Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Trusted Logic middleware meets FINREAD 2.0 compliance
2004/09/1st
Trusted Logic makes a first in bringing to the market a device independent middleware complying with FINREAD's D10 requirements (this document lists a set of interoperability tests meant to ensure compliance with the CEN standard).
Trusted Logic's FINREAD middleware is designed to work similarly on different hardware and too offer a common interface for standard FINREAD applications to run. The main departure from standard industry practices is that device makers do not have to go through the pain of developing their own breed of FINREAD technology but rely instead on Trusted Logic to make their device industry-compliant. An increasing number of reader manufacturers have already subscribed to this approach, among which: Gemplus, Innova Card, Xiring and Wave Systems.
This middleware forms the basic building block of a set of enabling technologies offered by Trusted logic, namely:
FINREAD Middleware: Now D10 compliant, our current version implements the latest version 2 features
FINREAD Application Development Bench: Used by application developers to code applications from a PC prior to running on the target device
FINREAD TestBench: Test the underlying device platform against major FINREAD requirements
About Trusted Logic:
Trusted Logic is offering secure middleware solutions to the EFTPOS, secure reader and mobile industry.
French start-up created in January 1999, Trusted Logic has enjoyed ever since an undisputed image of competence in the embedded systems industry. Technology enabler by excellence, Trusted Logic is at the leading edge of the secure embedded technologies for open systems and has built the Trusted Foundations you need to bring the utmost security to your smart card or terminal business. Central to Trusted Logic strategy, our Trusted Foundations are accompanied by certification tools and security services to offer the most comprehensive and reliable solutions. For more information about Trusted Logic, visit http://www.trusted-logic.com.
Last updated on September 1st 2004.
Intel shows chip roadmap
(and they're behind Trusted Computing)
http://www.vnunet.com/news/1157968
The management capabilities are just one of a set of new technologies Intel is readying. The company is also working on Lagrande security features that will form part of the trustworthy computing platform.
Intel has disclosed new technologies that will feature in its chips in the next few years. The firm demonstrated a dual-core version of its Itanium 64bit processor, and announced plans for a new management technology that it said will give IT managers greater control over networked computers, even if the machines are inoperable or turned off.
At Intel's Developer Forum in San Francisco, president and chief executive Paul Otellini said the firm was now focused on improving processor efficiency as much as on increasing raw performance, and this would lead to better multitasking, security and management capabilities.
The chip vendor demonstrated working silicon for Montecito, a dual-core version of its 64bit Itanium processor that is expected to ship in mid 2005. This will feature a total of 24MB of cache memory and have upwards of 1.7 billion transistors. A faster version of Montecito - codenamed Montvale - is scheduled for 2006, and multi-core versions of the Itanium family featuring four or more processors on the same chip are planned for the future, Intel said. Dual-core versions of Intel's Xeon chip for PC workstations and servers and the Pentium 4 chip for desktops are already slated for next year.
"Intel's multi-core technology is not about just putting two cores on a single piece of silicon. It allows developers to take advantage of existing resources and tools to provide new and innovative benefits for end-users," Otellini said.
Intel also unveiled its Intel Active Management Technology, which will enable administrators to remotely access every networked system, even those that are powered down, have a crashed hard disk, or a locked up operating system. If it lives up to its promise, such technology could greatly assist IT chiefs in reducing downtime and cutting operational costs.
"Intel has talked with many IT managers and heard a need to enhance the manageability of client and server platforms," said Bill Siu, vice-president of Intel's Desktop Platforms Group.
Intel Active Management Technology supports an out-of-band link that is independent of the operating system, which allows access to systems even if they have crashed, Intel said. This is expected to provide the foundation of a new generation of management tools. Software firms including Altiris, BMC, and Check Point Software are now planning such products.
The management capabilities are just one of a set of new technologies Intel is readying. The company is also working on Lagrande security features that will form part of the trustworthy computing platform.
Haven't seen this before.................
http://www.techscaler.com/prod01.htm
Intel Highlights Advances in the Digital Home
and Office; End-User Research and Development of Ecosystem Key to Progress
SAN FRANCISCO --(Business Wire)-- Sept. 8, 2004 Intel Corporation today highlighted important advances in the digital home and digital office environments. End-user research is leading Intel to better shape its understanding of consumer and business needs and is defining new industry-wide product opportunities for the digital home and the digital office.
"It's the marriage of what's possible with what's needed that ultimately drives innovative solutions that are valued in the marketplace," said Bill Siu, Intel vice president and general manager, Desktop Platforms Group. "Intel is working to understand how people are using technology and in some cases how they aren't, to provide holistic platform solutions."
To meet the changing workloads and user needs, Intel and the industry must bring entire platform solutions -- with the features, technologies, well-tested software tools, operating systems and applications to meet end-user needs -- that are validated to properly work together. One such example is Intel's plan to deliver multi-core processors across various product lines including a forthcoming Intel dual-core processor for desktop PCs in 2005.
Research, combined with the broad-based collaboration and development of common industry specifications, has already led the industry to deliver on the digital home vision and will enable the industry to do the same for the digital office.
"Digital home is an example of a broad-based collaborative effort encompassing not only the computing industry, but also the communications, consumer electronics and content industries," Siu said. "We've not only made great progress in putting common industry specifications in place, but also in developing a broad ecosystem and new products to deliver the digital home vision to consumers."
As an example of this collaborative effort, the industry has developed several sleek-looking Entertainment PCs (EPCs) that will be available for the holiday season. Based on the Intel Pentium 4 processor with Hyper-Threading Technology and the Intel 915 Express Chipset family, the EPC combines the functionality of audio and video devices with the power of a high-end PC -- packaged together in a slim form factor that can fit in a living room entertainment rack. The EPC enables consumers to store and manage personal media including photos and home movies, and to access digital entertainment -- including movies, music and recorded TV programs -- from a single remote control device.
Siu previewed EPCs from several leading OEMs including Alienware(1) and Hewlett Packard(1). Intel also announced its 2004 EPC Platform which is enabling customers to develop EPCs for this holiday season.
With the arrival of the EPC, content companies are designing software that allows consumers to interact with their PC using a remote control because of specialized user interfaces designed for viewing from a distance. PC games, previously relegated to the office or den, can now be enjoyed on the living room big screen TV. Such activities as downloading music and movies are as easy as a few clicks of a button on an EPC.
Intel is working with companies including Activision(1), Digital 5(1), Electronic Arts(1), Movielink(1), Napster(1) and Real Networks(1) to bring new gaming, movie and music experiences to consumers. In order to accelerate content availability for the EPC and digital home, Intel announced its Software and Services Product Recommendations (SSPR), an enabling program and set of guidelines for Independent Software Vendors and services providers.
To further industry specification efforts in interoperability, Intel also published a new version of its device guidelines. Intel(R) Networked Media Product Requirements (Intel(R) NMPR) version 2 uses Digital Living Network Alliance (DLNA) Interoperability Guidelines v1.0 as its foundation and builds on it to support premium content and remote applications and services.
Digital Office Innovation and Opportunities
The company is also focusing efforts on the digital office. Intel's vision for the digital office focuses on improving the way business is transacted with always-available, always-useful technologies and platforms that are more aware, connected, intuitive and responsive.
"When you look back at the evolution of the office environment and issues faced by office computer users, you can see that they come in waves and every once in awhile there are big, transformational changes," Siu noted. "These seismic shifts happen only every decade or so."
"In recent years, there have been fundamental changes in the workplace as business people do their jobs," he said. "The way we work, communicate, make decisions and collaborate across great distances and through many time zones pose new problems -- both for the line-of-business personnel and IT departments."
Powerful trends such as the dramatic increase in security breaches and cost of manageability, and the geographic dispersion of workers with increasing need for collaborative tools are among the challenges facing businesses. Others include the information paradox where businesses are collecting so much raw data but lacking tools to quickly turn that into useful information to make key business decisions and the rapid growth in wireless LAN, public hotspots and networked devices, which add to the complexities of connectivity and security.
After studying these data trends, Intel has developed four areas of focus for improving the digital office: embedded IT, instant teamwork, pervasive connectivity and the information assistant. Intel is developing technology building blocks and platform features to address these focus areas. As one example, Intel yesterday announced Intel Active Management Technology that will give IT managers a new level of manageability and maintenance over their networked computers -- even those that are unregistered or turned off. It also offers asset protection by helping to prevent users from removing critical inventory, remote control, or virus protection agents.
TPM 1.2 Trusted Platform Module and its use in NGSCB
http://www.only4gurus.com/v2/download.asp?ID=5709
wheretochurn
I think my point is obvious.
wheretochurn
You have mastered the art of subliminal posting!! I'm fairly certain all of iHub has succumbed to the power of your stylistic and hypnotic probes.
what are the rules on delisting? is wavx in danger?
what does the poor intc outlook and general malaise in the tech sector now mean for wavx?another few quarters to be pushed out before revenues come in? i think we're in deep trouble now, if we weren't already
so all the current security sofware companies people like me are using are already in the TCG? why arent they and i using wavx stuff then?
Lark Allen & Stacy Cannady, again.....
http://www.secureitconf.com/detail.jsp?ID=2361
oknpv
At the conference, Wave is going to release their newest product. I think it is called the "EMBASSY Trust Swede".
ba dum bump!
HJ, read this............
maybe you'll have a better understanding:
https://www.trustedcomputinggroup.org/press/RSI_Copyright_Article-_July_2004.pdf
wheretoturn: You'll like this
It's sorta like "where's Waldo?" only in this game we try to find one of barge's posts amongst yours. Can you find it??
Most of us have seen right through your posts, so it was fairly easy.
i guess the whole market is down and wavx is just a victim of this malaise rather than any crap products?
will try and buy some today. i've seen loads of stocks spike before they go out of business.
Does the placement mean that someone believes that wave do actually have a product and potential revenue sometime soon or does it mean that they will still make money if wave go out of business anyway?
what hope is there for the technology yet to be proven non established companies like wavx?!!
From what i've read on this board and yahoo, that the promises made before and not ever been kept reflects in the share price and it's still over valued!
Does no activity in 12 months after announcing Intel and IBM preclude some sort of inkling of failure?
I always felt compelled to repeat year after year, ad nauseum, what I firmly understood to be the core mission of this company, namely, becoming THE DEFACTO INTEROPERABLE PLATFORM FOR TRUSTED WEB SERVICES.
I still think it's worht a gamble but can fully understand people who think this company is dead.
lost track of the digital world and can't believe what the price is now after all the Intel and IBM releases. I guess they had no substance
I started thinking, is wavx security needed? Isn't the internet and PC's now secure enough already? Maybe that's why the industry and consumers have turned their back on wavx?
I've concluded that the industry doesnt need wavx technology....things are safe enough and there are already better solutions in the market place.
But wavx as a long time going concern is not going to happen.
The odd smoker who lives until s/he is 80 is probably the same probablility of the PC user who has suffered serious fraud - they are both 1 in a million unlikely chances. Maybe that's why the market isnt accepting wavx.
Guess I'm just not the person wavx would have a solution for, since I dont have a problem. I suspect there are many billions like myself.
What to expect from Microsoft's NGSCB plan
Given the long time before the NGSCB can take hold, other solutions offering similar security benefits, but are cheaper, easier to adopt and less disruptive to users are likely to emerge in the meantime.
http://www.computerworld.com/securitytopics/security/story/0,10801,95294,00.html
AUGUST 19, 2004 (COMPUTERWORLD) - Microsoft Corp. said that it was retinkering with its Next Generation Secure Computing Base (NGSCB), originally announced in 2002 with the code name Palladium. This step was taken in response to demands from users and software vendors that existing applications could take advantage of the security functions offered by the NGSCB platform without having to rewrite them (see story).
This is welcome news for users and independent software vendors. However, it may present challenges to the NGSCB design. To facilitate the discussion, Figure 1 shows the NGSCB configuration. Components of the NGSCB that require the support of new hardware are shown in Figure 1 with the image of an IC chip.
The NGSCB Nexus security kernel identifies, authenticates and controls access to trusted applications and resources using a security reference monitor, a part of the Nexus security kernel. For an application to make use of the protected operating environment, either parts of it need to function as component Nexus Computing Agents, or the entire application needs to function as a stand-alone NCA. An NCA is a trusted software running in the protected operating environment and is hosted by the Nexus. The protected environment in the NGSCB was envisioned as a very restricted development environment. An application is partitioned so that only components that manage critical trusted information are run as NCAs in the protected environment, and components that manage traditional functionalities are run in the standard environment. This is summarized by Microsoft1 as: "A good rule of thumb is: If you can leave functionality in Standard mode without compromising information, you should leave it there." To achieve this partition will most likely require some rewriting and retesting of existing applications.
Another challenge to running existing applications as is without rewriting is more fundamental and may cause breaches to the security of the NGSCB. The two main enabling features of the NGSCB platform are the hardware-enforced curtained memory where the Nexus and NCAs are run, and the hardware component, namely the Security Support Component or Trusted Platform Module chip, for storing and managing encryption keys.
However, once in the protected environment, based on Microsoft documents2, the Nexus is protected from NCAs, and the NCAs are protected from each other using the same ring and virtual memory protections as used in today's computers.
Thus, once a program gets into the protected environment, the security is no different from the situation in today's PCs. To ensure the security in the protected environment, NCAs should be written as managed codes so that the Nexus can closely manage them, and it is ensured that the Nexus is protected from the NCAs and the NCAs are protected from each other. Allowing applications to run in the protected environment means that flaws or vulnerabilities in an application may compromise the ring and virtual memory protection within the protected environment, and modify or affect the Nexus or other NCAs in unintended or malicious ways.
Microsoft envisions that the NGSCB promises four main benefits to users: protected memory, attestation, sealed storage, and secure input and output. We will analyze each of them below.
Protected memory
The NGSCB provides a hardware-enforced, curtained memory space for the Nexus and NCAs such that trusted applications running in the curtained memory are not modified or observed by programs or even the operating system in the standard environment. This is very strong protection.
However, once in the protected environment, as pointed out before, standard ring and virtual memory protection as in today's PCs is used. Thus, once a flawed or vulnerable program gets to run as an NCA, the security protection promised by the NGSCB may be compromised, and we are faced with a situation not different from today's PCs. One way to improve this is to have another layer of hardware-enforced curtained memory protection for the Nexus.
Attestation
Attestation ensures the identity and authentication of a computer and the programs that run on it using public-private key pairs and digital signatures. The benefit of attesting a computer and an application is obvious for enforcing software licenses. However, the benefit to a user is not as clear.
Attestation of a computer and an application over the Internet requires that a user run the application on the same NGSCB computer each time he needs to attest to the server. If the user needs to run the application on a different computer, he will need to make sure that the computer is NGSCB-enabled, has the same application installed and both the application and the computer are authenticated to the server, either directly or indirectly.
Requiring attestation of a specific computer limits a user from using different computers, which may be needed when a user travels. Other benefits of attesting a computer and an application over the Internet include network access and traffic control, and two-factor authentication.
There are alternative solutions for such purposes that are either simpler or more essential. For network access or traffic control, security and access policies can be enforced on the switch port or the VPN tunnel to which the computer is connected. There are existing solutions for network access control based on user authentication and checking of the computer for security compliance.
Furthermore, regardless of whether the computer and application are attested, companies are finding that filtering and security checks of the contents are increasingly becoming necessary. For two-factor authentication, proven and mobile technologies such as the RSA SecurID or USB security keys work well. New USB security keys that integrate cryptographic functions, key management and VPN support are bound to a user, not to a computer, and thus are more mobile. Furthermore, when there are many non-NGSCB computers out there, only identifying the "good guys" who enable the NGSCB mode limits the scope of its intended purpose.
Sealed storage
The benefit of the sealed storage is provided by encrypting and storing a unique secret or key that an NCA used to encrypt your data and a digest of the NCA, thus eliminating the risk of storing data encryption keys unsecured on a hard drive. This is a useful function. However, since disk access is handled by the standard environment, which may be compromised, the Nexus' or an NCA's disk access may be sabotaged by a malicious program in the standard environment. Since the data is encrypted, its content is protected, but this does not prevent a malicious program in the standard environment from dropping, deleting or altering the encrypted data.
To prevent this, there needs to be a digital signature integrity check at the disk controller each time the Nexus or an NCA writes to the disk. This will require new hardware in the disk drives and new disk access protocol. Also, there are other technologies for sealed storage that are more portable. For example, you could use a USB key with embedded cryptographic functions such as public-private key-based authentication, digital signature and certificate, and encryption key generation, storage and management.
Secure input and output
The NGSCB secures the data path from the keyboard and mouse to NCAs and then from those NCAs to trusted windows under their control, and thus prevents programs in the standard environment from monitoring or intercepting a user's data or activity. This requires new keyboards with encryption chips and new graphics controller chips that decrypt data and prevent decrypted data from being read. The impact of the added encryption and decryption on the computer's power consumption and performance needs to be evaluated and is not clear at this point.
I have not found any Microsoft document mentioning this, but to achieve the secure input and output benefit promised by the NGSCB, I believe that the NGSCB will also require new printer controllers or adapters that decrypt data for printing and prevent decrypted data to be read by the computer. A secure document will need to stay encrypted in the standard environment until it reaches the printer. So the printer needs to decrypt data.
In addition, the printer controller will need to have a hardware separation of encrypted and decrypted data so that once the data is decrypted, it can only be printed, but not be read back by a program in the standard environment. Otherwise, an attacker can insert a malicious program into a printer, wait for data to be decrypted for printing, use a malicious program in the standard environment to fetch the decrypted data back and send it out over the network.
The NGSCB's requirement of new chips and new peripherals increases the cost of the solution, as well as the adoption cycle. Requiring users not only to buy new computers, but also to throw away keyboards, mice and printers that still have a long remaining working life, most likely will mean that it will take quite some time for many of the NGSCB-equipped computers to be NGSCB-enabled even if NGSCB PCs are bought.
The NGSCB offers some promising security benefits, however, there are still many challenges and unanswered questions. Given the long time before the NGSCB can take hold, other solutions offering similar security benefits, but are cheaper, easier to adopt and less disruptive to users are likely to emerge in the meantime.
eamonn, you are correct! e/
spin
maybe it is not that uncommon...........
http://www.eetimes.com/pressreleases/bizwire/110319?_loopback=1
Wave's EMBASSY(R) Trust Suite is leading secure personal productivity software that works with all TCG-compliant TPMs commercially available. These devices within a PC serve as a root of trust and provide trusted resources used by Wave services to extend trusted functions within the computer. Wave's EMBASSY Trust Suite is integrated into the Microsoft Office(R) environment and is engineered to deliver a variety of PC-related personal productivity tasks, in an intuitive, easy-to-understand format.
"The increasing availability of products from TCG members, such as Wave Systems, means that users benefit from increased security on their PCs now and in the near future," said Nancy Sumrall, chairman, TCG marketing work group.
I'm sure you'll recall Ms. Sumrall as an Intel employee.
Unclever, thanks! Did anybody hear this?:
I guess what we’re trying to do is, what I don’t think would help Wave at all is to put a specific number out there and then have to at the end of a quarter publish a release that says, “We missed that number by, you know, 20%” - call it, okay? So pick any arbitrary number and let’s say I’m underneath it by some amount. I don’t think that that helps us at this point in time because realistically we’re still at the fairly small end on a numbers scale. I mean, significant growth for us in third quarter is going to come from actual sales of products. Now we have, I think, a pretty good pipeline forming up. One of the challenges we have, and I think last quarter helped us reflect on it, we booked more business than we can show as revenue. And yet there were contracts that we thought would apply to revenue would have made our $6,000 number look better, we’re taking a very conservative approach to booking that, which I think is absolutely appropriate for a company of our size and at this scale in our development. There’s no point in taking any, you know, being innovative in accounting is a really bad idea for a company.
so the issue is, the issue for us I think is very simple, which is I don’t want the sales team today driven by accounting rules. I want them to go book business. And they successfully did that in second quarter and those numbers will ultimately reflect moving forward. I think the challenge is that there’s just not enough historical context to the contract mechanisms, and the booking convert to revenue mechanisms. So let the company build a little bit of a backlog and a little bit of history. And we’ll get much more comfortable in making projections.
VH, speaking of Longhorn
Security in Longhorn will be better when the new operating system is released in 2006 than security in Windows XP , which debuted in 2001 -- or so Microsoft has promised.
How much better though, is a matter of how effective Microsoft, as well as Longhorn users, will be at staying one step ahead of the hackers that will surely be gunning for Longhorn vulnerabilities.
For I.T. managers planning for Longhorn deployment, the key security factor is the great unknown -- anticipating future vulnerabilities that right now are a glint in the evil eye of hackers. All I.T. can do for now is to upgrade existing systems in anticipation of Longhorn's arrival.
New Attacks, New Threats
"All infrastructure vendors have to fight yesterday's wars because of their vast installed bases. So, new attacks will come out and new vulnerabilities will be found in those products," John Pescatore, vice-president at Gartner Research, told NewsFactor. "Longhorn should stop many of the attacks we see today, but I can guarantee we will be fighting new security battles even before Longhorn ships."
Pescatore added that many pre-Longhorn I.T. security investments will be obsolete by 2007.
For clients, Pescatore is recommending pre-Longhorn investments in vulnerability management, intrusion prevention and identity management -- versus anti-viral, patch management, and other solutions that won't put processes in place that deal with changing vulnerabilities, threats and attacks.
Several new security-promoting technologies are to be built into Longhorn. These include an ability to periodically check user's systems against new security fixes in a centralized patch database, and to institute far more stringent access controls and permission levels.
Longhorn Has Its Privileges
Already, Microsoft's Microsoft Developers Network site offers details, as well as preliminary code for least-privilege user account, application impact management and protected administrator, three features that will run in together to add roadblocks to unauthorized administrative access and privileges to perform certain actions.
These actions include backing up installed software, defragging and re-partitioning hard drives, and making major changes to enterprise management software.
These and other applications will be run with a special restrictive token that one individual in a company -- such as the head of I.T. -- has either sanctioned for use, or has already been deployed by the organization and designated as "trusted."
Additionally, Pescatore noted, Windows Next Generation Secure Computing base will enable the Longhorn kernel to take advantage of Intel's forthcoming LeGrand technology. LeGrand will enable the placement of Trusted Platform Module chips in newly manufactured PCs pre-installed with Longhorn. "This can have dramatic increases in digital rights management and the ability to run trusted code securely on a PC -- which you cannot do today," LeGrand said.
"Longhorn will be Microsoft's first desktop OS built after they started to care about security. So I do expect Longhorn to be more secure," Pescatore added.
865 chipset on new IBM machines due this month
http://www-306.ibm.com/common/ssi/rep_ca/2/897/ENUS104-302/ENUS104-302.PDF
http://www-306.ibm.com/common/ssi/rep_ca/3/897/ENUS104-303/ENUS104-303.PDF
Users told to delay XP SP2
Tuesday 17 August 2004
Users are being advised to delay roll-outs of Windows XP Service Pack 2 to allow time to test application incompatibility, despite Microsoft’s insistence that the upgrade is essential.
Within the next fortnight Microsoft users will receive SP2, which tightens security in the Windows XP desktop operating system. It is widely regarded as the most significant update since Microsoft launched its Trustworthy Computing campaign to improve the security of its product.
IT user groups welcomed the improved security in SP2 but warned that installing the upgrade without prior testing could cause widespread disruption to companies.
The main issue users face is that the sheer complexity of SP2 will mean it requires lengthy testing. Analyst firm Gartner has estimated that a large company would have to test 1,000 IT systems as part of an upgrade to SP2.
John Pescatore, vice-president of internet security at Gartner, estimated that a business with 100,000 staff would have 1,000 unique applications to test. "This will require several man-months of testing," he said.
David Roberts, chairman of user group the Corporate IT Forum, said Windows XP SP2 was the first attempt by Microsoft to address the security problems that have plagued its software. He said he was encouraged by the release of SP2 but warned users, "Precede with caution because SP2 is not a simple update."
Owen Williams, head of IT at property company Knight Frank, said his company was planning to upgrade to SP2. "We need to do something about testing [the impact of SP2] pretty soon, and we are working out what we need to test, how long it will take and who is going to do it," he said.
Colin Butcher, a board member of the HP User Group, said SP2 posed a number of support issues for users. "What will it break? Will it be reliable? Can you upgrade and get a stable platform, or will we need to rebuild systems from scratch?" he said.
Neil Macehiter, research director at analyst firm Ovum, warned users that they should treat the SP2 upgrade as if they were upgrading to a new version of the Microsoft operating system.
IBM, which has 400,000 desktops internally, posted an internal memo to its employees earlier this month warning them not to install the Windows XP SP2 software, but to wait for a customised version.
Paul Randle, Microsoft’s Windows product manager, said, "We encourage all our customers to move to Windows XP with the introduction of SP2. Eighty per cent of the work has been around raising the level of security."
hey guvna
Did you membermark yourself?? lol
How old are all these posts of mine? this is the google search result:
Palladium: Blessing or Curse?
Microsoft Certified Professional - 14 hours ago
... the self-appointed guardian of all that is digital.” He claims that Palladium is just Windows running on future Intel-led Trusted Computing Platform Alliance ...
Granted, I posted it before I read it, but it appeared to be new. And even though it is a year old, it makes for much more interesting reading than the best of your posts.
I especially like this insightful post of yours though:
http://www.investorshub.com/boards/read_msg.asp?message_id=3274751
zen, very strange, at the top it has today's date and it just appeared as a hit on my daily TC google search. Maybe I can dig up some "new" stuff on the Wavemeter !!! LOL
Hi Zen about 13 hours! here ya go:
http://www.mcpmag.com/columns/article.asp?EditorialsID=499
Palladium
Goddesses and Horses
Athena, born full-grown from the head of Zeus, was trained in the fighting arts. She accidentally killed her friend, Pallas, during a game. It saddened her so much that she appended the name of her friend to her own. A statue of Pallas Athena in full armor, known as the Palladium, stood guard over the ancient city of Troy. Legend held that as long as the statue was safe, so was the city. During the 10th year of the Trojan War, Odysseus and Diomed stole the statue. The city soon fell to the nefarious Greeks, who hid inside a wooden horse.
Thus, Palladium has been defined as a safeguard, a guarantee of social institutions or a sacred object with the power to preserve the city or state it protects. And the Trojan horse? Well, I think you know the answer to that one.
Today, we find the word Palladium everywhere. It’s an element: Pd, a silvery-white metal used in watch springs, dental fillings (still got a few of those) and surgical instruments. It’s a restaurant in Philadelphia, a theatre and a band in Australia. No doubt, you can find many other interesting uses of the name—including Microsoft’s proposed secure computer infrastructure.
The End of Computing As We Know It?
According to Microsoft, Palladium will offer huge improvements in computer security. These are partially due to new operating system features and to soon-to-be-developed hardware functionality. Third-party applications can take advantage of these features to make the entire computing experience more secure—or more constrained, depending on your viewpoint.
There are those who say Palladium will signal the end to computing as we know it. Gone will be the innovation, the freedom to choose, they cry. Gone will be the ability of the little guy to make his mark on the world by inventing the next killer app or operating system.
There are others who say that Palladium will enhance computing. Gone will be the opportunity for the little guy to make his mark on the world by creating the best and baddest worm or virus.
Those who support Digital Rights Management applaud Palladium. In fact, the idea for such a project came from the Microsoft digital rights team, and two patents said to be on the process behind Palladium involves Digital Rights Management.
Microsoft says we’re years away from the actual product, but now is the time to try and to understand it. Remember, Microsoft will want to sell you this product. Maybe, you can influence its development of it. So, what will Palladium be and how can you put in your two cents?
No Longer Safe
First, make no mistake—the reason for Palladium is, at least in part, reactionary. The world’s changed and become more interconnected. This is a good thing, but it brings new problems. In a world with fewer boundaries, previous security models aren’t sufficient. Malicious code created anywhere in the world spreads across the globe with unheard-of speed. Slow transmission via floppy disk previously limited the spread of infection, but now anyone with an Internet connection can be affected within a very short time. It also used to be that patching a machine against a vulnerability might be more dangerous than the risk that someone would take advantage of the flaw; now unpatched systems risk immediate compromise.
Current security infrastructures—firewalls, intrusion detection, PKI and so on—can’t handle the variety and volume of attacks that strike with increasing speed and sophistication. At the same time, security, network and systems administrators face escalating demands to secure information. Add to that new legislation requiring protection of privacy and proprietary information, and you can see the problems facing data security.
Palladium’s Parts
Microsoft thinks the answer is Palladium. Here’s what it says Palladium will provide:
Greater integrity: Hardware and software components will be verified both in establishing their identity and managing what data they can access.
Superior personal privacy: Internet/network access of private data will only be allowed by authorized sources. The user, the owner of the data, will control what an authorized source is. On machines used by multiple users, each user’s data will be compartmentalized into realms so that one user’s error doesn’t compromise someone else. It will also mean that one user’s identity and data can’t be stolen by another.
Enhanced data security: Machine identity is also authenticated. Keys are stored in sealed storage. All data is protected—user, corporate and commercial. Transactions and processes can be verified as correct.
What Will it do?
The details of how this will happen are somewhat sketchy, but here are some broad outlines of what the Palladium experience will be like:
Legacy compatibility: Existing applications and device drivers will run, but these legacy applications won’t benefit from Palladium’s security.
Secure identity: Users can choose an identity service provider. Identity service providers can be used to represent data in online transactions.
Digital Rights Management (DRM) technology: DRM isn’t required. DRM provides content protection, protection of intellectual property, trusted e-mail, and protection of corporate documents. DRM deployed on Palladium will benefit from it; but DRM doesn’t require it, nor does Palladium require DRM.
Software and hardware authentication: Trusted gateway servers provide a barrier between remote and corporate networks. The gateway only allows trusted applications to access the network and protects the network from infection by remote users while protecting remote users from intrusion via the corporate network.
Closed spheres of trust: Data or services can be bound to users and applications.
Default configuration: Users of Palladium systems must opt in; Palladium systems will be shipped with hardware and software features turned off.
Code isolation: Trusted code runs in physically isolated and protected memory. While viruses can still run in Palladium, an anti-viral program can’t be corrupted by infected code, allowing it to work without danger of corruption.
Authenticated operations: Sealed storage protects applications from subversion. Applications can be authenticated.
Attestation: Software and hardware are cryptographically verifiable to user and computer, programs and services before information is shared. Transactions can then be assured that operations and data originate from other trusted applications and machines.
Protected pathways: Hardware provides protection so keystrokes can’t be snooped or spoofed.
Trusted execution space: Trusted code runs in a trusted execution space, so code can’t be observed or modified. Files are encrypted with machine-specific secrets and, therefore, are useless if stolen or copied. The machine’s private key and system secrets are embedded in hardware.
Agents: Trusted agents from any publisher can run on Palladium. Only the user can restrict which can run.
Certification: Organizations other than Microsoft will be able to certify Palladium systems.
Source code: It will be published. That’s right. Palladium source code will be shared. This isn’t to say that it’ll be open source, just that it’ll be available for review.
The Four Elements
The problem is that there are few details. How will the system be built? What software can run on it? All Microsoft will say about Palladium is that four elements will be combined to create the platform:
Architectural enhancements to the Windows kernel: Trusted data storage, encryption, authenticated boot, and hardware and software authentication are provided by the Nexus (see next page) and trusted agents.
Architectural enhancements to computer hardware: CPU, peripherals and chipsets will create a trusted execution subsystem. The Nexus maintains trusted space and has access to Palladium services such as sealed storage. Sealed storage is an area that can be used by trusted programs to store secrets. Non-trusted programs can’t retrieve or read these secrets (booting to another OS or placing the disk on another machine won’t grant access). There will be, however, trusted backup and migration of secrets to other machines. Attestation can be used to verify whether parts of the operating environment, or Palladium itself, are running on a machine.
The Nexus (known previously as trusted operating root or TOR): The Nexus is software adapted or written to use the Palladium environment. The Nexus manages trust functionality and executes in kernel mode in trusted space. It provides services to trusted agents, sealing and unsealing of secrets, and attestation.
Trusted agents: These are programs or parts of a program or service that run in user mode in trusted space. Trusted agents call the Nexus for security services and critical general services such as memory management.
Censorship Concerns
All this is enough to get critics jumping. Some, such as Daniel Christle of WindoWatch (an e-mail newsletter), fear that Palladium will give Microsoft too much control over the PC, that it will be “…the self-appointed guardian of all that is digital.” He claims that Palladium is just Windows running on future Intel-led Trusted Computing Platform Alliance (TCPA) computers. He claims that far from improving hardware and software security for the consumer, Palladium will enable Microsoft and others to access your computer remotely to remove or disable pirated software or content. Good news, in other words, for Microsoft, Disney, Sony and the Record Industry Association of America, but bad news for consumers.
Is the bad news that consumers can’t run illegal copies of software or steal copyrighted works? No, the bad news is that the very software and hardware that might enable copyright holders to become the long arm of the law could also be used to prevent anything but Windows from being the OS for the new machines. It could be used to stifle competition and innovations, as only those wealthy enough to seek Microsoft certification of their products could now compete in a Palladium world.
Another critic, Ross Anderson, a Cambridge University researcher and a computer scientist, lists the possibilities: Applications will communicate securely with the vendor, allowing DVDs to be run but not copied, and permitting unlicensed and pirated software to be detected and deleted remotely; rented software can be deleted if the fee isn’t paid; documents can be classified with less chance of being compromised because they’re bound to a specific hardware device; cheating at computer games and online tactical bidding at auctions will become more difficult.
If you’re not a thief, all these things sound good, but here’s an issue: Anderson and others say remote censorship is also possible. Repressive countries and others would now have a way to suppress freedom of speech, make books unreadable or garble songs that express ideas they consider dangerous. Businesses could be prevented from moving to a competing product—as documents are encrypted by one vendor’s products, they couldn’t be read by another. Remember also the whistle-blower, the lone individual who changes destiny by alerting police or the press to immoral, unethical and illegal activities going on where he or she works. With Palladium, this person couldn’t e-mail the proof to the press, as the incriminating information couldn’t be read on non-company computers.
Criminals and terrorists may also benefit from Palladium, as they can protect their dealings from spying eyes and make their data disappear if removed from their machines (unless, of course, some master key is provided to the authorities). But if some master key is provided, could the nation that manufactured the chips shut down the computers of another country as the first salvo of war?
Christle and Anderson criticize Microsoft for using the TCPA DRM model. They ask if the security is for you and me—or for the PC vendor, software supplier and content industry. Others criticize Microsoft for breaking away from the TCPA and going it alone.
Jon Lasser, in a SecurityFocus Web site column, claims that Palladium will kill Linux and open-source. He also says that—although all code will be required to be digitally signed and enforced at the hardware level (and, thus, can eliminate attacks by code that must execute to do damage)—Palladium won’t prevent successful attacks that run from within trusted applications. Think Outlook viruses, macro viruses or the use of trusted code in some way not thought of, but that still does harm.
Additional Information
Learn More About Palladium:
"Who trusts Microsoft Palladium? Not me," ZDNet UK, http://zdnet.com.com/2100-1107-939817.html
The Electronic Privacy Information Center, www.epic.org/privacy/consumer/microsoft/palladium.html
"The Truth About .NET And Palladium," Internet Week www.internetweek.com/security02/INW20020725S0003
"Is Microsoft's Palladium a Trojan Horse?" Internet News www.internetnews.com/ent-news/article.php/1378731
"Microsoft Palladium: A Business Overview," www.microsoft.com/presspass/features/2002/jul02/
0724Palladiumwp.asp
TCPA/ Palladium Frequently Asked Questions www.cl.cam.ac.uk/users/rja14/tcpa-faq.html
"The Devil and the Deep Blue Sea," http://online.securityfocus.com/columnists/96
"A Hollywood Ending," www.pbs.org/cringely/pulpit/pulpit20020711.html
The Ball Is in Your Court
So there you have it: Microsoft’s proposed blueprint for safer computing, and the critics’ negative analysis of the design. It’s in your hands now, your chance to take action. Write to Microsoft requesting more information about Palladium at pdinfo@microsoft.com. Read the TCPA standard at www.trustedcomputing.org. Get on the mailing list to be notified when more Palladium information is available by sending e-mail to pdinfo@microsoft.com with the word “subscribe” in the subject line.
Get informed. Get involved. Get it?
Ramsey, was it just me, or didn't anyone
else hear sks say (paraphrasing) we booked more deals this quarter (than Q1?) than we recognized in revenue?
I'd love to know the amount of revs deferred into this quarter.
Booked more business!! that's what he should've said in the opening statements!
Steven Sprague, Wave's president and CEO, said, "We believe Wave made important progress over the past several months, including validating our pricing/economic model in the marketplace, as well as signing up a range of new distribution partners who substantially expand our reach into a number of key vertical market opportunities. We are working very hard to support customer awareness and understanding of the benefits of trusted computing, with a goal of ensuring that anyone who goes to purchase a computer in the future will select a trusted computer as it potentially provides the foundation for a greater level of assurance and security. Importantly, trusted computing has finally begun to emerge on the purchasing check list of the more informed corporate and government buyers.
"Though certain partner delays limited our Q2 financial performance, we believe we have improving visibility for an increase in order bookings and shipments from original equipment manufacturers (OEMs) and channel partners in the second half of 2004, weighted toward the fourth quarter, including several near-term procurements and an initial governmental trial which closed during the quarter now in progress.
"Wavexpress also gained key commercial momentum, signing two important customers that deliver mainstream broadband content in the sports and entertainment markets, in addition to other distribution relationships. These are revenue generating relationships that may be equally important as marquee references for our solutions."
For the second quarter ended June 30, 2004, Wave Systems reported net revenue principally related to OEM shipments of its EMBASSY® Trust Suite (ETS) software of $6,000, compared to revenue of $34,000 in the second quarter ended June 30, 2003. Second quarter revenue from ETS shipments were roughly in line with levels achieved in the preceding two quarters.
Wave reported a net loss to common stockholders of $4.3 million, or $0.06 per basic share, for the second quarter of 2004, compared to a net loss to common stockholders of $6.3 million, or $0.12 per basic share, in the second quarter ended June 30, 2003. The weighted average number of basic shares outstanding in the second quarters of 2004 and 2003, was 67,363,000 and 52,096,000, respectively.
For the six months ended June 30, 2004, Wave Systems reported net revenue of $57,000, compared to revenue of $50,000 in the six months period ended June 30, 2003. Reflecting ongoing investments in sales, marketing and R&D, Wave reported a net loss to common stockholders of $7.7 million, or $0.11 per basic share, for the first six months of 2004, compared to a net loss to common stockholders of $12.7 million, or $0.24 per basic share, in the first six months of 2003. The weighted average number of basic shares outstanding in the first six months of 2004 and 2003, was 67,350,000 and 52,096,000, respectively.
As of June 30, 2004, Wave had current assets of approximately $6.1 million and no long-term debt. Effective August 2, 2004, Wave completed a $3 million private placement which included an additional investment right and warrants, which if exercised by the investor in their entirety, would generate approximately an additional $8.7 million in gross proceeds to Wave.
Recent Wave Systems developments (for more details, please visit www.wave.com):
Intel desktop board models: Wave's EMBASSY® Trust Suite 3.1 commenced shipping with Intel desktop board models D915GEV and D915GUX in June, targeting business users of next generation PCs. For information about the new desktop boards, visit: http://intel.com/design/motherbd/ev and http://intel.com/design/motherbd/ux.
Envoy Data Corporation: Envoy Data agreed to resell Wave's EMBASSY® Trust Suite (ETS) software and infrastructure to enterprises and government entities interested in trusted computing solutions for personal computer security. Envoy Data has worked in partnership with industry leading manufacturers and integration partners to deliver cutting edge technology and to meet business needs.
CSS Laboratories: CSS Laboratories agreed to offer Wave's ETS software and infrastructure to government entities and enterprises interested in secure and trusted computing solutions. CSS Laboratories manufactures and designs computer solutions, and delivers customized integration and network services.
SmartAxis SA: SmartAxis SA agreed to distribute Wave's ETS software and infrastructure to enterprises interested in trusted computing solutions for personal computer security in Greece, Turkey, Cyprus and in Balkan countries. A specialist in IT security, SmartAxis is a value added reseller with impressive experience in distribution and marketing to system integrators, consultants and OEMs. SmartAxis also distributes and markets to other resellers serving enterprises such as financial institutions and banks, government, the service industry, and telecommunications companies.
ARM® Connected Community: Wave joined the ARM® Connected Community, enabling Wave to gain access to a full range of resources to help it market innovative solutions associated with the new ARM TrustZone(TM) technology that will enable developers to get their ARM Powered® products to market faster. The ARM Connected Community is a global network of companies aligned to provide a complete solution, from design to manufacture and end use, for products based on the ARM architecture.
Cryptographic Service Provider: Wave introduced its Cryptographic Service Provider (CSP) that provides access to Trusted Computing Group-compliant PC platforms. Wave's CSP tool is designed to help other independent software developers address the growing market for trusted secure services and applications.
Recent Wavexpress Developments:
Todito: Todito, a leading Internet portal, ISP and e-commerce site for North American Spanish-speakers, launched Todito TV Premium, an online service offering DVD-quality videos that utilizes Wavexpress' platform and player. Todito TV Premium is an expansion of Todito's three-year-old online video service called Todito TV Basic, which was launched as way to offer TV Azteca programming to viewers outside of Mexico.
YES Vision(TM): YES (Yankees Entertainment & Sports) Network, the #1 Regional Sports Network in New York, New Jersey and Connecticut from sign-on to sign-off, launched YES Vision(TM) in June at www.yesnetwork.com. Powered by Wavexpress' WX(TM) technology, YES Vision(TM) is a service for yesnetwork.com users.
thePlatform: Wavepxress and thePlatform for media, inc., a leading provider of software for broadcast and broadband rich media content management, integrated Wavexpress' WX broadband video technology and thePlatform media publishing system(TM). The integration allows customers to publish media files to both streaming and cached video applications, with full-screen, DVD-quality video, automated program delivery and expiration, and instant, on-demand access to programming. The solution is being marketed to both media companies and corporate enterprises, with existing Wavexpress customer GolfSpan.com being the first customer to adopt the combined service.
Niveus Media: Niveus Media, a manufacturer of media entertainment devices for the consumer electronics market, agreed to ship Wavexpress' TVTonic broadband video application pre-installed on all Niveus AVX Media Center PCs. The Niveus AVX is the first ultra quiet, fan-less Entertainment PC to offer the power of a full-size desktop in an A/V component form factor. The Niveus AVX is powered by Microsoft's latest Windows Media Center Edition software allowing users to experience their digital media content like movies, television, music, and photos in a home theater environment.
Windows XP Media Center Edition Compatibility: In April, Wavexpress released the newest version of its TVTonic® broadband software, which is now compatible with Microsoft's Windows XP Media Center Edition, the home entertainment version of Windows. The new version of TVTonic integrates with the Media Center Remote and is optimized for the living room viewing experience.
Wave Systems Corp. and Subsidiaries
(a development stage company)
Consolidated Balance Sheets
(in thousands)
June 30, Dec. 31,
2004 2003
----------- --------
(unaudited)
Assets
Current Assets
Cash and cash equivalents $2,665 $8,818
Cash collected on behalf of charities - 212
Marketable securities 3,317 6,325
Prepaid expenses and other receivables 116 205
----------- --------
Total current assets 6,098 15,560
Property & equipment, net 1,939 2,287
Other assets 301 313
----------- --------
Total assets 8,338 18,160
Liabilities and Stockholders' equity
Current Liabilities
Accounts payable and accrued expenses 3,021 2,837
Due to charities - 243
Deferred revenue 60 74
----------- --------
Total current liabilities 3,081 3,154
Liability for warrants containing net cash
settlement provisions 641 992
----------- --------
Total liabilities 3,722 4,146
Total stockholders' equity 4,616 14,014
----------- --------
Total liabilities and stockholders' equity $8,338 $18,160
Wave Systems Corp. and Subsidiaries
(a development stage corporation)
Consolidated Statements of Operations
(in thousands, except per share amounts)
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
------------------ ------------------
2004 2003 2004 2003
--------- -------- -------- ---------
Revenues $ 6 $ 34 $ 57 $ 50
Cost of Sales 3 5 30 9
--------- -------- -------- ---------
Gross Margin 3 29 27 41
Operating Expenses:
Selling, general and
administrative 3,503 2,859 6,808 6,703
Research and development 1,648 1,594 3,404 4,229
Write-off of impaired assets 301 -- 301 --
--------- -------- -------- ---------
5,452 4,453 10,513 10,932
Net Interest income 7 33 13 56
Gain (loss) on sale of
marketable
Securities 1,218 (5) 2,393 (5)
Recovery of note receivable from
former
officer -- 1,000 -- 1,000
Unrealized (loss) gain in value
of warrant
liability (97) -- 350 --
Other income (expense) -- 2 -- 52
--------- -------- -------- ---------
1,128 1,030 2,756 1,103
Net loss (4,321) (3,394) (7,730) (9,788)
Accrued dividends on preferred
stock (including accretion of
discount of $2,800) -- 2,880 -- 2,880
Net loss to common stockholders (4,321) (6,274) (7,730) (12,668)
========= ======== ======== =========
Net loss per share - basic ($0.06) ($0.12) ($0.11) ($0.24)
========= ======== ======== =========
Weighted average shares
outstanding - basic 67,363 52,096 67,350 52,096
Wave Systems Corp. and Subsidiaries
(a development stage company)
Consolidated Balance Sheets
(in thousands)
June 30, Dec. 31,
2004 2003
----------- --------
(unaudited)
Assets
Current Assets
Cash and cash equivalents $2,665 $8,818
Cash collected on behalf of charities - 212
Marketable securities 3,317 6,325
Prepaid expenses and other receivables 116 205
----------- --------
Total current assets 6,098 15,560
Property & equipment, net 1,939 2,287
Other assets 301 313
----------- --------
Total assets 8,338 18,160
Liabilities and Stockholders' equity
Current Liabilities
Accounts payable and accrued expenses 3,021 2,837
Due to charities - 243
Deferred revenue 60 74
----------- --------
Total current liabilities 3,081 3,154
Liability for warrants containing net cash
settlement provisions 641 992
----------- --------
Total liabilities 3,722 4,146
Total stockholders' equity 4,616 14,014
----------- --------
Total liabilities and stockholders' equity $8,338 $18,160
Wave Systems Corp. and Subsidiaries
(a development stage corporation)
Consolidated Statements of Operations
(in thousands, except per share amounts)
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
------------------ ------------------
2004 2003 2004 2003
--------- -------- -------- ---------
Revenues $ 6 $ 34 $ 57 $ 50
Cost of Sales 3 5 30 9
--------- -------- -------- ---------
Gross Margin 3 29 27 41
Operating Expenses:
Selling, general and
administrative 3,503 2,859 6,808 6,703
Research and development 1,648 1,594 3,404 4,229
Write-off of impaired assets 301 -- 301 --
--------- -------- -------- ---------
5,452 4,453 10,513 10,932
Net Interest income 7 33 13 56
Gain (loss) on sale of
marketable
Securities 1,218 (5) 2,393 (5)
Recovery of note receivable from
former
officer -- 1,000 -- 1,000
Unrealized (loss) gain in value
of warrant
liability (97) -- 350 --
Other income (expense) -- 2 -- 52
--------- -------- -------- ---------
1,128 1,030 2,756 1,103
Net loss (4,321) (3,394) (7,730) (9,788)
Accrued dividends on preferred
stock (including accretion of
discount of $2,800) -- 2,880 -- 2,880
Net loss to common stockholders (4,321) (6,274) (7,730) (12,668)
========= ======== ======== =========
Net loss per share - basic ($0.06) ($0.12) ($0.11) ($0.24)
========= ======== ======== =========
Weighted average shares
outstanding - basic 67,363 52,096 67,350 52,096
BW ) 08/12 04:05PM Wave Systems Provides Corporate Update and Reviews Q2 2004 Results
LEE, Mass.--(BUSINESS WIRE)--Aug. 12, 2004--Wave Systems Corp. (NASDAQ:WAVX)
Conference call: Today, Thursday, August 12, 2004
at 4:30 P.M. E.D.T.
Webcast / Replay URL: http://www.wave.com
Dial-in numbers: 212-346-6546 or 415-908-6252
Wave Systems Corp. (NASDAQ: WAVX; www.wave.com) today reviewed recent
corporate developments and reported results for its second quarter and six
months ended June 30, 2004.
Steven Sprague, Wave's president and CEO, said, "We believe Wave made
important progress over the past several months, including validating our
pricing/economic model in the marketplace, as well as signing up a range of
new distribution partners who substantially expand our reach into a number of
key vertical market opportunities. We are working very hard to support
customer awareness and understanding of the benefits of trusted computing,
with a goal of ensuring that anyone who goes to purchase a computer in the
future will select a trusted computer as it potentially provides the
foundation for a greater level of assurance and security. Importantly, trusted
computing has finally begun to emerge on the purchasing check list of the more
informed corporate and government buyers.
"Though certain partner delays limited our Q2 financial performance, we
believe we have improving visibility for an increase in order bookings and
shipments from original equipment manufacturers (OEMs) and channel partners in
the second half of 2004, weighted toward the fourth quarter, including several
near-term procurements and an initial governmental trial which closed during
the quarter now in progress.
"Wavexpress also gained key commercial momentum, signing two important
customers that deliver mainstream broadband content in the sports and
entertainment markets, in addition to other distribution relationships. These
are revenue generating relationships that may be equally important as marquee
references for our solutions."
For the second quarter ended June 30, 2004, Wave Systems reported net
revenue principally related to OEM shipments of its EMBASSY(R) Trust Suite
(ETS) software of $6,000, compared to revenue of $34,000 in the second quarter
ended June 30, 2003. Second quarter revenue from ETS shipments were roughly in
line with levels achieved in the preceding two quarters.
Wave reported a net loss to common stockholders of $4.3 million, or $0.06
per basic share, for the second quarter of 2004, compared to a net loss to
common stockholders of $6.3 million, or $0.12 per basic share, in the second
quarter ended June 30, 2003. The weighted average number of basic shares
outstanding in the second quarters of 2004 and 2003, was 67,363,000 and
52,096,000, respectively.
For the six months ended June 30, 2004, Wave Systems reported net revenue of
$57,000, compared to revenue of $50,000 in the six months period ended June
30, 2003. Reflecting ongoing investments in sales, marketing and R&D, Wave
reported a net loss to common stockholders of $7.7 million, or $0.11 per basic
share, for the first six months of 2004, compared to a net loss to common
stockholders of $12.7 million, or $0.24 per basic share, in the first six
months of 2003. The weighted average number of basic shares outstanding in the
first six months of 2004 and 2003, was 67,350,000 and 52,096,000,
respectively.
As of June 30, 2004, Wave had current assets of approximately $6.1 million
and no long-term debt. Effective August 2, 2004, Wave completed a $3 million
private placement which included an additional investment right and warrants,
which if exercised by the investor in their entirety, would generate
approximately an additional $8.7 million in gross proceeds to Wave.
Recent Wave Systems developments (for more details, please visit
www.wave.com):
Intel desktop board models: Wave's EMBASSY(R) Trust Suite 3.1 commenced
shipping with Intel desktop board models D915GEV and D915GUX in June,
targeting business users of next generation PCs. For information about the new
desktop boards, visit: http://intel.com/design/motherbd/ev and
http://intel.com/design/motherbd/ux.
Envoy Data Corporation: Envoy Data agreed to resell Wave's EMBASSY(R) Trust
Suite (ETS) software and infrastructure to enterprises and government entities
interested in trusted computing solutions for personal computer security.
Envoy Data has worked in partnership with industry leading manufacturers and
integration partners to deliver cutting edge technology and to meet business
needs.
CSS Laboratories: CSS Laboratories agreed to offer Wave's ETS software and
infrastructure to government entities and enterprises interested in secure and
trusted computing solutions. CSS Laboratories manufactures and designs
computer solutions, and delivers customized integration and network services.
SmartAxis SA: SmartAxis SA agreed to distribute Wave's ETS software and
infrastructure to enterprises interested in trusted computing solutions for
personal computer security in Greece, Turkey, Cyprus and in Balkan countries.
A specialist in IT security, SmartAxis is a value added reseller with
impressive experience in distribution and marketing to system integrators,
consultants and OEMs. SmartAxis also distributes and markets to other
resellers serving enterprises such as financial institutions and banks,
government, the service industry, and telecommunications companies.
ARM(R) Connected Community: Wave joined the ARM(R) Connected Community,
enabling Wave to gain access to a full range of resources to help it market
innovative solutions associated with the new ARM TrustZone(TM) technology that
will enable developers to get their ARM Powered(R) products to market faster.
The ARM Connected Community is a global network of companies aligned to
provide a complete solution, from design to manufacture and end use, for
products based on the ARM architecture.
Cryptographic Service Provider: Wave introduced its Cryptographic Service
Provider (CSP) that provides access to Trusted Computing Group-compliant PC
platforms. Wave's CSP tool is designed to help other independent software
developers address the growing market for trusted secure services and
applications.
Recent Wavexpress Developments:
Todito: Todito, a leading Internet portal, ISP and e-commerce site for North
American Spanish-speakers, launched Todito TV Premium, an online service
offering DVD-quality videos that utilizes Wavexpress' platform and player.
Todito TV Premium is an expansion of Todito's three-year-old online video
service called Todito TV Basic, which was launched as way to offer TV Azteca
programming to viewers outside of Mexico.
YES Vision(TM): YES (Yankees Entertainment & Sports) Network, the #1
Regional Sports Network in New York, New Jersey and Connecticut from sign-on
to sign-off, launched YES Vision(TM) in June at www.yesnetwork.com. Powered by
Wavexpress' WX(TM) technology, YES Vision(TM) is a service for yesnetwork.com
users.
thePlatform: Wavepxress and thePlatform for media, inc., a leading provider
of software for broadcast and broadband rich media content management,
integrated Wavexpress' WX broadband video technology and thePlatform media
publishing system(TM). The integration allows customers to publish media files
to both streaming and cached video applications, with full-screen, DVD-quality
video, automated program delivery and expiration, and instant, on-demand
access to programming. The solution is being marketed to both media companies
and corporate enterprises, with existing Wavexpress customer GolfSpan.com
being the first customer to adopt the combined service.
Niveus Media: Niveus Media, a manufacturer of media entertainment devices
for the consumer electronics market, agreed to ship Wavexpress' TVTonic
broadband video application pre-installed on all Niveus AVX Media Center PCs.
The Niveus AVX is the first ultra quiet, fan-less Entertainment PC to offer
the power of a full-size desktop in an A/V component form factor. The Niveus
AVX is powered by Microsoft's latest Windows Media Center Edition software
allowing users to experience their digital media content like movies,
television, music, and photos in a home theater environment.
Windows XP Media Center Edition Compatibility: In April, Wavexpress released
the newest version of its TVTonic(R) broadband software, which is now
compatible with Microsoft's Windows XP Media Center Edition, the home
entertainment version of Windows. The new version of TVTonic integrates with
the Media Center Remote and is optimized for the living room viewing
experience.
DJ Wave Systems 2Q Losses 6c/Shr Vs 12c> WAVX
(MORE) Dow Jones Newswires
That's it! I'm through! This stock is a POS!!
That's what I said about Qualcom in the 1990s. I had a SIZEABLE option position anticipating the conversion to QCOM's tech by (then) PacBell. PRs by the company and conversations with management left me confident of the future.
For whatever reason, that adoption was delayed and my options expired worthless. I made the mistake of calculating what they would have been worth had the deal hit before expiry, and given my strike prices (and several hundred contracts) it was about $4 million dollars.
I mention this story only because it reminds me that sometimes managements' best estimates can be unexpectedly impacted by external events, yet some ignore that and blame management as being inept, deceitful, etc. I don't believe anyone anticipated the Grantsdale recall or the slow pace of the industry-wide TPM educational process.
I recall many of the posts on RB last year about the company giving away stock at $1.90. Now, many are left wishing they would have doubled the size of that deal. If I remember correctly, some of the accredited investors received only half their allotment. Some wavoids were absolutely indignant at the fact they were "excluded," didn't receive special treatment, or the right of first refusal, in that PP. Others were concerned that SKS took us right to the cliff's edge before concluding that deal. "Wow, what a close call" as I remember someone posting.
With the stock at these low levels, NOBODY is going to be happy about ANYTHING. Those worried about cash are now pissed it was done at this year's low. You can't do a PP at $4 when your stock is $1. I think SSP should have been sold first, but that's another argument. SKS doesn't control the market price, so what else can we consider?
TPMs - forecasts have been significantly raised for 2004 and beyond. The latest forecast indicates well over 20 million.
MSFT - Wave will be THE services company in the TCG space. Nobody will allow MSFT to dominate the OS and security. New services are being written and will soon be introduced.
Homeland Security - deals are imminent, imo.
Dell - will shortly join the TPM bandwagon.
Re-sellers - are working their sales teams. Enterprise-sized deals should be announced over the next two quarters.
I believe the business has turned the quarter, but I don't expect much from Q2, which should be announced Aug 12. I'm still looking for the incremental uptick in Q3, Q4, YE2005, YE2006.
And, at that time, I believe this latest round's uproar will be about as relevant as our delisting several years ago.
I'm not an apologist; I'm not a pumper. This is just how I see it. Moral of my post: don't buy options.
Vader, no, it isn't amazing.............
It is called observance of Reg FD.
Secondly, as to your proposition relating to $1.00 warrants exercisable in three years: Wave wouldn't receive the money until the warrants were actually exercised, and we need money sooner, not later.
However, if they bought stock under the exisiting shelf, then they'd have to pony up the $$$.
ks5
TCU, let me ask you, in light of this
You can't get me excited anymore about all the "maybe's". 99.9% have been outright lies.
what is the.001% that is truthful? (I'm trusting you can manipulate decimals) Or, were you just shooting from the hip?
What's that called again? Goin' off half-sumpthin'?
Intel Developer's Forum, Fall 2002,Spring 2003, Fall 2003, Spring 2004. SemiCon2004 (where we keynoted with IBM's chief security guy). Microsoft Security Summit last month.
Why do I mention these? I was there. I've seen the commitment. I've seen Wave at the forefront. I've seen the passion and glimpsed into the future through their eyes.
And as I've said to some of my friends on this board, the future is being shaped by the Trusted Computing Group, and eventually the industry will realize the TCG is Wave, and at the heart of the TCG is Steven Sprague, Lark Allen, and Brian Berger.
You want glamour, I want perserverance, because at the end of the day I believe Wave will be to Trusted Computing what Qualcom is to cell phones. Qualcom is raking in two-billion-dollars per year in free cash flow now, yet I don't remember any "glamour" announcements from them, just reports of revenue.
Anywhew, one last thing: the trustco handle is really thin. You're no more a trust company/officer than I'm howard b. golden. And since Wave has lied to you 99.9% of the time, shouldn't you change your handle to "DISTRUSTco"?
All My Best
ks_5
TC, just curious
What would you like to see?
I'm only asking because the world of trusted computing is unfolding before your eyes. What would you consider glamorous? I look at the other TCG announcments and see no "glamour" but steady progress. Just curious.
If you're looking for glamour, you'll find it in the the up-coming quarterlies. I say, "stay tuned"
orda/snackman - 2 birds 1 post
orda, I took so long in writing my post, I just saw your post about education.
snackman, what if every kidnapper knew that chip was in your left bicep?, well, hackers then take on a new meaning and you'd better be right-handed !!
orda, are you or have you ever been
a member of the communist party?
they do not partake in and enjoy the fruits of the stock market and that the trillions of dollars of wealth at the top just shifts around.
Orda, just kinda joshin' about the communist-thingey, but this is a free market economy. Those that don't participate, CAN !
They just might 1) be able to, or 2)know they can.
Let's take number 1, they might not be able to. This (at least when talking about the "middle class", and that's a broad definition), in my opinion, is B.S..
Whom do you know in the middle-class that doesn't have cable or sat TV, drive an SUV, have a boat, pool, spa, or trailer, enroll their kids in "stuff", have the latest HDTV, get pedicures, manicures, facials, massages, eat dinner out a few times a week, go to Starbucks, hire a gardener, have over twenty pairs of shoes, AOL access, magazine subscriptions, gym memberships, cell phones, would never be caught dead "brown baggin' to work, etc, etc, etc? If you counter with, "but they have children", oh well, that too was a choice. It is all about priorities. I'm fortunate that I figured out at a young age you have to pay yourself first!! I did recently watch a Suze Orman program (Oprah had a similar show) about how you cut out just some of those those frills, invest the freed-up dollars, and you'll have over a million in thirty years. The problem is this: we're dealing with IDIOTS that think thirty minutes in a tanning booth is one of life's necessities and don't realize thirty years goes by quickly !!!
Look at number 2 (they don't know they can): there has been an explosion in 401(k), SIMPLE, and SEP Ira plans in the last decade. This is stock market/mutual fund money, so they can have their slice. The government WANTS you to help with your retirement to lessen the burden on social security. These folks need to ENROLL. I have found that if the money is saved before folks receive it, they don't miss it.
I really think it all boils down to education. The average American knows nothing about long term asset class returns (and how the market has done, vis 'a vis other investments), diversification, modern portfolio theory, dividend reinvestment, saving, etc. Do you realize how many years before needing the money the average American begins to save for their kids' college expenses and their OWN retirement? It is about two years and ten years, respectively. At that point they've missed the magic of compounded returns.
Anyway, I look at your stats and somehow cannot feel sorry for that minority. Their wives are tanned, fit, have nice handbags, and aren't complaining about money..........yet.
fwiw
ks5
Hey Larry, puh-LEEZE, no more PMs
If you want to boast about your trading prowess, please do so in this open forum. I really don't care about your "TA", except to say that, no, I don't have chicken bones to send you and your magic campfire dust may explode in the mail, so please don't send any to me.
All the best,
k_s5
wow Larry, it's called
deja vu-dash
Larry, that was SOOO good !!!
I am speechless regarding the all-encompasing depth of your creativity!
Really, I think Clinton screwed up. To think he didn't select you as a ghost-writer !! What wuz he thinkin'?
Seems you're doing fine, though! I remember teaching you how to cut-and-paste. Poor Larry, you had such a hard time with it, what-with all those complicated left-brain, right-hand movements. Judging from your post, it sure seems you've mastered it.
Tell ya what: I think I should move to the next level and help you with ORIGINAL THOUGHT.
In closing, I remain,
your faithful (but tired) tutor
kevin_s5
rick5, I think you nailed it!! e/
hey barge, how ya been??
I'm glad you noticed Bill was looking trim. A couple months ago, I finally persuaded him to get off his duff and do some 'cycling with me. Nothing too extreme, because the trails by his house are very narrow and those stinkin' bodyguards get in the way. Oh ya, they're really great in his indoor gym ( he has TvTonic) , but on the road: USELESS. But, they do own Wave.
Hopefully SPIN won't see this, 'cuz you know how he gets all lathered-up about inside info; 'specially when it's in a PUBLIC FORUM !!!