Cludge writes "ZDNet has a story (and several related articles) about how Symantec has discovered evidence of an all-Mac based botnet that is actively involved in a DOS attack. Apparently, security on the exploited Macs (call them iBots?) was compromised when unwary users bit-torrented pirated copies of iWork 09 and Photoshop CS4 that contained malware. From the article: 'They describe this as the "first real attempt to create a Mac botnet" and note that the zombie Macs are already being used for nefarious purposes.'"

Afforess writes "A recent closer look at the oft-skimmed EULA agreement for iTunes has an interesting paragraph in it, Gizmodo reports. 'You also agree that you will not use these products for any purposes prohibited by United States law, including, without limitation, the development, design, manufacture or production of missiles, or nuclear, chemical or biological weapons.' Although humorous, some readers suggested that this may be a defense measure to previously discussed price changes in the iTunes music store."

snydeq writes "Despite the productivity promises of Apple's forthcoming 3.0 firmware update, jailbreaking should continue to push the iPhone's productivity envelope, as users increasingly demand the Holy Grail of smartphone power use: applications that run in the background, InfoWorld reports. Copy and paste, video recording and streaming, Internet tethering, and content search are just a few of the features over which iPhone users have sought to jailbreak their devices — a practice Apple itself has done little to crack down on. Jailbreak apps circumvent hardware and software restrictions that Apple says ensure a consistent, responsive user interface and optimal battery endurance. In particular, jailbroken phones can run apps in the background, a capability Apple reserves for its own apps but prohibits in third-party programs. Jay Freeman, creator of the Cydia iPhone installer and Cydia Store, however, believes a free-market approach is the best way to satisfy power users' demands for features without compromising the performance of their iPhones. And given Apple's App Store overcrowding, it seems likely that jailbroken phones and app venues like Cydia Store will continue to be popular with iPhone customers and developers, even after the 3.0 firmware ships."

Hodejo1 writes "Steve Jobs vowed weeks ago that when iTunes shifted to a tiered price structure in April, older tracks priced at $0.69 would outnumber the contemporary hits that are rising to $1.29. Today, several weeks later, iTunes made the transition. While the $1.29 tracks are immediately visible, locating cheaper tracks is proving to be an exercise in futility. With the exception of 48 songs that Apple has placed on the iTunes main page, $0.69 downloads are a scarce commodity. MP3 Newswire tried to methodically drill down to unearth more of them only to find: 1) A download like Heart's 34-year-old song Barracuda went up to $1.29, not down. 2) Obscure '90s Brit pop and '50s rockabilly artists — those most likely to benefit from a price drop — remained at $0.99. 3) Collected tracks from a cross-section of 1920s, '30s, and '40s artists all remained at $0.99. Finally, MP3 Newswire called up tracks in the public domain from an artist named Ada Jones who first recorded in 1893 on Edison cylinder technology. The price on all of the century-old, public-domain tracks remained at $0.99. (The same tracks are available for free on archive.org.) The scarcity of lower-priced tracks may reflect the fact that the labels themselves decide which price tier they want to pursue for a given artist; and they are mostly ignoring the lower tier. Meanwhile, Amazon's UK site has decided to counter-promote their service by dropping prices on select tracks to 29 pence ($0.42)."

Kelson writes "The W3C Widget specification is running into a problem: Apple claims a patent on automatic updates and is unwilling to license it royalty-free in the event that it impacts the spec. The W3C is investigating to determine whether the spec includes anything covered by the patent, and decide what to do."

Ponca City, We love you writes "What did the Obamas give Queen Elizabeth II on Wednesday when they arrived at Buckingham Palace? An Obama aide reported the queen was given an iPod loaded with video and photos of her 2007 trip to the United States, as well as songs and accessories. She also received a rare songbook signed by the composer Richard Rodgers. The gift issue had come up after Prime Minister Gordon Brown visited the White House last month. Mr. Brown gave Mr. Obama a pen holder carved from the timber of an anti-slave ship, receiving in return a DVD box set of American movies, igniting a torrent of criticism in the British press. According to news reports, the queen gave the Obamas a silver-framed signed photograph — a gift she gives to all visiting dignitaries."

Harry writes "Microsoft's new Windows ad, with shopper Lauren buying a cheap 17-inch HP laptop instead of a $2,800 MacBook Pro, has unleashed the whole 'Are Macs Expensive?' debate again. I'm diving in with a pretty exhaustive comparison of the MacBook Pro against machines from Dell, HP, Lenovo, and Sony that were as comparably configured as I could manage. The conclusion: High-end laptops tend to carry high-end prices, whether their operating system hails from Cupertino or Redmond. And the MacBook Pro wasn't the priciest of the systems I compared." We looked at this question, not in as much depth, a couple of years back.

CNet is reporting that a free Skype client will finally be landing on the iPhone this week. Unfortunately some are saying that it seems many of the "critical" pieces of functionality are still missing. While the Skype engineers claim their native client will offer better audio quality (because there is no need to route through another server and transcode audio) they are still missing text messaging, file transfers, and integrated voice mail. Since the iPhone does not allow for multiple programs running concurrently, many are expecting existing multi-function apps like Fring and NimBuzz to continue their reign at the top.

An anonymous reader writes "Zen and the Art of Programming published an article about MacRuby's new experimental 0.5 branch (project blog entry here). According to the included benchmarks, Apple's version of Ruby could already, at this early stage of its development, be about three times as fast as the fastest Ruby implementation available elsewhere."

CBRcrash writes "Apparently, if iPhone users decide that they want a refund for an app (users can get a refund within 90 days, according to Apple policy), Apple requires that developers give back the money they received from the sale. But, here's the kicker: Apple will refund the full amount to the user and says that it has the right to keep its commission. So, the developer not only has to return the money for the sale, but also has to reimburse Apple for its commission."

Engadget is reporting that the iPhone 3G is finally available contract-free if you are willing to pay a much higher premium. Without a contract consumers are looking at $599 for an 8GB model and $699 for the 16GB. AT&T has the added restriction that you must be an existing AT&T customer, but Apple (retail stores only, sorry) will sell one to anyone willing to pay the premium. This change brings the model much closer to the prevailing European model where phones are sold as hardware and the plans are handled completely separately.

adamengst writes "If you've had an Xserve drive fail, you may have considered saving some money by putting a replacement drive inside its Apple Drive Module. That may be a false economy, though. TidBITS explains why, while pinning Apple down on exactly what goes into Apple Drive Modules and why they cost so much more than bare retail drives."

An anonymous reader writes "id Software has released a port of the classic Wolfenstein FPS to the iPhone. Some of the coding was done by John Carmack himself, who also used original code combined with new code from Wolf3D Redux. The original code was open sourced years ago, and enthusiasts have been updating it, which made the port considerably easier for id. It's available in the iTunes App Store, but the source is available for free at id's website." Carmack also posted a detailed writeup about the decision to bring Wolf3D to the iPhone, including design notes and a few snippets of code. At the end, he says, "I'm going back to Rage for a while, but I do expect Classic Doom to come fairly soon for the iPhone." Kotaku got a chance to try the game at GDC: "It's not just a good reproduction of the original, it seems better."

theodp writes "Speaking at a conference in NYC, Microsoft CEO Steve Ballmer did his best to refan the flames of the Mac vs. PC rivalry: 'Now I think the tide has really turned back the other direction [against Apple],' Ballmer said. 'The economy is helpful. Paying an extra $500 for a computer in this environment — same piece of hardware — paying $500 more to get a logo on it? I think that's a more challenging proposition for the average person than it used to be.'"

Macworld is reporting that Apple and AT&T are being sued, again, for the lack of delivery on their 3G network. This follows a long line of other lawsuits in San Jose, San Diego, Alabama, Florida, Texas, and New York "The lawsuit charges the companies with Negligence, Breach of Express Warranty, Breach of Implied Warranty of Merchantability, Unjust Enrichment, Negligent Misrepresentation, Violation of the New Jersey Consumer Fraud Act and Other Similar State Statutes, and Breach of Contract. Dickerson is seeking to force Apple and AT&T to correct its labeling and advertising, as well as to recover compensatory, statutory and punitive damages."

eviltangerine writes "Twitter user stroughtonsmith was dickering around with the carrier bundle files for his developer version of the iPhone 3.0 OS and enabled the USB tethering options. Apparently he has even been able to use his laptop to access the internet over the USB tether. MacRumors comments that while Apple has announced the availability of tethering, it hasn't hashed out the details with the mobile carriers (probably so they can charge more in fees). No word on connection speed, but here are some pictures of his phone while tethering."

Apple unveiled the iPhone 3.0 software just now in Cupertino. Here's MacWorld's live-action blow-by-blow coverage. The announcement included new features for developers and users. For developers, the big items were in-app purchasing (for example for game upgrades, map content, and subscriptions) for paid apps only; peer-to-peer connectivity via Bluetooth; giving apps access to hardware via the dock connector or Bluetooth; maps embeddable in apps; and push notifications. For users, there's finally cut-copy-paste available in all apps; search across everything in the iPhone; landscape keyboard; MMS messaging; and voice memos. Developer beta starts today and 3.0 will be available in the summer — free for all 3G phones, $10 for iPod Touch.

An anonymous reader writes "BoingBoing Gadgets has updated their story from yesterday on DRM contained in the new iPod Shuffle. (We also discussed this rumor last week.) It's a false alarm. There is a chip in the headphone controls but it is just an encoder chip. There is no DRM and no reason to believe that third party headphones wouldn't work with the new Shuffle. (Apple would still prefer you to license the encoder under the Made for iPod program, but with no DRM, there is no DMCA risk to a manufacturer reverse engineering it.) The money quote: 'For the record, we do not believe that the new iPod headphones with in-line remote use DRM that affects audio playback in any way.'"

With the announcement coming tomorrow, Macworld has posted their top list of 15 features they would like to see in an iPhone 3.0 update. The list includes some things that people have been asking for since launch (like cut and paste) and things that were once there but have since been silently removed (like push notifications/background apps). With almost 2 years of time to grow and learn, what other things are woefully inadequate on Apple's popular handheld?

theodp writes "Steve Jobs wasn't around to convince you that you should be impressed, but on Wednesday Apple unveiled a 4GB Shuffle that's half the size of its predecessor. Holding up to 1,000 songs, the pre-shrunk Shuffle sports a 10-hour battery life and also adds a new VoiceOver feature that can recite song titles, artists, and playlist names, as well as provide status information. Even without a show from Steve, the new player is generally leaving folks dazzled, although there are some complaints." Update: 3/14 at 14:10 by SS: Reader Mike points out some disturbing news that the new Shuffle contains DRM which, according to a review at iLounge, prevents it from fully working with any headphones that don't have an Apple "authentication chip."