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IT NEWS

Gartner: IT leaders must prepare for bumpy economy
 
Analyst warns that a tightening economy could change the growth rate of the IT industry in

IT leaders must prepare for changed business priorities with a harsher economic climate ahead, Gartner's head of global research Peter Sondergaard has warned. "We see the potential for troubled times ahead," Sondergaard told delegates at Gartner's symposium in Cannes, France. The troubled housing market, the credit crunch, the continuing energy crisis "and last but not least the declining rate of CEO confidence" all signaled more difficult times, he said.
 
This would change the priorities and strategies of businesses, he warned in his keynote address. "Your bosses will move from growth to execution. You must be prepared for changing business objectives." Sondergaard questioned the belief among chief information officers that IT budgets would continue to grow. A Gartner survey had shown 59 percent of CIOs expected an increase in their IT budgets in 2008. "But are you sure this is the case three months from now?" he asked." CIOs should prepare two budgets for 2008, he urged, echoing remarks he made last month at Gartner's ITXpo in Orlando, Florida.

The first should assume growth similar to that seen over the past six years. The second should "assume the need to cut costs with the arrival of a recession," Sondergaard said. CIOs and other business executives would try to deal with the more difficult economic climate with "new efficiencies, new innovations and new ideas to sustain growth", he said. "IT will be at the core of those responses." This situation "confronts you with heavy responsibilities", Sondergaard warned.

The Gartner research chief said 2007 had been a "milestone year" for IT, which was set to become a £ 1.5 trillion market. But a tightening economy would "change the growth rate of the IT industry in 2008," he cautioned. The past year had seen other key developments, such as the huge growth of consumer-driven Web 2.0 technologies. In the U.S. this year, the MySpace social network had accounted for 6 percent of internet visits, "33 percent more than Google," Sondergaard said, while 2007 had been "the year of green", with an increased understanding of the importance of power consumption issues among IT users.

Increased interest in virtualization and the rise of software as a service had also marked the year out, he added. "Innovations such as these are increasingly visible to business leaders and your non-IT colleagues," Sondergaard said. IT leaders would find their colleagues wondering why these new developments were in the marketplace but not in their own enterprise, he added.

Sondergaard listed a series of "imperatives" for IT organizations: attracting and retaining customers, maximizing performance and profitability, improving critical business processes, boosting the effectiveness of the workforce, and managing risk and compliance.
"May the computing force be with you," he concluded.

Source: Infoworld


Indiatimes.com visitors risk high exposure to malware

The English-language version of the newspaper contains 434 malicious scripts, binaries, cookies, and images, according to a ScanSafe report. 

Visitors to IndiaTimes.com, a major English-language Indian news site, risk infecting their computers with a deluge of malware, according to Mary Landesman, senior security researcher at ScanSafe. "It's an entire cocktail of downloader Trojans and dropper Trojans," Landesman said Friday, putting the number of malicious files involved at 434. This includes scripts, binaries, cookies, and images. Landesman characterized the size of the malicious payload as unusually large. She also noted that the attack involved a large number of Web sites. Analyzing just two of the binaries, she said that ScanSafe had identified at least 18 different IP addresses involved in the attack.
 
"Only certain pages of the IndiaTimes.com are infected," ScanSafe said in its Nov. 9 Threat Alert. "The impacted pages contain a script which points to a remote site containing iframes pointing to two additional sites. One of the sites included cookie scripts and an iframe pointing to a non-active site. The other iframe pointed to an encrypted script which exploits multiple vulnerabilities in an attempt to download malicious software onto susceptible systems of users visiting indiatimes.com."

"It appears that the Metasploit Framework was the framework used to facilitate these attacks," Landesman said. The Metasploit Framework is a security testing tool that can also be used maliciously.
Landesman decline to elaborate on the specifics of the exploit other than to say it involved cross-site scripting and that it could turn the victim's computer into a site for malware distribution. "We have reason to believe these are zero-day vulnerabilities," she said. "What we don't want to do are irresponsibly lead people to those exploiting pages."

ScanSafe's Nov. 9 Threat Alert identifies one of the vulnerabilities as the MDAC vulnerability described in Microsoft Security Bulletin MS06-014. Warning that much of current antivirus software misses this exploit, Landesman said that "a person even with up-to-date antivirus software is going to be susceptible to this. In the normal course of using this service, you'd arrive at this page and you'd be silently infected."

While Landesman would not say which operating systems or browsers could be affected, she acknowledged that ScanSafe had contacted Microsoft about this particular attack. She also said that her company had reached out to IndiaTimes.com, but pointed out that Nov. 9 is a holiday in India.

"We're hoping they will cut their holiday short and take the appropriate actions," she said.
 
Source: InformationWeek


iPhone named 'Invention of the Year'

The device's critical shortcomings did not overshadow Time's endorsement of the touch-screen smartphone.

Time magazine has named Apple's iPhone "invention of the year," citing is design, innovative touch screen, and potential for changing the tech industry's approach to mobile computing. While bestowing the honor on the popular cellular phone/handheld computer, Time acknowledged the iPhone's flaws: the device's on-screen keyboard is too hard to type on, the gadget is too big for a mobile phone, there no instant messaging, it doesn't work on most people's work e-mail, and it's locked to service provider AT&T.
 
Nevertheless, those shortcomings didn't overshadow the five elements Time listed as making the device special.

First is its design. The iPhone and its software let someone discover, understand and use its features without having to read a manual. "All the cool features in the world won't do you any good unless you can figure out how to use said features, and feel smart and attractive while doing it," Lev Grossman, Time book and technology writer, said in an article announcing the magazine's choice.

Second was the iPhone touch screen, which offers a new kind of interface that gives people the illusion of physically manipulating data with their fingers. People can use their digits, for example, to flip through album covers, click links, and resize photos. "This is, as engineers say, nontrivial," Grossman said. "It's part of a new way of relating to computers."

Third is more to do with Apple chief executive Steve Jobs than iPhone engineers. In negotiating the deal with AT&T to carry the iPhone, Jobs made sure that Apple held the right to build the device anyway it saw fit. This was unprecedented in an industry where carriers often have a hand in the development of mobile phones. Now that Apple has shown that manufacturers know more about design than carriers, other cellular phone makers are expected to demand more freedom, which should lead to more innovation, according to Time.

Fourth is Apple's decision to make the iPhone a genuine handheld computer. Because the device runs on a mobile version of the Mac OS X, the iPhone is truly a platform on which we can take Web applications, such as Google Maps, from cyberspace and onto the streets where they'll be most useful.

Finally, by selling 1.4 million units since the iPhone's release June 29, Apple has shown that there's enough of a demand to keep the gadget around for a while. As a result, the iPhone is likely to evolve into something far better, much like the first iPod over the last six years. "It'll be very cool," Grossman said of the future iPhone. "And it'll be even cheaper."

Source: InformationWeek

 

 

TRENDS

'Village Phone' initiative aims to improve access in developing countries


The Grameen Foundation and ITU are working to provide affordable telecom rates to users, while giving owners income to repay loans and earn profits. Grameen Foundation and the International Telecommunications Union (ITU) have launched the Village Phone Direct Manual to help microfinance institutions and other organizations in developing micro-franchise Village Phone operations.

The move is aimed at spreading affordable telecommunications access and business opportunities in rural communities in the developing world. It coincides with the ITU Connect Africa Summit taking place in Rwanda this week, as well as Grameen's Microfinance Partner Conference in Bolivia. The Village Phone Direct Manual, based on the Grameen Foundation's Village Phone Replication initiative, provides Microfinance Institutions (MFIs) and other organizations with resources and information for independently developing a local, targeted Village Phone product for their clients. Grameen Foundation links the telecommunications sector and the microfinance sector so clients can buy a "Village Phone business". Grameen describes the offering as "a business in a box."
 
The owners, or Village Phone Operators, run businesses in rural villages where no telecommunications services previously existed. They rent the use of a phone to their community on a per-call basis. The goal is to provide affordable rates to users, while giving owners income to repay loans and earn profits, which allow the business owners to invest in their children's health, nutrition, and education, as well as other business ventures.

"Our past success in Africa proves that Village Phone is a viable and sustainable tool in the continent's ongoing telecommunications expansion, especially in poor, rural areas," Peter Bladin, Director of Grameen Foundation's Technology Centre said during a summit in Rwanda. "With the new Village Phone Direct Manual, we have a greater opportunity to expand access and create new technology business opportunities for poor micro-entrepreneurs, not only in Africa, but throughout the developing world." Grameen Foundation has also developed an online assistance centre that serves as a central hub for exchanging the information and resources that organizations need to create their own Village Phone products. The organizations plan to translate the guide into Spanish, French, Arabic, and other languages.
 
Grameen Foundation is a global non-profit that combines microfinance, technology, and innovation with the goal of empowering the world's poorest people to escape poverty. It has a network of partners in 25 countries. It was founded by Alex Counts, who began his work in microfinance with Grameen Bank founder and recent Nobel Peace Prize recipient, Muhammad Yunus, also the director of the foundation.

Source:  Information Week
 


Qwest hires a psychologist to help parents deal with digital kids

Qwest has partnered with psychologist Linda Young, who offers advice on dealing with the online activities of children
 
Families grappling with the vagaries of the Internet have a psychologist "to bridge the digital divide," according to Qwest Communications International's description of its program to help children and their parents deal with the ever-challenging Internet. Qwest reported this week that it has partnered with psychologist Linda Young, who offers advice on dealing largely with online activities of children.

"The accelerating popularity of social networking sites has created an online environment for interaction among users that mirrors much of what happens in real life," said Dr. Young in a statement. "Online culture is starting to reproduce exactly the same kinds of interactions that we've always seen in person." Qwest's Online Safety Coalition has produced three short videos featuring Dr. Young, who describes why good kids do bad things on the Web and discusses how technology that seems to be always-on often tethers children. The third video discusses ways of communicating with teens that can change behaviour.
 
Qwest's Online Safety Coalition consists of officials in law enforcement, education, and government in Colorado, Minnesota, and Washington; after identifying a need for more educational outreach on new issues impacting children surfing the Web, the coalition concluded that an expert adviser was needed and Dr. Young was brought in as a counsellor.

A Qwest Web site - Incredible Internet - has been set up to help families deal with some of the most pressing sociological issues involving Internet surfing; they include how to protect IDs, how to encourage parents to get involved in their children's social networking, and how to use the Internet for educational purposes.

Source:  InformationWeek


 

Offshoring - advantages and challenges

Offshoring - a trend in business for most of the IT organizations of companies in US and Europe is not a long term solution unless it matures to the level of creating a wholly owned captive IT centre. In most cases the companies are dependent on the third party offshore partners, who retain their application and technology knowledge and also show case the same to their partners to seek new orders.

There are definite challenges in creating a wholly owned captive IT service company. The challenges include:

1. Setting up operations in an unknown country
2. Understanding the nuances of hiring and retaining the talent
3. Face competition from offshore Indian IT services
4. Transfer existing knowledge - both from parent company and offshore vendors to the wholly owned subsidiary

Huge savings in terms of dollars are made and competency can be created and retained and companies stop being the prey in the hands of offshore vendors.

Source: CIO


 

STUDIES

Understaffed data centers threaten service agreements


More than half of the respondents to a Symantec survey admitted their data centers are currently understaffed, and 86% say they have difficulty finding qualified applicants.

Understaffed with workers that have inadequate skills sets, half of all large-scale enterprise IT departments have failed to meet internal service level agreements within the past two years, according to a recently published "State of the Data Center" research report by Symantec. More than half of the respondents to the survey say their data centers are currently understaffed, and 86% say they have difficulty finding qualified applicants. Nearly two-thirds of the companies surveyed believe their staff skill sets are too narrow, and 57% indicate that employees' skill sets do not match their current needs.

The Symantec survey focused on Global 2000-sized organizations and more than 800 data center managers and other IT executives were surveyed in phone interviews and focus groups around the world, said Sean Derrington, a director of storage management for Symantec. Data centers managers are facing a growing list of challenges, Derrington said, as they attempt to reduce cost and meet service level agreements, while working with small and often ill-trained staffs in an attempt to address rising complexity.
 
"One participate in a focus group in London told us that while the service level agreements he was being asked to meet were 'absurd,' there was really nothing that could be done but adapt to the new levels of expectations for IT delivery," Derrington said. "But these data center managers are having a hard time finding qualified staff, retaining qualified staff, and finding administrators with the right skill sets necessary to deliver appropriate business application value.

"Two-thirds of respondents say they have formal service level agreements inside their organizations, and 51% say they have failed to meet at least some of those agreements in the past two years. Part of the reason is that 85% of data center managers say service level agreements have increased over the past few years, while actual budget have remained stagnant.

According to survey, the data center operational costs are growing at 5% a year, and although the average IT budget is growing at 7%, when adjusted for inflation there is little or no actual budget growth, Derrington said. Server virtualization and consolidation are considered top cost containment strategies for most respondents, with 90% at least discussing virtualization, and 50% implementing virtualization strategies. Ninety-one percent are at least discussing server consolidation, and 58% are actively pursuing consolidation efforts.

But consolidation and virtualization add their own complexities, and large enterprises are currently using multiple virtualization platforms within their organizations. According to the study, companies based in the United States have implemented 2.3 different virtualization platforms; while business outside the United States have implemented an average of 2.7 different virtualization packages.

"Not only is the physical data center heterogeneous and complex, but now the virtualized infrastructure is also heterogeneous and complex," Derrington said. "The day to day requirements for more centralized management were already increasing, and virtualized environments are making things even more complex while resources remain limited."

Source: Information Week



Tech sector job market, a fright in October

Bad news about the mortgage industry and credit are fueling the uneasiness among IT and telecom professionals, according to HR staffing firm Hudson's latest report.

Job confidence among techies slipped a bit in October as IT and telecom professionals worried about job security and were slightly less happy at work, according to the latest monthly survey by staffing and outsourcing firm Hudson. Still, despite the 2.9 drop in job confidence levels from September to 111.7 in October, techies overall were a comparatively upbeat group.

The October score was still 2.1 higher than it was in October 2006, when tech professionals rated their job optimism at 109.6. Also, it was hard to beat September's score of 114.6, which had been the highest rating in techie job confidence in nearly two years. Last month, IT and telecom pros were considerably more optimistic about jobs than workers across other sectors, which nationally rated their job confidence at only 100.8 in October, which was actually up 3.7 points from a gloomy 97.1 rating in September.

Each month, Hudson phone surveys about 9,000 workers across several sectors, including more than 400 IT and telecom professionals. Monthly scores are compared with a base rating of 100 established when Hudson began doing its surveys in January 2004. Only 74% of tech pros said they were satisfied with their jobs in October, down from 80% who felt that way in September. And while more techies in October than September expected their companies to add staff in coming months, 20% of tech pros also worried about losing their own jobs, which was up 3% from September. Hudson regional VP Paul Taylor suspects that "external" issues -- including bad news about the mortgage industry and credit -- are fueling the uneasiness among techies.

"Clients [employers] are very bullish and robust -- they expect to increase head count and increase projects" in the months to come, he said. Also, pay rates of IT talent are up an average of 5% from this time last year, he said. Some of the hottest skill sets are seeing even bigger increases, such as project managers, whose pay increased about 8% to 9% in October, compared to the same month in 2006.

"There's a huge demand for skills, and some of it is going unfilled," he said, especially in some sectors like financial services who are seeking Web development talent, including Ajax and Java programmers, he said.

Source: InformationWeek


Customers to switch to wireless carriers for better device management

CIOs feel mobile devices improve productivity, but say effective management of these devices is becoming increasingly difficult, according to a survey.

Two-thirds of businesses would be willing to switch wireless carriers for mobile device management, according to survey results released on Thursday by Mformation Technologies. Businesses are currently facing many challenges that stem from a growing mobile workforce, the rapid introduction of new smartphones, and the demand for mobile applications. CIOs feel that the use of mobile devices by employees improves productivity, but at the same time they find that effective management of these devices is becoming increasingly difficult, according to Mformation, a provider of mobile device management software.
 
Mformation recently surveyed CIOs from large businesses and found that 45% of the CIOs are looking to wireless carriers to assist them with the management of mobile devices. Furthermore, 62% of the CIOs said they would change their existing carrier if a competing carrier offered them a complete mobile device management package. The survey was conducted by research firm Coleman Parkes and included interviews with 200 CIOs and telecommunications directors at companies with operations in the U.S. and Europe.

One survey conclusion is that businesses want wireless carriers to play a larger role in helping them deal with the growing complexity of mobile workers and applications. 82% of CIOs reported that managing mobile devices has become increasingly difficult. The majority of the CIOs surveyed (95%) are looking for products and services for managing and securing mobile devices and applications. 88% expect carriers to play a role in mobile device management, while 60% would prefer to make an arrangement with carriers that would give their IT department direct control over company-issued mobile devices.

CIOs want to provide a high level of device and network security, while being able to remotely support users. By having the option of remote support, they can identify and fix problems quickly, send updates to mobile devices wirelessly, and keep support costs under control. But most CIOs today feel that they're on their own when it comes to managing mobile devices; 60% of U.S.-based businesses surveyed didn't have a positive opinion of device management support currently provided by carriers. That's why many businesses are taking matters into their own hands. 74% said they have increased investment in data and system security, and 71% are allocating more resources to staff training, according to the survey.
 
Another option for businesses is to turn to mobile platform providers for support. Research In Motion offers mobile device management products and services to its BlackBerry users, and Microsoft last month introduced a server for managing and securing Windows Mobile-based devices. Microsoft's System Center Mobile Device Manager, due in the first half of 2008, will become a direct competitor of RIM's BlackBerry Enterprise Server. Third-party tools for mobile e-mail control are being offered as well by providers such as Altiris and LANDesk.

Source: Information week


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