NewsScan Daily, 4 September 2003 ("Above The Fold")

NewsScan Daily, 4 September 2003 ("Above The Fold")
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"ABOVE THE FOLD"
        'Pre-Owned' Digital Tune Hits Auction Block
        Internet Postal Service Folds
        Victims of Identity Theft and Account Theft
        Man Arrested for 'Mousetrapping' Children
        NRC Issues Warning About Virus and Worm Attacks
        What's in a Virus Name?

FEATURES
        Flash Card
        Honorary Subscriber: Bernard Mandeville
        Mailbag: The World As We Find It

'PRE-OWNED' DIGITAL TUNE HITS AUCTION BLOCK
George Hotelling is pushing the envelope in digital music with his attempt 
to auction off a song that he purchased on Apple's iTunes Music Store. 
Hotelling says he's not concerned about recouping his 99-cent investment in 
Devin Vasquez's rendition of "Double-Dutch Bus," but he's interested in 
probing the murky legal ground surrounding digital copyrights. "I'd just 
like to know that if I buy something, whether it's physical or intellectual 
property, that I'll have my right of 'First Sale,'" says Hotelling. The 
terms of service contract that accompanies iTunes songs doesn't say much 
about the rules that guide resale of songs but does stipulate that the 
songs are only for "personal, noncommercial use." One nagging question 
concerns the lack of legal guidelines governing the rights of an owner of a 
second-hand digital song, says Fred von Lohmann, senior staff attorney at 
the Electronic Frontier Foundation. "If you were to win that auction and 
get that song, you have no relationship with Apple. You didn't agree to the 
terms of service. What governs that song after you've repurchased it?" 
(CNet News.com 3 Sep 2003)
http://news.com.com/2100-1025_3-5071108.html?tag=fd_top

INTERNET POSTAL SERVICE FOLDS
The U.S. Postal Service has decided to call it quits following its 
three-year test of NetPost Mailing Online -- a service that converted 
electronic information into printed letters and postcards that were then 
snail-mailed from somewhere close to their final destination. "The Postal 
Service learned a great deal during the experiment, although some of the 
lessons differed from initial aspirations," says Daniel Foucheaux Jr., the 
USPS's chief counsel for ratemaking. The Postal Service says it's still 
interested in pursuing so-called hybrid mail, and that a "successor" to 
NetPost Mailing Online eventually could be offered by a private company. 
(Wall Street Journal 3 Sep 2003)
http://online.wsj.com/article/0,,SB106261826573115800,00.html (sub req'd)

VICTIMS OF IDENTITY THEFT AND ACCOUNT THEFT
The Federal Trade Commission says that the personal credit information of 
about 3.3 million U.S. consumers has been used last year to open fraudulent 
new bank, credit card or utility accounts or to commit other crimes, and 
that an addition 6.6 million people fell victim to account theft to steal 
from the victim's existing accounts. Half of all victims knew the method by 
which the thieves had obtained the personal information. About 25% of the 
victims said the information had been stolen through either the mail or the 
loss of a wallet, and 13% percent said it had been stolen in the course of 
a purchase or another transaction. (New York Times 4 Sep 2003)
http://partners.nytimes.com/2003/09/04/politics/04IDEN.html

MAN ARRESTED FOR 'MOUSETRAPPING' CHILDREN
Federal agents have arrested a Florida man they say runs Web sites that 
exploit misspellings by computer users to redirect children looking for 
Disneyland or the Teletubbies to explicit porn sites instead. The 
government say it is the first prosecution under a provision of the new 
Amber Alert legislation that makes it a crime to use a misleading Web 
address to draw children to pornography. The man registered thousands of 
Internet addresses and was earning up to $1 million per year off them -- 
much of it from sites that paid him when he sent Web users their way. The 
redirection technique is called "mousetrapping." U.S. Attorney James Comey 
said: "Few of us could imagine there was someone out there in cyberspace, 
essentially reaching out by hand to take children to the seediest corners 
of the Internet." (San Jose Mercury News 3 Sep 2003)
http://www.siliconvalley.com/mld/siliconvalley/6683165.htm

NRC ISSUES WARNING ABOUT VIRUS AND WORM ATTACKS
The Nuclear Regulatory Commission (NRC) is issuing a general warning to 
nuclear plant operators about computer failures that caused by network 
infections that caused a several-hour shut-down last January at the 
Davis-Besse nuclear power plant in Ohio. (The NRC emphasized that safety of 
that plant was not compromised by the computer failures or the shutdown.) 
The Davis-Besse plant operator, FirstEnergy Nuclear, determined that a 
contractor had established an unprotected computer connection to its 
corporate network, thereby allowing the Slammer worm to spread internally, 
since the utility had also failed to install a corrective software patch 
from Microsoft. (AP/USA Today 3 Sep 2003)
http://www.usatoday.com/tech/news/computersecurity/2003-09-03-nuclear-plants 
-threat_x.htm

WHAT'S IN A VIRUS NAME?
Did you ever wonder who's responsible for all those quirky virus names 
making the news headlines from time to time? There are macho names, like 
Blaster, Chernobyl and Slammer; cute ones like Birthday, Smile and Teddy 
Bear; steamy ones like DeepThroat, Hooker and NakedWife; and nonsense names 
like Klez, Nimda and Yaha. Then, of course there are those names that seem 
to refer to the virus creator, like Brat, Faker and Slacker. "Sometimes 
it's obvious what to call a new virus because it's similar to a previous 
virus, or contains a message inside its code," says Chris Beltoff, security 
analyst with Sophos. "Other times analysts have to seek inspiration -- I 
remember there was one which was named after the meal a virus analyst had 
just had." There *are* some rules: researchers are not supposed to name 
viruses after businesses, brand-name products or celebrities. That's why 
the Anna Kournikova virus is officially know as VBSWG.J. But sometimes 
analysts just have to scan those memory banks to come up with something 
appropriate. Researcher George Smith recalls naming one particularly shoddy 
virus "Heevahava" after a childhood memory: "I grew up in Pennsylvania 
Dutch country and a heevahava was the farmhand given the job of holding the 
bull's pizzle during the collection of semen. Locally, heevahava was used 
as an insult meaning 'dolt' or 'idiot.'" (Wired.com 4 Sep 2003) 
http://www.wired.com/news/infostructure/0,1377,60281-2,00.html

*****

FLASH CARD
      "If one considers everything well, one will find something appears to 
be virtue, which if pursued would be one's ruin, and something else appears 
to be vice, which if pursued results in one's security and well-being."  ( 
Niccolo Machiavelli)

HONORARY SUBSCRIBER: BERNARD MANDEVILLE
      Today's Honorary subscriber is the 18th century physician Bernard 
Mandeville (1670-1733), who turned himself into a philosopher-poet when he 
published his poem, "The Grumbling Hive, or Knaves Turn'd Honest" -- in 
which he explains how thoroughly social progress depends on human traits 
and behaviors that all religions and most respectable people roundly 
condemn as vices. The poem made Mandeville infamous among his 
contemporaries, many of whom delighted in calling him "Mandevil." Unfazed 
by the public outcry against his poem, Mandeville brought out a new edition 
that added a prose commentary that explained in polished satiric language 
the plausibility of his social theory about the positive value of knavery. 
The new edition was entitled "The Fable of the Bees: or Private Vices, 
Publick Benefits," and with its publication Mandeville joined the ranks of 
Juvenal, Lucian, Swift, Orwell, and other counter-culture satirists.
      Mandeville was born in Dordrecht (near Rotterdam), Holland, where his 
father was a physician. After studies at Leiden University, Mandeville also 
became a doctor of medicine. In 1692 he went to London to learn English, 
succeeding so remarkably that many refused to believe he was a foreigner. 
Eventually he settled permanently in London, to practice medicine and write 
on ethical subjects. His medical practice was small and insufficient to 
earn him a decent income. His money came from a small pension from a few 
Dutch merchants and what little he earned from distillers for advocating 
the use of spirits. In satirizing the prevailing optimistic view of a 
benevolent human nature, Mandeville is simply arguing for the more 
realistic view that the mutual help on which society thrives like a colony 
of bees is due to personal acquisitiveness and the love of luxury. He 
believes that a 'virtuous' society where only subsistence needs are 
satisfied would lack both culture and trade and would collapse from want of 
employment.
      Among the other prose works Mandeville wrote before he died in 1733 
were: "The Virgin Unmasked," which urged better status and education for 
women; "Free Thoughts on Religion, the Church, and Natural Happiness," 
which defended Deism against clericalism; "A Modes Defence of Public 
Stews," which promoted government regulation of bawdy houses; and "An 
Enquiry into the Origin of Honor," which distinguished self-esteem from 
self-love.

See http://www.amazon.com/exec/obidos/ASIN/0404701620/newsscancom/ref=nosim 
for Mandeville's "A Modest Defence of the Public Stews: Or an Essay Upon 
Whoring, As It Is Now Practis'd in These Kingdoms"-- or look for it in your 
favorite library. [We donate all revenue from our book recommendations to 
adult literacy programs.]

MAILBAG: THE WORLD AS WE FIND IT

WHY PAY POLITICIANS YOU DON'T SUPPORT?
Re: http://www.newsscan.com/cgi-bin/findit_view?table=newsletter&id=9125
      Two points relative to the (NON)VOTER APATHY excerpt: While voter 
apathy does result in decreased voter turnout, it is not the sole cause. 
Another influence is the belief by an increasing number of citizens that 
their votes don't matter. The lack of politicians from either major party 
who are willing to address many key issues facing our country (e.g., 
illegal immigration and government overspending) has contributed to 
increased (potential) voter frustration and feelings of powerlessness. 
Also, there are better explanations for the drop in the fraction of 
taxpayers who elect to have $3 of their tax liability go into the campaign 
fund. The two main ones that come to mind are (1) at least some portion of 
that money is guaranteed to go to the campaigns of candidates the taxpayer 
does not support, and (2) the more money that goes into the fund, the less 
that will be available to pay the operating costs of government or pay off 
the government debt (the primary excuse for spendthrift politicians who are 
constantly harping against tax cuts or even for increases). (Paul Stelling)

IN DEFENSE OF VOTE-BUYING
Re: http://www.newsscan.com/cgi-bin/findit_view?table=newsletter&id=9125
      Want to bring up voter turnout? Give them something for showing up! 
The public (voters) are so apathetic today because of the Enron/WorldCom 
fiasco and particularly the lack of punishment for it. Everyone feels they 
have no impact on the society/economy and stay home out of frustration. I 
have friends who are not even registered to vote cause they don't want to 
get called for jury duty. So, motivate them. Give them something for 
showing up.
      Suggestions???? We live in a world of coupons, so give them a coupon. 
How about a sticker for your real estate taxes worth $25.00? Wife and 
husband could get $50.00 off the next tax bill. How about a coupon for 
$20.00 in state sales tax off your next purchase of anything anywhere? Scan 
the coupon and the bar code takes $20.00 in taxes off the purchase. Or make 
it a gift card that can be swiped and you can "run down" the value of the 
card till it's used up. Let the states levy the candidates to make up the 
difference. Talk about buying votes! How about a free automotive safety 
inspection in states where they have inspection laws? Get people to the 
polls to get something for nothing, and maybe they'll come back cause they 
liked it. (Michael H. Bell)

USE POINT-TO-POINT PROTOCOL TO STOP SPAM
Re: http://www.newsscan.com/cgi-bin/findit_view?table=newsletter&id=9106
      I didn't see how Mr. Pollard's central repository for e-mail rights 
would stop spammers from spoofing his passcodes. The problem is really in 
SMTP, which was developed in 1982, prior to the prevalence of the Internet. 
It emphasizes a store-and-forward approach to deal with e-mail servers that 
are offline, but that's what allows spoofing. The days of offline servers 
are over. It seems to me that if Linux developers created a point-to-point 
protocol for sending email which fell back on SMTP if the recipient didn't 
handle it, there would be no more spam because the receiver would be able 
to notify the sender's ISP. With fewer valid emails coming through SMTP, 
people would quickly block it and it would cease to be used. (Jonathan Cohen)

THE MUSIC INDUSTRY DOESN'T SEEM TO LEARN
Re: http://www.newsscan.com/cgi-bin/findit_view?table=newsletter&id=9122
      You quote Forrester analyst Josh Bernoff as stating "Consumers have 
spoken -- they are tired of paying the high cost of CDs and DVDs and prefer 
more flexible forms of on-demand media delivery." With all due respect to 
Mr. Bernoff, that's nonsense. CD sales are down from their 1999 peak, but 
only by a relatively few percent. Even those who download music from the 
Internet often turn around and burn the music back to CDs. If it was the 
physical cost of DVDs and CDs that consumers didn't like, they wouldn't be 
buying CD burners and DVD burners by the truckload. The industry continues 
to price CD-based media at a premium over cassette tapes, despite the lower 
cost of duplicating and shipping CDs. (A particularly glaring example is 
Harry Potter audio books -- on cassettes, the cost is $31.50 at Amazon.com. 
The same content on cheaper-to-produce CDs is $52.50.)
      What consumers seek is more control. I want my music or video as soon 
and painlessly as possible, to listen to and view whenever or wherever I 
want. The industry will keep throwing up on-demand options, but if they 
take away my control over how, where, and when I use the content I pay for, 
it won't work. Remember DiVX? DVDs that only played for two days and then 
quit? It sounded great to the media and electronics companies, but died a 
quick and miserable death in the marketplace. Unfortunately, the industry 
doesn't seem to learn. (Conn McQuinn)

SETTING A VALUE ON YOUR PERSONAL DATA
Re: http://www.newsscan.com/cgi-bin/findit_view?table=newsletter&id=9115
      Some years ago I proposed to my Member of Parliament that the Federal 
Government examine the role they can play in the valuing of information. In 
ancient days when banks issued their own notes it was extremely hard to set 
a value for money. Until governments and monarchies stepped in to arbitrate 
the value of their various currencies the idea of paper money didn't really 
work. The fact that the U.S. government "backs" their currency and 
guarantees its worth is a fundamental to U.S. business (and global 
enterprise too).
      In Canada the census is a legal requirement, that is you can't opt 
out. This is guaranteed information about Canada and its citizens. From 
this information many businesses derive their marketing strategies or 
adjust their business planning. But it could be worth so much more if a 
Federal Information office could "verify" any information a company has 
gathered on its own. This could work in two ways. One is to set the 
accuracy of the information (yes, Mickey Mouse is listed at an address in 
Winnipeg) as well as it's value (we can confirm Mickey is a mouse for $3.99).
      Unless a third party can confirm or verify electronically gathered 
information, it will remain suspect. Once the governing body is established 
then I can offer my personal information for sale and the government can 
guarantee the data. My suggestion to the MP in question was to offer 
companies the chance to pay the government for my information directly. If 
I allowed Merck to have a complete body scan for about $250,000.00, which 
they could use for whatever they need the data for, then they could pay the 
government which would then pay me. Or I could negotiate the information 
exchange as a currency and get other important data in exchange. I then 
become a good information risk.
      Once a third party sets the exchange rate on the data currency the 
rest would work like it does now for paper money. (Dave Trautman, Edmonton, 
Canada)

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