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Director of National Intelligence James Clapper this morning released a report detailing new rules aimed at reforming the way signals intelligence is collected and stored by certain members of the United States Intelligence Community (IC). The long-awaited changes follow up on an order announced by President Obama one year ago that laid out the White House’s principles governing the collection of signals intelligence. That order, commonly known as PPD-28, purports to place limits on the use of data collected in bulk and to increase privacy protections related to the data collected, regardless of nationality. Accordingly, most of the changes presented as “new” by Clapper’s office  (ODNI) stem directly from the guidance provided in PPD-28, and so aren’t truly new. And of the biggest changes outlined in the report, there are still large exceptions that appear to allow the government to escape the restrictions with relative ease. Here’s a quick rundown.

National security letters (NSLs). The report also states that the FBI’s gag orders related to NSLs expire three years after the opening of a full-blown investigation or three years after an investigation’s close, whichever is earlier. However, these expiration dates can be easily overridden by by an FBI Special Agent in Charge or a Deputy Assistant FBI Director who finds that the statutory standards for secrecy about the NSL continue to be satisfied (which at least one court has said isn’t a very high bar). This exception also doesn’t address concerns that NSL gag orders lack adequate due process protections, lack basic judicial oversight, and may violate the First Amendment.

Retention policy for non-U.S. persons. The new rules say that the IC must now delete information about “non-U.S. persons” that’s been gathered via signals intelligence after five-years. However, there is a loophole that will let spies hold onto that information indefinitely whenever the Director of National Intelligence determines (after considering the views of the ODNI’s Civil Liberties Protection Officer) that retaining information is in the interest of national security. The new rules don’t say whether the exceptions will be directed at entire groups of people or individual surveillance targets.  Section 215 metadata. Updates to the rules concerning the use of data collected under Section 215 of the Patriot Act includes the requirement that the Foreign Intelligence Surveillance Court (rather than authorized NSA officials) must determine spies have “reasonable, articulable suspicion” prior to query Section 215 data, outside of emergency circumstances. What qualifies as an emergency for these purposes? We don’t know. Additionally, the IC is now limited to two “hops” in querying the database. This means that spies can only play two degrees of Kevin Bacon, instead of the previously allowed three degrees, with the contacts of anyone targeted under Section 215. The report doesn’t explain what would prevent the NSA (or other agency using the 215 databases) from getting around this limit by redesignating a phone number found in the first or second hop as a new “target,” thereby allowing the agency to continue the contact chain.

For the past few months I’ve been covering U.S. government funding of popular Internet privacy tools like Tor, CryptoCat and Open Whisper Systems. During my reporting, one agency in particular keeps popping up: An agency with one of those really bland names that masks its wild, bizarre history: the Broadcasting Board of Governors, or BBG. The BBG was formed in 1999 and runs on a $721 million annual budget. It reports directly to Secretary of State John Kerry and operates like a holding company for a host of Cold War-era CIA spinoffs and old school “psychological warfare” projects: Radio Free Europe, Radio Free Asia, Radio Martí, Voice of America, Radio Liberation from Bolshevism (since renamed “Radio Liberty”) and a dozen other government-funded radio stations and media outlets pumping out pro-American propaganda across the globe. Today, the Congressionally-funded federal agency is also one of the biggest backers of grassroots and open-source Internet privacy technology. These investments started in 2012, when the BBG launched the “Open Technology Fund” (OTF) — an initiative housed within and run by Radio Free Asia (RFA), a premier BBG property that broadcasts into communist countries like North Korea, Vietnam, Laos, China and Myanmar. The BBG endowed Radio Free Asia’s Open Technology Fund with a multimillion dollar budget and a single task: “to fulfill the U.S. Congressional global mandate for Internet freedom.”

Here’s a small sample of what the Broadcasting Board of Governors funded (through Radio Free Asia and then through the Open Technology Fund) between 2012 and 2014: Open Whisper Systems, maker of free encrypted text and voice mobile apps like TextSecure and Signal/RedPhone, got a generous $1.35-million infusion. (Facebook recently started using Open Whisper Systems to secure its WhatsApp messages.) CryptoCat, an encrypted chat app made by Nadim Kobeissi and promoted by EFF, received $184,000. LEAP, an email encryption startup, got just over $1 million. LEAP is currently being used to run secure VPN services at RiseUp.net, the radical anarchist communication collective. A Wikileaks alternative called GlobaLeaks (which was endorsed by the folks at Tor, including Jacob Appelbaum) received just under $350,000. The Guardian Project — which makes an encrypted chat app called ChatSecure, as well a mobile version of Tor called Orbot — got $388,500. The Tor Project received over $1 million from OTF to pay for security audits, traffic analysis tools and set up fast Tor exit nodes in the Middle East and South East Asia.

"Today at the first annual Code Conference, Microsoft demonstrated its new real-time translation in Skype publicly for the first time. Gurdeep Pall, Microsoft's VP of Skype and Lync, compares the technology to Star Trek's Universal Translator. During the demonstration, Pall converses in English with a coworker in Germany who is speaking German. 'Skype Translator results from decades of work by the industry, years of work by our researchers, and now is being developed jointly by the Skype and Microsoft Translator teams. The demo showed near real-time audio translation from English to German and vice versa, combining Skype voice and IM technologies with Microsoft Translator, and neural network-based speech recognition.'"

The Berkeley City Council is poised to vote March 13 on the Surveillance Technology Use and Community Safety Ordinance, which will significantly protect people's right to privacy and safeguard the civil liberties of Berkeley residents in this age of surveillance and Big Data. The ordinance is based on an ACLU model that was first enacted by Santa Clara County in 2016. The Los Angeles Times has editorialized that the ACLU's model ordinance approach "is so pragmatic that cities, counties, and law enforcement agencies throughout California would be foolish not to embrace it." Berkeley's Peace and Justice and Police Review commissions agreed and unanimously approved a draft that will be presented to the council on Tuesday. The ordinance requires public notice and public debate prior to seeking funding, acquiring equipment, or otherwise moving forward with surveillance technology proposals. In neighboring Oakland, we saw the negative outcome that can occur from lack of such a discussion, when the city's administration pursued funding for, and began building, the citywide surveillance network known as the Domain Awareness Center ("DAC") without community input. Ultimately, the community rejected the project, and the fallout led to the establishment of a Privacy Advisory Commission and subsequent consideration of a similar surveillance ordinance to ensure proper vetting occurs up front, not after the fact. ✖ Play VideoPauseUnmuteCurrent Time 0:00/Duration Time 0:00Loaded: 0%Progress: 0%Stream TypeLIVERemaining Time -0:00 Playback Rate1ChaptersChaptersdescriptions off, selectedDescriptionssubtitles off, selectedSubtitlescaptions settings, opens captions settings dialogcaptions off, selectedCaptionsAudio TrackFullscreenThis is a modal window.Caption Settings DialogBeginning of dialog window. Escape will cancel and close the window.

The European Commission, on January 24, published its guidance aimed to facilitate a direct and smooth application of the European Union’s new data protection rules across the EU as of 25 May. The Commission also launches a new online tool dedicated to SMEs.

With just over 100 days left before the application of the new law, the guidance outlines what the European Commission, national data protection authorities and national administrations, according to the Commission, should still do to bring the preparation to a successful completion. The Commission notes that while the new regulation provides for a single set of rules directly applicable in all Member States, it will still require significant adjustments in certain aspects, like amending existing laws by EU governments or setting up the European Data Protection Board by data protection authorities. The Commission states that the guidance recalls the main innovations, opportunities opened up by the new rules, takes stock of the preparatory work already undertaken and outlines the work still ahead of the European Commission, national data protection authorities and national administrations. Andrus Ansip, European Commission Vice-President for the Digital Single Market, said: “Our digital future can only be built on trust. Everyone’s privacy has to be protected. Strengthened EU data protection rules will become a reality on 25 May. It is a major step forward and we are committed to making it a success for everyone.” Vĕra Jourová, Commissioner for Justice, Consumers and Gender Equality, added:” In today’s world, the way we handle data will determine to a large extent our economic future and personal safety. We need modern rules to respond to new risks, so we call on EU governments, authorities and businesses to use the remaining time efficiently and fulfil their roles in the preparations for the big day.”

The guidance recalls the main elements of the new data protection rules: One set of rules across the continent, guaranteeing legal certainty for businesses and the same data protection level across the EU for citizens. Same rules apply to all companies offering services in the EU, even if these companies are based outside the EU. Stronger and new rights for citizens: the right to information, access and the right to be forgotten are strengthened. A new right to data portability allows citizens to move their data from one company to the other. This will give companies new business opportunities. Stronger protection against data breaches: a company experiencing a data breach, which put individuals at risk, has to notify the data protection authority within 72 hours. Rules with teeth and deterrent fines: all data protection authorities will have the power to impose fines for up to EUR 20 million or, in the case of a company, 4% of the worldwide annual turnover.

One of the few positive things in the ill-named USA FREEDOM Act, enacted in 2015 after the Snowden revelations on NSA domestic spying, is that it required the Director of National Intelligence to regularly report on its domestic surveillance activities. On Friday, the latest report was released on just how much our own government is spying on us. The news is not good at all if you value freedom over tyranny.According to the annual report, named the Statistical Transparency Report Regarding Use of National Security Authorities, the US government intercepted and stored information from more than a half-billion of our telephone calls and text messages in 2017. That is a 300 percent increase from 2016. All of these intercepts were “legal” under the Foreign Intelligence Surveillance Act (FISA), which is ironic because FISA was enacted to curtail the Nixon-era abuse of surveillance on American citizens.Has the US government intercepted your phone calls and/or text messages? You don’t know, which is why the surveillance state is so evil. Instead of assuming your privacy is protected by the US Constitution, you must assume that the US government is listening in to your communications. The difference between these is the difference between freedom and tyranny. The ultimate triumph of totalitarian states was not to punish citizens for opposing its tyranny, but to successfully cause them to censor themselves before even expressing “subversive” thoughts.

While there is considerable telecom hubris regarding the 5G rollout and increasing speculation that the next generation of wireless is not yet ready for Prime Time, the industry continues to make promises to Rural America that it has no intention of fulfilling. Decades-long promises to deliver digital Utopia to rural America by T-Mobile, Verizon and AT&T have never materialized.  

In 2017, the USDA reported that 29% of American farms had no internet access. The FCC says that 14 million rural Americans and 1.2 million Americans living on tribal lands do not have 4G LTE on their phones, and that 30 million rural residents do not have broadband service compared to 2% of urban residents.  It’s beginning to sound like a Third World country. Despite an FCC $4.5 billion annual subsidy to carriers to provide broadband service in rural areas, the FCC reports that ‘over 24 million Americans do not have access to high-speed internet service, the bulk of them in rural area”while a  Microsoft Study found that  “162 million people across the US do not have internet service at broadband speeds.” At the same time, only three cable companies have access to 70% of the market in a sweetheart deal to hike rates as they avoid competition and the FCC looks the other way.  The FCC believes that it would cost $40 billion to bring broadband access to 98% of the country with expansion in rural America even more expensive.  While the FCC has pledged a $2 billion, ten year plan to identify rural wireless locations, only 4 million rural American businesses and homes will be targeted, a mere drop in the bucket. Which brings us to rural mapping: Since the advent of the digital age, there have been no accurate maps identifying where broadband service is available in rural America and where it is not available.  The FCC has a long history of promulgating unreliable and unverified carrier-provided numbers as the Commission has repeatedly ‘bungled efforts to produce accurate broadband maps” that would have facilitated rural coverage. During the Senate Commerce Committee hearing on April 10th regarding broadband mapping, critical testimony questioned whether the FCC and/or the telecom industry have either the commitment or the proficiency to provide 5G to rural America.  Members of the Committee shared concerns that 5G might put rural America further behind the curve so as to never catch up with the rest of the country

The White House on Wednesday made public for the first time the rules by which the government decides to disclose or keep secret software flaws that can be turned into cyberweapons — whether by U.S. agencies hacking for foreign intelligence, money-hungry criminals or foreign spies seeking to penetrate American computers. The move to publish an un­classified charter responds to years of criticism that the process was unnecessarily opaque, fueling suspicion that it cloaked a stockpile of software flaws that the National Security Agency was hoarding to go after foreign targets but that put Americans’ cyber­security at risk.

The rules are part of the “Vulnerabilities Equities Process,” which the Obama administration revamped in 2014 as a multi­agency forum to debate whether and when to inform companies such as Microsoft and Juniper that the government has discovered or bought a software flaw that, if weaponized, could affect the security of their product. The Trump administration has mostly not altered the rules under which the government reaches a decision but is disclosing its process. Under the VEP, an “equities review board” of at least a dozen national security and civilian agencies will meet monthly — or more often, if a need arises — to discuss newly discovered vulnerabilities. Besides the NSA, the CIA and the FBI, the list includes the Treasury, Commerce and State departments, and the Office of Management and Budget. The priority is on disclosure, the policy states, to protect core Internet systems, the U.S. economy and critical infrastructure, unless there is “a demonstrable, overriding interest” in using the flaw for intelligence or law enforcement purposes. The government has long said that it discloses the vast majority — more than 90 percent — of the vulnerabilities it discovers or buys in products from defense contractors or other sellers. In recent years, that has amounted to more than 100 a year, according to people familiar with the process. But because the process was classified, the National Security Council, which runs the discussion, was never able to reveal any numbers. Now, Joyce said, the number of flaws disclosed and the number retained will be made public in an annual report. A classified version will be sent to Congress, he said.

Such profiteering tactics have disproportionately affected low-income and rural communities. ISPs have long redlined these demographic groups, creating what’s commonly known as the “digital divide.” Thirty-nine percent of Americans lack access to service fast enough to meet the federal definition of broadband. More than 50 percent of adults with household incomes below $30,000 have home broadband—a problem plaguing users of color most acutely. In contrast, internet access is near-universal for households with an annual income of $100,000 or more. The reason for such chasms is simple: Private network providers prioritize only those they expect to provide a return on investment, thus excluding poor and sparsely populated areas.

Chattanooga, Tennessee, has seen more success in addressing redlining. Since 2010, the city has offered public broadband via its municipal power organization, Electric Power Board (EPB). The project has become a rousing success: At half the price, its service is approximately 85 percent faster than that of Comcast, the region’s primary ISP prior to EPB’s inception. Coupled with a discounted program for low-income residents, Chattanooga’s publicly run broadband reaches about 82,000 residents—more than half of the area’s Internet users—and is only expected to grow. Chattanooga’s achievements have radiated to other locales. More than 450 communities have introduced publicly-owned broadband. And more than 110 communities in 24 states have access to publicly owned networks with one gigabit-per-second (Gbps) service. (AT&T, for example, has yet to introduce speeds this high.) Seattle City Councilmember Kshama Sawant proposed a pilot project in 2015 and has recently urged her city to invest in municipal broadband. Hawaii congressperson Kaniela Ing is drafting a bill for publicly-owned Internet for the state legislature to consider next year. In November, residents of Fort Collins, Colo. voted to authorize the city to build municipal broadband infrastructure.

The European Union unveiled landmark legislation on Tuesday that lays out strict rules for tech giants to do business in the bloc. The draft legislation, dubbed the Digital Services Act (DSA) and the Digital Markets Act (DMA), outlines specific regulations that seek to limit the power of global internet firms on the European market. Companies including Google, Apple, Amazon, Facebook and others could face hefty penalties for violating the rules. EU antitrust czar Margrethe Vestager and EU digital chief Thierry Breton presented the draft on Tuesday, after the content of the new rules was leaked to the media on Monday.

What's in the draft laws? The dual legislation sets out a list of do's, don'ts and penalties for internet giants: Companies with over 45 million EU users would be designated as digital "gatekeepers" — making them subject to stricter regulations. Firms could be fined up to 10% of their annual turnover for violating competition rules. The could also be required to sell one of their businesses or parts of it (including rights or brands). Platforms that refuse to comply and "endanger people's life and safety" could have their service temporarily suspended "as a last resort." Companies would need to inform the EU ahead of any planned mergers or acquisitions. Certain kinds of data must be shared with regulators and rivals. Companies favoring their own services could be outlawed. Platforms would be more responsible for illegal, disturbing or misleading content.

Following the announcement on Tuesday, US internet giant Google criticized the draft legislation, saying it appeared to target specific firms.  "We will carefully study the proposals made by the European Commission over the next few days. However, we are concerned that they seem to specifically target a handful of companies," said Karan Bhatia, the vice president of government affairs and public affairs at Google. Facebook appeared to offer a more conciliatory tone, saying the legislation was "on the right track."

French privacy watchdog, the Commission Nationale de l’Informatique et des Libertés (CNIL), has hit Google with a 150 million euro fine and Facebook with a 60 million euro fine, because their websites—google.fr, youtube.com, and facebook.com—don’t make refusing cookies as easy as accepting them. The CNIL carried out an online investigation after receiving complaints from users about the way cookies were handled on these sites. It found that while the sites offered buttons for allowing immediate acceptance of cookies, the sites didn’t implement an equivalent solution to let users refuse them. Several clicks were required to refuse all cookies, against a single one to accept them. In addition to the fines, the companies have been given three months to provide Internet users in France with a way to refuse cookies that’s as simple as accepting them. If they don’t, the companies will have to pay a penalty of 100,000 euros for each day they delay.

EU data protection regulators’ powers have increased significantly since the General Data Protection Regulation (GDPR) took effect in May 2018. This EU law allows watchdogs to levy penalties of as much as 4% of a company’s annual global sales. The restricted committee, the body in charge of sanctions, considered that the process regarding cookies affects the freedom of consent of Internet users and constitutes an infringement of the French Data Protection Act, which demands that it should be as easy to refuse cookies as to accept them. Since March 31, 2021, when the deadline set for websites and mobile applications to comply with the new rules on cookies expired, the CNIL has adopted nearly 100 corrective measures (orders and sanctions) related to non-compliance with the legislation on cookies.

European Union regulators filed antitrust charges Tuesday against Amazon, accusing the e-commerce giant of using its access to data from companies that sell products on its platform to gain an unfair advantage over them.The charges, filed two years after the bloc’s antitrust enforcer began looking into the company, are the latest effort by European regulators to curb the power of big technology companies. Margrethe Vestager, the EU commissioner in charge of competition issues, has slapped Google with antitrust fines totaling nearly $10 billion and opened twin antitrust investigations this summer into Apple. The EU’s executive Commission also opened a second investigation Tuesday into whether Amazon favors product offers and merchants that use its own logistics and delivery system.

The EU investigation found that Amazon is accessing and analyzing real-time data from other vendors that sell goods on its platform to help it decide which new products of its own to launch and how to price and market them. That “appears to distort genuine competition,” Vestager said.Investigators focused on that practice in France and Germany, the company’s two biggest markets in the EU, but Vestager didn’t give specific examples of merchants affected by Amazon’s behavior.The stakes have risen for retailers as many European countries have shut nonessential shops temporarily to try to contain the coronavirus pandemic, pushing more shopping online, where Amazon is a major presence. Advertising Skip AdSkip AdSkip Ad Amazon faces a possible fine of up to 10% of its annual worldwide revenue. That could amount to as much as $28 billion, based on its 2019 earnings. The Seattle-based company rejected the accusations.

Meta could shut down Facebook and Instagram throughout Europe if regulators are unable to hammer out a permanent data transfer deal, the company warned in a recent SEC filing. The claim from Mark Zuckerberg’s company came as officials in the European Union and US attempt to craft a new trans-Atlantic data transfer agreement. The EU’s Court of Justice struck down a previous agreement, dubbed Privacy Shield, in 2020, due to concerns it could not ensure data security for Europeans once it is sent to the US. Without a transnational deal in place, Meta could face legal and regulatory obstacles when it transfers user data, which plays a key role in its lucrative advertising business that comprises the bulk of the company’s annual revenue. “If a new transatlantic data transfer framework is not adopted and we are unable to continue to rely on SCCs (standard contractual clauses) or rely upon other alternative means of data transfers from Europe to the United States, we will likely be unable to offer a number of our most significant products and services, including Facebook and Instagram, in Europe,” Meta officials said in the filing.