According to the Financial Times (paywalled), Meta's Chief AI Scientist Yann LeCun, a deep-learning pioneer and Turing Award winner, is reportedly leaving the company to launch his own startup. Reuters reports: The owner of Facebook and Instagram has significantly increased its investments in artificial intelligence, with CEO Mark Zuckerberg reorganizing the company's AI initiatives under Superintelligence Labs. Zuckerberg hired Alexandr Wang, former CEO of data-labeling startup Scale AI to lead the new AI effort. As a result, LeCun, who had reported to chief product officer Chris Cox, is now reporting to Wang, the report said.

The company began investing in AI in 2013 by launching Facebook Artificial Intelligence Research (FAIR) unit and recruiting LeCun, who is a known skeptic of the large language model path to superintelligence. LeCun is also a Silver Professor of data science, computer science, neural science and electrical and computer engineering at New York University, according to his LinkedIn page. He is known for his work in deep learning and the invention of the convolutional neural network, which is widely used for image, video and speech recognition.

The European Commission is considering turning its non-binding 2020 guidance on "high-risk vendors" into a legal requirement that would effectively force EU member states to phase out Huawei and ZTE from mobile and fixed-line networks. Bloomberg reports: Commission Vice President Henna Virkkunen wants to convert the European Commission's 2020 recommendation to stop using high-risk vendors in mobile networks into a legal requirement, according to the people, who asked not to be identified because the negotiations are private. While infrastructure decisions rest with national governments, Virkkunen's proposal would compel EU countries to align with the commission's security guidance.

The EU is increasingly focused on the risks posed by Chinese telecom equipment makers as trade and political ties with its second-largest trading partner fray. The concern is that handing over control of critical national infrastructure to companies with such close ties to Beijing could compromise national security interests.

Virkkunen is examining ways to limit the use of Chinese equipment suppliers in fixed-line networks, as countries push for the rapid deployment of state-of-the-art fiber cables to expand high-speed internet access. The commission is also considering measures to dissuade non-EU countries from relying on Chinese vendors, including by withholding Global Gateway funding from nations that use the grants for projects involving Huawei equipment, according to the people.

Investment in subsea cable projects is expected to reach around $13 billion between 2025 and 2027, almost twice the amount invested between 2022 and 2024, according to telecommunications data provider TeleGeography. Tech giants Meta, Google, Amazon and Microsoft now represent about 50% of the overall market, up from a negligible share a decade ago.

The companies are expanding their subsea infrastructure to connect growing networks of data centers needed for AI development. Meta announced Project Waterworth in February, a 50,000-kilometer cable connecting five continents that will be the world's longest subsea cable project. Amazon announced its first wholly-owned subsea cable called Fastnet, connecting Maryland to Ireland. Google has invested in over 30 subsea cables. Over 95% of international data and voice call traffic travels through nearly a million miles of underwater cables.

Visa and Mastercard are nearing a settlement with merchants that aims to end a 20-year-old legal dispute by lowering fees stores pay and giving them more power to reject certain credit cards, WSJ reports, citing people familiar with the matter. From the report: Under terms being discussed, Visa and Mastercard would lower credit-card interchange fees, which are often between 2% and 2.5%, by an average of around 0.1 percentage point over several years, the people said. They would also loosen rules that require merchants that accept one of a network's credit cards to accept all of them.

A deal could be announced soon, the people said, and would require court approval to take effect. If an agreement is finalized, consumers could see big changes at the register. Merchants that accept one kind of Visa credit card wouldn't have to accept all Visa credit cards, for example. Under the current talks, credit-card acceptance would be divided into several categories including rewards credit cards, credit cards with no rewards programs, and commercial cards, the people familiar with the matter said.

Some stores might turn away rewards cards, which charge them higher fees and in recent years have become very popular with consumers. But stores that reject those cards would face the risk of declining sales.

The Rust Foundation has a responsibility to "shed light on the impact of supporting the often unseen work" that keeps the Rust Project running. So this week they announced a new initiative "to provide consistent, transparent, and long term support for the developers who make the Rust programming language possible."

It's the Rust Foundation Maintainers Fund, "an initiative we'll shape in close collaboration with the Rust Project Leadership Council and Project Directors to ensure funding decisions are made openly and with accountability." In the months ahead, we'll define the fund's structure, secure contributions, and work with the Rust Project and community to bring it to life. This work will build on lessons from earlier iterations of our grants and fellowships to create a lasting framework for supporting Rust's maintainers... Over the past several months, through ongoing board discussions and input from the Leadership Council, this initiative has taken shape as a way to help maintainers continue their vital development and review work, and plan for the future...

This initiative reflects our commitment to Rust being shaped by its people, guided by open collaboration, and backed by a global network of contributors and partners. The Rust Foundation Maintainers Fund will operate within the governance framework shared between the Rust Project and the Rust Foundation, ensuring alignment and oversight at every level... The Rust Foundation's approach to this initiative will be guided by our structure: as a 501( C)(6) nonprofit, we operate under a mandate for transparency and accountability to the Rust Project, language community, and our members. That means we must develop this fund in coordination with the Rust Project's priorities, ensuring shared governance and long-term viability...

Our goal is simple: to help the people building Rust continue their essential work with the support they deserve. That means creating the conditions for long term maintainer roles and ensuring continuity for those whose efforts keep the language stable and evolving. Through the Rust Foundation Maintainers Fund, we aim to address these needs directly.
"The more companies using Rust can contribute to the Rust Foundation Maintainers Fund, the more we can keep the language and tooling evolving for the benefit of everyone," says Rust Foundation project director Carol Nichols.

In 2022 the iPhone 14 featured emergency satellite service, and there's now support for roadside assistance and the ability to send and receive text messages.

But for future iPhones, Apple is now reportedly working on five new satellite features, reports LiveMint: As per Bloomberg's Mark Gurman, Apple is building an API that would allow developers to add satellite connections to their own apps. However, the implementation is said to depend on app makers, and not every feature or service may be compatible with this system. The iPhone maker is also reportedly working on bringing satellite connectivity to Apple Maps, which would give users the chance to navigate without having access to a SIM card or Wi-Fi. The company is also said to be working on improved satellite messages that could support sending photos and not be limited to just text messages. Apple currently relies on the satellite network run by Globalstar to power current features on iPhones. However, the company is said to be exploring a potential sale, and Elon Musk's SpaceX could be a possible purchaser.
The Mac Observer notes Bloomberg also reported Apple "has discussed building its own satellite service instead of depending on partners." And while some Apple executives pushed back, "the company continues to fund satellite research and infrastructure upgrades with the goal of offering a broader range of features."

And "Future iPhones will use satellite links to extend 5G coverage in low-signal regions, ensuring that users remain connected even when cell towers are out of range.... Apple's slow but steady progress shows how the company wants iPhone satellite technology to move from emergency use to everyday convenience."

"According to court filings and interviews with lawyers and scholars, the legal profession in recent months has increasingly become a hotbed for AI blunders," reports the New York Times: Earlier this year, a lawyer filed a motion in a Texas bankruptcy court that cited a 1985 case called Brasher v. Stewart. Only the case doesn't exist. Artificial intelligence had concocted that citation, along with 31 others. A judge blasted the lawyer in an opinion, referring him to the state bar's disciplinary committee and mandating six hours of A.I. training.

That filing was spotted by Robert Freund, a Los Angeles-based lawyer, who fed it to an online database that tracks legal A.I. misuse globally. Mr. Freund is part of a growing network of lawyers who track down A.I. abuses committed by their peers, collecting the most egregious examples and posting them online. The group hopes that by tracking down the A.I. slop, it can help draw attention to the problem and put an end to it... [C]ourts are starting to map out punishments of small fines and other discipline. The problem, though, keeps getting worse. That's why Damien Charlotin, a lawyer and researcher in France, started an online database in April to track it.

Initially he found three or four examples a month. Now he often receives that many in a day. Many lawyers... have helped him document 509 cases so far. They use legal tools like LexisNexis for notifications on keywords like "artificial intelligence," "fabricated cases" and "nonexistent cases." Some of the filings include fake quotes from real cases, or cite real cases that are irrelevant to their arguments. The legal vigilantes uncover them by finding judges' opinions scolding lawyers...

Court-ordered penalties "are not having a deterrent effect," said Freund, who has publicly flagged more than four dozen examples this year. "The proof is that it continues to happen."

A former Business Analyst reportedly filed a class action lawsuit claiming that for years, hundreds of remote employees at Bank of America first had to boot up complex computer systems before their paid work began, reports Human Resources Director magazine: Tava Martin, who worked both remotely and at the company's Jacksonville facility, says the financial institution required her and fellow hourly workers to log into multiple security systems, download spreadsheets, and connect to virtual private networks — all before the clock started ticking on their workday. The process wasn't quick. According to the filing in the United States District Court for the Western District of North Carolina, employees needed 15 to 30 minutes each morning just to get their systems running. When technical problems occurred, it took even longer...

Workers turned on their computers, waited for Windows to load, grabbed their cell phones to request a security token for the company's VPN, waited for that token to arrive, logged into the network, opened required web applications with separate passwords, and downloaded the Excel files they needed for the day. Only then could they start taking calls from business customers about regulatory reporting requirements...

The unpaid work didn't stop at startup. During unpaid lunch breaks, many systems would automatically disconnect or otherwise lose connection, forcing employees to repeat portions of the login process — approximately three to five minutes of uncompensated time on most days, sometimes longer when a complete reboot was required. After shifts ended, workers had to log out of all programs and shut down their computers securely, adding another two to three minutes.
Thanks to Slashdot reader Joe_Dragon for sharing the article.

An anonymous reader quotes a report from the New York Times: Facebook Dating, which debuted in 2019, has become a surprise hit for the company. It lets people create a dating profile free in the app, where they can swipe and match with other eligible singles. It has more than 21 million daily users, quietly making it one of the most popular online dating services. Hinge, a leading dating app in the United States, has around 15 million users. "Underlying it all is that there are real people on Facebook," Tom Alison, the head of Facebook, said in an interview. "You can see who they are, you can see how you're connected to them, and if you have mutual friends, we make it easy to see where you have mutual interests."

Facebook Dating's popularity is a sign of how Facebook has been reinventing itself. One of the early social networks, its main social feed has become less popular over time than younger apps like Instagram and TikTok. But along with Facebook Marketplace, where people look for deals on things like couches and used cars, Facebook Dating shows how an older social network can remain relevant. "When you look at Gen Z usage on Facebook, they aren't using the social media feed," said Mike Proulx, a research director at Forrester VP, a research firm. "What's bringing them back to the platform is Marketplace, Messenger, Dating."

An anonymous reader quotes a report from BleepingComputer: The U.S. Congressional Budget Office (CBO) confirms it suffered a cybersecurity incident after a suspected foreign hacker breached its network, potentially exposing sensitive data. In a statement shared with BleepingComputer, CBO spokesperson Caitlin Emma confirmed the "security incident" and said the agency acted quickly to contain it. "The Congressional Budget Office has identified the security incident, has taken immediate action to contain it, and has implemented additional monitoring and new security controls to further protect the agency's systems going forward," Emma told BleepingComputer.

"The incident is being investigated and work for the Congress continues. Like other government agencies and private sector entities, CBO occasionally faces threats to its network and continually monitors to address those threats." The Washington Post first reported the breach, stating that officials discovered the hack in recent days and are now concerned that emails and exchanges between congressional offices and the CBO's analysts may have been exposed. While officials have reported told lawmakers they believe the intrusion was detected early, some congressional office have allegedly halted emails with the CBO out of security concerns.

A curious engineer discovered that his iLife A11 smart vacuum was remotely "killed" after he blocked it from sending data to the manufacturer's servers. By reverse-engineering it with custom hardware and Python scripts, he managed to revive the device to run fully offline. Tom's Hardware reports: An engineer got curious about how his iLife A11 smart vacuum worked and monitored the network traffic coming from the device. That's when he noticed it was constantly sending logs and telemetry data to the manufacturer -- something he hadn't consented to. The user, Harishankar, decided to block the telemetry servers' IP addresses on his network, while keeping the firmware and OTA servers open. While his smart gadget worked for a while, it just refused to turn on soon after. After a lengthy investigation, he discovered that a remote kill command had been issued to his device.

He sent it to the service center multiple times, wherein the technicians would turn it on and see nothing wrong with the vacuum. When they returned it to him, it would work for a few days and then fail to boot again. After several rounds of back-and-forth, the service center probably got tired and just stopped accepting it, saying it was out of warranty. Because of this, he decided to disassemble the thing to determine what killed it and to see if he could get it working again. [...] So, why did the A11 work at the service center but refuse to run in his home? The technicians would reset the firmware on the smart vacuum, thus removing the kill code, and then connect it to an open network, making it run normally. But once it connected again to the network that had its telemetry servers blocked, it was bricked remotely because it couldn't communicate with the manufacturer's servers. Since he blocked the appliance's data collection capabilities, its maker decided to just kill it altogether.

"Someone -- or something -- had remotely issued a kill command," says Harishankar. "Whether it was intentional punishment or automated enforcement of 'compliance,' the result was the same: a consumer device had turned on its owner." In the end, the owner was able to run his vacuum fully locally without manufacturer control after all the tweaks he made. This helped him retake control of his data and make use of his $300 software-bricked smart device on his own terms. As for the rest of us who don't have the technical knowledge and time to follow his accomplishments, his advice is to "Never use your primary WiFi network for IoT devices" and to "Treat them as strangers in your home."

A bungled October 18 heist that saw $102 million of crown jewels stolen from the Louvre in broad daylight has exposed years of lax security at the national art museum. From trivial passwords like 'LOUVRE' to decades-old, unsupported systems and easy rooftop access, the job was made surprisingly easy. PC Gamer reports: As Rogue cofounder and former Polygon arch-jester Cass Marshall notes on Bluesky, we owe a lot of videogame designers an apology. We've spent years dunking on the emptyheadedness of game characters leaving their crucial security codes and vault combinations in the open for anyone to read, all while the Louvre has been using the password "Louvre" for its video surveillance servers. That's not an exaggeration. Confidential documents reviewed by Liberation detail a long history of Louvre security vulnerabilities, dating back to a 2014 cybersecurity audit performed by the French Cybersecurity Agency (ANSSI) at the museum's request. ANSSI experts were able to infiltrate the Louvre's security network to manipulate video surveillance and modify badge access.

"How did the experts manage to infiltrate the network? Primarily due to the weakness of certain passwords which the French National Cybersecurity Agency (ANSSI) politely describes as 'trivial,'" writes Liberation's Brice Le Borgne via machine translation. "Type 'LOUVRE' to access a server managing the museum's video surveillance, or 'THALES' to access one of the software programs published by... Thales." The museum sought another audit from France's National Institute for Advanced Studies in Security and Justice in 2015. Concluded two years later, the audit's 40 pages of recommendations described "serious shortcomings," "poorly managed" visitor flow, rooftops that are easily accessible during construction work, and outdated and malfunctioning security systems. Later documents indicate that, in 2025, the Louvre was still using security software purchased in 2003 that is no longer supported by its developer, running on hardware using Windows Server 2003.

Google's new "Project Suncatcher" aims to launch Tensor Processing Units (TPUs) into space, creating a solar-powered, satellite-based AI network capable of scaling machine learning beyond Earth's limits. Google says a "solar panel can be up to 8 times more productive than on earth" for near-continuous power using a "dawn-dusk sun-synchronous low earth orbit" that reduces the need for batteries and other power generation. 9to5Google reports: These satellites would connect via free-space optical links, with large-scale ML workloads "distributing tasks across numerous accelerators with high-bandwidth, low-latency connections." To match data centers on Earth, the connection between satellites would have to be tens of terabits per second, and they'd have to fly in "very close formation (kilometers or less)."

Google has already conducted radiation testing on TPUs (Trillium, v6e), with "promising" results: "While the High Bandwidth Memory (HBM) subsystems were the most sensitive component, they only began showing irregularities after a cumulative dose of 2 krad(Si) -- nearly three times the expected (shielded) five year mission dose of 750 rad(Si). No hard failures were attributable to TID up to the maximum tested dose of 15 krad(Si) on a single chip, indicating that Trillium TPUs are surprisingly radiation-hard for space applications."

Finally, Google believes that launch costs will "fall to less than $200/kg by the mid-2030s." At that point, the "cost of launching and operating a space-based data center could become roughly comparable to the reported energy costs of an equivalent terrestrial data center on a per-kilowatt/year basis."

An anonymous reader shares a report: Before the potential of the internet was appreciated around the world, nations that understood its importance managed to scoop outsized allocations of IPv4 addresses, actions that today mean many users in the rest of the world are more likely to find their connections throttled or blocked.

So says Cloudflare, which last week published research that recalls how once the world started to run out of IPv4 addresses, engineers devised network address translation (NAT) so that multiple devices can share a single IPv4 address. NAT can handle tens of thousands of devices, but carriers typically operate many more. Internetworking wonks therefore developed Carrier-Grade NAT (CGNAT), which can handle over 100 devices per IPv4 address and scale to serve millions of users.

That's useful for carriers everywhere, but especially valuable for carriers in those countries that missed out on big allocations of IPv4 because their small pool of available number resources means they must employ CGNAT to handle more users and devices. Cloudflare's research suggests carriers in Africa and Asia use CGNAT more than those on other continents.

Cloudflare worried that could be bad for individual netizens. "CGNATs also create significant operational fallout stemming from the fact that hundreds or even thousands of clients can appear to originate from a single IP address," wrote Cloudflare researchers Vasilis Giotsas and Marwan Fayed. "This means an IP-based security system may inadvertently block or throttle large groups of users as a result of a single user behind the CGNAT engaging in malicious activity. Blocking the shared IP therefore penalizes many innocent users along with the abuser."

Australia's new "solar sharer" program will give households in NSW, south-east Queensland, and South Australia at least three hours of free solar power each day starting in 2026 -- even for those without rooftop panels. Other areas will potentially follow in 2027. The Guardian reports: The government said Australians could schedule appliances such as washing machines, dishwashers and air conditioners and charge electric vehicles and household batteries during this time. The solar sharer scheme would be implemented through a change to the default market offer that sets the maximum price retailers can charge customers for electricity in parts of the country. The climate change and energy minister, Chris Bowen, said the program would ensure "every last ray of sunshine was powering our homes" instead of some solar energy being wasted.

Australians have installed more than 4m solar systems and there is regularly cheap excess generation in the middle of the day. Part of the rationale for the program is that it could shift demand for electricity from peak times -- particularly early in the evening -- to when it is sunniest. This could help minimize peak electricity prices and reduce the need for network upgrades and intervention to ensure the power grid was stable.

A new class-action lawsuit accuses Spotify of allowing billions of fraudulent Drake streams generated by bots between 2022 and 2025, allegedly inflating his royalties at the expense of other artists. "Spotify pays streaming royalties using a 'pro-rata' model based on an artist's market share," notes Consequence. "Each month, revenue from subscriptions and ads is collected into a single, fixed 'pot' of money, which is then distributed to rights holders based on their percentage of the platform's total streams. Because this pot is fixed, an artist who artificially inflates their numbers through bots would dilute the value of every legitimate stream. This allows them to take a larger share of the pot than they earned, effectively siphoning royalties that should have gone to other artists." From the report: According to Rolling Stone, the lawsuit alleges bot use is a widespread problem on Spotify. However, Drake is the only example named, based on "voluminous information" which the company "knows or should know" that proves a "substantial, non-trivial percentage" of his approximately 37 billion streams were "inauthentic and appeared to be the work of a sprawling network of Bot Accounts."

The complaint claims this alleged fraudulent activity took place between "January 2022 and September 2025," with an examination of "abnormal VPN usage" revealing at least 250,000 streams of Drake's song "No Face" during a four-day period in 2024 were actually from Turkey "but were falsely geomapped through the coordinated use of VPNs to the United Kingdom in [an] attempt to obscure their origins." Other notable allegations in the lawsuit are that "a large percentage" of accounts were concentrated in areas where the population could not support such a high volume of streams, including those with "zero residential addresses." The suit also points to "significant and irregular uptick months" for Drake's songs long after their release, as well as a "slower and less dramatic" downtick in streams compared to other artists.

Noting a "staggering and irregular" streaming of Drake's music by individuals, the suit also claims there are a "massive amount of accounts" listening to his songs "23 hours a day." Less than 2% of those users account for "roughly 15 percent" of his streams. "Drake's music accumulated far higher total streams compared to other highly streamed artists, even though those artists had far more 'users' than Drake," the lawsuit concludes.

concertina226 shares a report from The Register: [A massive power outage in April left tens of millions across Spain, Portugal, and parts of France without electricity for hours due to cascading grid failures, exposing how fragile and interconnected Europe's energy infrastructure is. The incident, though not a cyberattack, reignited concerns about the vulnerability of aging, fragmented, and insecure operational technology systems that could be easily exploited in future cyber or ransomware attacks.] This headache is one the European Commission is focused on. It is funding several projects looking at making electric grids more resilient, such as the eFort framework being developed by cybersecurity researchers at the independent non-profit Netherlands Organisation for Applied Scientific Research (TNO) and the Delft University of Technology (TU Delft).

TNO's SOARCA tool is the first ever open source security orchestration, automation and response (SOAR) platform designed to protect power plants by automating the orchestration of the response to physical attacks, as well as cyberattacks, on substations and the network, and the first country to demo it will be the Ukraine this year. At the moment, SOAR systems only exist for dedicated IT environments. The researchers' design includes a SOAR system in each layer of the power station: the substation, the control room, the enterprise layer, the cloud, or the security operations centre (SOC), so that the SOC and the control room work together to detect anomalies in the network, whether it's an attacker exploiting a vulnerability, a malicious device being plugged into a substation, or a physical attack like a missile hitting a substation. The idea is to be able to isolate potential problems and prevent lateral movement from one device to another or privilege escalation, so an attacker cannot go through the network to the central IT management system of the electricity grid. [...]

The SOARCA tool is underpinned by CACAO Playbooks, an open source specification developed by the OASIS Open standards body and its members (which include lots of tech giants and US government agencies) to create standardized predefined, automated workflows that can detect intrusions and changes made by malicious actors, and then carry out a series of steps to protect the network and mitigate the attack. Experts largely agree the problem facing critical infrastructure is only worsening as years pass, and the more random Windows implementations that are added into the network, the wider the attack surface is. [...] TNO's Wolthuis said the energy industry is likely to be pushed soon to take action by regulators, particularly once the Network Code on Cybersecurity (NCCS), which lays out rules requiring cybersecurity risk assessments in the electricity sector, is formalized.

"An engineer got curious about how his iLife A11 smart vacuum worked and monitored the network traffic coming from the device," writes Tom's Hardware.

"That's when he noticed it was constantly sending logs and telemetry data to the manufacturer — something he hadn't consented to." The user, Harishankar, decided to block the telemetry servers' IP addresses on his network, while keeping the firmware and OTA servers open. While his smart gadget worked for a while, it just refused to turn on soon after... He sent it to the service center multiple times, wherein the technicians would turn it on and see nothing wrong with the vacuum. When they returned it to him, it would work for a few days and then fail to boot again... [H]e decided to disassemble the thing to determine what killed it and to see if he could get it working again...

[He discovered] a GD32F103 microcontroller to manage its plethora of sensors, including Lidar, gyroscopes, and encoders. He created PCB connectors and wrote Python scripts to control them with a computer, presumably to test each piece individually and identify what went wrong. From there, he built a Raspberry Pi joystick to manually drive the vacuum, proving that there was nothing wrong with the hardware. From this, he looked at its software and operating system, and that's where he discovered the dark truth: his smart vacuum was a security nightmare and a black hole for his personal data.

First of all, it's Android Debug Bridge, which gives him full root access to the vacuum, wasn't protected by any kind of password or encryption. The manufacturer added a makeshift security protocol by omitting a crucial file, which caused it to disconnect soon after booting, but Harishankar easily bypassed it. He then discovered that it used Google Cartographer to build a live 3D map of his home. This isn't unusual, by far. After all, it's a smart vacuum, and it needs that data to navigate around his home. However, the concerning thing is that it was sending off all this data to the manufacturer's server. It makes sense for the device to send this data to the manufacturer, as its onboard SoC is nowhere near powerful enough to process all that data. However, it seems that iLife did not clear this with its customers.

Furthermore, the engineer made one disturbing discovery — deep in the logs of his non-functioning smart vacuum, he found a command with a timestamp that matched exactly the time the gadget stopped working. This was clearly a kill command, and after he reversed it and rebooted the appliance, it roared back to life.
Thanks to long-time Slashdot reader registrations_suck for sharing the article.

OpenAI "hasn't yet turned a profit," notes Wall Street Journal business columnist Tim Higgins. "Its annual revenue is 2% of Amazon.com's sales.

"Its future is uncertain beyond the hope of ushering in a godlike artificial intelligence that might help cure cancer and transform work and life as we know it. Still, it is brimming with hope and excitement.

"But what if OpenAI fails?" There's real concern that through many complicated and murky tech deals aimed at bolstering OpenAI's finances, the startup has become too big to fail. Or, put another way, if the hype and hope around Chief Executive Sam Altman's vision of the AI future fails to materialize, it could create systemic risk to the part of the U.S. economy likely keeping us out of recession.

That's rarefied air, especially for a startup. Few worried about what would happen if Pets.com failed in the dot-com boom. We saw in 2008-09 with the bank rescues and the Chrysler and General Motors bailouts what happens in the U.S. when certain companies become too big to fail...

[A]fter a lengthy effort to reorganize itself, OpenAI announced moves that will allow it to have a simpler corporate structure. This will help it to raise money from private investors and, presumably, become a publicly traded company one day. Already, some are talking about how OpenAI might be the first trillion-dollar initial public offering... Nobody is saying OpenAI is dabbling in anything like liar loans or subprime mortgages. But the startup is engaging in complex deals with the key tech-industry pillars, the sorts of companies making the guts of the AI computing revolution, such as chips and Ethernet cables. Those companies, including Nvidia and Oracle, are partnering with OpenAI, which in turn is committing to make big purchases in coming years as part of its growth ambitions.

Supporters would argue it is just savvy dealmaking. A company like Nvidia, for example, is putting money into a market-making startup while OpenAI is using the lofty value of its private equity to acquire physical assets... They're rooting for OpenAI as a once-in-a-generational chance to unseat the winners of the last tech cycles. After all, for some, OpenAI is the next Apple, Facebook, Google and Tesla wrapped up in one. It is akin to a company with limitless potential to disrupt the smartphone market, create its own social-media network, replace the search engine, usher in a robot future and reshape nearly every business and industry.... To others, however, OpenAI is something akin to tulip mania, the harbinger of the Great Depression, or the next dot-com bubble. Or worse, they see, a jobs killer and mad scientist intent on making Frankenstein.

But that's counting on OpenAI's success.

San Francisco's local newscast ABC7 runs a consumer advocacy segment called "7 on Your Side". They received a disturbing call for help from Dave Dornlas, treasurer of a nonprofit supporting a local library: GoFundMe has taken upon itself to create "nonprofit pages" for 1.4 million 501C-3 organizations using public IRS data along with information from trusted partners like the PayPal Giving Fund. "The fact that they would just on their own build pages for nonprofits that they've never spoken to is a problem," [Dornlas] said. "I'm a believer in opt-in, not opt-out...." Dornlas says he struggled to find anyone to contact from GoFundMe about this... Dave's other frustration is tied to the company's optional tipping feature on the platform. "GoFundMe also solicits a tip of 14.5%. In other words, 'We're doing this and we're great people. Give us 14.5% to do this' — which doesn't have to happen," Dornlas said. "That's what bothers me." When 7 On Your Side checked, the optional tip was actually set for 16.5%. The consumer is required to move the bar to adjust accordingly... The tip would be in addition to the 2.2% transaction fee GoFundMe charges nonprofits, plus $0.30 per donation. That fee goes up to 2.9% for individual fundraisers.

Now both GoFundMe pages of Dornlas's nonprofits have been removed from the site. Any organization can do so, by clicking "unpublish" on the platform.
But GoFundMe's move drew strong criticism from the Center for Nonprofit Excellence (a Kentucky-based membership organization with over 500 members). GoFundMe's move, they say, creates "confusion for donors and supporters who are unsure of the legitimacy of the fundraising pages. In some cases, GoFundMe included incorrect information, outdated logos, and other inaccuracies that compromise and misrepresent nonprofits' brand, mission, strategy, and message."

And GoFundMe's processing fees and tips "ultimately result in fewer resources for nonprofits than if donors contributed directly through the organization." But there's more... GoFundMe has initiated SEO optimization as the default for the donation pages to improve their visibility when individuals search forinformation about nonprofits online. This could result in GoFundMe'spages ranking higher than the nonprofit's own website, pulling away potential donors and supporters...

Without adequate safeguards in place, nonprofits report serious issues, ranging from unauthorized individuals claiming donations and the inability to remove pages without first agreeing to GoFundMe's terms and conditions or sharing sensitive banking information.
The Center for Nonprofit Excellence has now joined with the National Council of Nonprofits — America's largest network of nonprofits, with over 25,000 members — to officially urge GoFundMe to immediately rectify the situation.

Thanks to long-time Slashdot reader Arrogant-Bastard for sharing the article.