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United States

Judge Blocks US Officials From Tech Contacts in First Amendment Case (washingtonpost.com) 414

A federal judge on Tuesday blocked key Biden administration agencies and officials from meeting and communicating with social media companies about "protected speech," in an extraordinary preliminary injunction in an ongoing case that could have profound effects on the First Amendment. From a report: The injunction came in response to a lawsuit brought by Republican attorneys general in Louisiana and Missouri, who allege that government officials went too far in their efforts to encourage social media companies to address posts that they worried could contribute to vaccine hesitancy during the pandemic or upend elections.

The Trump-appointed judge's move could undo years of efforts to enhance coordination between the government and social media companies. For more than a decade, the federal government has attempted to work with social media companies to address a wide range of criminal activity, including child sexual abuse images and terrorism. Over the last five years, coordination and communication between government officials and the companies increased as the federal government responded to rising election interference and voter suppression efforts after revelations that Russian actors had sowed disinformation on U.S. social sites during the 2016 election. Public health officials also frequently communicated with the companies during the coronavirus pandemic, as falsehoods about the virus and vaccines spread on social networks including Facebook, Twitter and YouTube.

United States

US Looks To Restrict China's Access To Cloud Computing To Protect Advanced Technology (wsj.com) 84

The Biden administration is preparing to restrict Chinese companies' access to U.S. cloud-computing services, WSJ reported Tuesday, citing people familiar with the situation, in a move that could further strain relations between the world's economic superpowers. From the report: The new rule, if adopted, would likely require U.S. cloud-service providers such as Amazon.com and Microsoft to seek U.S. government permission before they provide cloud-computing services that use advanced artificial-intelligence chips to Chinese customers, the people said. The Biden administration's move would follow other recent measures as Washington and Beijing wage a high-stakes conflict over access to the supply chain for the world's most advanced technology.

Beijing Monday announced export restrictions on metals used in advanced chip manufacturing, days ahead of a visit to China by Treasury Secretary Janet Yellen. The proposed restriction is seen as a means to close a significant loophole. National-security analysts have warned that Chinese AI companies might have bypassed the current export controls rules by using cloud services. These services allow customers to gain powerful computing capabilities without purchasing advanced equipment -- including chips -- on the control list, such as the A100 chips by American technology company Nvidia.

United States

Flying Car Prototype Gets Airworthiness Certified By FAA (cnn.com) 67

An anonymous reader writes: The Federal Aviation Administration has certified for testing a vehicle that a California startup describes as a flying car -- the first fully electric vehicle that can both fly and travel on roads to receive US government approval. Alef Automotive said that its vehicle/aircraft, dubbed the "Model A," is the first flying vehicle that is drivable on public roads and able to park like a normal car. It also has vertical takeoff and landing capabilities. It apparently will be able to carry one or two occupants and will have a road-range of 200 miles and a flying range of 110 miles.

The company expects to sell the vehicle for $300,000 each with the first delivery by projected for the end of 2025. The FAA confirmed that it has issued the company a special airworthiness certificate, allowing for limited purposes that include exhibition, research and development. Numerous companies are working on all-electric VTOLs, which stands for vehicle takeoff and landing aircraft. The FAA said that Alef is "not the first aircraft of its kind" to get a special airworthiness certificate. However, Alef noted that its vehicle is different because of its ability to function both on roads and in the air, to appear like a normal car and to park in a normal parking space.

United States

Colorado, Connecticut Data Privacy Laws Go Into Effect July 1 (axios.com) 5

Data privacy laws in Colorado and Connecticut will go into effect Saturday. From a report: If companies haven't finished their compliance work to abide by the rules, they could face civil penalties of up to $20,000 per violation in some states. Colorado and Connecticut add to an increasingly complex patchwork of state data privacy laws. California paved the way in 2018 after passing the country's first state-level privacy bill, while Virginia followed this year.

The Colorado and Connecticut laws apply to entities that do business in those states, as well as businesses that process a certain amount of data about in-state customers. Under the new laws, residents of each state will have the right to request businesses delete their personal information, ask for a copy of the information businesses have collected about them, opt out of the sale of their personal data, and more. Both laws also require businesses to request opt-in permission from consumers before letting businesses process their sensitive information -- differing from the opt-out mechanism consumers have in California

Businesses

FTC Finally Proposes Ban on Fake Reviews (techcrunch.com) 28

The FTC has proposed a new rule banning numerous forms of fake reviews online, from outright fabricated ones to those that are sketchily repurposed or secretly manipulated. It may not totally rehabilitate the notoriously unreliable online review ecosystem, but it could help make things a bit more bearable. From a report: This rule has been a long time in the making, which is par for the course at any federal regulator. The FTC's first case of this type was in 2019, against a merchant that was making misleading claims and paying for fake reviews. Before that, it had taken on "influencer marketing" where a person didn't disclose that they were being paid to promote a product. Now the agency is ready to take comprehensive action with rules they first previewed last October and have now put in near-final form. The proposed rule is the result of much research and of consultation with businesses, consumers, and even advertising trade organizations that predictably advised the FTC not to bother cracking down on this lucrative business.
United States

Top NIH Official Advised Covid Scientists That He Uses Personal Email To Evade FOIA (theintercept.com) 129

A top adviser to Anthony Fauci at the National Institutes of Health admitted that he used a personal email account in an apparent effort to evade the strictures of the Freedom of Information Act, according to records obtained by congressional investigators probing the origin of Covid-19. The official also expressed his intention to delete emails in order to avoid media scrutiny. The Intercept: "As you know, I try to always communicate on gmail because my NIH email is FOIA'd constantly," wrote David M. Morens, a high-ranking NIH official, in a September 2021 email, one of a series of email exchanges that included many leading scientists involved in the bitter Covid origins debate. "Stuff sent to my gmail gets to my phone," he added, "but not my NIH computer." After noting that his Gmail account had been hacked, however, he wrote to the group to say that he might have to use his NIH email account to communicate with them instead. "Don't worry," he wrote, "just send to any of my addresses, and I will delete anything I don't want to see in the New York Times."
United States

Fed Says 57 Firms Set To Use 'FedNow' Instant Payments After Late July Launch (reuters.com) 27

The U.S. Federal Reserve announced on Thursday that 57 firms have been certified to utilize its "FedNow" instant payments system after it launches in late July. From a report: The Fed did not provide a specific date for the launch, but 41 banks and 15 service providers, including large firms like JPMorgan Chase, Bank of New York Mellon, US Bancorp and Wells Fargo, have completed formal testing and will be ready to provide instant payments after the new service is live.
Canada

Canada Plans Brain Drain of H-1B Visa Holders, With No-Job, No-Worries Work Permits (theregister.com) 293

Canada has launched a bid to attract techies working in the USA on the notorious H-1B visa, by offering them the chance to move north. From a report: The offer, announced on Wednesday as part of the nation's first ever tech talent strategy, means H-1B visa holders can move to Canada without having a job waiting for them. The H-1B visa is contentious in the USA. Its purpose is to attract skilled people whose talents are in short supply stateside, thus adding flexibility to the economy, but the visa is believed to be widely abused -- by employers who use it to find employees willing to work for less than their American peers.

But the visa is very popular in India -- one of the main sources of H-1B applicants. Indeed it's so popular that the Biden Administration last week announced moderate reforms to the program during the state visit by Indian prime minster Narendra Modi. The H-1B also made news early in 2023 amid mass layoffs in the tech sector, because visa holders who don't have jobs have just 90 days to leave the Land of the Free. Canada has clearly spotted an opportunity to nab some talent that needs a bolt-hole -- and can get that talent safe in the knowledge that its southern neighbor has vetted H-1B holders, and they already have some experience of working in North America.

The Courts

Supreme Court Guts Protections for Cyberstalking Victims (fastcompany.com) 147

The Supreme Court ruled Tuesday that in order to find someone guilty of making a "true threat" courts must first determine that the person recklessly disregarded the fact that their words might be perceived as threats. From a report: Experts fear the decision will create new hurdles for victims of cyberstalking by requiring them to first prove that their stalkers understand the consequences of their actions. "The Supreme Court has just decreed that stalking is free speech protected by the First Amendment if the stalker genuinely believes his actions are non-threatening," tweeted Mary Anne Franks, a professor at George Washington Law School and president of the nonprofit Cyber Civil Rights Initiative. "That is, the more deluded the stalker, the more protected the stalking."

The case, Counterman v. Colorado, concerns a man named Billy Raymond Counterman, who was convicted under a Colorado anti-stalking law, after he sent a barrage of threatening Facebook messages to a woman he'd never met. The Colorado law didn't require the court to consider Counterman's mental state when he sent the messages. It only had to consider his behavior and how it was objectively received, that is, whether he repeatedly contacted, followed, or surveilled his target in a way that would cause a "reasonable person" distress. Counterman was found guilty under that statute, but he appealed his conviction, arguing that his statements were protected by the First Amendment and did not constitute "true threats," a category of speech that falls outside the bounds of the First Amendment, because it wasn't his intention to threaten his target. In its decision, the Supreme Court overwhelmingly sided with Counterman.

United States

Supreme Court Rejects Lawsuit Accusing Google of Stealing Millions of Song Lyrics (bloomberg.com) 35

The US Supreme Court refused to revive a lawsuit by music website Genius Media accusing Alphabet's Google of stealing millions of song lyrics. From a report: The justices left in place a ruling that tossed out the suit, which accused Google of violating a contract with Genius by using its song lyrics in search results without attribution. It's the latest victory at the Supreme Court for Google, which earlier this year won a battle over whether its video-streaming platform YouTube can be held liable for hosting terrorist videos.

There are deep disagreements over how copyright laws apply to online speech and aggregation. The lower court said Genius does not own any of the copyrights to its lyrics -- instead, those are held by the songwriters and publishers. Genius claimed that Google violated its contract by scraping lyrics and boosting them in Google Search results without any attribution. Genius, which claimed the saga caused millions of dollars in losses for the website, initially sued Google in 2019. In order to drum up attention and prove its case, Genius said it used a secret code spelling out the word "red-handed" to prove Google was stealing its lyrics. "We appreciate the court's decision, agreeing with the Solicitor General and multiple lower courts that Genius' claims have no merit," Google spokesman Jose Castaneda said Monday. "We license lyrics on Google Search from third parties, and we do not crawl or scrape websites to source lyrics."

Medicine

Reducing Cholesterol Lowers Risk of Heart Attack, Stroke, and Death, Study Finds (usatoday.com) 65

An anonymous reader shared this report from USA Today: A new study reinforces the importance of lowering cholesterol in people at risk for, but who haven't had a heart attack or stroke. The study looked at a statin alternative, called bempedoic acid, and found that as it reduced levels of LDL cholesterol, it also lowered the risk for heart attack, stroke and death.

Researchers are quick to say bempedoic acid shouldn't be used instead of statins. It's far more expensive and doesn't have the decades-long track record of safety and effectiveness. But for people who can't tolerate statins or a high enough dose to bring their cholesterol levels down adequately, the new study suggests it's important to find alternatives, and that bempedoic acid can be at least part of the solution.

United States

EPA is Putting Together a Youth Council (theverge.com) 46

The EPA is assembling its first-ever National Environmental Youth Advisory Council, a group of young people to weigh in on issues that affect their communities. From a report: "We can't tackle the environmental challenges of our time without input from our younger communities, who've long been at the forefront of social movements," EPA Administrator Michael Regan said in a press release yesterday. The worst effects of climate change are still ahead as greenhouse gas emissions from fossil fuels keep building up in Earth's atmosphere. The actions policymakers take today to curb that pollution will decide what kind of planet younger generations will inherit. So it makes sense for the EPA to create seats for them at the table.
The Courts

Coinbase Wins at Supreme Court as Ruling Reinforces Arbitration (bloomberg.com) 65

The US Supreme Court sided with a Coinbase unit in a ruling that reinforces the ability of companies to channel customer and employee disputes into arbitration. From a report: The justices, voting 5-4, ruled that lawsuits filed in federal court must be put on hold while a defendant presses an appeal that would send the case to arbitration. Writing for the court, Justice Brett Kavanaugh said allowing district courts to move forward as the appeal is ongoing would reduce the benefits of arbitration. "If the district court could move forward with pre-trial and trial proceedings while the appeal on arbitrability was ongoing, then many of the asserted benefits of arbitration (efficiency, less expense, less intrusive discovery, and the like) would be irretrievably lost," Kavanaugh wrote. Business groups rallied behind Coinbase in the case, saying that letting litigation go forward would impose unnecessary costs. Consumer advocates said judges should have the discretion to decide which claims should proceed during appeal, as courts do with other areas of the law. Coinbase is battling claims by Abraham Bielski, who said the crypto company should compensate him for $31,000 he lost after he gave a scammer remote access to his account. In a second suit that was before the high court, Coinbase is accused of holding a $1.2 million Dogecoin sweepstakes without adequately disclosing that entrants didn't have to buy or sell the cryptocurrency.
Transportation

Ford Gets $9.2 Billion To Help US Catch Up With China's EV Dominance (bloomberg.com) 82

The US government is providing a conditional $9.2 billion loan to Ford for the construction of three battery factories, the largest government backing for a US automaker since the 2009 financial crisis. "The enormous loan [...] marks a watershed moment for President Joe Biden's aggressive industrial policy meant to help American manufacturers catch up to China in green technologies," reports Bloomberg. From the report: The new factories that will eventually supply Ford's expansion into electric vehicles are already under construction in Kentucky and Tennessee through a joint venture called BlueOval SK, owned by the Michigan automaker and South Korean battery giant SK On Co. Ford plans to make as many as 2 million EVs by 2026, a huge increase from the roughly 132,000 it produced last year. The three-factory buildout by BlueOval plus an adjacent Ford EV assembly unit have an estimated price tag of $11.4 billion. BlueOval was previously awarded subsidies by both state governments. That means taxpayers would be providing low-interest financing for almost all of the cost.

Ford's cars and SUVs made with domestic batteries will also be eligible for billions of dollars in incentives embedded in the Inflation Reduction Act's $370 billion in clean-energy funding, part of the historic climate measure narrowly passed into law about a year ago. The US government will subsidize manufacturing of batteries, and buyers could qualify for additional tax rebates of up to $7,500 per vehicle.

The rush of incentives, government lending and private-sector investment has led to a manufacturing boom in the wake of the IRA. More than 100 battery and electric-vehicle production projects are announced or already under construction in the US, representing about $200 billion in total investments. "Not since the advent of the auto industry 100 years ago have we seen an investment like that," says Gary Silberg, KPMG's global automotive sector leader.

The Almighty Buck

US Might Finally Force Cable-TV Firms To Advertise Their Actual Prices (arstechnica.com) 67

The Federal Communications Commission (FCC) has proposed new rules to crack down on hidden fees charged by cable and satellite video providers. "My administration's top priority is lowering the cost of living for the middle class, and that includes cracking down on companies' use of junk fees to hide true costs from families, who end up paying more as a result," Biden said in a statement on Tuesday. Ars Technica reports: As Biden noted, the FCC "proposed a new rule that would require cable and satellite TV providers to give consumers the all-in price for the service they're offering up front." The proposed rule would force companies like Comcast, Charter Spectrum, and DirecTV to publish more accurate prices. Biden continued: "Too often, these companies hide additional junk fees on customer bills disguised as "broadcast TV" or "regional sports" fees that in reality pay for no additional services. These fees really add up: according to one report, they increase customer bills by nearly 25 percent of the price of base service."

FCC Chairwoman Jessica Rosenworcel first floated pricing transparency rules for the TV services offered by cable and satellite companies in March. That effort took a step forward on Tuesday when the commission approved a Notice of Proposed Rulemaking (NPRM) that seeks public comment on rules that would force video providers to offer accurate prices in advertising. "Consumers who choose a video service based on an advertised monthly price may be surprised by unexpected fees related to the cost of video programming that raise the amount of the bill significantly," the NPRM said. The cable and satellite TV companies' practice of listing "Broadcast TV" and "Regional Sports Network" fees separately from the advertised price "can be potentially misleading and interpreted as a government-imposed tax or fee, instead of a company-imposed service fee increase," and make it hard for customers to compare prices across providers, the FCC said.

The docket is available here, and comments will be accepted for 60 days after the NPRM is published in the Federal Register. The FCC said its proposal "would require cable operators and DBS [direct broadcast satellite] providers to clearly and prominently display the total cost of video programming service." The FCC is also seeking comment on whether it has the authority to impose similar requirements on other types of video providers. But Rosenworcel reportedly said in a congressional hearing that the FCC's authority under US law doesn't extend to streaming services.

Businesses

US To Ease Visas for Skilled Indian Workers as Modi Visits (reuters.com) 118

The Biden administration will make it easier for Indians to live and work in the United States, using this week's state visit by Prime Minister Narendra Modi to help some skilled workers enter or remain in the country, Reuters reported Thursday, citing people familiar with the matter. From the report: The State Department could announce as soon as Thursday that a small number of Indians and other foreign workers on H-1B visas will be able to renew those visas in the U.S., without having to travel abroad, one of the sources said, part of a pilot program that could be expanded in coming years. Indian citizens are by far the most active users of the U.S. H-1B program and made up 73% of the nearly 442,000 H-1B workers in fiscal year 2022.

[...] Each year, the U.S. government makes 65,000 H-1B visas available to companies seeking skilled foreign workers, along with an additional 20,000 visas for workers with advanced degrees. The visas last for three years and can be renewed for another three years. The companies using the most H-1B workers in recent years include the Indian-based Infosys and Tata Consultancy Services as well as Amazon, Alphabet and Meta in the U.S., according to U.S. government data. The ability for some of the temporary foreign workers to renew visas in the U.S. would free up resources for visa interviews in consulates abroad, the spokesperson said. The pilot program would also include some workers with L-1 visas, which are available to people transferring within a company to a position in the U.S., one of the sources said.

Microsoft

FTC Argues Microsoft's Deal To Buy Activision Should Be Paused (reuters.com) 21

The U.S. Federal Trade Commission on Thursday argued in federal court for a preliminary injunction to temporarily block Microsoft's acquisition of videogame maker Activision Blizzard, which would stop the deal from closing before the government's case against it is heard by an administrative judge. From a report: "If this deal is completed, the combined company ... is likely to have the ability, an incentive, to harm competition in various markets related to consoles, subscription services and the cloud (for gaming)," FTC lawyer James Weingarten said in the government's opening arguments in what is expected to be a five-day evidentiary hearing.

The FTC argues it needs a judge to block Microsoft and Activision Blizzard from closing their $69 billion merger until the agency's in-house court gets to rule on whether the combination hurts competition in the videogame industry. The FTC says the combination would give Microsoft's Xbox videogame console exclusive access to Activision games, leaving Nintendo consoles and Sony Group's PlayStation out in the cold. "I think you will see that every piece of evidence shows that it only makes sense for Xbox to make these Activision games to as many people on as many platforms as possible," Microsoft lawyer Beth Wilkinson said in opening arguments, adding that if an injunction is granted it could result in a three-year administrative proceeding that would kill the deal.

Biotech

US Approves Chicken Made From Cultivated Cells, the Nation's First 'Lab-Grown' Meat (apnews.com) 110

An anonymous reader quotes a report from The Associated Press: For the first time, U.S. regulators on Wednesday approved the sale of chicken made from animal cells, allowing two California companies to offer "lab-grown" meat to the nation's restaurant tables and eventually, supermarket shelves. The Agriculture Department gave the green light to Upside Foods and Good Meat, firms that had been racing to be the first in the U.S. to sell meat that doesn't come from slaughtered animals -- what's now being referred to as "cell-cultivated" or "cultured" meat as it emerges from the laboratory and arrives on dinner plates. The companies received approvals for federal inspections required to sell meat and poultry in the U.S. The action came months after the U.S. Food and Drug Administration deemed that products from both companies are safe to eat. A manufacturing company called Joinn Biologics, which works with Good Meat, was also cleared to make the products.

Cultivated meat is grown in steel tanks, using cells that come from a living animal, a fertilized egg or a special bank of stored cells. In Upside's case, it comes out in large sheets that are then formed into shapes like chicken cutlets and sausages. Good Meat, which already sells cultivated meat in Singapore, the first country to allow it, turns masses of chicken cells into cutlets, nuggets, shredded meat and satays. But don't look for this novel meat in U.S. grocery stores anytime soon. Cultivated chicken is much more expensive than meat from whole, farmed birds and cannot yet be produced on the scale of traditional meat, said Ricardo San Martin, director of the Alt:Meat Lab at University of California Berkeley. The companies plan to serve the new food first in exclusive restaurants: Upside has partnered with a San Francisco restaurant called Bar Crenn, while Good Meat dishes will be served at a Washington, D.C., restaurant run by chef and owner Jose Andres.

United States

FTC Sues Amazon for Inducing Users To Subscribe To Prime (nytimes.com) 70

The Federal Trade Commission on Wednesday sued Amazon for illegally inducing consumers to sign up for its Prime service and then hindering them from canceling the subscription, the most aggressive action against the company to date by the agency's chair, Lina Khan. From a report: The lawsuit, filed in U.S. District Court for the Western District of Washington, argues that Amazon had used design tactics on its website known as "dark patterns" to nudge people into subscribing to Prime, the F.T.C. said in a release. And when consumers wanted to cancel, they had to go through a byzantine process to do so.

"Amazon tricked and trapped people into recurring subscriptions without their consent, not only frustrating users but also costing them significant money," Ms. Khan said in a statement. The lawsuit was the first time that the F.T.C. has taken Amazon to court under Ms. Khan, who rose to fame with a viral critique of the company and who is ramping up scrutiny of the e-commerce giant. Ms. Khan has said the power that big tech companies have over online commerce requires regulators to be far more aggressive and has begun taking actions against them./i.

The Internet

ISPs Say US Should Force Big Tech Firms To Pay For Broadband Construction (arstechnica.com) 144

An anonymous reader quotes a report from Ars Technica: Internet service providers in both the US and Europe are clamoring for new payments from Big Tech firms. European broadband providers are much closer to realizing the long-held goal of payments from tech companies, as the European Union government is holding an official consultation on the proposal. As the EU process unfolds, the telco lobby group USTelecom is hoping to push the US down a similar but not quite identical path. In a blog post on Friday, USTelecom CEO Jonathan Spalter argued that the biggest technology companies should contribute toward a fund that subsidizes the building of broadband networks. Spalter wrote that Amazon and similar Internet companies should fill what he called a "conspicuously empty seat at the collective table of global high-speed connectivity."

Given that "six companies account for half of all Internet traffic worldwide... Does it still make sense that the government and broadband providers alone fund this critical infrastructure? Is there no shared obligation from the primary financial beneficiaries of these networks -- the world's most powerful Internet companies?" Spalter wrote. "We need a modern reset that more equitably shares these financial obligations among those who benefit the most from these connections," he argued. USTelecom members include AT&T, Verizon, Lumen (formerly CenturyLink), Windstream, and other telcos. It's one of the biggest trade groups that lobbies for US-based Internet service providers.

[...] USTelecom pointed to the Biden administration's comments in its pitch to make Big Tech firms pay into a central fund like the existing Universal Service Fund (USF) managed by the Federal Communications Commission. "We concur with the US government's position that rather than the payments to broadband providers proposed in the EU, such 'publicly accountable funding mechanisms can better ensure that resources are devoted to key policy objectives, such as improving access and strengthening network security, while avoiding discriminatory measures that distort competition,'" Spalter wrote. The Biden administration's comments didn't call for tech companies to pay into a government-run fund, though. The document noted that the US "approach to financing improvements to broadband infrastructure involves private investments, a national Universal Service Fund, and significant public funding made from general appropriations," but didn't argue for any changes to who pays into the fund.

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