News of the US officially slipping into recession seems to have spurred another round of massive retrenchment, as the first week of December alone saw a stunning 30,000 layoffs, with more than half happening in the world’s largest economy.
The whopping numbers are just a continuation of a strained labour market as employers in America slashed 5,33,000 jobs in the month of November, the maximum downsizing in 34 years. Right from telecom giant AT&T to battered banking major Credit Suisse to steel maker ArcelorMittal, the layoffs are spread across the sectors, amid the worst financial turmoil since the great depression of 1930s.
Moreover, since the start of recession in December last year, as concluded by the National Bureau of Economic Research, 1.9 million people lost their jobs and two-thirds of the losses happened in the last three months. Leaving a gloomy November, this month’s layoffs are led by AT&T which would slash 12,000 jobs or about four per cent of its total workforce.
JP Morgan is reportedly planning to reduce its workforce by 21%. The move is expected to result in 4,000 employees being given the pink slip by January at Washington Mutual.
Source: Agencies
Tuesday, December 9, 2008
Monday, December 8, 2008
Booster shots for global meltdown victims!
As the global economic slowdown spreads, countries after countries have announced rescue packages. The United States has so far committed $8.317 trillion to tackle the crisis. The United Kingdom, France, Russia, China and the European Union also have announced various stimulus packages.
Here’s a look at the specific fire-fighting measures announced by various countries.
United States
President-elect Barack Obama crafting $175 bn package to create 2.5 million jobs
President George Bush signed a $168 bn, 2-yr stimulus into law in early 2008
Package includes tax rebates of up to $600 per individual earning $75,000 gross income
Declared two stimulus packages worth $ 1.5 billion
Financial Package One
Bill to disburse $700 bn in stages
After the first $250 bn is authorised, President could request another $100 bn
Final $350 bn could be cleared by a further act of Congress
Financial Package Two
Fed will purchase up to $600 billion more in mortgage-related assets
Fed will lend up to $200 billion to the holders of securities backed by various types of consumer loans
Fed will buy up to $100 billion in direct obligations from mortgage giants
US Govt Measures
Up to about $1.8 trillion in Fed purchases of top-rated US dollar commercial paper under a facility launched in October
Up to about $1.9 trillion in new Federal Deposit Insurance Corp (FDIC) guarantees for banks
Up to $800 billion in Fed support for mortgage and consumer credit markets
Up to $600 billion in Fed purchases of US dollar commercial paper and certificates of deposit under a Money Market Investor Funding
Up to $900 billion in Fed Term Auction Facility loans was offered to meet financial institutions' cash needs
Unlimited commitments to lend through discount window to banks and broker dealers(totaled $296.82 billion as of Nov. 19)
$700 billion for the Treasury to buy equity stakes in financial institutions
Treasury, the FDIC and the Fed have agreed to shoulder up to $249.3 billion in losses from a Citigroup portfolio
Unlimited temporary Fed currency swap lines with the Central banks, Fed maintains $165 billion in swap lines with other banks
Up to $50 billion from the Great Depression-era Exchange Stabilisation Fund
At least $26.57 billion in Treasury direct purchases of mortgage-backed securities since September
$200 billion to backstop Fannie Mae and Freddie Mac
Up to $144 billion in additional MBS purchases by Fannie Mae and Freddie Mac
AIG will get up to $152.5 billion in support from Treasury equity purchases
$300 billion for the Federal Housing Administration to refinance failing mortgages
$4 billion in grants to local communities to help them buy and repair homes
$29 billion in financing for JPMorgan Chase's government-brokered buyout of Bear Stearns & Co in March.
France
President Sarkozy unveiled a $32.9 billion stimulus plan
Targeting investment projects rather than directly aiding consumer
Measure to boost GDP by 0.6% by 2009
French package will cost 1.3% of GDP, will push budget deficit to 3.9%
Budget deficit will be above the European Union’s 3% limit
EU allowed the exceed budget limits in 2009
United Kingdom
Prepared a $29.06 bn package centering around consumer tax cut
Announced a range of tax cuts and govt spending over 18 months
Package includes 2.5% cut in VAT to 15%, postponement of corporate increase
Package will increase public borrowing to $178.6 bn next year, nearly 8% of Britain’s GDP
Germany
Unveiled plans worth 31 billion euros or 1.25% of GDP
Govt refusing to deliver tax cuts to help stimulate economic growth
Package will generate investments and new contracts worth over 50 billion euros over 2 years
New lending of up to 15 billion euros will be introduced, strengthen its lending activities
Russia
Unveiled $20 billion economic stimulus package
Package includes cut in profit tax to 24% from 20%
Govt sanctioned state-run banks to support industry with billions of dollars of soft lending
European Union
Fiscal boost amounting to 200 billion euros($260 bn), nearly 1.5% of EU’s GDP
EU commission urges member-states to commit 170 billion euros to their own rescue package
Considering system of guarantees and loan subsidies where credit is tight
Aid to SMEs increased to 30 billion euros from 10 billion Euros
China
Introduced stimulus package worth 4 trillion yuan ($586 bn)
Package mainly for govt spending on infra projects and earthquake-related relief work
Stimulus package to boost domestic demand through 2010
VAT rule changes allows companies to deduct the cost of core investment expenses
Govt increased export tax rebates for wide range of products
Australia
More than $ 12 bn for auto industry, family benefit and domestic residential backed mortgage market
Japan
$51 billion package for new govt spending
Package includes payout to families, tax break on mortgages
South Korea
$25 billion announced till date to ease financial crisis
Taiwan
$30 billion for domestic investment and consumption
Shopping voucher handout about Taiwan dollar 3,600 per citizen
Argentina
President announced $3.7 billion plan to deal with spreading financial crisis.
Source: Agencies
Here’s a look at the specific fire-fighting measures announced by various countries.
United States
President-elect Barack Obama crafting $175 bn package to create 2.5 million jobs
President George Bush signed a $168 bn, 2-yr stimulus into law in early 2008
Package includes tax rebates of up to $600 per individual earning $75,000 gross income
Declared two stimulus packages worth $ 1.5 billion
Financial Package One
Bill to disburse $700 bn in stages
After the first $250 bn is authorised, President could request another $100 bn
Final $350 bn could be cleared by a further act of Congress
Financial Package Two
Fed will purchase up to $600 billion more in mortgage-related assets
Fed will lend up to $200 billion to the holders of securities backed by various types of consumer loans
Fed will buy up to $100 billion in direct obligations from mortgage giants
US Govt Measures
Up to about $1.8 trillion in Fed purchases of top-rated US dollar commercial paper under a facility launched in October
Up to about $1.9 trillion in new Federal Deposit Insurance Corp (FDIC) guarantees for banks
Up to $800 billion in Fed support for mortgage and consumer credit markets
Up to $600 billion in Fed purchases of US dollar commercial paper and certificates of deposit under a Money Market Investor Funding
Up to $900 billion in Fed Term Auction Facility loans was offered to meet financial institutions' cash needs
Unlimited commitments to lend through discount window to banks and broker dealers(totaled $296.82 billion as of Nov. 19)
$700 billion for the Treasury to buy equity stakes in financial institutions
Treasury, the FDIC and the Fed have agreed to shoulder up to $249.3 billion in losses from a Citigroup portfolio
Unlimited temporary Fed currency swap lines with the Central banks, Fed maintains $165 billion in swap lines with other banks
Up to $50 billion from the Great Depression-era Exchange Stabilisation Fund
At least $26.57 billion in Treasury direct purchases of mortgage-backed securities since September
$200 billion to backstop Fannie Mae and Freddie Mac
Up to $144 billion in additional MBS purchases by Fannie Mae and Freddie Mac
AIG will get up to $152.5 billion in support from Treasury equity purchases
$300 billion for the Federal Housing Administration to refinance failing mortgages
$4 billion in grants to local communities to help them buy and repair homes
$29 billion in financing for JPMorgan Chase's government-brokered buyout of Bear Stearns & Co in March.
France
President Sarkozy unveiled a $32.9 billion stimulus plan
Targeting investment projects rather than directly aiding consumer
Measure to boost GDP by 0.6% by 2009
French package will cost 1.3% of GDP, will push budget deficit to 3.9%
Budget deficit will be above the European Union’s 3% limit
EU allowed the exceed budget limits in 2009
United Kingdom
Prepared a $29.06 bn package centering around consumer tax cut
Announced a range of tax cuts and govt spending over 18 months
Package includes 2.5% cut in VAT to 15%, postponement of corporate increase
Package will increase public borrowing to $178.6 bn next year, nearly 8% of Britain’s GDP
Germany
Unveiled plans worth 31 billion euros or 1.25% of GDP
Govt refusing to deliver tax cuts to help stimulate economic growth
Package will generate investments and new contracts worth over 50 billion euros over 2 years
New lending of up to 15 billion euros will be introduced, strengthen its lending activities
Russia
Unveiled $20 billion economic stimulus package
Package includes cut in profit tax to 24% from 20%
Govt sanctioned state-run banks to support industry with billions of dollars of soft lending
European Union
Fiscal boost amounting to 200 billion euros($260 bn), nearly 1.5% of EU’s GDP
EU commission urges member-states to commit 170 billion euros to their own rescue package
Considering system of guarantees and loan subsidies where credit is tight
Aid to SMEs increased to 30 billion euros from 10 billion Euros
China
Introduced stimulus package worth 4 trillion yuan ($586 bn)
Package mainly for govt spending on infra projects and earthquake-related relief work
Stimulus package to boost domestic demand through 2010
VAT rule changes allows companies to deduct the cost of core investment expenses
Govt increased export tax rebates for wide range of products
Australia
More than $ 12 bn for auto industry, family benefit and domestic residential backed mortgage market
Japan
$51 billion package for new govt spending
Package includes payout to families, tax break on mortgages
South Korea
$25 billion announced till date to ease financial crisis
Taiwan
$30 billion for domestic investment and consumption
Shopping voucher handout about Taiwan dollar 3,600 per citizen
Argentina
President announced $3.7 billion plan to deal with spreading financial crisis.
Source: Agencies
Legal firms to make hay in slowdown
Fortunes of domestic law firms will continue to rise on account of spurt in layoffs and commercial disputes, even though the government injected a booster dose of over Rs 30,000 crore to propel growth.
"Workload on disputes pertaining to joint venture terminations, franchising problems and layoffs have increased as companies have started taking pre-emptive actions," said senior partner of the law firm Titus and Co, Diljeet Titus.
Although the government has come out with a fiscal stimulus package to boost industrial growth and economy, it is unlikely to have perceptible impact in the short run and raise business confidence, which has led to layoffs, partial and complete closure of plants and termination of joint ventures, especially those involving foreign partners.
According to Titus, who deals mostly with foreign clients, "Recently, we have received more than two dozen references on joint venture terminations, closure of wholly owned subsidiaries, branch offices and liaison offices."
Company law expert U K Chaudhary said, "We have been approached by some big companies for consultation work on compensation package for the employees to be retrenched."
Several big and small companies battling demand slowdown are trying to get rid of surplus employees to save costs.
"It is true that world is suffering from a severe financial crisis, but for many Indian legal firms, it is a boom time and lawyers across the country are getting a lot of works related to litigation and drafting," opined Rabindra Jhunjhunwala, Partner Khaitan and Co.
According to latest IMF estimates, world economic growth rate is expected to slow down to 2.2 % in 2009. Many countries in the world including the US, Eurozone nations and Japan are in recession. Economic growth rate in India too is expected to moderate to 7 % during 2008-09 from 9 % in the previous fiscal.
Source: Agencies
"Workload on disputes pertaining to joint venture terminations, franchising problems and layoffs have increased as companies have started taking pre-emptive actions," said senior partner of the law firm Titus and Co, Diljeet Titus.
Although the government has come out with a fiscal stimulus package to boost industrial growth and economy, it is unlikely to have perceptible impact in the short run and raise business confidence, which has led to layoffs, partial and complete closure of plants and termination of joint ventures, especially those involving foreign partners.
According to Titus, who deals mostly with foreign clients, "Recently, we have received more than two dozen references on joint venture terminations, closure of wholly owned subsidiaries, branch offices and liaison offices."
Company law expert U K Chaudhary said, "We have been approached by some big companies for consultation work on compensation package for the employees to be retrenched."
Several big and small companies battling demand slowdown are trying to get rid of surplus employees to save costs.
"It is true that world is suffering from a severe financial crisis, but for many Indian legal firms, it is a boom time and lawyers across the country are getting a lot of works related to litigation and drafting," opined Rabindra Jhunjhunwala, Partner Khaitan and Co.
According to latest IMF estimates, world economic growth rate is expected to slow down to 2.2 % in 2009. Many countries in the world including the US, Eurozone nations and Japan are in recession. Economic growth rate in India too is expected to moderate to 7 % during 2008-09 from 9 % in the previous fiscal.
Source: Agencies
Cost of outsourcing may creep up!
The Mumbai terror attacks couldn’t have come at a worse time for the $50-billion IT BPO industry.
Though many industry honchos feel that the IT BPO sector may now see a further slowdown in new business and client visits, others feel that clients will now look at setting up disaster recovery centres as an integral part of strategy which will lead to an additional cost burden.
Most industry leaders are still unanimous that the perception of India as an outsourcing destination will remain unchanged. There will, however, be a short-term impact. Employee security will also be beefed up further. Experts also add that there will be fewer overseas customer visits, at least in the short term, delaying due diligence process, which will impact new business in the short term.
“Outsourcing as a business strategy is inevitable in the long term. But in the short-to-medium term, we will definitely see the cost of outsourcing go up. This is because vendors will have to provide centres in multiple cities in order to have a strong disaster recovery and business continuity strategy. This will make the cost of outsourcing go up,” says Avinash Vashishtha, CEO of Tholons, an outsourcing advisory firm.
The apex body for IT and BPO industry Nasscom, however, said all its offices will remain open. “We have some global events lined up in Hyderabad which are on track. We will not bow down to terror. The industry has put in business continuity plans to ensure 24/7 operations. We are confident that the government is dealing with this issue very strongly. The city of Mumbai is resilient and will rise from this crisis as have all the other major cities,” said Nasscom President Som Mittal.
Some Mumbai-based BPOs say that they continue to operate though with less staff. Some BPOs like Firstsource diverted its call traffic to its locations in other cities.
“We have our disaster recovery centres in different cities so calls have been diverted there thus having less impact on business. We also have our offices in Malad and Vashi where business is going on. Clients also understand that terrorism is not limited to certain geography and we will not see an impact in the long term,” says Firstsource CEO Ananda Mukherji.
On the other hand, WNS, which is one of the largest international BPO headquartered in Mumbai is monitoring the situation closely. “Our staff members are safe and client operations at our Mumbai units have not been adversely impacted. Our business continuity management team is monitoring the situation. We are taking all precautionary steps to ensure the safety of our staff members in addition to ensuring continuity of business operations,” says group COO Anup Gupta.
Meanwhile, India’s largest BPO, Genpact also discounts claims that client perception will get impacted in the long term. “When unprecedented situations like these come up, the first thing that we try and ensure is that our employees are safe in the affected region and assurance to customers that deals will remain unaffected. Our business continuity plans are well in place,” says Piyush Mehta, senior VP and HR head, Genpact.
But there are some industry honchos who disagree, as well. According to Raman Roy, CEO of Quattro BPO, it would be wrong to say, that the massacre in the commercial capital of the country will not affect business.
Source: Times of India
Though many industry honchos feel that the IT BPO sector may now see a further slowdown in new business and client visits, others feel that clients will now look at setting up disaster recovery centres as an integral part of strategy which will lead to an additional cost burden.
Most industry leaders are still unanimous that the perception of India as an outsourcing destination will remain unchanged. There will, however, be a short-term impact. Employee security will also be beefed up further. Experts also add that there will be fewer overseas customer visits, at least in the short term, delaying due diligence process, which will impact new business in the short term.
“Outsourcing as a business strategy is inevitable in the long term. But in the short-to-medium term, we will definitely see the cost of outsourcing go up. This is because vendors will have to provide centres in multiple cities in order to have a strong disaster recovery and business continuity strategy. This will make the cost of outsourcing go up,” says Avinash Vashishtha, CEO of Tholons, an outsourcing advisory firm.
The apex body for IT and BPO industry Nasscom, however, said all its offices will remain open. “We have some global events lined up in Hyderabad which are on track. We will not bow down to terror. The industry has put in business continuity plans to ensure 24/7 operations. We are confident that the government is dealing with this issue very strongly. The city of Mumbai is resilient and will rise from this crisis as have all the other major cities,” said Nasscom President Som Mittal.
Some Mumbai-based BPOs say that they continue to operate though with less staff. Some BPOs like Firstsource diverted its call traffic to its locations in other cities.
“We have our disaster recovery centres in different cities so calls have been diverted there thus having less impact on business. We also have our offices in Malad and Vashi where business is going on. Clients also understand that terrorism is not limited to certain geography and we will not see an impact in the long term,” says Firstsource CEO Ananda Mukherji.
On the other hand, WNS, which is one of the largest international BPO headquartered in Mumbai is monitoring the situation closely. “Our staff members are safe and client operations at our Mumbai units have not been adversely impacted. Our business continuity management team is monitoring the situation. We are taking all precautionary steps to ensure the safety of our staff members in addition to ensuring continuity of business operations,” says group COO Anup Gupta.
Meanwhile, India’s largest BPO, Genpact also discounts claims that client perception will get impacted in the long term. “When unprecedented situations like these come up, the first thing that we try and ensure is that our employees are safe in the affected region and assurance to customers that deals will remain unaffected. Our business continuity plans are well in place,” says Piyush Mehta, senior VP and HR head, Genpact.
But there are some industry honchos who disagree, as well. According to Raman Roy, CEO of Quattro BPO, it would be wrong to say, that the massacre in the commercial capital of the country will not affect business.
Source: Times of India
Is ur battery dead? Fuel cells to chip in
How many times have you come across the dreaded situation where you have to make an all-important call and find yourself in the midst of nowhere with a dead cell phone battery? You do not have a charger and you are miles away from access to a plug point. What could you possibly do in such a scenario?
Well, there are a couple of solutions available. One could carry along a spare charged battery, and voila! you have a fully charged phone as soon as you replace the discharged battery. However, this might not always be possible. Oh, and I know quite a few people (whom I shall call Mobile Killers) who can make the most powerful batteries bite the dust in a matter of a few hours. They are people who use the multimedia capabilities of the cellphones of today and remain connected to the Internet via 3G, WiFi or GPRS simultaneously -- insatiable battery resource hogging features.
Other options include devices like these, which certainly do the job, but are not reliable, and guess what? I feel these are "stop gap" arrangements. What we need is a permanent solution to this issue. So, here's something that's futuristic enough to feature on Future Watch!
Enter fuel cells. Now, automobile buffs might be aware that fuel cell powered cars and buses are being used in many countries; as far as I know, this is the most popular application for fuel cells. However, there have been continuous advancements in this field over the past few years, and we have seen instances of fuel cell usage migrating to other applications, ranging from fuel cell powered submarines to concepts of portable "on the fly" chargers for your gadgets.
To date, fuel cell powered chargers were restricted by legislation - being banned on flights because of the presence of methanol, butane, and formic acid in the fuel cell apparatus. This legislation has stunted the growth of the "compact" fuel cell industry all these years; it was recently scrapped by the US Department of Transportation. This has, as expected, lead to a heightened interest in this field due to the financial rewards that can be reaped by targeting this untapped market. So, what is in store now?
Companies like Lilliputian Systems and Medis Technologies are already working on little fuel cell based "generators" that will keep your gadgets powered for a long time with its cigarette lighter sized fuel cell based charging devices. These devices are expected to see the light of day sometime in the last quarter of 2009. Some others, on the other hand, have already introduced products that might be a bit ungainly to look at now. Hey, that's OK. They are new devices. Remember the first cellphone? You might not want to be seen dead with it now. These products, according to Lilliputian Systems, will be sold for $100 and $150 with recharge cartridge prices ranging from $1 to $3.
Expect a slew of devices by the end of next year, and you could finally have a futuristic 'charging point on the go' at your disposal!
Source: Techtree.com
Well, there are a couple of solutions available. One could carry along a spare charged battery, and voila! you have a fully charged phone as soon as you replace the discharged battery. However, this might not always be possible. Oh, and I know quite a few people (whom I shall call Mobile Killers) who can make the most powerful batteries bite the dust in a matter of a few hours. They are people who use the multimedia capabilities of the cellphones of today and remain connected to the Internet via 3G, WiFi or GPRS simultaneously -- insatiable battery resource hogging features.
Other options include devices like these, which certainly do the job, but are not reliable, and guess what? I feel these are "stop gap" arrangements. What we need is a permanent solution to this issue. So, here's something that's futuristic enough to feature on Future Watch!
Enter fuel cells. Now, automobile buffs might be aware that fuel cell powered cars and buses are being used in many countries; as far as I know, this is the most popular application for fuel cells. However, there have been continuous advancements in this field over the past few years, and we have seen instances of fuel cell usage migrating to other applications, ranging from fuel cell powered submarines to concepts of portable "on the fly" chargers for your gadgets.
To date, fuel cell powered chargers were restricted by legislation - being banned on flights because of the presence of methanol, butane, and formic acid in the fuel cell apparatus. This legislation has stunted the growth of the "compact" fuel cell industry all these years; it was recently scrapped by the US Department of Transportation. This has, as expected, lead to a heightened interest in this field due to the financial rewards that can be reaped by targeting this untapped market. So, what is in store now?
Companies like Lilliputian Systems and Medis Technologies are already working on little fuel cell based "generators" that will keep your gadgets powered for a long time with its cigarette lighter sized fuel cell based charging devices. These devices are expected to see the light of day sometime in the last quarter of 2009. Some others, on the other hand, have already introduced products that might be a bit ungainly to look at now. Hey, that's OK. They are new devices. Remember the first cellphone? You might not want to be seen dead with it now. These products, according to Lilliputian Systems, will be sold for $100 and $150 with recharge cartridge prices ranging from $1 to $3.
Expect a slew of devices by the end of next year, and you could finally have a futuristic 'charging point on the go' at your disposal!
Source: Techtree.com
IBM, Harvard want your PC for solar power study
Scientists at Harvard University and IBM are hoping to harness the power of a million idle computers to develop a new, cheaper form of solar power that could revolutionize the green energy world.
Researchers have launched the project using IBM's World Community Grid, which taps into volunteers' computers across the globe to run calculations on a myriad of compounds - potentially shortening a project that could take 22 years to just two years.
Harvard scientists are hoping the project will allow it to discover a combination of organic materials that can be used to manufacture plastic solar cells that are cheaper and more flexible than the silicon-based ones typically used to turn sunlight into electricity.
The technology could be used to coat windows, make backpacks or line blankets to produce electricity from the sun's rays. Technology to make the plastic cells already exists, but they are not yet efficient enough to be rolled out in commercial products.
"It is not now cost efficient, although the materials are cheap because it's plastic," said Alan Aspuru-Guzik, a chemistry researcher at Harvard University. The most efficient silicon-based photovoltaic solar cells convert about 20 percent of the sunlight that strikes them into electricity.
For now, the organic cells can turn only about 5 percent of the sunlight into power - half the level needed to make the low-cost cells a viable energy source. The researchers plan to publish results of the work once they have discovered a possible combination of compounds.
IBM developed its World Community Grid to advance research of humanitarian projects, such as fighting cancer, dengue fever and AIDS. The grid connects computers in homes or offices via the Internet with program on each machine to run calculations that feed back to the database.
"It's a way for people that have computers to do some good for the world," said IBM engineer Joe Jasinski. With more than a million volunteers currently linked to the World Community Grid, IBM said it had created a network with a massive calculating capability that would rank it among the top 10 most powerful supercomputers in the world.
Members of the grid download software to their personal computers that run the calculations as a screensaver program on the machine when it is turned on but not in use. IBM includes security software to protect the participants' computers. Such virtual networks are also in place to crunch data for other projects, such as SETI's effort to sift through radio telescope signals for signs of extraterrestrial life in the universe.
Source: Reuters
Researchers have launched the project using IBM's World Community Grid, which taps into volunteers' computers across the globe to run calculations on a myriad of compounds - potentially shortening a project that could take 22 years to just two years.
Harvard scientists are hoping the project will allow it to discover a combination of organic materials that can be used to manufacture plastic solar cells that are cheaper and more flexible than the silicon-based ones typically used to turn sunlight into electricity.
The technology could be used to coat windows, make backpacks or line blankets to produce electricity from the sun's rays. Technology to make the plastic cells already exists, but they are not yet efficient enough to be rolled out in commercial products.
"It is not now cost efficient, although the materials are cheap because it's plastic," said Alan Aspuru-Guzik, a chemistry researcher at Harvard University. The most efficient silicon-based photovoltaic solar cells convert about 20 percent of the sunlight that strikes them into electricity.
For now, the organic cells can turn only about 5 percent of the sunlight into power - half the level needed to make the low-cost cells a viable energy source. The researchers plan to publish results of the work once they have discovered a possible combination of compounds.
IBM developed its World Community Grid to advance research of humanitarian projects, such as fighting cancer, dengue fever and AIDS. The grid connects computers in homes or offices via the Internet with program on each machine to run calculations that feed back to the database.
"It's a way for people that have computers to do some good for the world," said IBM engineer Joe Jasinski. With more than a million volunteers currently linked to the World Community Grid, IBM said it had created a network with a massive calculating capability that would rank it among the top 10 most powerful supercomputers in the world.
Members of the grid download software to their personal computers that run the calculations as a screensaver program on the machine when it is turned on but not in use. IBM includes security software to protect the participants' computers. Such virtual networks are also in place to crunch data for other projects, such as SETI's effort to sift through radio telescope signals for signs of extraterrestrial life in the universe.
Source: Reuters
Sunday, December 7, 2008
Who will be the new Indian finance minister?
Hunt is on for a new finance minister with the names of SM Krishna, C Rangarajan and Kapil Sibal under consideration in the wake of Chidambaram's shift to the home ministry.
Prime Minister Manmohan Singh, more comfortable with bureaucrats and technocrats, would ideally like Planning Commission Deputy Chairman Montek Singh Ahluwalia to take over finance. But this is something not acceptable to the Congress party, say well placed sources.
For the same reason, the Congress would have reservations about C. Rangarajan, former governor of the Reserve Bank of India, who has headed the prime minister's Economic Advisory Council.
The Congress would like to elevate a politician to the position.
Though Manmohan Singh took over the finance portfolio in the wake of Shivraj Patil's resignation as home minister and Chidambaram's move to home following the terror strike in Mumbai, he would like a full time finance minister, party sources say.
The prime minister already has charge of three weighty ministries - coal, after the exit of Shibu Soren who has taken over as chief minister of Jharkhand, information and broadcasting after the illness of Priya Ranjan Dasmunsi, and environment and forests.
As things stand, the government may go in for vote on account in February, rather than a full budget, on the eve of general elections. But finance entails a very heavy load, the sources say. This is even more urgent now with a full-blown economic crisis the world over with India not being spared either from its fallout.
The name of S.M. Krishna, former chief minister of Karnataka, is doing the rounds for finance. His name was also under consideration for home minister after Shivraj Patil's resignation, but the party decided to plump for Chidambaram instead.
Then there is Kapil Sibal - the prime minister enjoys a sense of comfort with him - but he is being considered too junior by the party.
It is said that 10, Janpath (residence of Congress president Sonia Gandhi) was wary of both External Affairs Minister Pranab Mukherjee and Congress general secretary Digvijay Singh - both names were under consideration - for home minister because they are considered politically astute and "may do a Narasimha Rao on Sonia Gandhi" and outsmart her.
The prime minister has not been enthusiastic about giving finance to Pranab Mukherjee, even though Manmohan Singh has relied heavily on Mukherjee in the last four years to run his government, and made him head of the 50 plus Group of Ministers (GOMs). It has been a government that has ruled through GOMs.
Whenever the question of a cabinet reshuffle has come up for discussion during the last three years, the idea of Mukherjee as either home minister or as finance minister has not found favour.
Mukherje is identified with a left-of-centre image. He was not given finance even in 1991 when P.V. Narasimha Rao became prime minister and opened up the economy, choosing Manmohan Singh as his finance minister to lead the process of reforms.
Left to himself, the "non-political" prime minister is happier working with bureaucrats than with politicians. He has given cabinet and minister of state status to almost as many bureaucrats and technocrats as to the politicians in his government.
These include those heading the Economic Advisory Council, National Knowledge Commission, National Disaster Management Authority, Inter State Council, National Manufacturing Competitiveness Council, to name a few. And of course, the powerful National Security Adviser M.K. Narayanan.
Source: Agencies
Prime Minister Manmohan Singh, more comfortable with bureaucrats and technocrats, would ideally like Planning Commission Deputy Chairman Montek Singh Ahluwalia to take over finance. But this is something not acceptable to the Congress party, say well placed sources.
For the same reason, the Congress would have reservations about C. Rangarajan, former governor of the Reserve Bank of India, who has headed the prime minister's Economic Advisory Council.
The Congress would like to elevate a politician to the position.
Though Manmohan Singh took over the finance portfolio in the wake of Shivraj Patil's resignation as home minister and Chidambaram's move to home following the terror strike in Mumbai, he would like a full time finance minister, party sources say.
The prime minister already has charge of three weighty ministries - coal, after the exit of Shibu Soren who has taken over as chief minister of Jharkhand, information and broadcasting after the illness of Priya Ranjan Dasmunsi, and environment and forests.
As things stand, the government may go in for vote on account in February, rather than a full budget, on the eve of general elections. But finance entails a very heavy load, the sources say. This is even more urgent now with a full-blown economic crisis the world over with India not being spared either from its fallout.
The name of S.M. Krishna, former chief minister of Karnataka, is doing the rounds for finance. His name was also under consideration for home minister after Shivraj Patil's resignation, but the party decided to plump for Chidambaram instead.
Then there is Kapil Sibal - the prime minister enjoys a sense of comfort with him - but he is being considered too junior by the party.
It is said that 10, Janpath (residence of Congress president Sonia Gandhi) was wary of both External Affairs Minister Pranab Mukherjee and Congress general secretary Digvijay Singh - both names were under consideration - for home minister because they are considered politically astute and "may do a Narasimha Rao on Sonia Gandhi" and outsmart her.
The prime minister has not been enthusiastic about giving finance to Pranab Mukherjee, even though Manmohan Singh has relied heavily on Mukherjee in the last four years to run his government, and made him head of the 50 plus Group of Ministers (GOMs). It has been a government that has ruled through GOMs.
Whenever the question of a cabinet reshuffle has come up for discussion during the last three years, the idea of Mukherjee as either home minister or as finance minister has not found favour.
Mukherje is identified with a left-of-centre image. He was not given finance even in 1991 when P.V. Narasimha Rao became prime minister and opened up the economy, choosing Manmohan Singh as his finance minister to lead the process of reforms.
Left to himself, the "non-political" prime minister is happier working with bureaucrats than with politicians. He has given cabinet and minister of state status to almost as many bureaucrats and technocrats as to the politicians in his government.
These include those heading the Economic Advisory Council, National Knowledge Commission, National Disaster Management Authority, Inter State Council, National Manufacturing Competitiveness Council, to name a few. And of course, the powerful National Security Adviser M.K. Narayanan.
Source: Agencies
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