Filed under: Web services, Yahoo!, Search

Yahoo! Search will soon be open to 3rd celebration development, and the expected results look very useful.

Yahoo! Search’s new open platform will give site owners much greater control over what’s presented when their page shows up in Yahoo! Search results. Instead of a easy title and an abstract URL, they have the ability to present ratings, reviews, images, etc… to display right in the results.

This will have a mutually beneficial effect for users and site owners: users don’t have to waste unnecessary clicks on a link that might not have the information they’re looking for, and the website owners get more focused, quality traffic.

First responses to the proposed changes are for the most part favorable, though a lot of users are wondering how Yahoo! will keep this system from being abused, i.e. become another tool for those nefarious, moustache-twisting spammers. There’s no word back from Yahoo! on that front.

Yahoo! has yet to implement the new open Search, but their sneak preview is enough to whet our appetites. Kudos to Yahoo! for continuing to move forward in the highly competitive world of on the internet search.

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NewYorkCountryLawyer writes “Prof. Johan Pouwelse of Delft University — one of the world’s foremost experts on the science of P2P file sharing and the very same Prof. Pouwelse who stopped the RIAA’s Netherlands counterpart in its tracks back in 2005 — has submitted an expert witness report characterizing the work of the RIAA’s expert, Dr. Doug Jacobson, as ‘borderline incompetence.’ The report (PDF), filed in UMG v. Lindor, pointed out, among other things, that the steps needed to be taken in a copyright infringement investigation were not taken, that Jacobson’s work lacked ‘in-depth analysis’ and ‘proper scientific scrutiny,’ that Jacobson’s reports were ‘factually erroneous,’ and that they were contradicted by his own deposition testimony. This is the first expert witness report of which we’re aware since the Free Software Foundation announced that it would be coming to the aid of RIAA defendants.”

Read more of this story at Slashdot.

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Filed under: World wide web, Features, Windows, Macintosh, Linux, Windows Mobile, E-mail, Office, Web services, Apple, Google, Microsoft, BlackBerry, iPhone

Have you got an iPhone and a Gmail account? If so, you’re probably using IMAP, and you might not even realize it. What’s IMAP? It’s an email protocol that has been around for many years, but is not almost as well known as its counterpart, POP.

First, the definitions:

POP, or POP3: Post Office Protocol 3, the most commonly used email protocol for retrieving remote email to a local client over a TCP/IP connection.

IMAP, or IMAP4: Internet Message Access Protocol, an email protocol for accessing email on a remote server using a local client over a TCP/IP connection.

While the two definitions seem very similar, take note of the difference. POP is used for retrieving email to the local client, whereas IMAP is used to access email located on a remote server.

When you use POP, your email comes in to you local client, and typically the remote version is purged. There is no concept of multiple clients having identical synchronized versions of your inbox and email folders.

When you use IMAP, your email actually lives on a remote server, and isn’t purged. You can access it with a local client, which downloads a copy of your messages, and synchronizes the contents of your local mail store to that of the server’s. Changes that you make locally are reflected on the server, and if you wanted to you could connect with another device or email client that’s capable of IMAP, and you’ll see exactly the same thing - all of your messages in your inbox and other folders will reflect exactly what’s on the server.

Sounds pretty great, right? Well, yes. Most of us probably have some hardcore geek friend that has been extolling the virtues of IMAP for years, only to have it fall on deaf ears. Most of us have either never had the need for such synchronization, or have not had an IMAP capable mail provider.

Continue reading The Joy and Sorrow of IMAP - Emailers Anonymous

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DustyShadow writes “Slashdot previously discussed the $10,000 bounty (since raised to $15,000) that was put on the identity of the Patent Troll Tracker author by a law firm that represents patent holding ’shell’ companies. After he received a threatening email last week, the author identified himself as Richard Frenkel, a director in Cisco Systems’ intellectual property group. According to law.com, many patent litigators have followed the Troll Tracker closely and are worried that it might now be discontinued. According to the lawyer who offered the bounty, it has not been claimed.”

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An anonymous reader writes “HB407 in Utah would create a child-friendly designation for ISPs that block out a range of prohibited materials. Google, Yahoo, and others are fighting the bill, but Rep. Michael Morley states, ‘I think it’s a positive thing for those who are looking for a site that’s dedicated to fighting pornography.’”

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blake writes “News.com.au reports “The Government’s plan to have internet service providers filter pornography and other internet content deemed inappropriate for kids is going full-steam ahead. […] The trial will evaluate ISP-level world wide web content filters in a controlled environment while filtering content inappropriate for kids.” It all sounds in good taste, and we’re told that you’ll be able to opt out at any time, but will putting this filter in place simply give the powers that be the capability to block access to content for their own agendas. Censorship might be necessary, but should it be overseen by Government.”

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Filed under: Products and services, Industry, Consumer experience, Rants and raves, Competitive strategy, Marketing and advertising

I read another blog recently that ranted and raved about the request record industry companies recently made to World wide web Service Providers to enforce anti-piracy on their servers and networks. The blog was not in favor of that move and I wholly concur that it is not the responsibility of another industry to make up for the problems facing the record industry. True, it would likely be prudent for ISPs to check for anti-piracy issues on their networks, but in the long run it has to be about keeping your own customers and not alienating others with threats against their privacy.

The British government seems poised to deal with the dynamic of this problem directly, after music industry trade groups there asked the government to take action. According to Billboard, the move to fight illegal file-sharing is “intended to ensure the prosperity of the country’s creative industries” by taking legislative action as early as 2009 if the music industry and ISPs don’t find a common ground. Legislators have also vowed to protect privacy in the face of these challenges. Unfortunately, the challenges of ISPs providing anti-piracy clean-up for the music industry does fly in the face of privacy issues, even if that means protecting the act of illegal file-sharing.

The Australian government has also taken a similar stance, but is keen to implement a “three-strike proposal” where illegal file sharers would be issued warnings before a suspension of access and eventual cancellation. Still, the plan would require ISPs to monitor user traffic and infringe on privacy issues, reports Billboard. World wide web industry trade groups in Australia have also defended the position of not adopting these types of policies or “taking responsibility of illegal operations on their networks” because “present legislation already covers copyright infringement, and these should be used against illegal downloaders.”

Whatever your thoughts on the position of the ISPs may be with regard to anti-piracy, this should not be read as advocating that activity. Simply put, it is nearly pathetic for the record industry to anticipate another industry to sacrifice its business practices because music is being illegally traded and shared. As others have pointed out, some responsibility should be taken by ISPs about regulating users who do break copyright law but “ratting” out users to the music industry is not the proper action either.

It is the duty of the record industry to figure out ways to make consumers want to pay for music. Obviously that’s the real crux of these issues, the fact that consumers don’t find value in the music. At least that is the idealistic hope on the part of this writer as to why consumers would illegally trade and share the products. It is obvious that no matter how much freedom the record industry gives digital stores to sell tracks without anti-piracy technology, the tactic is just not working. It’s been a bad year for anti-piracy technology, but that just means a good year for digital stores. While it is hard to see any return from how far things have gone, there’s a solution out there and illegal file sharing is not the answer.

In the end, the solution is also not going to be found by looking to blame other industry’s or even the consumer for not regulating illegal file sharing. ISPs are not responsible for the record industry’s problems. If anything, that industry has providing new markets and avenues of advertising for music, so to be bitten at might not be taken too lightly by ISPs. Consumers should not be illegally sharing, but they shouldn’t distrust their Internet service providers either.

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Filed under: Rumors, Rants and raves, Competitive strategy, JPMorgan Chase (JPM), Comerica Inc (CMA), Wachovia Corp (WB), Washington Mutual (WM), Wells Fargo (WFC)

It has been rumored for the past couple of months or so that J. P. Morgan Chase (NYSE: JPM) has been pondering the acquisition of downtrodden Washington Mutual (NYSE: WM) and may have had some preliminary discussions. I’ve been thinking that Wells Fargo (NYSE: WFC) might have more than a passing interest too.

I’ve had business dealings with all three financial companies, including stock ownership, loans, and multiple bank accounts. We’ve owned JPM stock in the past, but don’t currently. We sold most of our WaMu stock last year but still own it in one account. We’ve never owned Wells, but of the three we would like to get into this one the most, at the right price, of course. I’ve written extensively about all three companies, so it is with more than a passing interest that I was thinking about M&A issues.

Chase and Wells both could make use of WaMu and gain financially but in different ways. Chase has a much more massive need to establish a presence on the West Coast. It has been expanding over time but its branch system is still weak compared to Wells and the other major banks. With its extensive branch system on the West Coast, WaMu would solve that problem fast.

Looking at Wells Fargo, which already has one of the largest foot prints west of the Mississippi, there is no real need for WaMu’s retail outlets. On the other hand, there would be tremendous strategic advantage to WFC if they could prevent JPM from achieving its goals, or at least slowing it down.

In my view, Wells would have one other benefit that Chase does not. While both banks would love to gain Washington Mutual’s customers, Chase would likely keep most of the retail branches and thus incur the cost of converting them. Wells on the other hand could probably shut down two thirds of the branches, sell the real estate and transfer the accounts to its closest branches. Wells has a lot of overlap that Chase does not.

If Wells purchased out leases and sold off the commercial real estate, it would make the acquisition much more profitable. My sources tell me that the only negative would be the bad publicity associated with all the layoffs that would occur during the reorganization. That may be so, but some of those layoffs might occur anyway as WaMu adjusts to its current, lower level of business. Despite the unpleasantries of staff reductions, this too would contribute to WFC’s return on invested capital. This is something that shareholders and analysts alike would want to see.

Other banks like Wachovia Corp. (NYSE: WB) or Comerica Inc. (NYSE: CMA) might take a gander at WaMu for the same reasons as Chase, but I think they’ve enough on their plates already, and are not currently positioned for such a big deal.

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm. He writes the columns Chasing Value and Serious Money. Disclosure: I own shares of WM.

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Filed under: Industry, Competitive strategy, Microsoft (MSFT), Dell (DELL), Hewlett-Packard (HPQ), International Business Machines (IBM)

The server virtualization business is the next big thing in corporate computing as it grants servers to run several programs where before they might have been able to run only one. That allows enterprises to save on hardware costs. The leader in the industry has been VMware (NYSE: VMW), which had its IPO less than a year ago. The company has had red-hot growth rates and is very profitable.

As is true in all things involving software, though, Microsoft (NASDAQ: MSFT) wants a piece of the action [subscription required]. It is about to launch software to compete with VMware. The name of the new product line is Hyper-V.

As VMware gets ready for the challenge from Microsoft, it is forming alliances with IBM (NYSE: IBM), Hewlett-Packard (NYSE: HPQ) and Dell (NASDAQ: DELL) to ship its software pre-installed on some of their servers.

According to The Wall Street Journal, “VMware customers aren’t ready to state they will switch, but seem to welcome the competition.” Microsoft’s new product is bad for VMware no matter how Wall Street wants to slice it. After hitting $125.25 post-IPO, VMW share are now below $59. The company has operating margins of 20% and is still growing at a rapid pace.

Microsoft knows how to enter a market: come in with a good product, tie it to Windows and price the new software to squeeze competitor margins. VMware is in for the fight of its life.

Douglas A McIntyre is an editor at 247wallst.com.

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Filed under: Earnings reports, Consumer experience, Competitive strategy, Home Depot (HD), Lowe’s Cos (LOW), Housing

After home improvement retailer Lowe’s Cos. (NYSE: LOW) posted a 33.4% decline in its fourth-quarter profit yesterday, it was its main competitor Home Depot Inc. (NYSE: HD)’s turn to step up to the plate and impress Wall Street. As Trey Thoelcke discussed, the world’s largest home improvement store chain managed to top estimates only once in the past six quarters, and current earnings numbers weren’t too encouraging either.

Home Depot reported that its quarterly profit slipped more than 27% to $671 million as the slumping U.S. housing market brought the first annual decline for the company’s sales. The retailer posted earnings of 40 cents a share, falling short of analyst estimates for a profit of 43 cents a share.

Looking at revenue, Home Depot saw an increase of 1.5% to $17.66 billion, up from $17.4 billion a year earlier, as the largest U.S. home-improvement retailer benefited from an extra week during the quarter. Excluding that, sales would have dropped 4.7%. Analysts forecast revenues of $18 billion for the quarter, according to Thomson Financial.

Continued consumer fears over the weak housing market and credit crisis put a curb on their spending on building and home goods supplies, resulting in an 8.3% decline in the company’s same-store sales. Average sales ticket also dropped by 2.3% to $54.96, compared with $56.27 a year ago.

Despite posting lower-than-expected earnings, Frank Blake, the company’s Chief Executive, said that Home Depot’s progress on its “key priorities” during the past year “set the foundation for the long term health.” Blake expects a “challenging” environment through 2008 whose pressure could bring a decline of 4% to 5% for total sales, and a loss between 19% and 24% for full year continuing operations earnings. Analysts had forecast a drop of 7% to $2.11 a share for full-year profit.

Effects of the weak housing and credit markets are becoming more an more visible in earnings coming from companies that are directly affected by consumers’ weak appetite for home supplies. Even though Home Depot plans to cut costs by reducing the number of new stores, it isn’t too clear how the company will manage to improve customers’ experience and gain back the lost ground. The obstacles might be even more massive as worries over a possible recession seem to be far from over.

Eliza Popescu is a financial writer for the on the internet investment advisory service Investor’s Observer.

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