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    Thursday, August 13, 2009

    CNN - Guitar, studio wizard Les Paul dies at 94

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    Guitar, studio wizard Les Paul dies at 94


    Les Paul, whose innovations with the electric guitar and studio technology made him one of the most important figures in recorded music, has died, according to a statement from his publicists. Paul was 94.

    Paul died in White Plains, New York, from complications of severe pneumonia, according to the statement.

    Paul was a guitar and electronics mastermind whose creations -- such as multitrack recording, tape delay and the solid-body guitar that bears his name, the Gibson Les Paul -- helped give rise to modern popular music, including rock 'n' roll. No slouch on the guitar himself, he continued playing at clubs into his 90s despite being hampered by arthritis.

    "If you only have two fingers [to work with], you have to think, how will you play that chord?" he told CNN.com in a 2002 phone interview. "So you think of how to replace that chord with several notes, and it gives the illusion of sounding like a chord." iReport.com: Do you play a Les Paul guitar?

    Guitarists mourned the loss Thursday.

    "Les Paul was truly a 'one of a kind.' We owe many of his inventions that made the rock 'n roll sound of today to him, and he was the founding father of modern music," B.B. King said in a statement. "This is a huge loss to the music community and the world. I am honored to have known him."

    Joe Satriani said in a statement: "Les Paul set a standard for musicianship and innovation that remains unsurpassed. He was the original guitar hero and the kindest of souls. Last October I joined him onstage at the Iridium club in [New York], and he was still shredding. He was and still is an inspiration to us all."

    In a statement, Slash said, "Les Paul was a shining example of how full one's life can be; he was so vibrant and full of positive energy."

    Lester William Polfuss was born in Waukesha, Wisconsin, on June 9, 1915. Even as a child he showed an aptitude for tinkering, taking apart electric appliances to see what made them tick.

    "I had to build it, make it and perfect it," Paul said in 2002. He was nicknamed the "Wizard of Waukesha."

    In the 1930s and '40s, he played with the bandleader Fred Waring and several big band singers, including Bing Crosby, Frank Sinatra and the Andrews Sisters, as well as with his own Les Paul Trio. In the early 1950s, he had a handful of huge hits with his then-wife, Mary Ford, such as "How High the Moon" and "Vaya Con Dios."

    His guitar style, heavily influenced by jazzman Django Reinhardt, featured lightning-quick runs and double-time rhythms. In 1948, after being involved in a severe car accident, he asked the doctor to set his arm permanently in a guitar-playing position.

    Paul also credited Crosby for teaching him about timing, phrasing and preparation.

    Crosby "didn't say it, he did it -- one time only. Unless he blew the lyrics, he did one take."

    Paul never stopped tinkering with electronics, and after Crosby gave him an early audiotape recorder, Paul went to work changing it. It eventually led to multitrack recording; on Paul and Ford's hits, he plays many of the guitar parts, and Ford harmonizes with herself. Multitrack recording is now the industry standard.

    But Paul likely will be best remembered for the Gibson Les Paul, a variation on the solid-body guitar he built in the early 1940s -- "The Log" -- and offered to the guitar company.

    "For 10 years, I was a laugh," he told CNN in an interview. "[But I] kept pounding at them and pounding at them saying hey, here's where it's at. Here's where tomorrow, this is it. You can drown out anybody with it. And you can make all these different sounds that you can't do with a regular guitar."

    Gibson, spurred by rival Fender, finally took Paul up on his offer and introduced the model in 1952. It has since become the go-to guitar for such performers as Jimmy Page.

    "The world has lost a truly innovative and exceptional human being today. I cannot imagine life without Les Paul," said Henry Juszkiewicz, chairman and CEO of Gibson Guitar, in a statement. "He would walk into a room and put a smile on anyone's face. His musical charm was extraordinary and his techniques unmatched anywhere in the world."

    Paul is enshrined in the Rock and Roll Hall of Fame, the Grammy Hall of Fame, the Inventors Hall of Fame and the Songwriters Hall of Fame. He is survived by three sons, a daughter, five grandchildren and five great-grandchildren. Until recently he had a standing gig at New York's Iridium Jazz Club, where he would play with a who's who of famed musicians.

    He admired the places guitarists and engineers took his inventions, but he said there was nothing to replace good, old-fashioned elbow grease and soul.

    "I learned a long time ago that one note can go a long way if it's the right one," he said in 2002, "and it will probably whip the guy with 20 notes."

    Wednesday, August 12, 2009

    Reuters - Desperate times bring desperate men to television

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    Desperate times bring desperate men to television

    Wednesday, Aug 12, 2009 7:2PM UTC

    By Jill Serjeant

    LOS ANGELES (Reuters) - Television audiences who thought the ladies of "Desperate Housewives" were troubled haven't seen anything yet.

    When ABC premieres its new sitcom "Hank" during the season that starts in September, the show's out-of-work CEO joins a growing list of American male characters taking extreme measures to cope with recession, unemployment, housing troubles and soaring medical costs.

    "Leading characters are doing things that a generation ago would never have been the activities of the protagonist of a TV show," said Robert Thompson, professor of television and popular culture at Syracuse University.

    "You could argue that when you have lost your job, the last thing in the world you want is to watch TV about people losing their jobs. But as it's a recession, TV executives think people want to see stuff about relevant issues, so they develop these kind of shows," Thompson said.

    On "Hank," Wall Street big shot Hank Pryor (Kelsey Grammer) loses his job, sells his fancy New York apartment, moves to Virginia and must learn to make his own toast.

    He follows in the footsteps of high school basketball coach Ray Drecker on HBO's new series "Hung," who finds himself divorced, broke and homeless, so he reluctantly decides to market himself as a gigolo to keep from having to live in a small tent on the grounds of his burned-down house.

    And then there is chemistry teacher Walt White in critics' darling "Breaking Bad" on AMC, who suffers from terminal cancer and faces massive medical bills, so he uses his chemistry skills to cook up and sell the drug crystal meth.

    LAUGHTER IN TOUGH TIMES

    "I think the story is very relatable in this economic climate where people find themselves without health insurance, without a job, and wondering what they are going to do and how they are going to provide for their family," said actor Bryan Cranston, who won an Emmy for playing Walt after the show's first season last year.

    But being entertainment on television, the shows are not all doom and gloom. Both "Hung" and "Breaking Bad" have elements of dark comedy that transcend their bleak premises, and "Hank" is a traditional 30-minute sitcom starring Grammer of award-winning "Frasier" fame.

    Creator Tucker Cawley said "Hank" was inspired by the failure last year of consumer electronics retailing giant Circuit City, which was for decades a family-run business.

    "We will be touching on riches-to-rags things. But Kelsey's character doesn't look on the new situation as something people should feel sorry about. It's the kind of old-fashioned American optimism with which he views the world which hopefully will be appealing," Cawley said.

    Grammer's character loses his maids, his yacht, his sub-zero fridge and his king-size bed, along with his blissful ignorance about the basic tasks of human existence.

    "These are the kinds of things you can deal with in comedy. A sitcom about a big shot like Kelsey Grammer's character who is now having to make his own toast can really be therapeutic," said pop culture watcher Thompson.

    (Editing by Bob Tourtellotte and Will Dunham)

    Reuters - "The Sims" creator eyes the world beyond games

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    "The Sims" creator eyes the world beyond games

    Thursday, Aug 06, 2009 12:24PM UTC

    By John Gaudiosi

    NEW ORLEANS, Louisiana (Reuters) - Will Wright, the creator behind top-selling videogame "The Sims," is eyeing life outside the virtual world.

    Since leaving Electronic Arts in April to run entertainment think tank "Stupid Fun Club," Wright said he views himself as an "entertainment designer" rather than game maker and wants to create worlds crossing every spectrum of media.

    Following on from his bestsellers like "The Sims 3" and "Spore," Wright is working on new franchises that can go beyond games to the Web, mobile devices, and traditional Hollywood outlets like television and film.

    Wright, 49, said he was fascinating by watching gamers using the editing tools provided with "Spore" to make over 100 million user-generated alien species, space ships and even design games.

    "We're taking the idea that you can have a million people engaged not just in entertainment, but also have them creating huge amounts of content for other people to experience," said Wright.

    "The question is how can you transfer that to other fields besides games," he added, while refusing to divulge the details of the project he is working on.

    In an industry that has more failures than successes, Wright has distinguished himself in the game world by attracting mainstream audiences to his creations.

    "The Sims" franchise has sold over 100 million copies worldwide and it's relationship-focused, non-violent gameplay has attracted an unprecedented female gaming audience -- half of "Sims" players are female.

    EA has already sold over 817,000 copies of "The Sims 3" in the United States since June, according to The NPD Group.

    "Spore" has sold over 1.7 million copies in the United States alone since last year, according to The NPD Group.

    ""The Sims" was always an experiment," said Wright. "We never thought it'd be a mainstream thing. We simply did a game and started adding expansion packs and did a sequel and added more expansion packs."

    Wright said good examples of "cross-media" companies were George Lucas' empire, which runs the gamut from special effects house Industrial Light & Magic to LucasArts and LucasFilm, and the Walt Disney Company.

    Speaking at SIGGRAPH this week, the annual gathering of computer graphics professionals, Wright pointed to J.J. Abrams' "Lost" television show, which has used the Internet, as well as games, to build a story expanding beyond the serialized content.

    Wright, in his first public appearance since parting ways with Electronic Arts in April, said the fusion of technology will enable future entertainment to be more than interactive.

    "Games and stories are generative with one leading to the other," said Wright, who added that games allow people to build models in a virtual world to apply back to the real world.

    "People can learn lessons about the past, present and future in an entertaining way."

    (Editing by Belinda Goldsmith)

    Reuters - Looking for a job? Try LinkedIn or Twitter

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    Looking for a job? Try LinkedIn or Twitter

    Wednesday, Aug 12, 2009 4:2PM UTC

    By Sue Zeidler

    LOS ANGELES (Reuters) - Job-seeking in this 21st century recession may just have gone viral and mobile.

    Since the start of the recession in December 2007, about 6.7 million workers have been laid off according to latest statistics -- at a time the popularity of social networking sites such as Facebook, LinkedIn and Twitter have exploded, drawing millions of users per day.

    As these sites continue to alter social and cultural landscapes, they are also transforming the job search process, enabling more and more people to connect with potential employers, promote their own skills, set up support groups and search for job leads and contacts.

    "Mobile technology and social networking has shifted the whole job search paradigm," said Susan Joyce, editor of Job-Hunt.Org, a site offering online job search tips. "You don't need to stay glued to your phone or computer at home anymore."

    With mobile devices playing a bigger role in the social networking phenomenon, any job hopeful with a Web-connected or smartphone can now compose resumes, view job listings and contact prospective employers on the go.

    Joyce suggests creating a resume through popular networking site LinkedIn -- a business networking site that lets users create a profile, list skills, work history, employment goals and contact details -- is among the more secure ways to compile a resume online.

    It can be done via Research in Motion Ltd's Blackberry device or Apple Inc's iPhone, she added.

    "The LinkedIn Profile is really the resume of the future," Joyce said. "The 'resume' on LinkedIn is really the standard LinkedIn Profile, but it's very popular with recruiters looking for good candidates.

    "You could build your whole LinkedIn presence from any Web-enabled phone."

    There are any number of job-search applications -- downloadable programs for your phone -- available for the iPhone, for instance, including one piloted by recruitment consultancy Harvey Nash. Others pool information on jobs in travel and in education, among other sectors.

    GETTING CREATIVE

    With jobs still scarce, many hopefuls are getting creative about getting noticed. Many have begun using Twitter -- a microblogging service that allows users to send 140-character messages at a time -- to get the word out.

    A career is unlikely to be launched on Twitter alone, but candidates are increasingly "tweeting" or posting messages to outline their skills, experiences and career goals. They are pasting links to their resumes on the micro-blogging service.

    People can also use Twitter to follow recruiters or companies of interest and learn of networking events.

    Job seekers have gotten job leads and tips on networking events that they otherwise would have missed, had it not been for their Twitter or Facebook account.

    "It's really helped in these hard times. You have a much easier time finding job and networking events. And every time I go to one of these events, I add at least one connection," said Nilo Sarraf, who was laid off from Yahoo Inc recently and formed a Silicon Valley online networking group called Layoffs Cafe at www.meetup.com/Layoffs-cafe/.

    Layoffs Cafe is one of several online support groups that have sprung up during the downturn, tipping off job seekers where physical networking events are taking place.

    Chris Hutchins, a former management and business strategy consultant in Silicon Valley, launched LaidOffCamp as the online component to offline events.

    "We focus on organizing events for people who are unemployed," said Hutchins, noting there have been about 11 "LaidOff Camps" set up around the country, drawing anywhere from 100 to 600 participants who attend panels on topics such as how to live on a budget, how to develop a personal brand and how to find a job in the current market.

    "We spent no dollars on marketing. If it weren't for social media and blogs, Laidoff Camp wouldn't exist," he said.

    While candidates these days are taking advantage of to easily access job information, one of the downsides, according to job seekers and employment experts, is managing the data.

    "It can be overwhelming. It's hard to weed out all the information and manage your time," said Sarraf.

    Privacy issues and falling prey to the many recruiting, work-at-home, make-a-million and resume creation software scams are also risks for the unwary.

    "When someone is job hunting, they need to be careful. I know a lot of people who have been hurt by bogus resume companies. People tend to think if its online, its legitimate and when you're doing a resume, people are being asked to provide a lot of personal information, such as where you live and your social security number," she added.

    (Reporting by Sue Zeidler; editing by Edwin Chan and Andre Grenon)

    Reuters - Microsoft, Nokia form alliance to rival RIM

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    Microsoft, Nokia form alliance to rival RIM

    Wednesday, Aug 12, 2009 8:5PM UTC

    By Bill Rigby and Tarmo Virki

    SEATTLE/HELSINKI (Reuters) - Microsoft Corp and Nokia announced an alliance on Wednesday to bring business software to smartphones and counter the dominance of Research in Motion Ltd's BlackBerry.

    The alliance between the world's largest software company and cell phone maker means the latest versions of Microsoft's Office applications, including Word, Excel, PowerPoint and messaging, will be available on a range of Nokia cell phones, which make up 45 percent of the global smartphone market.

    The two companies, at one time fierce rivals in the mobile telecommunications business, expect to offer Nokia phones running Office sometime next year.

    "This is giving some of our competitors -- let's spell it out, RIM -- a run for their money," said Nokia Executive Vice President Robert Andersson, in a telephone interview. "I don't think BlackBerry has seen the kind of competition we can provide them now."

    Research in Motion's BlackBerry created the market for mobile e-mail, and its dominant position in the corporate sector, especially in North America, has protected it from Nokia's attempts to crack the market in recent years.

    "RIM should be reasonably safe in the near-term because Nokia's presence in the U.S. is relatively small," said Neil Mawston from research firm Strategy Analytics. "Partnering more closely with Microsoft will help to raise Nokia's profile in the U.S."

    The alliance also aims to counter Google Inc's recent move into free online software, targeted at Microsoft's business customers, and the growing popularity of Apple Inc's iPhone device.

    "It's clear that Nokia and Microsoft are both facing competitive challenges, most notably from Google," said John Jackson, an analyst at wireless research firm CCS Insight. "It makes sense for these two companies to work together to see if they can pool their competitive strengths to try and counter some of this pressure."

    The alliance means Microsoft's new Office suite of applications could be available to a much wider audience than the users of Windows Mobile phones, which make up 9 percent of the smartphone market.

    "We see this as a great opportunity to deliver Office Mobile to 200 million Nokia smartphone customers," said Takeshi Numoto, an executive at Microsoft's Office business.

    Analysts said Microsoft is clearly looking at the largest possible audience with the Nokia deal.

    "The deal is a good win for Microsoft and it will surely now be hoping to upsell the Microsoft suite of operating systems into Nokia's possible portfolios of smartphones, mobile Internet devices and netbooks over the next couple of years," said Strategy Analytics' Mawston.

    The two companies stressed that the new venture will not affect the future of Microsoft's Windows Mobile and Nokia's Symbian operating systems for smartphones. Executives said Nokia has no plans to make a Windows Mobile device.

    "We are extremely committed to Symbian," said Andersson. "This is very clear. This is a multi-year collaboration building on Symbian. We are as committed as before, if not more," he said.

    Microsoft shares rose 2.1 percent to $23.62 on Nasdaq while Nokia rose less than 1 percent to 9.30 euros in Helsinki. Shares in RIM were 0.5 percent lower in Toronto.

    (Reporting by Bill Rigby in Seattle and Tarmo Virki in Helsinki, editing by Gerald E. McCormick and Robert MacMillan) Keywords: MICROSOFT/NOKIA

    Tuesday, August 11, 2009

    Reuters - Facebook buys social media start-up FriendFeed

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    Facebook buys social media start-up FriendFeed

    Tuesday, Aug 11, 2009 5:25PM UTC

    By Alexei Oreskovic

    SAN FRANCISCO (Reuters) - Facebook, the world's largest social networking site, said it will buy FriendFeed, netting a group of prized ex-Google engineers in the fast-growing Internet business.

    FriendFeed, an up-and-coming social media startup, lets people share content online in real time across various social networks and blogs.

    The service is similar to, though less popular than Twitter, the microblogging site that Facebook tried to buy for $500 million in 2008, according to sources familiar with the matter.

    Terms of the deal were not disclosed on Monday, but Facebook said FriendFeed would operate as it has for the time being as the teams determine long-term plans.

    Facebook's big gain in the acquisition is the engineering talent at FriendFeed, rather than the actual product, which has won critical praise, but lagged in popularity compared to Twitter, said Forrester Research analyst Jeremiah Owyang.

    "These guys know how to build scalable, social applications," said Owyang.

    In a statement, Facebook CEO Mark Zuckerberg said he admired the FriendFeed team for having created a service he described as simple and elegant.

    "As this shows, our culture continues to make Facebook a place where the best engineers come to build things quickly that lots of people will use," said Zuckerberg.

    FriendFeed's four founders are former Google Inc employees who count well known products like Gmail and Google Maps among their accomplishments.

    Facebook said the founders will hold senior roles on its engineering and product teams.

    FriendFeed had talked with Facebook "casually" for a couple of months, and that it became clear that the teams were "cut from the same cloths," FriendFeed co-founder Bret Taylor told Reuters in an interview.

    He declined to say whether FriendFeed had been in talks with other companies.

    One bridge between Facebook and FriendFeed might have been Matt Cohler, Facebook's former management vice president. He joined FriendFeed backer Benchmark Capital last year.

    Asked what role the connection played in the deal, FriendFeed's Taylor said the decision to be acquired by Facebook was made entirely by the team at FriendFeed.

    Facebook has more than 250 million registered users. In May, the social networking company announced a $200 million investment from Russian investor Digital Sky Technologies that pegged the value of its preferred shares at $10 billion.

    Facebook has said its revenue is on track to rise 70 percent this year, and board member Mark Andreessen has said the company will bring in more than $500 million in revenue in 2009.

    But Forrester's Owyang said that Facebook must make the content generated within the site more accessible to the public instead of only to closed networks of Facebook friends, so that the company can sell more ads.

    Earlier this year, Facebook announced changes to its privacy controls to allow people to make their status messages and posts viewable to a broader Internet audience.

    (Reporting by Alexei Oreskovic; Editing Bernard Orr and Robert MacMillan)

    Sunday, August 9, 2009

    Reuters - Be careful what you post online, career counselors warn

    This summary is not available. Please click here to view the post.

    Friday, August 7, 2009

    Reuters - Hacker attacks silence Twitter, slow Facebook

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    Hacker attacks silence Twitter, slow Facebook

    Friday, Aug 07, 2009 6:7AM UTC

    By Alexei Oreskovic

    SAN FRANCISCO (Reuters) - Twitter and Facebook suffered service problems from hacker attacks on Thursday, raising speculation about a coordinated campaign against the world's most popular online social networks.

    The attacks, which came a month after the White House website was targeted in a similar online assault, left millions unable to carry out daily routines that have assumed an increasingly central part of their lives.

    The incidents also underscored the vulnerability of fast-growing Internet social networking sites that have been heralded as powerful new political tools to counter censorship and authoritarianism.

    Twitter, which allows people to broadcast short, 140-character text messages over the Internet, became a key form of communication in Iran amid the protests and clampdown that followed the country's disputed June elections.

    A Facebook executive said Thursday's cyber attacks were aimed at a Georgian blogger with accounts at the various affected sites, according to a report on technology news site CNET.

    In a blog post earlier on Thursday, Twitter co-founder Biz Stone said the company preferred not to speculate about the motivation of the malicious attack that knocked the site offline and made it inaccessible for several hours earlier in the day.

    "Twitter has been working closely with other companies and services affected by what appears to be a single, massively coordinated attack," said Stone.

    Members of Facebook, the world's largest Internet social network with more than 250 million active users, saw delays logging in and posting to their online profiles. Like Twitter, Facebook said the problems appeared to stem from a so-called denial of service attack, a technique in which hackers overwhelm a website's servers with communications requests.

    Once access to Twitter had been restored, many of the site's users posted short messages lamenting the disturbance.

    "now I know Im addicted to Twitter...I wasnt rite all day," Twitter user hotlilNINA posted.

    Speculation swirled on the Internet that other sites, including Google, had also come under attack, after relatively lesser-known site LiveJournal said it, too, had been targeted by hackers on Thursday. But those rumors could not be confirmed.

    Google said in an emailed statement that it was in contact with some non-Google sites that were impacted by Thursday's attacks to help investigate.

    "Google systems prevented substantive impact to our services," the statement said.

    ANTISOCIAL ATTACKS

    Motives for denial-of-service attacks range from political to rabble-rousing to extortion, with criminal groups increasingly threatening to hobble popular websites that don't pay demanded fees, according to security experts.

    In July a wave of similar attacks disrupted access to several high-profile U.S. and South Korean websites, including the White House site. South Korea's spy agency said at the time that North Korea might have been behind the attacks.

    Twitter's newfound fame makes it an easy target for hackers, said Steve Gibson, the president of Internet security research firm Gibson Research Corp.

    The number of worldwide unique visitors to the Twitter website reached 44.5 million in June, up 15-fold year-over- year, according to comScore data.

    Security experts said a single group could have been behind the problems on Twitter, Facebook and the other sites as hackers evolve their ability to attack multiple sites at once.

    "History would tell us that it's probably the same attacker or group of attackers that is launching both attacks," said Kevin Prince, the chief technology officer of security services provider Perimeter eSecurity.

    While there are ways for websites to protect themselves from denial of service attacks, Prince said the defenses were expensive, whereas mounting an attack was a relatively simple feat for hackers.

    Twitter said in a blog post later on Thursday that its site was back up, though it said certain users would experience degraded service while it recovers completely.

    Some Twitter users appeared to be taking the incident in stride.

    "It's just an annoyance. Remember Twitter was down in 2007 and 2008 all the time," said Robert Scobble, a commentator on the technology industry who boasts 93,000 "followers" on Twitter, referring to a period when Twitter's rapid traffic growth occasionally led to several service disruptions.

    For lawyer Zabi Nowald, it was just another day -- Twitter or no Twitter -- as he headed to work in downtown Los Angeles with a laptop in one hand and a Blackberry in the other.

    "None of my friends do Twitter; none of my employers do," said Nowald, 27. "It affects my life zero. I lost something I never had."

    (Additional reporting by Clare Baldwin and Laura Isensee, editing by Edwin Chan, Bernard Orr and Hans Peters)

    Thursday, August 6, 2009

    Reuters - Google bolsters video push with On2 deal

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    Google bolsters video push with On2 deal

    Wednesday, Aug 05, 2009 7:36PM UTC

    By Alexei Oreskovic

    SAN FRANCISCO (Reuters) - Google Inc said it would acquire video compression software maker On2 Technologies Inc for $106.5 million, stepping up efforts to foster the spread of Internet video.

    The stock deal, which represents a 57 percent premium to On2's Tuesday closing price, is Google's first acquisition of a publicly traded company.

    On2's technology shrinks video files, making it easier to send video across the Internet. It has become increasingly important as more people watch and share videos online.

    Google, which bought popular video sharing site YouTube for $1.65 billion in 2006, could use On2's software to drive down the cost of producing and distributing Internet video.

    "As you think about how important video delivery is for Google, controlling the mechanisms for compression is probably a next logical step," said Thomas Weisel Partners analyst Christa Quarles.

    Although YouTube is the top U.S. video site, Google has lost money on it because it costs a lot to stream billions of videos, with only a tiny swathe of them being supported by advertising.

    Google is also expanding into new markets such as handheld electronic devices that use its Android operating system. Last month, the company announced plans to release an operating system for PCs dubbed Chrome OS.

    With On2's video technology, Google could field its own software that allows videos to play on PCs and mobile devices, creating a rival to Microsoft Corp's Windows Media, Apple Inc's QuickTime and Adobe Systems Inc's Flash, analysts said.

    Google could also use the technology to build an application that competes with Skype, the popular Web-based voice and video calling company that parent eBay Inc plans to spin off, Merriman Curhan Ford analyst Richard Fetyko said in a note to investors.

    Adobe and Skype currently license On2 technology.

    By owning On2's video compression technology, Google could avoid paying licensing fees to shrink YouTube videos, which could save the company tens of millions of dollars a year, Fetyko said.

    Shares of Google were off slightly at $451.34 in afternoon Nasdaq trade. Shares of On2, which are traded on the American Stock Exchange, rose to 58 cents on Wednesday.

    DEAL TERMS

    Each outstanding common share of On2 will be converted into 60 cents worth of Google Class A common stock under the deal.

    On2 Technologies was founded in 1992 as the Duck Corporation, but merged with another company in 1999 and became On2. The company has lost money for the past five years and had $16.3 million in revenue in 2008.

    In a blog post announcing the deal on Wednesday, Google said it would not reveal specific product plans until after the deal closes.

    Google does not break out YouTube's financial performance, but analyst estimates of its losses this year range from $174 million to $470 million.

    Google executives said in July that YouTube would be profitable in the near future.

    The main alternative to On2's technology, the H.264 standard, requires companies to pay licensing fees that aren't cheap, Gartner analyst Andrew Frank said.

    While On2 also charges fees, Frank said that Google will have the option to make the software as low-cost and as open as it feels is necessary to make Internet video proliferate.

    Separately, Google has sold its Google Radio Automation business, which created software to automate broadcast radio programing, to privately held WideOrbit Inc.

    (Reporting by Alexei Oreskovic, additional reporting by Franklin Paul in New York; Editing by Leslie Gevirtz)

    Wednesday, August 5, 2009

    Reuters - U.S. military reviews use of Twitter, other sites

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    U.S. military reviews use of Twitter, other sites

    Tuesday, Aug 04, 2009 5:45PM UTC

    By Adam Entous

    WASHINGTON (Reuters) - The Pentagon has ordered a review of its use of social networking sites such as Twitter and Facebook, citing concerns that security could be compromised, officials said on Tuesday.

    Many branches of the military use the popular, public-access sites in an effort to connect with young people, as well as to counter the propaganda of the Taliban and al Qaeda in Afghanistan and Iraq.

    William Lynn, the deputy defense secretary, ordered the department-wide review in a memo to military commanders and service branch chiefs.

    "These tools are proving valuable in areas such as recruitment, public affairs, and quality of life for our military personnel, as well as sharing information with allies, coalition partners and military families," Lynn wrote.

    "However, as with any Internet-based capabilities, there are implementation challenges and operational risks that must be understood and mitigated."

    Lynn asked the Pentagon's chief information officer to present a threat assessment as well as policy guidelines "to ensure the responsible and effective use of emerging Internet-based capabilities" to Defense Secretary Robert Gates by the end of August.

    Lynn said a new policy would be developed by the end of September.

    Pentagon spokesman Bryan Whitman said officials would try to strike a balance between benefits and risks arising from the use of social networking.

    "It does highlight the tension between recognizing these as important ways to communicate ... and yet, on the other hand, the very real security concerns that the people that maintain our networks have with respect to using these sites," he said.

    NO DEPARTMENT-WIDE BAN

    Whitman said the risks could be offset through a combination of technology and training.

    The Pentagon has not issued a department-wide ban on the use of social networking sites, but at least some services and departments have starting clamping down.

    The Marine Corps, which has long prohibited its personnel from using the sites on work computers, issued a formal ban on Monday, said Lieutenant Craig Thomas, a spokesman for the Marines.

    The Marines will allow waivers for "operational needs", such as for investigations, the distribution of news releases and for the recruitment of new personnel.

    Marines can use the sites on their own personal computers.

    Defense Secretary Robert Gates, 65, has said that he wants to utilize social networking to help the Pentagon interact with U.S. military members, many of whom are in their early 20s, and young people worldwide.

    The effort has picked up pace in recent months.

    When the U.S. commander in Afghanistan issued new rules for avoiding civilian casualties last month, they were published first on the Facebook page of U.S. forces in the country.

    The Pentagon's Web site, www.defenselink.mil, features a link to its Facebook page and Twitter feed from its public affairs chief.

    But Pentagon experts have been studying possible risks, such as whether posting to Facebook or Twitter from military computers could open a pathway for hackers.

    (Additional reporting by Andrew Gray, editing by Philip Barbara)

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