Facebook Unveils Global Internet Access Initiative

Jakarta Globe – AFP, August 21, 2013

A man is silhouetted against a video screen with an Facebook logo as he
 poses with a laptop in this photo illustration taken in the central Bosnian
town of Zenica on Aug. 14, 2013. (Reuters Photo/Dado Ruvic)

New York City. Facebook and other technology giants launched an initiative on Wednesday designed to give the whole world access to the Internet.

The project is entitled Internet.org and its goal is to extend Internet access to five billion people by cutting the cost of smart phone-based Internet services in developing countries.

“Everything Facebook has done has been about giving all people around the world the power to connect,” Facebook founder Mark Zuckerberg said.

“There are huge barriers in developing countries to connecting and joining the knowledge economy,” he said, adding that the project aimed to make it easier and cheaper to connecting to the web.

The other partners in the project are Nokia, Ericsson, Samsung, Qualcomm, MediaTek and Opera, while Twitter and LinkedIn are also due to sign up.

Today some 2.7 billion people, just over a third of the world’s population, have access to the Internet, and the number of new users is growing only slowly each year, a statement said.

“The goal of Internet.org is to make Internet access available to the two-thirds of the world who are not yet connected, and to bring the same opportunities to everyone that the connected third of the world has today,” the statement said.

The seven founding partners are going to develop joint projects, share knowledge and mobilize governments and industry to bring the world online.

Specifically, they want to simplify mobile apps to make them more efficient and improve telephone components and networks so they perform better while consuming less energy.

They also want to develop lower-cost, higher-quality smartphones and partnerships to more broadly deploy Internet access in underserved communities.

Zuckerberg insisted in an interview with CNN that the project was not simply aimed at generating more customers.

“If we were just focused on making money, the first billion people we’ve connected have way more money than the rest of the next six billion combined. It’s not fair but it’s the way that it is,” he said.

The partnership emulates one launched by Facebook in 2011 called Open Compute Project, which also aims to improve the materials used in call centers and make them less energy-hungry.

That project was originally met with scepticism but has gradually won over the major players in the computer industry.

The new thrust comes at a key time for tech groups. Mature markets are saturated and have little potential for significant growth, while poor regions like Africa, Latin America and some parts of Asia are pools of potential new customers.

Agence France-Presse

Mike Tyson confused by Chinese web humour

South China Morning Post - AFP, Beijing, 20 August, 2013

Mike Tyson. Photo: AFP

Boxing legend Mike Tyson is keen to up his profile in China but is struggling to get to grips with the country’s sardonic sense of humour, judging by his online “weibo” debut.

The former world heavyweight champion opened a verified account on the Twitter-like Sina Weibo service on Monday, and asked in his second posting: “Who’s the best fighter in China?”

A popular response was “chengguan”, China’s widely despised enforcers of urban regulations, who have a reputation for brutality.

But the boxer, who retired in 2005 after a career noted for controversy inside and outside the ring including a rape conviction, replied: “Who is Chengguan? A tough man? I’ve never heard it.”

“Many guys talking about cheng guan as a great fighter? still not a clue about him...” he added later.

Tyson was following celebrities including Brad Pitt and David Beckham on to Sina Weibo, and had 75,000 followers by Tuesday afternoon.

Tyson’s posts quickly became among the most reposted on Sina, with tens of thousands of followers commenting on a potential fight.

“They will be the ones biting your ear,” said one poster Tuesday, referring to the 1997 WBA heavyweight championship bout which was stopped after Tyson bit Evander Holyfield.

“You fight others in the ring legally in US Chengguan fight others in the street legally in China,” said another sarcastic comment.

Excessive zeal from chengguan enforcers regularly attracts media attention in China. Last month Deng Zhengjia, a 56-year-old watermelon stallholder, died in an encounter with them in the central province of Hunan.

Media reports citing his wife said an officer smashed Deng’s head with a metal measuring weight, although the county government denied the allegation.

Another poster told Tyson: “If you really want to challenge our chengguan, just sell your American hamburgers in our Chinese streets.”

nc

Amazon.com website goes offline

BBC News, 19 August 2013

Related Stories

• Washington Post and CNN hit by hack
• New York Times site returns online

Amazon's US site is warning visitors of a problem

Amazon.com has become the latest high-profile website to go offline in recent days.

Visitors to the US shopping site were greeted with a message saying: "Oops! We're very sorry," alongside a "500 Service Unavailable Error" report.

The site returned online about half an hour after the problem was first flagged by users of the news site Reddit.

Amazon could not be reached for comment at this time.

It follows Google's two-minute downtime on Friday. That affected the firm's main search page as well as its Gmail email service, YouTube video site and Drive storage product.

Analytics firm GoSquared reported the fault caused a 40% dip in worldwide internet traffic. Google has not explained the cause.

Microsoft's Outlook.com and the New York Times website have also faced problems

Microsoft blamed a three-day-long disruption to its email product on a failure in its "caching" temporary storage service. It said this "resulted in a flood of traffic that our services did not handle properly".

The New York Times has said that an "internal issue" with its servers meant that the newspaper became unavailable for two hours on Wednesday.

Related Article:

Google goes dark for 2 minutes, kills 40% of world's net traffic

When Google goes dark, the internet KNOWS FEAR! (source: GoSquared)

China Everbright Bank joins hands with telecom giant in mobile finance

Want China Times, Xinhua 2013-08-19

An advert for China Everbright Bank. (Photo/CFP)

China Everbright Bank signed a strategic cooperation agreement with the telecom giant China Unicom on Sunday to develop business in mobile finance.

As the first Chinese bank to join hands with China Unicom in mobile finance, China Everbright Bank will focus on mobile payment service to facilitate near field and online payment as well as promotion in technological support and commercial applications.

Mobile payment can be applied in retail stores, public transportation, gas stations,restaurants and other locations, the bank said.

Their cooperation will also target financial smart card research and development to enable cross-sector services such as paying social insurance, utility bills and buying bullet train tickets.

Mobile finance has become an emerging market for banks as China's cabinet unveiled details of financial support for the cash-strapped small businesses, encouraging the innovation of online financial services via Internet and other new technologies in early August.

Scientists Report Quantum Teleportation Breakthroughs

PC Magazine, Damon Poeter, August 16, 2013

Two research teams publishing in the current issue of Nature said they have achieved breakthroughs in controlling "quantum teleportation," a process which uses the peculiarities of entangled quantum states in a pair of particles like photons to transfer information from one location to another instantaneously.

Scientists from Japan and Switzerland, in separate studies, produced new research developments which "could change the very face of computing and technological security," according to the National Journal.

The Swiss team, led by Andreas Wallraff of the Quantum Device Lab at the Swiss Federal Institute of Technology Zurich, accomplished "full deterministic quantum teleportation with feed forward" using a "chip-based superconducting circuit architecture," or in other words, a microchip, the scientists said. The upshot is that the device the team created appears to get around a big problem in quantum teleportation—that measuring the particles used in the process, known as qubits, alters them.

The Swiss team crafted a chip with tiny circuits that "each act like an atom," the National Journal reported, explaining that "[t]iny transmission lines connect the circuits and carry microwave radiation, which essentially joins the circuits and their properties to one another." Using this device, the scientists were able to input quantum information into one circuit and cause a signal going to a second circuit to change, then "use that altered signal to determine circuit A's original properties and transfer them to circuit B."

In plainer terms, the scientists were able to reliably "teleport" an electrical current from one circuit to another and measure the changed state with altering it, something no one had accomplished before.

The Japanese team, meanwhile, developed a "hybrid technique involving continuous-variable teleportation of a discrete-variable, photonic qubit." That novel technique minimizes photon loss during the quantum teleportation of information between photons, "allow[ing] for a faithful qubit transfer even with imperfect continuous-variable entangled states," they said.

These developments and other quantum teleportation breakthroughs are seen as key to the maturation of quantum computing and quantum encryption, two related, nascent technologies which theoretically could pave the way for vastly more powerful computers than we have today and uncrackable security protocols to protect the transfer of information between them.

Related Article:

"THE NEXT 18 YEARS"–  Dec 2, 2012 (Kryon Channelling by Lee Carroll) (Subjects: You are looking  at a Quantum event, clearing a filter - Portal pineal , Higher self to step forward and communicate to You, Still remains in 3D but exposure to multi dimensions, Evolution of humanity, Intent, Mayan Calendar, Midpoint on 21-12-2012, 26.000 Years, Milky Way, Nostradamus, 1987, Beginning to a New Time, Channellers/Teachers, Center of Galaxy – Black hole, Bridge of Swords, Pleiadians, Children, Inventions – The discoveries (e.g. : Airplanes - Medicines – Radio ...): These new Discoveries were given all over the planet when Human consciousness was ready for it, New Inventions are coming, the timing depends on how the middle East problems are solved, Biology reaction of quantum energy; new radio of the future, seeing quantum energy, when it is revealed all science books will have to be rewritten, This will be an AHA moment – be possible to communicate with the rest of Galaxy, NASA, Church/religion will be effected the most by these discoveries, The quantum discovery will see the grid, life, gardens and will redefine life, DNA (3 billion pieces) evolving piece DNA are chancing, Gaia/Humanity are linked, new instruments will start to reveal the DNA variance, Evolution revealed: Autistic children have born with the removal of their 3D structure in the brain, Gaia/Spirit are testing these quantum beings  (Evolved DNA), Universe central clock = Rifs,  Globally there will be only 5 currencies, Wars on earth will be declared barbaric, Middle East, Global Unity, .. etc.)

Al-Jazeera set to tackle US market

Google – AFP, Rob Lever (AFP), 17 August 2013

A journalist films the logo of Al Jazeera America's America Tonight at

the Newseum in Washington, DC, August 16, 2013 (AFP, Saul Loeb)

WASHINGTON — With a cast of TV news stars, deep pockets and an ambitious agenda, Al-Jazeera launches its US news channel on Tuesday, aiming to shake up the broadcast journalism market stateside.

The US cable channel will reach more than 40 million households and vastly expands the footprint of the Qatar-based media group, despite questions about how it will be received by American viewers.

Al-Jazeera America's audience is likely to start out small, but its bosses hope to have a big impact when it competes against already established brands such as CNN, MSNBC and Fox News.

Americans will be able to get 14 hours of news, documentary and discussion programming daily, and updates at the top of every hour 24 hours each day. But the selling point will be long-form reporting of stories overlooked by other news organizations.

"We know Americans want in-depth coverage of the news that matters to them," said Ehab Al Shihabi, interim chief executive of Al-Jazeera America.

Joie Chen, host of Al Jazeera America's

 America Tonight, at the Newseum in

Washington, DC, August 16, 2013

(AFP, Saul Loeb)

"They want more unbiased coverage and less opinion, that's what Al-Jazeera is about."

Yet some analysts say the channel will face a tough sell to US audiences because of its history in the Middle East, where it was the outlet for videos distributed by Al-Qaeda and Osama bin Laden. Some conservatives claim it is still anti-Western.

Shihabi said he believes Americans will come around once they see the programs.

He said surveys indicate that "75 percent of people who did not watch Al-Jazeera came on the negative size and 90 percent of those who watch Al-Jazeera came on the positive side."

Shihabi said 850 staff have been hired for 12 US bureaus, and will draw on 70 bureaus worldwide to give Al-Jazeera unmatched scale.

While the channel will be available to fewer than half of US households -- notably absent from Time Warner Cable, which is in discussions on carrying Al-Jazeera -- Shihabi hopes to reach 100 percent soon.

"We are investing heavily in advertising and branding," he said. "I'm sure it will be a short time before Al-Jazeera will be viral and people will be demanding Al-Jazeera."

Since acquiring Current TV, a struggling US cable channel which nevertheless had reach to US homes, Al-Jazeera has brought in well-known names in the industry, such as Soledad O'Brien and Ali Velshi from CNN, and Sheila MacVicar, formerly with ABC and CNN.

Al-Jazeera America president Kate O'Brian said the channel will "stay away from pundits and crazy celebrity news" while "covering all the stories that need to be covered."

"Our success is how well we tell the stories," she said in a conference call with reporters. "We will get people talking about the channel and wanting the channel."

Along with 24-hour news, Al-Jazeera will include several showcase programs starting with the 5:00 pm time slot and carrying into "prime time" evening viewing.

Shihabi said the channel will have only six minutes of advertising per hour, compared with an average of 15 minutes for most other channels.

Al-Jazeera's US operation is headquartered in New York, with a vast news hub and studio across from Penn Station. In Washington, the channel has taken studio space formerly occupied by ABC at the Newseum, overlooking the US Capitol.

David Shuster, a newly hired anchor and MSNBC and Fox News veteran, said he sees a "huge opportunity" because of the vast resources of Al-Jazeera, which he said probably becomes the largest broadcast news organization in the world.

"It turns the news business on its head," Shuster told AFP. "People want to watch the news, they want to be taken to the scene of what is happening."

He said other cable news outlets have become politicized and that "rather than invest in the field they put talking heads out there who yell and scream at each other."

Joie Chen, a former CNN and CBS journalist and one of the big US names lured to Al-Jazeera, said she was attracted by "the quality work they were doing."

"I wanted to be able to participate in the story telling. I did not want to be a news reader," said Chen, who will host the channel's flagship US program "America Tonight."

"We are not focused on the size of the audience, we are focused on the quality of the reporting.

"We want to tell stories that are currently underreported."

Former NBC news anchor John Seigenthaler sees Al-Jazeera providing "a little more depth, a little more perspective, a little more context, what we are all looking for in journalism."

Seigenthaler, the nightly news anchor, said the new channel will have notable advantages over other broadcasters.

"When I asked about ratings, they said they are not interested in ratings, they are interested in delivering the news. That's why this seemed like a different journey."

Related Article:

"Recalibration of Free Choice"–  Mar 3, 2012 (Kryon Channelling by Lee Carroll) - (Subjects: (Old) Souls, Midpoint on 21-12-2012, Shift of Human Consciousness, Black & White vs. Color, 1 - Spirituality (Religions) shifting, Loose a Pope “soon”, 2 - Humans will change react to drama, 3 - Civilizations/Population on Earth,  4 - Alternate energy sources (Geothermal, Tidal (Paddle wheels), Wind), 5 – Financials Institutes/concepts will change (Integrity – Ethical) , 6 - News/Media/TV to change, 7 – Big Pharmaceutical company will collapse “soon”, (Keep people sick), (Integrity – Ethical)  8 – Wars will be over on Earth, Global Unity, … etc.) - (Text version)

“…2 - Drama

Number two: Against everything you think is Human nature, Human Beings are going to start to react differently to drama. At the moment, drama is attractive. You're seeing your media on its last gasp of reality, giving you reality programs so you can watch drama, as though you didn't have enough of it at home. I want you to watch for this shift, because it's going to tell you that there is a shift taking place in basic Human nature. Eventually, these current things are not going to be attractive at all. Not at all. There'll come a time when you look backwards in time and you will see when you watched those particular kinds of entertainment and say, "How barbaric that was!" It's going to change.

This means a shift in what Human Beings want to see as their entertainment is at hand. It's a shift in what they want to experience in their lives and in their free time. There will be more of a motivation to the things that soothe their souls, instead of the drama that mixes them up. They will not be fed anymore by what used to feed them in an old energy. If you turn on a television show that was produced in the '50s, how do you like it? Does it seem trite and laughable in its innocence? It does, and that's due to a shift of your reality today. So, coming will be an actual shift of how Human Beings react to drama.

You're not going to be as interested in things that are dramatic, but rather you're going to be more interested in things that are informative and heartwarming. That's coming. I know, some of you will say, "I doubt it, because Humans are Humans." Some will even argue and they'll say, "Well, Kryon, most of humanity, you have said, are not old souls. So, therefore, they won't shift along with us. So how can most of humanity shift?" I'll tell you this - there are some things that will be worldwide and there are going to be some things that are only old-soul wide. You'll see. But the seeds are planted first with you. So what you feel and what you do will eventually be seen in the general population. How do you feel right now about what is on television, old soul? You're already objecting! You're already seeing the barbarism. You're already seeing those who have no integrity in their journalism and wish to scare you instead of inform you. That is going to shift. You will demand it.

Think of it this way: The old souls are the seeds who plant an energy that grows and allows new seeds to be made. Eventually, even the young souls will have an allowance for this seed inheritance, which the new energy of the earth is providing. That was number two. ….”

"... 6 - The News

Number six. I'll be brief. Watch for your news to change. It has to. When the media realizes that Human Beings are changing their watching habits, they're going to start changing what they produce for you to watch. Eventually, there's going to be something called "The Good News Channel," and it will be very attractive indeed. For it will be real and offset the drama of what is today's attraction. This is what families at night, sitting around the table, will wish to watch. They'll have something where the whole picture of a situation is shown and not just the dramatic parts. You will hear about what's happening on the planet that no one is telling you now, and when that occurs [we have no clock, dear one], it's going to compete strongly with the drama. I keep telling you this. Human nature itself is starting to be in color instead of black and white. Watch for it. And that was number six. ..."

Telegraaf to cut 350 more jobs

DutchNews.nl, Thursday 15 August 2013

TMG HQ in Amsterdam (ANP)

The Telegraaf Media Group, the stock-exchange listed company which publishes the Telegraaf newspaper and runs Sky Radio, is cutting a further 350 jobs.

TMG made the announcement at the publication of its first half figures, saying all parts of the company, apart from the radio and puzzle magazine arm, would be affected.

The aim of the job cuts, which come on top of 350 job losses announced earlier in the year, is to save some €50m. TMG has a current workforce of around 2,700.

The group’s operating profit rose 54% in the first six months of the year to €25m while net profit was up from €9m to €14m. Group sales were down 2.5% on a year ago to €275m.

Related Articles:

Al-Jazeera set to tackle US market

Washington Post sold to Amazon founder Jeff Bezos for $250m

Red Sox owner to buy Boston Globe from New York Times for $70m
Time Warner Cable Sued by Customers Fed Up With CBS Blackout

"Recalibration of Free Choice"–  Mar 3, 2012 (Kryon Channelling by Lee Carroll) - (Subjects: (Old) Souls, Midpoint on 21-12-2012, Shift of Human Consciousness, Black & White vs. Color, 1 - Spirituality (Religions) shifting, Loose a Pope “soon”, 2 - Humans will change react to drama, 3 - Civilizations/Population on Earth,  4 - Alternate energy sources (Geothermal, Tidal (Paddle wheels), Wind), 5 – Financials Institutes/concepts will change (Integrity – Ethical) , 6 - News/Media/TV to change, 7 – Big Pharmaceutical company will collapse “soon”, (Keep people sick), (Integrity – Ethical)  8 – Wars will be over on Earth, Global Unity, … etc.) - (Text version)

“…2 - Drama

Number two: Against everything you think is Human nature, Human Beings are going to start to react differently to drama. At the moment, drama is attractive. You're seeing your media on its last gasp of reality, giving you reality programs so you can watch drama, as though you didn't have enough of it at home. I want you to watch for this shift, because it's going to tell you that there is a shift taking place in basic Human nature. Eventually, these current things are not going to be attractive at all. Not at all. There'll come a time when you look backwards in time and you will see when you watched those particular kinds of entertainment and say, "How barbaric that was!" It's going to change.

This means a shift in what Human Beings want to see as their entertainment is at hand. It's a shift in what they want to experience in their lives and in their free time. There will be more of a motivation to the things that soothe their souls, instead of the drama that mixes them up. They will not be fed anymore by what used to feed them in an old energy. If you turn on a television show that was produced in the '50s, how do you like it? Does it seem trite and laughable in its innocence? It does, and that's due to a shift of your reality today. So, coming will be an actual shift of how Human Beings react to drama.

You're not going to be as interested in things that are dramatic, but rather you're going to be more interested in things that are informative and heartwarming. That's coming. I know, some of you will say, "I doubt it, because Humans are Humans." Some will even argue and they'll say, "Well, Kryon, most of humanity, you have said, are not old souls. So, therefore, they won't shift along with us. So how can most of humanity shift?" I'll tell you this - there are some things that will be worldwide and there are going to be some things that are only old-soul wide. You'll see. But the seeds are planted first with you. So what you feel and what you do will eventually be seen in the general population. How do you feel right now about what is on television, old soul? You're already objecting! You're already seeing the barbarism. You're already seeing those who have no integrity in their journalism and wish to scare you instead of inform you. That is going to shift. You will demand it.

Think of it this way: The old souls are the seeds who plant an energy that grows and allows new seeds to be made. Eventually, even the young souls will have an allowance for this seed inheritance, which the new energy of the earth is providing. That was number two. ….”

"... 6 - The News

Number six. I'll be brief. Watch for your news to change. It has to. When the media realizes that Human Beings are changing their watching habits, they're going to start changing what they produce for you to watch. Eventually, there's going to be something called "The Good News Channel," and it will be very attractive indeed. For it will be real and offset the drama of what is today's attraction. This is what families at night, sitting around the table, will wish to watch. They'll have something where the whole picture of a situation is shown and not just the dramatic parts. You will hear about what's happening on the planet that no one is telling you now, and when that occurs [we have no clock, dear one], it's going to compete strongly with the drama. I keep telling you this. Human nature itself is starting to be in color instead of black and white. Watch for it. And that was number six. ..."

Information technology giant Cisco to slash 4000 jobs

The Australian – AFP, August 15, 2013

In this Aug. 9, 2010 photo, a pedestrian walks by a Cisco sign outside of the
office headquarters in San Jose, Calif. Cisco Systems Inc. releases financial results
 Wednesday, Aug. 11, after the market close. (AP Photo/Marcio Jose Sanchez)
Source: The Australian

INFORMATION technology giant Cisco has announced that it will cut 4,000 jobs, equal to five per cent of its workforce.

"In order to execute on the portfolio investments and operational efficiency that we see in (fiscal 2014), we are rebalancing our resources with a workforce reduction," chief financial officer Frank Calderoni told analysts on a conference call.

The cuts were announced despite Cisco's earnings and revenue growing in the latest quarter as demand for its computer networking equipment increased.

Cisco Systems Inc earned $US2.23 billion ($2.46 bn), or 42 US cents per share, in the three months that ended on July 27.

That's up from $US1.92 billion, or 36 US cents per share, a year earlier.

Adjusted earnings were 52 US cents per share in the latest quarter, squeaking past Wall Street's expectations by a penny. This figure excludes charges stemming from a patent settlement with TiVo and other one-time items.

Digital Pass $1 for first 28 Days

Revenue rose six per cent to $US12.42 billion from $US11.69 billion.

Analysts, on average, had expected revenue of $US12.41 billion, according to a poll by FactSet.

Cisco's performance is widely regarded as a bellwether for the technology industry. That's because the San Jose, California, company cuts a broad swath, selling routers, switches, software and services to corporate customers and government agencies.

"Now, more than ever, our customers and our partners want Cisco's help navigating the inconsistent global landscape successfully," chief executive John Chambers said in a statement.

The company's shares fell $US1.03, or 3.9 per cent, to $US25.34 in extended trading after the results were released. The stock closed up six US cents at $US26.38 in the day's regular trading session.

Related Articles:

Prism program may prompt China to replace computer systems - New

Cisco's business in China set to suffer from Prism revelations 

Samsung Brazil violated labour laws, prosecutors allege

BBC News, 13 August 2013

Related Stories

• Samsung 'most profitable phone firm'
• Booming Amazon city eats into jungle
• Brazil profile

The Samsung plant in Brazil produces
 electronics for the whole of Latin America

Public prosecutors in Brazil have begun legal action against South Korean electronics giant Samsung, alleging that it has been violating labour laws at its factory in the Amazon region.

Prosecutors accuse the company of making its employees work long, tiring shifts without sufficient breaks.

The prosecutors' office in the city of Manaus said one worker reported packing nearly 3,000 phones a day.

Samsung said it would take action "as soon as they are officially notified".

In a statement, the company said it would analyse the process and fully co-operate with the Brazilian authorities.

"We are committed to offering our collaborators around the world a work environment that ensures the highest standards when it comes to safety, health and well-being," the statement said.

Health accusations

The plant, located at the Manaus Free Trade zone, employs some 6,000 people.

A worker at the Amazonas state factory has only 32 seconds to fully assemble a mobile phone and 65 seconds to put together a television set, prosecutors allege.

In evidence given to prosecutors, employees say shifts can last 15 hours and some say they suffer from back ache and cramps as they are forced to stand for up to 10 hours a day.

The prosecutors' office is claiming more than 250m reais ($108m; £70m) in damages from the company for serious violations of labour legislation.

The legal suit was filed on Friday, but has only now been made public.

Alibaba to launch virtual credit card service next week

Want China Times, Staff Reporter 2013-08-10

Alibaba's headquarters in Hangzhou. (Photo/CFP)

Chinese e-commerce giant Alibaba Group is scheduled to launch its virtual credit card service next week as part of its policy to promote online shopping, according to a source familiar with the matter.

The source said Alibaba's online payment service Alipay is looking to partner with banks to launch online credit lines of up to 5,000 yuan (US$800) for each customer, with an interest-free period of up to 38 days.

Online shoppers would not receive a physical credit card but an Alipay account, the source said.

On average, banks offer interest-free credit of 1,000 yuan (US$160) to 50,000 yuan (US$8,000) for a period of between 20 to 56 days.

The service will be available on mobile devices such as smartphones and tablets, and will be confined to Alibaba's Taobao and Tmall.com sites.

Alipay and the group's financial arm Alibaba Small and Micro Financial Services Group could not be immediately contacted to confirm the report, the Chinese-language Chongqing Evening News stated.

A guaranteed subsidiary set up by Alibaba in Chongqing will act as a guarantor for buyers. A commission of between 0.8%-1% will be charged by the vendor when an order is placed. An overdue payment will result in a 50% interest rate penalty charge.

The group will first send a text message to customers whose payments are overdue, followed by a voice message, with the final recourse being a personal visit from a debt collector.

If all these methods still result in no payments for more than a year, the group will cancel the customer's account.

Asked whether the penalty was too light, the source said a detailed plan to deal with such scenarios was still being mapped out and had not been finalized.