Microsoft begins paving path for IT, cloud integration

Microsoft last week launched its first serious effort to build IT into its cloud plans by introducing technologies that help connect existing corporate networks and cloud services to make them look like a single infrastructure.

The concept began to come together at Microsoft's Professional Developers Conference. The company is attempting to show that it wants to move beyond the first wave of the cloud trend, which is defined by the availability of raw computing power supplied by Microsoft and competitors such as Amazon and Google. Microsoft's goal is to supply tools, middleware and services so users can run applications that span corporate and cloud networks, especially those built with Microsoft's Azure cloud operating system.

“Azure is looking at the second wave,” says Ray Valdes, an analyst with Gartner. “That wave is what happens after raw infrastructure. When companies start moving real systems to the cloud and those systems are hybrid and they have to connect back in significant ways to legacy environments. It's a big challenge and a big opportunity for Microsoft.”

To attack the opportunity, Microsoft introduced projects called Sydney, AppFabric, Next Generation Active Directory, System Center “Cloud”, and updates to the .Net Framework that provide bridges between corporate networks and cloud services. While a small portion of the software is available now, the majority will hit beta cycles in 2010.

via Microsoft begins paving path for IT, cloud integration.

Swiss to Reveal Tax Man Tactics

Switzerland will unveil the criteria behind the disclosure of 4,450 UBS accounts handed over to U.S. tax officials at a press conference tomorrow, Bloomberg reports.

As part of a late summer settlement between UBS and the U.S. government, the Swiss banking giant agreed to hand over the names on those UBS accounts. (UBS paid $780 million in February to settle criminal charges that the bank helped wealthy American clients avoid paying U.S. taxes.)

Swiss officials are expected to reveal the model used by IRS and Justice Department lawyers to suss out overseas tax evaders. The Am Law Daily reported in August that the Justice Department might never release an appendix to its UBS accord detailing the criteria used to select the 4,450 accounts, because it doesn't want to tip its hand on disclosure requirements and possibly incentivize individuals not to come forward under an amnesty program.

The amnesty deadline for U.S. citizens to file income tax returns disclosing assets stashed away in offshore tax havens passed on October 15. Swiss authorities withheld details of how UBS accounts were selected so as not to interfere with the IRS's voluntary disclosure program, which saw about 7,500 Americans submit filings.

Now the country's Justice Ministry–making more headlines recently for its role in the Roman Polanski case–will announce more intimate details of its arrangement with U.S. regulators. According to Bloomberg, the criteria will likely be based on a point system that automatically triggered the disclosure of certain accounts.

Like speeders getting pulled over by state troopers on a highway, certain accounts would accrue points based on certain characteristics. Have a million Swiss francs in your local savings bank in lakeside Lucerne? That's a point. Financial arrangements structured as foreign trusts and foundations also are fertile ground for red flags, Bloomberg reports.

The IRS has recently opened new offices in Beijing, Panama City, and Sydney as part of its effort to crackdown on overseas tax havens for U.S. citizens. Bloomberg recently reported that Hong Kong has become a target for federal prosecutors keen on determining how the roles financial professionals possibly linked to tax evasion have evolved after the former British colony was returned to China in 1997.

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