No-IP didn't knowingly harbor botnet operators targeted in takedown, MS declares. Microsoft has formally settled legal differences with No-IP, the dynamic domain name host that was kneecapped by a botnet takedown that recently knocked out service to millions of legitimate users. As we reported, Microsoft surrendered the 23 No-IP domains last week. A bare-bones statement e-mailed to journalists Wednesday morning said the agreement settled a controversial lawsuit Microsoft filed in late June that allowed the software maker to confiscate 23 No-IP domain names before the service provider had an opportunity to oppose the maneuver in court. The malware families targeted in the latest takedown infected more than 7.4 million machines in the past year alone, Microsoft said. A federal judge approved Microsoft's confidential*ex parte motion arguing that the software maker was entitled to seize control of the addresses because No-IP owner Vitalwerks Internet Solutions failed to follow industry practices designed to prevent malware operators from abusing the service. In the course of a few hours, millions of connections from law-abiding users were severed. The statement read in part: Microsoft has reviewed the evidence provided by Vitalwerks and enters into the settlement confident that Vitalwerks was not knowingly involved with the subdomains used to support malware. Those spreading the malware abused Vitalwerks’ services. Microsoft identified malware that had escaped Vitalwerks’ detection. Upon notification and review of the evidence, Vitalwerks took immediate corrective action allowing Microsoft to identify victims of this malware. The parties have agreed to permanently disable Vitalwerks subdomains used to control the malware. In the process of redirecting traffic to its servers for malware detection, Microsoft acknowledges that a number of Vitalwerks customers were impacted by service outages as a result of a technical error. Microsoft regrets any inconvenience these customers may have experienced. The dispute underscored the fine line between finely tuned botnet takedowns and reckless seizures that disrupt legitimate users in the name of security on the Internet. In the past few years, Microsoft has innovated a combination of technical and legal maneuvers that has proved effective at dismantling, or at least significantly disrupting, highly resilient malware networks. By creating a sprawling series of redundant servers with a variety of hosts, IP addresses, and domain names, the malware operators can elude takedowns by shuttling compromised end-user computers from one to another. Microsoft's technique relies on stealth to disconnect virtually all of a campaign's malicious servers at once before the operators have a chance to respond. Preserving the confidentiality of the planned takedown may have played a role in No-IP claims that Microsoft officials never contacted it ahead of time about the abuse of its service. Microsoft's takedown technique has evolved over the years. Company officials would do well to update it again to reflect the lessons learned from this episode.

Motorola faces the prospect of being forced to remove its handsets from sale in Germany and to recall phones already bought by business customers. A local court has ruled that the antennas used by the Google-owned business infringe a patent owned by a German laser specialist. The firm, LPKF, now has the right to block the products from sale unless Google comes to some other agreement. It told the BBC it had not yet decided how to proceed. A German patent consultant said it was not a simple decision to make. "If LPKF wants to enforce the action it faces economic risk," said Florian Mueller, who has previously advised Microsoft and Oracle. "If it makes Motorola pull and recall products today, LPKF could later be liable for wrongful enforcement damages in a year or so if Motorola appeals and ultimately prevails." Google is in the process of selling its Motorola business to the Chinese tech firm Lenovo, but the deal has yet to be completed. "We are disappointed in the decision but Motorola has taken steps to avoid any interruption in supply," said a spokesman for the firm. China battle LPKF has signalled that it could also take action against other tech firms. The German company helped pioneer a process called Laser Direct Structuring (LDS), which offers a way to create antenna patterns. It involves using a laser beam to create microscopic pits and undercuts on plastic, to which a metal coating can then be anchored. This can prove cheaper than other options, such as hot stamping the pattern or using injection moulding, especially when more complex 3D antenna designs are desired to help keep components small and hidden inside a device. The German firm's LDS patent was ruled invalid last year in China, which has encouraged others to use the process without paying LPKF a licence fee. The company is in the process of appealing against the decision. "The more attractive a patent is, the harder you have to work to defend it," said Dr Ingo Bretthauer, LPKF's chief executive. "We will continue to fight for our patent in China and systematically take action against infringers outside China. This is part and parcel of a technology company's everyday business."

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The popular file-hosting service Uptobox has blocked access for U.S. users following pressure from Visa and MasterCard. The credit card companies are asking payment processors to stop servicing the cyberlockers over piracy concerns. After failed attempts to introduce tougher anti-piracy legislation in the United States, Hollywood and the major record labels focused their efforts on strangling revenue of so-called rogue sites. Payment services are among the key intermediaries and the entertainment industries previously helped negotiate an anti-piracy agreement between VISA, MasterCard, PayPal, PaySafeCard and several other key players. As a result several major file-hosting services have had trouble accepting payments from their users. The popular cyberlocker Uptobox is among the latest casualties of this effort, TorrentFreak has learned. “Our payment processors have received a notification from Visa and MasterCard telling them to stop accepting credit card payments for our service, subject to penalties,” Uptobox operator Guillaume informs us. “These measures are the result of pressure from movie studios on Visa and Mastercard,” he adds. Uptobox is currently still able to accept credit card payments through a reseller, but decided to cut all ties with the United States to prevent the situation from deteriorating further. This means that U.S. visitors are no longer allowed to access the site. Instead they receive the following notice. “Sorry, Uptobox.com is not available in your country.” Uptobox block Uptobox will consider lifting the ban if a European payment provider is willing to directly accept credit card payments for them. However, considering Visa and MasterCard’s tight grip on the situation this may prove to be difficult. According to Guillaume, MasterCard previously complained to payment processors Hipay and Allopass as well, following a request from Disney. In addition, PayPal has rejected Uptobox’s requests to become an authorized file-hosting service. According to statistics released last year more than 1,500 “pirate” merchants were cut off from payment providers between 2011 and 2013, and this list continues to expand week after week. Despite the setbacks Uptobox is determined to keep its business going. The cyberlocker is currently exploring several alternative payment methods including Bitcoin. “Processing payments for our users is hard right now, but we are sure we will find a suitable payment processor. We’re also considering to support Bitcoin and other payment methods such as SMS,” Guillaume tells us. “For now, the service is not in danger, we still have a bright future ahead of us,” the Uptobox operator concludes. http://torrentfreak....ressure-140707/

India Court Orders Blocking of Hundreds of Websites Including Mega and The Pirate Bay Sony, which owns Multi Screen Media (MSM), and maintains the exclusive broadcasting rights to the 2014 FIFA World Cup being broadcast in India, filed a complaint based on alleged infringements by various other websites to its exclusive rights, and requested that those hundreds of websites be blocked. Those rights include the live, delayed, highlights, on demand, and repeat broadcasting of the Matches. In the complaint It states that, "It is imperative for the Plaintiff to ensure that its exclusive and statutory rights are not infringed by websites which have not made any investments in acquisition of such rights and which is illegally broadcast, rebroadcast, retransmit, host, stream, exhibit, make available for viewing and download, provide access to and communicate to the public, the broadcast of the 2014 FIFA World Cup Matches." The original list of sites to be blocked totaled 472, but in an updated report from India news site Medianama, that list is now down to 219. Following the complaint, on June 23rd the Delhi High Court ordered the ISPs in India to block the sites, but the actual blocking just began on July 4th and 5th. Multi Screen Media Pvt. Ltd. is an Indian company which was previously known as SET India. Pvt. Ltd., and is the Sony Entertainment Television subsidiary in India. The broadcasts are being made available through Sony Liv, on its dedicated sports service called LIV Sports, and are accessible online, or through mobile apps. In the complaint, MSM states that other various websites are "indulging in hosting, streaming, providing access to, etc. of infringing the exclusive rights and broadcast and re-production rights of the plaintiff." And also that, "The acts of infringement is not only causing the plaintiff loss of substantial revenues but will also take away the legitimate revenue to the Government through service tax etc. which are payable on the subscription fee payable by the named and unnamed defendants if they conduct their business illegitimately." Much to everyone’s reaction of shock, the original list of websites to be blocked included perfectly legitimate sites such as Google Docs, Google Video and goo.gl (Google’s URL shortening service), but those sites have since been removed from the list. An updated list can be found on Medianama, and includes Mega, KickassTorrents, The Pirate Bay, 1337x, Atdhe and Rojadirecta, just to name a few of the remaining 219 sites still on the list. So once again, Sony strikes in order to protect its copyrights and takes down hundreds of sites affecting thousands of users based on "alleged" infringements. At this point, it seems almost impossible to determine how several of the sites, many of which are legitimate, even ended up on the list to begin with. As the World Cup enters the semi-finals stage, hundreds of sites are being blocked for absolutely no valid reason.

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