Google Agrees to Settle Lawsuit Over ‘Incognito’ Mode

san francisco, california — Google has agreed to settle a consumer privacy lawsuit seeking at least $5 billion in damages over allegations it tracked the data of users who thought they were browsing the internet privately. 

The object of the lawsuit was the “incognito mode” on Google’s Chrome browser that the plaintiffs said gave users a false sense that what they were surfing online was not being tracked by the Silicon Valley tech firm. 

But internal Google emails brought forward in the lawsuit demonstrated that users using incognito mode were being followed by the search and advertising behemoth for measuring web traffic and selling ads. 

In a court filing, the judge confirmed that lawyers for Google reached a preliminary agreement to settle the class action lawsuit, originally filed in 2020, which claimed that “millions of individuals” had likely been affected.  

Lawyers for the plaintiffs were seeking at least $5,000 for each user it said had been tracked by the firm’s Google Analytics or Ad Manager services even when in the private browsing mode and not logged into their Google account. 

This would have amounted to at least $5 billion, though the settlement amount will likely not reach that figure, and no amount was given for the preliminary settlement between the parties.  

Google and lawyers for the consumers did not respond to an AFP request for comment. 

The settlement came just weeks after Google was denied a request that the case be decided by a judge. A jury trial was set to begin next year. 

The lawsuit, filed in a California court, claimed Google’s practices had infringed on users’ privacy by intentionally deceiving them with the incognito option.  

The original complaint alleged that Google and its employees had been given the “power to learn intimate details about individuals’ lives, interests, and internet usage.” 

“Google has made itself an unaccountable trove of information so detailed and expansive that George Orwell could never have dreamed it,” it added.  

A formal settlement is expected for court approval by February 24, 2024. 

Class action lawsuits have become the main venue to challenge big tech companies on data privacy matters in the United States, which lacks a comprehensive law on the handling of personal data. 

In August, Google paid $23 million to settle a long-running case over giving third-parties access to user search data. 

In 2022, Facebook parent company Meta settled a similar case, agreeing to pay $725 million over the handling of user data. 

Tanzania Bans Soybean Imports from Malawi

BLANTYRE, MALAWI — Tanzania has banned imports of soybeans from Malawi to protect its agricultural sector from the presence of the tobacco ringspot virus in that neighboring country.

The Tanzania Plant Health and Pesticide Authority said in a recent statement that its pest risk analysis on soybeans from Malawi has established the presence of the tobacco ringspot virus, which poses significant risk to soybean production in Tanzania.

The virus is highly contagious and can lead to yield reduction and economic losses ranging from 25% to 100% for farmers, the statement said.

Some analysts are calling Tanzania’s action retaliatory, as it comes a few days after Malawi banned maize imports from Tanzania and Kenya over maize lethal necrosis disease in those two countries.

Grace Mijiga-Mhango, president of the Grain Traders Association of Malawi, said Tanzania’s ban on soybeans from Malawi is not surprising.

“We call it a trade war,” she said. “They started the war, and their friends are fighting back.”

Tanzania is among the biggest importers of soybeans from Malawi.

In February, Tanzania’s high commissioner to Malawi committed to facilitate the purchase of 100,000 metric tons of soybeans from Malawi, worth about $30 million. Agriculture authorities in Malawi say the country harvested about 400,000 metric tons of soybeans in the 2022-23 season.

Mijiga-Mhango said the impact of the ban will go beyond selling soybeans within Tanzania because, she predicted, Tanzania will not allow exports to other countries, especially in the East African market, to pass through it.

Ronald Chilumpha, an expert in crop protection in Malawi, said that a better solution to the diseases could have been reached had Malawian and Tanzanian authorities held discussions before imposing their respective import bans.

“Issues to do with plant diseases or pests — most of these are migratory and they will certainly move from one area to another, even when you have all the controls in place,” he said.

“You cannot stop maize from Tanzania coming into Malawi 100%, that’s not possible,” he said. “It just requires a single grain of contaminated maize.”

Tanzania has also banned the introduction of genetically modified maize seeds from Malawi, saying it wants to maintain a non-GMO status in its agricultural practices.

Malawian Minister of Agriculture Sam Kawale told VOA via a messaging app that he could not comment on Tanzania’s ban.

Malawian Principal Secretary for Ministry of Agriculture Dickxie Kampani said he was engaging experts on crop diseases for details about the presence of tobacco ringspot virus in his country.

China’s Residential Property Sector Filled With Livid Buyers of Unfinished Units

Taipei, Taiwan — A growing number of home buyers in China have seen their dream of moving into new homes dashed in the past year after a slew of bankrupt developers left behind millions of unfinished pre-sold properties.

Many of the buyers could do nothing but vent their anger and frustration on Chinese social media platforms such as Douyin, known internationally as TikTok, over what they called “rotting apartments” that represented their lifetime savings. Police are cracking down on protests.

The crisis of confidence in a sector that was once a reliable route to building wealth may threaten China’s growth and stability in 2024, experts say.

“Since the real-estate market has historically been a key driver of China’s economy, losing this momentum is expected to result in a long-term average economic growth rate below 5% starting in 2024,” Darson Chiu, a research fellow at the Taiwan Institute of Economic Research in Taipei, told VOA Mandarin in a written reply on December 14.

Among countless victims, a Douyin user from the Henan province in north-central China with the name, “The happy life in my rotting apartment,” posted a short video clip on December 1 showing a local project where construction was halted.

“It’s been a year, but my apartment remains unfinished. … I hope the construction of the building can be restarted soon so that I can move into my future home,” he said in the video. 

A victim in the Hunan province city of Changsha, identified only as Ms. Chen in a local TV news report, said in late 2022 that her family could barely make ends meet after paying the monthly mortgage of $700 (5,000 yuan).

 “If my unfinished property keeps rotting, I personally won’t have the courage to go on living,” said Chen.

VOA Mandarin has approached a dozen owners of unfinished homes on Chinese social media platforms Douyin, Xiaohongshu, known as RED outside of China, and Weibo, China’s microblogging site similar to X. None agreed to talk.

Two lawyers in Shanghai and Beijing who specialize in property disputes also refused to be interviewed.

The Beijing lawyer said the city’s Bureau of Justice has banned lawyers from talking to foreign press, citing “the class action’s sensitivity.” None of his clients wanted to talk to foreign press.

The China Dissent Monitor, a project of U.S. rights group Freedom House, has been tracking postings across Chinese social media and tallied 1,841 demonstrations linked to the property sector between June 2022 and September 2023. Final 2023 figures won’t be available until January, said Kevin Slaten, Taipei-based research lead with the China Dissident Monitor project.

 

Two-thirds of the strikes were staged by homebuyers over issues like project delays, contract violations and alleged fraud, while the others have been triggered by construction workers demanding unpaid wages, according to Slaten.

One-fourth of the housing protests saw police repression, which Slaten said is an underestimate, as piecemeal evidence can only be captured from those video clips.

But the trend toward silencing protesters shows the gravity of threat to China’s leader, Xi Jinping.

“As the dictator of such a centralized system and a person who’s tried to centralize power, he [Xi] definitely sees this as a threat to his vision, which is keeping economic development high, making sure that he can deliver this to people as a way to co-opt them and garner enough support among the public for the authoritarian system,” Slaten told VOA Mandarin by phone.

Ting Lu, chief China economist at Nomura, estimated in mid-November that $448 billion is needed to complete the homes pre-sold between 2015 and 2020 that remain unfinished projects, assuming an average construction progress of 50%, according to his research provided to VOA Mandarin. That represents roughly 20 million homes.

In one of his research papers dated November 27, Lu urged Beijing to “play the role of lender of last resort to save the property sector” or the crisis could endanger social stability at some point next year.

But Nan Li, a Shanghai-based finance scholar, disagreed, saying that the proceeds from the liquidation of builders’ assets after they file for bankruptcy should be prioritized to ensure the delivery of unfinished homes.

Li added that any government bailout will only indulge the developers’ appetite for over-leveraging.

The biggest firms with the worst debt woes “have made a mistake in exercising excessive leverage. There’s no reason for the government to bail them out,” Li told VOA Mandarin.  

Li noted that China’s property sector should learn from the experience of Guangdong province, where its problem of massive unfinished homes around 1997 was eventually solved in years after builders’ nonperforming assets were all restructured in a lawful manner and in line with the market mechanism.

Can Maui Get Tourists Without Compounding Wildfire Trauma?

LAHAINA, Hawaii — The restaurant where Katie Austin was a server burned in the wildfire that devastated Hawaii’s historic town of Lahaina this summer.

Two months later, as travelers began to trickle back to nearby beach resorts, she went to work at a different eatery. But she soon quit, worn down by constant questions from diners: Was she affected by the fire? Did she know anyone who died?

“You’re at work for eight hours and every 15 minutes you have a new stranger ask you about the most traumatic day of your life,” Austin said. “It was soul-sucking.”

Hawaii’s governor and mayor invited tourists back to the west side of Maui months after the August 8 fire killed at least 100 people and destroyed more than 2,000 buildings. They wanted the economic boost tourists would bring, particularly heading into the year-end holidays.

But some residents are struggling with the return of an industry requiring workers to be attentive and hospitable even though they are trying to care for themselves after losing their loved ones, friends, homes and community.

Maui is a large island. Many parts, like the ritzy resorts in Wailea, 48 kilometers south of Lahaina — where the first season of the HBO hit The White Lotus was filmed — are eagerly welcoming travelers and their dollars.

Things are more complicated in west Maui. Lahaina is still a mess of charred rubble. Efforts to clean up toxic debris are painstakingly slow. It’s off-limits to everyone except residents.

Tensions are peaking over the lack of long-term, affordable housing for wildfire evacuees, many of whom work in tourism. Dozens have been camping out in protest around the clock on a popular tourist beach at Kaanapali, a few miles north of Lahaina. Last week, hundreds marched between two large hotels waving signs reading, “We need housing now!” and “Short-term rentals gotta go!”

Hotels at Kaanapali are still housing about 6,000 fire evacuees unable to find long-term shelter in Maui’s tight and expensive housing market. But some have started to bring back tourists, and owners of timeshare condos have returned. At a shopping mall, visitors stroll past shops and dine at open-air oceanfront restaurants.

Austin took a job at a restaurant in Kaanapali after the fire but quit after five weeks. It was a strain to serve mai tais to people staying in a hotel or vacation rental while her friends were leaving the island because they lacked housing, she said.

Servers and many others in the tourism industry often work for tips, which puts them in a difficult position when a customer prods them with questions they don’t want to answer. Even after Austin’s restaurant posted a sign asking customers to respect employees’ privacy, the queries continued.

“I started telling people, ‘Unless you’re a therapist, I don’t want to talk to you about it,'” she said.

Austin now plans to work for a nonprofit organization that advocates for housing.

Erin Kelley didn’t lose her home or workplace but has been laid off as a bartender at Sheraton Maui Resort since the fire. The hotel reopened to visitors in late December, but she doesn’t expect to get called back to work until business picks up.

She has mixed feelings. Workers should have a place to live before tourists are welcome in west Maui, she said, but residents are so dependent on the industry that many will remain jobless without those same visitors.

“I’m really sad for friends and empathetic towards their situation,” she said. “But we also need to make money.”

When she does return to work, Kelley said she won’t want to “talk about anything that happened for the past few months.”

More travel destinations will likely have to navigate these dilemmas as climate change increases the frequency and intensity of natural disasters.

There is no manual for doing so, said Chekitan Dev, a tourism professor at Cornell University. Handling disasters — natural and manmade — will have to be part of their business planning.

Andreas Neef, a development professor and tourism researcher at the University of Auckland in New Zealand, suggested one solution might be to promote organized “voluntourism.” Instead of sunbathing, tourists could visit part of west Maui that didn’t burn and enlist in an effort to help the community.

“Bringing tourists for relaxation back is just at this time a little bit unrealistic,” Neef said. “I couldn’t imagine relaxing in a place where you still feel the trauma that has affected the place overall.”

Many travelers have been canceling holiday trips to Maui out of respect, said Lisa Paulson, the executive director of the Maui Hotel and Lodging Association. Visitation is down about 20% from December of 2022, according to state data.

Cancellations are affecting hotels all over the island, not just in west Maui.

Paulson attributes some of this to confusing messages in national and social media about whether visitors should come. Many people don’t understand the island’s geography or that there are places people can visit outside west Maui, she said.

One way visitors can help is to remember they’re traveling to a place that recently experienced significant trauma, said Amory Mowrey, the executive director of Maui Recovery, a mental health and substance abuse residential treatment center.

“Am I being driven by compassion and empathy or am I just here to take, take, take?” he said.

That’s the approach honeymooners Jordan and Carter Prechel of Phoenix adopted. They kept their reservations in Kihei, about 40 kilometers south of Lahaina, vowing to be respectful and to support local businesses.

“Don’t bombard them with questions,” Jordan said recently while eating an afternoon snack in Kaanapali with her husband. “Be conscious of what they’ve gone through.”

Chile Granny Finds Solace, Celebrity in Online Gaming

Llay-Llay, Chile — Few players of the online video game Free Fire would know that one of their most ferocious opponents — a lithe, gun-wielding warrior in a short kimono and fang mask — is in reality an 81-year-old grandmother from rural Chile.

From her professional gaming chair at home in a small village, the soft-spoken Maria Elena Arevalo becomes a merciless hunter, mowing down rivals in a game in which tens of millions of players shoot it out to survive on an imaginary remote island.

Wearing an apron over a frilly skirt, Arevalo bears little resemblance to her online alter-ego “Mami Nena” — the nickname she got from her only grandson, Hector Carrasco, 20.

It was Carrasco who introduced Arevalo to the digital world of gaming that has given her a new lease on life after falling into deep loneliness following the death of her husband of 56 years in 2020.

“I didn’t even know what a mouse was,” she told AFP at her home in the town of Llay-Llay in central Chile.

“Afterwards, I got excited. We started to play whenever he [Carrasco] could. I felt better because I didn’t think so much about my late husband anymore.”

At first “I didn’t want to hurt anyone,” she added, but with time, she developed a taste for virtual blood.

Today, Arevalo plays at the “Heroic” level — just one short of the topmost “Grandmaster” level that only 300 players compete in.

She has 4 million followers on TikTok and 650,000 on YouTube, where she shares tips with fellow players.

Last year, she visited Mexico City on an all-expenses-paid trip as a Free Fire ambassador for the game’s anniversary celebrations — her first-ever journey abroad.

“All the kids asked me for autographs. … It was beautiful. The day I die, I’ll take that with me,” she reminisced.

Earlier this month, Arevalo was named one of Chile’s 100 most important elderly people by the El Mercurio newspaper and the Catholic University for helping break down age stereotypes.

Carrasco is in awe of his famous grandmother.

“It’s totally cool, and I don’t know, I feel like she’s like my best friend and all that,” he said.

‘I’ll keep going’

Three years after starting her Free Fire journey, Arevalo says she no longer feels lonely.

In a nod to her dead husband, a bird named “Benito” in his honor accompanies “Mami Nena” on her campaigns of conquest.

Almost half of people over 80 in Chile declare feeling lonely, according to a recent study, a major mental health risk.

Ever more older people are finding solace in gaming: a Ukrainian team known as “Young Guard” are prolific Counter Strike competitors, while 93-year-old Japanese Hamako Mori — also known by her alias Gamer Grandma — is thought to be the oldest gamer in the world.

For Arevalo, the online campaigns are becoming harder due to worsening scleroderma, a disease that causes a hardening and tightening of the skin.

But she is not planning on slowing down.

“I love doing this. I’ll keep going as far as I can,” she insisted.

Red Sea Shipping Workarounds Add Costs, Delays for Suppliers, Retailers

LOS ANGELES — Toymaker Basic Fun’s team that oversees ocean shipments of Tonka trucks and Care Bears for Walmart WMT.N and other retailers is racing to reroute cargo away from the Suez Canal following militant attacks on vessels in the Red Sea.

Suppliers for the likes of IKEA, Home Depot HD.N, Amazon AMZN.O and retailers around the world are doing the same as businesses grapple with the biggest shipping upheaval since the COVID-19 pandemic threw global supply chains into disarray, sources in the logistics industry said.

Florida-based Basic Fun usually ships all Europe-bound toys from its China factories via the Suez Canal, the quickest way to move goods between those geographies, CEO Jay Foreman said in a telephone interview from his Hong Kong office.

That trade route is used by roughly one-third of global container ship cargo, and redirecting ships around the southern tip of Africa is expected to cost up to $1 million extra in fuel for every round trip between Asia and Northern Europe.

Yemeni Houthis’ drone and missile attacks in the Red Sea to show their support for Palestinian Islamist group Hamas fighting Israel in Gaza have upended shipping plans.

Basic Fun is now working through the holidays to send toys from China to ports in the U.K. and Rotterdam via the longer route.

It is also diverting some goods bound for ports on the U.S. East Coast from the Suez Canal to the drought-choked Panama Canal, while switching others to the West Coast via the direct route across the Pacific Ocean.

“It’s just going to take longer and it’s going to cost more,” said Foreman, who added that rates for some China-U.K. freight have more than doubled to around $4,400 per container since the Israel-Hamas conflict began in October.

The Suez Canal situation remains fast changing, and shippers MaerskMAERSKb.CO and CMA CGM are moving to resume voyages with military escorts through the Red Sea.

The biggest impact likely will come over the next six weeks, said Michael Aldwell, executive vice president of sea logistics for Switzerland’s Kuehne + Nagel KNIN.S.

“You can’t flick a switch” and reorganize global shipping, said Aldwell, who expects the diversions to cause a shortage of vessel space, strand empty containers needed for China exports in wrong places and send short-term transport price indexes sharply higher.

According to estimates from freight platform Xeneta, it costs $2,320 to ship a 40-foot equivalent unit (FEU) container from the Far East to the Mediterranean “post escalation” versus $1,865 per FEU in early December. It costs $1,625 to ship an FEU from China to the United Kingdom “post escalation” versus $1,425 per FEU in early December.

These rates do not include “extra ordinary” risk surcharges and “Emergency Recovery Cost” that can be between $400 and $2,000 per FEU, Peter Sand, chief analyst at Xeneta, said. 

Scramble for space

As of Wednesday, nearly 20% of the global container fleet — or 364 hulking container vessels capable of carrying just over 2.5 million full-sized containers — had been set on a new course due to the Red Sea attacks, according to Kuehne + Nagel data.

Mitsui O.S.K. Lines 9104.T and Nippon Yusen 9101.T, Japan’s largest shipping companies, said their vessels with links to Israel were avoiding the Red Sea area and both companies were monitoring the situation carefully for next steps.

Vessel owners already have begun rationing the less expensive, contract-rate space they reserve for customers, said Anders Schulze, head of the ocean business at digital freight forwarder Flexport.

For example, he said, a customer who delivers five containers a month versus the 10 promised in their contract may only get five containers at contract rates. The remainder would be subject to expensive spot market rates.

This has set off a scramble to reserve space ahead of the early February deadline to get goods out of China before factories there close for the extended Lunar New Year celebrations, logistics experts said.

“Every single booking [out of China] now needs to be reconfirmed. The dates could change, the routing may change,” said Alan Baer, CEO of OL USA, which handles freight shipments for clients. OL has contracts with ship owners and is part of the rush to secure spots on ships.

Small shippers are most at risk of being elbowed out.

Marco Castelli, who has an import/export business in Shanghai, has been trying to rebook three containers of Chinese-made machinery components bound for Italy after the shipments were canceled due to the crisis.

“Transfer my situation to a large corporation and you get what’s going on,” he said.

Foreman at Basic Fun, which plans to have about 40 containers on the water before the Lunar New Year, said the company’s contracts with customers don’t include a way to recover the extra expense. “The price is fixed. [Most suppliers] are going to have to eat those costs.” 

Vietnam Wary of China’s ‘Swift, Large-Scale’ Investment

WASHINGTON — An influx of Chinese investors in Vietnamese supporting industries could cause domestic businesses to suffer from the competition, the president of the Vietnam Association for Supporting Industries warned.

Phan Dang Tuat’s statement came a week after Vietnam and China agreed to expand their trade cooperation during Chinese President Xi Jinping’s mid-December visit, during which the two countries signed 36 cooperation documents. Vietnam and China pledged to strengthen their cooperation in economic zones, investment, trade and other areas, said a joint statement issued on December 13.

According to economic experts, the agreements will open opportunities for Vietnam to attract high-quality direct investment from China.

But Tuat said the wave of Chinese supporting-industry firms arriving in the Southeast Asian country is concerning.

Supporting industries supply raw materials and components to manufacturers.

Tuat voiced his concern at the Ministry of Industry and Trade’s year-end conference on December 20, questioning the rapid and large-scale entry of Chinese firms into the market, according VN Express International, a Vietnamese newspaper.

Chinese supporting industry companies are flocking to Vietnam, swiftly forming large-scale components and parts production chains to export to Europe and North America, Tuat said.

“This is a huge concern for domestic supporting industry enterprises,” Tuat said, according to VN Express International.

China-U.S. trade war

Since then-U.S. President Donald Trump launched a trade war with China in 2018, many Chinese products have been found to be disguised or labeled as “Made in Vietnam” to avoid U.S. tariffs on goods imported from China, according to reports by Reuters.

The trade war has also encouraged Chinese firms to move their production to other countries, including Vietnam, to bypass U.S. tariffs.

Meanwhile, Tuat told the ministry’s conference that because of a lack of economies of scale, Vietnam’s domestic firms are grappling with expensive capital and high manufacturing expenses, making it difficult to compete with Chinese firms, according to Vietnam-based Tuoi Tre.

Vietnamese companies in 2023 saw a 40% drop in revenue partly because of fewer orders from major markets, such as Europe, according to Tuat.

He also said that Vietnam’s unusually high lending rates have undermined the nation’s supporting industry enterprises, which number about 1,500 companies. (Whereas Vietnamese firms are required to borrow from Vietnamese banks at rates of 10% to 12%, foreign investors can borrow abroad at significantly lower rates, according to reports by Tuoi Tre.)

Ha Hoang Hop, an associate senior fellow at Singapore-based ISEAS-Yusof Ishak Institute, told VOA: “This should serve as a wake-up call for Vietnam to speed up its supporting industries in order to catch up with Chinese competitors who are way ahead.”

There is reason for concern, Pham Chi Lan, former general secretary of Vietnam Chamber of Commerce and Industry, told VOA.

“But we need to face that fact and learn from the lesson in the past where foreign investors chose Chinese suppliers instead of Vietnamese for their production in Vietnam,” he said.

Semiconductors a potential boon

The U.S.-China trade war has led semiconductor investors to shift their focus to Vietnam, a potential boon for the Southeast Asian nation, according to Hop and Lan.

“The U.S. has included Vietnam in its ‘friendshoring’ network, and Vietnam should make the most out of this,” said Hop, referring to the practice of focusing supply chain networks in countries regarded as U.S. political and economic allies.

Experts said Vietnam is well-positioned to draw U.S. investors seeking to de-risk supply chain investments in China.

“The competition between the U.S. and China is getting intense when the U.S. is banning the export of some equipment and technology to China, and this is a great opportunity for Vietnam to be able to secure some deals,” said Hop, referring to the U.S. export ban on chipmaking equipment and rare-earth technologies.

Lan, who was an adviser to the late Vietnamese Prime Ministers Vo Van Kiet and Phan Van Khai, agreed with Hop.

“The U.S., Japan and European countries want Vietnam to be strong for their benefits instead of being weak and dependent on China,” Lan said.

Following an historic U.S.-Vietnam business summit in September that bolstered ties between the countries, Vietnam then elevated Japan into its circle of comprehensive strategic partners, on par with China, in November. Washington and Tokyo sought to upgrade ties with Hanoi to offset Beijing’s expansion of power in the region and reduce its dependence on Chinese supply chains, according to experts who spoke with VOA.

Announcing its new partnership with Vietnam, the U.S. State Department described it as a way “to explore opportunities to grow and diversify the global semiconductor ecosystem” that “will help create more resilient, secure and sustainable global semiconductor value chain.”

Vietnam is poised to expand into chip-designing and possibly chip-making as trade tensions between the United States and China create opportunities for the country, according to Lan and Hop.

China OKs 105 Online Games Days After Hitting Industry with Draft Rules

TAIPEI, TAIWAN — Chinese authorities approved 105 new online games this week, bolstering support for the industry just days after proposing regulatory restrictions that sent stocks tumbling.

The National Press and Publication Administration (NPPA) announced approval of the 105 games Monday via WeChat, describing the move as a show of support for “the prosperity and healthy development of the online game industry.

“It was only Friday that those same regulators announced a wide range of proposed guidelines to ban online game companies from offering incentives for daily logins or purchases. Other proposed rules include limiting how much users can recharge and issuing warnings for “irrational consumption behavior.”

The draft rules, which were published as part of efforts to seek public comment on the proposals, caused an immediate, massive blow to the world’s biggest games market, leading to as much as $80 billion in market value being erased from China’s two biggest companies, industry leader Tencent Holdings and NetEase.

After the approval was announced Monday, video game stocks in companies such as NetEase began recovering from Friday’s tumble. China’s state-run CCTV said the approval “strongly demonstrates the clear attitude of the competent authorities to actively support the development of online games,” adding that most game companies are deeply encouraged.

Chinese netizens, however, aren’t optimistic.

“Isn’t it the daily work of the NPPA to [approve games] on a regular basis? Don’t make it look like [you’re doing the industry a favor]” said a commenter named “OldTimeBlues” on YYSTV, a Chinese media platform for online gaming.

Another commenter, named Mizu, described the back-to-back announcements as a proverbial carrot and stick tactic.

“You noticed your kid is [has] a concussion after [you’ve hit] him with a stick,” they said of Friday’s announcement of new guidelines. “Now you are giving him a [treat] to make him feel better.”

Syu Jhen, founder of the policy think tank Hong Kong Zhi Ming Institute, said that the draft rules would affect not only the stock prices of Tencent and NetEase but the entire online gaming industry, even if China’s economy relies on domestic consumption.

Syu said that Beijing’s “one-size-fits-all” regulation of online gaming shows that China’s economic decision-makers do not respect market rules and often resort to moral kidnapping, allowing the social value that officials want to encourage to override principles of economic development and business operations.

A comment on YYSTV said, “Thinking issuing an approval would boost market confidence? It’s completely scratching the surface.”

Chen Chung-hsing, director of the New Economy Policy Research Center at National Dong Hwa University, said that at a time when China’s economy is weak and sluggish, exports and investment can no longer boost China’s economy. China can only rely heavily on domestic consumption. He said if China continues to suppress the domestic online gaming industry, it may have economic consequences and cause public resentment.

“China’s current unemployment rate is so high that some people may need video games to kill time,” he told VOA in a phone interview. In this case, [the rules] are also [a kind of] deprivation. Then, after these people stop playing video games, what will happen? Don’t they think about other ways to express their dissatisfaction? So basically, [playing video games] is also a possible source of power for [social] stability.”

Tseng Wei-feng, an assistant researcher at the Institute of International Relations at National Chengchi University, said the reason why the Chinese government wants to restrict online games is that the games often have a “group-fighting” model, which has become a virtual platform for young people to gather. He said the government worries that players can be united and mobilized in the virtual world.

“A group of people may attack a city in a certain game, then evolve into a so-called organized force,” he said. “If one day they are dissatisfied with China’s policies, will they all go to the government gate to protest? I think this is an aspect that the Chinese Communist Party has been strictly controlling.”

Some information is from The Associated Press. 

Argentines Protest Milei’s Economic Reforms

BUENOS AIRES, ARGENTINA — Thousands of Argentines took to the streets of Buenos Aires on Wednesday to protest a decree of sweeping economic reform and deregulation proposed by President Javier Milei.  

Marching at the behest of labor unions, the protesters demanded the courts intervene to invalidate the mega-decree they say would carve away worker and consumer protections. 

Congress is sitting in an extraordinary session this week, at the request of ultra-libertarian Milei — in office since December 10 — to consider the plan.  

The decree would change or scrap more than 350 economic regulations in a country accustomed to heavy government intervention in the market.  

Among others, it abolishes a price ceiling on rent, eliminates some worker protections and scraps laws shielding consumers from abusive price increases at a time when annual inflation exceeds 160% and the poverty level has surpassed 40%.  

A number of civic groups on Saturday filed a judicial motion to have the decree declared unconstitutional.  

On Wednesday, protesters waved Argentine flags and placards reading: “The homeland is not for sale.” 

“We do not question the legitimacy of President Milei, but we want him to respect the division of powers. Workers need to defend their rights when there is an unconstitutionality,” construction union leader Gerardo Martinez told reporters at the march. 

Milei’s “chainsaw plan” to cut state spending has triggered a series of street protests against the government. 

Other aspects of the decree include an end to automatic pension increases, restrictions on the right to strike and easing away from price caps for private health services. 

It also terminates about 7,000 civil service contracts in a bid to cut state spending.  

Unless Congress scraps the plan in its entirety, the decree will enter into force on Friday.  

Milei’s far-right party, Freedom Advances, has 40 of the 257 deputies in Congress and seven of 72 senators.  

“The decree is destructive of all labor rights,” said 45-year-old teacher Martin Lucero, who took part in the protest.   

“The Argentine people chose Milei as president of the nation, not as emperor,” he said. 

Israel Grants Intel $3.2B for New $25B Chip Plant, Biggest Company Investment in Country

Jerusalem — Israel’s government agreed to give Intel a $3.2 billion grant for a new $25 billion chip plant it plans to build in southern Israel, both sides said on Tuesday, in what is the largest investment ever by a company in Israel. 

The news comes as Israel remains locked in a war with Palestinian militant group Hamas in the wake of the October 7 Hamas attack on Israel. It also is a big show of support by a major U.S. company and a substantial offer by Israel’s government at a time when Washington has increased pressure on Israel to take further steps to minimize civilian harm in Gaza. 

Shares of Intel, which has a bit less than 10% of its global workforce in Israel, opened up 2.73% at $49.28 on the Nasdaq stock exchange.  

The expansion plan for its Kiryat Gat site, where it has an existing chip plant 42 kilometers (26 miles) from Hamas-controlled Gaza, is an “important part of Intel’s efforts to foster a more resilient global supply chain, alongside the company’s ongoing and planned manufacturing investments in Europe and the United States,” Intel said in a statement. 

Under CEO Pat Gelsinger, Intel has invested billions in building factories across three continents to restore its dominance in chip-making and better compete with rivals AMD, Nvidia and Samsung. The new Israeli plant is the latest investment by the U.S. chipmaker in recent years. 

“Support from the Israel government will … ensure that Israel remains a global center of semiconductor technology and talent,” Intel vice president Daniel Benatar said. 

Intel had previously received around $2 billion over the past 50 years in Israeli grants in other facilities there. 

Ofir Yosefi, deputy director general of Israel’s Investments Authority, said Intel chose a higher grant and tax rate over an offer for a lower grant and lower tax rate. 

He told Reuters the process took months since a grant of such magnitude needed a review and independent analysis that it was economically viable. It was determined Israel would reap much higher fiscal and economic benefits, he added. 

“This investment, at a time when Israel wages war against utter wickedness, a war in which good must defeat evil, is an investment in the right and righteous values that spell progress for humanity,” Finance Minister Bezalel Smotrich said. 

Intel, whose investment will be over five years, will pay a corporate tax rate of 7.5% instead of 5% previously. The normal tax rate is 23%, but under Israel’s law to encourage investment in development areas, companies receive large benefits. 

In Germany, Intel plans to spend more than $33 billion to develop two chip-making plants in Magdeburg, as part of a multibillion-dollar investment drive across Europe to build chip capacity. Berlin has pledged big subsidies to attract Germany’s biggest-ever foreign investment.  

In 2022, Intel said it would invest up to $100 billion to build potentially the world’s largest chip-making complex in the U.S. state of Ohio, and rivals Samsung and Taiwan Semiconductor Manufacturing Company, or TSMC, also have announced big investment plans in the U.S. 

In addition to the grant that amounts to 12.8% of the total investment, the chipmaker also committed to buy $16.6 billion worth of goods and services from Israeli suppliers over the next decade, while the new facility is expected to create several thousand jobs. 

Intel, one of around 500 multinationals in Israel, established a presence there in 1974 and now operates four development and production sites, including its manufacturing plant in Kiryat Gat called Fab 28 that produces Intel 7 technology, or 10 nanometer chips, and employs nearly 12,000 people in the country while indirectly employing 42,000 more. 

At some $9 billion, Intel’s exports account for 5.5% of total high-tech exports. The Centrino chip, which enables the use of WiFi, and its Core processors were developed in Israel. 

Intel, which bought Israeli self-driving auto technologies firm Mobileye for $15.3 billion in 2017, declined to say what technology will be produced at the new Fab 38 plant. Intel says construction has already begun.  

In June, Prime Minister Benjamin Netanyahu said Intel would build a new $25 billion chip plant in Israel, but Intel until now had declined to confirm the investment. 

The Fab 38 plant is due to open in 2028 and operate through 2035. 

Holiday Spending Up in US, Despite Financial Anxiety, Higher Costs

New York — Holiday sales rose this year and spending remained resilient during the shopping season even with Americans wrestling with higher prices in some areas and other financial worries, according to the latest measure.

Holiday sales from the beginning of November through Christmas Eve climbed 3.1%, a slower pace than the 7.6% increase from a year earlier, according to Mastercard SpendingPulse, which tracks all kinds of payments including cash and debit cards.

This year’s sales are more in line with what is typical during the holiday season, however, after a surge in spending last year during the same period.

“This holiday season, the consumer showed up, spending in a deliberate manner,” said Michelle Meyer, Chief Economist, Mastercard Economics Institute. “The economic backdrop remains favorable with healthy job creation and easing inflation pressures, empowering consumers to seek the goods and experiences they value most.”

The number of people seeking unemployment benefits has remained very low by historical standards and employers are still having a hard time finding enough workers.

Still, sales growth was a bit lower than the 3.7% increase Mastercard SpendingPulse had projected in September. The data released Tuesday excludes the automotive industry and is not adjusted for inflation.

Clothing sales rose 2.4%, though jewelry sales fell 2% and electronics dipped roughly 0.4%. Online sales jumped 6.3 % from a year ago and in-person spending rose a modest 2.2%.

Consumer spending accounts for nearly 70% of U.S. economic activity, and economists carefully monitor how Americans spend, particularly during the holidays, to gauge how they’re feeling financially.

There had been rising concern leading up to the holiday about the willingness of Americans to spend because of elevated prices for daily necessities at a time that savings have fallen and credit card delinquencies have ticked higher. In response, retailers pushed discounts on holiday merchandise earlier in October compared with a year ago. They also took a cautious approach on how much inventory to order after getting stung with overstuffed warehouses last year.

The latest report on the Federal Reserve’s favored inflation gauge, issued Friday, shows prices are easing. But costs remain still higher at restaurants, car shops and for things such as rent. Americans, however, unexpectedly picked up their spending from October to November as the holiday season kicked off, underscoring their spending power in the face of higher costs.

A broader picture of how Americans spent their money arrives next month when the National Retail Federation, the nation’s largest retail trade group, releases its combined two-month statistics based on November-December sales figures from the Commerce Department.

The trade group expects U.S. holiday sales will rise 3% to 4%. That’s lower than last year’s 5.4% growth but again, more consistent with typical holiday spending, which rose 3.6% between 2010 and 2019 before the pandemic skewered numbers.

Industry analysts will dissect the fourth-quarter financial performance from major retailers when they release that data in February.

The big concern: whether shoppers will pull back sharply after they get their bills in January. Nikki Baird, vice president of Aptos, a retail technology firm, noted customers, already weighed down by still high inflation and high interest rates, might pull back more because of the resumption of student loan payments that kicked in October 1.

“I am worried about January,” she said. “I can see a bit of a last hurrah.”

Apple Watch Import Ban Goes Into Effect in US Patent Clash

Washington — A U.S. import ban on certain Apple smartwatch models came into effect Tuesday, after the Biden administration opted not to veto a ruling on patent infringements.

The United States International Trade Commission (ITC) decided in October to ban Apple Watch models over a patented technology for detecting blood-oxygen levels.

Apple contends that the ITC finding was in error and should be reversed, but last week paused its US sales of Apple Watch Series 9 and Apple Watch Ultra 2.

The order stemmed from a complaint made to the commission in mid-2021 accusing Apple of infringing on medical device maker company Masimo Corp’s “light-based oximetry functionality.”

“After careful consultations, Ambassador (Katherine) Tai decided not to reverse the… determination and the ITC’s decision became final on December 26, 2023,” the president’s executive office said in a statement on Tuesday.

Apple has been steadily ramping up fitness and health features with each generation of its Apple Watch, which dominates the smartwatch category.

In September, Apple released its Apple Watch Series 9, touting increased performance along with features such as the ability to access and log health data.

“Our teams work tirelessly to create products and services that empower users with industry-leading health, wellness and safety features,” Apple said when the ITC ban was issued.

“Masimo has wrongly attempted to use the ITC to keep a potentially lifesaving product from millions of US consumers while making way for their own watch that copies Apple.”

In May, a trial of Masimo’s allegations ended in a mistrial after jurors failed to reach a unanimous verdict.

Late last year, Apple filed two patent infringement lawsuits accusing Masimo of copying Apple Watch technology.

Insect Compasses, Fire-Fighting Vines: 2023’s Nature-Inspired Tech

Paris — Even as human-caused climate change threatens the environment, nature continues to inspire our technological advancement.

“The solutions that are provided by nature have evolved for billions of years and tested repeatedly every day since the beginning of time,” said Evripidis Gkanias, a University of Edinburgh researcher. 

Gkanias has a special interest in how nature can educate artificial intelligence.

“Human creativity might be fascinating, but it cannot reach nature’s robustness — and engineers know that,” he told AFP.

From compasses mimicking insect eyes to forest fire-fighting robots that behave like vines, here’s a selection of this year’s nature-based technology.

Insect compass

Some insects — such as ants and bees — navigate visually based on the intensity and polarisation of sunlight, thus using the sun’s position as a reference point. 

Researchers replicated their eye structure to construct a compass capable of estimating the sun’s location in the sky, even on cloudy days.

Common compasses rely on Earth’s weak magnetic field to navigate, which is easily disturbed by noise from electronics.

A prototype of the light-detecting compass is “already working great,” said Gkanias, who led the study published in Communications Engineering. 

“With the appropriate funding, this could easily be transformed into a more compact and lightweight product” freely available, he added. 

And with a little further tweaking, the insect compass could work on any planet where a big celestial light source is visible.

Water-collecting webs

Fabric inspired by the silky threads of a spider web and capable of collecting drinking water from morning mist could soon play an important role in regions suffering water scarcity.

The artificial threads draw from the feather-legged spider, whose intricate “spindle-knots” allow large water droplets to move and collect on its web.

Once the material can be mass produced, the water harvested could reach a “considerable scale for real application”, Yongmei Zheng, a co-author of the study published in Advanced Functional Materials, told AFP.

Fire-fighting vines 

Animals aren’t the only source of inspiration from nature.

Scientists have created an inflatable robot that “grows” in the direction of light or heat, in the same way vines creep up a wall or across a forest floor. 

The roughly two-meter-long tubular robot can steer itself using fluid-filled pouches rather than costly electronics.  

In time, these robots could find hot spots and deliver fire suppression agents, say researchers at the University of California, Santa Barbara.   

“These robots are slow, but that is OK for fighting smoldering fires, such as peat fires, which can be a major source of carbon emissions,” co-author Charles Xiao told AFP. 

But before the robots can climb the terrain, they need to be more heat-resistant and agile.

Kombucha circuits

Scientists at the Unconventional Computing Laboratory at the University of the West of England in Bristol have found a way to use slimy kombucha mats — produced by yeast and bacteria during the fermenting of the popular tea-based drink — to create “kombucha electronics.”

The scientists printed electrical circuits onto dried mats that were capable of illuminating small LED lights.   

Dry kombucha mats share properties of textiles or even leather. But they are sustainable and biodegradable, and can even be immersed in water for days without being destroyed, said the authors.

“Kombucha wearables could potentially incorporate sensors and electronics within the material itself, providing a seamless and unobtrusive integration of technology with the human body,” such as for heart monitors or step-trackers, lead author Andrew Adamatzky and the laboratory’s director, told AFP.

The mats are lighter, cheaper and more flexible than plastic, but the authors caution that durability and mass production remain significant obstacles.

Scaly robots

Pangolins resemble a cross between a pine cone and an anteater. The soft-bodied mammals, covered in reptilian scales, are known to curl up in a ball to protect themselves against predators. 

Now, a tiny robot might adapt that same design for potentially life-saving work, according to a study published in Nature Communications.

It is intended to roll through our digestive tracts before unfurling and delivering medicine or stopping internal bleeding in hard-to-reach parts of the human body. 

Lead author Ren Hao Soon of the Max Planck Institute for Intelligent Systems was watching a YouTube video when he “stumbled across the animal and saw it was a good fit.”

Soon needed a soft material that wouldn’t cause harm inside the human body, with the advantages of a hard material that could, for example, conduct electricity. The Pangolin’s unique structure was perfect.

The tiny robots are still in their initial stages, but they could be made for as little as 10 euros each. 

“Looking to nature to solve these kinds of problems is natural,” said Soon. 

“Every single design part of an animal serves a particular function. It’s very elegant.”

 

Christmas Rush to Get Passports to Leave Zimbabwe is Fed by Economic Gloom, Price Hike

Harare — Atop many Christmas wish lists in economically troubled Zimbabwe is a travel document, and people are flooding the passport office this holiday season ahead of a price hike planned in the New Year.

The desperation at the office in the capital city of Harare is palpable as some people fear the hike could push the cost of obtaining a passport out of reach and economic gloom feeds a surge in migration. 

Nolan Mukona said he woke up at dawn to get in line at the passport office but when he arrived at 5 a.m. there were already more than 100 people waiting. Some people had slept outside the office overnight. 

“The only thing that can make my Christmas a cheerful one is if I manage to get a passport,” said the 49-year-old father of three. “I have been saving for it for the last three months and I have to make sure I get it before January.” 

At $120, passports were already pricey for many in a country where the majority struggle to put food on the table. The finance minister’s budget proposals for 2024 said passport fees would rise to $200 in January, sparking an outcry. The hike was then reduced to $150. 

Several million Zimbabweans are estimated to have left the southern African country over the past two decades when its economy began collapsing. The migration has taken renewed vigor in recent years as hopes of a better life following the 2017 ouster of longtime president Robert Mugabe fade. The late president was accused of running down the country. 

Many people, including professionals such as schoolteachers, are taking short nursing courses and seeking passports to leave for the United Kingdom to take up health care work. 

According to figures released by the U.K.’s immigration department in November, 21,130 Zimbabweans were issued visas to work in the health and care sector from September last year to September this year, up from 7,846 the previous year. 

Only India and Nigeria, countries with significantly larger populations than Zimbabwe, have more people issued such work visas. 

Many more Zimbabweans choose to settle in neighboring South Africa. 

According to South Africa’s statistics agency, just over 1 million Zimbabweans are living in that country, up from more than 600,000 during its last census in 2011, although some believe the figure could be much higher as many cross the porous border illegally. 

The economic desperation has coupled with the expected increase in the price of travel documents to create an end-of-year rush. 

The passport office has increased working hours to operate at night to cater to the growing numbers. Enterprising touts sell spots for $5 for those who want to skip the line. 

“It’s my gateway to a better life,” said Mukona of the passport he hopes to get. 

He plans to leave his work as an English teacher at a private college to migrate to the United Kingdom as a carer. Once there, he hopes to have his family follow, a move that may be endangered by recent proposals by U.K. Prime Minister Rishi Sunak to change migration visa rules to limit the ability of migrant workers to bring their families to the U.K. 

Harare-based economist Prosper Chitambara said a lack of formal jobs and low prospects of economic recovery have turned the passport from a mere travel document into a life-changing document for many. 

“The challenging economic situation is not showing signs of remission so this is an incentive for Zimbabweans to migrate,” said Chitambara. “The passport is now more than just a travel document. Being in possession of a passport means changed economic fortunes because it’s a major step towards leaving.” 

The economist predicted a tougher New Year for Zimbabweans, citing a raft of new or higher taxes proposed by the finance minister. 

Zimbabwe’s government says the migration comes at a huge cost to the country because of a brain drain, particularly in the health sector. It has pleaded to the World Health Organization to intervene and stop richer countries from recruiting Zimbabwean nurses, doctors and other health professionals. 

Vice President Constantino Chiwenga earlier this year described the recruitment as “a crime against humanity” and proposed a law to stop health professionals from migrating. 

Life has not always turned out rosy for those leaving. 

The British press has reported the abuse of people settling in the United Kingdom as care workers, with some ending up living on the streets or barely earning enough to survive. 

A report by Unseen, a U.K charity, in October said “the care sector is susceptible to worker exploitation and modern slavery. Many people providing their labor in the sector receive low pay and the work is considered low-skilled.” 

The group, which campaigns against modern slavery and exploitation, said Zimbabweans were among the top nationalities to be victimized in the care sector. 

Despite such reports, many in Zimbabwe are not deterred. 

“I will deal with those issues when I get there. Right now my priority is getting hold of a passport and leaving. Anything is better than being in Zimbabwe right now,” said Mukona. 

US Investors See Value in Israeli Tech Firms Despite War

HERZLIYA, Israel — Nearly 7,000 miles away in Portland, Oregon, venture capitalist George Djuric said he was compelled to visit Israel during the country’s war with Palestinian militant group Hamas and to pledge support for the high-tech sector.

Djuric, chief technology officer at yVentures who arrived in the United States as a 3-year-old refugee from Bosnia during the Bosnian war in the mid-1990s, this week joined some 70 other U.S. tech executives and investors on a trip to Israel.

“Coming here is a chance to stand in solidarity with Israel and also support the tech ecosystem, which is the world’s second largest after Silicon Valley,” he said. “As a technology fund, it makes sense for us to be here.”

Although not Jewish, Djuric said he was drawn to Israel by the state’s resiliency and as someone whose family’s views were shaped by war.

“I was horrified by what happened on October 7 and I was equally horrified the next day when I saw people demonstrating in support of what happened,” he said, referring to the October 7 attack on Israel launched by Hamas.

Investors and analysts had predicted the conflict with the Palestinians would derail a fragile recovery in high-tech, which accounts for more than half of Israel’s exports and nearly a fifth of its overall economic output.

Funding had already dropped sharply amid a global slowdown and a divisive government judicial overhaul when the war took its toll on the economy. Growth, on pace for a 3.4% clip this year, has fallen to an expected 2% with the outlook at least as grim.

At least 15% of the tech workforce has been called up for military reserve duty.

Yet, even as the war rages, tech funding deals are still getting done, albeit at a slower pace. Startups have raised more than $6 billion in 2023 compared with $16 billion in 2022.

On Tuesday, ScaleOps, a startup specializing in cloud resource management, announced a $21.5 million funding round. Last week, cyber startup Zero Networks, which prevents attackers from spreading in corporate networks, raised $20 million.

‘Long-term bullish on Israel’

Ron Miasnik, of Bain Capital Ventures who co-organized the delegation, said he had expected Israeli startups to go on drawing large sums. He said he believed the country’s economy would ultimately bounce back.

“It doesn’t matter to us whether the economic rebound takes three months, six months, nine months or 12 months,” he said. “We’re long-term bullish on Israel.”

Miasnik said the idea of the trip emerged from watching other solidarity groups, such as religious ones. “We felt the (U.S.) tech and the venture capital community, which is so heavily integrated within Israel, was missing,” he said.

Initially, it was supposed to be just 15 people but, he said, hundreds of people showed interest. They included CEOs and senior executives of U.S.-based tech and VC funds from Meetup.com, Apollo, TPG, Susquehanna Growth Equity, Mastercard, John Deere and Harvard University’s endowment investment fund.

In addition to meeting local investors and startups, they met Israeli leaders and families of hostages still held captive in Gaza and toured border towns hit by the October 7 attack.

Bain has a number of investments in Israel, including Redis Labs, in which the fund has invested more than $100 million, and cybersecurity firm Armis, and Miasnik said he was seeking to add more Israeli cybersecurity startups to its portfolio.

Similarly, Danny Schultz, managing director of New York-based Gotham Ventures said he was looking to invest in 10 to 20 Israeli growth stage startups, mainly in fintech, in the next three to five years.

“At the point that Israeli CEOs need more capital, they also need relationships across the ocean in the U.S. and Europe to really help build their companies,” he said.

Joy Marcus co-founded a new VC fund called The 98 and only invests in “women-led technology businesses that are disrupting industry.”

“I am tortured by the war. … So I am here to support Israel first and foremost,” she said. “And I am also very interested in investing in some Israeli women.”

Artists Use Tech Weapons Against AI Copycats

NEW YORK — Artists under siege by artificial intelligence that studies their work and then replicates their styles, have teamed with university researchers to stymie such copycat activity.

U.S. illustrator Paloma McClain went into defense mode after learning that several AI models had been trained using her art, with no credit or compensation sent her way.

“It bothered me,” McClain told AFP.

“I believe truly meaningful technological advancement is done ethically and elevates all people instead of functioning at the expense of others,” she said.

The artist turned to free software called Glaze created by researchers at the University of Chicago.

Glaze essentially outthinks AI models when it comes to how they train, tweaking pixels in ways that are indiscernible to human viewers but which make a digitized piece of art appear dramatically different to AI.

“We’re basically providing technical tools to help protect human creators against invasive and abusive AI models,” said Ben Zhao, a professor of computer science on the Glaze team.

Created in just four months, Glaze spun off technology used to disrupt facial recognition systems.

“We were working at super-fast speed because we knew the problem was serious,” Zhao said of rushing to defend artists from software imitators. “A lot of people were in pain.”

Generative AI giants have agreements to use data for training in some cases, but the majority of digital images, audio, and text used to shape the way supersmart software thinks has been scraped from the internet without explicit consent.

Since its release in March, Glaze has been downloaded more than 1.6 million times, according to Zhao.

Zhao’s team is working on a Glaze enhancement called Nightshade that notches up defenses by confusing AI, say by getting it to interpret a dog as a cat.

“I believe Nightshade will have a noticeable effect if enough artists use it and put enough poisoned images into the wild,” McClain said, meaning they would be easily available online.

“According to Nightshade’s research, it wouldn’t take as many poisoned images as one might think,” she said.

Zhao’s team has been approached by several companies that want to use Nightshade, according to the Chicago academic.

“The goal is for people to be able to protect their content, whether it’s individual artists or companies with a lot of intellectual property,” Zhao said.

Viva Voce

A startup called Spawning has developed Kudurru software that detects attempts to harvest large numbers of images from an online venue.

An artist can then block access or send images that don’t match what is being requested, tainting the pool of data being used to teach AI what is what, according to Spawning co-founder Jordan Meyer.

More than 1,000 websites have been integrated into the Kudurru network.

Spawning has also launched haveibeentrained.com, a website that features an online tool for finding out whether digitized works have been fed into an AI model and allow artists to opt out of such use in the future.

As defenses ramp up for images, researchers at Washington University in Missouri have developed AntiFake software to thwart AI copying voices.

AntiFake enriches digital recordings of people speaking, adding noises inaudible to people but which make it “impossible to synthesize a human voice,” said Zhiyuan Yu, the Ph.D. student behind the project.

The program aims to go beyond just stopping unauthorized training of AI to preventing the creation of “deepfakes” — bogus soundtracks or videos of celebrities, politicians, relatives, or others showing them doing or saying something they didn’t.

A popular podcast recently reached out to the AntiFake team for help stopping its productions from being hijacked, according to Zhiyuan Yu.

The freely available software has so far been used for recordings of people speaking, but could also be applied to songs, the researcher said.

“The best solution would be a world in which all data used for AI is subject to consent and payment,” Meyer contended. “We hope to push developers in this direction.”

Russia Arrests Head of Space Equipment Maker, Suspected of Fraud

MOSCOW — The head of a company that makes navigation systems for Russia’s space program was arrested in Moscow and charged with major fraud, state media reported Friday.

TASS news agency quoted an unidentified law enforcement official as saying that Yevgeny Fomichev had been interrogated and charged with large-scale fraud, which carries a prison term of up to 10 years and a fine of 1 million rubles ($10,972).

TASS said Moscow’s Basmanny District Court, which often handles high-profile cases, ordered Fomichev to be held in pretrial detention until Feb. 21 at the request of Russia’s Investigative Committee, which deals with serious crimes.

Fomichev is head of NPP Geophysics-Cosmos, a company whose website says it manufactures “optical electronic orientation and navigation devices for spacecraft.” It says that almost all Russian spacecraft use its equipment.

The website includes a nine-page anti-corruption policy that says management has a key role in creating a culture of zero-tolerance toward corruption.

Russia’s space program suffered a huge setback in August when its Luna-25 spacecraft smashed into the surface of the moon while attempting to land there.

An investigation blamed a malfunction in an onboard control unit for the failure of Russia’s first moon mission in 47 years.

Chinese Chip Import Concerns Prompt US to Review Semiconductor Supply Chain  

washington — The U.S. Department of Commerce said Thursday that it would launch a survey of the U.S. semiconductor supply chain and national defense industrial base to address national security concerns from Chinese-sourced chips. 

The survey aims to identify how U.S. companies are sourcing so-called legacy chips — current-generation and mature-node semiconductors — as the department moves to award nearly $40 billion in subsidies for semiconductor chip manufacturing. 

The department said the survey, which will begin in January, aims to “reduce national security risks posed by” China and will focus on the use and sourcing of Chinese-manufactured legacy chips in the supply chains of critical U.S. industries. 

A report released by the department on Thursday said China had provided the Chinese semiconductor industry with an estimated $150 billion in subsidies in the last decade, creating “an unlevel global playing field for U.S. and other foreign competitors.” 

Commerce Secretary Gina Raimondo said, “Over the last few years, we’ve seen potential signs of concerning practices from [China] to expand their firms’ legacy chip production and make it harder for U.S. companies to compete.” 

China’s embassy in Washington said Thursday that the United States “has been stretching the concept of national security, abusing export control measures, engaging in discriminatory and unfair treatment against enterprises of other countries, and politicizing and weaponizing economic and sci-tech issues.” 

Raimondo said last week that she expected her department to make about a dozen semiconductor chip funding awards within the next year, including multibillion-dollar announcements that could drastically reshape U.S. chip production. Her department made the first award from the program on December 11. 

The Commerce Department said the survey would also help promote a level playing field for legacy chip production. 

“Addressing non-market actions by foreign governments that threaten the U.S. legacy chip supply chain is a matter of national security,” Raimondo added. 

U.S.-headquartered companies account for about half of the global semiconductor revenue but face intense competition supported by foreign subsidies, the department said. 

Its report said the cost of manufacturing semiconductors in the United States may be “30-45% higher than the rest of the world,” and it called for long-term support for domestic fabrication construction. 

It added that the U.S. should enact “permanent provisions that incentivize steady construction and modernization of semiconductor fabrication facilities, such as the investment tax credit scheduled to end in 2027.”