North Chamber Technology Council Newsletter

Technology News You Can Use

"Building Better Businesses...With Technology"

 

Technology News You Can Use

MARCH 2007 – Issue XXIV

In This Newsletter

Letter from the Chair, Zandra Pulis, CPS Energy

Greetings,

I was flipping channels the other night when I came across the TBC marathon, or something along those lines.  Apparently, a cable channel had the bright idea to air some old multiple-episode television shows back-to-back.  So, for example, you could watch part one of the Brady Bunch’s Hawaiian vacation immediately followed by part two.  What a great idea – no more waiting in suspense to see what havoc the taboo neck charm would wreak! 

This issue harkens back to the days of “to be continued’s.”  All of the articles will be continued in upcoming newsletters.  But that does not mean that this issue is void of good stuff.  You will thoroughly enjoy topics related to both your home and business technology needs.  Personally, I found Ray Edinger’s article on “Ink Wars” very interesting – almost $5,000 for a gallon of ink – yikes!  You will also get some good info on colocation facilities and the Payment Card Industry Data Security Standard.  Get reading!

Don’t forget, the North Chamber Technology Council is always looking for articles to include in the newsletter.  Some helpful guidelines on submissions are included below.

Zandra Pulis

CPS Energy

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How to Submit a Tech Newsletter Article

The eNewsletter is published by the Technology Council on a monthly basis.  Article contributions are provided by the North Chamber members and distributed to the North Chamber membership at large via email.  To view archives of past newsletters, visit www.northsachamber .com, point to “Publications”, then click “E-Tech News”. 

The audience of the eNewsletter is both small business (such as restaurants, car washes and accounting firms) as well as large businesses (such as those with 300+ employees).   

The goal of each article is to provide technical ‘news’ and educational content that informs, educates and provides our readership valuable content to help them better understand and use technology in their day-to-day business.  Our goal is to provide every reader at least one article of value in each edition.

Article contributors are credited in the newsletter and the readers are directed to contact the author for more information regarding the topic.  Each contributor’s article will provide a link to their email address as well as a link to their website.

Submitted articles must meet established criteria.  Current criteria include:
§         500 – 700 words (discretion allowed)
§         I, II and III part series are allowed
§         Non-salesy
§         Technically relevant
§         Deadlines met

Newsletter Topics

-         Member 4 Member Spotlight – This  eNewlsetter topic features “Members helping Members”.  The idea is to provide Tech committee members an opportunity to share customer (Chamber Members) success stories.  This benefits both the committee member as well as the Customer.  Articles should focus on the problem(s) the Customer faced and the end solution that solved the problem(s).   Articles should be a collaborative effort between the parties and have the Customer’s approval/permission.

-         Tech Toys or Cool Stuff – New ‘cool’ stuff can be discussed here.   This can be highly technical such as RFID or pretty low-key such as downloading Yahoo IM onto your Treo phone.  Anything technically cool that not everyone may know about.

-         Local News/Items of Interest– Postings of Tech events around town, training or tech news specifically affecting San Antonio .

-     Ideas for other topics:
o       Computer Desktops/PC’s
o       Computer Networks
o       Telephones
o       Wireless/Remote
o       Security
o       eCommerce
o       Desktop Users
o       Training           

Editorial Deadline (Articles submitted): 15th of the month. 

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Ink Wars Combatants Head in Opposite Directions , Ray Edinger,
Cartridge World

In this two part series, we’re going to explore the details of the latest saga and Ink War between Hewlett Packard and Eastman Kodak.  We’re also going to unravel some of the mystery regarding toner cartridges….what to look for…and how to estimate your per cartridge yield.

The long storied inkjet and laser toner cartridge price wars recently came to the forefront of the national media when both Eastman Kodak and HP were featured in Wall Street Journal1 and Businessweek2 articles that spotlighted aspects of each company’s pricing strategy that will have significant effects on the price consumers and businesses pay for ink and toner used in their desktop and office printers.

Manufacturers of desktop and office printers have long followed the “razor and razorblade” pricing strategy (giving away the razor and charging a high price for razor blades) for  consumables (ink, toner, drums, fusers, et al.) by selling the printer for a relatively inexpensive price with little or no profit, and then selling their consumables at a relatively high price.  Consumers have been willing to pay less up front and pay more later for their printing needs.  Unfortunately, poorly informed consumers are often surprised to learn how little ink or toner they are getting in the cartridge that their printer uses, and how expensive that cartridge is to purchase when the cartridge is empty.  For example, an HP #56 inkjet cartridge has 19 milliliters of ink and costs about $25 retail.  That’s the equivalent of $4,987 per gallon of ink.  And you thought the price of gasoline was high.

For informed buyers, paying less for a printer and later paying more for the ink it uses may be a cash flow concern.  Whatever the reason, and whatever the logic, household consumers and business buyers have desired to pay less up front on hardware and pay more, later on consumables.  Though it may not make sense, the markets have been willing to pay higher up front and the printer manufacturers have profited nicely.

All of that is about to change.

This month Kodak will enter the inkjet based multifunction printer market with the introduction of three multifunction devices that will print, scan and copy documents, web pages, and photos.  Heretofore, Kodak has manufactured photo printers for industry and households.  The new  printers will be priced in the range of $150 to $300, which is about normal, but here’s the hook – the inkjet cartridges used by these printers will cost about half of the going retail price - $10 for a black cartridge and $15 for a color cartridge.  Kodak is marketing their pricing challenge to the industry by asking: “Which would you prefer – to pay more for a printer, or more for ink? (Hint – you only buy the printer once)”.

With their entry into the market at these price points, Kodak is expecting consumers to be able to print 4” X 6” photos for $.14 each and a typewritten page in black and white, at 5% coverage for $.03 a page.  With this, Charles LeCompte, president of Lyra Research, the imaging industry market research firm of Newton, Mass., has predicted: “This will be the year the razor-and-blade model breaks” and further offers that the Kodak strategy is: “such a dramatic message that someone will have to respond”.1

But how will they respond?

For years, consumers and buyers of printer ink have had to look to the cartridge refilling industry to find significant savings on their inkjet and laser toner cartridges.   The success of those companies has led to the refill segment accounting for about 30% of the world-wide inkjet market.  Major retailers such as Staples, OfficeMax and Office Depot have long sold refilled cartridges under their brand name and offered them to consumers at 15% off of the prices that major, national brands such as HP, Dell, Lexmark and Epson enjoyed.  Retail inkjet and laser toner cartridge remanufacturers have taken it one step further and offer refilled inkjet cartridges at up to 50% off.  In China , 90% of all ink sold is by non-major brand ink refillers3.  See next month’s part II of the continued series “Ink Wars”.

1 Wall Street Journal, February 7, 2007 : “ Kodak’s strategy for First printer: Cheaper Cartridges” by William F. Bulkeley

2 Businessweek.com, February 8, 2007 : “Rivals Say HP Using Hardball Tactics”, by Steve Hamm

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What is Colocation and Why Should I Care? Part I
Paul O'Bannon, Nugget Enterprises

You’re a small business.  All of your customer data is on the server at the office.  The air conditioner fails during the night, and the heat in your “computer closet” overtakes the server and it fails.  Your data is gone.  Will your business survive?  Can the data be recovered?  Could you have prevented this disaster?  To a business that uses a Colocation facility, also called a “Colo”, the answer to all these questions is a resounding “Yes.”

A Colocation facility is a data center facility that offers high security which includes such things as restricted access, cameras, fire detection/prevention, multiple data (internet) feeds, conditioned power, backup generators and even redundant air conditioning.  The key element is access to multiple carrier networks to assure the continuous flow of data to and from the customer’s computer equipment.

The primary use of a Colo facility is to house an additional or redundant set of computer equipment where near 100% uptime is required for the storage, retrieval and movement of critical business data, away from the primary business location (off-site).  Often, businesses have special requirements for how their critical data is stored and kept available.  Below are some of these requirements by industry:

Legal, Insurance, Administrative Services:  Putting computer equipment in a Colo facility allows for daily backup of electronic data to a server.  More likely than not, this is to ensure that the business doesn’t lose their data in the event of a catastrophic failure of their primary systems, or due to an environmental condition (weather, fire, etc.).

eCommerce and Web-based (virtual) Businesses:  By the nature of this particular industry, larger redundant internet connectivity at a reduced cost is imperative.  Housing web servers and related computer equipment in the Colo facility not only provides for higher uptime, but also relieves pressure on bandwidth at the main office location.

Retail:  Colo offers secure storage of sales, inventory and billing data.  As a safeguard against theft or environmental conditions, Colo’s often play a key role in the retail business’s disaster recovery plan.

Medical:  A Colo facility plays a large role with HIPAA compliance.  It allows for secure off-site storage of patient data, and offers data availability required by HIPAA.  As more and more medical practices transition to electronic medical records, the ability to assure the security and availability of the data is critical.

This introductory article is designed to help put some important Colo concepts into perspective, and to gain a better understanding of how Colo facilities function and serve the business community.  In upcoming articles, we will discuss more specific topics such as:

-         eCommerce and Web Servers
-         Colocation as a piece of the Disaster Recovery model
-         Practical applications of Colocation in HIPAA and Sarbanes Oxley compliance

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Payment Card Industry Data Security Standard, Part 1
Randy Bartels, CISSP, CISA; Calence

In today’s modern times, you have likely made one or more purchases online for any number of products.  You have also read and watched news programs talking about the sharp rise in credit card fraud, data breaches and data theft of confidential information nationwide. 

To combat the rising trend in identity theft, the credit card brands have banded together to create the Payment Card Industry Data Security Standard (PCI DSS).  The DSS consists of 12 major sections with which any company that comes in direct contact with credit card data must comply to be deemed “PCI Compliant:” 

Build and Maintain a Secure Network
Requirement 1: Install and maintain a firewall configuration to protect cardholder data
Requirement 2: Do not use vendor-supplied defaults for system passwords and other security parameters

Protect Cardholder Data
Requirement 3: Protect stored cardholder data
Requirement 4: Encrypt transmission of cardholder data across open, public networks

Maintain a Vulnerability Management Program
Requirement 5: Use and regularly update anti-virus software
Requirement 6: Develop and maintain secure systems and applications

Implement Strong Access Control Measures
Requirement 7: Restrict access to cardholder data by business need-to-know
Requirement 8: Assign a unique ID to each person with computer access
Requirement 9: Restrict physical access to cardholder data

Regularly Monitor and Test Networks
Requirement 10: Track and monitor all access to network resources and cardholder data
Requirement 11: Regularly test security systems and processes

Maintain an Information Security Policy
Requirement 12: Maintain a policy that addresses information security

Compliance Challenges

While it’s the intent of nearly all those affected by PCI to comply, there are a number of challenges that complicate the overall process:

  • The leveling system in use leads some merchants to believe that “because I’m only a Level 3, parts of the DSS doesn’t apply to me.”  In reality, everyone must comply with the whole DSS; it’s only the burden of proof that changes from level to level.   
  • PCI is enforced through contract law. Part of the merchant’s agreement that authorized credit card acceptance includes the responsibility to protect the information received during each transaction. 
  • The consequences for non-compliance include fines of $10,000 (and up) per month for continuous non-compliance and up to $500,000 (per card brand) for a breach that results in theft of cardholder data.  You can also be barred from accepting credit cards, which obviously puts a damper on your business plans.

See next month’s newsletter for more on Merchant Levels, Compliance issues and understanding your responsibility to remain in compliance of the Payment Card Industry Data Security Standard.

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Cell Phone Cues You Can Use, Duane Roundtree, CellTeks, Inc

Cell phones have become a must have for everyone from kindergarteners to the assisted living crowd. This places these high tech devices in the hands of many who don’t fully comprehend proper care & feeding of their beloved “pets”.  Here are a few common cell phone issues and what to do about them.

“My battery dies after only a few hours of use” 

The commonly used lithium ion cell phone battery is manufactured to withstand between 300 and 500 charging cycles.  How many months/years your battery lasts depends largely on how long it takes you to use up your supply of these cycles.  For example, let’s say with a new battery you have a total of 100 cycles at your disposal.  If you plugged your phone into a charger 3 times a day to “keep it topped off” then your battery would theoretically only last about a month.  Conversely, if your battery were allowed to fully discharge over 2 – 3 days you would get almost a year’s performance from your battery. 

How Can You Get The Most Talk Time Out of Each Charging Cycle?

1)      Do not use a car charger or cigarette lighter adaptor (CLA) the first time you charge your brand new battery. 
2)      For the initial 1 – 3 times a new battery is charged, it should first be fully discharged then charged using the phone manufacturer provided wall outlet charger.
3)      Whenever possible allow the battery to fully charge with a wall charger rather than giving it a quick “boost” using a CLA.  In this manner you avoid wasting charging cycles.

My phone got wet and now it doesn’t work”

Liquid Damage

Definition:  The corrosion of internal components and circuitry caused by running electrical current through a wet phone.

Bear in mind, the water itself is not the real culprit here.  The real damage results from what happens after the phone has been drowned.  The corrosion process of the circuit board and its components begins immediately but actually takes weeks or even months after the deluge to become fully manifested.

Still corrosion is not the immediate concern.  Often the first thing a person does when they retrieve their phone from its potential liquid grave is to “see if it still works” or worse yet try to charge it.  Doing this with moisture still trapped inside the phone housing tends to yield undesirable results.

Liquid damage voids all manufacturer warranties and most cell phone insurance plans so it typically means buying a replacement phone. 

What to do if your phone takes a bath
1)      Immediately remove the battery
2)      DO NOT plug the phone into a charger
3)      DO NOT assume drying out the phone using a hair dryer or leaving it in the sun has solved the problem.
4)      Get the phone into a repair facility as soon as possible.

When the above steps are taken, many liquid damaged phones can in fact be brought back to life through a liquid damage repair procedure performed by a qualified repair facility.

“I bought an unlocked phone online but it doesn’t work properly”

Many cell phone subscribers are turning to the web to purchase “unlocked” phones in an effort to afford them some flexibility in selecting a carrier or a preferred rate plan. 

What is a locked phone?

Definition:  A phone directly purchased from a carrier or authorized agent (AT&T, Sprint, Verizon, etc.) typically has a proprietary software lock the manufacturer installs to prevent a user from using that same phone on another carrier’s network.

There exists technology to disable this lock thus allowing a subscriber of one GSM cellular network to place a SIM card from another GSM network and use his phone on that system.  The same thing can be done between different CDMA carrier networks but these two technologies are not compatible with one another.  In other words, nothing can be done to allow a Verizon Wireless (CDMA) subscriber to use his phone on T-Mobile (GSM).

There is one significant shortcoming to the whole unlocking phenomenon.  While voice calling and SMS text messaging features tend to remain intact when switching carriers, without proper phone software being loaded into the handset features such as web browsing, MMS messaging or picture mail will not function.

When a consumer purchases a phone from the same carrier who operates the network he will be using, it comes pre-loaded with the appropriate software to support all voice and data functions.  This is almost never the case with an unlocked phone purchased off the web. 

Is It A Bad Idea To Buy An Unlocked Phone Off Ebay?

Cell phone users should consult their carrier to ensure compatibility before purchasing an unlocked phone.  Sellers of these phones typically will not refund the purchase price to the consumer, particularly if no guarantee was made that the phone would be fully functional.

In some cases a qualified cell phone repair facility can load the proper carrier software into an unlocked phone ensuring full functionality and access to all available carrier features.

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Contact Us

Technology Chair, Zandra Pulis, CPS Energy

Newsletter Editor, John Tomblin, DataTitan

North Chamber Contact
Debby Zucker