An anonymous reader quotes a report from TechCrunch: Google announced on Monday that it's bringing its AI technology Gemini to teen students using their school accounts, after having already offered Gemini to teens using their personal accounts. The company is also giving educators access to new tools alongside this release. Google says that giving teens access to Gemini can help prepare them with the skills they need to thrive in a future where generative AI exists. Gemini will help students learn more confidently with real-time feedback, the company believes.

Google claims it will not use data from chats with students to train and improve its AI models, and has taken steps to ensure it's bringing this technology to students responsibly. Gemini has guardrails that will prevent inappropriate responses, such as illegal or age-gated substances, from appearing in responses. It will also actively recommend teens use its double-check feature to help them develop information literacy and critical thinking skills. Gemini will be available to teen students while using their Google Workspace for Education accounts in English in more than 100 countries. Gemini will be off by default for teens until admins choose to turn it on. Google also announced that it's launching its Read Along in Classroom feature worldwide to help students improve reading skills with real-time support. Educators can assign grade-level or phonics-based reading activities and receive insights on students' reading accuracy, speed, and comprehension.

Top officials from the European Union and China agreed to negotiate a planned series of import taxes on Chinese electric vehicles. "The call marks the first time the two sides have agreed to negotiate since the EU threatened China with electric vehicle (EV) tariffs of up to 38%," reports the BBC. From the report: The EU said Chinese EVs were unfairly subsidised by its government. In response, China accused the EU of protectionism and trade rule breaches. An EU spokesperson told the BBC the call between Trade Commissioner Valdis Dombrovskis and his Chinese counterpart Wang Wentao was "candid and constructive." They said the two sides would "continue to engage at all levels in the coming weeks." However, the spokesperson also doubled down on the EU's opposition to how the Chinese EV industry is funded. They said "any negotiated outcome" to the proposed tariffs must address the "injurious subsidisation" of Chinese EVs.

China released a similar statement on Saturday and made clear it still disagreed with the EU. As well as its call with the EU, Mr Wang met German Vice-Chancellor and Federal Minister for Economic Affairs and Climate Action Robert Habeck on Saturday. In a Facebook post about the meeting, China's Ministry of Commerce said it had told Mr Habeck about its "firm opposition" to the tariffs. It repeated its threat to file a lawsuit with the World Trade Organization (WTO) "to firmly defend its legitimate rights and interests."

Germany has also expressed criticism of the tariffs. When the EU first proposed them last week following its investigation of Chinese EVs in the trading bloc, Germany's Transport Minister, Volker Wissing, said the move risked a "trade war" with Beijing. "The European Commission's punitive tariffs hit German companies and their top products," he wrote on X, formerly known as Twitter, at the time. The European car industry has been critical too. Stellantis - which owns Citroen, Peugeot, Vauxhall, Fiat, and several other brands - said it did not support measures that "contribute to the world fragmentation [of trade]."

OpenAI has purchased Multi (previously Remotion), "a five-person startup based in New York City that focuses on screenshare and collaboration technologies for workers using Mac computers," reports VentureBeat. The latest acquisition comes just days after the AI company announced it had acquired enterprise analytics startup Rockset. No details were provided on the terms of the deal. From the report: Multi's co-founder and CEO Alexander Embiricos posted on his X account today stating specifically that he (and presumably the entire Multi team) has joined OpenAI's "ChatGPT desktop team," the unit at the company responsible for building the ChatGPT for Mac desktop app that was unveiled back in May 2024. Multi broke the news first to its users and followers in a blog post, writing: "Recently, we've been increasingly asking ourselves how we should work with computers. Not on or using computers, but truly with computers. With AI. We believe it's one of the most important product questions of our time. And so, we're beyond excited to share that Multi is joining OpenAI!"

The news has users on X speculating that OpenAI will use Multi to allow its AI models such as GPT-4o to "take over" a user's computer and perform actions on their behalf based on text or voice prompts. So you could say something like "ChatGPT, create a spreadsheet of my latest hours and send it to my manager" and it would try to do this. Based on what I've learned about Multi (see final section of this article below) and zero insider knowledge, I think it is at least as likely that OpenAI will seek to use the acquisition as a means of souping up and adding features to its ChatGPT Team and Enterprise subscription plans, as those are already more focused on providing tech for teams to help all the individuals on them work better together.

However, Multi also broke the news that it is "sunsetting" the current version of its software and will end support for it in one month: on July 24, 2024, as well as delete all user data. Egads! Multi states in a short FAQ in its blog post that users should go ahead and export their data before that time, using the "Export Session Notes" setting under the URL: https://app.multi.app/account. It is also opening the door to users asking for extensions to the deletion date of July 24, 2024 for their individual or company accounts, if they email Embiricos himself directly at alexander@multi.app. Multi also says its team members can help recommend alternatives through the same email address.

An anonymous reader quotes a report from the Associated Press: Car dealerships in North America continue to wrestle with major disruptions that started last week with cyberattacks on a software company used widely in the auto retail sales sector. CDK Global, a company that provides software for thousands of auto dealers in the U.S. and Canada, was hit by back-to-back cyberattacks Wednesday. That led to an outage that has continued to impact operations. For prospective car buyers, that's meant delays at dealerships or vehicle orders written up by hand. There's no immediate end in sight, with CDK saying it expects the restoration process to take "several days" to complete. On Monday, Group 1 Automotive Inc., a $4 billion automotive retailer, said that it continued to use "alternative processes" to sell cars to its customers. Lithia Motors and AutoNation, two other dealership chains, also disclosed that they implemented workarounds to keep their operations going. [...]

Several major auto companies -- including Stellantis, Ford and BMW -- confirmed to The Associated Press last week that the CDK outage had impacted some of their dealers, but that sales operations continue. In light of the ongoing situation, a spokesperson for Stellantis said Friday that many dealerships had switched to manual processes to serve customers. That includes writing up orders by hand. A Ford spokesperson added that the outage may cause "some delays and inconveniences at some dealers and for some customers." However, many Ford and Lincoln customers are still getting sales and service support through alternative routes being used at dealerships.

Group 1 Automotive Inc., which owns 202 automotive dealerships, 264 franchises, and 42 collision centers in the U.S. and the United Kingdom, said Monday that the incident has disrupted its business applications and processes in its U.S. operations that rely on CDK's dealers' systems. The company said that it took measures to protect and isolate its systems from CDK's platform. All Group 1 U.S. dealerships will continue to conduct business using alternative processes until CDK's dealers' systems are available, the company said Monday. Group 1's dealerships in the U.K. don't use CDK's dealers' systems and are not impacted by the incident. In regulatory filings, Lithia Motors and AutoNation disclosed that last week's incident at CDK had disrupted their operations as well. Lithia said it activated cyber incident response procedures, which included "severing business service connections between the company's systems and CDK's." AutoNation said it also took steps to protect its systems and data -- adding that all of its locations remain open "albeit with lower productivity," as many are served manually or through alternative processes.

Microsoft has quietly erased instructions for switching to a local account on Windows 11 from its official support website. The move took place between June 12 and June 17, 2024, according to Tom's Hardware. The tech giant has been increasingly pushing users towards Microsoft Account logins, citing benefits like enhanced security and cross-device syncing. While the option to use a local account still exists, this latest development suggests Microsoft is steering users away from it.

"The Short Happy Reign of the CD-ROM" was just one article in a Fast Company series called 1994 Week. As the week rolled along they also re-visited Yahoo, Netscape, and how the U.S. Congress "forced the videogame industry to grow up."

But another article argues that it's in web pages from 1994 that "you can start to see in those weird, formative years some surprising signs of what the web would be, and what it could be." It's hard to say precisely when the tipping point was. Many point to September '93, when AOL users first flooded Usenet. But the web entered a new phase the following year. According to an MIT study, at the start of 1994, there were just 623 web servers. By year's end, it was estimated there were at least 10,000, hosting new sites including Yahoo!, the White House, the Library of Congress, Snopes, the BBC, sex.com, and something called The Amazing FishCam. The number of servers globally was doubling every two months. No one had seen growth quite like that before. According to a press release announcing the start of the World Wide Web Foundation that October, this network of pages "was widely considered to be the fastest-growing network phenomenon of all time."

As the year began, Web pages were by and large personal and intimate, made by research institutions, communities, or individuals, not companies or brands. Many pages embodied the spirit, or extended the presence, of newsgroups on Usenet, or "User's Net." (Snopes and the Internet Movie Database, which landed on the Web in 1993, began as crowd-sourced projects on Usenet.) But a number of big companies, including Microsoft, Sun, Apple, IBM, and Wells Fargo, established their first modest Web outposts in 1994, a hint of the shopping malls and content farms and slop factories and strip mines to come. 1994 also marked the start of banner ads and online transactions (a CD, pizzas), and the birth of spam and phishing...

[B]ack in '94, the salesmen and oilmen and land-grabbers and developers had barely arrived. In the calm before the storm, the Web was still weird, unruly, unpredictable, and fascinating to look at and get lost in. People around the world weren't just writing and illustrating these pages, they were coding and designing them. For the most part, the design was non-design. With a few eye-popping exceptions, formatting and layout choices were simple, haphazard, personal, and — in contrast to most of today's web — irrepressibly charming. There were no table layouts yet; cascading style sheets, though first proposed in October 1994 by Norwegian programmer Håkon Wium Lie, wouldn't arrive until December 1996... The highways and megalopolises would come later, courtesy of some of the world's biggest corporations and increasingly peopled by bots, but in 1994 the internet was still intimate, made by and for individuals... Soon, many people would add "under construction" signs to their Web pages, like a friendly request to pardon our dust. It was a reminder that someone was working on it — another indication of the craft and care that was going into this never-ending quilt of knowledge.
The article includes screenshots of Netscape in action from browser-emulating site OldWeb.Today (albeit without using a 14.4 kbps modems). "Look in and think about how and why this web grew the way it did, and what could have been. Or try to imagine what life was like when the web wasn't worldwide yet, and no one knew what it really was."

Slashdot reader tedlistens calls it "a trip down memory lane," offering "some telling glimpses of the future, and some lessons for it too." The article revisits 1994 sites like Global Network Navigator, Time-Warner's Pathfinder, and Wired's online site HotWired as well as 30-year-old versions of the home pages for Wells Fargo and Microsoft.

What did they miss? Share your own memories in the comments.

What do you remember about the web in 1994?

Earlier this month Apple announced a partnership with OpenAI to bring ChatGPT to Siri.

"Now, the Wall Street Journal reports that Apple and Facebook's parent company Meta are in talks around a similar deal," according to TechCrunch: A deal with Meta could make Apple less reliant on a single partner, while also providing validation for Meta's generative AI tech. The Journal reports that Apple isn't offering to pay for these partnerships; instead, Apple provides distribution to AI partners who can then sell premium subscriptions... Apple has said it will ask for users' permission before sharing any questions and data with ChatGPT. Presumably, any integration with Meta would work similarly.

Long-time Slashdot reader schwit1 shares CNBC's report on the U.S. car market: Back in February, used electric vehicle prices dipped below used gasoline-powered vehicle prices for the first time ever, and the pricing cliff keeps getting steeper as car buyers reject any "premium" tag formerly associated with EVs.

The decline has been dramatic over the past year. In June 2023, average used EV prices were over 25% higher than used gas car prices, but by May, used EVs were on average 8% lower than the average price for a used gasoline-powered car in U.S. In dollar terms, the gap widened from $265 in February to $2,657 in May, according to an analysis of 2.2 million one to five year-old used cars conducted by iSeeCars. Over the past year, gasoline-powered used vehicle prices have declined between 3-7%, while electric vehicle prices have decreased 30-39%.

"It's clear used car shoppers will no longer pay a premium for electric vehicles," iSeeCars executive analyst Karl Brauer stated in an iSeeCars report published last week. Electric power is now a detractor in the consumer's mind, with EVs "less desirable" and therefore less valuable than traditional cars, he said.
The article notes there's been a price war among EV manufacturers — and that newer EV models might be more attractive due to "longer ranges and improved battery life with temperature control for charging."

But CNBC also notes a silver lining. "As more EVs enter the used market at lower prices, the EV market does become available to a wider market of potential first-time EV owners."

In 2022, Red Hat announced plans to extend RHEL to the automotive industry through Red Hat In-Vehicle Operating System (providing automakers with an open and functionally-safe platform). And this week Red Hat announced it achieved ISO 26262 ASIL-B certification from exida for the Linux math library (libm.so glibc) — a fundamental component of that Red Hat In-Vehicle Operating System.

From Red Hat's announcement: This milestone underscores Red Hat's pioneering role in obtaining continuous and comprehensive Safety Element out of Context certification for Linux in automotive... This certification demonstrates that the engineering of the math library components individually and as a whole meet or exceed stringent functional safety standards, ensuring substantial reliability and performance for the automotive industry. The certification of the math library is a significant milestone that strengthens the confidence in Linux as a viable platform of choice for safety related automotive applications of the future...

By working with the broader open source community, Red Hat can make use of the rigorous testing and analysis performed by Linux maintainers, collaborating across upstream communities to deliver open standards-based solutions. This approach enhances long-term maintainability and limits vendor lock-in, providing greater transparency and performance. Red Hat In-Vehicle Operating System is poised to offer a safety certified Linux-based operating system capable of concurrently supporting multiple safety and non-safety related applications in a single instance. These applications include advanced driver-assistance systems (ADAS), digital cockpit, infotainment, body control, telematics, artificial intelligence (AI) models and more. Red Hat is also working with key industry leaders to deliver pre-tested, pre-integrated software solutions, accelerating the route to market for SDV concepts.
"Red Hat is fully committed to attaining continuous and comprehensive safety certification of Linux natively for automotive applications," according to the announcement, "and has the industry's largest pool of Linux maintainers and contributors committed to this initiative..."

Or, as Network World puts it, "The phrase 'open source for the open road' is now being used to describe the inevitable fit between the character of Linux and the need for highly customizable code in all sorts of automotive equipment."

TikTok revealed it offered the U.S. government a "kill switch" in 2022 to address data protection and national security concerns, allowing the government to shut down the platform if it violated certain rules. The disclosure was made as it began its legal fight against legislation that will require ByteDance to divest TikTok's U.S. assets or face a ban. The BBC reports: "This law is a radical departure from this country's tradition of championing an open Internet, and sets a dangerous precedent allowing the political branches to target a disfavored speech platform and force it to sell or be shut down," they argued in their legal submission. They also claimed the US government refused to engage in any serious settlement talks after 2022, and pointed to the "kill switch" offer as evidence of the lengths they had been prepared to go.

TikTok says the mechanism would have allowed the government the "explicit authority to suspend the platform in the United States at the US government's sole discretion" if it did not follow certain rules. A draft "National Security Agreement", proposed by TikTok in August 2022, would have seen the company having to follow rules such as properly funding its data protection units and making sure that ByteDance did not have access to US users' data. The "kill switch" could have been triggered by the government if it broke this agreement, it claimed.

In a letter - first reported by the Washington Post - addressed to the US Department of Justice, TikTok's lawyer alleges that the government "ceased any substantive negotiations" after the proposal of the new rules. The letter, dated 1 April 2024, says the US government ignored requests to meet for further negotiations. It also alleges the government did not respond to TikTok's invitation to "visit and inspect its Dedicated Transparency Center in Maryland." Further reading: TikTok Says US Ban Inevitable Without a Court Order Blocking Law

FreeDOS, the open-source OS that is helping keep the legacy of DOS alive, will turn 30 next week. Founded in 1994 by Jim Hall, then a college student, FreeDOS was created as a response to Microsoft's plans to phase out MS-DOS. Three decades later, FreeDOS continues to thrive.

Despite the dominance of Windows and macOS, FreeDOS finds unexpected relevance in niche markets. Some laptop manufacturers in certain countries bundle FreeDOS with new machines to reduce costs, introducing a new generation to the classic command-line interface. Hall recently wrote a blog about the upcoming 30th anniversary. Some excerpts from it follows: These days, I'm really excited for all the different ways that people are using FreeDOS. For example, there's a community of enthusiasts who restore classic computers like the IBM PC 5150, PC XT, and PC AT, and put FreeDOS on them. These are great systems that can't run something like Linux, so running FreeDOS is a great way to make these classic computers useful again.

I like that FreeDOS (like any DOS) is so easy to understand. There aren't a lot of moving parts in DOS: the computer boots and starts the kernel, the kernel reads FDCONFIG.SYS (or CONFIG.SYS) which defines the shell to run (usually COMMAND.COM), and COMMAND.COM runs a batch file (usually AUTOEXEC.BAT or FDAUTO.BAT) to set up the environment. And then DOS presents you with a friendly command prompt where you can run commands and start programs.

Meta has released the Threads API for developers to build "unique integrations" into the text-based conversation app. The move could potentially result in third-party apps. The Verge reports: "People can now publish posts via the API, fetch their own content, and leverage our reply management capabilities to set reply and quote controls, retrieve replies to their posts, hide, unhide or respond to specific replies," explains Jesse Chen, director of engineering at Threads.

Chen says that insights into Threads posts are "one of our top requested features for the API," so Meta is allowing developers to see the number of views, likes, replies, reposts, and quotes on Threads posts through the API. Meta has published plenty of documentation about how developers can get started with the Threads API, and there's even an open-source Threads API sample app on GitHub.

The Internet Archive's Open Library, which operates similarly to traditional libraries by lending out digital copies of purchased or donated physical books, has been forced to remove 500,000 books due to a lawsuit by big publishers. Mike Masnick reports via Techdirt: As we've discussed at great length, the Internet Archive's Open Library system is indistinguishable from the economics of how a regular library works. The Archive either purchases physical books or has them donated (just like a physical library). It then lends them out on a one-to-one basis (leaving aside a brief moment where it took down that barrier when basically all libraries were shut down due to pandemic lockdowns), such that when someone "borrows" a digital copy of a book, no one else can borrow that same copy. And yet, for all of the benefits of such a system in enabling more people to be able to access information, without changing the basic economics of how libraries have always worked, the big publishers all sued the Internet Archive. The publishers won the first round of that lawsuit. And while the court (somewhat surprisingly!) did not order the immediate closure of the Open Library, it did require the Internet Archive to remove any books upon request from publishers (though only if the publishers made those books available as eBooks elsewhere).

As the case has moved into the appeals stage (where we have filed an amicus brief), the Archive has revealed that around 500,000 books have been removed from the open library. The Archive has put together an open letter to publishers, requesting that they restore access to this knowledge and information -- a request that will almost certainly fall on extremely deaf ears: "We purchase and acquire books -- yes, physical, paper books -- and make them available for one person at a time to check out and read online. This work is important for readers and authors alike, as many younger and low-income readers can only read if books are free to borrow, and many authors' books will only be discovered or preserved through the work of librarians. We use industry-standard technology to prevent our books from being downloaded and redistributed -- the same technology used by corporate publishers. But the publishers suing our library say we shouldn't be allowed to lend the books we own. They have forced us to remove more than half a million books from our library, and that's why we are appealing."

Ancient Slashdot reader ewhac writes: On June 19, 1984, Robert Scheifler announced on MIT's Project Athena mailing list a new graphical windowing system he'd put together. Having cribbed a fair bit of code from the existing windowing toolkit called W, Scheifler named his new system X, thus giving birth to the X Window System. Scheifler prophetically wrote at the time, "The code seems fairly solid at this point, although there are still some deficiencies to be fixed up."

The 1980's and 1990's saw tremendous activity in the development of graphical displays and user interfaces, and X was right in the middle of it all, alongside Apple, Sun, Xerox, Apollo, Silicon Graphics, NeXT, and many others. Despite the fierce, well-funded competition, and heated arguments about how many buttons a mouse should have, X managed to survive, due in large part to its Open Source licensing and its flexible design, allowing it to continue to work well even as graphical hardware rapidly advanced. As such, it was ported to dozens of platforms over the years (including a port to the Amiga computer by Dale Luck in the late 1980's). 40 years later, despite its warts, inconsistencies, age, and Wayland promising for the last ten years to be coming Real Soon Now, X remains the windowing system for UNIX-like platforms.

An anonymous reader quotes a report from Ars Technica: A 911 vendor's malfunctioning firewall caused a statewide outage in the emergency calling system in Massachusetts on Tuesday afternoon, the state government said. A Massachusetts government press release issued yesterday said the state's 911 vendor, Comtech, "has advised State 911 that they have applied a technical solution to ensure that this does not happen again." "A preliminary investigation conducted by the State 911 Department and Comtech determined that the outage was the result of a firewall, a safety feature that provides protection against cyberattacks and hacking," the announcement said. "The firewall prevented calls from getting to the 911 dispatch centers, also known as Public Safety Answer Points (PSAPs)."

Comtech's initial review "confirmed that the interruption was not the result of a cyberattack or hack," but "the exact reason the firewall stopped calls from reaching dispatch centers remains under review," the state said. A full review is continuing. The 911 outage lasted two hours. Shortly after it began, the State 911 Department alerted local law enforcement and issued a statewide emergency alert to residents advising them to call their local public safety business line directly if they had an emergency. "Although some calls may not have gone through, the system allows dispatch centers to identify the phone number of callers and return those calls. The Department has not received any reports of emergencies impacted during the interruption," the Massachusetts announcement said. State 911 Department Executive Director Frank Pozniak promised that the department "will take all necessary steps to prevent a future occurrence." Massachusetts has 204 Public Safety Answering Points that received an average of 8,800 calls, combined, per day in 2023. In case of a 911 outage, an internet user recommends everyone save their local dispatch number in their contacts. You can also use these methods to reach emergency services:

- Call the non-emergency police line in your area.
- Use alternative numbers to reach first responders, such as the direct line to the local police or county sheriff's office.
- Use a landline, Wi-Fi calling or another cell carrier if a cellular service issue is responsible for the 911 outage.
- Send a text to 911, if the service is available in your area. The Federal Trade Commission (FCC) provides a list of areas currently supporting Text-to-911 on its website.

If calls from landlines to 911 and their non-emergency hotline are not working, police departments can still see the numbers of those who called from cell phones and call them back as soon as possible, notes WTOL.

An anonymous reader shares a report: CDK Global, the company that provides management software for nearly 15,000 car dealerships in North America, is down for a second day following a cyberattack, according to a report from Automotive News. The outage has left car dealerships across North America unable to access the internal systems used to track car sales, view customer information, schedule maintenance, and more.

On Wednesday, CDK Global told dealerships that it's "investigating a cyber incident" and "proactively shut all systems down" while addressing the issue. However, as reported by Automotive News, CDK Global restored its systems shortly after, only to shut them down hours later due to "an additional cyber incident."

TikTok and Chinese parent ByteDance on Thursday urged a U.S. court to strike down a law they say will ban the popular short app in the United States on Jan. 19, saying the U.S. government refused to engage in any serious settlement talks after 2022. From a report: Legislation signed in April by President Joe Biden gives ByteDance until Jan. 19 of next year to divest TikTok's U.S. assets or face a ban on the app used by 170 million Americans. ByteDance says a divestiture is "not possible technologically, commercially, or legally."

The U.S. Court of Appeals for the District of Columbia will hold oral arguments on lawsuits filed by TikTok and ByteDance along with TikTok users on Sept. 16. TikTok's future in the United States may rest on the outcome of the case which could impact how the U.S. government uses its new authority to clamp down on foreign-owned apps. "This law is a radical departure from this country's tradition of championing an open Internet, and sets a dangerous precedent allowing the political branches to target a disfavored speech platform and force it to sell or be shut down," ByteDance and TikTok argue in asking the court to strike down the law.

Facebook and Instagram users are increasingly turning to small claims courts to regain access to their accounts or seek damages from Meta, amid frustrations with the company's customer support. In several cases across multiple states, Engadget reports, plaintiffs have successfully restored account access or won financial compensation. Meta often responds by contacting litigants before court dates, attempting to resolve issues out of court.

The trend, popularized on social media forums, highlights ongoing customer service issues at the tech giant. Some users report significant financial losses due to inaccessible business-related accounts. While small claims court offers a more accessible legal avenue, Meta typically deploys legal resources to respond to these claims.

Pornhub plans to block access to its website in Indiana, Idaho, Kansas, Kentucky, and Nebraska in response to age verification laws designed to prevent children from accessing adult websites. From a report: The website has now cut off access in more than half a dozen states in protest of similar age verification laws that have quickly spread across conservative-leaning US states. Indiana, Idaho, and Kansas will lose access on June 27th, according to alerts on Pornhub's website that were seen by local news sources and Reddit users; Kentucky will lose access on July 10th, according to Kentucky Public Radio.

U.S. companies may need to report cash amounts tied to their software expenditures, more of which would be moved off corporate balance sheets under a forthcoming proposal to update decades-old accounting rules. From a report: The Financial Accounting Standards Board voted Tuesday, 7-0, to propose requiring companies to report cash amounts tied to their software costs and help them determine when to expense or capitalize costs. The proposal is a scaled-back version of rule-making around these expenses. The standard setter wants to require U.S. public and private companies to provide a line item in their cash-flow statement to account for cash spending on software. Rules around software costs have gone largely unchanged since the 1980s and 1990s.

The proposal would cover use of software ranging from enterprise resource planning systems to hosting services and mobile banking applications, meaning it applies to almost every company. It would exclude development of software licensed to customers. Under the plan, companies would no longer have to evaluate the stage of their software project to determine whether to expense the costs on the income statement or to capitalize, or delay fully recognizing them, on the balance sheet. Companies are now required to expense their software costs as incurred on the income statement during the initial planning and post-implementation stages. When building the programs or applications, companies have to capitalize eligible costs. These current requirements involve significant judgment for companies, creating higher compliance costs. Instead, companies would only have to determine when to begin capitalizing software costs based on executives' signoff for a project and the likelihood that the project will be completed and the software will carry out its intended use.