Hacker offers access to military, government, educational sites for bargain-basement prices

Security firm Imperva reports that a hacker is selling access to military, educational, and government websites for bargain basement prices ranging from $55-499. Imperva, which reported on the hacker on Friday, believes that he was able to gain access to the sites through a SQL injection technique.

The priciest hack is access to the homepages of the U.S. Army, National Guard, and Army Forces, goes for $499 each. The Department of Defense, surprisingly, is lower-priced, and access only costs $399.

In addition to these and other .mil, .edu, and .gov sites, the hacker is also selling personal data at the going rate of $20 for 1,000 names, addresses, and telephone numbers. As an example, Imperva displays a redacted screenshot of University of Connecticut staff members' information.

The hacker will also scan a site for security vulnerabilities for a mere $2, "hack a normal website" for $10, hack a "high-profile website" for the open-ended $10+, or give a customer 3MB of random hacked accounts for $65.

Truly, this hacker is sort of the Target, or even Wal-Mart of hacks, with a large selection of wares. It's truly frightening, especially with his sale on "normal" websites and person information.

Leaked slide reveals NVIDIA Tegra 2 3D mobile chip coming in Spring, 2011

A leaked slide from NVIDIA's Mobile World Congress presentation shows that techies shouldn't get too comfortable with NVIDIA's Tegra 2 chipset, which it's been heavily promoting and which will appear in many upcoming handsets and tablets. That's nice enough, but hold onto your hat: NVIDIA will be shipping a Tegra 2 3D processor this year.

Indeed, the word 3D is the "in thing" now, and NVIDIA isn't blind to that. The new Tegra 2 3D will be based on a Dual Core Cortex A9 clocked at up to 1.2 GHz, providing performance rated at 5520 MIPS. The slide says Q1 production, with a Spring introduction.

Tech Eye believes that the 3D technology used in handsets will differ from Nintendo's 3DS:

It can be reasoned coming mobile handsets will offer a Master Image TN-LCD display using cell parallax, a technology using the individuals cells to create a 3D effect instead of a parallax barrier, as Nintendo will be using in its 3DS console.

Master Image explained that shutter glasses enable 3D in theaters to work by shutting out peripheral vision. Because of the way that users look at handsets and tablets, they effectively shut own their own peripheral vision themselves, Master Image said, by moving the devices around inside the viewing cone.

This is just one leaked slide from NVIDIA's presentation, so it will be interesting to see what else NVIDIA has to show off at Mobile World Congress.

Newest Cydia release tracks, restores your jailbroken apps

Some say the best smartphone is a jailbroken iPhone, but one problem (aside from the obvious, that jailbreaking, although legal, voids your warranty) is the issue of reinstalling all your jailbreak-only apps if you update and re-jailbreak. The latest version of Cydia can help with that problem.

iTunes will restore your non-jailbroken apps when you upgrade to a new version of iOS, or if you restore your iPhone. For jailbroken apps, you have to re-install them manually, at least until now.

Cydia is the "market" that users go to for apps specifically for jailbroken iOS devices. Possibly because of technology Cydia acquired via Rock Your Phone, you can now login with your Facebook or Google account. Once that's done, Cydia will track your purchases, so that you can reapply them after you jailbreak the next version of iOS.

It's a lot better than having to hunt down your old apps again via the repositories involved. Of course, Apple would prefer not just that jailbreaking was harder, but that it couldn't be done. Considering it's the only way to get a useful lock screen (among other things), many hope otherwise.

Nexus S, Nexus One receive SMS redirection bug fix builds

he users who have long suffered with a random SMS addressing bug that has gathered a lot of attention lately may soon see fixes. Both the recently introduced Samsung Nexus S on Android 2.3 (Gingerbread) and the HTC Nexus One on Android 2.2 (Froyo) have seen minor updates this weekend that reportedly fix the bug.

The Nexus One gets an update from Android 2.2.1 (FRG83D) to Android 2.2.2 (FRG83G). Meanwhile, the Nexus S receives an update to 2.3.2. Both updates are bug fix updates, and both fix the SMS redirection bug.

Of course, those on other devices will still be affected, until a similar patch rolls to their device. It's unclear if this patch will break the ability to root a patched device.

TPB plans 'The Music Bay' as music industry surprise: report

The Pirate Bay, despite its legal ups and downs, remains one of the most infamous BitTorrent sites around. Those involved in TPB may be on the cusp on introducing something new, something they say the music industry should fear.

For years, The Pirate Bay has sat on a domain name, http://themusicbay.org. It's done nothing with it, although it originally planned to; right not it just directs users to The Pirate Bay. That may be changing soon, according to TorrentFreak, which spoke to a Pirate Bay insider.

“The music industry can’t even imagine what we’re planning to roll out in the coming months. For years they’ve complained bitterly about piracy, but if they ever had a reason to be scared it is now. It will be a special surprise for IFPI’s 78th birthday, and we’re thinking of organizing a huge festival in Rome where IFPI was founded.”

The active subdomain fear.themusicbay.org currently displays a “comming soon” [sic] title, so it seems that the IFPI, or the International Federation of the Phonographic Industry, has something to be concerned with. Its 78th birthday is in April of 2011. It will be interesting to see what comes in that month.

App Store 10 billion download winner hung up on 'prank' Apple call

The winner of Apple's 10 billionth download promotion hung up on the company when they called, thinking it was a prank. Gail Davis of Orpington, Kent, UK, had downloaded Paper Glider, a free iOS game, on Saturday, and with that, won a $10,000 iTunes gift card.

Davis said:

“I thought it was a prank call. I said, ‘Thank you very much, I’m not interested’ and I hung up.”

The call came Eddy Cue, Apple’s Vice-President in charge of iTunes. Her daughter told Davis it wasn't a prank, and she started to panic, but she needn't have: Apple wasn't going to let one hang-up deter them.

"The more I thought about it, the more I realized it was a genuine call. The girls were getting quite tense. They never would have forgiven me. They would have held it against me for all eternity.”

Indeed they would not have.  Gail Davis didn't actually make the download.  It was one of her two daughters, 14 and 17, who was the actual winner.  Fortunately for her, Davis was called again a few hours later by one of Cue's colleagues.

Davis and her husband only have iPod nanos, which cannot run iOS apps. They're thinking of upgrading their devices so they can start downloading. She needs to hurry; as she indicated, her daughters are already trying to figure out what to buy.

Two Promotional Apple iPhone - AT & T and Verizon

After months of fighting between Verizon, Apple and AT&T, the latest ad from Apple shows it's all one big happy family, showing the Verizon iPhone 4 and AT&T iPhone 4 side-by-side with the tagline "Two is Better Than One."

The ad is set to the Blue Danube (or An der schönen blauen Donau), the famous Johann Strauss waltz. It shows two iPhone 4s simultaneously scrolling, surfing, checking iBooks, using FaceTime, and more, all identically, before the AT&T and Verizon logos appear, followed by the tagline "Two is better than one."

Past ad campaigns by Verizon have mocked the AT&T network and the iPhone on it. Now that the popular smartphone is on the Verizon network, any anti-iPhone (and pro-Android) commercials will be a thing of the past.

One difference missing from the commercial, and one thing that Verizon iPhone buyers need to remember, is that voice and data calls cannot be made simultaneously on CDMA network. That means that if, say, you are listening to an Internet radio station, when a call comes in, the station feed will automatically terminate. Once the call ends, you will be reconnected.

Looking at it from the other direction, if you were on a call, you couldn't suddenly go to Yelp at the same time. In this case, you won't disconnect from the voice call; it just won't work.

Watch the video below.

Verizon's off-contract iPhone 4 price $50 more than AT&T

It's been said before that Verizon is the priciest U.S. carrier, and it certainly hasn't done anything to discount that belief with something just noticed in their FAQ. The unsubsidized, full retail price for the Verizon iPhone is $50 more than the same price for the AT&T iPhone.

Here's what the FAQ says re: Verizon iPhone 4 pricing:

$199.99 for the 16GB model, and $299.99 for the 32GB model, with a new 2 year agreement. iPhone 4 will also be available for purchase at full retail price - $649.99 for the 16GB model, and $749.99 for the 32GB model.

For the 16GB model, AT&T charges $599 and for the 32GB model,a $699.

It's unclear why Verizon is charging more for their version of the iPhone 4, but the most obvious thing that comes to mind is the CDMA chipset inside the device. While $50 compared to the full retail price of the device is small, it's still an interesting additional difference between the two iPhone 4s.

Apple retail stores seen carrying universal iPhone 4 bumpers

The Verizon iPhone isn't quite here yet, but a newly designed bumper case, that fits both the AT&T and Verizon versions, is. We noted earlier that some third-party cases, as well as Apple's own bumper cases, would need slight modifications to fit the new Verizon iPhone.

While the Verizon iPhone is mostly unchanged externally from the AT&T iPhone, there were some changes made to the metal band around the exterior, which functions as an antenna for the device. Because of this, the mute button was moved. The new bumper case has a wider opening for the mute switch, and that's the only change.

In addition to moving the mute switch slightly, the Verizon iPhone has 4 antenna gaps, while the AT&T design has only 3. Aside from that, it's pretty much the same device, except, Verizon would claim, that it runs on a more reliable network. Meanwhile, AT&T would claim it runs on a slower network.

For ourselves, speed doesn't count for much if the network is overloaded. The countdown to the Verizon iPhone 4 continues, with pre-orders beginning for existing Verizon customers on Feb. 3. You can see the unboxing video below.

Motorola's Xoom tablet to be priced at $800; HTC Thunderbolt at $249

The minimal advertised price (MAP) of the Motorola Xoom, considered by many to be the first real iPad rival, has been leaked in images obtained by Android Central from a Verizon source. The price, even given the specs, is a rather jaw-dropping $799.99.

Jaws drop, however, because of apples-to-oranges comparisons. Whenever a price comparison is made, most use the iPad's minimum price, of $499. Compared to the Xoom, this looks like a $300 difference. However, with the Xoom' specs, it should really be compared with the 32GB iPad 3G model, which is priced at $729.

Realistically, it could be compared to the 64GB model ($829), as the Xoom has a microSD card slot adding still more storage. Additionally, the Xoom's specs are superior to the current iPad. They include:

• Android 3.0
• 10.1-inch 1280 x 800 display
• Dual Core 1Ghz NVIDIA Tegra 2
• 1GB RAM
• 32 GB internal memory with microSD Card slot
• 10 hr video playback battery life
• 5 MP Rear camera with Flash and 720p HD video capture
• supports 1080p HD video and HDMI output
• 2MP video calling camera
• Accelerometer, gyroscope, barometer
• 802.11n wi-fi with hotspot capability
• Bluetooth 2.1
• 3G (upgradeable to 4G, later)
• 4G (later model, will come in Q2)

Despite the superior specs and a pretty good apples-to-apples comparison in pricing, many commenters criticize the pricing. There is some justification for their reasoning: Apple has a big lead with the iPad, and in order to catch up with the first really powerful alternative to it, pricing adjustments might need to be considered.

Still, this appears to be unsubsidized pricing, without a contract. It's unclear if subsidized pricing will be offered. There are also many other tablets coming, in a wave that is bound to see many successes --- and many failures. Finally, we still don't have an exact date, although it is supposed to be  sometime in Q1 for the 3G version, later upgradeable to 4G, and Q2 for the 4G version.

The same images, by the way, out the HTC Thunderbolt's pricing at $249, which sounds subsidized. It's a little more than the $199 that we're used to seeing for most handsets, but a 4G premium is probably there. It's expected to be Verizon's first 4G handset to hit the market.

You can watch a Xoom teaser below.

The App Store reaches the 10 billion download milestone

Apple thanked end users 10 billion times on Saturday, as the 10 billionth app from the App Store was downloaded. While we are not sure who the winner is yet (Apple says come back later), we know that the winner gets a $10,000 iTunes gift card.

The winner didn't actually have to download an app, either. There was a non-download entry form as well. The winner was either the downloader of the 10 billionth app, or the person who submitted an entry form immediately after the 9,999,999,999 app was downloaded.

The number of downloads in the App Store have been skyrocketing, along with device use. By the end of September 2009, the App Store was at 2 billion apps downloaded. About a year ago, in January 2010, there were 3 billion downloads. When the "countdown" began, the store was some 250M apps short, and that was just over a week ago.

In February of 2010, Apple had a different 10 billion download mark hit: the 10 billionth song song from iTunes: Johnny Cash's "Guess Things Happen That Way."

Update: The 10 billionth app downloaded was Paper Glider.  It was purchased by Gail Davis of Orpington, Kent, UK.  Davis will receive a $10,000 iTunes Gift Card.

Verizon Ally owners see Froyo update, while Fascinate owners continue to wait

LG Ally users can rejoice: the Verizon smartphone, which was rumored to get an update to Android 2.2 (Froyo) in February, has just begun receiving OTA updates. It's humorous that the device, a mid-range smartphone, is able to receive a Froyo update OTA while Samsung's top-of-the-line Galaxy S cannot.

It's unclear exactly when the updates began rolling out, but based on the fact that Friday people were still speculating as to when the update would come, it had to begin being pushed out sometime late Friday / early Saturday.

The update (VS740ZVD, Android 2.2.1) brings a ton of improvements to Android, including performance improvements, the ability to move apps to the SD card, improved security, and more.

Verizon LG Ally owners can now wave their devices in front of their Verizon Samsung Fascinate brethren. The only Galaxy S smartphone, of which the Fascinate is one, to receive a Froyo update is the T-Mobile Vibrant, and that requires a cabled install using Samsung's Kies desktop software.

Ballmer makes sure Hu knows: 90 percent of Microsoft software in China is pirated

How bad is Chinese piracy of Microsoft software? Reportedly, 90 percent of Microsoft software used in China is pirated.

That's what Microsoft CEO Steve Ballmer said when joining a number of U.S. and Chinese business leaders for a meeting at the White House with U.S. President Barack Obama and Chinese President Hu Jintao. Although his exact words were not revealed, President Obama used the statistic at a later press conference. He said:

Some of it has to do with intellectual property protection. So we were just in a meeting with business leaders, and Steve Ballmer of Microsoft pointed out that their estimate is that only one customer in every 10 of their products is actually paying for it in China. And so can we get better enforcement, since that is an area where America excels -- intellectual property and high-value added products and services.

And the Chinese government has, to its credit, taken steps to better enforce intellectual property. We’ve got further agreement as a consequence of this state visit. And I think President Hu would acknowledge that more needs to be done.

In addition to hitting Microsoft's bottom line, frequently pirated software is not updated as often, leading to easy targets to be turned into botnets. Although President Hu might acknowledge more must be done, it's unclear what those steps will be.

Calif. city mulls posting DUI mug shots to PD's Facebook page

Social networking sites like Facebook can be a source of embarrassment for those who might post things they regret. However, a city is considering helping DUI offenders along in that sort of embarrassment.

Devin Dwyer, a councilman in Huntington Beach, CA, wants police to begin posting mug shots of DUI repeat offenders to the Huntington Beach PD's Facebook page. Originally, he wanted all DUI offenders posted, but Dwyer modified the proposal in an attempt to get it past the 7-member city council.

Huntington Beach is a city of about 200,000 residents. Among 56 California cities of a similar size, Huntington Beach is ranked tops in alcohol-related traffic fatalities. In 2009, 195 people were killed or injured. At the same time, drunk driving laws are strictly enforced, and in 2009, there were 1,687 DUI arrests.

Police spokesman Lt. Russell Reinhart said that the PD's Facebook page, launched in November, has proven to be a valuable way of getting information to and from the public. He is concerned public interest might dry up if this practice of public shaming of all repeat DUI offenders were conducted. He said,

"We see no value in doing that. Law enforcement is not about public shaming."

Despite this, Dwyer says he has wide support from residents. The vote takes place next Tuesday, Jan. 25, 2011.

(Adobe) Flash-y Toshiba tablet teaser site mocks the iPad

Toshiba's yet unnamed Android tablet has a new teaser site. The site shows off the tablet's features, confirms a few things, but at the same time, in its Flashiness, mocks the iPad as well.

If you use an iOS device to access the site (TheToshibaTablet.com), the site detects it and tells you that you can't watch the video, because it's Flash. It says:

“Such a shame. Add this to the list of interesting places on the Internet you can’t see on your device. Of course, if you had a Toshiba Tablet, you would enjoy the entire Internet. Yep, Flash sites too.”

The specs on the Toshiba tablet are:

• 10.1" display
• Tegra 2 dual-core processor
• Android 3.0 Honeycomb
• 2MP front facing camera
• Stereo Speakers
• Landscape mode dock
• HDMI out
• USB 2.0 port
• MiniUSB port
• Headphone and microphone jacks
• User-replaceable battery
• Combined volume, screen orientation, and power buttons
• Full-size SD card slot

The Toshiba tablet (come on; name it already) will face plenty of competition when it emerges. Not just other Android tablets like the Motorola Xoom, but the iPad 2, RIM's BlackBerry PlayBook, and perhaps even a webOS tablet.

Apple is pretty sure who will win, but after the way Android took on the iPhone in smartphones, that battle is far from certain.

Samsung's Vibrant sees its Froyo update, but sadly not OTA

Samsung has followed through on the promise uttered by T-Mobile CMO Cole Brodman on Thursday. The company has just issued an emailed press release that states the T-Mobile Vibrant Froyo update is now available. What, all it took was a legal threat?

Sadly, although as expected, the update will not come OTA, but instead requires an end user to connect his Vibrant to his PC and use Samsung's Kies Mini software. To be honest, it feels very retro (and not in a good way), and really, this sort of update has always been more daunting for end users.

Also, while Apple continues to use tethered updates, at least the software they use to install the update isn't custom. Instead, it's just plain old iTunes. We have to admit, it seems really old-school in these days of OTA updates for just about every other recent Android phone.

Once the update is completed, your Vibrant will be on build number T959UVKA6 also known as KA6. The full set of instructions are here.

At least Samsung delivered for the Vibrant; now how about the Captivate, Epic 4G, Mesmerize and Fascinate?

AT&T's bottom 7.5 percent coverage-wise to get free Microcells

AT&T's 3G Microcell, along with other such devices for other carriers, is used to improve signal quality in areas with poor reception. Many believe that's the entire nation, but the company itself has been test marketing free Microcells in really bad areas, and its about to expand that program nationally.

Beginning on January 23, AT&T will be sending out mailers inviting customers determined to be qualified for the program to sign up for a free Microcell. AT&T has selected the "top 7.5 percent of 3G wireless customers identified as likely to experience poor in-building coverage at home or in small offices."

The catch is that you are committed to AT&T service for a year. If you exit before then you have to either return the MicroCell or pay the Microcell's upcoming new (and raised) price of $199.99 minus $16.67 for every month that you've had it.

This verbal agreement to keep the Microcell a year has no effect on your current service plans or your eligibility for an equipment upgrade.

A femtocell like AT&T's Microcell uses your home of office's broadband to give you a better signal. To the device, it's as though it's attached to a tower, but it's attached to the femtocell instead. For places with marginal coverage, it can be the only way to get a good signal.

In a way, this is a great deal for those who get it. In another way, it's not, as it tells you AT&T considers you in their worst 7.5 percent in terms of coverage.

Rovio to slingshot 'Angry Birds' into an animated series

Angry Birds is about to join other such hit video games as "Pac-Man" and turn itself into an animated series. Anyone who remembers the horror that was the Pac-Man series just shuddered, as Rovio made the announcement on Wednesday.

Angry Birds is a hit on both iOS and Android. There are also stuffed animals, as well. Milking the hit, Rovio will produce an animated series for either television or the Web.

Rovio CEO Mikael Hed told the British TV industry site C21media.net:

"We have been looking at that for quite a while, and that is definitely one of my personal big focus areas right now -- to work on broadcast content for 'Angry Birds,'"

Meanwile, company spokesman Ville Heijari told AFP:

"We are planning a cartoon that would be interesting to the whole family, for both adults and children. We are seeking co-operation with the best scriptwriters and the best distributors."

An Angry Birds player uses a slingshot to catapult birds of varying types at various structures and pigs. who stole the birds eggs. It will be interesting to see if they can pull off a series that makes sense. Pac-Man was just silly, and you can watch a clip to confirm it yourself.

Apple's latest attempt to 'screw' iPhone owners involves pentalobular screws

Apple's iPhone is sealed from end users, with the company not even including a user-replaceable battery. It seems, however, the company is going to still further length to ensure the device is tamper-proof, using custom made screws, and not just that: if you have standard screws and get your iPhone 4 repaired, they replace them.

iFixit is a company famous for their new device teardowns.   The site notes that during repairs, Apple is replacing the iPhone 4's standard Philips #00 screws with new "pentalobular" ones. Worse, to gain access to a tool for that screwhead, you have to prove you are an certified Apple repair technician or company. The tool is also very expensive.

iPhone 4s in the U.S. shipped with the aforementioned Phillips screws, but other countries received the pentalobular screws, and as noted iPhone 4s are receiving them upon repair. As sealed as the iPhone 4's OS is, apparently the device needs to be sealed the same way.

As MJ at iFixit said:

Apple won't sell me the screwdriver I won't need to fix my own phone. And all of this for what: to keep people from modding their phones to make them different colors? Heaven forbid!

We're not sure the word "diabolical" is correct to describe Apple's actions, but at any rate, iFixit's interest in this is not totally altruistic. They have just released a new product called the "iPhone 4 Liberation kit." It includes a special Phillips driver to remove the tamper-resistant screws, Phillips screws like the iPhone 4 was originally shipped with, and a Phillips driver for those.

The only possible problem is since the driver to remove the pentalobular screws is not the precise tool required, it could render them useless. On the other hand, as MJ said, you're not going to need them anyway.

It would seem, to me, that you could probably find your own Phillips screwdriver that would similarly remove the pentalobular ones (destroying them as well), without forking over the $10, but it is convenient that there is a kit that provides the screws, too.

Ah, and similar, but differently sized screws are in mid-2009 MacBook Pros and the new MacBook Airs, and iFixit has users covered there, too. Once again, they're not being altruistic.




Apple's Diabolical Plan to Screw your iPhone from iFixit on Vimeo.

Motorola apologizes for bootloader comment gaffe, promises change

Motorola's bootloader policy on its recent Android phones hasn't been received well by Android fans who love custom ROMs and rooting. A recent response to a comment on Motorola's YouTube account inflamed things more, and Motorola responded on Wednesday with an apology on Facebook.

A locked bootloader pretty much prevent customs ROMs on Motorola devices.  Rooting is still possible, but custom ROMs are popular among many on Android.  The original FUBAR occurred when a Motorola employee responded on their YouTube account (the comment has been replaced with something apologetic):

@tdcrooks if you want to do custom roms, then buy elsewhere, we’ll continue with our strategy that is working thanks.

Considering Motorola Nobility is only now making a comeback from its doldrums, it hardly seems good to direct them to another company. Their Facebook apology reads:

We apologize for the feedback we provided regarding our bootloader policy. The response does not reflect the views of Motorola.

We are working closely with our partners to offer a bootloader solution that will enable developers to use our devices as a development platform while still protecting our users' interests. More detailed information will follow as we get closer to availability.

The edited comment at YouTube, while not word-for-word the same, provides pretty much the same answer.

While we doubt there will be many, or any, changes to older devices, it will be interesting to see how and if Motorola follows through with this. The upcoming Atrix 4G and its dock attachments were well received at CES, with the only problem for us being AT&T as the carrier.

Forever is nearly here, as Duke Nukem Forever receives a May 3 ship date

As hard as it might be to believe, forever is nearly here. Duke Nukem Forever, the long-awaited an long-delayed sequel to Duke Nukem 3D has a launch date: May 3.

Duke Nukem Forever was once the property of 3D Realms. However, that company folded in 2009, and it seemed like Duke Nuke Forever was going to be renamed Duke Nukem never. Instead, the franchise was picked up by Take-Two Interactive ("Grand Theft Auto" franchise), as the publisher, and Gearbox Software ("Brothers in Arms") as the developer.

Of course, as one might have expected, those two and 3D Realms fought over who truly owned Duke Nukem. That was eventually settled, and now, with a press release being issued and pre-orders being taken, it seems we are truly on the way. Christoph Hartmann, president of 2K said:

“The moment fans all over the world have been waiting for is almost here. May 3, 2011 marks Duke’s return as he unleashes his brash and brutally honest wit on the world. His return is going to be epic and one that will make video gaming history!”

The game will include both online multiplayer and single-player modes. THose looking for a demo version of the game will have to spend some money. You first must join the Duke Nukem Forever First Access Club, and to do that you need the membership certificate which is included within the Borderlands Game of the Year edition (PC, Xbox 360, PS3).

Duke Nukem Forever can be pre-ordered (PC, Xbox 360, PS3). Both Borderlands and Duke Nukem Forever are rated M for Mature by the ESRB.  Fill up your wallets: the wise-cracking, macho Duke Nukem is set to return.

The first Verizon iPhone ad: 'It Begins'

And so it begins: the blitz of Verizon iPhone commercials has seen its first "entry."

The ad begins with a clock showing 11:59. The ad moves on to show additional clocks, a person tapping his finger, implying people waiting, but for what? Obviously, the Verizon iPhone.

More clocks, a person kneading their hands together in nervous anticipation, and more clocks. Then more nervous behavior by people, over which you hear:

“To our millions of customers ..."

Tapping feet.

"Who never stopped believing this day would come."

The clock shown earlier at 11:59 now hits 12:00. A girl smiles.

“Thank you.”

iPhone 4 logo.
Verizon logo.
The tagline: “It Begins”.
Cue the launch date: 2.10.11.
"Rule the Air"

Here's hoping the expected Verizon iPhone Super Bowl commercial wows us.

Google developing 'Google Offers' Groupon clone

If you can't buy 'em, clone 'em. Google, which earlier failed to buy Groupon despite a $6 billion bid, is preparing its own competitor, which will be called Google Offers.

While not as snazzy a name as Groupon, the idea is the same: a deal-of-the-day site that senda an email to daily to end users with a local deal. If enough users sign up within the trigger period (we would assume 24 hours), the Google Offer becomes valid.

The evidence it pretty clear: Mashable has received a fact sheet (embedded below) for Google Offers, one that the company is sending to businesses. More evidence has been found in the form of a Google Offers logo, hosted on a Google server, no less.

The capper is the following: Search Engine Land received an email that seems to confirm the project. Although the email does not confirm the name as Google Offers, and it uses the word "test," it seems pretty clear:

Google is communicating with small businesses to enlist their support and participation in a test of a pre-paid offers/vouchers program. This initiative is part of an ongoing effort at Google to make new products, such as the recent Offer Ads beta, that connect businesses with customers in new ways. We do not have more details to share at this time, but will keep you posted.

How is this going to affect Groupon, and Living Social? It's going to affect them, but both companies are well-established, and Google Offers won't kill them.

Living Social just had a huge Amazon.com gift card deal that ended with 1.3 million sold. Groupon is preparing a Spring IPO that could value it at $15 billion.

Some smaller players may fall by the wayside, but it's not as though deals such as these overlap. People will go to Groupon, Living Social, or Google Offers, or other sites, depending on whichever has the best deal. Not everyone wants an Amazon.com gift card or a deal at the Gap (to reference two huge Living Social and Groupon deals).

Although people used to fear that Google entering a market would kill off other products, it's not as though Google Checkout has dented PayPal's market share much, and Google Places hasn't killed Yelp.

What Google Offers will mean is more reason to check your inbox every morning, in hopes of a deal.





Offers Fact Sheet

T-Mobile announces Galaxy S 4G; Sidekick also to return in 4G form

At a press breakfast event on Thursday, T-Mobile USA CEO Philipp Humm confirmed the Sidekick would be returning to the carrier, in 4G HSPA+ form. Also confirmed to be coming was another HSPA+ device already leaked all over the Web and previously called T-Mobile Vibrant 4G Plus: the Samsung Galaxy S 4G.

To be clear, the new Galaxy S device won't be called the Vibrant, Vibrant Plus, or anything similar. The company sent out a press release Thursday saying the rather boring Galaxy S 4G name will be official, and the device will be exclusive to T-Mobile.  It also noted that the device would be arriving in "the coming weeks" while at the press breakfast they stated that both devices would arrive in 1H2011.

Humm said:

"We will launch as new the Samsung Galaxy S 4G ... and coming soon, will also be a Sidekick 4G. Everybody knows the Sidekick, and we're going to relaunch the Sidekick and bring it as a 4G device, Android based, into the market."

The new devices will be Android-powered. Those who are confused and remember that Microsoft's Danger division were the ones behind the original Sidekick, or Danger Hiptop, need not be concerned. Although the new Sidekick will be Android-powered, T-Mobile, not Microsoft, owns the name, so that explains how it is possible the device will carry Android.

After Microsoft acquired Danger, the brand suffered a major setback when an outage which resulted in unavailability of much of the data for U.S. T-Mobile Sidekick users. It was the end of November before the majority of existing users recovered all their contact, notes, calendar and photo data. T-Mobile discontinued the Sidekick in mid-2010.

T-Mobile was also questioned about a possible T-Mobile iPhone, now that AT&T no longer has exclusivity on the iPhone. The company response was "Ask Apple."

Although T-Mobile and AT&T both use GSM as the technology behind their networks, the 3G frequencies used by the companies differ, and Apple would need to make some adjustments for the iPhone to work on the T-Mobile network. That said, the adjustments necessary would be far less than what Apple already had to do for the Verizon, or CDMA iPhone.

Living Social's huge day ends with 1,301,296 '50 percent off' Amazon gift cards sold

Deal-of-a-Day site Living Social's huge day on Wednesday ended up with a 50 percent off Amazon.com gift card deal expiring with 1,301,296 sold. It's unclear if all of those will stand as the deal "fine print" said one per customer, and various Tweets and more indicated various attempts to "game" the system.

The deal was for a $20 Amazon.com gift card for $10. The deal went viral, and easily topped the 2010 deal between Living Social's big rival, Groupon, and The Gap, which ended up with $11 million worth of Groupons sold. At 1.3 million and $10 apiece, that amounts to $13 million, though it is unclear just how much of that Living Social gets to keep.

Early in the day, it was said multiple buys were possible, but then the "fine print" was changed to prevent that. Additionally, some early buyers said they could use Deal Bucks for the purchase, but that was also changed later in the day.

In early December, Living Social received a $175 million investment from Amazon.com, which is where this daily deal obviously came from.  Meanwhile, rival Groupon recently turned down a $6 billion acquisition offer from Google, and has been speaking to bankers about a possible IPO, some say in the Spring, and possibly valued at $15 billion.

You can still see the deal, although it's obviously expired, at the original location here. It's possible all the sales will not stand if Living Social decides to revoke the buys for some who purchased multiple gift cards.

Google Co-Founder Larry Page replacing Eric Schmidt as CEO

In addition to announcing their quarterly earnings on Thursday, Google dropped somewhat of a blockbuster. CEO Eric Schmidt is no longer CEO, instead being replaced by co-found Larry Page, while Schmidt becomes executive chairman.

Page will take charge of day-to-day operations on April 4, while Schmidt will focus on deals, partnerships, government outreach, and become a technology thought leader. Co-founder Sergey Brin will take the title of ... Co-Founder. His job is to lead the company’s “strategic projects.” Brin will be in charge of Google’s new and experimental technologies.

BusinessInsider has a pretty harsh look at the move. They believe that

Eric Schmidt was tossed from the company, because Sergey and Larry were frustrated with dealing with him. Note the quote from Schmidt that Google wanted to "speed up decision making." If things are working smoothly, you don't have those problems.

That was mentioned in Schmidt's blog post on the change, saying that partly, the move was made to simplify the management structure and speed up decision making.

In terms of the actual financials, Google said that in Q4 2010, revenue was $8.44 billion, an increase of 26 percent over the same period in 2009. Operating income was $2.98 billion compared to $2.48 billion from Q4 2009. Google reported a profit of $2.54 billion, or $7.81 a share, up from $1.97 billion, or $6.13 a share, a year earlier.

Markets reacted in after-hours trading by spiking on the earnings news, dropping as the news about Schmidt spread, and gaining again. At the current time, Google is up 8.74‎ (or 1.39 percent‎) in after hours trading.

Eric Schmidt first joined Google's board as chairman in 2001, then later that same year became the company's CEO. Ironically, he announces he is leaving the CEO post just days after his biggest rival, Apple CEO Steve Jobs, announced a medical leave of absence.

Best Buy planning pro-AT&T iPhone push due to lack of Verizon devices?

Apple doesn't really care if you buy a Verizon or AT&T iPhone, just that you buy an iPhone. While you would assume that AT&T and Verizon care, it appears that Best Buy cares, too: a newly discovered Best Buy playbook document is set to help associates answer questions about the Verizon iPhone, and not in a good way.

Not only does Best Buy diss the Verizon iPhone, it does so in a way that's pretty similar to something seen online recently: in fact, they lifted a BGR post, word for word, including a update sentence at the end. This is the only page visible in the leak, but it's likely they took the entire content of the original BGR post.

No 4G

Verizon’s entire presence at CES last week was focused on one thing and one thing alone: 4G. Its LTE network is now live in 38 markets and a flurry of 4G phones will launch in the coming months. But the iPhone… the smartphone millions of Verizon Wireless subscribers have been dying for… is a 3G device.

We knew Verizon’s iPhone 4 would be a CDMA phone for a number of reasons, but 3G is so 2010. Sprint launched its first 4G phone with minimal WiMAX coverage and it ended up being the fastest-selling phone in the carrier’s history. Now, we won’t see a 4G iPhone from Verizon until 2012. That means while millions of Android phones are surfing Verizon’s 4G airwaves later this year, iPhones will still be puttering along at EVDO speeds.

Post updated to remove a reference to FaceTime over 3G, which will not be available on Verizon’s iPhone 4.

Why would Best Buy push customers away from the Verizon iPhone and toward the AT&T version? The only thing that comes to mind is that Best Buy won't have the Verizon version on-hand when the device launches on Feb. 10. Apple and Verizon had previously said that only Verizon and Apple would have the devices at launch, with partners receiving them later.

However, the Verizon iPhone showed up in Best Buy's inventory system recently, leading some to wonder if in fact Best Buy would have it on hand. This anti-Verizon, or perhaps, pro-AT&T planning seems to point to an answer of "no."

No 'super-high resolution' display for iPad 2: report

Recent reports have pointed to a quadrupling of the iPad 2 pixels, with a 2048 x 1536 resolution promising a "retina" display on its larger 9.7-inch screen. However, Daring Fireball has turned up the "heat" and thrown "cold water" on the idea, based on its sources.

John Gruber of Daring Fireball said on Tuesday that his sources say that not only will the iPad 2 not sport a 2048 x 1536 display, it will keep the exact same resolution, 1024 x 768. Gruber is well-sourced, and he said:

Its display may be improved in other ways — brighter, better power consumption, thinner, perhaps. Maybe it uses the new manufacturing technique Apple introduced with the iPhone 4 display, which brings the LCD closer to the surface of the touchscreen glass — making it look more like pixels on glass rather than pixels under glass. But my sources are pretty sure that it’s not 2048 × 1536 or any other “super high resolution”.

In referring to "super high resolution," Gruber is referring to Engadget's report, which did not list an actual resolution, but instead just said the iPad 2 would have a new "super high resolution" display.

These are the sort of rumors that run prior to a product refresh cycle. Whether or not the iPad 2 has a "super high resolution" display or 2048 x 1536 resolution remains "to be seen."

Nintendo 3DS gets a price and a date: $250, March 27th launch

We finally know what the pricing and availability of the Nintendo 3DS will be, as at a Wednesday, Jan. 19 NYC press conference, the company announced both: a launch date of March 27, and a price of $250.

Feature-wise, the Nintendo 3DS is adding a lot of functionality to combat the iPhone and iPod touch, which have been grabbing portable gaming market share. For example, in addition to the 3D support, it will have a front-facing 2D camera, and a pair of rear-facing cameras for 3D pictures.

Its game card slot will DS and new 3DS games. The 3DS will come a 2GB SD card and charging cradle. It even has a pedometer, and Mii Maker will allow users to more easily create Miis, even ones based on images taken with the 3DS' own camera.

The StreetPass feature will alert an owner if he passes another 3DS owner on (where else) the street. The owners can then check out what games the other has been playing, trade Miis in the new Mii Plaza, and, naturally, challenge them to a quick round of Street Fighter IV 3D Edition.

That's another thing that Nintendo revealed on Wednesday: the list of upcoming games. The company said that more than 30 3D titles are expected to be released during the 3DS "launch window" (which begins March 27 and closes on June 7 with the start of the Electronic Entertainment Expo or E3). From their press release we can glean the following information:

Nintendo "Launch Window" Titles

• Nintendogs + cats
• Pilotwings Resort
• Steel Diver

A Partial List of Third-Party Titles Which Are "Coming Soon" (Nintendo's Wording)

• Asphal 3D (Ubisoft)
• Bust-a-Move Universe (Square Enix)
• Combat of Giants: Dinosaurs 3D (Ubisoft)
• Crush 3D (Sega)
• Dead or Alive Dimensions (Tecmo Koei)
• Dual Pen Sport (Namco Bandai)
• Lego Star Wars 3: The Clone Wars (LucasArts)
• Madden NFL Football (EA Sports)
• Pro Evolution Soccer 2011 3D (Konami)
• Rabbids Travel in Time (Ubisoft)
• Rayman 3D (Ubisoft)
• Resident Evil: The Mercenaries 3D (Capcom)
• Ridge Racer 3D (Namco Bandai)
• Samurai Warriors Chronicles (Tecmo Koei)
• Shin Megami Tensei: Devil Survivor Overclocked (Atlus)
• The Sims 3 (EA)
• Super Monkey Ball 3D (Sega)
• Super Street Fighter IV 3D Edition (Capcom)
• Thor: God of Thunder (Sega)
• Tom Clancy's Ghost Recon Shadow Wars (Ubisoft)
• Tom Clancy's Splinter Cell 3D (Ubisoft)

Nintendo Titles "In the Works" (Nintendo's Wording)

• Animal Crossing game
• Kid Icarus: Uprising
• The Legend of Zelda: Ocarina of Time 3D
• Mario Kart game
• Paper Mario game
• Star Fox 64 3D

Until now, the Nintendo 3DS' big draw has been 3D without the need for special glasses. At the same time, Nintendo has warned that those six or below should avoid the device, or at least avoid 3D on it.

It's unclear how much of a draw 3D on a portable gaming system will be. Consumers are still trying to get their heads around 3DTV, much less 3D gaming. It's also unclear if 3D can help pull consumers away from the iPhone's Gamecenter, or even the upcoming Android PlayStation Phone.  We'll see how well the device is received in late March.

Best Buy Motorola Xoom launch to be Feb. 17; $699.99 price leaked

Is the Motorola Xoom going to launch, right after Valentine's day? That's the impression given by a leaked Best Buy document.

The newly leaked document answers the question of "when" which was asked after the other question of how much seemed to have been answered a few days ago. It's still unclear if that $800 price for the 10-inch Motorola Xoom, which has been called the first real competition for the iPad, will be accompanied by a lower subsidized price, as well.

In fact, the same tipster who leaked the launch date has found a different price.  The unnamed source says that the price point will be $699.99.  It's possible the other $800 price is unsubsidized, with the new price subsidized; it's still unclear.

Motorola has previously said the 3G version of the Xoom will launch "sometime in Q1 2011).  The 4G version will arrive in Q2, and the 3G model will be upgradeable, though exactly how is not clear.  While this still fits the rumor category, it does follow the normal Verizon strategy of Thursday launches.

While there is much angst over the alleged $800 (or even $700) price, most are comparing that price with the $499 price for the wi-fi only iPad that has only 16GB of storage. It should be remembered that this model has 3G, as well, will be upgradeable to 4G, has NVIDIA's dual-core Tegra 2, as well as 32GB of storage (reportedly).

That said, it doesn't mean that a lower price wouldn't be better. It does mean, however, that people comparing these models are not making fair comparisons.

Starbucks mobile payment service goes national

Starbucks is taking the mobile payment system it has been testing in a limited number of stores in Seattle, New York and San Francisco national. The system, which enables iOS and BlackBerry users to "pay by phone" has expanded to nearly 6,800 company-operated Starbucks stores in the U.S., starting Wednesday.

Once the application is installed onto an iOS or BlackBerry phone, users can load their Starbucks card information onto the device. The app will display a barcode that is scanned for payment, just as with customers' Starbucks cards. Customers can check their balance and reload cards, as well.

Although Starbucks could have opted for the near-field communication system (NFC) that Google is touting as a potential future replacement for credit cards, it decided to go with its own custom system.  NFC, the company said, is too limited in adoption and too new, at least for now.  Google recently added NFC support to Android 2.3 (Gingerbread).

20 percent of transactions at Starbucks stores are paid for with Starbucks cards. Brady Brewer, vice president of card and brand loyalty, said in a release:

“Mobile payment is just one example of how we’re continually innovating on behalf of our customers to enhance the Starbucks Experience. A growing segment of our customers use smartphones, and through the Starbucks Card Mobile App, we’re providing them with the fastest way to pay.”

One reason Starbucks thinks the program will be successful is that while waiting in line, customers are always fiddling with their mobile devices. Of course, in order to be truly successful, they'll need to add an Android version, and that is reportedly being built. There's no word on any plans for a Windows Phone version.

AT&T to launch new SMS plans, raise activation fees

AT&T is about to change its messaging plans, though it's unclear why.  It could be about Verizon, especially with competition with that carrier's iPhone. It could also be a response to free text messaging rivals which are intrude on carriers' cash cows. Whatever the reason, it's coming.

The new plans were shown off in a leaked Best Buy image obtained by GearLive on Jan. 19. The two new plans will run $10 for 1,500 or $20 for unlimited. Going extinct after Jan. 23, except for those grandfathered in, are the $5 / 200 message plan and the $15 / 1500 message plan. On that day, AT&T will also be raising its activation fees to $36.

Of course, SMS messages piggyback on top of the control channel, so it actually costs carriers nothing. Despite this, text messages are their cash cow. If people get too used to using some IM service, or even Google Voice to avoid paying SMS fees, it will really hurt their bottom lines.

On the other hand, it's a lot easier to use the regular SMS app on your phone than to use an IM app (which your best friends may not use, anyway).

Microsoft says WP7 phantom data use due to 'third party solution'

Microsoft believes it has solved the phantom data usage issue that has plagued some users. Problem is, they're not telling anyone what the problem really is.

Last week, Microsoft said it was investigating the issue, in which users were seeing multiple megabytes of cellular data used, even when connected to wi-fi (in which case, apps should be using the wi-fi connection).

On January 19th, SeattlePI received a response to a request for an update. The reply was:

We have determined that a third-party solution commonly accessed from Windows Phones is configured in a manner that potentially causes larger than expected data downloads. We are in contact with the third party to assist them in making the necessary fixes, and are also pursuing potential workarounds to address the configuration issue in case those are needed. At this point in our investigation, we believe this is responsible for most of the reported incidents.
We are investigating additional potential root causes for the remainder of the reports.

A small (low single-digit) percentage of Windows Phone customers have reported being affected.

We are continuing to investigate this issue and will update with additional information and guidance as it becomes available.

That is just vague enough to raise more questions. After all, they didn't say third-party application, but third-party solution. That sounds like it might be something integral to the Windows Phone platform, rather than an app that could simply be avoided, or removed.

Obviously since one of the big supporters of WP7 in the U.S. is data-capped AT&T, this problem is a big issue. Microsoft did not further detail the issue.

Huge day for Living Social: over 820K of 50% off Amazon gift card sold, with 15 hours left

When people think of group buying, they usually think of Groupon. However, Groupon is not the only daily-deal-maker around, and Living Social's deal on Wednesday is one that we are surprised has not collapsed its servers: a $20 Amazon.com gift card for just $10.

There are still 15 hours left on the deal, and already nearly 820,000 have been sold. It's unclear how much of the revenue Living Social gets to keep. Despite the fact that the fine print says clearly that Amazon.com is "not a sponsor of this promotion," there has to be some help from Amazon.com to Living Social in this deal.

Amazon.com invested $175 million in Living Social in early December.

Note that the fine print also says that deal bucks can't be used for this deal, and also only one per person. However, some reported buying multiple gift cards, and also using their deal bucks, too, so it appears that Living Social modified the fine print.

Some are trying to game the system by using multiple email addresses and multiple credit cards. Those who do that could actually game the system twice if they "refer" the new email address. Meanwhile, if you're not on Living Social, take a stab at it and sign up. This is going to be a huge day for Living Social.

Samsung promises Froyo status soon; claims not charging carriers for Android updates

Samsung Galaxy S owners in the U.S. remain stuck on Android 2.1, and have waited so long for Android 2.2 (Froyo) that many theories have sprung up, including the latest, which is that Samsung is charging carriers for Froyo updates. That one must have struck a nerve with Samsung, as it has reportedly reached out to quash it.

Phonescoop says that Samsung Mobile emailed it, with the following missive:

"No. Samsung is not charging carriers for Froyo updates to Galaxy S. We hope to have more detail on status shortly. Promise!"

Many other phones have received Froyo updates, so it is unclear why there is a holdup on Samsung's. So far, rumors have flown about fried internal storage with the update, Samsung holding it back (specifically on the Vibrant) because of the upcoming Vibrant 4G Plus, and more. There has even been some saber-rattling at XDA about possible class-action lawsuits.

A public update on the matter would be a great idea, Samsung. Issuing a press release with public details on Froyo, or perhaps even Gingerbread, on the Captivate, Fascinate, Vibrant, Epic 4G, and Mesmerize in the U.S. markets would probably reduce the upset.

Hacker pair involved in 2010 iPad 3G AT&T data breach arrested by the FBI

On Tuesday morning, two members of the group Goatse Security, who hacked into AT&T's customer database last year and delivered close to 120,000 e-mail addresses of iPad 3G owners to Gawker, were arrested by the FBI. The pair, Daniel Spitler, 25, and Andrew Auernheimer, 26, used a "brute force" attack and an AT&T security hole to gather the email addresses.

The pair used the fact that iPad 3G's SIM has an ICC-ID, a 19-digit code that AT&T associated with a user's account and email address. AT&T used the ICC-ID to pre-populate a field containing the owner's email address when the user needed to login and check account status. By attempting ICC-IDs until they got a "hit," the pair was able to gather the email addresses.

AT&T was supremely embarrassed by the incident. Among the notables outed when the story first broke were luminaries such as New York City Mayor Michael Bloomberg, ABC News' Diane Sawyer, movie titan Harvey Weinstein and New York Times Co. CEO Janet Robinson.

In a statement, U.S. Attorney Paul Fishman in New Jersey said:

"Hacking is not a competitive sport, and security breaches are not a game. Companies that are hacked can suffer significant losses, and their customers made vulnerable to other crimes, privacy violations and unwanted contact."

Each of the two was each charged with one count of fraud and one count of conspiracy to access a computer without authorization. Each of those charges carries a maximum punishment of five years in prison plus a $250,000 fine.

Although Goatse Security notified AT&T of the breach after harvesting the data, the U.S. Attorney's statement noted that in chats, it was made clear that the group wasn't doing this to be altruistic. Instead, Fishman said,

"Those chats not only demonstrate that Spitler and Auernheimer were responsible for the data breach, but also that they conducted the breach to simultaneously damage AT&T and promote themselves and Goatse Security."

Last year, Auernheimer was arrested on drug charges. Authorities were actually searching his home for evidence related to the AT&T - iPad investigation.  Auernheimer is pictured above in a booking photo from that arrest.

Leaked Vodafone, Best Buy screenshots point to white iPhone 4s, 'soon'

A leaked screenshot from an unnamed source points to a possible white iPhone launch as early as February 27. The information, reportedly from a Best Buy inventory database, shows SKUs and model numbers identical to those Best Buy previously used when it was taking pre-orders for the white iPhone 4 prior to last summer's launch. Those orders were canceled when Apple delayed the white version.

AppleInsider received the screen shot on Monday, one day after Engadget spied a white iPhone 4 in the inventory system of Vodafone Germany. In that case, the only date given for a launch was "soon".

It's possible the screenshot from Best Buy is a computer glitch, since the info may still have been in its database. Or, they two companies could be preparing for the Spring, which is the last "date" Apple publicly gave for the white version.

In October, Apple publicly announced a delay of the white iPhone 4 until the Spring. Some have theorized that, since the iPhone's next annual refresh would be only 3 months or so after a Spring launch of a model, Apple simply delay the white iPhone into extinction.

The delay has been so long that cottage industries have arisen to fill the need for white iPhone 4s. We'll see if it ever emerges, or if we just have to wait for the iPhone 5, soon enough.

Cook channels Jobs: slams Android tablets as 'bizarre'

Tim Cook has shown himself to be a fine substitute for Steve Jobs in terms of day-to-day operations. He also does well at channeling Steve Jobs when it comes to slamming competitive products.

On Tuesday's post-earnings conference call, COO Tim Cook, when asked about competitive tablets, said the following:

Q: What about iPad competitors?

TC: There’s not much out there as you know. There are two kinds of groups today (in the market) — the ones using a Windows-based operating system. They’re big, heavy and expensive. Weak battery life. Need keyboard or stylus. From our point of view, customers aren’t interested in that.

Then you have the Android tablets. The variety shipping today, the OS wasn’t designed for a tablet — but Google said this. So you wind up having the size of a tablet that’s less than reasonable. Or one that’s not even a real tablet experience. It’s a “scaled-up smartphone” – that’s a bizarre product in our view. Those are what is shipping today. If you do a side-by-side with an iPad, some enormous percentage are going to pick the iPad. We have no concern there.

In terms of next generation. There’s nothing shipping yet. So I don’t know. “Today they’re vapor.” However, we’re not sitting still. We have a huge first-mover advantage. And a huge user advantage from iTunes to the App Store. Huge number of apps and an ecosystem. We’re very confident entering into a fight with anyone.

That's the kind of speak that Steve Jobs would be proud of. He once said that a 10-inch screen was the minimal size for a tablet to be effective (which we've pointed out is strange since the iPad is only 9.7-inches in size) and that the 7-inch tablets would be DOA. Clearly, they have not been, although they are not selling at iPad rates.

When speaking about the current Android tablets, Cook is correct in that the Samsung Galaxy Tabs, for example, are using a non-tablet-optimized version of Android: 2.2 (upgradeable to 2.3, we expect).

The ones he calls vapor are the ones that Apple needs to be truly worried about. Examples include the Motorola Xoom, which has a slightly larger screen than the iPad (10.1-inch vs. 9.7-inch) and will run Android 3.0 (Honeycomb), which Google says is tablet-only. It's unclear what the Xoom's exact release date is, but it's definitely Q1, with a 4G version coming in Q2.

Brief looks at Honeycomb have impressed many. It's believed, however, that Honeycomb will not run on the current generation of Android tablets.

Verizon iPhone must-have pain eased (sort of) by $200 credit for recent Verizon phone buyers

Those who weren't paying attention to the multiple warnings about a probable upcoming Verizon iPhone in Q1 2011 may be smacking themselves in the head if they made a hoiday purchase. Well, those recent buyers can still find some solace in this Verizon FAQ, although it still doesn't mean you are getting a that great a deal.

Here are the details from the FAQ:

I just purchased a new smartphone during the holiday season, but if I knew that iPhone 4 was going to be available soon I would have waited. What are my options now?

Current Verizon customers who purchased and activated new smartphones, feature phones or certified pre-owned phones between 11/26/2010, and 01/10/2011, are eligible to receive up to a $200 Visa debit card when they purchase an iPhone 4 at full retail price by 02/28/2011 and return their existing phone. Note: This offer is only available on consumer accounts with five lines or less, who are purchasing iPhone 4 through Verizon Wireless retail stores, telesales, or through verizonwireless.com.

That's a narrow band, but Nov. 26 was in fact, Black Friday, so the start date make sense. Of course, $200 still leaves customers footing a large premium: full retail for Verizon’s iPhone 4 is $649.99 for the 16GB version and $749.99 for the 32GB version. A little math shows that those who purchased Verizon phones during the holidays will still be liable for a $250 premium fee on normal charge eligible upgraders and new buyers pay. In addition, you have to give up your current smartphone.

Since the iPhone 5 is due out in the summer during the iPhone's annual refresh, we've already discussed that upgrading to a Verizon iPhone 4 may not be the best deal anyway. Of course, that doesn't help those who opted in during the above window, either.

In addition, you can probably do better on eBay with that brand-spanking new smartphone. Since the iPhone 5 is only a few months away, it might be better to hang onto your current smartphone and wait until then, then go the eBay route. You can probably get more than $200 there, even with additional 5 months of use (if you are gentle).

Oh, and those AT&T iPhone buyers who opted into the device recently despite the same above mentioned warnings? Sorry, there's not much help for you, and you might end up paying far more than a Verizon buyer because of the AT&T ETF fee.

Newly surfaced iPad 2 case shows locations for possible SD card, mini DisplayPort

via AppleInsider

The only real leaks for the iPad 2's form factor have been in the way of iPad 2 cases, and the latest set have emerged. The new cases show what look to be an opening for a new SD Card slot and another that could be a Mini DisplayPort opening.

The case also has an opening for a rear-facing camera, which is reportedly pretty much a done deal, and the SD card slot has been rumored before. The Mini DisplayPort is new news, but when compared to other possibilities, such as a USB port, it's the only one that comes to mind.

It's also been rumored that Apple would add HDMI to the upcoming iPad 2. Since the Mini DisplayPort jacks that Apple includes on its MacBook and desktop Mac products also support HDMI, it would make sense that Apple would add that rather than a "plain old" HDMI port.

Netflix removes 'Add to DVD Queue' button from streaming devices

Netflix made a decision over the weekend that has caused much outcry among its user base. While it seems like a small change, it definitely hurts the end-user experience, making it more difficult for customers, and the reasoning seems somewhat confusing.

Netflix said it was removing the “Add to DVD Queue” option from streaming devices. The is the “Add to DVD Queue” button that appears on the streaming versions of Netflix, such as gaming consoles (PS3, Xbox 360, Wii), mobile devices and set-top boxes, when a movie isn’t available for streaming.

Netflix said the reasons were because:

We’re doing this so we can concentrate on offering you the titles that are available to watch instantly. Further, providing the option to add a DVD to your Queue from a streaming device complicates the instant watching experience and ties up resources that are better used to improve the overall streaming functionality.

It's unclear to many why a simple button complicates the watching experience. The note about resources grates to many who ask, like this comment:

Right. And how many "resources" do these transactions tie up? At least an order of magnitude less than actual streaming. There's something else in play here.

It was difficult, if not impossible, to find a single comment that was positive. One response noted, he didn't want to have to "get up and log into my computer to add it to my queue."

The titles available on Netflix's streaming service are still very limited. Some have accused the company of pushing subscribers away from physical media and to streaming. In November, Netflix announced a lower-cost streaming only-plan, but at the same time raised the prices of most of its DVD plans.

Netflix responded by saying its streaming service works on more than 250 devices, and that it wants to focus on streaming. It's still unclear how many resources are expended by adding a button as its mobile offerings, since 250 devices is not the same as 250 platforms.

It's also clear that 300 comments out of Netflix's entire subscriber base isn't exactly an uprising. However, it's also true that most people don't tend to comment on blog posts by companies.

At any rate, the best thing Netflix can do to calm the anger is to increase the number of titles in its streaming service, and reduce the number that hop from "Available" to "Not Available." If that's what the resources expended are working on, most will end up being just fine with it.

Apple reports records nearly across the board with fiscal Q1 2011 earnings

Apple announced its fiscal Q1 2011 (ended December 25, 2010) earnings on Tuesday, after market close, and the numbers showed records: record profit, record sales, and record revenue. The post earnings conference call with analysts was unusual in one way: a lack of questions about Steve Jobs.

It's possible that analysts were given ground rules on what they could, or could not ask, but it was still rather strange. On the other hand, there were a few somewhat veiled references to the future which implied questioning about Jobs.

At any rate, in terms of actual earnings, Apple's records included record revenue ($26.74 billion), record net quarterly profit ($6 billion, or $6.43 per diluted share).

Those results compare rather nicely year-over-year: in its fiscal Q1 2011, Apple reported revenue of $15.68 billion and net quarterly profit of $3.38 billion, or $3.67 per diluted share. Gross margin was 38.5 percent compared to 40.9 percent in fiscal Q1 2010. International sales accounted for 62 percent of the quarter’s revenue.

More records include the number of Macs sold in the quarter. Apple sold 4.13 million Macs, up 23 percent year-over-year. Meanwhile, there were 16.24 million iPhones sold in the quarter, up an astounding 86 percent year-over-year. iPods continue to lag, with a 7 percent drop year-over-year, to 19.45 million.

In case anyone needs confirmation, the iPad is still a solid hit, with a record 7.33 million iPads sold during the quarter. That number beat the Street's consensus by a million units.

Steve Jobs, who is still Apple's CEO, you will recall, despite his medical leave, wrote the following:

“We had a phenomenal holiday quarter with record Mac, iPhone and iPad sales. We are firing on all cylinders and we’ve got some exciting things in the pipeline for this year including iPhone 4 on Verizon which customers can’t wait to get their hands on.”

In after-hours trading, Apple stock is up to $340.90. With that price, Apple stock has nearly regained all its losses from last Friday, those related to the announcement of Steve Jobs medical leave. Good numbers overcome bad CEO news, it seems.

Apple stock opens 5 percent lower as market digest Jobs' leave; AAPL quarterly earnings report later today

Apple's stock opened at $327.05 per share on Tuesday morning, down more than 5 percent from its close on Friday. Since then, however, the stock has recovered somewhat, and sits at $335.00, or down about 3.9 percent at the time of this writing.



Although the opening numbers meant that Apple lost some $19 billion in market capitalization as a result of what was probably reaction to the announcement that Steve Jobs was taking his second medical leave of absence since 2009, it was expected by most analysts. They also expect that long term, the company will do fine.

What is being seen on Tuesday morning is the public's reaction to the announcement that Jobs, whom many see as man who saved Apple (and the Marketwatch CEO of the Decade), to boot, is again leaving the company for an extended period of time. This time, some speculate, he may retire.

With COO Tim Cook, however, the company is in good hands. When Jobs left in 2009, Cook held the reins, and the company did not miss a beat.  In fact, analysts continue to be upbeat on Apple stock: Goldman's Bill Shope recommended buying on any price weakness, and repeated his 12-month target price of $430 for the stock.

The company appears to have timed its announcement well. Not only did they announce Jobs' medical leave on a U.S. banking holiday, Martin Luther King Jr. Day, after the close of the market today the company will announce its latest quarterly earnings. There is no doubt that Jobs' health will be a focus of the post-announcement conference call.

14-year-old's game ends up atop Apple's free apps list

A 14-year-old's first attempt at coding a game for the iPhone has landed atop the App Store's top free apps list. Since its launch on Dec. 29, Robert Nay's game, Bubble Ball, has been downloaded 1.5 million times.

The game is graphically simple, but that has nothing to do with its being fun (or not). In Bubble Ball, players try to move a ball across the screen using objects such as a stick or a triangle. The objects are wood or metal, and exhibit differing properties based on their material.

To code the game, the eighth-grader used Corona tools from Ansca Mobile. Corona uses Lua as a programming language, and allows programs to be written once for both iOS and Android devices. Bubble Ball hasn't taken off on Android, but that may change with all this publicity (note that there are two Bubble Balls in the Android Market, but look for the one by Nay Games).

Nay plans to add more levels to the free game and eventually add in-app purchases (to actually make some money). His mother, Kari, helped her son by designing most of the game levels. She also handles things such as submitting the apps to the App Store and Android Market. She said, “I do the grown-up stuff for him."

Watch a trailer below.

Wikileaks handed two discs of secret Swiss banking data

Many are awaiting a Wikileaks release regarding a major U.S. bank, widely believed to be Bank of America. In the meantime, however, former Swiss banking employee Rudolf Elmer has handed over two discs worth of data to Wikileaks, containing information about bank accounts of more than 2,000 "prominent individuals."

Elmer has his own whistleblower website, which is where the information came from, and he handed the discs over to Wikileaks chief Julian Assange, publicly, at a press conference on Monday morning. It is up to Wikileaks to vet, and if they deem the information reliable, release it.  Assange said,

"Once we have looked at the data ... there will be full revelation."

The discs could potentially hold information related to possible tax evasion. The people involved could be using the Swiss banking system’s offshore Cayman Islands accounts to avoid paying taxes in their native countries. Yesterday, Elmer told The Observer:

"Once you become part of senior management and gain international experience, as I did, then you are part of the inner circle, and things become much clearer. You are part of the plot. You know what the real products and service are, and why they are so expensive. It should be no surprise that the main product is secrecy ... Crimes are committed and lies spread in order to protect this secrecy."

However, both Wikileaks and Elmer are interested in the flaws in the system, not the individuals involved. Thus, we probably won't be seeing actual names exposed.

While Assange is fighting extradition to Sweden over sexual misconduct chargers, Elmer is facing trial in Switzerland for an earlier data leak. In this case, however, Elmer claimed he did not break any Swiss banking secrecy rules. He indicated that all of the banking information was related to the Cayman Islands, and lay outside Swiss jurisdiction.

You can watch the actual handover below.