Connected cows, cars and crockery prod chip mega mergers

By | June 9, 2015

My Reuters piece attempting to place the recent chip mergers in a longer timeline. Yes, I hate the term internet of things too. 

Connected cows, cars and crockery prod chip mega mergers | Reuters:

SINGAPORE/TAIPEI | BY JEREMY WAGSTAFF AND MICHAEL GOLD

Chip companies are merging, signing $66 billion worth of deals this year alone in preparation for an explosion of demand from all walks of life as the next technological revolution takes hold: the Internet of Things.

As cars, crockery and even cows are controlled or monitored online, each will require a different kind of chip of ever-diminishing size, combining connectivity with processing, memory and battery power.

These require makers to pool resources and intellectual property to produce smaller, faster, cheaper chips, for a market that International Data Corp said would grow to $1.7 trillion by 2020 from $650 billion last year.

By comparison, chip markets for personal and tablet computers are stagnant or in decline, and even smartphones are near peaking, said Bob O’Donnell, a long-time consultant to the chip industry.

‘We’re very much done in terms of growth of those traditional markets,’ said O’Donnell. ‘That’s why they are looking at this.’

Last month saw the biggest-ever chip merger with Avago Technologies Ltd agreeing to buy Broadcom Corp for $37 billion. That eclipsed the $17 billion Intel Corp agreed last week for Altera Corp, and the $12 billion NXP Semiconductors NV offered in March for Freescale Semiconductor Ltd.

On Friday, Lattice Semiconductor Corp said it was open to a sale.

 

CONNECTED COWS

The Internet of Things relies on chips in devices wirelessly sending data to servers, which in turn process the data and send results to a user’s smartphone, or automatically tweak the devices themselves.

Those devices range from a light bulb to a nuclear power plant, from a smartwatch to a building’s air-conditioning system. This range presents both opportunity and a challenge for semiconductor companies: their potential customer base is huge, but diverse, requiring different approaches.

Qualcomm Inc, for example, is used to selling chips to around a dozen mobile phone manufacturers. The Internet of Things has brought it business from quite different players, from makers of water meters to street lights that sport modems and traffic-monitoring cameras. All have their own needs.

‘You can’t think the new market is just like the old one,’ Qualcomm Vice President of Marketing Tim McDonough said in an interview.

Qualcomm estimates that the Internet of Things will bring in more than 10 percent of its chip revenue this business year.

And then there are those cows. Instead of monitoring herds by sight, farmers in Japan have tagged them with Internet-connected pedometers from Fujitsu Ltd and partner Microsoft Corp, to measure when they might be ready for insemination. Cows in season, it turns out, tend to pace more.

SPECK OF CHIP

This new business is pushing chip companies together in part to consolidate their expertise onto one chip, a trend forged by mobile phones.

The Avago-Broadcom deal, for instance, brings together motion control and optical sensors from Avago with chips from Broadcom that specialize in connectivity via wireless technologies such as Bluetooth and Wi-Fi.

In the past ‘if you wanted to build a board that has all the components, then you needed to buy three different chips,’ said Dipesh Patel of ARM Holdings PLC, which licenses much of the technology inside mobile phones – and, increasingly, in the Internet of Things.

‘Now you only need to buy one chip. But you’re trying to get more of the same system on the same chip.’

As chips get smaller, they could be tiny enough to ingest, according to Vital Herd Inc. The Texas-based startup’s pill-like sensor, once a cow swallows it, can transmit vital signs, warning farmers of illness and other problems.

Jen-Hsun Huang, co-founder and chief executive officer of graphics chips maker Nvidia Corp, predicts chips will shrink to the size of a speck of dust and find their way into almost anything, from shoes to cups.

‘Those little tiny chips, I think they’re going to be sold by the trillions,’ Huang said in an interview. ‘Maybe even sold by the pound.’

PROCESSING

Installing chips into end products is only one side of the equation. The more things connect, the bigger the number and capability of servers needed to process the vast amount of specialized data those chips transmit.

To meet the demand, Intel could employ chips for its servers designed by new purchase Altera that analyze streams of similar data – specializing in one function, as opposed to multiple functions like chips inside personal computers – industry consultant O’Donnell said.

Combining such strengths is going to be vital, said Malik Saadi of ABI Research, because consolidation is not over yet.

More chip companies ‘will have to make that radical decision to merge,’ said Saadi. ‘This is just the starting point.’ 

(Additional reporting by Liana Baker in New York; Editing by Christopher Cushing)”

Deja Vu or New Dawn? Microsoft’s Acquisition Binge

By | June 3, 2015

I’m not quite sure what to make of these acquisitions. It reminds me of Yahoo’s binge 10 years ago: After del.icio.us, a Directory of Other Things Yahoo! Should Buy. They snagged up a lot of my favourite stuff back then, and Microsoft is doing the same thing with Sunrise etc: 

Welcome 6Wunderkinder! Microsoft acquires Wunderlist – The Official Microsoft Blog: “What’s better than completing that last important task on your to-do list? Doing so with a beautiful and useful productivity app. Today, I am thrilled to announce that Microsoft has acquired 6Wunderkinder, the creator of the highly acclaimed to-do list app, Wunderlist.

The addition of Wunderlist to the Microsoft product portfolio fits squarely with our ambition to reinvent productivity for a mobile-first, cloud-first world. Building on momentum for Microsoft Office, OneNote and Skype for Business, as well as the recent Sunrise and Acompli acquisitions, it further demonstrates Microsoft’s commitment to delivering market leading mobile apps across the platforms and devices our customers use – for mail, calendaring, messaging, notes and now tasks.”

One Microsoft person told me when I complained about little work had been done on Skype that “we’re listening to users who said ‘don’t fiddle’ with it.” All well and good, but they could have fixed the more ridiculous things, like not being able to disable birthday notifications in some versions of the app, and losing the plot on groups. 

Still, this might be a new Microsoft, not the old Microsoft or Yahoo! doing these new acquisitions. They’ve done a lovely job integrating Acompli. So maybe there’s hope. I don’t mind these things getting that kind of treatment so long as they do it to reach out to users, rather than to fence them in. That’s going to take quite a change of attitude up in Redmond. 

Spy in the Sky – are planes hacker-proof?

By | May 27, 2015

My take on aviation cybersecurity for Reuters: Plane safe? Hacker case points to deeper cyber issues:

“Plane safe? Hacker case points to deeper cyber issues

BY JEREMY WAGSTAFF

Security researcher Chris Roberts made headlines last month when he was hauled off a plane in New York by the FBI and accused of hacking into flight controls via his underseat entertainment unit.

Other security researchers say Roberts – who was quoted by the FBI as saying he once caused ‘a sideways movement of the plane during a flight’ – has helped draw attention to a wider issue: that the aviation industry has not kept pace with the threat hackers pose to increasingly computer-connected airplanes.

Through his lawyer, Roberts said his only interest had been to ‘improve aircraft security.’

‘This is going to drive change. It will force the hand of organizations (in the aviation industry),’ says Jonathan Butts, a former US Air Force researcher who now runs a company working on IT security issues in aviation and other industries.

As the aviation industry adopts communication protocols similar to those used on the Internet to connect cockpits, cabins and ground controls, it leaves itself open to the vulnerabilities bedevilling other industries – from finance to oil and gas to medicine.

‘There’s this huge issue staring us in the face,’ says Brad Haines, a friend of Roberts and a security researcher focused on aviation. ‘Are you going to shoot the messenger?’

More worrying than people like Roberts, said Mark Gazit, CEO of Israel-based security company ThetaRay, are the hackers probing aircraft systems on the quiet. His team found Internet forum users claiming to have hacked, for example, into cabin food menus, ordering free drinks and meals.

That may sound harmless enough, but Gazit has seen a similar pattern of trivial exploits evolve into more serious breaches in other industries. ‘It always starts this way,’ he says.

ANXIOUS AIRLINES

The red flags raised by Roberts’ case are already worrying some airlines, says Ralf Cabos, a Singapore-based specialist in inflight entertainment systems.

One airline official at a recent trade show, he said, feared the growing trend of offering inflight WiFi allowed hackers to gain remote access to the plane. Another senior executive demanded that before discussing any sale, vendors must prove their inflight entertainment systems do not connect to critical flight controls.

Panasonic Corp and Thales SA, whose inflight entertainment units Roberts allegedly compromised, declined to answer detailed questions on their systems, but both said they take security seriously and their devices were certified as secure.

Airplane maker Boeing Co says that while such systems do have communication links, ‘the design isolates them from other systems on planes performing critical and essential functions.’ European rival Airbus said its aircraft are designed to be protected from ‘any potential threats coming from the In-Flight-Entertainment System, be it from Wi-Fi or compromised seat electronic boxes.’

Steve Jackson, head of security at Qantas Airways Ltd, said the airline’s ‘extremely stringent security measures’ would be ‘more than enough to mitigate any attempt at remote interference with aircraft systems.’

CIRCUMVENTING

But experts question whether such systems can be completely isolated. An April report by the U.S. General Accountability Office quoted four cybersecurity experts as saying firewalls ‘could be hacked like any other software and circumvented,’ giving access to cockpit avionics – the machinery that pilots use to fly the plane.

That itself reflects doubts about how well an industry used to focusing on physical safety understands cybersecurity, where the threat is less clear and constantly changing.

The U.S. National Research Council this month issued a report on aviation communication systems saying that while the Federal Aviation Administration, the U.S. regulator, realized cybersecurity was an issue, it ‘has not been fully integrated into the agency’s thinking, planning and efforts.’

The chairman of the research team, Steven Bellovin of Columbia University, said the implications were worrying, not just for communication systems but for the computers running an aircraft. ‘The conclusion we came to was they just didn’t understand software security, so why would I think they understand software avionics?’ he said in an interview.

SLOW RESPONSE

This, security researchers say, can be seen in the slow response to their concerns.

The International Civil Aviation Organisation (ICAO) last year highlighted long-known vulnerabilities in a new aircraft positioning communication system, ADS-B, and called for a working group to be set up to tackle them.

Researchers like Haines have shown that ADS-B, a replacement for radar and other air traffic control systems, could allow a hacker to remotely give wrong or misleading information to pilots and air traffic controllers.

And that’s just the start. Aviation security consultant Butts said his company, QED Secure Solutions, had identified vulnerabilities in ADS-B components that could give an attacker access to critical parts of a plane.

But since presenting his findings to vendors, manufacturers and the industry’s security community six months ago he’s had little or no response.

‘This is just the tip of the iceberg,’ he says.

(Additional reporting by Siva Govindasamy; Editing by Ian Geoghegan)”

The End of the Google+ Era?

By | May 21, 2015

Alex Chitu of the Google Operating System sees in Google’s decision to buy into the Twitter firehose the End of the Google+ Era:

Google announced that it will start to display tweets in Google Search for mobile. “When you’re searching on the Google app or any browser on your phone or tablet, you can find real-time content from Twitter right in the search results,” informs Google.

He sees this as the final nail in the coffin of Google+ as a real time social media service: 

It’s the end of the Google+ era. Even if Google+ will continue to exist in one way or another, Google will stop promoting it aggressively and will probably use it as a backend service. Bloomberg reports that Google “is set to reveal an online picture sharing and storage service that will no longer be part of the Google+ social network” and “will let users post images to Facebook and Twitter”.

He could well be right. I know that a lot of folk see positives in Google+ as an active network for certain interests, but Google has never been interested in anything less than mega scale, and won’t settle for that, I’m sure. 

(Via Google Operating System)

BBC: The Rise of Disappearables

By | July 28, 2020

The transcript of my BBC World Service piece on wearables. Reuters original story here

Forget ‘wearables’, and even ‘hearables’, if you’ve ever heard of them. The next big thing in mobile devices: ‘disappearables’.

Unless it really messes up, Apple is going to do for wearables with the Watch what is has done with the iPod for music players, the phone with its iPhone, the iPad for tablets. But even as Apple piques consumer interest in wrist-worn devices, the pace of innovation and the tumbling cost, and size, of components will make wearables smaller and smaller. So small, some in the industry say, that no one will see them. In five years, wearables like the Watch could be overtaken by hearables – devices with tiny chips and sensors that can fit inside your ear. They, in turn, could be superseded by disappearables – technology tucked inside your clothing, or even inside your body.

This all may sound rather unlikely, until you consider the iPhone is only 8 years old, and see what has happened to the phone since then. Not only do we consider the smartphone a status symbol in the salons of New York, but they’re something billions of people can afford. So it seems highly plausible that the watch as a gizmo is going to seem quaint in 10 years — as quaint as our feature phone, or net book or MP3 player is now.


So how is this all going to play out? Well this year you’ll be able to buy a little earpiece which contains a music player, 4 gigabytes of storage, a microphone to take phone calls – just nod your head to accept – and sensors that monitor your position, heart rate and body temperature.

Soon after that you’ll be able to buy contact lenses that can measure things like glucose levels in tears. Or swallow a chip the size of a grain of sand, powered by stomach juices and transmitting data about your insides via Bluetooth. For now everyone is focused on medical purposes, but there’s no reason that contact lens couldn’t also be beaming stuff back to you in real time — nice if you’re a politician being able to gauge the response to your speech so you can tweak it in real time.

Or you’re on a date and needing feedback on your posture, gait, the quality of your jokes. 

In short, hearables and wearables will become seeables and disappearables. We won’t see these things because they’ll be buried in fabric, on the skin, under the skin and inside the body. We won’t attack someone for wearing Google Glasses  because we won’t know they’re wearing them. 

Usual caveats apply. This isn’t as easy as it looks, and there’ll be lots of slips on the way. But the underlying technologies are there: components are getting smaller, cheaper, so why not throw in a few extra sensors into a device, even if you haven’t activated them, and are not quite sure what they could be used for? 

Secondly, there’s the ethical stuff. As you know, I’m big on this and we probably haven’t thought all this stuff through. Who owns all this data? Is it being crunched properly by people who know what they’re doing? What are bad guys and governments doing in all this, as they’re bound to be doing something? And how can we stop people collecting data on us if we don’t want them to? 

All good questions. But all questions we should be asking now, of the technologies already deployed in our street, in our office, in the shops we frequent, in the apps we use and the websites we visit. It’s not the technology that’s moving too fast; it’s us moving too slow.

Once the technology is too small to see it may be too late to have that conversation.  

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