Bitcoin

Salvador Street Protest Breaks Out Against Bitcoin Adoption (reuters.com) 75

More than 1,000 people marched in El Salvador's capital on Tuesday to protest the adoption of bitcoin as legal tender, amid a bumpy initial rollout of systems to support the digital currency. Reuters reports: The protesters burned a tire and set off fireworks in front of the Supreme Court building around noon local time, as the government deployed heavily militarized police to the site of the protest. "This is a currency that's not going to work for pupusa vendors, bus drivers or shopkeepers," said a San Salvador resident who opposed the adoption of the cryptocurrency. Pupusas are a traditional Salvadoran corn-based food. "This is a currency that's ideal for big investors who want to speculate with their economic resources."

The protest came as El Salvador's government was rushing to iron out technological snags in bitcoin's first-day rollout. Earlier on Tuesday, Salvadorans trying to download the Chivo digital wallet found it was unavailable on popular app stores. Then Bukele tweeted that the government had temporarily unplugged it, in order to connect more servers to deal with demand. A group of people in Chivo tee-shirts at a stall to train people interested in using the app milled around waiting for it to be reconnected. It later appeared on Apple and Huawei's stores, and Bukele used Twitter to ask users to let him know how it was working.
El Salvador voted to adopt bitcoin as legal tender in June. Yesterday, one day before the Bitcoin Law was put in effect, the country bought roughly $20.9 million worth of bitcoin, sending the price of the currency above $52,000 for the first time since May.
China

Contractor Accuses Huawei of Stealing Technology, Pressuring Them for a 'Back Door' (livemint.com) 42

The Wall Street Journal reports: A long-running dispute between Huawei Technologies Co. and a small U.S.-based contractor has escalated to U.S. federal court, with the contractor alleging Huawei stole its technology and pressured it to build a "back door" into a sensitive law-enforcement project in Pakistan. The contractor, Buena Park, Calif.-based Business Efficiency Solutions LLC, or BES, says in a lawsuit filed Wednesday in California district court that Huawei required it to set up a system in China that gives Huawei access to sensitive information about citizens and government officials from a safe-cities surveillance project in Pakistan's second-largest city of Lahore...

Muhammad Kamran Khan, chief operating officer of the Punjab Safe Cities Authority, which oversees the Lahore project, said the authority has begun looking into BES's allegations.

Businesses

Huawei Chairman Says the 'Aim Is To Survive' As Revenue Slides 29% (cnbc.com) 28

The chairman of Huawei said the Chinese technology company's "aim is to survive" as revenue fell almost 30% in the first half of the year. CNBC reports: The Shenzhen-headquartered company, which was put on the U.S. trade blacklist in 2019, announced Friday that it generated 320.4 billion yuan ($49.6 billion) in revenue in the first half of 2021. It's a significant fall from the 454 billion yuan that Huawei recorded in the first half of 2020. Huawei said its profit margin grew 0.6% to 9.8%, largely as a result of efficiency improvements, and added that the overall performance was in line with forecasts. Eric Xu, Huawei's rotating chairman, said in a statement that the company had set its strategic goals for the next five years. "Our aim is to survive, and to do so sustainably," he said.

Former U.S. President Donald Trump put Huawei on an export blacklist in 2019, a move that prevents American firms from doing business with it. For instance, Google was no longer allowed to license its Android mobile operating system to Huawei. The blacklist blocks U.S. companies from selling or transferring technology to Huawei unless they are granted a special license. It has hampered Huawei's ability to design its own chips and source other components. Xu said in April that Huawei has ramped up its research and development investment as part of its efforts to "keep the company afloat, to address supply continuity challenges caused by U.S. bans, and to pursue sustainability well into the future."

Communications

US Senators Urge Barring Huawei, ZTE From $1.9 Trillion Govt Funding Measure (reuters.com) 27

Two U.S. senators on Wednesday said they are introducing a measure to prohibit funds in a $1.9 trillion government funding measure from being used to purchase Chinese telecommunications equipment from Huawei and ZTE and others deemed U.S. security threats. From a report: Senators Tom Cotton, a Republican, and Mark Warner, a Democrat, said the funds that were approved in March in a law known as the American Rescue Plan should not be used to potentially undermine U.S. telecommunications networks.
Hardware

Qualcomm's New CEO Eyes Dominance in the Laptop Markets (reuters.com) 28

Qualcomm's new chief thinks that by next year his company will have just the chip for laptop makers wondering how they can compete with Apple, which last year introduced laptops using a custom-designed central processor chip that boasts longer battery life. From a report: Longtime processor suppliers Intel and Advanced Micro Devices have no chips as energy efficient as Apple's. Qualcomm Chief Executive Cristiano Amon told Reuters on Thursday he believes his company can have the best chip on the market, with help from a team of chip architects who formerly worked on the Apple chip but now work at Qualcomm. In his first interview since taking the top job at San Diego, California-based Qualcomm, Amon also said the company is also counting on revenue growth from China to power its core smartphone chip business despite political tensions. "We will go big in China," he said, noting that U.S. sanctions on Huawei give Qualcomm an opportunity to generate a lot more revenue.
The Courts

Huawei CFO Says HSBC Emails Disprove Basis For US Extradition Claim (reuters.com) 48

AltMachine shares a report from Reuters: "Lawyers fighting the extradition of Huawei's chief financial officer to the United States on Tuesday presented internal emails from British bank HSBC that they said disproved U.S. claims that Huawei misled the bank," reports Reuters. "CFO Meng Wanzhou's legal team said the emails and documents submitted to a Canadian court showed at least two senior HSBC leaders were aware of connections between Huawei and its Iranian subsidiary, Skycom. Meng's lawyers are trying to add the documents to evidence. They are meant to counter U.S. charges that only junior employees of the British bank knew about the true nature of relationship between Huawei and Skycom. U.S. prosecutors have alleged that Meng misled HSBC about Huawei's business dealings in Iran and may have caused the bank to break U.S. sanctions."

Business dealings with Iran was not illegal under Canada laws as the sanction was not a UN resolution and had no legal basis internationally. The only way for the extradition to proceed would be to show Huawei misled HSBC which operates in the U.S. Amid intensifying US-China technology and economic rivalry, it is not the first time the U.S. law enforcement fabricating false accusation against Chinese or China-linked persons. Earlier in April, U.S. court trial reveals federal agents falsely accused a UT professor born in China of spying and three Congressmen are asking the Department of Justice Office of the Inspector General to "review whether the China Initiative puts untoward pressure on DOJ personnel to engage in racial or ethnic profiling." Federal agents falsely accused Hu of spying for China based solely on a Google search, testimony revealed. After Hu refused to work as a spy for the U.S. government, agents stalked and harassed him for more than two years, leading to the destruction of his reputation and internationally renowned career.

Government

US Pentagon Changes Its Mind About DJI Drones (pocketnow.com) 24

After temporarily grounding its fleet of more than 500 DJI drones in January 2020 over cybersecurity concerns, the Pentagon has finally cleared two of DJI's drones of any security risks. An analysis of the two DJI drones built for government use found "no malicious code or intent" and are "recommended for use by government entities and forces working with US services," a report summary said. Pocketnow reports: Specifically, the Pentagon has cleared only two drone models so far -- the DJI Mavic Pro and Matrice 600 Pro. However, it will still come as a relief for the brand after being under the scanner for over security threats, especially after giants like HUAWEI have had to face terrible consequences after being blacklisted for similar reasons. DJI, on the other hand, has maintained that the company is not involved in any secretive data-sharing practices with the Chinese government and that its drones are safe to use.

"This U.S. government report is the strongest confirmation to date of what we, and independent security validations, have been saying for years -- DJI drones are safe and secure for government and enterprise operations," a DJI spokesperson was quoted as saying. While two of DJI's drone models can now be again used by the Interior Department, there is no relief for the company regarding its inclusion on the Commerce Department's Entity List. Even though the sale of its product has not been banned, sourcing technology from US-based firms would still require approval, and then there are risks of supply chain disruption as well as reputation loss.

Operating Systems

Huawei's HarmonyOS Arrives With iPad-Inspired Tablet UI, Apparent Android Base (9to5google.com) 39

Two years into its ban from the US Government and, in turn, access to the Play Store on its Android-powered devices, Huawei is unveiling HarmonyOS. The platform is an alternative to Android that powers TVs, smartphones, tablets, and smartwatches. 9to5Google reports: Announced at an event today, Huawei is positioning HarmonyOS as an operating system that can handle just about everything, from the smartphone in your pocket to IoT devices such as "power sockets and lamps." The company says the goal of the platform is to have one set of code that can be used across virtually any device, saying that it is not aware of "any other operating system in the world" that can cover such a wide range of devices. Leaning into this ability, Huawei developed a "Control Panel," which gives users the ability to connect multiple devices together, with the example of using the "music widget" to throw audio playback to nearby speakers or TVs. A "Super Device" widget shows icons for other nearby devices and enables a quick and easy pairing mode.

On smartphones, the HarmonyOS homescreen can use a swipe-up gesture on apps developed for the platform to see a widget pulling information from that app. Those widgets, apparently, can also be used across devices because of the shared codebase Huawei says HarmonyOS offers. The homescreen can also intelligently add apps to a folder based on the category. Interestingly, Huawei says HarmonyOS devices will also be able to move running apps from one device to another, which is really neat and unique. Moving apps between devices apparently also works between watches and TVs, with a workout app being used on both simultaneously given as an example. A video calling app was also shown moving between devices. Huawei says that performance of HarmonyOS is "superior" to Android with EMUI, specifically calling out long-term use.

While there are certainly new elements in HarmonyOS, it appears to be a "fork" of Android. The Verge spent time with the HarmonyOS-powered MatePad Pro and described the act of installing Android APKs as "though I was using an Android device." Visually, there are also a tremendous number of similarities between HarmonyOS and Android, though there are some distinct elements of Apple's iPad OS in the platform's tablet-optimized homescreen, seen below as Evan Blass posted to Twitter. Android Authority further described HarmonyOS as "ultimately a spin on Android 10" with a "slight rebrand." TechRadar said the software was "clearly" based on Android. These findings from the media appear to back up a previous report from ArsTechnica, which showed the developer preview as basically a clone of EMUI-skinned Android.

China

Huawei Ex-director On Trial In Poland On China Spying Charge (apnews.com) 27

An anonymous reader shares a report: Two men accused of spying for China went on trial Tuesday in Warsaw -- a Chinese citizen who is a former sales director of Huawei in Poland and a Polish cybersecurity expert. The men, Weijing Wang and Piotr Durbajlo, have both pleaded not guilty. At the start of Tuesday's session in Poland's capital, a prosecutor requested that the trial be held in secret because of the classified nature of some of the evidence.

Defense lawyers objected, saying the nature of the charges requires that the proceedings be transparent. Both Wang, speaking in fluent Polish, and Durbajlo said they wanted an open trial. But after a brief recess, the three-judge panel announced the proceedings would be held behind closed doors, citing state interests, and journalists were told to leave. Wang and Durbajlo were arrested by Polish authorities in January 2019 and accused of spying for China under the cover of seeking business deals for Chinese technology company Huawei.

Hardware

More People Are Buying Wearables Than Ever Before (arstechnica.com) 76

An anonymous reader quotes a report from Ars Technica: The wearables category of consumer devices -- which includes smartwatches, fitness trackers, and augmented reality glasses -- shipped more than 100 million units in the first quarter for the first time, according to research firm IDC. Q2 2021 saw a 34.4 percent increase in sales over the same quarter in 2020. To be clear: wearables have sold that many (and more) units in a quarter before, but never in the first quarter, which tends to be a slow period following a spree of holiday-related buying in Q4.

According to IDC's data, Apple leads the market by a significant margin, presumably thanks to the Apple Watch. In Q1 2021, Apple had a market share of 28.8 percent. Samsung sat in a distant second at 11.3 percent, followed by Xiaomi at 9.7 percent and Huawei at 8.2. From there, it's a steep drop to the smaller players -- like BoAt, which has a market share of just 2.9 percent. However, analysts say upstarts or smaller companies like BoAt are driving the significant year-over-year growth for wearables. IDC's report says that the fastest growth comes from form factors besides smartwatches, such as digitally connected rings, audio glasses, and wearable patches. This grab-bag subcategory within wearables, which the IDC simply classifies as "other," actually grew 55 percent year-over-year.

China

Huawei Founder Urges Shift To Software To Counter US Sanctions (reuters.com) 22

Founder of Chinese tech giant Huawei Technologies Ren Zhengfei has called on the company's staff to "dare to lead the world" in software as the company seeks growth beyond the hardware operations that U.S. sanctions have crippled. From a report: The internal memo seen by Reuters is the clearest evidence yet of the company's direction as it responds to the immense pressure sanctions have placed on the handset business that was at its core. Ren said in the memo the company was focusing on software because future development in the field is fundamentally "outside of U.S. control and we will have greater independence and autonomy." As it will be hard for Huawei to produce advanced hardware in the short term, it should focus on building software ecosystems, such as its HarmonyOS operating system, its cloud AI system Mindspore, and other IT products, the note said.
Communications

US-Backed Consortium Beats China's for Massive 5G Contract Blanketing Ethiopia (livemint.com) 87

"A U.S.-backed consortium beat out one financed by China in a closely watched telecommunications auction in Ethiopia — handing Washington a victory in its push to challenge Beijing's economic influence around the world," reports the Wall Street Journal: The East African country said Saturday it tapped a group of telecommunications companies led by the U.K.'s Vodafone Group PLC to build a nationwide, 5G-capable wireless network.

The group had won financial backing for the multibillion-dollar project from a newly created U.S. foreign-aid agency. The agency offers low-interest loans, but the financing comes with a condition: the money won't be used to buy telecom equipment from China's Huawei Technologies Co. and ZTE Corp. Washington considers both a spying threat, an accusation the companies deny...

The telecom license auction in Ethiopia took on wider geopolitical significance amid heightened competition between the U.S. and China over key technological pursuits, from the rollout of 5G to chip manufacturing. "The U.S. and China are fighting a proxy war in Ethiopia for influence," said Zemedeneh Negatu, chairman of Fairfax Africa Fund LLC, a U.S.-based investment firm that focuses on Africa. After all but shutting out Huawei in the U.S., Washington has become more assertive about challenging Beijing's economic footprint overseas. It is using new financial tools to win influence and ensure that strategic assets in foreign countries stay in friendly hands...

Backing the Vodafone bid was the International Development Finance Corp., or DFC. The U.S. government-funded agency was created in December 2019 with a goal of offering alternatives to cheap, Chinese financing for foreign infrastructure projects... U.S. law also prohibits its loan from being used to buy Huawei or ZTE equipment, though one person familiar with the matter said it is possible the Vodafone-led bid could still buy some Chinese gear because of the project's size and cost.

Cloud

Huawei's Cloud Services Find Government Buyers (axios.com) 11

Chinese telecom giant Huawei is finding plenty of government buyers for its cloud services despite growing suspicion of the company, according to new data compiled by the Center for Strategic and International Studies' Reconnecting Asia Project. From a report: Middle-income countries without strong civil freedoms are the most common customers for Huawei's cloud and e-government services. By the numbers: CSIS researchers found 70 agreements in 41 countries between governments (or state-owned enterprises) and Huawei. 77% of those agreements occurred in countries that Freedom House has ranked as either "not free" or "partly free," such as Saudi Arabia and Zambia.
Cellphones

Huawei Could Eavesdrop on 6.5 Million Dutch Cellphone Users Without their Knowledge (theconversation.com) 100

"Chinese technology provider Huawei was recently accused of being able to monitor all calls made using Dutch mobile operator KPN," writes the Conversation. Long-time Slashdot reader schwit1 shares their report: The revelations are from a secret 2010 report made by consultancy firm Capgemini, which KPN commissioned to evaluate the risks of working with Huawei infrastructure. While the full report on the issue has not been made public, journalists reporting on the story have outlined specific concerns that Huawei personnel in the Netherlands and China had access to security-essential parts of KPN's network - including the call data of millions of Dutch citizens - and that a lack of records meant KPN couldn't establish how often this happened... KPN essentially granted Huawei "administrator rights" to its mobile network by outsourcing work to the Chinese firm.

Legislation is only now catching up to prevent similar vulnerabilities in telecoms security...

Lower revenues force operators to carefully manage costs. This means that operators have been keen to outsource parts of their businesses to third parties, especially since the late 2000s. Large numbers of highly skilled engineers are an expensive liability to have on the balance sheet, and can often appear underused when things are running smoothly... , outsourcing by mobile operators is widespread. And firms in the UK and across Europe have often turned to Huawei to provide IT services and to help build core networks.

In 2010, Huawei was managing security-critical functions of KPN's core network.

Communications

India Grants Approval For 5G Trials, Avoids Chinese Firms (techcrunch.com) 34

Indian telecom ministry on Tuesday said it has granted several telecom service providers permission to conduct a six-month trial for the use and application of 5G technology in the country. From a report: New Delhi has granted approval to over a dozen firm spanning multiple nationalities -- excluding China. Among the telecom operators that have received the grant include Jio Platforms, Airtel, Vodafone Idea, and MTNL. These firms, the ministry said, will work with original equipment manufacturers and tech providers Ericsson, Nokia, Samsung, and C-Dot. Jio Platforms, additionally, has been granted permission to conduct trials using its own homegrown technology. In a press note, the Department of Telecommunications didn't specify anything about China, but a person familiar with the matter confirmed that Chinese giants Huawei and ZTE aren't among those who have received the approval. [...] India's move on Tuesday follows similar decisions taken by the U.S., UK, and Australia, all of which have expressed concerns about Huawei and ZTE and their ties with the Chinese government.
Programming

Rust Programming Language: We Want To Take It Into the Mainstream, Says Facebook (zdnet.com) 74

Facebook has joined the Rust Foundation, the organization driving the Rust programming language, alongside Amazon Web Services, Google, Huawei, Microsoft, and Mozilla. From a report: Facebook is the latest tech giant to ramp up its adoption of Rust, a language initially developed by Mozilla that's become popular for systems programming because of its memory safety guarantees compared to fast languages C and C++. Rust is appealing for writing components like drivers and compilers.

The Rust Foundation was established in February with initial backing from Amazon Web Services, Google, Huawei, Microsoft, and Mozilla. Microsoft is exploring Rust for some components of Windows and Azure while Google is using Rust to build new parts of the Android operating system and supporting an effort to bring Rust to the Linux kernel. Facebook's engineering team has now detailed its use of Rust beginning in 2016, a year after Rust reached its 1.0 milestone. "For developers, Rust offers the performance of older languages like C++ with a heavier focus on code safety. Today, there are hundreds of developers at Facebook writing millions of lines of Rust code," Facebook's software engineering team said.

China

China and Huawei's Dystopian 'New IP' Plan for 6G (justsecurity.org) 241

Long-time Slashdot reader schwit1 shared this analysis from Just Security: Huawei's plans for 6G and beyond make U.S. concerns over 5G look paltry: Huawei is proposing a fundamental internet redesign, which it calls "New IP," designed to build "intrinsic security" into the web. Intrinsic security means that individuals must register to use the internet, and authorities can shut off an individual user's internet access at any time. In short, Huawei is looking to integrate China's "social credit," surveillance, and censorship regimes into the internet's architecture...

To avoid scrutiny of New IP's shortcomings, Huawei has circumvented international standards bodies where experts might challenge the technical shortcomings of the proposal. Instead, Huawei has worked through the United Nations' International Telecommunications Union (ITU), where Beijing holds more political sway...

Huawei dominance on New IP and 6G would not only create a less free, less interoperable internet, it would pave the way for authoritarian governments to gain expanded say over future changes to the internet for years to come.

China

Huawei Blames US for Global Chip Supply Crunch (nikkei.com) 55

Huawei has blamed the U.S. for the chip crunch rocking the global tech industry, saying Washington's sanctions against Chinese companies have spurred panic buying of semiconductors and other supplies. From a report: "Because of the U.S. sanctions against Huawei, we have seen panic stockpiling among global companies, especially the Chinese ones. In the past, companies were barely stockpiling, but now they are building up three or six months' worth of inventory ... and that has disrupted the whole system," Rotating Chairman Eric Xu said at the company's 18th Huawei Analyst Summit. The U.S. has placed Huawei and other Chinese tech companies on trade blacklists that restrict their access to American technology, citing national security risks. "Clearly the unwarranted U.S. sanctions against Huawei and other [Chinese] companies are creating an industry-wide supply shortage, and this could even trigger a new global economic crisis," Xu added. Xu's remarks come hours before the White House plans to host a summit aimed at addressing the chip shortage, with an emphasis on its impact on the automotive industry. Dozens of executives from U.S., Asian and European tech companies and automakers -- including General Motors, Ford, Google, Intel, Taiwan Semiconductor Manufacturing Co., Samsung Electronics, and NXP -- are slated to attend the event. White House officials have already acknowledged that the chip shortage may be difficult to solve in the short term.
China

Huawei To Invest $1 Billion on Car Tech It Says Surpasses Tesla (bloomberg.com) 53

Huawei will invest $1 billion on researching self-driving and electric-car technologies, accelerating plans to compete with Tesla and Xiaomi in the world's biggest vehicle arena. From a report: Huawei's autonomous-driving technology has already surpassed Tesla's in some spheres, for instance by allowing cars to cruise for more than 1,000 kilometers (621 miles) without human intervention, Rotating Chairman Eric Xu told analysts in Shenzhen Monday. The Chinese telecom giant will partner with three automakers initially to make self-driving cars that carry the Huawei name as a sub-brand, said Xu, one of three executives who take turns to fill the post. It will keep its circle of partners small and get its logo onto cars -- not unlike how Intel calls attention to its microprocessors on PCs -- that adopt its autonomous driving technology, he added. The mobile giant has so far agreed to team up with BAIC Group, Chongqing Changan Automobile and Guangzhou Automobile Group.
Transportation

China Restricts Tesla Vehicles Over National Security Concerns (wsj.com) 71

hackingbear writes: The Wall Street Journal reports that China's government is restricting the use of Tesla's vehicles by military staff and employees of key state-owned companies (Source paywalled; alternative source), citing concerns that the data collected by the cars could be a source of national security leaks. "The move follows a government security review of Tesla's vehicles, which Chinese officials said raised concerns because the cars' cameras can constantly record images, the people said, as well as obtain various data such as when, how and where the cars are being used, and the contact list of mobile phones that are synced to the cars," reports The Wall Street Journal. "The government is concerned that some data could be sent back to the U.S., the people said."

The move appears to be a retaliation against U.S. restrictions on the use of communications equipment made by a slate of Chinese companies including Huawei, the Chinese tech giant that Washington has labeled a national security threat over fears it could spy for Beijing -- allegations which Huawei denies and which base more on overheating US-China rivalry than actual evidences.

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