Tag Archives: Budget, Tax & Economy

NASA’s Jet Propulsion Laboratory is laying off 570 workers

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Even NASA is not immune to layoffs. The agency says it's cutting around 530 employees from its Jet Propulsion Laboratory (JPL) in California amid budget uncertainty. That's eight percent of the facility's workforce. JPL is laying off about 40 contractors too, just weeks after imposing a hiring freeze and canning 100 other contractors. Workers are being informed of their fates today.

"After exhausting all other measures to adjust to a lower budget from NASA, and in the absence of an FY24 appropriation from Congress, we have had to make the difficult decision to reduce the JPL workforce through layoffs," NASA said in a statement spotted by Gizmodo. "The impacts will occur across both technical and support areas of the Lab. These are painful but necessary adjustments that will enable us to adhere to our budget allocation while continuing our important work for NASA and our nation."

Uncertainty over the final budget that Congress will allocate to NASA for 2024 has played a major factor in the cuts. It's expected that the agency will receive around $300 million for Mars Sample Return (MSR), an ambitious mission in which NASA plans to launch a lander and orbiter to the red planet in 2028 and bring back soil. In its 2024 budget proposal, NASA requested just under $950 million for the project.

“While we still do not have an FY24 appropriation or the final word from Congress on our Mars Sample Return (MSR) budget allocation, we are now in a position where we must take further significant action to reduce our spending,” JPL Director Laurie Leshin wrote in a memo. "In the absence of an appropriation, and as much as we wish we didn’t need to take this action, we must now move forward to protect against even deeper cuts later were we to wait."

NASA has yet to provide a full cost estimate for MSR, though an independent report pegged the price at between $8 billion and $11 billion. In its proposed 2024 budget, the Senate Appropriations subcommittee ordered NASA to submit a year-by-year funding plan for MSR. If the agency does not do so, the subcommittee warned that the mission could be canceled.

That's despite MSR having enjoyed success so far. The Perseverance rover has dug up some soil samples that contain evidence of organic matter and would warrant closer analysis were NASA able to bring them back to Earth. The samples could help scientists learn more about Mars, such as whether the planet ever hosted life.

This article originally appeared on Engadget at https://www.engadget.com/nasas-jet-propulsion-laboratory-is-laying-off-570-workers-185336632.html?src=rss

Biden administration designates 31 new ‘tech hubs’ to encourage innovation

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The Biden administration and the US Commerce Department just named 31 regions as "tech hubs", drawn from nearly 400 applicants. These hub areas are spread across the country, in addition to territories like Puerto Rico, and each spot could share in $500 million of funding as originally detailed in the CHIPS and Science Act that was signed into law back in 2022.

The administration hopes to use these hubs to “catalyze investment in technologies critical to economic growth, national security and job creation” with an end goal of helping “communities across the country become centers of innovation critical to American competitiveness.” Additionally, Commerce Secretary Gina Raimondo told reporters that the program seeks to diversify the country’s tech interests, moving away from traditional hubs like Silicon Valley, Seattle and Boston, as reported by Yahoo.

To that end, these hubs will focus on everything under the sun, from artificial intelligence, biotech, clean energy, semiconductors, quantum computing and more. Examples include a hub in Washington state that’s developing new materials for next-gen fuel-efficient aircraft, a Wisconsin program seeking to make advancements in personalized medicine and a New York organization researching new battery technologies, among 28 others. It’s worth noting that many of these hubs are in small or medium-sized cities, with Raimondo saying that “people shouldn't have to move to get a good job.”

There’s one caveat. Snagging one of these coveted hub designations doesn’t guarantee federal funding. The Commerce Department will follow each program throughout the next year, with funding to follow. Raimondo says that five to 10 hubs will receive up to $75 million. With 31 hub areas and just $500 million to disperse, that could leave many locations in the financial cold.

Additionally, the CHIPS and Science Act is a robust piece of legislation that drops more than $280 billion into various sectors, so these hubs represent less than 1/500th of the allocated funding set aside by the bill. There’s $52 billion in tax credits and funding for US chipmakers to expand domestic production, $7 billion for clean hydrogen and $1.5 billion to “boost US leadership in wireless technologies and their supply chains.” The bill also sets aside $10 billion to “invest in regional innovation and technology” which is the exact point of these hubs, so maybe more money is coming down the line.

Biden has asked Congress for an additional $4 billion to fund even more regional tech hubs, but, well, that would be part of the full-year budget and you may have noticed that the House still lacks a speaker with a government shutdown on the horizon.

This article originally appeared on Engadget at https://www.engadget.com/biden-administration-designates-31-new-tech-hubs-to-encourage-innovation-155812340.html?src=rss

New privacy deal allows US tech giants to continue storing European user data on American servers

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Nearly three years after a 2020 court decision threatened to grind transatlantic e-commerce to a halt, the European Union has adopted a plan that will allow US tech giants to continue storing data about European users on American soil. In a decision announced Monday, the European Commission approved the Trans-Atlantic Data Privacy Framework. Under the terms of the deal, the US will establish a court Europeans can engage with if they feel a US tech platform violated their data privacy rights. President Joe Biden announced the creation of the Data Protection Review Court in an executive order he signed last fall. The court can order the deletion of user data and impose other remedial measures. The framework also limits access to European user data by US intelligence agencies.

The Trans-Atlantic Data Privacy Framework is the latest chapter in a saga that is now more than a decade in the making. It was only earlier this year the EU fined Meta a record-breaking €1.2 billion after it found that Facebook's practice of moving EU user data to US servers violated the bloc's digital privacy laws. The EU also ordered Meta to delete the data it already had stored on its US servers if the company didn't have a legal way to keep that information there by the fall. As TheWall Street Journal notes, Monday's agreement should allow Meta to avoid the need to delete any data, but the company may end up still paying the fine.

Even with a new agreement in place, it probably won't be smooth sailing just yet for the companies that depend the most on cross-border data flows. Max Schrems, the lawyer who successfully challenged the previous Safe Harbor and Privacy Shield agreements that governed transatlantic data transfers before today, told The Journal he plans to challenge the new framework. "We would need changes in US surveillance law to make this work and we simply don't have it," he said. For what it's worth, the European Commission says it's confident it can defend its new framework in court.

This article originally appeared on Engadget at https://www.engadget.com/new-privacy-deal-allows-us-tech-giants-to-continue-storing-european-user-data-on-american-servers-214347975.html?src=rss

Meta is laying off employees for the third time in less than three months

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Meta has started another round of layoffs amid the company’s “year of efficiency.” The latest job cuts are the third round of a series of cuts first announced in March. The company said it expected to shed a total of 10,000 jobs over the course of three rounds.

It’s unclear exactly how many workers are impacted by the latest round, but the layoffs, once again, seem to be primarily in non-engineering roles. People in marketing, communications, and recruiting have lost their jobs, according toReuters, which cited posts on LinkedIn. Meta will also be slashing nearly 500 jobs from its Irish office, about 20 percent of its workforce in the country, according to a separate report.

Meta declined to comment on the cuts. A spokesperson pointed to a memo Mark Zuckerberg shared with employees last fall when the company conducted an earlier round of 11,000 layoffs. In the message, he said that economic conditions had “caused our revenue to be much lower” than expected. He described the job cuts as “some of the most difficult changes we’ve made in Meta’s history” and “what we need going forward.”

Zuckerberg has talked openly about the need for more “efficiency” in the months since. He dubbed 2023 as Meta’s “year of efficiency,” and said he wants to create a “flatter” management structure at the company. “I continue to believe that slowing hiring, flattening our management structure, increasing the percent of our company that is technical and more rigorously prioritizing projects will improve the speed and quality of our work,” he said during the company’s most recent earnings call.

The conclusion of the latest round of layoffs brings the total number of workers Meta has cut to about 21,000 since last November. Though Meta’s layoffs have been among the highest in the industry, it’s far from the only tech company shedding jobs over the last several months. Amazon, Google, Microsoft and dozens of others have dramatically shrunk their workforce since the start of the year.

This article originally appeared on Engadget at https://www.engadget.com/meta-is-laying-off-employees-for-the-third-time-in-less-than-three-months-174112198.html?src=rss

Roku will lay off another 200 workers

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Roku isn't done cutting jobs in a bid to turn its fortunes around. The streaming company has warned that it will lay off another 200 workers, or about six percent of its current headcount. It also plans to either close or sublease offices that aren't in active use. The layoffs will help the firm limit its expenses and focus on projects that will have a "higher return on investment," Roku says.

The device and platform creator expects to pay between $30 million and $35 million to handle the layoffs and building closures. Most of those costs should be paid in the first quarter, or by the end of this month. The layoffs should be finished by the end of Roku's second quarter, or June.

In November, Roku said it would eliminate 200 jobs in response to rough "economic conditions." It expected a year-over-year drop in revenue, and had already been struggling with slowing revenue growth in the second half of 2022. Like fellow internet video rivals Disney and Netflix, Roku is grappling with the combination of a looming recession and the end of a pandemic-era boom that kept many people at home watching TV. The company wasn't helped by the failure of Silicon Valley Bank earlier this month — it said it could have lost over 25 percent of its cash if regulators hadn't stepped in to protect deposits.

Roku is far from the only large tech company laying off staff this year. Alphabet, Amazon, Meta and Microsoft have all slashed their workforces, among numerous others. However, Roku's reductions come at a pivotal moment. It just released its first self-made TVs, and it's facing stiff competition in hardware and services from the likes of Amazon, Apple and Google. Roku is under pressure to invest heavily in its technology to keep up with its frequently wealthy challengers.

This article originally appeared on Engadget at https://www.engadget.com/roku-will-lay-off-another-200-workers-132908304.html?src=rss

WhatsApp will make it easier to reject updates to its terms of service

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WhatsApp has come to an agreement with the European Union following the controversy over its early 2021 privacy policy change. After discussions with the European Commission and EU consumer protection regulators, WhatsApp will make it easier for users to reject updates to the terms of service. The Meta-owned brand will also "clearly explain" when rejecting those terms will limit use of services, the Commission says. People can also dismiss notifications about these updates, and delay reviewing those updates.

The company further confirmed that it's not sharing personal data with other Meta brands, including Facebook, for the sake of advertising. It also isn't sharing that data with third-parties, the Commission says.

WhatsApp sparked an outcry at the start of 2021 when it asked users to share data like connection info and transactions with sibling brands like Facebook as part of its new privacy policy. While little changed for users, some interpreted this as a sign WhatsApp was sharing messages and calls with Facebook. That prompted a mass exodus to competing secure messaging services like Signal and Telegram. WhatsApp tried to reassure users that it couldn't access the end-to-end encrypted conversations, but the backlash led the company to pause the policy rollout. When it did reintroduce the new terms, it added clarifications but warned that the service would gradually stop working unless users agreed to the terms.

The European Commission got involved in January last year, when it responded to unfair practice allegations by asking WhatsApp to better explain how it uses people's data. Last June, it also asked WhatsApp to more clearly explain its business model and whether or not it profited from personal data.

We've asked Meta for comment. The Commission's Consumer Protection Cooperation Network plans to "actively monitor" WhatsApp's application of these promises with future policy updates. Any violations could prompt fines and other penalties. The chat giant also isn't the only one facing scrutiny. The Commission says it's continuing to look for "dark patterns," or attempts to unfairly push users into accepting subscriptions, policy changes or other unwanted features. Don't be surprised if there are more agreements like WhatsApp's in the near future.

This article originally appeared on Engadget at https://www.engadget.com/whatsapp-will-make-it-easier-to-reject-updates-to-its-terms-of-service-151007438.html?src=rss

WhatsApp will make it easier to reject updates to its terms of service

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WhatsApp has come to an agreement with the European Union following the controversy over its early 2021 privacy policy change. After discussions with the European Commission and EU consumer protection regulators, WhatsApp will make it easier for users to reject updates to the terms of service. The Meta-owned brand will also "clearly explain" when rejecting those terms will limit use of services, the Commission says. People can also dismiss notifications about these updates, and delay reviewing those updates.

The company further confirmed that it's not sharing personal data with other Meta brands, including Facebook, for the sake of advertising. It also isn't sharing that data with third-parties, the Commission says.

WhatsApp sparked an outcry at the start of 2021 when it asked users to share data like connection info and transactions with sibling brands like Facebook as part of its new privacy policy. While little changed for users, some interpreted this as a sign WhatsApp was sharing messages and calls with Facebook. That prompted a mass exodus to competing secure messaging services like Signal and Telegram. WhatsApp tried to reassure users that it couldn't access the end-to-end encrypted conversations, but the backlash led the company to pause the policy rollout. When it did reintroduce the new terms, it added clarifications but warned that the service would gradually stop working unless users agreed to the terms.

The European Commission got involved in January last year, when it responded to unfair practice allegations by asking WhatsApp to better explain how it uses people's data. Last June, it also asked WhatsApp to more clearly explain its business model and whether or not it profited from personal data.

We've asked Meta for comment. The Commission's Consumer Protection Cooperation Network plans to "actively monitor" WhatsApp's application of these promises with future policy updates. Any violations could prompt fines and other penalties. The chat giant also isn't the only one facing scrutiny. The Commission says it's continuing to look for "dark patterns," or attempts to unfairly push users into accepting subscriptions, policy changes or other unwanted features. Don't be surprised if there are more agreements like WhatsApp's in the near future.

This article originally appeared on Engadget at https://www.engadget.com/whatsapp-will-make-it-easier-to-reject-updates-to-its-terms-of-service-151007438.html?src=rss

Tesla raises Model Y pricing following federal tax credit change

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Tesla has quietly raised the price of its best-selling Model Y crossover. As of Saturday, the automaker’s US website lists the Long Range and Performance models at $54,990 and $57,990, respectively. For the former, that represents a $2,000 increase from the all-time low it hit when Tesla dramatically cut prices in the middle of January. As for the Performance variant, it’s currently $1,000 more than it was after last month’s price adjustment.

As The Wall Street Journal notes, the price hikes come after the Biden administration this past Friday modified eligibility criteria related to the $7,500 federal tax credit to treat more vehicles as SUVs rather than sedans. Before the change, it was possible to get the full $7,500 Inflation Reduction Act incentive on the five-seat Model Y, but you had to configure the vehicle in a way so that it fell under the $55,000 sedan threshold. Now, all Model Y variants, including the Performance model, fall under the $80,000 SUV ceiling.

The automaker did not say if it increased Model Y pricing in response to Friday’s announcement. Following the January price cut, Tesla CFO Zach Kirkhorn said the move was partly an effort to ensure more of the company's cars fell under the $55,000 threshold. With the Model Y now comfortably under the $80,000 limit, Tesla has more freedom to price the vehicle as it sees fit.

Tesla raises Model Y pricing following federal tax credit change

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Tesla has quietly raised the price of its best-selling Model Y crossover. As of Saturday, the automaker’s US website lists the Long Range and Performance models at $54,990 and $57,990, respectively. For the former, that represents a $2,000 increase from the all-time low it hit when Tesla dramatically cut prices in the middle of January. As for the Performance variant, it’s currently $1,000 more than it was after last month’s price adjustment.

As The Wall Street Journal notes, the price hikes come after the Biden administration this past Friday modified eligibility criteria related to the $7,500 federal tax credit to treat more vehicles as SUVs rather than sedans. Before the change, it was possible to get the full $7,500 Inflation Reduction Act incentive on the five-seat Model Y, but you had to configure the vehicle in a way so that it fell under the $55,000 sedan threshold. Now, all Model Y variants, including the Performance model, fall under the $80,000 SUV ceiling.

The automaker did not say if it increased Model Y pricing in response to Friday’s announcement. Following the January price cut, Tesla CFO Zach Kirkhorn said the move was partly an effort to ensure more of the company's cars fell under the $55,000 threshold. With the Model Y now comfortably under the $80,000 limit, Tesla has more freedom to price the vehicle as it sees fit.

All the big tech layoffs of 2024

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The tech industry has been reeling from the combination of a rough economy, the COVID-19 pandemic and some obvious business missteps. And while that led to job cuts in 2022, the headcount reductions unfortunately ramped up in 2023 and so far, seem to be accelerating in 2024. It can be tough to keep track of these moves, so we’ve compiled all the major layoffs in one place and will continue to update this story as the situation evolves.

February 2024

DocuSign layoffs

DocuSign slashed its headcount by six percent. Staff in the sales and marketing departments were most heavily affected. Bloomberg notes that the company had 7,336 employees at the end of 2023.

Snap layoffs

Snap is once again reducing its headcount, this time by another 10 percent, or some 540 workers. The company claimed the layoffs were required to “reduce hierarchy and promote in-person collaboration.”

Microsoft layoffs

In February Microsoft imposed layoffs at two of its gaming subsidiaries, cutting 86 jobs at Skylander studio Toys for Bob and 76 jobs at Call of Duty developer Sledgehamer Games.

Cisco layoffs

Networking giant Cisco announced it would be laying off thousands of employees as part of a larger restructuring effort. The company had a total employee count of 84,900 before these cuts. 

January 2024

Duolingo layoffs

Duolingo cut 10 percent of its contractors, and said that it is instead able to use generative AI to accomplish some of the tasks that its human workers used to perform. 

Unity layoffs

Unity laid off 1,800 people, or a quarter of its workforce. This is in addition to more than 1,110 other layoffs at the company over the past two years.

Humane AI layoffs

Humane cut 4 percent of its workforce even before its flagship product, the Ai pin, hit the market.

Twitch layoffs

Amazon-owned Twitch is laying off a sobering 35 percent of its workforce, just over 500 people. In a note to staff, CEO Dan Clancy said "our organization is still meaningfully larger than it needs to be given the size of our business."

Amazon layoffs

On the same day that Amazon-owned Twitch confirmed it would be laying off 500 workers, Variety reported that Amazon itself would lay off "several hundred" people at Prime Video and MGM Studios. Later in January, Amazon also cut 5 percent of the staff behind its Buy with Prime program.

Meta layoffs

Meta's layoffs are continuing into 2024. The company has reportedly let go 60 technical program managers at Instagram.

Google layoffs

In another round of belt tightening, Google has reportedly laid off hundreds of workers in its Assistant and hardware divisions, among other departments. Alongside the cuts, Google is said to have reorganized its Pixel, Nest and Fitbit divisions, which led to Fitbit's co-founders departing the company. Just days later, Google laid off hundreds of workers in its ads business. CEO Sundar Pichai later said in an internal memo that even more cuts would be coming throughout the year, while parent company Alphabet cut dozens of jobs from its X moonshot lab.

Discord layoffs

Discord has reportedly laid off 170 workers, or 17 percent of its workforce. In a memo first reported by The Verge, CEO Jason Citron said the company had hired too many people back in 2020.

Riot Games layoffs

Following the gaming industry's crisis level of loss in 2023, Riot Games announced that it laid off 11 percent of its workforce globally, impacting 530 people.

eBay layoffs

E-commerce giant eBay is reducing its workforce by around 1,000 roles, or roughly 9 percent of its full-time employees. The company also plans to scale back the number of contractors over the coming months.

TikTok layoffs

TikTok confirmed it let go 60 employees, mostly in its sales and advertising division.

Microsoft layoffs

Microsoft cut 1,900 jobs across Activision and Blizzard. This marks a bleak beginning to the new year for gaming, with 6,000 layoffs across the industry so far in 2024 alone.

iRobot layoffs

Roomba maker iRobot slashed 31 percent of its workforce following Amazon's decision to terminate its proposed acquisition of the company.

Block layoffs

Block reportedly laid off around 1,000 workers, with the Cash App and Square teams among those most heavily affected. CEO Jack Dorsey told staff that Block was becoming a leaner company.

PayPal layoffs

PayPal cut nine percent of its workforce — approximately 2,500 employees — despite reporting strong revenue growth in 2023. 

Polestar layoffs

The EV maker is cutting 15 percent of its global workforce, or about 450 jobs.

Sega layoffs

Sega announced plans to lay off 61 workers in March. The employees are based at two offices in Irvine, California. 

This article originally appeared on Engadget at https://www.engadget.com/big-tech-layoffs-183005386.html?src=rss