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Apple and Google Unite for $500 Million Bid on Kodak Patents

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December 10, 2012
  • Apple and Google have teamed to offer more than $500 million to purchase Eastman Kodak’s patents out of bankruptcy, according to people familiar with the matter.
  • “The two companies, competing for dominance of the smartphone market, have partnered after leading two separate groups this summer to buy some of Kodak’s 1,100 imaging patents, said the people, who asked not to be identified because the process is private,” reports Bloomberg.
  • Unlikely partnerships are not uncommon when they involve patent sales, since companies hope to avoid potential infringement litigation. Last year, a group including Apple, Microsoft and RIM acquired more than 6,000 Nortel patents for $4.5 billion.
  • “Apple and Google learned a lesson from the Nortel auction,” suggests Richard Ehrlickman, president of IP Offerings, a patent brokerage and consulting firm. “They have decided to come together in this process to reduce the cost of purchasing the Kodak patents, while meeting their business needs.”
  • The patents relate to capturing, manipulating and sharing digital images. “Kodak obtained commitments for $830 million exit financing last month, contingent on its sale of the digital-imaging patents for at least $500 million,” notes the article.
  • Kodak stated in court documents that the patents may be worth $2.21 billion to $2.57 billion. The company noted it has generated in excess of $3 billion in revenue by licensing digital-imaging patents to companies including Samsung, LG, Motorola and Nokia.

Social Bandwidth: Karma Launches its Mobile Virtual Network

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December 10, 2012
  • Karma, which originally launched in Amsterdam before relocating to New York City, is hoping consumers will engage in a unique social experiment involving a mobile virtual network operator (MVNO).
  • “This new data-only MVNO wants you to open your mobile broadband connection to all comers, turning your private 4G wireless modem into a public hotspot anyone can log onto,” reports GigaOM. “It sounds crazy, but there are rewards for your altruism: The more data you share, the more you receive.”
  • Karma began accepting orders last week for its $79 WiMAX hotspot, which taps into Clearwire’s 4G network in 70 cities.
  • “For that price you get free shipping and 1 GB of data that doesn’t expire. You can buy more bandwidth for $14 a gig, but if all goes according to Karma’s plans, it might be a while before you have to,” notes the article.
  • Users are initially offered 100 MB of free data when they connect to an owner’s hotspot. Karma customers could potentially accumulate nearly unlimited free data by leaving the hotspot activated in public areas.
  • Guests can use the 100 MB in one sitting or over multiple sessions. “Karma tracks data use by tying you back to a Facebook account,” notes the article. “Once that 100 MB is used up, though, it’s gone. You can either sign up as a Karma customer or bid the service farewell.”
  • FreedomPop, Fon and Open Garden are among others experimenting with social bandwidth and collective networking.
  • “But Karma sees social bandwidth as more than just a marketing tool. Rather, it’s a more efficient way to deliver mobile data,” explains GigaOM. “What’s really revolutionary about Karma is how it’s decoupling the service from the device. It’s possible to be a paying Karma customer without ever owning a hotspot — you just latch onto whatever Karma Wi-Fi signal happens to available at any location.”

Controlling Mobile: Custom Version of Android Restricts Data Access

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December 10, 2012
  • New software for Android built by Boston startup Optio Labs will control what data you can access on your phone based on where you are, who you’re with, and more.
  • “You can dream up just about any rule — it can be your GPS location, or an indoor location detection: when you are in this specific room you can use these apps and connect to this data, but the moment you walk out we will delete the data, shut down the apps, prevent you from getting access to them,” says Jules White, Virginia Tech computer scientist and Optio co-founder.
  • “The technology’s most unusual trick is its room-specific security and access settings: the phone would only show you sensitive company data — or conversely, block things like e-mail, camera, or texting functions — when in range of a Bluetooth beacon sending a cryptographic tether,” reports Technology Review.
  • “Your location in the room (as opposed to a hallway) could be further confirmed through a signal sent via a near-field-communications device — perhaps the one in your boss’s phone, which you’d have to bump to get initial access, depending on the settings.”
  • Other businesses, including IBM and AT&T, have explored ways to increase security on company phones by restricting data access based on location or by offering remote data wiping.
  • “[Optio Labs’] technology could prevent data from falling into the wrong hands if a device were lost or stolen. It might also help enforce proper-use policies,” the post explains.
  • “Blending physical context (such as location) with the context of computing (what network you’re on, what data you’re looking at) is new, says Doug Schmidt, a computer scientist at Vanderbilt University who was a PhD advisor to White but has no financial tie to the company or technology. ‘This approach can enforce policies in specific situations where they make sense — rather than all the time.'”

Report Describes How Mobile is Leading to Multi-Screen Living Room

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December 10, 2012
  • A new report from Business Insider Intelligence looks at how mobile devices are expanding into the living room; it also notes the opportunities for new forms of advertising and applications.
  • The report discusses the battle for the living room in four categories. First, BII analyzes substitution, finding that mobile video is most often complementary to TV viewing. “Mobile video is additive, creating more opportunities for watching video — whether it’s watching a sitcom on your smartphone during a train commute, or viewing a Netflix movie at home in bed,” notes the article.
  • The report also discusses sources, or the ability to relay high-quality video wirelessly, Business Insider explains. “Wireless TV connections are becoming increasingly common, and with them, the ability to bring smartphones and tablets more easily into the mix.”
  • Next, the study covers selection, noting many attractive apps with intuitive touch-screen interfaces are already being developed for TV.
  • “When hand-held mini-tablets and smartphones are able to send signals to audiovisual equipment and home theaters, consumers gain more flexibility with a remote control based on a smartphone or tablet,” the article states.
  • Finally, the report looks at synchronization, finding that 85 percent of U.S. tablet owners use the devices while watching TV. “In order to leverage the second screen as a companion to what’s happening on the TV, media companies must successfully migrate consumers from self-initiated use of the second screen to a programmed experience,” BI writes.

Annual Internet Trends Report Details Rapid Adoption of Mobile

By
December 10, 2012
  • Mary Meeker of Kleiner Perkins has released her annual “Internet Trends Year-End Report,” in which she concludes that mobile penetration remains on an upswing, driven by interest among children and adults.
  • Meeker reports that 43 percent of children 6-10 want an iPad for Christmas and 36 percent want an iPad Mini.
  • Her report also notes that mobile devices now drive 13 percent of Web traffic, which is a 10 percent increase from her mid-year report, reports TechCrunch. Shoppers also have flocked to mobile, with 24 percent of online shopping occurring on tablets and smartphones.
  • Windows has seen its market share drop because of mobile, as it now only controls 35 percent of the market while iOS and Android combine for 45 percent.
  • Meeker explained that while iPods and iPhones both revolutionized their respective markets, the iPad has grown even faster. “And yet, Android has managed to grow six times faster than the iPhone — up from 4x at her mid-year talk,” writes TechCrunch.
  • Additionally, the report indicates mobile monetization and revenue are growing at 129 percent CAGR and Meeker anticipates a significant upside in the U.S. “for both Web and mobile advertising — to the tune of $20 billion.”

ISP Search-and-Disrupt: Copyright Alert System to Launch in January

By
December 10, 2012
  • Internet service providers will roll out a new “Copyright Alert System” in January to “disrupt and possibly terminate Internet access for online copyright scofflaws without the involvement of cops or courts,” reports Wired.
  • Backed by President Obama and pushed by Hollywood and record labels, the initiative was originally intended to start by the end of this year, but was delayed by Hurricane Sandy.
  • “Software makers sided with the film industry on the scope of the piracy problem, and, befitting their geekier nature, had actual hard data to back their gloomy conclusions,” the post states.
  • “Richard Atkinson, head of Adobe’s piracy unit, said the company charts 6,000 activations a day of 7-year-old pirated versions of Photoshop, and that there were 55 million ‘illegal activations’ in the past year alone of all pirated versions of the photo-editing software.”
  • Despite the initiative, Hollywood will continue to lobby Congress and file lawsuits.
  • “It doesn’t mean you give up on litigation,” says Chris Dodd, head of the Motion Picture Association of America. “It doesn’t mean you give up on legislation.”
  • “I think this is a critical issue of our time,” Dodd added.

MPAA Chief: Hollywood and Silicon Valley Can Fight Piracy Together

By
December 10, 2012

MPAA Chairman and CEO Chris Dodd is calling for Hollywood and Silicon Valley to join together against piracy. Dodd spoke at the Content Protection Summit in Los Angeles and criticized the idea that piracy debate is just a two-sided choice between free speech or copyright protection.

“Hollywood and Silicon Valley have more in common than most people realize or are willing to acknowledge,” he said. “Not only does Hollywood work closely with Silicon Valley to create and promote films; Hollywood film and television creators are tech companies.”

“They celebrate innovation through the world’s most cutting-edge content, and they embrace technology as imperative to the success of the creators in their community,” he added.

With the Protect IP Act and Stop Online Piracy Act, Hollywood and Silicon Valley were pitted against each other, but Dodd emphasized the need “to present a united front to deal with preventing theft of intellectual property,” Variety reports. He did not, however, advocate for any new legislation.

“We can have it both ways,” he said. “We can have an Internet that works for everyone. And in order to continue providing the world’s greatest content, we must protect the rights of our creators so they can produce for their audiences and also profit from their work.”

House Approves Senate Resolution to Keep Internet Free of UN Control

By
December 7, 2012
  • The U.S. House of Representatives unanimously passed a Senate resolution introduced by Senators Claire McCaskill (D-Missouri) and Marco Rubio (R-Florida) asking the U.S. government to oppose United Nations Internet control.
  • The legislation was introduced in anticipation of the UN conference on telecommunications, where some speculate an updated international telecom treaty could allow for United Nations control of the Internet.
  • The 397-0 vote shows the overwhelming bipartisan support against such legislation.
  • “I think that we are all very, very proud that there is not only bipartisan, but bicameral support underlying this resolution, and there is complete support across the Executive Branch of our government,” said Representative Anna Eshoo (D-California). “In other words, the United States of America is totally unified on this issue of an open structure, a multi-stakeholder approach that has guided the Internet over the last two decades.”
  • “The 193 member countries of the United Nations are gathered to consider whether to apply to the Internet a regulatory regime that the International Telecommunications Union created in the 1980s for old-fashioned telephone service,” added Representative Greg Walden (R-Oregon).

Scout: Adobe Announces New Cloud-Based Tools for Game Developers

By
December 7, 2012
  • Adobe’s Creative Cloud subscription service will now offer Adobe Scout, a cloud-based set of tools for game developers, reports VentureBeat.
  • “The tools enable developers to access a centrally located suite of tools for making their titles,” explains the post. “The aim is to streamline the game-development process from creation to final deployment.”
  • Adobe Scout helps games run faster because it “uncovers granular internal information in ActionScript-based mobile and browser content to unlock significant performance optimization opportunities,” according to Adobe.
  • The Creative Cloud service also includes Adobe Flash C++ Compiler, the Adobe Gaming SDK, and trial versions of Flash Professional CS6 and Flash Builder 4.7 Premium.
  • The Flash C++ Compiler takes code from PC, Xbox, PlayStation 3, and iOS game engines and converts them so they are compatible on all browsers using the Adobe Flash player.
  • Adobe hopes to convince more developers to use Flash, and argues that “using Flash makes developers more productive when it comes to cross-platform experiences,” notes VentureBeat.
  • The post includes two videos detailing Adobe Scout and the Adobe Gaming SDK.

Real Money Gaming Market: Zynga Looks to Nevada for Gambling License

By
December 7, 2012
  • The world’s leading provider of social game services has begun the process of pursuing a gambling license in Nevada, offering hope for the recently struggling company, writes Wired.
  • Zynga hopes a ruling by the Justice Department last year will help the company obtain the license, as the ruling allows states to legalize online gambling within state borders.
  • “This filing continues our strategic effort to enter regulated R[eal] M[oney] G[aming] markets in a prudent way,” wrote Zynga chief revenue officer Barry Cottle. “We anticipate that the process will take approximately 12 to 18 months to complete. As we’ve said previously, the broader U.S. market is an opportunity that’s further out on the horizon based on legislative developments, but we are preparing for a regulated market.”
  • “Zynga announced a partnership earlier this year to offer gambling in the United Kingdom,” notes the article. “At the time, the social games company indicated the move was part of a broader ambition to offer more gambling globally.”
  • Wired cautions that even if Zynga obtains a gambling license in Nevada, investors should temper expectations. The company is still losing customers rapidly, and would need to apply for other licenses if it wishes to expand to other states.
  • Zynga is struggling in its traditionally successful Facebook market, where its revenues declined 20 percent last quarter, while other game makers saw revenues increase 40 percent.

Facebook Reportedly in Talks to Acquire Microsoft Atlas Ad Platform

By
December 7, 2012
  • Microsoft’s ad-serving platform Atlas Solutions has been discreetly on the market for a while, but it recently captured interest from Facebook, according to people familiar with the matter.
  • “Sources said the social networking giant has been conducting due diligence on the media measurement platform, part of its efforts to create its own advertising network for third-party Web sites to compete with Google’s DoubleClick offering,” AllThingsD writes.
  • “Facebook and Microsoft are working on a deal that, if completed, would put Facebook one huge step closer to launching an ad network that could rival Google’s in size, and change the way advertising is done online forever,” adds Business Insider in a related report that details the massive potential of such a deal.
  • Microsoft bought the platform for $6 billion in 2007 and will be selling it for significantly less, the sources say. Facebook has been debating buying versus building its own platform. If the two companies reach an agreement, it could involve a more complex advertising network that leverages the billion email addresses, home addresses and phone numbers Facebook has on file.
  • “While there are some technological issues in taking over Atlas, sources said the prospect of starting from scratch was more daunting than picking up a platform that already delivers billions of ad impressions a day,” explains AllThingsD.

Microsoft Unveils Socl Network with Focus on Images, Video and Captions

By
December 7, 2012
  • Microsoft released its new social network called Socl on Tuesday, but VentureBeat suggests the site has “no clear purpose.”
  • Microsoft’s Fuse Labs research team originally designed the site to appeal to those with educational interests (i.e. design students), but then redesigned the site with a larger focus on helping people connect through shared interests.
  • “Socl helps people find and share interesting Web pages by extending the search metaphor, create rich posts by assembling montages of visual Web content and provides rich media sharing and real time sharing of videos,” said a Microsoft spokesperson. “We encourage users to reimagine how everyday communication and learning tools can be improved by researching, learning, and sharing in their everyday lives.”
  • Socl in some ways emulates Pinterest’s concept of collecting pictures around a common interest or topic, but Socl “both simplifies and complicates” the process by bringing search into the equation, writes VentureBeat. Linking the interest to search helps users find pictures, but often users end up with “collages that look a lot like search results pages.”
  • Socl also allows users to participate in online video viewing parties, but the feature amounts to little more than “a semi unique foil for Google+ Hangouts,” according to the post.
  • “The overall aesthetic is quite appealing, but Socl strikes me as more novel than useful,” concludes the reviewer. “People do, as history instructs us, seem to get a kick out of novelty on the Web.”

Spotify Overhaul to Debut Music Discovery, Collection and Follow Features

By
December 7, 2012
  • Spotify has announced a complete overhaul of its music service, which includes a Collection for users’ music, a Discover feature for finding new music and a Follow section for tracking celebrities. The update will be available in beta soon and then roll out to all devices early next year.
  • “The new features are not only meant to please users, but also to increase discovery as a whole on the platform, which could help artists gain traction,” writes The Verge.
  • “The recommendation engine works based on music you’ve listened to in the past, as well as based on artists you follow. There also appears to be a recommendation engine for showing you artists that are touring near you,” the post explains.
  • Spotify’s Collection feature gets rid of the plethora of playlists in the sidebar and brings all users’ music to one place.
  • “A fundamental behavior on Spotify is that people listen to whole albums,” says CEO and founder Daniel Ek. “A third of all playlists on Spotify are just albums people have saved. It was clear people want to listen to albums and wanted an easy way to save them, so for us [Collection view] is just about making it easier for users to save music the way they wanted.”
  • The third addition, Follow, enables users to follow friends and celebrities. “In order to keep fans on the right track, Spotify, like Twitter, displays Verified checkmarks on their profile pages,” The Verge writes. “Additionally, new push notifications can alert you as soon as albums drop inside Spotify by your favorite artists.”
  • At an event in New York City, Ek also announced that the service has 20 million monthly users and 5 million paid users, twice as many as a year ago. “We’ve paid out over half a billion dollars to musicians… over 70 percent of the money we make,” he added.

Study Indicates Mobile App Usage Challenging Time with TV and Web

By
December 7, 2012
  • The use of mobile apps is quickly catching up with television, and has already surpassed time spent on the Web.
  • A new study conducted by mobile analytics company Flurry tracked a trillion “events” within apps — finishing a game level or making restaurant reservations, for example — and found the numbers have grown exponentially in the last two years, Business Insider reports.
  • “In the U.S., time spent on the Web has stagnated at 70 minutes per day. Television watching has grown slightly, from 162 minutes to 168 minutes,” the article states. “But app usage has almost doubled from 66 minutes to 127 minutes a day. At current growth rates, it should catch up with television within a year.”
  • “And since we’re not getting more hours in the day, it’s pretty clear that the increased usage of apps must be happening simultaneously with other activities — like, yes, watching television,” the article continues.
  • The increased mobile use isn’t inherently bad for television producers. The “second screen” phenomenon could actually change the way shows are produced and consumed.
  • “We believe that, with the introduction of connected TVs, TV shows will behave like apps,” Flurry CEO Simon Khalaf states in the report.

Google Puts Emphasis on Original Channels with YouTube Redesign

By
December 7, 2012
  • YouTube has redesigned its site with a new focus on subscriptions, original content and individual channels.
  • The site now resembles the “white and grey color scheme and sparse layout found in apps like Google+ and Google Now,” writes The Verge. Google encourages subscriptions and says it is “just like adding your favorite shows to your DVR,” underscoring the shift towards a more personalized YouTube experience.
  • “YouTube is even better when you subscribe,” suggests the video site on a page titled YouTube Is Getting Better. “Now when you subscribe to your favorite channels, we will add them to your Guide and make them available on every page of the site, and on your mobile device, tablet, and TV.”
  • The actual viewing experience is also a bit different, as the video plays closer to the top of the screen and playlists have been moved to the right of the screen to make it easier to find videos on the same channel rather than just related videos.
  • “This is no ordinary channel guide,” the site explains. “The YouTube Guide puts the channels you love at the top of the list and always shows you how many new videos are waiting for you.”
  • “With YouTube investing heavily in its own original channels, it only makes sense that it would try to make that content as easy as possible to access and navigate through, and the new design is a big step in that direction,” writes The Verge.

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