By Maggie Shiels
Technology reporter, BBC News, Silicon Valley
The computer company that has in the past taken on the grandmasters of chess is now turning its attention to the famed US trivia quiz show Jeopardy.
In a head-to-head challenge of man versus machine, IBM will pit a supercomputer named Watson against human contestants.
Watson is a new question-answering system based on natural language.
“The aim is to get Watson to think and interact in human terms,” IBM’s Dr David Ferrucci told BBC News.
“It will try to understand a user’s question and …

By Maggie Shiels
Technology reporter, BBC News, Silicon Valley
Small can mean big bucks in the world of gaming where micropayments are being seen as playing an increasingly important part in making money for the industry.
Amid a downturn in advertising revenues, a recent survey at the GamesBeat conference in San Francisco found that 66% of those polled “were excited about this growing trend” which is most often seen in so-called ‘free to play’ games.
That is where it costs nothing to play but developers sell items or different levels …

By John D. Sutter
GRAYSON, Georgia (CNN) — It’s 9 a.m. when Cylindrian Rutabaga takes the microphone at a familiar bar.
The funny-named musician with crinkled red hair, a white blouse and flowing skirt picks up her custom-made guitar and looks across the audience with a blank stare.
Her fans already are rocking out: Some breakdance on the bar’s tile floor. Others flail about with the vigor of ’70s disco dancers. One man with a towering afro and 3-D glasses looks like he’s swimming the backstroke to some nonexistent beat.
The …

Changyou is making a fortune selling items in a virtual world
PERHAPS it should not be a surprise. In the midst of a global capital shortage, the first company to list this year on New York’s NASDAQ exchange not only needs no money; its source of profit is receiving cash for items that do not exist.
Changyou is a three-year-old online-gaming business being spun out of Sohu, China’s second-largest internet portal. The deal was due to be priced on April 2nd, as The Economist went to press, in a nostalgic reminder of …

By Jeremy Bradley
(CNN) — At Imperial College London, medical students navigate a full-service hospital where they see patients, order X-rays, consult with colleagues and make diagnoses.
It’s an interactive, hands-on learning experience — and none of it is real.
These prospective doctors are treating virtual patients in Second Life, the Internet world where users interact through online alter egos called avatars. The third-year med students are taking part in a pilot program for game-based learning, which educators believe can be a stimulating change from lectures and textbooks.
“The aim is to develop a …

Online game Entropia Universe has been granted a licence to be a bank.
Issued by the Swedish Financial Supervisory Authority, the licence means the game can be more closely tied to the real world finances of players.
Mindark, the developers of the game, said it aimed to launch a fully-functioning in-game bank within the next 12 months.
At current exchange rates, 10 PED (Project Entropia Dollars) are worth one US dollar.
Unlike many other online games, which charge a monthly subscription fee, the software for Project Entropia is free to download and install.
For …