In a prepared statement Cook read before a Senate subcommittee yesterday, the chief executive named Texas as the location of a new factory where Apple will assemble Macs.
Cook was in Washington, D.C. to defend Apple’s tax practices after senators accused the California company of dodging its obligations by shunting profits to overseas subsidiaries, including several in Ireland, one of which has allegedly paid no income taxes for five years.
“We’re investing $100 million to build a Mac product line here in the U.S.,” said Cook, repeating comments made last December in interviews with NBC andBusinessWeek. “The product will be assembled in Texas, include components made in Illinois and Florida, and rely on equipment produced in Kentucky and Michigan.”
Cook’s naming of Texas and the other states was part of a litany of Apple’s U.S. job creation history. Cook did not elaborate on the facility, when it will come online or what Mac the plant will assemble.
However, in an interview earlier this week with Politico — part of his D.C. media blitz before Tuesday’s hearing — Cook said that the U.S. factory will begin churning out a new version of a current Mac later this year.
Cook also told the influential blog that components for the new Mac would come from suppliers in Arizona, Texas, Illinois, Florida and Kentucky.
Apple already relies on iPhone and iPad components made in Texas, and iPhone glass from Kentucky, Cook said in the prepared statement.
Texas is a natural for Apple.
That’s one of the tools the world’s largest retailer plans to use to improve the in-store shopping experience as it looks to mobile-influenced purchases outpacing e-commerce sales, said Gibu Thomas, Wal-Mart’s global head of mobile, in a CTIA Wireless keynote speech on Wednesday.
“The future of retailing is the history of retailing, of a personalized interactive experience for every customer delivered through a smartphone,” Thomas said. Citing independent studies of the U.S. market, Thomas said in-store buying influenced by mobile use was on track to be about twice as big as e-commerce sales by 2016.
Mobile already drives about one-third of the traffic to Walmart.com, spiking to more than 40 percent during the holiday season late last year, Thomas said. The store’s smartphone app also boosts buying: Customers who have the app make more trips to Wal-Mart and spend as much as 40 percent more there, he said. A majority of Wal-Mart’s customers have smartphones.
The app already includes a shopping-list function, which can tell customers where to find their products in the store and give them relevant digital coupons they can redeem through the phone. Wal-Mart is testing a system called “Scan and Go” with which shoppers can scan each their purchases with the Wal-Mart app and then scan their phone once at a self-checkout register to pay, Thomas said.
But through analyzing what customers usually buy, the company now thinks it can automatically compile a list that will come up whenever the shopper opens up the app. It’s designed to anticipate what the customer will need.
“The best shopping list is the one you don’t have to create, so that’s the one we’re working on,” Thomas said.
“Many teens expressed waning enthusiasm for Facebook,” the Pew Research Center said in a study released Tuesday, based on interviews with 800 teens conducted between July and September last year.
They complained of too many adults on the site, the inane details shared by friends and the “drama” on Facebook, which they find draining, according to the study, conducted by the Pew Internet Project.
“The stress of needing to manage their reputation on Facebook also contributes to the lack of enthusiasm,” the researchers said. On Twitter and Instagram, however, teens felt free from the social expectations and constraints of Facebook, according to the study.
Most teens remain active on Facebook, because it’s “an important part of overall teen socializing,” the study said. But almost a quarter of online teens now use Twitter, up from 16 percent in 2011.
Their disillusionment with Facebook may have something to do with the way they’re using it. Some 70 percent said they are friends with their parents on the site, and only 5 percent restrict what their parents can see, according to the study. So Facebook is probably not a haven for illicit discussion.
But teenagers are keeping things open on Twitter, too. Just under 65 percent who have Twitter accounts make their tweets public, the study said.
Parents, meanwhile, are concerned about the amount of information advertisers can learn about their children. More than 80 percent of parents said they were “very” or “somewhat” concerned about that, according to the study
Teens were less concerned about third parties accessing their data. But almost one in three said they had seen ads that were “clearly inappropriate” for their age, though the study didn’t say what type of ads they were.
Although the iPhone remained the top smartphone by customer satisfaction, with a score of 81 in the American Customer Satisfaction Index (ACSI) published Tuesday, Apple’s lead largely evaporated. Not only did Apple’s score fall two points from the year before, satisfaction in competitors’ devices jumped.
Samsung’s satisfaction score grew the most, increasing by five points to 76, a 7% gain. Motorola’s score climbed 5.5% to 77 points, while Nokia’s gained a point to close at 76, a 1.3% increase. Other smartphone manufacturers’ scores slumped: Those of HTC and LG slid 4% and 5.3%, respectively.
2012′s eight-point gap between Apple and the best of the rest was halved in 2013, as Apple now leads the next-closest, Motorola, by just four points.
ACSI’s director, David VanAmburg, attempted to explain Apple’s shrinking lead.
“While the iPhone 5 had strong sales, it has not bolstered Apple’s overall customer satisfaction,” said VanAmburg in a report accompanying the survey results. “[And Samsung's] improvement is the largest yet for any cell phone manufacturer.”
VanAmburg credited the 2012 launch of the Galaxy S3 for the boost to Samsung’s score, and noted that the 81 scored by the iPhone lagged behind the 86 garnered by Apple’s Mac personal computers and iPad tablets last September.
ACSI’s results generally conformed with media coverage and customer reactions to the iPhone 5 — which was seen as a minor upgrade, even though it sported a slightly larger screen — and Samsung’s Galaxy S3 and S4, which have been applauded. Most analysts, for instance, have portrayed Samsung as Apple’s only real competitor.
According to IDC, Samsung shipped 71 million smartphones in the first quarter, while Apple shipped 37 million iPhones, or just over half as many. Apple’s share shrunk to 17.3% for the quarter, down from 23% the same period in 2012; meanwhile, Samsung’s share climbed from 28.8% to 32.7%.
The new bid marks a significant boost from its earlier offer of $2.97 per share and beats Dish’s $3.30 bid. Clearwire shareholders had been scheduled to vote on Sprint’s offer at a special meeting Tuesday, but that meeting has now been postponed until May 30.
Sprint already owns roughly half of Clearwire, which has been its partner for 4G WiMax service since 2008. After Softbank agreed to invest $20 billion in Sprint and take a 70 percent share in the company, Sprint moved to complete its ownership. It plans to use Clearwire’s spectrum to beef up its new LTE network.
But Dish, a satellite TV and broadband provider, has made offers for both Sprint and Clearwire in an attempt to get into the relatively fast-growing mobile business. On Monday, Sprint announced it had received permission from Softbank to negotiate with Dish on its $25.5 billion offer, though Sprint said it still favored the Softbank deal.
Clearwire’s board of directors agreed to Sprint’s offer in December, but some minority shareholders in Clearwire had vowed to reject the deal, saying it undervalued the company and its significant spectrum holdings. Sprint had already increased its offer once, in December, from $2.90 per share to $2.97.
Finnish startup Jolla has announced its first smartphone, which debuts its Sailfish OS on a 4.5-inch screen. The device integrates the company’s unique back covers with the software, allowing the look to change and new features to be added.
Jolla, which was founded by former Nokia employees who wanted to continue the development work the Finnish phone maker had done on the MeeGo OS, is with the introduction one big step closer to entering the ultra-competitive smartphone market.
“The earliest memories I have of things really crystalizing is from the summer of 2011. I was on holiday and there was a conference call I took on the beach, and the people that became Jolla, the founders and many of the early contributors were on that call. But to me the hard work really started in January 2012,” said Marc Dillon, who recently stepped down as the company’s CEO to focus on developing the first phone.
The LTE-smartphone — which is just called Jolla, for now — is powered by a dual-core processor and has an 8-megapixel camera. It also has 16GB of integrated storage which can be expanded using an SD card.
The smartphone has been designed to look like two thin slabs that have been bonded together, and users can change the color of the back one with different snap-on covers. The back cover isn’t just about the hardware design. It is integrated with the OS and can be used to add features and change the look, a concept Jolla calls “the other half.”
“This is one of the most powerful things we have … a very simple example could be that you have covers with different colors,” Dillon said. “So you change the back of the device to a red one in the evening and a black one for the office and that would also change the user interface because there is a connection there.”
The cover could also have more memory for extra content that could be used by artists to put out limited edition phones, according to Dillon.
The company’s core offering is the Sailfish operating system, which Jolla hopes will lure users away from competing platforms. To help boost the availability of apps, the OS will be able to run Android applications.
The heart of the OS consists of thumbnails of opened applications on the homescreen from which users also can access multiple features directly by scrolling from side-to-side or just clicking on them to access the main feature.
“The true multitasking is working in lots of different applications. You can have a video running in a thumbnail while you are doing something else on the device,” Dillon said.
The Jolla will start shipping during the fourth quarter and cost a!399 (US$510) including taxes in the EU. It can be preordered on Jolla’s website.
DAS (distributed antenna systems) using coaxial cable have been the main solution to the problem, but they now face some limitations. To address them, Corning will introduce a DAS at this week’s CTIA Wireless trade show in Las Vegas that uses fiber instead of coax all the way from the remote cell antennas to the base station in the heart of a building.
Cable-based DAS hasn’t kept up with the new world, according to the optical networking vendor. Though Corning is associated more often with clear glass than with thin air, it entered the indoor wireless business in 2011 by buying DAS maker MobileAccess. That’s because Corning thinks optical fiber is the key to bringing more mobile capacity and coverage inside.
The system, called Corning Optical Network Evolution (ONE) Wireless Platform, can take the place of a DAS based fully or partly on coaxial cable, according to Bill Cune, vice president of strategy for Corning MobileAccess. Corning ONE will let mobile carriers, enterprises or building owners set up a neutral-host DAS for multiple carriers using many different frequencies.
Though small cells are starting to take its place in some buildings, DAS still has advantages over the newer technology, according to analyst Peter Jarich of Current Analysis. It can be easier to upgrade because only the antennas are distributed, so more of the changes can be carried out on centralized gear. Also, small cells are typically deployed by one mobile operator, and serving customers of other carriers has to be done through roaming agreements, he said.
Corning ONE links each antenna to the base station over optical fiber, converting the radio signals to optical wavelengths until they reach the base station. Fiber has more capacity than coax, can handle higher frequencies, and requires just one cable from a MIMO antenna, Cune said. Because of fiber’s high capacity, it’s relatively easy to bring other mobile operators onto the DAS.
The system is based on optical fiber, but it can be extended over standard Ethernet wiring to provide backhaul for Wi-Fi access points. Each Corning ONE remote antenna unit that’s deployed around a building will have two Ethernet ports to hook up nearby Wi-Fi access points, which can use the fiber infrastructure for data transport to wired LAN equipment, Cune said.
The term virus is frequently used as a catch-all for malicious software, but actually describes a very specific type of program that infects files and replicates, noticeable impairing a computer. Most malware these days tries to not be so obvious.
But Microsoft has noticed that viruses — which have been present on around 5 percent of the computers the company regularly polls — have increased in prevalence in some regions, wrote Tim Rains, director of the company’s Trustworthy Computing section.
In the fourth quarter of last year, viruses were present on about 7.8 percent of computers scanned by the company, he wrote. In some locations, such as Pakistan, Indonesia, Ethiopia, Bangladesh, Somalia, Egypt and Afghanistan, the percentage of computers with viruses ranged from 35 to 44 percent, he wrote.
Those developing nations all have a low percentage of broadband connections, which may contribute to those computers having fewer security protections.
“Although we don’t have complete data for all the aforementioned locations, we can see that 30 percent to 40 percent of computers in some of these locations do not have up-to-date real-time anti-virus software installed, compared to the worldwide average of 24 percent,” Rains wrote.
More than 8 million computers worldwide are infected with Sality, a virus that infects files with certain extensions such as “.scr” and “.exe” and can also shut down the processes and services of security software, he wrote. It mostly just affects computers still running Windows XP.
To infect computers, Sality has used a vulnerability that was also targeted by Stuxnet, the malware designed to wreck Siemens equipment used by Iran in its nuclear fuel refinement program.
“Sality’s success proves that file infectors can be still be successful,” Rains wrote. “Unlike viruses from yesteryear, attackers today are trying to steal information, sometimes by turning on computers’ microphones and cameras.”
The Android-based device will plug into a display’s HDMI port so that it can run applications or access files stored remotely. It will have Wi-Fi and Bluetooth capabilities and is aimed at users who do most of their computing on the Web.
Ophelia can turn any screen or display into a PC, gaming machine or a TV set-top box, said Jeff McNaught, executive director of cloud client computing at Dell. Users will be able to download apps, movies and TV shows from the Google Play store, McNaught said. Users will also be able to run Android games or stream movies from Hulu or Netflix.
It is meant to be an inexpensive alternative to tablets and PCs, McNaught said. However, users need to be close to a TV screen, display or projector with an HDMI port to use it.
The company is working on a keyboard-like technology for users to type when Ophelia is docked to a screen, he said.
Dell will demonstrate Ophelia on 19-inch and 55-inch screens at next week’s Citrix Synergy conference in Los Angeles. It was introduced in January at the International CES show.
Tumblr, a place for posting cat memes and duck faces, is apparently in Yahoo CEO Marissa Mayer’s sights, with Allthingsd reporting that she is the main driver of a possible acquisition. Yahoo and Tumblr are in “had been in serious talks,” with Mayer having had her eye on the company ever since she worked for Yahoo rival Google.
The report also claims that Tumblr has been “stepping up its efforts” recently to raise funding that could value the company at $1bn, seemingly interested in a potential buyout by Yahoo as long as the price is right.
Yahoo CFO Ken Goldman quoted said that the firm is looking to attract more 18-24 year olds, which is the demographic of the blogging service.
“One of our challenges is we have had an aging demographic,” Goldman said. “Part of it is going to be just visibility again in making ourselves cool, which we got away from for a couple of years.”
One of Allthingsd’s closely guarded sources said that Yahoo acquiring Tumblr fits in nicely with Mayer’s plans.
“If you could pick a company that fits in with what Marissa Mayer has demonstrated in her career – aesthetics, software technology and fast-growing – you could not land on a better choice,” the unnamed source said.
The merger will come as no surprise, as Tumblr boasts 117 million visitors each month, the majority of which are in the 18-24 demographic. However, it still remains unclear what Yahoo would do with Tumblr.
Yahoo will reportedly announce this afternoon.
Google Inc announced on Thursday a half-dozen apps specially designed to work on its Glass devices. News network CNN, fashion magazine Elle, as well as online apps Tumblr and Evernote were among the half-dozen new apps for Glass unveiled during Google’s annual developer conference in San Francisco.
Google Glass is a stamp-sized electronic screen mounted on the left side of a pair of eyeglass frames which can record video, access email and messages and retrieve information from the Web.
Google began distributing the devices last month to a limited number of developers, but it has yet to specify when a version will be available for consumers or at what price.
The futuristic-looking devices have been a common sight at the Google conference this week, with many of the attendees and staffers wearing Glass. But Google executives gave Glass short shrift during the more than three-hour keynote talks on Wednesday, barely mentioning Glass among the litany of new products and services discussed on stage.
Oracle is building a third data-center in the UK, to service the British administration’s G-Cloud plans right next to the sweet smelling Mars Chocolate factory.
According to the company, the new data-center, opening in July, is located in Slough. It will offer cloud services and infrastructure as a service, to government bodies as well as to independent software vendors working on state contracts. Oracle president Mark Hurd said in a press release that the new Equinix Slough data center, will supplements the existing facilities at Linlithgow near Edinburgh and in Slough.
“As this whole cloud evolves and develops, you’ve got a lot of issues that come up. You’ve got security concerns, you’ve got data-sovereignty issues, you’ve got regulatory issues, you’ve got various issues that come up about the location of data — some of those are the physical location of data,” Hurd said.
The new data-center is specifically for government projects. It will meet the specific requirements of G-Cloud, including the IL3 security protocols as well. Hurd claims that it will be ring-fenced data-center, specifically to serve UK government, which is one of Oracle’s biggest clients in the UK.
Hurd said the company now has more than $1bn in cloud subscription revenue and claimed the company was now the second biggest player in the cloud.
“We’re globalising our capability. We have a very broad distribution capability so we sell close to the customer and we move our capabilities close to the customer as well,” Hurd said.
There are multiple theories for the decline in pay, but a common one cited by analysts is simply that the new people being hired are paid less than those already on the job.
The average annual wage of all workers in the software services sector was $99,000 in 2012, about $2,000 less than the prior year, reported TechAmerica Foundation in its annual Cyberstates report.
The foundation is an affiliate of the industry trade group TechAmerca. It uses Labor Dept. data to assemble its report.
Matthew Kazmierczak, a senior vice president at TechAmerica, said if there is lots of hiring in an industry and the pay for new hires is below average, the average wage could go down.
The hiring could be below the overall salary average “if many of the new jobs are more ‘entry’ level or people without the same specialized skills or years of experience (managerial or otherwise) as a more seasoned employee,” said Kazmierczak.
“It is also possible that with the recession, wages [for new hires] dropped as more people were competing for jobs. So wages for new jobs are below average,” said Kazmierczak.
The Cyberstates report puts the tech labor force at 5.95 million in 2012, an increase of 1.1% from the prior year. Of that, 1.87 million workers are in software services jobs.
Software services, which includes government defined labor categories software publishers, custom programmers, computer facilities management and other computer related services, are the best paid and the largest segment of the tech work force.
Dell’s profit for the quarter, ended May 3, was $130 million, down 79 percent from $635 million in the same quarter a year earlier. Revenue declined 2 percent to $14.07 billion.
Dell’s PC division was particularly hard hit. Sales for the quarter were down 9 percent to $8.9 billion, Dell said, and the group’s operating profit skidded 65 percent lower to $224 million. Laptop sales were hit especially hard.
Its enterprise business showed mixed performance. Sales of servers and network gear were up 14 percent but storage was down 10 percent. Dell’s services division reported a 2 percent increase in revenue.
Dell is trying hard to build an enterprise software business, which it hopes will eventually generate higher profits than its PC division. The software group reported an operating loss for the quarter, however, as Dell invested in new sales and R&D staff.
Dell’s earnings for the quarter on a pro forma basis, which excludes one-time items, were $0.21 a share, well off the analyst forecast of $0.35 a share, according to Thomson Reuters.
In a statement, CFO Brian Gladden said Dell’s profits were affected by steps it took to improve its competitiveness. “We’ll also continue to make important investments to support our strategy and drive long-term profitability,” he said.
Michael Dell announced in February that he planned to take the company private in a deal with Silver Lake Partners valued at $24.4 billion. The company founder has said he wants some breathing room to focus on long term investments without the constant scrutiny from Wall Street.
Google also announced several APIs that will let developers add more capabilities to their Android apps, including in the areas of location and improving battery life.
“It’s been an amazing year for Android developers,” said Android and Chrome vice president Sundar Pichai.
Google has sent more money to developers through their Play Store sales in the last four months than it did in all of 2012 and revenue per user is now 2.5 times higher than it was a year ago, the company said.
Showing a map of the world where Android penetration is less than 10 percent — which encompassed most of the world outside North America and Europe — Pichai said Google’s next focus is “bringing the next 4.5 billion online.”
To date, Google has seen more than 48 billion Android application installs, and 2.5 billion in the last four months alone, said Hugo Barra, vice president and product manager of Android.
Google announced an update to Google Play Services, a layer of software managed by Google on top of Android, which includes APIs for Google services like Google Maps and Google Now.
Google Play Services is updated independently of Android, to give developers access to the latest Google APIs, helping to solve the Android fragmentation problem.
Google launched new location APIs as part of Google Play Services. The first, Fused Location Provider, includes a low-power location mode that should extend battery life by using less than 1 percent of battery per hour, Barra said.
The second, Geofencing, let’s developers define “virtual fences” around geographic areas that are triggered when a user enters and leaves those areas. “This has been a big ask from you guys,” Barra told the developer audience, who cheered the news.
The last is Activity Recognition, which uses accelerometer data and machine learning to figure out when the user is doing things like walking, driving or cycling.