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John Lemke

Revisiting The Purpose Of The Copyright Monopoly: Science And The Useful Arts | Torrent... - 0 views

  • If there’s one thing that needs constant reminding, it’s the explicit purpose of the copyright monopoly. Its purpose is to promote the progress of human knowledge. Nothing less. Nothing more.
  • [Congress has the power] to promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.
  • has the power, and not the obligation
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  • two kinds of monopolies: copyright monopolies and patent monopolies, respectively. Science and the useful arts. The “science” part refers to the copyright monopoly, and the “useful arts” has nothing to do with creative works – it is “arts” in the same sense as “artisan”, that is, craftsmanship.
  • the purpose of the copyright monopoly isn’t to enable somebody to make money, and never was. Its sole purpose was and is to advance humanity as a whole. The monopoly begins and ends with the public interest; it does not exist for the benefit of the author and inventor.
  • The second thing we note is the “science” part. The US Constitution only gives Congress the right to protect works of knowledge – educational works, if you like – with a copyright monopoly. “Creative works” such as movies and music are nowhere to be found whatsoever in this empowerment of Congress to create temporary government-sanctioned monopolies.
  • Which brings us to the third notable item: “the exclusive right”. This is what we would refer to colloquially as a “monopoly”. The copyright industry has been tenacious in trying to portray the copyright monopoly as “property”, when in reality, the exclusive rights created are limitations of property rights (it prohibits me from storing the bitpatterns of my choosing on my own hardware). Further, it should be noted that this monopoly is not a guarantee to make money. It is a legal right to prevent others from attempting to do so. There’s a world of difference. You can have all the monopolies you like and still not make a cent.
  • The fourth notable item is the “for limited times”. This can be twisted and turned in many ways, obviously; it has been argued that “forever less a day” is still “limited” in the technical sense. But from my personal perspective – and I’ll have to argue, from the perspective of everybody reading this text – anything that extends past our time of death is not limited in time.
John Lemke

Brazil looks to protect privacy and net neutrality with internet bill of rights | The V... - 0 views

  • "The internet you want is only possible in an environment of respect for human rights," Rousseff said in a statement on her website, "especially privacy and freedom of expression."
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    ""The internet you want is only possible in an environment of respect for human rights," Rousseff said in a statement on her website, "especially privacy and freedom of expression.""
John Lemke

DOJ Lawyer Explores 'Copyright Freeconomics'; Suggests Copyright Needs To Change | Tech... - 0 views

  • Industry organizations have abandoned litigation efforts, and many copyright owners now compete directly with infringing products by offering licit content at a price of $0.
  • This sea change has ushered in an era of “copyright freeconomics.” Drawing on an emerging body of behavioral economics and consumer psychology literature, this Article demonstrates that, when faced with the “magic” of zero prices, the neoclassical economic model underpinning modern U.S. copyright law collapses. As a result, the shift to a freeconomic model raises fundamental questions that lie at the very heart of copyright law and theory. What should we now make of the established distinction between “use” and “ownership”? To what degree does the dichotomy separating “utilitarian” from “moral” rights remain intact? And — perhaps most importantly — has copyright’s ever-widening law/norm divide finally been stretched to its breaking point? Or can copyright law itself undergo a sufficiently radical transformation and avoid the risk of extinction through irrelevance?
  • The other interesting bit of the report is Newman's suggestion that an interesting proposal for changing copyright laws that might actually make traditional "maximalists" and "minimalists" both happy is to increase more moral rights for copyright -- and allow copyright holders to effectively choose if they want to enforce the "economic" rights to exclude by going after statutory damages, or, alternatively, enforce the "moral" rights to protect their reputation. His argument is that this might fit better with the nature of content creation today:
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    "John Newman"
John Lemke

Brazil passes an Internet 'Bill of Rights' - San Jose Mercury News - 0 views

  • It also makes Internet service providers not liable for content published by their users and requires them to comply with court orders to remove offensive material.
  • "Our legislation can influence the worldwide debate aimed at finding a way to guarantee real rights in a virtual world,"
John Lemke

The White House Big Data Report: The Good, The Bad, and The Missing | Electronic Fronti... - 0 views

  • the report recognized that email privacy is critical
  • one issue was left conspicuously unaddressed in the report. The Securities and Exchange Commission, the civil agency in charge of protecting investors and ensuring orderly markets, has been advocating for a special exception to the warrant requirement. No agency can or should have a get-out-of-jail-free card for bypassing the Fourth Amendment.
  • the algorithm is only as fair as the data fed into it.
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  • the danger of discrimination remains due to the very digital nature of big data
  • especially the elderly, minorities, and the poor
  • an example of this in Boston, which had a pilot program to allow residents to report potholes through a mobile app but soon recognized that the program was inherently flawed because “wealthy people were far more likely to own smart phones and to use the Street Bump app. Where they drove, potholes were found; where they didn’t travel, potholes went unnoted.”
  • The authors of the report agree, recommending that the Privacy Act be extended to all people, not just US persons.
  • metadata (the details associated with your communications, content, or actions, like who you called, or what a file you uploaded file is named, or where you were when you visited a particular website) can expose just as much information about you as the “regular” data it is associated with, so it deserves the same sort of privacy protections as “regular” data.
    • John Lemke
       
      What is Metadate... then discuss
  • The report merely recommended that the government look into the issue.
    • John Lemke
       
      Did the report give a strong enough recommendation? "looking into" and doing are much different
  • several other government reports have taken a much stronger stance and explicitly stated that metadata deserves the same level of privacy protections as “regular” data.
  • We think the report should have followed the lead of the PCAST report and acknowledged that the distinction between data and metadata is an artificial one, and recommended the appropriate reforms.
    • John Lemke
       
      I very strongly agree.  The report failed in this area.
  • the White House suggested advancing the Consumer Privacy Bill of Rights, which includes the idea that “consumers have a right to exercise control over what personal data companies collect from them and how they use it,” as well as “a right to access and correct personal data.”
  • Consumers have a right to know when their data is exposed, whether through corporate misconduct, malicious hackers, or under other circumstances. Recognizing this important consumer safeguard, the report recommends that Congress “should pass legislation that provides a single national data breach standard along the lines of the Administration's May 2011 Cybersecurity legislative proposal.”
  • While at first blush this may seem like a powerful consumer protection, we don’t think that proposal is as strong as existing California law. The proposed federal data breach notification scheme would preempt state notification laws, removing the strong California standard and replacing it with a weaker standard.
    • John Lemke
       
      In other words, it failed at what can be done and it would actually lower standards when compared to what California has in place currently.
  • We were particularly disconcerted
  • the Fort Hood shooting by Major Nidal Hasan
    • John Lemke
       
      WTF? how did he get in this group?
  • two big concerns
  • First, whistleblowers are simply not comparable to an Army officer who massacres his fellow soldiers
  • Secondly, the real big-data issue at play here is overclassification of enormous quantities of data.
  • Over 1.4 million people hold top-secret security clearances. In 2012, the government classified 95 million documents. And by some estimates, the government controls more classified information than there is in the entire Library of Congress.
    • John Lemke
       
      Don't leave this stat out.  More classified documents than LOC documents.  WTF? A "democracy" with more secret documents than public?
  • The report argues that in today’s connected world it’s impossible for consumers to keep up with all the data streams they generate (intentionally or not), so the existing “notice and consent” framework (in which companies must notify and get a user’s consent before collecting data) is obsolete. Instead, they suggest that more attention should be paid to how data is used, rather than how it is collected.
    • John Lemke
       
      This is the most troubling part perhaps,  isn't the collection without consent where the breech of privacy begins?
    • John Lemke
       
      "notice and consent"
  • An unfortunate premise of this argument is that automatic collection of data is a given
  • While we agree that putting more emphasis on responsible use of big data is important, doing so should not completely replace the notice and consent framework.
  • Despite being a fairly thorough analysis of the privacy implications of big data, there is one topic that it glaringly omits: the NSA’s use of big data to spy on innocent Americans.
    • John Lemke
       
      If we ignore it, it will go away?  Did they not just mostly ignore it and accept it as a given for corporations and completely ignore it regarding the government? Pretty gangster move isn't it?
  • Even though the review that led to this report was announced during President Obama’s speech on NSA reform, and even though respondents to the White House’s Big Data Survey “were most wary of how intelligence and law enforcement agencies are collecting and using data about them,” the report itself is surprisingly silent on the issue.2 This is especially confusing given how much the report talks about the need for more transparency in the private sector when it comes to big data. Given that this same logic could well be applied to intelligence big data programs, we don’t understand why the report did not address this vital issue.
John Lemke

Ask Ethan #55: Could a Manned Mission to Mars Abort? - Starts With A Bang! - Medium - 0 views

  • No humans have ever traveled farther away from Earth than the crew of Apollo 13 did, as they circled around the far side of the Moon close to lunar apogee, achieving a maximum distance of 400,171 km above the Earth’s surface on April 15, 1970. But when the first manned spaceflight to another planet occurs, that record will be shattered, and in a mere matter of days.
  • The way we currently reach other worlds with our present technology — or any remote location in the Universe — involves three distinct stages:The initial launch, which overcomes the Earth’s gravitational binding energy and starts our spacecraft off with a reasonably large (on the order of a few km/s) velocity relative to the Earth’s motion around the Sun.On-board course corrections, where very small amounts of thrust accelerate the spacecraft to its optimal trajectory.And gravity assists, where we use the gravitational properties of other planets in orbit around the Sun to change our spacecraft’s velocity, either increasing or decreasing its speed with every encounter.It’s through the combination of these three actions that we can reach any location — if we’re patient and we plan properly — with only our current rocket technology.
    • John Lemke
       
      How we can do it now, if we plan right.
  • The initial launch is a very hard part right now. It takes a tremendous amount of resources to overcome the Earth’s gravitational pull, to accelerate a significant amount of mass to the Earth’s escape velocity, and to raise it all the way up through the Earth’s atmosphere.
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  • The most optimal one for a one-way trip to Mars, for those of you wondering, that minimizes both flight time and the amount of energy needed, involves simply timing your launch right.
    • John Lemke
       
      The cheapest and the fastest. The one way ticket option.
  • When a planet orbits the Sun, there’s a lot of energy in that system, both gravitational energy and kinetic energy. When a third body interacts gravitationally as well, it can either gain some energy by stealing it from the Sun-planet system, or it can lose energy by giving it up to the Sun-planet system. The amount of energy performed by the spacecraft’s thrusters is often only 20% (or less) of the energy either gained-or-lost from the interaction!
    • John Lemke
       
      The transfer of energy involved to change speeds.
John Lemke

Cops Seize Car When Told To Get A Warrant, Tell Owner That's What He Gets For 'Exercisi... - 0 views

  • Officer Hatch spent most of his time trying to talk Zullo into allowing him to search the vehicle without a warrant. Hatch seemed to be convinced that Zullo was involved with the heroin traffickers he was searching for. Hatch tried everything, including lying.
  • As the officers and Zullo waited for the tow truck, they continued to try to get his permission for a search. Zullo held firm, so the cops ditched him miles from home in 20-degree weather. Mr. Zullo asked Hatch if he could retrieve his money and cell phone from his car, because he did not know how he would get home without either item. Hatch refused, saying that getting home was “not my problem,” and warned Mr. Zullo that if he attempted to retrieve those items from the car he would be arrested. When Mr. Zullo walked towards his car, Hatch placed his hands on Mr. Zullo to restrain him from reaching the car. After the tow truck arrived and took Mr. Zullo’s car, Hatch and the second state trooper left the scene, leaving Mr. Zullo stranded on the side of Route 7.
    • John Lemke
       
      They stranded him.
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  • After being seized, Zullo's car was searched by Officer Hatch using an actual drug dog and an actual warrant [pdf link]. Nothing illegal was uncovered.
    • John Lemke
       
      They found nothing other than a possible civil charge.
  • Both the drug angle and the registration sticker angle dead end into a search and seizure based on non-criminal actions. The state does have an out (one that will likely be deployed in its defense against Zully's lawsuit) that still allows law enforcement to search for marijuana, even if what's discovered isn't a criminal amount.
John Lemke

Police Delete Aftermath Footage Of Suspect Shot 41 Times | Techdirt - 0 views

  • Wallace took cellphone pictures and video after the shooting stopped, but he said Mesquite police confiscated the phone and deleted the video and pictures. The phone was returned four days later, he said.
  • The law states that police need a court order to confiscate a camera unless it was used in a commission of a crime. The only exception is if there are exigent circumstances, such as a strong belief that the witness will destroy the photos, therefore destroying evidence. Under no circumstances do police have the right to delete footage.
John Lemke

David Byrne and Cory Doctorow Explain Music and the Internet | culture | Torontoist - 0 views

  • Byrne and Doctorow were there to talk about how the internet has affected the music business. While that was certainly a large part of the discussion, the conversation also touched on all the ways technology and music interact, from file sharing to sampling.
  • Doctorow pointed out that two of the best-selling and most critically acclaimed hip-hop records of the 1980s—Public Enemy’s It Takes a Nation of Millions to Hold Us Back, and the Beastie Boys Paul’s Boutique—would have each cost roughly $12 million to make given today’s rules surrounding sample clearance.
  • “In the world of modern music, there are no songs with more than one or two samples, because no one wants to pay for that,” Doctorow said. “So, there’s a genre of music that, if it exists now, exists entirely outside the law. Anyone making music like Paul’s Boutique can’t make money from it, and is in legal jeopardy for having done it. Clearly that’s not what we want copyright to do.” When the conversation turned to downloads and digital music distribution, both men were surprisingly passionate on the topic of digital rights management, and how it’s fundamentally a bad idea.
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  • Doctorow argued that the way humans have historically shared music is totally antithetical to the idea of copyright laws. He pointed out that music predates not only the concept of copyright, but language itself. People have always wanted to share music, and, in an odd way, the sharing of someone else’s music is embedded in the industry’s business model, no matter how badly some may want to remove it.
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    "Doctorow pointed out that two of the best-selling and most critically acclaimed hip-hop records of the 1980s-Public Enemy's It Takes a Nation of Millions to Hold Us Back, and the Beastie Boys Paul's Boutique-would have each cost roughly $12 million to make given today's rules surrounding sample clearance."
John Lemke

Massachusetts Man Charged Criminally For Videotaping Cop... Despite Earlier Lawsuit Rej... - 0 views

  • You may remember a high-profile, landmark ruling last year in Massachusetts, where charges against Simon Glik -- arrested for violating a state law that said it's "wiretapping" to record a police officer in public without his permission -- weren't just dropped, but the arrest was found to be both a First and Fourth Amendment violation. In the end, Boston was forced to pay Glik $170,000 for violating his civil rights. You would think that story would spread across Massachusetts pretty quickly and law enforcement officials and local district attorneys would recognize that filing similar charges would be a certified bad idea. Not so, apparently, in the town of Shrewsbury. Irving J. Espinosa-Rodrigue was apparently arrested and charged under the very same statute after having a passenger in his car videotape a traffic stop for speeding, and then posting the video on YouTube. Once again, the "issue" is that Massachusetts is a "two-party consent" state, whereby an audio recording can't be done without first notifying the person being recorded, or its deemed a "wiretap." This interpretation, especially when dealing with cops in public, is flat-out ridiculous and unconstitutional, as the Glik ruling showed.
John Lemke

FCC to buy out TV broadcasters to free up mobile spectrum | Ars Technica - 0 views

    • John Lemke
       
      I had my first issue at step one, "asks broadcasters to tell the FCC how much it wold take for the agency to buy them out".  They claim that this is a way to keep cost down by hopefully grabbing the least popular via low bids.   I see two issues immediately.  Number one by asking them what they want they are going to immediately INCREASE the bids.  Two, if you are asking me what I want for my business to change how it broadcasts why would I not include any expense to make the switch. By asking them what they think a fair bid would be, they are, more or less, giving them a blank check.
  • the commission will put the newly-freed blocks of spectrum up for auction. If, as expected, the spectrum is more valuable when used for mobile services than broadcast television, then the FCC should reap significantly more from these traditional auctions than it had to pay for the spectrum in the original reverse auctions, producing a tidy profit for taxpayers.
    • John Lemke
       
      The objective at an auction is to purchase the object at the lowest possible cost.  How much mobile providers are willing to pay will determine how high bids will climb.  Based on how our current mobile providers already provide poor service when compared to the rest of the world, how much is that bandwidth actually worth to these companies that, more or less, have a lobbied stranglehold on the consumer?
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  • Bergmayer also praised an FCC proposal to update its "spectrum screen," a set of rules that prevent any single provider from gaining too large a share of the spectrum available in a particular market. The current scheme, he said, "treats all spectrum alike, even though some spectrum bands are better-suited to mobile broadband than others." As a result, he argued, it has become ineffective at preventing Verizon and AT&T from gaining enough spectrum to threaten competition. He urged the FCC to revise the rules to ensure the new auctions don't further entrench the dominance of the largest incumbents.
    • John Lemke
       
      It is the stuff like this that worries me, on one hand they want a high bid, and on the other it is going to be regulated.
  • Over the last decade, it has become increasingly obvious that America's spectrum resources are mis-allocated. The proliferation of cell phones, and more recently smartphones and tablets, has given mobile providers a voracious appetite for new spectrum. But a big chunk of the available spectrum is currently occupied by broadcast television stations. With more and more households subscribed to cable, satellite, and Internet video services, traditional broadcast television is looking like an increasingly outmoded use of the scarce and valuable airwaves.
  • incumbent broadcasters have controlled their channels for so long that they've come to be regarded as de facto property rights. And needless to say, the politically powerful broadcasters have fiercely resisted any efforts to force them to relinquish their spectrum.
  • incentive auctions
  • The plan has three phases. In the first phase, the FCC will conduct a reverse auction in which it asks broadcasters to tell the FCC how much it would take for the agency to buy them out. Presumably, the least popular (and, therefore, least profitable) channels will submit the lowest bids. By accepting these low bids, the FCC can free up the maximum possible spectrum at the minimum cost
John Lemke

DDoS attacks on major US banks are no Stuxnet-here's why | Ars Technica - 0 views

  • More unusually, the attacks also employed a rapidly changing array of methods to maximize the effects of this torrent of data. The uncommon ability of the attackers to simultaneously saturate routers, bank servers, and the applications they run—and to then recalibrate their attack traffic depending on the results achieved—had the effect of temporarily overwhelming the targets."This very well could be a kid sitting in his mom's basement in Ohio launching these attacks." "It used to be DDoS attackers would try one method and they were kind of one-trick ponies," Matthew Prince, CEO and founder of CloudFlare, told Ars. "What these attacks appear to have shown is there are some attackers that have a full suite of DDoS methods, and they're trying all kinds of different things and continually shifting until they find something that works. It's still cavemen using clubs, but they have a whole toolbox full of different clubs they can use depending on what the situation calls for."
John Lemke

Personal file-sharing is legal in Portugal, prosecutor says | Ars Technica - 0 views

  • Portugese prosecutors have declined to press charges against individuals accused of file sharing
  • “From a legal point of view, while taking into account that users are both uploaders and downloaders in these file-sharing networks, we see this conduct as lawful, even when it’s considered that the users continue to share once the download is finished.” The prosecutor adds that the right to education, culture, and freedom of expression on the Internet should not be restricted in cases where the copyright infringements are clearly non-commercial. In addition, the order notes that an IP-address is not a person.
John Lemke

OverDrive Dumps WMA, Announces all Audiobooks Sold to Libraries Will be in MP3 Format - 0 views

  • The MP3s do not have DRM (Digital Rights Management), as the WMA formatted books do.
  • OverDrive told librarians that it will work with them to get libraries' old WMA format books converted for free.
  • This is in response to user preferences,
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    Quote "This is in response to user preferences" ... also of note they are going to work with libraries on getting the old WMA converted.
John Lemke

Surprise: ASCAP and Music Labels Colluded To Screw Pandora | Techdirt - 0 views

  • A key part of this was that the major labels, key members of ASCAP, suddenly started "dropping out" of ASCAP in order to do licensing directly. At first we thought this was a sign of how the labels might be realizing that ASCAP was obsolete and out of touch, but it has since become clear that these "removals" were all something of a scam to force Pandora into higher rates.
  • What happened was that ASCAP and Pandora had first negotiated a higher rate than Pandora had agreed to in the past -- reaching a handshake agreement. However, before that agreement could be finalized, these labels started "withdrawing" from ASCAP in order to negotiate directly. As part of that, both ASCAP and the labels refused to tell Pandora which songs had been withdrawn, meaning that if Pandora accidentally played one of the withdrawn songs (again, without knowing which songs were withdrawn),
  • Your Honor, by the time Pandora asked for this information on November 1st, both ASCAP and Mr. Brodsky [Sony Executive VP] had in their possession this very list. The deposition testimony from ASCAP was that this list as is could have been delivered to Pandora within 24 hours were it only to get the go-ahead from Sony to do so. ASCAP never received the go-ahead. We cited much of the internal back-and-forth on this in our briefs... My favorite is the following exchange between Mr. DeFilippis and Mr. Reimer of ASCAP on December 19th, 2013, PX 193. You see the question being asked by Mr. DeFilippis: why didn't Sony provide the list to Pandora? Mr. Reimer's response: Ask me tomorrow. Mr. DeFilippis: Right. With drink in hand. And the inference here is just incredible. This data was sitting there, your Honor, and nobody was willing to give it to Pandora.
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  • There's a lot more in there, but it seems abundantly clear that these labels "withdrawing" from ASCAP had nothing to do with competition or market rates. It appears that it had little to do with even withdrawing from ASCAP. Instead, it seems to have been designed from the start to basically screw over Pandora, in what certainly smells an awful lot like collusion, by forcing Pandora to pay exorbitant rates or suddenly face a massive copyright liability because no one would tell them what songs were being "withdrawn" from an existing licensing agreement.
John Lemke

Rep. Goodlatte Slips Secret Change Into Phone Unlocking Bill That Opens The DMCA Up For... - 0 views

  • Because of section 1201 of the DMCA, the "anti-circumvention" provision, companies have been abusing copyright law to block all sorts of actions that are totally unrelated to copyright. That's because 1201 makes it illegal to circumvent basically any "technological protection measures." The intent of the copyright maximalists was to use this section to stop people from breaking DRM. However, other companies soon distorted the language to argue that it could be used to block certain actions totally unrelated to copyright law -- such as unlocking garage doors, ink jet cartridges, gaming accessories... and phones
  • Separately, every three years, the Librarian of Congress gets to announce "exemptions" to section 1201 where it feels that things are being locked up that shouldn't be. Back in 2006, one of these exemptions involved mobile phone unlocking.
  • Every three years this exemption was modified a bit, but in 2012, for unexplained reasons, the Librarian of Congress dropped that exemption entirely, meaning that starting in late January of 2013, it was possible to interpret the DMCA to mean that phone unlocking was illegal. In response to this there was a major White House petition -- which got over 100,000 signatures, leading the White House to announce (just weeks later) that it thought unlocking should be legal -- though, oddly, it seemed to place the issue with the FCC to fix, rather than recognizing the problem was with current copyright law.
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  • While this gives Goodlatte and other maximalists some sort of plausible deniability that this bill is making no statement one way or the other on bulk unlocking, it certainly very strongly implies that Congress believes bulk unlocking is, in fact, still illegal. And that's massively problematic on any number of levels, in part suggesting that the unlocker's motives in unlocking has an impact on the determination under Section 1201 as to whether or not it's legal. And that's an entirely subjective distinction when a bill seems to assume motives, which makes an already problematic Section 1201 much more problematic. Without that clause, this seemed like a bill that was making it clear that you can't use the DMCA to interfere with an issue that is clearly unrelated to copyright, such as phone unlocking. But with this clause, it suggests that perhaps the DMCA's anti-circumvention clause can be used for entirely non-copyright issues if someone doesn't like the "motive" behind the unlocker.
  • Unfortunately, the bill was deemed so uncontroversial that it's been listed on the suspension calendar of the House, which is where non-controversial bills are put to ensure quick passage. That means that, not only did Goodlatte slip in a significant change to this bill that impacts the entire meaning and intent of the bill long after it went through the committee process (and without informing anyone about it), but he also got it put on the list of non-controversial bills to try to have it slip through without anyone even noticing.
John Lemke

NSA paid $10 Million bribe to RSA Security for Keeping Encryption Weak - 0 views

  • According to an exclusive report published by Reuters, there is a secret deal between the NSA and respected encryption company RSA to implement a flawed security standard as the default protocol in its products.
  • Earlier Edward Snowden leaks had revealed that the NSA created a flawed random number generation system (Dual_EC_DRBG), Dual Elliptic Curve, which RSA used in its Bsafe security tool and now Snowden has revealed that RSA received $10 million from NSA for keeping Encryption Weak. So, anyone who knows the right numbers used in Random number generator program, can decipher the resulting cryptotext easily.
John Lemke

Exclusive: Secret contract tied NSA and security industry pioneer | Reuters - 0 views

  • Documents leaked by former NSA contractor Edward Snowden show that the NSA created and promulgated a flawed formula for generating random numbers to create a "back door" in encryption products, the New York Times reported in September. Reuters later reported that RSA became the most important distributor of that formula by rolling it into a software tool called Bsafe that is used to enhance security in personal computers and many other products.Undisclosed until now was that RSA received $10 million in a deal that set the NSA formula as the preferred, or default, method for number generation in the BSafe software, according to two sources familiar with the contract. Although that sum might seem paltry, it represented more than a third of the revenue that the relevant division at RSA had taken in during the entire previous year, securities filings show.
  • RSA, meanwhile, was changing. Bidzos stepped down as CEO in 1999 to concentrate on VeriSign, a security certificate company that had been spun out of RSA. The elite lab Bidzos had founded in Silicon Valley moved east to Massachusetts, and many top engineers left the company, several former employees said.And the BSafe toolkit was becoming a much smaller part of the company. By 2005, BSafe and other tools for developers brought in just $27.5 million of RSA's revenue, less than 9% of the $310 million total."When I joined there were 10 people in the labs, and we were fighting the NSA," said Victor Chan, who rose to lead engineering and the Australian operation before he left in 2005. "It became a very different company later on."By the first half of 2006, RSA was among the many technology companies seeing the U.S. government as a partner against overseas hackers.New RSA Chief Executive Art Coviello and his team still wanted to be seen as part of the technological vanguard, former employees say, and the NSA had just the right pitch. Coviello declined an interview request.An algorithm called Dual Elliptic Curve, developed inside the agency, was on the road to approval by the National Institutes of Standards and Technology as one of four acceptable methods for generating random numbers. NIST's blessing is required for many products sold to the government and often sets a broader de facto standard.RSA adopted the algorithm even before NIST approved it. The NSA then cited the early use of Dual Elliptic Curve inside the government to argue successfully for NIST approval, according to an official familiar with the proceedings.RSA's contract made Dual Elliptic Curve the default option for producing random numbers in the RSA toolkit. No alarms were raised, former employees said, because the deal was handled by business leaders rather than pure technologists.
  • Within a year, major questions were raised about Dual Elliptic Curve. Cryptography authority Bruce Schneier wrote that the weaknesses in the formula "can only be described as a back door."
John Lemke

NSA reportedly intercepting laptops purchased online to install spy malware | The Verge - 0 views

  • According to a new report from Der Spiegel based on internal NSA documents, the signals intelligence agency's elite hacking unit (TAO) is able to conduct sophisticated wiretaps in ways that make Hollywood fantasy look more like reality. The report indicates that the NSA, in collaboration with the CIA and FBI, routinely and secretly intercepts shipping deliveries for laptops or other computer accessories in order to implant bugs before they reach their destinations. According to Der Spiegel, the NSA's TAO group is able to divert shipping deliveries to its own "secret workshops" in a method called interdiction, where agents load malware onto the electronics or install malicious hardware that can give US intelligence agencies remote access. While the report does not indicate the scope of the program, or who the NSA is targeting with such wiretaps, it's a unique look at the agency's collaborative efforts with the broader intelligence community to gain hard access to communications equipment. One of the products the NSA appears to use to compromise target electronics is codenamed COTTONMOUTH, and has been available since 2009; it's a USB "hardware implant" that secretly provides the NSA with remote access to the compromised machine.
  • The Der Spiegel report, which gives a broad look at TAO operations, also highlights the NSA's cooperation with other intelligence agencies to conduct Hollywood-style raids. Unlike most of the NSA's operations which allow for remote access to targets, Der Spiegel notes that the TAO's programs often require physical access to targets. To gain physical access, the NSA reportedly works with the CIA and FBI on sensitive missions that sometimes include flying NSA agents on FBI jets to plant wiretaps. "This gets them to their destination at the right time and can help them to disappear again undetected after even as little as a half hour's work," the report notes.
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    While the scope or the targets are reportedly not known, the article also does not mention anything about a search warrant. This is what happens when the government feels they are above the law.
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