October 2009

Amazon Promises No More Kindle Deletions

This summer, Amazon caused an uproar by deleting copies of George Orwell books from users' Kindles due to a licensing problem. As if newspaper headlines about Amazon sending "1984" down the memory hole weren't bad enough, the company also had to deal with a potential class-action lawsuit as a result. But Amazon seems to have curbed public criticism and also resolved its legal problems. Soon after the deletions, CEO Jeff Bezos quelled much of the bad press by apologizing. He later promised to pay $30 to users whose books were deleted. And now, the company has agreed to resolve the class-action lawsuit by vowing that it won't delete content remotely again. At least not for the most part. The settlement agreement, quietly filed with the court last week, has some loopholes. Amazon can still erase material in response to court orders, if the company needs to do so to protect consumers (such as when it learns that downloaded material contains harmful code) and in a few other situations.

Federal IT contractors find domestic sourcing an alternative to offshoring

Federal information technology contractors should move jobs to rural areas of the United States where labor costs are low rather than outsource jobs overseas, some federal vendors said. George Schindler, president of CGI Federal, said IT companies that invest in rural areas, a practice known as domestic or rural sourcing, have access to new pools of talent and can deliver services at a significantly lower cost. Schindler was part of a panel discussing technology procurement issues that was sponsored by the lobbying group TechAmerica. Rural sourcing is an attractive alternative to outsourcing jobs to India or China because U.S. companies can avoid the problem of different languages and time zone issues while taking advantage of the lower cost of living as compared to large metropolitan areas, he said.

Texas Governor Blames Web Campaign Flop on Hackers

The kick-off for Texas Governor Rick Perry's 2010 re-election campaign was marred Tuesday by a Web site outage that staffers are now calling a denial-of-service attack. Perry had invited supporters to visit his campaign Web site at 11:30 a.m. Central time on Tuesday to attend a 10-minute online rally billed as "Talkin' Texas." Instead, site visitors were rebuffed with a computer error message. "Today's 'Talkin' Texas' Webcast by Gov. Perry was deliberately interrupted by a denial-of-service attack, preventing countless users from logging in to view the Governor's remarks," the Perry campaign said in a note posted to its Web site. "This planned and coordinated attack was political sabotage, and we are working to identify those responsible for this illegal activity." Before the site crashed, more than 22,000 visitors were able to access the event, the Perry campaign said. But according to local coverage of the incident, the outage did not entirely resemble a distributed denial-of-service attack, (DDoS) which renders the server extremely slow or inaccessible to most visitors. Instead, Austin's KXAN reported that the site displayed the message "Unable to connect to database server," generated by the Drupal content-management platform.

IT jobs may get left behind in recovery

Once IT spending begins again, companies in need of tech workers will likely turn first to consultants and outsourcing companies before they take on full-time staff. Whether this decision contributes to what's often called a "jobless recovery" will depend on where the work is going -- onshore or offshore. This view is gleaned from surveys and analysts trying to understand what's next for the tech job market. In the hunt for clues about the future, some of the best evidence about what's head may be with companies that are already doing well.

Time Warner Cable Leapfrogs DVR With Anytime Viewing

Time Warner Cable Inc., working to lure subscribers amid intensifying competition, plans to let digital-television customers watch shows whenever they want without paying more for a video recorder. The project, called Enhanced TV, has features that allow customers to watch hit shows without planning ahead, Chief Strategy Officer Peter Stern said. Subscribers can restart programs if they missed the beginning, watch shows up to three days after the air date, and eventually view programs older than three days. The new features also may persuade customers to keep watching cable instead of switching to the Internet for shows, Stern said. New York-based Time Warner Cable found 80 percent of people who watch on the Web do so to catch up on missed programs.

Citadel broadcasting founder dials back into radio

Former radio mogul Larry Wilson continues to ease back into the broadcast spectrum through his private equity-backed Alpha Broadcasting LLC. Alpha on Thursday completed the acquisition of three Portland (OR) radio stations from CBS for $40 million. The previously announced deal follows the May acquisition of two Portland stations from Paul Allen's investment firm Vulcan Inc. for $11 million. Wilson's re-entry to radio after eight years comes as the industry is battling 20% to 30% declines in revenue with few signs of near-term recovery.

Is Online Privacy a Generational Issue?

[Commentary] It seems like every time I talk to people about privacy, there's a feeling that younger users of online tools simply don't care about the issue. Often, I am asked why privacy advocates like CDT push government and industry to protect privacy more robustly- when "no one cares"? In short, people seem to be asserting that digital natives like myself do not value privacy online. While this point is oft repeated, I think that this argument is flawed, and does not address the subtleties of privacy in the cloud, social networks, and other new online technologies. Simply put, these technologies are giving digital natives (really, all users) greater control over their information - and we use it. Digital immigrants tend to think about privacy as the ability to conceal information from others. Digital natives instead share information within certain contexts, and with granular privacy controls on that information. And according to a new study on behavioral advertising, it is precisely the 18-24 year old age bracket that cares most about how information is used to make decisions about them to deliver news, advertisements, or discounts. In fact, one of the survey's authors told the New York Times that it's likely that young adults care more about their privacy and how companies use their information than expected.

UK court orders writ to be served via Twitter

Britain's High Court ordered its first injunction via Twitter on Thursday, saying the social website and micro-blogging service was the best way to reach an anonymous Tweeter who had been impersonating someone. Solicitors Griffin Law sought the injunction against the micro-blog page www.twitter.com/blaneysblarney arguing it was impersonating right-wing blogger Donal Blaney, the owner of Griffin Law. The legal first could have widespread implications for the blogosphere.

Online education expanding, awaits innovation

The online education sector grew 13 percent last year and had been growing at about 20 percent in previous years. Nearly one in four students take at least some college courses online, up from one in 10 in 2002. Two million students, most older than the traditional 18-22 year-old undergraduates, take all their courses online and two million more take one or more online course. President Barack Obama pledged $500 million for online courses and materials as part of a multi-pronged plan aimed at expanding access to college. Twenty-nine percent of U.S. adults have a college degree, fewer than in many other industrialized nations. Only about 40 percent of Americans who start college graduate. The price of higher education, which rises by an average of 8 percent a year, contributes to the high dropout rate. Proponents of online education cite a recent Department of Education study that concluded course work is better absorbed online than material presented in live classrooms.

Today's Quote 10.01.09

"Imagine if we had made the mistake of building ordinary roads when, in the 1950s, true progress required an interstate highway system. We are at a similar juncture, which is why the time calls for the high ambition of gigabit speeds."
-- Doug Adams, the Knight Center of Digital Excellence