European Commission sets its regulatory crosshairs on Temu for illegal product sales

Temu is the latest platform the European Commission (EC) has fixed its regulatory gaze upon. Europe’s top consumer enforcement authority said Thursday it’s opening a formal investigation into the online retailer for enabling the sale of illegal products, including limiting the reappearance of previously suspended “rogue traders” with a history of hawking prohibited goods.

In addition to the illegal product allegation, the EC is also investigating Temu’s potentially addictive design, the platform’s systems that recommend products and data access for researchers. The alleged violations fall under the Digital Services Act (DSA), which empowers the EC to levy fines of up to six percent of Temu’s annual revenue.

In a statement to Engadget, a company spokesperson said it plans to cooperate fully. “Temu takes its obligations under the DSA seriously, continuously investing to strengthen our compliance system and safeguard consumer interests on our platform,” the Temu spokesperson wrote. “We will cooperate fully with regulators to support our shared goal of a safe, trusted marketplace for consumers.”

Temu added that it’s in discussions to join the “Memorandum of Understanding (MoU) on the sale of counterfeit goods on the internet,” a collective of online retailers (facilitated by the EC) that collaborates to prevent fake product sales in Europe. “We can confirm that we are in discussions to join the initiative,” the Temu spokesperson told Engadget. “Counterfeiting is an industrywide challenge, and we believe that collaborative efforts are essential to advancing our shared goals of protecting consumers and rights holders.”

The EC’s formal proceedings follow a preliminary risk assessment report Temu provided the EU at the end of September, its replies to the Commission’s formal requests in June and October and info shared by third parties. As Bloomberg notes, Meta, X, AliExpress and TikTok are also facing DSA investigations. 

The US, which typically lags far behind the EU in reining in Big Tech, said in September it may investigate Temu, too. Leaders of The Consumer Product Safety Commission (CPSC) ordered staff to evaluate concerns about “deadly baby and toddler products” on the platform.

Among the EC’s concerns are whether Temu’s systems are designed to prevent the reappearance of previously suspended traders and non-compliant products. It will also look at the platform’s potentially addictive gamified reward programs and its systems to mitigate the risks from addictive design choices that could harm customers’ mental well-being. It will investigate Temu’s parameters used to recommend goods (the Commission wants at least one “easily accessible option that is not based on profiling”) and whether the company complies with the DSA’s requirement to provide researchers with publicly accessible data.

The EC doesn’t set legal deadline for completing DSA investigations. Once concluded, the Commission will decide whether to bring the hammer down, accept voluntary commitments to remedy the problems or drop the case.

This article originally appeared on Engadget at https://www.engadget.com/big-tech/european-commission-sets-its-regulatory-crosshairs-on-temu-for-illegal-product-sales-164541327.html?src=rss

Microsoft issues warning for ongoing Russia-affiliated spear-phishing campaign

Microsoft has issued a warning about an ongoing spear-phishing campaign by a threat actor called Midnight Blizzard, which US and UK authorities previously linked to Russia's intelligence agency. The company said it discovered that the bad actor has been sending out "highly targeted spear-phishing emails" since at least October 22 and that it believes the operation's goal is to collect intelligence. Based on its observations, the group has been sending emails to individuals linked to various sectors, but it's known for targeting both government and non-government organizations, IT service providers, academia and defense. In addition, while it mostly focuses on organizations in the US and in Europe, this campaign also targeted individuals in Australia and Japan.

Midnight Blizzard has already sent out thousands of spear-phishing emails to over 100 organizations for this campaign, Microsoft said, explaining that those emails contain a signed Remote Desktop Protocol (RDP) connected to a server the bad actor controls. The group used email addresses belonging to real organizations stolen during its previous activities, making targets think that they're opening legitimate emails. It also used social engineering techniques to make it look like the emails were sent by employees from Microsoft or Amazon Web Services. 

If someone clicks and opens the RDP attachment, a connection is established to the server Midnight Blizzard controls. It then gives the bad actor access to the target's files, any network drives or peripherals (such as microphones and printers) connected to their computer, as well as their passkeys, security keys and other web authentication information. It could also install malware in the target's computer and network, including remote-access trojans that it could use to remain in the victim's system even after the initial connection has been cut off. 

The group is known by many other names, such as Cozy Bear and APT29, but you might remember it as the threat actor behind the 2020 SolarWinds attacks, wherein it had managed to infiltrate hundreds of organizations around the world. It also broke into the emails of several senior Microsoft executives and other employees earlier this year, accessing communication between the company and its customers. Microsoft didn't say whether this campaign has anything to do with the US Presidential Elections, but it's advising potential targets to be more proactive in protecting their systems. 

This article originally appeared on Engadget at https://www.engadget.com/cybersecurity/microsoft-issues-warning-for-ongoing-russia-affiliated-spear-phishing-campaign-120003125.html?src=rss

Black Friday Proton VPN deals include up to 70 percent off plans

Now isn’t a bad time to try our pick for the best VPN service for 2024. ProtonVPN is on sale for 70 percent off 12-month subscriptions, bringing the one-year cost down to just under $36. You can also save on Proton Unlimited, which includes VPN access along with access to all of Proton's other services like Mail and Calendar.

ProtonVPN is Engadget’s favorite VPN service of 2024. Although most services passed our tests with high marks, Proton’s service stood out for its independently audited no-logs policy, a proven record of refusing law enforcement requests, open-source code and a peer-review program that discloses potential vulnerabilities. We also liked its user-friendly interface.

The company offers a limited free plan, but ProtonVPN Plus gives you access to 6,500 servers in more than 110 countries. It also includes the company’s high-speed (10Gbps) servers, BitTorrent support, a built-in ad blocker and the option to route your connection through multiple servers.

Other Proton services are also on sale. That includes Proton Mail, the company’s fully encrypted email service that put it on the map. You can get 12 months for 60 percent off ($23.88) or 24 months for 30 percent off ($83.76). ProtonMail recently added an AI-powered writing feature to its mail service. Even if you aren’t a fan of robots putting words into your mouth, the service still gives you up to 10 email addresses (including custom domain support), smart filters and labels, one-click unsubscribe and dedicated mobile and desktop apps.

Check out all of the latest Black Friday and Cyber Monday deals here.

This article originally appeared on Engadget at https://www.engadget.com/deals/black-friday-proton-vpn-deals-include-up-to-70-percent-off-plans-192530055.html?src=rss

Microsoft accuses Google of secretly funding regulatory astroturf campaign

Microsoft is accusing Google of funding a proxy campaign designed to discredit it in the eyes of regulatory authorities and policymakers in the European Union and beyond. In a blog post penned by Rima Alaily, the company’s deputy general counsel, Microsoft claims the search giant has gone to “great lengths to obfuscate its involvement, funding and control” of the Open Cloud Coalition, a group of “cloud service providers, industry leaders and stakeholders” that says it’s committed to advocating for a “fair, competitive, and open cloud services industry across the UK and EU.”

According to Microsoft, Google hired a lobbying agency in Europe to create and operate the organization, and recruited “a handful of” European cloud providers to appear as the public face of the soon-to-launch campaign. The company says that Google plans to “present itself as a backseat member” of the Open Cloud Coalition, rather than its leader and primary funder. As one example, Microsoft points to a recruitment document (PDF link) that makes no mention of the group’s claimed affiliation to Google. It also notes the involvement of Nicky Steward, who co-wrote a complaint against Microsoft and Amazon Web Services as part of the UK’s ongoing antitrust investigation into the cloud services market.

“It remains to be seen what Google offered smaller companies to join, either in terms of cash or discounts,” Microsoft says. It adds that one of the cloud providers Google approached about joining the Open Cloud Coalition claims that the company will direct the group to attack “Microsoft’s cloud computing business in the European Union and the United Kingdom.”

Engadget was unable to independently verify Microsoft’s claims.

"We’ve been very public about our concerns with Microsoft’s cloud licensing. We and many others believe that Microsoft’s anticompetitive practices lock-in customers and create negative downstream effects that impact cybersecurity, innovation, and choice,” a Google spokesperson told Engadget, and pointed us to four separate blog posts on the matter.

As for why Google would potentially go to the extraordinary lengths of funding an astroturf campaign, Microsoft points to the recent uptick in regulatory scrutiny of the company’s search, advertising and mobile app store businesses. By Microsoft’s count, Google faces at least 24 antitrust investigations globally, including a Department of Justice probe that could see the potential break up of the company.

“Never in the past two decades have Google’s search, digital advertising, and mobile app store monopolies faced such a concerted and determined threat as they do today.” Alaily writes. “At a time when Google should be focused on addressing legitimate questions about its business, it is instead turning its vast resources towards tearing down others. It is disappointing that, with the foundation of their business facing jeopardy, they have sought to bolster their cloud computing service – Google Cloud Platform – by attacking ours.”

The accusations come after Google had reportedly attempted to derail an antitrust settlement Microsoft had negotiated with the Cloud Infrastructure Services Providers in Europe (CISPE). In July, Bloomberg wrote that Google had offered the group €470 million to go forward with litigation against its rival, an overture CISPE ultimately rejected.

As revenue growth from digital ads has slowed for Google in recent years, the company has increasingly turned to the cloud market to pick up the slack. In 2023, Google’s cloud business broke even for the first time. More recently, the unit generated a $900 million profit in the first quarter of this year.

This article originally appeared on Engadget at https://www.engadget.com/big-tech/microsoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html?src=rss

Microsoft accuses Google of secretly funding regulatory astroturf campaign

Microsoft is accusing Google of funding a proxy campaign designed to discredit it in the eyes of regulatory authorities and policymakers in the European Union and beyond. In a blog post penned by Rima Alaily, the company’s deputy general counsel, Microsoft claims the search giant has gone to “great lengths to obfuscate its involvement, funding and control” of the Open Cloud Coalition, a group of “cloud service providers, industry leaders and stakeholders” that says it’s committed to advocating for a “fair, competitive, and open cloud services industry across the UK and EU.”

According to Microsoft, Google hired a lobbying agency in Europe to create and operate the organization, and recruited “a handful of” European cloud providers to appear as the public face of the soon-to-launch campaign. The company says that Google plans to “present itself as a backseat member” of the Open Cloud Coalition, rather than its leader and primary funder. As one example, Microsoft points to a recruitment document (PDF link) that makes no mention of the group’s claimed affiliation to Google. It also notes the involvement of Nicky Steward, who co-wrote a complaint against Microsoft and Amazon Web Services as part of the UK’s ongoing antitrust investigation into the cloud services market.

“It remains to be seen what Google offered smaller companies to join, either in terms of cash or discounts,” Microsoft says. It adds that one of the cloud providers Google approached about joining the Open Cloud Coalition claims that the company will direct the group to attack “Microsoft’s cloud computing business in the European Union and the United Kingdom.”

Engadget was unable to independently verify Microsoft’s claims.

"We’ve been very public about our concerns with Microsoft’s cloud licensing. We and many others believe that Microsoft’s anticompetitive practices lock-in customers and create negative downstream effects that impact cybersecurity, innovation, and choice,” a Google spokesperson told Engadget, and pointed us to four separate blog posts on the matter.

As for why Google would potentially go to the extraordinary lengths of funding an astroturf campaign, Microsoft points to the recent uptick in regulatory scrutiny of the company’s search, advertising and mobile app store businesses. By Microsoft’s count, Google faces at least 24 antitrust investigations globally, including a Department of Justice probe that could see the potential break up of the company.

“Never in the past two decades have Google’s search, digital advertising, and mobile app store monopolies faced such a concerted and determined threat as they do today.” Alaily writes. “At a time when Google should be focused on addressing legitimate questions about its business, it is instead turning its vast resources towards tearing down others. It is disappointing that, with the foundation of their business facing jeopardy, they have sought to bolster their cloud computing service – Google Cloud Platform – by attacking ours.”

The accusations come after Google had reportedly attempted to derail an antitrust settlement Microsoft had negotiated with the Cloud Infrastructure Services Providers in Europe (CISPE). In July, Bloomberg wrote that Google had offered the group €470 million to go forward with litigation against its rival, an overture CISPE ultimately rejected.

As revenue growth from digital ads has slowed for Google in recent years, the company has increasingly turned to the cloud market to pick up the slack. In 2023, Google’s cloud business broke even for the first time. More recently, the unit generated a $900 million profit in the first quarter of this year.

This article originally appeared on Engadget at https://www.engadget.com/big-tech/microsoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html?src=rss

The UK’s antitrust regulator will formally investigate Alphabet’s $2.3 billion Anthropic investment

The UK’s competition regulator is probing Alphabet’s investment in AI startup Anthropic. After opening public comments this summer, the Competition and Market Authority (CMA) said on Thursday it has “sufficient information” to begin an initial investigation into whether Alphabet’s reported $2.3 billion investment in the Claude AI chatbot maker harms competition in UK markets.

The CMA breaks its merger probes into two stages: a preliminary scan to determine whether there’s enough evidence to dig deeper and an optional second phase where the government gathers as much evidence as possible. After the second stage, it ultimately decides on a regulatory outcome.

The probe will formally kick off on Friday. By December 19, the CMA will choose whether to move to a phase 2 investigation.

Google told Engadget that Anthropic isn’t locked into its cloud services. “Google is committed to building the most open and innovative AI ecosystem in the world,” a company spokesperson wrote in an email. “Anthropic is free to use multiple cloud providers and does, and we don't demand exclusive tech rights.” Engadget also reached out to the CMA for comment, and we’ll update this story if we hear back.

TechCrunch notes that Alphabet reportedly invested $300 million in Anthropic in early 2023. Later that year, it was said to back the AI startup with an additional $2 billion. Situations like this can be classified as a “quasi-merger,” where deep-pocketed tech companies essentially take control of emerging startups through strategic investments and hiring founders and technical workers.

Amazon has invested even more in Anthropic: a whopping $4 billion. After an initial public comment period, the CMA declined to investigate that investment last month. The CMA said Amazon avoided Alphabet’s fate at least in part because of its current rules: Anthropic’s UK turnover didn’t exceed £70 million, and the two parties didn’t combine to account for 25 percent or more of the region’s supply (in this case, AI LLMs and chatbots).

Although the CMA hasn’t specified, something in Alphabet’s $2.3 billion Anthropic investment constituted a deeper dive. Of course, Google’s Gemini competes with Claude, and both companies make large language models they provide to small businesses and enterprise customers.

Update, October 25, 2024, 11:10AM ET: This story has been updated to add a quote from a Google representative.

This article originally appeared on Engadget at https://www.engadget.com/big-tech/the-uks-antitrust-regulator-will-formally-investigate-alphabets-23-billion-anthropic-investment-171043846.html?src=rss

The UK’s antitrust regulator will formally investigate Alphabet’s $2.3 billion Anthropic investment

The UK’s competition regulator is probing Alphabet’s investment in AI startup Anthropic. After opening public comments this summer, the Competition and Market Authority (CMA) said on Thursday it has “sufficient information” to begin an initial investigation into whether Alphabet’s reported $2.3 billion investment in the Claude AI chatbot maker harms competition in UK markets.

The CMA breaks its merger probes into two stages: a preliminary scan to determine whether there’s enough evidence to dig deeper and an optional second phase where the government gathers as much evidence as possible. After the second stage, it ultimately decides on a regulatory outcome.

The probe will formally kick off on Friday. By December 19, the CMA will choose whether to move to a phase 2 investigation.

Google told Engadget that Anthropic isn’t locked into its cloud services. “Google is committed to building the most open and innovative AI ecosystem in the world,” a company spokesperson wrote in an email. “Anthropic is free to use multiple cloud providers and does, and we don't demand exclusive tech rights.” Engadget also reached out to the CMA for comment, and we’ll update this story if we hear back.

TechCrunch notes that Alphabet reportedly invested $300 million in Anthropic in early 2023. Later that year, it was said to back the AI startup with an additional $2 billion. Situations like this can be classified as a “quasi-merger,” where deep-pocketed tech companies essentially take control of emerging startups through strategic investments and hiring founders and technical workers.

Amazon has invested even more in Anthropic: a whopping $4 billion. After an initial public comment period, the CMA declined to investigate that investment last month. The CMA said Amazon avoided Alphabet’s fate at least in part because of its current rules: Anthropic’s UK turnover didn’t exceed £70 million, and the two parties didn’t combine to account for 25 percent or more of the region’s supply (in this case, AI LLMs and chatbots).

Although the CMA hasn’t specified, something in Alphabet’s $2.3 billion Anthropic investment constituted a deeper dive. Of course, Google’s Gemini competes with Claude, and both companies make large language models they provide to small businesses and enterprise customers.

Update, October 25, 2024, 11:10AM ET: This story has been updated to add a quote from a Google representative.

This article originally appeared on Engadget at https://www.engadget.com/big-tech/the-uks-antitrust-regulator-will-formally-investigate-alphabets-23-billion-anthropic-investment-171043846.html?src=rss

X updates its privacy policy to allow third parties to train AI models with its data

X is updating its privacy policy with new language that allows it to provide users’ data to third-party “collaborators” in order to train AI models. The new policy, which takes effect November 15, 2024, would seem to open the door to Reddit-like arrangements in which outside companies can pay to license data from X.

The updated policy shared by X includes a new section titled “third-party collaborators.”

Depending on your settings, or if you decide to share your data, we may share or disclose your information with third parties. If you do not opt out, in some instances the recipients of the information may use it for their own independent purposes in addition to those stated in X’s Privacy Policy, including, for example, to train their artificial intelligence models, whether generative or otherwise.

While the policy mentions the ability to opt out, it’s not clear how users would actually do so. As TechCrunch notes, the policy points to users’ settings menu, but there’ doesn’t appear to be an control for opting out of data sharing. The policy doesn’t go into effect until next month, though, so there’s still a chance that could change. X didn’t respond to a request for comment.

If X were to begin licensing its data to other companies, it could open up a significant new revenue stream for the social media company, which has seen waning interest from major advertisers.

In addition to the privacy policy, X is also updating its terms of service with stricter penalties for entities that are caught “scraping” large numbers of tweets. In a section titled “liquidated damages” the company states anyone viewing or accessing more than a million posts a day will be subject to a penalty of $15,000.

Protecting our users’ data and our system resources is important to us. You further agree that, to the extent permitted by applicable law, if you violate the Terms, or you induce or facilitate others to do so, in addition to all other legal remedies available to us, you will be jointly and severally liable to us for liquidated damages as follows for requesting, viewing, or accessing more than 1,000,000 posts (including reply posts, video posts, image posts, and any other posts) in any 24-hour period - $15,000 USD per 1,000,000 posts.

X owner Elon Musk has previously railed against “scraping.” Last year, the company temporarily blocked people from viewing tweets while logged out, in a move Musk attributed to fending off scrapers. He also moved X’s API behind a paywall, which has drastically hindered researchers’ ability to study what’s happening on the platform. He’s also used allegations of “scraping” to justify lawsuits against organizations that have attempted to study hate speech and other issues on the platform.

This article originally appeared on Engadget at https://www.engadget.com/social-media/x-updates-its-privacy-policy-to-allow-third-parties-to-train-ai-models-with-its-data-234207599.html?src=rss

YouTube is testing a new version of its Premium Lite subscription

YouTube is testing a revamp of its Premium Lite subscription tier. User screenshots made the rounds on social media this week, and today a Google rep later confirmed to multiple other outlets that the plan is being tested in Australia, Germany and Thailand. This new version would have "limited ads," which the fine print describes as most videos being ad-free, "but you may see video ads on music content and Shorts, and non-interruptive ads when you search and browse."

The original Premium Lite subscription began testing in Europe in 2021, but it only lasted a few years, with the video platform eliminating the option in October 2023. The plan's only benefit was removing all ads; it didn't offer the offline or background viewing options of the regular Premium offering.

We were able to confirm that the pricing model in Australia is $9 a month for Premium Lite, compared with $17 a month for full Premium access. That's in line with the costs from the original Lite, which were about half the rate of a regular plan. With the current costs of a YouTube subscription — $14 a month for an individual or $23 a month for the family option — having a mid-tier choice could certainly be appealing.

This article originally appeared on Engadget at https://www.engadget.com/entertainment/youtube/youtube-is-testing-a-new-version-of-its-premium-lite-subscription-220050877.html?src=rss

FCC now requires georouting for wireless calls to 988, the National Suicide Prevention Hotline

The Federal Communications Commission has passed rules that will require all wireless calls to the 988 Lifeline to be georouted. Geographic routing ensures that attempts to reach the National Suicide Prevention Hotline for intervention services will be sent to the location where the call is placed rather than to the location of the caller's area code and exchange.

Once the rules take effect, national providers will have 30 days to implement georouting for these calls. Smaller, non-national providers have a timeline of 24 months to comply. The agency also issued a proposal that the same georouting policy be applied to texts sent to 988.

The FCC has taken several steps to expand the reach of the 988 Lifeline over the past few years. After voting to make the three-digit number the shortcut for reaching the National Suicide Prevention Hotline in 2020, the agency expanded the service to include text support in 2021. T-Mobile was one of the first telecoms to activate 988 for customers to access mental health services.

If you are struggling and need someone to listen, please, call 988. The full number is 1-800-273-8255 (1-800-273-TALK), or you can reach the Lifeline by webchat.

This article originally appeared on Engadget at https://www.engadget.com/mobile/fcc-now-requires-georouting-for-wireless-calls-to-988-the-national-suicide-prevention-hotline-192030468.html?src=rss