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Feb 05, `08 — Three global record companies, Universal Music Ltd, Sony BMG Music Entertainment (Hong Kong) Ltd and Warner Music Hong Kong Ltd, have launched legal proceedings against China’s top Internet search engine Baidu.com, accusing it of violating copyright by giving access to music files, International Federation of the Phonographic Industry said in a press release on Monday, Feb 04.

* New legal proceedings brought against Baidu
* Copyright infringement actions against Sohu and its associate company Sogou
* Yahoo China in breach of copyright violation judgment

After months of fruitless negotiations, legal proceedings have been filed on Feb 04, against the China’s biggest internet company, Baidu. Separate actions have also been brought against Sohu and its associate company Sogou. Meanwhile, Yahoo China faces fresh proceedings following its refusal to comply with a landmark ruling in December confirming it violated Chinese law by committing mass copyright infringement.

All of the Chinese companies involved operate similar services based on delivering music to their users via “deep links” to hundreds of thousands of infringing tracks on third party sites, with the aim of driving their own advertising revenue. Such services have been confirmed as in breach of copyright by the December judgment of the Beijing Higher People’s Court. Each of them is a driver of copyright abuse in China, where the huge potential for the online music sector is being stymied by copyright theft.

China has potentially the largest online music-buying public in the world with as many broadband connections as the United States. Currently, however, more than 99 per cent of all music files distributed in the country are pirate and China’s total legitimate music market, at US$76 million, accounts for less than one per cent of global recorded music sales.

Monday (Feb 04)’s actions follow in the wake of a decisive judgment against Yahoo China in December 2007 by the Beijing Higher People’s Court. The court’s finding that Yahoo China’s music delivery service is illegal under Chinese law sets a precedent for cases against similar operations in China.

Three record companies have now filed proceedings against Baidu. The new claims have been filed with the Beijing No. 1 Intermediate People’s Court by Universal Music Ltd, Sony BMG Music Entertainment (Hong Kong) Ltd and Warner Music Hong Kong Ltd. The three companies are asking the court to order Baidu to remove all links on its music delivery service to copyright infringing tracks that they own the rights to.

Action is also being taken today against Sohu and its associate company Sogou, which operates a similar service. Sogou makes profits through advertising that appears on the service and through sponsorship. Sogou also actively induces and encourages copyright infringement by means of recommendations and charts, while Sohu provides deep linking services through its associate company.

Sohu is the official sponsor of internet content service (ICS) for the Beijing 2008 Olympic Games.

The legal action is being brought by four record companies: Universal Music Limited, Gold Label Entertainment Limited, Sony BMG Music Entertainment (Hong Kong) Limited and Warner Music Hong Kong Limited. The cases were also filed at the Beijing No.1 Intermediate People’s Court. They follow four prior notices that were sent to both companies from July 2007 onward.

The claims against Baidu, Sohu and Sogou will be served on the respective companies by the court after the Chinese New Year.

Meanwhile, Yahoo China has still not complied with the December ruling made against it by the Chinese appeal court. As a consequence, the plaintiffs in that case have now filed execution proceedings against Yahoo China, asking the court to force Yahoo China to comply with the earlier judgment.

More at International Federation of the Phonographic Industry.

SUNNYVALE, Calif — Feb 05, `08 –BUSINESS WIRE– Zimbra, a Yahoo! company today announced the availability of Zimbra Collaboration Suite (ZCS) 5.0.

ZCS 5.0 includes hundreds of enhancements that expand Zimbra’s access across desktops and devices while setting the standard for Web-based productivity in a business environment, and showcases Yahoo!’s dedication to providing world-class e-mail and collaboration services.

Enhancements in ZCS 5.0 extend Zimbra’s best-of-breed anywhere access on the desktop, including support for Microsoft Outlook 2007, and on virtually any device, with support for BlackBerry Enterprise Server, J2ME-enabled handsets such as the Motorola RAZR, and a new version of ZCS for mobile web browsers. New features in the award-winning Zimbra AJAX Web client include instant messaging, briefcase, and task applications as well as Zimbra Desktop, the world’s first offline-capable Web 2.0 collaboration experience.

New features in ZCS 5.0 include:

– Native e-mail, contacts, calendar, and task synchronization from Zimbra to Outlook 2007
– Access Zimbra on all BlackBerry handsets, J2ME enabled devices, or any mobile web browser, including the Apple iPhone
– Zimbra Tasks monitor start and due dates, priority, progress, and percent complete of tasks
– Built directly into ZCS, Web-based Instant Messaging supports multiple conversations and group chats
– Conveniently store any file from an e-mail in Zimbra Briefcase instead of as an e-mail attachment; easily share Briefcase folders with others
– Work online or offline with Zimbra Desktop, the AJAX experience for Zimbra users and users of existing POP and IMAP e-mail servers
– Share inboxes and e-mail folders with others, including the ability to provide read-only-access or allow others to completely manage
– Fifteen fully certified languages ship within ZCS for end-users to choose

New Yahoo! and Zimbra Integrated Services
New Zimlets in ZCS 5.0 leverage Yahoo! properties, including Flickr, Yahoo! Local, Yahoo! Finance, and Yahoo! Search. Later this year, Zimbra’s innovative technologies will be incorporated into properties including Yahoo! Mail and Calendar.

More at Yahoo!, Zimbra.

Los Angeles, Calif — Feb 04, `08 — Yahoo will cease operating its online music subscription service and switch its customers to RealNetworks’ Rhapsody music service as part of a new deal between the companies that calls for Yahoo to promote Rhapsody on its site, the AP reports.

Terms of the deal, to be formally announced later today, were not disclosed. The move is part of Yahoo’s overhaul of its online music offerings.

Yahoo Music Unlimited lets users download an unlimited number of tracks that are playable as long as their plan is active.

Under the Yahoo-RealNetworks partnership, subscribers to Yahoo Music Unlimited will be shifted to the Rhapsody service sometime in the first half of this year. Yahoo subscribers’ music library and payment plans will remain the same for a limited time after the switch, but those wishing to remain on Rhapsody eventually will be required to sign up at Rhapsody’s rates.

Yahoo’s subscription rates range from $5.99 a month, if users pay for a full year in advance, or $8.99 a month. Rhapsody memberships start at $12.99 a month. More at AP.

San Francisco, Calif — Feb 03, `08 — Yahoo! would consider a business alliance with Google as one way to rebuff a $44.6 billion takeover proposal by Microsoft, Reuters reported citing a source familiar with Yahoo’s strategy said on Sunday.

The report further said, “a second source close to Yahoo said it had received a procession of preliminary contacts by media, technology, telephone and financial companies. But the source said they were unaware whether any alternative bid was in the offing.

Few natural bidders exist beside Google that could engage in a bidding war, and Google would be unlikely to win approval from antitrust regulators, some Wall Street analysts said on Friday.

Yahoo!’s efforts to find an alternative bidder could simply be a measure to pressure Microsoft to boost its bid, which valued Yahoo at $44.6 billion when first announced on Friday.” More at Reuters.

In response to Google’s foul cry over Microsoft’s Yahoo! bid, Microsoft has released a statement from Bard Smith, General Counsel:

REDMOND, Wash — Feb 03, `08 — The combination of Microsoft and Yahoo! will create a more competitive marketplace by establishing a compelling number two competitor for Internet search and online advertising. The alternative scenarios only lead to less competition on the Internet.

Today, Google is the dominant search engine and advertising company on the Web. Google has amassed about 75 percent of paid search revenues worldwide and its share continues to grow. According to published reports, Google currently has more than 65 percent search query share in the U.S. and more than 85 percent in Europe. Microsoft and Yahoo! on the other hand have roughly 30 percent combined in the U.S. and approximately 10 percent combined in Europe.

Microsoft is committed to openness, innovation, and the protection of privacy on the Internet. We believe that the combination of Microsoft and Yahoo! will advance these goals. More at Microsoft.

Feb 03, `08 — In a statement released today on Google’s press center, Mr. David Drummond, Google’s Senior Vice President, Corporate Development and Chief Legal Officer cries foul over Microsoft’s Yahoo! bid.

Mr. David Drummond in his rude and venomous language falsely accuses Microsoft of making ” hostile bid ”. He says, “So Microsoft’s hostile bid for Yahoo! raises troubling questions. This is about more than simply a financial transaction, one company taking over another.”

Now Mr. Drummond do you even know or have any remote idea how many take overs Google have made in last five years or so ??

He also says, “Users benefit from constant innovation. It’s what makes the Internet such an exciting place.”

Mr. Drummond do you actually mean supporting rampant piracy through YouTube, when you say “Users benefit from constant innovation” ??

Do you even have any remote idea of how many pirated videos of Movies, TV Shows, Dramas, Music Videos, etc are being hosted at any given moment ??

Mr. Drummond further goes on to say, “This hostile bid was announced on Friday so there is plenty of time for these questions to be thoroughly addressed.”

Mr. Drummond when even Yahoo! in its official response refers to Microsoft’s proposal as “an unsolicited proposal”, who are you in the world to refer that proposal as “hostile” ??

And Mr. Drummond when you say, “It’s about preserving the underlying principles of the Internet: openness and innovation”, do you actually mean that buying DoubleClick despite the immense privacy concerns from within the US and from Europe ??

If Google were to believe in its well publicized but never implemented ideology of ” Do NO Evil ” then Mr. Drummond why in the world Google needed to buy YouTube or DoubleClick? Google was already making tons of millions anyway… Google could have let YouTube / DoubleClick make money for themselves or let some one else buy ‘em (of course you would have stopped Microsoft from buying any of ‘em either, right?)

So Mr. Drummond before making entirely false claims using rude and venomous language, it would have been better if you have just took a little look at Google’s own past 10 years.

Or may be fear of loosing monopoly and loosing world dominance makes you speak highly rude & venomous language along with highly exaggerated claims and false acquisitions ??

Google’s statement on Microsoft’s bid for Yahoo!

Feb 03, `08 — Nicki Dugan on Yahoo’s Corporate Blog ( Yodel Anecdotal ) said that, “process like this is fluid and can take quite a bit of time” to weigh its strategic options, including keeping the company independent, following Microsoft’s $44.6 billion offer to buy the company.

Here is the complete posting:

Our response to Microsoft’s proposal

Posted February 1st, 2008 at 1:11 pm by Nicki Dugan, Blog Editor

Number of Comments 17 Comments / Filed in: Trends & News

As I’m sure you’ve heard by now, Microsoft made an unsolicited proposal to acquire Yahoo! yesterday evening. Since then, we’ve gotten quite a number of questions about what this means for Yahoo!. Right now our board of directors is evaluating the proposal and looking at all of our strategic alternatives, including maintaining Yahoo! as an independent company.

A review process like this is fluid and can take quite a bit of time, so while there’s not much we can say right now, we did want to refer you to this brief FAQ for more information.

Nicki Dugan
Blog Editor

Tagged: microsoft, news

In a media response to a frequently asked question about whether Yahoo would seek proposals from other companies, Yahoo! press room said it was going to evaluate all options.

Yahoo!’s Media Response:

FAQ: Unsolicited Proposal From Microsoft

Q1. How is Yahoo! responding to Microsoft’s proposal?
The Yahoo! Board is undertaking a deliberate review process. They’re going to take time to thoroughly evaluate the proposal in the context of Yahoo!’s strategic plans. This will include evaluating all of the Company’s strategic alternatives – including maintaining Yahoo! as an independent company. That process will take some time, but the Board will ultimately pursue the option that it believes can best maximize value for our shareholders.

Q2. How long will the Board’s review process take?
A review process like this is fluid, and it can take quite a bit of time.

Q3. Will the Board seek proposals from any other companies?
The Board is going to evaluate all of Yahoo!’s strategic alternatives and pursue the option that it believes can best maximize value for our shareholders.

Q4. What would a deal like this mean for Yahoo!’s users, advertisers, publishers, partners and people?
Yahoo!’s Board is going to evaluate all aspects of this proposal carefully and promptly in the context of the company’s strategic plans and alternatives. So it wouldn’t be appropriate to speculate about the potential benefits or challenges of a deal. But the review process that’s underway won’t have any impact on our efforts to deliver value to all of our users, advertisers, publishers and partners – as well as new and exciting opportunities to our employees.

Citing analysts, Reuters reported that, “Comcast Corp, Viacom Inc and General Electric Co among possible bidders, although they also said few companies had the balance sheet to compete with Microsoft or were as natural a fit for Yahoo.”

More at Yahoo! here and here.

Below is the text of the letter that Microsoft sent to Yahoo!’s Board of Directors:

January 31, 2008

Board of Directors
Yahoo! Inc.
701 First Avenue
Sunnyvale, CA 94089
Attention: Roy Bostock, Chairman
Attention: Jerry Yang, Chief Executive Officer

Dear Members of the Board:

I am writing on behalf of the Board of Directors of Microsoft to make a proposal for a business combination of Microsoft and Yahoo!. Under our proposal, Microsoft would acquire all of the outstanding shares of Yahoo! common stock for per share consideration of $31 based on Microsoft’s closing share price on January 31, 2008, payable in the form of $31 in cash or 0.9509 of a share of Microsoft common stock. Microsoft would provide each Yahoo! shareholder with the ability to choose whether to receive the consideration in cash or Microsoft common stock, subject to pro-ration so that in the aggregate one-half of the Yahoo! common shares will be exchanged for shares of Microsoft common stock and one-half of the Yahoo! common shares will be converted into the right to receive cash. Our proposal is not subject to any financing condition.

Our proposal represents a 62% premium above the closing price of Yahoo! common stock of $19.18 on January 31, 2008. The implied premium for the operating assets of the company clearly is considerably greater when adjusted for the minority, non-controlled assets and cash. By whatever financial measure you use - EBITDA, free cash flow, operating cash flow, net income, or analyst target prices - this proposal represents a compelling value realization event for your shareholders.

We believe that Microsoft common stock represents a very attractive investment opportunity for Yahoo!’s shareholders. Microsoft has generated revenue growth of 15%, earnings growth of 26%, and a return on equity of 35% on average for the last three years. Microsoft’s share price has generated shareholder returns of 8% during the last one year period and 28% during the last three year period, significantly outperforming the S&P 500. It is our view that Microsoft has significant potential upside given the continued solid growth in our core businesses, the recent launch of Windows Vista, and other strategic initiatives.

Microsoft’s consistent belief has been that the combination of Microsoft and Yahoo! clearly represents the best way to deliver maximum value to our respective shareholders, as well as create a more efficient and competitive company that would provide greater value and service to our customers. In late 2006 and early 2007, we jointly explored a broad range of ways in which our two companies might work together. These discussions were based on a vision that the online businesses of Microsoft and Yahoo! should be aligned in some way to create a more effective competitor in the online marketplace. We discussed a number of alternatives ranging from commercial partnerships to a merger proposal, which you rejected. While a commercial partnership may have made sense at one time, Microsoft believes that the only alternative now is the combination of Microsoft and Yahoo! that we are proposing.

In February 2007, I received a letter from your Chairman indicating the view of the Yahoo! Board that “now is not the right time from the perspective of our shareholders to enter into discussions regarding an acquisition transaction.” According to that letter, the principal reason for this view was the Yahoo! Board’s confidence in the “potential upside” if management successfully executed on a reformulated strategy based on certain operational initiatives, such as Project Panama, and a significant organizational realignment. A year has gone by, and the competitive situation has not improved.

While online advertising growth continues, there are significant benefits of scale in advertising platform economics, in capital costs for search index build-out, and in research and development, making this a time of industry consolidation and convergence. Today, the market is increasingly dominated by one player who is consolidating its dominance through acquisition. Together, Microsoft and Yahoo! can offer a credible alternative for consumers, advertisers, and publishers. Synergies of this combination fall into four areas:

Scale economics: This combination enables synergies related to scale economics of the advertising platform where today there is only one competitor at scale. This includes synergies across both search and non-search related advertising that will strengthen the value proposition to both advertisers and publishers. Additionally, the combination allows us to consolidate capital spending.

Expanded R&D capacity: The combined talent of our engineering resources can be focused on R&D priorities such as a single search index and single advertising platform. Together we can unleash new levels of innovation, delivering enhanced user experiences, breakthroughs in search, and new advertising platform capabilities. Many of these breakthroughs are a function of an engineering scale that today neither of our companies has on its own.

Operational efficiencies: Eliminating redundant infrastructure and duplicative operating costs will improve the financial performance of the combined entity.

Emerging user experiences: Our combined ability to focus engineering resources that drive innovation in emerging scenarios such as video, mobile services, online commerce, social media, and social platforms is greatly enhanced.

We would value the opportunity to further discuss with you how to optimize the integration of our respective businesses to create a leading global technology company with exceptional display and search advertising capabilities. You should also be aware that we intend to offer significant retention packages to your engineers, key leaders and employees across all disciplines.

We have dedicated considerable time and resources to an analysis of a potential transaction and are confident that the combination will receive all necessary regulatory approvals. We look forward to discussing this with you, and both our internal legal team and outside counsel are available to meet with your counsel at their earliest convenience.

Our proposal is subject to the negotiation of a definitive merger agreement and our having the opportunity to conduct certain limited and confirmatory due diligence. In addition, because a portion of the aggregate merger consideration would consist of Microsoft common stock, we would provide Yahoo! the opportunity to conduct appropriate limited due diligence with respect to Microsoft. We are prepared to deliver a draft merger agreement to you and begin discussions immediately.

In light of the significance of this proposal to your shareholders and ours, as well as the potential for selective disclosures, our intention is to publicly release the text of this letter tomorrow morning.

Due to the importance of these discussions and the value represented by our proposal, we expect the Yahoo! Board to engage in a full review of our proposal. My leadership team and I would be happy to make ourselves available to meet with you and your Board at your earliest convenience. Depending on the nature of your response, Microsoft reserves the right to pursue all necessary steps to ensure that Yahoo!’s shareholders are provided with the opportunity to realize the value inherent in our proposal.

We believe this proposal represents a unique opportunity to create significant value for Yahoo!’s shareholders and employees, and the combined company will be better positioned to provide an enhanced value proposition to users and advertisers. We hope that you and your Board share our enthusiasm, and we look forward to a prompt and favorable reply.

Sincerely yours,

/s/ Steven A. Ballmer

Steven A. Ballmer

Chief Executive Officer

Microsoft Corporation

More at Microsoft.

WASHINGTON — Feb 01, `08 — US and European antitrust regulators aren’t likely to prevent Microsoft from buying Yahoo, analysts said Friday, though scrutiny of the deal could drag on for months, the AP reported.

A major factor weighing in Microsoft’s favor, analysts said, is Google’s dominance in the online search and advertising businesses — the two areas regulators are likely to focus on when weighing market power issues raised by the nearly $45 billion unsolicited bid.

The Justice Department said it is “interested” in reviewing competition issues raised by Microsoft’s surprise offer. The Federal Trade Commission and European Union officials declined to comment. If the deal goes through, analysts expect Congress and European regulators to review the combined company’s increased competitive edge.

“I don’t see this just sailing through, regulators will look at it,” Ted Henneberry of the London law firm Heller Ehrman said. But even after a review that could take up to six months, he said a Microsoft-Yahoo combination isn’t likely to be stopped because the new entity’s share of the online ad space would still be dwarfed by Google, which already controls nearly 60 percent of the U.S. search market.

“The fact that Google dominates this business will be a big factor in (Microsoft’s) favor in trying to get this approved by the regulators,” said Keith Hylton, a professor of antitrust law at Boston University. More at AP.

San Francisco, CA — Feb 01, `08 — Microsoft made an unsolicited $44.6 billion cash and stock bid for Yahoo late Thursday, a deal that could shake up the competitive and lucrative market for online advertising.

The surprise offer of $31 per share, which represents a 62% premium from where Yahoo stock closed on Thursday, made late Thursday and announced Friday, seizes on Yahoo’s weakness while Microsoft tries to muscle up in a high-stakes battle with Google likely to define the technology landscape for years to come. Shares of Yahoo shot up 50% at the start of trading Friday, while shares of Dow component Microsoft tumbled about 5%.

In a statement Friday, Yahoo said it will “carefully and promptly” study Microsoft’s bid.

With its profits steadily sliding, Yahoo’s stock slipped to a four-year low earlier this week and a new management team has been trying to steer a turnaround but sees more turbulence through 2008.

In conference call Friday morning, Microsoft Chief Executive Steve Ballmer indicated he won’t take no for an answer after Yahoo rebuffed takeover overtures a year ago.

“This is a decision we have — and I have — thought long and hard about,” Ballmer said. “We are confident it’s the right path for Microsoft and Yahoo.”

Besides the question of Yahoo’s acceptance, Microsoft’s bid also faces regulatory scrutiny in Washington and Europe. On Friday, the Justice Department said it is “interested” in reviewing antitrust issues. European Union officials declined to comment.

If the deal is consummated, it would be by far the largest acquisition in Microsoft’s history, eclipsing last year’s $6 billion purchase of online ad service aQuantive.

Microsoft publicly disclosed its cash-and-stock offer in hopes of rallying support from Yahoo’s shareholders, making it more difficult for Yahoo’s board to turn down the bid.

Microsoft’s previous offer was rebuffed by Terry Semel, who stepped aside last year as chief executive under shareholder pressure.

Microsoft sent its latest takeover offer to Yahoo late Thursday, shortly after Semel resigned as the company’s chairman. The letter is addressed to Semel’s successors, new Chairman Roy Bostock and the current CEO, co-founder Jerry Yang, who is one of Yahoo’s largest shareholders.

In a prepared statement, Yahoo said its board “will evaluate this proposal carefully and promptly in the context of Yahoo’s strategic plans and pursue the best course of action to maximize long-term value for shareholders.”

“We are very, very confident this is the right path for Microsoft and for Yahoo,” he said.

Microsoft hopes to close the deal by the end of the year. Ballmer said that Microsoft has been in “off and on” talks with Yahoo for 18 months and said he called Yahoo CEO Jerry Yang Thursday night to tell him the bid was coming.

A Microsoft-Yahoo combination would create a powerful number two player in the online search business, which Google commands. The leading search engine reigns over 58.4% of the U.S. search market, while Yahoo has 22.9% and Microsoft’s share is just 9.8%, according to comScore, a research firm that tracks Internet traffic.

A Google spokesman, Matt Furman, declined to comment on Microsoft’s move on Yahoo. “It would be premature to comment at this point,” he said.

Beijing, China — Dec 20, `07 –The international recording industry today hailed a landmark Beijing court ruling confirming that Yahoo China’s music delivery service violates Chinese law by facilitating mass copyright infringement.

Yahoo China, part-owned by one of the world’s biggest internet companies, Yahoo, runs an operation enabling users to search for, play and download pirate music without ever leaving its website. Yahoo China’s appeal against a guilty verdict in April was today dismissed by the Beijing Court.

The decision is made under new Chinese copyright laws which entered into force in 2006. The Court separately ruled on a similar case against internet company, Baidu which had been brought under the previous Chinese copyright laws. The ruling confirmed that Baidu participated with and assisted third party sites in transmitting infringing music, but under the old laws Baidu was not liable for copyright infringement.

Music search services such as Yahoo China’s and Baidu’s, which “deep link” users to hundreds of thousands of pirate tracks, are a huge drain on efforts to develop a legitimate music market in China. Despite enormous market potential, music sales in China totalled US$76 million in 2006, less than one per cent of the global recorded music market.

Over 99 per cent of all music downloading in China infringes copyright, and services such as Yahoo China and Baidu account for the bulk of the problem. More at IFPI.

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.

SUNNYVALE, Calif –BUSINESS WIRE– Dec 19, `07 — Yahoo! today announced that three world-renowned scientists from Yahoo! Research have been recognized for their achievements in fields key to developing the next-generation of Internet experiences, including computer science, artificial intelligence, data mining, and algorithm engineering.

Dr. Andrei Broder was named Fellow of the Association for Computing Machinery (ACM) and Dr. Ron Brachman and Dr. Raghu Ramakrishnan were named Fellows of the Institute of Electrical and Electronics Engineers (IEEE). These prestigious honors recognize individuals who have made significant contributions to both the practical and theoretical aspects of computing and information technology.

Broder is a fellow and vice president for computational advertising and search technology at Yahoo! Research where he conducts new research on the intersection of information retrieval, machine learning, optimization, and microeconomics and leads the computational advertising group. He was selected for the honor of ACM Fellow for contributions to algorithms and web technology.

Brachman is the vice president of worldwide research operations for Yahoo! Research and is responsible for all operational activities for the organization; his responsibilities also include overseeing academic relations for all of Yahoo!. Brachman was selected as an IEEE Fellow for his leadership in knowledge representation and reasoning in computer science and artificial intelligence.

Ramakrishnan is chief scientist for Yahoo!’s audience group and a Yahoo! Research Fellow, heading up the community systems group. Ramakrishnan was selected as an IEEE Fellow for his contributions to the fields of deductive databases, data mining and query optimization.

ACM is an educational and scientific society uniting the world’s computing educators, researchers and professionals to inspire dialogue, share resources and address the field’s challenges.

IEEE is the world’s largest technical professional society. The organization fosters technological innovation and excellence for the benefit of humanity. Through its more than 370,000 members in 160 countries, IEEE is a leading authority on a wide variety of areas ranging from aerospace systems, computers and telecommunications to biomedical engineering, electric power and consumer electronics. More at Yahoo!

NEW YORK — Dec 06, ‘07 — JetBlue Airways, Yahoo and Research In Motion plan to offer free, in-flight, Wi-Fi web connections for laptop computers and advanced cell phones, RIM said on Thursday, reports Reuters.

The service will allow passengers to access customized Yahoo mail and Yahoo instant messenger services on their laptops or to access corporate e-mails on Wi-Fi enabled versions of the popular Blackberry device from Rim.

According to a spokesperson for Rim the first JetBlue flight offering the service will be on December 11. more at Reuters.

SAN FRANCISCO & SEATTLE –BUSINESS WIRE– — Dec 04, ‘07 — Flickr, one of the world’s leading online photo-sharing communities, today announced a partnership with Picnik, a ground breaking online photo-editing application, to fully-integrate Picnik’s comprehensive photo-editing tools within Flickr.

Flickr members worldwide will now have access to Picnik’s extensive editing features such as resize, crop, change exposure, and red-eye removal, along with Picnik’s special effects such as color boost, black and white, sepia, frames, shapes, text and soften, all within the Flickr site.

Picnik editing tools are now available on the Edit Photo tab within Flickr for editing individual photos or a batch of photos. After transforming their photos, members can add the edited photos to their Flickr account or, if they are a Flickr Pro member, overwrite the original.

Additionally, Flickr Pro members will benefit from Picnik’s “Perfect Memory” feature which allows you to undo or redo any edit or special effect all the way back to the original version of the picture.

The new Picnik editing tools will be available to Flickr members in eight languages including: English, French, Spanish, German, Italian, Portuguese, Korean and traditional Chinese. More at Yahoo!

Tokyo, Japan — Dec 03, ‘07 — Yahoo Japan and eBay said Tuesday they have agreed to team up in online auctions, planning services for next year that will make it easier for consumers to buy things via the Internet from the US and Japan.

Yahoo said by March, Japanese will be able to bid for items up for sale on eBay through the Yahoo auction site in Japan. By the middle of next year, similarly, a site will be set up that will allow Americans to buy Yahoo Japan auction items through the eBay site.

The deal will facilitate “cross-border trading” and invigorate the online auction market, Yahoo said in a statement. In online auctions, consumers put up items they want to sell and get offers through the Internet from prospective buyers.

Americans using eBay will be able to more easily buy Japanese goods popular abroad, such as “manga” comic books, CDs, and products that feature Japanese animation characters and other mascots, it said.

Also, some products are cheaper online abroad than in Japan, and consumers will be able to compare prices for the best deals.

Yahoo Japan, a unit of Sunnyvale, Calif.-based Yahoo has more than 15 million auction items listed on any given day, while eBay, based in San Jose, Calif., the world’s biggest online auction site, boasts 248 million registered users. More at Google/AP.

Nov 29, ‘07 — BBC News is reporting on a huge campaign to poison web searches and trick people into visiting malicious websites has been thwarted.

“The booby-trapped websites came up in search results for search terms such as “Christmas gifts” and “hospice”. Windows users falling for the trick risked having their machine hijacked and personal information plundered.

The criminals poisoned search results using thousands of domains set up to convince search index software they were serious sources of information.

While computer security researchers have seen small-scale attempts to subvert search results before now, the sheer scale of this attack dwarfed all others. “This was fairly epic,” said Alex Eckelberry, head of Sunbelt Software - one of the firms that uncovered the attack.

Eckelberry said tens of thousands of domains, many based in China and only a couple of days old, were used in the vanguard of the attack.

Websites loaded on these domains were booby-trapped with malicious software that looked for vulnerabilities in copies of Microsoft’s Internet Explorer used to browse them. “If your machine was not fully patched you were going to get hosed,” said Eckelberry.

The criminals who bought the domains convinced Google, MSN and Yahoo they were good and popular sources of information, said Mr Eckelberry, by using comment spam on blogs to push the pages up the search index rankings.

He speculated that the campaign was being waged by the Russian Business Network - a hi-tech criminal gang known to favour web-based attacks.

But, said Eckelberry, this attack was likely to be a harbinger of many more. “This is not going to go away,” he said.” More at BBCNews.

SAN JOSE and SUNNYVALE, CA — Nov 29, 2007— Adobe and Yahoo! today launched Ads for Adobe PDF Powered by Yahoo!, an opt-in service that enables online commercial publishers to drive new revenue by including timely, contextual ads next to Adobe Portable Document Format (PDF)-based content. The service has the potential to offer readers access to more free content, enhanced with ads that match their interests. Ads for Adobe PDF Powered by Yahoo! is available initially as a beta program.

The new service allows publishers to generate revenue by including contextual, text-based ads next to Adobe PDF content, with Yahoo! providing access to its extensive network of advertisers to match a broad range of subject matter. For advertisers, Ads for Adobe PDF Powered by Yahoo! extends reach by delivering advertising across a new channel of content, while also providing the ability to track advertising performance, just as they can today with ads placed on Web sites.

How it Works

To join the program, publishers must register online, and then simply upload their Adobe PDF content so that it can be ad-enabled before distributing PDFs as they do today. Ads can only be displayed within Adobe Reader and Adobe Acrobat, in a panel adjacent to the content so that they do not disrupt the viewing experience. Every time the PDF content is viewed, contextual ads are dynamically matched to the content of the document. The publisher can then monitor performance through detailed reports. Publishers already committed to participating in the Ads for Adobe PDF Powered by Yahoo! beta program include: IDG InfoWorld, Wired, Pearson’s Education, Meredith Corporation, Reed Elsevier and many more.

Pricing, Availability

Ads for Adobe PDF Powered by Yahoo! is a free service and does not require the purchase or installation of software. The program, currently in beta, is open to US-based publishers who produce English content. Publishers can apply to participate in the program at advision.webevents.yahoo.com/adobe/ . Ads for Adobe PDF Powered by Yahoo! supports PDF content created in Adobe Acrobat 8 and earlier versions.

More at Adobe.

Los Angeles, CA — Nov 20, ‘07 – Sony BMG Music Entertainment has signed a licensing deal with Yahoo that clears the way for people to upload files with music or video content by the record company’s artists to Yahoo, the companies said Tuesday.

Financial terms of the deal were not disclosed. Like similar deals, the agreement calls for Sony BMG to receive a cut of advertising revenue, Yahoo said. The deal also covers the distribution of music videos via Yahoo player applications and widgets that computer users can place on other Web sites.

The agreement marks the first time Sunnyvale-based Yahoo has reached a deal with a major recording company over licensing content in user-created videos. Sony BMG, home to recording artists such as Britney Spears, Bruce Springsteen and Slayer, reached a similar licensing deal with Google Inc. last year. That agreement also includes Google subsidiary YouTube.

Sony BMG is a joint venture of Sony Corp. and Bertelsmann AG. The Sony BMG-Yahoo deal reflects the popularity of computer user-created videos, which often include copyrighted content.

Last month, a coalition of major media and Internet companies issued a set of guidelines requiring Web portals that host user-generated videos — as Yahoo does — to use filtering technology to block clips with unauthorized content from being posted.

Independently, Yahoo is deploying video identification and filtering technology early next year, the company said.

SUNNYVALE, Calif. –(BUSINESS WIRE)–Nov 12, ‘07 — Yahoo! today announced that it will be the first in the industry to launch an open source program aimed at advancing the research and development of systems software for distributed computing.

Yahoo!’s program is intended to leverage its leadership in Hadoop, an open source distributed computing sub-project of the Apache Software Foundation, to enable researchers to modify and evaluate the systems software running on a 4,000 processor supercomputer provided by Yahoo!. Unlike other companies and traditional supercomputing centers, which focus on providing users with computers for running applications and for coursework, Yahoo!’s program focuses on pushing the boundaries of large-scale systems software research.

Currently, academic researchers lack the hardware and software infrastructure to support Internet-scale systems software research. To date, Yahoo! has been the primary contributor to Hadoop, an open source distributed file system and parallel execution environment that enables its users to process massive amounts of data.

As a key part of the program, Yahoo! intends to make Hadoop available in a supercomputing-class data center to the academic community for systems software research. Called the M45, Yahoo!’s supercomputing cluster, named after one of the best known open star clusters, has approximately 4,000 processors, three terabytes of memory, 1.5 petabytes of disks, and a peak performance of more than 27 trillion calculations per second (27 teraflops), placing it among the top 50 fastest supercomputers in the world.

Carnegie Mellon University will be the first institution to take advantage of Yahoo!’s M45. In the future, Yahoo! plans to make M45 available to researchers from other universities for open, collaborative research.

Privacy and Consumer Groups Recommend “Do Not Track List” and Other Policy Solutions to Offer Consumers More Control Over Online Behavioral Tracking.

Washington–Oct 31, ‘07– A group of nine privacy organizations asked the Federal Trade Commission today to provide needed consumer protections in the behavioral advertising sector. The groups have asked the FTC to implement a “Do Not Track List” intended to protect consumers from having their online activities unknowingly tracked, stored, and used by marketers and advertising networks.

The Do Not Track List, which would function much like the national “Do Not Call” list, is one of several consumer privacy protections the group asked the FTC to adopt as part of a broad effort to correct a privacy imbalance that has deprived Americans of the ability to control their own valuable personal information.

The groups offered the recommendations in a letter to the Commission in advance of its two-day town hall, “Ehavioral Advertising: Tracking, Targeting, and Technology,” slated to start November 1. The letter is online at http://www.cdt.org/privacy/20071031consumerprotectionsbehavioral.pdf and http://www.worldprivacyforum.org/permalink/ConsumerProtectionsOct2007.html.

The Do Not Track List would require advertising entities that place persistent tracking technologies on consumers’ computers to register with the FTC all domain names of the servers involved in such activities. Developers of browser applications would be encouraged to create plug-ins allowing users to download the Do Not Track list onto their computers. Having the list accessible via a browser application would allow users to prevent any site from tracking behavioral data.

The Do Not Track List would still allow companies to place ads. The list would merely allow consumers to block servers on the list from tracking their online activities. More at Center for Democracy & Technology.

 Oct 31, ‘07 – Yahoo! announced on Tuesday it is adding media-playing features, large file transfers, new languages and other tools to its instant messaging service, Yahoo! Messenger. The move comes as a growing number of rivals — from AOL to social network sites like MySpace — boost their positions in the market for instant messaging services.

Yahoo! Messenger 9.0 launched as a beta and has added features similar to ones seen on social networks or media-sharing sites, including extra room to post a picture or other image next to contact names and the ability to share video or photos within a message screen. The service is adding languages from six new markets, including the Philippines, Indonesia, Malaysia, Thailand, India and Vietnam, for a total of 25 international markets.

Yahoo! Messenger is one of the largest instant messaging service, with about 27.7 million users in September, up 19 percent from a year earlier, according to data from tracking firm comScore. AOL reported about 30.2 million users. Y! Messenger

TheRegister is reporting via TechCrunch, on Chinese internet providers China Netcom, China Telecom bowing to pressure from Chinese Government Authorities and hi-jacking Google, Microsoft and Yahoo’s search traffic to re-route / re-direct it to Baidu.

When TheRegister contacted Google, “the company confirmed that the Chinese are up to their old tricks. “We’ve had numerous reports that Google.cn and other search engines have been blocked in China and traffic redirected to other sites,” said a company spokesman. ” While Microsoft said “it was looking into the matter.”

More at TheRegister

SUNNYVALE, Calif. – October 16, 2007 - Yahoo! Inc. today reported results for the third quarter ended September 30, 2007. “Over the past three months, we conducted a thorough review of our business and the marketplace. We’ve made key strategic decisions to invest in and grow our large communities of users, advertisers, and publishers. We’ve also made progress in sharpening our focus and improving our execution,” said Jerry Yang, co-founder and chief executive officer, Yahoo! Inc. “Moving forward, we are focused on three big, multi-year objectives: to become the starting point for the most consumers on the Internet; to be the ‘must buy’ for the most advertisers; and to deliver open, industry-leading platforms that attract the most developers. We are executing against our transformation and are excited about playing a leadership role in the large and growing Internet market.”

Yahoo said its third-quarter net profit fell to $151 million, or 11 cents per share, from $158.5 million, or 11 cents per share, in the year-ago period when the company had significantly more shares outstanding. Gross revenue rose 12 percent to $1.77 billion. Excluding the cost of payments to advertising partners, revenue rose 14 percent to $1.28 billion.

Yahoo! Inc. Chief Executive Officer Jerry Yang pledged in July to craft a turnaround strategy in 100 days. Shareholders say they’re still waiting. Yang, 38, replaced Terry Semel as CEO of the owner of the most-visited U.S. Web site in June. Since then, Yang has named a new sales chief, announced four acquisitions, and upgraded Yahoo’s search engine with movies and photographs.

More at Yahoo! PressRoom (in pdf)