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After a first-week total of 150,000 subscriptions, Microsoft has reached the 350,000 mark three months after the debut of Xbox Live. The device is being readied for a March 14 European debut, following a North American bow in late November and a mid-January roll-out in Japan. After November’s 150,000 sales of the $49 kit, Microsoft claimed 250,000 subscribers by January. In addition to an Ethernet adapter, Xbox Live comes with a hard drive to download content. The first such offering, the game “Mech Assault,” registered 172,000 downloads in its premiere week. Xbox has long trailed industry leader Sony’s PlayStation2, which introduced its network adapter last summer. Fourteen Xbox games are currently Live compatible, with 10 more on the way.
Sendmail's security compromised by flaw
A security flaw that could allow hackers to intercept email has been discovered by Sendmail and Internet Security Systems (ISS). The problem occurs with Sendmail when transferring mail between computer networks, which allows for the interruption of flow. ISS said that attackers could stop email traffic entirely to read messages via Sendmail’s technology. The Emeryville, Calif.-based Sendmail handles roughly 75 percent of all email transactions. ISS says that the flaw makes Sendmail vulnerable to a worm similar to January’s SQL Slammer, which slowed networks around the world. Both companies say that hackers have not yet attacked. All commercial Sendmail programs and the open-source versions of 5.79 and up may have the flaw. Free fixes are available at the Sendmail site.
Primedia's Sprinks expands to serve up news
Sprinks is expanding. The company, affiliated with Primedia’s About Inc., provides search-linked ads that advertisers pay for only when surfers click on them. Now the company plans to begin more targeted tie-ins to internet news and newsletter readers. While internet advertising has bellyflopped the past two years, paid search listings have actually generated rising revenues. The ads tie to keyword searches, and are listed as sponsored links rather than regular ads. Sprinks says that the pay-per-click market has become very popular with advertisers, and that they wanted more outlets for such ads, leading to more Sprinks products. DirectSprinks will allow advertisers to target opt-in e-newsletters while ContentSprinks links to editorial pages with relevant stories. Yahoo, CNET Networks, Forbes and others are testing some of the products.
Gray's California may seek cash fix from e-tailers
Sure, California’s basically where the internet grew up. But with a state budget crisis and a governor in need of some quick cash, the state isn’t above taxing its baby. Gov. Gray Davis is considering a change in position after his 2000 veto of a bill that would have forced web retailers to charge sales tax. Two lawmakers have introduced a similar bill, hoping to offset the estimated $35 billion in debt that California will face in the next 18 months. It may stand to benefit more than any other state from such a move – the home to Silicon Valley wields a lot of buying power and has a lot of residents. Numbers from the Institute for State Studies estimate that internet retailers would have provided $1.75 billion in taxes last year, compared to $13.29 billion for all 50 states. The state does get some e-taxes now. Retailers with a physical site within California must charge sales tax to state residents. Three dozen other states began charging sales tax last month.
Google strikes back, offers new ad program
Last week it was Overture making news by purchasing AltaVista and AllTheWeb. This week Google’s responding with some changes of its own. The internet search company unveiled a new advertising program on Tuesday that will sell and deliver ads to other web sites. The company already sold ads for Google.com, but this gives it a new area to explore. This will put Google into direct competition with DoubleClick and other ad-serving companies, which put ads on third-party sites. The new Google technology finds what a web page’s focus is before sending relevant ads. According to Google, the new program will include more than 100,000 advertisers. Ad-serving partners include America Online, the Washington Post and Ask Jeeves.
March 5, 2003© 2003 Media Life
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