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Friday, April 10, 2009

Pirates Demand 2M Dollars for Captain Release - Breaking news updates

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As per breaking news updates, Pirates holding an American ship captain hostage in a lifeboat off the coast of East Africa on Friday demanded $2 million for his release, maritime officials said, hours after the captain attempted a daring escape from his captors.

The American, Richard Phillips, jumped overboard into shark-infested waters but was quickly recaptured and brought back onto the lifeboat, a U.S. official said. In a statement released after the incident, the owner of Phillips' ship, the Maersk Alabama, said that Phillips remained in contact with U.S. warships on the scene and appeared unharmed.

As U.S. officials continued to negotiate with the pirates for Phillips' release, the escape attempt was a sign that veteran captain was still in fighting shape after two days in captivity aboard a 28-foot lifeboat some 350 miles off the coast of Somalia.

In a separate incident involving another ship hijacked in the notoriously dangerous waters off Somalia, the French government said its navy on Friday freed a yacht that was captured over the weekend, but that one hostage had died in a gun battle between pirates and French special forces. Four other hostages were rescued unharmed. French forces killed two pirates and captured three others.

There was no sign the Pentagon was preparing to take such dramatic steps in the standoff involving Phillips, whose U.S.-flagged container ship was hijacked Wednesday in the first capture of a U.S. vessel in recent memory. The 20-man crew of the Alabama, which was carrying food aid to the Kenyan port of Mombasa, regained control of the ship from the four pirates, who took Phillips hostage.

With two U.S. naval vessels watching the situation - the USS Bainbridge, a guided missile destroyer, and the USS Halyburton, a guided missile frigate - the Pentagon was aiming for show of might that could force the pirates' hand. But U.S. officials denied reports in the Somali news media that the pirates were planning a confrontation by sending a flotilla of stolen vessels, including the hostages aboard, as their own reinforcements.

"I don't believe any (pirate ships) have been observed anywhere nearby the area in which we are operating right now. And we do have some sense of where they are," said the official, who has been following the situation closely but asked not to be further identified due to the delicacy of the situation.

He said a number of Somali "mother ships" were off the Somali coast, some with hijacked foreign vessels in tow. But none was making any attempt to intervene between the U.S. Navy and the lifeboat with the hostage and four pirates aboard.

The lifeboat, which has enough food and water for 10 days and a range of about 100 miles, was believed to be moving slowly toward the coastline of Somalia. But the official said the U.S. military had "clearly no intention to allow it go anywhere near shore or allow it closer to another vessel."

Still, some pirates appeared to be spoiling for a fight. Residents in Galkaayo, a town that serves as a base for pirate groups, said 20 pirates set off by road for the coastal town of Eyl in a convoy of 4-wheel-drive vehicles late on Friday night.

"We have to defend ourselves," said a pirate who joined the expedition, who identified himself only as Jamal. "We have to get back our guys. We have to fight to the end."

Experts said it was doubtful, however, that the pirates would attempt a dramatic confrontation with U.S. warships that could result in casualties. Maritime officials said their best option now was to give up Phillips in exchange for being allowed to return to Somalia.

"That's how it will end," predicted Andrew Mwangura, the director of the East African Seafarers' Assistance Program, who tracks piracy from Mombasa. "They have no bargaining power now. They don't have a ship, they don't have cargo, and they are surrounded."

The crew of the Alabama was reportedly sailing to Mombasa, its original destination, and was expected to arrive Saturday night, Mwangura said.

Display Ads - Microdoft, Yahoo Common Grounds

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SAN FRANCISCO (Dow Jones)--As per breaking news, Microsoft Corp. (MSFT) and Yahoo Inc. (YHOO) are at the table to discuss - yet again - a combination of their Internet businesses. A new twist: The possibility that Yahoo take over Microsoft's display advertising business.

On Friday, a person familiar with the situation said Microsoft Chief Executive Steve Ballmer and Yahoo CEO Carol Bartz had met to discuss potential partnership structures. A range of ideas were being discussed, though a full acquisition of Sunnyvale, Calif.-based Yahoo is not among them, the person said.

An intriguing aspect of the new talks, which stem from discussions that started last year, is the concept of Redmond, Wash.-based Microsoft turning over its some of its display advertising operations to Yahoo, the leader in the Internet billboard market. This would likely be part of a broader collaboration that includes the much-larger search advertising market, where Yahoo and Microsoft trail far behind rival Google Inc. (GOOG).

The new wrinkle is tacit recognition the two companies have far more to gain by joining forces to battle Google than they stand to give up in terms of independence or control. Microsoft has a tiny share of both search and display advertising, but has the resources, technical capacity and will to take on Google because the company's ubiquitous software is the way many users will access Internet search.

And despite all its problems, Yahoo has an Internet brand that few companies can hope to match. It is still the largest player in the display advertising market.

Whether the two sides can cut a deal remains an open question. Since Microsoft's $47.5 billion unsolicited takeover offer collapsed last May, the relationship between the two companies has been guarded at best. Relations have thawed since co-founder Jerry Yang surrendered stewardship of Yahoo to Bartz in January. Investors, many of whom feel taking on Google individually is near impossible, are pushing the companies to collaborate.

Andrew Frank, an analyst at research firm Gartner, said a partnership between the companies would allow them to get the best of each others' businesses and technologies, while preventing needless duplication and competition. Some disciplines, like advertising sales, would naturally fall to Yahoo. Microsoft could better focus on its strengths like helping Internet publishers manage ad inventory.

Of course, a display deal wouldn't be a silver bullet for either company. Display advertising is less than a fifth of the $23.6 billion market for Internet advertising in the U.S. The big money is made in search advertising and the lion's share of it is being made by Google.

Still, a display deal may pave the way for a larger collaborative relationship that resolves both companies' thorny search problems.

Reward increased upto 250k Dollars by AT&T

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AT&T has increased its reward upto $250,000 for information that will help law enforcement arrest and convict vandals who cut the company's fiber-optic cables in San Jose, Calif., on Thursday, the company said in its Twitter feed.

On Thursday, AT&T said it would offer a $100,000 reward for anyone who has information that could lead to the arrest or conviction of anyone involved in cutting the fiber.

Thousands of wireless, Internet, and landline phone customers were without service beginning at about 1:30 a.m. PDT on Thursday after vandals had cut four fiber-optic cables owned by AT&T. A cable in San Carlos, Calif., owned by Sprint Nextel, had also been severed about two later. But Sprint spokeswoman Crystal Davis said the company was able to reroute most of that traffic onto another fiber link and for the most part, service was not disrupted.

Wireless customers from almost every carrier were also without service, because AT&T's network is used to connect cell towers back to these carriers' respective national networks. Officials also said that residents in the San Jose/Santa Clara region were without emergency 911 service for much of the day.

AT&T said early Friday morning that service had been restored to all of its customers.

San Jose Police Sgt. Ronnie Lopez said that the fiber cut appeared to be deliberate and the police department is treating it as a felony act of vandalism. The FBI has also been briefed on the case, although Lopez said that for now local officials are handling the investigation.