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Businesses

Oculus Accused of Destroying Evidence, Zuckerberg To Testify In $2 Billion Lawsuit (arstechnica.com) 121

An anonymous reader quotes a report from Ars Technica: ZeniMax Media, the parent company of both Bethesda Softworks and Id Software, says it will prove at trial that John Carmack and others at Oculus stole trade secrets to "misappropriate" virtual reality technology that was first developed while Carmack was working at Id Software. What's more, ZeniMax is now accusing Oculus of "intentional destruction of evidence to cover up their wrongdoing." Mark Zuckerberg, CEO of Oculus parent company Facebook, is scheduled to respond to those accusations in testimony starting tomorrow, according to a report by Business insider. ZeniMax's statement comes after Carmack testified at trial last week, saying the case was "ridiculous and absurd." His testimony echoed Oculus' initial reaction when ZeniMax's accusations first surfaced in 2014. In court filings leading up to the trial, ZeniMax detailed its case that Carmack, while still an employee at Id Software, "designed the specifications and functionality embodied in the Rift SDK and directed its development." Carmack's technology and guidance allegedly "literally transformed" Oculus founder Palmer Luckey's early Rift prototype from a "primitive virtual reality headset" that was "little more than a display panel." Carmack allegedly used "copyrighted computer code, trade secret information, and technical know-how" from his time at ZeniMax after he moved to Oculus as CTO in 2013. As the trial began last week (as reported by a Law360 summary, registration required), Carmack told the court of his development of a virtual reality demo for Doom 3 in 2012 and his search for a VR headset that would be suitable to run it. That's when he says he got in touch with Luckey, leading to the now legendary E3 2012 demo that introduced Oculus to the public. ZeniMax is seeking $2 billion in damage, which matches the value that Facebook paid for Oculus in 2014. The trial is expected to last three weeks.
Communications

Amazon Seeks FCC Permission To Run Wireless Tests In Washington State (csmonitor.com) 22

Amazon has filed an application with the U.S. federal government that details plans to experiment with wireless communications technology. The application asks the FCC for permission "to test undisclosed prototypes and their related software for five months in and around its Seattle headquarters," reports Christian Science Monitor. "The experiments will involve mobile devices and anchored stations alike, according to an FCC application made public last week and first reported by Business Insider's Eugene Kim, who noted the project could be part of Amazon's drone-delivery initiatives or something even more novel." From the report: In recent years, Google and Facebook have begun conducting wireless experiments of their own with FCC approval, pursuing a number of innovative projects, such as self-driving cars, as Mr. Kim reported. Amazon, meanwhile, has focused on its aspirations of drone delivery service for its online retail business -- a service the firm has pursued in Britain and several other countries as well. Given the company's wide-ranging interests, it is difficult to anticipate precisely what the tests entail. Last year alone, Amazon unveiled projects to change the way people grocery shop, offer drivers a voice-activated driving assistant, and ship cargo with its own branded planes, as the Monitor reported. Amazon's application to the FCC notes that the tests would begin indoors at the Seattle headquarters then later move outdoors to a customer service site more than 220 miles away, in Kennewick, Wash. The tests would last five months, beginning as early as Feb. 11, 2017, the documents state.
Microsoft

Microsoft Patent Hints At Foldable Tablet Design For Surface Phone (trustedreviews.com) 26

A new patent has surfaced from Microsoft that may shed some light on the company's upcoming Surface Phone. The patent, which was first filed in October 2014 and recently made public, details a 2-in-1 foldable device with a flexible hinge that can act both as a smartphone and a tablet. TrustedReviews reports: The device in the filings can be configured into various shapes, either folded out like tablets, or folded back inwards to create a smaller phone-like handset. There's also the opportunity to place it in a tent-mode much like Lenovo's range of Yoga hybrids which can be propped up to make it easier to watch media. Microsoft has taken a universal approach to Windows 10, in that the OS is designed to work across multiple devices, so a Surface Phone that could transform into another mobile product would make a lot of sense in terms of demonstrating Windows 10s capabilities. The inventor of the product in the patent is listed as Kabir Siddiqui, the man behind Microsoft's successful patent for the Surface kickstand and Surface camera angle -- which bodes well for this latest design in the long run. Unfortunately, there's every chance we'll never see this technology in a retail-ready product from Microsoft, though some version of the foldable device could well arrive.
Businesses

South Korea Prosecutors Seek Arrest of Samsung Chief Jay Y Lee For Bribery (cnbc.com) 37

South Korea's special prosecutors' office said it will seek a warrant to arrest the head of Samsung Group, the country's biggest conglomerate, accusing him of paying multi-million dollar bribes to a friend of President Park Geun-hye. From a report: Samsung Group chief Jay Y. Lee was questioned for 22 straight hours last week as investigators probed a corruption scandal that resulted in parliament impeaching Park last month. The special prosecutors' office accused Lee of paying bribes totaling 43 billion won ($36.42 million) to Choi Soon-sil, a friend of the president who is at the center of scandal. Lee, who became the de facto head of the Samsung Group after his father, Lee Kun-hee, suffered a heart attack in 2014, was also accused of embezzlement and perjury in the prosecution's application for an arrest warrant.
The Courts

How A Professional Poker Player Conned a Casino Out of $9.6 Million (washingtonpost.com) 379

Phil Ivey is a professional poker player who's won ten World Series of Poker bracelets -- but he's also got a new game. An anonymous reader write: In 2012, Ivey requested that the Borgata casino let him play baccarat with an assistant named Cheng Yin Sun while using a specific brand of playing cards -- purple Gemaco Borgata playing cards -- and an automatic shuffler. He then proceeded to win $9.6 million over four visits. The pair would rotate certain cards 180 degrees, which allowed them to recognize those cards the next time they passed through the deck. (They were exploiting a minute lack of a symmetry in the pattern on the backs of the cards...)

But last month a U.S. district judge ruled that Ivey and his partner had a "mutual obligation" to the casino, in which their "primary obligation" was to not use cards whose values would be known to them -- and ordered them to return the $9.6 million [PDF]. "What this ruling says is a player is prohibited from combining his skill and intellect and visual acuity to beat the casino at its own game," Ivey's attorney told the AP, adding that the judge's ruling will be appealed.

The judge also ruled Ivey had to return the money he later won playing craps with his winnings from the baccarat game -- though the judge denied the casino's request for restitution over the additional $250,000 worth of goods and services they'd "comped" Ivey during his stay.
Iphone

Apple/Samsung Patent Case Returns To Court To Revisit Infringement Damages (macrumors.com) 79

An anonymous reader quotes MacRumors: The U.S. Court of Appeals for the Federal Circuit on Thursday reopened a longstanding patent lawsuit related to Samsung copying the design of the iPhone nearly six years ago...according to court documents filed electronically this week... Apple's damages were calculated based on Samsung's entire profit from the sale of its infringing Galaxy smartphones, but the Supreme Court ruled it did not have enough info to say whether the amount should be based on the total device, or rather individual components such as the front bezel or the screen. It will now be up to the appeals court to decide.

Apple last month said the lawsuit, ongoing since 2011, has always been about Samsung's "blatant copying" of its ideas, adding that it remains optimistic that the U.S. Court of Appeals will "again send a powerful signal that stealing isn't right."

Privacy

Hackers Corrupt Data For Cloud-Based Medical Marijuana System (bostonglobe.com) 139

Long-time Slashdot reader t0qer writes: I'm the IT director at a medical marijuana dispensary. Last week the point of sales system we were using was hacked... What scares me about this breach is, I have about 30,000 patients in my database alone. If this company has 1,000 more customers like me, even half of that is still 15 million people on a list of people that "Smoke pot"...
" No patient, consumer, or client data was ever extracted or viewed," the company's data directory has said. "The forensic analysis proves that. The data was encrypted -- so it couldn't have been viewed -- and it was never extracted, so nobody has it and could attempt decryption." They're saying it was a "targeted" attack meant to corrupt the data rather than retrieve it, and they're "reconstructing historical data" from backups, though their web site adds that their backup sites were also targeted.

"In response to this attack, all client sites have been migrated to a new, more secure environment," the company's CEO announced on YouTube Saturday, adding that "Keeping our client's data secure has always been our top priority." Last week one industry publication had reported that the outage "has sent 1,000 marijuana retailers in 23 states scrambling to handle everything from sales and inventory management to regulatory compliance issues."
The Internet

Thousands Of Cubans Now Have Internet Access (ap.org) 69

There's been a dramatic change in one of the world's least-connected countries. An anonymous reader quotes the AP: Since the summer of 2015, the Cuban government has opened 240 public Wi-Fi spots in parks and on street corners across the country... The government estimates that 100,000 Cubans connect to the internet daily. A new feature of urban life in Cuba is the sight of people sitting at all hours on street corners or park benches, their faces illuminated by the screen of smartphones connected by applications such as Facebook Messenger to relatives in Miami, Ecuador or other outposts of the Cuban diaspora...

Cuban ingenuity has spread internet far beyond those public places: thousands of people grab the public signals through commercially available repeaters, imported illegally into Cuba and often sold for about $100 -- double the original price. Mounted on rooftops, the repeaters grab the public signals and create a form of home internet increasingly available in private rentals for tourists and cafes and restaurants for Cubans and visitors alike.

The article also points out that last month, for the first time ever, 2,000 Cubans began receiving home internet access.
Transportation

California's Bullet Train Hurtles Towards a Multibillion-Dollar Overrun (latimes.com) 397

schwit1 quotes the Los Angeles Times: California's bullet train could cost taxpayers 50% more than estimated — as much as $3.6 billion more. And that's just for the first 118 miles through the Central Valley, which was supposed to be the easiest part of the route between Los Angeles and San Francisco. A confidential Federal Railroad Administration risk analysis, obtained by the Times, projects that building bridges, viaducts, trenches and track from Merced to Shafter, just north of Bakersfield, could cost $9.5 billion to $10 billion, compared with the original budget of $6.4 billion.

The federal document outlines far-reaching management problems: significant delays in environmental planning, lags in processing invoices for federal grants and continuing failures to acquire needed property. The California High-Speed Rail Authority originally anticipated completing the Central Valley track by this year, but the federal risk analysis estimates that that won't happen until 2024, placing the project seven years behind schedule.

The whole project is expected to cost more than $68 billion.
Government

Amateur Scientists Find New Clue In D.B. Cooper Case, Crowdsource Their Investigation (kare11.com) 132

Six months after the FBI closed the only unsolved air piracy in American aviation history -- after a 45-year investigation -- there's a new clue. An anonymous reader quotes Seattle news station KING: A band of amateur scientists selected by the Seattle FBI to look for clues in the world's most infamous skyjacking may have found new evidence in the 45-year-old case. They're asking for the public's help because of new, potential leads that could link DB Cooper to the Puget Sound aerospace industry in the early 1970s. The scientific team has been analyzing particles removed from the clip-on tie left behind by Cooper after he hijacked a Northwest Orient passenger jet in November 1971. A powerful electron microscope located more than 100,000 particles on old the JCPenny tie. The team has identified particles like Cerium, Strontium Sulfide, and pure titanium.

Tom Kaye, lead researcher for the group calling itself Citizen Sleuths, says the group is intrigued by the finding, because the elements identified were rarely used in 1971, during the time of Cooper's daring leap with a parachute from a passenger jet. One place they were being used was for Boeing's high-tech Super Sonic Transport plane...

Interestingly, it was even a Boeing aircraft that Cooper hijacked, and witnesses say he wasn't nervous on the flight, and seemed familiar with the terrain below.
Security

Student Hacker Faces 10 Years in Prison For Spyware That Hit 16,000 Computers (vice.com) 175

An anonymous reader quotes Motherboard: A 21-year-old from Virginia plead guilty on Friday to writing and selling custom spyware designed to monitor a victim's keystrokes. Zachary Shames, from Great Falls, Virginia, wrote a keylogger, malware designed to record every keystroke on a computer, and sold it to more than 3,000 people who infected more than 16,000 victims with it, according to a press release from the U.S. Department of Justice.

Shames, who appears to be a student at James Madison University, developed the first version of the spyware while he was still a high school student in 2013, "and continued to modify and market the illegal product from his college dorm room," according to the feds... While the feds only vaguely referred to it as "some malicious keylogger software," it appears the spyware was actually called "Limitless Keylogger Pro," according to evidence found by a security researcher who asked to remain anonymous... According to what appears to be Shames Linkedin page, he was an intern for the defense contractor Northrop Grumman from May 2015 until August 2016.

The Department of Justice announced that he'll be sentenced on June 16, and faces a maximum of 10 years in prison.
Privacy

Tor Onion Browser's Creator Explains Free Version For iOS (mike.tig.as) 26

The free iOS version of the Tor browser "sparked a tidal wave of interest" after its release in December, according to Silicon.co. Mickeycaskill writes: The cost has been scrapped due to developer Mike Tigas' worries that the price was limiting access to anonymous browsing for those who need it most. "Given recent events, many believe it's more important than ever to exercise and support freedom of speech, privacy rights, and digital security," Tigas wrote in a blog post. "I think now is as good a time as ever to make Onion Browser more accessible to everyone."
"I'm still a little terrified that I've made this change," Tigas adds. For four years the Tor Onion browser was available on the Apple App Store for $0.99, the lowest non-free price allowed by Apple, providing a "reliable" income to Tigas which helped him move to New York for a new job while allowing him "the economic freedom to continue working on side projects that have a positive impact in the world." Tigas also writes that "there's now a Patreon page and other ways to support the project."

Last month the Tor Project also released the first alpha version of the sandboxed Tor Browser.
Government

Petition With Over 1 Million Signatures Urges President Obama To Pardon Snowden (cnet.com) 269

An anonymous reader quotes a report from CNET: More than 1 million people signed onto a petition asking President Barack Obama to pardon Edward Snowden, proponents of the pardon said Friday. The campaign began in September, when Snowden, his attorney Ben Wizner from the ACLU, and other privacy activists announced they would formally petition Obama for a pardon. Snowden leaked classified NSA documents detailing surveillance programs run by the U.S. and its allies to journalists in 2013, kicking off a heated debate on whether Americans should be willing to sacrifice internet privacy to help the government protect the country from terrorist attacks. Obama and White House representatives have said repeatedly that Snowden must face the charges against him and that he'll be afforded a fair trial. In the U.S., a pardon is "an expression of the president's forgiveness and ordinarily is granted in recognition of the applicant's acceptance of responsibility for the crime and established good conduct for a significant period of time after conviction or completion of sentence," according to the Office of the Pardon Attorney. It does not signify innocence. Also on Friday, David Kaye urged Obama to consider a pardon for Snowden. Kaye, the special rapporteur to the United Nations Human Rights Council on the freedom of expression, said U.S. law doesn't allow Snowden to argue that his disclosures were made for the benefit of the public. The jury would merely be asked to decide whether Snowden stole government secrets and distributed them -- something Snowden himself concedes he did. In response to the petition, Edward Snowden tweeted: "Whether or not this President ends the war on whistleblowers, you've sent a message to history: I feared no one would care. I was wrong."
Businesses

Someone Is Trying to Sell Those Stolen Three-Screen Razer Laptops in China (geek.com) 48

Just a few days ago, Razer's awesome Project Valerie laptops -- the one with three 4K displays -- were stolen. Now it looks like whoever stole them is trying to sell them. From a report: It turns out that the thief (or thieves) didn't just nab one Project Valerie prototype. They actually got ahold of a pair. Razer CEO Min-Liang Tan understandably wants them back, really, really badly. The company was willing to offer $25,000 to anyone who could offer information that led to the prototypes' return. So where did the laptops end up? Somewhere behind the Great Wall, apparently. Whoever has them isn't trying to quietly fence them in some dark Beijing alleyway, either. They've actually been listed on the immensely popular Chinese e-commerce site Taobao -- where they were spotted by writers at Engadget Chinese and Wccftech.
United States

Congress Will Consider Proposal To Raise H-1B Minimum Wage To $100,000 (arstechnica.com) 528

An anonymous reader quotes a report from Ars Technica: President-elect Donald Trump is just a week away from taking office. From the start of his campaign, he has promised big changes to the US immigration system. For both Trump's advisers and members of Congress, the H-1B visa program, which allows many foreign workers to fill technology jobs, is a particular focus. One major change to that system is already under discussion: making it harder for companies to use H-1B workers to replace Americans by simply giving the foreign workers a raise. The "Protect and Grow American Jobs Act," introduced last week by Rep. Darrell Issa, R-Calif. and Scott Peters, D-Calif., would significantly raise the wages of workers who get H-1B visas. If the bill becomes law, the minimum wage paid to H-1B workers would rise to at least $100,000 annually, and be adjusted it for inflation. Right now, the minimum is $60,000. The sponsors say that would go a long way toward fixing some of the abuses of the H-1B program, which critics say is currently used to simply replace American workers with cheaper, foreign workers. In 2013, the top nine companies acquiring H-1B visas were technology outsourcing firms, according to an analysis by a critic of the H-1B program. (The 10th is Microsoft.) The thinking goes that if minimum H-1B salaries are brought closer to what high-skilled tech employment really pays, the economic incentive to use it as a worker-replacement program will drop off. "We need to ensure we can retain the world's best and brightest talent," said Issa in a statement about the bill. "At the same time, we also need to make sure programs are not abused to allow companies to outsource and hire cheap foreign labor from abroad to replace American workers." The H-1B program offers 65,000 visas each fiscal year, with an additional 20,000 reserved for foreign workers who have advanced degrees from US colleges and universities. The visas are awarded by lottery each year. Last year, the government received more than 236,000 applications for those visas.
Advertising

Drone Maker Lily Robotics Faked Promotional Video, Gets Sued For False Advertising and Misleading Business Practices (theregister.co.uk) 38

Dotnaught quotes a report from The Register: Lily Robotics says its decision on Thursday to shut down and return pre-order payments for a never-delivered drone, which came on the same day that San Francisco District Attorney George Gascon charged the company with false advertising and misleading business practices, was purely coincidental. According to a source familiar with the complaint filed against the company, Lily Robotics has known about the DA's investigation for several months. On the strength of a promotional video on YouTube in May 2015, embedded below, Lily Robotics raised more than $34 million in pre-order sales over the course of that year for a drone called Lily Camera. The flying gadget, when built, would be capable of being launched with a throw, following people, and recording them. But after pushing the delivery date back multiple times, Lily Robotics has yet to ship a single drone to its 60,000 prospective customers, according to the lawsuit filed against the company. In theory, Lily Robotics could face a fine of more than a hundred million dollars, depending upon the outcome of a trial, if it comes to that. The company faces potential fines for at least two business code violations subject to a civil penalty of $2,500 per violation, and there are some 60,000 individuals affected. In practice, however, such fines are usually orders of magnitude less, particularly if both sides agree on a settlement. The complaint against Lily, obtained by The Register, alleges that the company knowingly misled customers by creating a promotional video that purported to show video footage captured with a Lily drone prototype. "In fact, none of the video in the Promotional Video was shot by a Lily Camera," the complaint says. "Most notably, the POV footage used in the promotional video was filmed using a professional camera drone called the DJI Inspire." Among the Lily Camera prototypes present at the video shoot, the complaint says, the ones that could actually record video were able to do so because they had Go-Pro cameras mounted on them.
Republicans

Trump's Cyber Security Advisor Rudy Giuliani Runs Ancient, Utterly Hackable Website (theregister.co.uk) 276

mask.of.sanity writes from a report via The Register: U.S. president-elect Donald Trump's freshly minted cyber tsar Rudy Giuliani runs a website so insecure that its content management system is five years out of date, unpatched and is utterly hackable. Giulianisecurity.com, the website for Giuliani's eponymous infosec consultancy firm, runs Joomla! version 3.0, released in 2012, and since found to carry 15 separate vulnerabilities. More bugs and poor secure controls abound. The Register report adds: "Some of those bugs can be potentially exploited by miscreants using basic SQL injection techniques to compromise the server. This seemingly insecure system also has a surprising number of network ports open -- from MySQL and anonymous LDAP to a very out-of-date OpenSSH 4.7 that was released in 2007. It also runs a rather old version of FreeBSD. 'You can probably break into Giuliani's server,' said Robert Graham of Errata Security. 'I know this because other FreeBSD servers in the same data center have already been broken into, tagged by hackers, or are now serving viruses. 'But that doesn't matter. There's nothing on Giuliani's server worth hacking.'"
The Courts

US Appeals Court Revives Antitrust Lawsuit Against Apple (reuters.com) 121

iPhone app purchasers may sue Apple over allegations that the company monopolized the market for iPhone apps by not allowing users to purchase them outside the App Store, leading to higher prices, a U.S. appeals court ruled. From a report on Reuters: The 9th U.S. Circuit Court of Appeals ruling revives a long-simmering legal challenge originally filed in 2012 taking aim at Apple's practice of only allowing iPhones to run apps purchased from its own App Store. A group of iPhone users sued saying the Cupertino, California, company's practice was anticompetitive. Apple had argued that users did not have standing to sue it because they purchased apps from developers, with Apple simply renting out space to those developers. Developers pay a cut of their revenues to Apple in exchange for the right to sell in the App Store.
Earth

US Puts Bumblebee On the Endangered Species List For First Time (npr.org) 128

For the first time for a bumblebee and a bee species in the U.S., the U.S. Fish and Wildlife Service has designated the bumblebee an endangered species. The protected status goes into effect on February 10, and includes requirements for federal protections and the development of a recovery plan. NPR reports: "Today's Endangered Species listing is the best -- and probably last -- hope for the recovery of the rusty patched bumble bee," NRDC Senior Attorney Rebecca Riley said in a statement from the Xerces Society, which advocates for invertebrates. "Bumble bees are dying off, vanishing from our farms, gardens, and parks, where they were once found in great numbers." Large parts of the Eastern and Midwestern United States were once crawling with these bees, Bombus affinis, but the bees have suffered a dramatic decline in the last two decades due to habitat loss and degradation, along with pathogens and pesticides. Indeed, the bee was found in 31 states and Canadian provinces before the mid- to late-1990s, according to the final rule published in the Federal Register. But since 2000, it has been reported in only 13 states and Ontario, Canada. It has seen an 88 percent decline in the number of populations and an 87 percent loss in the amount of territory it inhabits. This means the species is vulnerable to extinction, the rule says, even without further habitat loss or insecticide exposure. Canada designated the species as endangered in 2012.
Privacy

Switzerland Agrees To Its Own New Data Sharing Pact With the US (silicon.co.uk) 15

Mickeycaskill quotes a report from Silicon.co.uk: Switzerland has agreed its own new data transfer agreement with the United States, basing the framework on the deal struck by the European Union (EU) following the invalidation of Safe Harbour. The previous arrangement was invalidated because of concerns about U.S. mass surveillance but Switzerland says the new Swiss-U.S. Privacy Shield will allow Swiss companies to transfer customer data without the need for additional contractual guarantees. The Swiss Federal Council, a seven member executive council that is effectively the head of government in Switzerland, claim citizens will benefit from additional protections and the ability to contact an ombudsman about data issues. Although not part of the EU, Switzerland is a member of the European Economic Area (EEA) and has several bilateral agreements with the EU that sees it adopt many of the bigger bloc's policies. The Federal Council says the alignment between the EU and the Swiss transatlantic data sharing partnerships is good news for multinational organizations.

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