Apple

Apple Stock Soars 8% on Strong iPhone Sales

The Apple Inc logo sits on display at the company's store in the Gran Plaza 2 shopping mall in Majadahonda, near Madrid, Spain, on Friday, Sept. 28, 2012.
Angel Navarrete—Bloomberg/Getty Images

Apple sold 43.7 million iPhones, substantially more than the 37.7 million that Wall Street analysts had been expecting

Tech titan Apple reported a 4.6% increase in quarterly revenue on Wednesday, handily beating Wall Street expectations after selling significantly more iPhones than analysts had predicted.

The company also said it plans to increase its stock buyback program and dividend, pleasing shareholders who have called for the company to distribute more of its cash.

The solid results, which amount to the strongest non-holiday quarter in Apple history, encouraged investors who have grown restless about a perceived lack of innovation at the company. Apple shares soared as much as 8% in after hours trading, adding $33 billion in value and sending the company’s market capitalization back over the $500 billion level.

IPhone sales were particularly strong, with the company selling 43.7 million units, substantially more than 37.7 million that analysts had been expecting.

“These are surprisingly good numbers, especially on the iPhone,” Piper Jaffray technology analyst Gene Munster said in an appearance on CNBC shortly after the results were released. “Investors should breathe a sigh of relief about these numbers.”

Apple reported revenue of $45.6 billion and net profit of $10.2 billion, or $11.62 per share, compared to revenue of $43.6 billion and profit of $9.5 billion, or $10.09 per share one year ago. For the current quarter, Apple forecast revenue between $36 billion and $38 billion, slightly below that $38.1 billion that analysts had been expecting.

“We’re very proud of our quarterly results, especially our strong iPhone sales and record revenue from services,” Apple CEO Tim Cook said in a statement. “We’re eagerly looking forward to introducing more new products and services that only Apple could bring to market.”

On a conference call with Wall Street analysts, Cook said that Apple established a new iPhones sales record in the so-called BRIC countries of Brazil, Russia, India, China. Earlier this year, Apple announced a deal to make the iPhone available for sale to China Mobile’s 760 million customers. Cook said the company plans to triple its number of retail locations in China over next two years.

The iPhone has been available on smaller carriers in China for years, but sales have faced pressure in the face of lower-cost competition from devices made by Samsung and other manufacturers that use Google’s Android mobile operating system. Analysts estimate that Apple could sell between 20 million and 30 million iPhones on China Mobile’s network next year.

As usual, Cook declined to go into detail about the new products that the company is developing, but said to expect new gadgets this year. “We’ve got some great things there that we’re working on that I’m very proud of and very excited about,” Cook said. Speculation has centered on a new TV product or possibly a wearable computing device like an Internet-connected wristwatch.

Apple has not introduced a new product category since the death of Apple co-founder Steve Jobs in October 2011, prompting fears about the state of innovation at the company. Still, Apple has made impressive improvements to its existing product lines, and the iPhone and iPad are considered the gold-standard in their respective categories.

Apple also announced a rarely seen seven for one stock split — which means that each existing shareholder will receive six additional shares — in an effort to lower the share price and make the company more accessible to small investors. The company, which is now sitting on $156 billion in cash, also boosted its stock buyback program to $90 billion, and increased its dividend by 8% to $3.29 per share.

“We generated $13.5 billion in cash flow from operations and returned almost $21 billion in cash to shareholders through dividends and share repurchases during the March quarter,” Apple CFO Peter Oppenheimer said in a statement. “That brings cumulative payments under our capital return program to $66 billion.”

Cook added: “We’re confident in Apple’s future and see tremendous value in Apple’s stock, so we’re continuing to allocate the majority of our program to share repurchases.”

In a message posted on Twitter, billionaire investor Carl Icahn, who has been agitating for Apple to return more of its cash to shareholders, said he was “very pleased” with the company’s plan to increase its stock buyback program. He added that he continues to believe that Apple is “meaningfully undervalued.”

In one sour note, iPad sales fell short of analyst forecasts, with the company selling 16.35 million units compared to expectations of 19.7 million. Cook explained the difference by saying that last year Apple increased iPad inventory, but reduced it this year. On the bright side, Cook said that two-thirds of users registering iPads were new customers, and he pointed out that the iPad is the fastest growing product in Apple’s history.

On the conference call, Cook paid tribute to Oppenheimer, who is leaving the company this year, by observing that Apple is now 20-times larger than it was when Oppenheimer joined the company. “His expertise, leadership, and incredibly hard work have been instrumental to the company’s success,” Cook said.

technology

Facebook Blows Away Analyst Projections With Strong Earnings

Mark Zuckerberg, chief executive officer and founder of Facebook Inc., speaks during an event at the company's headquarters in Menlo Park, Calif. on March 7, 2013.
Mark Zuckerberg, chief executive officer and founder of Facebook Inc., speaks during an event at the company's headquarters in Menlo Park, Calif. on March 7, 2013. David Paul Morris—Bloomberg/Getty Images

The social network exceeded analyst projections in its latest quarterly earnings report, generating $2.5 billion in revenue, as it gains more mobile users and gets a growing proportion of its advertising revenue from mobile

Facebook once again exceeded analyst projections in its latest quarterly earnings report Wednesday, as the world’s largest social network continued to show investors it can transition its advertising business to mobile devices.

The company generated $2.5 billion in revenue and had earnings (minus some line items) of 34 cents per share in the first quarter of 2014, greatly topping analyst estimates of $2.36 billion in revenue and 24 cents per share in profits. Net income for the quarter was $642 million, triple the figure from the same quarter last year. Facebook shares rose only slightly on the strong earnings in after-hours trading.

The social network said it gained about 50 million new monthly active users in the quarter, increasing its total to 1.28 billion. Daily active users now total 802 million, up from 757 million in the previous quarter. In a key milestone, mobile monthly active users also crossed the one-billion mark for the first time. Mobile ads are quickly increasing in value for the company and now generate almost 60 percent of Facebook’s total ad revenue.

“These results show Facebook’s business is strong and growing,” CEO Mark Zuckerberg said in a conference call with investors.

Despite early doubts when Facebook first went public in 2012, the company has now proven that it can have a mobile-first mindset and profit handsomely from it. The next challenge for the social network will be growing its business outside of the Western world. Nearly two thirds of Facebook’s users now reside in places besides the U.S., Canada or Europe, but the revenue it generates per user is more than six times greater in the United States than Asia. Some of Facebook’s moves early this year, like purchasing messaging platform WhatsApp for $19 billion and announcing plans to beam Internet access to people in remote areas via drones, seem directly aimed at shoring up revenues in these non-Western markets in the long term.

Though Facebook is making several long term bets, including the purchase of virtual reality startup Oculus VR for $2 billion in March, the company is content to let its main website do the heavy lifting of generating profits for now. Zuckerberg and Chief Operating Officer Sheryl Sandberg both stressed that acquisitions like WhatsApp and Instagram won’t be monetized heavily anytime soon. Neither will internal Facebook products like the Paper news reading app and the new auto-play videos that now appear in users’ News Feeds. “The current priority is growth,” Zuckerberg said of Facebook’s suite of apps and services. He pointed to 100 million users as a threshold to cross before developing an app into a significant business.

The company once again expressed confidence that it will be able to serve users increasingly relevant ads on Facebook, thus boosting their value to marketers. Data backs up the claim—a recent study by Adobe of Facebook ads used by 100 large social media advertisers found that click-through rates in the first quarter increased 160% year-over-year. “The ads are getting more relevant, but there’s a long way to go,” Sandberg told investors. “We have a great opportunity to build the first platform for personal marketing at scale.”

drinking

How to Drink Scotch Whisky

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It may not be everyone’s cup of whisky, but if sales are any indication, Scotch is more popular worldwide than ever before.

Scotch sales have nearly doubled over the past ten years to roughly $7 billion, according to the Scotch Whisky Association. The United States is the world’s leading importer of the drink, buying nearly $1.32 billion worth of the spirit each year. The drink can legally be called Scotch only if it’s made in Scotland and aged in oak casks for at least three years.

And note that it’s also spelled “whisky,” without the e, to differentiate from popular American-style “whiskeys,” such as Jack Daniels or George Dickel.

But the real test comes with the tasting. TIME’s Josh Sanburn met up with Richard Patterson, Master Distiller of The Dalmore, to learn the proper way to enjoy fine Scotch.

Technology & Media

HBO Just Made a Brilliant Move to Hook Younger Viewers

HBO and Amazon aren’t only targeting their shared enemy, Netflix, with their major content licensing deal announced Wednesday. They’re going right after me and my friends, millennials aged 18-25, because we’re vaguely aware The Sopranos and The Wire were pretty great shows, but we were way too young to catch ‘em on their first go.

The Sopranos, the most influential show included in a deal that will bring older HBO content to Amazon Prime subscribers even if they don’t separately subscribe to HBO, ran from 1999-2007. That means when Tony Soprano was first beamed into HBO subscribers’ homes, I was eleven years old, more interested in Nickelodeon offerings like Spongebob Squarepants or Rocket Power, both of which premiered in the same year. (HBO is a unit of TimeWarner, which also owns TIME.)

My generation’s tastes changed as we grew older, but it’s tough to fight society’s demands that we spend our time watching whatever’s hot at any given moment, lest we fall out of cultural relevancy. Some college friends watched The Sopranos or The Wire on DVD, but most of us preferred to spend our TV time making sure we were catching the moment’s hot shows, like The Office, The Walking Dead or It’s Always Sunny in Philadelphia—we just didn’t have time for outdated stuff, regardless of how good it was.

Now, though, we want to catch up on what we’ve been told was some pretty great television. While some of us have HBO GO access for Game of Thrones and True Detective (thanks, Mom and Dad!) many of us don’t, because it’s still pretty expensive to add HBO service to most cable packages and we’re kind of broke right now. But we do have Amazon Prime, because we buy lots of stuff online and we want it fast – Prime’s pretty affordable when you consider all the benefits (subscribing to HBO for the video content doesn’t mean I can also get HBO to send me new socks and a box of Cup Noodles in two days’ time).

There’s still some cultural demand to watch today’s best shows, but there’s so much great television that we’ve got to pick and choose anyway: Game of Thrones, True Detective, Orphan Black, New Girl, Mad Men, The Walking Dead, Veep, Silicon Valley, the 24 reboot, Orange is the New Black, Justified, Parks and Recreation, Sherlock, The Americans, Scandal and oh, yeah, the Stanley Cup playoffs, among other hits I’m missing here.

That picking-and-choosing that everybody’s doing reduces the cultural pressure to be up-to-date on all the top shows: If we all tried to watch all these shows so we could talk about each and every one of them around the watercooler, we’d all lose our jobs, and with them our access to the watercoolers to begin with. That’s lose-lose.

So, if you’ll need me, I’m taking a break from trying to keep up with today’s TV so I can finally get around to The Sopranos. No spoilers, please.

Definitive Proof the Apple vs. Samsung Case Is Really About Google

Google
Justin Lane—EPA

Apple’s on-going patent lawsuit against Samsung has long been cast as a proxy war against Google, the maker of the Android operating system that powers the Samsung devices competing with the iPhone. New evidence revealed during the Samsung-Apple trial illustrate that Google is in fact a direct player in the conflict.

On Tuesday Apple brought forth a deposition by a Google employee confirming that Google had sent emails to Samsung offering to help pay some of the cell phone manufacturer’s legal costs in the case. Google even offered to help pay for some of the damages if Samsung loses. Google said it would provide financial aid regarding two of the five patents that Apple has brought to trial. Apple is seeking a total of $2.2 billion in damages in the infringement case.

Earlier in the trial, Google employees testified on Samsung’s behalf, saying that Google had independently created some of the technology Apple is litigating over for its own Android platform before the iPhone launched.

The patent trial has led to the airing of much dirty laundry among some of the world’s largest tech giants. Samsung acknowledged that Steve Jobs’ death would provide Apple an “unintended benefit,” for example, and Apple fretted over the effectiveness of Samsung ads mocking the iPhone.

Here Are the Top 10 Highest-Paid Executives Under 40

Jonathan Kitchen—Getty Images

If you’re the cheerful, satisfied sort—happy with your job, duties, and compensation—you may want to shuffle along to the next article. Keep the peace of mind you have. Cherish it. And whatever you do, forget that the following ten young executives pocketed over $5 million in 2013 alone.

Figures are from public SEC filings.

Note #1: total compensation includes stock awards and other bonuses: annual salary is typically just a small fraction.

Note #2: a few companies—like Yahoo—have yet to file their proxies, leaving one or two likely candidates (hey there, Marissa Mayer!) off this list.

Note #3: Where’s Mark Zuckerberg? Many famous young entrepreneurs do not make this list for two reasons. First, some well-known founders—like Zuck—take a very small salary, often $1 per year. Companies like Facebook save the big checks for all-star second-in-commands, where they need to lure top people away from other firms. Second, this is a list of 2013 compensation, so individuals who made a big splash—or got a large stock award—last year are more likely to win a place on the list.

 

10. Patrick Söderlund – Electronic Arts – $5.19 million

The video game industry has stumbled along lately, between Nintendo sales woes and garbage freemium games littered throughout mobile app stores. Nevertheless, Electronic Arts (EA) has remained consistent, churning out reliable blockbusters and even some decent mobile games.

EA owes part of its ongoing success to Patrick Söderlund, 39, racecar fanatic and international games guru. Currently an executive vice president at EA, he leads development on big game series like Battlefield and Need for Speed.

9. Andrew Wilson – Electronic Arts – $5.63 million

Obsessed with sports—including both virtual games and real-world leagues—Andrew Wilson rose through EA’s ranks largely through directing the company’s wildly popular FIFA franchise. He was appointed CEO in 2013, at the age of 39.

8. Ryan McInerney – Visa – $7.39 million

Ryan McInerney is only 38, but his resumè reads like a six-decade-long career. First, he worked as a principal consultant at McKinsey & Company. Next, he joined JP Morgan Chase, where he helped create and launch the company’s first mobile banking product. At 34, he was picked to lead the company’s entire consumer banking division, which put McInerney in charge of over 75,000 employees. Visa then lured him away in 2013, where he now serves as the credit company’s president.

7. Mark Tarchetti – Newell Rubbermaid – $7.87 million

It turns out you don’t always need to work in finance or tech to make a multimillion-dollar fortune. Mark Tarchetti, 38, is the executive vice president at Newell Rubbermaid, the company best known for its popular line of tupperware products. Of course, selling plastic, airtight kitchenware isn’t going to make you rich on its own—the company also owns a variety of writing brands, like Sharpie, Paper Mate, Expo and Uni-Ball. Today, Tarchetti leads much of the company’s research and development initiatives.

6. Hari Ravichandran – Endurance International Group – $9.6 million

Hari Ravichandran, 37, is the founder and CEO of Endurance International Group, a company that owns a variety of Internet brands (such as HostGator, Homestead, and Bluehost) and can be best described with a flurry of trendy tech phrases like “cloud-based” and “big data.”

5. Ryan Blair – Blyth – $9.61 million

CEO of ViSalus Science (a subsidiary of Blyth, Inc.), Ryan Blair, 36, focuses on weight management, dietary supplements, and energy drinks. He’s perhaps better known, however, as the gang-member-to-CEO who wrote about his experiences in the appropriately-titled, Nothing to Lose, Everything to Gain.

4. Sardar Biglari – Biglari Holdings – $10.9 million

Sardar Biglari, 36, began building Biglari Holdings at 18, a company that today employs over 22,000 people and contains six different subsidiary companies, including Steak ‘n Shake and Western Sizzlin. Several publications have compared the company to Warren Buffett’s Berkshire Hathaway, the Fortune 500 business that grew through Buffett’s smart acquisitions and investments.

3. Stephen Gillett – Symantec – $11.5 million

Stephen Gillett (36) first gained national attention after becoming the chief information officer at Starbucks in 2008, though his résumé includes such prominent companies as Yahoo, CNET Networks and Sun Microsystems. More recently, he became Best Buy’s executive vice president, but he moved on to Symantec after only nine months. It seems even Gillett couldn’t slow the downward slide of big box electronics stores.

2. Michael Schroepfer – Facebook – $12.6 million

Michael Schroepfer (39) has been a rising technical star at Facebook for years, moving from director to vice president to chief technical officer, a post he reached in 2013. Before Facebook, he had led development on Mozilla’s once-popular Firefox browser.

1. James S. Levin – Och-Ziff Capital Management – $119 million

The 31-year-old hedge fund trader is also an extreme outlier. Forget under 40-year-olds: he made more in 2013 than anyone, even Oracle’s Lawrence J. Ellison ($81.8 million), due to some very generous stock awards. James S. Levin first made national news in 2012 when he bet $7 billion (a third of Och-Ziff’s total assets) and made the company nearly $2 billion in one trade, accounting for over half of Och-Ziff’s annual profit. Last year, he received $119 million in stock, earning him more than the nine other men on this list combined.

Music

Watch: Startup Bets on Millennials and House Parties to Save Classical Music

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If you walk into a chamber concert organized by Groupmuse, you soon realize this is not your traditional classical performance. There’s clapping in-between movements of Mozart’s duo in G major, as well as whistling, drinking and sitting on the floor so close to the musicians that one risks getting jabbed with every note. But most importantly, there is a rare breed in the audience: engaged, iPhone-less millennials.

Groupmuse is a Boston-based startup that strives to attract new audiences for live classical music by re-imagining the traditional concert experience. Sam Bodkin, 24, started the venture in January of last year. Bodkin blames the stifling, severe traditional orchestral experience for turning millennials away from classical music concerts. He plans to make his business profitable by pairing musicians and hosts to create what he calls “chamber music house parties.”

“In what other form of music is the sincere instinct to express enthusiasm ever to be subdued?” Bodkin asked. “At Groupmuse we clap anytime we want to clap, even if it means in the middle of a movement.”

Groupmuse hopes to bridge the gap between audiences that are willing to pay for intimate, high-quality concerts with talented musicians who are looking for alternative performance opportunities at a time when orchestras face troubling demographic trends and graver financial worries. Donations are collected at each event and go directly to the musicians, who earn $150 to $500 on an average night. Groupmuse itself made about $25,000 over the course of the past year, Bodkin said, though it’s not currently making a profit.

Groupmuse fits within a long-standing tradition of entrepreneurial ventures hoping to find new formats to make classical music profitable, said Angela Myles Beeching, Director
 of the Center for Music Entrepreneurship at the Manhattan School of Music.

“Everyone is talking about how to make this traditional art form more relevant and ways to change traditional concert settings,” Beeching said. “The really smart thing about house concerts is that it takes away the business of renting venues and the middle management that comes with presenting any type of traditional concert. As a business model, it has a low overhead.”

Groupmuse represents an unprecedented opportunity to engage with a wider audience, said Julia Glenn, a 25-year-old doctoral student at the world-renowned Juilliard School and a regular performer at Groupmuse concerts.

“If something about the culture of classical music isn’t changed, the audience is at risk of drying out.” Glenn said. “The hope of Groupmuse and ventures like that is to give people the chance to get excited about the music, and give the music a chance of having a future.”

First-time Groupmuse attendee Garrett Kotecki said the event was described to him as “classical music for people who don’t want to wear a suit and tie.”

“I didn’t think it was boring at all, because they were right here in the room. It wasn’t a huge orchestra, far removed onstage,” Kotecki said. “I had never been this close to a viola and violin player. You can hear their fingers move, you can hear them breathe inhale and exhale in tempo with the music.”

Bodkin doesn’t want Groupmuse to replace conventional concert experiences at established symphony orchestras. Instead, he sees it as an entry point into the more traditional concert experience for a generation that he believes to be increasingly alienated from the genre.

“People should just go and get into the music and experience it on their own terms,” Bodkin said. “Then hopefully a lot of them will get really turned on by Beethoven, because, ‘Wow, this guy I heard about so much is actually pretty rocking,’ and then they go see the big show at Carnegie Hall.”

Creepy New Website Shows Just How Much Facebook Knows About You

Images of WhatsApp As Facebook Inc. Makes Acquisition For $19 Billion
Getty Images

How much can someone learn about you by accessing your Facebook data? Not just your friends and interests, but also who stalks you, where you spend your time and even how much money you make.

That’s the set-up for a new website called Digital Shadow promoting the upcoming spy video game Watch Dogs by Ubisoft. Give the site authorization to scrape your Facebook profile for data, and it will list your “pawns” (your closest friends that can be used against you), “obsessions” (the people you Facebook creep on the most), and “scapegoats” (people you don’t interact with and would willingly sacrifice if necessary). The sleek dossier also includes photos of places you hang out, data on when you post most often, and a series of guesses at your password based on the things you write about most often.

Of course, all this “creepy” insight is based on information you willingly gave to Facebook at some time or another. Letting Watch Dogs scour your profile can act as a sobering reminder that the information you put on the Internet can potentially be used against you.

Security

9 Terrifying Digital Threats Lurking in the Shadows

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This post is in partnership with Fortune, which offers the latest business and finance news. Read the article below originally published at Fortune.com.

It’s that time of year again: Spring is in the air, Monarch butterflies are traveling north, and Verizon’s data breach report is making the rounds, freaking out already freaked-out chief information security officers around the globe.

The annual report compiles and analyzes more than 63,000 security incidents (as well as 1,300 confirmed data breaches) from about 50 companies worldwide. This year’s 60-page document identified nine main patterns of attack, including point-of-sale intrusions, denial-of-service attacks and acts of cyberespionage. According to Verizon, 94% of all security incidents in 2013 can be traced to these nine basic categories.

(As for the other 6% of threats facing corporate America, well, ignorance is bliss, right?)

Here, our summary of the most pressing security threats for major companies:

1. Web app attacks

Hands down, this is the most common type of data breach. According to Verizon’s report, web applications remain the “proverbial punching bag of the Internet.” How do the bad guys do it? Phishing techniques, installing malware, and, yes, correctly guessing the name of your first stuffed animal, your oldest cousin’s eye color and your nickname in sixth grade. There are ways to better protect Internet-facing applications, Verizon insists, and it starts with two-factor authentication.

2. Cyberespionage

Incidents of unauthorized network or system access linked to state-affiliated actors have tripled — that’s right, tripled — over the last year. Espionage exhibits a wider variety of “threat actions” than any other attack pattern, Verizon says, which means that once intruders gain access, they’re making themselves comfortable and partaking in all sorts of activities, from scanning networks to exporting data. Verizon warns that we can’t keep blaming China, though — at least not just China. About 21% of reported incidents are now being instigated from Eastern Europe.

3. Point-of-sale intrusions

Given the recent high-profile Target breach, in which hackers gained access to the credit card numbers of some 40 million customers, this may seem like the attack pattern du jour. But Verizon claims point-of-sale intrusions have actually been trending down over the last several years. “Recent highly publicized breaches of several large retailers have brought POS compromises to the forefront,” the report’s authors write. “But at the risk of getting all security-hipster on you — we’ve been talking about this for years.” Still, retailers and hotel companies in particular need to be concerned about this kind of attack. It only takes one massive point-of-sale intrusion to scare away customers and investors — just ask Target.

4. Payment card skimmers

Skimming mainly affects ATMs and gas pumps, and is a relatively crude form of attack that requires a skimming device to be physically added to a machine. It’s hardly a new tactic, but what’s different today is the way that the data from “skimmed” payment cards is collected. Before, a criminal had to retrieve the skimming device; now, a thief can remotely collect the data using Bluetooth or other wireless technologies. More modern ATMs are designed to be relatively tamper-free, but this is still a big problem in some parts of the world, such as Bulgaria and Armenia.

5. Insider misuse

Not sure what falls under this category? Imagine someone akin to the rebel NSA defense contractor Edward Snowden, or pretty much any unapproved or malicious use of organizational resources. The most common examples of this are employees using forbidden devices (e.g. USB drives) or services to send intellectual property to their personal accounts — or, more deliberately, posing as another user and sending messages aimed at getting a colleague fired. According to Verizon, many of the people committing these crimes are payment chain personnel and end users, but C-suite managers were more to blame in prior years. Bottom line: Trust no one.

6. Crimeware

This category includes any malware incident that doesn’t fit into the espionage or point-of-sale buckets. The goal is always some kind of illicit activity, such as stealing users’ online banking credentials. Most forms of crimeware start with web activity such as downloads or so-called drive-by infections, where a virus can be downloaded when a user unknowingly clicks on a deceptive pop-up window. What can corporations do to combat these types of attacks? Keep software such as browsers up to date.

7. Miscellaneous errors

Oops, I did it again — as in, I sent an email containing sensitive information to the wrong recipient. That’s the most common example of this kind of unintentional data disclosure. Others include accidentally posting non-public information to a company’s web server or even snail-mailing documents to the wrong physical address. There’s no cure for human error (other than replacing them with computers, of course), but Verizon says corporations can implement data loss prevention software to reduce instances of sensitive files sent by email and tighten processes around posting documents to internal and external websites.

8. Physical theft/loss

Here’s a fun fact: It turns out that corporate assets like phones and laptops are stolen from corporate offices more often than from homes or vehicles. The primary cause of this type of incident? Carelessness. According to the Verizon report: “Accidents happen. People lose stuff. People steal stuff. And that’s never going to change.” The only thing you can change, advises the company, is to encrypt devices, back up data, and encourage employees to keep their gadgets close.

9. Distributed denial-of-service attacks

Last but not least, so-called DDoS threats include any attack aimed at compromising the availability of networks and systems. These are primarily directed at the financial, retail and public sectors. And while the motives behind shutting down corporate, consumer-facing websites remains the same — extortion, protest, or perverse fun — the tools at attackers’ disposal have become more sophisticated and more thoughtfully named, such as “Brobot” and “itsoknoproblembro.”

More on cybersecurity from Fortune:

Television

It’s Not TV: Why an Amazon Deal Could Keep HBO Relevant for the Post-Cable Era

A deal with Amazon Prime makes archival series like The Sopranos a bigger part of the all-you-can-eat streaming buffet. HBO

HBO's new partnership could boil down to "the enemy of Netflix is my friend," but it also indicates a need to remain relevant in the age of binge-watch TV

This morning, Amazon and HBO announced what amounts to an alliance in the Great Streaming Wars of 2014: For the first time, an Amazon Prime subscription will give you access to HBO’s archive of series, up to approximately three years ago. That means The Sopranos, Deadwood, and many other TV monuments that were only available through HBO are now included with your free shipping and future access to Jeff Bezos’ drone armada. (Current series like Girls will become available over time.)

I’ll leave it to others to analyze the business implications of this move, which, from where I’m sitting, boil down at least partly to Prime’s quickly ramping-up ambitions, partly to “The enemy of Netflix is my friend.” (Both Amazon and HBO are in direct competition with the streaming giant.) But at least one of the big motivations for HBO could be cultural: making sure that its legacy, and its brand, are not lost in the emerging canon of binge-watched TV.

(Disclaimer: HBO is currently a sister company of TIME in Time Warner, though that will change when publisher Time Inc. spins off later in the year.)

One of HBO’s defining features–and a source of zillions of dollars–is that it’s a closed system. You want to watch its shows, you had to subscribe to it, and thus, had to subscribe to cable. (With a few exceptions: you could watch bowdlerized edits of Sex and the City on basic cable, or watch series on DVD–like a caveman.) This was true not just for new episodes but the on-demand back catalog available through HBO GO.

This paywall approach meant a more limited audience, but one that was paying, and paying top dollar. (Or at least its parents/friends were, in the case of folks borrowing HBO Go logins to watch True Detective.) If only a fraction of the total TV audience had access to HBO, fine–the network was making millions off that fraction.

But as streaming became mainstream, through the likes of Amazon, Hulu, and Netflix, this meant a sizable chunk of the TV audience for whom HBO just didn’t exist. There was now a vast library of TV available on demand–and really good TV, from decades ago, from the recent past, from the present. If you didn’t want to get a $200+ cable subscription, you missed HBO, which was too bad, but there was always, say, FX and AMC shows–the final season of Breaking Bad exploded in the ratings, and that was attributed largely to a vast audience who had caught up on Netflix.

For a certain generation of TV connoisseurs, HBO was the standard of quality. But for another–especially younger ones, with Internet but no cable–it didn’t exist at all. Last year, TV critic and media-studies academic Anne Helen Petersen wrote about how her students, though highly savvy TV-lovers, were almost totally unaware of The Sopranos. Why? It wasn’t on Netflix. And if you’re a college student with little money but easy access to broadband, Netflix is a lot more attractive.

That might not matter for HBO right now; it’s still printing money by all accounts. But long term, that could make a big difference to its brand perception–that halo effect in which pop-culture addicts have the sense that they can’t be truly current unless they’re up to speed on its shows. And to the extent that HBO cares about its larger, non-economic cultural place (and it does), it could make a huge difference to the canon of Great TV in future decades. If you don’t give streamers more means of access, there will be a great big HBO memory hole that will just be filled in by Mad Men, The Shield, and Orange Is the New Black.

The new Amazon deal doesn’t mean there’s no point in subscribing to HBO, since it’s your only (legal) option for new episodes of Game of Thrones et al. But it shows that the network is recognizing a change in how people consume and discover TV–archivally, online, and all at once, as selected from a vast menu of TV’s past. If HBO wants to keep its cachet, it also needs to be part of the buffet.

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