February 1 - 7, 1999

from the Up-To-Date dept

Please note, this week's Up-To-Date is simply a "dramatization" of a newsletter. A real newsletter will be produced next week under the watchful eye of both government and Microsoft lawyers.
Up-To-Date�
---------------------------------------------------------------�
The not always serious,�
not always weekly update
on the High-Tech Industry
February 22nd - February 28th, 1999
---------------------------------------------------------------�
Please note, this week�s Up-To-Date is simply a�
���������� �dramatization� of a newsletter.� A real newsletter
���������� will be produced next week under the watchful eye
������������� of both government and Microsoft lawyers.

� --------------�
� Contest�
� --------------�
� Two of my favorite high tech CEOs sounded off on what should happen to
� Microsoft.� Scott McNealy is against splitting up MS into "Baby Bills", but
� his buddy Larry Ellison has a more innovative solution.� He suggests
� splitting MS in half: Steve Ballmer runs one half and Bill Gates leads the
� other half.� Then, let the battle begin.� This is a pretty creative solution,
� which brings up Up-To-Date's first ever contest: can you come up with a
� more innovative/creative solution on what should be done with Microsoft?�
� This does not have to be plausible, just creative.� Assuming any of you
� actually enter, I will probably post the winning answers (if there are any) in
� two week's time.� Being that this is a not-for-profit (hell, not for anything)
� operation, I have nothing to give out except getting your name and idea
� published here.� Lame?� Yes.� Do I care?� Not really... Send contest entries
� to ms@techdirt.com.�

� --------------------�
� Say that again...�
� --------------------�
� "This is sick. This reeks of greed. Boy, these lawyers are sticking up for
� their own, aren't they? I don't think they're representing you or me."�
� - Ann Stephens, President of PC Data, on the Texas judge's decision to ban
� legal software such as Quicken Family Lawyer because it amounts to the
� "unauthorized practice of law".�

� "It should be understood by those skilled in the art that a Web browser,
� such as Netscape Navigator or Internet Explorer ... is separate from the
� operating system."��
� - Microsoft�s patent lawyers in a 1998 patent application.� Aren�t lawyers
� wonderful?�

� "It's like handing out speeding tickets at the Indy 500. You can pull over
� whoever you want to."�
� - Bill Burnham, Credit Suisse First Boston, on picking on E*Trade for its
� outages...��

� "I think I will ask my lawyer about that tomorrow."�
� - William Tucker, founder of The Elevator, a Garage.com wannabe, when
� asked about the fact that his site may violate SEC rules, by not
� pre-screening investors.�

� "My first impression of the deal was almost no impression at all."�
� - Scott Smith, director of Internet business strategies at Current Analysis on
� the AOL MovieFone deal.�

� ------------------------------------------�
� Earnings Reports, IPOs and the like�
� ------------------------------------------�
� Apple cutting jobs in Ireland (that�s what happens when you post nice
� earnings that are based solely on cost cutting � to do it again, you have to
� keep cutting)... Oracle, appearing a week late in the split announcement
� business, plans a 3-for-2 stock split... Later on in the week, Oracle Japan
� had its IPO, making it the highest valued stock on Japan�s over-the-counter
� market... Sprint PC lost over half a billion dollars in their last quarter as they
� prepare to go public... More IPO madness: Perot Systems had their
� impressive debut, as did ModemMedia.PoppeTyson or whatever it they�re
� called.� The most impressive, though, was Pacific Internet, a Singapore
� based ISP that priced at $17, opened at $88 and spent the rest of the
� dropping to about $48 (and without the obligatory .com!)... Cisco beats
� estimates as its revenues shoot up (but investors are pissed off that they�re
� not splitting the stock)... Qualcomm has decided to lay off almost 700
� people, and �reassign� another 250... Intel to sell over 300,000 shares of
� Broadcast.com... Lots and lots of problems at AMD (has this company ever
� had a good reputation?)... CompUSA earnings less than half of last year�s,
� as they announce (ooh, how original) plans to spin off their online unit... N2K
� beats estimates, but is still losing a ton of money... Infospace.com beats
� estimates, but is still losing a ton of money... Paul Allen invests $104
� million in Ziff-Davis (is there anything he hasn�t invested in?)... Mellon Bank
� has bought nearly 6.5% of Apple Computer... Microsoft planning a
� reorganization to place more focus on the Internet... NetObjects files to go
� public...��

� ------------------------------------------------�
� Rumors, Conspiracies etc. of the week...�
� ------------------------------------------------�
� Microsoft's plans to bring together its 9x and NT architecture further off than
� originally thought.� Expect at least one more consumer Windows not based
� on NT (suggesting that NT 5.0 is more screwed up than we already
� assume?)... Okay, would this one just happen already: NBC to buy 25% of
� Lycos and merge Snap! into Lycos (this has been over reported)... Of
� course, this puts the Yahoo! to buy CNet rumor into a different perspective,
� but who knows... Dell has recently registered dellauction.com... MTV Online
� is planning on buying Imagine Radio (after talks fell through with
� Spinner.com)... Compaq putting desktop AMD chips into portables (wonder
� why that laptop�s on fire?� Now you know)... @Home is still looking into the
� idea of buying Road Runner (buy the competition while they�re cheap, and
� your stock is over inflated.� What could possibly go wrong?)...��

� ----------------------------------------�
� News you should have read elsewhere�
� ----------------------------------------�
� AT&T in a deal with Time Warner to offer telephone service over coax...
� Microsoft admits to making a "dramatization" instead of an evidentiary video
� (say what?)... AOL bought MovieFone, leading to painful jokes about
� combining two of the world's most famous voices... E*Trade gives the world
� a little lesson on testing your software upgrades before you release them
� (three days of outages, pissed off investors, and E*Trade�s fairly obnoxious
� replies has many investors looking for other ways to piss away their
� money)... AT&T doesn�t have to open up its high speed Internet network to
� greedy other companies (go build your own, dammit)... MCIWorldcom jumps
� back into the Internet space by teaming with CompuServe (so when do we
� get the big merger of MCIWorldcom/AOL/Netscape/CompuServe?)... US
� Department of Commerce and the FTC to track e-commerce in their monthly
� economic indicators...��

� --------------------------�
� News you could do without�
� --------------------------�
� ICG dumps off the Canadian bit of Netcom (as if this matters)...
� TheGlobe.com buys Azazz.com (the online department store you probably
� never heard of) for plenty of inflated stock... Seems as though CDA II (aka
� COPA) is doing a repeat of CDA I... Sony and Intel, along with Amerindo
� Investment Advisors dumps $12 million into Spinner.com... TV Guide Online
� relaunches again (again)... CNet buys little known NetVenture's for their
� ShopBuilder technology... Network Solutions makes a deal with Netcom so
� that Netcom can sell domain names (yes, this is the same Netcom that
� doesn't really exist any more)... Apparently TV advertising wasn�t the only
� place that made big money during the Superbowl: SportsLine raked in
� nearly a million dollars in sponsorships for their coverage of the game...
� eBay continues to shell out cash to Netscape to be a �distinguished�
� provider on Netcenter (�distinguished� meaning what exactly?)... CDNow is
� giving its one-millionth customer a free CD each day for a year... OnSale
� reaches its one-millionth registered user (but did they give them
� anything?)... Amazon.com admits that they�re not even *trying* to become
� profitable (yet)... Eolas Technologies is suing Microsoft for patent
� infringement for making �plug-ins� and �applets� (I sense quite the uphill
� battle)... Auctioning off eBay�s �Cool Shopping Site of the Year� award
� (which they couldn�t be bothered with picking up) on eBay (Todd Levin gets
� an A for concept, but a C on execution � besides, how many of those bids
� do you think are from his friends?)... First USA to pay AOL $500 million
� dollars for an advertising/co-branding partnership (um... no, it can�t be worth
� that much)... Borders.com has become the exclusive bookseller for go.com
� (wow, two sites that no one visits have found each other)... GoodNoise feels
� the pressure of the Harry Fox Agency and will start making royalty
� payments for downloaded music (and reels in Rykodisc to provide
� content)... Intel to work with Analog Devices on DSPs... Yahoo! to create
� co-branded home pages for members of Gateway.net (while I understand
� that people are lazy, and unlikely to change their default home page, I still
� don�t see how this is that big of a deal)... FAO Schwarz�s web site
� accidentally displays personal info about customers... Sony doesn�t get its
� temporary restraining order against Connectix for its Playstation emulator...
� Companies don�t feel Priceline deserves a patent for its reverse auction
� business model... Intel is pissed off that computer manufacturers are
� already selling Pentium III based machines (get over it)...��

� ------------�
� Surprises:�
� ------------�
� Lycos decides to get into the MP3 portal business (and faster than you can
� download a song, the fun folks at the RIAA freak out - but it's okay now,
� because Lycos will only point to "legal" MP3 sites)... Macintoshes, which
� claim to be Y2K compliant, are only partially so: apparently after next year it
� will interpret many two-digit dates as starting with 20.� Thus, those files you
� saved from 1995, are really waiting to be created in 2095... Qwest beats out
� AT&T, Sprint and GTE to upgrade the Treasury Department�s
� communication infrastructure... Lycos to tie in Open Market�s ShopSite to
� their e-commerce infrastructure (Massachusetts based companies have to
� stick together, apparently)... Government lawyer in the MS trial so
� unaccustomed to techno-speak that he pronounced �log-in� as �lojun�... Yes,
� it was only a week ago that AT&T WorldNet was having trouble handling
� their load of users.� Yet, this week they�re ranked the top ISP in the country
� by PC World (they say the Internet world changes quickly, but, that�s a little
� too crazy)... Sierra actually recalls NFL Football Pro 99 and offers a full
� refund, apologizing for releasing a game that�s �too buggy� (now, you know
� there�s a company that has no former Microsoft folks near the top)... Every
� time you try to like Microsoft (and, believe it or not, I sometimes do try),
� they do something like telling all their employees to fake posts to online
� forums rooting for Microsoft... Microsoft wins a patent for stylesheets? (No, I
� don�t know what the patent office was smoking)...��

� -------------------------------�
� (Mis)Uses of Technology:�
� -------------------------------�
� Building Audible's technology into WinCE machines (yet another weird
� attempt at taking on MP3)... Divx hacks (do we care that much?)... Intel and
� Mattel to work together to create new toys (but will they fight with
� Microsoft's Barney?)... Bell Atlantic and IBM to create �smart homes�
� (having once lived in Bell Atlantic territory, I can safely suggest *not* being a
� part of the beta tests for this)... My Ticketmaster (and the fact that it took
� them nearly a year and a half to actually implement the 360 degree photos
� of event venues)... MIT�s Sloan School creating an Internet Time Capsule to
� record the state of the Internet for five years (as if any of us would like to go
� back 5 years and relive the fun of gopher?)... It�s been so long since my
� weekly Mir jokes: but this week they attempted use a giant mirror to shine
� reflected light on the earth (sound like the plan of an evil genius in some bad
� movie?).� Of course, in typical Mir fashion, nothing worked, and the whole
� thing was aborted (keep up the good work, guys!)... Hearme.com discovers
� the wonders of party lines on the Internet... Starbucks to start opening up
� Internet cafes (but will they give confusing names to normal internet
� functions so we�ll be even more confused?)... PalmPilots being used in
� British supermarkets for personalized shopping lists...��

� ----------�
� Studies:�
� ----------�
� A Stanford University exercise expert has determined that if you spend 2
� minutes a day emailing colleagues instead of walking over to talk to them,
� you will add about 11 pounds over the course of a decade.� Damn, I think
� that means if I stopped emailing folks at work, I'd weigh nothing within just a
� few years - what a diet...The General Accounting Office's study of welfare
� readiness for Y2K finds that Medicaid systems are only 16% ready...
� According to eMarketer seven times as many emails were sent than first
� class snail mail over the past year... IDC has found that nearly $100 million
� was spent in 1998 on home banking applications, and expect that number
� to more than triple this year... A study by IDG has found that e-commerce
� sites cost an average of $6 million to build and $13 million to maintain on an
� annual basis... Demand for cable modems beating xDSL 14 to 1, according
� to Broadcom (let�s see, considering the fact that most consumers will make
� the decision based on price, and phone companies have been too stupid to
� realize this, while cable modems are being offered at reasonable prices,
� yeah, that makes sense)... Edison Media Research and Arbitron have
� released a new study showing that nearly 13% of people in the US listen to
� radio on the Internet... According to Piper Jaffray the number of accounts at
� online brokerages nearly doubled over the last year, making 1998 the year
� that �individual investors discovered the power of trading online� (and online
� brokerages discovered the problems of crappy software � and 1999 can be
� the year they discover lawsuits)...��

� -----------�
� Overhype�
� -----------�
� The Victoria's Secret fashion show webcast.� No matter if a million people
� saw it or couldn't see it because the video was too choppy to get a "clear"
� picture of the material, this was talked about way too much.� How many
� reporters chose to write about this, just so they could justify their own
� chance to look at half naked women on the web?...��

� --------------�
� Predictions:�
� --------------�
� As if this isn't obvious: but the term Portal has to start going away.� Now
� that Weatherlabs has announced plans to make a "Weather Portal", it has
� become abundantly obvious that this term has outlived its usefulness (if it
� ever had any)...��

� ------------------------�
� Too much free time:�
� ------------------------�
� If you were a disgruntled Blockbuster Video employee with an AOL account
� and too much free time, what would you do?�
http://members.aol.com/caly5150/index.html��
���
---------------------------------------------------------------�

Up To Date is written by Mike Masnick from whatever news he hears from whatever sources they happen to come from.� It is not intended for any uses other than as one of many possible ways to follow what's going on in the hi-tech industry.� I certainly wouldn't rely on it as your only source of info.� And, of course, my comments may not accurately reflect reality. Finally, an explicit warning about investing: I do not, under any circumstance, consider any piece of information in this newsletter "investment advice" and neither should you.

To subscribe to Up-To-Date type your email address in the box below and press enter:

Comments are always welcome!�

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