Cloud

Federal Cyber Experts Called Microsoft's Cloud 'a Pile of Shit', Yet Approved It Anyway (propublica.org) 64

ProPublica reports that federal cybersecurity reviewers had serious, yearslong concerns about Microsoft's GCC High cloud offering, yet they approved it anyway because the product was already deeply embedded across government. As one member of the team put it: "The package is a pile of shit." From the report: In late 2024, the federal government's cybersecurity evaluators rendered a troubling verdict on one of Microsoft's biggest cloud computing offerings. The tech giant's "lack of proper detailed security documentation" left reviewers with a "lack of confidence in assessing the system's overall security posture," according to an internal government report reviewed by ProPublica. For years, reviewers said, Microsoft had tried and failed to fully explain how it protects sensitive information in the cloud as it hops from server to server across the digital terrain. Given that and other unknowns, government experts couldn't vouch for the technology's security.

Such judgments would be damning for any company seeking to sell its wares to the U.S. government, but it should have been particularly devastating for Microsoft. The tech giant's products had been at the heart of two major cybersecurity attacks against the U.S. in three years. In one, Russian hackers exploited a weakness to steal sensitive data from a number of federal agencies, including the National Nuclear Security Administration. In the other, Chinese hackers infiltrated the email accounts of a Cabinet member and other senior government officials. The federal government could be further exposed if it couldn't verify the cybersecurity of Microsoft's Government Community Cloud High, a suite of cloud-based services intended to safeguard some of the nation's most sensitive information.

Yet, in a highly unusual move that still reverberates across Washington, the Federal Risk and Authorization Management Program, or FedRAMP, authorized the product anyway, bestowing what amounts to the federal government's cybersecurity seal of approval. FedRAMP's ruling -- which included a kind of "buyer beware" notice to any federal agency considering GCC High -- helped Microsoft expand a government business empire worth billions of dollars. "BOOM SHAKA LAKA," Richard Wakeman, one of the company's chief security architects, boasted in an online forum, celebrating the milestone with a meme of Leonardo DiCaprio in "The Wolf of Wall Street."

It was not the type of outcome that federal policymakers envisioned a decade and a half ago when they embraced the cloud revolution and created FedRAMP to help safeguard the government's cybersecurity. The program's layers of review, which included an assessment by outside experts, were supposed to ensure that service providers like Microsoft could be entrusted with the government's secrets. But ProPublica's investigation -- drawn from internal FedRAMP memos, logs, emails, meeting minutes, and interviews with seven former and current government employees and contractors -- found breakdowns at every juncture of that process. It also found a remarkable deference to Microsoft, even as the company's products and practices were central to two of the most damaging cyberattacks ever carried out against the government.

Security

How Private Equity Debt Left a Leading VPN Open To Chinese Hackers (financialpost.com) 26

An anonymous reader quotes a report from Bloomberg: In early 2024, the agency that oversees cybersecurity for much of the US government issued a rare emergency order -- disconnect your Connect Secure virtual private network software immediately. Chinese spies had hacked the code and infiltrated nearly two dozen organizations. The directive applied to all civilian federal agencies, but given the product's customer base, its impact was more widely felt. The software, which is made by Ivanti Inc., was something of an industry standard across government and much of the corporate world. Clients included the US Air Force, Army, Navy and other parts of the Defense Department, the Department of State, the Federal Aviation Administration, the Federal Reserve, the National Aeronautics and Space Administration, thousands of companies and more than 2,000 banks including Wells Fargo & Co. and Deutsche Bank AG, according to federal procurement records, internal documents, interviews and the accounts of former Ivanti employees who requested anonymity because they were not authorized to disclose customer information.

Soon after sending out their order, which instructed agencies to install an Ivanti-issued fix, staffers at the Cybersecurity and Infrastructure Security Agency discovered that the threat was also inside their own house. Two sensitive CISA databases -- one containing information about personnel at chemical facilities, another assessing the vulnerabilities of critical infrastructure operators -- had been compromised via the agency's own Connect Secure software. CISA had followed all its own guidance. Ivanti's fix had failed. This was a breaking point for some American national security officials, who had long expressed concerns about Connect Secure VPNs. CISA subsequently published a letter with the Federal Bureau of Investigation and the national cybersecurity agencies of the UK, Canada, Australia and New Zealand warning customers of the "significant risk" associated with continuing to use the software. According to Laura Galante, then the top cyber official in the Office of the Director of National Intelligence, the government came to a simple conclusion about the technology. "You should not be using it," she said. "There really is no other way to put it."

That attack, along with several others that successfully targeted the Ivanti software, illustrate how private equity's push into the cybersecurity market ended up compromising the quality and safety of some critical VPN products, Bloomberg has found. Last year, Bloomberg reported that Citrix Systems Inc., another top VPN maker, experienced several major hacks after its private equity owners, Elliott Investment Management and Vista Equity Partners, cut most of the company's 70-member product security team following their acquisition of the company in 2022. Some government officials and private-sector executives are now reconsidering their approach to evaluating cybersecurity software. In addition to excising private equity-owned VPNs from their networks, some factor private equity ownership into their risk assessments of key technologies.

AI

As Software Stocks Slump, Investors Debate AI's Existential Threat (reuters.com) 55

Investors were assessing on Wednesday whether a selloff in global software stocks this week had gone too far, as they weighed if businesses could survive an existential threat posed by AI. The answer: It's unclear and will lead to volatility. From a report: After a broad selloff on Tuesday that saw the S&P 500 software and services index fall nearly 4%, the sector slipped another 1% on Wednesday. While software stocks have been under pressure in recent months as AI has gone from being a tailwind for many of these companies to investors worrying about the disruption it will cause to some sectors, the latest selloff was triggered by a new legal tool from Anthropic's Claude large language model (LLM).

The tool - a plug-in for Claude's agent for tasks across legal, sales, marketing and data analysis - underscored the push by LLMs into the so-called "application layer," where these firms are increasingly muscling into lucrative enterprise businesses for revenue they need to fund massive investments. If successful, investors worry, it could wreak havoc across a range of industries, from finance to law and coding.

Security

County Pays $600,000 To Pentesters It Arrested For Assessing Courthouse Security (arstechnica.com) 49

An anonymous reader quotes a report from Ars Technica, written by Dan Goodin: Two security professionals who were arrested in 2019 after performing an authorized security assessment of a county courthouse in Iowa will receive $600,000 to settle a lawsuit they brought alleging wrongful arrest and defamation. The case was brought by Gary DeMercurio and Justin Wynn, two penetration testers who at the time were employed by Colorado-based security firm Coalfire Labs. The men had written authorization from the Iowa Judicial Branch to conduct "red-team" exercises, meaning attempted security breaches that mimic techniques used by criminal hackers or burglars.

The objective of such exercises is to test the resilience of existing defenses using the types of real-world attacks the defenses are designed to repel. The rules of engagement for this exercise explicitly permitted "physical attacks," including "lockpicking," against judicial branch buildings so long as they didn't cause significant damage. [...] DeMercurio and Wynn's engagement at the Dallas County Courthouse on September 11, 2019, had been routine. A little after midnight, after finding a side door to the courthouse unlocked, the men closed it and let it lock. They then slipped a makeshift tool through a crack in the door and tripped the locking mechanism. After gaining entry, the pentesters tripped an alarm alerting authorities.

Within minutes, deputies arrived and confronted the two intruders. DeMercurio and Wynn produced an authorization letter -- known as a "get out of jail free card" in pen-testing circles. After a deputy called one or more of the state court officials listed in the letter and got confirmation it was legit, the deputies said they were satisfied the men were authorized to be in the building. DeMercurio and Wynn spent the next 10 or 20 minutes telling what their attorney in a court document called "war stories" to deputies who had asked about the type of work they do. When Sheriff Leonard arrived, the tone suddenly changed. He said the Dallas County Courthouse was under his jurisdiction and he hadn't authorized any such intrusion. Leonard had the men arrested, and in the days and weeks to come, he made numerous remarks alleging the men violated the law. A couple months after the incident, he told me that surveillance video from that night showed "they were crouched down like turkeys peeking over the balcony" when deputies were responding. I published a much more detailed account of the event here. Eventually, all charges were dismissed.

Security

Nike Says It's Investigating Possible Data Breach (yahoo.com) 13

Nike says it is investigating a potential data breach, after a group known for cyber attacks reportedly claimed to have leaked a trove of data related to its business operations. From a report: "We always take consumer privacy and data security very seriously," Nike said in a statement. "We are investigating a potential cyber security incident and are actively assessing the situation."

The ransomware group World Leaks said on its website that it had published 1.4 terabytes of data from Nike.

Businesses

AI Company Eightfold Sued For Helping Companies Secretly Score Job Seekers (reuters.com) 16

Eightfold AI, a venture capital-backed AI hiring platform used by Microsoft, PayPal and many other Fortune 500 companies, is being sued in California for allegedly compiling reports used to screen job applicants without their knowledge. From a report: The lawsuit, filed on Tuesday accusing Eightfold of violating the Fair Credit Reporting Act shows how consumer advocates are seeking to apply existing law to AI systems capable of drawing inferences about individuals based on vast amounts of data.

Santa Clara, California-based Eightfold provides tools that promise to speed up the hiring process by assessing job applicants and predicting whether they would be a good fit for a job using massive amounts of data from online resumes and job listings. But candidates who apply for jobs at companies that use those tools are not given notice and a chance to dispute errors, job applicants Erin Kistler and Sruti Bhaumik allege in their proposed class action. Because of that, they claim Eightfold violated the FCRA and a California law that gives consumers the right to view and challenge credit reports used in lending and hiring.

Crime

Italy's Privacy Watchdog, Scourge of US Big Tech, Hit By Corruption Probe (reuters.com) 10

The powerful data privacy watchdog in Italy long known for aggressively policing U.S. and Chinese AI giants is under investigation for possible corruption and embezzlement. Reuters reports: Rome prosecutors are investigating the agency's president, Pasquale Stanzione, and three other board members over alleged excessive spending and possible corruption behind its decisions, Italian news agencies including ANSA as well as the judicial source, who did not wish to be named, said. Stanzione, when asked by reporters to comment on the investigation, said he was "absolutely serene."

The opposition 5-Star Movement said the agency's credibility had been undermined and called for Stanzione to resign. Stanzione declined to answer when asked repeatedly by reporters whether he would step down. The data privacy authority, known in Italy as the Garante, is one of the European Union's most proactive regulators in assessing AI platform compliance with the bloc's data privacy regime. It frequently takes initiatives -- such as requesting information or imposing fines or bans -- on matters affecting high-tech multinationals operating in the country.

Security

US Banks Scramble To Assess Data Theft After Hackers Breach Financial Tech Firm (techcrunch.com) 11

An anonymous reader quotes a report from TechCrunch: Several U.S. banking giants and mortgage lenders are reportedly scrambling to assess how much of their customers' data was stolen during a cyberattack on a New York financial technology company earlier this month. SitusAMC, which provides technology for over a thousand commercial and real estate financiers, confirmed in a statement over the weekend that it had identified a data breach on November 12. The company said that unspecified hackers had stolen corporate data associated with its banking customers' relationship with SitusAMC, as well as "accounting records and legal agreements" during the cyberattack.

The statement added that the scope and nature of the cyberattack "remains under investigation." SitusAMC said that the incident is "now contained," and that its systems are operational. The company said that no encrypting malware was used, suggesting that the hackers were focused on exfiltrating data from the company's systems rather than causing destruction. According to Bloomberg and CNN, citing sources, SitusAMC sent data breach notifications to several financial giants, including JPMorgan Chase, Citigroup, and Morgan Stanley. SitusAMC also counts pension funds and state governments as customers, according to its website.

It's unclear how much data was taken, or how many U.S. banking consumers may be affected by the breach. Companies like SitusAMC may not be widely known outside of the financial world, but provide the mechanisms and technologies for its banking and real estate customers to comply with state and federal rules and regulations. In its role as a middleman for financial clients, the company handles vast amounts of non-public banking information on behalf of its customers. According to SitusAMC's website, the company processes billions of documents related to loans annually.

Earth

Iceland Deems Possible Atlantic Current Collapse A Security Risk 62

Iceland has formally classified the potential collapse of a major Atlantic Ocean current system a national security threat, warning that a disruption could trigger a modern-day ice age in Northern Europe and destabilize global weather systems. The move elevates the risk across government and enables it to strategize for worst-case scenarios. Reuters reports: The Atlantic Meridional Overturning Circulation, or AMOC, current brings warm water from the tropics northward toward the Arctic, and the flow of warm water helps keep Europe's winters mild. But as warming temperatures speed the thaw of Arctic ice and cause meltwater from Greenland's ice sheet to pour into the ocean, scientists warn the cold freshwater could disrupt the current's flow.

A potential collapse of AMOC could trigger a modern-day ice age, with winter temperatures across Northern Europe plummeting to new cold extremes, bringing far more snow and ice. The AMOC has collapsed in the past - notably before the last Ice Age that ended about 12,000 years ago. "It is a direct threat to our national resilience and security," Iceland Climate Minister Johann Pall Johannsson said by email. "(This) is the first time a specific climate-related phenomenon has been formally brought before the National Security Council as a potential existential threat."

Elevation of the issue means Iceland's ministries will be on alert and coordinating a response, Johannsson said. The government is assessing what further research and policies are needed, with work underway on a disaster preparedness policy. Risks being evaluated span a range of areas, from energy and food security to infrastructure and international transportation.
"Sea ice could affect marine transport; extreme weather could severely affect our capabilities to maintain any agriculture and fisheries, which are central to our economy and food systems," Johannsson said. "We cannot afford to wait for definitive, long-term research before acting."
The Military

Sweden's Crowd-Forecasting Platform 'Glimt' Helps Ukraine Make Wartime Predictions (france24.com) 20

alternative_right shares a report from France 24: [Sweden's] latest contribution to the war effort is Glimt, an innovative project launched by the Swedish Defence Research Agency (FOI) earlier this year. Glimt is an open platform that relies on the theory of "crowd forecasting": a method of making predictions based on surveying a large and diverse group of people and taking an average. "Glimt" is a Swedish word for "a glimpse" or "a sudden insight." The theory posits that the average of all collected predictions produces correct results with "uncanny accuracy," according to the Glimt website. Such "collective intelligence" is used today for everything from election results to extreme weather events, Glimt said. [...]

Group forecasting allows for a broad collection of information while avoiding the cognitive bias that often characterizes intelligence services. Each forecaster collects and analyses the available information differently to reach the most probable scenario and can add a short comment to explain their reasoning. The platform also encourages discussion between members so they can compare arguments and alter their positions. Available in Swedish, French and English, the platform currently has 20,000 registered users; each question attracts an average of 500 forecasters. Their predictions are later sent to statistical algorithms that cross-reference data, particularly the relevance of the answers they provided. The most reliable users will have a stronger influence on the results; this reinforces the reliability of collective intelligence.
"We used this method and research, and we suggested to the Ukrainians that it could improve their understanding of the world and its evolution," said Ivar Ekman, an analyst for the Swedish Defence Research Agency and program director for Glimt. "If you have a large group of people, you can achieve great accuracy in assessing future events. Research has shown that professional analysts don't necessarily have a better capacity in this domain than other people."
Technology

Nearly 40% of Kids Under 2 Years Old Interact With Smartphones, According To Their Parents (sherwood.news) 33

An anonymous reader shares a report: On Wednesday, Pew Research Center published a survey assessing how parents in the US with children under 12 manage their kids' screen time, which revealed that 61% of respondents overall reported their child ever uses or interacts with smartphones -- including 38% of those with children under 2 years old.

Much of this smartphone screen time is likely made up by parents streaming kid-friendly cartoons for their little ones to watch on the go: the study also found that YouTube use among children under 2 has risen sharply from 45% to 62% over the last five years. But it appears that most American toddlers only need to wait a few years before they can get devices of their very own. The same survey showed that almost one in four US parents overall allow their children aged 12 and under to have their own smartphones, and this ballooned to nearly 60% when just looking at kids aged 11-12 years old.

Opera

Opera Wants You To Pay $19.90 a Month for Its New AI Browser (bleepingcomputer.com) 74

There's an 85-second ad (starring a humanoid robot) that argues "Technology promised to save us time. Instead it stole our focus. Opera Neon gives you both back."

Or, as BleepingComputer describes it, Opera Neon "is a new browser that puts AI in control of your tabs and browsing activities, but it'll cost $19.90 per month." It'll do tasks for you, open websites for you, manage tabs for you, and listen to you. The idea behind these agentic browsers is to put AI in control. "Neon acts at your command, opening tabs, conducting research, finding the best prices, assessing security, whatever you need. It delivers outcomes you can use, share, and build on," Opera noted...

As spotted on X, Opera Neon, the premium AI browser for Windows & macOS, costs $59.90 for nine months. Opera neon invite. This is an early bird offer, but when the offer expires, Opera Neon will cost $19.90 per month.

The browser's web page says Opera Neon "can handle everyday tasks for you, like filling in forms, placing orders, replying to emails, or tidying up files. Reusable cards turn repeated chores into single-step tasks, letting you focus on the work that matters most to you."

Opera describes itself as "the company that gave you tabs..."
China

Chinese Hackers Breach US Software and Law Firms Amid Trade Fight (cnn.com) 3

An anonymous reader quotes a report from CNN: A team of suspected Chinese hackers has infiltrated US software developers and law firms in a sophisticated campaign to collect intelligence that could help Beijing in its ongoing trade fight with Washington, cybersecurity firm Mandiant said Wednesday. The hackers have been rampant in recent weeks, hitting the cloud-computing firms that numerous American companies rely on to store key data, Mandiant, which is owned by Google, said. In a sign of how important China's hacking army is in the race for tech supremacy, the hackers have also stolen US tech firms' proprietary software and used it to find new vulnerabilities to burrow deeper into networks, according to Mandiant.

[...] In some cases, the hackers have lurked undetected in the US corporate networks for over a year, quietly collecting intelligence, Mandiant said. The disclosure comes after the Trump administration escalated America's trade war with China this spring by slapping unprecedented tariffs on Chinese exports to the United States. The tit-for-tat tariffs set off a scramble in both governments to understand each other's positions. Mandiant analysts said the fallout from the breaches -- the task of kicking out the hackers and assessing the damage -- could last many months. They described it as a milestone hack, comparable in severity and sophistication to Russia's use of SolarWinds software to infiltrate US government agencies in 2020.

Government

FTC Probes Whether Ticketmaster Does Enough To Stop Resale Bots (reuters.com) 38

The FTC is investigating whether Ticketmaster is doing enough to prevent bots from illegally reselling tickets on its platform, with a decision on the matter coming within weeks, according to Bloomberg (paywalled). Reuters reports: The 2016 law prohibits the use of bots and other methods to bypass ticket purchase limits set by online sellers. As part of the probe, FTC investigators are assessing whether Ticketmaster has a financial incentive to allow resellers to circumvent its ticket limit rules, according to the report. A settlement is also possible, Bloomberg reported. If the FTC pursues a case and Live Nation loses, the company could face billions of dollars in penalties, as the law permits fines of up to $53,000 per violation.
Virtualization

VMware To Lose 35 Percent of Workloads In Three Years (theregister.com) 34

By 2028, Gartner research VP Julia Palmer predicts that VMware will lose 35% of its current workloads as Broadcom's licensing changes and rising costs push customers toward competitors like Nutanix and public clouds. The Register reports: On Wednesday at the analyst firm's Symposium event in Australia, Palmer pointed out that the Broadcom business unit recently tweaked its licensing program so that hyperscalers can no longer sell VMware subscriptions to users of their hosted VMware services. Customers must instead buy direct from Broadcom and use license portability entitlements for any VMware infrastructure they host in hyperscale clouds. Palmer said that decision shows VMware does not consider hyperscalers strategic partners, and she thinks the feeling is mutual. Hyperscalers nevertheless welcome customers who use them to run VMware workloads "because they know over time they will convert you to 'proper cloud'."

Which is one reason she expects VMware will lose so many workloads: Hyperscalers will use their engagements with VMware customers to extol the virtue of public clouds. Palmer thinks VMware customers should heed that pitch. "We are all addicted to hypervisors, and that needs to change," Palmer said, not least because Broadcom's acquisition of VMware shows how lock-in to a virtualization platform can be costly. But she counseled against planning to move all workloads off VMware, as no rival vendor offers a superior platform and a full migration will take three or more years. Palmer instead advised assessing which applications are ripe for modernization and re-platforming, and shifting those -- a job that can take up to a year.

Power

Virtual Power Plants: Where Home Batteries are Saving Americans from Blackouts (msn.com) 123

Puerto Rico expects 93 different power outages this summer, reports the Washington Post.

But they also note that "roughly 1 in 10 Puerto Rican homes now have a battery and solar array for backup power" which have also "become a crucial source of backup power for the entire island grid." A network of 69,000 home batteries can generate as much electricity as a small natural gas turbine during an emergency, temporarily covering about 2 percent of the island's energy needs when things go wrong... "It has very, very certainly prevented more widespread outages," said Daniel Haughton, [transmission and distribution planning director for Puerto Rico's grid operator]. "In the instances that we had to [cut power], it was for a much shorter duration: A four-hour outage became a one- or two-hour outage."

Puerto Rico's experience offers a glimpse into the future for the rest of the United States, where batteries are starting to play a big role in keeping the lights on. Authorities in Texas, California and New England have credited home batteries with preventing blackouts during summer energy crunches. As power grids across the country groan under the increasing strain of new data centers, factories and EVs, batteries offer a way for homeowners to protect themselves — and all of their neighbors — from the threat of outages. Batteries have been booming in the U.S. since 2022, when Congress created generous installation tax credits for homeowners and power companies.

Home batteries generally come as an option alongside rooftop solar panels, according to Christopher Rauscher, head of grid services and electrification for Sunrun, a company that installs both. More than 70 percent of the people who hire Sunrun to put up solar panels also get a battery. With the tax credits — and the money saved on rising electricity costs — solar panels and batteries make financial sense for most American homes, according to a study Stanford University scientists published Aug. 1. About 60 percent of homes would save money in the long run with solar panels and batteries...

Those batteries can have broader benefits, too. Utilities pay customers hundreds of dollars a year to sign their batteries up to form "virtual power plants," which send electricity to the grid whenever power plants can't keep up with demand. California's network of home batteries can now add 535 megawatts of electricity in an emergency — about half as much energy as a nuclear power plant... [H]omeowners can make thousands of dollars a year lowering their energy bills, selling solar power back to the grid or enrolling their batteries in a virtual power plant, depending on their power company's policies and state regulations. "Over time, you would get the full payback for your system and basically get your backup for free," said Ram Rajagopal, an associate professor of civil and environmental engineering who co-authored the Stanford study.

The Military

How the Unraveling of Two Pentagon Projects May Result In a Costly Do-Over (reuters.com) 84

The Pentagon is poised to cancel two nearly finished Navy and Air Force HR software projects worth over $800 million so new contracts can be awarded to other vendors, including Salesforce, Palantir, and Workday. "The reason for the unusual move: officials at those departments, who have so far put the existing projects on hold, want other firms, including Salesforce and billionaire Peter Thiel's Palantir, to have a chance to win similar projects, which could amount to a costly do-over," reports Reuters. From the report: In 2019, Accenture said it had won a contract to expand an HR platform to modernize the payroll, absence management, and other HR functions for the Air Force with Oracle software. The project, which includes other vendors and was later expanded to include Space Force, grew to cost $368 million and was scheduled for its first deployment this summer at the Air Force Academy. An April "status update" on the project conducted by the Air Force and obtained by Reuters described the project as "on track," with initial deployment scheduled for June, noting that it would end up saving the Air Force $39 million annually by allowing it to stop using an older system. But on May 30, Darlene Costello, then-Acting assistant Secretary of the Air Force, sent out a memo placing a "strategic pause" on the project for ninety days and calling for the study of alternate technical solutions, according to a copy of the memo seen by Reuters that was previously unreported. Costello, who has since retired, was reacting to pressure from other Air Force officials who wanted to steer a new HR project to SalesForce and Palantir, three sources said. [...] The Air Force said in a statement that it "is committed to reforming acquisition practices, assessing the acquisition workforce, and identifying opportunities to improve major defense acquisition programs."

Space Force, which operates within the Air Force, was set to receive the Air Force's new payroll system in the coming months. But it is also pulling out of the project because officials there want to launch yet another HR platform project to be led by Workday, according to three people familiar with the matter. The service put out a small business tender on May 7 for firms to research HR platform alternatives, with the goal of selecting a company that will recommend Workday as the best option, the people said. Now the Air Force and Space Force "want to start over with vendors that do not meet their requirements, leading to significant duplication and massive costs," said John Weiler, director of the Information Technology Acquisition Advisory Council, a government-chartered nonprofit group that makes recommendations to improve federal IT contracting.

In 2022, the Honolulu-based Nakupuna Companies took over a 2019 project with other firms to integrate the Navy's payroll and personnel systems into one platform using Oracle software and known as "NP2". The project, which has cost about $425 million since 2023, according to the Government Accountability Office, was set to be rolled out earlier this year after receiving a positive review by independent reviewer and consulting firm Guidehouse in January, according to a copy obtained by Reuters. But the head of Navy's human resources, now retired Admiral Rick Cheeseman, sought to cancel the project according to a June 5 memo seen by Reuters, directing another official to "take appropriate contractual actions" to cancel the project. Navy leaders instead mandated yet another assessment of project, according to a memo seen by Reuters, leaving it in limbo, two sources said.

Cheeseman's reason for trying to kill the project was his anger over a decision by DOGE earlier this year to cancel a $171 million contract for data services provider Pantheon Data that essentially duplicated parts of the HR project. In an email obtained by Reuters, he threatened to withhold funding from the Nakupuna-led project unless the Pantheon contract was restored. "I am beyond exasperated with how this happened," Cheeseman wrote in a May 7 email to Chief Information Officer Jane Rathbun about the contract cancellation, arguing the Pantheon contract was not "duplicative of any effort." "From where I sit, I'm content taking every dime away from NP2 in order to continue this effort," he added in the email. The pausing of NP2 was "unexpected, especially given that multiple comprehensive reviews validated the technical solution as the fastest and most affordable approach," Nakupuna said in a statement, adding it was disappointed by the change because the project was ready to deploy. The Navy said it "continues to prioritize essential personnel resources in support of efforts to strengthen military readiness through fiscal responsibility and departmental efficiency."

Earth

California Successfully Tests 'Virtual Power Plant', Drawing Power From Batteries in 100,000 Homes (yahoo.com) 104

"California's biggest electric utilities pulled off a record-breaking test..." reports Semafor, "during the 7pm-9pm window that is typically its time of peak demand as people come home from work." Pacific Gas & Electric and other top California power companies switched on residential batteries in more than 100,000 homes and drew power from them into the broader statewide grid. The purpose of the test — the largest ever in the state, which has by far the most home battery capacity in the U.S. — was to see just how much power is really there for the utility to tap, and to ensure it could be switched on, effectively running the grid in reverse, without causing a crash.

The result, which the research firm Brattle published this week, was 535 megawatts, equal to adding a big hydro dam or a half-sized nuclear reactor at a fraction of the cost. "Four years ago this capacity didn't even exist," Kendrick Li, PG&E's director of clean energy programs, told Semafor. "Now it's a really attractive option for us. It would be silly not to harness what our customers have installed...." Last week's test proved that in times of peak demand, PG&E can lean on its customers' batteries rather than turn on a gas-fired peaker plant or risk a blackout, Li said.

Virtual power plants (VPPs) also facilitate the addition of more solar energy on the grid: At the moment, California has so much solar generation at peak hours that it can push the wholesale power price close to or even below zero, a headache for grid managers and a disincentive for renewable project developers. The careful manipulation of networked residential batteries smooths out the timing disparity between peak sunshine at midday and peak demand in the evening, allowing the excess to be soaked up and redeployed when it's actually needed, and making power cheaper for everyone. The expanded use of VPPs shouldn't be noticeable to battery owners, Li said, except for the money back on their power bill; nothing about the process prevents them from running their AC or dishwasher while their battery is being tapped. The network can also run in reverse, with the utility taking excess power from the grid at times of low demand and sending it into home batteries for storage.

California could easily reach over a gigawatt of VPP capacity within five years, Li said. Nationwide, a Department of Energy study during the Biden administration forecast that VPP capacity could reach up to 160 gigawatts by 2030, essentially negating the need for dozens of new fossil fuel power plants, with no emissions and at a far lower cost. In 2024, utilities in 34 states moved to initiate or expand VPP networks, according to the advocacy group VP3.

Even with a reduction in federal credits, virtual power plants "offer a way for residential solar-plus-storage systems to remain economically attractive for homeowners — who get paid for the withdrawn power," the article points out — and "a way to make better use of clean energy resources that have already been built."

Sunrun's distributed battery fleet "delivered more than two-thirds of the energy," notes Electrek, "In total, the event pumped an average of 535 megawatts (MW) onto the grid — enough to power over half of San Francisco... This isn't a one-off. Sunrun's fleet already helped drop peak demand earlier this summer, delivering 325 MW during a similar event on June 24.

"The company compensates customers up to $150 per battery per season for participating."
EU

Apple Set To Stave Off Daily Fines, EU To Accept App Store Changes (reuters.com) 9

Apple is expected to avoid hefty daily fines from the EU by modifying its App Store policies -- allowing developers to direct users to external payment options and adjusting its fee structure. Reuters reports: The company last month said developers will pay a 20% processing fee for purchases made via the App Store, though the fees could go as low as 13% for Apple's small-business program. Developers who send customers outside the App Store for payment will pay a fee between 5% and 15%. They will also be able to use as many links as they wish to send users to outside forms of payment.

Apple made the changes after the EU antitrust enforcer handed it a 500 million euro ($586.7 million) fine in April, saying its technical and commercial restrictions prevented app developers from steering users to cheaper deals outside the App Store in breach of the Digital Markets Act. The company was given 60 days to scrap the restraints to comply with the DMA aimed at reining in Big Tech and giving rivals more room to compete. The European Commission is expected to approve the changes in the coming weeks, although the timing could still change, the people said. "All options remain on the table. We are still assessing Apple's proposed changes," the EU watchdog said.

Education

New IQ Research Shows Why Smarter People Make Better Decisions (phys.org) 181

alternative_right shares a report from Phys.Org: A new study from the University of Bath's School of Management has found that individuals with a higher IQ make more realistic predictions, which supports better decision-making and can lead to improved life outcomes. The research, published in the Journal of Personality and Social Psychology, shows that people with a low IQ (the lowest 2.5% of the population) make forecasting errors that are more than twice as inaccurate as those made by people with a high IQ (the top 2.5% of the population).

The research used data from a nationally representative sample of people over 50 in England (English Longitudinal Study of Aging ELSA), assessing their ability to predict their own life expectancy. Individuals were asked to predict their probability of living to certain ages, and these estimates were compared with the probabilities taken from Office for National Statistics life tables (a demographic tool used to analyze death rates and calculate life expectancies at various ages). The study controlled for differences in lifestyle, health, and genetic longevity.

By analyzing participants' scores on a variety of cognitive tests, as well as genetic markers linked to intelligence and educational success, Chris Dawson, Professor of Economics and Behavioral Science at the University of Bath, showed that smarter individuals tend to have more accurate beliefs about uncertain future events - they are more skilled at assessing probability. Individuals with a higher IQ are significantly better at forecasting, making fewer errors (both positive and negative) and showing more consistent judgment compared to those with a lower IQ.

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