China

Nvidia Senior Manager Linked To Supermicro Scheme Smuggling AI Servers To China

An anonymous reader quotes a report from Ars Technica: Taiwan has indicted nine people -- reportedly including an Nvidia senior manager and two Supermicro employees based in the country -- who allegedly helped forge documents to cover up illegal exports of high-end AI servers to China in violation of US export controls. On Monday, Reuters reported that prosecutors in Keelung did not release any names but confirmed that the suspects were "charged with breach of trust and document forgery." One suspect linked to a related case remains at large, accused of the "siphoning of funds from a distributor company involved" in helping China get access to restricted Nvidia chips.

Since 2022, the US has required a license to export semiconductors to China, with the intent of protecting national security by staying ahead of China in the AI race. But after the US arrested Supermicro co-founder Wally Liaw in March for allegedly funneling $2.5 billion in restricted AI servers to China since 2024, Taiwan launched a separate probe to learn more about the scheme. Taiwan's investigation found that co-conspirators attempted to falsify documents to make it appear that 130 B300 servers were installed and in use at a Taiwan facility. But 74 of those servers "were ultimately exported and delivered to Chinese customers," Reuters reported, while the rest, 56, were intended to go to China but were blocked once Taiwanese customs officials "detected irregularities."
According to Taiwan officials, Nvidia's manager and Supermicro employees "colluded with one another at various levels for enormous profit, illegally exporting high-end servers, increasing corporate compliance costs, and severely damaging our nation's international image."

Supermicro said in a statement to PCMag: "Supermicro is committed to protecting our advanced technologies and intellectual property. We are working closely with Taiwanese authorities on recent events, which underscore the importance of continued collaboration across industry and government to strengthen safeguards, enhance supply chain visibility, and facilitate the enforcement of export control laws."
The Courts

SCO Successor Xinuos Asks Court to Rehear Its Claims Against IBM/Red Hat Over Project Monterey (theregister.com) 60

The long legal battle over ownership of Linux "is closer than ever to ending," reports the Register, "after a panel of three judges ruled a claim against IBM and Red Hat isn't valid, and that time has expired for further action." In 2021, an heir to SCO settled with IBM for $14.25 million — a sum that reflects the fact SCO had for years failed to produce strong evidence to back its claims. Another of SCO's legal successors, Xinuos, filed a new claim that IBM should be on the hook because Big Blue knew it did not own the code it contributed to Linux but instead had a non-exclusive license to use it. Xinuos argued that when IBM contributed Project Monterey code to Linux [25 years ago], it breached that license.

Xinuos eventually took that argument to the US District Court for the Southern District of New York — and failed to convince it that IBM and Red Hat had a case to answer. Xinuos appealed, and on August 10th the United States Court of Appeals for the Second Circuit decided [PDF] not to revisit the District Court's decision, agreeing that the original legalese governing Project Monterey means it's too late to re-litigate the matter. The Appeals Court also agreed that Xinuos tried to frame the case as a licensing issue but failed, instead arguing that the issue was really about ownership.

That ain't all, folks, because Xinuos intends to file a petition to have the case re-heard by the full bench of the Court of Appeals. That hardly ever happens, unless the court finds significant errors or major legal issues that make a rehearing worthwhile. Law firm Kaplan says the Second Circuit has allowed reviews of less than 0.03 percent of the cases it has handled. So perhaps this matter is now close to a final resolution.

Back in 2000 Slashdot interviewed one of the presidents of SCO.
AI

OpenAI Faces Safety Scrutiny After Introducing 'ChatGPT For Teens' (ctvnews.ca) 24

This week OpenAI launched a version of ChatGPT exclusively designed for teenagers between the ages of 13 and 17, reports CTV, "saying this version came with stronger protections around content related to mentions of suicide, self-harm and romantic or sexual chats." [Tech analyst Carmi Levy says] "What it's doing is it's using cues, it's sort of watching how you're using the tool, and it's trying to guess your age." Levy said if ChatGPT thinks a person has lied about their age when they first signed up, it will automatically put them into the Teens mode for protection. "It includes those sort of two things: prevent you from having experiences that are age inappropriate, and also add features that are aligned with academics, so that makes it easier to study, makes it less likely for you to cheat on an assignment, provide resources that that that allow you to learn more effectively," he said.

Levy reminded users that this is still an application and a web service, which means it's constantly collecting personal information about the users' activities on the device and using the data to estimate their age... In the event a user is talking about self-harm, this new version will block the conversation and suggest additional help or call emergency or mental health services, Levy explained. It would do the same with violent content, eating disorders, engaging in dangerous activities, as well as explicit, sexual or graphic content. "It's using AI again to sort of parse out that conversation: 'are we headed in a in a significant direction? If so, throw up that guardrail, stop it from happening, redirect.'"

However, the tech analyst said a number of people who have attempted to bypass the guiderails for research have succeeded in doing so "with a little bit of prompting.... I wouldn't call it 100% safe. That's kind of the catch-22 of the entire AI industry." This will lead parents to think that their children are safer and reduce the oversight on their online activities, which Levy described as a "perverse impact" that is "problematic."

"Parents should not assume that OpenAI has their kids' best interests at heart. They should also not assume that these technologies are perfect. They will miss certain things, and they will also engage in what we call false positives," he said. "An adult who's legitimately is in the platform might be tagged as a child because the AI simply got it wrong."

OpenAI's blog post says the new mode was designed for "preserving the ability to learn, create, and explore."

But CNN notes the move "comes as OpenAI faces a string of lawsuits alleging that inappropriate conversations with ChatGPT contributed to the harm or deaths of young people." [New tools] include nudges for teen users to take a break if they've been active for 90 minutes within a three-hour window. OpenAI is also adding options for teens or parents to set "Quiet Hours" when ChatGPT is unavailable or "Study Hours" where ChatGPT's study mode for learning will be on by default. The company also said it has improved protections to prevent ChatGPT from expressing personal feelings toward a user. And it's adding reminders that caution teens to think twice if they try to upload a private or sensitive image to the chatbot...

Nearly a third of American teens use AI chatbots daily, a Pew Research Center study published in December found. ChatGPT was by far the most popular AI chatbot in the survey, with more than half of those teens reporting having used it.

Engadget shared this observation from Josh Golin, the executive director of Fairplay, a non-profit advocating for policies to make the internet safer for children. "Most parents, overwhelmingly, do not avail themselves of [parental oversight] tools, in part because they are deliberately made hard to find and use." Golin's group wanted to see testing of the tools first to see whether they led to better outcomes for teenagers. "The way this was just announced feels more like a response aimed at public relations than actual deep thinking about what kind of support [teens] need."

And Mashable got a similar quote from Robbie Torney, head of AI/digital assessments for Common Sense Media's Youth AI Safety Institute. OpenAI's teen experience makes important safety commitments, but "What we really need now is evidence that they work, and we need this evidence, including our testing and the testing of others, before anyone, including parents, puts real trust in ChatGPT for Teens." Importantly, Torney said parents shouldn't assume their child is using ChatGPT for Teens. While OpenAI uses age estimation to place users in the age-appropriate version of ChatGPT, it can still mistake a user as older. Parents can be sure their child is using the teen version by linking their ChatGPT account to their child's and implementing OpenAI's parental control features. If a teen has previously lied about their age — and plenty do — they may continue to access the adult version of ChatGPT...

Torney said caregivers must enact parental controls to receive notifications from OpenAI should their teen discuss suicide, self-harm, or acts of violence in immediate or dangerous ways... An OpenAI spokesperson said every notification is reviewed by a trained human before it's sent. The company strives to review notifications in under one hour.

Government

Slovakia Finds Russian Backdoor In Traffic Speed Cameras (tomshardware.com) 41

Slovakia acquired speed cameras to modernize its traffic control-- but there was a surprise. Tom's Hardware cites this story from the Risky Bulletin Newsletter: Unfortunately, the country's national security service, the NBU, has discovered that the cameras have multiple security issues. Firstly, they have SMS-activated Russian backdoors. Secondly, live camera feeds can be accessed by anyone with the device IP, no password necessary...

[The cameras] are thought to be rebranded Russian CORDON PRO.M traffic cameras, produced by a St. Petersburg-based firm called Semicon... reportedly bought via a Cyprus-based shell company with fake certifications. Reports also suggest that pressure from the opposition political party in Slovakia led to the NBU investigations... Probably most seriously, in terms of national security, these cameras contain a hardcoded list of Russian phone numbers, which can be used to open a backdoor. An SMS from one of these numbers can open shell and network access... [T]he SecureBoot feature is ineffective, and the web management portal can be accessed, exposing live streams, by anyone with the camera IP.

Cameras that have been installed and set up have since been deactivated by the Slovak Ministry of the Interior. Meanwhile, for due diligence, an independent auditor will be called in to confirm the NBU's findings. It is thought that Croatia, and some other countries in Eastern Europe, may have undiscovered issues with traffic control cameras of similar origin.

AI

Stanford Economist Now Believes an AI Job Apocalypse Is Unlikely (washingtonpost.com) 94

"There is still no sign of economy-wide job destruction," says economist Erik Brynjolfsson. Working with researchers at the Stanford Digital Economy Lab, Brynjolfsson has determined an AI "job apocalypse" is unlikely, reports the Washington Post, "even though it will likely impact entry-level jobs."

And Brynjolfsson "predicts that demand for experienced workers such as senior coders will still be high even if AI takes on more routine knowledge and coding work in the future." Earlier this month, Brynjolfsson and his colleagues at the Stanford Digital Economy Lab updated their widely publicized report, "Canaries in the Coal Mine? Six Facts about the Recent Employment Effects of Artificial Intelligence," to reflect that they do not see widespread, economy-wide job displacement associated with AI...

Brynjolfsson: What has moved on the upside is productivity. Nonfarm business productivity growth is running over 2 percent, the best sustained stretch since the late-1990s boom... The gains show up years after the investment, and they're starting to show up... By 2030, we will have enormously more capable AI, meaningfully faster productivity growth and an unemployment rate that looks unremarkable — somewhere in its historical range. That surprises people, but it's what the mechanism implies... [T]he technology is becoming much more powerful, and it's going to be even more powerful.

Secondly, there are huge implications for business and the economy, including some increases in living standards, but also, potentially, job disruption. And then, thirdly, we must act now to address this gap. We can't just sit back and wait for the tsunami to hit us. And one of the things we can do is put in place institutions, policies and research to make the technology more complementary — using AI to complement people so it creates more jobs. A common misconception among business managers is AI, in order to be effective, has to reduce jobs. That's just not true. You can use AI to increase employment and productivity at the same time. It's kind of a win-win...

Right now, tax policy is very skewed toward favoring capital versus labor — and, as a consequence, a lot of entrepreneurs and managers, they're basically being guided by the federal government to replace workers with machines. And I don't think that's necessarily what we'd like to have happen. From an economist's perspective, what you want to be doing is not mimicking and replacing things. You want to be extending and complementing — have humans do new things they never could have done before.

He acknowledges "real, persistent and widening" effects on entry-level jobs, with a labor market "closing the on-ramp for people starting their careers... If companies don't hire people at the base of the pyramid, then they're not going to have those people later when they need them."

One he points out that one company is instead using AI to speed up its training of young employees.
United States

New York Dethrones San Francisco Bay Area As Largest Tech Talent Market (sfgate.com) 46

fjo3 shares a report from SFGATE: The San Francisco Bay Area, epicenter of the artificial intelligence boom, is home to a massive amount of tech workers employed by some of the world's most valuable companies, from Apple to Nvidia. But for the first time, New York has eclipsed the Bay Area as the home of the largest "tech talent workforce," a report by real estate and investment firm CBRE shows. The firm has published the annual report for 13 years. Last year, the New York Metro Area's tech talent workforce reached 394,300, surpassing the Bay Area's 375,730, according to the report. Fueled by mass layoffs, the Bay Area's tech talent workforce dropped by 6% from 2022 to 2025. New York's tech talent workforce, on the other hand, grew by more than 8% during that period "The Bay Area is likely to remain ... the central location for the AI industry and for innovation. But as we've seen during past cycles, as it tends to grow, that spreads out to all the key markets," Colin Yasukochi, executive director of CBRE's Tech Insights Center, said during a news conference Tuesday.
AI

Over 1 Million People Have Clicked LinkedIn's AI Slop Button 18

According to a post from chief product officer Hari Srinivasan, "over a million people" have clicked on LinkedIn's new "Seems like AI slop" button, which launched after one analysis found 41% of the platform's longform posts were fully AI-generated. The Verge reports: In Thursday's post, Srinivasan said that users are overall "now experiencing 40% less views on what we classify as AI slop from just a few weeks ago." LinkedIn is also adding a new message that will tell users who make a post if "Some members told us this post seems like AI." "We approached this assuming good intent; I know I'm increasingly conscious on how to not sound like AI & the goal is to provide helpful feedback," Srinivasan said.
China

China Joins Europe In Scrapping Windows For Linux (zdnet.com) 142

An anonymous reader quotes a report from ZDNet: According to a Bloomberg report, attributed to China's Ministry of State Security, the country has ordered some government agencies to drop Windows 10 China Government Edition for Chinese-made Linux distributions. Why not Windows 11? Because China, like many other non-US governments, no longer trusts American companies with their software and services. This approach is all about digital sovereignty. In addition, even before the recent trend of governments outside America moving away from Windows, Beijing has started a long-running push to replace foreign technology in sensitive systems with domestic, open-source alternatives.

[...] The Chinese government did not specify which Linux versions would replace Windows 10. However, the stock prices of Chinese Linux suppliers, Kylin Software and Tongxin Software Technology (commonly known as UnionTech), immediately jumped. These companies' respective operating systems, Kylin OS (no relation to Ubuntu Kylin) and UnionTech OS (UOS), were already positioned as domestic desktop and server replacements for Windows in government, state-owned enterprise, and critical-infrastructure environments. [...] Huawei's HarmonyOS 2, which began as an Android variant but is now a proprietary mobile and Internet of Things (IoT) operating system, is also being developed into a PC platform. HarmonyOS 2 won't be deployed anytime soon. Kylin and UOS are the only mature desktops that are ready for institutional desktop deployments.

[...] ... this transition won't be easy. For agencies now moving off the government Windows build, the issue will be more demanding than simply swapping one desktop interface for another. Migration requires application testing, peripheral and driver validation, identity system integration, document-format compatibility, staff retraining and, in many cases, replacement or adaptation of Windows-dependent line-of-business software. The report provides no details on exactly how this transformation will occur. But the speed of the shift suggests that these issues are already being addressed in China's centralized managed desktop stack.

AI

AI Boosted Homework Scores, Then Exam Scores Dropped (economist.com) 56

An anonymous reader quotes a report from The Economist: Students and school children are increasingly using artificial intelligence. A survey last year by Chegg, an ed-tech firm, found that 80% of rich-world undergraduates used it in their studies. More recent polls put the figure at 94% in Britain and 93% in Germany. Such widespread adoption has fueled concerns about the impact the technology might be having on learning. Teachers report marking identikit essays that they suspect are churned out by ChatGPT. Yet firm evidence on AI's educational effects has been lacking.

David Stromberg of Stockholm University and Victor Lei and Wu Yanhui of the University of Hong Kong set out to fill the gap. They tracked 27,000 pupils aged 12-18 in China, where AI adoption has been fast. Around 80% reported using models such as Doubao and DeepSeek; the other 20% formed the control group.

The results are eye-opening. After six months, pupils using AI saw their average homework score rise by 18% across all subjects. The time they took to complete each assignment fell from an average of 64 minutes to 45. But come exam time, the same students scored 20% below their classmates who had not called on AI's help. Homework scores once predicted exam performance; now those who score highest are, perversely, more likely to do worse in exams.
The takeaway: "AI can boost learning productivity, but only for those who use the technology intelligently," reports The Economist. "Students must resist the temptation to reach for an AI-generated answer before thinking things through for themselves."
Transportation

Are You Sure You Want a Car With a Giant Touch Screen? (theatlantic.com) 241

RAMageddon could soon push car prices higher as modern vehicles rely on ever more RAM and powerful centralized computers to run everything from infotainment to driver-assistance systems. Analysts cited by The Atlantic estimate the shortage could add a few percentage points to vehicle prices, which might not sound like much, but could potentially translate to around $2,000 on a $50,000 vehicle. The broader shift toward software-heavy vehicles could also make used cars even less affordable. An anonymous reader quotes an excerpt from the report: Just like laptops, cars depend on microprocessors and RAM, or random-access memory, to run all of their computations. "There's just a baseline level of tech, and thus a baseline level of cost, required of every vehicle," Karl Brauer, the executive analyst at iSeeCars, an automotive-research platform, told me. Technology is a major reason the average price of a new car in the U.S. has reached some $50,000, and that was before RAM became one of the most prized commodities in the world. AI companies are snatching up as much memory as possible for their data centers, causing a RAM shortage that has significantly raised the prices of phones, laptops, and just about any consumer-electronic device. Cars are next.

[...] Over the next year, the memory shortage -- sometimes known as RAMageddon -- will likely raise vehicle prices by a few percentage points, on average, [said Sam Abuelsamid, an analyst at Telemetry and a former automotive engineer]. The relative amount would be smaller than the shocking double-digit jumps for gaming consoles and MacBooks but in some ways more significant: A 4 percent price hike for cars amounts to some $2,000 on average. Cars with those centralized computers will be affected the most, but no vehicle will be spared. "Even if you don't need the high-end chips, you're going to pay more even for the low-end chips just because of the supply constraint," Abuelsamid said. On a recent earnings call, Ford's chief financial officer said that the company had paid $1 billion in higher materials costs due to the memory shortage and inflation. GM and Volkswagen, too, have noted rising chip costs to investors. (Ford and GM did not respond to a request for comment. A spokesperson for Volkswagen told me that the company has "recognized an increased demand for memory chips, primarily driven by growing requirements in other industries," and that in recent years, Volkswagen has taken measures to "mitigate supply risks.")

RAMageddon is poised to last for several years, but the consequences for car buyers may be permanent. Consider what happened during the pandemic, when supply-chain disruptions and rising demand for electronics produced a major chip shortage. Nearly every major car company had to slash production because they simply couldn't procure enough chips, and shifted their focus to selling higher-end and higher-profit vehicles. Potential customers already willing to spend six figures on a car are much less likely to care about a 5 or 10 percent price hike, [said Ivan Drury, the director of insights at Edmunds]. Even now, car companies are continuing to focus on selling more profitable models. Since the pandemic, the average price of a new vehicle has jumped $11,000.

The AI-fueled chip crisis could play out more severely. The average price of a new car could, before long, jump to $60,000 and beyond. These rising costs are making cars even more similar to computers and all of the software they run: Perhaps in an effort to mitigate higher prices, some automakers are also introducing in-car advertisements and putting certain features, such as heated seats, behind a paywall. As cars have morphed into computers, the inevitable next step is for automakers to behave like modern tech companies.

Network

FCC Abolishes Gigabit Speed Goal, Suggesting It Is Unfair To Slower Technologies (arstechnica.com) 153

An anonymous reader quotes a report from Ars Technica: The Federal Communications Commission last week eliminated the gigabit speed goal established during the Biden administration and declared that current levels of broadband deployment in the US are acceptable. Though fiber networks have routinely offered such speeds for years, the FCC said the gigabit speed goal is not "technologically neutral," suggesting that it isn't fair to other, slower technologies.

In 2024, the FCC raised its broadband benchmark to 100Mbps downstream and 20Mbps upstream, setting the new standard by which to judge whether deployment is reasonable and timely. The FCC at the time also set a long-term speed goal of 1Gbps download speeds paired with 500Mbps upload speeds, saying it would use the goal "as a guidepost for evaluating our efforts to encourage deployment." Republican Brendan Carr, who is now the FCC chairman, never liked that long-term goal. He proposed abolishing it last year, and the change was finalized on August 14 in the FCC's latest broadband deployment report. The reports are mandated by Section 706 of the Telecommunications Act.

"As part of our return to following the plain language of Section 706, we adopt our proposal from the Notice [of Inquiry] to abolish without replacement the long-term goal of 1,000/500 Mbps established in the 2024 Report," the order said. "A long-term goal is not mentioned in Section 706 and could appear to violate our obligation to conduct our analysis in a technologically neutral manner. At present, it is impossible to predict long-term technological developments and the evolution of consumer preferences." The FCC said that comments submitted by cable industry group NCTA and wireless industry group CTIA "support our reasoning for abolishing the long-term goal."
Last year, the Brendan Carr-led FCC said (PDF) that the gigabit goal "may be unreasonably prejudicial to technologies such as satellite and fixed wireless that presently do not support such speeds." However, last week's report contradicts that stance.

"We disagree with commenters arguing that our concern about technological neutrality merely serves to accommodate technologies that may currently offer slower speeds," the FCC said. "At present, we do not know the nature of future consumer preferences and, considering that the goal is not required by the statute and does not serve any positive purpose (as discussed herein), we believe it prudent to abolish it."
Transportation

Amazon's Drones Will Soon Deliver to Nearly 500 US Cities and Towns (theverge.com) 53

Amazon says its Prime Air drone delivery service will expand sixfold to nearly 500 U.S. cities and towns by the end of 2026, including metro areas around Chicago, Syracuse, Cleveland, Atlanta, and Boise. According to Amazon Prime Air vice president David Carbon, the service has already delivered "hundreds of thousands of packages to customers" this year, typically within about an hour. The Verge reports: These will join 11 locations across the US where Amazon already offers drone deliveries, with each Prime Air site serving an area of approximately 175 square miles. The service aims to quickly deliver packages of up to 5 pounds or less [...]. Amazon reiterated its drone safety features alongside these expansion plans, including Prime Air's "industry-leading Detect-and-Avoid system." That's likely an attempt to minimize any concerns raised by the communities where the service is expanding, given these drones have already been scrutinized for crashing into cranes, internet cables, gardens, and an apartment building.
The Courts

Music Publisher Round Hill Files $1 Billion Copyright Infringement Suits Against Suno, Anthropic 115

Independent music publisher Round Hill is suing Suno and Anthropic for allegedly using hundreds of copyrighted songs without permission to train their AI systems. The company says potential damages could exceed $1 billion, arguing there is "nothing fair" about building multibillion-dollar AI businesses on copyrighted material while rights holders receive nothing. From The Hollywood Reporter: Round Hill is a prominent music publisher whose copyrights include the Goo Goo Dolls' "Iris," Bonnie Tyler's "Total Eclipse of the Heart," the Kinks' "Lola" and Dio's "Holy Diver." The company provided a list of 500 songs that the defendants had infringed upon. Round Hill said in the suits that the company plans to "amend to list potentially ten thousand or more of their musical compositions," with those damages potentially exceeding $1 billion. "While in other cases for copyright infringement, Defendant has waxed poetic about the necessity of progress and AI's value to society, there is simply no reason -- other than rote expediency -- to have that progress come at the cost of copyrights holders," prominent music attorney Richard Busch, representing Round Hill, wrote in the suits.

Round Hill further argued that the latter "'expediency' arguments completely falter" when taking into account Suno and Anthropic's significant cash valuations they've earned while "exploiting illicit copies of copyrighted works, including the Round Hill Works." "There is simply nothing fair about a company using theft to build for purely commercial purposes a multi-billion dollar business while those from which they steal receive nothing," Round Hill said.
Suno also faces a lawsuit from Universal Music Group and Sony Music Group.
The Almighty Buck

Memory Prices Climb 500% In 12 Months (tomshardware.com) 110

RAM prices have exploded over the past year, with some DDR5 kits approaching 500% year-over-year increases and a 128GB kit now selling for $3,399, which is more than 10 times its previous low. Tom's Hardware reports: Things improve as you step down the memory capacities and speed tiers, but not as much as we'd like. You're still looking at $392 for a memory kit that was just $72 last year. To reinforce the point, I pulled the latest average price data from PCPartPicker, comparing where we are today (August 2026) to exactly one year ago. This data is somewhat approximate, but it should be broadly accurate. [...] A standard 64GB (2x32GB) DDR5-5600 kit that would have cost you under $200 last summer is now demanding over $1,100. It is a 5x multiplier on a component that used to be a fairly boring and predictable line item in a PC build budget.

If you plan to just wait it out on an older AM4 or LGA1700 motherboard with DDR4, you'd better hope your memory holds out too, because DDR4 isn't safe from the fallout. With DDR5 entirely out of reach for most builders, the resulting scramble for older platforms running DDR4 memory has created a massive knock-on effect, and as a result, DDR4 kits are up anywhere from 120% to nearly 180% across the board. Nowhere near as bad as DDR5 pricing, but it still stings when a kit that was $105 last year is $281 this year.

This phenomenon is by no means exclusive to the US, either. German tech site ComputerBase have also been tracking this global trend, reporting just this week that average RAM prices in Europe have skyrocketed by 345% compared to September 2025. Their data shows the squeeze is bleeding into other components too, with hard drive and SSD prices both climbing over 125% in that same timeframe. In fact, the situation is so severe that hyperscale buyers have reportedly already locked in almost all of the global DRAM production capacity for 2027, handing over advance deposits to guarantee their supply of precious DRAM, which is now among the highest-value commodities in the world by weight; mainstream DRAM chips are worth over half as much per kilogram as solid gold.

Privacy

Sainsbury's Store Pauses Facial Recognition After False Shoplifting Claim (theguardian.com) 121

Bruce66423 shares a report from The Guardian: Sainsbury's has paused the use of AI face scanning in one of its stores after a customer was wrongly identified as a shoplifter and ejected from the shop. "I was embarrassed, mortified even, and felt quite humiliated and powerless," Matt Arnold, 46, said of his ordeal. The comedy promoter was buying supplies in the store in East Dulwich, in south-east London, for a standup event at Dulwich Hamlet football club when, after scanning his items and a Nectar card, he was approached by two managers who told him he could not be served owing to an earlier incident. He was then asked to leave and they tried to escort him from the store.

As he left, he saw an overhead CCTV monitor alert with a red circle surrounding his face. He asked the shop staff to keep his shopping in the trolley so his friend could come and pick up the supplies for the comedy night happening soon next door. "I think they were quite confused by this, understandably, but agreed and my colleague Dave went in to pay for and pick up the shop about five minutes later. There was no pause for thought from the staff, no suggestion that they understood this is not how a shoplifter would behave. Just blindly following the machine's orders." Sainsbury's head office apologised to Arnold the next day and has paused use of its AI-assisted Facewatch technology in the store while an investigation takes place.
Arnold says the facial recognition tech should be paused in all stores. "Anyone could be falsely accused and at some point that will be someone vulnerable, someone with mental health issues like anxiety. It's inevitable," said Arnold. "Also, I would worry about the confidence-destroying effect of it happening to a younger person or someone less willing or able to stand up for themselves as I have done."

A Sainsbury's spokesperson said: "We have contacted Mr Arnold to apologise for his experience at our Dulwich superstore. The incident was caused by human error, not the facial recognition technology. Customers can be reassured that the Facewatch system has a 99.98% accuracy rate, and every match is reviewed by a trained manager." A Facewatch spokesperson said their technology was not at fault in this case. "A correct alert was sent to the retailer, but was subsequently subject to human error in the way it was handled in store," they said.

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