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TOP STORIES FOR FRIDAY, JANUARY 09, 2004
  HP and Apple Team Up on Music
  Powell Calls for Guidance on Broadband Phone Service
  Feds Look for Wiretap Authority on VoIP
  Peer-to-Peer Virus Sharing


HP AND APPLE TEAM UP ON MUSIC
Hewlett-Packard and Apple Computer have announced a deal that marks
important departures for both companies. Starting this summer, Apple
will begin making a version of its popular iPod music player that will
be sold by Hewlett-Packard. The new iPod, which will be
Hewlett-Packard's corporate blue color, is the first time since the
1997 return of Steve Jobs to Apple that the company has gone outside
the Apple-only approach. At the same time, Hewlett-Packard will begin
including an icon on its computers directing users to Apple's software
and music store. Hewlett-Packard has had a very close relationship with
Microsoft for several years, and the deal with Apple apparently came as
a surprise to Microsoft. An official from Microsoft suggested that the
HP-Apple deal will confuse customers who find that other products
supported by Hewlett-Packard computers are not compatible with the
iPod.
New York Times, 9 January 2004 (registration req'd)
http://www.nytimes.com/2004/01/09/business/09music.html

POWELL CALLS FOR GUIDANCE ON BROADBAND PHONE SERVICE
At this week's Consumer Electronics Show, Federal Communications
Commission (FCC) Chairman Michael Powell said he supports his agency's
serving as a "forum" to provide guidance on Internet-based phone
services. Powell took a firm stand against regulations at this point,
which he called an "acute threat" to the emerging field of providing
phone service over broadband Internet connections. Powell criticized
states that have adopted a regulatory approach to Internet telephony,
saying that broadband providers should not be subject to the same
regulations and fees as traditional phone carriers. "The FCC has to
demonstrate leadership," said Powell. "[T]hat doesn't mean regulating
[broadband telephony], but provide a forum to guide it."
CNET, 9 January 2004
http://news.com.com/2100-1034_3-5138451.html

FEDS LOOK FOR WIRETAP AUTHORITY ON VOIP
Officials at the Department of Justice (DOJ) have appealed to the
Federal Communications Commission (FCC) to ensure that the nascent
field of Internet telephony is covered by the same law-enforcement
regulations as traditional phone service. The FCC is expected to rule
on several issues of regulation of the new field in the coming weeks.
Specifically, the DOJ is arguing that the Communications Assistance for
Law Enforcement Act (CALEA), which allows for lawful electronic
monitoring of phone calls, be applied to voice-over-IP (VoIP) phone
calls. According to the DOJ, "CALEA is vital to national security, law
enforcement, and public safety," and compliance among VoIP carriers
should not simply be voluntary. Several VoIP companies including Edison
and Vonage argue that they are not telecommunications companies and
should not be subject to CALEA.
Internet News, 8 January 2004
http://www.internetnews.com/infra/article.php/3297281

PEER-TO-PEER VIRUS SHARING
A recent study from security company TruSecure showed that nearly half
of all software traded over the Kazaa file-sharing network was infected
with malicious code. The findings apply not to music and video files
but to executable files, including programs designed to circumvent
digital copyright protections. TruSecure found that of 4,778 executable
files it downloaded in one month, 45 percent were infected with a
virus, Trojan horse, or other malicious software. Some of the malware
infected files on a user's computer; other code would steal user
passwords or allow hackers to control an infected machine. Bruce Hughes
of TruSecure noted that although infected files typically have .exe
extensions, an attacker could disguise such a file with a .wav or .jpg
extension. Hughes said up-to-date antivirus software would be able to
identify 85 to 90 percent of the malicious code found in Kazaa files.
Wired News, 9 January 2004
http://www.wired.com/news/business/0,1367,61852,00.html

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