Tuesday, March 1, 2011

Newly Discovered Mac OS X, Android Trojans Reflect Cybercriminals' Expanding Targets

Microsoft's and Adobe's software are still some of the biggest targets of malware development, but recently discovered Trojans for Apple's Mac OS X and the Android smartphone platform indicate signs that the bad guys are branching out to other increasingly popular product platforms.
Researchers at Sophos over the weekend revealed that they had discovered a new crimeware kit for a remote access Trojan built specifically for Mac OS X: The so-called BlackHoleRAT, currently in the development phase, appears to be a spin-off of a Windows Trojan known as darkComet. Meanwhile, Symantec researchers today provided details on a new Android Trojan called Android.Pjapps that has been found in legitimate Android apps and that builds a botnet.
Security experts say the new OS X and Android Trojans in and of themselves aren't as significant as are the targets in which they are aimed.
Chester Wisniewski, senior security adviser for Sophos, says SophosLabs used to see only about one piece of malware a week for Mac OS X, but in the past year or two it sees more than one per day. But putting that into perspective, it sees 90,000 new malware samples daily for Windows, he notes.
"Compared with Windows, that's [still] a trickle," Wisniewski says. "But [that's what] makes a Mac more appealing [to cybercriminals]: Its users feel invulnerable because they are confident there aren't many viruses for the Mac, so they don't need to worry."
But Marc Maiffret, founder and CTO at eEye Digital Security, says he sees Android as a bigger target in the next year or two than OS X. "It is a rather basic backdoor and probably not indicative of any major shift or explosion about to happen as far as Mac OS X systems being targeted more by attackers. It is interesting in that I think there is probably a higher chance for Android to be targeted more in the next year or two than Mac OS X itself," Maiffret says.
Even so, it's easy to add new backdoors and exploits to exploit toolkits these days. "And I think you will continue to see more exploits/backdoors both for Mac OSX and Android added to these things in an organic way, but not with the same sense of urgency as we see with Microsoft and Adobe," he says.
The so-called "BlackHole RAT">Trojan crimeware kit Sophos found so far can put text files on the desktop and shut down, restart, or force a desktop into the "sleep" mode. It also can run shell commands, and force user to reboot with a full screen window that only lets them reboot, and it provide a phony administrator password window for phishing, and can send URLs to a client machine.
"The difference with this is that it's a bit more sophisticated and easier to use than most other [Mac OS X]" kits, Wisniewski says. "This is specifically for Mac with an easy graphical user interface and it has a lot more capabilities."
Whether it's a full-blown banking Trojan so far is unclear, however. "It's hard to speculate," he says. But it can grab and delete files and provide the attacker full control of the victim's machine, he says.
The big difference between this BlackHole RAT crimeware kit and an existing one for Windows is that it does not include remote screen control, he says. "The Mac version doesn't do that yet ... But it's still in development ... and it seems [the developer] plans to add more advanced capabilities," Wisniewski says. "It looks like an experiment or a thought exercise on whether he can develop an advanced, multifunction Trojan like the one for the Windows platform."
Meanwhile, the Android.Pjapps Trojan can install apps, go to websites, add bookmarks to a victim's browser, send text messages, and block text-message responses. Symantec has found it infecting the legitimate Steamy Window App, which "steams up" the phone's screen and lets the user wipe it off.
"Android malware is on the rise. Android.Pjapps is another example of a Trojan with backdoor capabilities that targets Android devices," Symantec researcher Mario Ballano blogged today. "As seen with previous Android threats, it is spreading through compromised versions of legitimate applications, available on unregulated third-party Android marketplaces."
Vikram Thakur, principal security response manager at Symantec, says the Android.Pjapps code can easily inserted into any number of otherwise legitimate apps by someone who knows what they are doing. "The Steamy Window app is just one of the many apps out there that we know have been compromised with this code," he says. "We also expect to see quite a few more legitimate looking apps over the coming days propagating this threat via unregulated Android marketplaces."
eEye's Maiffret says Mac systems still have more valuable data to target than Androids. "I don't know if Android is a bigger target just yet because Mac systems will still have more data that attackers care to get after," he says. "I think once Android devices, particularly in the U.S., have wide adoption of NFC [near-field communication] technology for wireless payment then we will see some really interesting things start to happen."
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Facebook cracks top 10 in ComScore U.S. ad rankings

The massive audience at Facebook helped it take a top-ten ranking for the first time in ComScore's January survey of the number of unique visitors to U.S. Internet sites and advertising networks.
The Internet research company said Facebook was viewed by 153.0 million unique visitors in January, or 72.2% of the overall U.S. Internet audience that month, putting the site in 10th place in ComScore's Ad Focus survey of U.S. sites and advertising networks. The top spot went to Google Ad Network, with 197.1 million unique visitors, or 93.1% of Americans online, ComScore said.
Facebook's rising popularity has helped it move up significantly in ComScore's rankings. Last June, Facebook ranked 26th in the Ad Focus survey with 141.6 million unique visitors, or 65.9% of the U.S. Internet audience that month. In December of last year, however, Facebook was already on the verge of the top 10, sitting in the 11th spot.
Excluding the advertising networks, Facebook ranked fourth among the top 50 Web properties in the U.S. in January, behind Yahoo sites, Google sites and Microsoft sites, respectively. Twitter, the popular micro-blogging site, was not among the U.S. top 50 properties in January.

Facebook and Twitter 'help to politicize' today's youth

The web, social networking sites like Twitter and Facebook in particular, are helping to politicize today’s youth by giving them a platform to argue their points and opinions.
The web, social networking in particular, is helping to politicise younger people, according to the University of California’s Humanities Research Institute.
The research studied over 2,500 members of the Generation Y over a number of years and found that based on social media updates, younger people are more likely to engage with their government if given the accessibility to so.
While the study shows that today’s youth in general are disengaged from the traditional forms of political news, analysis and government, they engage far better with social networking, allowing an outlet for their thoughts and opinions.
Arguably, it goes even further than that.

But then again, with social media bantering left, right and center during anything politically related, combined the vast majority of the Generation Y engaging with their own social media accounts, it isn’t surprising that young people are developing their political knowledge and opinions faster today than a generation ago.
There are two elements of socialisation to consider. The primary socialisation of young people today is where views are formed and developed based on the accounts of their parents or guardians. Secondary socialisation is where those are challenged by peers and developed further into more stable opinions and grounded theories.
Nowadays, secondary socialisation is manipulated further by social media and interactive online opinions to allow a better dialogue for younger people to air their views.
Only in recent months can we see the web politicising young people from street protests to full blown revolution.
Facebook and Twitter are not necessarily a means to an end, but nevertheless are significantly important to younger people, as a viable way of expressing their views either in a closed arena or on a global level.
But with a wide collection of political views in the closed environment such as Facebook, the study found that the the echo chamber effect is negated and that social networking tools can be a way to legitimately forward ones views to challenge.

Motorola Mobility's Jha on the Xoom: We were anticipating Apple's new iPad

Motorola Mobility CEO Sanjay Jha told you all you needed to know about the tablet market in 300 words. Apple dictates the market and Android tablets are going to be commoditized in a hurry.
Motorola Mobility CEO Sanjay Jha says the Xoom tablet was aimed to be ahead of the performance curve and anticipate what Apple would do with the iPad 2. Jha’s biggest bet is that performance will trump price. If not, Motorola Mobility is prepared to go enterprise quickly with its tablets.
Speaking at a Morgan Stanley technology conference Monday, Jha’s opening statement summed up the entire tablet market. Let’s roll the transcript with Jha talking about the Xoom:
The product has been on the market now four or five days and I think it’s been a good start I think for sales.
The advertising just started in the late part of last week. You’ll see quite a good series of ads going on in supporting the XOOM product both from ourselves as well as from Verizon.
How do we come to it? You know, I think you and I were talking, the synthesis of the tablet was that we knew that iPad was launched and we got started building a product, and we felt very early on that we needed to deliver a product which had higher performance.
And of course at that time when we were doing it, we sort of thought that by the time we deliver a product, shortly thereafter there will be an iPad 2 or some such. So we had to shoot a little bit in front of where we felt the product — the iPad product was and therefore we definitely were shooting for performance.
If you look at the iPad today, it’s $729 and 3G modem. We felt with a 4G modem with dual core processor with front camera, back camera, with a gigabyte of memory, with accelerometers, everything, that $799 was important. It was at the right price point for an unsubsidized device.
We definitely want to be able to get value for the products that we deliver. We want to compete and perform, first of all. I think in second half this year, you’ll see prices of tablets come down a little bit from where they are today. But if we cannot compete on performance and associate that performance to our brand name, that would’ve been a problem for us. So we shot for performance coming out of the gate.
I think $599 I think is a pretty compelling price. The data plan, as I understand it, is as low $20 per month from Verizon so — and then it goes up.
In a little more than 300 words, Jha told you all you need to know about the tablet market.
Gallery: Motorola XOOM (Verizon) Teardown
• First, Apple is dictating the market as companies have to build products guessing what Steve Jobs & Co. will do.
• Performance may matter, but it’s a wild card relative to price. I’m betting price will win.
• The Android tablet market will be commoditized and that means cheaper tablets are coming.
On that latter point, investors were pressing Jha on when tablet prices would come down. The hint: Android tablets need to come down by Christmas. Jha said component costs should fall as volume picks up. Meanwhile, more price points will be offered. Jha sees 7-inch, 10-inch and even 12-inch tablets coming to market.
The larger screens will be for professional use. Jha also indicated that Motorola is going to focus heavily on the enterprise. “You’ve seen us focus very heavily in enterprise today. Highest number of enterprise activations in Android are actually on Motorola devices,” said Jha.

Apple invites bug researchers to scrutinize Lion OS

But security experts who accept must keep findings secret
Apple is offering security experts a copy of the developer preview of Mac OS X 10.7, aka Lion, and asking them for feedback.
Several prominent Mac security researchers have reported that they received invitations to try out the Lion preview, which Apple issued Thursday.
"Apple has invited me to look at the Lion developer preview," said Dino Dai Zovi in a tweet yesterday. "I won't be able to comment on it until its release, but hooray for free access!"
Charlie Miller, an analyst with Baltimore-based consulting firm Independent Security Evaluators (ISE) and Dai Zovi's co-author, confirmed today that he had also received an invitation to try out Lion.
The preview comes with a non-disclosure agreement (NDA) that prevents Zovi, Miller and others from commenting publicly about what they find. But Apple has asked for feedback and provided researchers an e-mail address to report vulnerabilities or other issues, said Miller.
"They've never done this before," noted Miller in an interview today. "That they're thinking of reaching out [to researchers] is a good positive step, but whether it makes a difference, I'll believe it when I see it."
Miller has been critical of Apple's security practices in the past, saying in 2008 that Mac OS X was an easier target at the time than either Windows or Linux.
Miller has proven his point at the last three Pwn2Own hacking contests by walking away with cash prizes and laptops for exploiting vulnerabilities in Mac OS X and Safari, Apple's browser. Miller is slated to tackle Safari and Apple's iPhone on March 9 at this year's Pwn2Own.
Other researchers have heard the news, if not received an invitation to the preview, and given their two cents on expectation for security improvements.
"I doubt we'll see any real security innovation in Lion," opined Alexander Sotirov on Twitter. And in a later tweet aimed at Miller, Sotirov said, "I'm sure we'll see improvements in Lion, perhaps even full ASLR. But that doesn't count as 'innovation' in 2011."
Sotirov is an independent security researcher, who with Miller and Dai Zovi, launched a 2010 effort they dubbed "No Free Bugs" that proposed researchers should be paid for their work because vulnerabilities have value.
ASLR, or "address space layout randomization," is an anti-exploit technology that randomly assigns data to memory to make it tougher for attackers to determine the location of critical operating system functions, and thus make it harder for them to craft reliable exploits.
Windows, for example, leans on ASLR, but Apple's current operating system -- 2009's Snow Leopard -- relies on partial ASLR that doesn't randomize important components of the OS. Microsoft has included ASLR in Windows since Vista's late 2007 debut.
After Snow Leopard's August 2009 launch, Miller said Apple missed the security boat by not fully implementing ASLR.
Apple has not disclosed a ship date for Lion -- saying only that it will be available "this summer" -- or its price. Historically, the company has priced its operating system upgrades at $129 for a single license, $149 for a five-license package, although it departed from that practice with Snow Leopard when it priced Mac OS X 10.6 at $29 and $49, respectively.

Apple ships preview of Lion OS, reveals new features

Lion Server inclusion will reduce price of small servers, analyst predicts
Apple today released a preview of Mac OS X 10.7, aka Lion, to developers, who can download the new operating system from the Mac App Store.
The preview is developers' first look at the upgrade slated to reach customers sometime this summer.
Included in the preview, and to be bundled with the operating system when it ships, is Lion Server, Apple's new server software. One analyst saw that move as an admission by Apple that it hasn't been able to make inroads into the corporate server market.
"They've recognized they're not going to break into the data center," said Ezra Gottheil of Technology Business Research. "They're admitting that what server sales they've made in the past have been to very small businesses."
Currently, Mac OS X Snow Leopard Server is sold separately from the general-purpose edition for $499.
Late last year, Apple killed its Xserve line of rack servers, halting sales of the hardware on Jan. 31, 2011. Instead, Apple now steers customers toward Mac Pro and Mac Mini systems with Leopard Server pre-installed.
The bundling of Lion Server with Mac OS X 10.7 will save customers hundreds of dollars, said Gottheil, assuming Apple sticks to its traditional $129 price point for Lion next summer.
"A very small server should cost about $700 [this summer], not the $1,000 [a server-equipped Mac Mini] costs now," said Gottheil.
Apple announced Lion and its summer 2011 availability in October 2010 during an event where CEO Steve Jobs also debuted a redesigned and lower-priced MacBook Air. At the time, Jobs called the new operating system "Mac OS X meets the iPad," and talked about iOS features that would find their way onto the Mac.
The company has already delivered one Lion component -- the Mac App Store -- to users of Snow Leopard, launching the online software mart in early January.
Today, Apple revealed more details about the enhancements and additions to Lion, ranging from a redesigned Mail -- the e-mail client bundled with Mac OS X -- to AirDrop, a new tool for transferring files between Macs.
Mail will now feature a widescreen layout similar to the client on the iPad, giving Mac users a side-by-side view for the first time. Previously, Mac owners have had to rely on third-party plug-ins, such as WideMail or Letterbox, to replicate a side-by-side mode long available in Windows e-mail software.
AirDrop lets Lion users copy files to other Macs running the OS via wireless networks, with the files ending up in the destination Mac's Download folder.
Also new to Lion, said Apple, are Versions, a feature that tracks multiple versions of a document and allows retrieval of an older copy in a Time Machine-like interface; Resume, which returns applications to their earlier, open state after a restart or software update; and Auto Save, which automatically saves changes to documents in the background.
Apple did not disclose a ship date for Lion or its price. The company has usually priced its operating system upgrades at $129 for a single license, $149 for a five-license package. It departed from that practice with Snow Leopard -- which it billed as a minor upgrade -- in September 2009 when it priced Mac OS X 10.6 at $29 and $49.

Will Amazon's Kindle Be Free By November?

The price of the popular Kindle e-reader has plummeted dramatically over the past two years, as growing competition from Apple's iPad and competing e-readers like Barnes & Noble's Nook has inspired some impressive price-cutting on Amazon's part. The Kindle, which cost $350 in February 2009, is now as low as $139 for the Wi-Fi-only version.
So where does it go from here?
Possibly to zero by the end of the year, predicts Wired co-found Kevin Kelly in a February 25 post on his Technium site. Kelly's blog includes the chart below that dramatically illustrates the Kindle's price free-fall since 2009. (The 2011 data, of course, is projected.)
Chart: Courtesy of Technium
Kelly acknowledges that pundits before him have spotted the Kindle's consistent price decline. Blogger John Walkenbach, for instance, predicted the e-reader would be free by November 2011. When Kelly asked Amazon CEO Jeff Bezos about the Kindle's southward march, Bezos reportedly smiled and said, "Oh, you noticed that!"
A coy response doesn't mean free Kindles by the holidays, of course. But would a free strategy make sense for Amazon?
Business Insider's Jay Yarow doesn't see it happening, but adds that Amazon may very well offer deeply-discounted Kindles to its Amazon Prime customers, who currently pay $79 per for free, two-day shipping and a new Netflix-like video-streaming service.
Kelly believes a free-Kindle strategy makes a lot of sense.
"I don't know if this is Amazon's plan, but it should be. It brilliantly feeds into Bezo's long-term strategy of nurturing extreme customer satisfaction. What could be more satisfying that a free Kindle, free movies, and free 2-day shipping for $80 a year? If the past is any indication of future events, expect an as-if-free Kindle this fall in time for the holidays. Brilliant indeed!"
Other suggestions? How about a free Kindle with the purchase of (insert number here) Kindle books? Your ideas are welcome.

Verizon data caps coming, probably by mid-summer

HTC Thunderbolt launch will offer insight on prices
Verizon Wireless will join AT&T in adopting data caps soon, probably in mid-summer, Verizon CFO Fran Shammo said at an investor's conference Tuesday.
The precise timing for the move to a tiered-pricing scheme has not been announced, however. AT&T put an end to unlimited data plans for new customers last year.
Verizon has been offering the iPhone 4 since Feb. 10 with a $30 unlimited plan, which applies to other smartphones it sells that run on the Verizon CDMA/EV-DO network.
Shammo said some of the details of the data caps and tiered pricing will come when Verizon launches the HTCThunderbolt on LTE soon. Thunderbolt will have a 4.3-in. screen and run Android, Verizon said in January.
"We will be launching the HTC Thunderbolt very shortly here and then that will give you a flavor of our tiered-pricing structure going forward," Shammo said in comments delivered at the Morgan Stanley technology conference in San Francisco.
Later, he said, "We are going to [a] tiered pricing structure..., probably in the mid-summer timeframe."
The unlimited $30-a-month option on Verizon's EV-DO data network remains in place for now to avoid putting up a barrier to new customers. "But that was never a long-term strategy," he added.
While he didn't reveal details of tiered prices, Verizon charges $50 a month for 5GB of data and $80 a month for 10GB for LTE dongle devices, which could be in line with the pricing for smartphones and tablets, some analysts said. Since HTC Thunderbolt runs LTE, Shammo's comments tend to support similar data pricing for smartphones.
Other Verizon executives have talked for months about the need to set up tiered pricing plans. The move is seen as a way to limit the use of its networks, which will grow with the sale of more smartphones and tablets that consume video and other data.
"Everyone knows unlimited data on wireless networks is unsustainable," said Jack Gold, an analyst at J. Gold Associates. He was reacting to Shammo's comments today.
"This says that Verizon is finally getting its usage up to the point where it needs to takesome proactive action to make sure it doesn't have its network saturated. And it says that some users will be outraged, but the majority who don't use that much data anyway probably won't even notice and may actually be able to pay less for a lower limit. Bandwidth/data capacity is a limited commodity, and commodity pricing models are in play here, just like in all other limited commodities."
Shammo also said only 26% of its customers use smartphones, a number Verizon hopes to double to 50% by the end of the year, especially with more LTE smartphones running on Android that Verizon plans to launch this spring. He said some Android users are upgrading to the iPhone, but didn't elaborate.
He added that dongle users on LTE are "using a lot more [data] than they anticipate" and predicted customers will adjust. Verizon still hopes to sell 11 million iPhones by the end of 2011, he said, confirming earlier estimates.
Also, about 70% of the Motorola Xoom tablet customers are either existing Verizon customers new to tablets or customers new to Verizon entirely, he said. The tablet will be upgradeable to LTE in about two months, he said.
The Xoom has been on sale since Feb. 24, though he didn't disclose sales figures.

Cross-ocean clouds gain despite millisecond delays

Japan's AIG Edison says cloud computing benefits outweigh latency issues that come with using Salesforce.com's U.S. data center
Just over a year ago, Tohru Futami, CIO and managing director at AIG Edison Life Insurance Co. in Japan, knew that his company needed to upgrade its core applications -- the systems were seven years old and often didn't let the back office and the sales staff share information in a timely manner. Furthermore, some of the company's processes were still paper-based.
Futami said the company's main options were to rewrite all of the applications or to move to the cloud and run hosted software. Spreadsheet calculations convinced the firm to try the latter option.
The calculations estimated that an in-house rewriting of the AIG Edison's applications would take about 30 months, while the company could move to Salesforce.com Inc.'s cloud platform in just 10 months. The research also indicated that the cost of the cloud technology would be only about one-third of the cost of any other option.
Futami said the key consideration for AIG Edison officials from the start was to complete the project as quickly as possible. "To improve customer services, a system improvement was a must," he said.
The decision of whether to move to the cloud via Salesforce.com's hosted CRM offering was complicated early on because the hosted software resides in a data center on the West Coast of the United States, 5,000 miles from AIG Edison's Tokyo headquarters. The distance raised concerns about network latency, and officials also wondered about the legal and regulatory issues involved in such a setup.
Nevertheless, AIG Edison did decide to turn to the cloud, and work on running the company's new core applications on Salesforce.com computers in San Francisco began last January. Today, the system is available for use by several million AIG Edison customers, millions of prospects, some 3,000 employees and 15,000 insurance brokers and resellers. The hosted applications handle complex tasks such as generating insurance quotes and running simulations to assess coverage needs.
Futami said that early on in the process, a key concern was whether a cloud-based system could provide the same level of performance as AIG Edison's conventional system.
The company undertook the project with the help of Appirio Inc., a San Francisco-based firm that helps businesses set up cloud platforms. Appirio helped architect and tune the system to provide "almost the same level of response time" as the conventional system, said Futami.
Network latency, particularly for complex services delivered around the world, can be an issue if users feel response times are too slow. The laws of physics will always prevail, but latency concerns don't appear to be curtailing adoption of software-as-a-service (SaaS) offerings.
For instance, FleetMatics, a private Dublin-based company that provides hosted GPS tracking services, has been able to provide service to a rapidly growing U.S. customer base even though its system was hosted exclusively in a data center in Ireland until December. The company recently raised $68 million in funding.
FleetMatics customers can watch vehicles move around on large flat screens as GPS data is continuously updated. FleetMatics CTO Peter Mitchell said customers hadn't said that they perceived the response time from Ireland as a negative. Nonetheless, when the company opened a data center in Denver in December, immediately "there was a perception that the system was now lightning fast," he added.
Mitchell said he believes SaaS providers in Europe have no problem providing services to customers in the U.S. FleetMatics opened its Denver data center as part of an effort to develop a global disaster recovery model, as well expand services. The company has begun testing latency times to India from Dublin and the U.S., he added.
Last fall, Salesforce.com announced plans to open a data center in Japan in the second half of this year. Japan is Salesforce's fastest growing market outside of the U.S., according to company spokesman Joseph Schmidt, who said that when the Japan data center opens, "our customers will benefit from the speed and peace of mind that come with having their data close to home."
AIG Edison has found that latency from the U.S.-Japan link varies according to connection speed and amount of data. On average, it takes 132 milliseconds to send and receive 32KB, according to Appirio. In contrast, it takes about 52 milliseconds for a similar amount of information to travel via a Japan-based host site.
AIG Edison's entire client environment, which includes virtual desktops for all of its salespeople, experiences a maximum lag of 300 to 400 milliseconds, or about one-third of a second, according to Appirio.
That latency rate comes after optimization and tuning. Among the things AIG Edison did was transmit batch loads of data into the Salesforce data center, where the majority of data was located. Also, instead of doing four sequential queries, the system was optimized to do four queries at the same time.
"If the application is written in such a way that it is minimizing the number of round trips to the database," latency "can become a minor issue," said Andy Poulter, CTO at Runaware Inc., which provides a number of SaaS- and cloud-based offerings, including online software testing. It has data centers in Sweden and Miami, and it serves a worldwide customer base.
Some AIG Edison data, along with customer history checks, still has to be pulled off a mainframe in Japan.
For AIG Edison, the decision to work with a cloud provider in another country raised security concerns that also had to be addressed.
"Just having the data residing outside of Japan was hard for some people to get over," said Jason Park, general manager of Appirio's Japan operations.
But executives' concerns were mitigated by explanations of the physical and logical security Salesforce had in place. They found that Salesforce "was probably better both from a reliability and uptime perspective and provided more robust security as well," Park said.
AIG Edison was acquired last month by Prudential Financial Inc., and Futami decided to leave his position. But decisions like the one he made to move to the cloud are becoming increasingly common: U.S. revenue from public cloud computing is expected to increase 24% this year alone to $17.6 billion, according to IDC.
Phil Garland, a partner in the PricewaterhouseCoopers advisory practice, said that whether latency is an problem or not depends on the user's expectations, level of tolerance, and what works for the business.
"It really depends about what performance levels are acceptable to you, said Garland. "There is no question that the farther one is away from a data center, there will be an impact on performance," he said.
"But there are ways that many providers work around that by balancing between actual performance and perceived performance," said Garland. "A clever client design can alleviate many of those issues that are presented by high-latency environments -- at least up to a point."
Garland said there's no rule of thumb on user acceptance of latency. It depends on the function of the data and how critical it is. But the topic has grown in importance as companies move toward data center consolidation at the same time as global customer bases are expanding. "It's a very common discussion point right now," he said.

Will Apple make preemptive strike, cut iPad price?

Time to get aggressive, before competition heats up this year, says retail expert
Apple should get a jump on the tablet competition Wednesday by dropping the price of the iPad and expanding its distribution, an analyst said today.
Not that he expects Apple to follow his advice.
"They're not going to drop the price, that's not going to happen, maybe not until later this year," said Stephen Baker, an analyst with retail research firm NPD Group.
Still, he had a hope -- slim though it might be -- that Apple will, as he said, "shoot off a cannon in a tablet price war" Wednesday.
Apple is expected to introduce its next-generation iPad -- what most have already dubbed the "iPad 2" -- at an event slated to start at 10 a.m. PT in San Francisco. The company, as usual, has been closed-mouthed, and has done nothing but hint that the event will feature a new tablet.
The key to Apple's ability to compete with a growing number of tablet rivals later this year will depend on the moves it announces Wednesday, Baker said.
"Clearly by the fourth quarter, probably sooner, there will be a fight at retail for customer awareness and shelf space and price," said Baker, referring to the time when as many as 20 tablets from first-tier consumer electronics and computer makers, companies with a high consumer profile and lots of retail savvy, begin to show up.
That will make the important news from tomorrow's iPad event more about price and distribution and less about the specs of the device -- how thin it is, whether it has one or two cameras, what processor is inside -- argued Baker.
That's because Apple is notoriously against dropping prices except when it introduces a refresh of a product line.
"The only time I remember them doing that was with the first iPhone, and that was more an admission of a mistake in their business model," Baker said. In September 2007, just months after the launch of the original iPhone, Apple cut the price of the then top-end 8GB model by $200, from $599 to $399, and yanked the 4GB iPhone from the line.
Instead, once Apple locks in a price, it doesn't move the marker until a new model debuts, or in more cases, simply retains the existing price but beefs up the device's speed, memory or storage space. In its iPhone line, Apple typically takes a different tack: It drops the price of the previous model when it revamps the smartphone.
"They're not going to be the only [tablet] player in the back half of the year, so are they going to be the first mover on price? It would give them an advantage."
Still, Baker said the chance that Apple would drop the entry-level iPad price to, say, $399 -- a 25% cut -- was between slim and none. "Clearly they're not ready to compete at the low end" on price. Maybe they'll take a little bit off by the holidays. But I don't think they're willing to take that shot right now," Baker said.
Apple could also beat the competition to the punch by expanding the iPads sales channels now, rather than wait until later in the year, when rival tablets actually ship.
"Just like the iPod, the more places you are [with the iPad], the more aggressive you are, the more opportunities you have," Baker said.
He suggested that Apple push the iPad in retail locations where it doesn't currently appear, and boost its efforts in the business market.
"It's time for Apple to think about being more aggressive in business channels, like the office supply stores, and [direct market resellers like] PC Connection and Insight," said Baker. "And more aggressive in second-tier retail, such as regional consumer electronics chains, and test alternatives like Kohl's or Bed Bath & Beyond."
Apple currently sells the iPad at its own retail and online stores, authorized resellers, through AT&T and Verizon, and at retail outlets including Best Buy and Wal-mart.
"It's time for Apple to start thinking of the competition," concluded Baker, "because those other [tablet] guys will be aggressive."