small motor exchange - Small Business

Congress Pushes Apple to Protect Your Address Book

DON EMMERT/AFP/Getty Images(WASHINGTON) -- Just how much of your iPhone's address book -- your contacts' names, email addresses and phone numbers -- is being stored on Twitter, Apple, and other companies' servers?

For users of some iPhone apps, the answer is everything.

Surprising? It's just that surprise and lack of transparency that has given rise to major privacy concerns, leading members of Congress to send a letter to Apple Wednesday afternoon to clarify and correct the situation.

The story really begins two weeks ago when a developer named Arun Thampi discovered that the social networking service Path, which allows you to see where your friends are, was collecting address book data from iPhones without direct user permission, and then storing the data on its servers for 18 months.

Wednesday, it was reported that Twitter was doing the same thing. When users tap the "Find Friends" button, their entire address books, including email addresses and phone numbers, were being sent to Twitter's servers where they could be housed for up to 18 months.

Neither of the companies explicitly disclosed to users that they were downloading and storing the personal data. And no one is alleging that the companies have misused the information.

Yet once the privacy concerns emerged, Path and Twitter apologized for the lack of transparency and both companies have vowed to make changes.

"We made a mistake," said Path's Dave Morin, CEO, in a blog post. "Over the last couple of days users brought to light an issue concerning how we handle your personal information on Path, specifically the transmission and storage of your phone contacts."

"As a clear signal of our commitment to your privacy, we've deleted the entire collection of user uploaded contact information from our servers," Morin added. In the 2.0.6 version of the Path iPhone app, released last week after the privacy concerns were aired, users are prompted to opt in or out of sharing address book information with the company.

Twitter has taken a similar line. "We want to be clear and transparent in our communications with users," said Carolyn Penner, a company spokesperson. "Along those lines, in our next app updates, which are coming soon, we are updating the language associated with Find Friends -- to be more explicit. In place of 'Scan your contacts' we will use 'Upload your contacts' and 'Import your contacts' (in Twitter for iPhone and Twitter for Android, respectively)."

Twitter has always allowed users to remove their contacts info from its servers, but many opt to keep this information stored as it lets Twitter notify users if their friends have joined the service.

These specific companies and many others have gotten away without disclosing these address book storing practices, but some are pointing fingers at Apple, which has a policy directly prohibiting this in its App Store Review Guidelines.

Apple acknowledged in a statement that these app developers are not abiding: "Apps that collect or transmit a user's contact data without their prior permission are in violation of our guidelines. We're working to make this even better for our customers, and as we have done with location services, any app wishing to access contact data will require explicit user approval in a future software release."

Apple did not say when that software update would be released.

Members of Congress, specifically Rep. Henry Waxman (D-Calif.) and Rep. G.K. Butterfield (D-N.C.) of the Committee on Energy and Commerce, are also pushing the issue and have sent a letter to Apple CEO Tim Cook asking for answers to a series of questions about how many apps require user consent, amongst other things.

That letter can be read here.
http://democrats.energycommerce.house.gov/index.php?q=news/ranking-members-waxman-and-butterfield-want-answers-from-apple-on-iphone-address-book-privacy-c

There is also mounting concern the address book security concerns are more widespread than currently known and that there may be a flaw in Apple's iPhone operating system, iOS.

How Apple will respond and enforce its own guidelines remains to be seen, but it's clear that this entire address book debacle has already forced makers of popular apps like Path, Twitter, Instagram, Foursquare and others to become more transparent about just where your address book lives.

Copyright 2012 ABC News Radio

FCC Cracks Down on 'Robocalls'

Pixland/Thinkstock(WASHINGTON) -- "Robocalls," those unsolicited, inhuman phone calls that always seem to come at the most inopportune times, may be one of the most annoying aspects of modern life.

Every night at dinnertime, marketers rev up their computers and dial countless numbers, ringing phones all over America. But as of Wednesday, after thousands of complaints, the Federal Communications Commission is going to require companies to get your expressed, written consent before they "robocall" or text you.

"Consumers who don't mind getting these calls can still get them," Julius Genachowski, the chairman of the FCC, told ABC News. "Those who don't want them don't have to."

However, there are still some loopholes. Nonprofit groups like your kid's school or your local church can still "robocall" you. So can politicians and pollsters.

Also, if companies want to go old school, they can still have real human beings call you.

So what can you do to protect yourself?

Starting soon, anyone who "robocalls" you will have to give you an opportunity to opt-out of all future calls within the first two seconds of the call.
Go to DoNotCall.gov and add your name to the National Do Not Call Registry. The registry requires that you re-up every five years.
If you're on the National Do Not Call Registry and you're still getting called, depending on which state you're in you may be able to sue the company.
Never give out your phone number on the checkout line when shopping.

Even if you take precautions, however, the truth is marketers will still try to find ways to reach you.

The government acknowledges this, but insists that Wednesday they struck a big blow against marketers, making dinner time in America much saner.

Copyright 2012 ABC News Radio

IRS: ?Where?s My Refund?? Glitch Won?t Affect Refunds

iStockphoto/Thinkstock(WASHINGTON) -- Though the IRS’s “Where’s My Refund?” tool is temporarily down, a spokeswoman for the Internal Revenue Service says that it will not impact the processing of tax returns or issuing tax refunds.

A spokeswoman said the message indicating technical difficulties has only been up since Wednesday afternoon. It reads: "We’re having some technical difficulties right now but expect to have this resolved soon. We apologize for the inconvenience.”

She said she could not comment about the cause of the glitch.

A second, unrelated, message on the website has been on the site since Friday. It reads:

Update: We are aware that some taxpayers who have filed electronically and received an acknowledgement from the IRS are concerned when they visit “Where’s My Refund” and are told that we have no information regarding their return. This is a temporary situation, and we expect to resolve the matter in a few days. At that time, taxpayers will be able to get an expected refund date when they visit “Where’s My Refund.”

That the technical difficulties will not impact processing will be a relief to those (generally those who are poor) who have filed early in the hope of receiving a large refund, said Timothy Flacke, executive director of the nonprofit group Doorways to Dreams (D2D) Fund.

He said tax filers who qualify for the earned income tax credit, or EITC, typically are aware they will receive large refunds and rush to complete their returns in late January or early February.

“Whether it’s $2,000 or $3,000, they have a sense a windfall is coming,” he said. “Whereas middle America thinks tax time is a pain, lower-income communities look forward to it.”

Flacke said that in these communities, even before Jan. 1, tax preparers begin marketing their services, so they can be used as early as possible.

Based in Allston, Mass., D2D Fund makes financial products for low and moderate income consumers and raises awareness to encourage Americans to invest a part of their tax return without fees through The Tax Time Savings Bond Campaign.

About 45,000 Americans have saved $11 million in U.S. Savings Bonds with a portion of their tax refund, for an average of $244 per family, according to the D2D Fund.

There were more than 112 million individual income tax returns filed through e-file last year, according to the IRS, an increase of 13.6 percent over the previous year.

Copyright 2012 ABC News Radio

Housing Reports No Help to US Stocks

Comstock/Thinkstock(NEW YORK) -- A hopeful sign for the housing market wasn't enough to keep the markets in positive territory Wednesday.

While the Dow closed down 97 points, the Nasdaq lost just 16. The S&P gave up 7 points for the session.

Homes are a bargain now, but for how much longer? The National Association of Homebuilders/Wells Fargo index has risen for the fifth month in a row, to 29. The industry still has a long way to go. Any reading below 50 basically says people aren't buying.

Copyright 2012 ABC News Radio

Obama at Master Lock Co.: 'Manufacturing Is Coming Back'

Scott Olson/Getty Images(MILWAUKEE) -- In a visit to Master Lock Co. in Milwaukee, President Obama wasted no time in demanding that Congress send him the payroll tax cut extension legislation that he says will save the typical American family “an extra $40 in every paycheck this year.”

“It'll make a real difference in the lives of millions of people. And as soon as Congress sends me that extension of tax cuts and unemployment insurance to my desk, I will sign it right away.

“We're going to get that signed,” Obama said.

“But that's only a start,” he quickly cautioned, as is his custom when discussing the need for continued economic growth.

“Our job as a nation is to do everything we can to make the decision to ‘in-source’ more attractive for more companies,” he said, referring to his plan to draw jobs lost to overseas manufacturing back to the U.S.

“That's our top priority. We've got to seize this moment of opportunity. We can't let it slip away. We've got an opportunity to create new American jobs and American manufacturing, put that back where it needs to be,” he said. His list of tasks includes taking away tax incentives for companies that move jobs offshore and, conversely, give tax incentives to companies that return jobs to the U.S.

House Speaker John Boehner’s office pushed back on Obama’s comments: “The best thing the president can do to prevent outsourcing is pull back on the destructive policies – like his health care law and regulations – and threat of tax hikes that are making it harder for American businesses to hire workers here at home,” Boehner spokesman Brendan Buck said.

But Obama argued that “manufacturing is coming back. Companies are starting to bring jobs back. The economy is getting stronger. The recovery is speeding up. We’re moving in the right direction. And now we have to do everything in our power to keep our foot on the gas – and the last thing we can afford is to go back to the same policies that got us into this mess,” he said.

Obama says Master Lock Co., the world's largest manufacturer of padlocks and related security products, according to a press release, is a prime example of what he is talking about. Instead of outsourcing jobs over the last two years the company has brought back 100 workers to Wisconsin from overseas.

Copyright 2012 ABC News Radio

Citibank Pays to Settle Charges of Mortgage Fraud

Chris Goodney/Bloomberg via Getty Images(NEW YORK) -- One of the nation's biggest banks agreed Wednesday to pay tens of millions of dollars to settle charges of mortgage fraud.

For more than six years Citibank's residential mortgage business engaged in what court records call "reckless lending" that cost American taxpayers millions and drove up rates of foreclosure and eviction. Citi has now agreed to pay nearly $160 million to settle charges it "failed to implement even the most basic quality control."

Loans Citi certified as eligible for government insurance, prosecutors said, were fraudulent, deficient and "never should have been insured."

Taxpayers are paying for Citi's misconduct and prosecutors expect additional losses in the future.

Copyright 2012 ABC News Radio

Police Bust Women In Alleged Counterfeit Nike Scheme

Comstock/Thinkstock(ATLANTA) -- Two South Carolina women were arrested in Georgia after what began as a traffic stop resulted in what police are calling a major bust of counterfeit goods.

Police in Gwinnett County, Ga., say they pulled over a Pontiac Grand Prix on Interstate 85 on Saturday after the vehicle was spotted traveling too close behind another vehicle. Two women were in the car, and during the traffic stop the driver reportedly admitted to having marijuana in the vehicle and allowed police to conduct a search, according to ABC News' Atlanta affiliate WSB-TV.

Officers say they found 78 boxes of Nike sneakers, but upon looking at the footwear officers became suspicious. The serial numbers on the sneakers did not match those on the boxes, the Nike logos could be peeled right off, and on some of the sneakers the Michael Jordan logo had one too many fingers, police tell WSB-TV.

Kotina Lashan Feaster and Jessica Pennick were arrested and charged in connection with the discovery. At least one of the suspects claimed no knowledge of the goods being counterfeit.

"She came down from South Carolina to get all these shoes and then she drove back to SC to sell them," vehicle officer Nicholas Boney told WSB-TV.

Police estimate the goods retail at more than $12,000.

Copyright 2012 ABC News Radio

Jeremy Lin: Basketball Star and Business Sensation

Jonathan Newton/The Washington Post(NEW YORK) -- Jeremy Lin is no longer just a basketball sensation. The New York Knicks star also has become a global business phenomenon.

Thanks to Lin's fairy tale February, ratings of Knicks' television broadcasts have soared 70 percent, and the publicly traded stock of Madison Square Garden has hit a 52-week high. Lin's T-shirt is now the No. 1 seller on NBA.com, and arenas around the NBA are selling out tickets to Knicks games.

That is just the beginning. Nike will soon roll out a new promotional campaign built around Lin, industry sources say – the first of what is expected to be a parade of endorsements built around the 23-year-old point guard.

Estimates of Lin's economic impact begin at tens of millions of dollars, and reach into the hundreds of millions of dollars, especially if he continues to perform at a high level.

"This hurricane of 'Linsanity' has swept across not just the fans of the NBA, but also across the nation, and to a significant degree, it has engulfed China and parts of Asia as well," said Marc Ganis, president and founder of SportsCorp, a Chicago-based sports business consulting firm. "I don't believe we have ever seen anything like it."

The Lin legend reached a new level Tuesday night when he drained a three-point shot with less than a second to go to lift the Knicks to a come-from behind 90-87 victory over the Raptors in Toronto.

It was the Knicks' sixth straight victory – all led by Lin, who barely played until desperate coach Mike D'Antoni summoned him from the bench 11 days ago against the New Jersey Nets.

Lin, the first Taiwanese-American to play in the NBA, has scored more than 20 points in each of the six games he's played, including 38 against Kobe Bryant and the Los Angeles Lakers last Friday night. Heady stuff for a player who was not offered a scholarship coming out of high school, went undrafted after graduating from Harvard, was cut by two NBA teams and was close to being cut by the Knicks. Lin demonstrated his business appeal Tuesday night in Toronto where the Raptors used his visit to hold an "Asian Heritage Night" and enjoyed a rare sell out.

Ganis said the NBA "will be the big winner here," estimating his success will be worth from $10 million to $20 million a year for the league.

The league's Asian television partners already are adding Knicks games to their broadcast schedules. Sales of NBA merchandise are likely to surge across Asia, and the league likely will pick up new sponsors, Ganis said.

Beyond the tangible value to the Knicks, the NBA, apparel manufacturers like Nike and assorted sponsors, Linsanity also means important revenue for a host of small businesses, from sporting goods stores to Chinese restaurants holding Lin viewing parties. Even companies making knockoff apparel are likely to see a windfall.

Copyright 2012 ABC News Radio

FCC to Crackdown on 'Robocalls'

Pixland/Thinkstock(WASHINGTON) -- The Federal Communications Commission is set to crackdown on those annoying automatically dialed or pre-recorded calls many Americans receive at home each day; tougher rules on when consumers can be called are expected to be approved on Wednesday.

The measures would give people stronger protections against these so-called "robocalls." The aim is to end the loopholes in the "Do Not Call" legislation that was passed by Congress in 2008 with the intention of putting an end to these calls.

Under the new rules, telemarketers would have to get written permission before they could make an automated call. Currently, consumers who have business relationships with companies may be called without permission.

Robocalls from political groups and non-profit organizations such as schools would not be covered by the new FCC regulations.

Business News - ABC News Radio Thu, 16 Feb 2012 04:08:46 +0000

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