Domain: reuters.com
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Stories · 2,473
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Wells Fargo Sued Again For Misbilling Car Owners And Veterans (reuters.com)
UnknowingFool writes: A new class action lawsuit from a former Wells Fargo customer claimed the bank charged loan customers for auto insurance they did not need. With auto loans, the bank often requires that full coverage auto insurance be bought when the loan is made. However, lead plaintiff Paul Hancock says that Wells Fargo charged him for auto insurance even though he informed them he already had an insurance policy with another company. Wells Fargo also charged him a late fee when he disputed the charge. Wells Fargo does not dispute that it did this to customers and has offered to refund $80 million to 570,000 customers who were charged for insurance. The lawsuit however is to recoup late fees, delinquency charges, and other fees that the refund would not cover.
NPR describes Wells Fargo actually repossessing the car of a man who was "marked as delinquent for not paying this insurance -- which he didn't want or need or even know about." Friday the bank also revealed the number of "potentially unauthorized accounts" from its earlier fake accounts scandal could be much higher than previous estimates -- and that they're now expecting their legal costs to exceed the $3.3 billion they'd already set aside.
And Reuters reports that the bank will also be paying $108 million "to settle a whistleblower lawsuit claiming it charged military veterans hidden fees to refinance their mortgages, and concealed the fees when applying for federal loan guarantees." -
Chinese Chatbots Apparently Re-educated After Political Faux Pas (reuters.com)
A pair of 'chatbots' in China have been taken offline after appearing to stray off-script. In response to users' questions, one said its dream was to travel to the United States, while the other said it wasn't a huge fan of the Chinese Communist Party. From a report: The two chatbots, BabyQ and XiaoBing, are designed to use machine learning artificial intelligence (AI) to carry out conversations with humans online. Both had been installed onto Tencent Holdings Ltd's popular messaging service QQ. The indiscretions are similar to ones suffered by Facebook and Twitter, where chatbots used expletives and even created their own language. But they also highlight the pitfalls for nascent AI in China, where censors control online content seen as politically incorrect or harmful. Tencent confirmed it had taken the two robots offline from its QQ messaging service, but declined to elaborate on reasons. -
Joining Apple, Amazon's China Cloud Service Bows To Censors (nytimes.com)
Days after Apple yanked anti-censorship tools off its app store in China, another major American technology company is moving to implement the country's tough restrictions on online content. From a report: A Chinese company that operates Amazon's cloud-computing and online services business there said on Tuesday that it told local customers to cease using any software that would allow Chinese to circumvent the country's extensive system of internet blocks (Editor's note: the link could be paywalled; alternative source). The company, called Beijing Sinnet Technology and operator of the American company's Amazon Web Services operations in China, sent one round of emails to customers on Friday and another on Monday. "If users don't comply with the guidance, the offered services and their websites can be shut down," said a woman surnamed Wang who answered a Sinnet service hotline. "We the operators also check routinely if any of our users use these softwares or store illegal content." Ms. Wang said the letter was sent according to recent guidance from China's Ministry of Public Security and the country's telecom regulator. Amazon did not respond to emails and phone calls requesting comment. The emails are the latest sign of a widening push by China's government to block access to software that gets over the Great Firewall -- the nickname for the sophisticated internet filters that China uses to stop its people from gaining access to Facebook, Google and Twitter, as well as foreign news media outlets. -
Seed Funding Slows in Silicon Valley (reuters.com)
The bloom is off seed funding, the business of providing money to brand-new startups, as investors take a more measured approach to financing emerging U.S. technology companies. From a report: Seed-stage financing has been sliding for the last two years, with the number of transactions down about 40 percent since the peak in mid-2015, data show. Dollar investments in fledgling companies have also declined, although less dramatically, dropping more than 24 percent over the same period. The slowdown comes despite an explosion of interest by wealthy individuals and foreign investors looking to park money in the next big thing. And it has potentially big implications for Silicon Valley. Early-stage funding is the lifeblood of a technology ecosystem built on risk-taking. Denied critical resources in infancy, companies can't hope to scale quickly enough to unseat incumbent industries and grow into the next Uber Technologies Inc or Airbnb. "The reason why startups are disrupting companies in the 21st Century is not because they are smarter. It's because they have capital to do so," said Steve Blank, a serial entrepreneur, startup mentor and adjunct professor at Stanford University. [...] The zeal that prevailed just two years ago has faded. Seed and angel investors completed about 900 deals in the second quarter, down from roughly 1,100 deals in the second quarter of 2016 and close to 1,500 deals during that time period in 2015, according to a report released last month by Seattle-based PitchBook Inc, which supplies venture capital data. The dollar amount provided by seed and angel investors was $1.65 billion in the second quarter. That's just shy of the $1.75 billion for the same time period of 2016 and down significantly from 2015, which saw $2.19 billion invested into fledgling startups. -
US Senators To Introduce Bill To Secure 'Internet of Things' (reuters.com)
Dustin Volz, reporting for Reuters: A bipartisan group of U.S. senators on Tuesday plans to introduce legislation seeking to address vulnerabilities in computing devices embedded in everyday objects -- known in the tech industry as the "internet of things" -- which experts have long warned poses a threat to global cyber security. The new bill would require vendors that provide internet-connected equipment to the U.S. government to ensure their products are patchable and conform to industry security standards. It would also prohibit vendors from supplying devices that have unchangeable passwords or possess known security vulnerabilities. Republicans Cory Gardner and Steve Daines and Democrats Mark Warner and Ron Wyden are sponsoring the legislation, which was drafted with input from technology experts at the Atlantic Council and Harvard University. A Senate aide who helped write the bill said that companion legislation in the House was expected soon. -
Honolulu Targets 'Smartphone Zombies' With Crosswalk Ban (reuters.com)
Templer421 shares news from Reuters: A ban on pedestrians looking at mobile phones or texting while crossing the street will take effect in Hawaii's largest city in late October, as Honolulu becomes the first major U.S. city to pass legislation aimed at reducing injuries and deaths from "distracted walking." The ban comes as cities around the world grapple with how to protect phone-obsessed "smartphone zombies" from injuring themselves by stepping into traffic or running into stationary objects. Starting Oct. 25, Honolulu pedestrians can be fined between $15 and $99, depending on the number of times police catch them looking at a phone or tablet device as they cross the street, Mayor Kirk Caldwell told reporters gathered near one of the city's busiest downtown intersections on Thursday... People making calls for emergency services are exempt from the ban... Opponents of the Honolulu law argued it infringes on personal freedom and amounts to government overreach.
Meanwhile, the city of London has tried putting pads on their lamp posts "to soften the blow for distracted walkers." -
The US Congress Is Investigating Government Use Of Kaspersky Software (reuters.com)
An anonymous reader quotes Reuters: A U.S. congressional panel this week asked 22 government agencies to share documents on Moscow-based cyber firm Kaspersky Lab, saying its products could be used to carry out "nefarious activities against the United States," according to letters seen by Reuters. The requests made on Thursday by the U.S. House of Representatives Committee on Science, Space and Technology are the latest blow to the antivirus company, which has been countering accusations by U.S. officials that it may be vulnerable to Russian government influence... The committee "is concerned that Kaspersky Lab is susceptible to manipulation by the Russian government, and that its products could be used as a tool for espionage, sabotage, or other nefarious activities against the United States," wrote the panel's Republican chairman, Lamar Smith, in the letters... A committee aide told Reuters the survey was a "first step" designed to canvas the U.S. government and that more action may follow depending on the results.
Agencies contacted include both the Deparatment of Homeland Security and NASA. The committee wants to see internal risk assessments, plus a list of all systems using Kaspersky products and the names of government contractors using the software. -
Congress Asks US Agencies For Kaspersky Lab Cyber Documents (reuters.com)
Reuters reports: A U.S. congressional panel this week asked 22 government agencies to share documents on Moscow-based cyber firm Kaspersky Lab, saying its products could be used to carry out "nefarious activities against the United States," according to letters seen by Reuters. The requests made on Thursday by the U.S. House of Representatives Committee on Science, Space and Technology are the latest blow to the antivirus company, which has been countering accusations by U.S. officials that it may be vulnerable to Russian government influence. The committee asked the agencies for all documents and communications about Kaspersky Lab products dating back to Jan. 1, 2013, including any internal risk assessments. It also requested lists of any systems that use Kaspersky products and the names of any U.S. government contractors or subcontractors that do so. Kaspersky has repeatedly denied that it has ties to any government and said it would not help any government with cyber espionage. It said there is no evidence for the accusations made by U.S. officials. The committee "is concerned that Kaspersky Lab is susceptible to manipulation by the Russian government, and that its products could be used as a tool for espionage, sabotage, or other nefarious activities against the United States," wrote the panel's Republican chairman, Lamar Smith, in the letters. -
Flush Times For Hackers in Booming Cyber Security Job Market (reuters.com)
The surge in far-flung and destructive cyber attacks is not good for national security, but for an increasing number of hackers and researchers, it is great for job security. From a report: The new reality is on display in Las Vegas this week at the annual Black Hat and Def Con security conferences, which now have a booming side business in recruiting. "Hosting big parties has enabled us to meet more talent in the community, helping fill key positions and also retain great people," said Jen Ellis, a vice president with cybersecurity firm Rapid7 Inc, which filled the hip Hakkasan nightclub on Wednesday at one of the week's most popular parties. Twenty or even 10 years ago, career options for technology tinkerers were mostly limited to security firms, handfuls of jobs inside mainstream companies, and in government agencies. But as tech has taken over the world, the opportunities in the security field have exploded. -
US Indicts Suspected Russian 'Mastermind' of $4 Billion Bitcoin Laundering Scheme (reuters.com)
schwit1 shares a report from Reuters: A U.S. jury indicted a Russian man on Wednesday as the operator of a digital currency exchange he allegedly used to launder more than $4 billion for people involved in crimes ranging from computer hacking to drug trafficking. Alexander Vinnik was arrested in a small beachside village in northern Greece on Tuesday, according to local authorities, following an investigation led by the U.S. Justice Department along with several other federal agencies and task forces. U.S. officials described Vinnik in a Justice Department statement as the operator of BTC-e, an exchange used to trade the digital currency bitcoin since 2011. They alleged Vinnik and his firm "received" more than $4 billion in bitcoin and did substantial business in the United States without following appropriate protocols to protect against money laundering and other crimes. U.S. authorities also linked him to the failure of Mt. Gox, a Japan-based bitcoin exchange that collapsed in 2014 after being hacked. Vinnik "obtained" funds from the hack of Mt. Gox and laundered them through BTC-e and Tradehill, another San Francisco-based exchange he owned, they said in the statement. -
Not Made in America, Wal-Mart Looks Overseas For Online Vendors (reuters.com)
Walmart.com, trailing Amazon.com in the number of goods for sale on its website, is recruiting vendors in China and other countries to boost its online offerings in a pivot away from Wal-Mart's Made-in-America campaign. From a report: While there is a financial incentive behind the move, Wal-Mart's decision comes out of necessity: not all the goods its customers want -- ranging from jeans to bicycles to beauty products -- are manufactured within the United States. That reality pits Wal-Mart against President Donald Trump's "Made in America" push. It also risks alienating some of Wal-Mart's existing U.S. vendors since it runs counter to the American-made pledge the retailer made in 2013 in a bid to win customers, and satisfy unions and other critics who said its drive for low cost goods was undermining American jobs. According to two sources with knowledge of the matter, Wal-Mart Stores in February began inviting sellers from China, the United Kingdom and Canada to list on the marketplace section of Walmart.com, where it earns a share of revenue from goods sold and delivered to customers by third-party vendors. -
House Panel Wants Google, Facebook, AT&T CEOs To Testify On Internet Rules (reuters.com)
The chairman of the U.S. House Energy and Commerce Committee on Tuesday asked the chief executives of Alphabet, Facebook, Amazon.com, AT&T, Verizon Communications and other companies to testify at a Sept. 7 hearing on the future of net neutrality rules. From a report: The U.S. Federal Communications Commission is considering tossing out 2015 Obama administration net neutrality rules that reclassified internet service like a public utility. The rules bar providers from blocking, slowing or offering paid prioritization of websites. Many internet providers want Congress to step in and write permanent rules. Other chief executives asked to testify include the heads of Comcast, Netflix and Charter. Some companies including Facebook said they were reviewing the letter but none immediately said if they will testify. -
FTC Probing Allegations of Amazon's Deceptive Discounting (reuters.com)
An anonymous reader quotes a report from Reuters: As part of its review of Amazon's agreement to buy Whole Foods, the Federal Trade Commission is looking into allegations that Amazon misleads customers about its pricing discounts, according to a source close to the probe. The FTC is probing a complaint brought by the advocacy group Consumer Watchdog, which looked at some 1,000 products on Amazon's website in June and found that Amazon put reference prices, or list prices, on about 46 percent of them. An analysis found that in 61 percent of products with reference prices, Amazon's reference prices were higher than it had sold the same product in the previous 90 days, Consumer Watchdog said in a letter to the FTC dated July 6. Amazon said in a statement that Consumer Watchdog's study was "deeply flawed." "The conclusions the Consumer Watchdog group reached are flat out wrong," Amazon said. "We validate the reference prices provided by manufacturers, vendors and sellers against actual prices recently found across Amazon and other retailers." -
Russia Says in Talks With US To Create Cyber Security Working Group (reuters.com)
An anonymous reader shares a brief report on Reuters: Moscow and Washington are in talks to create a joint cyber security working group, RIA news agency reported on Thursday, citing Russia's special envoy on cyber security Andrey Krutskikh. Further reading: CBS News. -
US House Panel Approves Broad Proposal On Self-Driving Cars (reuters.com)
An anonymous reader quotes a report from Reuters: A U.S. House panel on Wednesday approved a sweeping proposal by voice vote to allow automakers to deploy up to 100,000 self-driving vehicles without meeting existing auto safety standards and bar states from imposing driverless car rules. Representative Robert Latta, a Republican who heads the Energy and Commerce Committee subcommittee overseeing consumer protection, said he would continue to consider changes before the full committee votes on the measure, expected next week. The full U.S. House of Representatives will not take up the bill until it reconvenes in September after the summer recess. The measure, which would be the first significant federal legislation aimed at speeding self-driving cars to market, would require automakers to submit safety assessment reports to U.S. regulators, but would not require pre-market approval of advanced vehicle technologies. Automakers would have to show self-driving cars "function as intended and contain fail safe features" to get exemptions from safety standards but the Transportation Department could not "condition deployment or testing of highly automated vehicles on review of safety assessment certifications," the draft measure unveiled late Monday said. -
US Appeals Court Upholds Nondisclosure Rules For Surveillance Orders (reuters.com)
An anonymous reader shares a report: A U.S. federal appeals court on Monday upheld nondisclosure rules that allow the FBI to secretly issue surveillance orders for customer data to communications firms, a ruling that dealt a blow to privacy advocates. A unanimous three-judge panel on the 9th U.S. Circuit Court of Appeals in San Francisco sided with a lower court ruling in finding that rules permitting the FBI to send national security letters under gag orders are appropriate and do not violate the First Amendment of the U.S. Constitution's free speech protections. Content distribution firm CloudFlare and phone network operator CREDO Mobile had sued the government in order to notify customers of five national security letters received between 2011 and 2013. -
Ashley Madison Parent in $11.2 Million Settlement Over Data Breach (reuters.com)
From a report: The owner of the Ashley Madison adultery website said on Friday it will pay $11.2 million to settle U.S. litigation brought on behalf of roughly 37 million users whose personal details were exposed in a July 2015 data breach. Ruby Corp, formerly known as Avid Life Media Inc, denied wrongdoing in agreeing to the preliminary class-action settlement, which requires approval by a federal judge in St. Louis. Ashley Madison marketed itself as a means to help people, primarily men, cheat on their spouses, and was known for its slogan "Life is short. Have an affair." -
US Government Crackdown Threatens Kaspersky's American Dream (reuters.com)
Eugene Kaspersky, the CEO of the Russian cybersecurity software firm that bears his name, had a big American dream. From a report: He wanted his company to go beyond selling anti-virus software to consumers and small businesses and become a major vendor to the U.S. government -- one of the world's biggest buyers of cybersecurity tools. Kaspersky set up a U.S. subsidiary, KGSS, in Arlington, Virginia that would be focused on winning that business. He sponsored flashy conferences with high-profile speakers --including Michael Flynn, who was briefly President Donald Trump's national security adviser -- sought to join U.S. trade groups and even underwrote programming on National Public Radio. All of this was done to burnish Kaspersky's image and help it become an accepted vendor for the U.S. government despite its Russian roots, according to people familiar with the strategy. But Eugene Kaspersky was never able to overcome lingering suspicions among U.S. intelligence officials that he and his company were, or could become, pawns of Russia's spy agencies. Kaspersky "has never helped, nor will help, any government in the world with its cyberespionage efforts," the company said. Kaspersky's American ambitions were further eroded by the sharp deterioration in U.S.-Russia relations following Russia's invasion of Crimea in 2014, and later when U.S. intelligence agencies concluded that Russia had hacked the 2016 U.S. presidential election. -
Afghan Girls Robotics Team Allowed To Enter U.S. For Competition (reuters.com)
An anonymous reader writes: A team of Afghan girls are on their way to compete in an academic robotics competition in the United States after American officials agreed to allow them to enter the country despite initially denying them visas. The reversal reportedly came at the request of U.S. President Donald Trump, Reuters reported. -
Australia To Compel Technology Firms To Provide Access To Encrypted Missives (reuters.com)
Australia on Friday proposed new laws to compel companies such as U.S. social media giant Facebook and device manufacturer Apple to provide security agencies access to encrypted messages. From a report: The measures will be the first in an expected wave of global legislation as pressure mounts on technology companies to provide such access after several terror suspects used encrypted applications ahead of attacks. Australia, a staunch U.S. ally, is on heightened alert for attacks by home-grown radicals since 2014 and authorities have said they have thwarted several plots, although Prime Minister Malcolm Turnbull said law enforcement needed more help. "We need to ensure the internet is not used as a dark place for bad people to hide their criminal activities from the law," Turnbull told reporters in Sydney. "The reality is, however, that these encrypted messaging applications and voice applications are being used obviously by all of us, but they're also being used by people who seek to do us harm." -
Symantec Explores Selling Web Certificates Business (reuters.com)
Cybersecurity firm Symantec is considering selling its website certification business, in a deal that could fetch more than $1 billion and extricate it from a feud with Alphabet's Google, people familiar with the matter told Reuters. From a report: Google said in March that it was investigating Symantec's failure to properly validate its certificates, which confirm that websites can be trusted. Symantec has called Google's claims "exaggerated and misleading." Symantec is in talks with a small number of companies and private equity firms about the potential sale, three sources said, asking not to be identified because the matter is confidential. There is no certainty that a deal will occur, the sources added. -
Kaspersky Lab Says It Has Become Pawn in US-Russia Geopolitical Game (reuters.com)
Russian cyber security firm Kaspersky Lab, reacting to a U.S. government move restricting its activities, said on Wednesday it had fallen victim to U.S.-Russia global sparring while the Kremlin criticized the U.S. action as politically-motivated. From a report: The Trump administration on Tuesday removed the Moscow-based firm from two lists of approved vendors used by government agencies to purchase technology equipment, amid concerns its products could be used by the Kremlin to gain entry into U.S. networks. "By all appearances, Kaspersky Lab happened to be dragged into a geopolitical fight where each side is trying to use the company as a pawn in its game," RIA news agency quoted the company's press service as saying. -
Western Digital Gets US Court Order To Access Toshiba Databases, Chip Samples (reuters.com)
Western Digital won a temporary U.S. court order on Tuesday saying that Toshiba must allow Western Digital's employees to access databases and chip samples as part of a joint venture with Toshiba around flash memory chip plants in Japan. Reuters reports: Toshiba is scrambling to sell its flash memory business and Western Digital is among the bidders. In a sign of high tensions around the deal, Toshiba threatened to lock Western Digital out of shared databases and quit sending chip samples. Western Digital sued Toshiba in San Francisco County Superior Court saying that its joint venture with Toshiba means Toshiba must get its consent for a sale. It asked the court for two separate orders: An injunction to stop the sale, and a temporary restraining order forcing Toshiba to give its workers access to shared databases. A judge granted the temporary order for access to the shared databases Tuesday and set a further hearing on July 28. -
Ebay 'Millionaire' Sellers in Germany and UK Grow 50 Percent in Four Years (reuters.com)
"Millionaire" online businesses selling on ecommerce site Ebay have jumped 50 percent in key international markets Britain and Germany in the last four years, despite currency swings that have slowed growth outside the United States. From a report: Fresh data published on Tuesday by Ebay shows the number of million euro businesses selling on Ebay grew to 1,095 from 731 in Germany last year since 2013 while million pound-plus businesses rose to 663 from 443 in Britain over the same time period. Ebay's two big European markets were collectively responsible for 30 percent of Ebay's total net revenue of nearly $9 billion last year, although reported revenue in both markets dipped amid currency declines against the U.S. dollar. Two examples in the north of England are MusicMagpie.co.uk, which buys used CDs, DVDs and electronics from consumers for resale on Ebay in more than 140 countries, and cycling accessory seller MaxGear, now a 3.5 million pound ($4.51 million) a year business. While the company founded 22 years ago started out as an online auction site for consumers to trade second-hand goods, 80 percent of merchandise now sold via Ebay is new, largely fixed-price items, the company reported in the first quarter of 2017. -
Trump Proposes Joint 'Cyber Security Unit' With Russia, Then Quickly Backs Away From It (arstechnica.com)
In a series of tweets yesterday, President Trump proposed "an impenetrable Cyber Security unit" with Putin "so that election hacking, & many other negative things, will be guarded and safe." The news came as a shock to just about everyone who got word of it, including congressional members of his own GOP party. Less than 24 hours later, Trump decided against it, tweeting: "The fact that President Putin and I discussed a Cyber Security unit doesn't mean I think it can happen. It can't-but a ceasefire can,& did!" Ars Technica reports: "It's not the dumbest idea I have ever heard, but it's pretty close," Senator Lindsey Graham, a Republican of South Carolina, said of the plan. Senate Republican Marco Rubio of Florida tweeted that "partnering with Putin on a 'Cyber Security Unit' is akin to partnering with [Syrian President Bashar] Assad on a 'Chemical Weapons Unit."' Treasury Secretary Steven Mnuchin said that Trump and the Russian president decided at a meeting during a Group of 20 nations summit in Hamburg, Germany, to embark on a joint "cyber unit to make sure that there was absolutely no interference whatsoever, that they would work on cyber security together." But on Sunday, after it was clear that the plan was going nowhere, Trump took to Twitter and said no deal. That didn't stop Rep. Don Beyer, a Democrat from Virginia, from introducing on Monday an amendment to the 2017 National Defense Authorization Act that would bar a US-Russian cyber accord. He said: "Donald Trump's proposal to form a 'cyber security unit' with Putin is a terrible idea that would immediately jeopardize American cybersecurity... Trump must acknowledge that Russia interfered in the 2016 election and take strong, meaningful action to prevent it from happening again in future elections." -
The Oculus Rift Still Isn't Selling, In a Worrying Sign For VR (technologyreview.com)
An anonymous reader quotes a report from MIT Technology Review: Despite Mark Zuckerberg's early enthusiasm for virtual reality, the technology has stubbornly remained a hard sell for Facebook. Now, in yet another sign that VR is failing to capture the imagination of the public, the company has just cut the price of its Oculus Rift hardware for the second time this year. For the next six weeks, the Oculus Rift headset and its matching controllers will cost just $399. That's $400 less than when it first hit the market, and $200 less than when its price was first slashed in March. It means that the Rift now costs less than the package offered by its cheapest rival, Sony, whose PlayStation VR currently totals $460 including headset and controllers. Even so, it's not clear that it will be enough to lure people into buying a Rift. Jason Rubin, vice president for content at Oculus, tells Reuters that the reduction isn't a sign of weak product sales, but rather a decision to give the headset more mass market appeal now that more games are available. -
Microsoft To Offer Local Version of Azure Cloud Service (reuters.com)
Microsoft on Monday unveiled a new service that allows customers to use its cloud technology on their own servers, part of the company's efforts to refocus its product line to compete more effectively with rivals Amazon and Google. From a report: "One of the key differentiations we have with Azure versus our two biggest competitors in the cloud platform space is our ability to support true hybrid solutions," Judson Althoff, Microsoft's executive vice president of worldwide commercial business, told Reuters. Microsoft is hoping to carve a niche among customers who cannot or do not want to have to move all their computing operations to the massive shared data centers that are collectively known as the cloud. Azure Stack could serve companies in highly regulated industries or in parts of the world where using the cloud is not yet feasible, Althoff said. -
Germany Says Cyber Threat Greater Than Expected, More Firms Affected (reuters.com)
From a Reuters report, shared by a few readers on Twitter: Germany's BSI federal cyber agency said on Friday that the threat posed to German firms by recent cyber attacks launched via a Ukrainian auditing software was greater than expected, and some German firms had seen production halted for over a week. Analyses by computer experts showed that waves of attacks had been launched via software updates of the M.E.Doc accounting software since April, the BSI said in a statement. -
Russia Jails Hacker For Spilling Top Government Officials' Secrets (reuters.com)
A Russian court sentenced a prominent hacker to two years in jail on Thursday after a secret trial which heard how he had accessed and leaked the email accounts of top government officials, Russian news agencies reported. From a report: The court found Vladimir Anikeyev, named as head of a famous hacking collective called Shaltai Boltai (Humpty Dumpty), guilty of illegally accessing computer data in collusion with a criminal group. The TASS news agency said he was accused of breaking into the email account of Prime Minister Dmitry Medvedev's spokeswoman as well as the account of an official in the presidential administration among many others. -
Google May Face Another Record EU Fine, This Time Over Android (itwire.com)
troublemaker_23 shares a report from ITWire: The EU is contemplating another record fine against Google over how it pays and limits mobile phone providers who use the search company's Android mobile operating system and app store. Reuters reported that a decision could be expected by the end of the year if the opinion of a team of experts, set up by the EU to obtain a second opinion, agree with the decisions reached by the team that has worked on the case. The report quoted Richard Windsor, an independent financial analyst, as saying that the Android fine was likely to hurt Google more than the search fine or the verdict in a third EU probe over AdSense. "If Google was forced to unbundle Google Play from its other Digital Life services, handset makers and operators would be free to set whatever they like by default potentially triggering a decline in the usage of Google's services," he said.
In the chargesheet, issued on April 20, 2016, the European Commission said Google had breached EU anti-trust rules by:
-Requiring manufacturers to pre-install Google Search and Google's Chrome browser and requiring them to set Google Search as default search service on their devices, as a condition to license certain Google proprietary apps;
-Preventing manufacturers from selling smart mobile devices running on competing operating systems based on the Android open source code;
-Giving financial incentives to manufacturers and mobile network operators on condition that they exclusively pre-install Google Search on their devices. -
Japan's Population Falls At Fastest Rate Since 1968
An anonymous reader quotes a report from Reuters: Japan's population, excluding resident foreigners, fell at the beginning of this year at its fastest pace since comparable figures were kept in 1968, highlighting the demographic challenge to economic growth. As of Jan. 1, the number of Japanese people fell by a record 308,084 from a year earlier to 125,583,658, marking the eighth consecutive year of declines, government data showed Wednesday. The number of births fell 2.9 percent from the previous year ago to 981,202, the lowest since comparable data became available in 1974. People aged 65 or older accounted for 27.2 percent of the total population, the highest ratio on record, while the ratio of those aged 14 or younger fell to a record low of 12.7 percent, the data showed. The number of registered foreign residents increased to 2,323,428, up 6.9 percent from a year earlier, according to the data. -
Ukraine Scrambles To Contain New Cyber Threat After NotPetya Attack (reuters.com)
The Ukrainian software firm used as part of last week's global cyber attack warned on Wednesday that all computers sharing a network with its infected accounting software had been compromised by hackers. From a report: The attack used a virus, dubbed "NotPetya" by some experts, to take down thousands of computers in dozens of countries, disrupting shipping and businesses. A video released by Ukrainian police showed masked men in combat fatigues and armed with assault rifles raiding the offices of software developer Intellect Service late on Tuesday, after cyber security researchers said they had found a "backdoor" written into some of the updates issued by its M.E. Doc accounting software. M.E. Doc is used by 80 percent of Ukrainian companies and installed on around 1 million computers in the country. Interior Minister Arsen Avakov said police had blocked a second cyber attack from servers hosting the software. -
US Government Seeks To Intervene in Apple's EU Tax Appeal (reuters.com)
The U.S. government has sought to intervene in Apple's appeal against an EU order to pay back up to 13 billion euros ($14.8 billion) in Irish taxes, Reuters is reporting. From a report: iPhone maker Apple took its case to the Luxembourg-based General Court, Europe's second-highest, in December after the European Commission issued the record tax demand saying the U.S. company won sweetheart tax deals from the Irish government which amounted to illegal subsidies. The decision was criticized by the Obama administration which said the European Union was helping itself to cash that should have ended up in the United States. The Trump administration, which has tentatively proposed a tax break on $2.6 trillion in corporate profits being held offshore as part of its tax reform, has not said anything in public about the case. -
US Lifts Laptop Restriction For Flights From Abu Dhabi (reuters.com)
The United States has lifted a ban on laptops in cabins on flights from Abu Dhabi to the United States, saying Etihad Airways had put in place required tighter security measures. From a report: Etihad welcomed the decision on Sunday and credited a facility at Abu Dhabi International Airport where passengers clear U.S. immigration before they land in the United States for "superior security advantages" that had allowed it to satisfy U.S. requirements. Transportation Security Administration officials have checked that the measures had been implemented correctly, according to the Department of Homeland Security (DHS). U.S. officials assessed the airport on Saturday night, Abdul Majeed al-Khoori, acting chief executive of operator Abu Dhabi Airports told Reuters on Monday. The disruption to passengers from the new measures will be "very minimal" with the processing time for those traveling to the United States unchanged, he said by phone. -
India Presses Microsoft For Windows Discount in Wake of Cyber Attacks (reuters.com)
India is pressing Microsoft to offer a sharply discounted one-time deal to the more than 50 million Windows users in the country so that they can upgrade to the latest Windows 10 operating system in the wake of ransomware attacks, Reuters reported Friday. From the article: Microsoft officials in India have "in principle agreed" to the request, Gulshan Rai, India's cyber security coordinator, told Reuters over the phone on Friday. If Microsoft agreed to such a discount, it could open up the global software giant to similar requests from around the world. Rai said the government was in talks with Microsoft management in India. It is not immediately clear whether any other countries were seeking similar deals. -
Despite Hacking Charges, US Tech Industry Fought To Keep Ties To Russia Spy Service (reuters.com)
The U.S. tech sector pushed the government to keep ties with Russia's spy agency, despite reports that Moscow meddled in the U.S. presidential election, Reuters reported Friday. The sanctions imposed on Russia by the Obama administration last December outlawed U.S. companies from having relationships with Russia's spy agency, the Federal Security Service (FSB), which presented a dilemma to Western tech companies. Reuters says, the FSB also acts as a regulator that approves the importing of technology to Russia that contains encryption, which is used in products such as cellphones and laptops. Joel Schectman, Dustin Volz and Jack Stubbs, reporting for Reuters: Worried about the sales impact, business industry groups, including the U.S.-Russia Business Council and the American Chamber of Commerce in Russia, contacted U.S. officials at the American embassy in Moscow and the Treasury, State and Commerce departments, according to five people with direct knowledge of the lobbying effort. The campaign, which began in January and proved successful in a matter of weeks, has not been previously reported. [...] The sanctions would have meant the Russian market was "dead for U.S. electronics" said Alexis Rodzianko, president of the American Chamber of Commerce in Russia, who argued against the new restrictions. "Every second Russian has an iPhone, iPad, so they would all switch to Samsungs," he said. [...] The lobbyists argued the sanction could have stopped the sale of cars, medical devices and heavy equipment, all of which also often contain encrypted software, according to a person involved in the lobbying effort. The goal of the sanctions was to sever U.S. business dealings with the FSB -- not end American technology exports to Russia entirely, the industry groups argued. "The sanction was against a government agency that has many functions, only one of them being hacking the U.S. elections," said Rodzianko. -
US Senators Seek Military Ban on Kaspersky Lab Products Amid FBI Probe (reuters.com)
An anonymous reader shares a report: U.S. senators sought on Wednesday to ban Moscow-based cyber security firm Kaspersky Lab's products from use by the military because of fears the company is vulnerable to "Russian government influence," a day after the FBI interviewed several of its U.S. employees as part of a probe into its operations. Federal Bureau of Investigation agents visited the homes of Kaspersky employees late on Tuesday in multiple U.S. cities, although no search warrants were served, according to two sources, who spoke on condition of anonymity because they were not authorized to discuss the FBI probe. Kaspersky Lab confirmed in a statement on Wednesday that FBI agents have had "brief interactions" with some of its U.S. employees, discussions that the company described as "due diligence" chats. The interviews were followed on Wednesday by the release of a defense spending policy bill passed by the Senate Armed Services Committee, which would prohibit the U.S. Defense Department from using Kaspersky software platforms because the company "might be vulnerable to Russian government influence," according to a summary of the legislation. -
US Imposes Stricter Security Screenings At Foreign Airports, But Won't Expand Laptop Ban Yet (theverge.com)
An anonymous reader quotes a report from The Verge: The United States will require foreign airports to implement stricter security practices and screenings for any passengers headed to the U.S. John Kelly, the U.S. secretary of Homeland Security, announced today that the new measures were being put in place. Though he didn't go into specifics, Kelly said the new requirements would include further screenings of electronics, more thorough vetting of passengers, and measures meant to stop "insider attacks." The U.S. is also encouraging the use of more bomb-detecting dogs, "advanced checkpoint screening technology," and the addition of "preclearance" locations, which station U.S. customs officers overseas, allowing them to screen passengers before boarding instead of after they land. One thing Kelly didn't announce was an expansion of the tablet and laptop ban, which is currently in effect on flights from 10 airports in the Middle East and North Africa. If airports don't comply with the new screening rules, Kelly said, they may be subject to additional electronics bans. But for the time being, it sounds like the ban will be kept to those 10 locations. According to Reuters, airlines have 21 days to comply with the new rules for explosives screenings and four months to comply with everything else. -
Short of IT Workers At Home, Israeli Startups Recruit Elsewhere (reuters.com)
New submitter Alex Wilson shares a Reuters report: Driven by startups, Israel's technology industry is the fastest growing part of the economy. It accounts for 14 percent of economic output and 50 percent of exports. But a shortage of workers means its position at the cutting edge of global technology is at risk, with consequences for the economy and employment. When Alexey Chalimov founded software design firm Eastern Peak in Israel four years ago he knew he would not find the developers he needed at home. He went to Ukraine and hired 120 people to develop mobile apps and web platforms for international clients and smaller Israeli startups. "I worked for years in the Israeli market and I knew what the costs were in Israel and I knew there was a shortage of workers," he told Reuters.
The government's Innovation Authority forecasts a shortage of 10,000 engineers and programmers over the next decade in a market that employs 140,000. Israel has dropped six spots in three years to 17th in the World Economic Forum's ranking of the ease of finding skilled technology employees. In the meantime, many Israeli startups are looking abroad. -
Social Media Giants Step Up Joint Fight Against Extremist Content (reuters.com)
Social media giants Facebook, Google's YouTube, Twitter and Microsoft said on Monday they were forming a global working group to combine their efforts to remove terrorist content from their platforms. From a report: Responding to pressure from governments in Europe and the United States after a spate of militant attacks, the companies said they would share technical solutions for removing terrorist content, commission research to inform their counter-speech efforts and work more with counter-terrorism experts. The Global Internet Forum to Counter Terrorism "will formalize and structure existing and future areas of collaboration between our companies and foster cooperation with smaller tech companies, civil society groups and academics, governments and supra-national bodies such as the EU and the UN," the companies said in a statement. -
China, Canada Vow Not To Conduct Cyberattacks On Private Sector (reuters.com)
New submitter tychoS writes from a report via Reuters: China and Canada have signed an agreement vowing not to conduct state-sponsored cyberattacks against each other aimed at stealing trade secrets or other confidential business information. The new agreement was reached during talks between Canada's national security and intelligence adviser, Daniel Jean, and senior communist party official Wang Yongqing, a statement dated June 22 on the Canadian government's website showed. "This is something that three or four years ago (Beijing) would not even have entertained in the conversation," an unnamed Canadian government official told the Globe and Mail, which first reported the agreement. The new agreement only covers economic cyber-espionage, which includes hacking corporate secrets and proprietary technology, but does not deal with state-sponsored cyber spying for intelligence gathering. -
Fake Online Stores Reveal Gamblers' Shadow Banking System (reuters.com)
randomErr shares an exclusive report from Reuters: A network of dummy online stores offering household goods has been used as a front for internet gambling payments. The seven sites in Europe to sell items including fabric, DVD cases, and maps are fake outlets. The faux store fronts are a multinational system to disguise payments for the $40 billion global online gambling industry. Online gambling is illegal in many countries and some U.S. states. The dummy sites underline a strategy which regulators, card issuers and banks have yet to tackle head-on. The scheme found by Reuters involved websites which accepted payments for household items from a reporter but did not deliver any products. Instead, staff who answered helpdesk numbers on the sites said the outlets did not sell the product advertised, but that they were used to help process gambling payments, mostly for Americans. -
Under Pressure, Western Tech Firms Including Cisco and IBM Bow To Russian Demands To Share Cyber Secrets (reuters.com)
An anonymous reader shares a Reuters report: Western technology companies, including Cisco, IBM and SAP, are acceding to demands by Moscow for access to closely guarded product security secrets, at a time when Russia has been accused of a growing number of cyber attacks on the West, a Reuters investigation has found. Russian authorities are asking Western tech companies to allow them to review source code for security products such as firewalls, anti-virus applications and software containing encryption before permitting the products to be imported and sold in the country. The requests, which have increased since 2014, are ostensibly done to ensure foreign spy agencies have not hidden any "backdoors" that would allow them to burrow into Russian systems. But those inspections also provide the Russians an opportunity to find vulnerabilities in the products' source code -- instructions that control the basic operations of computer equipment -- current and former U.S. officials and security experts said. [...] In addition to IBM, Cisco and Germany's SAP, Hewlett Packard Enterprise Co and McAfee have also allowed Russia to conduct source code reviews of their products, according to people familiar with the companies' interactions with Moscow and Russian regulatory records. -
FCC Proposes $120 Million Fine On Florida Robocall Scammer (reuters.com)
The FCC on Thursday proposed a $120 million fine on a Florida resident alleged to have made almost 100 million spoofed robocalls to trick consumers with "exclusive" vacation deals from well-known travel and hospitality companies. Reuters reports: The man, identified as Adrian Abramovich, allegedly made 96 million robocalls during a three-month period by falsifying caller identification information that matched the local area code and the first three digits of recipient's phone number, the FCC said. The calls, which were in violation of the U.S. telecommunications laws, offered vacation deals from companies such as Marriott International Inc, Expedia Inc, Hilton Inc and TripAdvisor Inc. Consumers who answered the calls were transferred to foreign call centers that tried to sell vacation packages, often involving timeshares. These call centers were not related to the companies, the FCC said. -
Microsoft, Accenture Team Up On Blockchain-based Digital ID Network (reuters.com)
Accenture and Microsoft are teaming up to build a digital ID network using blockchain technology, as part of a United Nations-supported project to provide legal identification to 1.1 billion people worldwide with no official documents. From a report: The companies unveiled a prototype of the network on Monday at the UN headquarters in New York during the second summit of ID2020, a public-private consortium promoting the UN 2030 Sustainable Development Goal of providing legal identity for everyone on the planet. The project aims to help individuals such as refugees prove who they are in order to gain access to basic services such as education and healthcare. Blockchain, first developed as a public ledger of all transactions in the digital currency bitcoin, is increasingly being used to securely track data in other fields. -
Apple Issues $1 Billion Green Bond After Trump's Paris Climate Exit (reuters.com)
An anonymous reader shares a report: Apple offered a $1 billion bond dedicated to financing clean energy and environmental projects on Tuesday, the first corporate green bond offered since President Donald Trump withdrew the United States from the Paris climate agreement. The offering comes over a year after Apple issued its first green bond of $1.5 billion -- the largest issued by a U.S. corporation -- as a response to the 2015 Paris agreement. Apple said its second green bond is meant to show that businesses are still committed to the goals of the 194-nation accord. "Leadership from the business community is essential to address the threat of climate change and protect our shared planet," said Lisa Jackson, Apple's vice president of environment, policy and social initiatives. -
US Weighs Restricting Chinese Investment In Artificial Intelligence (reuters.com)
An anonymous reader shares a Reuters report: The United States appears poised to heighten scrutiny of Chinese investment in Silicon Valley to better shield sensitive technologies seen as vital to U.S. national security, current and former U.S. officials tell Reuters. Of particular concern is China's interest in fields such as artificial intelligence and machine learning, which have increasingly attracted Chinese capital in recent years. The worry is that cutting-edge technologies developed in the United States could be used by China to bolster its military capabilities and perhaps even push it ahead in strategic industries. The U.S. government is now looking to strengthen the role of the Committee on Foreign Investment in the United States (CFIUS), the inter-agency committee that reviews foreign acquisitions of U.S. companies on national security grounds. An unreleased Pentagon report, viewed by Reuters, warns that China is skirting U.S. oversight and gaining access to sensitive technology through transactions that currently don't trigger CFIUS review. -
US Banks Launching Answer To Peer-To-Peer Payment App Venmo (reuters.com)
The U.S. banking industry is about to launch its answer to the popular mobile payments app Venmo. "Over the next week, five of the largest U.S. banks will light up their segments of a new payments network called Zelle, executives said in interviews," reports Reuters. "They plan to announce details of the launch on Monday, and expect another two dozen banks and credit unions to join over the next year." From the report: The long-awaited network will allow tens of millions of bank customers to send money to each other instantly - known as person-to-person payments - with a few taps on their smartphones. That is an improvement over Venmo, which immediately alerts users that a money transfer is in progress, but takes time to shift funds between bank accounts. Customers who use existing bank payment apps may not notice much of a change beyond marketing. Transfers will simply happen faster because the banks are finally linking to each other, executives said. JPMorgan, Bank of America Corp, Wells Fargo & Co, U.S. Bancorp and Capital One Financial Corp will be the first to plug into Zelle. -
Microsoft Wins Xbox Class-Action Fight at US Supreme Court (reuters.com)
The U.S. Supreme Court on Monday ruled in favor of Microsoft in its bid to fend off class action claims by Xbox 360 owners who said the popular videogame console gouges discs because of a design defect. From a report: The court, in a 8-0 ruling, overturned a 2015 decision by the San Francisco-based 9th U.S. Circuit Court of Appeals that allowed console owners to appeal the dismissal of their class action lawsuit by a federal judge in Seattle in 2012. Typically parties cannot appeal a class certification ruling until the entire case has reached a conclusion. But the 9th Circuit allowed the console owners to voluntarily dismiss their lawsuit so they could immediately appeal the denial of a class certification. Justice Ruth Bader Ginsburg, writing on behalf of the court, said such a move was not permitted because a voluntary dismissal of a lawsuit is not a final decision and thus cannot be appealed. The approach sought by the plaintiffs would undermine litigation rules "designed to guard against piecemeal appeals," Ginsburg wrote. -
EU Seeks New Powers To Obtain Data 'Directly' From Tech Firms (zdnet.com)
Zack Whittaker reports via ZDNet: European authorities are seeking new powers to allow police and intelligence agencies to directly obtain user data stored on the continent by U.S. tech companies. The move comes in the wake of an uptick in terrorist attacks, including several attacks in Britain and France, among others across the bloc. Tech companies have been asked to do more to help law enforcement, while police have long argued the process for gathering data overseas is slow and cumbersome. The bloc's justice commissioner, Vera Jourova, presented several plans to a meeting of justice ministers in Luxembourg on Thursday to speed up access for EU police forces to obtain evidence -- including one proposal to allow police to obtain data "directly" from the cloud servers of U.S. tech companies in urgent cases. "Commissioner Jourova presented at the Justice Council three legislative options to improve access to e-evidence," said Christian Wiga, an EU spokesperson, in an email. "Based on the discussion between justice ministers, the Commission will now prepare a legislative proposal," he added. Discussions are thought to have included what kind of data could be made available, ranging from geolocation data to the contents of private messages. Such powers would only be used in "emergency" situations, said Jourova, adding that safeguards would require police to ensure that each request is "necessary" and "proportionate." Further reading: Reuters