July 2015

In the Future, We’ll All Use Our Phones to Identify Ourselves

[Commentary] By the end of 2016, 96 percent of individuals worldwide will be equipped with mobile technology, according to the OECD. Mobile identity -- the creation of a mechanism for accessing online services with a high level of security on mobile devices -- is on the march. The recent adoption of Near Field Communication by Apple, for Apple Pay and the Apple Watch, is a strong signal for public authorities and markets. Mobile identity will be the virtual umbilical cord continuously linking each individual to their public or social life. We should enthusiastically welcome the spread of mobile, the rapid convergence of manufacturers working on mobile security, the availability of robust secure technologies that have already tested in national mobile ID schemes and the spread of NFC as a contactless technology to access information and communicate with all the objects present in our day-to-day environment. If we can do that, citizens will be able to use their phones as an authentication and signature tool in an environment they can trust, opening the door to a rich array of e-government services – such as filing taxes, signing government documents or applying for a visa.

[Pattinson is the senior vice president of government sales at Austin-based Gemalto North America]

Hacking Team hacked: firm sold spying tools to repressive regimes, documents claim

The cybersecurity firm Hacking Team appears to have itself been the victim of a hack, with documents that purport to show it sold software to repressive regimes being posted to the company’s own Twitter feed. The Italy-based company offers security services to law enforcement and national security organisations. It offers legal offensive security services, using malware and vulnerabilities to gain access to target’s networks. According to the documents, 400GB of which have been published, Hacking Team has also been working with numerous repressive governments -- something it has previously explicitly denied doing. It has not been possible to independently verify the veracity of the documents.

The perpetrators of the apparent hack used the company’s own official Twitter feed (renamed to “Hacked Team”) to communicate. They continued to post to the feed for hours after, highlighting specific documents they claim come from the hack, such as e-mails, invoices, and even screenshots of Hacking Team employee’s computers, until the company regained control on July 6 and removed the posts. One such tweet, which has since been removed, purports to show Hacking Team negotiating with a third-party reseller to export its malware to Nigeria. If the sale took place, it may have bypassed Italian export controls. Another is claimed to show the company debating what to do after an independent investigation from the University of Toronto attacked it for selling hacking tools to Ethiopia, which then used it to target journalists in the US and elsewhere. The company has never publicly confirmed nor denied working with Ethopia, and in March 2015 a spokesman dismissed earlier reports as “based on some nicely presented suppositions”.

Sen Schumer aims to crackdown on robocalls

Sen Charles Schumer (D-NY) wants violators of a ban on robocalls to face stiffer penalties, including potential jail time. Sen Schumer has rolled out legislation that would subject telemarketing companies or individuals that use robocalls without getting prior written consent with up to a $20,000 fine per violation, up to 10 years in jail or both. Currently, telemarketers who violate the national Do Not Call list face a potential fine of $1,500 per call.

Sen Schumer's bill, known as the Quell Unnecessary, Intentional, and Encroaching Telephone Calls -- or QUIET -- Act, would offer a few loopholes, including not requiring consent for emergency calls or those made on behalf of non-profits. Sen Schumer's legislation follows lawmakers piling on criticism of robocalls during a congressional hearing in June. Sen Claire McCaskill (D-MO) has also introduced legislation that would allow the federal government to increase fines against robocallers.

Next Century Cities Grows to 100 Communities Nationwide Leading on Next-Generation Broadband Internet

Next Century Cities, a city-to-city collaborative of mayors who recognize the critical need for fast, affordable, and reliable Internet, has grown to 100 communities across the country since launching in October 2014. Boise (ID) was announced as the 100th city to join Next Century Cities, a bipartisan, nationwide effort that also includes inaugural members such as Boston (MA), Kansas City (MO), and Chattanooga (TN), and more recent additions such as Charlotte (NC).

“Since launching Next Century Cities in October, we’ve seen incredible demand from cities looking to lead the conversation about the crucial role next-generation Internet plays in helping communities thrive,” said Deb Socia, Executive Director of Next Century Cities. “The 100 city leaders who are part of Next Century Cities know that gigabit level Internet is critical infrastructure for their residents and are pushing to become more economically competitive now and in the future through better access to high-speed, low-cost solutions for all.”

IDC Cloud Spending Forecast: 26 Percent Growth in 2015

Spending on cloud IT infrastructure will grow 26.4 percent to reach $33.4 billion in 2015, according to the latest from the IDC Worldwide Quarterly Cloud IT Infrastructure Tracker. IDC’s forecast encompasses spending on private and public cloud IT servers, storage and Ethernet switches. Public cloud IT infrastructure spending will total $21.7 billion in 2015, a 32.2 percent year-over-year (YoY) increase, IDC highlights in a press release.

Private cloud IT infrastructure spending will rise 16.8 percent YoY to total $11.7 billion. In contrast, IDC expects 2015 spending on IT infrastructure outside that for cloud IT will remain flat. IDC anticipates overall 2015 cloud IT infrastructure spending will post YoY increases across all world regions and technologies. Spending on public IT cloud infrastructure will exceed that for private cloud IT infrastructure as cloud service providers continue to expand their data centers and service offerings, IDC says.

Newest hotel perk: Portable Wi-Fi (and it's free!)

Here's an amenity you won't find at many hotels: Wi-Fi to go. All 19 Room Mate hotels in Europe and the Americas -- including three in the USA -- will begin offering complimentary portable Wi-Fi. The "WiMate Total Wi-Fi" program will mean that guests will be able to get Internet access anywhere at their destination without having to pay data or roaming charges. Guests can request a mini router when they make a reservation through the Room Mate website or at the front desk upon arrival. Up to five devices including mobile phones, tablets and laptops can be powered by the router.

Guests will get 100 MB of high-speed Internet. Hotels typically charge for Wi-Fi. Even if they offer it for free, they often have a fee for high-speed Internet. Offering portable Wi-Fi is an unusual amenity. "Posting on social media, referencing mobile maps and sharing travel moments with family and friends has become a huge part of the travel experience," says Room Mate CEO and founder Enrique Sarasola. "We're proud to be the first hotel group to offer free W-iFi in not just our hotels, but throughout entire cities, so our guests can better enjoy their trips."

Google debuts carpooling service in Israel

Google has launched a pilot carpooling service in Israel. It marks the company’s entry into an on-demand transportation market dominated by Uber and a burgeoning regulatory maze. Users in Tel Aviv will now be able to open an app called RideWith and connect with a driver who uses Waze, the navigation app Google bought in 2013. The passenger will enter their home and work addresses, as well as the time they intend to leave. The apps will then match a passenger with a commuter who can pick them up along their normal route. The service, which will be available in two other cities besides Tel Aviv, is Google’s first foray into ride sharing.

Comcast Ventures Backs Connected Car Startup

Comcast Ventures, the venture capital arm of Comcast, was one of the companies that participated in a $24 million “B” round in Automatic Labs, a startup that has developed a connected car platform. Comcast Ventures did not specify its investment. Automatic Labs, which has raised about $32 million so far, said the B round also included participation from an investment subsidiary of USAA (a top insurance and financial services provider for military families), CDK Global, along with existing investors Y Combinator, RPM Ventures, Anthemis Group, Amicus Capital, as well as several angel investors.

San Francisco-based Automatic Labs pairs an app with an in-car device that can help drivers diagnose engine trouble, detect accidents and send emergency responses. According to the company, its adapter plugs into the standard diagnostics port hidden under the dash in most cars since 1996. When paired with that device, Automatic Labs’ app displays useful information about the user’s car and driving habits.

Analyst Tries To Make Sense of Tepid Upfront

The upfront market can be confusing, full of off-the-record commentary, some of which is designed to strengthen a buyer’s or seller’s hand as negotiations continue. Some Wall Street analysts put very little stock in trying to generate hard numbers about the upfront, figuring that the quarterly ad sales numbers reported by the media companies is what really counts in the end.

In a new report, Vijay Jayant of Evercore ISI tries to put numbers to the upfront, which is probably more than halfway finished. He figures that when all is said and done, broadcast volume will be down 3 percent to $8.6 billion with a price increase on a CPM (cost per thousand viewers) basis of 1.9 percent, down from 2014’s 4.5 percent price hike. He expects the broadcasters to sell 69 percent of their inventory upfront, compared to 73 percent a year ago. For cable, he sees volume down 2.4 percent to $10.4 billion, with CPM increases of 2.9 percent compared to 5.1 percent in 2014. He sees cable networks selling 49 percent of their inventory, down from 51 percent a year ago.

Global Deal Values Rise 11.6 Percent in First Half

Global M&A values rose 11.6 percent in the first half of the year to $1.7 trillion from $1.5 trillion in 2014, according to research firm Mergermarket, their highest levels since 2007. Large deals -- those valued over $10 billion each -- were also on the rise, with 28 such transactions in the in the first six months of 2015, up from 16 mega-deals in the first half of 2014. Deal values rose 87.2 percent in the more recent period to $678.1 billion, compared to the same period in 2014, said Mergermarket.

The US again led the pack, with a total deal value of $721.5 billion, up 20.7 percent from 2014 and the highest level since 2007. Leading US deals was Charter Communications pending $78.7 billion purchase of Time Warner Cable, followed by HJ Heinz’ $54.5 5 billion buy of Kraft Foods. In the U.S., deal values in the technology sector rose 11.7 percent to $198.3 billion, while telecom deal values increased 10.3 percent to $176.1 billion.