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Data Storage

Dropbox-like Cloud Storage Service Shadow Drive Lowers Its Price (techcrunch.com) 22

Shadow has decided to cut the price of its cloud storage service Shadow Drive. Users can now get 2TB of storage for $5.3 per month instead of $9.6 per month. From a report: As for the free tier, things aren't changing. Users who sign up get 20GB of online storage for free. Shadow is also the company behind Shadow PC, a cloud computing service that lets you rent a virtual instance of a Windows PC in a data center near you. It works particularly well to play demanding PC games on any device, such as a cheap laptop, a connected TV or a smartphone. Coming back to Shadow Drive, as the name suggests, Shadow Drive works a lot like Google Drive, OneDrive, iCloud Drive or Dropbox. Users can upload and download files from a web browser. They are stored in a data center based in France so that you can access them later.
IT

Brave Browser Now Features Vertical Tabs For Desktop Users (brave.com) 36

Speaking of Brave, the browser-maker is introducing vertical tabs. From a blog post: With today's 1.52 desktop release, the vertical tabs setting is available to Brave users on Windows, macOS, and Linux. Enabling the vertical tabs setting relocates your open tabs from the top of your browser window (i.e. above the address bar) to the left side of the window, where they'll appear stacked vertically rather than horizontally. To do so, right-click an existing horizontal tab and select "use vertical tabs" from the menu. With open tabs arranged vertically, you'll be able to scroll through them as needed. To open a new tab, simply click the button to create a new tab at the bottom of the vertical tabs sidebar.
Firefox

Firefox Users on Windows 7, 8 and 8.1 Moving To Extended Support Release (mozilla.org) 50

Mozilla: Firefox version 115 will be the last supported Firefox version for users of Windows 7, Windows 8 and Windows 8.1. If you are using these versions of Windows you will be moved to the Firefox Extended Support Release (ESR) channel by an application update. Mozilla will provide security updates for these users until September 2024. No security updates will be provided after that date.
Hardware

Arm Announces the Cortex X4 For 2024, Plus a 14-Core M2-Fighter (arstechnica.com) 81

Arm unveiled its upcoming flagship CPUs for 2024, including the Arm Cortex X4, Cortex A720, and Cortex A520. These chips, built on the Armv9.2 architecture, promise higher performance and improved power efficiency. Arm also introduced a new 'QARMA3 algorithm' for memory security and showcased a potential 14-core mega-chip design for high-performance laptops. Ars Technica reports: Arm claims the big Cortex X3 chip will have 15 percent higher performance than this year's X3 chip, and "40 percent better power efficiency." The company also promises a 20 percent efficiency boost for the A700 series and a 22 percent efficiency boost for the A500. The new chips are all built on the new 'Armv9.2' architecture, which adds a "new QARMA3 algorithm" for Arm's Pointer Authentication memory security feature. Pointer authentication assigns a cryptographic signature to memory pointers and is meant to shut down memory corruption vulnerabilities like buffer overflows by making it harder for unauthenticated programs to create valid memory pointers. This feature has been around for a while, but Arm's new algorithm reduces the CPU overhead of all this extra memory work to just 1 percent of the chip's power, which hopefully will get more manufacturers to enable it.

Arm's SoC recommendations are usually a "1+3+4" design. That's one big X chip, three medium A700 chips, and four A500 chips. This year the company is floating a new layout, though, swapping out two small chips for two medium chips, which would put you at a "1+5+2" configuration. Arm's benchmarks -- which were run on Android 13 -- claim this will get you 27 percent more performance. That's assuming anything can cool and power that for a reasonable amount of time. Arm's blog post also mentions a 1+4+4 chip -- nine cores -- for a flagship smartphone. [...]

Every year with these Arm flagship chip announcements, the company also includes a wild design for a giant mega-chip that usually never gets built. Last year the company's blueprint monster was a design with eight Cortex X3 chips and four A715 cores, which the company claimed would rival an Intel Core i7. The biggest X3-based chip on the market is the Qualcomm Snapdragon 8cx Gen 3, which landed in a few Windows laptops. That was only a four X3/four A715 chip, though. This year's mega chip is a 14-core monster with 10 Cortex X4 chips and four A720 chips, which Arm says is meant for "high-performance laptops." Arm calls the design the company's "most powerful cluster ever built," but will it ever actually be built? Will it ever be more than words on a page?

Windows

Microsoft Announces Cloud-Powered OS Backup and Restore for Windows 11, Better ARM Support (windowscentral.com) 50

Microsoft's annual developer event Build 2023 unveiled ChatGPT's integration into Bing and an AI 'personal assistant' for Windows 11.

But Windows Central also notes two more big (non-AI) announcements: Windows 11 is getting cloud-powered OS backup and restore Smartphone owners have long enjoyed a similar functionality, where you could buy a new device and upon the first start, simply log in to your platform account and select "Restore my apps" from the cloud backup. And now Windows will be able to do the same. ["If the user chooses yes, Windows will automatically apply the old wallpaper and settings and even begin preloading apps you had installed on your old PC. Once the user hits the desktop, they'll see all their previously pinned apps already in the Taskbar, and clicking on them will initiate an automatic download from the Microsoft Store."]

Windows 11 on ARM devices gets a big boost [B]ecause Microsoft has no intention of dropping x86 support, they have been slow in adopting ARM architecture to make it a viable alternative for Windows users. With Build 2023, this is moving ahead...

Elsewhere Windows Central argues that "should result in a better experience on devices like the Surface Pro 9 (ARM), Surface Pro X, and the new Dell Inspiron 14 with a Snapdragon 8cx 2 processor.

On the gaming side of things, Unity with native Windows on ARM support will become available in early June. Once launched, the tool will let developers target Windows on ARM devices for current and future games, resulting in better performance. Unity is a very popular development platform for games, and native support for Windows on ARM is a welcome addition...

Visual Studio having Multi-platform App UI (MAUI) support for Arm will give developers another way to target Windows on ARM PCs.

Even Node.js v20.0.0 now officially supports ARM64 Windows, "allowing for native execution on the platform. The MSI, zip/7z packages, and executable are available from the Node.js download site along with all other platforms."

And in addition, Visual Studio 17.71 Preview 1 now ships with support for Linux development with C++.
Security

Bitwarden Moves Into Passwordless Security (thenewstack.io) 16

Bitwarden, the popular open-source password management program, has launched Bitwarden Passwordless.dev, a developer toolkit for integrating FIDO2 WebAuthn-based passkeys into websites and applications. The New Stack reports: Bitwarden Passwordless.dev uses an easy-to-use application programming interface (API) to provide a simplified approach to implementing passkey-based authentication with your existing code. This enables developers to create seamless authentication experiences swiftly and efficiently. For example, you can use it to integrate with FIDO2 WebAuthn applications such as Face ID, fingerprint, and Windows Hello. Enterprises also face challenges in integrating passkey-based authentication into their existing applications. Another way Bitwarden Passwordless.dev addresses this issue is by including an admin console. This enables programmers to configure applications, manage user attributes, monitor passkey usage, deploy code, and get started instantly.

"Passwordless authentication is rapidly gaining popularity due to its enhanced security and streamlined user login experience," said Michael Crandell, CEO of Bitwarden. "Bitwarden equips developers with the necessary tools and flexibility to implement passkey-based authentication swiftly and effortlessly, thereby improving user experiences while maintaining optimal security levels."

Windows

Windows XP Activation Algorithm Has Been Cracked (theregister.com) 59

Liam Proven, reporting for The Register: Over 21 years after it first came out, the Microsoft operating system that will not die is receiving another lease of life. It's possible to activate new installations, safely and securely, without a crack, off line. A blog post on tinyapps has revealed the hot news that nobody sane has been waiting for: the algorithm that Microsoft uses to validate Windows XP product keys has been cracked and reimplemented. As a result it's now possible to generate valid activation codes for Windows XP, without an internet connection, even though Microsoft has turned off all the activation servers.

This is not a recommendation But first, a word of caution and restraint. Please don't take this article as a recommendation to run Windows XP. It wasn't the most secure of operating systems back in 2001, and you really should not be running it in 2023 -- especially not on anything that is connected to the internet. However, saying that, the problem is that sometimes people need to. There is, for example, hardware out there that only works with Windows XP and won't work with anything newer... and some of it might be very expensive hardware, which is still perfectly functional -- but which requires a long-obsolete version of Windows to operate it. If you are lumbered with such a device, or you have got some single specific and very particular piece of software that you need to run and which doesn't work properly on any newer version of Windows, then you may be forced to use XP. If so, one of the problems is that Microsoft has turned off the activation servers, so even if you install clean fresh copy, you can no longer activate it over the Internet. (Allegedly, the telephone activation service still works, if that's an option for you.)

Sony

Sony Confirms 'PlayStation Q,' a Handheld Device For Streaming PS5 Games (arstechnica.com) 43

An anonymous reader quotes a report from Ars Technica: Amid a plethora of game trailers, Sony dedicated a single minute of its more-than-an-hour-long PlayStation Showcase livestream on Wednesday to reveal two new hardware products. The most buzzworthy of these is surely Project Q -- that's the internal name, as the final name is still pending. Whatever it is called in the future, Project Q confirms a long-standing rumor: It's a new PlayStation handheld.

The device will be focused on streaming; Sony says it will allow users to stream any non-VR game from a local PlayStation 5 console using Remote Play over Wi-Fi. In fact, it won't be able to play games on its own; it's all about the streaming functionality. As for Project Q's specs, it has an 8-inch HD screen and "all the buttons and features of the DualSense wireless controller." Release dates and pricing for these haven't been announced [...].
Ars notes that Sony has been offering Remote Play for a while on other devices. "You can sync a DualSense controller with your macOS, Windows, iOS, or Android device and stream your games over Wi-Fi or the Internet, though the latter is laden with latency challenges."

In addition to Project Q, Sony also announced plans to launch Bluetooth earbuds that can simultaneously connect to a PlayStation console, mobile device, and PCs, similar to AirPods.
Operating Systems

Windows 11 Is Getting the Ability To Run Win32 Apps In Isolation (xda-developers.com) 63

At its Build 2023 conference this week, Microsoft announced Windows 11 will soon be able to run Win32 apps in isolation mode. XDA Developers reports: Starting [today], Microsoft is launching a preview of Win32 apps in isolation for Windows 11 customers. As the name suggests, it will allow users to run Win32 apps in an isolated environment so that they can be sandboxed from the rest of the operating system in order to further strengthen security. The idea is to leverage Windows 11's isolation capabilities to run Win32 apps in an environment where they don't have access to critical Windows components and subsystems. This will ensure that if someone runs a compromised Win32 app in isolation, it will be very difficult for an attacker to break through the sandbox and penetrate the rest of the system. This capability will be available in public preview for both enterprise customers and consumers.
Microsoft

Microsoft's Surface Pro X Cameras Have Suddenly Stopped Working (theverge.com) 45

Microsoft's ARM-based Surface Pro X tablet is not having a good time, and neither are its owners. From a report: According to multiple reports, the tablet's cameras stopped working out of the blue, showing a cryptic error when trying to launch the Windows Camera app or other software: "Something went wrong. If you need it, here's the error code: 0xA00F4271 (0x80004005)."

The first thing that comes to the user's mind when experiencing issues like this is reinstalling the corresponding driver. However, this is not true with Surface Pro X's botched cameras. Affected customers say removing and installing camera drivers on the Surface Pro X has no effect and leaves them stranded, unable to join video calls, take pictures, and perform other camera-related tasks. More importantly, the bug also breaks facial recognition, forcing customers to use their PIN codes instead.

Windows

28 Years Later, Windows Finally Supports RAR Files (techcrunch.com) 110

An anonymous reader shares a report: Then, at some point, someone at Microsoft must have gotten fed up with rushing their .rar operations the way I have for 20 years and thought, there must be a better way. And so, under the subheading of "Reducing toil," we have a few helpful UI updates, then casually and apropos of nothing, this:

"In addition... We have added native support for additional archive formats, including tar, 7-zip, rar, gz and many others using the libarchive open-source project. You now can get improved performance of archive functionality during compression on Windows."

Windows

Microsoft Announces Windows Copilot, an AI 'Personal Assistant' for Windows 11 (theverge.com) 79

Microsoft is adding a Copilot AI assistant to Windows 11. Much like the Copilot sidebars we've seen in Edge, Office apps, and even GitHub, Windows Copilot will be integrated directly into Windows 11 and available to open and use from the taskbar across all apps and programs. From a report: "Once open, the Windows Copilot side bar stays consistent across your apps, programs, and windows, always available to act as your personal assistant," explains Panos Panay, Microsoft's head of Windows and devices. "It makes every user a power user, helping you take action, customize your settings, and seamlessly connect across your favorite apps."

The Windows Copilot can summarize content you're viewing in apps, rewrite it, or even explain it. It looks very similar to the dialog box that's found in Bing Chat, so you can ask it general questions and things you might usually ask a search engine. It won't directly replace the search bar on the Windows 11 taskbar and is a separate Copilot button alongside it instead, much like how Cortana had its own dedicated space on the taskbar in Windows 10. Windows Copilot is a "personal assistant," according to Microsoft, which sounds a lot like how Microsoft described Cortana as a "personal productivity assistant."

Microsoft

Microsoft Is Scanning the Inside of Password-Protected Zip Files For Malware (arstechnica.com) 130

An anonymous reader quotes a report from Ars Technica: Microsoft cloud services are scanning for malware by peeking inside users' zip files, even when they're protected by a password, several users reported on Mastodon on Monday. Compressing file contents into archived zip files has long been a tactic threat actors use to conceal malware spreading through email or downloads. Eventually, some threat actors adapted by protecting their malicious zip files with a password the end user must type when converting the file back to its original form. Microsoft is one-upping this move by attempting to bypass password protection in zip files and, when successful, scanning them for malicious code.

While analysis of password-protected in Microsoft cloud environments is well-known to some people, it came as a surprise to Andrew Brandt. The security researcher has long archived malware inside password-protected zip files before exchanging them with other researchers through SharePoint. On Monday, he took to Mastodon to report that the Microsoft collaboration tool had recently flagged a zip file, which had been protected with the password "infected." "While I totally understand doing this for anyone other than a malware analyst, this kind of nosy, get-inside-your-business way of handling this is going to become a big problem for people like me who need to send their colleagues malware samples," Brandt wrote. "The available space to do this just keeps shrinking and it will impact the ability of malware researchers to do their jobs."

Fellow researcher Kevin Beaumont joined the discussion to say that Microsoft has multiple methods for scanning the contents of password-protected zip files and uses them not just on files stored in SharePoint but all its 365 cloud services. One way is to extract any possible passwords from the bodies of email or the name of the file itself. Another is by testing the file to see if it's protected with one of the passwords contained in a list. "If you mail yourself something and type something like 'ZIP password is Soph0s', ZIP up EICAR and ZIP password it with Soph0s, it'll find (the) password, extract and find (and feed MS detection)," he wrote.
"A Google representative said the company doesn't scan password-protected zip files, though Gmail does flag them when users receive such a file," notes Ars.

"One other thing readers should remember: password-protected zip files provide minimal assurance that content inside the archives can't be read. As Beaumont noted, ZipCrypto, the default means for encrypting zip files in Windows, is trivial to override. A more dependable way is to use an AES-256 encryptor built into many archive programs when creating 7z files."
KDE

KDE Plasma 6 Gets Better Default Settings to Improve Out-of-the-Box Experience (pointieststick.com) 71

KDE developer/QA manager Nate Graham describes the week-long development sprint for the next major release of Plasma desktop environment. And one big focus was "better default settings" to "improve the UX out of the box."

Some highlights from Nate's blog post: - Plasma 6 will default to opening files and folders with a double-click, not a single-click. Even though almost everyone in the room for the discussion actually uses and prefers opening with single-click, we had to admit that it's probably not the ideal default setting for people who are migrating from other platforms, which is most of them. They can still learn the benefits of single-click later.

- We decided to use the "Thumbnail Grid" Task Switcher by default and make some UI changes...

- We're going to make a very strong push for Wayland to be the default session type for Plasma 6. The X11 session will still be there of course, and distros will be free to override this and continue defaulting to X11 if they feel like it suits them better. But we want Wayland to be our official recommendation...

- For Plasma 6, we're going to try a slower release schedule of two per year once we feel like it's stabilized enough after its initial release. And we're going to be reaching out to distros with twice-yearly release schedules themselves to see if we can find release dates that will allow all of them to ship the latest version of Plasma soon after it's released rather than skipping it in favor of something older. Making use of these lengthened release periods, we're also going to lengthen our Beta releases and update them on a weekly basis, so there's more time to find and fix bugs.

Nate also shared this explanation for switching to a floating Panel by default: Microsoft has blatantly copied us in Windows 11, and as a result, people are starting to see Plasma as a cheap clone of Windows again. We see this all the time in the Visual Design Group room... Making the panel float by default provides an immediate visual differentiation from Windows 11 and we hope this will help jolt users' brains out of "ew, it's slightly different from Windows 11" mode and into "wow, this is new and cool and I wonder what's in it" mode.
Cloud

How the NFL Scheduled 272 Football Games Using 4,000 Virtual AWS Servers (amazon.com) 34

Long-time Slashdot reader theodp writes: AWS offered A Look Inside the Making of an NFL Football Schedule in conjunction with Thursday's release of the 2023 NFL Schedule Powered by AWS. AWS notes that producing the schedule required the use of 4,000+ AWS EC2 Spot Instances. An AWS promotional video claims they "saved the NFL an estimated $2 million each season" by leveraging AWS Spot Instances for a discount of up to 90% off compared to AWS On-Demand pricing..

"In just three months," AWS explains, "National Football League (NFL) schedule makers methodically build an exciting 18 week 272-game schedule spanning 576 possible game windows." Up until 10 years ago, AWS notes in an accompanying infographic, the NFL used a white-boarding process to manually craft its schedule.

Not to diminish the NFL's and AWS's 2023 scheduling achievement, but the 2013 documentary The Schedule Makers told the remarkable tale of the husband-and-wife duo of Henry and Holly Stephenson, who for almost a quarter of a century in the pre-Cloud era managed the scheduling for 30 Major League Baseball (MLB) teams who each played 162 regular season games a year. According to the May 1985 Atari Compendium (pg. 38), the Stephensons were using a self-written program running on a 64K IMS-8000 to help schedule games for the MLB (2,106 games over a 6-month season), NBA, and NASL/MISL (defunct soccer leagues). So perhaps the NFL's claim that "There's no way the NFL could deliver the quality of schedule that we put out every year for our fans and television partners without the contributions of our friends at AWS" should be taken with a grain of salt.

Security

Microsoft Will Take Nearly a Year To Finish Patching New 0-Day Secure Boot Bug (arstechnica.com) 48

An anonymous reader quotes a report from Ars Technica: Earlier this week, Microsoft released a patch to fix a Secure Boot bypass bug used by the BlackLotus bootkit we reported on in March. The original vulnerability, CVE-2022-21894, was patched in January, but the new patch for CVE-2023-24932 addresses another actively exploited workaround for systems running Windows 10 and 11 and Windows Server versions going back to Windows Server 2008. The BlackLotus bootkit is the first-known real-world malware that can bypass Secure Boot protections, allowing for the execution of malicious code before your PC begins loading Windows and its many security protections. Secure Boot has been enabled by default for over a decade on most Windows PCs sold by companies like Dell, Lenovo, HP, Acer, and others. PCs running Windows 11 must have it enabled to meet the software's system requirements.

Microsoft says that the vulnerability can be exploited by an attacker with either physical access to a system or administrator rights on a system. It can affect physical PCs and virtual machines with Secure Boot enabled. We highlight the new fix partly because, unlike many high-priority Windows fixes, the update will be disabled by default for at least a few months after it's installed and partly because it will eventually render current Windows boot media unbootable. The fix requires changes to the Windows boot manager that can't be reversed once they've been enabled. Additionally, once the fixes have been enabled, your PC will no longer be able to boot from older bootable media that doesn't include the fixes. On the lengthy list of affected media: Windows install media like DVDs and USB drives created from Microsoft's ISO files; custom Windows install images maintained by IT departments; full system backups; network boot drives including those used by IT departments to troubleshoot machines and deploy new Windows images; stripped-down boot drives that use Windows PE; and the recovery media sold with OEM PCs.

Not wanting to suddenly render any users' systems unbootable, Microsoft will be rolling the update out in phases over the next few months. The initial version of the patch requires substantial user intervention to enable -- you first need to install May's security updates, then use a five-step process to manually apply and verify a pair of "revocation files" that update your system's hidden EFI boot partition and your registry. These will make it so that older, vulnerable versions of the bootloader will no longer be trusted by PCs. A second update will follow in July that won't enable the patch by default but will make it easier to enable. A third update in "first quarter 2024" will enable the fix by default and render older boot media unbootable on all patched Windows PCs. Microsoft says it is "looking for opportunities to accelerate this schedule," though it's unclear what that would entail.

Windows

First Rust Code Shows Up in the Windows 11 Kernel 42

According to Azure CTO Mark Russinovich, the most recent Windows 11 Insider Preview build is the first to include the memory-safe programming language Rust. Thurrott reports: "If you're on the Win11 Insider ring, you're getting the first taste of Rust in the Windows kernel," Russinovich tweeted last night. It's not clear which Insider channel he is referring to, however.

Regardless, that that was quick: Microsoft only went public with its plans to replace parts of the Windows kernel with Rust code in mid-April at its BlueHat IL 2023 security conference in Israel. At that event, Microsoft vice president David Weston said that "we're using Rust on the operating system along with other constructs" as part of an "aggressive and meaningful pursuit of memory safety," a key source of exploits. And it's not just the Windows kernel. Microsoft is bringing Rust to its Pluton security processor as well.
Wine

Goodbye To Roblox On Linux With Their New Anti-Cheat and Wine Blocking (gamingonlinux.com) 97

Roblox's new anti-cheat software puts a stop to in-game exploits, but at what cost? According to Liam Dawe from Gaming On Linux, it's blocking the Wine application, meaning "you won't be able to play it on Linux any more, at all, unless you find some sort of special workaround." He adds: "Previously the roll-out of this update was being tested only with some users. Now though it's here for everyone giving a 64 bit client and introducing their Hyperion anti-cheat software which they are intentionally blocking Wine with." Here's what one of their staff had to say about this: Hi - thanks for the question. I definitely get where you're coming from, and as you point out, you deserve a clear, good-faith answer. Unfortunately that answer is essentially "no."

From a personal perspective, a lot of people at Roblox would love to support Linux (including me). Practically speaking, there's just no way for us to justify it. If we release a client, we have to support it, which means QA, CS, documentation, etc., all of which is much more difficult on a fragmented platform. We release weekly on a half-dozen platforms. Adding in the time to test, debug, and release a Linux client would be expensive, which means time taken away from improving Roblox on our current platforms.

Even Wine support is difficult because of anti-cheat. As wonderful as it would be to allow Roblox under Wine, the number of users who would take advantage of that is minuscule compared with our other platforms, and it's not worthwhile if it makes it easy for exploiters to cheat.

I'm sorry to be such a downer about this, but it's the reality. We have to spend our time porting to and supporting the platforms that will grow our community.

Again, I'm personally sorry to have to say this. Way back in 2000 I had a few patches accepted into the kernel, and I led the port of Roblox game servers from Windows to Linux several years ago. From a technical and philosophical perspective, it would be a wonderful thing to do. But our first responsibility is to our overall community, and the opportunity cost of supporting a Linux client is far, far too high to justify.

Microsoft

Microsoft Could Cram More Ads Into Windows 11 - This Time in the Settings App (techradar.com) 151

Windows 11's Settings panel has been seen with a number of adverts in test builds of the OS, in what's becoming a sadly familiar theme for preview builds of late. From a report: As spotted by German tech site Deskmodder, this was flagged up by a respected source for Microsoft leaks, Albacore, on Twitter. Albacore shared some screenshots of the new home page for the Settings app, as uncovered by digging into a Windows 11 preview from the Canary channel (the earliest test builds). The first screen grab (on the left in the above tweet) shows an ad for Microsoft 365 at the top of the panel, telling users what they get with the service and that they can try it for free (for a trial period). Under that, there's a prompt to 'finish setting up your account,' which refers to completing the setup of your Microsoft Account. The other screenshots also have prompts relating to the Microsoft Account, this time urging users to sign into the account, one of which is shown on the Settings home page and another in the Accounts section. In the latter, users are told to 'Sign in to get the most out of Windows.'
AI

First Empirical Study of the Real-World Economic Effects of New AI Systems (npr.org) 39

An anonymous reader quotes a report from NPR: Back in 2017, Brynjolfsson published a paper (PDF) in one of the top academic journals, Science, which outlined the kind of work that he believed AI was capable of doing. It was called "What Can Machine Learning Do? Workforce Implications." Now, Brynjolfsson says, "I have to update that paper dramatically given what's happened in the past year or two." Sure, the current pace of change can feel dizzying and kinda scary. But Brynjolfsson is not catastrophizing. In fact, quite the opposite. He's earned a reputation as a "techno-optimist." And, recently at least, he has a real reason to be optimistic about what AI could mean for the economy. Last week, Brynjolfsson, together with MIT economists Danielle Li and Lindsey R. Raymond, released what is, to the best of our knowledge, the first empirical study of the real-world economic effects of new AI systems. They looked at what happened to a company and its workers after it incorporated a version of ChatGPT, a popular interactive AI chatbot, into workflows.

What the economists found offers potentially great news for the economy, at least in one dimension that is crucial to improving our living standards: AI caused a group of workers to become much more productive. Backed by AI, these workers were able to accomplish much more in less time, with greater customer satisfaction to boot. At the same time, however, the study also shines a spotlight on just how powerful AI is, how disruptive it might be, and suggests that this new, astonishing technology could have economic effects that change the shape of income inequality going forward.
Brynjolfsson and his colleagues described how an undisclosed Fortune 500 company implemented an earlier version of OpenAI's ChatGPT to assist its customer support agents in troubleshooting technical issues through online chat windows. The AI chatbot, trained on previous conversations between agents and customers, improved the performance of less experienced agents, making them as effective as those with more experience. The use of AI led to an, on average, 14% increase in productivity, higher customer satisfaction ratings, and reduced turnover rates. However, the study also revealed that more experienced agents did not experience significant benefits from using AI.

The findings suggest that AI has the potential to improve productivity and reduce inequality by benefiting workers who were previously left behind in the technological era. Nonetheless, it raises questions about how the benefits of AI should be distributed and whether it may devalue specialized skills in certain occupations. While the impact of AI is still being studied, its ability to handle non-routine tasks and learn on the fly indicates that it could have different effects on the job market compared to previous technologies.

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