TomTom Settlement Leads to FAT War

Microsoft and TomTom settled a patent dispute late last month that rang alarm bells among the open source Linux community -- and it still does.

The case began when Microsoft sued TomTom, an Amsterdam-based maker of GPS navigation devices for automobiles, in late February. TomTom then countersued. On March 30, Microsoft announced that the litigation was settled, explaining that the case involved patents on Microsoft's File Allocation Table (FAT) technology.

Microsoft's announcement also included an oblique reference to General Public License Version 2, a GNU open source license that permits the modification and sharing of Linux source code.

"The agreement includes patent coverage for Microsoft's three file management systems patents provided in a manner that is fully compliant with TomTom's obligations under the General Public License Version 2 (GPLv2)," Microsoft's announcement stated.

Under the terms of the settlement, "TomTom will pay Microsoft for coverage under the eight car navigation and file management systems patents in the Microsoft case." In addition, Microsoft gets covered under four patents mentioned in TomTom's countersuit, the announcement explained.

The five-year agreement covers past and future sales of TomTom's U.S. products. TomTom gets no payment from Microsoft and will remove FAT LFN technology within two years from its products.

In the wake of the agreement, The Software Freedom Law Center (SFLC) warned that the open source community likely faces future "patent aggression" from Microsoft, even though GPLv2 wasn't violated in the case.

Others chimed in, including Jim Zemlin, executive director of the nonprofit Linux Foundation, who recommended the removal of FAT by software vendors.

"The Linux Foundation is here to assist interested parties in the technical coordination of removing the FAT filesystem from products that make use of it today," Zemlin wrote in his blog.

TomTom may have settled with Microsoft concerning its FAT patents, but the SFLC saw no reason to do so.

"The FAT file system patents on which Microsoft sued are now and have always been invalid patents in our professional opinion," an SFLC statement explained. "We will act forcefully to protect all users and developers of free software against further intimidation or interference from these patents."


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Microsoft Rolls Out Windows Embedded Services

Microsoft on Monday announced a new services capability that's part of its Windows Embedded Server product line. In addition, the company plans to roll out additional support for developers working on embedded systems.

For original equipment manufacturers (OEMs) and partners, Windows Embedded Server now has a "software plus services" capability. This capability currently works with Microsoft's management products, enabling device diagnostics and maintenance support.

For instance, Microsoft's partners can use the Microsoft System Center Operations Manager solution to monitor Windows-embedded devices. In addition, they can use Microsoft System Center Configuration Manager for remote maintenance of those devices.

The software plus services capability in Windows Embedded Server offers options for Microsoft's partners, and possible revenue streams.

"For a lot of OEMs, the trend is they may want to build system network solutions," said John Doyle, Microsoft's group product manager with the Windows embedded business. "Embedded servers can also be used to store data, which can be used to predict failure times or improve business efficiencies," he added.

For instance, OEM partners can monitor robots using Windows Embedded CE in factories. The monitoring and data collection can be used to help prevent those devices from going down, Doyle explained.

Also on Monday, Microsoft announced two upcoming perks for developers of Windows Embedded Server products -- a new Visual Studio subscription option, along with a new update service.

The subscription option, called "MSDN Embedded for Visual Studio Professional 2008," will be offered in July. It's designed to help developers select the right tools for the job, providing access to Microsoft operating systems and technical support specialized for device-development tasks.

The new Visual Studio subscription option represents Microsoft's shift from delivering a "static toolkit" to device software developers, Doyle explained. Certain Visual Studio subscribers will get the new services automatically.

"If you subscribe and you already have an MSDN subscription above the premium level, then the tools will automatically come available to you in the July time frame," Doyle said.

The second perk for developers is expected to appear in the first half of 2010, when Microsoft plans to roll out a Windows Embedded Developer Update Service. The updates will provide partner technology support, device drivers and board support packages.

"With Windows Embedded Developer Update, we will have a client that will reside on the developer machine," Doyle said. "So within the developer experience using Visual Studio, that [client] will connect up to a cloud, a new Microsoft service, where we will present a catalog of information, which includes partners' or Microsoft's updates, new components or advanced components, and also Microsoft- or partner-certified content."

Developers face making a lot of decisions about technologies when programming for embedded devices, Doyle explained, which is why Microsoft is rolling out these two services.

Microsoft offers a number of embedded operating system products, which are described here.


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No Serious Threat from Conficker on April 1

The most recent variant of the Conficker worm, also known as W32.Downadup.C, is scheduled to update itself April 1. But analysts who have examined the code say it appears to be an upgrade of its defenses rather than an attack by a widespread botnet compromised by the worm.

"There is no reason to believe that April 1 will be any different from any other day," said Kevin Haley, director of Symantec Security Response.

The worm uses an algorithm to generate a pseudo-random list of domains for its command-and-control network, which its infected clients check daily for instructions. Symantec analysts believe that on April 1 the malware will begin using a new algorithm to determine what domains it will contact.

"It now generates 500 domains every day," Haley said. "It's going to do 50,000" with the new algorithm. Because a command-and-control server is a weak spot whose elimination can disable a botnet, the update could make Downadup more difficult to attack. But it does not mean the worm is more likely to attack others.

"This certainly is an issue of concern, but the probability of a major cyber event taking place on April 1 is really not very likely," said Vincent Weafer, vice president of Symantec Security Response. "In reality, the author or authors of Downadup probably didn't intend for this malware to get as much attention as it has."

The current economic model for criminal hacking calls for a low and slow approach that does not draw attention to activities. Although estimates of Downadup infections range as high as 10 million devices, the current size of the network of available computers is probably a couple million, and so far they do not appear to have been put to work as a botnet.

"It's a good-sized network," Haley said. But "we may never see a big bang" from it.

The worm's success and the interest it has generated stem from the combination of tools it uses to spread and protect itself, although none of the tools is unique.

"This is the most technically interesting worm we've seen because of the way it spreads, as well as the communication mechanism, its encryption types and the methods it uses to contact its command-and-control servers," said Andrew Storms, director of security operations at nCircle, a network security automation company.

"It's good at what it does, and it looks like there is some thought and organization behind it," Haley said.

The original W32.Downadup.A exploited only the MS08-067 vulnerability in Microsoft Windows XP Service Pack 2 and Windows Server 2003 Service Pack 1 operating systems, for which Microsoft issued a patch outside its regular monthly patching cycle. The more recent B variant added password guessing and the ability to copy itself to USB drives, giving it a wider dissemination throughout a network once it is inside. The authors of the malware appear to be trying to gather networks' low-hanging fruit.

Its high visibility has made Downadup risky for those who plan to use it.

"This is eerily reminiscent of the major worms of five years or more ago," said Chris Schwartzbauer, senior vice president of worldwide sales and marketing at Shavlik Technologies. The high visibility of worms such as Sasser, Blaster and Code Red prompted networks to protect themselves.

Although the latest Downadup variant could have a more secure communication method, the worm already has the ability to communicate peer-to-peer, and there would be no reason to think it is waiting for April 1 for a major command, Haley said.

The advice of most experts is to stay patched and stay calm. Tools are available to detect and remove the worm, and organizations with up-to-date patches should be safe.

"Most enterprises already are using a patch management process and following industry best practices," Storms said. "They are likely already patched and protected from a Conficker infection."


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Exchange Tool Tests Remote Connections

Microsoft announced an online service for IT pros that enables them to test incoming e-mail traffic to Microsoft Exchange Server.

The tool, called Exchange Server Remote Connectivity Analyzer, was announced last week as a beta version. However, it's apparently been available as a test version since late last year.

The Microsoft Exchange team on Wednesday pointed to the availability of the beta version. The team's blog includes a video that demonstrates how the tool works, which can be accessed here.

The remote analyzer tool helps IT administrators assess server setup problems, particularly when e-mail clients located outside an organization's firewall are having problems trying to connect. While Exchange Server comes with its own test tools, those tools can only test traffic within an organization's firewall.

The Exchange Server Remote Connectivity Analyzer will test incoming e-mail traffic by simulating three client types, including Windows Mobile clients using Exchange ActiveSync, Outlook clients using Outlook Anywhere and clients that use SMTP.

You can run the tests for Windows Mobile and Outlook with autodiscovery turned either on or off.

The beta still has some usability limitations, and it requires certificates for some tests to work, according to the Exchange team blog. The team plans make those improvements in a future version, along with adding new tests for Exchange Web Services, IMAP, Outlook Web Access and POP.

The Exchange Server Remote Connectivity Analyzer tool, nicknamed "ExRCA," can be accessed for free online here.


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IT Is Hiring, But Just Barely

The IT hiring forecast for the coming quarter isn't all doom and gloom, but it's not a bed of roses either. According to IT staffing specialist Robert Half Technology, a net 2 percent of CIOs anticipate adding IT staff in the coming quarter, compared to a net 8 percent increase in Q1. That's the most striking result from the company's latest IT Hiring Index and Skills Report, which -- like its predecessors -- is based on feedback from more than 1,400 North American CIOs.

Fully 83 percent of IT chiefs expect to maintain their staffing levels. Among those who plan staff reductions, most cite IT budget cuts as the culprit.

On the hiring front, IT pros with help desk/technical support and networking skills continue to be most in demand. Desktop support, in particular, is seeing huge demand, outstripping even network administration, which -- for two quarters running -- held the in-demand top spot.

IT chiefs in the U.S. Mountain region say they're most optimistic about adding new staff; approximately 10 percent anticipate doing so. Not all IT chiefs, however, plan to add new employees on a full-time basis. Fully one-fifth expect to hire a mix of both full-time and contract workers, while nearly one-tenth plan to hire just contract workers, according to Robert Half. Add it all up and the IT staffing outlook is a mixed bag.

"Not surprisingly, companies are being more judicious when hiring in today's economic environment," said Dave Willmer, executive director of Robert Half Technology, in a prepared release. It appears that IT chiefs are getting back to the basics: "Budgets must support critical IT projects, and companies are re-examining their staffing needs accordingly. Among the areas where demand remains stable are help desk and technical support, and networking."

In spite of the unprecedented economic climate, a surprising number of IT chiefs expect to add jobs to meet growth demands. One-quarter of CIOs cited business growth as a key catalyst for IT staff expansion, and nearly 10 percent cited planned growth in their internal IT departments. Other drivers include increased workloads and planned system upgrades, both of which were cited by 8 percent of IT chiefs. Among CIOs who plan staff reductions, 40 percent blamed IT budget cuts, while another one-fifth cited the impact of the worsening financial crisis (specifically as it affects either their company or its primary industries).

Finally, Robert Half reports that about 18 percent of CIOs blamed "IT projects being put on hold and companywide layoffs" for planned job cuts.

What accounts for the surge of hiring activity in the Mountain states? Willmer and Robert Half include both intangible business needs and certain very tangible technology requirements. "The need to maximize efficiency and better utilize existing resources is driving hiring in the Mountain states," Willmer said. "Companies are seeking network professionals as well as those with experience in virtualization, .NET and PHP/LAMP development to help build upon or expand current applications."

Both the New England and West North Central regions should be hotbeds for IT job growth, too: IT staffing levels are expected to expand by 5 percent there.


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Despite Criticism, Microsoft Exec Defends Open Source Progress

As critics continue to question Microsoft's commitment to working with the open source community, a key Microsoft official last week argued the company has made significant progress while defending its right to enforce patents. And he made his defense on the open source community's turf: the Open Source Business Conference (OSBC) held in San Francisco.

In a keynote address at OSBC, Robert Youngjohns, Microsoft's president of North America sales and marketing, said skeptics should ignore the company's storied history of open source bashing and focus instead on its newfound commitment to open technologies like the PHP dynamic scripting language and open file formats, as well as its pursuit of interoperability between Windows and Linux.

"You have to judge us by our performance and actions, rather than what we said," Youngjohns said.

Microsoft's work with Zend to make sure that applications written in PHP run well on Windows, as well as its efforts to get its Open XML (OOXML) accepted as a standard document format, are also critical proof points, according to Youngjohns. He said Microsoft's commitment was not "driven by theoretical construct," but by the realities of the market.

"If we can position Windows Server 2008 and our Web stack as the best possible Web stack going forward, then we will do better as a company," he said. "This is driven by that simple commercial imperative and that goes through everything we do right now."

Nonetheless, Youngjohns defended Microsoft's right to protect its intellectual property and patents. "We're not making those licenses onerous," he said. "Many vendors have signed up for those licenses...I believe it's our duty to enforce them, and I make no apology for that."

Still Under Fire
However, Microsoft still continues to come under fire for its actions. Two years ago, Microsoft claimed publicly that Linux and free open source software (FOSS) are violating 235 Microsoft patents. In February, Redmond took what looked to be its first action against an alleged violator, filing suit against auto navigation device maker TomTom over alleged infringement of its U.S. patents by Linux and open source, though the two yesterday announced a settlement.

And standards experts, such as Consortiuminfo.org creator Andrew Updegrove, have argued that Microsoft's efforts to make OOXML a standard were meant to short-circuit the growing popularity of a competing standard, the OpenDocument Format (ODF).

Youngjohns' OSBC keynote came on the heels of Microsoft's publication of a white paper entitled "Participation in a World of Choice: Perspectives on Open Source and Microsoft" (PDF). In it, Microsoft characterized itself as "actively participating in open source." The paper allows that open source products and practices "may in some cases provide healthy competition that challenges us to innovate in new and different ways," and that open source software "may complement Microsoft technologies, or even become a core part of Microsoft product group business and technical strategy."

Furthermore, the paper states Microsoft's intention to support "increasing opportunities for developers to learn and create by combining community-oriented open source with traditional commercial approaches to soft ware development."

So, is Microsoft (through Youngjohns) talking out of both sides of its mouth? В If it is, said Forrester Research analyst Jeffrey Hammond, then so are its chief competitors Oracle, IBM and Red Hat, among others.

"There are many mouths and many opinions at Microsoft," Hammond said, "and it's no wonder that they show some discord in approach. Look at IBM -- Linux everywhere, but an OSS app server like GlassFish would be a bad idea, and MySQL wouldn't do much to help DB2 sales. And Microsoft isn't the first (or the last) company to assert patent rights."

Hammond sees Microsoft's embrace of FOSS as a pragmatic move for a large company in transition. "What I think we're seeing from Microsoft is the realization that by embracing FOSS in segments they don't control, they can force profits to adjacent market sectors," Hammond said. "This explains how they can embrace PHP as a great app framework, provided it runs on Windows -- just as IBM can claim Linux is a great OS, as long as it runs on its hardware or underneath WebSphere."

Challenges Ahead
Microsoft has failed to provide a unified position on open source, said Matthew Aslett, enterprise software analyst at the 451 Group. "Engagement with open source projects have been driven by individual product groups and have sometimes been at odds with public statements made by senior executives," Aslett said, though he added the company's white paper is a sign of progress. "[The white paper] reflects the unification of the company's competitive and engagement marketing organizations. I think its publication is hugely important, as it sets the scene for Microsoft to move forward as a single entity towards more involvement in open source development projects."

Aslett pointed out that Microsoft now supports the Apache Software Foundation and contributes to a number of projects along with PHP, including Qpid, Stonehenge and OpenPegasus. The company is also developing a relationship with the Eclipse Foundation and partnering with the likes of SugarCRM, Red Hat and Sun's MySQL group.

But, Aslett said, patents remain a stumbling block. "Microsoft continues to believe that if its patents are being infringed -- whether by open or closed source products -- it has the right to enforce those patents. The company is well aware that legal claims and an aggressive approach to patents do not do it any favors, however, and I believe that lawsuits will be the route of last resort. It is simply not in Microsoft's business interests to be seen as aggressively targeting open source software with patents."

Microsoft's "new-school" evolution is slow compared to smaller, younger, more nimble companies, said Michael Cote, industry analyst at RedMonk. "The traditionalists in the open source community still balk at the IP and patent 'weapons' Microsoft has, as they do at other patent holders and potential users," he said. "I'm not sure that group...will ever be satisfied with the patent system as it is."


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Spammers Exploiting the Recession

The economic crisis is scaring many people, and spammers are exploiting the fear for all it's worth. Security researchers say that unprecedented economic uncertainty is translating into unprecedented opportunity for purveyors of spam.

"With economic concerns mounting across the globe and intense media coverage of the downtown, it is clear that spammers believe that economic spam is a useful vehicle -- a dark cloud that for them holds a silver lining," said the March 2009 "State of Spam" report from Symantec Corp (available here).

Symantec's monthly "State of Spam" reports provide a breakdown of all spam activity during the previous month. The latest report paints a particularly dismal portrait of spam activity, with spammers tweaking their messaging to better exploit recession-related fear, uncertainty and doubt (FUD).

Spammers don't even have to be particularly creative, said Symantec researchers. In the current climate -- with the world in the midst of the biggest economic panic in 80 years -- FUD-mongering isn't all that difficult, they concluded, citing a sharp uptick in employment-related spam.

"Recipients of these messages are often asked to provide personal information such as first and last name, ZIP code, cell phone number, home phone number, work phone number and age," the report indicated.

Not all FUD-mongering spam is unimaginative, of course. Some spammers are even recasting rejection -- in the form of the classic employment rejection letter -- into opportunity. "[A] spam message has been observed recently which targets one of the downsides to looking for a job -- the rejection letter. In the particular spam message observed, the messages states that 'Unfortunately we have to inform you that your qualifications and experience does not fit the position you applied for,'" said Symantec researchers.

In several cases, this scam uses ostensibly legitimate URL links -- pointing, Symantec said, to well-known headhunting or recruitment firms -- to burnish its air of legitimacy. Recipients are encouraged to double-click on an attachment, which contains a hacktool. "If human curiosity prevails and the recipient opens the attachment, the user's system becomes the subject of an attack from the Hacktool.Spammer malicious virus. Hacktool.Spammer is a program that hackers use to attack mail boxes by flooding them with e-mail. It can be programmed to send many e-mail messages to specific addresses."

Spammers are also using phony e-mail messages purporting to be from the Internal Revenue Service (IRS) -- such attacks typically invite users to submit "Economic Stimulus Payment" forms -- or using e-mails claiming that "Economic Stimulus Grants are now available."

That said, financial spam actually decreased in February, according to Symantec, dropping from 12 percent to 11 percent of all spam activity. On the other hand, all-purpose fraud increased, growing from 4 to 5 percent of all spam activity.

Other spam sectors that saw growth were Internet-related (up 8 percentage points) and leisure-related (up 7 percentage points). The United States continues to lead all other countries in the production and dissemination of spam, accounting for 25 percent of all spam activity in February (that's up 2 percentage points from January); Brazil is second, globally, at 9 percent (down a single percentage point from January); India rounds out the Top 3 at 5 percent (up a single percentage point from January).


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