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Paul Merrell

Information Warfare: Automated Propaganda and Social Media Bots | Global Research - 0 views

  • NATO has announced that it is launching an “information war” against Russia. The UK publicly announced a battalion of keyboard warriors to spread disinformation. It’s well-documented that the West has long used false propaganda to sway public opinion. Western military and intelligence services manipulate social media to counter criticism of Western policies. Such manipulation includes flooding social media with comments supporting the government and large corporations, using armies of sock puppets, i.e. fake social media identities. See this, this, this, this and this. In 2013, the American Congress repealed the formal ban against the deployment of propaganda against U.S. citizens living on American soil. So there’s even less to constrain propaganda than before.
  • Information warfare for propaganda purposes also includes: The Pentagon, Federal Reserve and other government entities using software to track discussion of political issues … to try to nip dissent in the bud before it goes viral “Controlling, infiltrating, manipulating and warping” online discourse Use of artificial intelligence programs to try to predict how people will react to propaganda
  • Some of the propaganda is spread by software programs. We pointed out 6 years ago that people were writing scripts to censor hard-hitting information from social media. One of America’s top cyber-propagandists – former high-level military information officer Joel Harding – wrote in December: I was in a discussion today about information being used in social media as a possible weapon.  The people I was talking with have a tool which scrapes social media sites, gauges their sentiment and gives the user the opportunity to automatically generate a persuasive response. Their tool is called a “Social Networking Influence Engine”. *** The implications seem to be profound for the information environment. *** The people who own this tool are in the civilian world and don’t even remotely touch the defense sector, so getting approval from the US Department of State might not even occur to them.
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  • How Can This Real? Gizmodo reported in 2010: Software developer Nigel Leck got tired rehashing the same 140-character arguments against climate change deniers, so he programmed a bot that does the work for him. With citations! Leck’s bot, @AI_AGW, doesn’t just respond to arguments directed at Leck himself, it goes out and picks fights. Every five minutes it trawls Twitter for terms and phrases that commonly crop up in Tweets that refute human-caused climate change. It then searches its database of hundreds to find a counter-argument best suited for that tweet—usually a quick statement and a link to a scientific source. As can be the case with these sorts of things, many of the deniers don’t know they’ve been targeted by a robot and engage AI_AGW in debate. The bot will continue to fire back canned responses that best fit the interlocutor’s line of debate—Leck says this goes on for days, in some cases—and the bot’s been outfitted with a number of responses on the topic of religion, where the arguments unsurprisingly often end up. Technology has come a long way in the past 5 years. So if a lone programmer could do this 5 years ago, imagine what he could do now. And the big players have a lot more resources at their disposal than a lone climate activist/software developer does.  For example, a government expert told the Washington Post that the government “quite literally can watch your ideas form as you type” (and see this).  So if the lone programmer is doing it, it’s not unreasonable to assume that the big boys are widely doing it.
  • How Effective Are Automated Comments? Unfortunately, this is more effective than you might assume … Specifically, scientists have shown that name-calling and swearing breaks down people’s ability to think rationally … and intentionally sowing discord and posting junk comments to push down insightful comments  are common propaganda techniques. Indeed, an automated program need not even be that sophisticated … it can copy a couple of words from the main post or a comment, and then spew back one or more radioactive labels such as “terrorist”, “commie”, “Russia-lover”, “wimp”, “fascist”, “loser”, “traitor”, “conspiratard”, etc. Given that Harding and his compadres consider anyone who questions any U.S. policies as an enemy of the state  – as does the Obama administration (and see this) – many honest, patriotic writers and commenters may be targeted for automated propaganda comments.
Gonzalo San Gil, PhD.

Contrera: nació Quitter, la red social opuesta a Twitter | Rosario3.com - 0 views

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    " El sitio se sustenta con la plata de sus creadores y con donaciones. 1/1 0 Comentarios Twitter, una de las redes sociales más usadas a nivel mundial, comenzó a tener rivalidad tras el nacimiento de Quitter, un sitio sin fines de lucro que sobrevive a base de donaciones y del bolsillo de sus creadores."
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    " El sitio se sustenta con la plata de sus creadores y con donaciones. 1/1 0 Comentarios Twitter, una de las redes sociales más usadas a nivel mundial, comenzó a tener rivalidad tras el nacimiento de Quitter, un sitio sin fines de lucro que sobrevive a base de donaciones y del bolsillo de sus creadores."
Paul Merrell

The UN Releases Plan to Push for Worldwide Internet Censorship | Global Research - Cent... - 0 views

  • The United Nations has disgraced itself immeasurably over the past month or so. In case you missed the following stories, I suggest catching up now: The UN’s “Sustainable Development Agenda” is Basically a Giant Corporatist Fraud Not a Joke – Saudi Arabia Chosen to Head UN Human Rights Panel Fresh off the scene from those two epic embarrassments, the UN now wants to tell governments of the world how to censor the internet. I wish I was kidding. From the Washington Post: On Thursday, the organization’s Broadband Commission for Digital Development released a damning “world-wide wake-up call” on what it calls “cyber VAWG,” or violence against women and girls. The report concludes that online harassment is “a problem of pandemic proportion” — which, nbd, we’ve all heard before. But the United Nations then goes on to propose radical, proactive policy changes for both governments and social networks, effectively projecting a whole new vision for how the Internet could work. Under U.S. law — the law that, not coincidentally, governs most of the world’s largest online platforms — intermediaries such as Twitter and Facebook generally can’t be held responsible for what people do on them. But the United Nations proposes both that social networks proactively police every profile and post, and that government agencies only “license” those who agree to do so.
  • People are being harassed online, and the solution is to censor everything and license speech? Remarkable. How that would actually work, we don’t know; the report is light on concrete, actionable policy. But it repeatedly suggests both that social networks need to opt-in to stronger anti-harassment regimes and that governments need to enforce them proactively. At one point toward the end of the paper, the U.N. panel concludes that“political and governmental bodies need to use their licensing prerogative” to better protect human and women’s rights, only granting licenses to “those Telecoms and search engines” that “supervise content and its dissemination.” So we’re supposed to be lectured about human rights from an organization that named Saudi Arabia head of its human rights panel? Got it. Regardless of whether you think those are worthwhile ends, the implications are huge: It’s an attempt to transform the Web from a libertarian free-for-all to some kind of enforced social commons. This U.N. report gets us no closer, alas: all but its most modest proposals are unfeasible. We can educate people about gender violence or teach “digital citizenship” in schools, but persuading social networks to police everything their users post is next to impossible. And even if it weren’t, there are serious implications for innovation and speech: According to the Electronic Frontier Foundation, CDA 230 — the law that exempts online intermediaries from this kind of policing — is basically what allowed modern social networks (and blogs, and comments, and forums, etc.) to come into being. If we’re lucky, perhaps the Saudi religious police chief (yes, they have one) who went on a rampage against Twitter a couple of years ago, will be available to head up the project. What a joke.
Paul Merrell

Deep Fakes: A Looming Crisis for National Security, Democracy and Privacy? - Lawfare - 1 views

  • “We are truly fucked.” That was Motherboard’s spot-on reaction to deep fake sex videos (realistic-looking videos that swap a person’s face into sex scenes actually involving other people). And that sleazy application is just the tip of the iceberg. As Julian Sanchez tweeted, “The prospect of any Internet rando being able to swap anyone’s face into porn is incredibly creepy. But my first thought is that we have not even scratched the surface of how bad ‘fake news’ is going to get.” Indeed. Recent events amply demonstrate that false claims—even preposterous ones—can be peddled with unprecedented success today thanks to a combination of social media ubiquity and virality, cognitive biases, filter bubbles, and group polarization. The resulting harms are significant for individuals, businesses, and democracy. Belated recognition of the problem has spurred a variety of efforts to address this most recent illustration of truth decay, and at first blush there seems to be reason for optimism. Alas, the problem may soon take a significant turn for the worse thanks to deep fakes. Get used to hearing that phrase. It refers to digital manipulation of sound, images, or video to impersonate someone or make it appear that a person did something—and to do so in a manner that is increasingly realistic, to the point that the unaided observer cannot detect the fake. Think of it as a destructive variation of the Turing test: imitation designed to mislead and deceive rather than to emulate and iterate.
  • Fueled by artificial intelligence, digital impersonation is on the rise. Machine-learning algorithms (often neural networks) combined with facial-mapping software enable the cheap and easy fabrication of content that hijacks one’s identity—voice, face, body. Deep fake technology inserts individuals’ faces into videos without their permission. The result is “believable videos of people doing and saying things they never did.” Not surprisingly, this concept has been quickly leveraged to sleazy ends. The latest craze is fake sex videos featuring celebrities like Gal Gadot and Emma Watson. Although the sex scenes look realistic, they are not consensual cyber porn. Conscripting individuals (more often women) into fake porn undermines their agency, reduces them to sexual objects, engenders feeling of embarrassment and shame, and inflicts reputational harm that can devastate careers (especially for everyday people). Regrettably, cyber stalkers are sure to use fake sex videos to torment victims. What comes next? We can expect to see deep fakes used in other abusive, individually-targeted ways, such as undermining a rival’s relationship with fake evidence of an affair or an enemy’s career with fake evidence of a racist comment.
Paul Merrell

Social Media Giants Choking Independent News Site Traffic to a Trickle - 0 views

  • Several prominent figures, including Web inventor Tim Berners-Lee, warned the EU Parliament that its proposed censorship measure would begin transforming the Internet from an open platform for sharing and innovation, into a tool for the automated surveillance and control of its users.
  • For much of the year, independent media has felt the sting of increased social media censorship, as the “revolving door” between U.S. intelligence agencies and social-media companies has manifested in a crackdown on news that challenges official government narratives. With many notable independent news websites having shut down since then as a result, those that remain afloat are being censored like never before, with social media traffic from Facebook and Twitter completely cut off in some cases. Among such websites, social media censorship by the most popular social networks is now widely regarded to be the worst it has ever been – a chilling reality for any who seek fact-based perspectives on major world events that differ from those to be found on well-known corporate-media outlets that consistently toe the government line. Last August, MintPress reported that a new Google algorithm targeting “fake news” had quashed traffic to many independent news and advocacy sites, with sites such as the American Civil Liberties Union, Democracy Now, and WikiLeaks, seeing their returns from Google searches experience massive drops. The World Socialist Website, one of the affected pages, reported a 67 percent decrease in Google returns while MintPress experienced an even larger decrease of 76 percent in Google search returns. The new algorithm targeted online publications on both sides of the political spectrum critical of U.S. imperialism, foreign wars, and other long-standing government policies. Now, less than a year later, the situation has become even more dire. Several independent media pages have reported that their social media traffic has sharply declined since March and – in some cases – stopped almost entirely since June began. For instance, independent media website Antimedia – a page with over 2 million likes and follows – saw its traffic drop from around 150,000 page views per day earlier this month to around 12,000 as of this week. As a reference, this time last year Antimedia’s traffic stood at nearly 300,000 a day.
Paul Merrell

The punk rock internet - how DIY ​​rebels ​are working to ​replace the tech g... - 0 views

  • What they are doing could be seen as the online world’s equivalent of punk rock: a scattered revolt against an industry that many now think has grown greedy, intrusive and arrogant – as well as governments whose surveillance programmes have fuelled the same anxieties. As concerns grow about an online realm dominated by a few huge corporations, everyone involved shares one common goal: a comprehensively decentralised internet.
  • In the last few months, they have started working with people in the Belgian city of Ghent – or, in Flemish, Gent – where the authorities own their own internet domain, complete with .gent web addresses. Using the blueprint of Heartbeat, they want to create a new kind of internet they call the indienet – in which people control their data, are not tracked and each own an equal space online. This would be a radical alternative to what we have now: giant “supernodes” that have made a few men in northern California unimaginable amounts of money thanks to the ocean of lucrative personal information billions of people hand over in exchange for their services.
  • His alternative is what he calls the Safe network: the acronym stands for “Safe Access for Everyone”. In this model, rather than being stored on distant servers, people’s data – files, documents, social-media interactions – will be broken into fragments, encrypted and scattered around other people’s computers and smartphones, meaning that hacking and data theft will become impossible. Thanks to a system of self-authentication in which a Safe user’s encrypted information would only be put back together and unlocked on their own devices, there will be no centrally held passwords. No one will leave data trails, so there will be nothing for big online companies to harvest. The financial lubricant, Irvine says, will be a cryptocurrency called Safecoin: users will pay to store data on the network, and also be rewarded for storing other people’s (encrypted) information on their devices. Software developers, meanwhile, will be rewarded with Safecoin according to the popularity of their apps. There is a community of around 7,000 interested people already working on services that will work on the Safe network, including alternatives to platforms such as Facebook and YouTube.
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  • Once MaidSafe is up and running, there will be very little any government or authority can do about it: “We can’t stop the network if we start it. If anyone turned round and said: ‘You need to stop that,’ we couldn’t. We’d have to go round to people’s houses and switch off their computers. That’s part of the whole thing. The network is like a cyber-brain; almost a lifeform in itself. And once you start it, that’s it.” Before my trip to Scotland, I tell him, I spent whole futile days signing up to some of the decentralised social networks that already exist – Steemit, Diaspora, Mastadon – and trying to approximate the kind of experience I can easily get on, say, Twitter or Facebook.
  • And herein lie two potential breakthroughs. One, according to some cryptocurrency enthusiasts, is a means of securing and protecting people’s identities that doesn’t rely on remotely stored passwords. The other is a hope that we can leave behind intermediaries such as Uber and eBay, and allow buyers and sellers to deal directly with each other. Blockstack, a startup based in New York, aims to bring blockchain technology to the masses. Like MaidSafe, its creators aim to build a new internet, and a 13,000-strong crowd of developers are already working on apps that either run on the platform Blockstack has created, or use its features. OpenBazaar is an eBay-esque service, up and running since November last year, which promises “the world’s most private, secure, and liberating online marketplace”. Casa aims to be an decentralised alternative to Airbnb; Guild is a would-be blogging service that bigs up its libertarian ethos and boasts that its founders will have “no power to remove blogs they don’t approve of or agree with”.
  • An initial version of Blockstack is already up and running. Even if data is stored on conventional drives, servers and clouds, thanks to its blockchain-based “private key” system each Blockstack user controls the kind of personal information we currently blithely hand over to Big Tech, and has the unique power to unlock it. “That’s something that’s extremely powerful – and not just because you know your data is more secure because you’re not giving it to a company,” he says. “A hacker would have to hack a million people if they wanted access to their data.”
Paul Merrell

Israel eyes world coalition to force social media platforms to block incitement | The T... - 2 views

  • Israel is aiming to build an international coalition to force the world’s leading social media giants to prevent their platforms from being abused to peddle incitement to terrorism. The move, which was unveiled by Public Security Minister Gilad Erdan at Sunday’s cabinet meeting, aims at requiring Facebook, Twitter, Youtube, and other social networks to take greater responsibility for such content.
  • While some experts consider the idea unworkable — arguing that the terms of service of such platforms protect them from any legal threat, and that the preventative measures Erdan wants to see introduced are not possible technologically, others say a coalition pushing for change could be effective, and certainly stands more of a chance than an effort led by Israel alone.
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    With social media censorship ramping up in the West, it's good to keep in mind who started it. From 2016.
Paul Merrell

Sick Of Facebook? Read This. - 2 views

  • In 2012, The Guardian reported on Facebook’s arbitrary and ridiculous nudity and violence guidelines which allow images of crushed limbs but – dear god spare us the image of a woman breastfeeding. Still, people stayed – and Facebook grew. In 2014, Facebook admitted to mind control games via positive or negative emotional content tests on unknowing and unwilling platform users. Still, people stayed – and Facebook grew. Following the 2016 election, Facebook responded to the Harpie shrieks from the corporate Democrats bysetting up a so-called “fake news” task force to weed out those dastardly commies (or socialists or anarchists or leftists or libertarians or dissidents or…). And since then, I’ve watched my reach on Facebook drain like water in a bathtub – hard to notice at first and then a spastic swirl while people bicker about how to plug the drain. And still, we stayed – and the censorship tightened. Roughly a year ago, my show Act Out! reported on both the censorship we were experiencing but also the cramped filter bubbling that Facebook employs in order to keep the undesirables out of everyone’s news feed. Still, I stayed – and the censorship tightened. 2017 into 2018 saw more and more activist organizers, particularly black and brown, thrown into Facebook jail for questioning systemic violence and demanding better. In August, puss bag ass hat in a human suit Alex Jones was banned from Facebook – YouTube, Apple and Twitter followed suit shortly thereafter. Some folks celebrated. Some others of us skipped the party because we could feel what was coming.
  • On Thursday, October 11th of this year, Facebook purged more than 800 pages including The Anti-Media, Police the Police, Free Thought Project and many other social justice and alternative media pages. Their explanation rested on the painfully flimsy foundation of “inauthentic behavior.” Meanwhile, their fake-news checking team is stacked with the likes of the Atlantic Council and the Weekly Standard, neocon junk organizations that peddle such drivel as “The Character Assassination of Brett Kavanaugh.” Soon after, on the Monday before the Midterm elections, Facebook blocked another 115 accounts citing once again, “inauthentic behavior.” Then, in mid November, a massive New York Times piece chronicled Facebook’s long road to not only save its image amid rising authoritarian behavior, but “to discredit activist protesters, in part by linking them to the liberal financier George Soros.” (I consistently find myself waiting for those Soros and Putin checks in the mail that just never appear.)
  • What we need is an open source, non-surveillance platform. And right now, that platform is Minds. Before you ask, I’m not being paid to write that.
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  • Fashioned as an alternative to the closed and creepy Facebook behemoth, Minds advertises itself as “an open source and decentralized social network for Internet freedom.” Minds prides itself on being hands-off with regards to any content that falls in line with what’s permitted by law, which has elicited critiques from some on the left who say Minds is a safe haven for fascists and right-wing extremists. Yet, Ottman has himself stated openly that he wants ideas on content moderation and ways to make Minds a better place for social network users as well as radical content creators. What a few fellow journos and I are calling #MindsShift is an important step in not only moving away from our gagged existence on Facebook but in building a social network that can serve up the real news folks are now aching for.
  • To be clear, we aren’t advocating that you delete your Facebook account – unless you want to. For many, Facebook is still an important tool and our goal is to add to the outreach toolkit, not suppress it. We have set January 1st, 2019 as the ultimate date for this #MindsShift. Several outlets with a combined reach of millions of users will be making the move – and asking their readerships/viewerships to move with them. Along with fellow journalists, I am working with Minds to brainstorm new user-friendly functions and ways to make this #MindsShift a loud and powerful move. We ask that you, the reader, add to the conversation by joining the #MindsShift and spreading the word to your friends and family. (Join Minds via this link) We have created the #MindsShift open group on Minds.com so that you can join and offer up suggestions and ideas to make this platform a new home for radical and progressive media.
Gonzalo San Gil, PhD.

Así se lucha contra el bloqueo de una red social - 0 views

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    "Llevamos unas horas muy tensas con el bloqueo de Twitter por parte del gobierno turco, en reacción a la distribución libre de documentos filtrados que demostrarían la corrupción del gabinete del Primer Ministro. Al mismo tiempo, de nuevo tenemos la oportunidad de ver cómo reacciona la ciudadanía cuando se le niega un derecho del siglo XXI como es la libertad de expresión en Internet; las calles turcas ahora son un buen ejemplo de lo que pasa cuando un dirigente se piensa que parar Internet es tan sencillo como darle a un botón."
Paul Merrell

Can Dweb Save The Internet? 06/03/2019 - 0 views

  • On a mysterious farm just above the Pacific Ocean, the group who built the internet is inviting a small number of friends to a semi-secret gathering. They describe it as a camp "where diverse people can freely exchange ideas about the technologies, laws, markets, and agreements we need to move forward.” Forward indeed.It wasn’t that long ago that the internet was an open network of computers, blogs, sites, and posts.But then something happened -- and the open web was taken over by private, for-profit, closed networks. Facebook isn’t the web. YouTube isn’t the web. Google isn’t the web. They’re for-profit businesses that are looking to sell audiences to advertisers.Brewster Kahle is one of the early web innovators who built the Internet Archive as a public storehouse to protect the web’s history. Along with web luminaries such as Sir Tim Berners-Lee and Vint Cerf, he is working to protect and rebuild the open nature of the web.advertisementadvertisement“We demonstrated that the web had failed instead of served humanity, as it was supposed to have done,” Berners-Lee told Vanity Fair. The web has “ended up producing -- [through] no deliberate action of the people who designed the platform -- a large-scale emergent phenomenon which is anti-human.”
  • o, they’re out to fix it, working on what they call the Dweb. The “d” in Dweb stands for distributed. In distributed systems, no one entity has control over the participation of any other entity.Berners-Lee is building a platform called Solid, designed to give people control over their own data. Other global projects also have the goal of taking take back the public web. Mastodon is decentralized Twitter. Peertube is a decentralized alternative to YouTube.This July 18 - 21, web activists plan to convene at the Decentralized Web Summit in San Francisco. Back in 2016, Kahle convened an early group of builders, archivists, policymaker, and journalists. He issued a challenge to  use decentralized technologies to “Lock the Web Open.” It’s hard to imagine he knew then how quickly the web would become a closed network.Last year's Dweb gathering convened more than 900 developers, activists, artists, researchers, lawyers, and students. Kahle opened the gathering by reminding attendees that the web used to be a place where everyone could play. "Today, I no longer feel like a player, I feel like I’m being played. Let’s build a decentralized web, let’s build a system we can depend on, a system that doesn’t feel creepy” he said, according to IEEE Spectrum.With the rising tide of concerns about how social networks have hacked our democracy, Kahle and his Dweb community will gather with increasing urgency around their mission.The internet began with an idealist mission to connect people and information for good. Today's web has yet to achieve that goal, but just maybe Dweb will build an internet more robust and open than the current infrastructure allows. That’s a mission worth fighting for.
Paul Merrell

European Lawmakers Demand Answers on Phone Key Theft - The Intercept - 0 views

  • European officials are demanding answers and investigations into a joint U.S. and U.K. hack of the world’s largest manufacturer of mobile SIM cards, following a report published by The Intercept Thursday. The report, based on leaked documents provided by NSA whistleblower Edward Snowden, revealed the U.S. spy agency and its British counterpart Government Communications Headquarters, GCHQ, hacked the Franco-Dutch digital security giant Gemalto in a sophisticated heist of encrypted cell-phone keys. The European Parliament’s chief negotiator on the European Union’s data protection law, Jan Philipp Albrecht, said the hack was “obviously based on some illegal activities.” “Member states like the U.K. are frankly not respecting the [law of the] Netherlands and partner states,” Albrecht told the Wall Street Journal. Sophie in ’t Veld, an EU parliamentarian with D66, the Netherlands’ largest opposition party, added, “Year after year we have heard about cowboy practices of secret services, but governments did nothing and kept quiet […] In fact, those very same governments push for ever-more surveillance capabilities, while it remains unclear how effective these practices are.”
  • “If the average IT whizzkid breaks into a company system, he’ll end up behind bars,” In ’t Veld added in a tweet Friday. The EU itself is barred from undertaking such investigations, leaving individual countries responsible for looking into cases that impact their national security matters. “We even get letters from the U.K. government saying we shouldn’t deal with these issues because it’s their own issue of national security,” Albrecht said. Still, lawmakers in the Netherlands are seeking investigations. Gerard Schouw, a Dutch member of parliament, also with the D66 party, has called on Ronald Plasterk, the Dutch minister of the interior, to answer questions before parliament. On Tuesday, the Dutch parliament will debate Schouw’s request. Additionally, European legal experts tell The Intercept, public prosecutors in EU member states that are both party to the Cybercrime Convention, which prohibits computer hacking, and home to Gemalto subsidiaries could pursue investigations into the breach of the company’s systems.
  • According to secret documents from 2010 and 2011, a joint NSA-GCHQ unit penetrated Gemalto’s internal networks and infiltrated the private communications of its employees in order to steal encryption keys, embedded on tiny SIM cards, which are used to protect the privacy of cellphone communications across the world. Gemalto produces some 2 billion SIM cards a year. The company’s clients include AT&T, T-Mobile, Verizon, Sprint and some 450 wireless network providers. “[We] believe we have their entire network,” GCHQ boasted in a leaked slide, referring to the Gemalto heist.
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  • While Gemalto was indeed another casualty in Western governments’ sweeping effort to gather as much global intelligence advantage as possible, the leaked documents make clear that the company was specifically targeted. According to the materials published Thursday, GCHQ used a specific codename — DAPINO GAMMA — to refer to the operations against Gemalto. The spies also actively penetrated the email and social media accounts of Gemalto employees across the world in an effort to steal the company’s encryption keys. Evidence of the Gemalto breach rattled the digital security community. “Almost everyone in the world carries cell phones and this is an unprecedented mass attack on the privacy of citizens worldwide,” said Greg Nojeim, senior counsel at the Center for Democracy & Technology, a non-profit that advocates for digital privacy and free online expression. “While there is certainly value in targeted surveillance of cell phone communications, this coordinated subversion of the trusted technical security infrastructure of cell phones means the US and British governments now have easy access to our mobile communications.”
  • For Gemalto, evidence that their vaunted security systems and the privacy of customers had been compromised by the world’s top spy agencies made an immediate financial impact. The company’s shares took a dive on the Paris bourse Friday, falling $500 million. In the U.S., Gemalto’s shares fell as much 10 percent Friday morning. They had recovered somewhat — down 4 percent — by the close of trading on the Euronext stock exchange. Analysts at Dutch financial services company Rabobank speculated in a research note that Gemalto could be forced to recall “a large number” of SIM cards. The French daily L’Express noted today that Gemalto board member Alex Mandl was a founding trustee of the CIA-funded venture capital firm In-Q-Tel. Mandl resigned from In-Q-Tel’s board in 2002, when he was appointed CEO of Gemplus, which later merged with another company to become Gemalto. But the CIA connection still dogged Mandl, with the French press regularly insinuating that American spies could infiltrate the company. In 2003, a group of French lawmakers tried unsuccessfully to create a commission to investigate Gemplus’s ties to the CIA and its implications for the security of SIM cards. Mandl, an Austrian-American businessman who was once a top executive at AT&T, has denied that he had any relationship with the CIA beyond In-Q-Tel. In 2002, he said he did not even have a security clearance.
  • AT&T, T-Mobile and Verizon could not be reached for comment Friday. Sprint declined to comment. Vodafone, the world’s second largest telecom provider by subscribers and a customer of Gemalto, said in a statement, “[W]e have no further details of these allegations which are industrywide in nature and are not focused on any one mobile operator. We will support industry bodies and Gemalto in their investigations.” Deutsche Telekom AG, a German company, said it has changed encryption algorithms in its Gemalto SIM cards. “We currently have no knowledge that this additional protection mechanism has been compromised,” the company said in a statement. “However, we cannot rule out this completely.”
  • Update: Asked about the SIM card heist, White House press secretary Josh Earnest said he did not expect the news would hurt relations with the tech industry: “It’s hard for me to imagine that there are a lot of technology executives that are out there that are in a position of saying that they hope that people who wish harm to this country will be able to use their technology to do so. So, I do think in fact that there are opportunities for the private sector and the federal government to coordinate and to cooperate on these efforts, both to keep the country safe, but also to protect our civil liberties.”
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    Watch for massive class action product defect litigation to be filed against the phone companies.and mobile device manufacturers.  In most U.S. jurisdictions, proof that the vendors/manufacturers  knew of the product defect is not required, only proof of the defect. Also, this is a golden opportunity for anyone who wants to get out of a pricey cellphone contract, since providing a compromised cellphone is a material breach of warranty, whether explicit or implied..   
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