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Paul Merrell

Microsoft pledges to tell email customers of state-sponsored hacking in future - Techno... - 0 views

  • Microsoft Corp. has agreed to change its policies and always tell email customers when it suspects there has been a government hacking attempt after widespread hacking by Chinese authorities was exposed. Microsoft experts concluded several years ago that Chinese authorities had hacked into more than a thousand Hotmail email accounts, targeting international leaders of China's Tibetan and Uighur minorities in particular — but it decided not to tell the victims, allowing the hackers to continue their campaign, according to former employees of the company. On Wednesday, after a series of requests for comment from Reuters, Microsoft said it would change its policy on notifying customers. Microsoft spokesman Frank Shaw said the company was never certain of the origin of the Hotmail attacks.
  • The company also confirmed for the first time that it had not called, emailed or otherwise told the Hotmail users that their electronic correspondence had been collected. The company declined to say what role the exposure of the Hotmail campaign played in its decision to make the policy shift. The first public signal of the attacks came in May 2011, though no direct link was immediately made with the Chinese authorities.
  • That's when security firm Trend Micro Inc announced it had found an email sent to someone in Taiwan that contained a miniature computer program. The program took advantage of a previously undetected flaw in Microsoft's own web pages to direct Hotmail and other free Microsoft email services to secretly forward copies of all of a recipient's incoming mail to an account controlled by the attacker. Trend Micro found more than a thousand victims, and Microsoft patched the vulnerability before the security company announced its findings publicly
Paul Merrell

Cy Vance's Proposal to Backdoor Encrypted Devices Is Riddled With Vulnerabilities | Jus... - 0 views

  • Less than a week after the attacks in Paris — while the public and policymakers were still reeling, and the investigation had barely gotten off the ground — Cy Vance, Manhattan’s District Attorney, released a policy paper calling for legislation requiring companies to provide the government with backdoor access to their smartphones and other mobile devices. This is the first concrete proposal of this type since September 2014, when FBI Director James Comey reignited the “Crypto Wars” in response to Apple’s and Google’s decisions to use default encryption on their smartphones. Though Comey seized on Apple’s and Google’s decisions to encrypt their devices by default, his concerns are primarily related to end-to-end encryption, which protects communications that are in transit. Vance’s proposal, on the other hand, is only concerned with device encryption, which protects data stored on phones. It is still unclear whether encryption played any role in the Paris attacks, though we do know that the attackers were using unencrypted SMS text messages on the night of the attack, and that some of them were even known to intelligence agencies and had previously been under surveillance. But regardless of whether encryption was used at some point during the planning of the attacks, as I lay out below, prohibiting companies from selling encrypted devices would not prevent criminals or terrorists from being able to access unbreakable encryption. Vance’s primary complaint is that Apple’s and Google’s decisions to provide their customers with more secure devices through encryption interferes with criminal investigations. He claims encryption prevents law enforcement from accessing stored data like iMessages, photos and videos, Internet search histories, and third party app data. He makes several arguments to justify his proposal to build backdoors into encrypted smartphones, but none of them hold water.
  • Before addressing the major privacy, security, and implementation concerns that his proposal raises, it is worth noting that while an increase in use of fully encrypted devices could interfere with some law enforcement investigations, it will help prevent far more crimes — especially smartphone theft, and the consequent potential for identity theft. According to Consumer Reports, in 2014 there were more than two million victims of smartphone theft, and nearly two-thirds of all smartphone users either took no steps to secure their phones or their data or failed to implement passcode access for their phones. Default encryption could reduce instances of theft because perpetrators would no longer be able to break into the phone to steal the data.
  • Vance argues that creating a weakness in encryption to allow law enforcement to access data stored on devices does not raise serious concerns for security and privacy, since in order to exploit the vulnerability one would need access to the actual device. He considers this an acceptable risk, claiming it would not be the same as creating a widespread vulnerability in encryption protecting communications in transit (like emails), and that it would be cheap and easy for companies to implement. But Vance seems to be underestimating the risks involved with his plan. It is increasingly important that smartphones and other devices are protected by the strongest encryption possible. Our devices and the apps on them contain astonishing amounts of personal information, so much that an unprecedented level of harm could be caused if a smartphone or device with an exploitable vulnerability is stolen, not least in the forms of identity fraud and credit card theft. We bank on our phones, and have access to credit card payments with services like Apple Pay. Our contact lists are stored on our phones, including phone numbers, emails, social media accounts, and addresses. Passwords are often stored on people’s phones. And phones and apps are often full of personal details about their lives, from food diaries to logs of favorite places to personal photographs. Symantec conducted a study, where the company spread 50 “lost” phones in public to see what people who picked up the phones would do with them. The company found that 95 percent of those people tried to access the phone, and while nearly 90 percent tried to access private information stored on the phone or in other private accounts such as banking services and email, only 50 percent attempted contacting the owner.
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  • Vance attempts to downplay this serious risk by asserting that anyone can use the “Find My Phone” or Android Device Manager services that allow owners to delete the data on their phones if stolen. However, this does not stand up to scrutiny. These services are effective only when an owner realizes their phone is missing and can take swift action on another computer or device. This delay ensures some period of vulnerability. Encryption, on the other hand, protects everyone immediately and always. Additionally, Vance argues that it is safer to build backdoors into encrypted devices than it is to do so for encrypted communications in transit. It is true that there is a difference in the threats posed by the two types of encryption backdoors that are being debated. However, some manner of widespread vulnerability will inevitably result from a backdoor to encrypted devices. Indeed, the NSA and GCHQ reportedly hacked into a database to obtain cell phone SIM card encryption keys in order defeat the security protecting users’ communications and activities and to conduct surveillance. Clearly, the reality is that the threat of such a breach, whether from a hacker or a nation state actor, is very real. Even if companies go the extra mile and create a different means of access for every phone, such as a separate access key for each phone, significant vulnerabilities will be created. It would still be possible for a malicious actor to gain access to the database containing those keys, which would enable them to defeat the encryption on any smartphone they took possession of. Additionally, the cost of implementation and maintenance of such a complex system could be high.
  • Privacy is another concern that Vance dismisses too easily. Despite Vance’s arguments otherwise, building backdoors into device encryption undermines privacy. Our government does not impose a similar requirement in any other context. Police can enter homes with warrants, but there is no requirement that people record their conversations and interactions just in case they someday become useful in an investigation. The conversations that we once had through disposable letters and in-person conversations now happen over the Internet and on phones. Just because the medium has changed does not mean our right to privacy has.
  • In addition to his weak reasoning for why it would be feasible to create backdoors to encrypted devices without creating undue security risks or harming privacy, Vance makes several flawed policy-based arguments in favor of his proposal. He argues that criminals benefit from devices that are protected by strong encryption. That may be true, but strong encryption is also a critical tool used by billions of average people around the world every day to protect their transactions, communications, and private information. Lawyers, doctors, and journalists rely on encryption to protect their clients, patients, and sources. Government officials, from the President to the directors of the NSA and FBI, and members of Congress, depend on strong encryption for cybersecurity and data security. There are far more innocent Americans who benefit from strong encryption than there are criminals who exploit it. Encryption is also essential to our economy. Device manufacturers could suffer major economic losses if they are prohibited from competing with foreign manufacturers who offer more secure devices. Encryption also protects major companies from corporate and nation-state espionage. As more daily business activities are done on smartphones and other devices, they may now hold highly proprietary or sensitive information. Those devices could be targeted even more than they are now if all that has to be done to access that information is to steal an employee’s smartphone and exploit a vulnerability the manufacturer was required to create.
  • Vance also suggests that the US would be justified in creating such a requirement since other Western nations are contemplating requiring encryption backdoors as well. Regardless of whether other countries are debating similar proposals, we cannot afford a race to the bottom on cybersecurity. Heads of the intelligence community regularly warn that cybersecurity is the top threat to our national security. Strong encryption is our best defense against cyber threats, and following in the footsteps of other countries by weakening that critical tool would do incalculable harm. Furthermore, even if the US or other countries did implement such a proposal, criminals could gain access to devices with strong encryption through the black market. Thus, only innocent people would be negatively affected, and some of those innocent people might even become criminals simply by trying to protect their privacy by securing their data and devices. Finally, Vance argues that David Kaye, UN Special Rapporteur for Freedom of Expression and Opinion, supported the idea that court-ordered decryption doesn’t violate human rights, provided certain criteria are met, in his report on the topic. However, in the context of Vance’s proposal, this seems to conflate the concepts of court-ordered decryption and of government-mandated encryption backdoors. The Kaye report was unequivocal about the importance of encryption for free speech and human rights. The report concluded that:
  • States should promote strong encryption and anonymity. National laws should recognize that individuals are free to protect the privacy of their digital communications by using encryption technology and tools that allow anonymity online. … States should not restrict encryption and anonymity, which facilitate and often enable the rights to freedom of opinion and expression. Blanket prohibitions fail to be necessary and proportionate. States should avoid all measures that weaken the security that individuals may enjoy online, such as backdoors, weak encryption standards and key escrows. Additionally, the group of intelligence experts that was hand-picked by the President to issue a report and recommendations on surveillance and technology, concluded that: [R]egarding encryption, the U.S. Government should: (1) fully support and not undermine efforts to create encryption standards; (2) not in any way subvert, undermine, weaken, or make vulnerable generally available commercial software; and (3) increase the use of encryption and urge US companies to do so, in order to better protect data in transit, at rest, in the cloud, and in other storage.
  • The clear consensus among human rights experts and several high-ranking intelligence experts, including the former directors of the NSA, Office of the Director of National Intelligence, and DHS, is that mandating encryption backdoors is dangerous. Unaddressed Concerns: Preventing Encrypted Devices from Entering the US and the Slippery Slope In addition to the significant faults in Vance’s arguments in favor of his proposal, he fails to address the question of how such a restriction would be effectively implemented. There is no effective mechanism for preventing code from becoming available for download online, even if it is illegal. One critical issue the Vance proposal fails to address is how the government would prevent, or even identify, encrypted smartphones when individuals bring them into the United States. DHS would have to train customs agents to search the contents of every person’s phone in order to identify whether it is encrypted, and then confiscate the phones that are. Legal and policy considerations aside, this kind of policy is, at the very least, impractical. Preventing strong encryption from entering the US is not like preventing guns or drugs from entering the country — encrypted phones aren’t immediately obvious as is contraband. Millions of people use encrypted devices, and tens of millions more devices are shipped to and sold in the US each year.
  • Finally, there is a real concern that if Vance’s proposal were accepted, it would be the first step down a slippery slope. Right now, his proposal only calls for access to smartphones and devices running mobile operating systems. While this policy in and of itself would cover a number of commonplace devices, it may eventually be expanded to cover laptop and desktop computers, as well as communications in transit. The expansion of this kind of policy is even more worrisome when taking into account the speed at which technology evolves and becomes widely adopted. Ten years ago, the iPhone did not even exist. Who is to say what technology will be commonplace in 10 or 20 years that is not even around today. There is a very real question about how far law enforcement will go to gain access to information. Things that once seemed like merely science fiction, such as wearable technology and artificial intelligence that could be implanted in and work with the human nervous system, are now available. If and when there comes a time when our “smart phone” is not really a device at all, but is rather an implant, surely we would not grant law enforcement access to our minds.
  • Policymakers should dismiss Vance’s proposal to prohibit the use of strong encryption to protect our smartphones and devices in order to ensure law enforcement access. Undermining encryption, regardless of whether it is protecting data in transit or at rest, would take us down a dangerous and harmful path. Instead, law enforcement and the intelligence community should be working to alter their skills and tactics in a fast-evolving technological world so that they are not so dependent on information that will increasingly be protected by encryption.
Paul Merrell

Exclusive: Tim Berners-Lee tells us his radical new plan to upend the - 1 views

  • “The intent is world domination,” Berners-Lee says with a wry smile. The British-born scientist is known for his dry sense of humor. But in this case, he is not joking.This week, Berners-Lee will launch Inrupt, a startup that he has been building, in stealth mode, for the past nine months. Backed by Glasswing Ventures, its mission is to turbocharge a broader movement afoot, among developers around the world, to decentralize the web and take back power from the forces that have profited from centralizing it. In other words, it’s game on for Facebook, Google, Amazon. For years now, Berners-Lee and other internet activists have been dreaming of a digital utopia where individuals control their own data and the internet remains free and open. But for Berners-Lee, the time for dreaming is over.
  • In a post published this weekend, Berners-Lee explains that he is taking a sabbatical from MIT to work full time on Inrupt. The company will be the first major commercial venture built off of Solid, a decentralized web platform he and others at MIT have spent years building.
  • f all goes as planned, Inrupt will be to Solid what Netscape once was for many first-time users of the web: an easy way in. And like with Netscape, Berners-Lee hopes Inrupt will be just the first of many companies to emerge from Solid.
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  • On his screen, there is a simple-looking web page with tabs across the top: Tim’s to-do list, his calendar, chats, address book. He built this app–one of the first on Solid–for his personal use. It is simple, spare. In fact, it’s so plain that, at first glance, it’s hard to see its significance. But to Berners-Lee, this is where the revolution begins. The app, using Solid’s decentralized technology, allows Berners-Lee to access all of his data seamlessly–his calendar, his music library, videos, chat, research. It’s like a mashup of Google Drive, Microsoft Outlook, Slack, Spotify, and WhatsApp.The difference here is that, on Solid, all the information is under his control. Every bit of data he creates or adds on Solid exists within a Solid pod–which is an acronym for personal online data store. These pods are what give Solid users control over their applications and information on the web. Anyone using the platform will get a Solid identity and Solid pod. This is how people, Berners-Lee says, will take back the power of the web from corporations.
  • For example, one idea Berners-Lee is currently working on is a way to create a decentralized version of Alexa, Amazon’s increasingly ubiquitous digital assistant. He calls it Charlie. Unlike with Alexa, on Charlie people would own all their data. That means they could trust Charlie with, for example, health records, children’s school events, or financial records. That is the kind of machine Berners-Lee hopes will spring up all over Solid to flip the power dynamics of the web from corporation to individuals.
  • Berners-Lee believes Solid will resonate with the global community of developers, hackers, and internet activists who bristle over corporate and government control of the web. “Developers have always had a certain amount of revolutionary spirit,” he observes. Circumventing government spies or corporate overlords may be the initial lure of Solid, but the bigger draw will be something even more appealing to hackers: freedom. In the centralized web, data is kept in silos–controlled by the companies that build them, like Facebook and Google. In the decentralized web, there are no silos.Starting this week, developers around the world will be able to start building their own decentralized apps with tools through the Inrupt site. Berners-Lee will spend this fall crisscrossing the globe, giving tutorials and presentations to developers about Solid and Inrupt.
  • When asked about this, Berners-Lee says flatly: “We are not talking to Facebook and Google about whether or not to introduce a complete change where all their business models are completely upended overnight. We are not asking their permission.”Game on.
Paul Merrell

Google Is Constantly Tracking, Even If You Turn Off Device 'Location History' | Zero Hedge - 1 views

  • In but the latest in a continuing saga of big tech tracking and surveillance stories which should serve to convince us all we are living in the beginning phases of a Minority Report style tracking and pansophical "pre-crime" system, it's now confirmed that the world's most powerful tech company and search tool will always find a way to keep your location data. The Associated Press sought the help of Princeton researchers to prove that while Google is clear and upfront about giving App users the ability to turn off or "pause" Location History on their devices, there are other hidden means through which it retains the data.
  • According to the AP report: Google says that will prevent the company from remembering where you’ve been. Google’s support page on the subject states: “You can turn off Location History at any time. With Location History off, the places you go are no longer stored.” That isn’t true. Even with Location History paused, some Google apps automatically store time-stamped location data without asking. For example, Google stores a snapshot of where you are when you merely open its Maps app. Automatic daily weather updates on Android phones pinpoint roughly where you are. And some searches that have nothing to do with location, like “chocolate chip cookies,” or “kids science kits,” pinpoint your precise latitude and longitude — accurate to the square foot — and save it to your Google account. The issue directly affects around two billion people using Google's Android operating software and iPhone users relying on Google maps or a simple search. Among the computer science researchers at Princeton conducting the tests is Jonathan Mayer, who told the AP, “If you’re going to allow users to turn off something called ‘Location History,’ then all the places where you maintain location history should be turned off,” and added, “That seems like a pretty straightforward position to have.”
Paul Merrell

Open Access Can't Wait. Pass FASTR Now. | Electronic Frontier Foundation - 1 views

  • When you pay for federally funded research, you should be allowed to read it. That’s the idea behind the Fair Access to Science and Technology Research Act (S.1701, H.R.3427), which was recently reintroduced in both houses of Congress. FASTR was first introduced in 2013, and while it has strong support in both parties, it has never gained enough momentum to pass. We need to change that. Let’s tell Congress that passing an open access law should be a top priority.
  • Tell Congress: It’s time to move FASTR The proposal is pretty simple: Under FASTR, every federal agency that spends more than $100 million on grants for research would be required to adopt an open access policy. The bill gives each agency flexibility to implement an open access policy suited to the work it funds, so long as research is available to the public after an “embargo period” of a year or less. One of the major points of contention around FASTR is how long that embargo period should be. Last year, the Senate Homeland Security and Governmental Affairs Committee approved FASTR unanimously, but only after extending that embargo period from six months to 12, putting FASTR in line with the 2013 White House open access memo. That’s the version that was recently reintroduced in the Senate.  The House bill, by contrast, sets the embargo period at six months. EFF supports a shorter period. Part of what’s important about open access is that it democratizes knowledge: when research is available to the public, you don’t need expensive journal subscriptions or paid access to academic databases in order to read it. A citizen scientist can use and build on the same body of knowledge as someone with institutional connections. But in the fast-moving world of scientific research, 12 months is an eternity. A shorter embargo is far from a radical proposition, especially in 2017. The landscape for academic publishing is very different from what it was when FASTR was first introduced, thanks in larger part to nongovernmental funders who already enforce open access mandates. Major foundations like Ford, Gates, and Hewlett have adopted strong open access policies requiring that research be not only available to the public, but also licensed to allow republishing and reuse by anyone.
  • Just last year, the Gates Foundation made headlines when it dropped the embargo period from its policy entirely, requiring that research be published openly immediately. After a brief standoff, major publishers began to accommodate Gates’ requirements. As a result, we finally have public confirmation of what we’ve always known: open access mandates don’t put publishers out of business; they push them to modernize their business models. Imagine how a strong open access mandate for government-funded research—with a requirement that that research be licensed openly—could transform publishing. FASTR may not be that law, but it’s a huge step in the right direction, and it’s the best option on the table today. Let’s urge Congress to pass a version of FASTR with an embargo period of six months or less, and then use it as a foundation for stronger open access in the future.
Paul Merrell

Facebook Says It Is Deleting Accounts at the Direction of the U.S. and Israeli Governments - 0 views

  • In September of last year, we noted that Facebook representatives were meeting with the Israeli government to determine which Facebook accounts of Palestinians should be deleted on the ground that they constituted “incitement.” The meetings — called for and presided over by one of the most extremist and authoritarian Israeli officials, pro-settlement Justice Minister Ayelet Shaked — came after Israel threatened Facebook that its failure to voluntarily comply with Israeli deletion orders would result in the enactment of laws requiring Facebook to do so, upon pain of being severely fined or even blocked in the country. The predictable results of those meetings are now clear and well-documented. Ever since, Facebook has been on a censorship rampage against Palestinian activists who protest the decades-long, illegal Israeli occupation, all directed and determined by Israeli officials. Indeed, Israeli officials have been publicly boasting about how obedient Facebook is when it comes to Israeli censorship orders
  • Facebook now seems to be explicitly admitting that it also intends to follow the censorship orders of the U.S. government.
  • What this means is obvious: that the U.S. government — meaning, at the moment, the Trump administration — has the unilateral and unchecked power to force the removal of anyone it wants from Facebook and Instagram by simply including them on a sanctions list. Does anyone think this is a good outcome? Does anyone trust the Trump administration — or any other government — to compel social media platforms to delete and block anyone it wants to be silenced? As the ACLU’s Jennifer Granick told the Times: It’s not a law that appears to be written or designed to deal with the special situations where it’s lawful or appropriate to repress speech. … This sanctions law is being used to suppress speech with little consideration of the free expression values and the special risks of blocking speech, as opposed to blocking commerce or funds as the sanctions was designed to do. That’s really problematic.
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  • As is always true of censorship, there is one, and only one, principle driving all of this: power. Facebook will submit to and obey the censorship demands of governments and officials who actually wield power over it, while ignoring those who do not. That’s why declared enemies of the U.S. and Israeli governments are vulnerable to censorship measures by Facebook, whereas U.S and Israeli officials (and their most tyrannical and repressive allies) are not
  • All of this illustrates that the same severe dangers from state censorship are raised at least as much by the pleas for Silicon Valley giants to more actively censor “bad speech.” Calls for state censorship may often be well-intentioned — a desire to protect marginalized groups from damaging “hate speech” — yet, predictably, they are far more often used against marginalized groups: to censor them rather than protect them. One need merely look at how hate speech laws are used in Europe, or on U.S. college campuses, to see that the censorship victims are often critics of European wars, or activists against Israeli occupation, or advocates for minority rights.
  • It’s hard to believe that anyone’s ideal view of the internet entails vesting power in the U.S. government, the Israeli government, and other world powers to decide who may be heard on it and who must be suppressed. But increasingly, in the name of pleading with internet companies to protect us, that’s exactly what is happening.
Paul Merrell

"Alarming": Facebook Teams Up With Think-Tank Funded by Saudi Arabia and Military Contr... - 0 views

  • n a new project Facebook insists is a completely objective and nonpartisan effort to root out what it deems "disinformation," the social media giant announced on Thursday that it is partnering with the Atlantic Council—a prominent Washington-based think-tank funded by Saudi Arabia, major oil companies, defense contractors, and Charles Koch—to prevent its platform from "being abused during elections." "This is alarming," independent journalist Rania Khalek concluded in a tweet on Thursday. "The Atlantic Council—which is funded by gulf monarchies, western governments, NATO, oil and weapons companies, etc.—will now assist Facebook in suppressing what they decide is disinformation." According to its statement announcing the initiative, Facebook will "use the Atlantic Council's Digital Research Unit Monitoring Missions during elections and other highly sensitive moments."
  • While Facebook's statement fawned over the Atlantic Council's "stellar reputation," critics argued that the organization's reliance on donations from foreign oil monarchies and American plutocrats puts the lie to the project's stated mission of shielding the democratic process from manipulation and abuse. "Monopoly social media corporations teaming up with [the] pro-U.S. NatSec blob to determine truth was always the logical end of 'fake news' panic," Adam Johnson, a contributor at Fairness and Accuracy in Reporting (FAIR), argued on Twitter in response to Facebook's announcement.
  • According to a New York Times report from 2014, the Atlantic Council has received donations from at least 25 foreign nations since 2008, including the United Kingdom, Qatar, the United Arab Emirates, and Saudi Arabia.
Paul Merrell

The De-Americanization of Internet Freedom - Lawfare - 0 views

  • Why did the internet freedom agenda fail? Goldsmith’s essay tees up, but does not fully explore, a range of explanatory hypotheses. The most straightforward have to do with unrealistic expectations and unintended consequences. The idea that a minimally regulated internet would usher in an era of global peace, prosperity, and mutual understanding, Goldsmith tells us, was always a fantasy. As a project of democracy and human rights promotion, the internet freedom agenda was premised on a wildly overoptimistic view about the capacity of information flows, on their own, to empower oppressed groups and effect social change. Embracing this market-utopian view led the United States to underinvest in cybersecurity, social media oversight, and any number of other regulatory tools. In suggesting this interpretation of where U.S. policymakers and their civil society partners went wrong, Goldsmith’s essay complements recent critiques of the neoliberal strains in the broader human rights and transparency movements. Perhaps, however, the internet freedom agenda has faltered not because it was so naïve and unrealistic, but because it was so effective at achieving its realist goals. The seeds of this alternative account can be found in Goldsmith’s concession that the commercial non-regulation principle helped companies like Apple, Google, Facebook, and Amazon grab “huge market share globally.” The internet became an increasingly valuable cash cow for U.S. firms and an increasingly potent instrument of U.S. soft power over the past two decades; foreign governments, in due course, felt compelled to fight back. If the internet freedom agenda is understood as fundamentally a national economic project, rather than an international political or moral crusade, then we might say that its remarkable early success created the conditions for its eventual failure. Goldsmith’s essay also points to a third set of possible explanations for the collapse of the internet freedom agenda, involving its internal contradictions. Magaziner’s notion of a completely deregulated marketplace, if taken seriously, is incoherent. As Goldsmith and Tim Wu have discussed elsewhere, it takes quite a bit of regulation for any market, including markets related to the internet, to exist and to work. And indeed, even as Magaziner proposed “complete deregulation” of the internet, he simultaneously called for new legal protections against computer fraud and copyright infringement, which were soon followed by extensive U.S. efforts to penetrate foreign networks and to militarize cyberspace. Such internal dissonance was bound to invite charges of opportunism, and to render the American agenda unstable.
Paul Merrell

Google will lose up to 800 million users if Huawei ditches Android - Huawei CEO - 0 views

  • If one of the world’s leading smartphone makers, Huawei, turns away from Google’s Android operating system (OS), the US tech giant risks losing a huge number of users, Huawei’s CEO has warned. “[Huawei] will always be on the same line of interest, and if we don’t load Google’s system, Google will lose 700-800 million users in the future,” Ren Zhengfei said in an interview to CNBC.The Chinese telecommunications major was blacklisted last month by the Trump administration after Washington accused the company of spying for Beijing. Google, whose Android OS is used in many of Huawei’s phones, was among the American tech companies prohibited from dealing with Huawei.
  • Huawei said earlier that it is working on its own mobile operating system called Hongmeng and has already filed a trademark. In his interview, the CEO stressed that Hongmeng will allow the company to protect its growth if it is forced to replace Android, which Huawei does not want to do.
Paul Merrell

Is Apple an Illegal Monopoly? | OneZero - 0 views

  • That’s not a bug. It’s a function of Apple policy. With some exceptions, the company doesn’t let users pay app makers directly for their apps or digital services. They can only pay Apple, which takes a 30% cut of all revenue and then passes 70% to the developer. (For subscription services, which account for the majority of App Store revenues, that 30% cut drops to 15% after the first year.) To tighten its grip, Apple prohibits the affected apps from even telling users how they can pay their creators directly.In 2018, unwilling to continue paying the “Apple tax,” Netflix followed Spotify and Amazon’s Kindle books app in pulling in-app purchases from its iOS app. Users must now sign up elsewhere, such as on the company’s website, in order for the app to become usable. Of course, these brands are big enough to expect that many users will seek them out anyway.
  • Smaller app developers, meanwhile, have little choice but to play by Apple’s rules. That’s true even when they’re competing with Apple’s own apps, which pay no such fees and often enjoy deeper access to users’ devices and information.Now, a handful of developers are speaking out about it — and government regulators are beginning to listen. David Heinemeier Hansson, the co-founder of the project management software company Basecamp, told members of the U.S. House antitrust subcommittee in January that navigating the App Store’s fees, rules, and review processes can feel like a “Kafka-esque nightmare.”One of the world’s most beloved companies, Apple has long enjoyed a reputation for user-friendly products, and it has cultivated an image as a high-minded protector of users’ privacy. The App Store, launched in 2008, stands as one of its most underrated inventions; it has powered the success of the iPhone—perhaps the most profitable product in human history. The concept was that Apple and developers could share in one another’s success with the iPhone user as the ultimate beneficiary.
  • But critics say that gauzy success tale belies the reality of a company that now wields its enormous market power to bully, extort, and sometimes even destroy rivals and business partners alike. The iOS App Store, in their telling, is a case study in anti-competitive corporate behavior. And they’re fighting to change that — by breaking its choke hold on the Apple ecosystem.
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  • Whether Apple customers have a real choice in mobile platforms, once they’ve bought into the company’s ecosystem, is another question. In theory, they could trade in their pricey hardware for devices that run Android, which offers equivalents of many iOS features and apps. In reality, Apple has built its empire on customer lock-in: making its own gadgets and services work seamlessly with one another, but not with those of rival companies. Tasks as simple as texting your friends can become a migraine-inducing mess when you switch from iOS to Android. The more Apple products you buy, the more onerous it becomes to abandon ship.
  • The case against Apple goes beyond iOS. At a time when Apple is trying to reinvent itself as a services company to offset plateauing hardware sales — pushing subscriptions to Apple Music, Apple TV+, Apple News+, and Apple Arcade, as well as its own credit card — the antitrust concerns are growing more urgent. Once a theoretical debate, the question of whether its App Store constitutes an illegal monopoly is now being actively litigated on multiple fronts.
  • The company faces an antitrust lawsuit from consumers; a separate antitrust lawsuit from developers; a formal antitrust complaint from Spotify in the European Union; investigations by the Federal Trade Commission and the Department of Justice; and an inquiry by the antitrust subcommittee of the U.S House of Representatives. At stake are not only Apple’s profits, but the future of mobile software.Apple insists that it isn’t a monopoly, and that it strives to make the app store a fair and level playing field even as its own apps compete on that field. But in the face of unprecedented scrutiny, there are signs that the famously stubborn company may be feeling the pressure to prove it.
  • Tile is hardly alone in its grievances. Apple’s penchant for copying key features of third-party apps and integrating them into its operating system is so well-known among developers that it has a name: “Sherlocking.” It’s a reference to the time—in the early 2000s—when Apple kneecapped a popular third-party web-search interface for Mac OS X, called Watson. Apple built virtually all of Watson’s functionality into its own feature, called Sherlock.In a 2006 blog post, Watson’s developer, Karelia Software, recalled how Apple’s then-CEO Steve Jobs responded when they complained about the company’s 2002 power play. “Here’s how I see it,” Jobs said, according to Karelia founder Dan Wood’s loose paraphrase. “You know those handcars, the little machines that people stand on and pump to move along on the train tracks? That’s Karelia. Apple is the steam train that owns the tracks.”From an antitrust standpoint, the metaphor is almost too perfect. It was the monopoly power of railroads in the late 19th century — and their ability to make or break the businesses that used their tracks — that spurred the first U.S. antitrust regulations.There’s another Jobs quote that’s relevant here. Referencing Picasso’s famous saying, “Good artists copy, great artists steal,” Jobs said of Apple in 2006. “We have always been shameless about stealing great ideas.” Company executives later tried to finesse the quote’s semantics, but there’s no denying that much of iOS today is built on ideas that were not originally Apple’s.
Paul Merrell

Break up Amazon? Seattle Congresswoman Pramila Jayapal takes on tech giants | The Seatt... - 2 views

  • As a general rule, politicians don’t pick fights with their state’s biggest private employers, but Seattle Congresswoman Pramila Jayapal is doing just that, sponsoring legislation that would break up Amazon.Jayapal’s Ending Platform Monopolies Act is part of a broader, bipartisan effort in Congress to rein in the power of the Big Four tech giants: Amazon, Facebook, Apple and Google.Following up on a 16-month antitrust investigation completed last fall, House lawmakers this month unveiled five antitrust bills aimed at checking the power of the companies by limiting their abilities to gobble up or hamstring competitors.Jayapal’s proposal would allow the federal government to sue to force the Big Four tech firms to sell off lines of business deemed a “conflict of interest.” That would mean Amazon could no longer run its marketplace for third-party sellers while also competing against them with its own products. Similar divestments would be required of the other top tech firms, and all could face massive daily fines for noncompliance.
  • The focus on today’s ubiquitous big tech giants in some ways echoes past antitrust confrontations in the U.S. In the 1980s, the federal government forced the breakup of the Bell System phone monopoly. In the late 1990s, the U.S. sought to bust up Microsoft over its PC market stranglehold — a battle that ended in a 2002 settlement curbing some of its practices.The Big Four have inspired blowback from across the political spectrum, though not always for the same reasons. All five of the House bills rolled out last week had both Democratic and Republican co-sponsors — producing some unusual alliances.
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