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AT&T

FCC Calls Out AT&T, Verizon For 'Zero Rating' Their Own Video Apps (zdnet.com) 55

U.S. regulators are calling out AT&T and Verizon for exempting their own video apps from data caps on customers' smartphones. The FCC has sent letters to the country's biggest wireless carriers saying the way they handle the practice, known as "zero rating," can hurt competition and consumers. From a report on ZDNet: AT&T launched DirecTV Now earlier this week. AT&T Mobility customers can stream video data over LTE without impacting their data allowance. Verizon offers something similar with its go90 service. AT&T and Verizon don't see any wrongdoing. In a statement Friday, AT&T said exempting services like DirecTV Now from data caps saves customers money. Verizon said its practices are good for consumers and comply with regulations. "We will provide the FCC with additional information on why the government should not take away a service that saves consumers money," AT&T wrote in a statement Friday. The FCC hasn't released any official ruling on "zero rating," just guidance. It said on Thursday a similar letter was sent to AT&T in November, but the FCC didn't like AT&T's original response.
Republicans

Trump Appoints Third Net Neutrality Critic To FCC Advisory Team (dslreports.com) 191

Last week, President-elect Donald Trump appointed two new advisers to his transition team that will oversee his FCC and telecommunications policy agenda. Trump has added a third adviser today who, like the other two advisers, is a staunch opponent of net neutrality regulations. DSLReports adds: The incoming President chose Roslyn Layton, a visiting fellow at the broadband-industry-funded American Enterprise Institute, to help select the new FCC boss and guide the Trump administration on telecom policy. Layton joins Jeffrey Eisenach, a former Verizon consultant and vocal net neutrality critic, and Mark Jamison, a former Sprint lobbyist that has also fought tooth and nail against net neutrality; recently going so far as to argue he doesn't think telecom monopolies exist. Like Eisenach and Jamison, Layton has made a career out of fighting relentlessly against most of the FCC's more consumer-focused efforts, including net neutrality, consumer privacy rules, and increased competition in the residential broadband space. Back in October, Layton posted an article to the AEI blog proclaiming that the FCC's new privacy rules, which give consumers greater control over how their data is collected and sold, were somehow part of a "partisan endgame of corporate favoritism" that weren't necessary and only confused customers. Layton also has made it abundantly clear she supports zero rating, the practice of letting ISPs give their own (or high paying partners') content cap-exemption and therefore a competitive advantage in the market. She has similarly, again like Eisenach and Jamison, supported rolling back the FCC's classification of ISPs as common carriers under Title II, which would kill the existing net neutrality rules and greatly weaken the FCC's ability to protect consumers.
Google

Morgan Stanley: Pixel Phone Will Generate Google Almost $4 Billion In Revenue Next Year (9to5google.com) 66

An anonymous reader quotes a report from 9to5Google: With initial Pixel pre-orders exceeding expectations and promising activation numbers from Verizon, Google is on track to sell three million phones with revenues of $2 billion in 2016. The Morgan Stanley estimate comes as the Pixel reportedly captured 10% of the premium smartphone market in India. Unsurprisingly, the 128GB Pixel XL has the largest gross profit margin at 25%, while the cheapest 32GB Pixel is at 22%. Morgan Stanley also estimates that, compared to the iPhone, the Pixel will be half as profitable. Morgan Stanley expects Google to sell 5-6 million Pixel and Pixel XL devices in 2017 to the tune of $3.8 billion in revenue. Google is also expected to make money from increased usage of services like Android Pay and mobile search. Google's big gains were possibly due in part to Samsung's Note 7 debacle, with the company's marketshare falling to 23%. Apple captured the number one position at 66%. Additionally, Google benefitted from running a number of promotions, including cashback and exchange programs. The company also heavily advertised in newspapers, with billboards, and for the first time displays in large retail stores.
Republicans

Trump Names Two Opponents of Net Neutrality To Oversee FCC Transition Team (gizmodo.com) 395

An anonymous reader quotes a report from Gizmodo: President-elect Donald Trump has appointed two new advisers to his transition team that will oversee his FCC and telecommunications policy agenda. Both of the new advisers are staunch opponents of net neutrality regulations. Jeff Eisenach, one of the two newly appointed advisers, is an economist who has previously worked as a consultant for Verizon and its trade association. In September 2014, Eisenach testified before a Senate Judiciary Committee and said, "Net neutrality would not improve consumer welfare or protect the public interest." He has also worked for the conservative think-tank American Enterprise Institute (AEI) and in a blog post wrote, "Net neutrality is crony capitalism pure and simple." Mark Jamison, the other newly appointed adviser, also has a long history of battling against net neutrality oversight. Jamison formerly worked on Sprint's lobbying team and now leads the University of Florida's Public Utility Research Center. Both Eisenach and Jamison are considered leading adversaries of net neutrality who worked hard to prevent the rules from being passed last year. For the uninitiated, the rules passed last year prevent companies internet providers from discriminating against any online content or services. For example, without net neutrality rules, internet providers like Comcast and Verizon could charge internet subscribers more for using sites like Netflix. The FCC's net neutrality rules would protect consumers from paying exorbitant fees for internet use.
AT&T

Apple's Chip Choices May Leave Some iPhone Users in Slow Lane (bloomberg.com) 35

Not all iPhone 7s are created equal, it turns out. The latest flagship smartphones from Apple that run on Verizon's network are technically capable of downloading data faster than those from AT&T. Yet in testing, the two phones perform about the same, according to researchers at Twin Prime Inc. and Cellular Insights. From a Bloomberg report: Neither firm is clear on the reason, but Twin Prime says it may be because Apple isn't using all the potential of a crucial component in the Verizon version. "The data indicates that the iPhone 7 is not taking advantage of all of Verizon's network capabilities," said Gabriel Tavridis, head of product at Twin Prime. "I doubt that Apple is throttling each bit on the Verizon iPhone, but it could have chosen to not enable certain features of the network chip." "Every iPhone 7 and iPhone 7 Plus meets or exceeds all of Apple's wireless performance standards, quality metrics, and reliability testing," Apple spokeswoman Trudy Muller said. "In all of our rigorous lab tests based on wireless industry standards, in thousands of hours of real-world field testing, and in extensive carrier partner testing, the data shows there is no discernible difference in the wireless performance of any of the models." It would be an unusual step for a major phone company to restrain its devices. Normally, companies battle to make the fastest, most reliable handsets. Apple may be doing this because it wants to ensure a uniform iPhone experience, according to analysts.
America Online

AOL To Cut 500 Workers To Narrow Focus On Mobile, Video (bloomberg.com) 60

According to a report from Bloomberg, AOL is firing as many as 500 employees as part of a restructuring plan to focus on mobile, video and data. The move comes a year after Verizon acquired the company for $4.4 billion. Bloomberg reports: The layoffs are occurring in all of AOL's business units, said the person, who asked not to be identified disclosing the scope of the cuts. AOL employs about 6,400 people worldwide, the person said. In addition to the job cuts, the company will split into two parts, according to the memo. One will be dedicated to media properties, which include Huffington Post and TechCrunch, and the other will focus on platforms, like AOL's advertising technology. "Mobile, video, and data are the key growth drivers of that strategy and the company will be putting resources into each of these areas," [Chief Executive Officer Tim Armstrong wrote in a memo to employees Thursday.] With the wireless industry maturing, AOL parent Verizon has been buying up media and advertising-technology companies and working to refine go90, its free video-streaming service aimed at phone-toting teens.
Government

FCC Abides By GOP Request To Stop What It's Doing, Deletes Everything From Meeting Agenda (arstechnica.com) 119

One day after republicans from the house and senate sent letters to FCC Chairman Tom Wheeler, urging him to avoid passing regulations before Donald Trump's inauguration as president, Wheeler appears to have complied with the request. The FCC today "announced the deletion of all items that were originally scheduled to be presented and voted on at tomorrow's meeting." Ars Technica reports: Before the change, the agenda included votes on price caps for "special access" business data services; Universal Service funding to expand mobile broadband networks; wireless roaming obligations; and requirements for audio description of TV programming for blind and visually impaired people. The only item not deleted from tomorrow's meeting is part of the "consent agenda," which means it is routine and wasn't going to be presented individually. Of the major items, the business data services proposal had received the most attention. These are dedicated wireline circuits provided by traditional phone companies like AT&T and Verizon; the services supply bandwidth for cellular data networks, indirectly affecting the price consumers pay for wireless service. The business data services are also used by banks and retailers to connect ATM machines and credit card readers, by government and corporate users to connect branch offices and data centers, and to support public safety operations and health care facilities. The now-deleted agenda item would have phased in price cap decreases of 11 percent over three years to account for "over a decade of efficiency gains" since the last price cap adjustment.
Government

How President Trump Could Destroy Net Neutrality (vice.com) 235

An anonymous reader quotes a report from Motherboard: Donald Trump's presidential election victory could have dire consequences for U.S. internet freedom and openness, according to several tech policy experts and public interest advocates surveyed by Motherboard on Wednesday. The Republican billionaire will likely seek to roll back hard-won consumer protections safeguarding net neutrality, the principle that all internet content should be equally accessible, as well as a host of other policies designed to protect consumers, ensure internet freedom, and promote broadband access, these experts and advocates said. In the wake of Trump's election victory, FCC Chairman Wheeler is likely to step down before the billionaire reality TV star is inaugurated in January. Incoming presidents traditionally have the prerogative to select the leader of FCC, which has broad regulatory power over the nation's cable, phone and satellite companies. It's unclear whom Trump might nominate to lead the FCC, but Ajit Pai, the Kansas-born Republican FCC commissioner and former Verizon lawyer, is likely to be a contender. Trump has tapped Jeffrey Eisenach, a conservative scholar at the American Enterprise Institute, to lead his telecom policy transition team, according to Politico. Eisenach is a well-known figure in right-wing telecommunications policy circles, with a reputation as a "crusader against regulation." One immediate consequence of Trump's election is a dimmer outlook for ATT's proposed $85 billion buyout of entertainment giant Time Warner. Last month, Trump vowed to block the deal, warning that it would result in "too much concentration of power in the hands of too few." Trump's ignorance about tech and telecom policy was on full display throughout the election season. For example, Trump blithely compared net neutrality to the FCC's old Fairness Doctrine, a bizarre and ignorant assertion for which he was roundly mocked. The Fairness Doctrine, which was eliminated decades ago, required media outlets to afford a "reasonable opportunity" for the airing of opposing views on major issues. Net neutrality has nothing to do with the Fairness Doctrine, but rather ensures that consumers have open, unfettered access to the internet. Net neutrality can't be torpedoed overnight. The FCC rules prohibiting online fast lanes and discriminatory broadband practices are now U.S. policy, and they can't be dismantled at the whim of an authoritarian president. But a Trump-backed, Republican-led FCC could simply stop enforcing the net neutrality policy, rendering it essentially toothless. That could unleash the nation's largest cable and phone companies, including Comcast, AT&T and Verizon, to expand controversial practices like "zero-rating" that are designed to circumvent net neutrality.
Security

Another Internet Outage Takes Down Services in US and UK (chicagotribune.com) 34

Reader Archangel Michael writes: Parts of the internet were down across the U.S. and in the U.K. Wednesday morning, as service provider Level 3 Communications reported an outage. Level 3, which provides internet and voice services to businesses, said the company did not yet know the cause of the outage, which temporarily disrupted or slowed service to some customers. "Our technical team is looking into this issue to determine the cause. Our priority is to ensure the reliability of our network and services. We will provide updates as more information becomes available," Nikki Wheeler, senior director of media relations, wrote in an email. The Broomfield, Colo.-based company is a Tier 1 provider, which means its network powers other internet and content providers. In 2015, it partnered with Verizon. It is also the content delivery network for Netflix and the HBO Go mobile app; a Blue Sky test of those services showed they seemed to be unaffected. ArsTechnica has more details.
Communications

Trump Organization Owns More Than 3,600 Domain Names, Many of Which Bash Trump (go.com) 224

With the presidential election just days away, research firm DomainIQ decided to track down the number of domains registered under Donald Trump's organization and Hillary Clinton's campaign. They found that the Trump Organization owns more than 3,600 web addresses, including names of his properties, products and progeny, as well as Trump-bashing names. Some of the domains registered under the Trump Organization include donaldtrumpsucks.com, no2trump.com, trumpmustgo.com and two dozen others that appear to be bashing the billionaire Republican presidential nominee. Meanwhile, Hillary Clinton's campaign owns 70 domains, but none of them appear to bash Clinton. ABC News reports: There are 274 domains alone featuring the name of Trump's daughter Ivanka. And then there are the ones that seem better suited for the anti-Trump crowd: eight domains ending in "scheme," eight ending in "fraud" and eight ending in "sucks." Cable giant Comcast owns ihatecomcast.com, and Verizon holds verizonsucks.com. Colleges have made a habit of buying up versions of their names ending in .xxx to prevent them from falling into the hands of pornographers, and Major League Baseball has registered the names of various teams ending in .sex. Hillary Clinton's campaign owns 70, according to DomainIQ, though none appear to be the kind of derogatory names Trump has registered. Her family's foundation owns 214 domains, including four ending in .xxx.
AT&T

'Robocall Strike Force' Proposal Could Stop Caller ID Spoofing (onthewire.io) 97

This summer the FCC convened a "Robocall Task Force" to help consumers fight unwanted automated telemarketers, and Wednesday the coalition finally delivered a report recommending a "Do Not Originate" list so carriers could spot spoofed numbers which should be blocked. A trial of the "DNO" list that's been running for the last few weeks on some IRS numbers has resulted in a 90 percent drop in the volume of IRS scam calls, officials from AT&T, which leads the strike force, said during the FCC meeting Wednesday. The carriers on the strike force, which include Sprint, Verizon, and many others, plan to continue testing the DNO list in the coming months, with the intent to fully implement it some time next year...

The strike force members also are working on a system to classify calls into categories, such as political or charity, as a way to give consumers more information before they answer calls from unknown numbers. And, the group said it has developed a working solution for authentication between VoIP applications and traditional landline networks as another way to defeat spoofing from callers in foreign countries.

Early next year they're planning larger tests -- and the strike force has also created a new site describing how to block and report robocalls.
Government

FCC Imposes ISP Privacy Rules and Takes Aim At Mandatory Arbitration (arstechnica.com) 51

An anonymous reader quotes a report from Ars Technica: The Federal Communications Commission today imposed new privacy rules on Internet service providers, and the Commission said it has begun working on rules that could limit the use of mandatory arbitration clauses in the contracts customers sign with ISPs. The new privacy rules require ISPs to get opt-in consent from consumers before sharing Web browsing data and other private information with advertisers and other third parties. The rules apply both to home Internet service providers like Comcast and mobile data carriers like Verizon Wireless. The commission's Democratic majority ensured the rules' passage in a 3-2 vote, with Republicans dissenting. Democratic Commissioner Mignon Clyburn was disappointed that the rules passed today did not include any action on mandatory arbitration clauses that prevent consumers from suing ISPs. But Chairman Tom Wheeler said that issue will be addressed in a separate rule-making. In the case of privacy rules, the FCC passed the NPRM in March and the final rules today. Clyburn argued that the FCC could have imposed mandatory arbitration restrictions today, because the privacy NPRM sought public comment about whether to ban mandatory arbitration. Under the FCC rules, ISPs that want to share consumer data with third parties such as advertisers must obtain opt-in consent for the most sensitive information and give customers the ability to opt out of sharing less sensitive information. Here's how the FCC describes the new opt-in and opt-out requirements: "Opt-in: ISPs are required to obtain affirmative 'opt-in' consent from consumers to use and share sensitive information. The rules specify categories of information that are considered sensitive, which include precise geo-location, financial information, health information, children's information, Social Security numbers, Web browsing history, app usage history, and the content of communications. Opt-out: ISPs would be allowed to use and share non-sensitive information unless a customer 'opts-out.' All other individually identifiable customer information -- for example, e-mail address or service tier information -- would be considered non-sensitive, and the use and sharing of that information would be subject to opt-out consent, consistent with consumer expectations. Exceptions to consent requirements: Customer consent is inferred for certain purposes specified in the statute, including the provision of broadband service or billing and collection. For the use of this information, no additional customer consent is required beyond the creation of the customer-ISP relationship." ISPs must clearly notify customers about the types of information they collect, specify how they use and share the information, and identify the types of entities they share the information with.
Yahoo!

Verizon Says Yahoo Name Isn't Going Away (cnet.com) 27

Verizon is treading carefully with Yahoo, but still wants to seal the deal. From a CNET report: "The deal makes strategic sense," said Marni Walden, the executive vice president of business innovation for Verizon and the person who pushed for the acquisition. "We won't jump off of a cliff blindly." She continues to believe there's value in the Yahoo name, noting that it won't go away if Verizon completes its acquisition. Brands like Yahoo Mail and Yahoo Finance still draw plenty of eyeballs, and offer the kind of audience that Verizon and AOL lack, she said during a keynote session at The Wall Street Journal Digital conference on Wednesday. Her comments come just weeks after Yahoo disclosed a 2014 breach exposed at least 500 million accounts, making it the worst hack in history. Shortly after, reports found that Yahoo had participated in a government program to sniff user emails, further eroding trust. Verizon said this all had the potential to cause a "material impact" to the deal, which could mean Yahoo takes a reduced price or the deal falls through altogether.
AT&T

AT&T Is Spying on Americans For Profit, New Documents Reveal (thedailybeast.com) 161

AT&T has been secretly spying on its own customers, the Daily Beast reports. The revelation comes days after the top carrier announced plans to purchase Time Warner. The report claims that AT&T ran a program called Project Hemisphere through which it analyzed cellular data from the company's call records to determine where a given individual is located and with whom they are speaking. The New York Times reported about the program's existence in 2013, but it was described as a "partnership" between A&T and the government for fighting narcotics trafficking. But today's report, which cites several classifed documents, claims that AT&T used Hemisphere for a range of other functions -- and always without a warrant. From the report:Hemisphere is a secretive program run by AT&T that searches trillions of call records and analyzes cellular data to determine where a target is located, with whom he speaks, and potentially why. [...] Hemisphere isn't a "partnership" but rather a product AT&T developed, marketed, and sold at a cost of millions of dollars per year to taxpayers. No warrant is required to make use of the company's massive trove of data, according to AT&T documents, only a promise from law enforcement to not disclose Hemisphere if an investigation using it becomes public. These new revelations come as the company seeks to acquire Time Warner in the face of vocal opposition saying the deal would be bad for consumers. While telecommunications companies are legally obligated to hand over records, AT&T appears to have gone much further to make the enterprise profitable, according to ACLU technology policy analyst Christopher Soghoian. "Companies have to give this data to law enforcement upon request, if they have it. AT&T doesn't have to data-mine its database to help police come up with new numbers to investigate," Soghoian said. AT&T has a unique power to extract information from its metadata because it retains so much of it. The company owns more than three-quarters of U.S. landline switches, and the second largest share of the nation's wireless infrastructure and cellphone towers, behind Verizon. AT&T retains its cell tower data going back to July 2008, longer than other providers. Verizon holds records for a year and Sprint for 18 months, according to a 2011 retention schedule obtained by The Daily Beast.
Security

'Adding a Phone Number To Your Google Account Can Make it Less Secure' (vijayp.ca) 106

You may think that adding a backup phone number to your account will make it prone to hack, but that is not always the case. Vijay Pandurangan, EIR at Benchmark (and formerly with Eng Site Lead at Twitter) argues that your phone number is likely the weakest link for many attackers (at least when they are trying to hack your Google account). He has shared the story of his friend who had his Google account compromised. The friend in this case, let's call him Bob, had a very strong password, a completely independent recovery email, hard-to-guess security questions, and he never logged in from unknown devices. Though Bob didn't have multi-factor authentication enabled, he did add a backup phone number. On October 1, when Bob attempted to check his email, he discovered that he was logged out of his Gmail account. When he tried to login, he was told that his password was changed less than an hour ago. He tried calling Verizon, and discovered that his phone service was no longer active, and that the attacker had switched his service to an iPhone 4. "Verizon later conceded that they had transferred his account despite having neither requested nor being given the 4-digit PIN they had on record." The attacker reset Bob's password and changed the recover email, password, name on the account, and enabled two-factor authentication. He got his account back, thanks to support staff and colleagues at Google, but the story illustrates how telco are the weakest link. From the article: Using a few old Google accounts, I experimented with Google's account recovery options and discovered that if a Google account does not have a backup phone number associated with it, Google requires you to have access to the recovery email account OR know the security questions in order to take over an account. However, if a backup phone number is on the account, Google allows you to type in a code from an SMS to the device in lieu of any other information. There you have it: adding a phone number reduces the security of your account to the lowest of: your recovery email account, your security questions, your phone service, and (presumably) Google's last-ditch customer service in case all other options fail. There are myriad examples of telcos improperly turning over their users' accounts: everything from phone hacking incidents in the UK to more recent examples. Simply put, telcos can be quite bad at securing your privacy and they should not be trusted. Interestingly, it appears that if two-factor-auth via SMS is enabled, Google will not allow your password to be reset unless you can also answer a security question in addition to having access to a phone number.
Cellphones

Higher-End Smartphones Make You Happier, Says JD Power Study (cnet.com) 126

A new J.D. Power study published Thursday found that users who pay more for their smartphones report higher satisfaction than those who pay less for their smartphones. The study also found that among ATT and Sprint customers, Samsung phones ranked highest in overall satisfaction, while T-Mobile and Verizon customers preferred Apple iPhones. Jessica Dolcourt via CNET writes about the other conclusions made by the J.D. Power study: - Customers of ATT, Sprint, T-Mobile and Verizon (full-service carriers) report more satisfaction than customers on Boost Mobile, Cricket, MetroPCS and Virgin Mobile (co-contract carriers).
- Full-service customers pay an average of $361 for their phones compared with prepaid customers' $137 average.
-Customers who pay more for their phones report higher satisfaction.
- This is likely because high-cost phones perform better. (Editor's note: no duh)

Network

Millimeter-wave 5G Modem Coming Mid-2018 With 5Gbps Peak Download (arstechnica.com) 39

Qualcomm is promising to launch its first 5G modem in 2018, even though basic standards for 5G have yet to be established, nor even which part of the radio spectrum it will use. From an ArsTechnica report: Dubbed the Snapdragon X50, the San Diego chipmaker says its new modem will be able to deliver blindingly fast peak download speeds of around 5Gbps. The X50 5G will at first operate with a bandwidth of about 800MHz on the 28GHz millimetre wave (mmWave in Qualcomm jargon) spectrum, a frequency that's also being investigated by Samsung, Nokia, and Verizon. However, the powers that be have far from settled on this area of the spectrum, with 73GHz also being mooted. In the UK, Ofcom is investigating several bands in a range between 6GHz and 100GHz. As the industry as a whole is a long way from consensus, this could be Qualcomm's bid to get the final frequency locked down well before 2020 -- the year that 5G is expected to reach any kind of consumer penetration. "The Snapdragon X50 5G modem heralds the arrival of 5G as operators and OEMs reach the cellular network and device testing phase," said Qualcomm exec veep Cristiano Amon. "Utilising our long history of LTE and Wi-Fi leadership, we are thrilled to deliver a product that will help play a critical role in bringing 5G devices and networks to reality. This shows that we're not just talking about 5G, we're truly committed to it."
Communications

FTC Says It May Be Unable To Regulate Comcast, Google, and Verizon (arstechnica.com) 86

The Federal Trade Commission is worried that it may no longer be able to regulate companies such as Comcast, Google, and Verizon unless a recent court ruling is overturned, ArsTechnica reports. From the article: The FTC on Thursday petitioned the 9th US Circuit Court of Appeals for a rehearing in a case involving AT&T's throttling of unlimited data plans. A 9th Circuit panel previously ruled that the FTC cannot punish AT&T, and the decision raises questions about the FTC's ability to regulate any company that operates a common carrier business such as telephone or Internet service. While the FTC's charter from Congress prohibits it from regulating common carriers, the agency has previously exercised authority to regulate these companies when they offer non-common carrier services. But the recent court ruling said that AT&T is immune from FTC oversight entirely, even when it's not acting as a common carrier. It isn't clear whether the ruling sets an ironclad precedent preventing the FTC from regulating any company with a common carrier business.
Twitter

No One Wants To Buy Twitter (theverge.com) 316

At one point, it seemed that many were interested in purchasing the micro-blogging social platform (which now calls itself a news service) Twitter, but its fate is quickly drying up. Salesforce (which couldn't buy LinkedIn) showed the most interest in Twitter, but this week its CEO Marc Benioff said his company has "walked away" from making a bid to buy it. The Verge sums up the situation: If you're keeping track, that's now... pretty much everyone who's said they're not interested in buying Twitter. Neither Google nor Disney plan to bid on Twitter, despite reports saying both were interested. Recode says that Apple is likely also out of the picture. And Verizon immediately dismissed speculation that it was considering a bid. Facebook is also said to be uninterested, according to CNBC. And while Microsoft's name has been tossed around, no one seems to think the acquisition would make any sense for an increasingly enterprise-focused company.The situation is so bad that as soon as the news of Salesforce withdrawing its name from the bidding race broke, its stock quickly went up by 6 percent, while Twitter's stock registered a 6 percent drop.
Network

Non-Cable Internet Providers Offer Faster Speeds To the Wealthy (arstechnica.com) 170

An anonymous reader quotes a report from Ars Technica: When non-cable Internet providers -- outlets like ATT or Verizon -- choose which communities to offer the fastest connections, they don't juice up their networks so everyone in their service area has the option of buying quicker speeds. Instead, they tend to favor the wealthy over the poor, according to an investigation by the Center for Public Integrity. The Center's data analysis found that the largest non-cable Internet providers collectively offer faster speeds to about 40 percent of the population they serve nationwide in wealthy areas compared with just 22 percent of the population in poor areas. That leaves tens of millions of Americans with the choice of either purchasing an expensive connection from the only provider in their area -- typically a cable company -- or just doing the best they can with slower speeds. Middle-income areas don't fare much better, with a bit more than 27 percent of the population having access to a DSL provider's fastest speeds. The Center reached its conclusions by merging the latest Federal Communications Commission (FCC) data with income information from the U.S. Census Bureau. The non-cable Internet providers -- the four largest are ATT Inc, Verizon Communications Inc, CenturyLink Inc, and Frontier Communications Corp -- hook up customers over telephone wires that are Digital Subscriber Lines (DSL), or they use hybrid networks that include some fiber connections near (and sometimes directly to) homes. The Center included all types of connection in its analysis. These companies account for nearly 40 percent of the 92 million Internet connections nationwide. Cable companies, such as Comcast Corp and Charter Communications Inc, operate under a different set of conditions. These providers offer the same fast speeds to almost every community they serve, in part because of franchise agreements with local governments. But a previous Center investigation and other reports have shown that cable firms sometimes avoid lower-income or hard-to-reach areas based on how franchise agreements are written. Poor areas not served by the cable companies are not included in the Centerâ(TM)s analysis, which results in what seems like an equitable distribution of speeds across income levels. "Society said it did not matter if you could pay for electricity; we wanted everyone to have it. Society said we would not limit dial tone to those who could pay the most, we gave it to all," said telecommunications lawyer Gerard Lederer of Best Best and Krieger LCC in Washington, D.C., in an e-mail. "Broadband is quickly becoming that utility, and if applications only work at high speeds, then the universal availability of that speed must be the goal, otherwise you are providing everyone with water, just some of the water is not drinkable."

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