IN THE PAPERS
In The Papers 19 March
19-03-2010
by Sylvia Leatham
Siemens to slash jobs | Facebook users targeted with virus
The Irish Times reports that engineering giant Siemens has revealed plans to cut 4,200 jobs at its IT unit. Chief Financial Officer Joe Kaeser said the cuts at Siemens IT Solutions and Services (SIS) would be made by autumn 2011 and would include 2,000 jobs in Germany. SIS currently has about 35,000 employees, with nearly 10,000 in Germany. He said Siemens would invest an additional amount of more than EUR500 million in SIS, which could include acquisitions to boost some of the unit's businesses. Kaeser also said Siemens would turn SIS into a legally independent business unit by October, signalling the possibility of a spin-off of the business.
The paper also says that hackers are targeting Facebook users with virus-laden spam, in an effort to steal banking passwords and other sensitive information. The e-mails tell recipients that the passwords on their Facebook accounts have been reset, urging them to click on an attachment to obtain new login credentials, according to antivirus software maker McAfee. If the attachment is opened, it downloads several types of malicious software, including a program that steals passwords. The e-mail's subject line reads "Facebook password reset confirmation customer support".
The same paper says that Irish third-level students are being offered the chance to gain industry experience as part of a new agreement between UCD and satellite equipment firm Skyware Global. The partnership will allow engineering and technology students in UCD's School of Electrical, Electronic and Mechanical Engineering to get experience in various departments of the multinational, as part of an internship programme. Skyware teams based in Britain, Germany and the US will take on the interns. Skyware chief executive David McCourt said UCD's approach to training graduates is unique. "UCD, unlike most universities, aspires to train engineers in a more holistic way, with a deep understanding of other disciplines beside engineering," he said.
The paper also continues its coverage of the Moriarty tribunal. An official from the Attorney General's office told the tribunal he had "no doubt" oral legal advice was given in 1996 that a mobile phone licence could be issued to Esat Digifone. Denis McFadden also said it was his view at that time and now that written legal advice furnished by Richard Nesbitt also said the same thing. Justice Moriarty, in a ruling in February 2008, had expressed the view that written advice from Nesbitt did not cover the "ownership" issue. Nesbitt subsequently gave evidence where he said he had a "crystal clear" recollection of also giving oral advice.
The Financial Times reports that evidence unsealed by a US court on Thursday says that YouTube executives were aware early on in the website's history that large numbers of copyrighted videos were being uploaded to it, with one of its founders even "blatantly stealing" videos from other sources. The evidence could undercut YouTube's defence against a USD1 billion copyright infringement lawsuit filed by Viacom, owner of the Paramount film studio and MTV Networks. The revelations in the landmark legal battle are among thousands of pages of internal evidence uncovered but kept from public view over a three-year period since Viacom accused YouTube owner Google of "massive intentional copyright infringement". In its defence, Google claimed that Viacom had made it impossible for YouTube to tell when material had been uploaded illegally, since the media group had deliberately disguised videos it posted to make them look like they came from individual users.
The paper also says that Universal Music has announced plans for a US-wide test to cut the retail price of many new CDs to just USD9.98, in line with the price of digital albums sold by online stores such as Apple's iTunes. The trial will affect an unspecified selection of new releases, starting in the second quarter and running until the end of this year. CD sales have halved in the US since 2000, and are down 15 percent over 2009 so far this year.
According to the Wall Street Journal, Samsung Electronics expects revenue to grow at a double-digit rate in 2010 and operating profit to meet or exceed last year's level. In a speech to investors, Chief Executive Choi Gee-sung said the company will benefit from economic recovery in other parts of the world, particularly the US and European Union, which has lagged behind Asia in recovering from the downturn that started in 2008. Expectations among analysts are high that Samsung will smash sales and profit records this year as all four of its main businesses -- chips, LCDs, mobile phones and TVs -- are performing well.
The paper also reports that Palm has posted a narrower quarterly loss but warned of significantly lower revenue in the current quarter amid disappointing sales of its latest smartphones. Palm said revenue rose to USD349.9 million in its fiscal third quarter, up from USD90.6 million a year ago. Net loss narrowed to USD22 million, or USD0.13 a share, compared with a loss of USD98 million, or USD0.89 a share, a year earlier. Palm warned that revenue in the current quarter would fall to less than USD150 million, far below the USD305.8 million projected by analysts.
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