Skip to main content

Home/ Future of the Web/ Group items tagged now eff

Rss Feed Group items tagged

Paul Merrell

Obama to propose legislation to protect firms that share cyberthreat data - The Washing... - 0 views

  • President Obama plans to announce legislation Tuesday that would shield companies from lawsuits for sharing computer threat data with the government in an effort to prevent cyber­attacks. On the heels of a destructive attack at Sony Pictures Entertainment and major breaches at JPMorgan Chase and retail chains, Obama is intent on capitalizing on the heightened sense of urgency to improve the security of the nation’s networks, officials said. “He’s been doing everything he can within his executive authority to move the ball on this,” said a senior administration official who spoke on the condition of anonymity to discuss legislation that has not yet been released. “We’ve got to get something in place that allows both industry and government to work more closely together.”
  • The legislation is part of a broader package, to be sent to Capitol Hill on Tuesday, that includes measures to help protect consumers and students against ­cyberattacks and to give law enforcement greater authority to combat cybercrime. The provision’s goal is to “enshrine in law liability protection for the private sector for them to share specific information — cyberthreat indicators — with the government,” the official said. Some analysts questioned the need for such legislation, saying there are adequate measures in place to enable sharing between companies and the government and among companies.
  • “We think the current information-sharing regime is adequate,” said Mark Jaycox, legislative analyst at the Electronic Frontier Foundation, a privacy group. “More companies need to use it, but the idea of broad legal immunity isn’t needed right now.” The administration official disagreed. The lack of such immunity is what prevents many companies from greater sharing of data with the government, the official said. “We have heard that time and time again,” the official said. The proposal, which builds on a 2011 administration bill, grants liability protection to companies that provide indicators of cyberattacks and threats to the Department of Homeland Security.
  • ...5 more annotations...
  • But in a provision likely to raise concerns from privacy advocates, the administration wants to require DHS to share that information “in as near real time as possible” with other government agencies that have a cybersecurity mission, the official said. Those include the National Security Agency, the Pentagon’s ­Cyber Command, the FBI and the Secret Service. “DHS needs to take an active lead role in ensuring that unnecessary personal information is not shared with intelligence authorities,” Jaycox said. The debates over government surveillance prompted by disclosures from former NSA contractor Edward Snowden have shown that “the agencies already have a tremendous amount of unnecessary information,” he said.
  • It would reaffirm that federal racketeering law applies to cybercrimes and amends the Computer Fraud and Abuse Act by ensuring that “insignificant conduct” does not fall within the scope of the statute. A third element of the package is legislation Obama proposed Monday to help protect consumers and students against cyberattacks. The theft of personal financial information “is a direct threat to the economic security of American families, and we’ve got to stop it,” Obama said. The plan, unveiled in a speech at the Federal Trade Commission, would require companies to notify customers within 30 days after the theft of personal information is discovered. Right now, data breaches are handled under a patchwork of state laws that the president said are confusing and costly to enforce. Obama’s plan would streamline those into one clear federal standard and bolster requirements for companies to notify customers. Obama is proposing closing loopholes to make it easier to track down cybercriminals overseas who steal and sell identities. “The more we do to protect consumer information and privacy, the harder it is for hackers to damage our businesses and hurt our economy,” he said.
  • Efforts to pass information-sharing legislation have stalled in the past five years, blocked primarily by privacy concerns. The package also contains provisions that would allow prosecution for the sale of botnets or access to armies of compromised computers that can be used to spread malware, would criminalize the overseas sale of stolen U.S. credit card and bank account numbers, would expand federal law enforcement authority to deter the sale of spyware used to stalk people or commit identity theft, and would give courts the authority to shut down botnets being used for criminal activity, such as denial-of-service attacks.
  • The administration official stressed that the legislation will require companies to remove unnecessary personal information before furnishing it to the government in order to qualify for liability protection. It also will impose limits on the use of the data for cybersecurity crimes and instances in which there is a threat of death or bodily harm, such as kidnapping, the official said. And it will require DHS and the attorney general to develop guidelines for the federal government’s use and retention of the data. It will not authorize a company to take offensive cyber-measures to defend itself, such as “hacking back” into a server or computer outside its own network to track a breach. The bill also will provide liability protection to companies that share data with private-sector-developed organizations set up specifically for that purpose. Called information sharing and analysis organizations, these groups often are set up by particular industries, such as banking, to facilitate the exchange of data and best practices.
  • In October, Obama signed an order to protect consumers from identity theft by strengthening security features in credit cards and the terminals that process them. Marc Rotenberg, executive director of the Electronic Privacy Information Center, said there is concern that a federal standard would “preempt stronger state laws” about how and when companies have to notify consumers. The Student Digital Privacy Act would ensure that data entered would be used only for educational purposes. It would prohibit companies from selling student data to third-party companies for purposes other than education. Obama also plans to introduce a Consumer Privacy Bill of Rights. And the White House will host a summit on cybersecurity and consumer protection on Feb. 13 at Stanford University.
Paul Merrell

The Newest Reforms on SIGINT Collection Still Leave Loopholes | Just Security - 0 views

  • 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.
  • ...1 more annotation...
  • The report also details the ODNI’s and IC’s plans for the future, including: (1) Working with Congress to reauthorize bulk collection under Section 215. (2) Updating agency guidelines under Executive Order 12333 “to protect the privacy and civil liberties of U.S. persons.” (3) Producing another annual report in January 2016 on the IC’s progress in implementing signals intelligence reforms. These plans raise more questions than they answer. Given the considerable doubts about Section 215’s effectiveness, why is the ODNI pushing for its reauthorization? And what will the ODNI consider appropriate privacy protections under Executive Order 12333?
Paul Merrell

Guest Post: NSA Reform - The Consequences of Failure | Just Security - 0 views

  • In the absence of real reform, people and institutions at home and abroad are taking matters into their own hands. In America, the NSA’s overreach is changing the way we communicate with and relate to each other. In order to evade government surveillance, more and more Americans are employing encryption technology.  The veritable explosion of new secure messaging apps like Surespot, OpenWhisper’s collaboration with WhatsApp, the development and deployment of open source anti-surveillance tools like Detekt, the creation of organizationally-sponsored “surveillance self-defense” guides, the push to universalize the https protocol, anti-surveillance book events featuring free encryption workshops— are manifestations of the rise of the personal encryption and pro-privacy digital resistance movement. Its political implications are clear: Americans, along with people around the world, increasingly see the United States government’s overreaching surveillance activities as a threat to be blocked.
  • The federal government’s vacuum-cleaner approach to surveillance—manifested in Title II of the PATRIOT Act, the FISA Amendments Act, and EO 12333—has backfired in these respects, and the emergence of this digital resistance movement is one result. Indeed, the existence and proliferation of social networks hold the potential to help this movement spread faster and to more of the general public than would have been possible in decades past. This is evidenced by the growing concern worldwide about governments’ ability to access reams of information about people’s lives with relative ease. As one measure, compared to a year ago, 41% of online users in North America now avoid certain Internet sites and applications, 16% change who they communicate with, and 24% censor what they say online. Those numbers, if anywhere close to accurate, are a major concern for democratic society.
  • Even if commercially available privacy technology proves capable of providing a genuine shield against warrantless or otherwise illegal surveillance by the United States government, it will remain a treatment for the symptom, not a cure for the underlying legal and constitutional malady. In April 2014, a Harris poll of US adults showed that in response to the Snowden revelations, “Almost half of respondents (47%) said that they have changed their online behavior and think more carefully about where they go, what they say, and what they do online.” Set aside for a moment that just the federal government’s collection of the data of innocent Americans is itself likely a violation of the Fourth Amendment. The Harris poll is just one of numerous studies highlighting the collateral damage to American society and politics from NSA’s excesses: segments of our population are now fearful of even associating with individuals or organizations executive branch officials deem controversial or suspicious. Nearly half of Americans say they have changed their online behavior out of a fear of what the federal government might do with their personal information. The Constitution’s free association guarantee has been damaged by the Surveillance State’s very operation.
  • ...1 more annotation...
  • The failure of the Congress and the courts to end the surveillance state, despite the repeated efforts by a huge range of political and public interest actors to effect that change through the political process, is only fueling the growing resistance movement. Federal officials understand this, which is why they are trying—desperately and in the view of some, underhandedly—to shut down this digital resistance movement. This action/reaction cycle is exactly what it appears to be: an escalating conflict between the American public and its government. Without comprehensive surveillance authority reforms (including a journalist “shield law” and ironclad whistleblower protections for Intelligence Community contractors) that are verifiable and enforceable, that conflict will only continue.
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. 
  • ...2 more annotations...
  • 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.
  •  
    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

Detekt Is Free Software That Spots Computer Spyware - Businessweek - 0 views

  • For more than two years, researchers and rights activists have tracked the proliferation and abuse of computer spyware that can watch people in their homes and intercept their e-mails. Now they’ve built a tool that can help the targets protect themselves.The free, downloadable software, called Detekt, searches computers for the presence of malicious programs that have been built to evade detection. The spyware ranges from government-grade products used by intelligence and police agencies to hacker staples known as RATs—remote administration tools. Detekt, which was developed by security researcher Claudio Guarnieri, is being released in a partnership with advocacy groups Amnesty International, Digitale Gesellschaft, the Electronic Frontier Foundation, and Privacy International.Guarnieri says his tool finds hidden spy programs by seeking unique patterns on computers that indicate a specific malware is running. He warns users not to expect his program (which is available only for Windows machines) to find all spyware, and notes that the release of Detekt could spur malware developers to further cloak their code.
Paul Merrell

Demand an End to Secret Copyright Trade Deals | EFF Action Center - 0 views

  • Senator Ron Wyden may hold the future of the Internet in his hands. Let's call on him to fix the secretive process that has led to trade deals carrying extreme copyright and digital privacy provisions.
  • As Senate Finance Committee Chair, Senator Wyden is under pressure to fast track trade agreements like the Trans-Pacific Partnership (TPP) agreement. But he has another option: to finally bring these deals out into the open. We call on him now to continue to stand up to big private interests and help ensure that our digital rights are protected.
Paul Merrell

NSA Director Finally Admits Encryption Is Needed to Protect Public's Privacy - 0 views

  • NSA Director Finally Admits Encryption Is Needed to Protect Public’s Privacy The new stance denotes a growing awareness within the government that Americans are not comfortable with the State’s grip on their data. By Carey Wedler | AntiMedia | January 22, 2016 Share this article! https://mail.google.com/mail/?view=cm&fs=1&to&su=NSA%20Director%20Finally%20Admits%20Encryption%20Is%20Needed%20to%20Protect%20Public%E2%80%99s%20Privacy&body=http%3A%2F%2Fwww.mintpress
  • Rogers cited the recent Office of Personnel Management hack of over 20 million users as a reason to increase encryption rather than scale it back. “What you saw at OPM, you’re going to see a whole lot more of,” he said, referring to the massive hack that compromised the personal data about 20 million people who obtained background checks. Rogers’ comments, while forward-thinking, signify an about face in his stance on encryption. In February 2015, he said he “shares [FBI] Director [James] Comey’s concern” about cell phone companies’ decision to add encryption features to their products. Comey has been one loudest critics of encryption. However, Rogers’ comments on Thursday now directly conflict with Comey’s stated position. The FBI director has publicly chastised encryption, as well as the companies that provide it. In 2014, he claimed Apple’s then-new encryption feature could lead the world to “a very dark place.” At a Department of Justice hearing in November, Comey testified that “Increasingly, the shadow that is ‘going dark’ is falling across more and more of our work.” Though he claimed, “We support encryption,” he insisted “we have a problem that encryption is crashing into public safety and we have to figure out, as people who care about both, to resolve it. So, I think the conversation’s in a healthier place.”
  • At the same hearing, Comey and Attorney General Loretta Lynch declined to comment on whether they had proof the Paris attackers used encryption. Even so, Comey recently lobbied for tech companies to do away with end-to-end encryption. However, his crusade has fallen on unsympathetic ears, both from the private companies he seeks to control — and from the NSA. Prior to Rogers’ statements in support of encryption Thursday, former NSA chief Michael Hayden said, “I disagree with Jim Comey. I actually think end-to-end encryption is good for America.” Still another former NSA chair has criticized calls for backdoor access to information. In October, Mike McConnell told a panel at an encryption summit that the United States is “better served by stronger encryption, rather than baking in weaker encryption.” Former Department of Homeland Security chief, Michael Chertoff, has also spoken out against government being able to bypass encryption.
  • ...2 more annotations...
  • Regardless of these individual defenses of encryption, the Intercept explained why these statements may be irrelevant: “Left unsaid is the fact that the FBI and NSA have the ability to circumvent encryption and get to the content too — by hacking. Hacking allows law enforcement to plant malicious code on someone’s computer in order to gain access to the photos, messages, and text before they were ever encrypted in the first place, and after they’ve been decrypted. The NSA has an entire team of advanced hackers, possibly as many as 600, camped out at Fort Meade.”
  • Rogers statements, of course, are not a full-fledged endorsement of privacy, nor can the NSA be expected to make it a priority. Even so, his new stance denotes a growing awareness within the government that Americans are not comfortable with the State’s grip on their data. “So spending time arguing about ‘hey, encryption is bad and we ought to do away with it’ … that’s a waste of time to me,” Rogers said Thursday. “So what we’ve got to ask ourselves is, with that foundation, what’s the best way for us to deal with it? And how do we meet those very legitimate concerns from multiple perspectives?”
Paul Merrell

Stop The NSA's Backdoor: Call Congress Today To Support Key Amendment | Techdirt - 0 views

  • Last week, we noted that there was an effort underway to introduce an amendment for this week's Defense Appropriations bill in the House that would effectively limit some of the most nefarious aspects of the NSA's ability to spy on Americans via two different types of backdoors: (1) so-called "backdoor searches" on Americans' information collected under Section 702 of the FISA Amendments Act and (2) mandating tech companies build in backdoors to their technology for the NSA to go snooping. The Defense Appropriations bill is expected to hit the House floor sometime soon, under open rules, meaning that the amendment in question won't be blocked by the House Rules Committee, as happens on a variety of other bills.
  • The amendment has powerful bipartisan backing, sponsored by Reps. James Sensenbrenner, Thomas Massie and Zoe Lofgren, along with co-sponsors Reps. Conyers, Poe, Gabbard, Jordan, O’Rourke, Amash, and Holt. Having Sensenbrenner bring out this amendment is a big deal. This amendment would restore at least one aspect of the USA Freedom Act that was stripped out at the last minute under pressure from the White House. Sensenbrenner sponsoring this bill highlights that he's clearly not satisfied with how his own bill got twisted and watered down from the original, and he's still working to put back in some of the protections that were removed. Conyers is a powerful force on the other side of the aisle, whose support for the USA Freedom Act was seen by some as a signal that the bill was "okay" to vote on. Having both of them support this Amendment suggests that neither were really that satisfied with the bill and felt pressured into supporting it.
  • While this Amendment doesn't fix everything, it is an important chance for members of Congress to show that they really do support protecting Americans' privacy. But they need to know that. Please contact your Representative today to let them know you want them to support this amendment. The EFF and others have set up a website, ShutTheBackDoor.net, to help you contact your official. Please do so today.
  •  
    "from the speak-up-now dept Last week, we noted that there was an effort underway to introduce an amendment for this week's Defense Appropriations bill in the House that would effectively limit some of the most nefarious aspects of the NSA's ability to spy on Americans via two different types of backdoors: (1) so-called "backdoor searches" on Americans' information collected under Section 702 of the FISA Amendments Act and (2) mandating tech companies build in backdoors to their technology for the NSA to go snooping."
  •  
    "from the speak-up-now dept Last week, we noted that there was an effort underway to introduce an amendment for this week's Defense Appropriations bill in the House that would effectively limit some of the most nefarious aspects of the NSA's ability to spy on Americans via two different types of backdoors: (1) so-called "backdoor searches" on Americans' information collected under Section 702 of the FISA Amendments Act and (2) mandating tech companies build in backdoors to their technology for the NSA to go snooping."
  •  
    Word is that the vote will happen today. If your Congress-critter needs persuading, it's time to jump at that telephone and send a few volts their way. 
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:
  • ...17 more annotations...
  • 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.
  •  
    "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. "
  •  
    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.
Paul Merrell

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

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

The Top 5 Claims That Defenders of the NSA Have to Stop Making to Remain Credible | Ele... - 0 views

  • Over the past year, as the Snowden revelations have rolled out, the government and its apologists have developed a set of talking points about mass spying that the public has now heard over and over again. From the President, to Hilary Clinton to Rep. Mike Rogers, Sen. Dianne Feinstein and many others, the arguments are often eerily similar. But as we approach the one year anniversary, it’s time to call out the key claims that have been thoroughly debunked and insist that the NSA apologists retire them.  So if you hear any one of these in the future, you can tell yourself straight up: “this person isn’t credible,” and look elsewhere for current information about the NSA spying. And if these are still in your talking points (you know who you are) it’s time to retire them if you want to remain credible. And next time, the talking points should stand the test of time.
Gonzalo San Gil, PhD.

Project fosters free, open, secure public hotspots ·  LinuxGizmos.com - 1 views

  •  
    "The EFF's Open Wireless Router project is developing an open source CeroWRT-based Linux stack for secure, WiFi routers that can publicly share data." # ! #Access for #Everyone
  •  
    "The EFF's Open Wireless Router project is developing an open source CeroWRT-based Linux stack for secure, WiFi routers that can publicly share data." # ! #Access for #Everyone
Paul Merrell

Verizon Injecting Perma-Cookies to Track Mobile Customers, Bypassing Privacy Controls |... - 0 views

  • Verizon users might want to start looking for another provider. In an effort to better serve advertisers, Verizon Wireless has been silently modifying its users' web traffic on its network to inject a cookie-like tracker. This tracker, included in an HTTP header called X-UIDH, is sent to every unencrypted website a Verizon customer visits from a mobile device. It allows third-party advertisers and websites to assemble a deep, permanent profile of visitors' web browsing habits without their consent.Verizon apparently created this mechanism to expand their advertising programs, but it has privacy implications far beyond those programs. Indeed, while we're concerned about Verizon's own use of the header, we're even more worried about what it allows others to find out about Verizon users. The X-UIDH header effectively reinvents the cookie, but does so in a way that is shockingly insecure and dangerous to your privacy. Worse still, Verizon doesn't let users turn off this "feature." In fact, it functions even if you use a private browsing mode or clear your cookies. You can test whether the header is injected in your traffic by visiting lessonslearned.org/sniff or amibeingtracked.com over a cell data connection.How X-UIDH Works, and Why It's a Problem
  • To compound the problem, the header also affects more than just web browsers. Mobile apps that send HTTP requests will also have the header inserted. This means that users' behavior in apps can be correlated with their behavior on the web, which would be difficult or impossible without the header. Verizon describes this as a key benefit of using their system. But Verizon bypasses the 'Limit Ad Tracking' settings in iOS and Android that are specifically intended to limit abuse of unique identifiers by mobile apps.
  • Because the header is injected at the network level, Verizon can add it to anyone using their towers, even those who aren't Verizon customers.
  • ...1 more annotation...
  • We're also concerned that Verizon's failure to permit its users to opt out of X-UIDH may be a violation of the federal law that requires phone companies to maintain the confidentiality of their customers' data. Only two months ago, the wireline sector of Verizon's business was hit with a $7.4 million fine by the Federal Communications Commission after it was caught using its "customers' personal information for thousands of marketing campaigns without even giving them the choice to opt out." With this header, it looks like Verizon lets its customers opt out of the marketing side of the program, but not from the disclosure of their browsing habits.
‹ Previous 21 - 33 of 33
Showing 20 items per page