McAfee Not Intimidated By Hacktivists: McAfee Labs director of security research Dave Marcus told CQ's Rob Margetta that hacktivist groups such as Anonymous and LulzSec have failed to intimidate firms into changing the way they do business. The groups have targeted government organizations and firms that cut ties with WikiLeaks after the site published thousands of classified diplomatic cables in 2010. The resulting international investigation led to the arrest last week of five members of LulzSec. Anonymous ringleader Hector Xavier Monsegur was arrested last year and has been cooperating with authorities since.

Marcus said his firm avoids deliberately poking the hacktivists, who last week attacked the website of the Spanish firm Panda Security after a blog post praising the FBI's arrest of the LulzSec members. But he said his firm has still written several papers on hacktivism and doesn't think most companies will change their actions due to the threat. Marcus also noted that hacktivists are more persistent than typical cybercriminals, engaging in reprisal attacks, but also less predictable in terms of their motivations.

Senate Takes Up House IPO Bill: CQ's Ben Weyl reports that Senate Majority Leader Harry Reid, D-Nev., said Tuesday that the Senate will vote, possibly as soon as Wednesday, on a House bill (HR 3606) designed help small businesses raise capital and go public more easily. Senate Democrats were expected this week to unveil their own version of the legislation, which has been touted as a jobs bill, but Reid said the lopsided House vote for passage forced a change in plans. Reid said chamber Democrats have no problem with the House bill and promised to "get this done" as quickly as possible, pointing to widespread support on the Hill and from the president. Tech Groups Concerned About Trade Pact: CQ's Joseph Schatz reports a nascent Pacific Rim trade pact under negotiation by the administration is raising some of the same concerns as the controversial online piracy bills that stalled earlier this year after widespread opposition. Tech groups are asking officials to make sure the Trans-Pacific Partnership (TPP) doesn't include the same types of intellectual property restrictions that were included in SOPA and PIPA (HR 3261, S 968), which would have allowed copyright holders to force web firms to delete links to foreign infringing websites.

Sen. Ron Wyden, D-Ore., who led the charge against SOPA and PIPA on the Hill, has said additional transparency is needed on TPP. But U.S. Trade Representative Ron Kirk bristled at what he termed misinformation about the proposal. He said TPP is "the complete opposite" of SOPA and PIPA, and said none of the provisions in those bills that drew the most concern are included in the trade pact.

E-Verify Delays Becoming Liability for House GOP: CQ's David Harrison reports that the lack of progress on a bill that would require employers to verify the legal status of new hires is turning into a political liability for the House GOP. The bill (HR 2885) from House Judiciary Chairman Lamar Smith, R-Texas, would require all employers to make use of the system, which checks an employee's Social Security number against a database to determine if they are eligible to work in the United States. Federal contractors are required to use the system and 17 states have enacted their own mandatory employment verification laws for some or all employers.

Numbers USA, a group that backs stricter immigration controls, has launched a campaign to pressure lawmakers into passing the bill. The group expressed disappointment with Speaker John Boehner, R-Ohio, over his lack of progress on the issue. But Boehner could be wary of pricking Latino voters ahead of this fall's election and might choose to wait and see how Republicans fare before moving forward. Immigration advocates are strongly against the E-Verify mandate, arguing it would allow further exploitation of undocumented workers. The ACLU and other organizations have also argued the system incorrectly rejects some applicants eligible to work, creating a de facto blacklist for employers.

Tech Prom: CQ's Ambreen Ali was in attendance at the Center for Democracy and Technology's annual Tech Prom on Tuesday evening, where she joined several hundred industry and policy folks dressed up  and in a celebratory mood after the defeat of those two controversial online piracy bills earlier this year. All eyes were on keynote speaker Wyden, who struck a much less conciliatory note on the piracy issue than Motion Picture Association of America CEO and former Sen. Chris Dodd has of late. Quotable: "Government doesn't protect innovation by stepping in to protect old businesses who are trying to hold off new ones," Wyden said, adding a reference to the massive online protests that turned the tide against the bills. "January 18, 2012, brought a new norm to Washington, D.C."