Cambridge Analytica to Cease Operations, File for Bankruptcy

In the wake of the Facebook privacy scandal, London-based data consulting firm Cambridge Analytica and parent company SCL Elections announced yesterday that they will be shutting down and filing for bankruptcy. Cambridge Analytica, which is accused of mining the data of up to 87 million Facebook users without their consent, has defended its actions while blaming the media for damaging its reputation and driving away clients. The company said it was “vilified for activities that are not only legal, but also widely accepted as a standard component of online advertising in both the political and commercial arenas.” Continue reading Cambridge Analytica to Cease Operations, File for Bankruptcy

Supreme Court Ruling Confirms Internal U.S. Patent Reviews

In a 7-2 vote, the U.S. Supreme Court ruled that an inter partes review (IPR) at the U.S. Patent and Trademark Office does not violate a defendant’s constitutional right to have a case determined by a federal court and jury. Congress created the process in 2011 to handle the large number of flimsy patent applications. The Houston-based Oil States International brought the case; pharmaceutical companies also called the IPR process “a threat to innovation.” Justices John Roberts and Neil Gorsuch were the dissenting votes. Continue reading Supreme Court Ruling Confirms Internal U.S. Patent Reviews

Consumers Support the Regulation of Technology Companies

Facebook founder Mark Zuckerberg’s testimony in front of Congress made it clear that U.S. legislators are concerned about the power wielded by big technology companies, and believe that such companies may need to be reined in with regulations. Now, according to a survey from market research firm HarrisX, we learn that about 53 percent of Americans think the federal government should regulate big technology companies — even though only 31 percent believe the government is capable of doing so. Continue reading Consumers Support the Regulation of Technology Companies

With New Federal Law, Supreme Court Drops Digital Data Case

Following arguments in February, the case of United States v. Microsoft, No. 17-2, ended in a draw, or, as the court said, “no live dispute remains between the parties.” Federal prosecutors wanted to force Microsoft to turn over digital data stored outside the U.S., but a new federal law, agreed both sides, made the case — based on whether a 1986 law applied to digital data — moot. During arguments, some justices had suggested that Congress, and not the court, should define privacy in a new digital world. Continue reading With New Federal Law, Supreme Court Drops Digital Data Case

Silicon Valley Pioneers Question Today’s Dysfunctional Internet

Testifying before Congress, Facebook chief executive Mark Zuckerberg listed all the ways his company has erred, from fake news to hate speech and data privacy — and then apologized for not taking “a broad enough view of our responsibility.” He isn’t the only Silicon Valley leader to take stock of the state of the Internet and worry about its future. Facebook’s first president, Sean Parker, has warned about what social media is “doing to our children’s brains,” calling it a “dangerous form of psychological manipulation.” Continue reading Silicon Valley Pioneers Question Today’s Dysfunctional Internet

Facebook’s Zuckerberg to Testify Before Congress Next Week

In light of Facebook’s latest revelation that data from as many as 87 million users — not the 50 million figure originally reported — was improperly shared with Cambridge Analytica, CEO Mark Zuckerberg admitted he made a “huge mistake” by not paying more attention to the potential for abuse. Facebook further revealed that marketers, using a now-disabled feature that distributed profile data connected to email addresses and phone numbers, could have harvested data from “most people on Facebook.” Zuckerberg is scheduled to appear before federal committees next week. Continue reading Facebook’s Zuckerberg to Testify Before Congress Next Week

California Law Would Require Social Platforms to Report Bots

State legislators in California are pushing for a law that would require Facebook, Twitter and other social media platforms to identify bots, automated accounts that can be created or used by individuals or organizations. Most recently, bots, reportedly out of Russia, generated hundreds of posts on gun control in the wake of the shooting in Florida’s Marjory Stoneman Douglas High School. Russia-linked bots also played a role sharing Donald Trump’s tweets almost 500,000 times in the final weeks of the 2016 election. Continue reading California Law Would Require Social Platforms to Report Bots

New Legislation Increases Government Access to Online Data

Congress quietly passed controversial legislation last week that was folded into the massive $1.3 trillion spending deal signed by President Trump. The CLOUD Act (Clarifying Lawful Overseas Use of Data Act) enables U.S. investigators to access information stored on overseas cloud servers. New legislation could bring an end to the ongoing battle between law enforcement and major tech players. However, a number of civil liberty and privacy rights groups believe the law could also make it easier for other governments to spy on dissidents and collect data on U.S. citizens. Continue reading New Legislation Increases Government Access to Online Data

Trump Administration, 35 States Oppose Online Tax Exemption

The Trump administration has joined numerous state officials entreating the Supreme Court to overrule a 1992 case that exempts online sellers from adding taxes to their prices. Arguments on the 1992 case, Quill Corp. v. North Dakota, begin next month. South Dakota is leading the group asking the court to overrule the precedent-deciding case; it is joined by 35 states, the District of Columbia, organizations representing retailers, and, now, the Trump administration. Opposing are catalog mailers and online sellers. Continue reading Trump Administration, 35 States Oppose Online Tax Exemption

Supreme Court Ruling Could Bring More Power to Tech Giants

Many lawmakers in Washington — from Senators Elizabeth Warren to Ted Cruz — are concerned about the amount of power that big tech companies such as Amazon, Facebook and Google have accrued. Some have even floated the idea of an antitrust law to curb their influence. But the U.S. Supreme Court just heard a case — Ohio v. American Express — that may actually give the technology giants even more power, say the experts. The case looks at how to analyze “harmful conduct” by companies that serve “multiple groups of users.” Continue reading Supreme Court Ruling Could Bring More Power to Tech Giants

Next-Gen 5G Will Unlock VR, Autonomous Vehicles and More

Improved latency is the biggest selling point for next-generation 5G wireless technology. Verizon, Vodafone and Huawei are demonstrating the impact on wireless video, video games and virtual reality. With 5G, latency will plummet to 1 to 2 milliseconds, versus 4G’s average 50 milliseconds, positively impacting many markets, from medicine to self-driving cars. But, although the U.S. will see the first commercial 5G sometime this year, many emerging markets are still limping along with 3G and hoping for 4G connections. Continue reading Next-Gen 5G Will Unlock VR, Autonomous Vehicles and More

States Take Action Opposing Federal Repeal of Net Neutrality

The FCC’s recently passed order to end Obama-era net neutrality — dubbed “Restoring Internet Freedom” — has been entered into the Federal Register. But many who oppose the move are just getting started on a variety of efforts intended to curtail or even block the Trump administration’s repeal of net neutrality. A group of 22 state attorneys general and the District of Columbia re-filed legal challenges that contend the FCC cannot make “arbitrary and capricious changes” to existing policies. Continue reading States Take Action Opposing Federal Repeal of Net Neutrality

HPA 2018: Washington Update on the Future of Net Neutrality

In his annual HPA Tech Retreat address covering all the events in Washington, DC related to copyright law and other entertainment-related issues, Thompson Coburn attorney Jim Burger gave a tutorial on copyright basics he dubbed Copyright 101, and provided an overview on some of the issues related to the Library of Congress and the Music Modernization Act. But the majority of his focus was on the brouhaha over net neutrality and its recent repeal by the Republican-dominated (and chaired) FCC. Continue reading HPA 2018: Washington Update on the Future of Net Neutrality

Bipartisan Support in Congress for Cryptocurrency Regulation

Congress is considering federal rules for cryptocurrency to impose a federal oversight that has thus far been lacking. In the Senate and the House, both Democrats and Republicans — even free-market conservative Republicans — are addressing the risks highlighted by recent events involving fraud and hacking. All parties see the potential risk to the U.S. economy posed by speculative trading of the various popular virtual currencies. Lawmakers propose that the Securities and Exchange Commission lead the issues. Continue reading Bipartisan Support in Congress for Cryptocurrency Regulation

Musicians and Music Groups Push for Updated Copyright Law

Musical artists and music organizations are banding together in an effort to pass copyright legislation on content recorded before February 17, 1972. A coalition of 213 artists and eight music organizations has joined forces to ask Congress to pass the “CLASSICS Act” (H.R. 3301/S. 2393), which would cover such older recordings, resulting in increased royalties for this older era of musical content. The coalition placed a two-page ad in Politico on February 14 that made their case for the legislation. Continue reading Musicians and Music Groups Push for Updated Copyright Law