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Updated: 9 years 3 weeks ago

Netflix Inc upgraded to buy at Citi

Netflix Inc. was upgraded to buy from neutral at Citi Research ahead of the Internet television company’s first-quarter earnings on April 15.

Analyst Mark May also raised his price target on the stock to US$525 from US$409, noting that its recent pullback provides a buying opportunity.

One reason is because competition concerns look overdone. May believes investors are paying reasonable multiples for more established markets such as North America and the U.K., but next to nothing for international markets that make up a total broadband household opportunity of 350 million.

The analyst also noted that Netflix’s content lineup has improved in 2015 and newer releases are getting good reviews, which bodes well for subscriber growth.

“Numerous data points continue to support how disruptive Netflix is to video viewing habits and to the broader media landscape,” May said in a report.

“To be clear, this is not a call on the quarter; we recognize that a beat or miss of one hundred thousand domestic subscribers can cause Netflix shares to be quite volatile around earnings, and we have found no data point that we can use to predict the subscriber number with such precision,” he added.

“Over a 12-month horizon we believe shares are poised to outperform as growth in international markets becomes more fully appreciated and as Netflix’s original content lineup drives sustainable subscriber growth in the U.S.”

Apple Watch pre-orders begin, luxury US$17K gold model sells out in China under an hour

PARIS/SYDNEY — Consumers flocked to Apple Inc’s stores in Canada and around the world on Friday to get the first close-up look at the tech giant’s smartwatch, which the company expects will be its next runaway hit.

The Apple Watch, CEO Tim Cook’s first new major product and the company’s first foray into the personal luxury goods market, was available for pre-order online and to try out in stores — but not to take home.

On April 24, consumers will be able to buy it online or by appointment in shops including trendy fashion boutiques in Paris, London and Tokyo, part of Apple’s strategy of positioning the wearable computer as a must-have accessory.

Testing Apple’s mastery of consumer trends, the watch is an untried concept for the California-based company. It straddles a technology market accustomed to rapid obsolescence and luxury goods whose appeal lies in their enduring value.

The Apple Watch sport starts at US$349 while the standard version comes in at US$549 in the U.S. High-end “Edition” watches with 18-karat gold alloys are priced from US$10,000 and go as high as US$17,000.

China was among countries where the watch had its global debut Friday, reflecting the country’s fast-growing status as one of Apple’s most important markets.

According to a Business Insider report, the “Edition” watch has already sold out in the country, with the pricey gold model going out of stock in under an hour.

Lam Yik Fei/Getty ImagesApple Watch smartwatches displayed at an Apple Store in Central on April 10, 2015 in Hong Kong.

In central Shanghai, potential Apple watch buyers stood in lines two to five people long over their lunch hour at an Apple store on Friday to try on the watch many said they already planned to buy.

“It was beautifully made, like an expensive watch,” said Li Hao, 27, a Web designer who owns a Mac, an iPad and an Apple TV. He has just traded up from an iPhone 4 to the new iPhone 6 Plus.

Li said he planned to buy the sport version of the watch at about 3,000 yuan ($500).

“I cannot do sports with the mobile phone,” he said. “I need a machine to record what I did and a screen to look at.”

Qi Tian, 26, who works in human resources for a real estate company, said he was “not a big fan” of Apple, though he owns four or five products. He said he planned to order a watch online that day.

“I just came to see if the size fits,” said Qi.

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Before the Paris Apple store opened, about 100 people were queuing outside. Staff cheered and applauded the first customers, most of them men aged under 30.

I have everything from Apple so now I need to get the watch

“I have everything from Apple so now I need to get the watch,” said 19-year-old Jeremy Dugue, who was sporting an Armani leather jacket.

Within the first hour in Paris, many customers had pre-ordered their watch, and several went for the entry-level model with a black plastic bracelet. High demand means some shoppers in Paris will have to wait 4-6 weeks before their watch arrives.

“It was comfortable, I didn’t think it would be that comfortable. It’s an easy way of managing your busy life,” said 19-year old student Omar Alborno, one of the first to try on the watch at London’s luxury Selfridges department store.

MIXED REVIEWS

Earlier on Friday, Apple’s flagship store in Sydney’s financial district was packed with those hoping to get the first peek at the device, although just around 20 die-hard fans queued out front, modest by the standards of a major Apple launch.

Based on recent customer interest at its stores, Apple expects demand for the watch, which allows users to check email, listen to music and make phone calls when paired with an iPhone, to exceed availability at launch.

Reviewers this week praised the watch, which also helps users monitor their health and exercise, as “beautiful” and “stylish” but gave it poor marks for relatively low battery life and slow-loading apps.

Sales estimates for 2015 vary widely. Piper Jaffray predicts 8 million units and Global Securities Research forecasts 40 million. By comparison, Apple sold nearly 200 million iPhones last year.

Apple’s watch is widely expected to outsell those by Samsung, Sony Corp and Fitbit, that have attracted modest interest from consumers. It will likely account for 55% of global smartwatch shipments this year, according to Societe Generale.

“Apple will outsell its wearable rivals by a very wide margin but it will do this on the power of its brand and its design alone,” independent technology analyst Richard Windsor said.

“Consequently, I am sticking to my 20 million forecast for the first 12 months and see the potential for some sogginess in the stock as reality sets in.”

© Thomson Reuters 2015, with files from Associated Press

Google Inc’s Android for Work partners up to crack the enterprise market

As BYOD becomes more entrenched in the enterprise, the Android operating system becomes more of a challenge. Android devices are often the phone or tablet of choice for consumers, and they’re bringing those choices into the office.

Google’s February launch of Android for Work showed businesses that Google was finally taking their needs seriously. “We want to make Android great for the enterprise,” said Rajen Sheth, director of product management, Android and Chrome for Work.

Until now, he acknowledged, there was no way to say “yes” to Android in the enterprise. But Google couldn’t go it alone – it had to look to its partners.

“The strength of Android is the people building on it,” said Mr. Sheth. “Devices don’t matter unless people can do great things with them. Partnerships bring enterprise apps to Android.”

With Android for Work, added Nicholas Barretta, Android sales engineer at Google, the company is making Android a first-class citizen in the enterprise.

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Now it is upping the ante a bit more. The just-released Android 5.1 (Lollipop MR1) update adds a number of business-friendly features such as support for using more than one cellular carrier SIM card at a time. This feature lets users activate and use additional SIMs on devices that have two or more SIM card slots. It also includes support for telecommunication service providers to create apps that can perform carrier provisioning tasks on an Android device, providing a secure and flexible way for carrier-developed apps to perform these tasks and to be distributed through Google Play.

Or, through Play for Work, which allows admins to define company-approved apps that are offered to designated groups of employees. This gives the flexibility to offer apps to specific departments or work groups without presenting them to the entire organization.

Partners and developers can also build functionality into their apps that allows them to be pushed to user devices by management software.

Google has inserted hooks to allow Enterprise Mobility Management (EMM) software to interface with apps in Play for Work. Upgrades are automatically approved, Mr. Barretta said, cutting down on IT’s workload. If permissions for an app change, however, it will have to be re-authorized by IT, to ensure nothing untoward is sneaked through. If admins choose, they can pre-configure approved apps, for example, adding an email tagline or setting a browser’s home page.

However, despite the new features, getting acceptance in the enterprise is still an uphill struggle, Mr. Sheth noted. “It’s a perception thing, as opposed to reality,” he said. “We need to educate businesses on all the things not only that we do, but that our partners do with security to make Android a great platform. As we have been able to sit down with CIOs and CSOs within corporations, they’re pretty well convinced when they look at what we do in terms of security.”

“We want to get to the point where CIOs don’t have much to think about,” he went on. “We’ve integrated [Android for Work] with the most widely used management platforms in the industry. As they look at these technologies, hopefully it will be easy for them to say ‘yes’ to Android.”

Waterloo-based instant messaging service Kik says it’s ‘exploring partnerships,’ not just a sale

Last year Waterloo-based Kik Interactive Inc. published a blog post outlining the company’s future goals, and none of them involved an acquisition.

In the post, entitled “Independence,” the company’s founder Ted Livingston wrote, “we are choosing not to sell.” But on Thursday, according to an interview with Bloomberg, it seems Livingston has changed his stance on the issue to some extent. In the interview, Livingston says Kik has hired Qatalyst Partners, a Silicon Valley-based company known for brokering large tech takeover deals, in order to gain a better understanding of what a major investment or partnership from a corporate partner could look like for Kik.

“Chat is an incredibly hot space right now, and we’ve been getting a lot of approaches for acquisitions for quite a while. However, we kept on getting approached and finally decided we should at least consider all the options. So now we’re talking to pretty much every company to see what a partnership might look like. We hired Qatalyst, who we’ve known for years, to help us do that, but we remain committed to building Kik as an independent company,” said Livingston in a statement to the Financial Post.

Qatalyst recently opened a new strategic division focused on helping companies reach partnerships, rather than find potential buyers.

Kik is one of many popular mobile-focused instant messaging platforms that utilize Google Inc.’s Android operating system and Apple Inc.’s iOS platform. The messaging application currently has more than 200 million registered users in 230 countries around the world and allows people to exchange texts, photos and video messages instantly over a WiFi or mobile data connection via a smartphone.

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The instant messaging app market is becoming increasingly crowded, with similar applications such as Facebook Messenger, Snapchat Inc., KakaoTalk, Tencent’s WeChat and WhatsApp Inc. – which Facebook Inc. purchased last year in a US$19 billion deal – all vying for users’ attention. Following Facebook’s February 2014 acquisition of WhatsApp, the company’s shares slid 3.4 per cent, but then recovered by the end of the day.

The recent furor surrounding Kik working with Qatalyst has led to industry speculation that a variety of suitors have already approached the company regarding a potential acquisition. However, in his interview with Bloomberg, Livingston denies Kik is set on an acquisition, instead emphasizing his company is only exploring its options.

“To be clear, we are absolutely committed to staying independent,” Livingston told Bloomberg.

Kik has reportedly raised US$70 million in venture capital funds and still has two years worth of financing left. The service also has ambitions of becoming a Facebook Messenger-like platform, potentially offering users additional features beyond instant messaging. In a recent interview with the Financial Post, Livingston discussed his far-fetched ambition to build Kik into “the third great network,” after television, internet and telephones. Last November, Kik raised US$38.3 million in funding and also purchased Toronto-based Relay, an instant messaging start-up that incorporated animated content such as GIFs into its service.

During Facebook’s F8 conference, Facebook revealed plans to open its Messenger platform to third-party developers, allowing the creation of tools able to alter what the service is capable of, giving users’ the ability to display store receipts and share GIFs.

Facebook has taken its other messaging service, WhatsApp, in a different direction and recently introduced the ability to make voice calls on the platform. WhatsApp currently has 700 million registered users.

Temporary image and video sharing platform, Snapchat, was recently valued at US$15 billion following a recent investment from Alibaba Group Holding Ltd. The image sharing platform reportedly rejected a US$3 billion takeover offer from Facebook last year, opting to remain independent.

Bell Media’s Kevin Crull stepping down as president effective immediately

MONTREAL — BCE Inc. says Kevin Crull is leaving his position as president of Bell Media, CTV’s parent company, effective immediately.

Crull apologized publicly in late March for intruding on the editorial integrity of the broadcaster’s news team during its coverage of a decision by the CRTC requiring broadcasters to offer low-cost packages to cable subscribers.

In his apology, Crull said he was wrong to try to influence the editorial decisions of CTV journalists and says he had apologized to the team directly.
It followed a report in the Globe and Mail that Crull had demanded that journalists not give any airtime to CRTC chairman Jean-Pierre Blais.

Bell Canada president and CEO George Cope said in a statement announcing the departure that Crull had been a significant part of Bell’s strategic transformation.

However, he added that the independence of Bell Media’s news operations is of paramount importance to the company and to Canadians.

“The independence of Bell Media’s news operations is of paramount importance to our company and to all Canadians. There can be no doubt that Bell will always uphold the journalistic standards that have made CTV the most trusted brand in Canadian news,” said Mr. Cope in the statement.

More to come…

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With files from Financial Post staff

Rogers Communications sees sharp drop in customer info requests from police and security agencies

Rogers Communications Inc. received 113,655 requests for information about its customers from government and law enforcement agencies in 2014, a 35 per cent plunge from the previous calendar year.

According to its second annual “Transparency Report” published Thursday, the Toronto-based company attributed the drop in the number of requests to tighter internal policies that were instituted last summer in response to customer feedback and what it called the “critical” Supreme Court decision of R. v. Spencer.

The court ruled that Canadians have a reasonable expectation of privacy on the Internet. As a result, police have to obtain a court-ordered search warrant and present it to service providers to access information that would identify the name and address associated with a specific Internet Protocol address.

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Rogers made two changes to how it handles data requests: Previously, Rogers said it would confirm “basic” customer information such as name and address so police didn’t issue a warrant for the wrong person or business. It also had a “special process” in place to assist sexual exploitation investigations, where the company would confirm a person’s name and address when provided with an I.P. address. But since June, in the wake of the landmark court ruling, Rogers has started responding to these types of requests only when it is presented with a court order, warrant or in an emergency, a switch it claims balances its desire to “protect” its clients’ privacy and “allow enforcement agencies to continue safeguarding the public.”

Rogers received 29,438 customer name and address checks in 2014, a sizable decline from the 87,856 requests submitted a year earlier. Of the seven categories for which it records, the company saw a small uptick only in the amount of emergency requests from police, which rose from 9,339 to 10,016.

“It is important for our customers to know that we only provide their information when required by law or in emergencies, after we have carefully reviewed the request,” Ken Engelhart, the company’s chief privacy officer, said in a letter accompanying the report. “If we consider an order to be too broad, we push back and, if necessary, go to court to oppose the request.”

Rogers said it refused or provided no data 2,278 times last year. This figure includes a large request, which would have involved over 30,000 customers, that Rogers deemed to be “too broad” to fulfill.

A response in the “Frequently Asked Questions” section says federal, provincial and municipal bodies have contacted Rogers to see personal customer information. The list includes Royal Canadian Mounted Police, Canada Revenue Agency, and Canadian Security Intelligence Service, as well as police forces and coroners.

The Criminal Code, the federal privacy law for companies known as PIPEDA, and rules set out by Canada’s telecommunications regulator govern how private client data is collected, stored and shared.

The report states that Rogers does not provide “direct access” to its customer base. It stores information only “for as long as it’s required for business purposes or as required by law.” It also notes that Rogers doesn’t keep “customers’ communications like text messages and email because our customers’ privacy is important and we don’t need to retain this information.”

How CIOs should prepare for a hackers’ bonanza when Windows Server 2003 retires

For IT professionals, this summer could potentially get very interesting. In just over three months, on July 14, 2015, all support will cease for Windows Server 2003. Microsoft will no longer produce patches or security updates for the venerable operating system.

For hackers, it’s a bonanza. It’s almost a given that they will have exploits in their pockets, waiting to be used for attacks once patching ceases. It’s worrisome enough that Public Safety Canada has issued an advisory, reminding users, “Organizations running software after its end of support date may be exposed to increased compliance and security risks. Hardware and software compatibility issues may also arise when implementing current technologies which may not have been designed for use with Windows Server 2003.”

Microsoft also notes that customers running Windows Server 2003 after its end of support will risk falling out of compliance with PCI data security standards, and thus be unable to work with major payment card providers such as Visa and MasterCard.

It’s potentially a huge problem; Microsoft says that Server 2003 makes up 40 per cent of its installed base in Canada – some 380,000 servers. It was one of the company’s most successful server releases but, as VP of marketing operations Jason Hermitage pointed out, twelve years is an eternity in the technology world. “Every CEO should ask their CIO, ‘Are we ready for the transition?’,” he said.

Changing server operating systems is not a trivial task, but it can be made less painful with good planning, said Shawn Myron, director of product, cloud solutions, at Telus. It’s a five step process; if you get the first four phases right, the migration itself should be straightforward.

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First, look at the workloads. What are they, and where are they running (and is the hardware fit to be upgraded, or does it need to be replaced)? Next, categorize them by complexity and their importance to the company. That gives input into the third phase: deciding where the workloads should be placed. Should they be on physical servers, virtual machines, or would a hybrid cloud be more appropriate?

Once those decisions are made, it’s time to build the migration plan. There may be dependencies to think about, such as necessary software version upgrades, hardware replacement, and staff training.

When all that has been nailed down, it’s time to do the actual migration.

In addition, Mr. Myron said, “Some organizations are thinking tactically. SQL Server 2005’s end of life is next year, so they are looking to see if there’s an opportunity to upgrade it now.”

Fortunately, companies don’t have to go it alone. Microsoft offers free tools to help with the migration planning and execution. The Microsoft Assessment and Planning Toolkit (MAP) performs four functions key to any migration: discovery and inventory of computers and applications, hardware and software migration readiness assessments, software usage tracking, and capacity planning for virtualization, public and private cloud migration.

If a do-it-yourself approach isn’t in the cards, virtually every service provider offers some sort of program to assist customers in the move to a supported operating system (or to the cloud). With just over 100 days left to get the job done, that may be what it takes to stay secure, and to gain the added security and financial benefits provided by modern hardware and software.

Dell launches tablet that doubles as a laptop, geared for the corporate market

In a market where tech manufacturers are vying to create the perfect mobile computer, Dell unveiled its newest multi-purpose device Wednesday, a hybrid that works both as a tablet and a notebook computer and with both a personal and a corporate side.

The Dell Venue 10 7000 series, weighing in at around one kilogram, with a keyboard that snaps on magnetically, is geared for the growing business market that includes not only companies buying computers for their employees but also the growing trend to BYOD – bring your own device.

“Half of our users are working from home and working on office things there, two thirds of them are spending time, at least a day a week out of the office, either at their client’s site, partner sites or at the coffee shop working and they really want something that works that way,” Neil Hand, vice-president of Dell’s tablet product group, said in an interview at the company’s unveiling in San Francisco of its newest device.  “And more and more, particularly millennials and new graduates coming in the workforce, really think about mobility all the time, they are on the move.

“What we wanted to design was something that allows for that.”

Postmedia NewsNeil Hand, vice-president of Dell’s tablet product group, with the new Dell Venue 10 7000.

The result? A tablet with an optional full-size detachable backlit keyboard that turns it into a notebook computer and one that runs the free Android for Work productivity apps as well as – for Microsoft Office users – Office Mobile, the Android version of those office programs.

The Venue 10 7000 has a combination battery holder and handle that makes it easy to grasp as a tablet and when the magnetic keyboard is snapped on, it can be positioned in several ways: In a regular laptop computer mode, standing up in a tent mode or flipped facing backwards for such uses as viewing movies and videos on a flight.

The screen itself is 10.5 inches, OLED (which stands for organic light-emitting diode) and a 2560×1600 high resolution. It has a quad-core Intel Atom  Z3580 processor and the  Intel RealSense Snapshot Depth Camera that takes a depth map of every photo shot and allows for 3D editing. And it has  MaxxAudio Mobile by Waves speakers on the front to add to its entertainment value for music and videos.

However, the real market driver for the new device is its dual personality – one part home and personal use and another part that can be locked off by companies strictly for corporate apps and data. The office side is marked by an icon and corporate IT departments can limit the apps allowed to those in a Google Play storefront that they control. IT departments can also wipe the devices of any corporate data or apps while leaving family photos and other personal data intact, a feature of increasing importance in an era of BYOD.

While Dell is focusing on all of today’s mobile workforce, it’s the upcoming generations that are most important.

“One big thing about this year’s graduating class is they are the first class to graduate from college that has never seen the world without the web,” said Rajen Sheth, director of product management Android and Chrome work and education for Google. “And if you think about it, 1993 to 1994 is when the first web browsers started to come out and that’s when these folks were born.

“So they probably don’t remember a world without mobile devices, they’re used to a world where the Internet is almost ubiquitous.

“They have grown up with smartphones and so it is a very different type of graduating class now.

The price of the new Venue 10 7000 in Canada is $599 without the optional keyboard. No price available yet for the keyboard in Canada but in the U.S., the bundled tablet and keyboard will sell for $629US when it is released in early May.

Gillian Shaw’s airfare and accommodation to attend the Dell launch event was paid by Dell. The company did not see the copy before publication.

Zynga Inc shares plunge as CEO Don Mattrick resigns abruptly, founder Mark Pincus returns

Zynga Inc. shares slumped after the company, a struggling maker of video games for mobile phones and tablets, said Chief Executive Officer Don Mattrick will leave, and founder and Chairman Mark Pincus will return as CEO.

Jonathan Alcorn/BloombergDon Mattrick, 51, abruptly resigned as CEO of Zynga on Wednesday.

The stock plunged as much as 15 per cent to US$2.46 as of 9:39 a.m. in New York, the biggest intraday decline since Feb. 13.

The changes in leadership are effective immediately, San Francisco-based Zynga said Wednesday in a statement. Canadian-born Mattrick, who has led the company since July 2013, will also leave the board.

Zynga faltered in efforts to revive revenue after once leading the market for games played on social media, such as Farmville. Sales last year declined 21 per cent from 2013 and the company reported a loss of US$226 million. Pincus controls a majority of the stock in the company, which he founded in 2007.

“He moved too deliberately and Pincus was too impatient,” said Michael Pachter, an analyst at Wedbush Securities in Los Angeles. It’s a “bad combination for career stability if the controlling shareholder thinks the CEO is taking too long to turn the ship around.”

“Mark is a visionary guy, and if he stays the course that Don put them on, I’m sure that the company will perform well,” Pachter said. “The share price reaction is a vote of no confidence in Pincus’ ability to stay the course, but he deserves the benefit of the doubt.”

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Sales Shrink

Mattrick, 51, a former Microsoft Corp. executive, joined Zynga as game play was transitioning to mobile products such as smartphones and tablets, and failed to produce new titles to replace its aging hits. Sales shrank to US$690 million last year from a peak of US$1.28 billion in 2012.

King Digital Entertainment Plc, maker of the popular Candy Crush games, has emerged as the leader in mobile games, with revenue of US$2.26 billion last year.

“Don joined us in a very important time in our evolution,” Pincus, 49, said in the statement. “The team’s hard work for our mobile players has resulted in bookings growing from 27 per cent mobile bookings when Don joined to 60 per cent by the end of last year.”

Mattrick will receive a US$4 million severance payment, according to the company, and may get up to US$1 million for a 2015 bonus. The company will also accelerate the vesting of 5.11 million shares granted to its former chief.

“I believe the timing is now right for me to leave as CEO and let Mark lead the company into its next chapter given his passion for the founding vision and his ability to couple our mobile progress with Zynga’s unique strengths,” Mattrick said in the statement.

Bloomberg.com

LinkedIn Corp is buying online learning firm Lynda.com for $1.5 billion to offer members courses

LinkedIn Corp. said it would acquire Lynda.com, an online learning business, for about US$1.5 billion.

A subscription to Lynda.com gives members access to courses taught by industry experts, offered in English, German, French, Spanish, and Japanese. The company, based in Carpinteria, California, serves individuals and corporate, government and educational organizations.

“The mission of LinkedIn and the mission of Lynda.com are highly aligned,” Jeff Weiner, the chief executive officer of Mountain View, California-based LinkedIn said in a statement Thursday. “Both companies seek to help professionals be better at what they do.”

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Bloomberg.com

Messaging app maker Kik Interactive Inc said to explore potential sale or corporate investment

Kik Interactive Inc., which makes a messaging application popular with young teens, is exploring a sale, people with knowledge of the matter said.

The company hired Qatalyst Partners to set up conversations with potential acquirers or corporate investors in Silicon Valley and Asia, said the people, who asked not to be identified because the process is private. Kik, based in Waterloo, Ontario, hasn’t yet found an attractive deal, the people said.

Kik, with more than 200 million registered users, as of January had raised about US$70 million. Kik is betting that larger corporations may want to capitalize on the increasing popularity of messaging applications. Snapchat Inc. recently raised funding from Alibaba Group Holding Ltd. at a US$15 billion valuation, and last year Facebook Inc. acquired WhatsApp Inc. for US$22 billion.

Qatalyst will help Kik network with faraway companies and find all potential options, one of the people said. The company has about two years’ worth of financing and isn’t in danger of running out of cash, the person said.

Ted Livingston, Kik’s founder and chief executive officer, confirmed the talks, while declining to comment on specific suitors.

“We had a lot of inbound interest, especially this year,” he said Wednesday in an interview. “We hired Qatalyst to work through all the options, one of which is to stay independent.”

A representative for San Francisco-based Qatalyst didn’t immediately respond to a request for comment.

Bloomberg.com

As Samsung Galaxy S6 release date nears, positive reviews boost prospects for record shipments

SEOUL — Samsung Electronics Co Ltd expects record shipments for its new Galaxy S6 smartphones and said it will struggle to meet demand for the curved-edged version due to production constraints, adding to hopes for a turnaround in mobile sales.

The S6 models are widely expected to sell briskly following a string of positive reviews, boosting prospects for an earnings recovery in 2015. This week, the company estimated its January-March operating profit to be its highest in three quarters, which analysts said was partly because Samsung put its own chips in the new phones.

Samsung expects the flat screen S6 to sell more than the higher-margin S6 edge – priced about US$120 more in South Korea – but mobile chief J.K. Shin said at a media event on Thursday the firm won’t be able to keep up with demand for the latter model in the near term because the curved screens are harder to manufacture.

“Some carriers are switching existing orders to get more of the S6 edge, and it looks like demand for the model will exceed supply throughout this year,” said HMC Investment analyst Greg Roh. “That means average selling price will fall at a slower rate, which will have a positive impact on Samsung overall.”

The new Galaxy devices go on sale in 20 countries on Friday.

Samsung has not disclosed its shipment record for a handset. Analysts regard the Galaxy S3 as its best-selling model overall, though they estimate the Galaxy S4 to have done better in its initial year, when a model is most profitable.

Nomura estimated that Samsung sold 80 million S3s in three years from its 2012 launch, and 43 million S4s from the model’s April 2013 launch to the end of that year. Some analysts say Samsung could ship 50 million or more S6 phones this year.

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Samsung’s Shin also said the South Korean electronics maker is preparing a variety of wearable devices, including a new version of its Gear smartwatch, but did not give specifics. Arch-rival Apple Inc is due to roll out its much-anticipated smartwatch on April 24.

Shin acknowledged that Samsung opted for its own mobile processor and modem chip in the Galaxy S6 instead of equivalents from U.S.-based Qualcomm Inc.

Samsung previously relied heavily on Qualcomm chips for its flagship phones, but recent reports based on dismantling Samsung’s handsets showed the firm replaced many Qualcomm chips with its own. Shin said the companies remain close partners.

“We have to use the best engines to make our products competitive, which is why we opted to use our own chips,” Shin said. “But we may very well end up using products from Qualcomm again in the next Galaxy phone.”

Last Voyage review: Pretty indie prompts players to ponder how they think

My iPad only had a little over 20% of its charge left when I began playing Toronto-based Semidome, Inc.’s Last Voyage, a minimalistic and yet curiously cinematic puzzler for iOS. I figured I’d have just enough time to maybe get a sense of what it was.

Turns out I had enough juice to work through the whole thing. With 10% of my charge left to spare.

This will be unacceptable to some players, who demand limitless entertainment from apps for which they pay little or nothing. If you’re one of these folks, you can probably just click through to another story. We put up a piece last week about how you can play Pac-Man for free on pretty much any Google map. Something like Last Voyage probably isn’t the game for you.

But if you don’t mind paying pocket change for a short but memorable interactive experience, keep reading.

Semidome, Inc.

My interpretation of Last Voyage is that it’s meant to represent a thematic passage through space and time.

Its opening scene shows two towers in a barren desert, sand blowing across shallow dunes and a massive blood-red sun on the horizon, a droning score slowly climbing up and down in the background. For me, it conjured thoughts of Journey, a beautiful, artistic (and very short) adventure for PlayStation 3.

I’m given no direction, but my eyes are drawn to the squares at the top of the towers. Touching both morphs the structure into a different geometric shape with another square aching to be touched. I touch it and another change occurs.

This is our introduction to the first chapter, which turns out to be a puzzle-like exploration of geometric shapes and patterns in simple, otherworldly environments. There are no instructions, but somehow you’ll always know what to do, by instinct.

Semidome, Inc.

Then, less than 10 minutes later, I’m on to the second of the game’s five chapters. Electronic music starts to pick up, taking on a vaguely Tron-ish quality, as rows of simple shapes rapidly charge toward me.

The objective here is a little less intuitive, but I pick it up pretty quickly. I need to swipe to move between approaching rows of shapes, using them as tunnels to reach a white or black gate at the end of each seconds-long stage. It’s pretty trippy. The music and the large screen of my iPad combine to create a sense of motion and momentum. I feel like I’m travelling through a simple three-dimensional space, towards what I don’t yet know.

The third chapter begins with an exploration of colour, exploiting the way our mind perceives various shades placed next to one another. The puzzles seem almost magical in the way their colours click perfectly into place once solved. Then it moves on to a series of puzzles involving grids and lines that play on our ability to detect patterns and feel our way to solutions.

Semidome, Inc.

When the fourth chapter starts I suddenly feel like I’m in 2001: A Space Odyssey, from the perspective of Dave travelling through the wormhole.

Sheets of colour roll past above and below me (see the screenshot from the top of this review), but I’m kept oriented by a streak of white/green that I must swipe left and right to follow. Colours gradually shift, making it more difficult to keep track of my path, which – in a strange trick that reminds me of the dress meme that circulated a few weeks ago – at times I weirdly perceive as blue, brown, and even black.

As the fifth and final chapter starts – barely half an hour into the experience – a speck of light appears amid an ocean of stars, and I quickly come to understand that I control its position by moving my finger across the screen.

Dodging spinning, pulsing geometric shapes, I’m beginning to pass planets. I sense I’m drawing near Last Voyage‘s final destination. My journey is almost over. I’m sad.

Semidome, Inc.

This game is too short! That’s the first thing that pops into my head when the fifth chapter ends and the game concludes.

But is it really? It only costs a dollar – I’ll pay more than that for a soda I’ll gulp down in much less time than it takes to work through Last Voyage – but I don’t think cost ought to weigh into it.

It’s best not to view Last Voyage as a game. It’s possible to become briefly stuck or even fail in places, which makes it feel like a game, but that’s beside the point. It’s rarely very difficult, and it won’t make you feel clever for figuring things out.

It is instead an interactive experience designed to make us consider how we think and how we perceive the world.

Why, without any instruction, do we know to press those two squares on the first screen of the first chapter? How come those matching shades in the third chapter don’t look as though they really do match when placed between a strip of brighter or lighter colour? Why, in the fourth, do we perceive the path of light we follow between two sheets as changing colour? These are interesting, enriching, fun subjects to ponder.

Last Voyage may be less than an hour long, but that time is enjoyable and thought provoking. And paying a dollar for something like this seems a small price to avoid the sort of bland, carbon-copied free-to-play junk currently clogging most app stores.

Canadian banks are offering Apple Pay in the U.S. — so why isn’t it on home soil yet?

TORONTO – Timmo Dugdale took to Twitter twice last month to ask BMO Harris Bank when his debit card would be supported on Apple Pay, a “virtual wallet” that can store and transmit payment data from select Apple devices to a nearby terminal. “We’ll be announcing that … soon,” the Chicago-based bank replied.

But the bank’s go-to response to the persistent Apple Pay question had begun to lose its meaning for an increasingly impatient Dugdale, 47, who lives in Madison, Wisconsin. He was keen to pay by waving his iPhone 6 Plus instead of fumbling to get a plastic card out of his wallet and tediously keying in his pin at the checkout counter.

“I had been waiting two months, then three, then four with no response from the bank other than ‘soon,'” he said.

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Five months had passed since Apple Inc. first made its payment solution available to select issuers in the U.S. and “there were no details as to what was causing the delay” at BMO Harris, leaving Dugdale “with no real information to make a decision.”

He considered switching banks, but realized it would be a hassle. He had his chequing and savings accounts, car loan and mortgage all with the U.S. arm of Bank of Montreal, Canada’s fourth-largest bank by assets. The subsidiary operates 600 branches and serves three million customers in the Midwest.

He was stuck waiting, wondering if and when a launch would come.

“Soon” became a reality for Dugdale on Tuesday, as BMO Harris was among the 39 institutions to sign on to the payment app, bringing the number of participating issuers to 186 – not one of which is in Canada.

In a speech to investors last week at BMO’s annual general meeting, chief executive William Downe confirmed that the bank would, in fact, introduce Apple Pay in the U.S., putting rumours to rest. Still, Tuesday’s launch was news to Dugdale, who said he didn’t receive any notice from the bank or see any big announcement about it on its social media accounts.

Nevertheless, Dugdale happily provisioned his debit card credentials on his iPhone 6 Plus, a process he called both “seamless and elegant,” and executed his first mobile transaction on Tuesday night, spending US$12.31 at a local Panera Bread cafe. “Used Apple Pay for the first time,” he said in an email. “Wonderful!”

While the wait for Apple Pay is over for Dugdale and other BMO Harris Bank clients who use an iPhone, it continues for people in Canada. Despite rampant speculation and curiosity from both brand loyalists and industry watchers, Apple has not said when or even if Apple Pay could ever be used in Canada. In an email, Toronto-based spokeswoman Tara Hendela declined to comment on the company’s plans.

By signing on to Apple Pay, BMO joins two other Canadian-headquartered banks that already have made the app available to their U.S. clients: Toronto-Dominion Bank, which has been offering customers of TD Bank access to the platform since December; and Royal Bank of Canada, which began catering to Canadian clients who travel to or live in the U.S. and have an RBC Bank-issued debit or credit card since last month. 

Whether these banks will decide to bring Apple Pay north, if Apple even makes it available, is unclear.

A relationship with the Cupertino, Calif.-based company has been forged and it’s understood that these banks are vigorously testing the app’s functionality and security. When asked about plans for Apple Pay in Canada, each institution repeats a variation of  TD spokeswoman Laura Mergelas’ comments to the Financial Post: “Currently, Apple Pay is not available in Canada, and we cannot speculate on Apple’s future plans.”

RBC and TD offer Canadian clients with select Android and BlackBerry devices that are connected to certain wireless networks the ability to make mobile payments of, normally, up to $100. BMO offers its PayPass tag, requiring its cardholders to attach a specific sticker to their phone. It has a similar spending cap to mitigate risk. Apple Pay doesn’t impose such a limit, although merchants may prompt people to enter their pin after the tap if a sale exceeds a certain amount, according to BMO spokesman Paul Gammal.

I had been waiting two months, then three, then four with no response from the bank other than ‘soon

But the current mobile payment offerings that segment clients and place caps on transactions are less than ideal for banks that promise top-class service to everyone. In an emailed statement, Linda Mantia, RBC’s executive vice-president responsible for both payments and cards, noted this struggle.

“We constantly look for ways to give our clients the choice and flexibility to manage their finances and payments and are committed to bringing innovations like Apple Pay that offer them new levels of convenience and security,” she said. “Enabling mobile payments for all RBC clients remains a priority.”

Perhaps clients like Dugdale from Wisconsin are pressing issuers to adapt sooner than they’d like. The current system may not be perfect from a risk perspective, says Kashif Zaman, a lawyer at Osler, Hoskin & Harcourt LLP who specializes in financial services, but mobile payments are here to stay. Tweaks will be made because no one has “reached the ultimate gold standard” yet.

Financial Post
cpellegrini@nationalpost.com

Samsung Galaxy S6 review: Flimsy no more, the S6 is what Samsung fans have been waiting for

As little as two years ago, Android devices were primarily constructed of plastic, even when it came to high-end, expensive Android smartphones.

But today, Android devices such as the HTC One (M8) and upcoming HTC One (M9) (and even LG’s G3 to a lesser extent) feature aluminum construction, rivalling the build-quality and materials Apple has been utilizing in its smartphones for years. With the Galaxy S6, Samsung has finally taken the high-end plunge, releasing a device poised to make Samsung fans forget about the cheap-feeling plastic-clad Galaxy S5.

As a result though, the S6 actually might look a little too similar to the iPhone 6 and iPhone 6 Plus. If you were to see someone using a Galaxy S6, at first glance the average person would probably assume it’s an iPhone. This will likely be a polarizing issue for fans of Samsung’s devices hoping to stand out in a crowd of iPhone users, and also be a source of ridicule for Apple users. The Galaxy S6, especially the smartphone’s base, looks so similar to the iPhone 6 that it’s hard not to imagine Apple’s lawyers aren’t currently drafting some sort of legal action.

Patrick O'Rourke/National PostThe similarities between the iPhone 6 and the Galaxy S6 are undeniable.

Those concerned about the smartphone looking a little too similar to an iPhone can opt for the slightly more expensive Galaxy S6 Edge (I didn’t test this version), although most feel the S6 Edge’s “edge” features are little more than another gimmick designed to sell smartphones. The ability to place apps on the Edge of the smartphone’s slightly curved screen is undeniably cool, but it also has no practical purpose. For most people the additional $100 for the Edge version of the smartphone isn’t worth it (the S6 Edge does include a slightly larger 2600 mAh battery).

Plastic is a thing of the past for the Galaxy S6

Samsung has made a bold shift with the Galaxy S6, moving the device’s design in-line with other high-end smartphones. It actually shares a lot in common in terms of aesthetics with the lacklustre Galaxy Alpha, a smartphone Samsung released in the middle of last year.

The S6 features an all metal band and a strong-feeling glass case. I actually dropped the phone accidentally from about half a metre off the ground onto the solid tile floor of my kitchen, and the phone suffered no damage. However, the glass body makes the S6 a fingerprint magnet. If you opt for the white version of the phone this issue will likely become less apparent.

Patrick O'Rourke/National PostThe button layout of the Galaxy S6 is intuitive.

The volume buttons on the left hand side of the phone, as well as the power button on the right, and the physical home button in the middle of the phone, also feel very natural. In general the Galaxy S6 gives the impression of a very well throughout smartphone in terms of access to its functionality. The one drawback of the S6’s build is that the device’s camera sticks out a few millimetres from its body, exposing its lens to potential scratches.

Overall, the Galaxy Alpha is a sleek, solid-looking device, although if you placed it beside competing devices such as HTC’s upcoming One (M9) or the iPhone 6, the S6’s overall look lags behind competing devices, depending on your personal taste.

Top-notch screen technology and an impressive camera

Samsung is known for creating beautiful displays, and just like with previous Galaxy smartphones as well as Samsung’s televisions, the Galaxy S6’s Super AMOLED display offers a crisp viewing experience. It also packs more pixels than the S5 and matches the Galaxy Note 4’s screen resolution (1440 x 2560 577ppi), which makes it one of the sharpest smartphone displays available right now. This level of resolution featured in the S6 is overkill and more than anyone will likely ever need in a smartphone for years to come, but it’s still impressive Samsung managed to pack this many pixels into the S6’s display.

Patrick O'Rourke/National Post

It’s also great Samsung has opted to avoid the “phablet” territory with the S6, sticking to a reasonable 5.1 inch screen. In general, the S6’s high-resolution screen looks phenomenal regardless of what tasks you’re performing with the device, whether that involves watching movies, YouTube videos or simply just browsing the Internet.

In terms of the device’s camera, the Galaxy S6’s 16 mega-pixel rear camera and five mega-pixel front-facing camera, are superb, edging closely to Apple’s iPhone camera supremacy, perhaps more than any Android device ever has before. Unfortunately the S6’s camera falls slightly short of the iPhone 6 due to white balance issues. However, the ability to launch the camera with just the home button is a useful addition to the Galaxy S line.

High-end hardware makes everyday tasks a breeze

Both the Samsung Galaxy S6 and Edge are powered by a 64-bit Exynos 7 Octa 7420 system-on-chip, consisting of four 2.1 GHz Cortex-A57 cores, and four 1.5 GHz Cortex-A53 cores, and 3 GB of RAM. Essentially this is an extremely powerful smartphone that can can go head-to-head with the most powerful devices on the market.

The significant horsepower in the Galaxy S6 allows it to run two apps in split screen or in windowed mode with relative ease. This feature is impressive, although not exactly useful on a smartphone of this size. The additional hardware power as well as the smartphone’s high-resolution screen, seems to have resulted and a slight hit on battery life though. With regular use, I typically needed to plug-in the smartphone immediately after work to keep it running, although the S6’s fast charging feature allows you to charge up to four hours of battery life in just 10 minutes.

Hefty price tag

This is a high-end smartphone so it makes sense a premium price tag is also attached to it. The 32GB Galaxy S6 is priced at $249 and $349 for the Edge model, on a plan ($699.95 and 809.95 respectively, not on contract).  The 64GB S6 is selling for $360 on contract and $860 with no contract. The S6 edge is priced at $460 on contract and $960 not on contract. The 128GB S6 is $470 with a two-year term and $960 without. The Edge 128GB is $570 on a two-year term and $1,070 with no contract.

These prices are undeniably expensive, but they’re also in-line with what Apple is charging for the iPhone 6 (starting at $839.99 without a contract) as well as the price HTC has the M9 One pegged at (starting at $750). This is high-end, luxury device territory, so consumers interested in smartphones like this should be expecting to shell out a significant amount of cash.

Patrick O'Rourke/National PostThe Galaxy S6's screen is one of its most impressive features.

Copying Apple sometimes isn’t a bad thing

The Galaxy S6 is arguably the first smartphone Samsung has ever released that looks and feels great, and also packs enough horsepower to justify its price tag. The sense of flimsyness of past Galaxy devices is gone with the S6 and has been replaced by well-sculpted aluminum edges and a gorilla glass screen and backing.

But these design upgrades have come at a cost: the device’s battery is now sealed into the phone, it doesn’t include a SD card slot and the device also is no longer waterproof – all issues that don’t bother me, but could be a problem for hardcore Android users. On the plus side, Samsung has finally refrained from customizing Android’s OS significantly. The user experience with the Galaxy S6 is largely inline with the stock version of Google’s Android operating system. The popular fingerprint scanner also makes a return in the S6.

If you’re a fan of Samsung’s Galaxy line, or if you’ve been waiting for Samsung to finally step up its build quality game, this is the device you’ve been waiting for.

The Samsung Galaxy S6 is set to be released on April 10, 2015.

Samsung Galaxy S6

Manufacturer: Samsung

Price: Starts at $699.99

Release Date: April 10

Score: 8.5/10

Google Inc plotting new ad-free YouTube subscription service as early as this year

Google Inc. plans to offer a subscriber version of YouTube as soon as this year, letting viewers see millions of videos without having to sit through ads.

Revenue from the new feature, which will put Google into more direct competition with streaming services such as Netflix Inc. and Hulu LLC, will be shared with video creators, Google told them in an e-mail that was obtained by Bloomberg. The service may debut by the end of the year, said a person with knowledge of the matter, who asked not to be identified because the plans aren’t public.

“By creating a new paid offering, we’ll generate a new source of revenue that will supplement your fast growing advertising service,” the letter said.

Google has been moving closer to charging users for content; the Web company introduced a subscription-style music service within YouTube in November, and has spent hundreds of millions of dollars on talent and production facilities to boost original content on the video website, which has more than 1 billion monthly viewers. With ad-free subscriptions, Google is moving closer to competing with streaming services, including HBO Now (which debuted this week), for people’s attention as they spend more time watching videos on the Web and on mobile devices.

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“While we can’t comment on ongoing discussions, giving fans more choice to enjoy the content they love and creators more opportunity to earn revenue are always amongst our top priorities,” Google’s YouTube said in a statement, without commenting on the timing of the service.

YouTube will offer all the same videos without ads for a monthly fee, which hasn’t been set yet, according to the note. The service is also likely to include offline access. Google is alerting content creators because it wants them to agree to new terms that would let it include clips in the subscription product.

“We’re increasingly moving into an age where consumers are learning to avoid advertising,” said Rich Greenfield, an analyst at BTIG. “Between DVRs, Netflix and now Amazon, we’re increasingly learning to lead an ad-free life.”

The move to introduce subscriptions is part of a broader shift at Google to generate more income that isn’t based on advertising. Viewers can rent or buy movies such as “Interstellar” or “The Interview” on YouTube. In 2013, YouTube debuted paid channels for premium content. YouTube’s Music Key Beta, rolled out five months ago, lets users access music on the site without ads for $10 a month, and also offers offline access.

[youtube=http://www.youtube.com/watch?v=pMQxeb5ERps&w=640&h=390]

YouTube is facing more competition for streaming videos. Netflix, which costs US$8-$12 per month, has 57.4 million subscribers and features original content such as “House of Cards” and “The Unbreakable Kimmy Schmidt.” YouTube’s share of streaming traffic during peak hours fell to 14 per cent in North America in the second half of 2014, compared with 19 per cent a year earlier, according Sandvine Corp., a provider of network- management tools.

“Anything they do to improve monetization options is great for a content creator,” Keith Richman, president of Defy Media, an online video producer, said in an interview. “I believe in their ability to create a subscription product. Their market position is so strong that it’ll be hard for me to believe it could fail.”

Bloomberg News

Story of Seasons review: A return to Harvest Moon’s roots

Harvest Moon titles have always been offbeat, but unfortunately the last few entries in the series have strayed from the series’ original focus — farming — complicating the franchise’s delicate formula a little too much.

With Story of Seasons, Harvest Moon has finally returned to what originally made the series so much fun.

But first, here’s a brief history update. Natsume lost the publishing rights for the Harvest Moon franchise and the series is now in the hands of XSEED games and Marvelous Entertainment.

However, Natsume still owns the Harvest Moon name and because of this XSEED and the series’ developer, Marvelous, have been forced to continue the Harvest Moon franchise under a new moniker, Story of Seasons.

The goal in Harvest Moon games (now called Story of Seasons, although the Harvest Moon franchise will continue under the Natsume brand), is to build a successful and profitable farm. This involves spending your days taking care of cows, harvesting crops, and wooing either the virtual woman or man of your dreams (depending on what gender you’re playing as). Unfortunately same-sex relationships aren’t part of Story of Seasons.

The fun in Harvest Moon games stems from their focus on slow progression and constantly working towards small, attainable goals. Are you saving up for that new chicken coop? Then it might be a good idea to not purchase a significant amount of food from the local restaurant. Maybe you’re a fan of fishing and decide to make your money by setting up multiple fish hatcheries?

In Story of Seasons, just like every Harvest Moon title, managing your character’s stamina while trying to complete daily chores, becomes increasingly difficult the larger your farm becomes and the more additional tasks you take on. Knowing when to sleep and not push your character past the brink of exhaustion is also a big part of the Harvest Moon titles.

XSEEDFarming in Story of Seasons is much easier than past Harvest Moon titles.

After investing approximately 20 hours in Story of Seasons, and as someone who has played most of the main entries in the series, I’m finding it difficult to take care of my sprawling farm and its animals, as well as stop by the town every day to give my special someone an apricot. But does Story of Seasons really bring anything new to the series? Not really. Beyond a few additional features and the streamlining of certain aspects of farming functionality, my experience with Story of Seasons is comparable to my time with Harvest Moon 64 15 years ago. But as a fan of the series, I didn’t have an issue with this. This is the back to basics Harvest Moon game I’ve been waiting for.

The beginning of the game features a lengthy tutorial most Harvest Moon fans will find painfully boring (it lasts about three hours), but for those new to the franchise, its a necessity and should have been included in past Harvest Moon titles. I recall spending hours trying to figure out how to take care of my cow in Harvest Moon 64, and even later titles such as Harvest Moon: A Wonderful Life on the GameCube, had a steep learning curve.

The first few hours of Story of Seasons will feel like a slog for most players, especially those that have prior experience with the series, but at some point, likely around the three to four hour mark, everything begins to fall into place. Make no mistake though, Story of Seasons is a slow moving game, possibly the slowest Harvest Moon title I’ve ever played. The game requires a significant amount of patience, especially if you’re determined to woo one of the town’s many eligible bachelors or bachelorettes, and purchase high-end upgrades for your farm.

XSEEDCollecting resources is integral to upgrading your farm.

On the plus side, Story of Seasons does offer two difficulty modes (Normal and Seedling), so players looking for a quicker, lighter experience may want to opt for the game’s lower difficulty.

After building a character via a surprising number of customizable options (and completing the tutorial), you’re set loose on Oak Tree Town and its sprawling landscape. Despite the lengthy tutorial, the player is still tasked with figuring out a number of things about the game themselves.

For example, most structural upgrades to your farm require iron and bricks, which are a rare commodity at the beginning of Story of Seasons. The only way to uncover these items at first is by diving in lakes and rivers.

The game doesn’t tells you this and instead I was forced to look at guide online to learn the information. I ran into a similar situation when it came to learning recipes, participating in festivals, and even discovering when traders arrive from other regions.

Selling items in past Harvest Moon titles was as simple as dropping your produce into a box. In Story of Seasons you have to stop by the Trading Centre when an out of town trader is present, and sell them specific items. This means players will sometimes go multiple days before ever having any income. This makes increasing your bank account more difficult in Story of Seasons than in past Harvest Moon titles. Of course when more traders start showing up in town, this becomes less of an issue, but the lack of traders in the game’s first few months is frustrating.

XSEEDVisiting other player's farms is a fun but not necessary distraction to Story of Seasons' main game.

Managing your farm is also easier than ever before in Story of Seasons. Instead of watering, fertilizing and picking crops individually on a 3×3 grid, the player can hold down the action button and pick every crop in the area. Also, if you’re watering crops, you can continue walking around. The same functionality has been extended to other tools such as the scythe and the hoe, as well as pretty much every tool in the game.

Managing your crops and learning what building to create (make sure you build a kitchen early in the game for stamina regaining purposes) begins to become easier the more you play the game. Amusingly there are also special crops pulled from the Super Mario Bros. franchise such as Super Mushrooms and Fire Flowers.

Unlike past Harvest Moon games that were perhaps a little too ambitious in terms of their size, Story of Seasons opts for a smaller, tight knit community of characters. And a series’ mainstay continues in Story of Seasons as well – players are able to build special relationships with many of these characters, some that could potentially end in marriage and children.

The game also features a relatively simple online multiplayer mode allowing players to visit other farms online or open their farm up to other players. On the visual side of things Story of Seasons is impressive, opting for a cartoony look that still manages to maintain a level of realism. Unfortunately certain areas of the game’s world force Story of Seasons‘ framerate to drop a small amount. This isn’t a game ruining issue, but it’s still disappointing.

XSEED

The Harvest Moon series is appealing for the same reasons people enjoy the Animal Crossing franchise, only Marvelous’ titles task the player with more specific goals and a greater sense of purpose. But Story of Seasons definitely will not appeal to everyone.

It’s relatively simple, features no combat, doesn’t have a traditional role-playing character development system. It’s just you, the town’s people and your farm. Most players will set into a seemingly never-ending routine after a few hours of play, heading to their barn every morning, then the chicken coop, then to tend to their crops – creating a relaxing sense of monotony that is strangely enjoyable.

This repetition has always has been what the Harvest Moon series is about though, so if the above description doesn’t sound appealing, you definitely won’t find much to like in Story of Seasons.

However, longtime fans of Harvest Moon or those looking to reconnect with the series, Story of Seasons takes it back to the basics.

Privacy watchdog not yet satisfied with Bell’s about-face on ad tracking

The Office of the Privacy Commissioner says it is not yet satisfied with Bell’s commitment to seek customer consent before tracking cellphone use to deliver targeted online advertising.

The federal agency met Wednesday with the telecom giant, a day after the company said it would accept the commissioner’s recommendation to get explicit consent or opt-in before using private viewing patterns and sensitive personal information to create profiles that are sold to advertisers.

Bell Canada never issued a news release but Bell said in an email that it would “abide by the privacy commission’s decision, including the opt-in approach.”

Privacy commissioner spokeswoman Tobi Cohen said talks are continuing, but the commissioner is keeping open the option of pursuing the matter in Federal Court “if a solution cannot be reached to our satisfaction.”

“Suffice it to say that it would be premature to say that we have arrived at a solution on the issue of opt-in,” she said.

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Despite the commissioner’s efforts, the issue of Bell Canada tracking cellphone use remains unresolved until the CRTC rules on complaints filed by consumer groups.

Calling the practice an abuse of privacy, the Public Interest Advocacy Centre has filed a complaint with the Canadian Radio-television and Telecommunications Commission, arguing Bell has gone beyond its role as a provider of telecom services.

Executive director John Lawford said telecom legislation prohibits Bell from using confidential information to support a new business that secures revenues from selling to advertisers the interest profiles of its customers.

“I doubt the genuineness of (Bell’s) climb-down too,” he said after Bell signalled it would accept the commissioner’s recommendation. “I’m happy that they are, but it’s not the end of the story.”

Privacy commissioner Daniel Therrien had urged Bell to review its approach after releasing the results of an investigation prompted by an “unprecedented” 170 privacy complaints.

It determined Bell shouldn’t assume that customers are consenting to have vast amounts of their personal information tracked simply because they haven’t explicity objected.

‘A bubble in the making': U.S. dot-com boom was nothing compared to China’s tech stocks today

The world-beating surge in Chinese technology stocks is making the heady days of the dot-com bubble look tame by comparison.

The industry is leading gains in China’s US$6.9 trillion stock market, sending valuations to an average 220 times reported profits, the most expensive level among global peers. When the Nasdaq Composite Index peaked in March 2000, technology companies in the U.S. had a mean price-to-earnings ratio of 156.

Like the rise of the Internet two decades ago, China’s technology shares are being fueled by a compelling story: the ruling Communist Party is promoting the industry to wean Asia’s biggest economy from its reliance on heavy manufacturing and property development. In an echo of the late 1990s, Chinese stocks are also gaining support from lower interest rates, a boom in initial public offerings and an influx of money from novice investors.

The good news is the technology sector makes up a smaller portion of China’s equity market than it did in the U.S. 15 years ago, limiting the potential fallout from a selloff. The bad news is that any reversal in the industry will saddle individual investors with losses and risk putting an end to the Shanghai Composite Index’s rally to a seven-year high.

“Chinese technology stocks do resemble the dot-com bubble,” Vincent Chan, the Hong Kong-based head of China research at Credit Suisse Group AG, Switzerland’s second-biggest bank, said in an interview on April 2. “Given stocks fell 50 to 70 per cent when that bubble burst in 2000, these small-cap Chinese shares may face big corrections when this one deflates.”

JOHANNES EISELE/AFP/Getty ImagesTechnology companies have posted the biggest gains among Chinese IPOs during the past year, helped by a regulatory ceiling on valuations for new share sales.

Internet Plus

China’s government is boosting spending on science and technology as a faltering industrial sector drags down economic growth to the weakest pace in 25 years. In March, Premier Li Keqiang outlined an “Internet Plus” plan to link web companies with manufacturers. Authorities also plan to give foreign investors access to Shenzhen’s stock market, the hub for technology firms, through an exchange link with Hong Kong.

Among global technology companies with a market value of at least US$1 billion, all 50 of the top performers this year are from China. The sector has the highest valuations among 10 industry groups on mainland exchanges after the CSI 300 Technology Index climbed 69 per cent in 2015 through Tuesday, more than three times faster than the broader measure.

The CSI 300 technology gauge fell 2.2 per cent at the close, the most among all industries and its largest decline in almost two weeks. The broader index advanced 0.8 per cent.

Technology companies have posted the biggest gains among Chinese IPOs during the past year, helped by a regulatory ceiling on valuations for new share sales. Beijing Tianli Mobile Service Integration Co. is the top performer among 147 offerings during the period after surging 1,871 per cent from its offer price to trade at 379 times earnings.

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‘Extremely Expensive’

Valuations in China are now higher than those in the U.S. at the height of the dot-com bubble just about any way you slice them. The average Chinese technology stock has a price-to- earnings ratio 41 per cent above that of U.S. peers in 2000, while the median valuation is twice as expensive and the market capitalization-weighted average is 12 per cent higher, according to data compiled by Bloomberg.

“It’s a bubble in the making,” Teng Bingsheng, an associate dean at the Cheung Kong Graduate School of Business in Beijing, said in an interview on Tuesday. “Valuations are extremely expensive.”

China lacks some of the most extreme excesses of the dot-com era because of regulations that require any company seeking a listing on the nation’s biggest exchanges to be profitable.

Smaller Size

“High valuations don’t necessarily mean that they are unreasonable,” Gui Haoming, the Shanghai-based director of the wealth management research department at Shenwan Hongyuan Group Co., the nation’s second-biggest brokerage by market value, said on April 3. “Some of the valuations can be digested by high earnings growth.”

The smaller size of China’s technology sector also makes it less likely that a reversal in the rally will cause a broader tumble in equities. The industry accounts for 13 per cent of the country’s overall market capitalization, compared with about 31 per cent for the U.S. in 2000, data compiled by Bloomberg show. It took the Standard & Poor’s 500 Index about seven years to recover from the aftermath of the dot-com bubble. The Nasdaq Composite has yet to reclaim its high.

While Haitong Securities Co.’s Chen Ruiming says it’s hard to predict when China’s rally will end, he sees growing signs of speculative behaviour.

PETER PARKS/AFP/Getty ImagesChina’s government is boosting spending on science and technology as a faltering industrial sector drags down economic growth to the weakest pace in 25 years.

Fund Inflows

The use of margin debt to trade mainland shares has climbed to all-time highs, while investors are opening stock accounts at a record pace. More than two-thirds of new investors have never attended or graduated from high school, according to a survey by China’s Southwestern University of Finance and Economics.

Money has flowed into Chinese stocks in part because the central bank is cutting interest rates to support growth, something the U.S. Federal Reserve did in 1998 to revive confidence amid Russia’s sovereign debt default and the collapse of the hedge fund Long-Term Capital Management.

Like the dot-com bubble, China’s hi-tech boom is creating a new class of wealth — at least on paper. No less than 12 technology billionaires have been minted this year, according to the Bloomberg Billionaires Index. They include Beijing Tianli Mobile’s Chairman Qian Yongyao and He Ye, a co-founder of Shenzhen InfoTech Technologies Co. That stock has surged 274 per cent since the start of January and is valued at 2,628 times earnings.

“Many of these technology companies have bubble-type valuations as speculators take advantage of popular concepts to ramp up shares,” said Haitong’s Chen, a strategist in Shanghai. “Only a very small group, say 5 per cent or 10 per cent, will make it to become larger companies.”

–With assistance from Allen Wan in Shanghai.

Bloomberg.com

Apple Watch review: You’ll want one, but you don’t need one

I’m in a meeting with 14 people, in mid-sentence, when I feel a tap-tap-tap on my wrist. I stop talking, tilt my head, and whip my arm aggressively into view to see the source of the agitation. A second later, the small screen on my new Apple Watch beams to life with a very important message for me: Twitter has suggestions for people I should follow. A version of this happens dozens of times throughout the day — for messages, e-mails, activity achievements, tweets, and so much more. Wait a second. Isn’t the promise of the Apple Watch to help me stay in the moment, focused on the people around me and undisturbed by the mesmerizing void of my iPhone? So why do I suddenly feel so distracted?

Let’s back up. Any way you figure, the Apple Watch is an epic product release. It’s the company’s first new product category since the iPad and the first new product since the death of Steve Jobs. It was created almost entirely under the guidance of Chief Executive Officer Tim Cook, and it’s the first device from Apple that was designed — hardware and software — by Jony Ive. Apple has also sunk money into new retail experiences (led by left-field hire Angela Ahrendts, the former CEO of Burberry), and positioned the device as both the latest must-have gadget and a bona fide luxury item. The watch starts at $449 and climbs to $13,000 in Canada. To say it’s a major moment for the company would be an understatement.

No one is questioning Apple’s ability to mint money with its gadgets and services (see: US$178 billion in the company’s cash reserves), but the ambitions of the watch speak to Apple’s broader ambitions. With a possible entry into the auto market on the horizon, Apple’s success at getting into — and winning — a whole new category of product is kind of a big deal. Although analysts’ predictions for 2015 Apple Watch sales range from 8 million to 41 million, putting them in roughly Year One iPad range, no one even knows whether the thing is a good product.

Apple faces two huge challenges with the watch. It has to make a beautiful gadget, one that hews to the company’s history of groundbreaking design and technological innovation. For Apple, these are table stakes. But there’s more: Because it’s a brand-new product category, the company has to make a case for the very existence of not just its watch, but any watch. It has to persuade people that they need technology on their wrists. So far, the biggest question about wearables — there are already plenty of products on the market — is really: Who needs one?

Ready, set, go

The Apple Watch experience begins before you get one. It starts at an Apple Store, where you can opt to have a Apple salesperson give you a personal demonstration and set up your device. Because they aren’t at retail shops yet, I got an approximation of the experience: A company rep gave me a guided tour of the watch’s functions, set it up, and removed links from the stainless steel bracelet I chose. (Sadly, Apple didn’t make the 18-karat gold version available to reviewers.) Later, I picked up a leather loop, which I found more comfortable.

After a brief preview of the health functions during a walk through Central Park, I was off on my own, desperately hoping no one noticed the furious glances at my wrist and all the initial flicking, swiping, and scrolling that goes along with a first-time watch experience. Once alone, I could finally admire the device.

It is very much an Apple product: clean, sleek, remarkably solid

The hardware of the watch is beautiful in a surgical way. The little cube of metal and glass wouldn’t seem out of place in a futuristic lab or sci-fi movie. It is very much an Apple product: clean, sleek, remarkably solid. But as a piece of jewelry, it’s similar to other digital watches — including Casio’s iconic calculator watch, as several people pointed out to me. It also looks like other smartwatches on the market, such as Asus’s ZenWatch and Samsung’s Gear Live, in particular. (Both run Google’s Android Wear.) Like most things we adorn ourselves with, you have to love the way this looks on you. Apple’s design doesn’t compete with Rolex, Omega, or Breitling for sheer style, but the more I wore the inconspicuous thing, the more I liked it on my wrist.

The looks are just the beginning. It’s loaded with cutting-edge technology. The tiny Retina display has a new form of pressure sensitivity Apple calls Force Touch, which responds not only to where you touch the screen, but how hard you press. The watch notifies you with extremely nuanced vibrations via its Taptic Engine, which can produce strikingly realistic sensations, almost like a bell tapping on your wrist. Perhaps most important, the watch’s “digital crown” helps you navigate long menus, set options, and zoom in and out of maps and photos. And all the speedy software and motion tracking is controlled by the company’s new S1 processor, which packs in multiple components on a single chip. It’s an impressive package. After using it, I had no question that the Apple Watch is the most advanced piece of wearable technology you can buy today.

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The Apple Watch as a watch

For starters, the Apple Watch does function as a watch, one which has literally millions of different dial combinations. The timekeeping that Apple is using is so precise, it’s within 50 milliseconds of the global time standard known as Coordinated Universal Time. Apple has had some fun with this: Because every Apple Watch is perfectly in sync with the others, if you’re in a room full of Mickey Mouse faces, Mickey will tap his foot in perfect sync on every watch. It’s incredibly cool.

Apple allows you customize the face of the watch, not only with tapping Mickey and other unique designs, but with little widgets it’s calling “Complications” (in a nod to classic horological terms). These items that dot the edges of the display can tell the temperature outside, signal your next calendar appointment, show the phases of the moon, and so on. In spite of the name, these Complications are one of the most useful parts of the watch, offering the kind of information that really does elevate the device beyond a simple timepiece.

(Actually, seeing these highly useful bits of information on the tiny screen of the watch made me realize we should have had them on the iPhone for a long time. I asked Steve Jobs in 2010 why the company hadn’t included more “glanceable” information on the iPhone and iPad, such as the widgets Apple had pioneered for the desktop. He told me they were just getting started and that “anything” was possible. Is this watch the thing I was waiting for?)

But what about the watch as a timepiece? I’ve found the experience somewhat inferior to that with a conventional wristwatch, due to one small issue. The Apple Watch activates its screen only when it thinks you’re looking at it. Sometimes a subtle twist of your wrist will do, but sometimes it takes … more. Many times while using the watch, I had to swing my wrist in an exaggerated upward motion to bring the display to life. Think about the way people normally look at their watches, then make it twice as aggressive. As a normal watch-wearer, the idea that I might look down at my wrist and not see the time was annoying.

David Paul Morris/Bloomberg

Sometimes, even if you do the arm-swing motion, the screen doesn’t turn on. Sometimes it turns on, then off. Sometimes you tap it and nothing happens.

For all the noise Apple has made about what a remarkable time-telling device its watch is, I found it lacking for this reason alone. That doesn’t mean it doesn’t keep excellent time — it just doesn’t offer the consistency of a traditional timepiece.

In use

Perhaps one of the most difficult things to wrap your head around is the way the watch extends — and often replicates — the functions of your phone. You can receive and send text messages on the device, for instance, but doing so on the small screen with your hand cocked in the appropriate position isn’t ideal if you’re working on something longer than a one-line reply. And although it connects deeply with the phone, the watch also has a completely new way of doing things. Because navigation is split between swipes of your finger, scrolling with the crown, and taps of varying pressure, it takes a while to get oriented. One of the crucial pain points I experienced was this constant, subtle battle with myself over whether to engage a notification on my watch or handle it on my phone.

The notification scheme is a little maddening at first. Apple sends a push notification every time you get a corporate e-mail, personal e-mail, direct message on Twitter, message on Facebook, and for interactions in countless other services. Each of these notifications pings the watch. For every message, there is a sound, a vibration, or both. (You can mute them.) If you’re a busy person who communicates constantly on your phone, this gets overwhelming fast. I found myself turning off notifications from entire apps, which seems to defeat the purpose of the watch in the first place. Mercifully, Apple has included a way to clear all those notifications: Just Force Touch on the list.

Eventually, I figured out that getting the watch to really work for you requires work. I pruned a list of VIP contacts in my mail app to make e-mail notifications more tolerable, I killed several app notifications that I found to be consistently interruptive, and I streamlined my list of applications to those that seemed truly vital to my day.

David Paul Morris/BloombergThe watch functions a lot like a small iPhone.

What’s odd is that in many ways, the watch functions a lot like a small iPhone. Though there are new ways of getting to your apps and interacting with them, much of the phone’s model interface has carried over. So you end up in a lot of situations where you not only have to take action, you have to decide where to take action.

Still, as the days wore on, I did find some balance between the two devices. Checking text messages and e-mails by quickly glancing at the watch saved me some time, and it was certainly helpful when I was deeply engaged in an important activity. My 14-month-old daughter, who is completely obsessed with the iPhones in our house, didn’t seem to notice that I was getting an update on my wrist. Score!

As I mentioned, the watch also has a few fresh tricks. Within Apple’s new suite of functions, I found both hits and misses.

On the plus side is Apple’s new Activity app, which presents you with three basic sets of achievements to hit every day — and makes hitting those goals almost frictionless. One metric it watches is how many calories you’re burning every day by moving, a number that can be changed, depending on your skill level. A second is exercise, which is any period in which you’re engaged in strenuous activity that keeps your heart rate up. The third is a notification for standing, to make sure you get up on your feet at least once every hour.

Eric Risberg/AP PhotoApple CEO Tim Cook explains the health features of the new Apple Watch during an Apple event on Monday, March 9, 2015

Setup for the health features was completely painless, and I immediately started seeing the results of being made so aware of my activity levels. I wanted to walk more, was excited when I got a brisk jog through a train station, and yes, I felt better because I was standing up during the day on a regular basis. I have no idea if this will have any lasting impact on my health, but I think Apple’s beautiful and frictionless approach to teaching people about exercise habits is a leap in the right direction.

There are rough spots, too. Apple is hoping to reinvent how we communicate with friends and family by adding three new methods of messaging, not all of which work. The first allows you to essentially “sample” your heartbeat and send it off. This seems to have limited use; once you’ve gotten your first heartbeat, the novelty wears off pretty quickly. Also, I don’t know who, besides my wife, I would use this for. It’s weirdly intimate. The second is called Sketch, which allows you to draw or tap some symbols on your watch and send them to another Apple Watch user. This seems like a great idea until you realize how little space you have to work with. I sent a lot of weird-looking faces with no deeper meaning during my testing period. I did find hyper-discreet ways of using Digital Touch, however, such as a lone question mark when there was an unanswered question between me and the sender. Was it better than a texted question mark? Well, it wiggled more.

The third new message concept is 3D, animated emojis. At first glance, that sounds pretty great, until you realize that the emojis are really more like neutered, animated GIFs from the late ’90s Internet. What really struck me here was deep deja vu over an earlier Apple attempt to change the way we communicate with people: Ping. Ping was a “social network for music” that the company imagined would be the way that people wanted to share what they were listening to. In fact, people wanted to use other services, in thousands of different ways, to do that — ways that were much more natural and personal than the sterile option Apple provided. That’s how I feel about these animated icons you can send. We already have emojis, and Snapchat, and Instagram, and Periscope, and GroupMe, and Twitter, and Facebook, and WeChat, and on and on. There’s something forced and inauthentic about Apple in this space; it feels like a throwaway, a “Hey, we do that, too” move.

I’m split on one feature Apple includes on the watch, something called Glances. Glances act like little cards hiding underneath your watch that can give you a glimpse of information from first- and third-party apps. Twitter will display the latest tweet in your timeline, there’s a controller for your music app, or you can see a detailed description of your next calendar appointment. In theory, these screens should be wildly useful for quick access to information. In practice, I found them to be clunky and overwhelmingly useless. What hinders many of the experiences is that the watch must pull information from the phone, leaving you with a spinning wheel that indicates data loading, rather than a quick hit of info.

Distractions

Yes, all these new functions, notifications, and tapping do make the Apple Watch very distracting. In some ways, it can be more distracting than your iPhone, and checking it can feel more offensive to people around you than pulling out your phone. The watch wants and needs you now, as its insistent taps make painfully clear. And to see what the Apple Watch wants and needs, you must physically move it into view. If while you’re talking to someone, you check your regular watch, it can feel as if you’re sending a not-so-subtle “let’s wrap this up” message. With the Apple Watch, factoring in the animated wrist-whip and the length of some of the notifications you receive, it’s downright rude.

Eventually I realized that this problem wasn’t about fixing the iPhone or fixing the watch. It’s not about making notifications more subtle or less frequent, or located in a place that doesn’t require a shift in your gaze. The thing that needs fixing is our sense of when — and when not — to move ourselves out of a moment so we can look at our devices. Strangely, it comes down to common courtesy and patience, more than a magical piece of jewelry from Jony Ive and Co.

Eric Risberg/AP PhotoApple Watch's on display during the Apple event in March.

The Apple Watch can certainly make you a worse dinner guest. But it can also make you a slightly better one. The difference is whether or not you’re willing to think about what really matters vs. what seems to matter.

The watch is not life-changing. It is, however, excellent. Apple will sell millions of these devices, and many people will love and obsess over them. It is a wonderful component of a big ecosystem that the company has carefully built over many years. It is more seamless and simple than any of its counterparts in the marketplace. It is, without question, the best smartwatch in the world.

So Apple has succeeded in its first big task with its watch. It made something that lives up to the company’s reputation as an innovator and raised the bar for a whole new class of devices. Its second task — making me feel that I need this thing on my wrist every day — well, I’m not quite sure it’s there yet. It’s still another screen, another distraction, another way to disconnect, as much as it is the opposite. The Apple Watch is cool, it’s beautiful, it’s powerful, and it’s easy to use. But it’s not essential. Not yet.

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