WELLINGTON, New Zealand - Regarded worldwide as a
dirty pest, the cockroach has become the official
"millennium bug" for New Zealand, which will be
among the first nations to experience the real effects of
Y2K. "Ken" the cockroach was unveiled Wednesday as
the spearhead for a government-funded campaign to infest New
Zealand households with a "be prepared" message.
The Y2K, or millennium, bug refers to fears that older
computer programs that count years by the last two digits
may mistake 2000 for 1900, wreaking havoc on everything from
airlines to bank teller machines that run on computers.
While governments and corporations across the world have
spent billions of dollars trying to avoid problems, no one
really knows what will happen.
New Zealand is just 185 miles west of the International
Dateline at its closest point. It will be among the first
nations to greet the first day of the year 2000 and may give
hours' warning to other parts of the world as to what the
real effects of Y2K will be.
Ken will feature in television ads and other promotional
material in a $1.3 million campaign run by the Y2K Readiness
Commission. A cockroach was chosen as mascot because the
bugs were "the ultimate survivors," chairman Basil
Logan said.
"Love them or hate them, I think he (Ken the
cockroach) will be noticed and memorable," Logan said.
Publicity material announcing the campaign boasts the
adaptability of the insect, which can live without water for
two weeks, without food for a week, and may be the only
thing left alive if a nuclear disaster occurs.
As well as living at both the North and South Poles and
even as low as 2,200 feet underground, one of
"Ken's" relatives was found on the Apollo 11
command shuttle, suggesting it had survived a space flight.
Cockroaches have existed for 340 million years - 150 million
years longer than dinosaurs - and come in some 5,000
species.
The commission's serious message is that New Zealanders
should prepare for three days of possible millennium bug
disruption any time between Dec. 31, 1999, and March 31,
2000. Logan said households should prepare emergency supply
kits that include fresh water, food, flashlights and a
battery-powered radio.
"Ken" the cockroach was unveiled Wednesday as
the spearhead for a government-funded campaign to infest New
Zealand households with a "be prepared" message.
The Y2K, or millennium, bug refers to fears that older
computer programs that count years by the last two digits
may mistake 2000 for 1900, wreaking havoc on everything from
airlines to bank teller machines that run on computers.
While governments and corporations across the world have
spent billions of dollars trying to avoid problems, no one
really knows what will happen. New Zealand is just 185 miles
west of the International Dateline at its closest point. It
will be among the first nations to greet the first day of
the year 2000 and may give hours' warning to other parts of
the world as to what the real effects of Y2K will be.
Ken will feature in television ads and other promotional
material in a $1.3 million campaign run by the Y2K Readiness
Commission. A cockroach was chosen as mascot because the
bugs were "the ultimate survivors," chairman Basil
Logan said.
"Love them or hate them, I think he (Ken the
cockroach) will be noticed and memorable," Logan said.
Publicity material announcing the campaign boasts the
adaptability of the insect, which can live without water for
two weeks, without food for a week, and may be the only
thing left alive if a nuclear disaster occurs.
As well as living at both the North and South Poles and
even as low as 2,200 feet underground, one of
"Ken's" relatives was found on the Apollo 11
command shuttle, suggesting it had survived a space flight.
Cockroaches have existed for 340 million years - 150 million
years longer than dinosaurs - and come in some 5,000
species.
The commission's serious message is that New Zealanders
should prepare for three days of possible millennium bug
disruption any time between Dec. 31, 1999, and March 31,
2000. Logan said households should prepare emergency supply
kits that include fresh water, food, flashlights and a
battery-powered radio.
BAD DRIVING GETS
WORSE IN ISRAEL
JERUSALEM (AP) - Bad driving and cellular phones - so
prevalent in Israeli life they're part of the national
stereotype. But both at the same time? A man was pulled over
yesterday after a policewoman nabbed him driving through the
coastal town of Netanya with a mobile phone in each hand.
Engrossed in his conversation, he was operating the steering
wheel with his elbows, the daily Haaretz reported Tuesday.
The volunteer policewoman flagged him down when she saw his
gray Mitsubishi meandering from side to side. In Israel it
is illegal to hold even one cell phone while driving.
Violators are usually given a stiff fine and sent on their
way. In the Netanya case, the policewoman sent the talkative
driver to traffic court.
ANALYSTS SAY FAA COMPUTERS Y2K READY
WASHINGTON (AP) - The nation's air traffic control system
has been deemed free of the Year 2000 computer bug, the
Transportation Department announced Wednesday. System
repairs completed by June 30 have been examined and approved
by Science Applications International Corp., an independent
contractor, and the department inspector general, an
in-house watchdog. The certification was something of a
turnaround for the FAA and a bright spot for the
Transportation Department, both of which have endured harsh
criticism by Congress and outside groups for a lack of
preparation. The agency conducted a live test of its repairs
in Denver in April. It plans to continue testing its systems
and contingency plans for the rest of the year.
FTC SUES FREE WEB
SITE DESIGNERS
WASHINGTON (AP) - Web site companies, working with
telemarketers, have bilked thousands of small businesses of
millions dollars by billing for unauthorized services,
according to a lawsuit filed by the Federal Trade
Commission. Recent cases prompted a congressional inquiry.
The suit, filed in U.S. District Court in St. Paul, Minn.,
charges WebValley Inc. and its affiliates with cramming
unauthorized charges onto phone bills for Web pages that
consumers did not expressly order. The case comes as
WebValley is seeking approval to sell $34.5 million worth of
stock in an initial public offering. The FTC filed its
complaint under seal last week and announced the case
Wednesday.
AOL'S PROFITS NEARLY
TRIPLE
DULLES, Va. (AP) - America Online Inc. reported Wednesday
its quarterly profits nearly tripled, edging Wall Street
expectations on stronger revenues from subscribers and
advertising. The company's profit, excluding one-time
charges, came to $156 million, or 13 cents a share in AOL's
fiscal fourth quarter, which ended June 30. That was up from
AOL's profit of $58 million, or 5 cents per share, in the
same period a year ago. Analysts surveyed by First Call
Corp. had predicted per-share earnings of 11 cents for the
quarter. AOL's results were released at the close of trading
Wednesday, when its stock rose $1.87 a share to $115.06 on
the New York Stock Exchange.
AMAZON.COM POSTS STEEP
LOSSES
SEATTLE (AP) - Amazon.com's losses widened in the second
quarter as the giant Internet retailer increased its
spending to expand its online offerings and develop new
businesses for its site. While Amazon.com reported a steep
loss in the quarter, its sales grew by 171% from a year ago
and the company's customer base rose by 2.3 million to 10.7
million, three times larger than what it was in June 1998.
Besides its earnings report, Amazon.com also announced
Wednesday that its board of directors had approved a 2-for-1
stock split. Seattle-based Amazon.com lost $138 million, or
86 cents a share, in the quarter ended June 30, compared
with a loss of $22.6 million or 15 cents a share, a year
ago.
APPLE LAUNCHES
IBOOK PORTABLE
NEW YORK (Reuters) - Apple Computer Inc. on Wednesday
introduced its much-anticipated iBook portable computer
aimed at consumer and educational customers, with prices
starting at $1,599, filling a gap in its product line. The
new iBook portable is a six-pound computer which plays off
the success of Apple's hit iMac desktop machines introduced
a year ago. In a bid to capitalize on the latest technology
innovations, Apple's new portable computer provides
untethered Internet access for home and schools via AirPort,
its specially designed wireless link to local computer
networks.
FCC WILL
INTERVENE IN CABLE
ACCESS BATTLE
WASHINGTON (WSJ) - The Federal Communications
Commission's chairman, William Kennard, said the FCC will
intervene in a court case over whether local regulators can
require cable-television companies to open their new
high-speed wires to rival Internet service providers.
Kennard said Tuesday that he decided to file a brief in the
case to ensure a national no-regulation policy for the
Internet, rather than let local governments impose rules.
Last month, a federal court in Oregon ruled that the city of
Portland has the authority to require AT&T Corp. to
provide open access of its cable lines to competitors.
AT&T has appealed the ruling, which is now before a
federal appeals court. Kennard plans to file a
friend-of-the-court brief, in hopes it will serve as a guide
for the appeals court's decision.
SUN/NETSCAPE ALLIANCE
HAS 300 CUSTOMERS
SAN FRANCISCO (Reuters) - The alliance between Sun
Microsystems Inc. and America Online Inc.'s Netscape will
announce Wednesday that it now has 300 customers and is on
track to become a $1 billion Internet software company over
the next three years. The companies also plan to announce
some deals with major systems integrators, such as Price
Waterhouse Coopers, for training in Sun/Netscape products.
They also will brand their products under the umbrella
iPlanet - the name of one of Sun's software products for
accessing desktop applications while on the road.
COMPAQ OFFERS $299 WEB PC
HOUSTON (Reuters) - Compaq Computer Corp. said Wednesday
it was offering a price cut and product and Internet service
rebates for its Presario personal computer customers. The
company said that starting Sunday, customers can purchase a
three-piece Presario Internet PC bundle of printer, monitor
and personal computer for $299, after rebates. Presario
Internet PCs start at $499, including features and free
Internet access. Compaq, the No. 2 personal computer maker,
launched price reductions of up to 20% on its latest
Presario desktop models. Compaq also said it would
participate in the "iSAVE" Internet Savings Rebate
Promotion with America Online Inc. unit CompuServe.
CLINTON SIGNS Y2K
LAWSUIT BILL
WASHINGTON (AP) - President Clinton signed into law
Tuesday a bill designed to limit lawsuits related to the Y2K
computer problem and save American businesses billions of
dollars in legal costs. In a statement accompanying the
signing, Clinton expressed reservations about the act and
noted that his administration fought for several changes.
"I hope that we find that the Y2K Act succeeds in
helping to screen out frivolous claims without blocking or
unduly burdening legitimate suits," Clinton said. The
bill passed overwhelmingly in the House and Senate as one of
U.S. business leaders' top legislative priorities this year.
Under the law, a business will have 90 days after its
officers learn of a computer-related Year 2000 problem to
repair the problem before lawsuits can be filed.
SPECIAL LOANS APPROVED
FOR Y2K
WASHINGTON (AP) - The Federal Reserve Board has approved
a plan to make special loans to banks, thrifts and credit
unions that might need emergency money because of consumers'
fears about the Year 2000 date change. The central bank's
governors voted Tuesday, 5-0, to offer the special loans to
financial institutions from Oct. 1 through next April 7. In
response to comments it recently received from the public on
a proposal, the Fed decided to move up the program's
starting date from Nov. 1 as first proposed to Oct. 1. Of
the 93 comments received since late May, all but three
favored the loan program, the Fed noted in a statement.
PRICELINE.COM APPROACH DIFFERENT
STAMFORD, Conn. (AP) - As one of more than 100 Internet
travel sites offering bargain-basement airfares,
priceline.com is not unusual. But its name-your-price
approach is different, or at least used to be, before it
started spawning imitators. Priceline, which uses William
Shatner of "Star Trek" fame as its pitchman,
allows travelers to name their price and then looks for an
airline to match it. But the site does not always find
matches, and when it does, there are restrictions. Jay
Walker openly admits his company isn't for everyone. It's
not for most business travelers, who have little flexibility
with their schedule. But Walker says if you're a leisure
traveler looking for a cheap fare at the last minute,
priceline may be able to help you.
NASHVILLE APPROVES DEAL WITH DELL
NASHVILLE, Tenn. (AP) - City officials approved a $46
million incentive package Tuesday for Dell Computer Corp. to
build a plant employing at least 3,000 people. Dell, based
in Round Rock, Texas, announced plans in May to build the
personal computer assembly plant here. It would be the first
U.S. plant outside Texas for Dell, the world's No. 3
computer manufacturer. Mayor Phil Bredesen has said the Dell
complex, which could grow to employ 8,000, will be a $97
million economic boon to the city over the next 40 years.
Incentives include $8 million in sewer, road and other
infrastructure improvements, a 40-year property tax break
for 490 acres of land, the gift of 150 acres that housed an
old state mental institution, and an annual city payment of
$500 per Dell employee to the city's Industrial Development
Board.
TEXAS
INSTRUMENTS SALES, EARNINGS UP
DALLAS (AP) - Texas Instruments Inc. posted
better-than-expected profits for the second quarter on an 8%
rise in revenue, as gains in semiconductor chips more than
offset the loss of sales from the memory-chip business it
sold last year. The Dallas-based company said Tuesday it
earned $372 million, or 92 cents a share, in the three
months ended June 30, excluding one-time charges. That was
up from a profit of $142 million, or 35 cents a share, also
without special charges. The quarterly profit beat the
86-cents-a-share forecast by analysts surveyed by First
Call. Still, the company's shares were down amid a broader
retreat on Wall Street.
MICROSOFT SELLS PART
OF SIDEWALK
NEW YORK (AP) - Microsoft Corp., moving to refocus on
more promising Internet businesses, agreed Monday to sell at
least 9% of its Sidewalk online entertainment guide to rival
TicketMaster-CitySearch Inc. in a deal worth about $291
million. The agreement moves Microsoft away from a Web
service that had initially raised concerns among newspapers
it could create a potent rival to their business, stealing
advertising and classifieds. Though Microsoft spent heavily
to promote and expand Sidewalk into 77 cities, offering
guides to nearby restaurants, local events and other
regional information, the costs outpaced revenues.
BROADCOM CORP. ACQUIRES HOTHAUS
IRVINE, Calif. (AP) - Broadcom Corp. has acquired HotHaus
Technologies Inc. in a $280 million stock deal to push
telephone service over data networks, such as the Internet
and cable-television systems. HotHaus, based in Vancouver,
British Columbia, specializes in voice over Internet
protocol (VoIP) software, which enables the Internet to be
used for telephone calls. For users who have free or
fixed-price Internet access, VoIP essentially provides free
telephone calls to anywhere in the world.
AOL OFFERS SOME
BRITS FREE INTERNET
LONDON (AP) - America Online will begin offering some of
its British customers free service, it announced Monday, a
move widely seen as an effort to match rivals already
offering free Internet access. AOL Europe is aiming its free
service, Netscape Online, at budget-minded users who already
have a good working knowledge of the Internet. The company
plans to launch the plan Aug. 19. "It's a new segment,
a new slice of the Internet pie" in Britain, said
Andreas Schmidt, president of AOL Europe, a joint venture
between America Online and German media group Bertelsmann
AG. Schmidt denied AOL's move was a response to the surge in
business for its rival Freeserve, the biggest Internet
service provider in Britain.
FCC RELEASES STUDY ON
INTERNET
WASHINGTON (AP) - The Internet has flourished in part
because of the Federal Communications Commission's hands-off
approach to regulating it, says a study released Monday by
the commission staff. The working paper examines the
commission's policies over 30 years and credits several of
the commission's policies in helping foster the growth of
the medium. It also recommends that the FCC follow a similar
path in the future, considering only the minimum necessary
regulatory action to address anticompetitive behavior.
DELL OPENS NEW
AUCTION WEB SITE
ROUND ROCK, Texas (AP) - Dell Computer Corp. has opened a
new Internet site to allow consumer to bid for used Dell
systems and sell their computers regardless of brand.
Consumers also can buy a variety of computer-related
products at market prices at www.dellauction.com, the
company said Monday. The Dell computers available include
refurbished systems from Dell's Factory Outlet, used
computers returned to Dell's leasing company and individual
PCs of all brands that visitors to the site offer for sale
themselves. "Auctions are just one more way Dell is
becoming a single-stop source for computer buyers,"
said Richard Owen, vice president for Dell Online. Dell is
the nation's largest direct seller of computers, selling a
majority of its computers to businesses, governments and
other public institutions.
FCC
STUDY SAYS NET PROSPERS
WITHOUT REGULATION
WASHINGTON (AP) - The Federal Communications Commission
should maintain its hands-off policies to help foster growth
of the Internet, intervening with only minimal regulatory
action to address anti-competitive behavior, says an FCC
staff study released Monday. The internal study comes as the
commission has stood aside in one of the most contentious
debates about the future of how the Internet will reach
consumers: whether cable businesses offering high-speed
Internet service must share their lines with competitors.
The FCC has declined to force such line sharing. The paper
credits commission policies over the past 30 years that have
opened up parts of the telecommunications market as laying
the groundwork for Internet use to flourish.
ETRADE LOSES $21 MLN
MENLO PARK, Calif. (AP) - Leading online broker ETrade
Group Inc. lost $21.2 million during its third quarter as it
invested heavily in new technology, but its results were
better than Wall Street expected. ETrade reported Monday its
loss for the quarter ended June 30 translated to 9 cents a
share and compared with net income of $5.1 million, or 3
cents, a share in third-quarter 1998. The results do not
include costs for the $1.6 billion purchase of online banker
Telebanc Financial Corp. and other one-time items. When
those items are included, ETrade's quarterly loss came to
$24.2 million, or 10 cents a share. Analysts surveyed by
First Call had projected losses of 12 cents a share.
INTEL CHIEF
SEES 1 BLN INTERNET USERS
NEW ORLEANS (AP) - The chief executive of computer chip
maker Intel Corp. predicted Monday that the number of
Internet users will increase six-fold to 1 billion within
five years, but Craig Barrett said the most important part
of that growth will be business-to-business transactions.
"Business-to-consumer gets all the press because people
like to read about it. Business-to-business is really the
backbone of the U.S. and the world economy and that's where
probably 80% of this business is coming from," Barrett
said. Barrett, Intel's top manager, was in New Orleans to
address the Computer Associates World convention, where he
discussed the future of Internet commerce. |
Apple to invest $100
mln in Samsung
SEOUL, South Korea (AP) - Apple Computer Inc.
will invest $100 million in Samsung Electronics Co. in a deal
aimed at securing an adequate supply of advanced flat-panel
screens for its iBook and other laptop computers, a Samsung
statement said Thursday. The contract calls for Apple to buy $100
million worth of Samsung Electronics' convertible bonds that have
a maturity of three years. The bonds can be converted to common
shares or deposit receipts beginning in 2001. Samsung
Electronics, the flagship company of South Korean conglomerate
Samsung, said it would use the money to expand its facility to
produce larger thin-film transistor liquid crystal displays or
TFT-LCDs.
Compaq to cut up to
8,000 jobs
HOUSTON (AP) - Compaq Computer Corp. plans to
slash up to 8,000 jobs or 12% of its work force, as it struggles
to cut costs amid a $184 million loss in the second quarter
brought on by computer price wars and slowing sales. The cuts
unveiled Wednesday are the first major move by president and CEO
Michael D. Capellas, promoted to the post just last week to turn
around the No. 1 PC maker's flagging business. The workforce
reduction, ranging from 6,000 to 8,000 jobs, comes on top of
17,000 jobs that Compaq already is axing after Compaq acquired
Digital Equipment last year.
Fed
software would protect systems
WASHINGTON (AP) - The Clinton
administration plans to create a government-wide security network
to protect the nation's important computer systems from hackers,
thieves, terrorists and hostile countries. Civil liberties groups
complain the security tools would make possible unprecedented
electronic monitoring, especially because of the widespread use
of computers by the government in almost every aspect of its
citizens' daily lives. The 148-page proposal describes building
an elaborate network of electronic obstacles, monitors and
analyzers to watch for potentially suspicious activity on federal
computer systems.
WSJ: Microsoft's Maritz takes
low pressure post
NEW YORK (Reuters) - Microsoft Corp executive
Paul Maritz, once considered a contender to succeed Chairman Bill
Gates and President Steve Ballmer, is giving up most of his
operational responsibilities at the firm and may retire as early
as next year, the Wall Street Journal said. The newspaper said
Maritz, who has been group vice president of Microsoft's
developer group, will join a "technical leadership
team" to advise Gates. Of the nine executives who served on
Microsoft's executive committee within the past two years, four -
including Maritz - are on long-term leaves of absence or have
sharply reduced their responsibilities, the paper noted. Maritz
joined the company in 1986 and played a major role in supervising
the development of Windows 95 and Windows NT operating systems.
AOL says Foote Cone
to survey
online users
DALLAS (Reuters) - Internet service provider
America Online Inc. said Wednesday it had entered an agreement
with Foote, Cone & Belding which will allow the ad agency to
survey America Online's 17 million customers. The company said
that Foote, Cone & Belding, a unit of True North
Communications Inc. and one of the world's biggest ad agencies,
would use Internet surveys by America Online's Texas-based
Digital Marketing Services Inc. Foote, Cone & Belding is the
first advertising agency to enter into such a partnership, the
statement said. Financial terms were not disclosed.
Yahoo, Telebanc in
online deal
ARLINGTON, Va. (Reuters) - Online portal Yahoo!
Inc. said Wednesday that customers could get access to Telebank
accounts under an agreement with the Internet bank. The company
said in a statement that the accord gives users of the Yahoo!
Finance and My Yahoo! services access to their Telebank account
information. Users of Yahoo! Finance and My Yahoo! will have the
opportunity to open a new Telebank account. Further details were
not immediately available.
Online companies
join
parental Web plan
WASHINGTON (AP) - Some of the Internet's most
popular sites are putting aside their rivalry for a project to
help parents keep their children safe while surfing the Web.
America Online, Lycos Inc., The Walt Disney Co., Microsoft Corp.,
Yahoo! and others launched a Web site Thursday that includes
details about more than 80 commercial software programs parents
can use to block Web sites inappropriate for children. It also
offers collections of recommended sites safe for children of
different ages. Companies in the campaign, which claim almost 95%
of Internet traffic flow through their sites, will offer
prominent connections to the site - www.getnetwise.org - or will
present the information themselves. See
Apple, AOL plan
messaging products
NEW YORK (AP) - The public tiff over
instant messaging on the Internet escalated Thursday, with
combatants America Online Inc. and Microsoft Corp. showing few
signs of backing down. America Online, the nation's largest
Internet service, enlisted Apple Computer Inc., maker of the
popular iMac desktop, to help add more users to AOL's Instant
Messenger service, the hottest trend since e-mail exploded on the
scene in the early 1990s. The two companies agreed Thursday to
work together to let Macintosh users more easily zap messages to
the 40 million users of AOL's service. While AOL already makes
its instant messaging service for Apple's computers, the
agreement refers to future products such as pre-loaded AOL
software on Mac machines. That would free Mac users from
downloading software off the Internet. See
Gov't. Y2K expert predicts
failures
WASHINGTON (AP) - Computer failures related
to the Year 2000 technology problem could extend well beyond New
Year's Day, President Clinton's top Y2K expert said Thursday.
Although John Koskinen predicted a national "sigh of
relief" in the early hours of Jan. 1, he also anticipates
scattered electronic failures over the first days, weeks and even
months of the new year. Koskinen, chairman of the President's
Council on Year 2000 Conversion, said some failures may not
become obvious until the end of January, the first time after the
date rollover that consumers review their monthly bank
statements, credit-card bills and other financial paperwork. See
Experts
warn of new Y2K threat
WASHINGTON (AP) - Some programmers hired to fix
Year 2000 problems may be quietly installing malicious software
codes to sabotage companies or gain access to sensitive
information after the new year, two top government computer
security experts warned Thursday. Michael Vatis, director of the
FBI's National Infrastructure Protection Center, said experts
hired by U.S. companies to fix their computers can secretly
install "trap doors" - ways to let them gain access
later - or add malicious codes, such as a logic bomb or
time-delayed virus that could disrupt systems. "Many of
these (rogue programmers) have no security clearance, do not work
for the government, and yet they have access to critical systems
that if sabotaged could wreak havoc to our financial institutions
and our economy," said Sen. Christopher Dodd, D-Conn.
FTC wants online
pharmacies watched
WASHINGTON (AP) - The Federal Trade
Commission wants Congress to make Internet pharmacies disclose
information about the businesses selling the drugs and the
doctors prescribing them online. As consumers increasingly enjoy
the cost-savings and convenience of buying medicine over the
Internet, authorities have been frustrated in their attempts to
enforce laws because many Web sites do contain adequate
identifying information, according to the FTC. The FTC says the
sites should contain the name, address and phone number of the
pharmacy that will dispense the drugs and where that pharmacy is
licensed to do business. Similar information also should be
provided about physicians who prescribe drugs over the Internet,
as well as the states where that physician is licensed or
authorized to practice medicine. See
Anti-cybersquatting bill
clears
WASHINGTON (AP) - The Senate Judiciary
Committee approved legislation Thursday aimed at limiting
so-called cybersquatting by people who register Internet domain
names with the purpose of selling them later. Some people have
found a lucrative practice in registering Web addresses using the
trademarks of famous companies in hopes of later forcing the
companies to pay sizable amounts of money to buy the rights to
the Internet locations. The legislation to limit the practice was
sponsored by a bipartisan group including Judiciary Committee
Chairman Orrin Hatch, R-Utah.
ICQ,
NET2PHONE TO OFFER
ONLINE PHONE SERVICE
DULLES, Va. (Reuters) - America Online Inc.'s fast-growing ICQ
chat service said its 38 million users will be able to make phone
calls to each other over their personal computers through a
four-year deal with Web telephone provider Net2phone. Software
allowing voice communications over the Internet has been
available for years, but ICQ said its deal provides the first
opportunity to integrate and standardize a single service
compatible across tens of millions of users. Initial service
between two users talking through microphones connected to their
personal computers will be free.
ONLINE HOUSEHOLDS WATCH
LESS TV
DULLES, Va. (Reuters) - It may come as little surprise to
those who spend hours surfing the Net instead of watching
"the tube," but people in households that are online
watch less television than those in offline households, according
to a study released Monday. The study, done by Nielsen Media
Research for America Online Inc., found that households with
Internet access watch on average 13% less TV than those
households that are not online. That works out to an estimated 32
fewer hours of TV viewing monthly per household. The data also
indicated that TV consumption in households new to the Internet
is also lower.
MICROSOFT, E-STAMP IN ONLINE
POSTAGE DEAL
LOS ANGELES (Reuters) - Microsoft Corp. took aim at the
nascent Internet postage market Monday, saying it has designated
E-Stamp Corp. as the postage-at-home application of its Office
Update Web site. Privately held E-Stamp, in which Microsoft owns
a minority share, makes one of two applications in the final
stages of testing by the U.S. Postal Service. The other is
offered by Stamps.Com. The Office Update site includes software
downloads for applications endorsed by Microsoft, but not
included in the Windows software packages, and also updates of
other programs.
UNIVERSAL PLANS
DIGITAL
MUSIC DISTRIBUTION
LOS ANGELES (Reuters) - Universal Music Group announced plans
on Monday to make its recordings available for digital
downloading by the next generation of portable playback devices.
Universal said it is developing software to make a broad array of
its catalog compatible with a new version of the pocket-sized Rio
player from Diamond Multimedia System Inc. and similar devices
from Panasonic and Toshiba, all expected on the market this
winter. The new devices are to incorporate a new industry
standard - dubbed the Secure Digital Music Initiative, or SDMI -
for screening out pirated versions of copyright-protected music.
DIGITAL COAST
THRIVES IN
HOLLYWOOD'S GLOW
LOS ANGELES (Reuters) - First it was oranges, then airplanes.
Now it's the Internet that is turning the greater Los Angeles
area into a new boomtown. The region once known for sprawling
swaths of fruit trees and mammoth aerospace and defense companies
is increasingly the choice for entrepreneurs looking for fertile
ground in which to plant seeds for the Next Big Thing.
ISP AT&T WORLDNET
BREAKS DOWN
NEW YORK (AP) - AT&T WorldNet, a big Internet service
provider, experienced problems Monday that affected customers in
four Eastern states. While the company was upgrading software,
problems occurred with some computer routers which handle
Internet traffic, causing difficulties that lasted three hours,
said AT&T spokesman Mark Siegel. The problems were fixed by
1:30 p.m. EDT. Customers in Virginia, Maryland, New York and New
Jersey experienced sporadic difficulties, including busy signals
or slow service, Siegel said. He said he didn't know how many of
AT&T WorldNet's 1.6 million users were affected.
MICROSOFT PROFITS UP 62%
SEATTLE (AP) - Microsoft Corp., buoyed by healthy sales of the
latest upgrade to its Office suite of business software, reported
Monday that its fourth-quarter profits rose 62% from a year ago.
But the company's chief financial officer warned that rate of
growth would be difficult to sustain in the coming year as
personal computer sales slow, Year 2000 computer problems linger
and Microsoft makes hefty investments in new arenas. Microsoft,
which dominates the personal computer software industry, had net
income of $2.2 billion or 40 cents a diluted share, compared with
profits of $1.36 billion or 25 cents a diluted share a year
earlier. Revenue for the quarter ended June 30 was $5.76 billion,
up 39% from $4.15 billion last year.
DETECTIVES LOSE
BUSINESS TO INTERNET
SAN FRANCISCO (AP) - If Sam Spade or Mike Hammer were around
today, they'd probably be plumbers, thanks to a boom in Internet
snooping, which lets savvy computer users do their own detective
work instead of hiring a gumshoe to do it for them. Some private
detectives - there are about 8,700 in California - say their
business has been stunted by the ability of people to use the
Internet to gather information they used to hire a private eye to
collect. San Francisco's best-known private detective, Hal Lipset,
whose agency has been peeking into the private lives of people
for more than 50 years, has seen business plummet by 40%,
according to his operating manager, Kyle Rimdahl.
MYSTERIOUS VIRUS HITS RUSSIA
MOSCOW (AP) - A mysterious viral infection that has killed six
people in the Rostov region in southern Russia is most likely a
form of hemorrhagic fever, a top health official said Sunday. Dr.
Gennady Onishenko, Russia's senior public health official, told
Echo Moscow radio that the sixth victim died Saturday night. The
unknown viral infection is most likely the Congo-Crimean
hemorrhagic fever, Onishenko said, according to the ITAR-Tass
news agency. He said the disease belongs to a type of
low-contagious infection and that only 81 people out of the
11,000 people living in the village where the outbreak was
reported have caught it. Of the victims, 50 were preparing to
leave the hospital, Onishenko said.
MICROSOFT WINS CONN.
ANTITRUST CASE
BRIDGEPORT, Conn. (AP) - The founders of tiny Bristol
Technology Inc. knew they had their work cut out for them when
they took on Microsoft Corp. in an antitrust lawsuit. But this
time around, David didn't get the best of Goliath. The Danbury,
Conn.-based company, with just 70 employees and $8.7 million in
revenues last year, sued Microsoft in August, claiming the
industry leader was trying to crush competition by preventing
access to its source code - the software blueprints - for Windows
NT. Bristol spent more than $1 million to prepare its case for
trial. After a federal jury in Bridgeport rejected Bristol's
antitrust claims Friday, the company's lawyers were crestfallen.
MICROSOFT'S VALUE TOPS
$500 BILLION
SEATTLE (AP) - Investors continued their love affair with
Microsoft Corp., making the software giant the first company to
be worth more than half a trillion dollars as its stock price
surged on a positive jury verdict and a rumor. Microsoft's stock
was up $5.06 to close at $99.43 a share Friday in trading on the
Nasdaq Stock Market. With more than 5.1 billion shares
outstanding, Microsoft was worth about $507 billion. The No. 2
company, General Electric, was worth about $384 billion. At
current stock prices, company chairman Bill Gates would be worth
more than $100 billion, based on the more than 1 billion
Microsoft shares he was listed as owning in a Feb. 11 proxy
statement.
NEW APPLE LAPTOP HAS
FANS IN FRENZY
NEW YORK (AP) - Apple Computer Inc. has yet to reveal its
mysterious new laptop computer, let alone start to sell it. But
judging from the anticipation in the Mac community, Apple's
latest surprise promises to be another sales splash - extending
the company's comeback and shaking up portable design just as its
iMac personal computer prompted the industry to rethink the
clunky beige desktop. There are obstacles to another Apple best
seller, including potential production problems and a worldwide
shortage of flat-panel screens, which could drive up Apple's
costs. But industry buzz over the laptop's expected design, price
and performance is accelerating ahead of a speech Wednesday by
Apple co-founder and acting chief executive Steve Jobs, at the
MacWorld trade show in New York.
MINI CIRCUITS MAY SPEED
COMPUTERS
SAN FRANCISCO (AP) - Researchers have created computer
circuitry in a single molecule - a breakthrough that could open a
brave new world of tiny computers billions of times more powerful
than current PCs and sensors that could be injected into the
bloodstream to diagnose disease. "What we are proposing is
essentially building a computer in a test tube," said Phil
Kuekes, a computer architect for Hewlett-Packard in Palo Alto.
"Eventually computers are going to be so small you won't be
aware of them. The computer won't just be in your wristwatch - it
will be in the fibers of your clothes." Researchers at
Hewlett-Packard and the University of California at Los Angeles
reported early success in combining computer technology with
chemistry.
WEB SITE NAMES COULD GET
NAUGHTY
WASHINGTON (AP) - Some of the newest addresses on the Internet
may soon be along the lines of wash-your-mouth-out-dot-com.
Because of recent changes to the way addresses are assigned,
people have been permitted to register dozens of Web sites this
week with names previously deemed too objectionable by the
government's exclusive contractor. The contractor, Network
Solutions Inc., decided it will no longer accept responsibility
for rejecting vulgar names from the world's master list of
Internet addresses ending in "com," "net" and
"org," which the company controls from its offices near
Washington. The company is under orders from the White House to
begin letting consumers sign up for Web addresses with other
companies, too, but will require its competitors to develop their
own vulgarity filters.
EX-NETSCAPE,
MICROSOFT EXECS
MAKE DEAL
NEW YORK (AP) - Microsoft and Netscape may be two of the
Internet's fiercest rivals, but you wouldn't know it by the way
some former top executives are joining forces. James Barksdale,
chief executive of Netscape before it was bought by America
Online Inc. in March, and Brad Silverberg, who formerly led
Microsoft Corp.'s Internet strategy, are financing a new startup
in Silicon Valley, Tellme Networks Inc. Barksdale and Silverberg,
along with most of Tellme's roughly 20 employees, many formerly
from Microsoft and Netscape, are contributing a total of $6
million as seed money. Despite being called Tellme, the company
is vague about what it wants to sell, beyond saying it plans a
service that will change the way consumers use the traditional
home telephone.
LYCOS FORMS VENTURE
CAPITAL FUND
WALTHAM, Mass. (Reuters) - Online network Lycos Inc. said
Tuesday it formed a $70 million venture capital fund, Lycos
Ventures, L.P., with partners that include Microsoft Corp.
co-founder Paul Allen's Vulcan Ventures. The company said in a
statement that Lycos would put $10 million into the pool and
operate it as a general partner along with Triangle Capital Corp.
of Pittsburgh. Lycos's other partners in the fund include Vulcan
Ventures, Bear Stearns Cos. Inc. as well as Japan's Sumitomo
Corp. and Mirae Corp. of Korea.
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