Biden Introduces Broader Review of Foreign-Controlled Apps

President Biden revoked former President Trump’s executive order banning social-networking services TikTok and WeChat — developed by Chinese companies ByteDance and Tencent Holdings, respectively — but didn’t let Chinese companies off the hook. Instead, he replaced the previous order with another that establishes a broader review of the potential security risks found in numerous foreign-controlled apps. Biden officials said the new order would create “clear intelligible criteria” to evaluate those risks. Trump’s executive order was immediately challenged in court, and Biden’s move, said analysts, is intended to withstand such a test. Continue reading Biden Introduces Broader Review of Foreign-Controlled Apps

Senate Passes $250 Billion Bill to Foster Manufacturing, Tech

The Senate passed a bipartisan bill in a 63-32 vote this week that allocates $250 billion for technology R&D to counter foreign competition, primarily from China. The U.S. Innovation and Competition Act (USICA) intends to boost research investment, build semiconductor manufacturing capacity and focus on AI development. The National Science Foundation (NSF) will also play a more significant role. Senator Maria Cantwell (D-Washington) stated the bill is “about investing in that innovation economy of the future.” It still needs to pass the House. Continue reading Senate Passes $250 Billion Bill to Foster Manufacturing, Tech

FBI Director Raises Alarm Over Ransomware Threats to U.S.

The FBI is investigating 100 ransomware variants, stated director Christopher Wray, who revealed that many of them trace back to Russian hackers. He noted that the cyberattacks share “a lot of parallels … a lot of importance, and a lot of focus by us on disruption and prevention” with the September 11 terrorist attacks. Most recently, a ransomware attack on Colonial Pipeline cost its operators $4.4 million to regain control and restore services (however, federal authorities recovered $2.3 million in cryptocurrency yesterday). Another attack targeted JBS, the world’s largest meat processing company.  Continue reading FBI Director Raises Alarm Over Ransomware Threats to U.S.

Coalition Says No to Internet Company Shields in Trade Deals

Public Citizen, Color of Change and the Center for Digital Democracy are three of the 16 public interest groups that sent a letter to President Joe Biden warning that liability protections for Internet companies in trade agreements will cripple efforts to hold such companies accountable for user content. At the American Economic Liberties Project, which also signed the letter, policy director Morgan Harper said that such a ratified trade deal could confirm and propagate controversial legal protections for Internet companies. Continue reading Coalition Says No to Internet Company Shields in Trade Deals

U.S. Turns to Open Standards to Launch New 5G Equipment

According to researcher Dell’Oro Group, the U.S. efforts to stop Huawei progress led to 60+ percent of the global wireless gear market to restrict or consider restricting that Chinese company’s products. Now the U.S. government may offer financial support to a domestic cellular equipment industry that has lagged behind for years. In the last five years, said Dell’Oro, Huawei, Sweden’s Ericsson and Finland’s Nokia accounted for 20 percent of the wireless gear market, with no rival even reaching 10 percent of the market. A new competitive landscape and building 5G equipment based on open standards could have a major impact on the industry. Continue reading U.S. Turns to Open Standards to Launch New 5G Equipment

U.S. Will Remove Chinese Phone Maker Xiaomi From Blacklist

The U.S. Defense Department removed Xiaomi from a blacklist preventing U.S. investment in the Chinese tech company, an action taken during the Trump administration that alleged the company had ties with the Chinese military. Two months ago, in a Washington D.C. court, a judge criticized the rationale behind the blacklisting and ordered a temporary halt against its enforcement. Xiaomi shares rose 6.1 percent in Hong Kong following the news. TikTok and WeChat also found redress against Trump-era actions against them. Continue reading U.S. Will Remove Chinese Phone Maker Xiaomi From Blacklist

FCC Approves New Connectivity Fund for Schools, Libraries

The FCC unanimously agreed to enact the $7.17 billion Emergency Connectivity Fund Program to provide resources for U.S. schools and libraries to buy laptops, tablets, Wi-Fi hotspots and broadband connections for online learning during the pandemic. Starting on May 12, the program, part of President Joe Biden’s $1.9 trillion American Rescue Plan Act, will also provide $50 per month to low-income households and $75 to households on Native American lands to pay for broadband services and $100 towards buying a laptop or tablet. Continue reading FCC Approves New Connectivity Fund for Schools, Libraries

Labor Department Reverses Trump-Era Rule for Gig Workers

On May 6, the Biden administration rescinded the “Independent Contractor Rule,” created during the Trump administration, that made it easier to classify gig workers as independent contractors. The Department of Labor stated that withdrawing the rule would “maintain workers’ rights to the minimum wage and overtime compensation protections of the Fair Labor Standards Act.” Labor Secretary Marty Walsh added that the move will “stop the erosion of worker protections that would have occurred had the rule gone into effect.” Continue reading Labor Department Reverses Trump-Era Rule for Gig Workers

ByteDance Executive Shouzi Chew Is New TikTok Chief Exec

TikTok announced that Shouzi Chew — chief financial officer of parent company ByteDance — has been named chief executive of TikTok, replacing interim chief executive Vanessa Pappas. Pappas, who took on that role last year when then-chief executive Kevin Mayer departed, has been named global chief operating officer. Previous to his role at ByteDance, Chew was chief financial officer and international business president at Xiaomi, where he led the company’s initial public offering on the Hong Kong Stock Exchange. Chew is fluent in English and Chinese. Continue reading ByteDance Executive Shouzi Chew Is New TikTok Chief Exec

EU Releases Its Draft Policy to Regulate Artificial Intelligence

The European Union issued a 108-page policy that establishes rules to govern the use of artificial intelligence, setting limits on its use in everything from bank lending and school enrollment to self-driving cars and hiring decisions. Use of artificial intelligence by law enforcement and court systems, considered “high risk” because of the potential to threaten safety and fundamental rights, is also regulated. Live facial recognition in public spaces would be banned except in cases of national security “and other purposes.” Continue reading EU Releases Its Draft Policy to Regulate Artificial Intelligence

U.S. Takes Steps Against Russian and Chinese Cyberattacks

Blaming Russia for attacks that interfered in the 2020 U.S. presidential election, President Biden imposed new sanctions on 32 entities and individuals in that country. Although sanctions will make it more difficult to partake in the global economy, the White House did not immediately limit Russia’s ability to borrow money on the global market. Biden noted he “chose to be proportionate” and “is not looking to kick off a cycle of escalation and conflict with Russia.” The FBI has also recently taken strong steps to stop Chinese hacking. Continue reading U.S. Takes Steps Against Russian and Chinese Cyberattacks

Biden Plan Aims to Build U.S. Semiconductor Manufacturing

President Joe Biden stated that investing in the manufacturing of semiconductors is part of his administration’s effort to improve the nation’s infrastructure, in order to “build the infrastructure of today and not repair the one of yesterday … [as well as] protect our supply chain and revitalize American manufacturing.” A shortage of semiconductors has impacted industries worldwide and hit the automotive industry particularly hard, forcing a slowdown or cessation of production across the U.S. To assess the problem, White House officials met with 20 chief executives from tech and automotive companies this week. Continue reading Biden Plan Aims to Build U.S. Semiconductor Manufacturing

Defeated Union Calls Foul on Amazon Win, Continues Efforts

Although workers at an Amazon warehouse in Alabama voted against unionizing with the Retail, Wholesale and Department Store Union (RWDSU), that union’s president Stuart Appelbaum said it planned to challenge the results, accusing Amazon of “illegal and egregious behavior during the campaign.” RWDSU director of communications Chelsea Connor specified that “alleged behavior” included placement of a USPS mailbox on the grounds of the warehouse, which some workers described as intimidating because they believed Amazon was monitoring voters. Continue reading Defeated Union Calls Foul on Amazon Win, Continues Efforts

Coalition of Small Businesses Aims to Weaken Amazon’s Grip

Trade groups representing small merchants in hardware, office supplies, books and groceries are organizing in 12 cities to form Small Business Rising, a coalition for stronger antitrust laws and enforcement of existing ones. They hope new measures will force Amazon to spin off its own business lines that compete with them. The House Antitrust Subcommittee is already considering such legislation but hasn’t yet introduced a bill. Amazon called the efforts “misguided interventions in the free market.” Continue reading Coalition of Small Businesses Aims to Weaken Amazon’s Grip

Supreme Court Allows FCC to Relax Media Ownership Rules

In a 9-0 ruling authored by Justice Brett Kavanaugh, the U.S. Supreme Court loosened local media ownership restrictions, which could enable more industry consolidation. It’s viewed as a victory for broadcasters that wanted to overturn the 2017 decision of the Third Circuit Court of Appeals that found the FCC did not sufficiently consider the effect of changes on minority and female owners. The FCC appeal was supported by News Corp, Fox Corporation, Sinclair Broadcast Group and the National Association of Broadcasters. Continue reading Supreme Court Allows FCC to Relax Media Ownership Rules