United States

'Apple Tax is Dead in the USA' (arstechnica.com) 100

The Ninth Circuit Court of Appeals has almost entirely upheld a scathing April ruling that found Apple in willful violation of a 2021 injunction meant to open up iOS App Store payments in its long-running legal battle against Epic Games. A three-judge panel affirmed that Apple's 27% fee for developers using outside payment options had a "prohibitive effect" and that the company's design restrictions on external payment links were overly broad.

The appeals court also agreed that Apple acted in "bad faith" by rejecting viable, compliant alternatives in internal discussions. One divergence from the lower court: the appeals court ruled that Apple should still be able to charge a "reasonable fee" based on its actual costs to ensure user security and privacy, rather than charging nothing at all. What qualifies as "reasonable" remains to be determined.

Epic CEO Tim Sweeney told reporters he believes those fees should be "super super minor," on the order of "tens or hundreds of dollars" every time an iOS app update goes through Apple for review. "The Apple Tax is dead in the USA," he wrote on social media. Sweeney also alleged that a widespread "fear of retaliation" has kept many developers paying Apple's default 30% fees, claiming the company can effectively "ghost" apps by delaying reviews or burying them in search results.
Democrats

Democrats Warn Their Party May Try To Unravel Any Paramount-Warner Bros. Discovery Deal (semafor.com) 206

As the battle over Warner Bros. Discovery grows, two Democratic lawmakers are warning that their party may try to block or unravel any acquisition by Paramount when it returns to power. Semafor: In a letter to the WBD board and Treasury Secretary Scott Bessent first shared with Semafor, Reps. Sam Liccardo (D-Calif.) and Ayanna Pressley (D-Mass.) said they were concerned about the national security risk of letting foreign entities control a large portion of the US entertainment and media industry.

They also hinted that a future Democratic Congress and administration could try to unravel any Paramount-WBD deal. "Future Congresses ... will review many of the decisions of the current Administration, and may recommend that regulators push for divestitures, which would undermine the strategic logic of this merger," they wrote. "We urge the Board to weigh these national security and regulatory liabilities in evaluating a transaction burdened by uncertain but potentially extensive mitigation obligations, foreign influence risks, or adverse regulatory action."

Movies

Is Netflix Trying to Buy Warner Bros. or Kill It? (variety.com) 58

Why does Netflix want to buy Warner Bros, asks the chief film critic at the long-running motion-picture magazine Variety. "It is hard, at this moment, to resist the suspicion that the ultimate reason... is to eliminate the competition." [Warner Bros. is] one of the only companies that's keeping movies as we've known them alive... Some people think movies are going the way of the horse-and-buggy. A company like Warner Bros. has been the tangible proof that they're not. Ted Sarandos, the co-CEO of Netflix, has a different agenda. He has been unabashed about declaring that the era of movies seen in movie theaters is an antiquated concept. This is what he believes — which is fine. I think a more crucial point is that this is what he wants.

The Netflix business strategy isn't simply about being the most successful streaming company. It's about changing the way people watch movies; it's about replacing what we used to call moviegoing with streaming. (You could still call it moviegoing, only now you're just going into your living room.) It in no way demonizes Sarandos — he'd probably take it as a compliment — to say that there's a world-domination aspect to the Netflix grand strategy. Sarandos's vision is to have the entire planet wired, with everyone watching movies and shows at home. There's a school of thought that sees this an advance, a step forward in civilization. "Remember the days when we used to have to go out to a movie theater? How funny! Now you can just pop up a movie — no trailers! — with the click of a remote...."

Once he owns Warner Bros., will Sarandos keep using the studio to make movies that enjoy powerful runs in theaters the way Sinners and Weapons and One Battle After Another did? In the statement he made to investors and media today, Sarandos said, "I'd say right now, you should count on everything that is planned on going to the theater through Warner Bros. will continue to go to the theaters through Warner Bros." He added, "But our primary goal is to bring first-run movies to our members, because that's what they're looking for." Not exactly a ringing declaration of loyalty to the religion of cinema. And given Sarandos's track record, there is no reason to believe that he will suddenly change his spots.

A letter sent to Congress by a group of anonymous Hollywood producers, who voiced "grave concerns" about Netflix buying Warner Bros., stated, "They have no incentive to support theatrical exhibition, and they have every incentive to kill it." If that happens, though, I have no doubt that Sarandos will be smart enough to do it gradually. Warner Bros. films will probably be released in a "normal" fashion...for a while. Maybe a year or two. But five years from now? There is good reason to believe that by then, a "Warner Bros. movie," even a DC comic-book extravaganza, would be a streaming-only release, or maybe a two-weeks-in-theaters release, all as a more general way of trying to shorten the theatrical window, which could be devastating to the movie business.

Do we know all this to be true? No, but the indicators are somewhat overpowering. (He's been explicit about the windows...)

An anonymous group of "concerned feature film producers" sent an open letter to Congress warning Netflix would "effectively hold a noose around the theatrical marketplace," reports Variety.

And CNN also got this quote from Cinema United, a trade association that represents more than 30,000 movie screens in the United States. "Netflix's stated business model does not support theatrical exhibition," Cinema United President/CEO Michael O'Leary said in a statement. "In fact, it is the opposite."
The Courts

OpenAI Loses Fight To Keep ChatGPT Logs Secret In Copyright Case (reuters.com) 39

A federal judge has ordered OpenAI to hand over 20 million anonymized ChatGPT logs in its copyright battle with the New York Times and other outlets. Reuters reports: U.S. Magistrate Judge Ona Wang in a decision made public on Wednesday said that the 20 million logs were relevant to the outlets' claims and that handing them over would not risk violating users' privacy. The judge rejected OpenAI's privacy-related objections to an earlier order requiring the artificial intelligence startup to submit the records as evidence. "There are multiple layers of protection in this case precisely because of the highly sensitive and private nature of much of the discovery," Wang said.

An OpenAI spokesperson on Wednesday cited an earlier blog post from the company's Chief Information Security Officer Dane Stuckey, which said the Times' demand for the chat logs "disregards long-standing privacy protections" and "breaks with common-sense security practices." OpenAI has separately appealed Wang's order to the case's presiding judge, U.S. District Judge Sidney Stein.

A group of newspapers owned by Alden Global Capital's MediaNews Group is also involved in the lawsuit. MediaNews Group executive editor Frank Pine said in a statement on Wednesday that OpenAI's leadership was "hallucinating when they thought they could get away with withholding evidence about how their business model relies on stealing from hardworking journalists."

The Courts

Supreme Court Hears Copyright Battle Over Online Music Piracy (nytimes.com) 32

The Supreme Court appears inclined to side with Cox Communications in a major copyright case, suggesting that ISPs shouldn't be held liable for users' music piracy based solely on "mere knowledge," given the risk of forcing outages for universities, hospitals, and other large customers. The New York Times reports: Leading music labels and publishers who represent artists ranging from Bob Dylan to Beyonce sued Cox Communications in 2018, saying it had failed to terminate the internet connections of subscribers who had been repeatedly flagged for illegally downloading and distributing copyrighted music. At issue is whether providers like Cox can be held legally responsible and be required to pay steep damages -- a billion dollars or more -- if they know that customers are pirating the music but do not take sufficient steps to terminate their internet access.

Justices from across the ideological spectrum on Monday raised concerns about whether finding for the music industry could result in internet providers being forced to cut off access to large account holders such as hospitals and universities because of the illegal acts of individual users. "What is the university supposed to do in your view?" asked Justice Samuel A. Alito Jr., a conservative, suggesting it would be difficult to track down bad actors without the risk of losing service campuswide. "I just don't see how it's workable at all."

"The internet is so amorphous," added Justice Sonia Sotomayor, a liberal, saying that a single "customer" could represent tens of thousands of users, particularly in rural areas where an entire region might be considered a "customer." After nearly two hours of argument, a majority of justices seemed likely to side with Cox and to send the case back to the U.S. Court of Appeals for the Fourth Circuit for review under a stricter standard. Several justices suggested the company's "mere knowledge" of the illegal downloads was not sufficient to hold Cox liable.

The Internet

The Battle Over Africa's Great Untapped Resource: IP Addresses (msn.com) 55

In his mid-20s, Lu Heng "got an idea that has made him a lot richer," writes the Wall Street Journal.

He scooped up 10 million unused IP addresses, mostly form Africa, and then leases them to companies, mostly outside Africa, "that need them badly." [A]round half of internet traffic continues to use IPv4, because changing to IPv6 can be expensive and complex and many older devices still need IPv4. Companies including Amazon, Microsoft and Google still want IPv4 addresses because their cloud-hosting businesses need them as bridges between the IPv4 and IPv6 worlds... Africa, which has been slower to develop internet infrastructure than the rest of the world, is the only region that still has some of the older addresses to dole out... He searches for IPv4 addresses that aren't being used — by ISPs or anyone else that holds them — and uses his Hong Kong-based company, Larus, to lease them out to others.

In 2013, Lu registered a new company in the Seychelles, an African archipelago in the Indian Ocean, to apply for IP addresses from Africa's internet registry, called the African Network Information Centre, or Afrinic. Between 2013 and 2016, Afrinic granted that company, Cloud Innovation, 6.2 million IPv4 addresses. That's more addresses than are assigned to Nigeria, Africa's most populous nation. A single IPv4 address can be worth about $50 on its transfer to a company like Larus, which leases it onward for around 5% to 10% of that value annually. Larus and its affiliate companies, Lu said, control just over 10 million IPv4 addresses. The architects of the internet don't appear to have contemplated the possibility that anyone would seek to monetize IP addresses...

Lu's activities triggered a showdown with Africa's internet registry. In 2020, after what it said was an internal review, Afrinic sent letters to Lu and others seeking to reclaim the IP addresses they held. In Lu's case, Afrinic said he shouldn't be using the addresses outside Africa. Lu responded that he wasn't violating rules in place when he got the addresses... After some back-and-forth, Lu sued Afrinic in Mauritius to keep his allocated addresses, eventually filing dozens of lawsuits... One of the lawsuits that Lu filed in Mauritius prompted a court there to freeze Afrinic's bank accounts in July 2021, effectively paralyzing the organization and eventually sending it into receivership. The receivership choked off distributions of new IPv4 addresses, leaving the continent's service providers struggling to expand capacity...

In September, Afrinic elected a new board. Since then, some internet-service providers have been granted IPv4 addresses.

EU

Europe Fears It Can't Catch Up in Great Power Competition (msn.com) 265

European leaders have spent years warning that the continent risked falling behind the U.S., China and Russia in the global contest for economic, technological and military dominance, and officials now believe they have reached that point.

The mood darkened over the summer when Europe found itself on the sidelines as Washington and Beijing negotiated a reset of global trade rules, and turned bleak this month when the White House presented a Ukraine cease-fire plan without consulting European capitals. In July, the EU accepted a trade deal allowing the U.S. to impose 15% tariffs without retaliation.

President Trump ignored European calls to pressure Moscow before meeting Vladimir Putin in Alaska in August, telling reporters "this is not to do with Europe, Europe's not telling me what to do." Germany has eased its debt brake to pour $580 billion into a decade-long rearmament program, and the EU has set a 2030 rearmament goal -- defense spending across the region is set to exceed $560 billion this year, double what it was a decade ago. "Battle lines for a new world order, based on power, are being drawn right now," European Commission President Ursula von der Leyen said in September. "A new Europe must emerge."
The Courts

Proctorio Settles Curious Lawsuit With Librarian Who Shared Public YouTube Videos (arstechnica.com) 20

Canadian librarian Ian Linkletter has ended a five-year legal battle with ed-tech firm Proctorio after being sued for sharing public YouTube help videos that exposed how the company's remote-proctoring AI works. Ars Technica reports: ... Together, the videos, the help center screenshot, and another screenshot showing course material describing how Proctorio works were enough for Proctorio to take Linkletter to court. The ed tech company promptly filed a lawsuit and obtained a temporary injunction by spuriously claiming that Linkletter shared private YouTube videos containing confidential information. Because the YouTube videos -- which were public but "unlisted" when Linkletter shared them -- had been removed, Linkletter did not have to delete the seven tweets that initially caught Proctorio's attention, but the injunction required that he remove two tweets, including the screenshots.

In the five years since, the legal fight dragged on, with no end in sight until last week, as Canadian courts tangled with copyright allegations that tested a recently passed law intended to shield Canadian rights to free expression, the Protection of Public Participation Act. To fund his defense, Linkletter said in a blog announcing the settlement that he invested his life savings "ten times over." Additionally, about 900 GoFundMe supporters and thousands of members of the Association of Administrative and Professional Staff at UBC contributed tens of thousands more. For the last year of the battle, a law firm, Norton Rose Fulbright, agreed to represent him on a pro bono basis, which Linkletter said âoewas a huge relief to me, as it meant I could defend myself all the way if Proctorio chose to proceed with the litigation."

The terms of the settlement remain confidential, but both Linkletter and Proctorio confirmed that no money was exchanged. For Proctorio, the settlement made permanent the injunction that restricted Linkletter from posting the company's help center or instructional materials. But it doesn't stop Linkletter from remaining the company's biggest critic, as "there are no other restrictions on my freedom of expression," Linkletter's blog noted. "I've won my life back!" Linkletter wrote, while reassuring his supporters that he's "fine" with how things ended. "It doesn't take much imagination to understand why Proctorio is a nightmare for students," Linkletter wrote. "I can say everything that matters about Proctorio using public information."

ISS

Woman Pleads Guilty to Lying About Astronaut Accessing Bank Account From International Space Station (cnbc.com) 34

It was the first allegation of a crime committed in space — back in 2019. But by 2020 it had led to charges of lying to federal authorities. And now a former Air Force intelligence officer "has pleaded guilty to lying to a federal agent," reports CNBC, "by falsely claiming that her estranged astronaut wife illegally accessed her bank account while aboard the International Space Station for six months, prosecutors in Houston, Texas, said Friday." The guilty plea by Summer Worden, 50, on Thursday comes more than five years after she was indicted in the space case for lying about actions by her wife, Anne McClain, a U.S. Army colonel, West Point graduate and Iraq war combat veteran, while they were in the midst of a divorce. The claim came at a time when Worden said that the couple was engaged in a custody battle over what Worden's then-6-year-old son, who had been conceived through in vitro fertilizationand carried by a surrogate...

McClain was aboard the Space Station from December 2018 through June 2019. She recently commanded the SpaceX Crew-10 crew mission to the Space Station from March this year until August.

Worden, who remains free on bond, is scheduled to be sentenced on February 12. She faces a maximum possible sentence of up to five years in prison.

China

GM Wants Parts Makers To Pull Supply Chains From China (businesstimes.com.sg) 98

schwit1 shares a report from the Business Times: General Motors (GM) has directed several thousand of its suppliers to scrub their supply chains of parts from China, four people familiar with the matter said, reflecting automakers' growing frustration over geopolitical disruptions to their operations. GM executives have been telling suppliers they should find alternatives to China for their raw materials and parts, with the goal of eventually moving their supply chains out of the country entirely, the people said. The automaker has set a 2027 deadline for some suppliers to dissolve their China sourcing ties, some of the sources said. GM approached some suppliers with the directive in late 2024, but the effort took on fresh urgency this past spring, during the early days of an escalating US-China trade battle, the sources said.
Verizon

Verizon To Cut About 15,000 Jobs (msn.com) 40

Verizon is planning to cut roughly 15,000 jobs, looking to reduce costs as it contends with increased competition for wireless service and home internet, according to WSJ, which cites people familiar with the matter. From the report: The cuts, the largest ever for the carrier, are set to take place in the next week, the people said. The majority of the reduction is expected to be made through layoffs. Verizon also plans to transition about 200 stores into franchised operations, which will shift employees off its payroll.

Verizon, the largest U.S. telecommunications provider by subscriber base, faces a fierce battle for both wireless and home internet customers. It has lost crucial postpaid phone subscribers for three consecutive quarters. Last month, Verizon named its lead independent director Daniel Schulman as its new chief executive officer. Schulman, a former CEO of PayPal and Virgin Mobile USA, has said he would aggressively reduce the company's entire cost base and take steps to reverse the customer losses.

Media

PDF Will Support JPEG XL Format As 'Preferred Solution' (theregister.com) 18

The PDF Association is adding JPEG XL (JXL) support to the PDF specification, giving the advanced image format a new path to relevance despite Google's decision to declare it obsolete and remove it from Chromium. The Register reports: Peter Wyatt, CTO of the PDF Association, said: "We need to adopt a new image [format] that can support HDR [High Dynamic Range] content ... we have picked JPEG XL as our preferred solution." Wyatt also praised other benefits of JXL including wide gamut images, ultra-high resolution support for images with more than 1 billion pixels, and up to 4099 channels with up to 32 bits per channel.

The association is responsible for developing PDF specifications and standards and manages the ISO committee for PDF. JPEG XL is an advanced image format that was designed to be both more efficient and richer in features than JPEG. It was based on a combination of the Free Lossless Image Format (FLIF) from Cloudinary and a Google project called PIK, first released in late 2020, and fully standardized in October 2021 as ISO/IEC 18181. There is a reference implementation called libjxl. A second edition of the ISO standard was published in 2024.

JXL appeared to have wide industry support, including experimental implementation in Chrome and Chromium, until it was killed by Google in October 2022 and removed from its web browser engine. The company stated that "there is not enough interest from the entire ecosystem to continue experimenting with JPEG XL." Many in the community disagreed with the decision, including FLIF inventor Jon Sneyers, who perceived it as the outcome of an internal battle between proponents of JXL and a rival format, AVIF. "AVIF proponents within Chrome are essentially being prosecutor, judge and executioner at the same time," he said.

Businesses

A Fight Over Credit Scores Turns Into All-Out War (msn.com) 53

A long-simmering battle over who controls credit scoring in America has erupted into open warfare. Fair Isaac, whose FICO score is used in about 90% of consumer-lending decisions in the U.S., announced it will double the price of its mortgage credit score to $10 next year. The company also said it will bypass the three credit-reporting firms that have supplied the data feeding into its algorithm for decades.

Equifax, Experian and TransUnion created VantageScore in 2006 as an alternative to FICO and collectively own the scoring system. The move came months after Bill Pulte, head of the Federal Housing Finance Agency, announced that Fannie Mae and Freddie Mac would allow lenders to use VantageScore for mortgage approvals. The three credit-reporting firms responded by offering VantageScore free for many loans. Fair Isaac had charged a few cents per score for decades before chief executive Will Lansing began raising prices several years ago. Revenue from selling credit scores reached $920 million in fiscal 2024, nearly five times what it was a decade earlier.
The Internet

Internet Archive's Legal Fights Are Over, But Its Founder Mourns What Was Lost (arstechnica.com) 39

The Internet Archive celebrated archiving its trillionth webpage last month and received congratulations from San Francisco, which declared October 22 "Internet Archive Day." Senator Alex Padilla designated the nonprofit a federal depository library. The organization currently faces no major lawsuits and no active threats to its collections. But these victories arrived after years of bruising copyright battles that forced the removal of more than 500,000 books from the Archive's Open Library. "We survived, but it wiped out the Library," founder Brewster Kahle told ArsTechnica.

In 2024, the Archive lost its final appeal in a lawsuit brought by book publishers over its e-book lending model. Damages could have topped $400 million before publishers announced a confidential settlement. Last month, the organization settled another suit over its Great 78 Project after music publishers sought damages of up to $700 million. That settlement was also confidential. In both cases, the Archive's experts challenged publishers' estimates as massively inflated.

Kahle had envisioned the Open Library as a way for Wikipedia to link to book scans and help researchers reference e-books. The Archive wanted to deepen Wikipedia's authority as a research tool by surfacing information often buried in books. "That's what they really succeeded at -- to make sure that Wikipedia readers don't get access to books," Kahle said of the publishers. He thinks "the world became stupider" when the Open Library was gutted. The Archive is now expanding Democracy's Library, a free online compendium of government research and publications that will be linked in Wikipedia articles.
Government

Senator Blocks Trump-Backed Effort To Make Daylight Saving Time Permanent (politico.com) 167

An anonymous reader quotes a report from Politico: Sen. Tom Cotton wasn't fast enough in 2022 to block Senate passage of legislation that would make daylight saving time permanent. Three years later, he wasn't about to repeat that same mistake. The Arkansas Republican was on hand Tuesday afternoon to thwart a bipartisan effort on the chamber floor to pass a bill that would put an end to changing the clocks twice a year, including this coming Sunday. [...] A cross-party coalition of lawmakers has been trying for years to make daylight saving time the default, which would result in more daylight in the evening hours with less in the morning, plus bring to a halt to biannual clock adjustments.

President Donald Trump endorsed the concept this spring, calling the changing of the clocks "a big inconvenience and, for our government, A VERY COSTLY EVENT!!!" His comments coincided with a hearing, then a markup, of Scott's legislation in the Senate Commerce Committee. It set off an intense lobbying battle in turn, pitting the golf and retail industries -- which are advocating for permanent daylight saving time -- against the likes of sleep doctors and Christian radio broadcasters -- who prefer standard time.
"If permanent Daylight Savings Time becomes the law of the land, it will again make winter a dark and dismal time for millions of Americans," said Cotton in his objection to a request by Sen. Rick Scott (R-Fla.) to advance the bill by unanimous consent. "For many Arkansans, permanent daylight savings time would mean the sun wouldn't rise until after 8:00 or even 8:30am during the dead of winter," Cotton continued. "The darkness of permanent savings time would be especially harmful for school children and working Americans."
Businesses

Companies Battle Wave of AI-Generated Fake Expense Receipts (ft.com) 65

Employees are using AI to generate fake expense receipts. Leading expense software platforms report a sharp increase in AI-created fraudulent documents following the launch of improved image generation models by OpenAI and Google. AppZen said fake AI receipts accounted for 14% of fraudulent documents submitted in September compared with none last year. Ramp flagged more than one million dollars in fraudulent invoices within 90 days. About 30% of financial professionals in the US and UK surveyed by Medius reported seeing a rise in falsified receipts after OpenAI released GPT-4o last year.

SAP Concur processes more than 80 million compliance checks monthly and now warns customers to not trust their eyes. The receipts include wrinkles in paper, detailed itemization matching real menus and signatures. Creating fraudulent documents previously required photo editing skills or paying for such services. Free and accessible image generation software has made it possible for anyone to falsify receipts in seconds by writing simple text instructions to chatbots.
XBox (Games)

Microsoft's Next Xbox Will Run Full Windows and Eliminate Multiplayer Paywall, Report Says (windowscentral.com) 66

Microsoft's next Xbox console will run full Windows and allow users to exit the Xbox interface to access Steam, Epic Games Store, Battle.net, and other PC storefronts, according to Windows Central. The device will launch without a multiplayer paywall. Xbox CEO Phil Spencer told users last week to look at the Xbox Ally handheld for an indication of where Xbox is headed. The company has been using the Ally as a beta test to gather feedback on the experience that will power its next wave of console hardware.

The new Xbox will include the entire Xbox console library spanning original Xbox, Xbox 360, Xbox One, and Xbox Series X/S titles. These games will run natively and launch through the Xbox launcher's library. Users staying within the Xbox ecosystem will encounter an onboarding experience similar to current consoles. Those who choose to access Windows will be able to install PlayStation PC titles like God of War and Spider-Man purchased through Steam or Epic Games.
PlayStation (Games)

25 Years Ago Today: A PlayStation Shopping Frenzy - But Would Microsoft's Xbox Make It Obsolete? (slashdot.org) 25

25 years ago today on Slashdot...

Hemos linked to a site called Joystick101 describing the crowd camping out to buy the limited number of just-released PlayStation 2 consoles (and games). "500,000 lucky members of the American gaming public are sneaking a few minutes of playing Madden 2001, Tekken, or Ridge Racer V before school or work..." wrote Joystick101. That same day CmdrTaco posted reports PS2s were selling for over $1,000 on eBay. And then Timothy updated that post to note someone saw one selling for $5,000.

But there was a third PS2 link posted on October 26, 2000... Hemos wrote a post titled "The PS2 — A Betamax In the Making?" — linking to an article by Mark Pesce (co-inventor of VRML and, in 1993, an Apple consulting engineer). "Microsoft promises Xbox will deliver ten times the performance of the PS2," Pesce wrote, noting Microsoft had partnered with Intel and "upstart video-chip developer Nvidia": The strangest thing about this battle of giants is that Microsoft has become a champion of open standards, encouraging developers to write Xbox titles without requiring them to pay any licensing fees. In comparison, Sony charges a minimum of $25,000 for access to the documentation and technology of the PlayStation2, plus a hefty license fee on every game sold. In the video-game industry, the Big Three — Sony, Nintendo, and Sega — sell the hardware at a loss (the PS2 costs nearly the $300 it will retail for) and recover their investment in the stiff licensing fees paid by game developers for the "key" that allows their software to work on Sony's platform...

Having committed an astounding $500 million to market the Xbox next Christmas, it's clear that Microsoft doesn't mind taking a short-term loss to ensure an eventual win. If Sony's not careful, this could turn into "Betamax, the Sequel." Twenty years ago, Sony tightly controlled the titles made available for its technically superior videocassette player — specifically, no adult content — and found themselves quickly locked out of an incredibly lucrative market for adult and family content. If Sony keeps a tight grip on the PS2, they may actually help Microsoft create the new VHS. But even if Sony loses this round (and no one wants to wager which way this battle will turn), they've already set their sights on the PlayStation3, to be released five years from now. Sony promises it will be a thousand times faster than the PS2.

Ironically, Pesce's warning about possible threats to the PS2's longevity was published by online magazine Feed-- which seven months later went out of business.

And this week it was announced that even Microsoft's Halo Campaign Evolved will now be coming to PlayStation 5, with Slashdot publishing six PlayStation-related stories in just the last three months in 2025.

Thanks to long-time Slashdot reader crunchy_one for suggesting a "25 Years Ago" Slashdot post.
Encryption

Why Signal's Post-Quantum Makeover Is An Amazing Engineering Achievement (arstechnica.com) 26

"Eleven days ago, the nonprofit entity that develops the protocol, Signal Messenger LLC, published a 5,900-word write-up describing its latest updates that bring Signal a significant step toward being fully quantum-resistant," writes Ars Technica: The mechanism that has made this constant key evolution possible over the past decade is what protocol developers call a "double ratchet." Just as a traditional ratchet allows a gear to rotate in one direction but not in the other, the Signal ratchets allow messaging parties to create new keys based on a combination of preceding and newly agreed-upon secrets. The ratchets work in a single direction, the sending and receiving of future messages. Even if an adversary compromises a newly created secret, messages encrypted using older secrets can't be decrypted... [Signal developers describe a "ping-pong" behavior as parties take turns replacing ratchet key pairs one at a time.] Even though the ping-ponging keys are vulnerable to future quantum attacks, they are broadly believed to be secure against today's attacks from classical computers.

The Signal Protocol developers didn't want to remove them or the battle-tested code that produces them. That led to their decision to add quantum resistance by adding a third ratchet. This one uses a quantum-safe Key-Encapsulation Mechanism (KEM) to produce new secrets much like the Diffie-Hellman ratchet did before, ensuring quantum-safe, post-compromise security... The technical challenges were anything but easy. Elliptic curve keys generated in the X25519 implementation are about 32 bytes long, small enough to be added to each message without creating a burden on already constrained bandwidths or computing resources. A ML-KEM 768 key, by contrast, is 1,000 bytes. Additionally, Signal's design requires sending both an encryption key and a ciphertext, making the total size 2,272 bytes... To manage the asynchrony challenges, the developers turned to "erasure codes," a method of breaking up larger data into smaller pieces such that the original can be reconstructed using any sufficiently sized subset of chunks...

The Signal engineers have given this third ratchet the formal name: Sparse Post Quantum Ratchet, or SPQR for short. The third ratchet was designed in collaboration with PQShield, AIST, and New York University. The developers presented the erasure-code-based chunking and the high-level Triple Ratchet design at the Eurocrypt 2025 conference. Outside researchers are applauding the work. "If the normal encrypted messages we use are cats, then post-quantum ciphertexts are elephants," Matt Green, a cryptography expert at Johns Hopkins University, wrote in an interview. "So the problem here is to sneak an elephant through a tunnel designed for cats. And that's an amazing engineering achievement. But it also makes me wish we didn't have to deal with elephants."

Thanks to long-time Slashdot reader mspohr for sharing the article.
AI

Hollywood Demands Copyright Guardrails from Sora 2 - While Users Complain That's Less Fun (yahoo.com) 56

Enthusiasm for Sora 2 "wasn't shared in Hollywood," reports the Los Angeles Times, "where the new AI tools have created a swift backlash" that "appears to be only just the beginning of a bruising legal fight that could shape the future of AI use in the entertainment business." [OpenAI] executives went on a charm offensive last year. They reached out to key players in the entertainment industry — including Walt Disney Co. — about potential areas for collaboration and trying to assuage concerns about its technology. This year, the San Francisco-based AI startup took a more assertive approach. Before unveiling Sora 2 to the general public, OpenAI executives had conversations with some studios and talent agencies, putting them on notice that they need to explicitly declare which pieces of intellectual property — including licensed characters — were being opted-out of having their likeness depicted on the AI platform, according to two sources familiar with the matter who were not authorized to comment. Actors would be included in Sora 2 unless they opted out, the people said. OpenAI disputes the claim and says that it was always the company's intent to give actors and other public figures control over how their likeness is used.

The response was immediate.... [Big talent agencies objected, along with performers' unions and major studios.] "Decades of enforceable copyright law establishes that content owners do not need to 'opt out' to prevent infringing uses of their protected IP," Warner Bros. Discovery said in a statement... The strong pushback from the creative community could be a strategy to force OpenAI into entering licensing agreements for the content they need, legal experts said... One challenge is figuring out a way that fairly compensates talent and rights holders. Several people who work within the entertainment industry ecosystem said they don't believe a flat fee works.

Meanwhile, "the complete copyright-free-for-all approach that OpenAI took to its new AI video generation model, Sora 2, lasted all of one week," writes Gizmodo. But that means the service has "now pissed off its users." As 404 Media pointed out, social channels like Twitter and Reddit are now flooded with Sora users who are angry they can't make 10-second clips featuring their favorite characters anymore. One user in the OpenAI subreddit said that being able to play with copyrighted material was "the only reason this app was so fun."
Futurism published more reactions, including ""It's official, Sora 2 is completely boring and useless with these copyright restrictions." Others accused OpenAI of abusing copyright to hype up its new app. "This is just classic OpenAI at this point," another user wrote. "They do this s*** all the time. Let people have fun for a day or two and then just start censoring like crazy." The app now has a measly 2.9-star rating on the App Store, indicative of growing disillusionment and frustration with censorship... [It's not dropped to 2.8.]

In an apparent effort to save face, Altman claimed this week that many copyright holders are actually begging to have their characters appear on Sora, instead of complaining about the trend. "In the case of Sora, we've heard from a lot of concerned rightsholders and also a lot of rightsholders who are like 'My concern is you won't put my character in enough,'" he told the a16z podcast earlier this week. "So I can completely see a world where subject to the decisions that a rightsholder has, they get more upset with us for not generating their character often enough than too much," he added. Whether most rightsholders would agree with that sentiment remains to be seen.

Business Insider offers another reaction. After watching Sora 2's main public feed, they write that Sora 2 "seems to be overrun with teenage boys."

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