Google getting protection

Google Inc purchased technology patents from IBM Corp in order to protect itself against lawsuits. In mid-July, Google acquired more than 1000 patents with the U.S. Patent and Trademark Office. The patents cover computer architecture including servers and routers and online search engines. Google is faced with patent lawsuits for many of its services. Compared to competitors, Google had a much smaller number of patents.

This is a smart move for Google. With all the progress the company has made to be the web-search giant they are today, it is crucial Google protects themselves from any type of lawsuits that can potentially hinder their growth and set the company back. The origin of intellectual property can be hard to trace. As a result IP can often be found in the middle of tedious lawsuits. By properly obtaining the documentation and the ownership rights of these patents, Google can remain the industry leader with little worry.

The article also discussed that rumor has it Google is thinking of purchasing a company, Interdigital Inc, that owns thousands of patents and licences them, but does not make or sell any products. An acquisition such as this would cost billions of dollars. Although this is extremely costly, this could be very beneficial to the young company in terms of growth.

http://online.wsj.com/article/SB10001424053111904800304576475663046346104.html?mod=WSJ_Tech_RightMostPopular

The business world of Facebook

This week, Facebook launched a website called Facebook for Business to provide corporate marketing needs. The site offers businesses information on how to create a Facebook Page, build relationships with members of the Facebook community, and present Facebook Ads and Sponsored Stories. Although Facebook did not add a new service; they did however create a portal to assist businesses in social marketing. Social media is used by the majority of the United States population and is increasingly attracting businesses to use the sites for marketing.

 Social media sites, such as Facebook, allow for business owners to create pages to generate interaction with the customers through the site by having conversations and receiving feedback from the customers. Facebook has targeted ads which can help businesses find new customers. Facebook is a great marketing tool for businesses. Businesses that refuse to use social media to advertise and interact with customers will fall behind. Facebook alone has 750 million users. How can a business pass up advertising to an audience so large. Managers must take advantage of the opportunity at hand and utilize the capabilities of social media.

http://www.informationweek.com/news/internet/social_network/231002766

Also, this is the facebook site that was just launched this week for business:

http://www.facebook.com/business

Regional Disparities Found in Internet Connectivity in the U.S.

Due to a recent broadband performance study, large regional disparities were discovered in the United States regarding the average quality of Internet connectivity. Northeastern and West Coast states proved to have the highest average Internet speed. Regions in the Midwest have the lowest average download performance. Our neighbor, Rhode Island, was proved to be the highest performing state, with an average download speed of 894KBps. While Idaho, the lowest performing state, only has an average download speed of 318KBps. This is a significant difference.

Broadband is the range of frequencies that an electronic signal occupies on a given transmission media. The greater the bandwidth, the more information per unit of time you can convey. Obviously the northeastern and west coast states are spending more money  and effort on information technology to improve the efficiencies of the businesses. With a low bandwidth, workers cannot get as much done in a day than states with a higher bandwidth, such as RI. I believe every state in the country should have approximately the same download speed, equivalent to the quality of Rhode Island’s Internet connectivity. With every state having a high bandwidth, the country as a whole can be more efficient and take a step ahead internationally.

http://arstechnica.com/tech-policy/news/2011/07/broadband-performance-study-finds-huge-regional-disparities.ars

The Museum of Modern Art in New York City has a new exhibit that explores human interaction with present and past technology. The museum and engineers are trying to make technology transparent. They want people to take an object and run with it; to use the technology and have a natural experience using it. The exhibit is filled with future ATMs, power management within homes, location based gaming, data visualization, and even sending a text message by a slingshot. One of the pieces of art detects moods and emotions of humans. The capabilities of the technological art pieces are extremely fascinating and unbelievable. The

The most interesting work of art was the menstruation machine, which allows the male gender to experience what it feels like to be a woman. Technology definitely is taking over the world. It’s hard to imagine what will be created 10 to 15 years from now. The exhibit in the museum is a perfect portrayal of the importance and magnitude of information technology in today’s world.

Technology is made to improve humanity. The designer of the exhibit wants to stress to the business environment that design is all around us, and design should be a part of every executive suite. The objects in the exhibit are everyday objects that are made easier to interact with, such as ATM machines. By going to this museum, you can have a sneak peek at the future of technology. The exhibit looks very interesting; I would love to go and see it.

http://money.cnn.com/2011/07/27/technology/moma_design/index.htm?hpt=te_bn5  

Amazon spending heavy on IT infrastructure

Amazon's revenues are reaching an all-time high; however, the online retailer's profit is decreasing. Amazon is focusing heavily on digital offerings such as ereaders or digital movies and music; therefore, the entity is spending an immense amount of money on both physical and digital infrastructure to add capacity to it's fast-growing web services business.  Many will argue the spending on infrastructure is a problem and needs to decrease; however, it is necessary to think about the important facts. Amazon is strictly an online retailer, the largest of its market; therefore, without the most up-to-date and effective information technology systems in place, problems will occur on the website which can totally destroy the business. If the site could not handle the increased traffic, customers would experience issues when purchasing items and  the site could potentially crash, which in turn, drives customers away and creates much bigger problems.

As we discussed in class today, people are turning to electronics to do everything; read, watch movies, listen to music, talk, shop, etc; therefore, the demand for digital offerings are only going to continue to increase at an increasing rate. Amazon has the money right now to spend on updating and improving their digital infrastructure, which in the long-term if implemented correctly, the benefits can potentially significantly outweight the costs in the near future. I absolutely think the spending on IT infrastructure is the right choice, and it will definitely pay off in the future.

http://online.wsj.com/article/SB10001424053111904772304576470510839305924.html

U.S. Government to close 800 computer data centers

http://www.nytimes.com/2011/07/20/technology/us-to-close-800-computer-data-centers.html

The United States Government currently spends $80 billion a year on Information Technology, which is the worlds largest buyer of IT. The government plans to cut back drastically on their IT budget by cutting off 40% of its computer centers over the next four years. Due to 800 of the 2000 computer data centers being closed, the government will save billions of dollars a year. The government is transforming to the use of software that shares computing tasks across several machines in a data center. This allows for higher levels of efficiencies, which decreases the amount of computers and simultaneously data centers needed.

Purchasing up-to-date technology is extremely important; however, as discussed in the Carr article, organizations shouldn't purchase IT systems / products just to say you have them; management must effectively utilize the purchases to gain the most benefit from them. The government may have been spending $80 billion a year, but were all those purchases improving effectiveness and efficiency?

Another reason for the data center consolidation is due to the shift to cloud computing. Cloud computing will save the Government an additional $5 billion a year. Although it is unfortunate that thousands of jobs will be lost due to the closing of the data centers, I do believe the positives that come from the utilization of cloud computing will offset the negative aspects. Cloud computing allows for more security, optimization, and the ability to do more with less resources. As the article stated, the government should shift their focus from information technology spending to using technology more efficiently to deliver government services.

Hackers Targeting Small Businesses

No matter the size of the business, computer security must be a high priority to management. As discussed in Chapter 5, IT-related risks include the failure of IT systems and processes to meet government rules and regulations, security risks from hackers and denial-of-service attacks, and privacy risks from identity theft. It is essential businesses have good internal controls to avoid the IT-related risks.

Hackers are focusing on small companies as a target due to the lack of technical expertise and weak security systems. In 2010, the U.S. Secret Service responded to 761 data breaches, 63% were at companies will less than 100 employees. It is much more difficult and time-consuming for hackers to break into large multinational companies due to the extensive security of their IT infrastructure. Most small businesses have extremely weak systems because owners and managers don't believe they would ever be victim to hacking due to the size of the organization. Online banking log in information is being stolen by companies, computerized cash registers are being hacked resulting in thousands of dollars worth of fraudulent charges on customer credit cards. These events can quickly diminish a small business. Not only do these events create a bad reputation for the company because customers will no longer feel safe purchasing items, but the amount of money lost from the hacking alone can cause bankruptcy.

Smaller companies need to do a better job of protecting themselves. As stated in the article I read, smaller companies are less likely to grasp the security threat. Businesses with a lack of basic security requirements makes it very easy for hackers to break the system. A simple and quick search by hackers on the Internet shows them which businesses have computers configured in such a way where hacking is effortless. Technology must be improved for security purposes, making sure a high-grade firewall is installed to protect the business.

http://online.wsj.com/article/SB10001424052702304567604576454173706460768.html?mod=WSJ_Tech_LEFTTopNew