allen and Vulcan Spectrum were on a list of scores of potential bidders who filed applications ahead of a December 3 FCC deadline. The auction applicants also included, Google, AT&T, Verizon Wireless and Qualcomm.

The FCC-run auction is expected to take several weeks, or even months, of daily, back-and-forth bidding, with the identities of the bidders kept secret. The radio waves are being returned by broadcasters as they move from analog to digital signals early in 2009. The signals can go long distances and penetrate thick walls.

FCC List of “Accepted Applications“, “Incomplete Applications” (in pdf). More at FCC (in Word).

On Friday, Dec 14, Ohio Commerce Director Kimberly Zurz granted statewide video-service authorization to Time Warner Cable LLC.

The company became the second enterprise to receive the 10-year, state-issued authorization, which was established by Ohio’s video-service law that went into effect September 24, 2007. AT&T Ohio was granted state video-service approval on November 7, 2007.

Time Warner Cable’s authorization covers 260 communities in 60 counties.

On June 25, 2007, Governor Ted Strickland signed Senate Bill 117, which created the one-stop, statewide video-service authorization process. Previously, cable or wire video-service companies had to negotiate local franchises with each municipality or township.

The law requires the Director of Commerce to administer the video-service authorization program. The Director also has the authority to investigate any allegation that a state-approved, video-service provider violated or failed to comply with the law.

The law includes a number of consumer protections. Providers with state-issued authorization are required to give customers:

Credit for a day’s rate if service is lost for more than four hours in any day.

* 30 days notice before removing a channel.
* 30 days notice prior to a rate increase.
* 10 days notice before disconnecting service.

Providers with state-issued authorization also must restore service in most cases within 72 hours after a subscriber reports a service interruption or other problem, and the companies cannot disconnect a customer’s video service for nonpayment before a bill is at least 45 days past due. More at Ohio Dept of Commerce.

WASHINGTON — Dec 14, ‘07 — The head of the Federal Trade Commission said Friday she won’t remove herself from an antitrust review of Google’s purchase of online advertising company DoubleClick, rebuffing requests from privacy groups opposed to the transaction.

Deborah Platt Majoras, chairwoman of the FTC, said she has reviewed a petition from the groups with the agency’s ethics official and other staff, and determined that “the relevant laws and rules…neither require nor support recusal.”

The Electronic Privacy Information Center and the Center for Digital Democracy said in a petition Wednesday that Majoras’ husband, John M. Majoras, is a partner at the Jones Day law firm. The groups alleged that DoubleClick hired Jones Day to represent the company before the FTC on its acquisition by Google, the leading Internet search company.

The Majoras’ relationship “calls into question the ability of the commission to render decisions that are fair and just,” the groups said.

Deborah Majoras said Friday that Jones Day hasn’t appeared before the FTC on the transaction, and is only representing DoubleClick before the European Commission, which is also scrutinizing the deal. John Majoras said Wednesday that he has not been involved in any aspect of the transaction.

In a statement, Deborah Majoras said that her husband was no longer an equity partner in the firm.

“Any decisions that I may make in any case in which Jones Day represent a party cannot be said to directly and predictably affect my husband’s interest in Jones Day. Hence, I do not have a financial conflict in this matter,” Majoras said in a statement.

Marc Rotenberg, of the Electronic Privacy Information Center, and Jeff Chester, of the Center for Digital Democracy, said in a statement that “we do not believe that the chairman has made a persuasive case against recusal.” The two groups requested the recusal on Wednesday.

They argued that, contrary to what Majoras said, Jones Day had advertised on its Web site that it represented DoubleClick at the FTC. But, they said, that information was pulled off the site after their recusal request.

Statement of Chairman Deborah Platt Majoras

More at FTC.

Related:

Senators Urge FTC to Review Google-DoubleClick Deal Closely

EU Opens In-Depth Investigation of Google’s DoubleClick Purchase

Sacramento, Calif and Washington — Dec 06, ‘07 /PRNewswire-USNewswire/ –Today, Governor Arnold Schwarzenegger announced the appointment of Teresa (Teri) Takai as California’s first Cabinet-level Chief Information Officer (CIO). This position was created by a bill sponsored by AeA at the behest of its members long frustrated by their inability to offer IT products and services to the government overseeing the world’s sixth largest economy.

“This is a significant achievement for California and our member companies,” said Roxanne Gould, Senior Vice President, CA Government & Public Affairs. “AeA actively pursued this piece of legislation because the high-tech industry believes an empowered State CIO will have the ability to make California less risk averse where buying technology is concerned. Given the sheer size of California, and its tradition of enacting path-breaking legislation, we are very excited to have been the impetus for this milestone accomplishment.”

Since 2003, Takai has served as director of the Michigan Department of Information Technology (MDIT), where she also serves as the state’s chief information officer. More at PRNewsWire.

AUSTIN, Texas — Dec 05, ‘07 — Texas Attorney General Greg Abbott today took legal action against two Web sites that cater to children but fail to adequately protect their privacy and safety. Texas is the first state to file an enforcement action under the Children’s Online Privacy Protection Act (COPPA), a federal law that generally prohibits Web sites from unnecessarily collecting personal information from children under 13.

According to Attorney General investigators, TheDollPalace.com and Gamesradar.com unlawfully collect personal information such as names, ages, and home addresses from children. Investigators also discovered that the sites’ parental consent features were easily manipulated and circumvented. The lack of reasonable controls readily allow children to access the sites’ various features, including interactive chat rooms and forums, without their parents’ knowledge.

“These defendants are charged with operating child-oriented Web sites that violate the law by failing to protect young users,” Attorney General Abbott said. “Federal law provides important protections to prevent children from divulging sensitive personal information and to shield them from inappropriate sexual or violent content online. The Office of the Attorney General will continue aggressively enforcing laws to protect young Internet users.”

Both Web sites violate COPPA by failing to include necessary disclosures and failing to obtain parental consent before collecting personal information from children. TheDollPalace.com, for example, simply asks young users who are attempting to register, “Is a parent with you right now?” Children who click “Yes” are directed to a page that allows them to simply click “OK” to vague disclosures regarding information collection and use. Gamesradar.com similarly fails to properly obtain parental consent.

Under COPPA, these Web sites must make a greater effort to ensure that parents consent to their children providing personal information online. The Federal Trade Commission (FTC) offers several options for Web site operators to obtain verifiable parental consent. Among them, the FTC recommends that Web sites maintain a toll-free telephone number staffed by trained personnel for parents to call in their consent or provide a form for the parent to print, complete, sign, and mail or fax back to Web site operators.

On The Doll Palace Web site, kids who join a “friends” forum are encouraged to fill out a lengthy questionnaire and are given drop-down lists of possible answers. Under “smoking habits,” for example, kids can select answers such as “I occasionally smoke good cigars.” Among the choices for eye color are “sexy hazel” and “evening black.”

Children can also say, “I would like to meet someone older than myself” or “I like to talk about sexual issues.” One of the answers under “dress preference” allows kids to respond: “I prefer to be nude.”

More at AG,Texas.

WASHINGTON, Dec 05, ‘07 /PRNewswire-USNewswire/ — Frank Sinatra, one of the most iconic entertainers of the 20th century, will be commemorated on a postage stamp next spring, Postmaster General John Potter announced today.

Sinatra’s three children — Nancy, Frank, Jr. and Tina Sinatra — will preview the stamp image during a special ceremony in Beverly Hills, CA, on
Sinatra’s birthday, Wed., Dec. 12.

“Frank Sinatra was an extraordinary entertainer whose life and work left an indelible impression on American culture,” said Potter. “His recordings, concert performances and film work place him among America’s top artists, and his legendary gift for transforming popular song into art is a rare feat that few have been able to replicate. The Postal Service is proud to honor his achievements.”

“On behalf of our family, we are honored that the United States Postal Service has recognized our Dad’s achievements with a stamp,” said Tina
Sinatra, speaking on behalf of her siblings, Nancy and Frank Sinatra, Jr. “Of all the awards he has received, this one would have been very special to him.”

A 10-ft. image of the stamp will be unveiled at the Beverly Hilton’s Wilshire room at 10 a.m. PT, Dec. 12.

In a career studded with accolades, Sinatra won an Oscar, several Grammy awards, received the Jean Hersholt Humanitarian Award in 1971, and was recognized at the Kennedy Center Honors in 1983.

Sinatra also gave generously to many charities. President Reagan awarded him the Presidential Medal of Freedom in 1985. He was born in Hoboken, NJ, in 1915 and died in 1998. The Hoboken Post Office was renamed in his honor in 2002.

Beijing, China — Dec 03, ‘07 — Nasdaq opened an office in Beijing on Monday, a move that will let it step up efforts to attract more Chinese firms to list on the exchange.

Headed by chief representative Xu Guangxun, Nasdaq’s Beijing office aims to serve the growing number of Chinese companies listed or seeking to list on the technology-heavy exchange, the bourse said in a statement.

‘Having a representative office in China enhances our ability to provide the highest level of value and service to Chinese companies,’ said Eric Landheer, Nasdaq’s head of Asia Pacific, according to the statement.

‘We look forward to further growth and providing even stronger support to the 52 mainland Chinese companies already listed on Nasdaq.’

On Tuesday next week, the NYSE will also launch its representative office in Beijing, the state-run Xinhua news agency reported today.

It will help the NYSE to woo more initial public offerings in the fast-growing Chinese economy, the report said.

China agreed late last year to let the New York Stock Exchange and Nasdaq open offices in Beijing as part of deals struck during the first round of a high-level “strategic economic dialogue” with the United States.

The NYSE on Sept 4 won the green light from Chinese authorities to open the office, becoming the first foreign exchange that received such approval.

WASHINGTON — The Federal Communications Commission (FCC) is moving toward resurrecting a proposal that would limit the size cable operators could reach on a nationwide basis, agency officials said Thursday, Nov 29, the AP and Reuters are reporting.

FCC Chairman Kevin Martin is circulating the proposal among his fellow commissioners for a possible vote at the agency’s next meeting, scheduled for Dec 18 and has enough support on the five-member commission to pass a measure that would bar cable companies from owning systems that have more than a 30-percent share of U.S. multichannel video subscribers, according to one FCC source.

Martin, fresh off a marathon meeting that featured a bruising battle with the cable industry, also wants commissioners to vote on a number of media ownership issues, including his proposal to allow one company to own both a newspaper and a radio or television station in the nation’s 20 largest markets.

Fearing the potential monopoly power of cable television companies, Congress in 1992 directed the FCC to establish limits on how many customers cable television companies could reach nationwide. The FCC settled on a 30 percent cap, but the U.S. Court of Appeals for the District of Columbia Circuit rejected the rule in 2001, saying the agency had failed to adequately justify its reasoning.

The issue has remained largely dormant since then as direct broadcast satellite providers — and more recently, traditional telephone companies — have continued to cut into the market share of the nation’s major cable television companies.

The immediate impact of such a cap would appear to be negligible. Comcast Corp., the nation’s largest cable company, reported 26.2 million subscribers to the FCC through Sept. 30, for a nationwide market share of all pay-television subscribers of 27 percent. More at AP, Reuters.

BRUSSELS, Belgium — Nov 30, ‘07 — EU governments agreed Friday to jointly complete the development of the much-delayed Galileo satellite navigation project after mollifying Spain, which had demanded a bigger stake in the venture, the AP reported.

Spain was the lone holdout in a 26-1 vote at an EU meeting on moving ahead with the $5 billion undertaking.

In seeking unanimity, the EU later won Spain’s approval with a deal that said a secondary ground station - planned for Spain to monitor emergency services on Galileo channels - may one day be a full-blown ground control station if Spain pays for that upgrade.

The European Commission set a Dec. 31 deadline for final approval of the satellite program. When completed, by 2013, it is expected to rival the American global positioning system, which also is satellite-based.

On Nov 23, EU governments agreed to a taxpayer bailout for the project, several months after a consortium of private companies walked away from it in a financing dispute. Most of the €2.4 billion ($3.56 billion) needed to complete the project will come from unspent funds originally earmarked for agriculture

MOUNTAIN VIEW, Calif — November 30, 2007 — Google announced today that it will apply to participate in the Federal Communications Commission’s upcoming auction of wireless spectrum in the 700 megahertz (MHz) band.

As part of the nationally mandated transition to digital television, the 700 MHz spectrum auction — which begins January 24, 2008 — will free up spectrum airwaves for more efficient wireless Internet service for consumers.

Advocacy by public interest groups and Google earlier this year helped ensure that regardless of which bidders win a key portion of the spectrum up for auction (the so-called “C Block”), they will be required to allow their users to download any software application they want on their mobile device, and to use any mobile devices they would like on that wireless network.

The winner must ensure these rights for consumers if the reserve price of $4.6 billion for the C Block is met at auction.

“We believe it’s important to put our money where our principles are,” said Eric Schmidt, Chairman and CEO, Google. “Consumers deserve more competition and innovation than they have in today’s wireless world. No matter which bidder ultimately prevails, the real winners of this auction are American consumers who likely will see more choices than ever before in how they access the Internet.”

Schmidt also praised the leadership of FCC Chairman Kevin Martin and his fellow commissioners for adopting the new rights for consumers earlier this year.

Google’s formal application to participate in the 700 MHz auction will be filed with the FCC on Monday, December 3, 2007 — the required first step in the auction process. Google’s application does not include any partners.More at Google.

Bidding separately instead of assembling a coalition does not rule out Google later signing up partners if it wins the bidding, said a source familiar with the company’s strategy. But the FCC has “anti-collusion” rules that prevent deal-making between potential bidders during the auction period.

The auction is expected to take several weeks, or even months, of daily, back-and-forth bidding, with the identities of the bidders kept secret. Big spectrum bidders typically draw up elaborate strategies, often with input from game-theory experts.

FCC officials hope the company’s participation will mean a possible new player in the wireless business and boost the amount of money the government can bring in from the auction.

BRUSSELS — Nov 29, ‘07 — European Union telecom ministers backed proposals on Thursday to open radio frequencies allocated exclusively for GSM mobile phone services to other technologies, such as third-generation (3G) mobile data, reports Reuters.

“The mobile phone industry has been pushing for regulators to open the airwaves.

A 3G network in the 900 MHz band would achieve up to 40 percent greater coverage than one in the 2,100 MHz band for the same capital expenditure, the GSM Association (GSMA), the global trade body for the mobile industry, said earlier this year.

The GSMA estimates an additional 300 million people across Asia, Europe and Africa would have access to mobile broadband services by 2012 if mobile operators could use a 900 MHz frequency spectrum for 3G services.

The proposal now needs to be approved by the European Parliament before ministers give their final green light. The final decision would abolish a 20-year-old EU legislation.” More at Reuters.

The National Institute of Standards and Technology (NIST) has opened a competition to develop a new cryptographic “hash” algorithm, a tool that converts a file, message or block of data to a short “fingerprint” for use in digital signatures, message authentication and other computer security applications.

The competition is NIST’s response to recent advances in the analysis of hash algorithms. The new hash algorithm will be called Secure Hash Algorithm-3 (SHA-3) and will augment the hash algorithms currently specified in the Federal Information Processing Standard (FIPS) 180-2, Secure Hash Standard.

NIST’s goal is that SHA-3 provide increased security and offer greater efficiency for the applications using cryptographic hash algorithms. FIPS standards are required for use in federal civilian computer systems and are often adopted voluntarily by private industry.

FIPS 180-2 specifies five cryptographic hash algorithms, including SHA-1 and the SHA-2 family of hash algorithms. Because serious attacks have been reported in recent years against cryptographic hash algorithms, including SHA-1, and because SHA-1 and the SHA-2 family share a similar design, NIST has decided to standardize an additional hash algorithm to augment the ones currently specified in FIPS 180-2.

NIST issued a Call for a New Cryptographic Hash Algorithm (SHA-3) Family in a Federal Register Notice on Nov. 2, 2007. The announcement specifies the submission requirements, the minimum acceptability requirements, and the evaluation criteria for candidate hash algorithms.

Entries for the competition must be received by Oct. 31, 2008. Details about the competition are available at nist.gov/hash-competition More at NIST.

BRUSSELS, Belgium — Nov 23, ‘07 — The European Union’s troubled Galileo satellite navigation system will be financed from leftover EU funds, EU ministers decided Friday, after Germany and three other countries that had opposed the arrangement relented.

Most of the €2.4 billion ($3.56 billion) the EU says is needed to complete the project will come from unspent funds originally earmarked for agriculture, officials said. Some €300 million (US$445 million) was also earmarked to launch the EU’s new technology and innovation institute, meant to rival the Massachusetts Institute of Technology.

The decision means Galileo — which nearly folded after a consortium of private companies tasked with developing it failed to make progress — will be completed. It is to give Europe its own satellite navigation, ending its dependency on the U.S.-run Global Positioning System.

Germany got on board after the EU’s executive Commission proposed new tender rules meant to ensure the multibillion-euro project is not dominated by a single company.

In Berlin, a German Transport Ministry spokesman welcomed the Commission proposal, saying it would secure competition and could lead to benefits for German companies.

A source close to EU Transport Commissioner Jacques Barrot said the project segments would include satellites, launchers, ground mission infrastructure and control, system software, and other tasks.

There would be the possibility of two tenders to build 26 satellites that make up the system, which is expected to have 30 satellites in total. “The bidder will have to put an offer for all 26, but then we will contract only for a first batch of 10, for example,” the source said.

LIVERMORE, CALIF — In an effort to find an answer to the problem of identifying smuggled special nuclear material (SNM), researchers at Sandia National Laboratories in California say a Neutron Scatter Camera they are developing may be able to detect radiation from much greater distances and through more shielding than current detection instruments.

The neutron scatter camera, says Sandia physicist Nick Mascarenhas, has the capability to count neutrons from a source of SNM and localize it — meaning it doesn’t only indicate there is radiation present, but also where it is emanating from and, under some circumstances, how much.

“This instrument can pinpoint a hot spot in another room through walls, something not typically possible with gamma-ray detectors,” says Mascarenhas. “Performance-wise, it’s beating the older technologies, but we want to continue to push the limits of sensitivity and detection distance.”

Distance, says Mascarenhas, is a significant benchmark because it means the neutron scatter camera has the potential to detect through various types of shielding, a concern at any border crossing or point of entry.

Since 9/11, radiation detection has taken on a new immediacy as a means of preventing a nuclear weapon attack within the United States. Gamma-ray and neutron detectors are being deployed at border crossings and ports, with the goal of enabling interdiction of a nuclear weapon or material before it enters the country.

The neutron scatter camera has an advantage over traditional neutron detection because it can differentiate low energy neutrons from high energy neutrons.Another advantage is shielding. While some gamma rays can be blocked from detectors, neutrons are much more difficult to conceal. In a lab test, the camera easily detected and imaged a source placed across the hallway, through several walls and cabinets.

The biggest obstacle to the camera becoming widely adopted is the liquid scintillator, which is flammable, hazardous, and requires special handling. According to Mascarenhas, materials exist that could be used as a solid scintillator, but they need to be mass produced and made readily available in the U.S. for this purpose. Solid scintillator material, he says, is not in the scope of the current project but is a logical next step.

“We are not concerned with size at this point — our mission is to understand everything about the performance of this instrument and make it the best it can be,” he says. “Making it portable or compact might be the next steps, but that’s something I’m confident that Sandia, as an engineering laboratory, can solve.” More at Sandia.gov

London, UK — Nov 20, ‘07 — The BBCNews is reporting on Animal rights activists are thought to being the first Britons to be asked to hand over keys to data encrypted on their computers to the Police. 

Excerpts from the article: “The request for the keys is being made under the controversial Regulation of Investigatory Powers Act (RIPA). Police analysing machines seized during raids on activist’s homes carried out in May have asked for the keys. The activists could face jail if they do not comply and snub a further formal request to hand over the keys.

Case law
In early November about 30 animal rights activists are understood to have received letters from the Crown Prosecution Service in Hampshire inviting them to provide passwords that will decrypt material held on seized computers.

The letter is the first stage of a process set out under RIPA which governs how the authorities handle requests to examine encrypted material. Once a request has been issued the authorities can then issue what is known as a Section 49 notice demanding that a person turn the data into an “intelligible” form or, under Section 51 hand over keys.

Legal row
The section of RIPA that deals with decryption requests was controversial when it was drawn up and debated. Peers, academics and cryptographers called the proposals “flawed” when invited to comment on them by the Home Office.

Commentators pointed out that sSection III, which is aimed at serious criminals, such as paedophiles and terrorists, is flawed because those involved would much rather serve a few years for refusing to hand over keys than provide them and potentially incriminate themselves.

Others were simply likely to say that they had forgotten the complicated passphrase they used when encrypting material. Under certain circumstances RIPA allows this to be a plausible defence”. More at BBCNews.

WASHINGTON — Nov 19, ‘07 — Two U.S. senators on the antitrust subcommittee urged the Federal Trade Commission’s chairman to only approve Google’s purchase of Internet advertising company DoubleClick Inc. if it concludes there will be no adverse impact on competition in the Web advertising market as a result of the transaction.

In a letter, Sen. Herb Kohl, a Wisconsin Democrat, and Sen. Orrin Hatch, a Utah Republican, told FTC Chairman Deborah Platt Majoras that the outcome of the agency’s review of the proposed merger would have far-reaching impact.

Senators argued that Google had a dominant position in a form of Internet advertising called contextual ads while DoubleClick was a market leader in display advertising. They said industry experts believed the deal could harm competition on the Web.

“While we have not reached any definitive conclusion regarding this issue, we urge that you only approve the merger if you determine that it will not cause any substantial lessening of competition with respect to Internet advertising,” they wrote.

Kohl and Hatch also raised questions about privacy implications since both Google and DoubleClick collect information about Web usage. “We believe that this deal raises fundamental consumer privacy concerns worthy of serious scrutiny,” the letter said.

FTC spokeswoman Nancy Judy said Chairman Deborah Majoras had received the letter but that it would inappropriate for her to comment on it.

Kohl is the chairman of the Antitrust, Competition Policy and Consumer Rights subcommittee, while Hatch is the ranking minority member of the panel. The committee held a hearing on the deal in September where Google’s top lawyer and Microsoft’s general counsel testified about the merger.

“Antitrust regulators need to be wary to guard against the creation of a powerful Internet conglomerate able to extend its market power in one market into adjacent markets, to the detriment of competition and consumers,” said the letter.

It also referred to the privacy concerns opponents to the deal have raised, saying the sheer amount of private information both companies hold about individuals Web habits is a cause for concern.

The Google-DoubleClick merger is the subject of a number of antitrust reviews globally. In addition, to the FTC investigation, the European Union recently announced it was launching a detailed review of the deal.

Full text of the letter is available at Sen. Hatch’s Press Releases.

WASHINGTON/SAN FRANCISCO — Nov 19, ‘07 — Reuters is reporting on, Google considering bidding alone on coveted airwaves to launch a US wireless network, as a deadline nears to declare bidding plans, citing sources familiar with the situation.

Reuters further reports, “One source underscored that Google had made no decision as of Friday on whether it would bid with partners or on its own in the auction of 700-megahertz spectrum due to begin January 24.

Bidding could pit Google against top wireless carriers AT&T and Verizon Wireless. Going it alone at the government auction of airwaves would not rule out later signing up partners if Google were to win the necessary spectrum to create a network, the source said.

Google executives discussed the auction last week with Federal Communications Commission officials, including FCC Chairman Kevin Martin, sources familiar with the meeting said.

At the talks, executives for the Web search leader gave the impression of “inching more towards” a bid, one source said. Another said it is “within the realm of possibility” that partners could be brought on later if Google wins. Google has talked to a number of prospective partners, not just carriers.

The 700-MHz band airwaves, which are being returned by broadcasters as they move from analog to digital signals early in 2009, can go long distances and penetrate thick walls. The auction is seen as a last chance for a new wireless player.

Google has said it would be prepared to bid at least $4.6 billion for the biggest chunk of spectrum if regulators agreed to policies to promote open use of such networks.

Google won half of what it asked: The FCC imposed a condition on a large portion of the spectrum that would require the winning bidder to open up networks to allow consumers to use any device or applications that works on those frequencies.

But the FCC did not require open access to network capacity to be resold to independent mobile service providers on a wholesale basis, another Google request. Under the auction terms, if no one meets the $4.6 billion minimum bid, the auction for the open-access portion of the spectrum would be rerun without the open-access conditions.

Google unveiled this month plans to offer Mobile Operating System software, Android, for building Internet-ready cell phones in an alliance - Open Handset Alliance - of network operators and device and software makers. The first phones to result from it are due out in mid-2008, partners say.” More at Reuters.

American video stores have new-release sections. Chinese video stores have not-yet-released sections.

Beijing, China — Nov 12, ‘07 — Dawn C. Chmielewski of LA Times reporting on rampant video piracy in China. In his words, “On a recent weeknight here, four people entered a neighborhood shop, where a clerk escorted them through a back door to a closet-sized room.

Floor-to-ceiling shelves brimmed with some of the latest Hollywood movies, including “Ratatouille,” which had just reached Chinese theaters a week earlier and wasn’t due out on DVD until January. Also filling the shelves were entire seasons of such popular American TV shows as “Entourage” and “Grey’s Anatomy.” Each disc was bootlegged, selling for as little as $1.33.

Closed off from the rest of the store, the room looked hidden. But it’s secret to almost no one here — least of all this group that included two entertainment lawyers from Washington and Hong Kong as well as two representatives of the Motion Picture Assn., the film industry’s biggest trade group.

They were there to show a reporter the notorious black-market DVD store, Beijing Yongsheng Century International Cultural Co. It has been raided so often — 14 times since 2005 — that it’s acquired the nickname “Dan’s Shop,” after Dan Glickman, chief executive of the Motion Picture Assn. of America.

About 93% of the movies sold in China are counterfeit – black-market discs are sold in stores and by legions of roaming vendors who peddle them at subway stations and from their bicycles. Some make home deliveries.” More at LATimes.

Taipei, Taiwan — Nov 11, ‘07 — Taipei Times is reporting on Investigation Bureau officials warning of “Focused Attack” of Trojan horse viruses on Large-capacity hard disks, often used by government agencies. 

The newspaper further writes, “Portable hard discs sold locally and produced by US disk-drive manufacturer Seagate Technology have been found to carry Trojan horse viruses that automatically upload to Beijing Web sites anything the computer user saves on the hard disc, the Investigation Bureau said.

Around 1,800 of the portable Maxtor hard discs, produced in Thailand, carried two Trojan horse viruses: autorun.inf and ghost.pif, the bureau under the Ministry of Justice said. The tainted portable hard disc uploads any information saved on the computer automatically and without the owner’s knowledge to www.nice8.org and www.we168.org, the bureau said.

The bureau said that hard discs with such a large capacity are usually used by government agencies to store databases and other information. Sensitive information may have already been intercepted by Beijing through the two Web sites, the bureau said. The bureau said that the method of attack was unusual, adding that it suspected Chinese authorities were involved.

In recent years, the Chinese government has run an aggressive spying program relying on information technology and the Internet, the bureau said. The bureau said this was the first time it had found that Trojan horse viruses had been placed on hard discs before they even reach the market.”

China and Taiwan regularly trade accusations of spying and last month Germany accused China of being behind Internet espionage attacks on its companies and government. China said it opposed such accusation

The Taiwanese newspaper later reported, “VIRUS: Investigators say the tainted Maxtor portable hard disc, made by Seagate, uploads information saved on the computer automatically to Web sites in Beijing.

Further investigations suggested that “contamination” took place when the products were in the hands of Chinese subcontractors during the manufacturing process.

In September, TheRegister said that Kaspersky Labs had found a pre-installed virus named Virus.Win32.AutoRun.ah on Maxtor 3200 external hard drives sold in the Netherlands.” More at TaipeiTimes here and here.

There are some conflicting reports surfacing on Australian government’s proposed regulations to ban most plasma and LCD HDTVs by the year 2011. Jesse Denzin-Weber of theInquirer is reporting “WITH AN EYE ON melting Antarctica, the Australian government is proposing regulations that would ban most plasma and LCD HDTVs by the year 2011.

After commissioning a report that found the popularity of high power-drawing TVs like plasma and LCD TVs is growing. The bigger and brighter screens get, the more power is required, and Australia is trying to crack down on energy consumption. This is the government that was looking into banning incandescent bulbs in favor of fluorescent bulbs earlier this year.

The government is proposing a new energy rating system based on six stars to inform consumers about the power performance of TVs.

The Australia Broadcasting Company (ABC) is reporting that under the proposed system the majority of current plasma HDTVs would not meet the requirements and would be removed from the market. In addition to placing limits on the maximum power consumption, the report also suggests that minimum energy performance standards should be put into place. This would keep poor performing products from being sold  in Australia.”

On  the same story Matthew Henry of Current.com.au writes “The industry body representing many of the leading TV brands has rejected suggestions that many current plasma and LCD TVs could be banned from sale within a year, which has been reported in the press today.

Australian Digital Suppliers Industry Forum (ADSIF) chairman, Ross Henderson, told Current.com.au that articles published in response to a new report on proposed energy efficiency standards for TVs were potentially misleading.

“The idea that plasmas and LCDs are going to disappear from the market is simply something that is not in the report,” said Henderson.

“The [Digital CEnergy] report is about suggesting guidelines to implement greater efficiency standards.”

The discussion paper, titled Television Energy Rating Labels: The case, and proposal, for MEPS and Labelling Televisions, argues for a labeling scheme to be introduced in 2008 with mandatory requirements phased in from 2009. But Henderson said home entertainment suppliers are in discussions with the government to work o