LAWSUIT AGAINST MICROSOFT BRINGS GATES TO THE STAND

Lawsuit against Microsoft brings gates to the stand

Story first appeared in the Associated Press.

Microsoft's Bill Gates returns to the witness stand Tuesday to defend his company against a $1 billion antitrust lawsuit that claims the software giant tricked a competitor into huge losses and soared onto the market with Windows 95. A Boston Intellectual Property Lawyer was keeping himself posted as the case continued.

Utah-based Novell Inc. sued Microsoft in 2004. The company says Gates duped them into thinking he would include its WordPerfect writing program in the new Windows system, then backed out because he feared it was too good. A Frankfurt Intellectual Property Lawyer watched the high profile case closely.

Novell said it was later forced to sell WordPerfect for a $1.2 billion loss.

Gates testified Monday that Microsoft was racing to put out Windows 95 when he dropped technical features that would no longer support the rival's word processor because engineers warned it would crash the system. A Leeds Intellectual Property Lawyer thought that this appeared to be a reasonable answer.


Windows 95 was a major innovation, and Gates said he had his mind on larger issues. A Nashville intellectual Property Lawyer said this is not uncommon.


Gates said Novell just couldn't deliver a Windows 95 compatible WordPerfect program in time for rollout, and its own Word program was actually better. He said that by 1994, Microsoft Word was rated No. 1 in the market above WordPerfect. A Pittsburgh Intellectual Property Lawyer said she liked Microsoft Word.

WordPerfect once had nearly 50 percent of the market for computer writing programs, but its share quickly plummeted to less than 10 percent as Microsoft's own office programs took hold.

Microsoft lawyers say Novell's loss of market share was its own doing because the company didn't develop a Windows compatible WordPerfect program until months after the operating system's rollout. A San Francisco intellectual Property Lawyer agreed this would be a tough argument.


Gates called it an "important win" in an email to executives.

Attorneys for Novell, a wholly owned subsidiary of The Attachmate Group as a result of a merger earlier this year, concede that Microsoft was under no legal obligation to provide advance access to Windows 95 so Novell could prepare a compatible version. The Redmond, Wash.-based company, however, enticed Novell to work on a version, only to withdraw support months before Windows 95 hit the market, Novell attorney Jeff Johnson said. A Zurich intellectual Property Lawyer listen closely.

Microsoft lawyer David Tulchin argued that Novell's missed opportunity was its own fault, and that Microsoft had no obligation to give a competitor a leg up.

U.S. District Judge J. Frederick Motz late Monday denied Microsoft's request to dismiss the case. He said Novell's claims appeared thin but that he would let the case continue another month and allow a jury to decide. An Athens Intellectual Property Lawyer said a jury would have a tough choice to make.


Gates was the first witness to testify Monday in his company's defense after a month-long case by Novell. Cross-examination begins Tuesday.

Gates, a billionaire, began by testifying about Microsoft's history. He was just 19 when he helped found the company. Today, Microsoft is one of the world's largest software makers, with a market value of more than $210 billion. A Bucharest Intellectual Property Lawyer would like to have Gates as a client.

Problem with iPhone Battery

Story first appeared in USA TODAY.

Apple concedes there's a problem with the new iPhone 4S battery life after all — a snag that apparently extends to other devices running the new iOS 5 mobile operating system software.

A small number of customers have reported lower-than-expected battery life on iOS 5 devices. Apple has found a few bugs that are affecting battery life, and they will release a software update to address those in a few weeks.

Apple didn't reveal the nature of the bugs or go into any other specifics.

Apple's statement follows a rash of complaints in various online Apple forums from customers upset about battery woes on the new iPhone 4S. As previously reported in USA TODAY, users said they've lost as much as 15% of the battery power per hour, even when the phone is not in active use. Last Friday, TheGuardian reported that Apple engineers contacted iPhone 4S owners seeking an answer to the battery issue.

Some speculation has centered around a location setting involving a "time zone" function that is useful for customers who travel a lot but that may potentially sap the battery. Also, iOS 5 brings a systemwide Notification Center that keeps users constantly informed of missed calls, messages, appointments, reminders and more.

Apple touted great battery life for the iPhone 4S — up to eight hours of 3G talk time — when it introduced the phone last month.

Creative Strategies President Tim Bajarin believes the fact that the issue can be resolved through a software fix makes a big difference and that sales won't be hurt. Apple tends to wait until they're certain of a problem and then works very fast to try and correct it.

The fact that Apple said the bugs lie within iOS 5 suggests other products may be affected, including the iPad, iPod Touch and iPhone 4 and 3GS.

Lenovo Tablet Review

Story first appeared in USA TODAY.


Persuading people to embrace a tablet that's not an Apple iPad compels rivals to come at buyers from a different angle. Lenovo's angle is to market a tablet at mobile professionals and students for office or classroom use. As the Chinese computer maker behind the ThinkPad-branded notebooks that are popular in business, Lenovo would appear to have the chops to pull it off.

The result is the ThinkPad Tablet that went on sale recently. I've appreciated many ThinkPad notebooks dating back to the IBM days — Lenovo snagged the ThinkPad franchise from IBM more than six years ago — so I was curious how Lenovo's tablet would measure up. Well, Lenovo has produced a solid machine — one that in the end I liked but didn't love.

Though the design and use of a tablet obviously differ from a laptop, you get the sense that the device was meant to evoke warm feelings from fans of ThinkPad notebooks. It costs $499 for a model with 16 gigabytes of storage, $569 for 32 GB and $669 for 64 GB. All are Wi-Fi-only; Lenovo hasn't announced specifics for versions with cellular connectivity, though a SIM slot is on board.

The tablet fuses business needs with entertainment and runs Android version 3.1 Honeycomb. It's about an inch taller than an iPad 2 and thicker. At 1.65 pounds, it's got some girth — providing space for a full-size USB 2.0 port that is concealed behind a sliding door. (Apple iPad has no USB.) There's also a microUSB port (you can use for charging) and a miniHDMI port for connecting to a high-definition television (at 1080p) and microSD card reader. There are front- and rear-facing cameras but no flash.

ThinkPad has a 10.1-inch multitouch display protected by Corning's Gorilla Glass. The screen didn't wow me. The home screens are a combination of icons, widgets, a carousel app wheel and a so-called Lenovo Launcher for quick access to frequently used apps, but I found the overall software interface to be cluttered and a little confusing. I rarely used the four physical buttons at the bottom of the screen (in portrait mode) for locking the screen, browsing, returning to a previous screen, and returning to the home screen.

As with the iPad, you can browse the Web (including Adobe Flash video, unlike iPad), fire slingshots on Angry Birds or watch a flick via Netflix. Those are among the preloaded apps, joining an app collection that includes Amazon's Kindle app, Amazon MP3, Slacker radio and the Zinio magazine reader. You can, of course, tap into the Android Market to fetch additional apps or browse through a modest selection in Lenovo's own App Shop, a nod to IT managers who might be concerned about viruses turning up on apps purchased elsewhere.

Still, you are drawn to this machine for its serious side. Along those lines, Lenovo supplies free Documents To Go software that lets you create and edit Microsoft Word, Excel and PowerPoint files — an app that otherwise costs $14.99 in the Android market. The machine has security and remote access tools aimed at keeping the IT manager at your company happy. A USB file manager app lets you easily drag and organize files from a USB drive onto the tablet.

What stood out for me, though: a pair of optional accessories. For starters, ThinkPad is one of the few modern tablets to take advantage of a pressure-sensitive digitizer pen that you can use to draw, doodle or capture notes in a lecture hall or meeting room. The pen costs $30 at Lenovo.com. Too bad the company didn't include it gratis.

One place to use the pen is in MyScript's Notes Mobile app. You can leave notes in a notebook just as you wrote them or convert your scribbles into text, with more misses than hits in my test. You can also use the pen in Documents To Go.

The other accessory is a $100 keyboard folio that lets you prop up the tablet to use with a physical qwerty keyboard. When you're done, you leave the tablet inside and fold the whole thing up into a neat cover. It's a fine mobile keyboard, even if it doesn't measure up to the ones on ThinkPad notebooks. I was less pleased with the finicky optical Trackpoint that made me long for its eraser-head counterpart on Lenovo notebooks. Lenovo says the machine will last 8.7 hours off a single charge with Wi-Fi turned on. But I got only a little more than six hours in an informal battery test with brightness turned up to the max and a heavy dose of streaming video. The machine should do better under less-taxing conditions.

If you're looking for a tablet that mixes business and pleasure, ThinkPad fits the bill.

HP Board Discusses Ousting CEO

Story first appeared on Reuters.

A change could be underway at the top at Hewlett-Packard. The company’s board convened on Wednesday to discuss the possibility of ousting CEO Leo Apotheker after less than a year on the job and may appoint former eBay chief Meg Whitman to fill in as interim CEO, a source familiar with the matter told Reuters. HP’s board of directors has come under increasing pressure in recent months after a raft of controversial decisions has left investors uncertain of the company’s leadership.
Newly minted Apple CEO Tim Cook will try his hand as star presenter at an October 4 company event widely expected to include the launch of the latest version of the tech behemoth’s iPhone handset, according to a report on AllThingD. Sources told the website that the plan is to make the iPhone 5 available to consumers within weeks of the event. Apple has yet to officially announce or even acknowledge that the new device exists at all. For those tired of yet another story about a rumored release date, there was something akin to a confirmation on Wednesday from an unlikely source: former U.S. Vice President Al Gore. Gore, an Apple board member, apparently told a tech conference that the next-generation phone will indeed be available next month. Oops?!
Google Executive Chairman Eric Schmidt traveled to Washington on Wednesday to face critics who say his company has become a dominant and potentially anti-competitive force on the Internet. Schmidt told a Senate antitrust hearing that his company has not “cooked” its search results to favor its own products and listings, despite accusations to the contrary from senators and other Web companies. “Google is in a position to determine who will succeed and who will fail on the Internet,” said Republican Senator Mike Lee, a member of the Senate Judiciary Committee’s antitrust panel. Google has been broadly accused of using its clout in the search market to stomp rivals as it moves into related businesses, like travel search.
Dust your library cards off, Kindle users. Amazon announced on Wednesday its Kindle ebooks will now be available for borrowing from more than 11,000 libraries across the U.S. Borrowing a book seems pretty simple: customers find the book they want on their local library’s website and choose the “Send to Kindle” option, which will then redirect them to Amazon.com where they must log in to complete the check out. Amazon then gives customers the option of delivering the book wirelessly to their device of choice – the books are compatible with all Kindle models and mobile apps – or transferring it manually using a USB drive.
Netflix and Discovery Communications reached an agreement to bring episodes of popular TV adventure shows including “Man vs. Wild” and “River Monsters” to the streaming service, the companies confirmed to Reuters correspondent Paul Thomasch on Wednesday. The two-year deal covers only material from prior seasons of the TV shows and is limited to Netflix subscribers in the United States. Discovery has an option for a third year.

New Memory Chip Line Hurts Competition

Story first appeared on Reuters.

Samsung Electronics, the world's No.1 memory chip maker, said on Thursday it had started operations at a new memory chip line, a move that may further exacerbate semiconductor oversupply and hit smaller rivals.
The South Korean firm said the new line was the industry's largest and most advanced memory fabrication facility, producing chips with 20-nanometre class processing technology, which improves manufacturing costs by some 50 percent.
Lower line-widths processing technology allows more circuits on a chip, making them smaller, cheaper, more powerful and more energy efficient.
The new line comes as computer memory prices have fallen more than 30 percent over the past three months to below production costs due to faltering demand from computer makers.
Global shipments of computers are projected to grow only a low-to-mid single digit percent this year as consumers switch to more popular tablets and smartphones.
Samsung competes with local rival Hynix Semiconductor Inc, Japan's Elpida Memory Inc and Taiwan's Powerchip.
Smaller rivals are struggling with worsening profitability and bracing for a tough outlook as weak demand and falling prices force them to delay capital-intensive facility upgrades.
Elpida said last week it was considering shifting some production to Taiwan to cope with a currency near record highs and to survive in a dwindling market.
Samsung invested 12 trillion won ($10.4 billion) in construction of the new facility in Hwaseong, south of Seoul, since it started construction in May last year.
Samsung said it would also boost production of NAND-type flash memory chips to meet market demand. They currently do not sell Used NetVanta Routers.

Another New CEO This Year HP

Story first appeared in USA TODAY.
Hewlett-Packard on Thursday named Meg Whitman CEO, ending the disastrous 10-month run of Leo Apotheker.
Whitman, the former eBay CEO for a decade, immediately takes over a tech giant that has seemingly lost its way. HP (HPQ) said Ray Lane, a former Oracle executive, will become executive chairman of the company's board of directors after previously serving as non-executive chairman.
The ouster of Apotheker, who also lasted less than a year as CEO of SAP, didn't happen overnight. It was an incremental decision brought on by the board's mounting frustration with missed sales forecasts and the poor handling of HP's announcement last month to spin off or sell its multibillion-dollar PC division.
But investors are just as frustrated with HP's board, which has burned through two CEOs — Apotheker and Mark Hurd— in rapid succession.
The crisis is deep. At a time when consumers increasingly are snapping up smartphones and tablets in lieu of lower-cost PCs, HP decided to switch course. Apotheker wanted to transform HP into a provider of more profitable software and services for businesses, like IBM and others. HP still may follow that course as that is the right long-term strategy.
Rumblings of Apotheker's ouster gained steam this week, prompting HP's board to powwow Thursday to hash out issues. One topic was canning Apotheker, who slashed sales forecasts, reneged on promises to integrate mobile software into devices and faced a slumping stock price. HP shares fell 5%, to $22.80, Thursday before the Whitman appointment.
Apotheker will get a handsome severance package, including $7.2 million in pay and bonuses and stock worth about $3.5 million, based on Thursday's closing price. He also gets to keep the $8.6 million bonus and relocation assistance he received in the 2011 employment contract he signed last November, according to company filings. Hurd received severance valued at about $37 million when he was ousted in August 2010.

Purchases Using Tablets Has Surprising Results

Story first appeared in the Wall Street Journal.

Retailers have found an interesting characteristic of consumers who browse their websites using tablets: They're much more likely to pull the trigger on purchases than other online shoppers.
That discovery is making retailers focus on tablets ahead of the all-important holiday season, as the tough economic backdrop puts a premium on what the industry calls "conversion"—making sure the shoppers who show up actually buy something.
Tablets still account for only a small percentage of overall e-commerce, but they are punching above their weight. While the conversion rate—orders divided by total visits—is 3% for shoppers using a traditional PC, it is 4% or 5% for shoppers using tablets, says Sucharita Mulpuru, an analyst at Forrester Research.
Many retailers also report that tablet users place bigger orders—in some cases adding 10% to 20% more to the tab—on average than shoppers using PCs or smartphones. Retailers are trying to take advantage of that trend by tweaking their websites to better accommodate tablets and rolling out catalogs that have been developed for the device.
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The tablet market is still dominated by Apple Inc.'s iPad. Offerings from new entrants including Amazon.com Inc., which is expected to unveil a tablet Wednesday, could further broaden the market. Forrester Research thinks one-third of U.S. adults could own tablets by 2015.
For most retailers, e-commerce is the fastest growing part of their businesses, posting double-digit revenue gains each year even as in-store growth remains muted. Around 3% of the nearly $150 billion U.S. consumers spent online last year came via mobile devices, of which tablets are a rapidly growing component.

Members of the media examined Sony's new Android-based tablet computers. Tablets account for a small percentage of overall e-commerce, but they are punching above their weight.
While only 9% of online shoppers own tablets, their behavior is encouraging for retailers. Consumers tend to spend more time on the Web after buying a tablet, and nearly half shop from the device, according to a survey of more than 2,300 consumers by Forrester. Tablet owners tend to be wealthier, which gives retailers a self-selected audience of their best customers. They may also be encouraged to spend by less tangible attributes: large touchscreens that draw users into the content, and a portability that helps users get more comfortable than when surfing on PCs.
Macy's, teen retailer Abercrombie & Fitch Co. and Gap Inc. all say they are seeing the highest percentage of conversions from shoppers using tablets. The companies wouldn't disclose figures.
Blake McCrossin, a public-relations associate in New York, says he thought shopping would be the last thing he would do on his iPad. The 30-year-old has since used the Apple device to order everything from clothes to a flat-screen television and has already finished most of his Christmas shopping using it. "The visuals and graphics are amazing, and I get caught up in impulse buying.
Shopping network QVC promotes tablet use on-air and through its social media channels. It is also using alternative technologies to Flash on its website to accommodate the iPad, which doesn't support that software.
Mobile commerce accounts for about 3% of QVC's revenue, which last year came to $7.8 billion. Tablets are the fastest growing part of mobile and deliver a higher conversion rate than mobile or PC users.
Macy's, which owns its namesake department store as well as Bloomingdale's, began making its sites compatible with devices that don't support Flash this year. The department store owner is rethinking the "point and click" experience of its website, which like most others was designed on the premise that links would be clicked with an arrow controlled by a mouse rather than by a user's finger, which is more blunt.
Many retailers are finding tablet users prefer to visit their main websites directly through a browser, just as they would from a PC, even though some companies have pumped lots of money into creating specialized sites that would work better with mobile phones' small screens and long load times.
Cosmetics chain Sephora uses the same website for tablets as it does for PCs, says Bridget Dolan, Sephora's vice president of interactive media. Sephora also has a free tablet app. QVC also says more tablet users visit directly through its website than via its apps.
Some retailers are revamping their catalogs in light of tablets, which allow them to add videos, slideshows, how-to demonstrations and 'order' buttons. Sephora dropped its summer catalog for the first time this year and shifted entirely over to tablets in an experiment to see what effect it would have on sales. The company will continue to produce print versions of its other seasonal catalogs.
Sephora has partnered with Google Inc. and online shopping site TheFind, both of which have tablet apps that aggregate catalogs from brands such as Nordstrom Inc., Crate & Barrel, Neiman Marcus and Urban Outfitters Inc. Users can swipe through their favorite catalogs and place orders through the free apps.
Siva Kumar, CEO of TheFind, says the conversion rate on its Catalogue app is about 10% higher than on its website, and average order size is between 10% and 20% higher.
Tablet users on average are spending three times as much time on the catalog app than on the website, he says.Sephora receives as much revenue from tablets as it does through mobile, even though people visit Sephora by smartphone much more often. Sephora's tablet conversion rate and average order size is also higher than PC and mobile.