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State attorneys general of 48 states, Puerto Rico and the District of Columbia announced a major probe Monday into Google's dominance in search and advertising for practices that harm competition as well as consumers. Texas Attorney General Ken Paxton is leading the bipartisan pack.

The investigation includes all the states, except for California and Alabama.

Google has the power to put a user on page 1 or 100. European regulators have charged Google with abusing that power and, following years-long investigations, they issued multi-billion-dollar fines. The tech giant, along with Facebook, controls nearly 60% of all digital advertising, according to eMarketer. A wide range of businesses that must publicize their services — be it a hair stylist, a hospital or a Fortune 500 company — must abide by the terms and prices set by two companies. But, as eMarketer notes, the duopoly's control is diminishing as Amazon grows.

The state attorneys in more than a dozen states are preparing to begin an antitrust investigation of the tech giants, The Wall Street Journal and The New York Times reported Monday, putting the spotlight on an industry that is already facing federal scrutiny.The bipartisan group of attorneys from as many as 20 states is expected to formally launch a probe as soon as next month to assess whether tech companies are using their dominant market position to hurt competition, the WSJ reported.If true, the move follows the Department of Justice, which last month announced its own antitrust review of how online platforms scaled to their gigantic sizes and whether they are using their power to curb competition and stifle innovation. Earlier this year, the Federal Trade Commission formed a task force to monitor competition among tech platforms.

The U.S. Department of Justice is investigating whether big technology companies are engaged in anticompetitive behavior, addressing a rising tide of criticism they have become too powerful to the detriment of consumers.

The Justice Department has said it will investigate “whether and how” online platforms in “search, social media, and some retail services online” are engaging in behavior that stifles competition and harms consumers. While the Justice Department did not name any targets in announcing the probe on Tuesday, sources have indicated Alphabet Inc’s Google, social media giant Facebook Inc, online retailer Amazon.com Inc and possibly Apple Inc will likely be reviewed. Here’s what regulators could focus on at the big technology companies:

Just before midnight on Friday, at the close of what was a hectic month for markets, WSJ dropped a bombshell of a story: The paper reported that the DoJ has opened an anti-trust investigation of Alphabet Inc., which could "present a major new layer of regulatory scrutiny for the search giant, according to people familiar with the matter." The report was sourced to "people familiar with the matter," but was swiftly corroborated by the New York Times, Bloomberg and others. For months now, the FTC has appeared to be gearing up for a showdown with big tech. The agency - which shares anti-trust authority with the DoJ - has created a new commission that could help undo big-tech tie-ups like Facebook's acquisition of Instagram, and hired lawyers who have advanced new anti-monopoly theories that would help justify the breakup of companies like Amazon. But as it turns out, the Trump administration's first salvo against big tech didn't come from the FTC; instead, this responsibility has been delegated to the DoJ, which has reportedly been tasked with supervising the investigation into Google. That's not super surprising, since the FTC already had its chance to nail Google with an anti-monopoly probe back in 2013. But the agency came up short. From what we can tell, it appears the administration will divvy up responsibility for any future anti-trust investigations between the two agencies, which means the FTC - which is already reportedly preparing to levy a massive fine against Facebook - could end up taking the lead in those cases.

Though WSJ didn't specify which aspects of Google's business might come under the microscope, a string of multi-billion-euro fines recently levied by the EU might offer some guidance. The bloc's anti-trust authority, which has been far more eager to take on American tech giants than its American counterpart (for reasons that should be obvious to all), has fined Google over its practice of bundling software with its standard Android license, the way its search engine rankings favor its own product listings, and ways it has harmed competition in the digital advertising market. During the height of the controversy over big tech's abuses of sensitive user data last year, the Verge published a story speculating about how the monopolistic tendencies of each of the dominant Silicon Valley tech giants could be remedied. For Google, the Verge argued, the best remedy would be a ban on acquisitions - a strategy that has been bandied about in Congress.

As traders focused on bank earnings and the outlook for global growth, NBC News wrested the market's attention back toward Facebook by publishing a report on what appears to be the largest leak of internal documents since the data privacy scandal that has dogged the company for more than a year erupted with the first reports about Cambridge Analytica's 'improper' leveraging of Facebook user data to influence elections.

Some 4,000 pages of documents shared with the network news organization by a journalist affiliated with the ICIJ, the same organization that helped bring us the Panama Papers leaks, revealed that Facebook had employed sensitive user data as a bargaining chip to attract major advertisers and close other deals between 2011 and 2015, when the company was struggling to cement its business model following its botched 2012 IPO.

Facebook essentially offered companies like Amazon unfettered access to its data in exchange for agreeing to advertise on Facebook's platform, according to the documents, only a small fraction of which have been previously reported on. All of this was happening at a time when the company publicly professed to bee safeguarding user data.

“The intent is world domination,” Berners-Lee says with a wry smile. The British-born scientist is known for his dry sense of humor. But in this case, he is not joking.This week, Berners-Lee will launch Inrupt, a startup that he has been building, in stealth mode, for the past nine months. Backed by Glasswing Ventures, its mission is to turbocharge a broader movement afoot, among developers around the world, to decentralize the web and take back power from the forces that have profited from centralizing it. In other words, it’s game on for Facebook, Google, Amazon. For years now, Berners-Lee and other internet activists have been dreaming of a digital utopia where individuals control their own data and the internet remains free and open. But for Berners-Lee, the time for dreaming is over.

In a post published this weekend, Berners-Lee explains that he is taking a sabbatical from MIT to work full time on Inrupt. The company will be the first major commercial venture built off of Solid, a decentralized web platform he and others at MIT have spent years building.

f all goes as planned, Inrupt will be to Solid what Netscape once was for many first-time users of the web: an easy way in. And like with Netscape, Berners-Lee hopes Inrupt will be just the first of many companies to emerge from Solid.

Amazon’s face surveillance technology is the target of growing opposition nationwide, and today, there are 28 more causes for concern. In a test the ACLU recently conducted of the facial recognition tool, called “Rekognition,” the software incorrectly matched 28 members of Congress, identifying them as other people who have been arrested for a crime.  The members of Congress who were falsely matched with the mugshot database we used in the test include Republicans and Democrats, men and women, and legislators of all ages, from all across the country.

The false matches were disproportionately of people of color, including six members of the Congressional Black Caucus, among them civil rights legend Rep. John Lewis (D-Ga.). These results demonstrate why Congress should join the ACLU in calling for a moratorium on law enforcement use of face surveillance.

Internet censors have a new strategy in their bid to block applications and websites: pressuring the large cloud providers that host them. These providers have concerns that are much broader than the targets of censorship efforts, so they have the choice of either standing up to the censors or capitulating in order to maximize their business. Today’s internet largely reflects the dominance of a handful of companies behind the cloud services, search engines and mobile platforms that underpin the technology landscape. This new centralization radically tips the balance between those who want to censor parts of the internet and those trying to evade censorship. When the profitable answer is for a software giant to acquiesce to censors' demands, how long can internet freedom last? The recent battle between the Russian government and the Telegram messaging app illustrates one way this might play out. Russia has been trying to block Telegram since April, when a Moscow court banned it after the company refused to give Russian authorities access to user messages. Telegram, which is widely used in Russia, works on both iPhone and Android, and there are Windows and Mac desktop versions available. The app offers optional end-to-end encryption, meaning that all messages are encrypted on the sender's phone and decrypted on the receiver's phone; no part of the network can eavesdrop on the messages. Since then, Telegram has been playing cat-and-mouse with the Russian telecom regulator Roskomnadzor by varying the IP address the app uses to communicate. Because Telegram isn't a fixed website, it doesn't need a fixed IP address. Telegram bought tens of thousands of IP addresses and has been quickly rotating through them, staying a step ahead of censors. Cleverly, this tactic is invisible to users. The app never sees the change, or the entire list of IP addresses, and the censor has no clear way to block them all. A week after the court ban, Roskomnadzor countered with an unprecedented move of its own: blocking 19 million IP addresses, many on Amazon Web Services and Google Cloud. The collateral damage was widespread: The action inadvertently broke many other web services that use those platforms, and Roskomnadzor scaled back after it became clear that its action had affected services critical for Russian business. Even so, the censor is still blocking millions of IP addresses.

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

The U.S. Department of Homeland Security (DHS) is quietly building what will likely become the largest database of biometric and biographic data on citizens and foreigners in the United States. The agency’s new Homeland Advanced Recognition Technology (HART) database will include multiple forms of biometrics—from face recognition to DNA, data from questionable sources, and highly personal data on innocent people. It will be shared with federal agencies outside of DHS as well as state and local law enforcement and foreign governments. And yet, we still know very little about it.The records DHS plans to include in HART will chill and deter people from exercising their First Amendment protected rights to speak, assemble, and associate. Data like face recognition makes it possible to identify and track people in real time, including at lawful political protests and other gatherings. Other data DHS is planning to collect—including information about people’s “relationship patterns” and from officer “encounters” with the public—can be used to identify political affiliations, religious activities, and familial and friendly relationships. These data points are also frequently colored by conjecture and bias.

DHS currently collects a lot of data. Its legacy IDENT fingerprint database contains information on 220-million unique individuals and processes 350,000 fingerprint transactions every day. This is an exponential increase from 20 years ago when IDENT only contained information on 1.8-million people. Between IDENT and other DHS-managed databases, the agency manages over 10-billion biographic records and adds 10-15 million more each week.

DHS’s new HART database will allow the agency to vastly expand the types of records it can collect and store. HART will support at least seven types of biometric identifiers, including face and voice data, DNA, scars and tattoos, and a blanket category for “other modalities.” It will also include biographic information, like name, date of birth, physical descriptors, country of origin, and government ID numbers. And it will include data we know to by highly subjective, including information collected from officer “encounters” with the public and information about people’s “relationship patterns.”

The opening panel of the Stigler Center’s annual antitrust conference discussed the source of digital platforms’ power and what, if anything, can be done to address the numerous challenges their ability to shape opinions and outcomes present. 

Google CEO Sundar Pichai caused a worldwide sensation earlier this week when he unveiled Duplex, an AI-driven digital assistant able to mimic human speech patterns (complete with vocal tics) to such a convincing degree that it managed to have real conversations with ordinary people without them realizing they were actually talking to a robot.   While Google presented Duplex as an exciting technological breakthrough, others saw something else: a system able to deceive people into believing they were talking to a human being, an ethical red flag (and a surefire way to get to robocall hell). Following the backlash, Google announced on Thursday that the new service will be designed “with disclosure built-in.” Nevertheless, the episode created the impression that ethical concerns were an “after-the-fact consideration” for Google, despite the fierce public scrutiny it and other tech giants faced over the past two months. “Silicon Valley is ethically lost, rudderless and has not learned a thing,” tweeted Zeynep Tufekci, a professor at the University of North Carolina at Chapel Hill and a prominent critic of tech firms.   The controversial demonstration was not the only sign that the global outrage has yet to inspire the profound rethinking critics hoped it would bring to Silicon Valley firms. In Pichai’s speech at Google’s annual I/O developer conference, the ethical concerns regarding the company’s data mining, business model, and political influence were briefly addressed with a general, laconic statement: “The path ahead needs to be navigated carefully and deliberately and we feel a deep sense of responsibility to get this right.”

Google’s fellow FAANGs also seem eager to put the “techlash” of the past two years behind them. Facebook, its shares now fully recovered from the Cambridge Analytica scandal, is already charging full-steam ahead into new areas like dating and blockchain.   But the techlash likely isn’t going away soon. The rise of digital platforms has had profound political, economic, and social effects, many of which are only now becoming apparent, and their sheer size and power makes it virtually impossible to exist on the Internet without using their services. As Stratechery’s Ben Thompson noted in the opening panel of the Stigler Center’s annual antitrust conference last month, Google and Facebook—already dominating search and social media and enjoying a duopoly in digital advertising—own many of the world’s top mobile apps. Amazon has more than 100 million Prime members, for whom it is usually the first and last stop for shopping online.   Many of the mechanisms that allowed for this growth are opaque and rooted in manipulation. What are those mechanisms, and how should policymakers and antitrust enforcers address them? These questions, and others, were the focus of the Stigler Center panel, which was moderated by the Economist’s New York bureau chief, Patrick Foulis.

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.

A bill that would bring a local version of net neutrality to Oregon is headed for the Governor's desk.House Bill 4155 would prevent public bodies such as state and local governments and school districts, from contracting with broadband providers that engage in "paid prioritization."An example of paid prioritization would be a provider supplying faster internet speeds to an entity like Amazon's streaming service, provided Amazon pays an extra fee.The bill passed easily in both the House and Senate, despite opposition from several Republicans.

The Oregon Cable Telecommunications Association opposed the bill, as did Comcast and Century Link, two local broadband providers.

The United States takes pride in being a technological leader in the world. Companies such as Apple, Alphabet, IBM, Amazon and Microsoft have shaped our (digital) lives for many years and there is little indication of that changing anytime soon. But, as Statista's Felix Richter notes, when it comes to IT infrastructure however, the U.S. is lagging behind the world’s best (and many of its not-so-best), be it in terms of home broadband or wireless broadband speeds. According to OpenSignal's latest State of LTE report, the average 4G download speed in the United States was 16.31 Mbps in Q4 2017.

The United States takes pride in being a technological leader in the world. Companies such as Apple, Alphabet, IBM, Amazon and Microsoft have shaped our (digital) lives for many years and there is little indication of that changing anytime soon. But, as Statista's Felix Richter notes, when it comes to IT infrastructure however, the U.S. is lagging behind the world’s best (and many of its not-so-best), be it in terms of home broadband or wireless broadband speeds. According to OpenSignal's latest State of LTE report, the average 4G download speed in the United States was 16.31 Mbps in Q4 2017.

The United States takes pride in being a technological leader in the world. Companies such as Apple, Alphabet, IBM, Amazon and Microsoft have shaped our (digital) lives for many years and there is little indication of that changing anytime soon. But, as Statista's Felix Richter notes, when it comes to IT infrastructure however, the U.S. is lagging behind the world’s best (and many of its not-so-best), be it in terms of home broadband or wireless broadband speeds. According to OpenSignal's latest State of LTE report, the average 4G download speed in the United States was 16.31 Mbps in Q4 2017.

EFF filed a brief in federal court arguing that a lower court’s ruling jeopardizes the online platforms that make the Internet a robust platform for users’ free speech. The brief, filed in the U.S. Court of Appeals for the Ninth Circuit, argues that 47 U.S.C. § 230, enacted as part of the Communications Decency Act (known simply as “Section 230”) broadly protects online platforms, including review websites, when they aggregate or otherwise edit users’ posts. Generally, Section 230 provides legal immunity for online intermediaries that host or republish speech by protecting them against a range of laws that might otherwise be used to hold them legally responsible for what others say and do. Section 230’s immunity directly led to the development of the platforms everyone uses today, allowing people to upload videos to their favorite platforms such as YouTube, as well as leave reviews on Amazon or Yelp. It also incentivizes the creation of new platforms that can host users’ content, leading to more innovation that enables the robust free speech found online. The lower court’s decision in Consumer Cellular v. ConsumerAffairs.com, however, threatens to undermine the broad protections of Section 230, EFF’s brief argues.

In the case, Consumer Cellular alleged, among other things, that ConsumerAffairs.com should be held liable for aggregating negative reviews about its business into a star rating. It also alleged that ConsumerAffairs.com edited or otherwise deleted certain reviews of Consumer Cellular in bad faith. Courts and the text of Section 230, however, plainly allow platforms to edit or aggregate user-generated content into summaries or star ratings without incurring legal liability, EFF’s brief argues. It goes on: “And any function protected by Section 230 remains so regardless of the publisher’s intent.” By allowing Consumer Cellular’s claims against ConsumerAffairs.com to proceed, the lower court seriously undercut Section 230’s legal immunity for online platforms. If the decision is allowed to stand, EFF’s brief argues, then platforms may take steps to further censor or otherwise restrict user content out of fear of being held liable. That outcome, EFF warns, could seriously diminish the Internet’s ability to serve as a diverse forum for free speech. The Internet it is constructed of and depends upon intermediaries. The many varied online intermediary platforms, including Twitter, Reddit, YouTube, and Instagram, all give a single person, with minimal resources, almost anywhere in the world the ability to communicate with the rest of the world. Without intermediaries, that speaker would need technical skill and money that most people lack to disseminate their message. If our legal system fails to robustly protect intermediaries, it fails to protect free speech online.

The inexorable slide into a world without Flash continues, with Google revealing plans to phase out support for Adobe's Flash Player in its Chrome browser for all but a handful of websites. And the company expects the changes to roll out by the fourth quarter of 2016. While it says Flash might have "historically" been a good way to present rich media online, Google is now much more partial to HTML5, thanks to faster load times and lower power use. As a result, Flash will still come bundled with Chrome, but "its presence will not be advertised by default." Where the Flash Player is the only option for viewing content on a site, users will need to actively switch it on for individual sites. Enterprise Chrome users will also have the option of switching Flash off altogether. Google will maintain support in the short-term for the top 10 domains using the player, including YouTube, Facebook, Yahoo, Twitch and Amazon. But this "whitelist" is set to be periodically reviewed, with sites removed if they no longer warrant an exception, and the exemption list will expire after a year. A spokesperson for Adobe said it was working with Google in its goal of "an industry-wide transition to Open Web standards," including the adoption of HTML5. "At the same time, given that Flash continues to be used in areas such as education, web gaming and premium video, the responsible thing for Adobe to do is to continue to support Flash with updates and fixes, as we help the industry transition," Adobe said in an emailed statement. "Looking ahead, we encourage content creators to build with new web standards."