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	<title>AllThingsD &#187; allegation</title>
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		<title>Heidrick &amp; Struggles Slaps Back at Thompson's Yahoo in Blame Game Over ResuMess</title>
		<link>http://allthingsd.com/20120511/heidrick-struggles-slaps-back-at-thompsons-yahoo-in-blame-game/</link>
		<comments>http://allthingsd.com/20120511/heidrick-struggles-slaps-back-at-thompsons-yahoo-in-blame-game/#comments</comments>
		<pubDate>Sat, 12 May 2012 01:39:30 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
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		<guid isPermaLink="false">http://allthingsd.com/?p=207190</guid>
		<description><![CDATA[Oh no, you didn't!]]></description>
			<content:encoded><![CDATA[<p><a href="http://allthingsd.com/20120511/heidrick-struggles-slaps-back-at-thompsons-yahoo-in-blame-game/funny-celebrity-pictures-gurrrl-u-did-not-just-say-that-feature/" rel="attachment wp-att-207207"><img src="http://allthingsd.com/files/2012/05/funny-celebrity-pictures-gurrrl-u-did-not-just-say-that-feature-380x285.jpg" alt="" title="funny-celebrity-pictures-gurrrl-u-did-not-just-say-that-feature" width="380" height="285" class="alignright size-medium wp-image-207207" /></a></p>
<p>And <a href="http://allthingsd.com/20120511/is-he-in-or-is-he-out-crunchtime-for-scott-thompson-at-yahoo/">it just gets worse</a> in the controversy over Yahoo CEO Scott Thompson and the circumstances around how a fake computer science degree could get onto his bio.</p>
<p>Heidrick &#038; Struggles is smacking back at him for insinuating that the well-known headhunting firm had messed up his resume.</p>
<p>In <a href="http://allthingsd.com/20120510/not-so-scott-free-yahoos-other-big-shareholder-cap-re-leaning-toward-supporting-loeb-over-thompson-resumess/">meetings with employees</a> to attempt to explain the situation yesterday, multiple sources said that Thompson claimed that a mistake made by a headhunting firm in mid-2000, when he was moving to a job at eBay, was the way the inaccuracy got into his bio.</p>
<p>Thompson did not name the firm, but he was clearly referring to Heidrick &#038; Struggles, which handled that placement. It was also working on the Yahoo CEO search, after the Silicon Valley Internet giant fired its former CEO Carol Bartz last fall.</p>
<p>But, because it had originally placed Thompson at eBay, the firm did not work on his hiring at Yahoo.</p>
<p>So, Heidrick was not going to take Thompson&#8217;s blame for the botched bio. </p>
<p>&#8220;While we were not involved in this placement, there have been both direct and indirect mentions of this relationship in several news articles. Furthermore, if recent media reports are accurate, the CEO of Yahoo! has made potentially damaging allegations about our firm that are simply not true and cannot be allowed to stand in the public record,&#8221; wrote CEO Kevin Kelly to staff. &#8220;The media articles in question have indicated that the Yahoo! CEO told members of his senior staff that, many years ago, a junior member of our firm invented an academic credential for him in the course of preparing standard profile materials. Based on information in our possession, this allegation is verifiably not true and we have notified Yahoo! to that effect.&#8221;</p>
<p>This letter is just another brick in what is looking like an insurmountable wall for Thompson to keep his job at Yahoo. Sources said that the board of Yahoo had been sent a letter from Heidrick on the matter earlier today.</p>
<p>And, let me just say, this latest eruption is simply not good for Thompson&#8217;s chances to remain CEO for much longer. </p>
<p>Yahoo declined to comment, but here is the full letter from Kelly to its staff:</p>
<blockquote class="memo"><p>Colleagues,</p>
<p>Heidrick &#038; Struggles&#8217; clients across the globe place their trust in our professionalism and discretion, as we assist them in their most significant leadership decisions. We regard that trust as one of our most valuable corporate assets. As such, we do not often comment on internal matters involving our clients. However, recent press accounts have reported statements that contain misstatements of fact and criticisms of our professional services that require a response from us.</p>
<p>As many of you have seen, there has been recent focus on the CEO appointment at one of our long-term clients, Yahoo!. While we were not involved in this placement, there have been both direct and indirect mentions of this relationship in several news articles. Furthermore, if recent media reports are accurate, the CEO of Yahoo! has made potentially damaging allegations about our firm that are simply not true and cannot be allowed to stand in the public record. The media articles in question have indicated that the Yahoo! CEO told members of his senior staff that, many years ago, a junior member of our firm invented an academic credential for him in the course of preparing standard profile materials. Based on information in our possession, this allegation is verifiably not true and we have notified Yahoo! to that effect.</p>
<p>This is why I am writing to you today. All of us at Heidrick &#038; Struggles take our responsibility to our clients very seriously, and it is important for us to set the record straight when our good work and reputation are called into question.</p>
<p>The issue surrounding Yahoo! underscores the importance and impact of the work we do for all of our clients &#8212; helping them build the best leadership teams possible.  Our clients place their trust in us each day, and we have developed strong policies and procedures over our nearly 60-year history to serve them. </p>
<p>On behalf of the management team and Board of Directors, thank you for your continued support and dedication to Heidrick &#038; Struggles.</p>
<p>Best,<br />
Kevin<br />
L. Kevin Kelly<br />
Chief Executive Officer<br />
Heidrick &#038; Struggles</p></blockquote>
<p><blockquote class="memo" style="background:#faf5e5;font-style:normal;">
<h4 class="subhed">RELATED POSTS:</h4>
<ul>
<li><a href="http://allthingsd.com/20120514/yahoos-parting-with-thompson-will-be-for-cause/">Yahoo’s Parting With Thompson Will Be for “Cause” (a.k.a. CSLie)</a></li>
<li><a href="http://allthingsd.com/20120513/ross-levinsohns-yahoo-plan-back-to-the-future/">Ross Levinsohn’s Yahoo Plan: Back to the Future</a></li>
<li><a href="http://allthingsd.com/20120513/heres-new-yahoo-ceos-first-note-to-troops-the-leaking-internal-memos-to-atd-policy-remains-in-place/">Here’s New Yahoo CEO’s First Note to Troops! (The Leaking-Internal-Memos-to-ATD Policy Remains in Effect As Usual)</a></li>
<li><a href="http://allthingsd.com/20120513/yahoo-officially-confirms-atd-report-on-ceo-changes-and-proxy-settlement/">Yahoo Officially Confirms ATD Report on CEO Changes and Proxy Settlement</a></li>
<li><a href="http://allthingsd.com/20120513/meet-the-man-i-call-the-hair-the-video-stylings-of-yahoos-newest-ceo-ross-levinsohn/">Meet the Man I Call “The Hair”: The Video Stylings of Yahoo’s Newest CEO Ross Levinsohn</a></li>
<li><a href="http://allthingsd.com/20120513/will-thompsons-ouster-mean-a-yahoofacebook-patent-settlement/">Will Thompson’s Ouster Mean a Yahoo-Facebook Patent Settlement Too?</a></li>
<li><a href="http://allthingsd.com/20120513/exclusive-yahoos-thompson-out-levinsohn-in-board-settlement-with-loeb-nears-completion/">Exclusive: Yahoo’s Thompson Out; Levinsohn In; Board Settlement With Loeb Nears Completion</a></li>
<li><a href="http://allthingsd.com/20120511/heidrick-struggles-slaps-back-at-thompsons-yahoo-in-blame-game/">Heidrick &#038; Struggles Slaps Back at Thompson’s Yahoo in Blame Game Over ResuMess</a></li>
<li><a href="http://allthingsd.com/20120511/is-he-in-or-is-he-out-crunchtime-for-scott-thompson-at-yahoo/">Is He In or Is He Out? Crunchtime for Scott Thompson at Yahoo.</a></li>
<li><a href="http://allthingsd.com/20120510/not-so-scott-free-yahoos-other-big-shareholder-cap-re-leaning-toward-supporting-loeb-over-thompson-resumess/">Not So Scott Free? Yahoo’s Other Big Shareholder — Cap Re — Leaning Toward Supporting Loeb Over Thompson ResuMess.</a></li>
<li><a href="http://allthingsd.com/20120509/technations-gunn-says-she-and-yahoo-ceo-talked-about-their-cs-degrees-before-2009-show-video-and-audio/">Tech Nation’s Gunn Says She and Yahoo CEO Discussed Their CS Degrees Before 2009 Show (Video and Audio)</a></li>
<li><a href="http://allthingsd.com/20120509/loeb-again-calls-for-thompson-firing-from-yahoo-as-former-ebay-boss-support-him/">Loeb Calls Again for Thompson Firing From Yahoo, as Former eBay Boss Supports Him</a></li>
<li><a href="http://allthingsd.com/20120509/place-your-bets-will-loeb-drop-another-bomb-on-yahoo-at-vegas-confab-later-today/">Place Your Bets: Will Loeb Drop Another Bomb on Yahoo at Vegas Confab Later Today?</a></li>
<li><a href="http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/">Exclusive: Yahoo Director in Charge of Botched CEO Vetting to Step Down From Board</a></li>
<li><a href="http://allthingsd.com/20120507/ceo-apologizes-to-yahoos-but-will-the-mea-culpa-work-without-an-explanation-for-the-borked-bio-memo/">CEO Says Sorry to Yahoos for Borked Bio “Distraction” — But Will Mea Culpa Work Without an Apology for Error? (Memo)</a></li>
<li><a href="http://allthingsd.com/20120507/buffett-comments-on-yahoo-ceo-biogate-calling-trust-issue-a-problem/">Buffett Comments on Trust Issue in Yahoo CEO BioGate: “You’ve Got a Problem”</a></li>
<li><a href="http://allthingsd.com/20120507/loeb-lobs-lawsuit-as-expected-at-yahoos-borked-bio-mess/">Loeb Lobs Lawsuit, as Expected, at Yahoo’s Borked Bio Mess</a></li>
<li><a href="http://allthingsd.com/20120506/as-yahoo-ceo-reaches-out-to-top-staff-board-meets-to-weigh-options-i-e-figuring-out-who-gets-to-take-the-borked-bio-blame/">As Yahoo CEO Reaches Out to Top Staff, Board Meets to Weigh “Options” (I.E., Deciding Who Gets to Take the Borked Bio Blame)</a></li>
<li><a href="http://allthingsd.com/20120506/yahoo-should-expect-incoming-lawsuit-lobbed-by-loeb-tomorrow-on-ceo-hiring/">Yahoo Should Expect Incoming Lawsuit Lobbed by Loeb Tomorrow on CEO Hiring</a></li>
<li><a href="http://allthingsd.com/20120505/they-shoot-yahoo-ceos-dont-they-but-not-without-a-really-smoking-gun-and-a-much-stronger-board/">They Shoot Yahoo CEOs, Don’t They? But Not Without a <em>Really</em> Smoking Gun and a Much Stronger Board.</a></li>
<li><a href="http://allthingsd.com/20120504/yahoos-thompson-speaks-asks-employees-to-stay-focused-except-not-on-him-memo/">Yahoo’s Thompson Asks Employees to “Stay Focused” — Except Not on <em>Him</em></a></li>
<li><a href="http://allthingsd.com/20120503/in-2009-interview-yahoo-ceo-does-not-deny-he-has-a-cs-degree-and-calls-himself-an-engineer/">In 2009 Interview, Yahoo CEO Does Not Deny He Has a CS Degree, and Calls Himself an “Engineer” (Audio)</a></li>
<li><a href="http://allthingsd.com/20120503/yahoos-board-will-review-resume-discrepancy-of-ceo/">Yahoo’s Board Will “Review” Resume Discrepancy of CEO</a></li>
<li><a href="http://allthingsd.com/20120503/how-did-phantom-cs-degree-get-on-ceos-bio-in-sec-filings-yahoos-not-saying/">How Did a Phantom CS Degree Get on CEO’s Bio in SEC Filings? Yahoo’s Not Saying.</a></li>
<li><a href="http://allthingsd.com/20120503/yahoos-response-on-computer-science-resumegate-inadvertent-error/">Yahoo’s Response on CEO’s Computer Science ResumeGate: “Inadvertent Error”</a></li>
<li><a href="http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/">Dan Loeb Alleges “Discrepancies” on Yahoo CEO Scott Thompson’s Resume Related to Computer Science Degree</a></li>
</ul>
</blockquote>
</p>
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		<title>Exclusive: Yahoo Director in Charge of Botched CEO Vetting to Step Down From Board</title>
		<link>http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/</link>
		<comments>http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/#comments</comments>
		<pubDate>Tue, 08 May 2012 15:50:13 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
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		<guid isPermaLink="false">http://allthingsd.com/?p=205076</guid>
		<description><![CDATA[CSLie has claimed its first victim, although the mystery is still unsolved.]]></description>
			<content:encoded><![CDATA[<p><a href="http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/patti-hart-igt-02/" rel="attachment wp-att-205080"><img src="http://allthingsd.com/files/2012/05/patti-hart-igt-02.jpeg" alt="" title="patti-hart-igt-02" width="345" height="190" class="alignright size-full wp-image-205080" /></a></p>
<p>CSLie has claimed its first victim, although the mystery is <em>still</em> unsolved.</p>
<p>Patti Hart &#8212; the Yahoo director in charge of the search that resulted in the hiring of Scott Thompson as its CEO, making her directly responsible for a clearly botched vetting of his academic record &#8212; will not stand for re-election to the board at the next annual meeting, according to sources close to the situation.</p>
<p>Hart &#8212; who is CEO of International Game Technology, which makes electronic gaming equipment and systems products &#8212; is resigning. Apparently, said sources, her own board asked her to remove herself from the Yahoo mess to better focus on the company she actually runs.</p>
<p>But she is perhaps just a few steps ahead of being pushed, given her key role in the hiring of Thompson, who was president of eBay&#8217;s PayPal payments unit when he cold-emailed Yahoo director and Intuit CEO Brad Smith seeking the job.</p>
<p>A Yahoo spokesman declined to comment.</p>
<p>[<strong>UPDATE:</strong> Yahoo <a href="http://investor.yahoo.net/releasedetail.cfm?ReleaseID=671653">confirmed the inevitable departure</a> later in the day and said the Yahoo board would have nine members going forward. Hart also released a statement, confirming the move.]<br />
Hart, who came to the Yahoo board in 2010, has been head of its corporate governance and nominating committee.</p>
<p>The departure makes her the first casualty &#8212; but definitely not the last &#8212; of the controversy over how a fake college degree managed to get in Yahoo&#8217;s regulatory filings via Thompson&#8217;s inaccurate bio.</p>
<p>The issues around how Thompson was hired &#8212; including how background checks on him failed to discover that he never got a CS degree from the Boston area&#8217;s Stonehill College, as his longtime bio on eBay had claimed &#8212; are part of a <a href="http://allthingsd.com/20120506/as-yahoo-ceo-reaches-out-to-top-staff-board-meets-to-weigh-options-i-e-figuring-out-who-gets-to-take-the-borked-bio-blame/">new investigation by the board</a>.</p>
<p>That will be officially announced later today, along with the hiring of an outside law firm to conduct the probe, which will be headed by independent director Fred Amoroso.</p>
<p>[<strong>UPDATE:</strong> Yahoo <a href="http://www.businesswire.com/news/home/20120508007117/en/Yahoo%21-Board-Directors-Forms-Special-Committee-Review">officially said it was forming a special committee</a> to look at Thompson's bio snafu and the circumstances around his hiring. Along with Amoroso, the other members are John Hayes and Thomas McInerney, independent directors who joined the board in April.</p>
<p>"The special committee and the entire Board appreciate the urgency of the situation and the special committee will therefore conduct the review in an independent, thorough and expeditious manner," a statement from Yahoo said.</p>
<p>Interestingly, the statement did not include a show of support for Thompson, which often happens in such circumstances.]</p>
<p>They will have a lot to investigate. Such as this mystery: Thompson&#8217;s correct bio appeared in filings eBay made with the Securities and Exchange Commission, while Yahoo&#8217;s similar documents were inaccurate about his educational credentials.</p>
<p><a href="http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/csi-icon-1/" rel="attachment wp-att-205116"><img src="http://allthingsd.com/files/2012/05/csi-icon-1-369x285.jpg" alt="" title="csi-icon-1" width="369" height="285" class="alignleft size-medium wp-image-205116" /></a></p>
<p>Also under scrutiny: How the falsehood was added to Thompson&#8217;s public resume, and who put it there; why Thompson never noticed the error, there since at least 2004; why he <a href="http://allthingsd.com/20120503/in-2009-interview-yahoo-ceo-does-not-deny-he-has-a-cs-degree-and-calls-himself-an-engineer/">declined to correct it when asked directly</a> about it; and who at Yahoo might have known about the problem before the hiring.</p>
<p>It&#8217;s a basic case of who, what, where, when and how. And, most of all, why anyone would make such a dumb mistake.</p>
<p>Hart would seem to have all the answers to that, along with a forensic firm that worked on the vetting. Key Yahoo staffers were also involved, said sources, although its headhunting firm on the CEO search, Heidrick &#038; Struggles, was not used in relation to Thompson.</p>
<p>Presumably, there is a paper trail of some sort, which was the subject of a <a href="http://allthingsd.com/20120507/loeb-lobs-lawsuit-as-expected-at-yahoos-borked-bio-mess/">legal demand by activist shareholder Daniel Loeb of Third Point</a> yesterday. He uncovered the bio error last week, in the middle of pressing a proxy fight to garner board seats.</p>
<p>Loeb&#8217;s allegations also nailed Hart in much-less-egregious padding of her own college record, making it appear as if she had economics and marketing degrees. She has one in business administration, with &#8220;specialties&#8221; (Yahoo&#8217;s <em>ridonkulous</em> word, not mine) in economics and marketing.</p>
<p>While Hart&#8217;s leaving might assuage some, providing a convenient scapegoat to the bizarre situation, this is by no means over for Yahoo or Thompson.</p>
<p>Another increasingly potent issue is the ever-declining morale at the Silicon Valley Internet giant over the company&#8217;s odd response &#8212; it initially called the bio problem an &#8220;inadvertent error,&#8221; without further explanation &#8212; and also Thompson&#8217;s lack of transparency on the issue.</p>
<p>He released an email to employees last night, <a href="http://allthingsd.com/20120507/ceo-apologizes-to-yahoos-but-will-the-mea-culpa-work-without-an-explanation-for-the-borked-bio-memo/">apologizing for the &#8220;distraction&#8221; </a>of the resume issue, but not for the error itself.</p>
<p>That, and other of Thompson&#8217;s actions &#8212; he has been described to me, by many close to the situation, as defiant over the issue, and as blaming Loeb for conducting a personal vendetta &#8212; did not sit well with many, both inside and outside Yahoo.</p>
<p>A Yahoo spokeswoman told me earlier this week that there is much support for Thompson internally and externally, but declined to provide specifics.</p>
<p><a href="http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/scott_free_-_white_squall/" rel="attachment wp-att-205115"><img src="http://allthingsd.com/files/2012/05/Scott_Free_-_White_Squall-380x213.jpg" alt="" title="Scott_Free_-_White_Squall" width="380" height="213" class="alignright size-medium wp-image-205115" /></a></p>
<p>But message boards I read were mostly negative about him, as are a plethora of direct emails to me on the situation. One clever commenter on this site bemoaned that Thompson might get off &#8220;Scott-free.&#8221;</p>
<p><em>Ouch!</em> Nonetheless, the atmosphere at Yahoo is indeed unsettled.</p>
<p>&#8220;Sentiment from employees is unanimous that he must go,&#8221; said a Yahoo employee, who has no personal agenda that I can grok, in a common refrain. &#8220;He clearly knew and lied for years; and his handling since exposed has been unacceptable.&#8221;</p>
<p>Unacceptable or not, though, Hart is the only one going for now. But stay tuned.</p>
<p>Until then, here&#8217;s an appearance I made today on WSJ.com to talk about Hart&#8217;s departure:</p>
<p><div class="video-wsj"><object width="640" height="360"><param name="movie" value="http://s.wsj.net/media/swf/microPlayer.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><param name="flashvars" value="videoGUID=1430F5A1-F831-4ADC-B429-E47ECFC86B06&playerid=4001&plyMediaEnabled=1&configURL=http://m.wsj.net/video-players/&autoStart=false" base="http://s.wsj.net/media/swf/"name="microflashPlayer"></param><embed src="http://s.wsj.net/media/swf/microPlayer.swf" bgcolor="#FFFFFF" flashVars="videoGUID={1430F5A1-F831-4ADC-B429-E47ECFC86B06}&playerid=4001&plyMediaEnabled=1&configURL=http://m.wsj.net/video-players/&autoStart=false" base="http://s.wsj.net/media/swf/" name="microflashPlayer" width="640" height="360" seamlesstabbing="false" type="application/x-shockwave-flash" swLiveConnect="true" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash"></embed><br />[ See post to watch video ]</div></object></p>
<p><blockquote class="memo" style="background:#faf5e5;font-style:normal;">
<h4 class="subhed">RELATED POSTS:</h4>
<ul>
<li><a href="http://allthingsd.com/20120514/yahoos-parting-with-thompson-will-be-for-cause/">Yahoo’s Parting With Thompson Will Be for “Cause” (a.k.a. CSLie)</a></li>
<li><a href="http://allthingsd.com/20120513/ross-levinsohns-yahoo-plan-back-to-the-future/">Ross Levinsohn’s Yahoo Plan: Back to the Future</a></li>
<li><a href="http://allthingsd.com/20120513/heres-new-yahoo-ceos-first-note-to-troops-the-leaking-internal-memos-to-atd-policy-remains-in-place/">Here’s New Yahoo CEO’s First Note to Troops! (The Leaking-Internal-Memos-to-ATD Policy Remains in Effect As Usual)</a></li>
<li><a href="http://allthingsd.com/20120513/yahoo-officially-confirms-atd-report-on-ceo-changes-and-proxy-settlement/">Yahoo Officially Confirms ATD Report on CEO Changes and Proxy Settlement</a></li>
<li><a href="http://allthingsd.com/20120513/meet-the-man-i-call-the-hair-the-video-stylings-of-yahoos-newest-ceo-ross-levinsohn/">Meet the Man I Call “The Hair”: The Video Stylings of Yahoo’s Newest CEO Ross Levinsohn</a></li>
<li><a href="http://allthingsd.com/20120513/will-thompsons-ouster-mean-a-yahoofacebook-patent-settlement/">Will Thompson’s Ouster Mean a Yahoo-Facebook Patent Settlement Too?</a></li>
<li><a href="http://allthingsd.com/20120513/exclusive-yahoos-thompson-out-levinsohn-in-board-settlement-with-loeb-nears-completion/">Exclusive: Yahoo’s Thompson Out; Levinsohn In; Board Settlement With Loeb Nears Completion</a></li>
<li><a href="http://allthingsd.com/20120511/heidrick-struggles-slaps-back-at-thompsons-yahoo-in-blame-game/">Heidrick &#038; Struggles Slaps Back at Thompson’s Yahoo in Blame Game Over ResuMess</a></li>
<li><a href="http://allthingsd.com/20120511/is-he-in-or-is-he-out-crunchtime-for-scott-thompson-at-yahoo/">Is He In or Is He Out? Crunchtime for Scott Thompson at Yahoo.</a></li>
<li><a href="http://allthingsd.com/20120510/not-so-scott-free-yahoos-other-big-shareholder-cap-re-leaning-toward-supporting-loeb-over-thompson-resumess/">Not So Scott Free? Yahoo’s Other Big Shareholder — Cap Re — Leaning Toward Supporting Loeb Over Thompson ResuMess.</a></li>
<li><a href="http://allthingsd.com/20120509/technations-gunn-says-she-and-yahoo-ceo-talked-about-their-cs-degrees-before-2009-show-video-and-audio/">Tech Nation’s Gunn Says She and Yahoo CEO Discussed Their CS Degrees Before 2009 Show (Video and Audio)</a></li>
<li><a href="http://allthingsd.com/20120509/loeb-again-calls-for-thompson-firing-from-yahoo-as-former-ebay-boss-support-him/">Loeb Calls Again for Thompson Firing From Yahoo, as Former eBay Boss Supports Him</a></li>
<li><a href="http://allthingsd.com/20120509/place-your-bets-will-loeb-drop-another-bomb-on-yahoo-at-vegas-confab-later-today/">Place Your Bets: Will Loeb Drop Another Bomb on Yahoo at Vegas Confab Later Today?</a></li>
<li><a href="http://allthingsd.com/20120508/exclusive-yahoo-director-in-charge-of-botched-ceo-vetting-to-step-down-from-board/">Exclusive: Yahoo Director in Charge of Botched CEO Vetting to Step Down From Board</a></li>
<li><a href="http://allthingsd.com/20120507/ceo-apologizes-to-yahoos-but-will-the-mea-culpa-work-without-an-explanation-for-the-borked-bio-memo/">CEO Says Sorry to Yahoos for Borked Bio “Distraction” — But Will Mea Culpa Work Without an Apology for Error? (Memo)</a></li>
<li><a href="http://allthingsd.com/20120507/buffett-comments-on-yahoo-ceo-biogate-calling-trust-issue-a-problem/">Buffett Comments on Trust Issue in Yahoo CEO BioGate: “You’ve Got a Problem”</a></li>
<li><a href="http://allthingsd.com/20120507/loeb-lobs-lawsuit-as-expected-at-yahoos-borked-bio-mess/">Loeb Lobs Lawsuit, as Expected, at Yahoo’s Borked Bio Mess</a></li>
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<li><a href="http://allthingsd.com/20120506/yahoo-should-expect-incoming-lawsuit-lobbed-by-loeb-tomorrow-on-ceo-hiring/">Yahoo Should Expect Incoming Lawsuit Lobbed by Loeb Tomorrow on CEO Hiring</a></li>
<li><a href="http://allthingsd.com/20120505/they-shoot-yahoo-ceos-dont-they-but-not-without-a-really-smoking-gun-and-a-much-stronger-board/">They Shoot Yahoo CEOs, Don’t They? But Not Without a <em>Really</em> Smoking Gun and a Much Stronger Board.</a></li>
<li><a href="http://allthingsd.com/20120504/yahoos-thompson-speaks-asks-employees-to-stay-focused-except-not-on-him-memo/">Yahoo’s Thompson Asks Employees to “Stay Focused” — Except Not on <em>Him</em></a></li>
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<li><a href="http://allthingsd.com/20120503/yahoos-response-on-computer-science-resumegate-inadvertent-error/">Yahoo’s Response on CEO’s Computer Science ResumeGate: “Inadvertent Error”</a></li>
<li><a href="http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/">Dan Loeb Alleges “Discrepancies” on Yahoo CEO Scott Thompson’s Resume Related to Computer Science Degree</a></li>
</ul>
</blockquote>
</p>
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		<title>Dan Loeb Alleges "Discrepancies" on Yahoo CEO Scott Thompson's Resume Related to Computer Science Degree</title>
		<link>http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/</link>
		<comments>http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/#comments</comments>
		<pubDate>Thu, 03 May 2012 18:53:08 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
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		<guid isPermaLink="false">http://allthingsd.com/?p=203301</guid>
		<description><![CDATA[Did he or didn't he get a computer science degree?]]></description>
			<content:encoded><![CDATA[<p><a href="http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/scott_thompson-c/" rel="attachment wp-att-203322"><img src="http://allthingsd.com/files/2012/05/Scott_Thompson-c.jpeg" alt="" title="Scott_Thompson-c" width="175" height="175" class="alignright size-full wp-image-203322" /></a></p>
<p>The gloves are now <em>really</em> off in the proxy battle for Yahoo.</p>
<p>In a letter to Yahoo&#8217;s board, activist shareholder Dan Loeb of Third Point is alleging that the company&#8217;s new CEO Scott Thompson has inaccurately added a computer science degree to his resume. </p>
<p>(<strong>Update:</strong> Yahoo <a href="http://allthingsd.com/20120503/yahoos-response-on-computer-science-resumegate-inadvertent-error/">confirmed that Loeb is correct</a> about Thompson not having such a degree and called it an &#8220;inadvertent error.&#8221;)</p>
<p>Thompson went to Stonehill College, near Boston, from 1975 to 1979, according to his <a href="http://www.linkedin.com/profile/view?id=2446733&#038;authType=NAME_SEARCH&#038;authToken=K9N9&#038;locale=en_US&#038;srchid=4ab0b261-ee79-4e81-b328-839bc1a2db23-0&#038;srchindex=3&#038;srchtotal=1099&#038;goback=%2Efps_PBCK_*1_Scott_Thompson_*1_*1_*1_*1_*2_*1_Y_*1_*1_*1_false_1_R_*1_*51_*1_*51_true_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2_*2&#038;pvs=ps&#038;trk=pp_profile_name_link">LinkedIn profile</a>, but it does not specify his degree.</p>
<p>(<strong>Second Update:</strong> Stonehill College also confirms that Thompson only graduated with a Bachelor&#8217;s of Science in Business Administration (Accounting).)</p>
<p>And older bios, such as one from his director bio for <a href="http://www.f5.com/about/board-of-directors/scott-thompson.html">F5</a> and one from <a href="http://people.forbes.com/profile/scott-thompson/28240">Forbes</a>, as well as a Stone Hill College alumni newsletter, note that he graduated only with a Bachelor&#8217;s of Science in accounting. </p>
<p>But in official bios from his job at <a href="http://pages.ebay.com.sg/aboutebay/thecompany/executiveteam.html">eBay</a> as head of its PayPal payments division, as well as on the current <a href="http://pressroom.yahoo.net/pr/ycorp/scott-thompson.aspx">Yahoo one</a>, a degree in computer science also appears, along with the accounting degree.</p>
<p>&#8220;Scott received a bachelor&#8217;s in accounting and computer science from Stonehill College,&#8221; read the Yahoo and eBay bios. It is also in Yahoo&#8217;s regulatory filings.</p>
<p>According to Loeb&#8217;s letter:</p>
<blockquote class="memo"><p>Upon recognizing this discrepancy, Third Point initially assumed that the documents we had reviewed were incorrect and the representations in Yahoo!&#8217;s public filings were accurate. However, we were then informed by Stonehill College that Mr. Thompson did indeed graduate with a degree in accounting only. Furthermore, Stonehill College informed us that it did not begin awarding computer science degrees until 1983 &#8212; four years after Mr. Thompson graduated. We inquired whether Mr. Thompson had taken a large number of computer science courses, perhaps allowing him to justify to himself that he had &#8220;earned&#8221; such a degree. Instead, we learned that during Mr. Thompson&#8217;s tenure at Stonehill only one such course was even offered &#8212; Intro to Computer Science. Presumably, Mr. Thompson took that course.</p></blockquote>
<p>I am awaiting a call back from Stonehill about Thompson&#8217;s degree, which the college is checking now. And I called Yahoo for comment and also am waiting for that, too.</p>
<p>If Loeb&#8217;s allegations are true and Thompson burnished his resume to add educational expertise to lend him more tech credibility, it could become a serious issue for Yahoo.</p>
<p>It would also call into question &#8212; as Loeb does in the letter &#8212; the amount of vetting done by Yahoo on the CEO choice, which was conducted by board member Patti Hart.</p>
<p>It gets worse: Loeb is also alleging that Hart changed her degree from Illinois State College from business administration to a loftier economics and marketing.</p>
<p>(<strong>Update:</strong> Loeb is correct. Yahoo said Hart has a degree in business administration, with a specialty in economics and marketing &#8212; although I am not sure what that means exactly.)</p>
<p>But Thompson&#8217;s educational pedigree is the main issue here, of course, and Loeb is calling for his head if explanations are not provided.</p>
<p>&#8220;If Mr. Thompson embellished his academic credentials we think that it 1) undermines his credibility as a technology expert and 2) reflects poorly on the character of the CEO who has been tasked with leading Yahoo! at this critical juncture. Now more than ever Yahoo! investors need a trustworthy CEO,&#8221; said Loeb in the letter.</p>
<p>But read it for yourself &#8212; here is the full letter from Loeb: </p>
<p><font size="2"><a href="http://www.docstoc.com/docs/120023566/Third-Point-Letter-to-Board-May-3-Release">Third Point Letter to Board May 3 Release</a></font><br/><object id="_ds_120023566" name="_ds_120023566" width="640" height="550" type="application/x-shockwave-flash" data="http://viewer.docstoc.com/"><param name="FlashVars" value="doc_id=120023566&#038;mem_id=1512683&#038;doc_type=pdf&#038;fullscreen=0&#038;allowdownload=1" /><param name="movie" value="http://viewer.docstoc.com/"/><param name="allowScriptAccess" value="always" /><param name="allowFullScreen" value="true" /></object><script type="text/javascript">var docstoc_docid="120023566";var docstoc_title="Third Point Letter to Board May 3 Release";var docstoc_urltitle="Third Point Letter to Board May 3 Release";</script><script type="text/javascript" src="http://i.docstoccdn.com/js/check-flash.js"></script></p>
<p><blockquote class="memo" style="background:#faf5e5;font-style:normal;">
<h4 class="subhed">RELATED POSTS:</h4>
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<li><a href="http://allthingsd.com/20120504/yahoos-thompson-speaks-asks-employees-to-stay-focused-except-not-on-him-memo/">Yahoo’s Thompson Asks Employees to “Stay Focused” — Except Not on <em>Him</em></a></li>
<li><a href="http://allthingsd.com/20120503/in-2009-interview-yahoo-ceo-does-not-deny-he-has-a-cs-degree-and-calls-himself-an-engineer/">In 2009 Interview, Yahoo CEO Does Not Deny He Has a CS Degree, and Calls Himself an “Engineer” (Audio)</a></li>
<li><a href="http://allthingsd.com/20120503/yahoos-board-will-review-resume-discrepancy-of-ceo/">Yahoo’s Board Will “Review” Resume Discrepancy of CEO</a></li>
<li><a href="http://allthingsd.com/20120503/how-did-phantom-cs-degree-get-on-ceos-bio-in-sec-filings-yahoos-not-saying/">How Did a Phantom CS Degree Get on CEO’s Bio in SEC Filings? Yahoo’s Not Saying.</a></li>
<li><a href="http://allthingsd.com/20120503/yahoos-response-on-computer-science-resumegate-inadvertent-error/">Yahoo’s Response on CEO’s Computer Science ResumeGate: “Inadvertent Error”</a></li>
<li><a href="http://allthingsd.com/20120503/dan-loeb-alleges-discrepancies-on-yahoo-ceo-scott-thompsons-resume-related-to-computer-science-degree/">Dan Loeb Alleges “Discrepancies” on Yahoo CEO Scott Thompson’s Resume Related to Computer Science Degree</a></li>
</ul>
</blockquote>
</p>
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		<title>The Yahoo Lawsuits Begin: Put the Non-Blabby Deals in Your PIPE and Smoke It</title>
		<link>http://allthingsd.com/20111205/the-yahoo-lawsuits-begin-put-the-non-blabby-deals-in-your-pipe-and-smoke-it/</link>
		<comments>http://allthingsd.com/20111205/the-yahoo-lawsuits-begin-put-the-non-blabby-deals-in-your-pipe-and-smoke-it/#comments</comments>
		<pubDate>Mon, 05 Dec 2011 17:25:33 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Media]]></category>
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		<guid isPermaLink="false">http://allthingsd.com/?p=150304</guid>
		<description><![CDATA[Well, that didn't take long, did it?]]></description>
			<content:encoded><![CDATA[<p><a href="http://allthingsd.com/20111205/the-yahoo-lawsuits-begin-put-the-non-blabby-deals-in-your-pipe-and-smoke-it/original-3/" rel="attachment wp-att-150315"><img src="http://allthingsd.com/files/2011/12/original-358x285.png" alt="" title="original" width="358" height="285" class="alignright size-medium wp-image-150315" /></a></p>
<p>What took so long?</p>
<p>Actually, it did not take any time at all for someone to start legal proceedings against the current effort by Yahoo to sell itself.</p>
<p>In this case, no surprise, it is aimed directly at the how of doing it.</p>
<p>In an unusual injunction request, M&#038;C Partners is seeking to enjoin the Silicon Valley Internet giant from using its stringent &#8220;no cross talk&#8221; rule for its potential buyers to limit possible bidding syndicates.</p>
<p>&#8220;The No Cross Talk Provision constitutes an unreasonable anti-takeover device, designed to entrench and favor [Yahoo co-founder, director and major shareholder Jerry] Yang and the current Board,&#8221; reads the legal filing, in part.</p>
<p>In addition, M&#038;C does not like what it calls a &#8220;Minority Stake Promise,&#8221; which it alleges Yahoo is &#8220;requiring those who sign the Confidentiality Agreement to use any information they receive to confine themselves to a bid for only a minority stake.&#8221;</p>
<p>That refers to the fantastically named PIPE deals &#8212; or Private Investment in Public Equity &#8212; that PE firms like Silver Lake and TPG Capital have just offered. These are bids to buy 19.9 percent of Yahoo, which will essentially give them a lot of power. </p>
<p>Both allegations are, well, exactly what Yahoo is doing, even if it&#8217;s not for the filing&#8217;s stated nefarious reason. Thus, M&#038;C doesn&#8217;t think that&#8217;s okay, presumably because it wants investors to be able to make a deal without Yahoo&#8217;s bossy rules.</p>
<p>To be clear, Yahoo is named in lawsuits all the time for a wide variety of things, such as a case in which one group is alleging it botched a deal with the Alibaba Group over its Alipay controversy to another alleging the price it paid for in its recent <a href="http://allthingsd.com/20111101/yahoo-buys-ad-network-interclick-for-270-million/">$270 million acquisition of Interclick</a> was too low.</p>
<p>And so it is here, one of many to come, I suspect. In this one, there&#8217;s also a class-action request and various and sundry bashing of Yang, which you can read below:</p>
<p><font size="2"><a href="http://www.docstoc.com/docs/107151209/yhoo">yhoo</a></font><br/><object id="_ds_107151209" name="_ds_107151209" width="630" height="550" type="application/x-shockwave-flash" data="http://viewer.docstoc.com/"><param name="FlashVars" value="doc_id=107151209&#038;mem_id=1512683&#038;doc_type=pdf&#038;fullscreen=0&#038;allowdownload=1" /><param name="movie" value="http://viewer.docstoc.com/"/><param name="allowScriptAccess" value="always" /><param name="allowFullScreen" value="true" /></object><script type="text/javascript">var docstoc_docid="107151209";var docstoc_title="yhoo";var docstoc_urltitle="yhoo";</script><script type="text/javascript" src="http://i.docstoccdn.com/js/check-flash.js"></script></p>
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		<title>Roadshow: CEO Pincus Not Selling Shares in Upcoming Zynga IPO</title>
		<link>http://allthingsd.com/20111129/roadshow-ceo-pincus-not-selling-shares-in-zynga-ipo/</link>
		<comments>http://allthingsd.com/20111129/roadshow-ceo-pincus-not-selling-shares-in-zynga-ipo/#comments</comments>
		<pubDate>Wed, 30 Nov 2011 06:01:45 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Commerce]]></category>
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		<guid isPermaLink="false">http://allthingsd.com/?p=148424</guid>
		<description><![CDATA[While he has recently been portrayed as Mr. Potter of Silicon Valley, it looks like the online gaming leader will not get greedy in the IPO.]]></description>
			<content:encoded><![CDATA[<p><a href="http://allthingsd.com/20111129/roadshow-ceo-pincus-not-selling-shares-in-zynga-ipo/0119_mark-pincus_280x340-feature/" rel="attachment wp-att-148436"><img src="http://allthingsd.com/files/2011/11/0119_mark-pincus_280x340-feature-380x285.png" alt="" title="0119_mark-pincus_280x340-feature" width="380" height="285" class="alignright size-medium wp-image-148436" /></a></p>
<p>According to sources close to the situation, neither CEO Mark Pincus nor one of its principal venture shareholders, Kleiner Perkins, will be selling any shares in its upcoming initial public offering. </p>
<p>While big investors often divest stock in IPOs, not all do. It is a carefully watched number by investors, who are always wary of insiders who unload a lot of shares in an offering.</p>
<p>But such activity by the fast-growing San Francisco online gaming company will be watched carefully since Pincus has <a href="http://dealbook.nytimes.com/2011/11/27/zyngas-tough-culture-risks-a-talent-drain/">recently been painted</a> in a number of press reports as the greedy Mr. Potter of Silicon Valley.</p>
<p>Among the allegations is that he runs a poisonously tough culture that tracks its employees&#8217; output and performance via elaborate data models that require extraordinary amounts of work, along with nefarious list-making of who&#8217;s naughty and who&#8217;s not.</p>
<p>That big-brother behavior has reportedly included taking away high-ranking jobs and the sweet stock options that go along with them from those execs found wanting.</p>
<p>While there is no doubt Pincus is a hard-charging personality, his defenders note that it&#8217;s due to a belief that life at Zynga is a meritocracy and that his practices are not any more heavy-handed than those at other firms.</p>
<p>Indeed, Pincus has a lot of competition in the tough-guy tech CEO category from longtime legends such as Microsoft&#8217;s Bill Gates, who set the gold standard for mean, as well as Amazon&#8217;s Jeff Bezos and now Google CEO Larry Page. </p>
<p>Pincus does not even rate in this pantheon, which is more typical of tech companies than anyone would care to admit or, to be fair, care to care about. With big benefits, vast wealth and much latitude, many in tech don&#8217;t mind the grueling work schedules. </p>
<p>After all, it&#8217;s not exactly ditch-digging, now is it?</p>
<p>In any case, sources said the coverage has hit Zynga staff hard, as well as Pincus, who has not responded due to the IPO&#8217;s quiet period. That&#8217;s in contrast to Groupon, the daily-deals site whose own rough process was rife with highly negative stories about the company&#8217;s prospects.</p>
<p>While those media accounts were more aimed at the business itself and less personal, Groupon CEO Andrew Mason vociferously defended the company in a controversial letter that was then leaked and published (<a href="http://allthingsd.com/20110825/exclusive-groupons-mason-tells-troops-in-feisty-internal-memo-it-looks-good/">to me and by me!</a>). </p>
<p>Pincus will doubtlessly have a lot to say to investors who ask about the company&#8217;s culture and its possible negative impact on attrition, as some stories have charged. </p>
<p>His decision not to sell, sources said, was inspired by Zynga investor and close friend Reid Hoffman, who has sold very little of the stock of LinkedIn, where he serves as chairman.</p>
<p>The action all begins next week, according to <a href="http://finance.fortune.cnn.com/2011/11/29/zyngas-ipo-roadshow-begins-monday/">multiple reports</a>, when Zynga takes its show on the road in preparation for an IPO that is expected to value the company at $15 to $20 billion and will take place before the new year.</p>
<p>It will debut under the ZNGA ticker on the Nasdaq market.</p>
<p>While some have been worried about Zynga&#8217;s future growth, its past performance has been a lot stronger than other Internet offerings. In the first nine months of the year, the company posted $828.9 million in revenue, double the amount from a year ago, with net income of $30.7 million.</p>
<p>Pincus&#8217;s holding onto shares will be seen as a plus, of course, although he has sold a large amount of stock in Zynga&#8217;s history.</p>
<p>According to its S-1 filing:</p>
<p>&#8220;From our inception in October 2007 to date, Mr. Pincus, our Chief Executive Officer, Chief Product Officer and the Chairman of our Board of Directors, has purchased an aggregate of 149,197,328 shares of our common stock. To date, Mr. Pincus has sold an aggregate of 43,629,310 shares of our common stock at prices ranging from $0.42 to $13.96.&#8221;</p>
<p>Pincus now holds 91.4 million of Class B shares, 16 percent of the total, as well as 20.5 million of Class C shares, 38 percent of that group. Kleiner holds 65.2 million shares, or 11.2 percent, of Class B shares. </p>
<p>Other big Zynga owners, who might or might not sell at the IPO, include Institutional Venture Partners, Union Square Ventures, Foundry Venture Capital and Avalon Ventures. </p>
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		<title>Murdoch &amp; Son Visit Parliament and Return With a Big Helping Of Humble (and Shaving Cream) Pie</title>
		<link>http://allthingsd.com/20110719/liveblogging-murdoch-son-at-phonegate-hearing-a-lion-in-winter/</link>
		<comments>http://allthingsd.com/20110719/liveblogging-murdoch-son-at-phonegate-hearing-a-lion-in-winter/#comments</comments>
		<pubDate>Tue, 19 Jul 2011 13:36:48 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
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		<guid isPermaLink="false">http://allthingsd.com/?p=99560</guid>
		<description><![CDATA[News Corp. CEO and majordomo Rupert Murdoch tells British lawmakers he is sorry on the "most humble day of my life", survives a surprise attack and loses his jacket.

Other than that, the hearing turned into a what didn't the Murdochs know and when didn't they know it Q&#038;A session.]]></description>
			<content:encoded><![CDATA[<p><img src="http://allthingsd.com/files/2011/07/parliament-300x225.png" alt="" title="parliament" width="300" height="225" class="alignright size-Topics wp-image-99674" /></p>
<p>This morning, News Corp. CEO and majordomo Rupert Murdoch, his son James (who is also a top company exec) &#8212; as well as former employee and full-time lightning rod Rebekah Brooks &#8212; march on down to the British Parliament to answer questions from a committee there about the ever-growing PhoneGate scandal.</p>
<p>For those living under a rock, News Corp. is embroiled in ever more serious controversy about who knew what and when (also where, why and how much) in the hacking of phones of a myriad of well-known people in the U.K. by its News of the World tabloid newspaper.</p>
<p>Besides celebrities and politicians, that has included the voicemails of a murdered girl, an appalling act that has galvanized public opinion and the weak spines of legislators into action in this inquiry.</p>
<p>It&#8217;s sordid, it&#8217;s ugly and it makes for what could be an explosive event, starring the man who brought you &#8220;Titanic,&#8221; Glenn Beck, &#8220;Glee&#8221; and, most recently, the sale of Myspace. </p>
<p>There&#8217;s no question, getting the 80-year-old Murdoch on the ropes will be the aim of the committee members holding the hearing, and how one of the world&#8217;s most famous and legendary media moguls performs &#8212; or does not &#8212; will be a big deal to both interested observers and News Corp. shareholders.</p>
<p>By way of full disclosure, that&#8217;s not me, but this site is owned by Dow Jones, which is owned by News Corp. In other words, somewhere up the corporate food chain, Murdoch is my boss.</p>
<p>In any case, that has never stopped me or <strong>AllThingsD.com</strong> from telling it like it is, so here is the liveblog of what is sure to be a doozy of a media event:</p>
<p><strong>6:36 am PT:</strong>: It all starts for the Murdochs, as soon as the former Scotland Yard head John Yates has completed questioning about the police&#8217;s obvious bungling of the various investigations over the years.</p>
<p>Rupert Murdoch and his son, James Murdoch, are on, looking grave and dressed in grey.</p>
<p>Sitting behind them are Rupert Murdoch&#8217;s wife, Wendi Deng, and his top adviser at News Corp., Joel Klein, who is heading up the phone hacking scandal internally at the company.</p>
<p>The hearing &#8212; in a room that looks like a high school debate could take place there &#8212; starts off politely enough.</p>
<p>But the first question is directed toward James Murdoch about his clearly incomplete investigation when phone hacking allegations were first made many years ago. He begins with an apology. </p>
<p>&#8220;These actions do not live up to the standards of News Corp.,&#8221; says the younger Murdoch. </p>
<p>He is interrupted by his father, Rupert Murdoch, who notes rather dramatically: &#8220;This is the most humble day of my life.&#8221;</p>
<p>The questioner quickly asks the obvious query, after James Murdoch claims News Corp. was not in full possession of the facts when execs had told a previous committee there was no reason to believe there was more widespread hacking.</p>
<p>Were News Corp. execs lying?</p>
<p>James Murdoch continues to insist that the bulk of evidence came out &#8212; &#8220;real evidence&#8221; &#8212; in later civil trials. And also, that News Corp. is now investigating the situation fully.</p>
<p>He throws around words like &#8220;proactive action&#8221; and &#8220;transparency,&#8221; which is probably cold comfort now to those hacked when things were less clear to News Corp.&#8217;s senior management.</p>
<p>Now up, Rupert Murdoch, who is asked quickly about statements he made about not tolerating wrongdoing and who had lied to him at News Corp. about the phone hacking.</p>
<p>Apparently, he &#8220;didn&#8217;t know&#8221; a lot about the hacking that took place, while also defending the non-hacking employees of his company.</p>
<p>But the questioner is still on him about exactly what he did know about the situation, which seems to be &#8212; at least according to his testimony &#8212; a lot of I-don&#8217;t-knows.</p>
<p><strong>6:53 am:</strong> It continues about what Rupert Murdoch knew and when he knew it and what he did. Or not.</p>
<p>As Rupert Murdoch keeps up with this tone of not being clued in to what have turned out to be critical events, James Murdoch wants to keep jumping in with the details, which he is eager to impart.</p>
<p>&#8220;At what point did you find out criminality was endemic at News of the World?&#8221; asks the questioner.</p>
<p>Rupert Murdoch does not like the word endemic, but stresses that he was &#8220;shocked, appalled and ashamed&#8221; by the case of the murdered girl, Milly Dowler.</p>
<p>The questioner seems frustrated by Rupert Murdoch&#8217;s answers, which are, for the typically razor-sharp media mogul, unusually slow.</p>
<p>Like a persistent terrier who wants to perform, James Murdoch is back again offering to serve up the deets. </p>
<p><strong>7:04 am:</strong> Now, it is onto the closing down of News of the World: Was the tabloid shut down because of the criminality?</p>
<p>&#8220;We had broken our trust with our readers,&#8221; says Rupert Murdoch. &#8220;We felt ashamed for what had happened.&#8221;</p>
<p>A new questioner is on, with a bizarre query about why Rupert Murdoch came in the back door of the Prime Minister&#8217;s house at 10 Downing Street on a recent visit there. </p>
<p>It&#8217;s a cloddish effort to show him as a powerful puppetmaster to pols, but only serves as a punch line.</p>
<p>Back on track, with questions about whether there was hacking in the U.S., which Rupert Murdoch said he could not believe had happened.</p>
<p>More questions about how badly the company acted, which came down to the questions about whether he was &#8220;ultimately&#8221; responsible for the hacking.</p>
<p>&#8220;Nope,&#8221; says Rupert Murdoch, who keeps insisting he relied on others, some of whom apparently &#8220;misled&#8221; him. </p>
<p>It&#8217;s an astonishing admission and, really, excuse, given he has been chairman, CEO and a very strong leader of News Corp. for more than a half-century.</p>
<p><strong>7:16 am:</strong> A new questioner, who asks who decided to close down News of the World. It was Murdoch himself, his son and other execs.</p>
<p>Next up, why did News Corp. pay off a victim of hacking, which James Murdoch did without informing his father or the News Corp. board.</p>
<p>James Murdoch essentially points out that it is typical to do this in companies of the global scale of News Corp.</p>
<p>These are apparently very <em>busy, busy, busy</em> people, who do not seem to have time to notice how such juicy and best-selling scoops might have been magically produced by News of the World.</p>
<p>Onto ethical conduct guidelines, which News Corp. has in a pamphlet form, says James Murdoch, but pages which some at the company have obviously never cracked.</p>
<p>Rupert Murdoch is asked again about his culpability in the case, which he continues to maintain he does not shoulder the blame.</p>
<p>James Murdoch does note that the company &#8220;will think more forcefully &#8230; about our journalism and ethics.&#8221;</p>
<p>Given the situation, in which every day brings a new revelation of bad acts by News Corp. employees, this promise of better behavior seems to be a case of much too little and very, very late. </p>
<p>Rupert Murdoch still uses the opportunity to stress the need for a free press, despite its excesses. </p>
<p><strong>7:31 am:</strong> More about the payments to settle with phone hacking victims and how soon the company realized the problems were more widespread. </p>
<p>James Murdoch talks about how he might have acted differently had he known more then as he does now.</p>
<p>&#8220;If we knew now what we knew then,&#8221; says James Murdoch, &#8220;we would have taken more action and moved more aggressively.&#8221;</p>
<p>But what else is he going to say? It&#8217;s a could-have, would-have, should-have line of questioning that is eliciting very little in the way of true information.</p>
<p>Finally, a good point about &#8220;willful blindness,&#8221; which is a term from the Enron scandal about avoiding knowing about problems you really should have known about.</p>
<p>&#8220;Is that a question?,&#8221; asks James Murdoch. It is a statement, actually, and a decent enough one.</p>
<p>&#8220;We didn&#8217;t do that,&#8221; says Rupert Murdoch firmly this time.</p>
<p>Still, soon enough, Rupert Murdoch is insisting he was not as involved as people have imagined him to be with the management of his newspapers. </p>
<p>A new questioner is pressing this important point, but Rupert Murdoch is not biting on a query about his legendarily hands-on managing style.</p>
<p>&#8220;I&#8217;d say, &#8216;What&#8217;s doing?&#8217;&#8221; he explains about his conversations with editors, but adding he might not have been told about payoffs to phone hacking victims.</p>
<p>The questions are in the deep weeds here, but it&#8217;s still interesting that Rupert Murdoch continues to maintain that his life was too busy to wallow in the details, however controversial and important those details might be.</p>
<p><strong>7:55 am:</strong> More and more don&#8217;t-knows pile up and up in a giant mountain of acts perpetrated by someone somewhere, but not the Murdochs. </p>
<p>&#8220;I can tell you I was surprised as you were,&#8221; says James Murdoch about certain payments to various hackers and those who were hacked.</p>
<p>Was it Les Hinton, who then ran News International and later Dow Jones, from which he recently resigned?</p>
<p>Could be! Maybe! Mistake were made! Who knows!</p>
<p>Well, <em>someone does</em>!</p>
<p>It moves onto Brooks, the tarnished News International exec and editor whom Rupert Murdoch does note he still trusts. Finally, some certainty! </p>
<p>Brooks is definitely one of the more compelling characters in this drama, although the media focus on her striking red hair color seems odd and vaguely sexist, as if she is some flame-haired she-devil from media hell. She might certainly be guilty in this mess, but her fabulous hair has nothing to do with it.</p>
<p>(Rupert&#8217;s mane is grey, by the way, and James&#8217; is brown, if you really need to know.)</p>
<p>Fascinatingly, Murdoch&#8217;s backing of Brooks has been strong and consistent, despite intense criticism of her by many in this scandal. </p>
<p>The payment of legal fees of perpetrators and payments to the victims in the hacking seems to obsess one questioner, who wants News Corp. to stop doing it.</p>
<p>Murdoch says he&#8217;d like to if contracts did not preclude that, which essentially means News Corp. will keep up forking over the legal fees and payments.</p>
<p><strong>8:12 am:</strong> The attention turns to how James Murdoch found out about the various emails that showed there was more evidence of hacking than was first thought about and what he felt about it.</p>
<p>He says very little, noting that the matter is under police investigation. It&#8217;s not don&#8217;t-know now, but can&#8217;t-say.</p>
<p>The hearing is beginning to feel a little rope-a-dope, with the Murdochs apologizing and taking blows, saying very little &#8212; either claiming lack of knowledge or lack of ability to comment about the ongoing police inquiry &#8212; and tiring out the questioners.</p>
<p>It is a classic tactic of the boxing champion Muhammad Ali and it works in the ring.</p>
<p>Whether that will be the case with PhoneGate remains to be seen, but it certainly has made what could have been a more explosive hearing much less so.</p>
<p>Instead, it seems to have turned into a what <em>didn&#8217;t</em> the Murdochs know and when <em>didn&#8217;t</em> they know it hearing.</p>
<p>On questioner gets this irony. &#8220;That&#8217;s frankly unsatisfactory,&#8221; he says about the Murdochs continuing shock and surprise at the thorny situation they find themselves in. </p>
<p>Maybe it seems a little hard to believe, but the persistent story from James Murdoch is that they were told by their lawyers, the police and others that nothing was awry once the initial phone hacking investigation was complete and only found out about the larger problem in later civil lawsuits. </p>
<p>But, asks the questioner to Rupert Murdoch, <em>should</em> his editors and managers at News of the World have known about it?</p>
<p>Of course, they should have.</p>
<p>But, once again, the legendary media baron, who made his fortune and fame in disseminating news and information across the world in newspapers, on television, on satellite and on the Web &#8212; at least for now &#8212; can&#8217;t say.</p>
<p>So, was he &#8220;kept in the dark&#8221; about the situation? Rupert Murdoch acknowledges he might have asked more questions, although he noted his British newspapers were only a small part of his massive empire. </p>
<p>But, he adds, &#8220;Anything that is seen as a crisis comes to me.&#8221;</p>
<p>Well, not the phone hacking crisis, it seems. </p>
<p>But, they&#8217;re sorry. So sorry. And, of course, humbled.</p>
<p><strong>8:54 am:</strong> Suddenly, there is a disturbance, in which someone seems to have possibly attempted to accost the Murdochs. </p>
<p>But it is not clear what has happened, as the hearings are suspended for 10 minutes.</p>
<p>James Murdoch leaps up quickly to protect his father, which he has been doing in this hearing verbally already, where the strategy seems to be to let him largely do all the talking.</p>
<p>Even faster on her feet and with arms raised toward a man in a plaid shirt and carrying a pie plate with shaving cream is Rupert Murdoch&#8217;s wife, Wendi. </p>
<p>The man seems to have managed to get some of the foam on Rupert Murdoch, but Wendi Deng appears to have partially thwarted her husband from receiving a full pie in the face.</p>
<p>It&#8217;s the first striking visual of this hearing, protecting the patriarch and the king of the empire from harm, no matter what.</p>
<p>Here is a video of the incident:</p>
<p><object width="640" height="390"><param name="movie" value="http://www.youtube.com/v/H3SfSBjo7YE?version=3&amp;hl=en_US"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/H3SfSBjo7YE?version=3&amp;hl=en_US" type="application/x-shockwave-flash" width="640" height="390" allowscriptaccess="always" allowfullscreen="true"></embed></object></p>
<p>According to Britain&#8217;s Channel 4: &#8220;As the man was being led away in handcuffs escorted by a single police officer, he refused to give his name, saying: &#8216;As Mr Murdoch himself said, I&#8217;m afraid I cannot comment on an ongoing police investigation.&#8217;&#8221;</p>
<p><strong>9:09 am:</strong> The room is cleared, so it is only the Murdoch crew behind James and Rupert Murdoch, and now the committee is even more solicitous.</p>
<p>Rupert Murdoch is without his jacket and his wife is being commended for her most excellent left hook. </p>
<p>Still, it&#8217;s back to business and the questioner does zero in on a major disconnect over how two media execs as famously aggressive and involved as the Murdochs were so passive in this hacking situation.</p>
<p>It &#8220;was a terrible shock,&#8221; says James Murdoch. </p>
<p>The same is said about what would be even more disturbing and recent allegations of the hacking of the victims of the 9/11 bombings. </p>
<p>Both father and son say there is no evidence of this so far, but they were surely looking into it. </p>
<p>While it certainly did not come through in what have largely been feckless questions from the committee, the final questioner does correctly ask the pair if they might want to pay more attention.</p>
<p>The last question is for Rupert Murdoch and finally gets to the real query everyone wants to ask.</p>
<p>Noting Murdoch is &#8220;captain of the ship,&#8221; she asks if he has considered resigning.</p>
<p>&#8220;No,&#8221; answers Murdoch firmly.</p>
<p>&#8220;Why not?&#8221; she presses. </p>
<p>&#8220;People let me down and it&#8217;s for them to pay,&#8221; says Rupert Murdoch. &#8220;But I think, frankly, I am the best person do clean this up.&#8221;</p>
<p>He finishes up with a statement about being sorry, how he was also betrayed and how phone hacking and bribery is wrong. </p>
<p>&#8220;Saying sorry is not enough, things must be put right,&#8221; he says. </p>
<p>Finally, something we <em>do</em> know.</p>
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		<title>Video: Microsoft Co-founder Paul Allen Defends Gates-Bashing on &quot;60 Minutes&quot;</title>
		<link>http://allthingsd.com/20110414/video-microsoft-co-founder-paul-allen-defends-gates-bashing-on-60-minutes/</link>
		<comments>http://allthingsd.com/20110414/video-microsoft-co-founder-paul-allen-defends-gates-bashing-on-60-minutes/#comments</comments>
		<pubDate>Thu, 14 Apr 2011 20:56:31 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[News]]></category>
		<category><![CDATA[60 Minutes]]></category>
		<category><![CDATA[allegation]]></category>
		<category><![CDATA[Bill Gates]]></category>
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		<category><![CDATA[BoomTown]]></category>
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		<category><![CDATA[Kara Swisher]]></category>
		<category><![CDATA[Lesley Stahl]]></category>
		<category><![CDATA[memoir]]></category>
		<category><![CDATA[Paul Allen]]></category>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=42661</guid>
		<description><![CDATA[BoomTown loves me some Lesley Stahl. The "60 Minutes" correspondent is back in the tech space, grilling Microsoft co-founder Paul Allen about allegations he makes in his new memoir, "Idea Man," that his partner Bill Gates tried to shanghai him out of stock when he was suffering from a major illness.]]></description>
			<content:encoded><![CDATA[<p>BoomTown loves me some Lesley Stahl. The &#8220;60 Minutes&#8221; correspondent is back in the tech space, grilling Microsoft co-founder Paul Allen about allegations he makes in his new memoir, &#8220;Idea Man,&#8221; that his partner Bill Gates tried to shanghai him out of stock when he was suffering from a major illness.</p>
<p>I have to say, Gates is one tough customer. But&#8211;having interviewed both him and Allen many times over the years&#8211;I am going to say gently that perhaps Allen is overstating the incident to sell books and maybe his recollections are, um, cloudy with a chance of sour grapes.</p>
<p>Here&#8217;s a video excerpt of the CBS television show, airing this Sunday:</p>
<p><embed src="http://cnettv.cnet.com/av/video/cbsnews/atlantis2/cbsnews_player_embed.swf" scale="noscale" salign="lt" type="application/x-shockwave-flash" background="#333333" width="380" height="313" allowFullScreen="true" allowScriptAccess="always" FlashVars="si=254&#038;uvpc=http://cnettv.cnet.com/av/video/cbsnews/atlantis2/uvp_cbsnews.xml&#038;contentType=videoId&#038;contentValue=50103292&#038;ccEnabled=false&amp;hdEnabled=false&#038;fsEnabled=true&#038;shareEnabled=false&#038;dlEnabled=false&#038;subEnabled=false&#038;playlistDisplay=none&#038;playlistType=none&#038;playerWidth=425&#038;playerHeight=239&#038;vidWidth=425&#038;vidHeight=239&#038;autoplay=false&#038;bbuttonDisplay=none&#038;playOverlayText=PLAY%20CBS%20NEWS%20VIDEO&#038;refreshMpuEnabled=true&#038;shareUrl=http://www.cbsnews.com/video/watch/?id=7362756n&#038;adEngine=dart&#038;adPreroll=true&#038;adPrerollType=PreContent&#038;adPrerollValue=1" /></p>
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		<title>Paul Allen's Suit Against Tech Industry: Take Two</title>
		<link>http://allthingsd.com/20101228/paul-allens-suit-against-tech-industry-take-two/</link>
		<comments>http://allthingsd.com/20101228/paul-allens-suit-against-tech-industry-take-two/#comments</comments>
		<pubDate>Wed, 29 Dec 2010 07:34:41 +0000</pubDate>
		<dc:creator>Ina Fried</dc:creator>
				<category><![CDATA[Mobile]]></category>
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		<category><![CDATA[Android]]></category>
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		<category><![CDATA[Florian Mueller]]></category>
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		<category><![CDATA[infringement]]></category>
		<category><![CDATA[Interval Licensing]]></category>
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		<category><![CDATA[Netflix]]></category>
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		<guid isPermaLink="false">http://mobilized.allthingsd.com/?p=1445</guid>
		<description><![CDATA[Paul Allen's Interval Licensing has revived a patent lawsuit against a number of tech companies, including Google and Apple, filing a new set of court papers on Tuesday.

Allen sued Google, Apple, AOL, eBay, Facebook, Netflix, Office Depot, OfficeMax, Staples and Yahoo in August, but the case was dismissed earlier this month, with Tuesday set as the deadline for Interval to file an amended complaint. As noted by open source industry blogger Florian Mueller, the new claims include allegations that Android infringes on Interval patents, adding to a growing list of legal claims being leveled in the mobile arena.]]></description>
			<content:encoded><![CDATA[<p>Paul Allen&#8217;s Interval Licensing has <a href="http://seattletimes.nwsource.com/html/technologybrierdudleysblog/2013788347_paul_allen_tries_again_with_su.html">revived a patent lawsuit</a> against a number of tech companies, including Google and Apple, filing a new set of court papers on Tuesday.</p>
<p>Allen <a href="http://voices.allthingsd.com/20100827/paul-allen-sues-apple-google-others-over-patents/">sued Google</a>, Apple, AOL, eBay, Facebook, Netflix, Office Depot, OfficeMax, Staples and Yahoo in August, but the case was <a href="http://voices.allthingsd.com/20101213/judge-deals-paul-allen-a-setback-in-patent/">dismissed earlier this month</a>, with Tuesday set as the deadline for Interval to file an amended complaint. As noted by open source industry blogger Florian Mueller, the new claims <a href="http://fosspatents.blogspot.com/2010/12/paul-allens-interval-licensing-refiles.html">include allegations that Android infringes on Interval patents</a>, adding to a <a href="http://mobilized.allthingsd.com/20101129/microsofts-plan-b-to-make-money-in-phones-patents/">growing list of legal claims being leveled in the mobile arena</a>.</p>
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		<title>Salesforce.com Honored With Rare Microsoft Patent-Infringement Suit</title>
		<link>http://allthingsd.com/20100519/salesforce-com-honored-with-rare-microsoft-patent-infringement-suit/</link>
		<comments>http://allthingsd.com/20100519/salesforce-com-honored-with-rare-microsoft-patent-infringement-suit/#comments</comments>
		<pubDate>Wed, 19 May 2010 10:07:24 +0000</pubDate>
		<dc:creator>John Paczkowski</dc:creator>
				<category><![CDATA[Enterprise]]></category>
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		<category><![CDATA[access]]></category>
		<category><![CDATA[allegation]]></category>
		<category><![CDATA[cloud]]></category>
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		<category><![CDATA[Horacio Gutierrez]]></category>
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		<category><![CDATA[innovation]]></category>
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		<category><![CDATA[Microsoft]]></category>
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		<category><![CDATA[Seattle]]></category>
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		<guid isPermaLink="false">http://digitaldaily.allthingsd.com/?p=40934</guid>
		<description><![CDATA[In a January Securities and Exchange Commission filing, Salesforce.com listed among its risk factors "a communication from a large technology company alleging that we were infringing upon some of their patents." The company didn’t identify the source of that communication or the extent of its allegations, only that the two were in discussions and no litigation had yet been filed. Well, on Tuesday litigation was filed--by Microsoft.]]></description>
			<content:encoded><![CDATA[<p><img src="http://digitaldaily.allthingsd.com/files/2010/05/ballmerbenioff.jpg" alt="" title="ballmerbenioff" width="350" height="271" class="aligncenter size-full wp-image-40944" />In a <a href="http://sec.gov/Archives/edgar/data/1108524/000119312510004443/dex992.htm">January Securities and Exchange Commission filing</a>, Salesforce.com (CRM) listed among its risk factors &#8220;a communication from a large technology company alleging that we were infringing upon some of their patents.&#8221; The company didn’t identify the source of the communication or the extent of its allegations, only that the two were in discussions and no litigation had yet been filed. </p>
<p>&#8220;We continue to analyze the potential merits of their claims, the potential defenses to such claims and potential counter claims, and the possibility of a license agreement as an alternative to litigation,&#8221; the company said. &#8220;However, there can be no assurance that this claim will not lead to litigation in the future.&#8221;</p>
<p>Well, looks like the claim <a href="http://news.cnet.com/8301-13860_3-20005306-56.html">has indeed lead to litigation</a>, and litigation from a formidable opponent, too: Microsoft (MSFT). </p>
<p>On Thursday, <a href="http://www.businessweek.com/news/2010-05-18/microsoft-accuses-salesforce-com-of-infringing-software-patents.html">the software behemoth filed suit against Salesforce</a>, accusing the company of infringing nine patents describing things like &#8220;Method and system for stacking toolbars in a computer display&#8221; and &#8220;System and method for controlling access to data entities in a computer network.&#8221; </p>
<p>The complaint, filed in U.S. District Court in Seattle, seeks an injunction against Salesforce and unspecified monetary damages. </p>
<p>&#8220;Microsoft has been a leader and innovator in the software industry for decades and continues to invest billions of dollars each year in bringing great software products and services to market,&#8221; Horacio Gutierrez, Microsoft’s deputy general counsel of Intellectual Property and Licensing, said in a statement. &#8220;We have a responsibility to our customers, partners, and shareholders to safeguard that investment, and therefore cannot stand idly by when others infringe our IP rights.”</p>
<p>An interesting move for Microsoft, which doesn’t typically initiate patent litigation. Though it has been sued many times for patent infringement over the years, the company has only filed a handful of IP suits itself. </p>
<p>That said, Microsoft and Salesforce have been competing more aggressively in the cloud-based CRM space recently.</p>
<p>Salesforce.com declined comment on the suit.</p>
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		<title>One Obvious Question for HTC CEO Peter Chou at D8: How About Them Apple (Patents)?</title>
		<link>http://allthingsd.com/20100303/peter-chou-htc-at-d8/</link>
		<comments>http://allthingsd.com/20100303/peter-chou-htc-at-d8/#comments</comments>
		<pubDate>Wed, 03 Mar 2010 12:15:20 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Conferences]]></category>
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		<guid isPermaLink="false">http://d8.allthingsd.com/?p=292</guid>
		<description><![CDATA[Before Apple lobbed a patent infringement lawsuit at Taiwanese handset manufacturer HTC yesterday, we were lucky to get its CEO, Peter Chou, to agree to appear at the eighth D: All Things Digital conference to talk about its work making smartphones for Google and others.

That interview obviously got a whole lot more interesting with the epic legal action by Apple alleging that HTC infringed some 20 patents related to the iPhone's graphical user interface, underlying architecture and hardware.]]></description>
			<content:encoded><![CDATA[<p><img class="alignright size-medium wp-image-24991" title="peter-chou-htc-o" src="http://kara.allthingsd.com/files/2010/03/peter-chou-htc-o-275x194.jpg" alt="" width="275" height="194" /></p>
<p>Before Apple lobbed a patent infringement lawsuit at Taiwanese handset manufacturer HTC yesterday, we were lucky to get its CEO, Peter Chou, to agree to appear at the <a href="http://allthingsd.com/d/speakers/">eighth <strong>D: All Things Digital</strong> conference</a> in June to talk about its work making smartphones for Google and others.</p>
<p>That interview with Chou (pictured above) obviously got a whole lot more interesting with the epic legal action by Apple (AAPL) alleging that HTC infringed some 20 patents related to the iPhone&#8217;s graphical user interface, underlying architecture and hardware.</p>
<p><a href="http://digitaldaily.allthingsd.com/20100302/apple-sues-htc/">Wrote Digital Daily&#8217;s John Paczkowski</a>:</p>
<p>&#8220;The company is asking for a permanent injunction barring HTC from importing or selling infringing phones in the U.S., along with triple damages and maximum interest.</p>
<p>&#8216;We can sit by and watch competitors steal our patented inventions, or we can do something about it. We&#8217;ve decided to do something about it,&#8217; Apple CEO Steve Jobs said in a press release announcing the action. &#8216;We think competition is healthy, but competitors should create their own original technology, not steal ours.&#8217;&#8221;</p>
<p>HTC denied the allegations, not surprisingly, and was backed up in a statement of support by Google (GOOG). That is also not a surprise, since its Android operating system, which is in the HTC-made Nexus One phone, is mentioned prominently in the lawsuit.</p>
<p>Whatever happens, it all makes for what is likely to be a head-spinning technology rumble over the next months and underscores how important the burgeoning mobile arms race and the fight over innovation will be.</p>
<p>Until we get Chou in an onstage interview at <strong>D8</strong> to talk about this and much more, here is a video of MediaMemo&#8217;s Peter Kafka talking about yesterday&#8217;s Apple action on the new Digits Live Show on WSJ.com:</p>
<p><div class="video-wsj"><object width="640" height="360"><param name="movie" value="http://s.wsj.net/media/swf/microPlayer.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><param name="flashvars" value="videoGUID=F7AB6344-FF66-4CDC-9331-4BC3E3C28D42&playerid=4001&plyMediaEnabled=1&configURL=http://m.wsj.net/video-players/&autoStart=false" base="http://s.wsj.net/media/swf/"name="microflashPlayer"></param><embed src="http://s.wsj.net/media/swf/microPlayer.swf" bgcolor="#FFFFFF" flashVars="videoGUID={F7AB6344-FF66-4CDC-9331-4BC3E3C28D42}&playerid=4001&plyMediaEnabled=1&configURL=http://m.wsj.net/video-players/&autoStart=false" base="http://s.wsj.net/media/swf/" name="microflashPlayer" width="640" height="360" seamlesstabbing="false" type="application/x-shockwave-flash" swLiveConnect="true" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash"></embed><br />[ See post to watch video ]</div></object> </p>
]]></content:encoded>
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		<title>One Obvious Question for HTC CEO Peter Chou at D8: How About Them Apple (Patents)?</title>
		<link>http://allthingsd.com/20100303/one-obvious-question-for-htc-ceo-peter-chou-at-d8-how-about-them-apple-patents/</link>
		<comments>http://allthingsd.com/20100303/one-obvious-question-for-htc-ceo-peter-chou-at-d8-how-about-them-apple-patents/#comments</comments>
		<pubDate>Wed, 03 Mar 2010 13:15:13 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
				<category><![CDATA[Mobile]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[allegation]]></category>
		<category><![CDATA[Android]]></category>
		<category><![CDATA[Apple]]></category>
		<category><![CDATA[architecture]]></category>
		<category><![CDATA[BoomTown]]></category>
		<category><![CDATA[conference]]></category>
		<category><![CDATA[D: All Things Digital]]></category>
		<category><![CDATA[digital]]></category>
		<category><![CDATA[Digital Daily]]></category>
		<category><![CDATA[Digits Live Show]]></category>
		<category><![CDATA[Google]]></category>
		<category><![CDATA[graphical user interface]]></category>
		<category><![CDATA[handset]]></category>
		<category><![CDATA[hardware]]></category>
		<category><![CDATA[HTC]]></category>
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		<category><![CDATA[smartphone]]></category>
		<category><![CDATA[software]]></category>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=24982</guid>
		<description><![CDATA[Before Apple lobbed a patent infringement lawsuit at Taiwanese handset manufacturer HTC yesterday, we were lucky to get its CEO, Peter Chou, to agree to appear at the eighth D: All Things Digital conference to talk about its work making smartphones for Google and others.

That interview obviously got a whole lot more interesting with the epic legal action by Apple alleging that HTC infringed some 20 patents related to the iPhone's graphical user interface, underlying architecture and hardware.]]></description>
			<content:encoded><![CDATA[<p><img src="http://kara.allthingsd.com/files/2010/03/peter-chou-htc-o-275x194.jpg" alt="" title="peter-chou-htc-o" width="275" height="194" class="alignright size-medium wp-image-24991" /></p>
<p>Before Apple lobbed a patent infringement lawsuit at Taiwanese handset manufacturer HTC yesterday, we were lucky to get its CEO, Peter Chou, to agree to appear at the <a href="http://allthingsd.com/d/speakers/">eighth <strong>D: All Things Digital</strong> conference</a> in June to talk about its work making smartphones for Google and others.</p>
<p>That interview with Chou (pictured above) obviously got a whole lot more interesting with the epic legal action by Apple (AAPL) alleging that HTC infringed some 20 patents related to the iPhone&#8217;s graphical user interface, underlying architecture and hardware.</p>
<p><a href="http://digitaldaily.allthingsd.com/20100302/apple-sues-htc/">Wrote Digital Daily&#8217;s John Paczkowski</a>:</p>
<p>&#8220;The company is asking for a permanent injunction barring HTC from importing or selling infringing phones in the U.S., along with triple damages and maximum interest.</p>
<p>&#8216;We can sit by and watch competitors steal our patented inventions, or we can do something about it. We&#8217;ve decided to do something about it,&#8217; Apple CEO Steve Jobs said in a press release announcing the action. &#8216;We think competition is healthy, but competitors should create their own original technology, not steal ours.&#8217;&#8221;</p>
<p>HTC denied the allegations, not surprisingly, and was backed up in a statement of support by Google (GOOG). That is also not a surprise, since its Android operating system, which is in the HTC-made Nexus One phone, is mentioned prominently in the lawsuit.</p>
<p>Whatever happens, it all makes for what is likely to be a head-spinning technology rumble over the next months and underscores how important the burgeoning mobile arms race and the fight over innovation will be.</p>
<p>Until we get Chou in an onstage interview at <strong>D8</strong> to talk about this and much more, here is a video of MediaMemo&#8217;s Peter Kafka talking about yesterday&#8217;s Apple action on the new Digits Live Show on WSJ.com:</p>
<p><object id="wsj_fp" width="380" height="313"><param name="movie" value="http://s.wsj.net/media/swf/main.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><param name="flashvars" value="videoGUID={F7AB6344-FF66-4CDC-9331-4BC3E3C28D42}&#038;playerid=1000&#038;plyMediaEnabled=1&#038;configURL=http://wsj.vo.llnwd.net/o28/players/&#038;autoStart=false" base="rtmpt://wsj.fcod.llnwd.net/a1318/o28/video"name="main"></param><embed src="http://s.wsj.net/media/swf/main.swf" bgcolor="#FFFFFF"flashVars="videoGUID={F7AB6344-FF66-4CDC-9331-4BC3E3C28D42}&#038;playerid=1000&#038;plyMediaEnabled=1&#038;configURL=http://wsj.vo.llnwd.net/o28/players/&#038;autoStart=false" base="rtmpt://wsj.fcod.llnwd.net/a1318/o28/video" name="main" width="380" height="313" seamlesstabbing="false" type="application/x-shockwave-flash" swLiveConnect="true" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash"></embed></object></p>
]]></content:encoded>
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		<slash:comments>3</slash:comments>
		</item>
		<item>
		<title>Psyonara, Pt. III</title>
		<link>http://allthingsd.com/20081210/psyonara-pt-ii/</link>
		<comments>http://allthingsd.com/20081210/psyonara-pt-ii/#comments</comments>
		<pubDate>Wed, 10 Dec 2008 23:04:28 +0000</pubDate>
		<dc:creator>John Paczkowski</dc:creator>
				<category><![CDATA[News]]></category>
		<category><![CDATA[allegation]]></category>
		<category><![CDATA[antitrust]]></category>
		<category><![CDATA[Apple]]></category>
		<category><![CDATA[circumention]]></category>
		<category><![CDATA[claim]]></category>
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		<category><![CDATA[computer]]></category>
		<category><![CDATA[copyright]]></category>
		<category><![CDATA[DCMA]]></category>
		<category><![CDATA[Digital Millenium Copyright Act]]></category>
		<category><![CDATA[DMCA]]></category>
		<category><![CDATA[felony]]></category>
		<category><![CDATA[hardware]]></category>
		<category><![CDATA[infinite loop]]></category>
		<category><![CDATA[John Paczkowski]]></category>
		<category><![CDATA[kernel panic]]></category>
		<category><![CDATA[legal]]></category>
		<category><![CDATA[Leopard]]></category>
		<category><![CDATA[Mac]]></category>
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		<category><![CDATA[OpenMac]]></category>
		<category><![CDATA[OS]]></category>
		<category><![CDATA[OS X]]></category>
		<category><![CDATA[Psystar]]></category>
		<category><![CDATA[system]]></category>

		<guid isPermaLink="false">http://digitaldaily.allthingsd.com/?p=9470</guid>
		<description><![CDATA[In its last legal salvo against Psystar, Apple suggested the Mac clone maker was backed by a silent third party or two. And at this point it better be, because there’s going to be hell to pay when Apple legal is through with it, regardless of how Psystar revises its original complaint.]]></description>
			<content:encoded><![CDATA[<p><img src="http://digitaldaily.allthingsd.com/files/2008/12/shootfoot.jpg" alt="" title="shootfoot" width="200" height="155" class="alignright size-full wp-image-9472" />In its last legal salvo against <a href="http://digitaldaily.allthingsd.com/category/psystar/">Psystar</a>, Apple suggested <a href="http://news.cnet.com/8301-13579_3-10112307-37.html?tag=mncol;txt">the Mac clone maker was backed by a silent third party or two</a>. And at this point it better be, because there&#8217;s going to be hell to pay when Apple legal is through with it, regardless of how Psystar revises its original complaint. Its antitrust allegations against Apple (AAPL) dismissed, Psystar today renewed its copyright claims against the company, alleging the Mac OS is designed to go into a kernel panic if it determines it&#8217;s being run on non-Apple hardware. From <a href="http://blogs.zdnet.com/hardware/images/32008cv03251_40a.pdf">the amended complaint</a>:</p>
<blockquote><p>
On information and belief, PSYSTAR alleges that APPLE intentionally embeds code in the Mac OS that causes the Mac OS to malfunction on any computer hardware system that is not an Apple-Labeled Computer Hardware System. Upon recognizing that a computer hardware system is not an Apple-Labeled Computer Hardware System, the Mac OS will not operate properly, if at all, and will go into what is colloquially known as &#8216;kernel panic.&#8217;</p>
<p>PSYSTAR is informed and believes, and thereon alleges, that APPLE is engaged in anticompetitive conduct that prevents the proper operation of the Mac OS on any computer hardware system that is not an Apple-Labeled Computer Hardware System&#8211;a Mac OS Capable Computer Hardware System&#8211;thereby forcing customers of the Mac OS to purchase&#8211;and only purchase&#8211;an Apple-Labeled Computer Hardware System if they wish to have the Mac OS operate sans kernel panic or an infinite loop.&#8221;
</p></blockquote>
<p>That&#8217;s an intriguing allegation. Risky though, since it&#8217;s also an admission that Psystar has circumvented the technological copyright-protection measures built into OS X, just as Apple claims in <a href="http://www.groklaw.net/article.php?story=20081202230318899">its amended complaint against the company</a>. Apple contends Psystar has done so illegally, in violation of The Digital Millennium Copyright Act. <a href="http://www.appleinsider.com/articles/08/12/09/psystar_drops_antitrust_gripes_in_fresh_counterclaim_against_apple.html">Psystar says that&#8217;s impossible</a> because the kernel panic-forcing code at issue here isn&#8217;t a copyright-protection measure.</p>
<p>Who&#8217;s right? Who knows? But if it&#8217;s Apple, then Psystar presumably is guilty of circumventing Apple&#8217;s copyright protection systems under the DMCA. And that&#8217;s a felony, because Psystar profited from the circumvention.</p>
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