•Around the Industry:
Commentary: Time for a real Internet highway
Australian ISP settles with music industry; smugness ensues
Incumbents to Oregon: We don't want you; Oregon: Cool, we'll just build the biggest Wifi network
Connectivity is a Utility
LLU falters in UK
eBay: Hey, this VoIP thing is gonna cost us money!
•SecurityBits:
Security Patch Watch: Sun Java, Veritas NetBackup, BEA WebLogic
Nigeria teams up with Microsoft to fight 419 scammers (stop laughing)
•TidBytes:
Sony Ericsson to launch a video handset
PS3 costs scaring away developers
Dumber people can run Linux
•More news from around the industry, SecurityBits, and interesting Tidbytes inside!... .

Around The Industry:
•Commentary: Time for a real Internet highway:
Harry Fuller, exec editor at CNet News. writes: "The recent tiff between Level 3 Communications and Cogent Communications caused a small digital quake. This was not due to a natural disaster or even to hackers but rather to business considerations and competition. Didn't you feel like shouting? 'Hey, it's not your Internet--no matter what company you are.' Two questions remain: Who owns the Internet? Is competition the best or only way to determine that ownership?"
•Australian ISP settles with music industry; smugness ensues:
The case between the Australian music industry's antipiracy unit and ISP Swiftel has been settled out of court. Music Industry Piracy Investigations had alleged that Swiftel's employees and customers created a BitTorrent file-sharing hub to host thousands of pirated sound and video recordings. MIPI's general manager would not reveal if a financial arrangement was involved, saying: "Let me put it this way--the music industry would never have settled the case unless it was on terms that suited it."
•Incumbents to Oregon: We don't want you; Oregon: Cool, we'll just build the biggest Wifi network:
Oregon's lonely terrain is served by what is billed as the world's largest hotspot, a WiFi cloud that stretches over 700 sq mi. Large providers such as local telco Qwest see little profit potential in such areas, so wireless entrepreneur Fred Ziari drew no resistance for his wireless network, enabling him to quickly build the $5 million cloud at his own expense. While his service is free to the general public, Ziari is recovering the investment through contracts with more than 30 city and county agencies, as well as big farms.
•Connectivity is a Utility:
Om Malik points to an interesting commentary from Bob Frankston: "If I'm traveling through your town you don't get any direct benefit except as part of a society that facilitates commerce. It's a public good. Even when people recognize the value of connectivity they try to fit it into the old mold. They sell the Internet as a service rather than as a basic resource. It's like putting in road systems by taxing each home according to the amount of road it chooses to buy. Not only does this leave us with fragments of a system, the pricing is based on the value of getting the car out of the driveway and no further. Pedestrians and less expensive vehicles are priced out of this marketplace."
•LLU falters in UK:
There's yet more bad news for telecoms operators keen to invest in providing their own broadband services direct to end users. The Office of the Telecoms Adjudicator (OTA) has flagged up yet more problems with local loop unbundling (LLU) in the UK. In a bid to restore faith in LLU the OTA has received assurances from the head of BT's new equal access network group - BT Openreach - that these problems are of the "highest priority". Yeah, sure.
•eBay: Hey, this VoIP thing is gonna cost us money!:
An idea that got kicked around when eBay bought Skype and all the talk of "synergies" started was that eBay nor Skype seemed to understand everything that was involved in running a phone company. Since VoIP does sort of the same thing as a phone line, it's going to be regulated like one. For VoIP providers of any flavor, this could mean significant changes in technology to accomodate wiretaps and E911, and the increased costs to accompany them. While eBay may have thought it could circumvent phone companies by buying Skype, it's a little harder to get around the government, particularly when there's an opportunity for taxes.
•Provisioning problems provoke law change:
A number of customers claimed Telecom is giving priority to provisioning broadband connections through its retail ISP Xtra ahead of connections through its wholesale service. The caretaker Labor government says it will act on the issue if it is able to form a government. "The previous government recognises there is an issue and that is one of the reasons for initiating the Telecommunications Act review which is aimed at providing a set of tools to deal with difficulties encountered with the implementation of a regulated UBS service. Some of these measures include the ability for the commission to set and enforce the terms of any determinations, including provisions for penalties."
•BSkyB plots Easynet takeover to head off its cable competitors:
British Sky Broadcasting is poised to enter the high-speed Internet market with the £150m takeover of the broadband supplier Easynet. Sources close to the two companies said they were in "serious discussions" and the takeover could be announced as soon as this week, although they cautioned that it was by no means a "done deal". BSkyB has made no secret of its desire to move into the rapidly growing broadband telephony market, as it seeks to fend off increasing competition from its cable TV rivals.
•Yahoo leaks AOL interest to drive up the price:
Mike at TechDirt comments: "It appears that Yahoo is joining the process of thinking about a bid on AOL. If you read between the lines, it sounds like Yahoo put in a call to see if AOL is really up for bid, and then someone quickly leaked that info making it sound like Yahoo was really bidding. So, of course, if either MS or Google is serious about bidding on AOL, the price might have just gone up a bit. It seems like this is the obligatory check by Yahoo just to see what's going on, rather than any real interest at this stage."
•Verizon One Cordless Phone Integrates DSL modem and 802.11g Router:
Verizon rolled out a 5.8 Ghz cordless phone featuring a color-touch screen, DSL modem, 802.11g wireless router and other advanced features. Verizon One is described as a "communications command center" designed to help consumers manage all of their communications needs and devices. Customers who order Verizon One when they sign up for a one-year DSL contract will receive an immediate $50 discount off of the $199.95 retail price.
•Sign up for DSL, get a Nokia 770:
According to Engadget, if you're looking to get your hands on a Nokia 770, just hop a plane and sign up for DSL in Spain, because apparently Wanadoo is planning to bundle the internet tablet with new DSL service there. No specifics yet on what you’ve got to spend to get a “free” 770, but they’re promising to reveal all the details soon. Nokia says that device will be on market sometime later this year, though has not given any specific dates.
•BT simplifies broadband package structure; snuggles with Yahoo:
BT has announced a deepening of its relationship with Yahoo! as it simplified its broadband packages into four easy options. Each of these packages will offer new and existing customers a premium Yahoo! broadband experience, enhanced security features and the option of cheap internet telephony. The packages will come into effect from October 24. Previously, the premium Yahoo! Broadband experience was available only on BT’s most expensive broadband packages.

SecurityBits:
•Security Patch Watch: Sun Java, Veritas NetBackup, BEA WebLogic:
Sun has released patches for an information disclosure security flaw in certain releases of the Sun Java System Application Server. Secunia rates the issue as "moderately critical". Symantec shipped an update to its Veritas NetBackup to correct a "high risk" code execution vulnerability. BEA Systems WebLogic app server has undergone a major security makeover to fix 24 vulnerabilities affecting enterprise customers. The flaws, which carry a "moderately critical" rating, affect the BEA WebLogic Server 6.x through 9.x.
•Nigeria teams up with Microsoft to fight 419 scammers (stop laughing):
Microsoft is to work with the Nigerian government to help track down and prosecute criminals involved in 419 email scams and other internet-based fraud originating from the African country. Microsoft will provide technical expertise, training and other security resources to Nigeria's Economic and Financial Crimes Commission (EFCC), which is tasked with fighting cyber crime in the country.
•MS confirms Win2K worm hole patch is buggy:
MS's patch for a worm-vulnerable security flaw in Win2000 is causing problems for some users. MS confirmed several "isolated deployment issues" with the MS05-051 update, but insisted that the problems should not stop anyone from applying the critical patch. Customers have reported that the Windows Installer service and the Windows Firewall Service did not start after the patch was deployed.

Hardware, Software, and other TidBytes:
•Sony Ericsson to launch a video handset
•PS3 costs scaring away developers
•Dumber people can run Linux
•Microsoft releases update to Windows XP Media Center
•OpenOffice.org Releases RC3 of Version 2.0
•Hollywood pursues fake film sites
•D-Link, Pure Networks Ally On Home Networks