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Apple drops shares plan after ruling

Written By Unknown on Minggu, 24 Februari 2013 | 23.22

24 February 2013 Last updated at 06:27 ET

Apple has dropped a planned vote of shareholders after a US judge blocked the move in an ongoing spat over what to do with the tech giant's huge cash pile.

The judge backed a lawsuit by activist shareholder David Einhorn, who wants Apple to return more cash to shareholders.

Apple boss Tim Cook had called the lawsuit a "silly sideshow" but has complied with the judge's ruling.

The firm has $137bn (£90bn) in cash.

This is despite having already repaid $10bn via dividends and share buybacks.

Following the preliminary ruling by US District Judge Richard Sullivan in New York, Apple has dropped plans to ask shareholders to vote on whether to abolish a contractual right that the company currently enjoys to issue such preference shares without limit.

'Disappointed'

Apple had bundled the move, together with several other changes to the way in which the company is organised, into a single voting proposition for shareholders - something that Mr Einhorn said is illegal and the judge agreed.

"We are disappointed with the court's ruling," Apple spokesman Steve Dowling said. "[That proposal] is part of our efforts to further enhance corporate governance and serve our shareholders' best interests."

Mr Einhorn objects to the fact that a significant percentage of his investment in Apple shares in effect sits idle, invested in cash that pays very little return and has accused Apple of a "Depression-era mentality".

He wants Apple to issue perpetual preference shares to existing shareholders. These are a special type of share that pay a regular flat dividend in perpetuity, and which receive their payment in preference to the dividends paid out on ordinary shares.

Apple has said that it is keeping hold of the cash so that it is ready to make a major acquisition as and when the opportunity arises.

Apple has built up huge cash reserves by making extremely profitable products like the iPhone, iPad and the iPod.


23.22 | 0 komentar | Read More

Hacking group victim of Twitter hack

21 February 2013 Last updated at 07:38 ET

Hacker collective Anonymous has suffered an embarrassing breach, as one of its popular Twitter feeds is taken over by rival hacktivists.

Little-known group Rustle League said it had hacked the @Anon_Central account which has 160,000 followers.

It follows some high-profile Twitter hacks in recent days - including accounts for Burger King, Jeep and BBC Top Gear presenter Jeremy Clarkson.

Experts warn that users need to strengthen their passwords.

"The reason Anonymous fell victim is probably human weakness," said Graham Cluley, senior consultant at security firm Sophos.

"Chances are that they followed poor password practices, like using the same password in multiple places or choosing a password that was easy to crack.

Everyone should learn better password security from incidents like this - if it can happen to an account run by Anonymous supporters, it could happen to you," he said.

On Monday, the account for Burger King was breached and on Tuesday that of Chrysler-owned Jeep was broken into.

One message on the Burger King account claimed that the company had been sold to McDonalds while the Jeep account tweeted about rival cars.

Meanwhile, BBC presenter Jeremy Clarkson's account was hacked by spammers advertising weight-loss tablets.

Profit question

Twitter has told its account holders that they need to be smarter with their passwords.

In a blog post published on Tuesday, Bob Lord, director of Information Security, said: "Over the past couple of days, there's been a fair amount of conversation about account security on Twitter,"

He urged users to have strong passwords. "Your password should be at least 10 characters that include upper and lower case characters, numbers and symbols," he said.

The Anonymous hack on Thursday morning was short-lived. Three hours later, those running the feed tweeted that they had gained back control of their account.

As well as raising issues about password security on Twitter, the incident also raises questions about the status of Anonymous.

The hacktivist group was rarely out of the headlines in 2012.

But in a recent report, security firm McAfee suggested that Anonymous could fall into decline this year.

"Many are starting to prefer making a profit over a political point, not only through carrying out actions themselves but also offering a hacking-as-a-service to those less technically able."," said Raj Samani, McAfee's chief technical officer for Europe, Middle East and Africa.

"The authorities have launched a crackdown on Anonymous and quite a number of its key members have been arrested," he added.

Chinese links?

Much of the focus on cyber crime has shifted this week to the extent and scale of Chinese hacking.

But a report linking hackers to the Chinese army suggests members of Anonymous may have played a crucial role in allowing researchers to link hackers to the Chinese army.

Published by US security firm Mandiant, the report names three hackers believed to be working for the Chinese military.

Mandiant got the information from rootkit.com, an online forum where hackers share information about techniques.

In 2011, Anonymous gained access to the website and published personal data of more than 40,000 registered users online.


23.22 | 0 komentar | Read More

Google unveils touchscreen laptop

21 February 2013 Last updated at 14:02 ET

Google has unveiled its first touchscreen-enabled laptop.

The Chromebook Pixel runs Google's Chrome operating system and has been "largely built" by the web giant.

The laptop has Intel's Ivy Bridge processors, fast 4G LTE connectivity and a high-resolution screen aimed at challenging Apple's Retina Display.

Analysts say the move represents a fresh bid to build market share for Chromebooks against machines running Microsoft and Apple operating systems.

Unlike PCs that use installed software such as Microsoft Word, Chrome OS computers run their applications through the firm's web browser and store their files in the cloud.

The internet giant told the BBC the device was "largely built by Google, with components that are manufactured globally".

The laptop's 12.85in (32.64cm) display's resolution is similar to the so-called Retina Display of Apple's MacBook range, aimed to have pixel density high enough for the human eye not to notice pixelation when looking at the screen at a typical viewing distance.

"This Chromebook has the highest pixel density (239 pixels per inch) of any laptop screen on the market today," said the company.

"Packed with 4.3 million pixels, the display offers sharp text, vivid colours and extra-wide viewing angles.

Continue reading the main story

The challenge for the Chromebook is that computing is shifting towards tablets"

End Quote Geoff Blaber CCS Insight

"With a screen this rich and engaging, you want to reach out and touch it — so we added touch for a more immersive experience."

Embracing the cloud

The first Chrome-powered laptop, built by Samsung, went on sale in June 2011. Chrome laptops that followed were made by Acer, Lenovo and HP.

But so far, Chromebooks have had difficulties challenging Windows-powered computers, said CCS Insight analyst Geoff Blaber.

"Chromebooks have struggled for relevance to date, stuck between comparably-priced but entertainment-centric tablets - many of which run Android - and more functional PCs," he said.

"[The new computer] won't transform its prospects but Google will hope it serves as a flagship device that has a halo effect for the broader portfolio."

Windows 8, Microsoft's latest operating system launched last year, has touchscreen capabilities.

Mr Blaber said: "Touch is now pervasive across every computing category from phones to high-end PCs.

"The challenge for the Chromebook is that computing is shifting towards tablets whilst most consumers lives are not yet fully embracing the cloud versus local storage."


23.22 | 0 komentar | Read More

Paypal launches chip-and-pin device

21 February 2013 Last updated at 21:27 ET

Payments firm Paypal has launched a chip-and-pin machine designed to offer new sales methods to UK small businesses that have previously relied on cash or cheques.

It means market traders, taxis and shops will be able to accept credit and debit cards as well as Paypal payments.

There will be an initial cost "under £100" for the Paypal Here device.

The firm, which faces competition from other similar devices, said it will take a transaction fee of less than 3%.

"At Paypal, we spend a huge amount of time talking and listening to small businesses. They are the core of Paypal's business and they've told us that they want a simple, secure way to take card payments anytime and anywhere they trade," said David Marcus, president of Paypal.

'Trusted brand'

Paypal is offering the devices to a few select businesses before a full launch in the summer. It will roll out in the UK first with other countries to follow.

In the US, it has already brought out a similar device, a dongle that can be plugged into a mobile phone to act as a credit card reader.

Eden Zoller, an analyst with research firm Ovum, said the move was an obvious one for Paypal to make.

"It hasn't released figures about the dongle it launched in the US but has indicated that it is popular so it makes sense to have an optimised version for the European market," she said.

There are other similar devices on the market from companies such as iZettle, Intuit and mPowa.

"It is going to have a bit of competition but Paypal is an established a trusted brand," said Ms Zoller.

Mark Thomas runs an ice cream stall at London's Borough Market. He will be among the first to try out the device.

"Cash is king in the market, but people run out of cash very quickly, and we often lose sales because customers can't face the long weekend wait at the ATM," he said.


23.22 | 0 komentar | Read More

FBI staff disciplined for sex texts

22 February 2013 Last updated at 06:03 ET

The FBI has disciplined agents for sending nude pictures, bugging a boss's office, and visiting a massage parlour, a leaked memo has revealed.

The misconduct cases were among those detailed in a leaked internal email, sent to all FBI staff and published online by CNN.

They ranged from the "unprofessional conduct" of texting nude images, to more serious theft and gun offences.

The unnamed agents involved were either suspended or dismissed.

In one case, an employee used a personal mobile phone to send nude photographs to several other employees. The report said the incident "created office gossip" and "adversely affected the daily activities of several squads".

In another incident, a staff member used an FBI-issued Blackberry to send explicit text messages to a second staff member, while another was disciplined for emailing nude pictures of herself to her ex-boyfriend's wife.

Another agent was suspended for 14 days for paying for a "sexual favour" while visiting a massage parlour.

Office bugging

Other violations included committing fraud, mishandling evidence, shop-lifting and making unauthorised use of the FBI database to search for information on friends and family.

One agent was suspended for taking an FBI motorcycle for a joyride, while another was disciplined for carrying his gun while drunk.

In one stand-out case, an employee was sacked for unprofessional conduct after he was found to have bugged his boss's office. The report said the employee hid a recording device in the office and searched through his supervisor's paperwork.

The FBI said the regular emails to staff on disciplinary issues were designed as deterrence.

"We're hoping (that) getting the message out in the quarterlies is going to teach people, as well as their supervisors ... you can't do this stuff," FBI assistant director Candice Will said, in an interview with CNN.

"When you are given an FBI Blackberry, it's for official use. It's not to text the woman in another office who you found attractive or to send a picture of yourself in a state of undress. That is not why we provide you an FBI Blackberry."


23.22 | 0 komentar | Read More

North Korea to launch mobile internet

22 February 2013 Last updated at 07:06 ET

North Korean mobile phone provider Koryolink is planning to launch a 3G data service for foreign visitors and residents from abroad.

Egyptian telecoms firm Orascom, which is a partner in Koryolink, estimates that more than 1 million North Koreans use mobile phones.

They will not be able to use the new service, according to reports.

Orascom launched a 3G phone network inside North Korea in 2008, but users can only use it to make phone calls.

International calls, including calls to South Korea, are banned.

In January 2013 the government began allowing foreign visitors to bring their own mobile devices into the country with them for the first time.

Following a recent visit to the notoriously closed country, Google Executive Chairman Eric Schmidt wrote in a blog post that North Korea's decision to isolate itself "is very much going to affect their physical world and their economic growth."

He added that it would be "very easy" for 3G internet access to be enabled on the existing service.

Current internet access is extremely limited for locals, with most people only having access to a small number of state-run pages.

North Korea expert Scott Thomas Bruce previously told the BBC this comprises mainly "message boards, chat functions, and state sponsored media".

"The system they've set up is one that they can control and tear down if necessary," he said.


23.22 | 0 komentar | Read More

Apple patent hints at smart watch

22 February 2013 Last updated at 10:58 ET

Fresh evidence that Apple has been working on a smart watch concept since at least 2011 has emerged in a patent filing.

The document describes a flexible touchscreen display which would communicate with a smartphone or other electronic device.

It coincides with a report from a tech consultancy suggesting there is huge pent up demand for such a gadget.

But ABI Research warns that battery life issues still need to be addressed.

It says assuming such problems can be resolved, about 485 million wearable computing devices might ship by 2018, providing a significant growth opportunity for Apple and the wider consumer electronics industry.

Not all published patents lead to actual products, but Bloomberg, the Wall Street Journal and the New York Times have all published reports this month saying sources had confirmed Apple was experimenting with a watch-like device.

The iPhone-maker declined to comment when contacted by the BBC.

Slap wraps

The US Patent Office only revealed Apple's filing on Thursday, but the document dates back to August 2011.

The mooted device is likened to a "slap wrap" - a thin strip of metal covered in fabric which snapped around the user's wrist to form a bracelet.

The toy was popular with teenagers in the late-1980s, but fell out of favour after complaints that it lost its ability to retain its shape over time,. There were also complaints that some users had experienced injuries after the fabric wore away to reveal a sharp metal edge.

Apple puts a hi-tech spin on the idea proposing a "slap bracelet" featuring a flexible circuit board and display, a touch sensitive user interface and a two-way communication chip, which would curl around the user's skin.

It suggests the gadget could detect which part of its surface was covered so that its readout would be limited to the exposed screen, with information flowing over the join.

Apple suggests lights along the device's edge could be programmed to blink when the user receives an alert, before displaying the details on its screen.

It says the user could then provide a brief response or use the bracelet to command a wirelessly connected smartphone, tablet or laptop to carry out another function such as adjusting the order of a song playlist or reviewing what recent calls had been made.

Apple acknowledges that the relatively thin nature of a wrist band would limit its uses, but suggests a wider armband could also be developed.

"At the width of a few inches the display can function to temporarily view and manipulate the screen of the portable device it is in communication with," says the paper.

"This might be desirable when the portable electronic device is stored in an inconvenient location such as a cargo pocket, or the bottom of a backpack.

"A larger display is also more desirable for map viewing... as a traveller or explorer can easily reference the information with a flick of the wrist while exploring."

Recharge worries

ABI Research notes that several companies already sell smart watches - such as Fossil, Pebble and Sony - while others (including Samsung and Martian) are known to be working on such products,

For the time being, however, it says the sector is dominated instead by activity trackers - such as Nike's Fuelband and the Garmin Forerunner - which account for an estimated 61% of the wearable tech market.

Some of these devices do tell the time, but they only offer limited functionality beyond monitoring exercise or the owner's sleep pattern.

The consultants instead suggest a much wider range of uses giving the example of linking the watch to a home automation system so that "a quick shake of your wrist can turn off/on room lights".

The idea of a smartwatch has been around for years - but the firm says technology only recently caught up with our imagination.

"Moore's law has driven silicon to the point where it's small enough and powerful enough to drive applications that mean things to consumers," ABI's chief research officer, Stuart Carlaw, told the BBC.

"Bluetooth Smart has also brought us high-bandwidth, low-energy connectivity at a less than a dollar a chip and takes up little space while offering robust performance.

"But one note of caution is that when we look at wearable technologies the use of power becomes an issue. You don't want to have to be plugging in four or five products a night to recharge - energy harvesting or wireless recharging technologies are going to become incredibly important."

Apple's patent confirms the company is aware of the problem.

It suggests harvesting energy from the movement of the user's arms and only coming out of standby mode when a sensor detects the device has been rotated to face a certain way.

It adds that the use of an AMOLED (active matrix light emitting diode) display would also help since it can allow individual pixels to be turned off, allowing the watch to only activate the parts which are facing the owner's eyes.


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Samsung faces disability setback

22 February 2013 Last updated at 13:34 ET By Leo Kelion Technology reporter

Samsung has suffered a setback in its effort to win an iPhone ban based on a function making its software accessible to blind people.

The South Korean firm had sought an injunction in a German court arguing Apple's VoiceOver screen-access facility infringed one of its patents.

However, the judge has ordered the case to be suspended pending another ruling that could invalidate Samsung's claim.

Disability campaigners had expressed concern about the case.

Apple's VoiceOver function is used by blind and partially-sighted people to hear a description of what the iPhone is showing by touching its screen.

The software covers text and icons including audio descriptions of the battery level and network signal. It also allows the phones to be operated via Braille-based add-ons.

Samsung had argued that Apple had failed to licence a patent it owned which describes pressing a button to make a handset describe its display. The basis for this was that VoiceOver could be switched on by triple-clicking the iPhone's home button.

Apple declined to comment.

A statement from Samsung said: "For decades, we have heavily invested in pioneering the development of technological innovations in the mobile industry, which have been constantly reflected in our products.

"We continue to believe that Apple has infringed our patented mobile technologies, and we will continue to take the measures necessary to protect our intellectual property rights."

'Regrettable in the extreme'

Patent consultant Florian Muller, who was first to report the Mannheim Court's decision, questioned Samsung's tactics.

"If Samsung had only requested monetary compensation in this action, it would have made a much better choice than by trying to achieve, through the pursuit of an injunction, the deactivation or (more realistically) degradation of the voiceover functionality Apple provides to its German customers," he wrote on his blog.

The British Computer Association of the Blind said it was worried such an important feature might be threatened.

"A lack of access to information is arguably the biggest potential barrier to inclusion in society for blind and partially-sighted people," a spokesman told the BBC.

"If something as important as access to telephone technology had been blocked by the actions of one company over another the consequences for blind people everywhere would be regrettable in the extreme."

The Wall Street Journal's AllThingsD tech site was more damning.

"Leaving aside the ethics of asserting a patent against a feature designed to help the blind, this is unwise," wrote John Paczkowski.

"It's the PR equivalent of punching yourself in the face. Samsung has now identified itself as a company willing to accept the loss of accessibility for the vision-impaired as collateral damage in its battle with Apple."

Apple and Samsung have fought a number of patent cases against each other in courts across the world.

The biggest award involved a US jury ordering Samsung to pay Apple $1.05bn (£688m) in damages. The judge in the case later rejected Apple's call for the sum to be increased and a sales ban on some Samsung handsets.


23.22 | 0 komentar | Read More

Hackers attack Microsoft computers

23 February 2013 Last updated at 00:15 ET

Microsoft has become the latest US technology company to confirm that it has been targeted by computer hackers.

In a blog post, Microsoft announced that "a small number" of its computers had recently been deliberately infected with malicious software.

The firm said it found no evidence that any customer data had been accessed, but an investigation is continuing.

On Tuesday Apple said its computers were attacked by the same hackers who targeted Facebook a week earlier.

At the time, Facebook said it had traced a cyber attack back to China which had infiltrated employees' laptops.

In Friday's blog post, Microsoft spokesman Matt Thomlinson said: "This type of cyberattack is no surprise to Microsoft and other companies that must grapple with determined and persistent adversaries."


23.22 | 0 komentar | Read More

Samsung and Huawei kick off launches

24 February 2013 Last updated at 10:41 ET

A fresh tablet from Samsung and a new Android handset from Huawei have been announced at the start of the Mobile World Congress (MWC).

About 1,500 exhibitors are taking part at the annual event in Barcelona.

Samsung's tablet features an 8in (20.3cm) screen with a resolution of 189 pixels per inch (ppi) making it slightly bigger and more detailed than Apple's bestselling iPad Mini.

Huawei's Ascend P2 has a 4.7in screen with 315ppi, and a 13 megapixel camera.

The Chinese firm said it also featured a facility called Magic Touch, which allowed it to be used while wearing gloves - similar to Nokia's Lumia 920.

Tablet wars

Samsung's Galaxy Note 8.0 is being promoted as a device on which users can multi-task - running two apps in split-screen mode - and can act as alternative to "traditional pen and paper" thanks to its included stylus, the S Pen.

The South Korean firm adds that it is light enough to be held by one hand, and can also be used to make phone calls.

According to the research firm IDC, Samsung was the world's most successful smart device manufacturer in the October-to-December period, accounting for 21.2% of all shipments.

However, that position was secured in large part due to its smartphones, and IDC noted that in the tablet sector Samsung came in second with a 15.1% market share compared to Apple's 43.6%.

"The Note 8 marks Samsung's relentless charge to grab a slice of the tablet market from Apple, but also to defend itself from the Kindle Fire and Nexus 7," Ben Wood, head of research at CCS Insight, told the BBC.

"I think there's a diminishing window of opportunity because Amazon and Google are playing by different rules - they are effectively willing to sell their hardware virtually at cost and then make money through content sales, whereas Samsung is a hardware manufacturer selling something for a margin.

"It's very difficult for consumers to tell the difference between these products - but what does make Samsung stand out is the fact they are prepared to carpet bomb marketing with an eye-watering budget, which effectively marginalises some of the other companies trying to get into the tablet space."

The Galaxy Note 8.0 is being made available in Europe, South Korea, China and a limited number of other countries in the April-to-June period.

Chinese ambition

Huawei describes its Android-powered Ascend P2 as the world's "fastest" smartphone thanks to it being the first to include an LTE Cat 4 chip which - in theory - allows 4G download speeds of up to 150 megabits per second,

The device also includes an NFC (near field communication) chip, allowing it to support wireless payments, and is relatively slim measuring 8.4mm (0.33in) thick,

However, its screen is lower resolution than recent models from LG, HTC and Nokia, and can display 720p HD video rather than 1080p output. But this may help it last longer between recharges, and the device also features a larger than average 2420 mAh battery.

According to IDC, Huawei accounted for 10.8 million smartphone shipments in the fourth quarter, making it the world's third-biggest vendor.

However, it could still only claim a 4.9% market share since Apple and Samsung dominated the sector - something the Chinese firm itself acknowledged describing itself as a "brand in the making" at its Barcelona launch,

"Because this is a very aggressively-priced LTE phone, Huawei have a good chance of getting it into operator portfolios for 2013," said Mr Wood.

"Brand awareness and credibility remain a challenge for Huawei. But this is a company that will never give up.

Continue reading the main story

Sunday:

Mozilla 1800 local time (1700 GMT)

Monday:

Nokia 0820 local time (0730 GMT)

Sony 0845 local time (0830 GMT)

Ford 1000 local time (0900 GMT)

Asus 1300 local time (1200 GMT)

ZTE 1600 local time (1500 GMT)

Visa 1630 local time (1530 GMT)

"Huawei is determined to make inroads into the mobile phone market, though the competitive intensity of this segment means they will need to spend a lot of money to succeed."

Huawei said the phone was already confirmed to go on sale in France in June, and should launch elsewhere around the globe around the same time.

MWC's competition

Other early MWC announcements include:

  • A 16 gigabyte version of Acer's budget Iconia B1 tablet.
  • The Samsung HomeSync - a 1 terabyte hard disk designed to allow families to share content between their Samsung devices and display it on their television.
  • A marketing campaign from Asus - the maker of the Google Nexus 7 - suggesting it will be the latest to launch a tablet that can also make calls at its event on Monday.

In past year's Sony Ericsson also held a major press conference on the Sunday ahead of Monday's official start to MWC.

But the business - which is now controlled in whole by Sony - has opted for a smaller event on Monday this year.

The move reflects it decision to launch its flagship Xperia Z phone earlier in the year at the Consumer Electronics Show (CES).

Other firms have also preferred to hold one-off events, such as Blackberry with its Z10 and Q10 unveiling in New York last month.

It is also notable that Samsung has chosen to hold off updating its key Galaxy S handset until later in the year. It unveiled the Galaxy S2 at MWC in 2011.


23.22 | 0 komentar | Read More

Apple loses iPhone ruling in Brazil

Written By Unknown on Minggu, 17 Februari 2013 | 23.22

13 February 2013 Last updated at 16:00 ET

Brazilian regulators have ruled that Apple does not have exclusive rights to use the "iPhone" trademark in the country.

But the US tech giant has already lodged an appeal against the decision with the Brazilian regulators.

The ruling is the result of a local company, Gradiente Eletronica, registering the name in 2000, six years before the US firm.

Apple can continue to sell iPhone-branded handsets in Brazil.

But the decision means that Gradiente has an option of suing for exclusivity in South America's biggest market.

The Institute of Industrial Property (INPI) told the BBC that its decision only applied to handsets, and that the California-based company continued to have exclusive rights to use the iPhone name elsewhere including on clothing, in software and across publications.

"I can confirm that INPI published today its decisions about eight trademark applications related to iPhone, from Apple: four applications were rejected and other four were approved," said the agency's spokesman Marcelo Chimento.

"Some were rejected because a Brazilian company, Gradiente, made an application for G Gradiente iphone in 2000 and it was approved in 2008. As Apple started its applications for iPhone in 2006, they were denied because Gradiente had a very similar register for cell phones applied some years before the American company.

"The trademarks approved today for Apple were related to other classes, such as education, software development and advertising. Since they are in other classes, different from communications and telephones, they could be approved."

Appeal

INPI added that Apple had argued that it should have been given full rights since Gradiente had not released a product using the iPhone name until December 2012.

Apple is asking the INPI to cancel Gradiente's registration through expiration - it is arguing that the Brazilian firm did not use the name within a five year limit.

The Manaus-headquartered company now sells its Android-powered iPhone Neo One for 599 reals ($304; £196).

Bloomberg previously reported that the chairman of Gradiente had said: "We're open to a dialogue for anything, anytime... we're not radicals."

Apple's most recent financial results revealed its cash reserves had grown to $137bn (£88bn).

The firm's manufacturing partner, Foxconn, currently produces iPhones and iPads among other equipment at its facilities in Brazil.


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Google sues BT in patent battle

14 February 2013 Last updated at 07:24 ET

Google is suing BT, claiming the British telecoms group has infringed a number of its technologies.

The search giant has launched a series of legal actions against the London-based firm in California, claiming four of its patents have been violated, and has also filed a separate case in the UK.

BT had been expecting such action after it launched its own case against Google in 2011.

That dispute has yet to be resolved.

"We have always seen litigation as a last resort, and we work hard to avoid lawsuits," said a spokeswoman for Google.

"But BT has brought several meritless patent claims against Google and our customers - and they've also been arming patent trolls."

The term "patent troll" describes firms that acquire patents so that they can later extract settlements from companies on infringement claims.

In 2012, New Jersey-based intellectual property owner Suffolk Technologies sued Google and US internet service provider AOL over two patents it had acquired from BT.

In addition, Steelhead Licensing - another firm which owns patents but does not produce products of its own - has filed a case against 14 handset makers and mobile networks, including Google's Motorola unit, claiming infringement of a wireless technology which used to be owned by BT.

A spokesman for the British firm said it did not comment on pending litigation.

Google first

Google has struck back with claims that BT has infringed a method to allow PCs to use an internet-based telephone system based on a patent originally filed by Fujitsu.

And it says BT failed to license a system used to let computer servers prioritise data - an IBM invention now owned by the search firm.

Patent consultant Florian Mueller said this was the first clear case of Google suing another company over its patents.

Previous cases involving Motorola were filed ahead of Google buying the Razr handset maker.

BT and Google are next set to meet in court in Delaware in July for a mediation hearing about the 2011 case.


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Police hold 11 over ransomware scam

14 February 2013 Last updated at 08:21 ET

A complex cybercrime network spreading ransomware designed to extort money has been shut down, police have said.

Spanish authorities, working with the European Union's law enforcement agency, Europol, arrested 11 people, from Russia, Georgia and Ukraine.

Software planted on targeted machines accused the user of having viewed illegal content, such as images showing child sex abuse, Europol said.

It then told the user to pay a "fine" before continuing to use the machine.

A Europol statement said: "By dressing the ransomware up to look as if it comes from a law enforcement agency, cybercriminals convince the victim to pay the 'fine' of 100 euros [$130; £85] through two types of payment gateways - virtual and anonymous - as a penalty for the alleged offence.

"The criminals then go on to steal data and information from the victim's computer.

"Since the virus was detected in May 2011, there have been more than 1,200 reported cases just in Spain, and the number of victims could be much higher."

'One million euros'

Investigators from Europol's European Cybercrime Centre - which launched last month - said the network had infected "tens of thousands" of computers worldwide.

Estimated profits had been in the range of one million euros per year, the statement said. And the virus had been first discovered in May 2011.

The gang had been receiving the money in a variety of ways - including using virtual currency such as Bitcoin, Europol said.

They were also alleged to have used cash machines in Spain to withdraw money with compromised credit cards - one of which had been used to take out 26,000 euros prior to the suspects' arrest.

Europol believe the head of the operation was a 27-year-old Russian man who had been in charge of the "creation, development and international distribution of the various versions of the malware".

"He was arrested in the United Arab Emirates and is awaiting extradition to Spain," the statement said.

Six Russians, two Ukrainians and two Georgians were also arrested.


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Self-driving car given UK test run

14 February 2013 Last updated at 13:12 ET By Dave Lee Technology reporter, BBC News
Self-driving car

Please turn on JavaScript. Media requires JavaScript to play.

The BBC's Richard Westcott tests out the self-driving car

A car that is able to drive itself on familiar routes has been shown off at an event at Oxford University.

The technology uses lasers and small cameras to memorise regular journeys like the commute or the school run.

The engineers and researchers behind the project are aiming to produce a low-cost system that "takes the strain" off drivers.

Other companies, such as Google, have also been testing driverless vehicle technology.

The search giant has pushed for law changes in California to allow its car to be tried out in real-life situations.

The Oxford RobotCar UK project is seeking to do the same in the UK, said Prof Paul Newman from Oxford University's department of engineering science.

"We're working with the Department of Transport to get some miles on the road in the UK," said Prof Newman, who is working alongside machine learning specialist Dr Ingmar Posner.

Gaining 'experiences'

Until the car can hit the streets, the team is testing it out in a specially-made environment at Begbroke Science Park in Oxfordshire.

Continue reading the main story

Frankly, it is a bit disconcerting being driven around by a robotic chauffeur, but then I remember thinking the same thing when I first used cruise control on a motorway.

It's amazing how quickly you adjust to things. Within five minutes I'd got used to the wheel turning on its own, and I wasn't remotely concerned when someone walked out in front of us (it was a tightly controlled safety experiment before anyone emails in, and the car did stop in plenty of time).

Fully autonomous cars won't appear in showrooms overnight. But it seems inevitable we will be handing over more of the driving to computers as the years roll by, and this Oxford University system could well be the next step.

There are barriers of course. Makers will have to prove they are safe. Then they'll have to convince the public. And there's the sticky question of who's liable if there's a crash.

Still, most car crashes are down to the human at the wheel. Plenty of people believe robotic cars could save thousands of lives in the future.

"It's not like a racetrack - it's a light industrial site with roads and road markings," Prof Newman told the BBC.

"Crucial for us, it can show our navigation and control system working.

"It's not depending on GPS, digging up the roads or anything like that - it's just the vehicles knowing where they are because they recognise their surroundings."

The technology allows the car to "take over" when driving on routes it has already travelled.

"The key word for us is that the car gains 'experiences'," Prof Newman explained.

"The car is driven by a human, and it builds a 3D model of its environment."

When it goes on the same journey again, an iPad built into the dashboard gives a prompt to the driver - offering to let the computer "take the wheel".

"Touching the screen then switches to 'auto drive' where the robotic system takes over, Prof Newman added.

"At any time, a tap on the brake pedal will return control to the human driver."

Spinning lasers

At the moment, the complete system costs around £5,000 - but Prof Newman hopes that future models will bring the price of the technology down to as low as £100.

Autonomous technology is being tested by several car manufacturers and technology companies.

Simple self-driving tasks, such as cars that can park themselves, are already in use across the industry.

The Holy Grail is a fully-autonomous vehicle that is location-aware, safe and affordable.

Google has been testing its car for several years, with the company boasting of 300,000 computer-driven miles without an accident.

While at an earlier stage of development, Oxford University's car has significant key differences to Google's offering, Prof Newman said.

"Well if you look at it, we don't need a 3D laser spinning on the roof that's really expensive - so that's one thing straight away. I think our car has a lower profile."

He added: "Our approach is made possible because of advances in 3D laser mapping that enable an affordable car-based robotic system to rapidly build up a detailed picture of its surroundings.

"Because our cities don't change very quickly, robotic vehicles will know and look out for familiar structures as they pass by so that they can ask a human driver 'I know this route, do you want me to drive?'"

Prof Newman applauded Google's efforts in innovating in the space - but was buoyant about the role British expertise could have in the industry.

"This is all UK intellectual property, getting into the [driverless car] race.

"I would be astounded if we don't see this kind of technology in cars within 15 years. That is going to be huge."


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Blue-screen effects pioneer dies

14 February 2013 Last updated at 17:34 ET By Leo Kelion Technology reporter

The visual effects industry has paid tribute to Petro Vlahos - the pioneer of blue- and green-screen systems.

The techniques allow filmmakers to superimpose actors and other objects against separately filmed backgrounds.

He developed the procedure for 1959's Ben-Hur and then went on to win an Oscar in 1964 after creating a related process for Disney's Mary Poppins.

The death of the 96-year-old was announced by the company he founded, Ultimatte.

His innovations continue to be used and developed by the television, film, computer games and advertising industries.

"Our industry has lost a giant," Everett Burrell, senior visual effects supervisor at Los Angeles-based studio Look Effects. told the BBC.

"It's hard to even conceive of how we would do what we do without the amazing number of processes and techniques he pioneered. All visual effects professionals and movie fans owe him a debt of gratitude."

Look Effects has built on Mr Vlahos' achievements to create work for the movies Avatar, The Life of Pi and the upcoming Superman film, Man of Steel.

Six-month idea

Mr Vlahos was not the first to use a blue-screens - earlier versions of the technique can be seen in films including The Thief of Bagdad, and The Ten Commandments.

But he is credited with developing a way to use it that minimised some objects appearing to have a strange looking glow as a side-effect.

He called his invention the colour-difference travelling matte scheme.

Like pre-existing blue-screen techniques it involves filming a scene against an aquamarine blue-coloured background.

This is used to generate a matte - which is transparent wherever the blue-colour features on the original film, and opaque elsewhere. This can then be used to superimpose a separately filmed scene or visual effects to create a composite.

Mr Vlahos's breakthrough was to create a complicated laboratory process which involved separating the blue, green and red parts of each frame before combining them back together in a certain order.

He also noted in a patent filing that the process allowed the blue-screen procedure to cope with glassware, cigarette smoke, blowing hair and motion blur which had all caused problems for earlier efforts.

Movie studio MGM had commissioned him to invent it. Mr Vlahos later noted that it had taken him six months of thought to come up with the idea, much of it spent staring out onto Hollywood Boulevard.

He later created a "black box" - which he called Ultimatte - to handle the process, first for film and then electronically for video.

Acting alongside cartoons

Mr Vlahos was also awarded a patent for his work on a related technique called sodium vapour illumination, which he developed for Disney.

This involved filming the actors' scenes against a white backdrop using sodium-powered lamps which caused a yellow glow to bounce off the background.

The camera featured two film stocks shot simultaneously, and a prism on its lens.

The prism split the yellow sodium light away from the other colours, sending it to a black-and-white-based film stock which was then used to create the matte.

Meanwhile, the other film stock recorded the scenes in colour without the sodium's yellow cast being visible.

The advantage was that this created an even cleaner effect than Mr Vlahos' original blue-screen efforts.

Disney used Mr Vlahos's version of the technique to make Mary Poppins, Bedknobs and Broomsticks, and Pete's Dragon - among other movies - letting its actors appear to interact with cartoons.

Alfred Hitchcock also borrowed the technique for The Birds, and Warren Beatty later used it in Dick Tracy.

However, it has since fallen out of favour because the equipment involved is more expensive and cumbersome to operate, and the quality of blue- and green-screen techniques has improved.

'Extraordinary significance'

Mr Vlahos ultimately racked up more than 35 movie-related patents and went on to co-found his company, Ultimatte Corp, with his son Paul in 1976.

It now focuses its efforts on making AdvantEdge, a compositing software plug-in.

Robin Shenfield, chief executive of visual effects studio The Mill, recalls meeting Petro Vlahos several times in the 1980s and says he came across as "unassuming", despite his many achievements.

"I remember him being rather quiet," he told the BBC.

"He was a scientist - he wasn't a showman, although I think he rather liked the involvement of his technology in the world of entertainment. Ultimatte had a bit of razzmatazz about it as a company."

The Mill has since used blue- and green-screen technologies to create visual effects for the film Gladiator, the BBC's Dr Who television series and director Guy Ritchie's Call of Duty: Black Ops 2 trailer among other works.

"It's the absolute building block of all the visual effects that you see in television and movies," added Mr Shenfield.

"It's significance is extraordinary. Everything people like us and others are still built on that fundamental ability to take lots of elements from lots of places and seamlessly mesh them into a new convincing reality.

"Mr Petro - and his family - were pioneers in our industry for which he should be remembered."


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Blue Peter honours Apple's Jony Ive

15 February 2013 Last updated at 07:14 ET
Blue Peter Presenter Barney Harwood and Sir Jonathan Ive

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Watch presenter Barney Harwood present Sir Jonathan with the gold badge

The BBC's Blue Peter programme has honoured Apple's design chief Sir Jonathan Ive with its highest accolade - the gold Blue Peter badge.

The British executive helped create the iMac and iPhone and, in October, took responsibility for the look and feel of the firm's software user interfaces.

Blue Peter said he was an "inspiration to children around the world".

He will appear in a gadget-themed special broadcast on Saturday, offering advice to the viewers.

In the pre-filmed segment he reviewed designs sent in by children and recalled how he had enjoyed watching one of Blue Peter's past presenters reuse a detergent bottle to create a paintbrush holder.

"I loved the way there was just products that you thought were no longer useful, but reusing them," he said. "It was fantastic."

Blue Peter has only presented about 1,000 gold badges in its history,

Other recipients include footballer David Beckham and author JK Rowling.

Sir Jonathan, known as Jony, described the news as "absolutely incredible".

He also presented the show with his own version of the Blue Peter badge made out of solid aluminium, manufactured by Apple's equipment, using the programme's catchphrase: "Here's one that we made earlier".

The award adds to a series of honours.

In May, Sir Jonathan was knighted at Buckingham Palace for his services to design and enterprise.

In September, he brought his entire design team to London to celebrate winning the best brand and design studio of the previous 50 years prize at the Design and Art Direction (D&AD) awards.

App redesign?

October's management shake-up at Apple means a lot is now riding on his shoulders.

After the firm's previous iOS software chief was ousted, it was announced Sir Jonathan would provide "leadership and direction for human interface across the company" in addition to being its industrial design boss.

There had been criticism that the firm's iOS operating system - which powers its iPhones and iPads - was in need of an overhaul to help it fend off competition from Google's Android and other rivals.

According to new figures from research firm IDC, 159.8 million Android-powered smartphones were shipped worldwide between October and December 2012, marking an 88% year-on-year gain.

By contrast, IDC suggests that 47.8 million iPhone were shipped over the same period - an annual gain of 29.2%.

In its analysis of the data, the consultancy said "what stands out is how iOS's year-over-year growth has slowed compared to the overall market".

It has been widely speculated that Sir Jonathan might now shift the Apple's software away from its reliance on "skeuomorphic" textures and effects - in other words stop trying to make its apps look like their real-world equivalents.

This might see an end, for instance, to it showing stitched leather borders and torn paper in its Calendar app and lined yellow legal paper in its Notes product.

Sir Jonathan's hardware designs have been praised for having a more minimalist approach.

However, it is unclear whether he will have had enough time in his new post to make such changes to Apple's next iOS and Mac OS X system revisions which are expected later this year.

Blue Peter's gadget special will be broadcast in the UK on the CBBC channel at 10:00 GMT on Saturday 16 February.


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Chubby Checker sues over penis app

15 February 2013 Last updated at 07:14 ET

Rock'n'roll singer Chubby Checker is suing HP over an app that used his name as a euphemism for penis size.

The Chubby Checker app - which appeared on websites for Palm OS devices - claimed to guess the intimate measurement based on shoe size.

Lawyers acting for the singer are seeking $500m (£323m) in compensation, saying the app has done "irreparable damage" to his reputation.

HP said it removed the app as soon as it received a complaint from lawyers.

Lawyers for the 71-year-old singer - real name Ernest Evans - filed a "cease and desist" order against HP and its subsidiary Palm in September 2012, soon after the app became available.

Now they have launched a trademark infringement case against the two tech firms.

Chart topper

"He's hurt," his lawyer Willie Gary told Associated Press.

"He worked hard to build his name and reputation over the years.

"We cannot sit idly and watch as technology giants, or anyone else, exploits the name or likeness of an innocent person with the goal of making millions of dollars."

The app had used his client's name and trademark without permission, said Mr Gary,

In a statement, an HP spokesman said: "The application was removed in September 2012 and is no longer on any Palm or HP-hosted website."

The German firm behind the offending program, Magic Apps, is no longer selling the software.

It is not clear how many copies it sold before HP and Palm but WebOSNation, which monitors the use of Palm smartphones, estimates it was downloaded only 84 times before it was pulled.

Chubby Checker is best known for his song The Twist which topped the US singles chart in both 1960 and 1962.


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Facebook search limited for teens

15 February 2013 Last updated at 08:44 ET

The Facebook activity of users aged between 13 and 17 would have limited visibility in the network's new "social graph" search facility, the firm said.

Posts which could identify the teens' age or location should only appear in searches by friends and "friends of friends" in the same age group.

If an adult were to search for "single females aged 17", for example, no results would appear, it explained.

Facebook said it was strict about its rules regarding age.

If it had cause for concern about the age of any user - whether it thought they might be older or younger than claimed - it said it would suspend the suspect account and only reactivate it after seeing official government identification.

It added that anyone aged under-17 could not share any of their posts publicly, and all location services were switched off by default, although they could be activated if the young person chose.

Search test

Facebook launched a test version of its search feature in January and it is currently limited to select users who have set English (US) as their language.

The move has raised privacy concerns. One blog has gained fame for showing how the tool can be used to carry out potentially embarrassing searches, such as "current employees of Tesco who like horses".

At the search facility's launch event the social network said it would take steps to protect its youngest users. The new restrictions - announced in a blog post - aim to fulfil this promise.

In a social graph test carried out on the BBC's behalf, an adult searched for a specific school. The results only brought up accounts which appeared to belong to adults who had once attended, and over-17s who were still pupils.

Mark Little, principal analyst at research firm Ovum, told the BBC at the time that he was "underwhelmed" by the search facility but could see commercial potential in it.

"I think it's going to help drive connections within the network between individuals and between companies and pages," he said.

"If you are increasing connections between friends and pages you are effectively increasing the reach of advertisers."


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Valve opens Linux video game store

15 February 2013 Last updated at 09:21 ET

Software firm Valve has launched a Linux version of its Steam game store.

The games made available via the online Steam store are playable on the Ubuntu version of the Linux open-source operating system.

Through the store, Ubuntu users can get at almost 60 games including popular titles such as CounterStrike and Team Fortress 2.

The launch comes as Valve lays off about 10% of its staff including some who were working on hardware projects.

Open-source software gives users access to all its underlying programming code and stands in contrast to closed or proprietary software which locks such information away,

No discussion

Players can get access to the Steam store using an add-on application available via the Ubuntu software centre.

As well as games made by Valve, the Linux version of Steam also sells titles made by other companies.

They include Amnesia, FTL, Serious Sam 3 and World of Goo.

As it opened the Linux store, Valve also cut the prices of the PC and Mac versions of games available to Ubuntu users by up to 75%. The sale will run until 21 February.

Continue reading the main story

We're not going to discuss why anyone in particular is or isn't working here"

End Quote Valve boss Gabe Newell

David Pitkin, who works for Ubuntu developer Canonical, said he now expected "a growing number of game developers to include Ubuntu among their target platforms".

Currently, few game makers produce a version that can run on Linux or other open-source operating systems.

While almost 60 titles are available on Steam, the store sells more than 2,000 games that run on Windows.

The launch is important for Valve because Linux is expected to be the operating system for the console it is developing to allow Steam games to be played on TVs.

As the curtain was being lifted on the Linux store, Valve sacked about 30 members of staff including high-profile developer Jeri Ellsworth who was reportedly working on the hardware behind the company's console.

Valve boss Gabe Newell took the unusual step of issuing a statement about the lay-offs to curb speculation about what they would mean for the company's many projects.

He said the sackings did not mean it was cancelling any projects or changing its priorities.

"We're not going to discuss why anyone in particular is or isn't working here," he said.


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Facebook 'targeted by hackers'

15 February 2013 Last updated at 18:18 ET

Facebook has revealed it was the target of a "sophisticated attack" by hackers last month, but found no evidence any user data had been compromised.

The US-based social network said that the attack occurred when employees visited a mobile developer website "that was compromised".

Facebook said in a blog post that it was not the only company to have been attacked in this way.

More than one billion people use Facebook worldwide.

"Last month, Facebook security discovered that our systems had been targeted in a sophisticated attack," the California-based company said.

"The attack occurred when a handful of employees visited a mobile developer website that was compromised."

Malware was downloaded on to its employees' laptops, the firm said, adding: "As soon as we discovered the presence of the malware, we remediated all infected machines, informed law enforcement, and began a significant investigation that continues to this day."

"We have no evidence that Facebook user data was compromised in this attack," Facebook said in its blog post.

The firm went on to say that it was "not alone in this attack".

"It is clear that others were attacked and infiltrated recently as well. As one of the first companies to discover this malware, we immediately took steps to start sharing details about the infiltration with the other companies and entities that were affected," Facebook said.

This is the latest attack by apparently sophisticated hackers targeting high-profile sites.

Twitter said earlier this month that the theft of 250,000 users' passwords, as well as usernames, emails and other data, was "not the work of amateurs".

The New York Times, Washington Post and Wall Street Journal have all accused China of "persistently" hacking into their security systems - accusations China denies.


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EU proposes new cybercrime rules

Written By Unknown on Minggu, 10 Februari 2013 | 23.22

7 February 2013 Last updated at 06:23 ET

Over 40,000 firms, including energy providers, banks and hospitals could be required to report cyber-break-ins under new rules proposed by the EU.

It is part of a move to intensify global efforts to fight cybercrime.

Digital agenda commissioner Neelie Kroes said that Europe needed to improve how it dealt with cybersecurity.

But firms are concerned that reporting online attacks and security breaches might damage their reputations.

Many breaches

The EU is keen that member states share information about attacks and shore up their cyber-defences.

Under the proposals, each country would have to appoint a Computer Emergency Response Team and create an authority to whom companies would report breaches.

These new bodies would decide whether to make the breaches public and whether to fine companies.

Cybercrime graphic

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Announcing the changes, Ms Kroes said: "Europe needs resilient networks and systems and failing to act would would impose significant costs on consumers, businesses and society."

According to the EU, only one in four European companies has a regularly-reviewed, formal ICT security policy. Even among ICT companies, the figure is only one in two, it said.

A recent study by accountants PwC suggested that three quarters of UK small businesses, and 93% of large ones, had recently suffered a cybersecurity breach.


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Kids app 'translates' grown-up paper

7 February 2013 Last updated at 08:44 ET

An augmented-reality app that "translates" grown-up newspapers for children has been developed in Japan.

The Tokyo Shimbun, one of the country's biggest daily titles, has worked with advertising firm Dentsu to create the AR News software.

It allows children to hold a smartphone over the newspaper to see a child-friendly version of the text.

In a promotional video, Dentsu said the app could "create a future for the old media newspaper".

"Newspapers were not made for children," the clip said.

"If newspapers became readable to children, they will contribute to family communication and child's education."

'Educational tool'

The demo video shows a father laying a newspaper out on a table as the child holds his smartphone over the page. Cartoon characters appear on the screen, explaining stories and drawing attention to important words.

"Difficult articles and social problems, economy and politics became interesting subjects for children," Dentsu said.

"The newspapers became a media read by both parent and child. And also an educational tool for children."

Paul Bradshaw, university lecturer and blogger on new technology in journalism, told the BBC he was impressed with the idea.

"What it's really about is something that's been talked about for a long time, about content being presented in different ways depending on who the user is," he said.

"It means two versions of the content - a grown-up one and the kids one. That has enormous potential. It also tackles a big gap in young readership.

"Are kids going to be interested in the same subjects as adults, even when treated differently? That's a nut to crack."


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Dead Space cheat dents in-game fees

7 February 2013 Last updated at 09:23 ET By Leo Kelion Technology reporter

Exploits in the bestselling video game Dead Space 3 are allowing users to obtain in-game items for free.

The "cheats" could prove costly to the title's publisher, Electronic Arts (EA), which has introduced a system that charges users cash for extra equipment in the sequel.

The move has proved controversial with some, since the title already costs about £40.

EA has the ability to issue an update to remove the workarounds.

However, a spokesman said the firm had no comment on the issue.

Dead Space 3 is an action-horror third-person shooter set on a frozen planet.

Part of its challenge is locating scarce in-game resources needed to create ammunition and medical packs in order to tackle the title's monsters.

In previous games in the franchise, the user needed to find credits in order to buy upgrades. However, the new game introduces real-money micro-transactions as a way of allowing players to add equipment faster than would otherwise be possible.

Ethical dilemma

The bugs were first reported by the news site Game Front, which subsequently posted a video online showing how they worked.

One involves the player's character walking into a specific building, picking up an item, walking out - and then returning to find a new item has appeared. This can be repeated an unlimited number of times.

The other requires the user to go to a different destination, to pick up an item and then to select save and quit before returning to the game.

Within hours of the discoveries, news of the exploits spread to other gaming sites and social media networks.

Several users commented that they did not believe using the cheats was unethical because Dead Space 3 had already been priced as a "premium title".

Bolt-on costs

The rise of micro-transactions in video games can be traced to Asia, where they were introduced as part of efforts to combat piracy.

Rather than charge users to buy software, publishers opted for a "freemium" model, in which the basic product was given away but premium add-on services or features involved payment.

It has since become a common feature in the wider smartphone market.

Console titles have long offered the ability to buy additional downloadable content (DLC) such as extra levels, characters or clothes. However, it is relatively rare for them to charge money for items intrinsic to a character's progress through core content.

Dead Space's developer, Visceral, has stressed players do not need to buy items in Dead Space 3 in order to finish it - but gamers have been concerned about what the innovation signalled.

"People are wondering why do you have to pay more in order to get a weapon that is in the main game anyway," said Keza MacDonald, games editor of the IGN news site.

"The way EA is presenting it is that if you want the weapons earlier then you can buy them. But it's a slippery slope because if most games start adopting this as a tactic you're effectively devaluing the money gamers have had to lay out in the first place."

Legal questions

Cheats have long been a feature of video games.

Magazines such as Zap Attack used to publish pages of tricks in the 1980s to help gamers boost ammunition or health points. Websites offering walkthroughs and other cheat sheets now continue that tradition.

However, one solicitor told the BBC that the practice became "legally grey" once micro-transactions were involved.

"If you go into a baker's to buy a bun and they give you the wrong change and you walk away knowing you have been given more change than you handed over in the first place, that's theft," Sara Ludlam, an intellectual property expert at Lupton, Fawcett, Lee & Priestley told the BBC.

"So, arguably if you go into this game knowing you are supposed to be paying for these weapons and you notice a glitch allows you to accumulate them without paying, that's theft as well.

"But it is arguable because it's a new area."

There is no suggestion that EA would pursue such a case.

Game Front has also made clear that it believed the "farming" of resources within Dead Space 3 should not be equated with in-game purchases.

"Game Front is committed to providing its audience with walkthroughs, easter eggs and cheats for popular video games," said its managing editor Mark Burnham.

"This video was an example of Game Front providing that service, and did not present an ethical dilemma.

"The strategy described in our video merely allows players to efficiently gather resources freely available in the game; the only way to instantly gain resources in the game is to purchase them through the micro-transactions feature."


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Online subscribers surge at NY Times

7 February 2013 Last updated at 14:01 ET

Profits at the New York Times have tripled, as a surge in online subscriptions more than offset weak demand for advertising space.

The US newspaper, which introduced a paywall on its website almost two years ago, said online subscribers rose 13% over the last three months.

Subscriptions beat advertising revenues for the first time in its history.

Net income in the last quarter of 2012 at the highbrow newspaper was $177m (£112m), up from $59m a year ago.

The results were also flattered by a $164m windfall from its sale of jobs search engine Indeed.com late last year, and the fact that the 2012 quarter contained an additional week.

The strong quarter helped push the newspaper group, which also owns the International Herald Tribune, back into a full-year profit for 2012 of $133m, compared with a 2011 loss of $40m.

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"For the first time in our history, annual circulation revenues surpassed those from advertising," said chief executive Mark Thompson, who joined the company in August, having previously been director general of the BBC since 2004.

"By contrast, the advertising environment remained challenging in the fourth quarter."

Advertising revenues were down 8% from a year earlier, adjusting for the additional week in the 2012 quarter, with both print and online advertising suffering.

The New York Times is not the only one to suffer from a fall-off in advertising. Time Warner and Gannett, owner of popular tabloid USA Today, reported the same problem in their quarterly results released this week.

Markets focused on the 16% rise in subscriptions revenues. Subscriptions made up 48% of the company's total revenues in 2012, compared with 45% for advertising.

The newspaper's share price jumped 15% in morning trading on Wall Street, before later falling back to be up just 4.5% by mid-afternoon.


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Kids 'writing malicious hack code'

7 February 2013 Last updated at 19:01 ET By Dave Lee Technology reporter, BBC News
AVG's Tony Anscombe

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AVG's Tony Anscombe says children hacking games is still "theft"

Children as young as 11 years old are writing malicious computer code to hack accounts on gaming sites and social networks, experts have said.

A report from antivirus company AVG detailed evidence of programs written to "steal" virtual currency.

In one case, researchers were able to reverse-engineer "amateur" code to reveal data about the identity of one child in Canada.

The company said children must be educated on coding "rights and wrongs".

"As more schools are educating people for programming in this early stage, before they are adults and understand the impact of what they're doing, this will continue to grow." said Yuval Ben-Itzhak, chief technology officer at AVG.

The researchers found that many instances of malware targeting games popular with children shared the same characteristics.

Most were written using basic coding languages such as Visual Basic and C#, and were written in a way that contain quite literal schoolboy errors that professional hackers were unlikely to make - many exposing the original source of the code.

Stealing data

The team examined closely one particular instance of code that masqueraded as a cheat program for gamers playing Runescape, an online title that has over 200 million signed-up players.

The program, Runescape Gold Hack, promised to give the gamer free virtual currency to use in the game - but it in fact was being used to steal log-in details from unsuspecting users.

"When the researchers looked at the source code we found interesting information," explained Mr Ben-Itzhak to the BBC.

"We found that the malware was trying to steal the data from people and send it to a specific email address.

"The malware author included in that code the exact email address and password and additional information - more experienced hackers would never put these type of details in malware."

That email address belonged, Mr Ben-Itzhak said, to an 11-year-old boy in Canada.

Enough information was discoverable, thanks to the malware's source code, that researchers were even able to find out which town the boy lived in - and that his parents had recently treated him to a new iPhone.

Continue reading the main story

It is not enough to just use computer programs"

End Quote Linda Sandvik Code Club

Many schools around the world are changing education programmes in schools to teach children to code, rather than simply to use, computers.

In the UK, several after-school clubs have been set up - and initiatives to get kids into programming have been backed by the likes of Google and Microsoft.

Coding benefits

Mr Ben-Itzhak said that, as the ability level of children increased, more needed to be done to educate them on how best to use their new skills.

"We cannot tell how many kids around the world are [writing malicious programs], but we believe there are more cases like this.

"You teach your children that you can't take a toy without paying - so I think this type of a message needs to get to the kids when they're writing software too."

Linda Sandvik is the co-founder of Code Club, an initiative that teaches children aged nine and up how to code.

She told the BBC that the benefits from teaching children to code far outweighed any of the risks that were outlined in the AVG report.

"We teach English, maths and science to all students because they are fundamental to understanding society," she said.

"The same is true of digital technology. When we gain literacy, we not only learn to read, but also to write. It is not enough to just use computer programs."


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LinkedIn results beat hopes again

7 February 2013 Last updated at 19:25 ET

Business-focused social networking website LinkedIn's quarterly profits were double expectations, sending shares up 10% in after hours' trading.

Profits for the fourth quarter were $40.2m (£25.5m), twice the amount expected by watchers of the company.

The rise came as increasing numbers of job seekers and recruiters signed up to get connected taking the numbers registered to more than 200 million.

Linkedin also said its future prospects were bright.

Turnover was also higher than expected, rising 81% to $304m from the same period a year ago.

The site's international markets performed strongly, more than doubling in the past year to bring sales of $114.6m.

International earnings are now 38% of the total business.

The figures mean the company, which listed on the stock market in May 2011, has beaten earnings forecasts for seven consecutive quarters.

LinkedIn was founded by former employees of the payment processing system PayPal in 2002.


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UK 'lags behind' on DNA forensics

8 February 2013 Last updated at 03:13 ET By Paul Rincon Science editor, BBC News website

Cross-border co-operation on terrorism and crime will be compromised unless the UK updates the technology it uses for DNA profiling, experts have warned.

The country where the technique was developed now lags behind almost all European countries, which use newer processes to handle crime samples.

But plans to destroy millions of stored DNA samples could increase police workloads when the UK upgrades.

A select committee is hearing evidence on the state of UK forensic science.

The EU has recommended that member states adopt a standard set of 12 genetic markers - or loci - called the European Standard Set (ESS).

The large number of profiles held in different European databases that could potentially be compared necessitated standardisation, and an increase in the number of markers used to match them.

One purpose of the ESS was to reduce the potential for chance, or adventitious, matches between unrelated individuals. If investigators are comparing profiles generated using different sets of markers, there might not be enough of them in common to exclude such adventitious matches.

The timeline for implementation has now passed. Information obtained by the BBC shows that of 15 European countries for which data is available, the UK is one of four that has not upgraded to the recommended marker set.

Using EU recommended markers Not using recommended markers

Data collected in April 2012

Germany, Spain, Greece (Hellenic Police), Slovenia, Italy (Carabinieri, National Police), Cyprus, Lithuania, Portugal (Policia Cientifica), Austria, The Netherlands, Montenegro

UK, Ireland, Serbia, France

Experts also say that the "chemistry" that underlies DNA testing kits used by UK forensic science labs is now more than a decade old and that newer, more sensitive systems can obtain results from even low quality samples - improving success rates. Some argue that such information can potentially make or break a case.

Continue reading the main story

"Start Quote

When you start to combine and compare very large data-sets within and between countries, seven markers might not be enough"

End Quote Prof Peter Schneider University of Cologne

Data compiled by kit manufacturer Promega shows that 20 European countries are using so-called "next generation" systems (the list includes technologies manufactured by Promega and by rival companies).

"[The] UK is currently locked into outdated technology that is more than 10 years old. This means that cases will not be analysed using best practice methods," said Prof Peter Gill, an expert in forensic DNA, from the University of Oslo, Norway.

In his evidence to the inquiry, Prof Gill added: "Cross-border comparisons with other countries will be compromised since the systems in use will no longer be entirely comparable."

Peter Schneider, who leads the European Forensic Genetics Network (Euroforgen), also stressed the urgency of upgrading to new systems.

The professor, who is based at the Institute of Legal Medicine at the University of Cologne, Germany, told BBC News: "When you start to combine and compare very large data-sets within and between countries, seven markers might not be enough to exclude adventitious matches."

Continue reading the main story

DNA

  • DNA's double helix is like a long twisted ladder
  • The rungs of the ladder are made of pairs of four molecules called nucleotides
  • Our genetic code is made of 3 billion pairs

Prof Sir Alec Jeffreys, who - with Prof Gill and Dave Werrett - pioneered the technique of DNA fingerprinting, has previously argued that the "consequences of even one false match leading to a conviction that was subsequently overturned could be severe for the DNA database and its public acceptability".

A Home Office spokesperson told BBC News: "The single DNA test kits currently used in the UK mean matches can be reported immediately, allowing crimes to be solved and prolific offenders brought to justice more quickly. Techniques already used in serious cases are as sensitive, if not more sensitive, than those being proposed.

"While we recognise this new profiling technology has benefits, its introduction needs to be handled carefully to ensure it does not compromise the integrity of our existing forensic DNA techniques."

Sample disposal

UK experts fear that proposals to destroy so-called "second swab" DNA samples could slow down investigations if and when the UK moves over to new markers and chemistries. Currently, when a DNA sample is obtained from a suspect, a first swab is used to generate a profile in the NDNAD and a second sample is placed into storage.

Problems could arise when there was a partial match between a crime scene stain processed using the new markers and an old profile in the database generated using six or 10 markers.

Up until now, it would have been possible to re-process the DNA from the second swab, allowing investigators to confirm or deny a match using a comparison based on all the new loci. But soon, that will no longer be an option.

Dr Chris Maguire, from the Northumbria University Centre for Forensic Sciences (NUCFS), said: "If you change your system to one of the new European standard marker sets, and you have a crime stain with a match in [the old system] and you want to upgrade it - what do you do?

"You've got to go and find the individual and ask them for another sample, instead of just going to the second swab, re-processing it and confirming it."

Dr Sue Pope, from Principal Forensic Services, agreed: "The effect will be that upgrading to the ESS system will require taking another sample, with obvious costs," she explained.

Court ruling

The issues were brought to light by a legal case in which the European Court of Human Rights ruled that holding DNA samples from individuals who have been arrested but are later acquitted or have charges dropped against them is a violation of the right to privacy - an outcome that was backed by civil liberties campaigners.

The UK's new Protection of Freedoms Act 2012 allows DNA samples to be stored for a maximum of six months before they are destroyed. But some forensic scientists say this is too restrictive.

A Home Office document from January 2011, shows that there were also cost-savings to be made by no longer maintaining the samples in freezers - and some six million are now to be disposed of.

The destruction of the swabs is also likely to hamper a forensic technique that has been successfully applied in the UK, known as familial searching, said Dr Maguire. This involves searching for close, though not exact, matches in the DNA database, in the knowledge that such hits could represent family members of a suspect.

Using the second swabs to test for additional markers on the Y (male) chromosome, can help narrow a large pool of close matches - potentially thousands of profiles - to a more manageable number.

A Home Office spokesperson said: "For too long we failed to collect the DNA of prisoners while still retaining information about people who were arrested but never charged. We are now taking steps to ensure that we no longer retain the DNA and fingerprints of innocent people.

"Through the Protection of Freedoms Act we are protecting the privacy and human rights of the public while keeping them safe from crime by ensuring the right people are on DNA databases."

The House of Commons science and technology committee is conducting an inquiry into the impact of closing the Forensic Science Service (FSS) which analysed crime scene evidence in England and Wales. The FSS was shut down by the government in March last year, with the intention that private providers would expand to fill the gap.

Paul.Rincon-INTERNET@bbc.co.uk


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Apple sued by activist shareholder

8 February 2013 Last updated at 03:57 ET

An activist shareholder is suing computer giant Apple, demanding that it share out more of its $137bn (£87bn) cash pile to its investors.

Apple's cash pile has grown to that size from $98bn last March.

US hedge fund manager, David Einhorn, who is behind the unusual move, told the television channel CNBC that Apple had a "Depression-era" mentality, which gave it a tendency to hoard cash and play safe.

Apple called the move "misguided".

The complaint was filed at a court in New York.

Apple has a number of fights on its hands already. Although it is strong in both smartphones and tablet computers, competition is hotting up and its share price is falling.

The firm's shares are now 35% below the record high they reached in September 2012.

Mr Einhorn, who owns Green Light Capital, told CNBC: "It has sort of a mentality of a depression. In other words, people who have gone through traumas... and Apple has gone through a couple of traumas in its history, they sometimes feel like they can never have enough cash."

History

He has also been speaking to the Reuters news agency, which he told he had had meetings with Apple's senior management on the subject of sharing out the cash pile.

Mr Einhorn said he had recently contacted Apple's chief executive, Tim Cook after failing to interest the company's chief financial officer, Peter Oppenheimer, in the matter.

Mr Einhorn's proposals for releasing funds to shareholders involve "preferred" stock - which pays a fixed dividend over time.

Apple is planning to eliminate these at its shareholder meeting later this month.

Preferred shares rank higher than ordinary shares when it comes to paying out a company's assets.

Mr Einhorn has a history of activism.

In 2011, he urged Microsoft Corp to get rid of its chief executive Steve Ballmer, accusing him of being "stuck in the past".


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Ex-US President Bush emails hacked

8 February 2013 Last updated at 05:08 ET

A computer hacker has stolen personal emails and photographs belonging to former US President George H W Bush and his family, US media report.

One photograph posted on the internet showed the 88-year-old Republican politician in bed in hospital, where he was recently treated for bronchitis.

The stolen emails are reported to include addresses and personal details of several members of the Bush family.

A spokesman for Mr Bush confirmed that an investigation was under way.

"We do not comment on matters under criminal investigation," Jim McGrath told the Houston Chronicle.

The hacker broke into email accounts of several members of the Bush family, news website the Smoking Gun reported.

The hacked emails are reported to include messages expressing serious concern about the health of the former president, including a personal note sent by President Barack Obama through an aide.

'Interesting mails'

Mr Bush was discharged from hospital on 14 January after a seven-week stay, during which he was treated for a bronchitis-related cough.

The purloined photos include pictures of his son, former President George W Bush.

One shows the younger Mr Bush posing beside a life-size cardboard cutout of himself with a moustache drawn on it; others are said to show paintings by him, including self-portraits.

The Smoking Gun said it had been in contact with the hacker, who goes by the alias Guccifer.

He said he had taken "a lot of stuff" including "interesting mails" about the former president's time in hospital, the website reported.

George H W Bush was the 41st US President, serving one term from 1989-93. He was defeated by Democrat Bill Clinton when he stood for re-election.

Before becoming president he was Ronald Reagan's vice-president from 1981-89. He also served as vice-president, CIA director, US ambassador to China and congressman from Texas.

His son George W Bush served as 43rd president from 2001-09.


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Row over ownership of 'space marine'

8 February 2013 Last updated at 06:53 ET

UK toymaker Games Workshop has been criticised for asserting a trademark claim to the phrase 'space marines'.

The claim emerged when it was used to get an American ebook about the futuristic soldiers taken off Amazon.

Science fiction writers have called the firm "absurd" for saying it has a trademark to the use of the term in fiction.

A UK media lawyer said more and more firms were using trademark law to protect their creations.

Generic term

The row started in December 2011 when US writer Maggie Hogarth found out that her novel called "Spots the Space Marine" had been removed from the Amazon ebook store following a complaint from Games Workshop.

In emails sent to Ms Hogarth this week, Games Workshop claims that its entry into digital publishing gives it a "common law trademark claim" over the phrase.

Ms Hogarth wrote a blogpost about the row and expressed her fear that if Games Workshop started actively pursuing its claim, science fiction could lose one of its "fundamental" ideas. Ms Hogarth said a lack of funds meant she was unable to defend herself against the claim. However, she is now in touch with the Electronic Frontier Foundation, which campaigns on digital rights, about the case.

The blogpost received a huge amount of publicity and has provoked responses from best-selling SF authors Cory Doctorow, Charles Stross and John Scalzi. Many people sent messages to Games Workshop's Twitter account using the #spacemarines hashtag criticising the firm.

Continue reading the main story

If you have a registered trademark you can stop people using it in the course of trade for goods that are not yours or licensed or approved by you"

End Quote Susan Hall DWF

Mr Scalzi, who is currently president of the Science Fiction and Fantasy Writers of America, said it was "absurd" for the firm to claim ownership of the phrase and its use in literature. In a blogpost, Mr Scalzi said it was "pretty damn generic" long before Games Workshop began using it to describe its toy soldiers and in tabletop games,

A spokesman for Games Workshop said it had a "blanket policy" of not talking to the media and had no comment to make about the row or its trademark claim.

Media and intellectual property lawyer Susan Hall from DWF said Games Workshop might struggle to assert its trademark claim in America.

"In the US they'll come straight up against the First Amendment and that's one issue they'll have to overcome," she said.

Ms Hall said Games Workshop could launch a similar protection campaign in Europe as it had had a registered trademark for the term "space marine" since 1995. Its trademark claim covers the use of the word in connection with many aspects of tabletop gaming and video games, she said, but also extended to published works.

"If you have a registered trademark you can stop people using it in the course of trade for goods that are not yours or licensed or approved by you," she said. "It puts the person with the mark in a very strong position."

Many firms, she said, were registering trademarks to help them keep control of intellectual properties that were now out of copyright. There were dangers in this bid for control, said Ms Hall.

"You need strong IP laws," she said, "but you need to have the ability to rub up against those in a way that allows people to be creative and allows creative freedom."


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Samsung gains tablet market share

Written By Unknown on Minggu, 03 Februari 2013 | 23.22

31 January 2013 Last updated at 22:42 ET

Samsung doubled its share of the tablet PC market in the last three months of 2012, research firm IDC has said.

Samsung, which makes the Galaxy range of tablets, sold 7.9 million units, up from 2.2 million a year ago, taking its market share to 15.1%.

Market-leader and iPad-maker Apple saw its share slide to 43.6% from 51.7%, despite also seeing a jump in sales.

The two have been competing to get a greater share of the tablet PC market, seen as key to their overall growth.

Global shipments of tablet PCs surged 75% in the final quarter of 2012 to a record 52.5 million units.

"We expected a very strong fourth quarter, and the market didn't disappoint," said Tom Mainelli, research director of tablets at IDC.

"New product launches from the category's top vendors, as well as new entrant Microsoft, led to a surge in consumer interest and very robust shipments totals during the holiday season."

The numbers are in sharp contrast with the traditional personal computer market, which saw shipments decline during the quarter for the first time in more than five years.

Continue reading the main story

There is no question that Microsoft is in this tablet race to compete for the long haul"

End Quote Ryan Reith IDC
Growing competition

The tablet PC market is expected to grow further in the coming years.

A number of firms have launched tablets in an attempt to cash in on the booming sector.

Among the latest entrants has been Microsoft, which launched its Surface tablets, powered by the Windows 8 system, late last year.

However, IDC said that the response to the firm's tablets was "muted at best". Microsoft shipped nearly 900,000 unit in the three months to end of December.

IDC said that higher prices of its products had hurt Microsoft's sales.

However, it added that the firm was likely be a key player in the sector in the long term.

"There is no question that Microsoft is in this tablet race to compete for the long haul," said Ryan Reith, program manager of Mobile Device Trackers at IDC.


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'Child porn' virus levies fines

1 February 2013 Last updated at 06:12 ET

German federal police are warning about a computer virus that accuses victims of viewing "juvenile pornography".

It also displays an image that it claims reveals images of child sexual abuse have been viewed on a computer.

The Windows virus locks a computer and only returns control to its owner on payment of a 100 euro (£86) fine.

It purports to be collecting cash on behalf of German copyright authorities and the country's national computer security agency.

The virus amounted to "digital extortion" and victims should not pay up, said German police.

The warning about the novel strain of ransomware was issued by Germany's Federal Criminal police office (the Bundeskriminalamt or BKA).

The ransomware version found by the BKA uses a pop-up window that says the machine has been locked down due to "unauthorised network activity". The window is crafted to look like it has been put together by Germany's Federal Office for Information Security (BKI) and its society for prosecution of copyright infringement (GVU).

'Emotional blackmail'

Text in the window claims that images of child sexual abuse as well as pirated content have been found on the machine. Also displayed is an picture of a child which it claims reveals illegal images have been viewed.

Rik Ferguson, director of security research at Trend Micro, said it was the first time he had heard of ransomware displaying images that users were accused of harbouring.

"It seems that they are attempting to increase the pressure of this kind of emotional blackmail," he told the BBC.

Germany's BKA said users should not pay the fine "under any circumstances" and added that neither the BKI or GVU collected cash in this way from those suspected of viewing illegal images or pirating content. Instead, users should use anti-virus and other security software to clean up their PC and deal with the virus.

"This is a form of digital extortion," said the BKA in its alert about the virus.

Ransomware, which tries to make victims pay an on-the-spot fine, is becoming more prevalent but most strains simply accuse people of pirating movies or music. Others scramble data that is only unscrambled when a fee is paid.

Security firm Symantec said it was seeing more and more strains of ransomware and said it could be "highly profitable" for its creators. It estimated that ransomware makers were already making about $5m (£3m) a year from such malicious code.


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Plans to 3D print Moon building

1 February 2013 Last updated at 07:21 ET

Architects Fosters and Partners have revealed designs for a building on the Moon that could be constructed from material already on its surface.

An inflatable structure would be transported from Earth, then covered with a shell built by 3D printers.

The printers, operated by robots, would use soil from the Moon, known as regolith, to build the layered cover.

The proposed site for the building is the southern pole of the Moon.

It is designed to house four people and could be extended, the firm said.

In 2010 a team of researchers from Washington State University found that artificial regolith containing silicon, aluminium, calcium, iron and magnesium oxide could be used by 3D printers to create solid objects.

The latest plans are the result of a collaboration between a number of organisations including the European Space Agency.

The consortium tested the practicalities of using a printer on the Moon by setting up a D-shape 3D printer, which are used to print very large house-sized structures, in a vacuum chamber with simulated lunar material.

'Fascinating and unique'

"As a practice, we are used to designing for extreme climates on Earth and exploiting the environmental benefits of using local, sustainable materials," said Xavier De Kestelier, a partner in the firm's specialist modelling group.

"It has been a fascinating and unique design process, which has been driven by the possibilities inherent in the material."

Buildings on this planet by the architect firm include Wembley Stadium, the World Trade Center in New York and Beijing airport.

Last week US company Deep Space Industries (DSI) announced plans to use asteroid material for manufacture by harvesting them and using 3D printers sent into space.

The company is also developing a bespoke 3D printer called MicroGravity Foundry for the purpose, it said, and hopes to be ready to start production by 2020.


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