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Hugh Pickens writes "Nicholas Carr has an interesting analysis of Rupert Murdoch's threat to de-list News Corp's stories from Google and Microsoft's eager offer to make Bing Murdoch's exclusive search engine for its content. Carr writes that newspapers are caught in a classic Prisoner's Dilemma with Google because while Google's search engine 'prevents them from making decent money online — by massively fragmenting traffic, by undermining brand power, and by turning news stories into fungible commodities.' If any single newspaper opts out of Google, their competitors will pick up the traffic they lose. There is only one way that newspapers can break out of the prison — if a critical mass of newspapers opt out of Google's search engine simultaneously, they would suddenly gain substantial market power. Murdoch may have been signaling to other newspapers that 'we'll opt out if you'll opt out,' positioning himself as the would-be ringleader of a massive jailbreak, without actually risking a jailbreak himself. There are signs that Murdoch's signal is working with reports that the publishers of the Denver Post and the Dallas Morning News are now also considering blocking Google. In the meantime, Steve Ballmer is more than happy to play along with Murdoch because although a deal with News Corps would reduce the basic profitability of Microsoft's search business, it would inflict far more damage on Google than on Microsoft."

zmaragdus writes "Facebook Inc. converted its existing stock holdings into different classes of stocks (Class A and Class B) designed to give certain shareholders more power than others. This has been typically done in an IPO of a company's stock to give important people (company founders, for instance) more clout in the actions of the company when stock is first offered to the public. While Facebook maintains that it does not plan to offer stock publicly in the near future, this restructuring is one of the critical steps in doing so."

An anonymous reader writes "The European Union has managed to do something that US Presidents often find difficult: to make 59 US Senators from both sides of the aisle agree on something. A group led by John Kerry (D) and Orrin Hatch (R) has sent a letter to the European Union, asking it to wrap up the investigation of the Oracle-Sun merger and let the deal go through. Interestingly, the letter emphasizes the damage the delay and uncertainty are doing to Sun." The article paraphrases a Gartner analyst, who points out that the Senators' letter "comes from a US point of view and doesn't take into account how the EU operates."

Hugh Pickens writes "The NY Times reports that Amazon and Wal-Mart are waging a price war for the future of online retailing that is spreading through product areas like books, movies, toys, and electronics. The tussle began last month over which company had the lowest prices on the most anticipated new books and DVDs this fall, but has now spread to select video game consoles, mobile phones, even to the humble Easy-Bake Oven. 'It's not about the prices of books and movies anymore. There is a bigger battle being fought,' said Fiona Dias, executive vice president at GSI Commerce, which manages the Web sites of large retailers. 'The price-sniping by Wal-Mart is part of a greater strategic plan. They are just not going to cede their business to Amazon.' Wal-Mart, with $405 billion in sales last year, dominates by offering affordable prices to Middle America in its 4,000 stores, while Amazon, with $20 billion in sales, caters mostly to affluent urbanites who would rather not push around a cart. But Amazon is expanding its slice of the retail pie at an alarming rate — its sales shot up 28 percent in the third quarter of this year; and sales in Amazon's electronics and general merchandise business are up 44 percent. 'We have to put our foot down and refuse to let them grow more powerful,' says Dias. 'I applaud Wal-Mart. It's about time multichannel retailers stood up and refused to let their business go away.'"

1sockchuck writes "Virginia's new state IT system is experiencing downtime in key services because of a mind-boggling oversight: the state apparently neglected to require network backup in a 10-year, $2.3 billion outsourcing deal with Northrop Grumman. The issue is causing serious downtime for state services. This fall the Virginia DMV has suffered 12 system outages spanning a total of more than 100 hours, and downtime hampered the state transportation department when a state of emergency was declared during the Nov. 11 Northeaster."

paltemalte writes "Microsoft and various retailers have teamed up to bring you cashback on purchases made via Bing's price comparison feature. There is a little snag, though — it seems that when you have a Bing cookie living in your browser, some retailers will quote you a higher price than if you come with no Bing cookie in your system."

It seems that a recent survey of global broadband practices by Harvard's Berkman Center at the behest of the FCC has stirred the telecommunications hornet's nest. Both AT&T and Verizon are up in arms about some of the conclusions (except the ones that suggest offering large direct public subsidies). "Harvard's Berkman Center study of global broadband practices, produced at the FCC's request, is an 'embarrassingly slanted econometric analysis that violates professional statistical standards and is insufficiently reliable to provide meaningful guidance,' declares AT&T. The study does nothing but promote the lead author's 'own extreme views,' warns a response from Verizon Wireless. Most importantly, it 'should not be relied upon by the FCC in formulating a National Broadband Plan,' concludes the United States Telecom Association. Reviewing the slew of criticisms, Berkman's blog wryly notes that the report seems to have been 'a mini stimulus act for telecommunications lawyers and consultants.'"

theodp writes "In May, the USPTO rejected Amazon.com's patent claims (PDF) for its Method and System for Placing a Purchase Order Via a Communications Network (a 1-Click spin-off). At the time, a USPTO Examiner cited Bilski, explaining that elements of CEO Jeff Bezos' gift-delivery invention 'may be performed largely within the human mind,' coming to essentially the same conclusion a NY Post reporter arrived at in 2002. But Amazon's attorneys have worked their legal wordsmithing magic (PDF), convincing the USPTO that 'obtaining delivery information for a gift from one or more information sources other than the gift giver and recipient' is indeed novel and patentable. A Notice of Allowance for the patent was mailed to Amazon on November 17th, just in time for Holiday Season injunction-giving!"

eldavojohn writes "If you think the iPhone app store is the only mobile game store suffering an exodus, some game publishers claim Android's app store isn't much better, for a different reason — it doesn't generate much revenue. In fact, French game developer Gameloft (which owes 13% of its profits to iPhone game sales), said, 'We have significantly cut our investment in Android platform, just like... many others. It is not as neatly done as on the iPhone. Google has not been very good to entice customers to actually buy products. On Android nobody is making significant revenue. We are selling 400 times more games on iPhone than on Android.' So the trade-off seems to be more sales but an annoying approval process, versus a lack of sales promotions and no annoyance around approval. It seems that those in it for money will opt for iPhone, and those in it for distribution will opt for Android. Or maybe someone will get it right one of these days?"

lbalbalba writes "Electronic Arts is shutting down its Westwood-based game developer Pandemic Studios just two years after acquiring it, putting nearly 200 people out of work. 'The struggling video game publisher informed employees Tuesday morning that it was closing the studio as part of a recently announced plan to eliminate 1,500 jobs, or 16% of its global workforce. Pandemic has about 220 employees, but an EA spokesman said that a core team, estimated by two people close to the studio to be about 25, will be integrated into the publisher's other Los Angeles studio, in Playa Vista.' An ex-developer for Pandemic attributed the studio's struggles to poor decisions from the management."

wiedzmin writes "Facebook's Joe Hewitt, Second Gear's Justin Williams, the long-time Mac software developer known as 'Rogue Amoeba' and other respected App Store developers have recently decided to discontinue their work on the platform, citing their frustration with Apple's opaque approval process. Continued issues with erroneous and snap rejections of applications and APIs are prompting more and more developers to shun the platform entirely. Though there are tens of thousands of other developers who have pumped out over 100,000 apps for the platform, continued migration away from iPhone development will most likely result in lower quality software."

VC Bill Gurley has up an insightful piece on the strategy behind Google's releasing turn-by-turn mapping for free. He calls it the "Less Than Free" business model, and it is beyond disruptive. On the day that Google announced its new service, the stock in the two companies that had controlled the market for map data, Garmin and TomTom, dropped by 16% and 21%, respectively. (Those companies had bought Google's erstwhile map-data suppliers, Tele Atlas and NavTeq, in 2007.) "When I asked a mobile industry veteran why carriers were so willing to dance with Google, a company they once feared, he suggested that Google was the 'lesser of two evils.' With Blackberry and iPhone grabbing more and more subs, the carriers were losing control of the customer UI... With Android, carriers could re-claim their customer 'deck.' Additionally, because Google has created an open source version of Android, carriers believe they have an 'out' if they part ways with Google in the future. I then asked my friend, 'So why would they ever use the Google (non open source) license version?' ... Here was the big punch line — because Google will give you ad splits on search if you use that version! That's right; Google will pay you to use their mobile OS. I like to call this the 'less than free' business model. This is a remarkable card to play. Because of its dominance in search, Google has ad rates that blow away the competition. To compete at an equally 'less than free' price point, Symbian or Windows Mobile would need to subsidize." Gurley speculates that the company may broaden "less than free" to include the Google Chrome OS.

theodp writes "Over at the Center on Budget and Policy Priorities, Michael Mazerov carefully picks apart Amazon's arguments against collecting sales taxes, arguing that they simply do not withstand scrutiny. While Amazon officials say collecting sales tax in every state would be excessively burdensome, Mazerov notes the e-tailer already collects sales tax in virtually every state for numerous other companies that sell on its website. Mazerov also finds it disingenuous for Amazon to argue that it should not have to help support public services in states in which it has no physical presence when the company fails to support public services in most of the states in which it does have a physical presence. Finally, Mazerov isn't buying Amazon's argument that its opposition to collecting sales tax is not driven by a desire to gain a price advantage over competitors, which he finds at odds with the company's own actions and SEC filings. By claiming sales-tax immunity, says Mazerov, Amazon has enjoyed an unfair 5%-10% price advantage over local retailers, while also depriving states and localities of hundreds of millions of dollars of legally due revenue each year."

CNet reports on hearings scheduled to open tomorrow in the US Senate on mysterious charges on thousands of consumers' credit cards. The Senate Committee on Commerce, Science and Transportation has been investigating online loyalty programs, which shoppers encounter (often with little comprehension) on the sites of online retailers such as as Continental Airlines, FTD, and Classmates.com. "At the center of the federal probe are Webloyalty, Affinion, and Vertrue, companies that make 'cash-back' and coupon offers to consumers and charge them monthly fees to enroll in their loyalty programs. ... In August, as the government's investigation rolled on, Webloyalty announced that it would alter its ads to require that consumers 'enter the last four digits of their credit or debit card to confirm' they wish to pay the membership fees. Last week, Affinion made similar changes. During the hearing, when the Senate committee is expected to make public the results of a six-month investigation, it will also likely say the alterations made by Webloyalty and Affinion don't go far enough. "

RobGoldsmith sends in a Space Fellowship piece (which seems to be a press release) about New Zealand's entry into the space age. "Private New Zealand aerospace company Rocket Lab completed its final ground-based test today and is now ready to launch New Zealand into the space race with its Atea-1 launch vehicle. The first high-altitude launch of Atea-1 is scheduled for the end of November this year. Once Atea-1 has successfully concluded the development phase it will be the first privately built rocket launched from the Southern Hemisphere to enter space. The article features a new CGI movie on the launch."

IraLaefsky writes "The appropriately titled Becoming Agile: In An Imperfect World by Greg Smith and Ahmed Sidky offers a realistic path to the family of Agile practices which have become prevalent in software development in the last few years. This family of approaches to software development has been widely adopted in the past decade to replace the traditional Waterfall Model of software development, described in a 1970 article by Winston W. Royce 'Managing the Development of Large Software Systems.' The Waterfall Model stressed rigid functional and design specification of the program(s) to be constructed in advance of any code development. While the this methodology and other early formal tools for Software Engineering were infinitely preferable to the chaos and ad-hoc programming-without-design practices of early systems, these first tools ignored the fallibility of initial interviews used to construct initial design and often resulted in massive time and cost overruns." Read below for the rest of IraLaefsky's review.

Rexdude writes "Apple has filed a patent that forces users to interact with an ad. FTFA: 'Its distinctive feature is a design that doesn't simply invite a user to pay attention to an ad — it also compels attention. The technology can freeze the device until the user clicks a button or answers a test question to demonstrate that he or she has dutifully noticed the commercial message. Because this technology would be embedded in the innermost core of the device, the ads could appear on the screen at any time, no matter what one is doing.'" We've been following this story for awhile now but it seems to have broken into the mainstream.

jammag writes "Some developers have gone to four-year universities, where they've also studied subjects like history and sociology, while other coders go to vocational schools and focus purely on writing great software. So why, asks a longtime developer, is there a stigma attached to not having a four-year degree, when 'blue collar' coders might be better trained? Why does the software industry keep emphasizing this difference — and generally giving better pay to four-year grads? Isn't being a developer about real skill level, not the piece of paper on the wall?"

URL shorteners are problematical, as everybody knows, but with the rise of Twitter and its ilk they seem to be a necessary part of the landscape. Some of the biggest questions around services such as bit.ly, TinyURL, and is.gd is what happens when they go out of business (as tr.im did last August). Now a group of such companies, organized under the auspices of the Internet Archive, has formed a non-profit entity to hold URL-shortening databases in escrow, with the intent of continuing to resolve a member company's links should it get out of the business. At announcement, the 301Works organization has 21 URL-shortener members, including the largest, bit.ly. Many others are not (yet) on board. The members have agreed to cede control of their domain names to 301Works.org should they exit the field, and to back up their URL mappings regularly to the organization.

An anonymous reader sends in this moderately disturbing quote from Gizmodo: "I'm touching a wet slab of protein, what feels like a paper-thin slice of bologna. It's supple, slimy, but unlike meat, if you were to slice it down the center today, tomorrow the wound would heal. It's factory-grown living tissue. The company behind the living, petri-dish-grown substance known as Apligraf hates my new name for it: meat band-aid. 'It's living,' Dr. Damien Bates, Chief Medical Officer at Organogenesis, corrects me. 'Meat isn't living.' But no one argues with me that this substance is really just a band-aid. A living, $1500 band-aid, I should say. Apligraf is a matrix of cow collagen, human fibroblasts and keratinocyte stem cells (from discarded circumcisions), that, when applied to chronic wounds (particularly nasty problems like diabetic sores), can seed healing and regeneration. But Organogenesis is not interested in creating boutique organs for proof of concept scientific advancement. They're a business in the business of mass tissue manufacturing — and the first of its kind."