home *** CD-ROM | disk | FTP | other *** search
Text File | 2001-12-07 | 75.0 KB | 1,711 lines |
- Volume 3, Issue 49 Atari Online News, Etc. December 7, 2001
-
-
- Published and Copyright (c) 1999 - 2001
- All Rights Reserved
-
- Atari Online News, Etc.
- A-ONE Online Magazine
- Dana P. Jacobson, Publisher/Managing Editor
- Joseph Mirando, Managing Editor
- Rob Mahlert, Associate Editor
-
-
- Atari Online News, Etc. Staff
-
- Dana P. Jacobson -- Editor
- Joe Mirando -- "People Are Talking"
- Michael Burkley -- "Unabashed Atariophile"
- Albert Dayes -- "CC: Classic Chips"
- Rob Mahlert -- Web site
- Thomas J. Andrews -- "Keeper of the Flame"
-
-
- With Contributions by:
-
-
-
-
- To subscribe to A-ONE, change e-mail addresses, or unsubscribe,
- log on to our website at: www.atarinews.org
- and click on "Subscriptions".
- OR subscribe to A-ONE by sending a message to: dpj@atarinews.org
- and your address will be added to the distribution list.
- To unsubscribe from A-ONE, send the following: Unsubscribe A-ONE
- Please make sure that you include the same address that you used to
- subscribe from.
-
- To download A-ONE, set your browser bookmarks to one of the
- following sites:
-
- http://people.delphiforums.com/dpj/a-one.htm
- http://www.icwhen.com/aone/
- http://a1mag.atari.org
- Now available:
- http://www.atarinews.org
-
-
- Visit the Atari Advantage Forum on Delphi!
- http://forums.delphiforums.com/m/main.asp?sigdir=atari
-
-
-
- =~=~=~=
-
-
-
- A-ONE #0349 12/07/01
-
- ~ W. Virginia Files Suit ~ People Are Talking! ~ E-Greetings? Pay!
- ~ States' Sanction Plan! ~ Cyber Security Boost! ~ iPod Issue Fixed!
- ~ Web Copyright Treaty! ~ Xbox Online Play Now? ~ Dutch Block PS Ones!
- ~ HP-Compaq Battle Rages ~ 'Goner' Worm Outbreak! ~ GameCube Sales Soar!
-
- -* Excite@Home Rescued, Doomed! *-
- -* Apple To Make MS Settlement Proposal*-
- -* EU Ministers Back Unsolicited E-Mail Ban! *-
-
-
-
- =~=~=~=
-
-
-
- ->From the Editor's Keyboard "Saying it like it is!"
- """"""""""""""""""""""""""
-
-
-
- I realize that I'm always complaining how fast time goes by, but this is
- ridiculous! How did we get from November to April so quickly? Did I fall
- asleep and we went from fall to spring? Wait a minute! The calendar say
- December! At least here in New England, you'd never know it by the weather!
- The trees have buds, flowers are coming up, and the geese are flying north!!
- This has been great. Record high temperatures almost every day this week.
- You just know we're going to pay for this weather eventually!
-
- I've been thinking about the proposed Microsoft settlement news lately, and
- something about it just didn't feel right to me. Forget the fact that
- Microsoft seems to be on the verge of getting away with just a slap on the
- wrist. There was something else that I couldn't put my hands on, but I knew
- that it was there, somewhere. Then I saw a few commentaries from a few
- people online, and then another story this week from Apple.
-
- This case came about due to Microsoft being accused of antitrust violations
- and how it was becoming monopolistic. The Justice Department and a number
- of states successfully proved that this was indeed occurring. Found guilty
- and then got "off" on appeal. A new judge demanded a settlement. What
- settlement is proposed/offered? Computers and Microsoft software for
- thousands of needy schools! In and of itself, the offer is a noble one.
- There are schools in need of computer equipment and software that might
- otherwise not be able to afford buying it.
-
- Now, being the ever-cynical person who thinks that "if something seems too
- good to be true, it usually isn't" - I can picture this as yet another way
- for Microsoft to continue to monopolize the industry by getting more of its
- software embedded into another market - schools. What about Apple? The
- school system is probably the last vestige that Microsoft doesn't have its
- hooks into fully - it's Apple's niche market.
-
- Now I believe in competition as much as the next guy. Let the better
- company or product win on an even playing field. But this is not a
- competitive move, it's a brilliant scheme on Microsoft's part! This is not
- a settlement. It's not a charitable act. It's more of the same old
- Microsoft finding a way to get deeper into the customer base and squashing
- its competitors. What do you think?
-
- Me, I'm going to find the suntan lotion and sit on the deck and catch a few
- rays with a nice cold beer!
-
- Until next time...
-
-
-
- =~=~=~=
-
-
-
- PEOPLE ARE TALKING
- compiled by Joe Mirando
- joe@atarinews.org
-
-
-
- Hidi ho friends and neighbors. Remember a few weeks ago when I said
- something to the effect of "well, winter is on its way"?
-
- It seems that the reports of autumn's demise have been exaggerated. The
- weather here in southern New England have been nothing short of
- remarkable. The temperatures this week have been more indicative of
- April than December.
-
- Now I'm not going to start yelling about global warming or El Nino,
- since I fully realize that this could well be nothing more than a
- statistical aberration.
-
- I remember way back in the dim mists of time when I was a kid. It seems
- that we could always count on at least a couple of light snowfalls
- between Thanksgiving and Christmas.
-
- Of course, I can remember my grandmother telling me that, when she was
- a kid, they always had snow for Thanksgiving. How much is fact and how
- much is our faulty memories is hard to tell, and I'm not at all sure
- that what I remember is the way it actually was.
-
- On another subject, I notice that there are several more trojans,
- worms, and viruses out there preying on Windows machines. Windows is
- kind of like having sex these days: If you're planning on having
- Windows, you really should make sure you have protection. <grin>
-
- Seriously though, if you "do email" on a Windows machine, get yourself
- some anti-virus software and update it at least weekly.
-
- To tell the truth, I'd love to be able to say that all of the virus
- problems out there are the fault of Windows and Microsoft, but it just
- ain't so.
-
- Sure, Microsoft made some mistakes and left some security holes in
- Windows, but it's these freaks who have nothing better to do than to
- write these snippits of code. The fact that Windows is the target is
- mostly because of its popularity. I wish I could say that it's Microsoft's
- fault, but it isn't.
-
- Well, let's get to the news and stuff from the UseNet.
-
-
- From the comp.sys.atari.st NewsGroup
- ====================================
-
-
- Joe Zorin asks about installing a hard drive on his ST:
-
- "I just bought from someone online a Mega ST4 and an Atari hard
- drive, SH205. I'm having trouble with getting the hard drive
- running.
-
- First of all, I used several Atari computers from when they
- first came out until when I bought my first IBM compatible PC in
- 94. Since then I've only used my old Atari to run certain
- programs I created for my work and haven't yet ported to the PC.
-
- My Atari's floppy stopped working which is why I bought a system
- online. For my old Atari I had a hard drive custom built before
- the Atari hard drives came out.
-
- Anyway, the fellow who sold me the Atari said that he wiped the
- hard drive clean but reinstalled the Atari hard drive software
- so it should boot up, but it doesn't.
-
- I'm not even sure I have the hard drive plugged in properly. It
- has 2 ports on the back, one is "out" and one is "in". I presume
- the "out" is the one to use. I vaguely remember that it is
- necessary to first turn on the hard drive, let it come up, then
- turn on the computer. What happens is that the computer's drive
- "A" light stays on and the hard drive doesn't come up. If I put
- a floppy in the drive, the light will go off but the computer
- can't see the floppy complaining that the disc or floppy drive
- is no good and I do not see an icon for the hard drive. If I
- turn the computer on without the hard drive turned on, then the
- computer successfully sees drive A.
-
- The fellow who sold me the computer then emailed me what he says
- is the Atari hard drive software. It consists of 2 folders. The
- first is called Ahdi and in it are 2 files, Ahdi.prg and
- Shdriv.sys. The other folder is Hdx and in it are Hdx.prg and
- Hdx.rsc.
-
- So, how do I install this hard drive software? What steps are
- necessary as far as turning on the computer and hard drive and
- what should be in the floppy? Do I need to remove those files
- from the folders?
-
- I used to be really good at Atari tech stuff and did a lot of
- programming with Laser C. But, it's been almost 10 years since I
- did any such tech stuff- and I don't have the hard drive
- installation instructions.
-
- I wouldn't be surprised the hard drive has the software already
- installed but I must be doing something wrong."
-
-
- 'Pelcombe-Ilford' tells Joe:
-
- "I suspect it might be a SCSI drive, in which case you might need to
- connect the computer to the 'IN' port, and then connect a SCSI
- terminator block to the 'OUT' port.
-
- (This might just be a shot in the dark, since I'm not familiar with the
- Atari built hard drives, I'm working from my experience with a System
- Solutions external SCSI drive, which I operated with a ST+ SCSI adaptor
- and a Falcon. I hope this information is useful though.)"
-
- Peter West adds:
-
- "I think the old Atari hard disks had DMA connections with an
- internal host adapter. Most were of the old RLL or MSF type -
- definitely not SCSI.
-
- But, Joseph, you should connect his DMA lead to the IN socket! The
- OUT was mainly for the Atari Laser, but could be used with a Link
- or similar device to connect to SCSI drives. Also, try downloading
- their demo version of HDDRIVER from Uwe's site. If it works, buy
- the full version -it's the best Atari hard disk driver there is!
-
- You can run HDDRIVER from the floppy - as you can AHDI - and install
- it on the hard drive. Don't forget you have to add the partition icons
- manually to the desktop, unless you have Thing or jinnee which will
- install them all with one mouse click. With the Atari desktop, click
- on one of the floppy icons, then 'Install Disk Drive' and type in 'C'
- (capital!) for the drive and 'Hard Disk' for the name. If the disk has
- several partitions, repeat this for each one, incrementing the letter
- by one each time (it doesn't matter if you install too many - if the
- partitions don't exist you will get a warning message when you try and
- open them, so delete the surplus ones by dragging their icon(s) to the
- wastebasket. Once you have icons for all partitions installed and
- dragged to your preferred positions, don't forget to 'Save Desktop'."
-
- Ken Kosut asks about CAB and PPP-Connect:
-
- "I am having some problems connecting with PPP-Connect.
-
- Falcon/Magic 6.01/HS-modem
-
- I have DRVIN.PRG and SCC.PRG in the AUTO folder.
- (also SOCKETS.PRG)
-
- Is DRVIN necessary with Magic? Do I have to adjust DRVIN and SCC with
- Setter?
-
- I used ICONF.PRG to create a New set.
- I got it to dial in one time, but it would not connect.
-
- Local Code Reject NO
- Remote Code Reject NO
- Local Protocol Reject NO
- Remote Protocol Reject NO
- Remote Authentication Request NO
- Remote Line Quality Report Request NO
- Peer did not provide Local IP-address NO
- DNS IP address NO
- Timeout YES
-
- I was told to leave the local IP address set to O. I put in a DNS IP,
- but now the modem won't dial in. I would appreciate any suggestions."
-
- Gerhard Stoll tells Ken:
-
- "You can try to set the RBLS2 and TBLS2 to 8196 bytes or higher."
-
- Derryck Croker adds:
-
- "Yes, use DRVIN. Driver, scc and sockets in that order.
-
- I think it should work as-is. English docs for HSModem are on my web
- site by the way.
-
- Make sure you set the port to Modem2, usual 8-N-1 for the other
- settings, I've got a simple atz for the modem command.
-
- Local IP address should be 0.0.0.0
-
- Login - try just the "Done" entry, with PPP ticked
-
- DNS - either enter the one that the ISP provides, or enter 0.0.0.0. It
- will then be negotiated during connection. Failure to enter or
- negotiate a DNS won't make a ha'porth's worth of difference to dialling
- in, just that you won't be able to browse any web sites unless you know
- their IP address."
-
- You might find it's a problem with the running order in your Auto
- folder, see above. If IConnect stalls during the "negotiation" stage,
- then it's worth activating the terminal and responding to your ISP's
- questions - you can use the results as a script. Usually the "Done"
- entry is all you need, but the ISP I use now wants a little chat with a
- script."
-
- Ken makes some adjustments and tells us:
-
- "I rearranged programs in Auto Folder (DRVIN, SCC and SOCKETS)
- Went to Terminal Mode and Logged on Manually. After my ISP made an
- adjustment, I was able to log on."
-
- Klaus Seiner asks for info about replacing drives in his Stacys:
-
- "I've got 2 Stacys (2 and 4).
-
- How can I replace the floppy (has read errors all the time) and the HD
- (is dead) and what to replace them with? (E.g. Which floppy drive/hard
- disk - where can i get them etc.)"
-
- Joshua Kaijankoski tells Klaus:
-
- "Why don't you sell me one of the Stacys and I'll take care of it
- <smile>
-
- Any older SCSI drive should be ok on it. Keep in mind that TOS 1.04
- can't support partitions that are too big. I forget the limit. I am
- under the impression that any ST 720K drive will work on the Stacy."
-
- Lyndon Amsdon adds:
-
- "[They] Should accept either as long. I have a Sanyo laptop drive that
- could be made to work on the Stacy as it has a cut down shugart
- interface.
-
- Basically it doesn't have as many GND pins. Problem would be making it
- fit neatly, these aren't standard. Or did the Stacy have a standard
- height drive, surely not!
-
- I was actually talking about the floppy drive, but...
- They take 3.5" scsi hds? no wonder they wasted batteries in minutes!!"
-
-
- Well folks, that's it for this week. Tune in again next week, same
- time, same station, and be ready to listen to what they are saying
- when...
-
- PEOPLE ARE TALKING
-
-
-
- =~=~=~=
-
-
-
- ->In This Week's Gaming Section - Xbox Online Players Jump Gun!
- """"""""""""""""""""""""""""" GameCube Sales Reach 600,000!
- Dutch Block PlayStation Ones!
- And more!
-
-
-
- =~=~=~=
-
-
-
- ->A-ONE's Game Console Industry News - The Latest Gaming News!
- """"""""""""""""""""""""""""""""""
-
-
-
- Nintendo GameCube Sales Now Close to 600,000 Units
-
-
- Nintendo Co Ltd said on Monday sales of its new GameCube video game console
- had reached nearly 600,000 units in the 15 days since the console was
- launched in the United States on November 18.
-
- Nintendo said in a statement the sales figure pointed to an average of 27
- GameCube consoles being bought every minute since the console made its
- debut, three days after the launch of Microsoft Corp's Xbox gaming console.
-
- Microsoft has not released sales figures of its rival Xbox console.
-
- The Japanese game maker shipped a total of 740,000 of the $199 GameCube
- consoles to North America for last month's launch, with about 80 percent of
- that total going to U.S. retailers.
-
- Nintendo has said it expects to sell 1.3 million GameCube consoles by
- year-end, while Microsoft has said it expects to ship between one million
- and 1.5 million units of its $299 Xbox console by year-end.
-
-
-
- Dutch Government Blocks Sale of Sony Playstation Ones
-
-
- The Dutch government said on Tuesday it had blocked the sale of more than
- 1.3 million Sony Corp. Playstation One consoles and accessories in November
- because the cables contained too much cadmium.
-
- Sony's new Playstation Two consoles were not involved.
-
- The government said in a statement that Dutch customs and the state's
- health inspection service IHM had discovered the consoles and 800,000
- accessories -- estimated to be worth 400 million guilders ($162 million)
- -- during an inspection of a distribution center in Tilburg, a town in the
- south-central Netherlands.
-
- The case would be studied by the Dutch public prosecution office, it said.
-
- ``The cables attached to devices belonging to the (consoles) contained
- much too high values of cadmium... The cables, which were examined,
- contained values of cadmium varying between three and more than 20 times
- the allowed value," the government said.
-
- A spokesman for the Dutch Ministry for Environment said that large
- concentrations of cadmium were banned in the Netherlands -- in line with
- European Union policy -- to prevent it from entering the food chain.
-
- ``Cadmium damages the kidneys," spokesman Joost Kehrer told Reuters.
-
- Within the European Union no goods are allowed to be imported which
- contain more than 0.01 percent cadmium, he said.
-
- In reaction, Sony confirmed that the Playstation consoles had been
- impounded by the Dutch government.
-
- ``But the health risk is for incorrect disposal (of the cable) only,"
- David Reeves, Sony Computer Entertainment senior vice president of sales
- and marketing Europe, said. ``We have reservations about the
- interpretation of the law by the Dutch authorities," he added.
-
- Reeves said that Sony was already replacing the peripherals and had
- started to ship the Playstation One consoles again.
-
-
-
- Sony Swaps PlayStation One Cables After Dutch Move
-
-
- Sony Computer Entertainment Inc said on Wednesday it was replacing
- peripheral cables for 1.3 million PlayStation One game consoles after the
- Dutch government blocked sales of the machines on health and environmental
- concerns.
-
- The Dutch government said on Tuesday it had blocked shipment of the
- consoles and 800,000 accessories bound for the European Union market in a
- warehouse in the Netherlands in November because the cables contained too
- much cadmium.
-
- Sony Computer, the unit of Sony Corp that makes and sells PlayStation, said
- on Wednesday it had already started replacing the cables. It hoped to
- resume limited shipments of the consoles by mid-December, with full
- supplies as soon as possible.
-
- ``Although we have reservations about the interpretation of the regulations
- (by the Dutch authorities), we have begun replacing the cables," a Sony
- Computer spokeswoman said.
-
- Sony Computer said that its new PlayStation 2 consoles were not affected by
- the ruling because they do not use the same peripheral cables.
-
- The company would not replace cables for PlayStation One consoles sold in
- countries outside Europe if they did not violate environmental regulations
- in those nations, it said.
-
- Sony Computer also said it would not recall any consoles already sold in
- Europe as the amount of cadmium in the cables did not in its view pose a
- health risk to users.
-
- The cadmium contained in the cables only posed a risk if incorrectly
- disposed of, in which case it could have long-term environmental effects,
- Sony said.
-
- Within the European Union no goods are allowed to be imported that contain
- more than 0.01 percent cadmium. The Netherlands said the cables contained
- between three and 20 times the allowed amount.
-
- A spokesman for the Dutch environment ministry said on Tuesday that large
- concentrations of cadmium were banned in the Netherlands -- in line with
- European Union policy -- to prevent it from entering the food chain.
-
- ``Cadmium damages the kidneys," spokesman Joost Kehrer said.
-
- Sony Computer did not say how much the cable replacement would cost the
- company.
-
- The consoles were sold at an average list price of about $89 in Europe,
- with the price varying from country to country, it said.
-
- The Dutch government on Tuesday estimated the 1.3 million consoles and
- 800,000 accessories to be worth $162 million.
-
-
-
- Xbox Online Players Jump the Gun on Microsoft
-
-
- Microsoft officials are so far not upset -- and apparently not inclined to
- take pre-emptive action -- in response to non-sanctioned moves to take Xbox
- games online before the company is ready to do so.
-
- The software giant, which unveiled its Xbox console last month and is
- planning to release online offerings for the games by summer 2002, calls
- recent efforts by GameSpy Arcade and Xbox Gateway "an interesting science
- experiment by and for hard-core gamers."
-
- Microsoft also is calling on consumers and retailers to wait patiently for
- its own online offerings, which it says will provide a superior gaming
- experience with fewer glitches.
-
- For those who cannot wait, the newest player on the scene is Xbox Gateway,
- a Linux-based application that lets users play some Xbox games over the
- Internet.
-
- Developers of the Xbox Gateway make clear on their Web site that their
- program has no official connection to or approval from Microsoft. The site
- says the program is "just a temporary work-around until Microsoft releases
- their own network service."
-
- The gateway's developers, identified on their site only as "Rooty and
- Tzar," could not be reached by TechExtreme for comment. According to the
- site, the application works similarly to an Ethernet bridge, by splitting
- game data into packets and distributing them to players online.
-
- The program is for Xbox games that support multiplayer functions on local
- area networks (LANs), usually denoted by the "System Link Play" option
- under the games' multiplayer menu. The application requires a broadband
- Internet connection, a PC and an Xbox console.
-
- Users must have a Linux server or a PC with the developers' boot disk
- installed on the same network as the Xbox.
-
- So far, the gateway program has been tested only on the games Halo and
- Tony Hawk 2X in system-link mode. Developers report that they were able to
- connect two Xbox consoles on a cable modem with no time lag, but lag did
- occur when a third box was added.
-
- However, developers said they were able to connect four Xboxes via a DSL
- connection with very little lag.
-
- In recent weeks, the Web site GameSpy Arcade has been offering similar
- software downloads, not based on Linux, to play preview or review versions
- of Halo, Tony Hawk 2x and NASCAR Heat 2002 online.
-
- Responding to these offerings, Jon Lenaway, a spokesperson for a Los
- Angeles PR firm handling Microsoft's Xbox efforts, referred TechExtreme to
- a section of the company's Web site geared to retailers.
-
- "It's amazing and exciting to see the lengths that gamers will go to in
- order to take their Xbox games online," Microsoft tells retailers. "The
- GameSpy Arcade efforts are a strong indication that people want online
- console game experiences."
-
- Microsoft said these efforts "showcase the superiority of Xbox," which has
- been designed to provide fast and secure play for an unlimited number of
- gamers, eventually.
-
- The company said its offerings will include voice capabilities,
- downloadable content, tournaments and other features not currently viable
- under the non-commissioned programs.
-
- Microsoft said the independent offerings don't scale well beyond two
- players in the online environment. The company added that its official
- programs for Xbox online play will not require the presence of a PC.
-
-
-
- =~=~=~=
-
-
-
- A-ONE's Headline News
- The Latest in Computer Technology News
- Compiled by: Dana P. Jacobson
-
-
-
- AT&T Web Network Switches Excite Customers
-
-
- AT&T Corp. on Monday said it has moved to its own network nearly 40 percent
- of its 850,000 customers who lost service this weekend when bankrupt
- Web-access provider ExciteAtHome Corp. shut off service.
-
- But, AT&T said Internet subscriber growth at its AT&T Broadband unit for
- the fourth-quarter would be hurt by the uncertainty and disruptions
- surrounding the Excite situation.
-
- About 330,000 subscribers in Oregon, Washington, and the Dallas area have
- been moved to the new AT&T Broadband network, the company said in a
- statement. Customers in San Francisco and Illinois are scheduled to be
- moved during the day on Monday, and by day's end it expects to have
- switched 657,000 subscribers to its network.
-
- The balance of its affected customers will be switched by Friday, it said.
-
- About 850,000 AT&T Broadband Internet customers lost their service on
- Saturday after a U.S. Bankruptcy Court judge on Friday ruled that Excite
- could unplug cable-modem customers in order to negotiate a better
- resolution to its Chapter 11 bankruptcy proceedings. AT&T owns 23 percent
- of Excite and would like to buy the remaining stake.
-
-
-
- Excite@Home Wins Temporary Reprieve
-
-
- A handful of major cable companies came to the temporary rescue of
- beleaguered cable Internet provider Excite@Home with deals to extend the
- company's life by infusing hundreds of millions of dollars over the next
- several months.
-
- Subject to approval by Bankruptcy Court Judge Thomas E. Carlson, both
- Comcast Cable Communications, Inc. and Cox Communications said Tuesday that
- their separate three-month, US$160 million deals would ensure their
- customers' uninterrupted Internet service until their own networks could be
- built.
-
- The deals will protect Comcast's 792,000 subscribers and Cox's 570,000
- subscribers, while the $160 million per company would be paid to
- Excite@Home in lieu of subscriber fees.
-
- "Comcast's first priority is to provide reliable and high quality service
- to our customers. To that end, we have been working around the clock to
- make sure our customers receive uninterrupted high-speed Internet
- service," said Steve Burke, president of Comcast Cable.
-
- Toronto-based Rogers Communications and Insight Communications also arrived
- at agreements with Excite@Home Tuesday designed to ensure uninterrupted
- service to their 425,000 subscribers and 75,000 subscribers, respectively.
-
- The move by the cable companies follows last week's bankruptcy court
- decision that allowed Excite@Home to break contracts with cable partners
- as early as December 1st. The split was intended to place the company in a
- better position to negotiate its way through Chapter 11 bankruptcy
- proceedings.
-
- Excite@Home filed for bankruptcy protection in September.
-
- By this weekend, Excite@Home had pulled the plug on hundreds of thousands
- of AT&T subscribers after the two companies were unable to reach an
- agreement.
-
- News sources reported Tuesday that AT&T withdrew its $307 million offer to
- purchase the cable assets of Excite@Home, which represented the only deal
- pending to buy the broadband company.
-
- After customers were without broadband service for several days, AT&T
- announced Tuesday that it had connected 500,000 subscribers to the
- company's own networks and would complete the transition by week's end.
-
- Joe Laszlo, senior analyst for Jupiter Media Metrix, told NewsFactor
- Network that the Excite@Home shutdown is part of an overall broadband
- market shift from startup providers to major cable and telephone operators.
-
- "Broadband is becoming more and more a service that is provided by the big
- guys. Startups that grew up proving broadband only, like Excite@Home,
- NorthPoint, Covad and Rhythms, are leaving the market, and you're left with
- broadband providers being major cable operators or major telcos," said
- Laszlo.
-
- Laszlo noted, however, that the same was not true of the dialup ISP market,
- and pointed out that the different economics of broadband may have sent
- Excite@Home scrambling for cash.
-
- "In the broadband market, the economics are different enough. When the
- market went sour, it was hard to get capital financing to keep building out
- these networks," explained Laszlo. "Suddenly companies that were pure
- players found it really hard to shift to sustainable business models around
- the customers they'd gotten."
-
- Companies like Excite@Home, said Laszlo, that had diversified into the
- content business and that were still pouring capital into expanding their
- networks, were stuck.
-
- "As the market for online advertising went bad, suddenly no one wanted to
- do streaming advanced advertising. They were stuck with this very expensive
- property they couldn't generate much revenue from," said Laszlo.
-
-
-
- AT&T Terminates Pact to Buy ExciteAtHome Assets
-
-
- AT&T Corp. on Tuesday backed out of an agreement to buy ExciteAtHome
- Corp.'s high-speed Internet business, leaving the bankrupt company, once a
- major dot-com force, with little choice but to wind down its operations and
- close up shop.
-
- ExciteAtHome had no immediate comment, but a lawyer representing the
- company in its bankruptcy proceedings said it was not likely to find
- another buyer.
-
- ``I think there probably will be no sale of the company's network," said
- Robert White of O'Melveny & Myers. ``We'll end up after 90 days liquidating
- the company."
-
- This latest development is troubling for ExciteAtHome, whose value has
- dropped from a high of several billion dollars to almost nothing.
-
- Although the company filed for bankruptcy protection in September and
- agreed to shut down many of its Internet content assets, it reached a deal
- to sell its Internet access business to AT&T for $307 million in cash plus
- the assumption of some debt, leaving hope that its creditors could recover
- some of the money they were owed and some of its employees might keep their
- jobs.
-
- An AT&T spokesman said Tuesday the company had been prepared to hire about
- 300 ExciteAtHome employees as part of its purchase agreement.
-
- A heavy debt load and a soft online advertising market have hurt
- ExciteAtHome in recent years, but its high-speed Internet access business,
- serving more than 3.6 million customers worldwide, had been considered a
- valuable property.
-
- That value diminished in recent weeks as a committee representing
- ExciteAtHome's creditors resorted to hardball tactics to force
- long-distance telephone and cable-television giant AT&T to pay a higher
- price.
-
- The creditor group maintained that the only way to get a fair price for the
- business was to shut down the service and force its partners to pay to get
- it reconnected.
-
- But things did not go as planned when a bankruptcy judge last week approved
- the shutdown of the ExciteAtHome Internet business. Hundreds of thousands
- of AT&T customers had their online connections severed, leaving bad blood
- between the two companies.
-
- On Tuesday, AT&T said it was terminating its agreement to buy
- ExciteAtHome's assets because of ``a number of significant breaches and
- other violations of the agreement."
-
- AT&T said it was rapidly transferring the affected customers onto its own
- broadband network and expected 80 percent of them to have Internet access
- by the end of the day on Tuesday.
-
- An AT&T spokesman said the company could not elaborate on its decision to
- back out of the deal, since it was focused on restoring service to all the
- customers that had been cut off.
-
- But his remarks suggested the animosity that had developed between the two
- companies, which were once partners in building one of the United States'
- largest high-speed Internet networks.
-
- ``Our primary goal had been to purchase AtHome's assets and we put a good
- faith offer forward, in order to keep our customers from exactly the
- situation they found themselves in over the weekend," said spokesman
- Andrew Johnson.
-
- He said it was too early to tell what the financial impact of the service
- disruption would be, but said AT&T had clearly suffered.
-
- ``We certainly have to assume that we will lose some existing customers,
- and we have no way of knowing the impact (of this disruption) on future
- customers signing up," he said.
-
- Other cable companies that partner with ExciteAtHome to deliver high-speed
- Internet access are also rapidly severing relations and transferring
- customers onto their own networks.
-
- On Monday, Comcast Corp. and Cox Communications Inc. said they had reached
- short-term agreements to continue their partnership with Excite to keep up
- service to their subscribers until they have their own networks up and
- running sometime in the next few months.
-
- Robert White, the lawyer representing ExciteAtHome in bankruptcy, said
- those two short-term deals will provide the company with lump-sum payments
- totaling $355 million.
-
- But he said they were inferior to the original deal to sell the business to
- AT&T, which would have assumed some $84.5 million of liabilities. Now
- ExciteAtHome must keep its business operating for three months and will use
- up much of its cash doing so.
-
- ``I would guess that maybe it means that (AT&T's) bid was not too low,"
- White said. ``It is very unusual to chase away a buyer when you don't have
- any other buyers."
-
- In a separate development, the Internet content business InfoSpace Inc.
- last week agreed to buy certain Excite.com content assets for $10 million.
- That represents a tiny fraction of what the Excite Internet portal was
- valued at in 1999, when AtHome Corp. acquired it for $6.7 billion.
-
-
-
- ExciteAtHome to Fold on February 28
-
-
- In one of the high-tech world's most prominent flameouts, high-speed
- Internet service provider ExciteAtHome will go out of business Feb. 28.
-
- The bankrupt company secured $355 million from many of its remaining cable
- customers in exchange for keeping its Internet access service running for
- three more months. After that, ExciteAtHome and its 1,300 employees will
- cease operations.
-
- The announcement came late Tuesday, after AT&T Corp. withdrew a $307
- million offer for ExciteAtHome's broadband business, saying ExciteAtHome
- violated agreements by cutting off service to 850,000 AT&T customers. A
- federal judge had authorized ExciteAtHome to cancel unprofitable deals with
- its cable partners.
-
- The cable companies paying Excite to stay around - Cox Communications Inc.,
- Comcast Corp., Rogers Cable Inc., Insight Communications, MediaCom
- Broadband and Mid Continent Communications - have said they need time to
- develop their own cable Internet networks. The deals require ExciteAtHome
- to forward e-mails sent to the expiring ``AtHome" addresses to
- corresponding accounts on the new networks.
-
- The agreements exclude Charter Communications Inc., Adelphia Communications
- Corp. and several smaller cable companies collectively known as the At Home
- Solutions Group. Internet service to those companies is being terminated,
- ExciteAtHome spokeswoman Londonne Corder said.
-
- The plans are scheduled to be reviewed Friday by U.S. Bankruptcy Judge
- Thomas Carlson in San Francisco.
-
- AT&T withdrew its bid after its new cable Internet access network - built
- this fall as protection against ExciteAtHome's woes - eliminated the need
- for ExciteAtHome's system, said June Rochford, a spokeswoman for AT&T
- Broadband. In turn, the other cable companies' ability to develop their own
- networks sealed ExciteAtHome's fate.
-
- ExciteAtHome was formed in 1999 with At Home Corp.'s $6.7 billion
- acquisition of the Excite Web portal. Some analysts expected the company to
- become a powerful Internet player that could challenge America Online.
-
- But the company was beset by questionable management decisions, high
- expenses and the drastic downturn in the online advertising market, even as
- its cable access business grew well, from 331,000 subscribers in 1999 to
- 4.1 million before ExciteAtHome began canceling service last weekend.
-
- Many assets associated with the Excite.com portal were bought for $10
- million by InfoSpace Inc., which issued a statement Tuesday reminding users
- that the popular Web site is not affected by the meltdown of the cable
- access business.
-
- AT&T owns 23 percent of ExciteAtHome, which uses a fiber-optic network
- backbone leased from AT&T. AT&T surrendered its majority representation on
- the company's board in October, hoping to avoid criticism it had engineered
- the company's bankruptcy so it could buy the cable access network at a
- steep discount.
-
- Now ExciteAtHome bondholders, who are owed at least $1 billion, are
- considering whether to seek damages from AT&T for allegedly engaging in
- collusion in its bid for ExciteAtHome and then withdrawing the offer.
-
- ``There may be a lot of damages, frankly," bondholders' attorney Joseph
- Allerhand told Judge Carlson on Tuesday.
-
- AT&T's Rochford called the allegation ``ludicrous."
-
- About 500,000 of the 850,000 AT&T Broadband customers who lost service had
- been moved to AT&T's new network as of Tuesday, mainly people in Oregon,
- Washington, Texas and San Francisco. Next in line were customers in
- Illinois, Denver and Salt Lake City.
-
- Customers in Pittsburgh, Sacramento, Michigan and the Rocky Mountains were
- due to be plugged in on Wednesday and Thursday; people in Hartford, Conn.,
- on Friday.
-
-
-
- 'Goner' Worm Hitting Corporate, Individual PCs
-
-
- A new computer worm named "Goner" was spreading quickly through corporate
- and personal e-mail inboxes on Tuesday, deleting system files and clogging
- networks in what could be the biggest outbreak since last year's ``Love
- Letter" virus, security software vendors said.
-
- ``Goner is one of the most incredibly fast moving and potentially dangerous
- e-mail viruses we've seen," said Mark Sunner, chief technology officer of
- MessageLabs Inc.
-
- The worm, a virus that propagates itself to other computers through the
- Internet or other networks, is affecting users of Microsoft Corp.'s Outlook
- and Outlook Express, said Ian Hameroff, business manager of security
- solutions at Computer Associates International Inc.
-
- People using ICQ instant messenger and Internet Relay Chat also are
- susceptible to the worm because files can be transferred across those
- networks, Hameroff said.
-
- The Goner worm arrives in an attachment masquerading as a screensaver, with
- an e-mail subject line of ``Hi" and text that says: ``How are you? When I
- saw this screen saver, I immediately thought about you I am in a harry
- (sic), I promise you will love it!"
-
- Once the attachment is clicked, the worm sends itself to everyone in the
- user's e-mail address book, tries to close programs that are running and
- deletes certain system files, including security software, said Hameroff.
-
- Goner also tries to install a denial of service script on machines of IRC
- users, said Symantec Corp.. That could turn PCs into launch pads for denial
- of service attacks, which malicious hackers use to flood Web servers with
- traffic from multiple PCs, effectively shutting down Internet sites to
- legitimate traffic.
-
- ``This is at outbreak status, which is very rare," said April Goostree,
- virus research manager at McAfee.com. ``The last outbreak we had was 'Love
- Letter' in May 2000."
-
- A virus is given outbreak status by McAfee.com if it is determined to be
- spreading quickly and affecting large corporate networks as well as
- individual computer users, Goostree said.
-
- One of the nastier aspects of the virus is its attempt to disable antivirus
- and firewall software, so that victims have to reinstall the software in
- order to prevent future infections, said Sunner of MessageLabs.
-
- UK-based e-mail security outsourcer MessageLabs Inc. said it was receiving
- more than 100 copies of the worm a minute, totaling about 23,000 worldwide
- since early Tuesday morning, with users in 17 countries hit.
-
- Anti-virus software firm Trend Micro Inc. said it had recorded infections
- in 17,000 work stations and 30,000 corporate e-mail accounts across Europe,
- primarily in France, Germany and the United Kingdom.
-
- The first report came from a French company on Tuesday afternoon, said
- Raimund Genes, Trend Micro's European vice president of sales. The firm has
- issued a ``high risk" warning on Goner, the same rating it assigned this
- summer's virulent Code Red worm
-
- ``I expect by tomorrow morning we will see something in Asia, and then from
- Asia, we'll see re-infections in Europe," Genes said.
-
- The origin of the worm remained unclear. Trend Micro and McAfee.com said
- they suspect it originated in France. But Mikko Hypponen, manager of
- anti-virus research for Finland-based F-Secure, said he had his doubts, as
- the first recorded infections came from the United States and South Africa.
-
- Hypponen also said he thought it suspicious that some of the victims were
- ICQ instant messenger and Internet Relay Chat users. ``It's most likely
- written by a teenager targeting other teenagers," he said.
-
-
-
- West Virginia Files Suit Against Microsoft
-
-
- West Virginia's attorney general filed suit against Microsoft Corp. in
- state court on Monday, alleging the company's business tactics violated
- state antitrust and consumer protection laws.
-
- State Attorney General Darrell McGraw filed the suit on behalf of West
- Virginia consumers and state agencies, asking the court to impose
- unspecified damages and sanctions against the company, an attorney
- representing the state said.
-
- West Virginia is one of nine states who have refused to join the Justice
- Department in settling a federal case against Microsoft. The state lawsuit
- filed on Monday would position the state to opt its 1.8 million residents
- out of a separate but related class action settlement with the company,
- according to one source familiar with the case.
-
- The West Virginia lawsuit is based largely on the findings of U.S. District
- Court Judge Thomas Penfield Jackson, who ruled last year that Microsoft had
- abused its monopoly in the market for personal computer operating systems.
-
- It also cites two violations of West Virginia consumer protection law, one
- that prohibits ``unfair and deceptive practices" and another that bars
- companies from selling products below cost ``with the intent to destroy
- competition," according to one source who has seen a copy of the lawsuit.
-
- A spokesman for the company had no immediate comment on the lawsuit.
-
- But the impact of the state lawsuit could fall mainly on a related proposal
- to settle more than 100 class action antitrust suits that have been filed
- against Microsoft in the wake of Jackson's rulings.
-
- Those cases are being reviewed by a federal judge in Baltimore. Under the
- proposal, Microsoft would make amends for its antitrust violations by
- spending more than $1 billion to put software and computers into some of
- the poorest U.S. schools.
-
- Microsoft, along with many of the class action attorneys in the suit,
- contend the settlement is a creative solution that will put computers in
- the hands of poor school children.
-
- But class action attorneys from California have complained that the
- proposal is a legal ruse that will further the company's dominant position
- in the computer business. They argue the money should be returned directly
- to consumers who purchased Microsoft software.
-
- The dissenting attorneys, who have filed a case on behalf of California
- consumers, will ask U.S. District Judge Frederick Motz to strike down the
- settlement or allow their lawsuits to proceed separately in California.
-
- ``There's a pretty high level of dissatisfaction about (the settlement)
- among the (state attorneys general)," said one source familiar with the
- case.
-
- By filing suit on behalf of West Virginia consumers on Monday, McGraw could
- provide the basis to opt West Virginia consumers out of the class action
- settlement.
-
- Meanwhile, McGraw and eight other state attorneys general are still
- pursuing the original, government case against Microsoft in U.S. District
- Court in Washington.
-
- On Nov. 2 the company reached a settlement with the U.S. Justice Department
- designed to restore competition in the personal computer software market.
-
- Nine of the 18 states involved in the case joined that pact within days.
- But the remaining nine states are pressing ahead, insisting the sanctions
- on Microsoft are not tough enough.
-
- The remaining states are scheduled to file new documents with the district
- court on Friday outlining their proposal for stricter remedies against the
- company.
-
-
-
- States To Sharpen Claws in Microsoft Case
-
-
- A group of nine states plans to propose stiff sanctions against Microsoft
- that could include further opening the Windows source code and could extend
- to technologies not directly covered by the landmark antitrust case,
- sources say.
-
- The states are preparing to deliver a remedy proposal to U.S. District
- Judge Colleen Kollar-Kotelly on Friday to meet a court-imposed deadline.
- Microsoft has until Dec. 12 to respond to the legal filing.
-
- The remedy, if accepted, could go well beyond last month's settlement
- between the company and the government, which includes the Justice
- Department and half the states that were co-plaintiffs with the federal
- agency.
-
- The nine states and the District of Columbia--groups that didn't sign onto
- the settlement deal--are taking aim at what they consider to be glaring
- weaknesses in the agreement, which was widely considered to be a victory
- for Microsoft.
-
- One of their areas of focus, sources said, is middleware, which is
- software such as Web browsers that runs atop an operating system to
- perform specific tasks.
-
- Microsoft's bundling of its Internet Explorer browser with its Windows 95
- and 98 operating systems was one of the cornerstones of the Justice
- Department case. Some of the state attorneys general believe that the
- settlement almost completely ignored that issue, said sources familiar
- with the matter.
-
- The dissenting states also are looking at the possibility of extending
- their remedy proposal to include Windows XP, streaming media and
- Microsoft's .Net software-as-a-services strategy.
-
- However, it remains to be seen just how strong the coalition of the
- dissenting states will be. Some, including Iowa, which has been a leader
- among the states in pursuing Microsoft on antitrust grounds, gave signs
- last month that it would still be willing to settle with the software
- maker under the right circumstances.
-
- On Tuesday a spokesman for Iowa Attorney General Tom Miller would only say
- that the proposal would be filed Friday.
-
- Microsoft recently has made a number of gains in the antitrust cases
- against it. Less than three weeks after reaching its settlement with the
- Justice Department, it cut a deal that would dismiss more than 100 private
- class-action antitrust cases with donations to public schools valued as
- high as $1 billion. In both the federal and private cases, the proposed
- settlements still have to be approved by a judge.
-
- Also pending are hearings set for this month before the Senate's Judiciary
- Committee and before a federal judge overseeing the private class-action
- suits.
-
- Even as the dissenting states finalize their remedy proposal, some members
- of the group aren't waiting until Friday to take action against Microsoft.
- On Monday, West Virginia sued the software giant, contending that the
- company's business practices violate state consumer-protection laws.
-
- The West Virginia lawsuit is largely an attempt to collect damages from
- Microsoft, legal experts said, and other states may follow suit. The
- Justice Department case did not include a monetary provision.
-
- "With the settlement of the class-action lawsuits with what many people
- regard as a pittance, more states will be encouraged to look at monetary
- remedies. At the very least, there is the possibility of substantial
- damages similar to the tobacco issue," said Glenn Manishin, an antitrust
- attorney with Vienna, Va.-based Kelley Drye & Warren.
-
- Microsoft spokesman Jim Desler declined to comment about what the
- remaining states might or might not do.
-
- "We believe we've reached a fair and reasonable compromise with the
- Department of Justice and nine of the states," he said. "We feel that any
- proceedings moving forward should use the narrowed liability of the Court
- of Appeals decision as a road map."
-
- The remedy proposal seems set to open another chapter in the long-running
- antitrust saga, in which Microsoft has increasingly had the upper hand. In
- June, a federal appeals court delivered the software giant an unexpected
- defeat when it unanimously upheld eight separate antitrust violations
- against the company. When Kollar-Kotelly joined the fray in late summer,
- she indicated a desire to see the matter settled swiftly.
-
- "Microsoft is very fortunate with what it has gotten in the government
- case," said Jonathan Jacobson, an antitrust attorney with Akin, Gump,
- Strauss, Hauer & Feld in New York. "Microsoft has gotten what has to be
- viewed as a victory and is trying to lock it in."
-
- California, Connecticut, Florida, Kansas, Massachusetts, Minnesota, Iowa,
- Utah and West Virginia, along with the District of Columbia, are the
- states that decided to continue with the litigation, which would lead to a
- remedy hearing in March.
-
- Brendan Sullivan, who is with the law firm of Williams & Connolly in
- Washington, represents the states in the proceeding.
-
- Academics, competitors and other parties consulting on the proposal are
- expected to see parts of the rough document Tuesday. If the states stick
- to their timetable, a near-final draft will be prepared Wednesday.
-
- The states hope that their remedy proposal will close what they consider
- to be loopholes in the settlement negotiated by other the other states and
- the Justice Department, said sources familiar with the strategy. Signing
- on to the settlement with the Justice Department were Illinois, Kentucky,
- Louisiana, Maryland, Michigan, New York, North Carolina, Ohio and
- Wisconsin.
-
- A main concern of the dissenting states appears to be application
- programming interfaces, or APIs, which are essential to making sure
- third-party software works well with an operating system. Although
- Microsoft agreed in the settlement to open some software code, including
- server operating system APIs as well as those for the desktop, some states
- want to lock down what they consider to be loopholes in the agreement.
-
- In an interview with CNET News.com late last month, Brad Smith,
- Microsoft's incoming general counsel, made it clear that abiding by the
- terms of the settlement will be a top priority for the company. Microsoft
- wants to establish a "strong track record complying to this consent
- decree," he said. "It's obviously of enormous importance to the company to
- make this work well."
-
- The Justice Department last week published the proposed settlement and
- Competitive Impact Statement in the Federal Register, as part of a 60-day
- period of public comment. This process, mandated by the Tunney Act, is
- part of a stringent review process that must occur before a federal judge
- can approve this kind of settlement.
-
- The dissenting states could oppose the proposed settlement during the
- Tunney Act process. But they have all but decided not to divide their
- energies by opposing the larger settlement through the process defined by
- that act and by simultaneously continuing with the litigation. Still,
- sources familiar with the matter warned that the state attorneys general
- are not in total agreement on this strategy.
-
- The Senate's powerful Judiciary Committee, meanwhile, has scheduled a
- hearing for Dec. 12 that could compel Assistant Attorney General Charles
- James to justify the settlement, which many legal experts characterize as
- favorable to Microsoft. Senators Patrick Leahy (D.-Vt.) and Orrin Hatch
- (R.-Ut.) are expected to take center stage during the proceeding.
- Microsoft competitors have operations in both senators' states--IBM in
- Vermont and Novell in Utah--among other locations.
-
- But the hearing ultimately could have very little impact on the Tunney Act
- process, as the legislative branch of federal government would have no
- jurisdiction over the judicial matter without passing a new law.
-
- Microsoft competitors and trade groups representing them have worked
- feverishly to influence the states' remedy proposal. The Software &
- Information Industry Association ( SIIA) is among the groups offering the
- states guidance on their remedy proposal. Microsoft quit the trade group
- last year.
-
- Although former federal antitrust head Joel Klein frequently conferred
- with Microsoft competitors, his successor, James, met directly with only
- AOL Time Warner, said sources familiar with the matter. James' former
- firm, Jones Day, represented the media giant.
-
- "It's not surprising Microsoft competitors regard this settlement as
- bolstering Microsoft's market power and dominance," said Hillard Sterling,
- an antitrust attorney with Gordon & Glickson in Chicago. "It's not
- surprising they would not stand still for this agreement."
-
- Competitors also are ramping up their campaign overseas, where the EU
- continues its investigation of Microsoft. The company had been scheduled
- later this month to defend allegations it had used dominance in desktop
- operating systems to unfairly gain ground in server software. But in a
- push for settlement, Microsoft pulled out of the Dec. 21-22 hearing.
-
- The political and regulatory climate overseas is potentially more
- favorable for Microsoft competitors hoping to influence the process, said
- legal experts. Unlike the United Stteas, where antitrust laws are designed
- more to protect consumers, the E'sU rules take into account the
- competitive impact of a monopolist's busines psractices.
-
- Amelia Torres, a spokeswoman for the European Commission, the EU's
- executive arm, said that a decision is expected "sometime next year." She
- would not discuss Microsoft's settlement overture, but emphasized that the
- "investigation would continue normally" regardless of the company's
- decision to forgo the hearing.
-
- "It is much too early at this stage to speculate on what the commission's
- final decision would be," she added.
-
- If the European Commission rules against Microsoft, the regulatory body
- could slap the company with a fine of up to 10 percent of its annual
- revenue, or about $2.5 billion.
-
- One Brussels-based lawyer, who asked not to be identified, said that the
- EU is not likely to settle simply because U.S. trustbusters did.
-
- "The commission does not regard this investigation to be the same as the
- other one in the States," he said. "Your case addressed browsers and the
- desktop; the commission is looking at servers."
-
-
-
- Apple Tells Judge to Take Microsoft Cash for Schools
-
-
- Apple Computer Inc. said on Thursday it would urge a federal judge to take
- cash -- not software -- from Microsoft Corp., which aims to settle a suit
- by giving heavily to schools, one of Apple's top markets.
-
- Apple will file a supplemental brief with a Maryland court, which must
- approve a proposal that Microsoft settle suits alleging it overcharged for
- software by giving more than $1 billion to schools.
-
- Software could represent more than $500 million of that total, Microsoft
- said, although Apple Chief Executive Steve Jobs said in a statement that
- the software donation was valued by Microsoft at $830 million.
-
- ``We think people should know that the actual costs to Microsoft for this
- donated software will likely be under $1 million," said Jobs, whose
- biggest shareholder at Apple is Microsoft.
-
- Apple has already filed a list of objections to the terms of the
- settlement.
-
- ``We think a far better settlement is for Microsoft to give their proposed
- $1 billion -- in cash -- to an independent foundation, which will provide
- our most needy schools with the computer technology of their choice," Jobs
- said.
-
- Microsoft will make its pitch on Monday in a U.S. District court in
- Baltimore. Apple said it would file will file its supplemental brief with
- the court on Friday.
-
-
-
- States Offer Alternative to Microsoft Settlement
-
-
- States opposed to last month's settlement proposal in the Microsoft Corp.
- antitrust case asked a judge on Friday to require a cheaper, stripped-down
- version of the company's Windows operating system.
-
- The nine state attorneys general also asked U.S. District Court Judge
- Colleen Kollar-Kotelly to close loopholes in the current settlement deal
- and to do more to ensure Microsoft discloses key Windows code to other
- software makers.
-
- ``This remedy request offers a powerful and compelling blueprint for
- restoring competition and stopping Microsoft from abusing its monopoly
- power," Connecticut Attorney General Richard Blumenthal told a conference
- call with reporters.
-
- The nine states are promoting their remedy over a settlement Microsoft
- reached last month with the Justice Department and nine of the other states
- who were party to the case.
-
- Microsoft immediately criticized the new proposal as "extreme" and said
- it was ``not commensurate with what is left of the case."
-
- The Justice Department declined comment on the remedy proposal.
-
- Under the proposal offered on Friday, Microsoft would be subject to even
- more sanctions if it violated the terms of the remedy, including further
- forced disclosure of its software code.
-
- But the hold-out states made no demand to break up Microsoft, a remedy
- ordered by the original trial judge in the case but struck down by an
- appeals court.
-
- The stripped-down version of Windows would come without Microsoft's
- Internet Explorer browser, as well as its e-mail and media player software.
-
- The provision is designed to allows computer makers to customize personal
- computers to meet consumers' preferences. In addition to the bare-bones
- version of Windows, the hold-out states want to ensure that Microsoft
- Office, the popular business software, will be compatible with other
- software platforms.
-
- They also want to give competitors access to the inner workings of Internet
- Explorer and allow them to sell their own customized version of the Web
- browser.
-
- The proposal requires Microsoft to include Sun Microsystems Inc.'s
- Java programming language in its new Windows XP operating system.
-
- Microsoft had included Java in its operating system for years but dropped
- it from Windows XP because of legal problems with Sun Microsystems.
-
- Kollar-Kotelly has scheduled a hearing for March to determine what, if any,
- further sanctions should be imposed against the company.
-
- Hearings will also have to be held on the proposed settlement with the
- Justice Department.
-
- Microsoft said it remained committed to the settlement reached with the
- Department of Justice and nine other states, calling that pact a ``fair and
- reasonable compromise that is good for consumers and will be good for the
- economy."
-
- In the settlement reached last month, Microsoft agreed to take steps to
- give computer makers more freedom to feature rival software on their
- machines. The deal also requires the company to share parts of the inner
- workings of its Windows operating system with other software makers.
-
- Under the settlement, the provisions would be enforced by a three-person
- technical committee and would stay in effect for at least five years.
-
- The department said the existing settlement terms are strong enough to stop
- the company's monopolistic practices and would provide the most effective
- and certain relief in the most timely manner.
-
- Continuing to litigate could drag the case out for another two years, the
- department has said.
-
- But in their filing today, the hold-out states said the Justice Department
- settlement does not go far enough.
-
- ``Unlike the previously announced settlement between the Department of
- Justice and Microsoft, these remedies create a real prospect of achieving
- what the DOJ said it intended to accomplish," the states said in their
- filing with the court.
-
-
-
- Proxy War Looms Over HP-Compaq Deal
-
-
- Walter Hewlett has fired off another round in his budding proxy war with
- Hewlett-Packard, this time highlighting the poor performance of HP and
- Compaq Computer since the companies announced plans to merge.
-
- Hewlett, the son of HP co-founder William Hewlett, said in an amendment
- filed with the Securities and Exchange Commission on Wednesday that HP's
- stock dropped 5.3 percent and Compaq's stock dropped 17.8 percent between
- Aug. 31 and Nov. 30.
-
- For that same time period, the Nasdaq gained 6.93 percent and the Dow
- Jones industrial average fell 1 percent.
-
- Hewlett recently said he plans to solicit proxy votes on behalf of
- shareholders opposed to HP's planned acquisition of Compaq and has also
- hired a proxy solicitation firm.
-
- The Hewlett family, along with David Packard, has come out against the
- deal. The family has been regularly filing amendments to its Nov. 16 proxy
- statement.
-
- HP announced plans to purchase Compaq for $25 billion in September.
-
- Hewlett also draws attention to the decline in expectations for the
- companies' future performance. The consensus estimates for Compaq's 2002
- and 2003 earnings per share have fallen 77.3 percent and 60.2 percent,
- respectively. Consensus estimates for HP have dropped as well.
-
- As a result, Hewlett maintains, the price-to-earnings ratio that HP is
- paying for Compaq has increased to 92.7 from 22.2 for fiscal 2002 and to
- 39.7 from 16.7 for fiscal 2003. The rising P/E ratio--a measure of how
- expensive a stock is--means HP is getting less earnings bang for its buck.
-
-
-
- Packard Foundation to Oppose HP-Compaq Merger
-
-
- The Packard family foundation, holders of a 10 percent stake in
- Hewlett-Packard Co., said on Friday it had made a preliminary decision to
- vote against HP's acquisition of Compaq Computer Corp.
-
- Analysts have said that support of the David and Lucile Packard Foundation
- was crucial for the deal, which has been opposed by other Packard and
- Hewlett family members with some 7 percent of HP stock, and criticized by
- many investors.
-
- The merger has also been seen as a referendum on the leadership of
- Hewlett-Packard Chief Executive Carly Fiorina, who has spearheaded the
- plan.
-
- The foundation characterized the decision as preliminary.
-
- ``The Board of Trustees understands the strategic considerations being
- addressed by management, but after thorough study and analysis the Board
- has preliminarily decided, on balance, that the best interests of the
- Foundation would be better served by Hewlett-Packard not proceeding with
- the proposed transaction," board chairman Susan Packard Orr, daughter of
- founder Dave Packard, said in a short statement.
-
- The decision puts the founding Hewlett and Packard families solidly against
- the merger, creating a block of shares representing around 17 percent of HP
- stock opposing the deal.
-
-
-
- EU Ministers Back Ban on Unsolicited E-Mail
-
-
- European Union ministers stuck to a plan on Thursday for a pan-European ban
- on unsolicited e-mail, fax and text messages, but introduced provisions to
- ease the restriction in certain circumstances.
-
- The proposal is part of broader legislation on protection of communications
- and personal data in the digital era, an issue which has become more
- sensitive in the wake of the September 11 attacks on the United States.
-
- The planned law, which still needs the approval of the European Parliament,
- will forbid direct marketers from sending unsolicited mail without the
- customer's prior consent throughout the EU.
-
- It will allow business to send e-mails to individuals following a purchase
- provided that the customer is allowed to opt out of the mailing list at any
- time, free of charge.
-
- ``EU member states favor a harmonized approach toward opt-in, (except) in
- cases where there is an existing relationship with a client," European
- Commission spokesman Per Haugaard told reporters.
-
- Internet users often see their system clogged by unsolicited e-mail --
- known as spam -- sometimes carrying computer viruses or offensive messages.
-
- The agreed text risks being rejected by the European Parliament, which
- wants EU states to be free to decide whether they want an opt-in or opt-out
- approach. Direct marketing associations are also in favor of an opt-out
- approach.
-
- Ministers also agreed to back away from an outright prohibition of
- so-called ``cookies" as long as Internet users were made aware of their
- presence in electronic systems.
-
- Cookies are electronic tracking devices which can store data from the
- Internet, sometimes without the user's knowledge.
-
- ``Cookies could be coming from anywhere," Joe McNamee, representing
- Internet services provider group EuroISPA, told Reuters. ``Banning cookies
- from EU sources is not in practice going to help privacy as much as you
- would like."
-
- This amendment is also at odds with the European Parliament, which wants to
- eradicate cookies.
-
- Separately, ministers amended the text to reinforce the right of
- law-enforcement authorities to retain traffic data beyond the time needed
- for billing purposes if there was a threat to national security.
-
- This is a victory for Britain, which had been campaigning for more room to
- maneuver on data retention.
-
- Police authorities believe that access to electronic data would help them
- track down terrorist activities.
-
- The amended text does not specify how long data should be retained and
- risks upsetting privacy advocates.
-
-
-
- Web Users Pay Price to Send E-greetings
-
-
- Procrastination on holiday cards could cost you this year: Some e-greeting
- services that were once quick, free alternatives to envelopes and stamps
- are starting to charge fees.
-
- AmericanGreetings.com sent notices to members this week saying it will
- charge $11.95 annually for access to its e-mail greeting card service. The
- company is also charging the membership fee at its other sites, including
- Egreetings Network and Blue Mountain Arts, which AmericanGreetings
- acquired from Excite@Home in September for $35 million.
-
- "To make sure that we can continue to bring you the best greetings and all
- of the convenient features of AmericanGreetings.com for years to come, we
- must now charge a very small membership fee," AmericanGreetings' notice
- read. The company added that it would still offer a "special selection" of
- everyday cards for free.
-
- AmericanGreetings could not be immediately reached for comment.
-
- Betty Yeh, an Internet analyst for Web site measurement firm
- Nielsen/NetRatings, said sending online greetings is a "very significant
- activity on the Web." In October, Flowgo.com received 12.96 million unique
- visitors, followed by Blue Mountain with 12.95 million,
- AmericanGreetings.com with 9.6 million, Hallmark.com with 3.3 million and
- Egreetings with 2.3 million.
-
- AmericanGreetings follows in the footsteps of other online sites, such as
- Yahoo, Salon.com and Britannica.com, that have slowly evolved from purely
- free services to ones that are paid. Yeh said that although
- AmericanGreetings has brand-name connections with the paper-card business
- as well as a loyal following with consumers, it remains to be seen whether
- its paid service will be a success.
-
- To entice paying customers, AmericanGreetings is letting members design
- greetings, add photos, create an address book, and set e-mail reminders
- for important events. As an added incentive, the company said it will
- offer three accounts for the price of one so members can share their
- membership with two other people.
-
- "AmericanGreetings.com is sitting on a goldmine," said Yeh. "But whether
- they can tap into that...may be tricky."
-
-
-
- Web Copyright Treaty Set for March
-
-
- A treaty that brings world copyright law into the digital age by protecting
- authors on the Internet will take effect March 6, the United Nations said
- Thursday.
-
- ``This is an important day in the history of copyright, making it better
- equipped to meet the technological challenges of cyberspace," said Kamal
- Idris, director-general of the U.N.'s World Intellectual Property
- Organization.
-
- The treaty, one of two accords negotiated by 160 nations five years ago to
- protect against piracy on the Internet, received the necessary
- ratifications from 30 countries.
-
- The second treaty, which mirrors the other, is the first global accord to
- protect the rights of recording artists and producers. With 28
- ratifications it is close to crossing the 30-country threshold, said Idris.
-
- The pair of treaties will let ``composers, artists, writers and others to
- use the Internet with confidence to create, distribute and control the use
- of their works within the digital environment," he said.
-
- Negotiators said the treaties were essential in an age where digital copies
- of music can be made almost instantaneously anywhere by computer.
-
- IFPI, an organization representing the global recording industry, welcomed
- the announcement as ``an important milestone," and said it hoped
- ratification of the second treaty would follow shortly.
-
- ``By ratifying the WIPO Copyright Treaty, governments in 30 countries have
- shown their commitment to ensuring the future success of the music industry
- and many other creative sectors in the digital environment," said Jay
- Berman, chairman of IPFI.
-
- Among the countries that have ratified the copyright treaty are Japan and
- the United States, but the 15 European Union members are still on the
- outside because they have a provision that all must ratify together,
- officials said. The 30th country ratifying the copyright treaty was Gabon.
-
- Idris said that the treaties must become widely incorporated into national
- law by countries in all regions of the world if they are to be effective.
-
- ``This will create the conditions necessary for the broad-based and
- legitimate distribution of creative works and recordings on the Internet,"
- he said.
-
- Copyright gives authors the ability to control the exploitation of their
- literary works. The so-called law of ``related rights" provides similar
- protection for performers, producers and broadcasters.
-
- The treaties forge links among different national laws, ensuring that
- creators are also protected in countries other than their own, WIPO
- officials said.
-
- The treaties require ratifying countries to grant minimum rights to authors
- from other countries as well as their own.
-
- The first treaty protects ``literary and artistic works," which includes
- books, computer programs, music, art and movies. It updates the Bern
- Convention for the Protection of Literary and Artistic Works, the major
- international copyright treaty in the world today which was originally
- adopted in 1886, and most recently revised in 1971.
-
- The second treaty on sound recordings supplements the major ``related
- rights" treaty, the Rome Convention for the Protection of Performers,
- Producers of Phonograms and Broadcasting Organizations, which was adopted
- in 1961.
-
-
-
- House Panel Boosts Funds for Cybersecurity Research
-
-
- A House of Representatives panel voted to dramatically boost federal
- spending on cybersecurity on Thursday, earmarking $880 million over five
- years for research, scholarships and other incentives.
-
- The House Science Committee also voted to increase spending on high-tech
- research as a whole by 10 percent per year over the next five years, and
- require government agencies to coordinate their research efforts.
-
- In a brief session that featured no debate, the Science Committee
- unanimously agreed to devote $105.7 million to new cybersecurity programs
- in fiscal year 2003, increasing each year to $229 million in fiscal 2007.
-
- The new funds would come on top of the roughly $60 million the federal
- government currently devotes to network security.
-
- The National Science Foundation and the National Institute for Standards
- and Technology would hand out the money in the form of research grants,
- fellowships and internships for students, and funds to improve
- undergraduate and master's degree programs in network security.
-
- The hijacking attacks of September 11 heightened concerns about the
- vulnerability of the nation's telecommunications, Internet and other vital
- networks to computer-based attack.
-
- In several hearings this fall, experts told Congress that the nation needed
- to spend more money to encourage long-term academic research in
- cybersecurity to supplement efforts by commercial software companies.
-
- ``The cybersecurity threat is real and potentially devastating," said Rep.
- Sherwood Boehlert, the New York Republican who chairs the committee.
-
- Boehlert said he hoped the bill would come to a vote in the full House next
- year. An aide said the bill has the backing of President Bush, but that
- Boehlert had received no specific commitments from House leadership.
-
- The committee also voted to beef up an existing program that provides
- funding for broader high-tech research through several government agencies.
- The bill, which also passed by a voice vote, would increase funding for
- research into subjects like high-end computing and software design by 10
- percent to $1.15 billion in fiscal 2003, up to $1.68 billion in fiscal
- 2007.
-
-
-
- Apple Identifies and Corrects iPod Issue
-
-
- Apple has identified an issue with some iPods that may not wake from sleep
- when the battery reaches a low charge level.
-
- The company has released an iPod firmware update (version 1.0.2) that fixes
- this bug. Apple strongly recommends that all iPod customers download and
- install the update.
-
- In addition to fixing this issue, the firmware update also provides
- additional quality enhancements and support for additional languages,
- including Italian, Dutch and Spanish, according to Apple.
-
- If you have already experienced this issue, Apple offers the following
- steps:
-
- Step One: Check that your hold switch is off by sliding the switch away
- from the headphone jack.
-
- Step Two: With the iPod connected to power using the iPod Adapter or a CPU
- with an Apple Firewire port, perform a hard reset by doing the following:
- Hold down the 'Menu' and 'Play/Pause' buttons simultaneously for
- approximately 10 Seconds.
-
- If the iPod turns on after performing Steps One or Two, please download the
- most recent version of the iPod software using the link above.
-
- If the iPod does not turn on, disconnect it from power and let it sit
- unconnected for approximately 24 hours. After this time, repeat Step Two
- above. If the unit turns on, download the latest version of the iPod
- Software using the link above.
-
- If your iPod is still unresponsive, go to the AppleCare iPod Support Page
- to arrange for service.
-
-
-
-
- =~=~=~=
-
-
- Atari Online News, Etc.is a weekly publication covering the entire
- Atari community. Reprint permission is granted, unless otherwise noted
- at the beginning of any article, to Atari user groups and not for
- profit publications only under the following terms: articles must
- remain unedited and include the issue number and author at the top of
- each article reprinted. Other reprints granted upon approval of
- request. Send requests to: dpj@atarinews.org
-
- No issue of Atari Online News, Etc. may be included on any commercial
- media, nor uploaded or transmitted to any commercial online service or
- internet site, in whole or in part, by any agent or means, without
- the expressed consent or permission from the Publisher or Editor of
- Atari Online News, Etc.
-
- Opinions presented herein are those of the individual authors and do
- not necessarily reflect those of the staff, or of the publishers. All
- material herein is believed to be accurate at the time of publishing.
-