On November 7, a 19 year old Dutch cracker calling himself Dmitri breached the security of Microsoft's Web servers - for the second time in a week. His first break-in was only a few days after the infamous hack that resulted in Windows source code being stolen [see Nov. 06], when he left text files all over one of Microsoft's Web sites. Microsoft blamed the problem on an outdated security file on one server and vowed to update all its software. But Dmitri broke in again five days later and left more text files, changed the content of several sites, and downloaded an encrypted file he claims is filled with employee passwords. Microsoft has yet to make any comment about the second attack beyond claiming that the server is retired, but Dmitri has been very vocal about it and blames the entire thing on lazy Microsoft engineers who never followed up on their promise to update the servers.
ALSO SEE: Wired News, The Standard, WinInfo

As is now tradition, Bill Gates on November 12 stood before a crowd of some 12,000 people at the MGM Grand hotel in Las Vegas to deliver the first keynote address for Fall Comdex. In his speech, the washed-up corporate figurehead displayed the latest and greatest software and devices from Microsoft's R&D department, 90% of which will never see the light of day again. The speech (followed by a lengthy presentation) focused on distributed computing and the future of mobile Internet access. Gates insisted that the future of the desktop PC is still very solid, despite the advances made by handhelds, Internet-enabled phones and other portable computing devices.
His presentation then focused on every kind of device except the desktop PC - from Microsoft's X-Box game console to portable phones and car radios that run Windows CE. Gates also displayed a new plaything called the 'tablet PC', an expensive device that looks similar to a laptop computer with no keyboard and no clear purpose. (A device like that would surely sink the portable market and _guarantee_ that nothing ever replaces his beloved desktop computer.) Gates also used the keynote to update progress reports on future releases of Office and VisualStudio.NET - the successor to Microsoft's software development tools that will lock developers into using proprietary Internet extensions [see Jul. 10].
ALSO SEE: C|Net, The Register, C|Net, C|Net, InfoWorld, C|Net

Now only weeks after releasing the IE 5.5 upgrade, Microsoft is looking for people to beta test Internet Explorer version 6. According to sources who have already seen the developing product, IE 6 will mirror the path taken by MSN Explorer - integration with other Microsoft products like MediaPlayer (better sell your RealNetworks stock now), and links to Microsoft's forthcoming .NET services. The version of Outlook Express being developed in conjunction with IE 6 is rumored to have new levels of viral attachment protection - although the best form of virus protection is still to completely abstain from unsafe activity like running IE at all. To keep the lawyers happy, IE6 will also be an integrated component of the next Windows release, currently being called 'Whistler'. To better integrate with the proprietary anti-competitive .NET platform, IE6 will add several unspecified functions to the XML and DHTML 'standards' that are sure to break any non-Microsoft browsers.
ALSO SEE: WinInfo, The Register

Since Microsoft went public in 1986, its shareholders have never publicly raised any serious questions concerning the company's decisions or its behavior. But this year at the annual shareholders meeting, two MSFT investors presented the first shareholders resolutions in the company's history. The first proposal, submitted by a group known as Responsible Wealth, called for Microsoft to disclose what political campaigns and lobbyist groups receive financial contributions from the company. The second resolution, sponsored by Harrington Investments, would have required Microsoft to guarantee that its increasing activity in China doesn't result in human rights abuse or environmental damage. Unfortunately for political observers and China's school-age Windows programmers, both proposals were shot down by the majority of shareholders - just as the board had asked.
ALSO SEE: InfoWorld, The Register

Responding to a flood of spam complaints, the Mail Abuse Prevention System (MAPS) has added at least six MSN e-mail servers to its Relay Spam Stopper (RSS) list. According to MAPS, the servers in question are open relays (used to bounce a message and conceal the identity of the sender) that can be accessed by anyone, and also happen to be super high-capacity - perfect for sending out a few hundred thousand unauthorized junk e-mail messages. The RSS list is used by thousands of mail providers to block relayed messages, and is separate from the MAPS BlackHole list that MSN was added to for a while several years ago [see Jun. 22 '98]. MSN has yet to comment about the block, but according to MAPS the company is aware of the listing and knows which servers are at fault. MSN has redirected all customer complaints about the e-mail blockage to MAPS.
ALSO SEE: InternetNews

The federal judge who two months ago ordered Microsoft to pay Bristol Technology $1 million in repartition for lost business [see Sep. 04] has now ruled that the software giant must also repay Bristol $3.7 million in legal fees. Bristol had originally asked for $6 million in fees plus a judgment of $263 million, but the combined $4.7 million sum it is getting now far outweighs the $1 amount originally awarded by a jury in July 1999.
ALSO SEE: C|Net, The Standard

Preparing for the launch of its X-Box game console this time next year, Microsoft on November 11 unveiled DirectX 8, the latest iteration of the company's multimedia and gaming API. According to a Microsoft statement, DX8 offers improved graphics, improved scalability (runs on Win CE and 2K), and support for inferior Ms TV technology.
According to rumors, Microsoft is in talks with Australia's News Corp. about investing into that company's satellite communications unit. The sources say Microsoft is trying to pay about $1 billion for a 3.5 percent stake in the SkyGlobal satellite unit, which has a large presence in every area of the world (except the US). SkyGlobal companies include Europe's BSkyB, Star TV and SkyPerfecTV in Japan.

High-speed MSN: Truth in advertising?
MS audit cripples city
Microsoft, HP play politics
Microsoft Loses Disability Case
Whistler to include 'block unsigned apps' mode
MS-Symbian: The mobile wars are on
M$ charges students who don't use its software
Es su casa Microsoft's casa?