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Gonzalo San Gil, PhD.

EU Adopts 'Net Neutrality' Rules, Keeps Loopholes Open - TorrentFreak - 0 views

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    " Ernesto on October 27, 2015 C: 25 Breaking The European Parliament adopted Europe's first net neutrality rules today, as part of the new telecoms package. However, many net neutrality proponents see the new regulation as a loss rather than a win, as it leaves the door open for widespread throttling and paid prioritization."
Gonzalo San Gil, PhD.

Europe's 'Net Neutrality' Could Allow Torrent and VPN Throttling - TorrentFreak - 0 views

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    " By Ernesto on October 22, 2015 C: 65 News Next week the European Parliament will vote on Europe's new telecoms regulation which includes net neutrality rules. While the legislation is a step forward for many countries, experts and activists warn that it may leave the door open for BitTorrent and VPN throttling if key amendments fail to pass. "
Paul Merrell

Alexa and Siri Can Hear This Hidden Command. You Can't. - The New York Times - 0 views

  • Over the last two years, researchers in China and the United States have begun demonstrating that they can send hidden commands that are undetectable to the human ear to Apple’s Siri, Amazon’s Alexa and Google’s Assistant. Inside university labs, the researchers have been able to secretly activate the artificial intelligence systems on smartphones and smart speakers, making them dial phone numbers or open websites. In the wrong hands, the technology could be used to unlock doors, wire money or buy stuff online — simply with music playing over the radio.
  • Researchers can now send secret audio instructions undetectable to the human ear to Apple’s Siri, Amazon’s Alexa and Google’s Assistant.
Paul Merrell

Ad industry threatens Firefox users with more ads if Mozilla moves on tracking plans | ... - 0 views

  • The online ad industry has attacked Mozilla over its decision to block third-party cookies in a future release of Firefox, calling the move "dangerous and highly disturbing," and claiming that it will result in more ads shown to users. The fierce reaction came from the Interactive Advertising Bureau (IAB) and Association of National Advertisers (ANA), both of which laid out positions in blog posts on March 14.
  • In their blogs, the two groups lambasted Mozilla, predicting dire consequences, including the shuttering of small businesses and small websites, fewer choices for online users, and more ads in Firefox. "If Mozilla follows through on its plan ... the disruption will disenfranchise every single Internet user," said Randall Rothenberg, president and CEO of the IAB, in his post. "All of us will lose the freedom to choose our own online experiences; we will lose the opportunity to monitor and protect our privacy; and we will lose the chance to benefit from independent sites ... because thousands of small businesses that make up the diversity of content and services online will be forced to close their doors."
  • What raised the IAB's and ANA's hackles was Mozilla's decision last month to automatically block all third-party tracking cookies in a future version of Firefox, perhaps as soon as June with the release of Firefox 22. Cookies are used by online advertisers to track users' Web movements, then deliver targeted ads, a practice labeled "online behavioral advertising," or OBA, by the ad industry. The new Firefox policy will allow cookies presented from domains that users actually visit -- dubbed a "first-party" site -- but will automatically block those generated by a third-party domain unless the user had previously visited the cookie's site-of-origin.
Paul Merrell

FBI director: Cover up your webcam | TheHill - 0 views

  • The head of the FBI on Wednesday defended putting a piece of tape over his personal laptop's webcam, claiming the security step was a common sense one that most should take.  “There’s some sensible things you should be doing, and that’s one of them,” Director James Comey said during a conference at the Center for Strategic and International Studies.ADVERTISEMENT“You go into any government office and we all have the little camera things that sit on top of the screen,” he added. “They all have a little lid that closes down on them.“You do that so that people who don’t have authority don’t look at you. I think that’s a good thing.”Comey was pilloried online earlier this year, after he revealed that he puts a piece of tape over his laptop camera to keep away prying eyes. The precaution is a common one among security advocates, given the relative ease of hacking laptop cameras.  
  • But many found it ironic for Comey, who this year launched a high profile battle against Apple to gain access to data locked inside of the iPhone used by one of the San Bernardino, Calif., terrorists. Many viewed that fight as a referendum on digital privacy.Comey was “much mocked for that,” he acknowledged on Wednesday.But he still uses the tape on his laptop.“I hope people lock their cars,” he said. “Lock your doors at night… if you have an alarm system, you should use it.”“It’s not crazy that the FBI director cares about personal security as well,” the FBI director added. “So I think people ought to take responsibility for their own safety and security.”
Paul Merrell

In Hearing on Internet Surveillance, Nobody Knows How Many Americans Impacted in Data C... - 0 views

  • The Senate Judiciary Committee held an open hearing today on the FISA Amendments Act, the law that ostensibly authorizes the digital surveillance of hundreds of millions of people both in the United States and around the world. Section 702 of the law, scheduled to expire next year, is designed to allow U.S. intelligence services to collect signals intelligence on foreign targets related to our national security interests. However—thanks to the leaks of many whistleblowers including Edward Snowden, the work of investigative journalists, and statements by public officials—we now know that the FISA Amendments Act has been used to sweep up data on hundreds of millions of people who have no connection to a terrorist investigation, including countless Americans. What do we mean by “countless”? As became increasingly clear in the hearing today, the exact number of Americans impacted by this surveillance is unknown. Senator Franken asked the panel of witnesses, “Is it possible for the government to provide an exact count of how many United States persons have been swept up in Section 702 surveillance? And if not the exact count, then what about an estimate?”
  • The lack of information makes rigorous oversight of the programs all but impossible. As Senator Franken put it in the hearing today, “When the public lacks even a rough sense of the scope of the government’s surveillance program, they have no way of knowing if the government is striking the right balance, whether we are safeguarding our national security without trampling on our citizens’ fundamental privacy rights. But the public can’t know if we succeed in striking that balance if they don’t even have the most basic information about our major surveillance programs."  Senator Patrick Leahy also questioned the panel about the “minimization procedures” associated with this type of surveillance, the privacy safeguard that is intended to ensure that irrelevant data and data on American citizens is swiftly deleted. Senator Leahy asked the panel: “Do you believe the current minimization procedures ensure that data about innocent Americans is deleted? Is that enough?”  David Medine, who recently announced his pending retirement from the Privacy and Civil Liberties Oversight Board, answered unequivocally:
  • Elizabeth Goitein, the Brennan Center director whose articulate and thought-provoking testimony was the highlight of the hearing, noted that at this time an exact number would be difficult to provide. However, she asserted that an estimate should be possible for most if not all of the government’s surveillance programs. None of the other panel participants—which included David Medine and Rachel Brand of the Privacy and Civil Liberties Oversight Board as well as Matthew Olsen of IronNet Cybersecurity and attorney Kenneth Wainstein—offered an estimate. Today’s hearing reaffirmed that it is not only the American people who are left in the dark about how many people or accounts are impacted by the NSA’s dragnet surveillance of the Internet. Even vital oversight committees in Congress like the Senate Judiciary Committee are left to speculate about just how far-reaching this surveillance is. It's part of the reason why we urged the House Judiciary Committee to demand that the Intelligence Community provide the public with a number. 
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  • Senator Leahy, they don’t. The minimization procedures call for the deletion of innocent Americans’ information upon discovery to determine whether it has any foreign intelligence value. But what the board’s report found is that in fact information is never deleted. It sits in the databases for 5 years, or sometimes longer. And so the minimization doesn’t really address the privacy concerns of incidentally collected communications—again, where there’s been no warrant at all in the process… In the United States, we simply can’t read people’s emails and listen to their phone calls without court approval, and the same should be true when the government shifts its attention to Americans under this program. One of the most startling exchanges from the hearing today came toward the end of the session, when Senator Dianne Feinstein—who also sits on the Intelligence Committee—seemed taken aback by Ms. Goitein’s mention of “backdoor searches.” 
  • Feinstein: Wow, wow. What do you call it? What’s a backdoor search? Goitein: Backdoor search is when the FBI or any other agency targets a U.S. person for a search of data that was collected under Section 702, which is supposed to be targeted against foreigners overseas. Feinstein: Regardless of the minimization that was properly carried out. Goitein: Well the data is searched in its unminimized form. So the FBI gets raw data, the NSA, the CIA get raw data. And they search that raw data using U.S. person identifiers. That’s what I’m referring to as backdoor searches. It’s deeply concerning that any member of Congress, much less a member of the Senate Judiciary Committee and the Senate Intelligence Committee, might not be aware of the problem surrounding backdoor searches. In April 2014, the Director of National Intelligence acknowledged the searches of this data, which Senators Ron Wyden and Mark Udall termed “the ‘back-door search’ loophole in section 702.” The public was so incensed that the House of Representatives passed an amendment to that year's defense appropriations bill effectively banning the warrantless backdoor searches. Nonetheless, in the hearing today it seemed like Senator Feinstein might not recognize or appreciate the serious implications of allowing U.S. law enforcement agencies to query the raw data collected through these Internet surveillance programs. Hopefully today’s testimony helped convince the Senator that there is more to this topic than what she’s hearing in jargon-filled classified security briefings.
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    The 4th Amendment: "The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and *particularly describing the place to be searched, and the* persons or *things to be seized."* So much for the particularized description of the place to be searched and the thngs to be seized.  Fah! Who needs a Constitution, anyway .... 
Paul Merrell

Lawmakers warn of 'radical' move by NSA to share information | TheHill - 0 views

  • A bipartisan pair of lawmakers is expressing alarm at reported changes at the National Security Agency that would allow the intelligence service’s information to be used for policing efforts in the United States.“If media accounts are true, this radical policy shift by the NSA would be unconstitutional, and dangerous,” Reps. Ted Lieu (D-Calif.) and Blake FarentholdBlake FarentholdLawmakers warn of 'radical' move by NSA to share information Overnight Tech: Netflix scores win over Postal Service Lawmakers go green for St. Patrick's Day MORE (R-Texas) wrote in a letter to the spy agency this week. “The proposed shift in the relationship between our intelligence agencies and the American people should not be done in secret.ADVERTISEMENT“NSA’s mission has never been, and should never be, domestic policing or domestic spying.”The NSA has yet to publicly announce the change, but The New York Times reported last month that the administration was poised to expand the agency's ability to share information that it picks up about people’s communications with other intelligence agencies.The modification would open the door for the NSA to give the FBI and other federal agencies uncensored communications of foreigners and Americans picked up incidentally — but without a warrant — during sweeps.  
  • Robert Litt, the general counsel at the Office of the Director of National Intelligence, told the Times that it was finalizing a 21-page draft of procedures to allow the expanded sharing.  Separately, the Guardian reported earlier this month that the FBI had quietly changed its internal privacy rules to allow direct access to the NSA’s massive storehouse of communication data picked up on Internet service providers and websites.The revelations unnerved civil liberties advocates, who encouraged lawmakers to demand answers of the spy agency.“Under a policy like this, information collected by the NSA would be available to a host of federal agencies that may use it to investigate and prosecute domestic crimes,” said Neema Singh Guliani, legislative counsel and the American Civil Liberties Union. “Making such a change without authorization from Congress or the opportunity for debate would ignore public demands for greater transparency and oversight over intelligence activities.”In their letter this week, Lieu and Farenthold warned that the NSA’s changes would undermine Congress and unconstitutionally violate people’s privacy rights.   
  • “The executive branch would be violating the separation of powers by unilaterally transferring warrantless data collected under the NSA’s extraordinary authority to domestic agencies, which do not have such authority,” they wrote.“Domestic law enforcement agencies — which need a warrant supported by probable cause to search or seize — cannot do an end run around the Fourth Amendment by searching warrantless information collected by the NSA.”
Paul Merrell

WhatsApp Encryption Said to Stymie Wiretap Order - The New York Times - 0 views

  • While the Justice Department wages a public fight with Apple over access to a locked iPhone, government officials are privately debating how to resolve a prolonged standoff with another technology company, WhatsApp, over access to its popular instant messaging application, officials and others involved in the case said. No decision has been made, but a court fight with WhatsApp, the world’s largest mobile messaging service, would open a new front in the Obama administration’s dispute with Silicon Valley over encryption, security and privacy.WhatsApp, which is owned by Facebook, allows customers to send messages and make phone calls over the Internet. In the last year, the company has been adding encryption to those conversations, making it impossible for the Justice Department to read or eavesdrop, even with a judge’s wiretap order.
  • As recently as this past week, officials said, the Justice Department was discussing how to proceed in a continuing criminal investigation in which a federal judge had approved a wiretap, but investigators were stymied by WhatsApp’s encryption.The Justice Department and WhatsApp declined to comment. The government officials and others who discussed the dispute did so on condition of anonymity because the wiretap order and all the information associated with it were under seal. The nature of the case was not clear, except that officials said it was not a terrorism investigation. The location of the investigation was also unclear.
  • To understand the battle lines, consider this imperfect analogy from the predigital world: If the Apple dispute is akin to whether the F.B.I. can unlock your front door and search your house, the issue with WhatsApp is whether it can listen to your phone calls. In the era of encryption, neither question has a clear answer.Some investigators view the WhatsApp issue as even more significant than the one over locked phones because it goes to the heart of the future of wiretapping. They say the Justice Department should ask a judge to force WhatsApp to help the government get information that has been encrypted. Others are reluctant to escalate the dispute, particularly with senators saying they will soon introduce legislation to help the government get data in a format it can read.
Paul Merrell

Stop The Trap | OpenMedia International - 1 views

  • Right now, a group of 600 industry lobbyist "advisors" and un-elected government trade representatives are scheming behind closed doors1,2 to craft an international agreement called the Trans-Pacific Partnership (TPP). Why the secrecy? We know from leaked documents3 that the TPP includes what amounts to an Internet trap that would:
  • Criminalize4 some of your everyday use of the Internet, Force service providers to collect and hand over your private data without privacy safeguards5, and Give media conglomerates more power to fine you for Internet use,6 remove online content—including entire websites—and even terminate7 your access to the Internet. Create a parallel legal system of international tribunals that will undermine national sovereignty and allow conglomerates to sue countries for laws that infringe on their profits.
  • The TPP's Internet trap is secretive, extreme, and it could criminalize your daily use of the Internet. We deserve to know what will be blocked, what we and our families will be fined for. If enough of us speak out now, we can force participating governments to come clean. Your signature will send a message to leaders of participating countries. 8
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  • Please sign our petition to make your objection heard. 100,635 people have signed (and counting).
Paul Merrell

The FCC is about to kill the free Internet | PandoDaily - 0 views

  • The Federal Communications Commission is poised to ruin the free Internet on a technicality. The group is expected to introduce new net neutrality laws that would allow companies to pay for better access to consumers through deals similar to the one struck by Netflix and Comcast earlier this year. The argument is that those deals don’t technically fall under the net neutrality umbrella, so these new rules won’t apply to them even though they directly affect the Internet. At least the commission is being upfront about its disinterest in protecting the free Internet.
  • The Verge notes that the proposed rules will offer some protections to consumers: The Federal Communication Commission’s proposal for new net neutrality rules will allow internet service providers to charge companies for preferential treatment, effectively undermining the concept of net neutrality, according to The Wall Street Journal. The rules will reportedly allow providers to charge for preferential treatment so long as they offer that treatment to all interested parties on “commercially reasonable” terms, with the FCC will deciding whether the terms are reasonable on a case-by-case basis. Providers will not be able to block individual websites, however. The goal of net neutrality rules is to prevent service providers from discriminating between different content, allowing all types of data and all companies’ data to be treated equally. While it appears that outright blocking of individual services won’t be allowed, the Journal reports that some forms of discrimination will be allowed, though that will apparently not include slowing down websites.
  • Re/code summarizes the discontent with these proposed rules: Consumer groups have complained about that plan because they’re worried that Wheeler’s rules may not hold up in court either. A federal appeals court rejected two previous versions of net neutrality rules after finding fault in the FCC’s legal reasoning. During the latest smackdown, however, the court suggested that the FCC had some authority to impose net neutrality rules under a section of the law that gives the agency the ability to regulate the deployment of broadband lines. Internet activists would prefer that the FCC just re-regulate Internet lines under old rules designed for telephone networks, which they say would give the agency clear authority to police Internet lines. Wheeler has rejected that approach for now. Phone and cable companies, including Comcast, AT&T and Verizon, have vociferously fought that idea over the past few years.
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  • The Chicago Tribune reports on the process directing these rules: The five-member regulatory commission may vote as soon as May to formally propose the rules and collect public comment on them. Virtually all large Internet service providers, such as Verizon Communications Inc. and Time Warner Cable Inc., have pledged to abide by the principles of open Internet reinforced by these rules. But critics have raised concerns that, without a formal rule, the voluntary pledges could be pulled back over time and also leave the door open for deals that would give unequal treatment to websites or services.
  • I wrote about the European Union’s attempts to defend the free Internet: The legislation is meant to provide access to online services ‘without discrimination, restriction or interference, independent of the sender, receiver, type, content, device, service or application.’ For example, ISPs would be barred from slowing down or ‘throttling’ the speed at which one service’s videos are delivered while allowing other services to stream at normal rates. To bastardize Gertrude Stein: a byte is a byte is a byte. Such restrictions would prevent deals like the one Comcast recently made with Netflix, which will allow the service’s videos to reach consumers faster than before. Comcast is also said to be in talks with Apple for a deal that would allow videos from its new streaming video service to reach consumers faster than videos from competitors. The Federal Communications Commission’s net neutrality laws don’t apply to those deals, according to FCC Chairman Tom Wheeler, so they are allowed to continue despite the threat they pose to the free Internet.
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    Cute. Deliberately not using the authority the court of appeals said it could use to impose net neutrality. So Europe can have net neutrality but not in the U.S.
Paul Merrell

Exclusive: How FBI Informant Sabu Helped Anonymous Hack Brazil | Motherboard - 0 views

  • In early 2012, members of the hacking collective Anonymous carried out a series of cyber attacks on government and corporate websites in Brazil. They did so under the direction of a hacker who, unbeknownst to them, was wearing another hat: helping the Federal Bureau of Investigation carry out one of its biggest cybercrime investigations to date. A year after leaked files exposed the National Security Agency's efforts to spy on citizens and companies in Brazil, previously unpublished chat logs obtained by Motherboard reveal that while under the FBI's supervision, Hector Xavier Monsegur, widely known by his online persona, "Sabu," facilitated attacks that affected Brazilian websites. The operation raises questions about how the FBI uses global internet vulnerabilities during cybercrime investigations, how it works with informants, and how it shares information with other police and intelligence agencies. 
  • After his arrest in mid-2011, Monsegur continued to organize cyber attacks while working for the FBI. According to documents and interviews, Monsegur passed targets and exploits to hackers to disrupt government and corporate servers in Brazil and several other countries. Details about his work as a federal informant have been kept mostly secret, aired only in closed-door hearings and in redacted documents that include chat logs between Monsegur and other hackers. The chat logs remain under seal due to a protective order upheld in court, but in April, they and other court documents were obtained by journalists at Motherboard and the Daily Dot. 
Paul Merrell

EFF to Court: U.S. Warrants Don't Apply to Overseas Emails | Electronic Frontier Founda... - 0 views

  • The Electronic Frontier Foundation (EFF) has urged a federal court to block a U.S. search warrant ordering Microsoft to turn over a customer's emails held in an overseas server, arguing that the case has dangerous privacy implications for Internet users everywhere. The case started in December of last year, when a magistrate judge in New York signed a search warrant seeking records and emails from a Microsoft account in connection with a criminal investigation. However, Microsoft determined that the emails the government sought were on a Microsoft server in Dublin, Ireland. Because a U.S. judge has no authority to issue warrants to search and seize property or data abroad, Microsoft refused to turn over the emails and asked the magistrate to quash the warrant. But the magistrate denied Microsoft's request, ruling there was no foreign search because the data would be reviewed by law enforcement agents in the U.S.
  • Microsoft appealed the decision. In an amicus brief in support of Microsoft, EFF argues the magistrate's rationale ignores the fact that copying the emails is a "seizure" that takes place in Ireland. "The Fourth Amendment protects from unreasonable search and seizure. You can't ignore the 'seizure' part just because the property is digital and not physical," said EFF Staff Attorney Hanni Fakhoury. "Ignoring this basic point has dangerous implications – it could open the door to unfounded law enforcement access to and collection of data stored around the world."
  • For the full brief in this case:https://www.eff.org/document/eff-amicus-brief-support-microsoft
Gary Edwards

The True Story of How the Patent Bar Captured a Court and Shrank the Intellectual Commo... - 1 views

  • The change in the law wrought by the Federal Circuit can also be viewed substantively through the controversy over software patents. Throughout the 1960s, the USPTO refused to award patents for software innovations. However, several of the USPTO’s decisions were overruled by the patent-friendly U.S. Court of Customs and Patent Appeals, which ordered that software patents be granted. In Gottschalk v. Benson (1972) and Parker v. Flook (1978), the U.S. Supreme Court reversed the Court of Customs and Patent Appeals, holding that mathematical algorithms (and therefore software) were not patentable subject matter. In 1981, in Diamond v. Diehr, the Supreme Court upheld a software patent on the grounds that the patent in question involved a physical process—the patent was issued for software used in the molding of rubber. While affirming their prior ruling that mathematical formulas are not patentable in the abstract, the Court held that an otherwise patentable invention did not become unpatentable simply because it utilized a computer.
  • In the hands of the newly established Federal Circuit, however, this small scope for software patents in precedent was sufficient to open the floodgates. In a series of decisions culminating in State Street Bank v. Signature Financial Group (1998), the Federal Circuit broadened the criteria for patentability of software and business methods substantially, allowing protection as long as the innovation “produces a useful, concrete and tangible result.” That broadened criteria led to an explosion of low-quality software patents, from Amazon’s 1-Click checkout system to Twitter’s pull-to-refresh feature on smartphones. The GAO estimates that more than half of all patents granted in recent years are software-related. Meanwhile, the Supreme Court continues to hold, as in Parker v. Flook, that computer software algorithms are not patentable, and has begun to push back against the Federal Circuit. In Bilski v. Kappos (2010), the Supreme Court once again held that abstract ideas are not patentable, and in Alice v. CLS (2014), it ruled that simply applying an abstract idea on a computer does not suffice to make the idea patent-eligible. It still is not clear what portion of existing software patents Alice invalidates, but it could be a significant one.
  • Supreme Court justices also recognize the Federal Circuit’s insubordination. In oral arguments in Carlsbad Technology v. HIF Bio (2009), Chief Justice John Roberts joked openly about it:
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  • The Opportunity of the Commons
  • As a result of the Federal Circuit’s pro-patent jurisprudence, our economy has been flooded with patents that would otherwise not have been granted. If more patents meant more innovation, then we would now be witnessing a spectacular economic boom. Instead, we have been living through what Tyler Cowen has called a Great Stagnation. The fact that patents have increased while growth has not is known in the literature as the “patent puzzle.” As Michele Boldrin and David Levine put it, “there is no empirical evidence that [patents] serve to increase innovation and productivity, unless productivity is identified with the number of patents awarded—which, as evidence shows, has no correlation with measured productivity.”
  • While more patents have not resulted in faster economic growth, they have resulted in more patent lawsuits.
  • Software patents have characteristics that make them particularly susceptible to litigation. Unlike, say, chemical patents, software patents are plagued by a problem of description. How does one describe a software innovation in such a way that anyone searching for it will easily find it? As Christina Mulligan and Tim Lee demonstrate, chemical formulas are indexable, meaning that as the number of chemical patents grow, it will still be easy to determine if a molecule has been patented. Since software innovations are not indexable, they estimate that “patent clearance by all firms would require many times more hours of legal research than all patent lawyers in the United States can bill in a year. The result has been an explosion of patent litigation.” Software and business method patents, estimate James Bessen and Michael Meurer, are 2 and 7 times more likely to be litigated than other patents, respectively (4 and 13 times more likely than chemical patents).
  • Software patents make excellent material for predatory litigation brought by what are often called “patent trolls.”
  • Trolls use asymmetries in the rules of litigation to legally extort millions of dollars from innocent parties. For example, one patent troll, Innovatio IP Ventures, LLP, acquired patents that implicated Wi-Fi. In 2011, it started sending demand letters to coffee shops and hotels that offered wireless Internet access, offering to settle for $2,500 per location. This amount was far in excess of the 9.56 cents per device that Innovatio was entitled to under the “Fair, Reasonable, and Non-Discriminatory” licensing promises attached to their portfolio, but it was also much less than the cost of trial, and therefore it was rational for firms to pay. Cisco stepped in and spent $13 million in legal fees on the case, and settled on behalf of their customers for 3.2 cents per device. Other manufacturers had already licensed Innovatio’s portfolio, but that didn’t stop their customers from being targeted by demand letters.
  • Litigation cost asymmetries are magnified by the fact that most patent trolls are nonpracticing entities. This means that when patent infringement trials get to the discovery phase, they will cost the troll very little—a firm that does not operate a business has very few records to produce.
  • But discovery can cost a medium or large company millions of dollars. Using an event study methodology, James Bessen and coauthors find that infringement lawsuits by nonpracticing entities cost publicly traded companies $83 billion per year in stock market capitalization, while plaintiffs gain less than 10 percent of that amount.
  • Software patents also reduce innovation in virtue of their cumulative nature and the fact that many of them are frequently inputs into a single product. Law professor Michael Heller coined the phrase “tragedy of the anticommons” to refer to a situation that mirrors the well-understood “tragedy of the commons.” Whereas in a commons, multiple parties have the right to use a resource but not to exclude others, in an anticommons, multiple parties have the right to exclude others, and no one is therefore able to make effective use of the resource. The tragedy of the commons results in overuse of the resource; the tragedy of the anticommons results in underuse.
  • In order to cope with the tragedy of the anticommons, we should carefully investigate the opportunity of  the commons. The late Nobelist Elinor Ostrom made a career of studying how communities manage shared resources without property rights. With appropriate self-governance institutions, Ostrom found again and again that a commons does not inevitably lead to tragedy—indeed, open access to shared resources can provide collective benefits that are not available under other forms of property management.
  • This suggests that—litigation costs aside—patent law could be reducing the stock of ideas rather than expanding it at current margins.
  • Advocates of extensive patent protection frequently treat the commons as a kind of wasteland. But considering the problems in our patent system, it is worth looking again at the role of well-tailored limits to property rights in some contexts. Just as we all benefit from real property rights that no longer extend to the highest heavens, we would also benefit if the scope of patent protection were more narrowly drawn.
  • Reforming the Patent System
  • This analysis raises some obvious possibilities for reforming the patent system. Diane Wood, Chief Judge of the 7th Circuit, has proposed ending the Federal Circuit’s exclusive jurisdiction over patent appeals—instead, the Federal Circuit could share jurisdiction with the other circuit courts. While this is a constructive suggestion, it still leaves the door open to the Federal Circuit playing “a leading role in shaping patent law,” which is the reason for its capture by patent interests. It would be better instead simply to abolish the Federal Circuit and return to the pre-1982 system, in which patents received no special treatment in appeals. This leaves open the possibility of circuit splits, which the creation of the Federal Circuit was designed to mitigate, but there are worse problems than circuit splits, and we now have them.
  • Another helpful reform would be for Congress to limit the scope of patentable subject matter via statute. New Zealand has done just that, declaring that software is “not an invention” to get around WTO obligations to respect intellectual property. Congress should do the same with respect to both software and business methods.
  • Finally, even if the above reforms were adopted, there would still be a need to address the asymmetries in patent litigation that result in predatory “troll” lawsuits. While the holding in Alice v. CLS arguably makes a wide swath of patents invalid, those patents could still be used in troll lawsuits because a ruling of invalidity for each individual patent might not occur until late in a trial. Current legislation in Congress addresses this class of problem by mandating disclosures, shifting fees in the case of spurious lawsuits, and enabling a review of the patent’s validity before a trial commences.
  • What matters for prosperity is not just property rights in the abstract, but good property-defining institutions. Without reform, our patent system will continue to favor special interests and forestall economic growth.
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    "Libertarians intuitively understand the case for patents: just as other property rights internalize the social benefits of improvements to land, automobile maintenance, or business investment, patents incentivize the creation of new inventions, which might otherwise be undersupplied. So far, so good. But it is important to recognize that the laws that govern property, intellectual or otherwise, do not arise out of thin air. Rather, our political institutions, with all their virtues and foibles, determine the contours of property-the exact bundle of rights that property holders possess, their extent, and their limitations. Outlining efficient property laws is not a trivial problem. The optimal contours of property are neither immutable nor knowable a priori. For example, in 1946, the U.S. Supreme Court reversed the age-old common law doctrine that extended real property rights to the heavens without limit. The advent of air travel made such extensive property rights no longer practicable-airlines would have had to cobble together a patchwork of easements, acre by acre, for every corridor through which they flew, and they would have opened themselves up to lawsuits every time their planes deviated from the expected path. The Court rightly abridged property rights in light of these empirical realities. In defining the limits of patent rights, our political institutions have gotten an analogous question badly wrong. A single, politically captured circuit court with exclusive jurisdiction over patent appeals has consistently expanded the scope of patentable subject matter. This expansion has resulted in an explosion of both patents and patent litigation, with destructive consequences. "
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    I added a comment to the page's article. Patents are antithetical to the precepts of Libertarianism and do not involve Natural Law rights. But I agree with the author that the Court of Appeals for the Federal Circuit should be abolished. It's a failed experiment.
Gonzalo San Gil, PhD.

Google and Facebook Say Weak Encryption Makes Law Enforcement Less Accountable | MIT Te... - 0 views

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    "Privacy bosses at Google and Facebook say letting the U.S. government unlock encrypted customer data would make law enforcement less accountable. "
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    "Privacy bosses at Google and Facebook say letting the U.S. government unlock encrypted customer data would make law enforcement less accountable. "
Paul Merrell

EXCLUSIVE: Edward Snowden Explains Why Apple Should Continue To Fight the Government on... - 0 views

  • As the Obama administration campaign to stop the commercialization of strong encryption heats up, National Security Agency whistleblower Edward Snowden is firing back on behalf of the companies like Apple and Google that are finding themselves under attack. “Technologists and companies working to protect ordinary citizens should be applauded, not sued or prosecuted,” Snowden wrote in an email through his lawyer. Snowden was asked by The Intercept to respond to the contentious suggestion — made Thursday on a blog that frequently promotes the interests of the national security establishment — that companies like Apple and Google might in certain cases be found legally liable for providing material aid to a terrorist organization because they provide encryption services to their users.
  • In his email, Snowden explained how law enforcement officials who are demanding that U.S. companies build some sort of window into unbreakable end-to-end encryption — he calls that an “insecurity mandate” — haven’t thought things through. “The central problem with insecurity mandates has never been addressed by its proponents: if one government can demand access to private communications, all governments can,” Snowden wrote. “No matter how good the reason, if the U.S. sets the precedent that Apple has to compromise the security of a customer in response to a piece of government paper, what can they do when the government is China and the customer is the Dalai Lama?”
  • Weakened encryption would only drive people away from the American technology industry, Snowden wrote. “Putting the most important driver of our economy in a position where they have to deal with the devil or lose access to international markets is public policy that makes us less competitive and less safe.”
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  • FBI Director James Comey and others have repeatedly stated that law enforcement is “going dark” when it comes to the ability to track bad actors’ communications because of end-to-end encrypted messages, which can only be deciphered by the sender and the receiver. They have never provided evidence for that, however, and have put forth no technologically realistic alternative. Meanwhile, Apple and Google are currently rolling out user-friendly end-to-end encryption for their customers, many of whom have demanded greater privacy protections — especially following Snowden’s disclosures.
Paul Merrell

Security Experts Oppose Government Access to Encrypted Communication - The New York Times - 0 views

  • An elite group of security technologists has concluded that the American and British governments cannot demand special access to encrypted communications without putting the world’s most confidential data and critical infrastructure in danger.A new paper from the group, made up of 14 of the world’s pre-eminent cryptographers and computer scientists, is a formidable salvo in a skirmish between intelligence and law enforcement leaders, and technologists and privacy advocates. After Edward J. Snowden’s revelations — with security breaches and awareness of nation-state surveillance at a record high and data moving online at breakneck speeds — encryption has emerged as a major issue in the debate over privacy rights.
  • That has put Silicon Valley at the center of a tug of war. Technology companies including Apple, Microsoft and Google have been moving to encrypt more of their corporate and customer data after learning that the National Security Agency and its counterparts were siphoning off digital communications and hacking into corporate data centers.
  • Yet law enforcement and intelligence agency leaders argue that such efforts thwart their ability to monitor kidnappers, terrorists and other adversaries. In Britain, Prime Minister David Cameron threatened to ban encrypted messages altogether. In the United States, Michael S. Rogers, the director of the N.S.A., proposed that technology companies be required to create a digital key to unlock encrypted data, but to divide the key into pieces and secure it so that no one person or government agency could use it alone.The encryption debate has left both sides bitterly divided and in fighting mode. The group of cryptographers deliberately issued its report a day before James B. Comey Jr., the director of the Federal Bureau of Investigation, and Sally Quillian Yates, the deputy attorney general at the Justice Department, are scheduled to testify before the Senate Judiciary Committee on the concerns that they and other government agencies have that encryption technologies will prevent them from effectively doing their jobs.
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  • The new paper is the first in-depth technical analysis of government proposals by leading cryptographers and security thinkers, including Whitfield Diffie, a pioneer of public key cryptography, and Ronald L. Rivest, the “R” in the widely used RSA public cryptography algorithm. In the report, the group said any effort to give the government “exceptional access” to encrypted communications was technically unfeasible and would leave confidential data and critical infrastructure like banks and the power grid at risk. Handing governments a key to encrypted communications would also require an extraordinary degree of trust. With government agency breaches now the norm — most recently at the United States Office of Personnel Management, the State Department and the White House — the security specialists said authorities could not be trusted to keep such keys safe from hackers and criminals. They added that if the United States and Britain mandated backdoor keys to communications, China and other governments in foreign markets would be spurred to do the same.
  • “Such access will open doors through which criminals and malicious nation-states can attack the very individuals law enforcement seeks to defend,” the report said. “The costs would be substantial, the damage to innovation severe and the consequences to economic growth hard to predict. The costs to the developed countries’ soft power and to our moral authority would also be considerable.”
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    Our system of government does not expect that every criminal will be apprehended and convicted. There are numerous values our society believes are more important. Some examples: [i] a presumption of innocence unless guilt is established beyond any reasonable doubt; [ii] the requirement that government officials convince a neutral magistrate that they have probable cause to believe that a search or seizure will produce evidence of a crime; [iii] many communications cannot be compelled to be disclosed and used in evidence, such as attorney-client communications, spousal communications, and priest-penitent communications; and [iv] etc. Moral of my story: the government needs a much stronger reason to justify interception of communications than saying, "some crooks will escape prosecution if we can't do that." We have a right to whisper to each other, concealing our communicatons from all others. Why does the right to whisper privately disappear if our whisperings are done electronically? The Supreme Court took its first step on a very slippery slope when it permitted wiretapping in Olmstead v. United States, 277 U.S. 438, 48 S. Ct. 564, 72 L. Ed. 944 (1928). https://goo.gl/LaZGHt It's been a long slide ever since. It's past time to revisit Olmstead and recognize that American citizens have the absolute right to communicate privately. "The President … recognizes that U.S. citizens and institutions should have a reasonable expectation of privacy from foreign or domestic intercept when using the public telephone system." - Brent Scowcroft, U.S. National Security Advisor, National Security Decision Memorandum 338 (1 September 1976) (Nixon administration), http://www.fas.org/irp/offdocs/nsdm-ford/nsdm-338.pdf   
Paul Merrell

Charting the Final Frontier--Google Maps for Indoors - Technology For Change - 2 views

  • Google maps are great for navigating to an address, but once you arrive, it's up to you to find the office, meeting room or vendor inside. Now Micello takes over where conventional navigators leave off, mapping your route inside buildings, malls, convention centers and other points of interest.  "Micello is quite literally Google maps for the insides of buildings," said Ankit Agarwal, founder and CEO of Micello. "We are mapping the last unchartered territory—the last mile—between the front door and where you are going. We are building the foundation for an indoor location-based services market."
  • Available as a free service to users of the iPhone, BlackBerry, Palm or Android mobile handsets, Micello displays the Google maps to an address adorned with icons showing where indoor maps are available. Once the user arrives at an address, clicking on the Micello icon overlays the indoor map. Search for a particular venue inside, and Micello highlights a recommended route from your current location. Future versions will also provide directions from your car in the parking lot, as well as store-to-store directions once inside a mall.
  • When Micello becomes available later this fall for the iPhone, it will come with maps for 150 points of interest in the Bay Area, with the rest of California slated for mapping by the end of the year. The other major cities, plus versions for BlackBerry, Palm and Android, are promised by the end of 2010, at which time Micello estimates it will have 5,000 shopping malls, 10,000 college campuses and 400 convention centers in its growing database. Locations will also include airports, stadiums, theme parks, golf courses, fitness centers and other venues where people naturally congregate.
Paul Merrell

EU considers spending €1 billion for satellite broadband technology - Interna... - 0 views

  • The €200 billion economic rescue plan being considered this week by European Union leaders includes a proposal to spend €1 billion on bringing high-speed Internet access to rural areas. The proposal is likely to pit the Continent's telecommunications operators against satellite companies, which say they are uniquely suited to expand the broadband, or high-speed, network to underserved parts of Eastern Europe and the Alps by the end of 2010.
  • But support for the plan by EU government leaders, who begin a two-day meeting to consider the rescue plan Thursday is not assured. The money would come from unspent funds in the current EU budget, which under EU rules normally revert back to member countries. Germany, which contributes the most to the EU budget and stands to get the largest refund if the project is rejected, opposes the expenditure.
  • Across the EU, 21.7 percent of residents had broadband Internet access in July, according to the commission; 107.6 million received service from a telephone DSL line or a cable television connection and 130,592 via satellite. Only 6 percent of EU residents on average received broadband via mobile phones.
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  • Until now, Baugh said, satellite broadband had been hindered by the relatively high cost of the hardware consumers needed to gain access to the service. But recent advances have lowered the cost to roughly €400, including installation, from several thousand euros a few years ago. At about €30 a month, service packages are comparable to those of DSL and cable.
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    A billion Euros is chicken feed compared to other portions of the E.U. economic stimulus initiatives in the works that respond to the major recession under way. Still, this could be a significant foot in the door for satellite broadband in the E.U., perhaps enough to build out the infrastructure enough for a more serious challenge to cable and telephony broadband. But I wonder if there would be enough redundancy enabled by only a billion Euros to gracefully handle a satellite's death if it has far more broadband users.
Gary Edwards

The real reason Google is making Chrome | Computerworld Blogs - 0 views

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    Good analysis by Stephen Vaughan-Nichols. He gets it right. Sort of. Stephen believes that Chrome is desinged to kill MSOffice. Maybe, but i think it's way too late for that. IMHO, Chrome is designed to keep Google and the Open Web in the game. A game that Microsoft is likely to run away with. Microsoft has built an easy to use transiton bridge form MSOffice desktop centric "client/server" computing model to a Web centirc but proprietary RiA-WebStack-Cloud model. In short, there is an on going great transtion of traditional client/server apps to an emerging model we might call client/ WebStack-Cloud-RiA /server computing model. As the world shifts from a Web document model to one driven by Web Applications, there is i believe a complimentary shift towards the advantage Micorsoft holds via the desktop "client/server" monopoly. For Microsoft, this is just a transtion. Painful from a monopolist profitability view point - but unavoidably necessary. The transition is no doubt helped by the OOXML <> XAML "Fixed/flow" Silverlight ready conversion component. MS also has a WebStack-Cloud (Mesh) story that has become an unstoppable juggernaut (Exchange/SharePoint/SQL Server as the WebSTack). WebKit based RiA challengers like Adobe Apollo, Google Chrome, and Apple SproutCore-Cocoa have to figure out how to crack into the great transition. MS has succeeded in protecting their MSOffice monopoly until such time as they had all the transtion pieces in place. They have a decided advantage here. It's also painfully obvious that the while the WebKit guys have incredible innovation on their side, they are still years behind the complete desktop to WebStack-RiA-Cloud to device to legacy servers application story Microsoft is now selling into the marketplace. They also are seriously lacking in developer tools. Still, the future of the Open Web hangs in the balance. Rather than trying to kill MSOffice, i would think a better approach would be that of trying to
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    There are five reasons why Google is doing this, and, if you read the comic book closely - yes, I'm serious - and you know technology you can see the reasons for yourself. These, in turn, lead to what I think is Google's real goal for Chrome.
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    I'm still keeping the door open on a suspicion that Microsoft may have planned to end the life of MS Office after the new fortress on the server side is ready. The code base is simply too brittle to have a competitive future in the feature wars. I can't get past my belief that if Microsoft saw any future in the traditional client-side office suite, it would have been building a new one a decade ago. Too many serious bugs too deeply buried in spaghetti code to fix; it's far easier to rebuild from the ground up. Word dates to 1984, Excel to 1985, Powerpoint to 1987, All were developed for the Mac, ported years later to Windows. At least Word is still running a deeply flawed 16-bit page layout engine. E.g., page breaks across subdocuments have been broken since Word 1.0. Technology designed to replace yet still largely defined by its predecessor, the IBM Correcting Selectric electro-mechanical typewriter. Mid-80s stand-alone, non-networked computer technology in the World Wide Web era? Where's the future in software architecture developed two decades ago, before the Connected World? I suspect Office's end is near. Microsoft's problem is migrating their locked-in customers to the new fortress on the server side. The bridge is OOXML. In other words, Google doesn't have to kill Office; Microsoft will do that itself. Giving the old cash cow a face lift and fresh coat of lipstick? That's the surest sign that the old cow's owner is keeping a close eye on prices in the commodity hamburger market while squeezing out the last few buckets of milk.
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