Microsoft's Sidekick debacle brings much-hyped 'cloud' back to Earth

Credit: ZeroOne/ Flickr.

Over the last year, the technology sector has become enamored with the possibilities of the "cloud."

That's the computing paradigm that allows consumers to forget about storing their software and data on local hard drives -- where it can be vulnerable to electrical surges and soft-drink spillage -- and let  companies like Amazon, Google and Microsoft worry about keeping it safe.

But last week, a hole was poked in the cloud's massive hype bubble. Microsoft Corp. and T-Mobile Inc., the respective maker and carrier of the Sidekick mobile device, acknowledged a "service disruption" that cut off most users of the device from large amounts of personal data -- contacts, calendars, personal notes and more -- that were stored in Microsoft's cloud.

Initially pessimistic about their data recovery efforts, the companies on Monday released a more sanguine forecast, saying that "the prospects of recovering some lost content may now be possible." (For close readers, note the number of conditional nouns and verbs in that sentence -- not very confidence-inspiring.) 

But the larger questions may be how this incident will affect attitudes about the dependability of cloud computing, or if it should affect them at all.

In places where the cloud is now on trial -- in Los Angeles City Hall, for one -- decision makers may have one more reason to be suspicious of its many promises. Google Inc., a major proponent of cloud software, is quick to offer a laundry list of advantages -- lower cost, ubiquitous access, no hassle.  But the company spends less time warning of its potential pitfalls.

Though absent in Google's promotional literature, those pitfalls are enumerated at length in the company's regulatory filings, where it must legally disclose risks and liabilities to its shareholders. In a letter last week to City Councilman Bernard C. Parks, John Simpson of advocacy group Consumer Watchdog noted the stark language Google uses to describe the many things that could go wrong with its cloud-based systems:

"Our systems are vulnerable to damage or interruption from earthquakes, terrorist attacks, floods, fires, power loss, telecommunications failures, computer viruses, computer denial of service attacks, or other attempts to harm our systems. Some of our data centers are located in areas with a high risk of major earthquakes. Our data centers are also subject to break-ins, sabotage, and intentional acts of vandalism, and to potential disruptions if the operators of these facilities have financial difficulties. Some of our systems are not fully redundant, and our disaster recovery planning cannot account for all eventualities. The occurrence of a natural disaster, a decision to close a facility we are using without adequate notice for financial reasons, or other unanticipated problems at our data centers could result in lengthy interruptions in our service.”

Of course, if a company is compelled to enumerate every possible risk to its bottom line, it may read like the above parade of nightmares -- when in reality each individual disaster may be exceedingly unlikely. So far, Google is not known for weak security. 

Still, with the Sidekick situation, Microsoft has proved that data disasters do -- and will -- happen.  (Notably, the Redmond, Wash., software maker is vying with Google for the Los Angeles computing contract).  What's less clear is how frequent this type of incident will occur and whether cloud users ought to be actively worried. As with plane crashes, disease outbreaks and shark attacks, a handful of sensational instances may not reflect the risk to the population at large. Moreover, some businesses can learn from errors and reduce the likelihood of a repeat occurrence.

People are willing to tolerate a certain amount of risk -- otherwise they wouldn't be flying, driving, eating spinach or surfing in Malibu. 

But the cloud is new and fragile, kept levitating largely by the trust of its users. To date, serious problems have been relatively rare. But if consumers begin to believe their data is not safe in the hands of certain companies, they'll just pull it out -- and poof!

-- David Sarno

LG's solar-powered e-book may leave Washington and Alaska readers in the dark

It's always sunny is Seoul. Credit: LG.

Pleasing vacation readers everywhere, South Korea's LG Display Co. on Tuesday announced a new e-book reader that comes complete with a 10" solar cell, so that you never again need run out of batteries while reading on the beach in Hawaii. 

Unless, that is, you're in Hilo. That's the gorgeous coastal town on the Big Island that, counterintuitively, is one of the cloudiest cities in the United States. It joins Juneau, Alaska, and Quillayute, Wash., on NOAA's short list of places where the sun shines as little as 30% of the year. 

When you consider cities like Yuma, Ariz., (90% sunlight), Redding, Calif., (88%) and even Los Angeles (73%), it's only fair to wonder if linking the availability of sunlight to literacy might be unfair to those relegated to less sunny climes.   

A cool four to five hours of direct sunlight would improve the device's run-time by about a day, meaning you could go a whole week without plugging it in if all you did on your tropical vacation was sit outside and read.

Sadly, the solar e-book won't be available until at least 2012.  That's because LG considers the 9.6% solar energy conversion rate inadequate and is holding out for something higher, like 14%.

As seen in the photo above, the cell is actually a completely separate panel from the screen -- a configuration that leaves the reader to stare at a rather unexciting black square at all times. But the point here is the potential:  E-books consume so little energy in the first place that a well-placed, efficient solar cell could make a reading device completely self-powered. 

You're on notice, print books:  Soon the only people that will read you will live in Alaska, Hawaii and outside of Seattle.

-- David Sarno

Judge sets November deadline for revised Google book deal

A New York judge overseeing the long-running case in which a group of authors and publishers sued Google over the company's attempt to obtain digital rights to millions of books ruled that the parties must submit a revised settlement agreement to the court by Nov. 9.

The previous agreement was scuttled last month when federal regulators notified the court that the pact may have been vulnerable to antitrust and copyright concerns. The Department of Justice filed an amicus brief after a wave of critics -- including authors, libraries and watchdog groups -- complained that the agreement was unfair.

A plaintiffs lawyer said the sides had been working "around the clock," and that the amended agreement would address the issues raised by the Justice Department, according to the Associated Press.

-- David Sarno

Google teams with Verizon and promises a family of Android mobile devices

Google CEO Eric Schmidt, left, and Verizon CEO Lowell McAdam. Credit: Verizon

In the face of the iPhone's popularity, Verizon Wireless and Google Inc. said they are forming a partnership to create new smart phones using Google's Android operating system and the Internet firm's applications.

Verizon said it expects to unveil two new Google phones this month, but said those initial entries would be just the first part of a "multiyear roadmap."

The partnership of the two technology heavyweights -- the nation's largest wireless network and the online search leader -- comes as the fight for dominance in the mobile smart phone market grows increasingly contentious.

A spat between Google and technology rival Apple Inc. has escalated in recent weeks over Apple's refusal to allow customers to use Google Voice, the company's telephone application, on the popular iPhone. Google told the Federal Communications Commission that Apple rejected the app for competitive reasons, but Apple denied that, saying it is still studying Google's application.

AT&T, the sole wireless carrier for the iPhone, added fuel to the fire last month when it complained to the FCC that Google Voice blocked calls to certain areas, raising the possibility that Google could be in violation of FCC rules.

Verizon Wireless Chief Executive Lowell McAdam told analysts today that the company would support Google Voice. "You either have an open device or not, and this will be open," he said, adding that Google Voice would be available when Verizon's first Google devices come out.

Google Chief Executive Eric Schmidt gave plaudits to Verizon for its willingness to adopt Android, which, unlike Apple's system, is an open development platform over which Verizon would have less control. That decision, Schmidt said, was "enormously surprising given the history and the old-line nature of telcos.

"At Verizon, somehow the leadership has decided to embrace a different philosophy which works very well with the Internet," he said.

-- David Sarno

CNN's new iPhone app takes mobile news to the next level

An exception among the generally innovation-averse old-media crowd, CNN has often shown that it is not afraid to embrace new technologies or, when necessary, to invent some its own.

Continuing that trend, the network and its market-leading website, CNN.com, have released a new iPhone app, a kind of fully loaded Swiss Army knife for news. 

The app's features include old-school written articles, live streaming video, localized traffic and weather, and -- coolest -- the ability for users to upload cellphone photos or video to iReport, the network's online haven for amateur reporting.

That will be the first time CNN has created a direct uplink from a mobile device to its iReport platform, an enhancement that could make it easier for users to transmit the kind of on-the-ground citizen reports that have grown common during high-profile events.

CNN says its video upload and download features will work fine on the open cellular network, where video features are typically pokey.

The application, available for $1.99 and initially hosting in-app advertising from Chevron and Lexus, is definitely testing the bounds of app simplicity, nearly mimicking a full website with the number of features and multimedia options. 

But CNN, with rather unabashed bravado, believes that its users want all that heavy firepower.  The new app "is one of the best user experiences around," said Louis Gump, vice president of CNN Mobile, in a statement, "and will quickly become an essential daily news source for many iPhone and iPod Touch users."

Some of that confidence is earned, of course. CNN.com is still the highest-trafficked news site, and it also owns one of the most followed Twitter accounts. 

The current king of iPhone news apps is, arguably, NPR, which gives unfettered access to archived content from a huge list of radio stations. But CNN's bold move, bringing TV news to the iPhone, could mean a duel for media app dominance is afoot.

-- David Sarno

iPhone screen shots: CNN

Twitter said to be near a deal for $100 million in venture funding

Twitter may be close to locking up a deal for $100 million in new venture funding, a sum that would nearly triple the total venture capital poured into the 3-year-old messaging start-up.

The new investment round, which would include investment firm T. Rowe Price and Insight Venture Partners, according to a report in the Wall Street Journal, would value Twitter at close to $1 billion. 

Twitter did not immediately respond to requests for comment.

Among the most familiar refrains in the social media business is that companies do best to build value and audiences before they focus too heavily on generating revenue. Twitter co-founder Biz Stone reinforced the features-first, money-later approach this week when he said "it'll be awhile" before users see any advertising on Twitter.

Twitter has also said that it will support what it calls "commercial accounts" for businesses, which would offer paying customers more tools for analyzing their Twitter traffic. That feature may arrive by the end of the year.

Twitter's last round of funding came in mid-February, when it collected $35 million from the likes of Institutional Venture Partners and Benchmark Capital. Spark Capital and Amazon.com CEO Jeff Bezos's Bezos Expeditions participated in the round before that. 

In recent days, Twitter has been adding to the slate of sites and services that are allowing users to tweet, including MySpace and AOL's Lifestream platform.

-- David Sarno

Timberlake signs on to co-star in Facebook movie, "The Social Network"

Justin Timberlake. Credit: Chris Pizzello / AP

Did Facebook just get somewhat cooler?   

Variety is reporting that the latest addition to "The Social Network," the early-stage Hollywood movie project that will tell Facebook's origin story, has signed Justin Timberlake to play a principal character.

The actor-singer-Emmy winner is slated to play Sean Parker, a co-founder of Napster (not to be confused with Sean Fanning, the music site's creator) and Facebook's first president. Timberlake will play alongside Jesse Eisenberg ("Adventureland", "The Squid and the Whale"), who will portray Facebook's founding father Mark Zuckerberg, who was 19 when he famously created "The Facebook" in his Harvard dorm room.

The film will apparently concentrate on the vicissitudes of fame and fortune encountered by the young founders, whose meteoric ascent into wealth and pop culture was not always without its hitches. 

The script was written by Aaron Sorkin, a specialist in spinning drama out of often prosaic reality. Facebook's origin story comes with its share of Hollywood's classic elements involved -- money, power, and even betrayal -- but Sorkin and director David Fincher may have to take some liberties with the sex.

-- David Sarno

Google News goes down; company working to fix

Google has acknowledged an outage of Google News, its highly popular news aggregation site. The company said the following about the outage:

Today, starting at about 12:45 p.m. PDT, many users began experiencing difficulties accessing Google News. We are aware of the issue and working to fix it. We know how important Google News is to our users, and we take issues like this very seriously.

The outage comes on the heels of another Google outage earlier this month, when Gmail went down for more than an hour after a system upgrade went awry. The Internet search company operates almost completely via the Web, so down time of any sort creates immediate problems for it because clients and consumers are unable to access affected Google sites and services.

Google News aggregates headlines from hundreds of online news sources, and the company says it said its drives huge numbers of viewers back to those sites. An outage, then, means a major artery to online news sites has been temporarily clogged.

Updated, 2:28 p.m.:  The site is back up. The outage appears to have lasted around 30 minutes or less.

Updated, 3:20 p.m.: Google said the issue has been resolved. According to the company, the outage  lasted a little less than two hours, beginning at 12:25 p.m. and ending at 2:20 p.m. PDT.

-- David Sarno

Facebook retires once-embarrassing Beacon advertising system

Facebook is closing the book on Beacon, an early advertising experiment that got the upstart social network in big trouble with users in 2007. 

Back then, Facebook quietly launched the service, which recorded user activities on non-Facebook sites and then reported them to users' friends. 

In the most famous instance, a Facebook user complained that he had ordered a diamond ring for his wife from Overstock.com and that Facebook had ruined the surprise by reporting the purchase to all his friends -- and his wife, too.

The endeavor quickly turned into what "60 Minutes" called "a full-blown PR disaster ... including petitions and bloggers writing obituaries" for the company. 

In that same "60 Minutes" segment from early 2008, CEO Mark Zuckerberg said that Beacon and the company's advertising plans "might take some work for us to get this exactly right" and that "this is something we think is going to be a really good thing."

But the company is no longer maintaining that position. Beacon, it says, will be shut down as part of a class-action settlement. The suit was filed against Blockbuster and Facebook last year, accusing the video rental company of violating user privacy by disseminating customer rental information to users' Facebook friends -- via Beacon.

In addition to decommissioning Beacon, Facebook will also donate $9.5 million to establish a foundation that will focus on online privacy and safety concerns.

-- David Sarno

Netflix awards $1-million prize to recommendation wizards, announces 2nd contest

It took three years and 40,000 teams from 186 countries, but the $1-million Netflix prize has finally been awarded. 

The competition, first launched in October 2006, asked engineers and scientists around the world to solve what might have seemed like a simple problem: improve Netflix's ability to predict what movies users would like by a modest 10%.

Credit: Paul Sakuma / Associated Press

As it turned out, it took an international brain trust led by a pair of AT&T Labs researchers nearly 36 months to reach that milestone.  The team -- called "BellKor's Pragmatic Chaos" and made up of researchers and computer scientists from the United States, Austria, Canada and Israel -- turned in the winning algorithm less than 30 minutes before the contest's deadline in July. The submission improved Netflix's existing system by 10.06%, just enough to secure the prize.

An explanation of the algorithm by AT&T said their researchers had won the contest by making advances in two technical fields of taste prediction. With "neighborhood modeling," the scientists, including Robert Bell and Chris Volinsky, improved methods for finding films that share certain characteristics. For example, the neighbors of "X2", (The sequel to "X-Men") might be "Spiderman 2" -- another comic book sequel -- or "Wolverine," which also starred Hugh Jackman; or even "Valkyrie," the latest feature film from "X2" director Bryan Singer.

The team's second approach dealt with what the researchers called "latent factors."  These are movie characteristics that are identified mathematically rather than by human evaluation.  In an article in IEEE Spectrum magazine explaining their entry, the team described latent factors this way:

Because the factors are determined automatically by algorithms, they may correspond to hard-to-describe concepts such as quirkiness, or they may not be interpretable by humans at all. ... The model may use 20 to 40 such factors to locate each movie and viewer in a multidimensional space. It then predicts a viewer’s rating of a movie according to the movie’s score on the dimensions that person cares about most.

The capacity to guess user preferences has been a major theme of both artificial intelligence and online retailing for most of this decade. In addition to Netflix, sites such as Amazon.com, Digg.com and the music site Pandora feature oft-used "recommendation engines," and heaps of other sites are in the taste-guessing business as well.

“Right now, we’re driving the Model T version of what is possible," in recommendations, said Netflix Chief Executive Reed Hastings in 2006, when the prize was launched. "We want to build a Ferrari and establishing the Netflix Prize is a first step.”

Knowing that it would take more than a 10% improvement to make a Model T into a Ferrari, Netflix  has already launched a second contest. This time entrants have been asked to predict the tastes of customers who have not taken the time to actually rate movies. Instead, the predictions will be based on demographic information -- age, gender, ZIP Code -- as well as the movies users have rented in the past.  Netflix will award $500,000 to the team that has built the best algorithm after six months, and another $500,000 after 18 months.

-- David Sarno