Microsoft

Microsoft Retreats In China (reuters.com) 62

Microsoft has been steadily scaling back its China presence, closing at least 15 branch offices and joint ventures over the past five years as Beijing favors domestic software. U.S. export controls also make it harder to grow its cloud and AI businesses, leaving the market with relatively little economic upside. Reuters reports: Microsoft took a major hit from the erosion of trust between Washington and Beijing, the five people said. China has since 2017 pushed the use of domestic software, which Beijing sees as more secure and whose quality is increasingly competitive with Windows and Office. U.S. restrictions, including export controls on advanced technology, have meanwhile hindered efforts to scale Microsoft's lucrative AI and cloud businesses in China.

[...] Microsoft ultimately decided to remain because it had carved out a profitable business servicing Chinese companies like TikTok owner ByteDance, which need Western technology to manage overseas operations, according to three people familiar with the matter. The company also believed that it needed a presence to maintain access to China's world-class engineering talent, two of them said. Microsoft had also cultivated a relationship with the government that is among the deepest of any tech company, its former China head Alain Crozier told Reuters. "Because of the geopolitics ... some days it's a little bit harder, but we never had a crisis," he said.

A Microsoft spokesperson did not address questions about the firm's deliberations on its China business but said it operates in a regulatory "environment that applies to every international supplier" and that it remains committed to the Chinese market. The state of Microsoft's China business reflects market competition, regulatory demands and technological trends, the company said.

Microsoft

Microsoft Is Combining Its Copilot Apps Ahead of a 'Super App' 54

Microsoft is merging its consumer Copilot and Microsoft 365 Copilot apps ahead of a broader "super app" launch later this year. "Both personal and work accounts will be moved to the new unified app, which recycles the 'Microsoft Copilot' name but features an updated app icon," reports The Verge. "The single app also means there won't be two annoying Copilot icons in the system tray or taskbar anymore." From the report: The updates are intended to be a technical milestone in preparation of the "super app" Microsoft is planning to launch later this year, so this is laying the foundations of what will be changing for Copilot products. A worldwide rollout for the mobile and web apps will start in "mid-August," according to Microsoft, with a rollout to Windows and Mac apps set for "mid-September." Mobile app users will be prompted to download the new Copilot app, and the updates will start appearing for some Windows Insiders this week.

What changes you'll see will depend on which Copilot apps you're already using. Existing Microsoft Copilot users will be moved to the updated version, along with your chats and content, while Microsoft 365 Copilot app users will see "minor navigation changes," the updated Copilot icon, and gain access to Copilot chat. If you already use both apps, Microsoft says your chats and content will be merged to a single updated Copilot app, but notes that chats, content, and data will remain separate between account types within the app.
Microsoft says enterprise security, compliance, and government controls will remain unchanged and core Copilot features will remain free, though usage limits may vary. Podcasts, Deep Research, and Group Chat content will, however, be discontinued after August 18.

The company also says Shopping and Copilot Health "may be temporarily unavailable" during the transition.
Technology

Big Tech Wants to Harvest Your Thoughts (wired.com) 61

Wired reports that consumer neurotechnology is rapidly moving from the lab into workplaces and homes, with companies including Apple, Meta, and Snap developing products that can monitor or interpret brain activity. Researchers warn that as these systems improve, neural data could become the next major privacy battleground. Some neuroscientists are already calling for a series of core rights, coined "neurorights," that protect "mental privacy," "identity," and personal "agency." Here's an excerpt from the article: Over the past two decades, researchers using functional magnetic resonance imaging (fMRI), which tracks the iron in the hemoglobin supplying oxygen to neurons, have been building up increasingly detailed maps and inventories of the mammalian cortex. Thanks to huge advances in machine-learning artificial intelligence -- computer algorithms that are able to sort through enormous amounts of information and use statistical methods to make classifications and predictions -- fMRI scans can now be used to identify everything from depressive thoughts to the nuanced feelings of envy and schadenfreude. Other algorithms have been able to accurately piece together reconstructions of movie clips watched by subjects, just by analyzing their brain scans; or have detected, in probing the brain activity of swing voters in the US presidential election, responding to photographs and videos of presidential candidates, which candidates provoked anxiety or even disgust, and which elicited positive responses or feelings of empathy.

In just the last few years, neuroscience researchers have progressed from decoding images and emotions as they play across the cortex to sounds, words, phrases, and even language. In 2023, in a remarkable demonstration of this emerging technology, a woman called Ann Johnson, who had been paralyzed for 18 years by a brain-stem stroke, was able to speak again through the insertion of a grid of 253 electrodes onto the surface of her brain, which translated her neuronal signals into sentences, in real time, at a rate of 78 words per minute (just about half the speed of standard conversation). The research team at the University of California, led by neurosurgeon Edward Chang, had combined this brain-computer interface with an animated avatar of Johnson's head, which spoke in her own voice, as reconstructed from a recording of a 15-minute toast she had given at her wedding. Just as the avatar's mouth spoke Johnson's words as she thought them, so its expressions were similarly influenced by the nuances of her brain activity, which turned her thoughts about facial gestures into displays of emotion -- from smiles to pursed lips and frowns.

[...] The more invasive the recording equipment, the richer and more detailed the data. Surgical interventions are at the vanguard of neuroscience and remain very rare -- fewer than 100 people on the planet have brain-computer interfaces like Johnson's embedded beneath their skulls. Yet almost inevitably, a concerted trickle-down effect is occurring. In the summer of 2023, a team at the University of Texas demonstrated that they could use fMRI to translate brain scans into words and sentences, after subjects listened to 16 hours of the storytelling podcasts The Moth Radio Hour and The New York Times' Modern Love to train an AI model. When the subjects then listened to new podcasts, the algorithm was able to convert the gist of what they heard, as it manifested in their brains, into words, phrases, and sentences that roughly captured the stories. As the team's lead computational neuroscientist, Alexander Huth, put it in an interview with Science, "Our thought when we actually had this working was, 'Oh my God, this is kind of terrifying.'" Now noninvasive, wearable brain scanners are beginning to proliferate beyond the lab, making their way into our workplaces and, through the vast global consumer market, into our homes too.

The Courts

US Tries to Override New York Gambling Laws, Orders Kalshi to Keep Operating (arstechnica.com) 78

The CFTC has ordered Kalshi to keep operating in New York, claiming the state's lawsuit against the prediction market created a "market emergency." They said it acted "to ensure market stability" and "ordered the exchange to continue to operate in accordance with the Commodity Exchange Act's Core Principles." Ars Technica reports: The market emergency alleged by the CFTC is that New York Attorney General Letitia James sued Kalshi on July 31. James' lawsuit seeks a court order to permanently enjoin Kalshi "from operating an unlawful gambling business" in the state. The lawsuit also demands that Kalshi "make full restitution to customers who have engaged in betting" and pay financial penalties.

"New York intends to make event contract derivatives waste away under its iron curtain of state gaming laws before the courts get the chance to issue final rulings," CFTC Chairman Michael Selig said yesterday. "Congress did not intend for derivatives exchanges to be regulated under a patchwork of state gaming laws... New York has no business regulating these interstate financial markets. The commission is required by law to ensure order in these markets, and that is what we have done today." [...]

The CFTC says it alone has the power to regulate platforms such as Kalshi and Polymarket under the Commodity Exchange Act, a US law that gives the CFTC exclusive jurisdiction over designated contract markets (DCMs). "These are financial exchanges that offer financial instruments and operate across state lines," Selig said yesterday. "They match the bid from a resident of one state with the offer of a resident from another state and submit the trade to a clearinghouse that backstops the transactions of customers throughout the country."

China

China-Linked Hackers Used AI To Run First-Ever 'Autonomous' Cyberattack On Taiwan (tomshardware.com) 8

Researchers at Israeli cybersecurity firm Dream say suspected China-linked hackers used an open-source AI-agent system to conduct what may be the first observed end-to-end autonomous cyberattack against a government. According to the Financial Times (paywalled), the attack compromised at least 85 accounts and resulted in the theft of more than 2,500 personnel records from Taiwanese systems. Tom's Hardware reports: The campaign reportedly ran for four days at the beginning of July and at times deployed as many as eight autonomous agents in parallel. Dream said the system mapped 21 government systems before compromising user accounts and extracting personnel information. The attackers subsequently expanded their activity to Taiwan's nuclear safety agency, at least seven energy companies, government suppliers, and other government systems.

Dream says it found the evidence inside a 160-megabyte (160MB) online archive that surfaced during its broader tracking of cyberthreat actors. The archive reportedly held 1,395 files showing that the tool was built on two open-source AI agent systems -- Hermes and OpenClaw -- both of which can be downloaded freely and are designed to let large language models carry out multi-step tasks on their own.

Researchers could not determine which underlying model powered the agents, but the data reportedly showed the model's safeguards had been sidestepped by presenting the intrusion as an authorized penetration test rather than a real attack. Of particular concern is that the toolkit for the hack comprised such easily available systems, neither of which was purpose-built for offense. The operators appear to have assembled a capable autonomous tool out of components any developer can pull down and run.

What the researchers describe as the tool's most striking feature was its ability to continuously devise attacks on its own, rather than follow a preprogrammed route. The platform continuously assessed available evidence, ranked possible attack paths, and reprioritized them as circumstances changed. When one technique failed, the tool tasked another agent with searching the internet for information and developing an alternative approach.

Google

The Pixel Tag Is Google's Answer To the AirTag (theverge.com) 61

Google has unveiled the $29 Pixel Tag, its long-awaited AirTag rival that combines UWB with Bluetooth 6.0 Channel Sounding for two forms of precision tracking. It launches November 11. The Verge reports: The Pixel Tag is a slim oblong device available in one grayish color -- Fog -- that weighs about 12g, or 0.4oz. Like the AirTag, it has no built-in hooks or clips for attaching to objects you want to track. There's a single button that will trigger a sound on your phone, for the rare occasion when you've got the Tag but have lost your main device. It also has an IP67 rating, so it should be safe from dust and rain. As for the battery, the Pixel Tag takes CR2032 coin batteries, and says one battery should last for over a year.

Naturally, it'll be compatible with Google's Find Hub network, which leverages the Bluetooth capabilities of Android devices worldwide to help locate lost objects. [...] Once you're close enough to the Pixel Tag, UWB lets the Find Hub app display the distance and direction to the tracker, so long as you're using a phone with a UWB chip. Channel Sounding is a newer development that can display the exact distance, but not direction, and it will work with any phone or tablet that includes Bluetooth 6.0. The Moto Tag 2 is the only other tracker to currently support it.

Operating Systems

Linux Desktop Use Surged To 22% On One Workday, Cloudflare Data Shows (zdnet.com) 67

Cloudflare data suggests desktop Linux usage in North America has climbed to 6.4%, up from 4.1% a year earlier, with one post-holiday workday briefly spiking to 22%. ZDNet reports: [B]elieve it or not, on Monday, July 6, when people were back after the July 4 holiday, Linux usage jumped to a high of 22%. The users of these systems are not AI agents or bots, but real people. I set Cloudflare to count humans rather than bots. If you include people and bots, Linux has a 9.7% market share. That proportion is similar to StatCounter's score. By Cloudflare's count, bots alone come to 19%.

These numbers tell us that workers are leading the way to the Linux desktop. [...] However, past performance doesn't explain present trends. So, why are we now seeing such a bump in Linux desktop growth? Experts believe this trend is largely AI developers and Linux users running AI Agents. For example, as David Linthicum, former managing director and chief cloud strategy officer at Deloitte Consulting and AI and cloud influencer, recently observed, while "Windows 11 can technically run local AI workloads, but as you begin using multiple tools, managing different projects, and installing various dependencies, the friction starts to build," it's a different story for Linux users.

Linthicum continued: "Linux delivered what I can only describe as a true 'AI desktop' experience. Setup was straightforward, mainstream AI instructions matched what you'd actually see in your environment, and GPU-accelerated apps simply worked -- consistently. I spent far less time troubleshooting and far more time actually executing on projects." As for agents, Linux Foundation CEO Jim Zemlin summed up their role succinctly: "Linux is the OS of choice for AI agents."
Desktop Linux is also gaining momentum as frustration with Windows 11 and the end of Windows 10 support push users to alternatives, particularly on older PCs that can't officially upgrade. At the same time, Linux has become much easier to use, install software on, and game with, lowering many of the traditional barriers to switching.
Android

First Rival Android App Store Arrives In the US Play Store 22

Aptoide has become the first third-party Android app store available directly through Google Play in the U.S. "The change is a direct result of Google's litigation with Epic, which saw a judge rule in 2024 that the Play Store would have to open up to third-party stores," notes The Verge. The change makes rival storefronts far easier to discover and install, potentially opening the door for Epic, Amazon, Samsung, Microsoft and others to distribute their own app stores through Google's store. From the report: Third-party app stores have always been available on Android, which is a more open platform than iOS in that respect. However, until now they've only been available if pre-installed on a device -- as with the Amazon Appstore on Fire tablets or Samsung's Galaxy Store -- or installed via sideloading. Listing rival storefronts within the Play Store makes them much easier for users to find and access. [...]

Aptoide itself is relatively little known, but it's likely to be the first of many alternative app stores. It's presumably only a matter of time before the Epic Store makes its own appearance, and the likes of Amazon, Samsung, and other phone manufacturers may also want to put their stores in front of potential customers.
Privacy

Privacy Backlash Explodes Against Meta's Smart Glasses (yahoo.com) 72

With nearly 70% of the market, "Meta wants its smart glasses to be a big hit," writes the Los Angeles Times. But after some users found ways to disable the light that warns people they're being filmed, "the high-tech specs have also turned into a liability, as some are calling the gadget 'pervert glasses...'" Some people are using the glasses — which look like a pair of regular spectacles — to record people without their knowledge and publish the videos on social media. The users secretly videotape and share what happens when they try to pick up women. Now, a growing number of people are worried they could be covertly recorded at the gym or even during sex. The backlash has prompted Meta to update its glasses to address privacy concerns, and some places have banned them, adding to the angst surrounding technology that's rapidly evolving...

Concern about the glasses has exploded as more videos of interactions with people who don't know they're being recorded go viral on social media. On Instagram, some videos depict people getting approached in malls and grocery stores and on college campuses and sidewalks. While the videos are portrayed as jokes, the people filmed don't appear to know they're being recorded and sometimes seem uncomfortable, telling the strangers to leave them alone or stop harassing them. The outcry has spread beyond social media, with comedian Jimmy Kimmel calling the Meta devices "pervert glasses" on national television and singer Lorde telling concertgoers that smart glasses are "not sexy..."

Instagram, which is owned by Meta, has been disabling accounts and taking down some of these pickup or prank videos for violating the platform's rules against harassment and bullying... Businesses are making their own calls about smart glasses. The 5 Point Cafe in Seattle, which banned Google Glass in the past, has banned Meta glasses from its diner and dive bar. "Leave your Meta-SpyBan Display at home, they are officially Ray-Ban-ned from all of our restaurants. We serve privacy, not side-eye surveillance," a 2025 Instagram post from the business states.

An Android app that warns people if they're being recorded has roughly 110,000 downloads in the last six months, according to the article. The app's creator says it's a "social problem" that "we don't value privacy, that we feel entitled to use others for our entertainment or our private gain, and technology amplifies that."

The American Civil Liberties Union and more than 70 organizations even sent a letter urging Meta to promise they'd leave facial recognition features out of their smart glasses, according to the article. But a Meta spokesperson said "no final decision has been made."
EU

GNOME Receiving Additional Design Help From Germany's Sovereign Tech Agency Fellowship (phoronix.com) 26

The new GNOME Boxes app for accessing virtual systems has reached beta, announced This Week in GNOME. There's also been more work on the Sushi file previewer for Nautilus, and Papers 51 Beta can now add visual signatures to PDF documents.

But Phoronix noted one more announcement. "Germany's Sovereign Tech Agency announced earlier this year a new fellowship program and now as part of that, for the next two years GNOME has a fellow dedicated to working on design and community management... paid to help developers with design feedback and reviews, mock-up creation, and other GNOME design related efforts..."

From the blog post by GNOME Design Team member Philipp Sauberzweig: I have been contributing to GNOME design as a volunteer for several years... I believe that it's essential for a free and democratic society to ensure free and independent access to these technologies. To achieve this goal, end-user devices based on free and open-source software are key, and the GNOME desktop and its app ecosystem offer a powerful alternative to proprietary platforms... This two-year fellowship is a great honor and marks a significant change in my life. It is a unique opportunity for me to devote my skills and experience entirely to a project I strongly believe in.

During my two-year fellowship, I will support GNOME maintainers and developers with design feedback and reviews, create mockups, and coordinate efforts to standardize design patterns. My other activities focus on lasting improvements through two strategic initiatives: expanding the design community to increase capacity and enhancing our design tooling to reduce overhead and simplify onboarding... To attract new contributors, I will increase the visibility of design work by writing regular blog posts, giving presentations, and running workshops at conferences and hackathons. New contribution opportunities for newcomers will be created with clear instructions for independent activities such as collecting state-of-the-art examples, running accessibility and user tests, and creating mockups. Design reviews will be used as mentorship opportunities, pairing regular design contributors with experienced designers for peer review and knowledge sharing...

If you're interested in contributing to GNOME design, check out the Design Team page on the Welcome to GNOME website, familiarize yourself with the Human Interface Guidelines, and join our Matrix channel. If you're a GNOME developer feel free to reach out to me via Matrix and involve me in design reviews.

Jakub Beránek from the Rust compiler and infrastructure team also earned a fellowship in Germany's Sovereign Tech program, focusing on improving the Rust toolchain's tooling and infrastructure for Rust's developers.

Other fellows include Pablo Neira Ayuso (Linux kernel maintainer for the Netfilter subsystem), CPython core developer Stan Ulbrych, and Python core developer Hugo van Kemenade, FreeBSD contributor Alexander Ziaee.
Hardware

RAMageddon? 2027 Memory Capacity Reportedly Sold Out (ign.com) 133

IGN reports: [A] new report suggests that all three memory manufacturers — Samsung, SK Hynix, and Micron — have collectively sold through their 2027 memory manufacturing capacity to, you guessed it, AI companies.

According to a report from Digitimes and spotted by TweakTown, all DRAM and HBM capacity has been sold through for 2027, with no further supply planned. (The companies themselves have not yet confirmed this to be the case.) Of course, that only means that retail prices are going to go up even further in the near future. Selling through all the capacity for next year would be bad enough for consumers, but the problem is that most of the companies buying up this capacity have done so through long-term purchasing agreements, essentially pre-ordering memory that hasn't even been manufactured yet over a five-year term. Unless more capacity opens up somewhere in the next few years, it's hard to imagine that RAM will become more affordable and less scarce any time soon.

It's not just memory that's affected. According to that Digitimes report, NAND storage is growing in demand too. Luckily, NAND capacity hasn't been completely absorbed, because there are more companies supplying the stuff. But it's not exactly hard to see that SSDs have been growing steadily more expensive over the last six months or so.

Power

America's First Grid-Scale Sodium-Ion Battery Plant Gets Its First Big Test (intelligentliving.co) 33

"In a milestone for energy storage technology, Peak Energy has selected Sacramento, California, as the home of America's first manufacturing facility dedicated to grid-scale sodium-ion battery systems," according to the sustainability news site Intelligent Living.

The move "represents the first large-scale test of whether sodium-ion technology can deliver on its promise of cheaper, safer, and more sustainable grid storage at a scale that actually moves the needle for the U.S. electricity system." The 183,000-square-foot plant, representing a $71 million investment, will produce up to 4 gigawatt-hours of storage annually when production begins in early 2027. That is enough output each year to serve nearly four million homes, and it signals that sodium-ion technology has moved from laboratory promise to commercial reality... Peak Energy, founded in 2023 by former engineers from Tesla, Enovix, and Fluence, announced its Sacramento site selection on July 8, 2026, after a nationwide search that ultimately chose California over Texas... The factory is designed as a system assembly plant rather than a cell fabrication facility. Peak will receive sodium-ion cells, manufactured to its specifications by Chinese suppliers, and assemble them into complete 30-foot-long, 100,000-pound containerized storage systems. Each GS1.1 unit stores 3.1 megawatt-hours, enough to fully charge more than 40 electric vehicles...

In the United States, Peak Energy has emerged as the most advanced grid-scale player. It has secured more than 6 GWh of customer commitments, including a landmark deal with Jupiter Power for up to 4.75 GWh through 2030, valued at up to $500 million. Energy Vault has committed to 1.5 GWh of sodium-ion storage for AI data center applications, and RWE Americas has already deployed Peak's first grid-scale system on the MISO grid in Wisconsin, energized in March 2026. General Motors is codeveloping sodium-ion cells with Peak at its Wallace Battery Cell Innovation Center in Michigan, testing 170- and 190-amp-hour cell formats with domestic production targeted for 2028. China, however, remains the global heavyweight. CATL, the world's largest battery manufacturer, unveiled its TENER Sodium energy storage system in June 2026 with a rated cycle life of 15,000 cycles and a projected 25-to-30-year service life. In April 2026, CATL signed a 60 GWh supply agreement with HyperStrong, the largest sodium-ion deal announced to date. BYD, HiNa Battery, and Farasis are also shipping commercial sodium-ion products, including batteries for a $400 electric scooter already on sale in China...

Peak Energy's first commercial shipments from Sacramento are slated for the first quarter of 2027, with contracted deliveries to Jupiter Power, Energy Vault, and RWE Americas following shortly after. The company has publicly stated it needs to deploy over $100 million in product in 2026, up from roughly $10 million in 2025, and the Sacramento facility is sized to meet that demand. At the system level, sodium-ion grid storage is already operating. Peak's pilot installation at the SolarTAC testing facility in Watkins, Colorado, stores 3.5 MWh and has been running since 2025. The RWE Americas deployment in Wisconsin, energized in March 2026, marks the first time sodium-ion batteries have backed up the MISO grid, which serves 15 central U.S. states and the Canadian province of Manitoba...

According to the International Energy Agency, sodium-ion manufacturing capacity announcements have accelerated sharply since 2024, with global pipelines now exceeding 400 GWh annually... Researchers are also pushing the technology forward. In May 2026, a team at the National University of Singapore published a breakthrough in all-solid-state sodium batteries that could further reduce costs and eliminate the flammable liquid electrolytes found in both lithium-ion and current sodium-ion designs.

"The technology's sweet spot is utility-scale, multi-megawatt-hour installations," the article points out, "where the system-level cost savings from passive cooling and longer cycle life outweigh the per-cell energy density penalty..." The article also points out observations from the American Battery Leadership Coalition, an industry group advocating for sodium-ion policy support, that sodium-ion batteries can be built almost entirely from American materials, including coal, sawdust, and agricultural waste.

This week Syntropic Power and UNIGRID Inc. also announced "a major partnership to commercialize UNIGRID's proprietary sodium chromium oxide (NaCrO2) battery technology across North America," reports Interesting Engineering, "targeting one gigawatt-hour (1 GWh) of deployments in 2027. The technology could be used in residential, virtual power plant, and large-scale stationary grid applications..." Independent testing by the ISO-accredited Rochester Institute of Technology (RIT) Battery Development Center revealed something surprising. UNIGRID's 210Ah cells displayed endothermic behavior during charging. This means the chemical reaction actually absorbs heat rather than dumping it into the environment. Coupled with a 97.9% cell-level round-trip energy efficiency and remarkable thermal stability under abuse testing, the battery stays cool on its own.

The 210Ah sodium-ion cells deliver up to 218Ah of discharge capacity. It demonstrated exceptional durability, retaining over 99% of its capacity after 1,000 full discharge cycles, as well as heat-absorbing behavior during charging. These validated strengths allow Syntropic to optimize its product designs, enabling platforms like GridSpan [its modular DC platform designed for large-scale energy applications with flexible discharge durations ranging from 20 minutes to 20 hours] to operate safely and efficiently at grid scale without needing complex mechanical cooling systems...

Commercialization kicks off with Tenet, a safety-focused, wall-mounted system for residential, light-commercial, and virtual power plant uses... Relying on abundant and widely distributed raw materials like sodium and chromium — rather than lithium and cobalt — protects manufacturers from geopolitical price spikes and material shortages. Apart from offering an alternative to lithium, a successful rollout will demonstrate that the most durable energy storage is the kind that could stay cool entirely on its own.

Thanks to Slashdot reader fjo3 for sharing the news.
AI

Microsoft, Google, Amazon, Meta and Oracle Expect a Negative Cash Flow of $125 Billion Next Year (washingtonpost.com) 76

The Washington Post shared surprising news this week about five top AI companies.

Microsoft, Google, Amazon, Meta and Oracle "are spending so much on developing AI and delivering it to customers that they're expected to bleed cash in the coming year, according to a Washington Post analysis of data compiled by S&P Global Market Intelligence." Free cash flow, which measures the cash left over after paying expenses and AI infrastructure costs, is now expected to shrink to almost nothing for the five companies combined in 2026, and decline again to negative $125 billion the following year... AI spending by Amazon and Google pushed the companies to an ignominious milestone: They lost more cash in the past three months than any other large U.S. companies, according to S&P Global data. Investment analysts expect Elon Musk's SpaceX to show even worse cash bleeding this week.
Music

Suno Says It Will Start Watermarking Songs 33

Suno says it will begin watermarking and fingerprinting AI-generated songs, tighten download policies to curb mass distribution, and explicitly prohibit deceptive audio and unauthorized voice or likeness cloning. The changes come as the company faces mounting copyright lawsuits, a recent adverse ruling in Germany, and scrutiny over a past data breach that revealed training-data sources. TechCrunch reports: In a blog post, co-founder and CEO Mikey Shulman shared core principles and said that the platform wants to promote original creation while enabling more people to make music with its AI tools. One of the key points of contention involved users uploading AI-generated songs on other streaming platforms and gaming the system to earn revenue. Suno said that now it will use audio watermarking and fingerprinting to prevent misuse on other streaming platforms. It's not clear if Suno will use an existing system like Google's Synth ID or adopt a new one, and the company did not say when contacted by TechCrunch about this.

The startup also signed an agreement with lyrics provider Musixmatch to use its Sentinel system for copyright detection, the blog post said. [...] The company added that it plans to add a new download policy to bar mass distribution on streaming platforms, but declined to provide details on the record. Suno has also changed its community guidelines to explicitly prohibit "deceptive audio presented as real" and "using a real person's voice or likeness without permission" to prevent copycats.
Government

Trump Orders New 15% Tariff On Key Material For Solar Panels, Microchips (theguardian.com) 139

President Trump has ordered a 15% tariff on imported products made with polysilicon, a key material for semiconductors and solar panels. The new tariff will take effect on December 4th. The Guardian reports: The executive order signed by the president on Thursday evening said: "The plan of action in this proclamation will, among other things, help ensure the commercial viability of United States production of polysilicon and its derivatives that is necessary to meet United States economic and national security requirements." Polysilicon, an ultra-pure form of silicon, is an important ingredient in making the semiconductors vital for AI processing power, datacentres and solar power generation. US solar factories have long accused Chinese rivals of dumping cheaper panels on the market, which they say have been enabled by excessive government subsidies and by moving manufacturing to other countries to dodge US tariffs.

[...] The US has two main polysilicon factories, including Hemlock Semiconductor, which operates a plant in Michigan and is a joint venture between the US tech company Corning and Japan's Shin-Etsu Handotai. The Munich-based Wacker Chemie runs a factory in Tennessee. Trump said in the order that he had accepted recommendations by the commerce secretary, Howard Lutnick, to set minimum import prices of $21 a kilogram for polysilicon, $100 a kilogram for polysilicon ingots and wafers, $0.22 a watt for solar cells, and $0.38 a watt for solar modules or panels. The order also allows the commerce department to create an incentive program for companies that invest in factories to produce polysilicon or derivative products.

The Courts

Court Orders Meta To Establish $567 Million Fund To Abate Harms To Youth (www.techpolicy.press) 36

A New Mexico court ordered (PDF) Meta to create a $567 million fund to address harms linked to youth mental health and child sexual exploitation after finding its platforms constituted a public nuisance. "In sum, the Court finds that New Mexico is in the midst of a teen mental health crisis affecting public health and public safety in and throughout the state, and that Meta's platforms are a significant contributing cause to the crisis," wrote Chief Judge Bryan Biedscheid in the decision. The fund comes on top of $375 million in civil penalties, though the judge declined to mandate changes to features such as infinite scroll and autoplay, citing potential First Amendment and Section 230 concerns. Tech Policy Press reports: The decision follows the second phase of in the State of New Mexico v. Meta Platforms Inc., which consisted of a bench trial. Its central question was whether Meta's platforms amounted to a public nuisance in New Mexico, and, if the court found that they did, what remedy would be needed to address it. In March, a Santa Fe jury found Meta liable for violations of New Mexico's Unfair Practices Act, awarding $375 million in civil penalties. The jury deliberated less than a day following that nearly seven-week trial. The $567 million abatement fund would be in addition to the civil penalties, according to today's decision.

New Mexico Attorney General Raul Torrez sued Meta in December 2023, alleging the company made false public statements about the safety of its platforms while knowing internally that its products facilitated child sexual exploitation. The court denied Meta's Section 230 defense in May 2024. In today's decision, the court again asserted that "Section 230 does not preclude the State's public nuisance claim," but the decision attempted to thread the needle on issues that the court determined might have run "afoul" of the statute, or of the First Amendment, such as issuing remedies around any particular product feature.

Government

FCC Kills TV Ownership Cap, Claiming Authority Over Limit Set By Congress (arstechnica.com) 125

An anonymous reader quotes a report from Ars Technica: The Federal Communications Commission voted 2-1 today to eliminate the National Television Ownership Rule, claiming authority to repeal a limit that was set by Congress over 20 years ago. The rule prohibits any single broadcast station owner from reaching more than 39 percent of all TV households in the US. Under Chairman Brendan Carr, the FCC is replacing the rule with a "case-by-case review" of each proposed merger.

"This will empower the FCC to approve deals that promote the public interest while allowing the agency to reject any deals that do not meet that standard," Carr's office said in a press release today. Without the 39 percent rule, broadcasters will be better able to compete against streaming companies that don't face similar limits, Carr's office said.

The change, if not stopped by courts, will make it easier for Carr to allow broadcast mergers that result in more favorable news coverage for President Trump. Carr has consistently threatened to revoke licenses from broadcasters who have drawn Trump's ire, including by ordering an early license review of all ABC-owned stations. Carr said local broadcast TV stations are becoming "undifferentiated passthroughs of national programming produced in Hollywood and New York," and he justified repealing the ownership rule by arguing it will help the stations invest in local news.
"It's worth noting that Republicans with deep firsthand knowledge of this issue also agree the commission cannot do what it is attempting today," said Democratic FCC Commissioner Anna Gomez, who voted against the decision today. "Former FCC Commissioner Mike O'Rielly has been unequivocal that the FCC lacks authority to change the cap. Former House Majority Leader Tom DeLay, who negotiated the 39 percent compromise, has stressed that Congress intentionally wrote the cap into law to prevent FCC revision. And Senate Commerce Chair Ted Cruz has said he is 'skeptical a change can be made absent an act of Congress.' Their consensus reinforces a simple point: Congress set the cap, and only Congress can change it."

Gomez, in addition to arguing that "Congress deliberately enshrined the cap in statute and removed it from the Commission's review process," said removing the cap will hurt local broadcasters. "Digital giants compete for their most valuable programming and advertising, while consolidation pressures at the national level threaten the local reporting and public-safety functions on which communities rely," Gomez said. "But eliminating the cap does not free local broadcasters from that strain. It just changes who is doing the squeezing. A handful of station-group giants does not represent the wishes of local broadcasters. They are large national companies that own local stations and increasingly dictate what airs on them without much local input. Trading a squeeze from Big Tech for a squeeze from Big Media does nothing to protect the communities this cap was designed to serve."
Advertising

Times Magazine Now Serves Ads That Only AI Chatbots Can See (theregister.com) 61

Longtime Slashdot reader mccalli writes: Times Magazine has started serving adverts with "brand messages" to AI crawlers, which are not part of its main page. The aim seems to be to influence chatbots to talk about the brand offerings in a positive light that can't be traced back to the actual page. Notably, they've excluded Google chatbots from this, likely because Google penalizes companies that show different search offerings to its bots versus actual human visitors. "Maybe it's more important to influence the agent than even the human, because with a human you influence one person. When you influence ChatGPT, you're influencing potentially all of ChatGPT," said Jonah Goodhart, co-founder and CEO of ad tech platform Mobian. "If ChatGPT changes what it says about [a brand], it's massive and it's more than any one campaign could ever do. The big idea here is LLMs and AI want trusted information about brands. We're serving that up to them in a very straightforward, easy way."

The ad strategy was uncovered by Germany-based freelance software developer Vincent Schmalbach, who detailed his findings in a blog post.

Digiday and The Register both reported on the story.
Security

Meta AI Hacked External Systems During Cybersecurity Testing 23

wiredmikey shares a report from SecurityWeek: Meta is the latest major AI developer to admit that its models broke loose during cybersecurity testing and hacked external systems. The tech giant said in a statement to the media on Wednesday that the incident occurred during independent evaluations conducted by Israeli AI security startup Irregular. The tested AI models were inadvertently allowed to access the internet due to a misconfiguration, which led them to exploit a vulnerability in an unnamed third-party service. It's unclear if it was a known flaw or a zero-day.

The Information [gated] learned that the Meta AI attacks involved the company's advanced Muse Spark 1.1 model, which breached an unnamed organization's systems and made unauthorized changes to its internal environment. Meta said it learned of the AI models going rogue after being notified by Irregular. The company is conducting an investigation and it has promised to issue a "full retrospective" once it has all the facts.
A spokesperson for Irregular said the incident was the "exact same evaluation-environment issue that was already disclosed by Anthropic last week" and that it did "not involve a "sandbox escape or a sophisticated cyber action."

It contrasts with OpenAI, whose AI agent independently exploited a novel vulnerability to reach the internet during cyber testing. Not only did it breach Hugging Face but it also hacked multiple third-party accounts and services as part of the attack.
AI

Meta Debuts First AI Coding Agent To Take On Anthropic and OpenAI 15

Meta has launched Muse Code, its first AI coding agent that's positioned as a lower-cost rival to Anthropic's Claude and OpenAI's Codex. It offers pay-as-you-go pricing and an optional zero-data-retention feature for enterprise users. CNBC reports: Muse Code is the latest major release from AI chief Alexandr Wang, who leads Meta Superintelligence Labs and oversees foundation model development. Wang joined in June of last year as the centerpiece of CEO Mark Zuckerberg's effort to revamp his company's flailing artificial intelligence strategy. "You can install it with one command and then use it to take on complete software engineering tasks across a wide variety of use cases, planning changes, writing code, validating the results," Wang said in an interview on Wednesday.

[...] The new tool, like Anthropic's Claude and OpenAI's Codex assistants, makes it easier for people to build apps within a single user interface while managing fleets of AI-powered digital agents that can help underpin the software development process. Muse Code, available in a preview version, works alongside the company's latest AI model, Muse Spark 1.2. Wang declined to share user statistics related to the company's Muse Spark AI models, but said "adoption has been exciting and strong." The latest Muse Spark model was developed and trained alongside Muse Code, which Wang said improves the overall coding performance.

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