Category: Business

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NEW YORK/WASHINGTON — TikTok faces new lawsuits filed by 13 U.S. states and the District of Columbia on Tuesday, accusing the popular social media platform of harming and failing to protect young people. The lawsuits, filed separately in New York, California, the District of Columbia and 11 other states, expand Chinese-owned TikTok’s legal fight with U.S. regulators and seek new financial penalties against the company. Washington is located in the District of Columbia. The states accuse TikTok of using intentionally addictive software designed to keep children watching as long and often as possible and misrepresenting its content moderation effectiveness. “TikTok cultivates social media addiction to boost corporate profits,” California Attorney General Rob Bonta said in a statement. “TikTok intentionally targets children because they know kids do not yet have the defenses or capacity to create healthy boundaries around addictive content.” TikTok seeks to maximize the amount of time users spend on the app in order to target them with ads, the states said. “Young people are struggling with their mental health because of addictive social media platforms like TikTok,” said New York Attorney General Letitia James. TikTok said on Tuesday that it strongly disagreed with the claims, “many of which we believe to be inaccurate and misleading,” and that it was disappointed the states chose to sue “rather than work with us on constructive solutions to industrywide challenges.” TikTok provides safety features that include default screentime limits and privacy defaults for minors under 16, the company said. Washington, D.C., Attorney General …

STOCKHOLM — Two pioneers of artificial intelligence — John Hopfield and Geoffrey Hinton — won the Nobel Prize in physics Tuesday for helping create the building blocks of machine learning that is revolutionizing the way we work and live but also creates new threats to humanity, one of the winners said. Hinton, who is known as the “godfather of artificial intelligence,” is a citizen of Canada and Britain who works at the University of Toronto. Hopfield is an American working at Princeton. “This year’s two Nobel Laureates in physics have used tools from physics to develop methods that are the foundation of today’s powerful machine learning,” the Nobel committee said in a press release. Ellen Moons, a member of the Nobel committee at the Royal Swedish Academy of Sciences, said the two laureates “used fundamental concepts from statistical physics to design artificial neural networks that function as associative memories and find patterns in large data sets.” She said that such networks have been used to advance research in physics and “have also become part of our daily lives, for instance in facial recognition and language translation.” Hinton predicted that AI will end up having a “huge influence” on civilization, bringing improvements in productivity and health care. “It would be comparable with the Industrial Revolution,” he said in the open call with reporters and the officials from the Royal Swedish Academy of Sciences. “Instead of exceeding people in physical strength, it’s going to exceed people in intellectual ability. We have no experience …

washington — Spamouflage networks with connections to China are posting antisemitic conspiracy theories on social media, casting doubt on Washington’s independence from alleged Jewish influence and the integrity of the two U.S. presidential candidates, a joint investigation by VOA Mandarin and Taiwan’s Doublethink Lab, a social media analytics firm, has found. The investigation has so far uncovered more than 30 such X posts, many of which claim or suggest that core American political institutions, including the White House and Congress, have pledged loyalty to or are controlled by Jewish elites and the Israeli government. One post shows a graphic of 18 U.S. officials of Jewish descent, including Secretary of State Antony Blinken, Treasury Secretary Janet Yellen, and the head of the Homeland Security Department, Alejandro Mayorkas, and asks: “Jews only make up 2% of the U.S. population, so why do they have so many representatives in important government departments?!” Another post shows a cartoon depicting Vice President Kamala Harris, the Democratic candidate for president, and her opponent, Donald Trump, having their tongues tangled together and wrapped around an Israeli flagpole. The post proclaims that “no matter who of them comes to power, they will not change their stance on Judaism.” Most of the 32 posts analyzed by VOA Mandarin and Doublethink Lab were posted during July and August. The posts came from three spamouflage accounts, two of which were previously reported by VOA. Each of the three accounts leads its own spamouflage network. The three networks consist of 140 accounts, which …

MELBOURNE, Australia — A code of conduct will be enforced on the online dating industry to better protect Australian users after research found that three-in-four people suffer some form of sexual violence through the platforms, Australia’s government said on Tuesday. Bumble, Grindr and Match Group Inc., a Texas-based company that owns platforms including Tinder, Hinge, OKCupid and Plenty of Fish, have agreed to the code that took effect on Tuesday, Communications Minister Michelle Rowland said. The platforms, which account for 75% of the industry in Australia, have until April 1 to implement the changes before they are strictly enforced, Rowland said. The code requires the platforms’ systems to detect potential incidents of online-enabled harm and demands that the accounts of some offenders are terminated. Complaint and reporting mechanisms are to be made prominent and transparent. A new rating system will show users how well platforms are meeting their obligations under the code. The government called for a code of conduct last year after the Australian Institute of Criminology research found that three-in-four users of dating apps or websites had experienced some form of sexual violence through these platforms in the five years through 2021. “There needs to be a complaint-handling process. This is a pretty basic feature that Australians would have expected in the first place,” Rowland said on Tuesday. “If there are grounds to ban a particular individual from utilizing one of those platforms, if they’re banned on one platform, they’re blocked on all platforms,” she added. Match Group said …

little rock, arkansas — Arkansas sued YouTube and parent company Alphabet on Monday, saying the video-sharing platform is made deliberately addictive and fueling a mental health crisis among youth in the state. Attorney General Tim Griffin’s office filed the lawsuit in state court, accusing them of violating the state’s deceptive trade practices and public nuisance laws. The lawsuit claims the site is addictive and has resulted in the state spending millions on expanded mental health and other services for young people. “YouTube amplifies harmful material, doses users with dopamine hits, and drives youth engagement and advertising revenue,” the lawsuit said. “As a result, youth mental health problems have advanced in lockstep with the growth of social media, and in particular, YouTube.” Alphabet’s Google, which owns the video service and is also named as a defendant in the case, denied the lawsuit’s claims. “Providing young people with a safer, healthier experience has always been core to our work. In collaboration with youth, mental health and parenting experts, we built services and policies to provide young people with age-appropriate experiences, and parents with robust controls,” Google spokesperson Jose Castaneda said in a statement. “The allegations in this complaint are simply not true.” YouTube requires users under 17 to get their parent’s permission before using the site, while accounts for users younger than 13 must be linked to a parental account. But it is possible to watch YouTube without an account, and kids can easily lie about their age. The lawsuit is the latest …

Sacramento, California — California Governor Gavin Newsom vetoed a landmark bill aimed at establishing first-in-the-nation safety measures for large artificial intelligence models Sunday. The decision is a major blow to efforts attempting to rein in the homegrown industry that is rapidly evolving with little oversight. The bill would have established some of the first regulations on large-scale AI models in the nation and paved the way for AI safety regulations across the country, supporters said. Earlier in September, the Democratic governor told an audience at Dreamforce, an annual conference hosted by software giant Salesforce, that California must lead in regulating AI in the face of federal inaction but that the proposal “can have a chilling effect on the industry.” The proposal, which drew fierce opposition from startups, tech giants and several Democratic House members, could have hurt the homegrown industry by establishing rigid requirements, Newsom said. “While well-intentioned, SB 1047 does not take into account whether an AI system is deployed in high-risk environments, involves critical decision-making or the use of sensitive data,” Newsom said in a statement. “Instead, the bill applies stringent standards to even the most basic functions — so long as a large system deploys it. I do not believe this is the best approach to protecting the public from real threats posed by the technology.” Newsom on Sunday instead announced that the state will partner with several industry experts, including AI pioneer Fei-Fei Li, to develop guardrails around powerful AI models. Li opposed the AI safety proposal. …

SAO PAULO/BRASILIA BRAZIL — Brazil’s Supreme Court said on Friday that social platform X still needs to pay just over $5 million in pending fines, including a new one, before it will be allowed to resume its service in the country, according to a court document.  Earlier this week, the Elon Musk-owned U.S. firm told the court it had complied with orders to stop the spread of misinformation and asked it to lift a ban on the platform.  But Judge Alexandre de Moraes responded on Friday with a ruling that X and its legal representative in Brazil must still agree to pay a total of $3.4 million in pending fines that were previously ordered by the court.  In his decision, the judge said that the court can use resources already frozen from X and Starlink accounts in Brazil, but to do so the satellite company, also owned by Musk, had to drop its pending appeal against the fund blockage.   The judge also demanded a new $1.8 million fine related to a brief period last week when X became available again for some users in Brazil.  X, formerly known as Twitter, did not immediately respond to a request for comment.  According to a person close to X, the tech firm will likely pay all the fines but will consider challenging the fine that was imposed by the court after the platform ban.   X has been suspended since late August in Brazil, one of its largest and most coveted markets, after …

WASHINGTON — An executive at cybersecurity company CrowdStrike apologized in testimony to Congress for sparking a global technology outage over the summer.  “We let our customers down,” said Adam Meyers, who leads CrowdStrike’s threat intelligence division, in a hearing before a U.S. House cybersecurity subcommittee Tuesday.  Austin, Texas-based CrowdStrike has blamed a bug in an update that allowed its cybersecurity systems to push bad data out to millions of customer computers, setting off a global tech outage in July that grounded flights, took TV broadcasts off air and disrupted banks, hospitals and retailers.  “Everywhere Americans turned, basic societal functions were unavailable,” House Homeland Security Committee Chairman Mark Green said. “We cannot allow a mistake of this magnitude to happen again.”  The Tennessee Republican likened the impact of the outage to an attack “we would expect to be carefully executed by a malicious and sophisticated nation-state actor.”  “We’re deeply sorry and we are determined to prevent this from ever happening again,” Meyers told lawmakers while laying out the technical missteps that led to the outage of about 8.5 million computers running Microsoft’s Windows operating system.  Meyers said he wanted to “underscore that this was not a cyberattack” but was, instead, caused by a faulty “rapid-response content update” focused on addressing new threats. The company has since bolstered its content update procedures, he said.  The company still faces a number of lawsuits from people and businesses that were caught up in July’s mass outage.  …

new york — Caroline Ellison, a former top executive in Sam Bankman-Fried’s fallen FTX cryptocurrency empire, was sentenced to two years in prison on Tuesday after she apologized repeatedly to everyone hurt by a fraud that stole billions of dollars from investors, lenders and customers.  U.S. District Judge Lewis A. Kaplan said Ellison’s cooperation was “very, very substantial” and “remarkable.”  But he said a prison sentence was necessary because she had participated in what might be the “greatest financial fraud ever perpetrated in this country and probably anywhere else” or at least close to it.  He said in such a serious case, he could not let cooperation be a get-out-of-jail-free card, even when it was clear that Bankman-Fried had become “your kryptonite.”  “I’ve seen a lot of cooperators in 30 years here,” he said. “I’ve never seen one quite like Ms. Ellison.” She was ordered to report to prison on November 7.  Ellison, 29, pleaded guilty nearly two years ago and testified against Bankman-Fried for nearly three days at a trial last November.  At sentencing, she emotionally apologized to anyone hurt by the fraud that stretched from 2017 through 2022.  “I’m deeply ashamed with what I’ve done,” she said, fighting through tears to say she was “so so sorry” to everyone she had harmed directly or indirectly.  She did not speak as she left Manhattan federal court, surrounded by lawyers.  In a court filing, prosecutors had called her testimony the “cornerstone of the trial” against Bankman-Fried, 32, who was found guilty …

Washington — The U.S. Commerce Department on Monday proposed prohibiting key Chinese software and hardware in connected vehicles on American roads due to national security concerns — a move that would effectively bar nearly all Chinese cars from entering the U.S. market. The planned regulation, first reported by Reuters, would also force American and other major automakers in the coming years to remove key Chinese software and hardware from vehicles in the United States. The Biden administration has raised serious concerns about the collection of data by Chinese companies on U.S. drivers and infrastructure through connected vehicles as well as about potential foreign manipulation of vehicles connected to the internet and navigation systems. The White House ordered an investigation into the potential dangers in February. The prohibitions would prevent testing of self-driving cars on U.S. roads by Chinese automakers and extend to vehicle software and hardware produced by other U.S. foreign adversaries including Russia. “When foreign adversaries build software to make a vehicle that means it can be used for surveillance, can be remotely controlled, which threatens the privacy and safety of Americans on the road,” Commerce Secretary Gina Raimondo told a briefing. “In an extreme situation, a foreign adversary could shut down or take control of all their vehicles operating in the United States all at the same time causing crashes, blocking roads.” The move is a significant escalation in the United States’ ongoing restrictions on Chinese vehicles, software and components. Earlier this month, the Biden administration locked in steep tariff …

Washington — The U.S. Commerce Department is expected on Monday to propose prohibiting Chinese software and hardware in connected and autonomous vehicles on American roads due to national security concerns, two sources told Reuters. The Biden administration has raised serious concerns about the collection of data by Chinese companies on U.S. drivers and infrastructure as well as the potential foreign manipulation of vehicles connected to the internet and navigation systems. The proposed regulation would ban the import and sale of vehicles from China with key communications or automated driving system software or hardware, said the two sources, who declined to be identified because the decision had not been publicly disclosed. The move is a significant escalation in the United States’ ongoing restrictions on Chinese vehicles, software and components. Last week, the Biden administration locked in steep tariff hikes on Chinese imports, including a 100% duty on electric vehicles as well as new hikes on EV batteries and key minerals. Commerce Secretary Gina Raimondo said in May the risks of Chinese software or hardware in connected U.S. vehicles were significant. “You can imagine the most catastrophic outcome theoretically if you had a couple million cars on the road and the software were disabled,” she said. President Joe Biden in February ordered an investigation into whether Chinese vehicle imports pose national security risks over connected-car technology — and if that software and hardware should be banned in all vehicles on U.S. roads. “China’s policies could flood our market with its vehicles, posing risks …

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SACRAMENTO, California — California will make it illegal for social media platforms to knowingly provide addictive feeds to children without parental consent beginning in 2027 under a new law Governor Gavin Newsom signed Friday.  California follows New York state, which passed a law earlier this year allowing parents to block their kids from getting social media posts suggested by a platform’s algorithm. Utah has passed laws in recent years aimed at limiting children’s access to social media, but those have faced challenges in court.  The California law will take effect in a state home to some of the largest technology companies in the world. Similar proposals have failed to pass in recent years, but Newsom signed a first-in-the-nation law in 2022 barring online platforms from using users’ personal information in ways that could harm children.  It is part of a growing push in states across the country to try to address the impact of social media on the well-being of children.  “Every parent knows the harm social media addiction can inflict on their children — isolation from human contact, stress and anxiety, and endless hours wasted late into the night,” Newsom, a Democrat, said in a statement. “With this bill, California is helping protect children and teenagers from purposely designed features that feed these destructive habits.”  The law bans platforms from sending notifications without permission from parents to minors between midnight and 6 a.m., and between 8 a.m. and 3 p.m. on weekdays from September through May, when children are typically …

Washington — Based on the posts of an X account that bears the name of Dutch cartoonist Bart van Leeuwen, a profile picture of his face and short professional bio, one would think the Amsterdam-based artist is a staunch supporter of China and fierce critic of the United States. In one post, the account blasts what it calls Washington’s “fallacies against the Chinese economy,” accompanied by a cartoon from the Global Times — a Beijing-controlled media outlet — showing Uncle Sam aiming but failing to hit a target emblazoned with the words “China’s economy.” In another, the account reposts a Chinese propaganda video about the country’s rubber-stamp legislature, writing “today’s China is closely connected with the world, blending with each other, and achieving mutual success.” But Van Leeuwen didn’t make the posts. In fact, this account doesn’t even belong to him. It belongs to a China-connected network on X of “spamouflage” accounts, which pretend to be the work of real people but are in reality controlled by robots sending out messages designed to shape public opinion. China has repeatedly rejected reports that it seeks to influence U.S. presidential elections, describing such claims as “fabricated.” VOA Mandarin and DoubleThink Lab (DTL), a Taiwanese social media analytics firm, uncovered the fake Van Leeuwen account during a joint investigation into a network of spamouflage accounts working on behalf of the Chinese government. The network, consisting of at least nine accounts, propagated Beijing’s talking points on issues including human rights abuses in China’s western Xinjiang …