Headlines in Tech 7 -14 Sep 2022

Headlines in Tech news of the week

White House’s Listening Session with experts identify Core Principles on Tech Platform Accountability

…any business designing digital products or services could do well to take these principles in mind from the outset. Having to remedy later could be an expensive business…Indeed, the FTC has recently said it will be making rules on Commercial Surveillance.

The Biden-Harris administration announced the following core principles [the below is my own summary – please refer to original for what exactly was said]:

  1. Promotion of competition – Dominant platforms are charging commissions and gathering information to their own advantage [eg. use of data of business on its own platform which is not public to further the platform’s offering – which the EU already regulating in the Digital Markets Act]. SMEs need to be able to compete effectively. Requires appropriate antitrust legislative provisions.
  2. Federal protection of citizens’ privacy – clear limits need to be implemented on the ability to collect, use, transfer, and maintain personal data. Burden on platforms to minimise data that they can collect, and must not leave it to citizens to read the terms and conditions. Sensitive data (geolocation, health etc) need to be especially safeguarded [Note under GDPR (s.9) circumstances in which sensitive data (special categories of personal data) can be processed are stricter than data which is not sensitive]. Requires appropriate privacy legislative provisions.
  3. Strong protection for childrens’ data – Safety and wellbeing of the young to be prioritised over profit in their design, including restricting excessive data collection and ad-targeting [Note: personally I think it should apply to vulnerable people generally or where vulnerable people might be exposed eg. gambling sites]. Recall Instagram has been recently fined for their past services which was held to be not adequately protecting young persons’ data in breach of GDPR. Some platforms are implementing system already to protect children’s wellbeing [eg. Instagram is rolling out nudges to encourage teens to switch to a different topic if it detects obsessive patterns concerning the same type of content (eg. dieting), TikTok’s feature reminding minors to take a break if they are watching videos for a prolonged period]
  4. Remove special protection for large tech platforms – Section 230 of the Communications Decency Act of the United States generally protects websites from liability over content uploaded by users or third parties even when they disseminate illegal, violent conduct or materials. S.230 provisions need to be revised. [Recall Apple and Google have been asked by Senator Brown what measures they are taking to ensure scammy crypto apps are not downloadable from their App Stores (and Apple was able to rely on s.230 recently on such a case). Note that executives of Alphabet, Reddit, Twitter and Meta have been subpoenaed by the US House Committee to explain their potential contribution to the Capital Hill riot of 2021, which includes explanation of what they have done to prevent it (if anything)]
  5. Increase transparency about platform’s algorithms and content moderation decisions – public and researchers need to understand how and why such decisions are made, their potential effects on users, and the very real dangers these decisions may pose. [China has recently implemented a rule that algorithm based services have to disclose the algorithms – the US should look at how this is being implemented, and how helpful it is, and carry out an assessment on the impact on competition].
  6. Stop discriminatory algorithmic decision-making – protections need to be afforded to protected groups by ensuring opportunities are shared [eg. A case where housing advertising that was not shown to a minority on Facebook, based on user profile] and prevent exposing vulnerable communities to risky products [eg. A case where gambling advert was alleged to have been shown to those that are likely to be gambling addicts], or through persistent surveillance. [As the data on which AI is being trained is likely to be inherently biased, platforms may need to implement positive measures to ensure there is no discrimination. Note: US FTC Commissioner Slaughter is reported to have stated that ” We need to be actively anti-racist”, and that the agency will research into how systems can ensure racial equity].

Note that there does not appear to be any forward looking measures such as getting large platforms to carry out a risk reduction analysis to reduce risk associated with among other things, dissemination of illegal content on an ongoing basis, provided for by the up-coming EU’s Digital Services Act.  

Artificial Intelligence

Meta to spin out its PyTorch AI platform to Linux Foundation’s newly formed PyTorch Foundation

…PyTorch was created and open-sourced by Facebook in 2016, and has become a well-used framework for deep learning, supporting machine learning applications. Its popularity owes itself to some features such as:

  • Use of Python as the main programming language for AI
  • Based on GPU accelerated framework
  • It supports tensors which provides a versatile tool to manipulate data
  • Torchvision module – image processing
  • Torchaudio module – audio processing
  • Wide community contributing to the framework, including AWS, AMD, Google, Meta, Microsoft, and Nvidia.

Meta says it will continue investing in Pytorch, and will use it for AI research and product applications.

AI software company Defcon AI launched with the backing of former Pentagon officials

…last week I covered the new AI accelerator platform Tradewind, which was set up by the US government. This week, a new AI software company has been announced, involving former Pentagon officials. The AI developed is a tool for generating operationally relevant insights for decision making in global mobility and logistics in distressed situations such as natural disasters, unanticipated events, and war.

Text to Video generator coming soon – Runway

…it will use Stable Diffusion AI.

South Korean AI software company Infiniq launches AI which anonymises video called Wellid

…the software deletes faces, number plates in video. Can be installed in data logging vehicle, for example.

BigTech/ Data / Platforms

Privacy

Sony, Bloomberg, AMC and Realtor.com sued for allegedly gathering and sharing video watching behaviour to Facebook

…In a proposed class action, the plaintiff says that sharing such information with third parties without consent violates Video Privacy Protection Act.

Gamestop hit with class action that it wiretapped and shared users’ sensitive conversation with third party without consent of users in the US

What the complaint says

Cause of Action: Breach of California Invasion of Privacy Act

What did Gamestop do wrong: create transcripts of visitors’ conversations on its website using “secretly embedded wiretapping technology” and/or share that with a third party without consent of users. The plaintiff says Gamestop shared the transcripts with Zendesk, “a third party that publicly boasts about its ability to harvest highly personal data from chat transcripts for sales and marketing purposes”.

According to the plaintiff website visitors typically share highly personal and sensitive data with Defendant. I’m not sure why this is – is it the nature of the gaming community?

Business

Amazon buys more robotics companies – Cloostermans, a century old company with specialism in mechanotronics

…in particular the machinery can move and stack palettes.  Amazon has been Cloostermans’ biggest customer. So Amazon knows what it’s buying. The company was founded in 1884!

Amazon’s robot projects include:

Amazon has faced employee defiance, shortage of employees and of course, it would like to cut down on costs. Some of these robotic capabilities might eventually lead to robots in our houses (and more data sucking from our private lives). The lure of a robot unloading the groceries and dishwasher would be difficult to resist.

Cybersecurity

The US National Institute of Standards and Technology (NIST)’s National Cybersecurity Center of Excellence to build a laboratory for developing solutions to lessen 5G cybersecurity risks

…The result will be the generation of security reference architecture for 5G networks that bridges the gap between IT and telecommunications cybersecurity capabilities outside the scope of 3GPP’s 5G security architecture. For the benefit of operators and users of 5G networks.

EVs/AVs

Alphabet subsidiary Waymo to test its self-driving capabilities using Jaguar cars on wet roads

…specifically, Bellevue, Washington. The location was chosen not only because of its weather but because the roads and overall driving environment are similar to other places where Waymo operate such as Phoenix and San Francisco, so it has been reported. Amazon-owned Zoox and GM’s Cruise have also carried out tests in the Seattle region.

EV maker Rivian partners with Mercedes Benz to build electric van factories

…Capital expenditure to set up an EV factory is notoriously high (higher prices for energy, steel (to actually build the factory) and other metals). They will save costs by using Mercedes’ existing factory. Thereby, the pair hope to gain cost savings and to scale production quickly.

Toyota/Panasonic JV Prime Planet chief says to FT that difficulties in developing solid state battery and potential of liquid based ion batteries means the latter will likely dominate for the next 10 years

What is so good about solid state batteries? It’s lighter, safer and better functionality (charging time, capacity)

What is the difference between the two? Solid state batteries have a solid electrolyte and use lithium at the anode instead of graphite

Which companies are in the solid state batteries space? The article mentions Honda, Nissan, Volkswagen (via investment in Quantum Scope) and Ford (via investment in Solid Power). Prime Planet hopes to roll out the technology by as soon as 2025.

Tesla considering building refinery to make battery grade Lithium Hydroxide in Texas

…Couple of reasons:

  • Price of lithium has spiked – by vertical integration Tesla aims to control costs
  • Reduce dependency on China – more than half of the world’s lithium processing and refining are controlled by China.

Tesla says it also depends on the assessment of a competing site in Louisiana, and the grant of tax breaks.

Tesla to let the public decide where EV superchargers should be located

…its supercharger network is to be opened up to other EV makers by the end of the year. Interesting that they are not using the data they have. Maybe they are doing that too, and it is seeking to get public buy in.

BMW strikes supply agreement with two Chinese battery makers – CATL (world No.1) and EVE Energy

…CATL will be prioritising the use of renewable energy and recycled materials for production. The batteries from both suppliers are said to be new cylindrical ones, which use more nickel and less cobalt, and has a higher energy density. Batteries define the performance of EVs in terms of range, driving performance and charging time, so procuring the cutting edge range is important for BMW, which plans to incorporate them in its Neue Klasse range.

Uber signs 10 year agreement with Nuro to deliver food

…Nuro is an autonomous vehicle company in particular specialising in delivery. It does not look like your ordinary car; it has no passenger seats, no windows, just a vehicle with compartments. Nuro says “With its specially designed size, weight, pedestrian-protecting front end, operating speed, electric propulsion, and cautious driving habits, Nuro is ready to begin service as a socially responsible neighborhood vehicle”. Nuro was the first company to be granted a commercial deployment permit by the State of California.

For a venture that is starting up, the agreement seems long. Slowly and surely, human jobs are being replaced.

United Airlines to buy 200 electric air taxis (eVTOLs) from Eve Air Mobility

…it would be interesting to see if any other airlines will follow suit. It already has a stake in Archer, another eVTOL company.

Note on eVTOLs (ee-veetols)

This stands for electric vertical take-off and landing

How does it move? The clue is in the name, it can hover, and takes off and land vertically. You need to have a vertiport for access.

What is so revolutionary about it? It’s powered by electricity and possibly will become autonomous

What is the limitation? The batteries. It can do about 20km right now, so we are looking at a maximum 10km radius when you factor in the return leg. The weight of the battery occupies half of the total weight (so the proportion isn’t that different to an EV)

Gaming

Struggling Netflix attempts to increase revenue by bolstering games offering by partnering with Ubisoft

…Netflix will have 3 exclusive mobile games. Ubisoft is one of Europe’s biggest gaming company behind the popular title Assassin’s Creed. Chinese giant Tencent has recently increased its stake in Ubisoft amid increasing Chinese regulatory clamp downs.

Metaverse / VR / AR / MR / XR

Sony releases toolkit for AR developers

…[slightly old news – June 2022] Sony has released ToF AR (Time of Flight Augmented reality) toolkit which enables efficiently development of Unity AR applications.

The toolkit enables developers to convert a photograph into graphics, and manipulate it in a 3D way, convert yourself into anime characters and bring to life by easily controlling their movements. The toolkit uses LiDAR technology on smartphones. It will make creating gaming/metaverse, V-Tuber, Movie contents much easier and cheaper. Other purveryors of similar technology include Pokemon Go maker Niantic (superimpose a Pokemon image on a photo/video),  Adobe (makes virtual showrooms for furniture makers), Samsung (creation of 3D avatars, tracks your facial expressions). Other uses include visualising outfits or shoes before purchase.

Starbucks launches Starbucks Odyssey, an NFT loyalty program

…but in order to include the uninitiated, users will not know that it is an NFT based system. Users can download an app on the mobile using their present loyalty program credentials, and play interactive games, or complete of challenges (eg. purchasing a new type of latte) or increase knowledge about Starbucks coffee to increase engagement with the brand, collecting NFTs on the way – which the program calls “journey stamps” [hence Odyssey – I wonder if Homer would approve…] to limit putting off non-techy Starbucks fans. These which come with exclusive benefits (free coffee, access to events) upon payment of an NFT and can be traded within the Starbucks’ digital community. NFTs which come with real world benefits are likely to fare better in the long run. 

Patents

US ITC judge says iFIT, Peloton and Lululemon infringe DISH patent concerning streaming technology

…technology concerns improving video content quality over the internet. The patents are entitled “Apparatus, system, and method for adaptive-rate shifting of streaming content” or “Apparatus, system, and method for multi-bitrate content streaming.” Reasoning and initial final determination are yet to be published.

Semiconductors

Apple warned about using Chinese memory chips (specifically Yangtze Memory Technologies (YMTC)) to store data on smartphones

…. Republican lawmakers and the Democratic Senate majority leader Chuck Schumer said that Apple will face intense scrutiny if it so, it has been reported. Apple said that iPhones with YMTC memory were those to be sold in China only and in any event the data will be encrypted. 

Why is this thought to be a risk?

  • YMTC owned by the state, and Chinese military supplier
  • The chip will contain customer data such as Apple ID data, the relevant and sensitive customer information from iCloud, the App Store, and other Apple online stores, iMessage, and FaceTime
  • Cyberattacks can be carried out via semiconductors
  • Chips can be compromised during the design process so it is difficult to protect.
  • Even if the phones were only sold for the Chinese market, one cannot control the secondary market

Apple also needs to be able to shift position in case YMTC is listed on the US black list (aka entity list).

Vendanta and Foxconn to take up India chip making subsidy

…the venture will see one of the largest natural resources conglomerate Vendanta (India) finance and electronics contract maker Foxconn (Taiwan – makes iPhones and Kindles) provide the technical input for building a new semiconductor fab in Prime Minister Modi’s home state of Gujarat. Modi had recently announced a $10billion subsidy for semiconductor projects – now set to be increased. Note that the US has set aside $52billion and EU has proposed €43billion, with France investing separately to support STMicroelectronics and GlobalFoundaries in their manufacturing plant [compare with TSMC that announced a budget of $44bn for this year to boost its manufacturing facility – it has promised to outspend to secure and increase the lead].

Telecoms

Apple launches iPhone 14

…the consensus view seems to be that it was nothing too major but the following 2 features are perhaps worth noting:

It is difficult to make further significant improvements when the smartphones are already pretty smart. Apple have gone for including safety features that users may be pleased to have.

Note that Huawei’s new Mate50 model will also have a satellite connectivity capability, even though the latest model cannot offer 5G owing to US’s export restrictions.

Note also that Google has spun out Aalyria, which is in engaged in the business of speeding up satellite communications, WiFi on planes and ships and cellular connectivity. The technology relies on laser communications called Tightbeam which keeps data “intact through the atmosphere and weather and offers connectivity where no supporting infrastructure exists.”

One more thing…

The Royal Family’s Twitter account releases the news of the death of Queen Elizabeth II before the BBC

…they say that King Charles III is intent on modernising the royal family. This is a huge departure from tradition.