Encryption

NBC: 'You Probably Don't Need to Rely on a VPN Anymore' (nbcnews.com) 166

NBC News writes: VPNs, or virtual private networks, continue to be used by millions of people as a way of masking their internet activity by encrypting their location and web traffic. But on the modern internet, most people can safely ditch them, thanks to the widespread use of encryption that has made public internet connections far less of a security threat, cybersecurity experts say. "Most commercial VPNs are snake oil from a security standpoint," said Nicholas Weaver, a cybersecurity lecturer at the University of California, Berkeley. "They don't improve your security at all...."

Most browsers have quietly implemented an added layer of security in recent years that automatically encrypts internet traffic at most sites with a technology called HTTPS. Indicated by a tiny padlock by the URL, the presence of HTTPS means that worrisome scenario, in which a scammer or a hacker squats on a public Wi-Fi connection in order to watch people's internet habits, isn't feasible. It's not clear that the threat of a hacker at your coffee shop was ever that real to begin with, but it is certainly not a major danger now, Weaver said. "Remember, someone attacking you at the coffee shop needs to be basically at the coffee shop," he said. "I don't know of them ever being used outside of pranks. And those are all irrelevant now with most sites using HTTPS," he said in a text message.

There are still valid uses for VPNs. They're an invaluable tool for getting around certain types of censorship, though other options also exist, such as the Tor Browser, a free web browser that automatically reroutes users' traffic and is widely praised by cybersecurity experts. VPNs are also vital for businesses that need their employees to log in remotely to their internal network. And they're a popular and effective way to watch television shows and movies that are restricted to particular countries on streaming services. But like with antivirus software, the paid VPN industry is a booming global market despite its core mission no longer being necessary for many people.

Most VPNs market their products as a security tool. A Consumer Reports investigation published earlier this month found that 12 of the 16 biggest VPNs make hyperbolic claims or mislead customers about their security benefits. And many can make things worse, either by selling customers' browsing history to data brokers, or by having poor cybersecurity.

The article credits the Electronic Frontier Foundation for popularizing encryption through browser extensions and web site certificates starting in 2010. "In 2015, Google started prioritizing websites that enabled HTTPS in its search results. More and more websites started offering HTTPS connections, and now practically all sites that Google links to do so.

"Since late 2020, major browsers such as Brave, Chrome, Firefox, Safari and Edge all built HTTPS into their programs, making Electronic Frontier Foundation's browser extension no longer necessary for most people."
Security

Spyware Firm NSO Mulls Shutdown of Pegasus Unit, Sale of Company (bloomberg.com) 14

NSO Group, the scandal-plagued spyware company that's in danger of defaulting on its debts, is exploring options that include shutting its controversial Pegasus unit and selling the entire company, Bloomberg News reported Monday, citing people familiar with the matter. From the report: Talks have been held with several investment funds about moves that include a refinancing or outright sale, said the people, who asked not to be identified as the discussions are private. The company has brought in advisers from Moelis & Co. to assist, and lenders are getting advice from lawyers at Willkie Farr & Gallagher, the people said. The prospective new owners include two American funds that have discussed taking control and closing Pegasus, one of the people said. Under that scenario, the funds would then inject about $200 million in fresh capital to turn the know-how behind Pegasus into strictly defensive cyber security services, and perhaps develop the Israeli companys drone technology, one of the people said. Pegasus software can track a user's mobile phone, and its misuse has landed NSO at the center of high-profile privacy abuse cases. The product allegedly was supplied to governments that used it to spy on political dissidents, journalists and human right activists.
Businesses

Facing Hostile Chinese Authorities, Apple CEO Signed $275 Billion Deal With Them (theinformation.com) 83

Interviews and internal Apple documents provide a behind-the-scenes look at how the company made concessions to Beijing and won key legal exemptions. CEO Tim Cook personally lobbied officials over threats that would have hobbled its devices and services. His interventions paved the way for Apple's unparalleled success in the country. The Information: Apple's iPhone recently became the top-selling smartphone in China, its second-biggest market after the U.S., for the first time in six years. But the company owes much of that success to CEO Tim Cook, who laid the foundation years ago by secretly signing an agreement, estimated to be worth more than $275 billion, with Chinese officials promising Apple would do its part to develop China's economy and technological prowess through investments, business deals and worker training. Cook forged the five-year agreement, which hasn't been previously reported, during the first of a series of in-person visits he made to the country in 2016 to quash a sudden burst of regulatory actions against Apple's business, according to internal Apple documents viewed by The Information. Before the meetings, Apple executives were scrambling to salvage the company's relationship with Chinese officials, who believed the company wasn't contributing enough to the local economy, the documents show. Amid the government crackdown and the bad publicity that accompanied it, iPhone sales plummeted.
Bitcoin

Goldman Sachs, Other Wall Street Banks Exploring Bitcoin-Backed Loans (coindesk.com) 56

Goldman Sachs is among a handful of tier-one U.S. banks figuring out how to use bitcoin as collateral for cash loans to institutions, CoinDesk reported Thursday, citing people familiar with the plans. From the report: Banks such as Goldman will not touch cryptocurrency spot markets but lean towards synthetic crypto products such as futures. Emulating tri-party repo type arrangements (a way of borrowing funds by selling securities with an agreement to repurchase them, involving a third-party agent), banks are exploring ways to follow the same path of not touching bitcoin, like other synthetic products. It's an opportunity that lays the groundwork for more integrated crypto prime brokerage services in the future, according to the sources CoinDesk spoke with. It's also a continuation of Wall Street's relatively sudden embrace of a $2.7 trillion asset class -- albeit with somewhat niche products. "Goldman was working on getting approved for lending against collateral and tri-party repo," said one of the people. "And if they had a liquidation agent, then they were just doing secured lending without ever having bitcoin touch their balance sheet."
Music

The World's Largest Record Company Is Creating an NFT Super Group (bloomberg.com) 73

The world's largest music company has created a band of four virtual apes. Bloomberg reports: Universal Music, the home to top-selling musicians like Drake and Taylor Swift, is working with collector Jimmy McNelis to convert four of his NFTs into a band called Kingship. Kingship consists of four digital characters -- three bored apes and one mutant ape -- all part of an NFT collection known as the Bored Ape Yacht Club. The club is one of the most successful NFT stories of the past year; it gave anyone who bought one of the apes full commercial rights to use the image.

10:22PM, one of Universal's labels, has hired a team of crypto artists and animators to turn the two-dimensional apes into three-dimensional beings. The company will record music for Kingship that it releases on streaming services. The "band" will perform and participate in video games, virtual-reality applications and across the constellation of digital experiences known as the metaverse. "You can call it an NFT band, or think of them as characters," Celine Joshua, the head of 10:22, said in an interview this week. "The characters will come to life. The apes will come to life."

As technophiles coalesce around the idea of Web 3.0 -- a decentralized internet -- Joshua has jumped into the world of NFTs. That's how she met McNelis, one of the leading collectors. McNelis acquired hundreds of ape NFTs from Yuga Labs LLC, the creator of the Bored Ape Yacht Club, and has a collection that he estimates is worth more than $100 million. He was an early buyer of Ethereum, a cryptocurrency. Joshua pitched him on the idea of creating a new group, and picked four characters that she thought would work as a band. That includes a golden ape, another of which just sold at Sotheby's for $3.4 million. Kingship's golden ape is valued at around $190,000 at current prices, according to offer data on OpenSea, the largest marketplace for NFTs.

Cloud

Cisco Wants To Climb Back the Way Microsoft Did (bloomberg.com) 61

The networking giant says it has turned a corner in its attempt to adapt to the cloud era. From a report: Cisco is hardly a failure. It produces billions of dollars in annual profits and is generally regarded as stable and well-run. But investors feared that its steady operations could lead to a slow-motion descent into obsolescence in an industry that can be brutal to anyone who falls a half-step behind. The best example of a tech giant stumbling then regaining its dominance is probably Microsoft, and analysts regularly hold it up as a role model for Cisco. Microsoft's decline, which began about the same time as Cisco's, was largely the result of a progression of disappointing products. That began to change in 2014, when new Chief Executive Officer Satya Nadella started selling tons of copies of popular software such as Excel and Word as subscription services rather than one-time purchase products and built a formidable cloud computing division. Microsoft is now the only U.S. company other than Apple with a market value of more than $2 trillion.

Chuck Robbins has held his job as Cisco's CEO just one year less than Nadella. In recent months, he's begun to insist that his company has finally reached its inflection point. Cisco acknowledged years ago that it had failed to capitalize on the chance to build the initial infrastructure for cloud computing, says Robbins, and responded with a significant, if slow-developing, overhaul of its strategy. "We were going to build technology for the next transition," he says. "We did that. Now we're seeing the benefit." Cisco's initial problem was partially a lack of flexibility. When Amazon, Google, and Microsoft began building cloud computing data centers, they wanted components, software, and machines that were tailored to their needs. Cisco insisted on selling the same expensive, uncustomizable equipment that was always the core of its business. The burgeoning cloud companies were only too happy to take their business elsewhere. Robbins can point to significant changes during his six-year tenure. Cisco has made a string of acquisitions that have turned it into one of the top 10 software companies in the world by revenue. Software and services have surpassed hardware and now make up more than half of Cisco's revenue. Its expected future revenue for outstanding fees from these products totals $30 billion.

Government

Senator Wyden Reflects on 9/11's Legacy: Mass Surveillance (fastcompany.com) 26

"After 9/11, I took the threat of terrorism seriously, still do," U.S. Senator Ron Wyden tells Fast Company. "But also I was concerned about how the new surveillance authorities might be abused..."

From Fast Company's report: After the 9/11 attacks, one big concern was connecting the dots. Failing to do so was why we missed the warning signs of the attacks and how we would prevent the next ones, the thinking went. One solution, according to the Pentagon, was a project to gather as much data as possible, to look for signs of future bad behavior. It was called Total Information Awareness...

Since the 1970s, Congress has been charged with preventing further abuse of the government's surveillance powers, particularly when it comes to spying on Americans. And few in Congress have questioned these powers as vigorously as Sen. Ron Wyden...

Sen. Wyden: Total Information Awareness was an ominous sounding idea to put together as much data on Americans as possible, and when used with what was then so-called predictive technology, identify who to watch as a way to stop terrorism. In the fight in Congress, here's the lesson that goes to the concerns we had 20 years ago: Total Information Awareness made it clear that the threat is not just surveillance through the aggressive collection, amalgamating, and mining of information through existing authorities. The bigger problem now is the amount of data on Americans that's available commercially or on social media... the threat to people's privacy is just as great. And the job of getting people's attention is still very, very challenging...

This is a national security issue: The personal data of Americans that the data brokers are selling is a gold mine for foreign intelligence services who can exploit it, to target supercharged hacking, blackmail, and influence campaigns. So I'm leading an effort right now that encompasses the biggest online advertising companies, to ask if they're sharing Americans' web browsing and location data with foreign companies.

Security

Malware Found Preinstalled In Classic Push-button Phones Sold In Russia (therecord.media) 40

"A security researcher has discovered malicious code inside the firmware of four low-budget push-button mobile phones sold through Russian online stores," reports the Record: In a report published this week by a Russian security researcher named ValdikSS, push-button phones such as DEXP SD2810, Itel it2160, Irbis SF63, and F+ Flip 3 were caught subscribing users to premium SMS services and intercepting incoming SMS messages to prevent detection. ValdikSS, who set up a local 2G base station in order to intercept the phones' communications, said the devices also secretly notified a remote internet server when they were activated for the first time, even if the phones had no internet browser...

All the remote servers that received this activity were located in China, ValdikSS said, where all the devices were also manufactured before being re-sold on Russian online stores as low-budget alternatives to more popular push-button phone offerings, such as those from Nokia.

But who's responsible, the article ultimately asks. The third party supplying the firmware? The parties shipping the phones? The vendors selling the phone without detecting its malware? Or the government agencies lacking a mechanism for collecting reports of malware...
Games

Anti-cheat Services in Video Games Are Now a Selling Point (axios.com) 78

"Destiny 2" is the second major game in a week to promise anti-cheat services as an upcoming feature. From a report: Cheating is widespread in many major online games, driving players, including influential streamers, to quit in frustration. No one likes getting shot by a player who is paying for a cheat to effectively snipe without aiming. Anti-cheat software isn't new. But in the ongoing arms race between cheaters and developers, the implementation of better anti-cheat tech is meant to tell players it's OK to play. During a Tuesday showcase of upcoming content for "Destiny 2," a developer said that anti-cheat was "one of the biggest asks from our community" and is being offered in advance of the highly competitive Trials of Osiris mode. (The studio teased the addition last week.) Last week, Activision devoted a portion of its blog post announcing the next paid "Call of Duty" game to note that "Warzone," its very popular -- and cheater-infested -- free battle royale, would soon get "a new PC anti-cheat system across the entire experience when it launches with the new map." Activision has banned more than 500,000 "Warzone" accounts for cheating since the game's 2020 launch, while Bungie has filed new lawsuits against sites that sell cheats.
Businesses

The Farmers Market is Moving Online (theverge.com) 9

The pandemic has brought rampant growth for local food distribution platforms. From a report: For the past two decades at Crystal Organic Farm in Newborn, Georgia, a typical Saturday morning involved Nicolas Donck and, later, his partner in farming and in life, Jeni Jarrard, getting up at 4AM, loading up the truck with tables and tent and coolers and bins of eggs, peppers, okra, melons, herbs, flowers, or whatever was good that week, driving the hour to Atlanta, and spending a day in whatever weather -- including sweltering heat, pouring rain, or bitter cold -- before hauling the hour back, happy from feeding their community the food they spent all week growing, but also exhausted, and just a few hundred bucks richer for it. Then the pandemic came, and it hit farms hard. Supply chains, customer bases, and in some cases labor were upended. Small and medium-sized independent farms that relied on restaurant wholesale lost huge percentages of their business overnight. Some local CSAs folded. Some farming operations went belly up.

Others, however, found a new path online. Farmer-specific e-commerce apps and services -- among them, GrazeCart, Farmdrop, Farmigo, and GrownBy -- have cropped up in recent years, offering the direct-to-consumer sales, customizable CSAs, preorders and delivery that farmers markets haven't. When the pandemic began, this tech offered a new world of possibility. Donck and Jarrard were among the farmers who took the leap. When food distribution chains collapsed and people turned to local food, the pair made the snap decision to eliminate their old-school CSA program, lean into their relationships with two tech-based distribution platforms with which they'd already worked, and transition the rest of their business to sales and distribution platform Barn2Door. Now, late-pandemic farming looks like skipping the market, staying in bed for hours longer on Saturday, and enjoying a cup of coffee together -- all while quadrupling business by selling online. Does this ever-expanding landscape of food distribution tech make the job easy? Not in all ways, says Donck. "There's always room for improvement. For example, everybody wants cucumbers, but we don't have any right now," he says, lamenting the loss of a week's crop to a swarm of squash bugs. "[Our customers] will have to go somewhere else for those." But he and Jarrard agree, they don't intend to go back to the way things were before.

Google

How Google Bought Android -- According To Folks in the Room (arstechnica.com) 32

Chet Haase, who worked at several Silicon Valley tech companies and in 2010 joined the Android engineering team at Google and watched Android rise from the bottom of the smartphone field to where it is today, writes in a new book: The final part of the pitch (and the most important part, for the VCs they were pitching to) was how Android was going to make money. The open source platform described in the slides is essentially what the Android team eventually built and shipped. But if that was all there was, the company would not have been worth funding for VCs. Developing and giving away an open source platform sounds great from a save-the-world standpoint, but where's the payoff? Where's the upside for investors? That is, how did Android plan to make money off of a product that they planned to simply give away? Venture capitalists fund companies that they hope will make more (far more) than their investment back.

The path to revenue was clear for the other platform companies in the game. Microsoft made money by licensing its platform to Windows Phone partners; every phone sold contributed a per-device cost back to Microsoft. RIM made money both on the handsets they sold as well as the lucrative service contracts that their loyal enterprise customers signed up for. Nokia and the other Symbian adopters made money by selling the phones that they manufactured with variations of that operating system. Similarly, all of the other handset manufacturers funded their own software development through the revenue generated by the phones they sold.

So what was Android's play that would fund the development of this awesome platform that they had yet to build and which they would give away free to other manufacturers to build their own devices? Carrier services.

Carriers would provide applications, contacts, and other cloud-based data services to their customers for Android-based handsets. The carriers would pay Android for providing these services. Swetland explained: "Rather than running and hosting the services [like Danger did for its Hiptop phones], we would build the services and sell them to the carriers." (In fact, the system that the team eventually built and shipped stayed true to the vision laid out in the pitch deck, except for this part about revenue from carrier services, which went away entirely.)

Social Networks

Scammer Service Will Ban Anyone From Instagram For $60 (vice.com) 53

Scammers are abusing Instagram's protections against suicide, self-harm, and impersonation to purposefully target and ban Instagram accounts at will, with some people even advertising professionalized ban-as-a-service offerings so anyone can harass or censor others, according to screenshots, interviews, and other material reviewed by Motherboard. From the report: It appears that in some cases, the same scammers who offer ban-as-a-service also offer or are at least connected to services to restore accounts for users who were unfairly banned from Instagram, sometimes for thousands of dollars. "Me (and my friend's) currently have the best ban service on-site/in the world," one advertisement for a ban service on the underground forum OG Users reads. "We have been professionally banning since 2020 and have top-tier experience. We may not have the cheapest prices, but trust me you are getting what you are paying for."

War, the pseudonymous user offering the ban service, told Motherboard in a Telegram message that banning "is pretty much a full time job lol." They claimed to have made over five-figures from selling Instagram bans in under a month. War charges $60 per ban, according to their listing. Another banner on a different underground forum offers the service for between 5 euros and 30 euros per account, depending on the number of followers. That listing advertised bans for accounts up to 5,000 followers, but claimed that higher follower accounts are also possible to ban. The first listing said it can impact accounts with up to 99,000 followers. War said they didn't know why particular customers may use their service, but added "obviously individuals who have money to throw around." Both listings say that a target account must have a human in the profile photo. In War's case, they said they ban users by filing a fraudulent impersonation complaint to Instagram.

For banned accounts, victims generally have to provide Instagram with several pieces of information such as their name, phone number, and linked email address [...]. [P]reviously, once an account was banned, the owner could try to restore it themselves straight away. Recently, Instagram introduced a 24 hour buffer window where a user has to wait before trying to restore the account, they said. But it appears that in other cases some of the people offering restore services are connected to those banning the accounts in the first place. [S]ome victims receive a message offering account restoration immediately after being banned, and that in their own case, the two accounts that launched the ban attack and the one offering the restore service follow each other on Instagram.

Privacy

48 Advocacy Groups Call On the FTC To Ban Amazon Surveillance (vice.com) 32

An anonymous reader quotes a report from Motherboard: On Thursday, a coalition of 48 civil rights and advocacy groups organized by Athena asked the Federal Trade Commission to exercise its rulemaking authority by banning corporate facial surveillance technology, banning continuous corporate surveillance of public spaces, and protecting the public from data abuse. "The harms caused by this widespread, unregulated corporate surveillance pose a direct threat to the public at large, especially for Black and brown people most often criminalized using surveillance," the coalition wrote in an open letter. "Given these dangers, we're calling on the Federal Trade Commission (FTC) to use its rulemaking authority to ban corporate use of facial surveillance technology, ban continuous surveillance in places of public accommodation, and stop industry-wide data abuse."

While a number of firms offer networked surveillance devices to try and make homes "smart," the coalition uses Amazon as a case study into how dangerous corporate surveillance can become (and the sorts of abuses that can emerge) when in the hands of a dominant and anti-competitive firm. From Amazon's Ring -- which has rolled out networked surveillance doorbells and car cameras that continuously surveil public and private spaces -- to Alexa, Echo, or Sidewalk, the company has launched numerous products and services to try and convince consumers to generate as much data as possible for the company to eventually capitalize on. "Pervasive surveillance entrenches Amazon's monopoly. The corporation's unprecedented data collection feeds development of new and existing artificial intelligence products, further entrenching and enhancing its monopoly power," the coalition letter argues.

From this nexus of monopolistic power and unchallenged power, the coalition draws a long list of abuses committed by Amazon that have harmed consumers, communities, and total bystanders. Ring's surveillance devices have been hacked multiple times, have leaked owners' Wi-Fi passwords, and shared locations over the Neighbors App. Vulnerabilities in Alexa risked revealing personally identifiable information, and all this takes place within the context of a lack of transparency around security protocols that force consumers to opt out of surveillance conducted without their consent. On Ring's Neighbors App, racial profiling has been gamified to encourage and escalate surveillance of "suspicious" people. The company collects personal information on children -- a potential violation of the Children's Online Privacy Protection Act -- but has also seen the adoption of its various surveillance devices increase in schools, libraries, and communities across the country. Paired with Amazon's development of deeply biased facial surveillance technology and its partnerships with the police and fire departments of over 2,000 cities, the group argues the potential for abuse outstrips a threshold anyone should be comfortable with.
"This type of surveillance is illegal under the FTC Act in Section 5 and in particular the section that talks about unfair and deceptive practices," said Jane Chung, the Big Tech Accountability Advocate at Public CItizen, in an interview. "There's a list of three things that have to be true in order for a practice to be unfair and deceptive according to the FTC. Number 1: it has to cause substantial injury. Number 2: the injury can't be avoidable. And number 3: the injury isn't outweighed by benefits."

"Rulemaking is needed to stop widespread systematic surveillance, discrimination, lax security, tracking of individuals, and the sharing of data. While Amazon's smart home ecosystem, facial surveillance technology, and e-learning devices provide a good case study, these rules must extend beyond this one technology corporation to include any entity collecting, using, selling, and/or sharing personal data."
Social Networks

'Disinformation for Hire' is Becoming a Booming Industry (nytimes.com) 148

Sunday the BBC reported YouTube influencers were offered money to spread vaccine misinformation.

But according to the New York Times, that's just the tip of the iceberg. "The scheme appears to be part of a secretive industry that security analysts and American officials say is exploding in scale: disinformation for hire: Private firms, straddling traditional marketing and the shadow world of geopolitical influence operations, are selling services once conducted principally by intelligence agencies. They sow discord, meddle in elections, seed false narratives and push viral conspiracies, mostly on social media. And they offer clients something precious: deniability. "Disinfo-for-hire actors being employed by government or government-adjacent actors is growing and serious," said Graham Brookie, director of the Atlantic Council's Digital Forensic Research Lab, calling it "a boom industry."

Similar campaigns have been recently found promoting India's ruling party, Egyptian foreign policy aims and political figures in Bolivia and Venezuela. Mr. Brookie's organization tracked one operating amid a mayoral race in Serra, a small city in Brazil. An ideologically promiscuous Ukrainian firm boosted several competing political parties. In the Central African Republic, two separate operations flooded social media with dueling pro-French and pro-Russian disinformation. Both powers are vying for influence in the country. A wave of anti-American posts in Iraq, seemingly organic, were tracked to a public relations company that was separately accused of faking anti-government sentiment in Israel.

Most trace to back-alley firms whose legitimate services resemble those of a bottom-rate marketer or email spammer... For-hire disinformation, though only sometimes effective, is growing more sophisticated as practitioners iterate and learn. Experts say it is becoming more common in every part of the world, outpacing operations conducted directly by governments. The result is an accelerating rise in polarizing conspiracies, phony citizen groups and fabricated public sentiment, deteriorating our shared reality beyond even the depths of recent years... Commercial firms conducted for-hire disinformation in at least 48 countries last year — nearly double from the year before, according to an Oxford University study. The researchers identified 65 companies offering such services...

Platforms have stepped up efforts to root out coordinated disinformation. Analysts especially credit Facebook, which publishes detailed reports on campaigns it disrupts. Still, some argue that social media companies also play a role in worsening the threat. Engagement-boosting algorithms and design elements, research finds, often privilege divisive and conspiratorial content.

The article also notes "a generation" of populist political leaders around the world who have risen "in part through social media manipulation.

"Once in office, many institutionalize those methods as tools of governance and foreign relations."
Bitcoin

Bitcoin Crashes Below $30,000 As Cryptocurrency Free-Fall Accelerates (hothardware.com) 135

The price of bitcoin has come crashing below the $30,000 mark for the first time in a month. "At the time of this writing, Bitcoin is trading at $29,694.34," writes Paul Lilly via HotHardware. "That's down from around $31,000 yesterday, and less than half of where Bitcoin peaked at in April of this year, when it topped $60,000." From the report: Will it go back up? Probably, but for Bitcoin investors, there are definitely reasons to be cautious, outside of the normal volatility associated with cryptocurrencies. For one, China is cracking down on cryptocurrency in general. As such, crypto miners recently dumped a bunch of used GeForce RTX 3060 cards on eBay for relatively cheap (compared to what they had been selling for), as well as ASIC hardware, the latter of which is what Bitcoin miners use these days. But it's not just China.

Malaysian police recently seized and then steamrolled 1,069 ASIC mining rigs after discovering that miners had illegally tapped into a power grid to steal electricity for their operations. Talk about sending a strong message. In addition, six people were arrested, jailed, and fined (but hey, at least they weren't steamrolled). Tighter regulations in various territories could affect Bitcoin's value, too. For example, US Treasury Secretary Janet Yellen said lawmakers must "act quickly" to construct and adopt new rules on stablecoins. "Bringing together regulators will enable us to assess the potential benefits of stablecoins while mitigating risks they could pose to users, markets, or the financial system," Yellen said in a statement. "In light of the rapid growth in digital assets, it is important for the agencies to collaborate on the regulation of this sector and the development of any recommendations for new authorities."
It's worth noting that other cryptocurrencies are down too. Dogecoin is down more than 5 percent to $0.16, while Ethereum dropped more than 3 percent to $1,755.99. Just over two months ago it was at nearly $3,900.
Government

Tahoe's Workforce is Disappearing, As Many Can No Longer Afford to Live There (sfgate.com) 181

200 miles east of Silicon Valley, "A disproportionate number of people who purchased homes in Tahoe in 2020 are employees of some of the largest tech companies in the Bay Area," a real estate brokerage firm specializing in data analytics recently told Outside magazine.

Of the 2,280 new-home buyers Atlasa identified throughout the Tahoe region in 2020, roughly 30 percent worked at software companies. The top three employers were Google (54 buyers), Apple (46), and Facebook (34)... There is, however, one glaring issue with all this rapid, high-priced growth: the people who actually make a mountain town run — the ski instructors and patrollers, lift operators and shuttle drivers, housekeepers and snowcat mechanics, cooks and servers — can no longer afford to live there.
Just last year Sierra Sotheby's found more than 2,350 homes were sold across the Tahoe Basin, for a boggling $3.28 billion (up 86% from the $1.76 billion in 2019), according to the article, which calls the popular tele-working destination a "Zoom town."

Now the region's heading into its summer tourist season — but "with a shorthanded workforce, businesses are unraveling," like the restaurant that simply closed for a week because "We literally do not have enough cooks to operate..." The evidence is showing up in the ways businesses are cutting back during the peak of the busiest time of year, a time when small business owners in Tahoe typically are trying to make as much money as possible so they can survive the slower times of year...

While the hiring crisis spans far and wide across the nation, in Tahoe, the linchpin is housing. At Tahoe Dave's, Dave Wilderotter, the owner of Tahoe Dave's Skis and Boards, starts his employees at $20 an hour. Most of his employees make too much money to qualify for affordable housing. But they don't make enough money to pay Tahoe's rent prices, which have risen by 25% to 50% in the past year. Tahoe's workforce is disappearing because many of them cannot afford to live here any more... Making matters worse, Tahoe's already minimal long-term rental housing stock is getting eaten up by the very hot real estate market. Many landlords are selling homes they've been renting to local workers, leaving those tenants without many options...

"This isn't just tourism that's being hit," says Alex Mourelatos, a business owner on Tahoe's North Shore who also serves on multiple boards for the North Tahoe Public Utility District and nonprofit groups. "It's every service industry. Every industry across people, dentistry, legal, everything, Planned Urban Developments, all the special districts, firemen, teachers, all of them." The hiring crisis has even affected critical services like public transportation. Bus drivers are so hard to come by that the Tahoe Transportation District made the unprecedented decision to shut down an entire bus route down the East Shore.

The district had shuttles but no one to steer the wheel.

Robotics

Humanoid Robot Keeps Getting Fired From His Jobs (wsj.com) 55

Pepper, SoftBank's robot, malfunctioned during scripture readings, took breaks in exercise class and couldn't recognize the faces of family members. From a report: Having a robot read scripture to mourners seemed like a cost-effective idea to the people at Nissei Eco, a plastics manufacturer with a sideline in the funeral business. The company hired child-sized robot Pepper, clothed it in the vestments of Buddhist clergy and programmed it to chant several sutras, or Buddhist scriptures, depending on the sect of the deceased. Alas, the robot, made by SoftBank Group, kept breaking down during practice runs. "What if it refused to operate in the middle of a ceremony?" said funeral-business manager Osamu Funaki. "It would be such a disaster." Pepper was fired. The company ended its lease of the robot and sent it back to the manufacturer. After a rash of similar mishaps across Japan, in which Pepper botched its job at a nursing home and gave baseball fans a creepy feeling, some people are saying the humanoid itself will need a funeral soon.

"Because it has the shape of a person, people expect the intelligence of a human," said Takayuki Furuta, head of the Future Robotics Technology Center at Chiba Institute of Technology, which wasn't involved in Pepper's development. "The level of the technology completely falls short of that. It's like the difference between a toy car and an actual car." The robotics unit of SoftBank, a Tokyo-based technology investor, said in late June that it halted production of Pepper last year and was planning to restructure its global robotics teams, including a French unit involved in Pepper's development. Still, the company says the machine shouldn't be sent to the product graveyard. Spokeswoman Ai Kitamura said Pepper is SoftBank's icon and still doing good work as a teacher and a temperature taker at hospitals. She declined to comment on any of its individual mishaps.

SoftBank introduced the humanoid to the world in 2014 and started selling it the next year. "Today might become a day that people 100, 200 or 300 years later would remember as a historic day," SoftBank Chief Executive Masayoshi Son said at the introduction. SoftBank sold the robots to individuals for about $2,000, plus monthly fees for subscription services, and rented them to businesses starting at $550 a month. Japan has had a love affair with humanlike robots going back to Astro Boy, a robot featured in a 1960s animated television series, but there have also been breakups. Honda Motor's Asimo once kicked a soccer ball to then-President Barack Obama. Toshiba's Aiko Chihira, an android with a woman's name and appearance, briefly worked as a department store receptionist. After a while, both disappeared. More recently, a Japanese hotel chain created a robot-operated hotel, with dinosaur-shaped robots handling front-desk duties, only to reverse course after the plan failed to save money and created more work for humans.

Businesses

Mobile Carrier Telenor Quits Myanmar, Says Coup Makes Doing Business Its Way Impossible (theregister.com) 17

Norwegian telco Telenor has quit Myanmar, selling its network there because the recent military coup has made it impossible to operate on its terms in the nation. The Register reports: A statement about the sale notes that Telenor had already written down the value of its Myanmar operation to $0. At the time of the write-down in May, Telenor valued the Myanmar assets at $780 million and said it would ponder its future presence in Myanmar depending on "developments in the country and the ability to contribute positively to the people of Myanmar" by offering "affordable mobile services [that] support the country's development and growth."

Company president and CEO Sigve Brekke now rates conditions in the nation as "increasingly challenging for Telenor for people security, regulatory and compliance reasons." "We have evaluated all options and believe a sale of the company is the best possible solution in this situation." The carrier has therefore sold its operations to M1 Group for $105 million. M1 Group describes itself as "a holding company that owns, manages and oversees investments engaged in diversified businesses." The group owns a stake in mobile carrier MTN, which operates mobile networks across Africa, the Middle East, and Afghanistan.
Further reading: Myanmar's Internet Suppression
Privacy

Intuit to Share Payroll Data from 1.4M Small Businesses With Equifax (krebsonsecurity.com) 25

Financial services giant Intuit this week informed 1.4 million small businesses using its QuickBooks Online Payroll and Intuit Online Payroll products that their payroll information will be shared with big-three consumer credit bureau Equifax starting later this year unless customers opt out by the end of this month. Krebs On Security reports: Intuit says the change is tied to an "exciting" and "free" new service that will let millions of small business employees get easy access to employment and income verification services when they wish to apply for a loan or line of credit. "In early fall 2021, your QuickBooks Online Payroll subscription will include an automated income and employment verification service powered by The Work Number from Equifax," reads the Intuit email, which includes a link to the new Terms of Service. "Your employees may need to verify their income and employment info when applying for things like loans, credit, or public aid. Before, you likely had to manually provide this info to lenders, creditors or government agencies. These verifications will be automated by The Work Number, which helps employees get faster approvals and saves you time." An Intuit spokesperson clarified that the new service is not available through QuickBooks Online or to QuickBooks Online users as a whole. Intuit's FAQ on the changes is here.

"The way I read the terms, Equifax gets to proactively collect all payroll data just in case they need to share it later -- similar to how they already handle credit reporting," said Citrano, who is founder and CEO of Acquicent, a company that issues non-fungible tokens (NFTs). "And that feels like a disaster waiting to happen, especially given Equifax's history." In selling payroll data to Equifax, Intuit will be joining some of the world's largest payroll providers. For example, ADP -- the largest payroll software provider in the United States -- has long shared payroll data with Equifax. But Citrano said this move by Intuit will incorporate a large number of fairly small businesses. "ADP participates in some way already, but QuickBooks Online jumping on the bandwagon means a lot of employees of small to mid-sized businesses are going to be affected," he said. Why might small businesses want to think twice before entrusting Equifax with their payroll data? The answer is the company doesn't have a great track record of protecting that information.
In 2017, Equifax had a massive data breach that exposed the personal and financial details of 145.5 million Americans.

If customers do not want this new service, they must update their preferences and opt-out by July 31, 2021. Otherwise, they'll be automatically opted in. You can opt out by signing in to QuickBooks Online Payroll, navigating to Payroll Settings, selecting the pencil and unchecking the box in the Shared data section, and saving your changes.
Verizon

Verizon Forces Users Onto Pricier Plans To Get $50-Per-Month Government Subsidy (arstechnica.com) 31

An anonymous reader quotes a report from Ars Technica: Verizon and other Internet service providers are preventing some low-income customers from getting new $50-per-month government subsidies unless they switch to different plans that are sometimes more expensive. Over 825 ISPs nationwide are selling plans eligible for the new subsidies that the US government made available to people who have low incomes or who lost income during the pandemic. Verizon stands out among big ISPs in its use of the subsidy to "upsell" customers to pricier plans, according to a story yesterday by Washington Post tech columnist Geoffrey Fowler.

"Soon after the EBB [Emergency broadband Benefit program] launched, I started hearing from Washington Post readers about their frustrations signing up with certain ISPs," he wrote. "Verizon elicited the most ire from readers." Instead of letting people enroll online, Verizon requires them to call a phone number to sign up and then "tells some customers the EBB can't be used on 'old' data plans, so they'll have to switch," the Post article said. Verizon is limiting the plans available on both mobile and home Internet service. The EBB is temporary, lasting until the $3.2 billion in program funding runs out or six months after the Department of Health and Human Services declares an end to the pandemic. Verizon customers who have to switch to a more expensive plan in order to get the $50 monthly discount would have to pay the higher rate after the subsidy expires.

"At the end of the program, you will either continue on your plan at the price without the EBB discount or you will end your Internet-related services with Verizon," a company FAQ says. "We will give you an opportunity to decide this at the beginning of your enrollment into the EBB program and again before the end of the program. If you do not affirmatively choose to keep your Internet-related services, the FCC requires that we disconnect those services at the end of the EBB program." Verizon defended its implementation of the subsidy program yesterday, saying it has enrolled nearly 1,000 customers in less than a week. But that's just an average, and yesterday's Washington Post story makes clear that some customers would have to switch to more expensive plans to get the subsidy.
Earlier today, the FCC said that more than one million U.S. households have signed up to take part in the broadband subsidy program, which is being accepted at over 900 broadband providers. Some providers estimate the program could run out of money in four to six months.

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