Supplier Report: 12/8/2017

Amazon and Google are fighting this week and end users are suffering.  This fight isn’t about cutting off access to YouTube, it is about two companies finding themselves competing in cloud hosting, digital assistants, customer behaviors, forked operating systems, and now advertising.

As companies like Google, Amazon, Oracle, and Microsoft fight with each other, China is quietly growing their AI capabilities and they are applying them to areas that the US would never (publicly) be able to admit.

CVS is trying to out-run the business black hole that is Amazon. As rumors swirl that Amazon might get into pharmaceuticals, CVS is attempting to purchase healthcare company Aetna.  These are certainly interesting times.

Acquisitions

  • CVS buys health insurer Aetna to counter Amazon

    Neither CVS nor Aetna has explicitly mentioned Amazon. However, it’s no secret that Amazon looms large over the proposed merger. The New York Times reports that CVS and Aetna met “several times” for talks with Amazon’s potential competition in mind. Also, CVS is in a prime position to change its strategy. It makes the most money from its pharmacy benefits business (which serves companies and insurers), not its stores, so it could continue to thrive even if Amazon swoops in and destroys its retail sales.

    Aetna isn’t under the gun in the same way. It was recently blocked from buying a key competitor, Humana, and has been looking for a way to expand without invoking the wrath of antitrust regulators. CVS makes sense in that regard — the two firms operate in related areas, but they wouldn’t be shrinking the markets for health insurance or pharmacies. There is a concern that they might hurt choices for Medicare, since both are key to offering prescriptions to Medicare recipients.

    https://www.engadget.com/2017/12/03/cvs-buys-aetna-to-counter-amazon/

Artificial Intelligence

  • COMB+ announces a $77M fund to help AI startups enter China

    The fund, which was announced at Slush in Helsinki this week, is run by COMB+ and the Beijing Institute of Collaborative Innovation (BICI). COMB+ launched its Sino Track accelerator program last year, which is based in Beijing and Helsinki and helps early-stage firms grow in China, and this is the second part of its strategy.

    So far more than half of the €65 million target has been raised, COMB+ CEO Leo Zhu told TechCrunch via interpreters in an interview. He didn’t name any confirmed LPs but said the fund is backed by government funds, government institutions, private enterprises and big corporates most of which are from China.

    https://techcrunch.com/2017/12/01/comb-china-ai-fund/?ncid=rss
    China’s A.I. Advances Help Its Tech Industry, and State Security

    As China tests the frontiers of artificial intelligence, iFlyTek serves as a compelling example of both the country’s sci-fi ambitions and the technology’s darker dystopian possibilities.

    The Chinese company uses sophisticated A.I. to power image and voice recognition systems that can help doctors with their diagnoses, aid teachers in grading tests and let drivers control their cars with their voices. Even some global companies are impressed: Delphi, a major American auto supplier, offers iFlyTek’s technology to carmakers in China, while Volkswagen plans to build the Chinese company’s speech recognition technology into many of its cars in China next year.

    At the same time, iFlyTek hosts a laboratory to develop voice surveillance capabilities for China’s domestic security forces. In an October report, a human rights group said the company was helping the authorities compile a biometric voice database of Chinese citizens that could be used to track activists and others.

    https://www.nytimes.com/2017/12/03/business/china-artificial-intelligence.html

  • IBM unveils ‘game-changing powerhouse’ for AI

    POWER9 has the ability to improve the training times of deep learning frameworks by almost four times faster and allows enterprises to build more accurate applications at a much faster rate.

    As a result of the better performance, data scientists are able to build applications faster, from deep learning insights across scientific research to real-time fraud detection and credit risk analysis.

    https://www.cbronline.com/news/ibm-power9-game-changing-ai

  • Elon Musk says Tesla is making A.I. hardware that could be ‘the best in the world’

    Several other automakers, including Ford and GM, are developing self-driving technology. Alphabet, which has developed custom chips that can be used instead of Nvidia graphics cards, operates the Waymo self-driving car division. Apple has pursued autonomous driving, and it has also developed custom silicon to handle AI workloads on mobile devices.

    In the Thursday talk, Keller suggested that with custom hardware it’s possible to boost efficiency, while Musk talked about power and cost advantages, according to one report about the event on Twitter.

    https://www.cnbc.com/2017/12/08/elon-musk-talks-up-teslas-upcoming-artificial-intelligence-hardware.html

Cloud

  • Amazon is an 800-pound gorilla that moves like a cheetah, says analyst

    In a week that featured 22 product and services announcements (according to Andy Jassy, AWS chief executive officer), industry analysts were left to assess the significant position in the IT ecosystem that AWS has staked out for itself. “This is a real merging of application developers and the more traditional kinds of companies,” Warren said. “It feels like re:Invent this year is a blending of the entire IT ecosystem.”

    A key message that emerged from the various AWS releases is that the company has made major strides to debunk “fear, uncertainty and doubt” that it could not be taken seriously as a major player in enterprise cloud computing. “The big story this year is legitimacy across the board in every vertical and every category,” Furrier said. “Re-engineering and re-imagining are happening, and Amazon is just feeding the marketplace.”

    https://siliconangle.com/blog/2017/12/01/amazon-is-an-800-pound-gorilla-that-moves-like-a-cheetah-says-analyst-reinvent/
    Nothing really new, I just like the headline.

  • Microsoft CFO sees Google’s cloud as a threat and praises its chief: ‘She’s always been a winner’

    In her Tuesday remarks — which came after Wells Fargo analyst Philip Winslow specifically asked about Google — Hood also praised Greene, the head of Google’s cloud efforts for the past two years. Greene, who was formerly CEO of VMware, announced last week that she hired Diane Bryant from Intel to be operating chief of Google’s cloud.

    “We’ve seen more of them in the past few quarters than we’ve seen before,” Hood said. “I think they’re making a good effort. I think Diane Greene is an excellent leader and an established enterprise CEO.”

    https://www.cnbc.com/2017/12/05/microsoft-cfo-amy-hood-says-google-cloud-becoming-a-bigger-competitor.html

    I always call out the s**t-talking, I should highlight the acts of class as well.

  • Cheapest enterprise cloud storage providers not always best

    Bala’s public recommendation to conference attendees was the following: “Think about the number of years that a vendor has been in this market and their commitment to the market. The last thing you want to do is go with a vendor who says, ‘Well, the v1 version of our service didn’t work, and we’re going to scrap it, and we’re going to restart over again.’ There are a lot of customers in that boat.”

    Although Bala’s cautionary advice did not note specific enterprise cloud storage providers that abandoned the original versions of their cloud storage services, he did offer frank assessments of each of the major challengers to dominant player AWS.

    “Oracle did something very smart. They opened a large office in Seattle, and they’ve hired a bunch of AWS engineers. So, they’ve got several hundred AWS engineers that are building v2 of Oracle service,” Bala said. “After having failed the first time, they’re doing some really thoughtful things the second time.”

    Bala said IBM’s public cloud storage, also based on OpenStack, “didn’t really go anywhere” and “had lots of problems,” leaving the company “trying to rebuild it.” He said IBM spent lots of money trying to buy companies, as well as trying to rebuild in-house.

    http://searchstorage.techtarget.com/news/450431495/Cheapest-enterprise-cloud-storage-providers-not-always-best

Software/SaaS

  • Three Uber security managers reportedly resigned today

    Three senior-level security managers resigned from Uber today, Reuters reported earlier today. One of the three who resigned, Pooja Ashok, was chief of staff to now-former Chief Security Officer Joe Sullivan. Sullivan was fired last week for trying to hide the security breach that affected about 57 million riders and 600,00 drivers.

    The other two who resigned were Prithvi Rai, a senior security engineer, and Jeff Jones. Both Ashok and Jones are planning to stay at Uber until January to help with the transition.

    https://techcrunch.com/2017/12/01/three-uber-security-managers-reportedly-resigned-today/?ncid=rss

  • Inside Oracle’s cloak-and-dagger political war with Google

    For the past year, the software and cloud computing giant has mounted a cloak-and-dagger, take-no-prisoners lobbying campaign against Google, perhaps hoping to cause the company intense political and financial pain at a time when the two tech giants are also warring in federal court over allegations of stolen computer code.

    Since 2010, Oracle has accused Google of copying Java and using key portions of it in the making of Android. Google, for its part, has fought those claims vigorously. More recently, though, their standoff has intensified. And as a sign of the worsening rift between them, this summer Oracle tried to sell reporters on a story about the privacy pitfalls of Android, two sources confirmed to Recode.

    https://www.recode.net/2017/12/6/16721364/oracle-google-political-war-location-track-android-safra-catz-java-lawsuit

Other

  • Now on Oracle’s Campus, a $43 Million Public High School

    “Nobody has done anything like this before,” said Colleen Cassity, the executive director of the Oracle Education Foundation, a nonprofit funded by the company. The foundation oversees the company’s partnership with the school.

    Design Tech High School, known as d.tech, was founded in 2014 with the aim of steeping students in design thinking, a creative problem-solving strategy popularized by Stanford University’s design school. It teaches students to empathize with people before trying to devise solutions to their problems.

    https://www.nytimes.com/2017/12/03/technology/now-on-oracles-campus-a-43-million-public-high-school.html

  • Why Amazon and Google just can’t get along

    At this point, it’s easy to see why Amazon wouldn’t want to support Google’s products, and vice versa: Each company is using hardware to fortify themselves while attacking their rival’s core business. Without some broad-ranging truce, in which each company agrees to treat each other’s services equally and let consumers decide what’s best, Amazon and Google would only be undermining themselves.

    https://www.techhive.com/article/3240966/streaming-hardware/why-amazon-and-google-just-cant-get-along.html

  • IBM to invest $200 million in climate change research

    Not all businesses, however, take a short-term view of their operations, with increasing numbers of CEOs seeing reason, as a destroyed planet will even impact them and their shareholders in the long-run. In this vain, IBM recently announced it will direct around $200 million into five climate-related projects. Despite a rocky year financially, which saw global revenues further stagnate at the global technology giant, the organisation still saw fit to support scientists in their pursuit to better understand the consequences of humanity’s current uncritical climate forcing experiments.

    The funds will be awarded to projects that are judged to have the greatest potential impact on our understanding of climate change, and that consider strategies to mitigate its effects. The five projects would also be able to take advantage of IBM’s World Community Grid, an IBM Citizenship initiative that taps into the combined computing power of 730,000 worldwide volunteers. A similar project was recently run on such a network, allowing Harvard University to identify 36,000 carbon-based compounds that may approximately double the efficiency of most organic solar cells currently in production.

    https://www.consultancy.uk/news/14900/ibm-to-invest-200-million-in-climate-change-research

Photo: CloudVisual

Supplier Report: 12/1/2017

Amazon generated headlines this week during their re:Invent conference.  They announced Alexa for the office, transcription services, and an improved platform to develop machine learning solutions.

Google snapped up IT talent from Microsoft and Intel this week which is telling. Many journalists have stated that Google is turning into the old Microsoft. Google has been recruiting former Microsoft employees since Ballmer left (whose tenure was rumored to foster hostility and competition among divisions).

IBM is rumored to be reducing headcount in the UK to manage costs.

Acquisitions

  • A Broadcom-Qualcomm Deal Would Face a Regulatory Minefield

    The Committee on Foreign Investment in the U.S., which vets foreign acquisitions of U.S. companies on national security grounds, lately has combed chip deals for involvement from China, which been trying to extend its semiconductor capabilities. Late last year, for instance, the committee quashed the sale of Aixtron SE , a German maker of chip-fabrication equipment that has U.S. operations, to Chinese investor Fujian Grand Chip Investment Fund LP.

    Broadcom’s Mr. Tan recently took what appeared to be a step toward easing such scrutiny. Shortly before presenting his bid to Qualcomm, he stood beside President Donald Trump to announce a plan to relocate Broadcom’s headquarters from Singapore to the U.S.

    https://www.wsj.com/articles/a-broadcom-qualcomm-deal-would-face-a-regulatory-minefield-1511352000

  • WeWork to Buy Meetup, Targeting Off-Hours Gatherings

    WeWork Cos. said it is buying Meetup Inc., as the richly funded office-sharing company seeks to bring more visitors into its growing array of real estate.

    With the deal, WeWork hopes to increase its usage rate during non-working hours. Most traditional clients use spaces on weekdays while Meetup-organized events mostly happen on nights and weekends.

    Meetup helps organizations and clubs host events and grow membership. More than 100,000 people have attended meetups at WeWork locations so far this year, the companies said Tuesday.

    https://www.wsj.com/articles/wework-to-buy-meetup-targeting-off-hours-gatherings-1511880919

Artificial Intelligence

  • AWS releases SageMaker to make it easier to build and deploy machine learning models

    Randall Hunt wrote in a blog post announcing the new service that the idea is provide a framework for accelerating the process of getting machine learning incorporated in new applications. “Amazon SageMaker is a fully managed end-to-end machine learning service that enables data scientists, developers, and machine learning experts to quickly build, train and host machine learning models at scale,” Hunt wrote.

    As AWS CEO Andy Jassy put it while introducing the new service on stage at re:invent, “Amazon SageMaker, an easy way to train, deploy machine learning models for every day developers.”

    https://techcrunch.com/2017/11/29/aws-releases-sagemaker-to-make-it-easier-to-build-and-deploy-machine-learning-models/?ncid=rss

  • NVIDIA’s AI will help GE speed up medical image processing

    Clinical diagnosis has dramatically improved thanks to improved imaging via incredibly advanced MRI, CT and other machines, but there’s a downside to that tech. It generates up to 50,000 terabytes of data, per hospital, but only three percent of that is analyzed or even tagged, says GE.

    Using AI would not just help patients, but also make the data available for further analysis so the algorithms can be refined even more. As such, GE is also developing a new analytics platform and placing some of the data in NVIDIA’s GPU Cloud. It has also teamed with Intel on its Xeon Scalable platform to get images to radiologists more quickly.

    https://www.engadget.com/2017/11/27/nvidia-ge-healthcare-medical-scans/

Cloud

  • Amazon’s cloud-computing unit takes a new approach in heated battle with rivals: advertising

    For many years, AWS didn’t advertise, partly because it didn’t have to. The service held a wide lead over the competition, and word-of-mouth was enough to catapult the company’s tools atop the growing market for web-based business software.

    But the once-scrappy AWS now needs to focus on winning over CEOs and corporate boards to continue to grow, company insiders and observers say. Amazon also faces intense competition from well-funded rivals, many of whom are already spending heavily to woo that crowd.

    Amazon “is out to get the enterprise,” said Dave Bartoletti, an analyst with Forrester Research who tracks cloud computing. “They’re trying to get to the next level — which is, how do you reach executives at big companies.”

    https://www.seattletimes.com/business/amazon/amazons-cloud-computing-unit-takes-a-new-approach-in-heated-battle-with-rivals-advertising/

  • Google will launch a new cloud region in Hong Kong next year

    In a blog post published on Wednesday, the technology giant revealed plans to bring its infrastructure-as-a-service platform to Hong Kong sometime next year. Google already operates cloud regions in several major Asian cities, notably Tokyo, Singapore and Taiwan. Each region consists of at least two hosting sites situated in different locations to mitigate the impact of localized outages such as a power disruption.

    What makes the move into Hong Kong different from Google’s previous expansions in the region is its tense history with China. The company stopped serving searches in the country seven years ago and hasn’t returned since, even as rivals started building out their local operations. Today, Microsoft Corp. and Amazon Web Services Inc. both provide cloud services to Chinese companies.

    https://siliconangle.com/blog/2017/11/23/google-will-launch-new-cloud-region-hong-kong-next-year/

  • Microsoft Adds SAP as Cloud Partner to Challenge Amazon

    SAP agreed to use Microsoft’s Azure cloud-computing service internally, and said it would highlight that usage to customers shopping for their own cloud services.

    SAP Chief Executive Bill McDermott called the move “nontrivial,” saying customers frequently ask what tech the German company uses.

    Mr. McDermott stopped short, though, of saying the agreement between the longtime software partners called on SAP to give Azure preferential treatment over rivals, including Amazon. “I think customers are quite capable of making their own determinations,” he said in an interview.

    https://www.wsj.com/articles/microsoft-adds-sap-as-cloud-partner-to-challenge-amazon-1511845261

  • Former Intel data center boss Diane Bryant joins Google Cloud as new COO

    Bryant is an experienced tech executive who spent more than 25 years at Intel. Most recently, she led Intel’s data center group, and was considered one of the top three execs at the company. But she abruptly stepped down from her role at Intel in May due to “family matters.”

    At the time, Intel said her departure would be temporary for six to eight months. But according to a new SEC filing by Intel, Bryant notified Intel that she will not be returning and plans to retire from the company effective Dec. 1. Intel will have to make a separation payment of $4.5 million to Bryant, the filing said.

    https://www.cnbc.com/2017/11/30/former-intel-data-center-boss-diane-bryant-joins-google-cloud-as-new-coo.html

  • Box is cash flow positive again, with 26% revenue growth

    CEO Aaron Levie says they’re in a “really really good spot from a cash generation standpoint.”

    He said that this quarter they also “launched a whole bunch of a new technology around machine learning and AI.” He’s referring to a new multimedia-focused toolkit they launched called Box Skills.

    Box now has 80,000 enterprise and government customers. In its latest quarter, it added businesses like Foster Farms and also the U.S. Food and Drug Administration.

    Box says its revenue for the year is expected to be between $505 million and $506 million. The company’s stock is up 43 percent in the past year.

    https://techcrunch.com/2017/11/29/box-is-cash-flow-positive-again-with-26-revenue-growth/?ncid=rss

Software/SaaS

  • Trust and relevance – the twin challenges SAP faces as it meets with SAP UK & Ireland User Group

    But…as SAP transitions to cloud-only offerings, customers have been faced with multiple issues that erode that hard-won trust. Not least among problems customers face are:
    1. Lack of a solid business case for upgrading to S/4 HANA.
    2. Lack of adequately qualified/certified implementers on SuccessFactors’ projects.
    3. Inadequately addressed concerns over indirect access.
    4. Ongoing lack of control over SIs and continuing ‘lights on’ costs for existing systems.

    https://diginomica.com/2017/11/26/trust-and-relevance-the-twin-challenges-sap-faces-as-it-meets-with-sap-uk-ireland-user-group/

  • Microsoft employee joins Google, criticizes company’s missteps with developers

    He also explains that Windows Phone and Internet Explorer failed due to various drawbacks, “infighting between different divisions left client developers in the Microsoft ecosystem caught in the crossfire, with little clarity for those who wanted to bet on something that would endure,” he explains. Not only developers, but this also led to customers leaving the Windows Phone for Android and iOS.

    “And so when ‘Metro’ (UWP) was introduced as a reset for the Windows API, leaving behind the massive existing Windows XP and Windows 7 user base in pursuit of an unproven new touch-centric UI, developers largely shrugged and continued down the paths they had already chosen,” Sneath added.

    https://www.windowslatest.com/2017/11/26/microsoft-employee-joins-google-criticizes-companys-missteps-developers/

  • Don’t expect AWS to launch a blockchain service anytime soon

    Jassy seemed anything but enthused about the prospect. In his view, there aren’t a lot of use cases of the blockchain “beyond the distributed ledger.” He also stressed that AWS doesn’t “build technology because we think it is cool.”

    In his view, there are plenty of other ways to solve the problems that blockchain technology aims to solve, too, and that many of the distributed ledgers available right now remain very limited in their capabilities.

    https://techcrunch.com/2017/11/29/dont-expect-aws-to-launch-a-blockchain-service-anytime-soon/?ncid=rss

Other

  • More than a Million Pro-Repeal Net Neutrality Comments were Likely Faked (dubious source)

    The first and largest cluster of pro-repeal documents was especially notable. Unlike the other clusters I found (which contained a lot of repetitive language) each of the comments here was unique; however, the tone, language, and meaning across each comment was largely uniform. The language was also a bit stilted. Curious to dig deeper, I used regular expressions⁹ to match up the words in the clustered comments

    It turns out that there are 1.3 million of these. Each sentence in the faked comments looks like it was generated by a computer program. A mail merge swapped in a synonym for each term to generate unique-sounding comments.¹⁰ It was like mad-libs, except for astroturf.

    https://hackernoon.com/more-than-a-million-pro-repeal-net-neutrality-comments-were-likely-faked-e9f0e3ed36a6
    The FCC is peddling its net neutrality spin as facts

    Since its release, the draft proposal has continued to draw intense opposition and now the FCC has released a list of myths vs. facts in regards to the plan. But this list, which poses as an explanatory breakdown of the FCC proposal and is most definitely the agency’s attempt at damage control, is nearly as ill-conceived as the plan itself.

    https://www.engadget.com/2017/11/28/fcc-peddling-net-neutrality-spin-as-fact/

  • Apple sues Qualcomm for violating chip patents

    The patent lawsuit battle between Apple and Qualcomm isn’t about to cool down any time soon. Apple has countersued Qualcomm, alleging that older Snapdragon chips (the 800 and 820) violate eight or more patents for power management in processors. It’s keen to point out that this technology predates that from a relevant Qualcomm suit, claiming that it pursued these patents “years” before the ones Qualcomm is wielding in its own case. Apple is pushing for unspecified damages.

    https://www.engadget.com/2017/11/29/apple-sues-qualcomm-over-mobile-chip-patents/

  • IBM to build Boulder’s largest solar array

    In a deal that helps both IBM and Xcel Energy reach their ambitious renewable energy objectives, the parties announced that by late 2018 a large array of solar panels will be up and running on 54 acres of IBM’s Gunbarrel facility. Xcel Energy’s stated goal is to provide 55 percent of its annual energy through renewable sources (solar, wind and natural gas) by the year 2026. And IBM’s statement regarding its environmental goals reads that it aims to “procure electricity from renewable sources for 20 percent of IBM’s annual electricity consumption by 2020.”

    http://www.lhvc.com/news/ibm-to-build-boulder-s-largest-solar-array/article_d03d5612-d156-11e7-bf2d-b35c60039019.html

  • Bitcoin Crosses $10,000, Then Quickly Tops $11,000

    Much of this year’s growth has come from Japan. On April 1, Japan’s Financial Services Agency put in place new rules for bitcoin, which recognized it as a legitimate payment method. Japan quickly became one of the largest markets for bitcoin, currently representing about 60% of all trading.

    While bitcoin’s $166 billion market value now rivals that of General Electric Co. or the monetary base of Venezuela, the use of its network isn’t keeping pace. The number of bitcoin transactions on a daily basis has been consistent in 2017. In January, daily transactions averaged between 250,000 and 300,000. It fell during the summer, then regained near-peak levels in the fall.

    https://www.wsj.com/articles/bitcoin-hits-10-000-as-sharp-rise-drowns-out-skeptics-1511919295

  • IBM reportedly set to slash UK jobs in cost cutting drive

    In a bid to reportedly reduce costs, IBM has embarked on a plan to cut jobs across the UK and Ireland as part of a larger initiative to save money on the wages of its personnel.

    The Register broke the news in an exclusive, revealing a memo that pointed to around at least a hundred staff being axed through the process of a 45 day consultation.

    https://www.cbronline.com/boardroom/workforce/ibm-slash-uk-jobs/

Photo: Joshua Earle

Supplier Report: 11/24/2017

As everyone sleeps off the last traces of tryptophan, IT companies are also taking this time to pause and reflect… except for Uber who is in trouble AGAIN.

The ride share company announced a massive breach that happened last year (which they did not inform the public of until this week).  The company also paid the hackers that breached their security $100K to delete the stolen data (and let’s take the hacker’s word that they complied with that gentlemen’s agreement) and not make any public statements.

Uber’s CSO has been terminated.

In other news, FCC chairman Ajit Pai seems poised to overturn net neutrality rules on December 14th which could greatly impact the way companies and consumers interact with each other on the internet.

Acquisitions

  • AT&T Faces U.S. Antitrust Suit Over Time Warner Deal

    The U.S. Justice Department is poised to sue to block AT&T’s $85.4 billion takeover of Time Warner, according to a person familiar with the matter, culminating more than a week of sparring over the deal and dealing a major blow to the carrier’s bid to create a media and telecommunications empire, Bloomberg News’ Sara Forden and David McLaughlin report.

    The Justice Department said it plans to make a major antitrust announcement Monday afternoon, without specifying the topic. The person familiar with the matter said the news regards the government’s plan to sue to block the proposed AT&T merger with Time Warner.

    https://www.bloomberg.com/news/articles/2017-11-20/at-t-faces-u-s-antitrust-suit-over-time-warner-deal

  • 5 Companies That Microsoft Could Put on Its Shopping List

    Workday Inc. (WDAY) and ServiceNow Inc. (NOW) , as the largest SaaS pure-plays not named Salesforce, could catch its attention. Workday, worth $23 billion, is the top provider of cloud human capital management (HCM) and financials apps for enterprises, and it has also rolled out analytics tools and apps meant for universities.

    ServiceNow, worth $22 billion, is the top provider of cloud-based IT service desk software and is also now a meaningful player in the IT operations management (ITOM) and IT business management (ITBM) software spaces. Buying the company would extend Microsoft’s reach within corporate IT departments and yield some synergies with the company’s System Center systems management software platform.

    https://www.thestreet.com/story/14399919/1/companies-microsoft-could-buy.html

Artificial Intelligence

  • AI Can Help Hunt Down Missile Sites in China

    The deep learning algorithms proved capable of helping people with no prior imagery analysis experience find surface-to-air missile sites scattered across nearly 90,000 square kilometers of southeastern China. Such AI based on neural networks—layers of artificial neuron capable of filtering and learning from huge amounts of data—matched the overall 90 percent accuracy of expert human imagery analysts in locating the missile sites. Perhaps even more impressively, the deep learning software helped humans reduce the time needed to eyeball potential missile sites from 60 hours to just 42 minutes.

    https://www.wired.com/story/ai-can-help-hunt-down-missile-sites-in-china/

Cloud

  • Amazon’s cloud is about to announce a huge health-care deal with Cerner, sources say

    As part of his keynote at re:Invent, AWS CEO Andy Jassy is planning to announce that Amazon is teaming up with Cerner, one of the world’s largest health technology companies, to help health-care providers better use their data to make health predictions about patient populations, according to sources familiar with the matter.

    The sources, who asked not to be named because the discussions are still in the final stages, said the partnership is initially focused on Cerner’s so-called population health product — HealtheIntent — which enables hospitals to gather and analyze huge volumes of clinical data to improve patients’ health outcomes and lower treatment costs.

    https://www.cnbc.com/2017/11/22/aws-is-partnering-with-cerner-on-cloud-deal-for-healtheintent.html

  • Google Cloud Platform cuts the price of GPUs by up to 36 percent

    Google today announced that it’s cutting the price of using Nvidia’s Tesla GPUs through its Compute Engine by up to 36 percent. In U.S. regions, using the somewhat older K80 GPUs will now cost $0.45 per hour while using the newer and more powerful P100 machines will cost $1.46 per minute (all with per-second billing).

    The company is also dropping the prices for preemptible local SSDs by almost 40 percent. “Preemptible local SSDs” refers to local SSDs attached to Google’s preemptible VMs. You can’t attach GPUs to preemptible instances, though, so this is a nice little bonus announcement — but it isn’t going to directly benefit GPU users.

    https://techcrunch.com/2017/11/20/google-cloud-platform-cuts-the-price-of-gpus-by-up-to-36-percent/?ncid=rss

  • HPE and Rackspace bring pay-as-you-go service to OpenStack Private Cloud

    “The launch of OpenStack Private Cloud with pay per use infrastructure delivered by Rackspace and HPE marks a pivotal moment in the private cloud market and in the industry at large,” said Antonio Neri, president of HPE. “This experience is the best of the cloud and on-premises worlds, and we fully expect this simple pay-per-use technology model to change the way enterprises make technology decisions.”

    The move is meant to respond to increased interest in public cloud services. The offering allows customers to pay only for what they use like a utility bill using HPE’s Flexible Capacity, making it easier to manage growth and bursts in workloads without paying for fixed capacity. The companies said providing the pay-as-you-go service will make private cloud 40% less expensive than the leading public cloud, an estimate based on Rackspace internal pricing analysis.

    https://www.rcrwireless.com/20171120/pay-as-you-go-model-inspires-hpe-rackspace-private-cloud-tag27

Security

  • Uber admits massive data breach

    CEO Dara Khosrowshahi confirmed Tuesday that, in late 2016, hackers stole the data of 57 million of the company’s riders and drivers from around the world, including names, email addresses, phone numbers and driver’s license numbers. Khosrowshahi also confirmed that the $70 billion ridehailing giant has kept the cyberattack quiet for more than a year, in violation of laws that regulate such breaches.

    As a result, Uber has fired chief security officer Joe Sullivan and one of his employees, according to Bloomberg. Sullivan was in charge of the company’s response when the attack took place. Former CEO Travis Kalanick reportedly learned about the hack roughly a month after it occurred.

    The breach was reportedly discovered by a team hired by Uber to investigate Sullivan and the security department as a whole. The outside law firm in charge of the investigation found that two hackers broke into Uber’s Amazon Web Services account to gain access to rider and driver data, then asked Uber for money to keep the information private. Uber reportedly paid the hackers $100,000 to delete the data and conceal the incident.

    https://pitchbook.com/news/articles/uber-admits-massive-data-breach
    New York attorney general launches investigation of Uber’s $100,000 hack cover-up

    The office of New York State Attorney General Eric Schneiderman confirmed to TechCrunch that it has opened an investigation into the incident.

    The new investigation won’t be the first time that Uber has tangled with Schneiderman. Flaunting laws over the course of its aggressive pursuit of growth, Uber often ran into conflict with city and state legal authorities, and New York is no exception. The company reached a settlement with Schneiderman’s office in January 2016 over its abuse of private data in a rider-tracking system known as “God View” and its failure to disclose a previous data breach that took place in September 2014 in a timely manner.

    Given the New York Attorney General’s interest in the latest Uber scandal, it follows that Uber will likely be in the hot seat in its home state of California, where under Civil Code 1798.82 businesses are required to disclose data breaches affecting more than 500 state residents to the Attorney General “in the most expedient time possible and without unreasonable delay.”

    https://techcrunch.com/2017/11/21/ny-ag-schneiderman-uber-hack-cover-up/?ncid=rss

Other

  • Philip Hammond just declared war on tech firms like Amazon and Apple that avoid UK tax

    Amazon, for example, uses a intricate arrangement that involves paying itself royalty fees for its own intellectual property. Those royalty fees are shielded from tax, and mean the company can wipe out its taxable income.

    The Treasury source explained: “If you’re hosting your intellectual property in a country that doesn’t charge tax, and using that IP to make profit by interacting with UK customers, we will be taxing you at 20%.”

    Since the UK’s tax authority can’t tax an overseas subsidiary, it will charge a “withholding tax”, meaning the money will be deducted at source.

    Richard Murphy, a tax specialist who has previously written about the way tech firms avoid paying UK tax, described the announcement as “a good move.”

    http://www.businessinsider.com/treasury-to-tax-uk-generated-revenue-held-offshore-by-tech-firms-such-as-amazon-and-apple-2017-11

  • Meg Whitman out as CEO of HPE early next year

    Six years after taking the helm as head of HP, Meg Whitman will step down from her role as CEO of Hewlett Packard Enterprise in February 2018. Whitman’s spot will be filled by the company’s current President, Antonio Neri.

    Neri has been with HP since 1995, starting as a customer service engineer at at call center, ultimately rising the ranks to Executive Vice President of HPE in 2015 and then to President in June of this year.

    https://techcrunch.com/2017/11/21/meg-whitman-out-as-ceo-of-hpe-early-next-year/?ncid=rss

  • What the End of Net Neutrality Means for You

    On Tuesday, FCC Chairman Ajit Pai announced his plan to gut net neutrality and hand over control of the internet to service providers like Comcast, AT&T and Verizon (which also happens to be Pai’s former employer).

    The new plan, titled the “Restoring Internet Freedom Order” promises to end government “micromanaging” of the internet in exchange for added transparency from service providers. However, it’s also ready been widely criticized for removing the consumer protections passed by the FCC in 2015.

    The FCC is set to vote on the proposal on December 14, and it’s expected to pass thanks to a 3-to-2 party split favoring the Republicans.

    https://lifehacker.com/what-the-end-of-net-neutrality-means-for-you-1820647171
    FCC plan would give Internet providers power to choose the sites customers see and use

    One major beneficiary of the rule-change may be AT&T, which is embroiled in a landmark legal dispute with the Justice Department over an $85 billion purchase of the entertainment conglomerate Time Warner. Should AT&T’s acquisition of Time Warner be allowed to close, a repeal of the FCC’s net neutrality rules could give the telecom giant greater power to flex its new content properties in different ways, according to some analysts.

    The most immediate effect of the FCC’s plan “is that constraints limiting contractual arrangements [between Internet providers and other companies] … will be lifted for both AT&T and its competitors,” said Joshua Wright, a former Republican FTC commissioner.

    https://www.washingtonpost.com/news/the-switch/wp/2017/11/21/the-fcc-has-unveiled-its-plan-to-rollback-its-net-neutrality-rules/
    Net Neutrality II: Last Week Tonight with John Oliver (Very NSFW!)

    I probably posted this before in the “News You Can Use” section, but this is a good summary of the situation… beware of colorful language and singing goats.

Photo: João Victor Xavier