California Governor Gavin Newsom has released a report examining the beneficial uses and potential harms of artificial intelligence in state government. Potential plusses include improving access to government services by identifying groups that are hindered due to language barriers or other reasons, while dangers highlight the need to prepare citizens with next generation skills so they don’t get left behind in the GenAI economy. “This is an important first step in our efforts to fully understand the scope of GenAI and the state’s role in deploying it,” Newsom said, calling California’s strategy “a nuanced, measured approach.” Continue reading Newsom Report Examines Use of AI by California Government

Apple posted fiscal Q4 earnings of $89.5 billion, down one percent year-over-year. CEO Tim Cook put the quarter’s best facts forward: “a September quarter revenue record for iPhone and an all-time revenue record in Services,” and quarterly earnings per diluted share of $1.46, up 13 percent. While net income of just below $23 billion exceeded Wall Street expectations, Q4 capped a fiscal year in which Apple revenue fell 2.8 percent, impacted by a decline in iPhone sales in China. Following the report, shares fell 3 percent in extended trading based on the prospect that the company may not rebound to growth in the important holiday sales season. Continue reading Despite China Market, iPhone Sales Still Reach $43.8 Billion

President Biden has signed a far-ranging executive order establishing guardrails for artificial intelligence. Companies are now required to report to the federal government on risks related to their AI systems should they fall into the hands of terrorists or be used for weapons of mass destruction. The order also attempts to mitigate the dangers of deepfakes that could be used to manipulate elections or defraud consumers. “Deepfakes use AI-generated audio and video to smear reputations, spread fake news and commit fraud,” Biden said as he signed the order at the White House. Continue reading President Biden Signs Executive Order to Contain Risks of AI

Right on schedule and after a rocky start, Microsoft has closed the $69 billion acquisition of Activision Blizzard that regulators in the U.S. and UK had challenged. Big Tech is celebrating the move as a signal that their cash reserves can still be used to target expansion. The deal is consumer tech’s largest since AOL purchased Time Warner in a 2000 deal valued at more than twice that. Until now, Microsoft’s games unit, built around Xbox, has been a modest part of the company’s immense portfolio — representing just over 7 percent of total sales, or revenue of about $15 billion. Continue reading Microsoft Closes $69 Billion Acquisition of Activision Blizzard

The Supreme Court will hear a case that will assess the constitutionality of controversial state laws governing social media in Texas and Florida. The states enacted their laws in 2021, ostensibly to assure “free speech” was guaranteed on platforms like Facebook and X (formerly known as Twitter). Users who considered their views “conservative” filed suit alleging censorship. Protections offered by Section 230 of the Communications Decency Act impact how government can regulate expression shared by online services and private media companies. Much like broadcast’s Fairness Doctrine, plaintiffs argue there are obligations that come with government warrantees. Continue reading Supreme Court to Assess States’ Social Media Speech Laws

California lawmakers have put data brokers on notice. A bill known as the Delete Act would allow consumers to require all such information peddlers to delete their personal information with a single request. The bill defines “data brokers” as any number of businesses that collect and sell people’s personal information, including residential address, marital status and purchases. Both houses last week passed the proposed legislation — Senate Bill 362 — and it now heads to Governor Newsom’s desk. If he signs it, the new law will go into effect in January 2026. Continue reading California Plans to Protect Consumer Privacy with Delete Act

The Department of Homeland Security is harnessing artificial intelligence, according to a memo by Secretary Alejandro Mayorkas explaining the department will use AI to keep Americans safe while implementing safeguards to ensure civil rights, privacy rights and the U.S. Constitution are not violated. The DHS appointed Eric Hysen as chief AI officer, moving him into the role from his previous post as CIO. “DHS must master this technology, applying it effectively and building a world class workforce that can reap the benefits of Al, while meeting the threats posed by adversaries that wield Al,” Mayorkas wrote. Continue reading DHS Moves to ‘Master’ AI While Keeping It Safe, Trustworthy

California Governor Gavin Newsom signed an executive order for state agencies to study artificial intelligence and its impact on society and the economy. “We’re only scratching the surface of understanding what GenAI is capable of,” Newsom suggested. Recognizing “both the potential benefits and risks these tools enable,” he said his administration is “neither frozen by the fears nor hypnotized by the upside.” The move was couched as a “measured approach” that will help California “focus on shaping the future of ethical, transparent, and trustworthy AI, while remaining the world’s AI leader.” Continue reading Governor Newsom Orders Study of GenAI Benefits and Risks

The Federal Communications Commission has issued a formal Notice of Proposed Rulemaking (NPRM) for the U.S. Cyber Trust Mark labeling program for smart devices announced in July with the Biden administration. The voluntary program to provide certification for baseline cybersecurity standards is designed to help consumers make informed purchase decisions regarding Internet of Things (IoT) products. The FCC, which proposes to own the new Cyber Trust trademark and administer it in conjunction with third parties, is now officially soliciting comments from industries and the public on the scope of the proposed program. Continue reading FCC Advances ‘U.S. Cyber Trust Mark’ to Foster IoT Security

After raising $30 million from investors and generating $5.4 million selling NFTs on marketplace OpenSea, Los Angeles-based entertainment firm Impact Theory LLC has agreed to pay the Securities and Exchange Commission a $6 million settlement in what has been reported as the SEC’s first NFT enforcement action. Impact Theory was accused of selling “unregistered asset securities in the form of purported non-fungible tokens.” Purported, because the SEC claims the NFTs “sold to investors were investment contracts and therefore securities” and as such, are required by law to be registered. Continue reading SEC Treats NFTs as Unregistered Securities, Fines Company

Ransomware attacks have surged in the 12 months ending in June 2023, with the United States accounting for 43 percent of the 1,900 attacks reported — 7x greater than that of the second most popular target, the United Kingdom, at 196. The period marked a 75 percent increase in U.S. ransomware attacks, which were perpetrated by 48 different groups including CL0P, a gang believed to have ties to Russia. U.S. companies, governmental organizations and individual consumers were targeted during the period, with healthcare and educational institutions disproportionately impacted, according to a study by cybersecurity firm Malwarebytes. Continue reading U.S. Impacted by Significant Increase in Ransomware Attacks

As consumers increasingly cord-cut, severing the once-profitable content subscriptions that offset infrastructure costs for ISPs, governments are now looking to charge Big Tech companies for access to broadband networks, which are expensive to install and maintain. The European Commission is being lobbied by telecom firms to implement such a plan, which the Biden administration is urging EU lawmakers to reject on the basis it would be difficult to enforce and could also potentially undermine net neutrality. Direct payments to telecom operators “could reinforce the dominant market position of the largest operators,” the U.S. said in response. Continue reading White House: Big Tech Shouldn’t Be Forced to Pay ISP Fees

Twitter has reversed its decision to label public broadcasters as “government funded” or “state affiliated” — designations that under previous ownership were reserved for propaganda arms. The Friday move came after NPR and Canada’s CBC paused their Twitter accounts in protest. The BBC was also hit with a state-sponsored appellation. Outlets that challenged the state-sponsored appellation say only part of their funding comes from the government, and stress their terms include editorial independence. The reversal came one day after Twitter began removing the blue verification check marks from the accounts of thousands of non-paying users. Continue reading Backlash Prompts Twitter to Drop State-Affiliated Media Label

Montana law may soon include a total ban on TikTok, as governor Greg Gianforte decides whether to sign a first-of-its-kind prohibition approved by the state’s House of Representatives on Friday. The legislation would also seek to prevent app stores doing business in the state from carrying TikTok. Gianforte will also have the option to veto the proposal, or take no action for 10 days after the bill hits his desk, in which case it becomes law without his signature. Such a ban would likely be challenging to enforce at the state level. Blocking users from TikTok has gained bipartisan support at the federal level, though efforts to pass nationwide legislation have failed. Continue reading Montana Is First State to Send TikTok Ban to Governor’s Desk

The U.S. and a coalition of international government agencies have issued joint guidance that aims to get software companies to heighten security for their products. “Shifting the Balance of Cybersecurity Risk: Principles and Approaches for Security-by-Design and -Default” takes the position that today’s software is insecure by default and it is the customer’s burden to take steps to make it safe. Manufacturers should make their products safe before they ship by taking steps including deprecating the “default password,” writing their programs using only secure coding languages, providing free patches and setting up vulnerability reporting programs. Continue reading U.S. Agencies Join Global Coalition in Secure Software Push