Worm Spreading Through Skype Instant Messages

A malicious worm spreading through Skype instant messages threatens to take control of a victim's machine and hold its contents for ransom. The issue, which was first brought to light by GFI, tricks users into downloading a ZIP file by displaying the socially-engineered message, "lol is this your new profile pic?" along with a link that also spreads the message to other Skype users.

Facebook Offers New $20 Million Privacy Settlement

Facebook Inc has proposed a revised $20 million settlement in a class action lawsuit accusing it of violating the rights of users through its "Sponsored Stories" advertising feature after a U.S. judge rejected an earlier accord. The new settlement agreement, filed in U.S. District Court in San Francisco, drops provisions setting aside up to $10 million for plaintiffs lawyers' fees and allows users to apply for a cash payment of up to $10 each.

House Panel Wants Ban on Deals with Chinese Telecoms

The House Intelligence Committee recommended that American companies should be blocked from carrying out mergers and acquisitions involving two Chinese telecommunications firms, saying their equipment could be used for spying in the United States. The recommendations, the result of a yearlong investigation, also said the United States government should not use equipment from the companies, the giant Huawei Technologies and ZTE Inc., and that American companies should find alternative suppliers as well.

U.S. Says No Changes Needed on Internet Oversight

The best solution to improving oversight of the Internet may be to do nothing at all, a senior U.S. official said while briefing reporters on a conference in December that could decide to consolidate control within a U.N. body. The International Telecommunication Union, the U.N. body convening the conference, has said there is broad consensus that the treaty governing the way international voice, data and video traffic is handled needs to be updated after 24 years.

Facebook Says Users Not Harmed in Privacy Lawsuit

Facebook Inc. said a $15 billion lawsuit accusing the company of secretly tracking the Internet activity of its users after they log off should be dismissed because the subscribers didn’t specify how they were harmed. The complaint suffers from an “utter lack of allegations of any injury to these particular named plaintiffs,” Matthew Brown, a lawyer for Facebook, told U.S. District Judge Edward Davila in San Jose, California.

German Court Rules for Motorola in Microsoft Patent Case

Mobile phone maker Motorola achieved a rare victory against software giant Microsoft in a patent case before a German court, the latest in a wave of patent lawsuits by technology firms fighting over market share. The regional court in Mannheim ruled that Motorola Mobility, part of Google, did not infringe a Microsoft patent which enables applications to work on different handsets.

YouTube Revises System for Taking Down Videos

Google's YouTube has revised its Content ID system to recognize content more accurately, to reduce the incidence of mistakes, and to force copyright holders to either drop a claim or file a formal DMCA notification when a user appeals a rejected Content ID counter-claim. YouTube rights management product manager Thabet Alfishawi in a blog post said that although the company still has work to do to improve the way Content ID works, these changes will help ensure that "the rights of both content owners and users are protected and everyone can control their original content and make money from it."

Google Settles E-Book Case with Publishers

Google Inc and a group of publishers have agreed to a settlement over making digital copies of books, capping seven years of litigation involving the search giant's mission to become the world's library. Google and the Association of American Publishers (AAP) said that U.S. publishers can choose to make available or choose to remove their books and journals digitized by Google for its Library Project.

FTC Files Suits Over Tech Support Scams

The Federal Trade Commission announced a multinational crackdown on so-called tech support scams, in which a caller fools a consumer into believing Microsoft or a computer security company has discovered that a PC is infected with harmful software. In six cases filed in federal district court in Manhattan, the commission named 17 individuals and 14 companies, most in India, as participants in the operations, including many with legitimate-sounding names like Virtual PC Solutions and Zeal IT Solutions.

Fan Site Company Agrees to $1M Fine in COPPA Case

The company that makes fan websites for such tween favorites as Justin Bieber, Selena Gomez and Rihanna has agreed to pay $1 million to settle charges that it illegally collected data about more than 100,000 children. The Federal Trade Commission, in a complaint filed in a New York district court, had accused Artist Arena LLC of failing to get parental consent before collecting data like names and email addresses of children.

Google to Warn More Users of Possible Attacks

Mike Wiacek, a manager on Google’s information security team, said in an interview that since Google started to alert users to state-sponsored attacks three months ago, it had gathered new intelligence about attack methods and the groups deploying them. He said the company was using that information to warn “tens of thousands of new users” that they may have been targets.

Microsoft Settles Malware Case with Chinese Company

Microsoft reached a settlement in its legal case against a Web site that has been linked to malicious activity, with the Chinese company agreeing to block malware tied to its domain. The software giant, which originally filed the suit about two weeks ago, said that the operator of 3322.org, Peng Yong, has agreed to work with Microsoft and the Chinese Computer Emergency Response Team to block all malicious connections to the 3322.org domain and prevent malware infections associated with the site.