Apple’s iTunes Match went live to developers for testing this week and music “streaming” from the cloud is reportedly already up and running.
If the hype is accurate, the TechCrunch article header from Dennis Kuba’s story submission may prove telling: “With iTunes In The Cloud, Apple Under-Promises And Over-Delivers.”
Apple enthusiasts are excited to see what shakes out this fall with iOS 5 and iCloud. Yesterday, TechCrunch reported: “Tonight brought perhaps the biggest surprise revelation yet: iTunes in the Cloud will support streaming as well as downloading of music.”
There is also speculation that this announcement may lead to a possible “cloud iPhone.” Rumors are making the rounds that Apple might unveil a low-cost iPhone 4 (with minimal on-board storage) alongside its new iPhone 5 release. If iTunes has streaming functionality, the low-cost version of the iPhone could rely on the cloud for content.
Be sure to check out the iTunes Match videos included in the post.
TechCrunch recently added an update: “There’s some debate going on right now about whether or not this is technically streaming. Even Apple is avoiding the term, as Peter Kafka points out. There are two reasons for this — reasons Google follows as well with their service.”
Facebook has already paid out $40,000 to hackers for identifying flaws in its website, just three weeks after the social networker launched its “Bug Bounty” program that offers compensation for finding vulnerabilities in the site’s code.
“Schemes such as Facebook’s illustrate the push towards greater disclosure of security weaknesses and hacking incidents, as the technology industry strives to pool its resources to protect itself better,” reports The Financial Times. “The approach has won praise from digital advocacy groups such as the Electronic Frontier Foundation.”
“The program has also been great because it has made our site more secure — by surfacing issues large and small, introducing us to novel attack vectors, and helping us improve lots of corners in our code,” explained Joe Sullivan, Facebook’s chief security officer.
Facebook joins others such as Google, Mozilla and HP that have programs in place to offer payments to outsiders who identify vulnerabilities.
Sony Ericsson is adding Google Talk and video features this fall to its Xperia smartphone line.
The features will be available courtesy of an upgrade to the Android 2.3.4 Gingerbread platform.
The phone maker is also adding 3D camera features and increased social networking capabilities such as making Facebook access easier and quicker.
According to eWeek, key features include: “The ability to let users turn their Xperia smartphone into a mini PC by connecting mouse, keyboard or game controllers via USB to the Sony Ericsson LiveDock multimedia station, or to a TV via HDMI; Swipe text input (a competing technology to Swype on Android handsets); and screen capture from anywhere in the phone, a valuable tool for Web publishers.”
Expect the Xperia line to be available by October, possibly before the iPhone 5 fall launch.
Amazon’s tablet PC is widely expected to be ready for release this fall and, according to Forrester Research, will “completely disrupt the status quo.”
Forrester analysts predict the tablet will provide competition for Apple’s iPad and could sell as many as 5 million units in the fourth quarter of 2011.
The report suggests Amazon’s success will depend on pricing the device below $300 (paidContent points out that Amazon has yet to officially confirm it will even release a tablet).
Forrester believes an Amazon tablet will prove popular based on the company’s “willingness to sell hardware at a loss combined with the strength of its brand, content, cloud infrastructure, and commerce assets.”
If successful, an Amazon tablet could significantly boost the competitive profile of Google’s Android operating system.
Can Research In Motion turn around waning sales of its BlackBerry smartphones by adding the ability to run Android apps?
Rumors suggest that the next generation of BlackBerry phones, to be released during the first half of next year, could be designed to run Android apps.
Bloomberg cites “three people familiar with the plan” who suggest RIM is building smartphones now that will use its new QNX software. Phones with the new software will be able to run Android apps, the sources claim.
“It has to be said, [BlackBerry] App World looks a bit sorry for itself when compared to Google’s Android Market,” reports Digital Trends. “App World currently has around 40,000 apps available for download. If next year’s phones are able to run Android apps, that’ll open up owners of the new BlackBerry devices to a further quarter of a million. If BlackBerry can create some unique, feature-rich phones in the coming months, that may well cause consumers to pay RIM’s devices some serious attention.”
In a case that indicates the U.S. government will hold websites liable for any illegal advertisements shown on their pages, Google settled its case over illegal online pharmacy ads by paying a $500 million fine.
The investigation (first revealed in May) led to this week’s settlement that has reportedly decreased Google’s quarterly profits by 22 percent.
“The Department of Justice will continue to hold accountable companies who in their bid for profits violate federal law and put at risk the health and safety of American consumers,” said Deputy Attorney General James M. Cole. “This settlement ensures that Google will reform its improper advertising practices with regard to these pharmacies while paying one of the largest financial forfeiture penalties in history.”
“Obviously, such a decision has far-reaching consequences beyond those of just the illegal pharmacies, as Google faces threats from a number of illegal and malicious entities who want to leverage its search engine to expose unsuspecting users to their ads,” reports TechCrunch. “Traditionally, Google itself has filed lawsuits against advertisers it suspected of breaking its rules, but this has clearly not been enough of a deterrent.”
A federal judge has ruled that online music services that host tracks in the cloud are not liable if that music has been acquired illegally by customers. ETCentric reported earlier this week that this may seem like a hollow victory for the record labels. However, a green light for online music locker services also provides some legal certainty for the likes of Apple, Google and Amazon.
“The judgement, by U.S. District Judge William Pauley, came in a case involving EMI and fourteen other record companies and music publishers, who had sued the service MP3tunes,” reports MacUser. “Judge Pauley explained that MP3tunes and its chief executive, Michael Robertson, had not breached the Digital Millennium Copyright Act (DMCA) in allowing downloads.”
“This is a huge victory. Users can still download songs from publicly available websites, and store them without a separate license fee, so long as MP3tunes complies with takedown notices,” says Greg Gulia, representing MP3tunes and Robertson.
This ruling should also come as good news to those companies investing in cloud-based music services. For example, Apple’s iTunes Match is due in the U.S. later this year. According to MacUser: “It will scan users’ iTunes libraries and allow them to access versions of tracks in their library, but not purchased from iTunes, online in iCloud. Tracks purchased in iTunes are automatically available to computers and mobile devices associated with an iTunes account. If no match is found, users will be able to upload the track themselves.”
While a judge has ruled against MP3tunes and founder, Michael Robertson, for copyright infringement, the details of the ruling may provide online music locker businesses like those from Google and Amazon with a better legal foundation.
A key finding is that users, not MP3tunes, had the ability to determine which files were placed in their lockers.
Also, it was determined that DMCA does not require one to investigate potentially infringing activity without a specific complaint from copyright holders.
“The news is even better for Google and Amazon,” according to Ars Technica. “Those companies’ music locker services do not even offer the broad sideloading functionality that has caused Robertson legal headaches. So if Judge Pauley’s reasoning survives appeal, Google and Amazon will be on solid legal ground. Indeed, those companies may even want to start thinking about whether they’ve been too cautious. For example, they might save a lot of money by taking advantage of the deduplication part of the ruling.”
Google’s third-generation Nexus Prime smartphone will reportedly arrive in October running the Android 4.0 “Ice Cream Sandwich” OS (in time to compete with Apple’s rumored iPhone 5 release).
The device is expected to feature a 720p Super AMOLED HD display, a 4G LTE radio and front/rear-facing cameras, powered by a 1.5GHz processor.
The display will reportedly include a 4.5-inch panel with a PenTile layout.
According to Digital Trends: “Ice Cream Sandwich (ICS) is said to be not just a simple update from the current version of Android. Instead, ICS is intended to be a multi-device OS, which created a unified user experience across Android tablets, phones and Google TV. This could help solve some of the fragmentation problems that Google has with Android, and is one of the primary weak points in its battle with Apple’s seamless iOS.”
Based on Q2 statistics, Android has extended its dominance as the most popular smartphone operating system in the U.S., while Apple’s iOS also continues to gain traction.
According to NPD, 52 percent of smartphones shipped in the U.S. during the second quarter were running Android (up 19 percent from the previous year). Apple’s iOS earned a 29 percent share, up seven percent from Q2 2010.
NPD reports that these figures may have an impact on the potential revitalization of Motorola. “Google’s acquisition of Motorola shifts the balance of power in the handset-patent conflict between Google and its operating system competitors,” said Ross Rubin, executive director of industry analysis for NPD. “Android’s momentum has made for a large pie that is attractive to Motorola’s Android rivals, even if they must compete with their operating system developer.”
Market gains for Android and iOS have negatively impacted the competition. Market share for Research In Motion’s BlackBerry OS dropped significantly from 28 percent in the second quarter of 2010 to 11 percent this year. Microsoft’s Windows Mobile also suffered, falling from 10 percent in Q2 2010 to four percent in Q2 2011.
Prepaid smartphone numbers are on the rise, which may also impact Motorola (8 percent of prepaid phones were smartphones in Q2 2010, a figure that jumped to 22 percent this year). “Android is also leading the charge in the rapidly growing prepaid smartphone market,” Rubin said. “This was once a key segment for Motorola that the company has an opportunity to reclaim as prepaid carriers build their smartphone portfolios.”
Skype, which is in the process of being acquired by Microsoft, is purchasing GroupMe, a year-old startup with 20 employees known for its popular cross-platform messaging system that works between smartphones.
Skype will reportedly pay $85 million for the company, which GigaOM suggests raises the question: “Why is Skype spending so much money on a relatively small company with a relatively small user base when compared to Skype?”
While Skype is a partner with Facebook, it has to be concerned that competition in voice and video communication is becoming intense with Facebook Messenger, Google Huddle and Apple iMessage. (GroupMe adds group messaging.)
Skype will still need to decide if it is a product for consumers or a collaboration tool for corporations.
ETCentric staffer Dennis Kuba raises another interesting question: “Is voice and video communications becoming commoditized?”
Tech companies are spending from $400K -$750K per patent. This is money companies are not spending on innovation or jobs.
Writing for InfoWorld, Bill Snyder makes the analogy to problems with the high costs of healthcare due to money spent defending against medical malpractice. He points out that while the “patent arms race goes nuclear,” not only will new tech jobs not be created, but existing jobs will be lost.
“Think what Google could do with $6 billion, writes Snyder. “Think of the research that would spawn new products, advance innovation, and create who knows how many thousands of good jobs up and down the technology food chain. Instead, that money is going to buy patents.”
Snyder indicates more patent buyouts are on the way. “Everyone knows what an arms race is. One side builds a new weapon, and the other side has to match it. Then the first side builds an even more powerful weapon, prompting the other guy to build more and so on. Remember how well that worked out for the Soviet Union?”
“In an upbeat and highly insightful essay on technology and innovation, pioneer Marc Andreessen outlines the ‘dramatic and broad technological shift in which software companies are poised to take over large swathes of the economy…'” comments ETCentric staffer Bob Lambert with this submission.
Andreessen notes HP’s announcement that it is “exploring jettisoning its struggling PC business in favor of investing more heavily in software” and Google’s plans to “buy up the cellphone handset maker Motorola Mobility” as recent surprises in the tech world, yet also examples of what makes the pioneer “optimistic about the future growth of the American and world economies.”
Andreessen suggests that Apple and Google are undervalued and we should avoid using the term “bubble” when analyzing the value of technologies. He writes: “…too much of the debate is still around financial valuation, as opposed to the underlying intrinsic value of the best of Silicon Valley’s new companies.”
“Over the next 10 years, I expect many more industries to be disrupted by software, with new world-beating Silicon Valley companies doing the disruption in more cases than not,” Andreessen adds.
Andreessen’s essay offers a compelling take on the direction of the tech industry, its place in world economies and some of the challenges that lie ahead. He notes interesting examples including Amazon, Netflix, Pixar, Pandora, Skype and others.
“Instead of constantly questioning their valuations, let’s seek to understand how the new generation of technology companies are doing what they do, what the broader consequences are for businesses and the economy and what we can collectively do to expand the number of innovative new software companies created in the U.S. and around the world,” he concludes. “That’s the big opportunity. I know where I’m putting my money.”
Three months after Google launched its cloud-based Music Beta, the company has introduced a new music discovery site called Magnifier.
According to the Official Google Blog: “Magnifier will feature great music and the people who make it, including videos of live performances, interviews with artists, explorations of different musical genres and free songs that you can add to your Music Beta collection.”
To kick-off Magnifier this week, Google is featuring indie rockers My Morning Jacket. “We’re giving away two of their tracks to Music Beta users, one of which is an exclusive to Magnifier: a live performance of ‘The Day is Coming.’ To get these free tracks and hundreds of other songs in our Free Song Archive, you need a Music Beta by Google account (if you don’t have an account, request an invitation).”
There is no mention that Google analyzes your Music Beta library to suggest new songs, but they certainly could do so.
Are you a casual gamer who wants to create your own games but lacks the resources of a big game company? Namaste may be for you.
The startup is developing a platform called StoryBricks, designed to help casual gamers and those interested in being part of a development team to create their own content and share them on social networks.
“The twist is that it’s not for professional game designers,” reports TechCrunch, “but users who want to create their own games. The company is understood to be be in discussions with several top VCs.”
Namaste has started fundraising via AngelList and recently tapped Anil Hansjee, former head of corporate development for Google Europe, to join the company as advisor.
