Category Archives: Technology

silicon valley & technology news

Facebook Shareholders Ask Company Leaders for More Accountability

Outside Facebook’s annual shareholders meeting Thursday, a lone protester paced on the sidewalk, carrying a U.S. flag and a sign that read “Zuckerberg destroys shareholder value.”

Above, a small plane pulled a banner that read “You Broke Democracy.”

Inside, Facebook shareholders offered both praise and criticism of the company’s leadership.

The social media giant has been in a constant spotlight over how foreign actors used its service to try to influence elections worldwide. It suffered a double blow when it was revealed that 87 million users’ information had gone to a political consulting firm without the users’ knowledge. 

The company continues to face inquiries from federal and state regulators about privacy and user data issues. And Mark Zuckerberg, its chief executive, recently testified in front of the European Parliament after appearing in front of Congress on the issues.

Shareholders sound off 

Facebook shareholders provided another sort of oversight. Many expressed their displeasure by selling shares in March after it was disclosed that Cambridge Analytica, a political consulting firm, obtained user data without their knowledge. Facebook shares have more than recovered since then, rising 2 percent Thursday to $191.78, which was up 26 percent from the company’s three-month low of $152 in March. 

“We didn’t do enough to see how people could abuse these tools,” Zuckerberg told the shareholders.

“The main thing we need to do right now is take a broader view of our responsibility to the community we serve,” he said.

Investors applauded Zuckerberg several times during the meeting. And they followed the company’s advice and appeared to vote down shareholder proposals, including one that would change the voting power of company shares. Currently, Zuckerberg, 34, and insiders hold a class of stock that gives them more than 60 percent of the voting power. 

Shareholders also appeared to vote against other proposals such as requiring the company to report on its gender pay gap and a content report that would show how the company enforces its terms of service worldwide. (Official results of the tally will be posted in the next several days.)

Despite the defeats, shareholder proposals are worthwhile, said Natasha Lamb, managing partner at Arjuna Capital, an activist investment firm behind two proposals.

They “send a signal to management, send a signal to the board,” she said.

Diversity of ideas 

Amid the applause, there was also sharp criticism. 

“We contend that Facebook’s poor stewardship of user data is tantamount to a human rights violation,” said Christine Jantz, chief investment officer at Northstar Asset Management.

Another investor asked what Facebook was doing to understand political bias among its employees and how that affects decisions about content on the site.

Zuckerberg said the company was “committed to being a platform for all ideas.” 

The company ended the meeting, but not before a shareholder pleaded, “Engage with us on these issues. We are on the same team.” 

Company leaders said they would.

Deana Mitchell contributed to this report.

Facebook Shareholders Ask Company Leaders for More Accountability

Outside Facebook’s annual shareholders meeting Thursday, a lone protester paced on the sidewalk, carrying a U.S. flag and a sign that read “Zuckerberg destroys shareholder value.”

Above, a small plane pulled a banner that read “You Broke Democracy.”

Inside, Facebook shareholders offered both praise and criticism of the company’s leadership.

The social media giant has been in a constant spotlight over how foreign actors used its service to try to influence elections worldwide. It suffered a double blow when it was revealed that 87 million users’ information had gone to a political consulting firm without the users’ knowledge. 

The company continues to face inquiries from federal and state regulators about privacy and user data issues. And Mark Zuckerberg, its chief executive, recently testified in front of the European Parliament after appearing in front of Congress on the issues.

Shareholders sound off 

Facebook shareholders provided another sort of oversight. Many expressed their displeasure by selling shares in March after it was disclosed that Cambridge Analytica, a political consulting firm, obtained user data without their knowledge. Facebook shares have more than recovered since then, rising 2 percent Thursday to $191.78, which was up 26 percent from the company’s three-month low of $152 in March. 

“We didn’t do enough to see how people could abuse these tools,” Zuckerberg told the shareholders.

“The main thing we need to do right now is take a broader view of our responsibility to the community we serve,” he said.

Investors applauded Zuckerberg several times during the meeting. And they followed the company’s advice and appeared to vote down shareholder proposals, including one that would change the voting power of company shares. Currently, Zuckerberg, 34, and insiders hold a class of stock that gives them more than 60 percent of the voting power. 

Shareholders also appeared to vote against other proposals such as requiring the company to report on its gender pay gap and a content report that would show how the company enforces its terms of service worldwide. (Official results of the tally will be posted in the next several days.)

Despite the defeats, shareholder proposals are worthwhile, said Natasha Lamb, managing partner at Arjuna Capital, an activist investment firm behind two proposals.

They “send a signal to management, send a signal to the board,” she said.

Diversity of ideas 

Amid the applause, there was also sharp criticism. 

“We contend that Facebook’s poor stewardship of user data is tantamount to a human rights violation,” said Christine Jantz, chief investment officer at Northstar Asset Management.

Another investor asked what Facebook was doing to understand political bias among its employees and how that affects decisions about content on the site.

Zuckerberg said the company was “committed to being a platform for all ideas.” 

The company ended the meeting, but not before a shareholder pleaded, “Engage with us on these issues. We are on the same team.” 

Company leaders said they would.

Deana Mitchell contributed to this report.

Gravity Could Be Source of Sustainable Energy

In today’s energy-hungry world, scientists are constantly revisiting every renewable resource looking for ways to increase efficiency. One researcher in the Netherlands believes even gravity can be harnessed to produce free electricity on a scale sufficient to power small appliances. VOA’s George Putic has more.

Gravity Could Be Source of Sustainable Energy

In today’s energy-hungry world, scientists are constantly revisiting every renewable resource looking for ways to increase efficiency. One researcher in the Netherlands believes even gravity can be harnessed to produce free electricity on a scale sufficient to power small appliances. VOA’s George Putic has more.

US Judge Dismisses Kaspersky Suits to Overturn Government Ban

A U.S. federal judge on Wednesday dismissed two lawsuits by Moscow-based Kaspersky Lab that sought to overturn bans on the use of the security software maker’s products in U.S. government networks.

The company said it would seek to appeal the decision, which leaves in place prohibitions included in a funding bill passed by Congress and an order from the U.S. Department of Homeland Security.

The bans were issued last year in response to allegations by U.S. officials that the company’s software could enable Russian espionage and threaten national security.

“These actions were the product of unconstitutional agency and legislative processes and unfairly targeted the company without any meaningful fact finding,” Kaspersky said in a statement.

U.S. District Judge Colleen Kollar-Kotelly in Washington said Kaspersky had failed to show that Congress violated constitutional prohibitions on legislation that “determines guilt and inflicts punishment” without the protections of a judicial trial.

She also dismissed the effort to overturn the DHS ban for lack of standing. Kaspersky Lab and its founder, Eugene Kaspersky, have repeatedly denied wrongdoing and said the company would not help any government with cyber espionage.

The company filed the lawsuits as part of a campaign to refute allegations that it was vulnerable to Kremlin influence, which had prompted the U.S. government bans on its products.

That effort includes plans to open a data center in Switzerland, where the company will analyze suspicious files uncovered on the computers of its tens of millions of customers in the United States and Europe.

US Judge Dismisses Kaspersky Suits to Overturn Government Ban

A U.S. federal judge on Wednesday dismissed two lawsuits by Moscow-based Kaspersky Lab that sought to overturn bans on the use of the security software maker’s products in U.S. government networks.

The company said it would seek to appeal the decision, which leaves in place prohibitions included in a funding bill passed by Congress and an order from the U.S. Department of Homeland Security.

The bans were issued last year in response to allegations by U.S. officials that the company’s software could enable Russian espionage and threaten national security.

“These actions were the product of unconstitutional agency and legislative processes and unfairly targeted the company without any meaningful fact finding,” Kaspersky said in a statement.

U.S. District Judge Colleen Kollar-Kotelly in Washington said Kaspersky had failed to show that Congress violated constitutional prohibitions on legislation that “determines guilt and inflicts punishment” without the protections of a judicial trial.

She also dismissed the effort to overturn the DHS ban for lack of standing. Kaspersky Lab and its founder, Eugene Kaspersky, have repeatedly denied wrongdoing and said the company would not help any government with cyber espionage.

The company filed the lawsuits as part of a campaign to refute allegations that it was vulnerable to Kremlin influence, which had prompted the U.S. government bans on its products.

That effort includes plans to open a data center in Switzerland, where the company will analyze suspicious files uncovered on the computers of its tens of millions of customers in the United States and Europe.

Canadian Who Aided Yahoo Email Hackers Gets 5-Year Term

A Canadian accused of helping Russian intelligence agents break into email accounts as part of a massive 2014 data breach at Yahoo was sentenced Tuesday to five years in prison and ordered to pay a $250,000 fine.

Karim Baratov, who pleaded guilty in November 2017 in San Francisco, was sentenced by U.S. District Judge Vince Chhabria, a spokesman for the U.S. Attorney’s Office said.

Baratov, a Canadian citizen born in Kazakhstan, was arrested in Canada in March 2017 at the request of U.S. prosecutors. He later waived his right to fight a request for his extradition to the United States.

Lawyers for Baratov in a court filing had urged a sentence of 45 months in prison, while prosecutors had sought 94 months.

“This case is about a young man, younger than most of the defendants in hacking cases throughout this country, who hacked emails, one at a time, for $100 a hack,” the defense lawyers wrote in a May 19 court filing.

Verizon Communications Inc., the largest U.S. wireless operator, acquired most of Yahoo’s assets in June 2017.

The U.S. Justice Department announced charges in March 2017 against Baratov and three others, including two officers in Russia’s Federal Security Service (FSB), for their roles in the 2014 hacking of 500 million Yahoo accounts. Baratov is the only one of the four who has been arrested. Yahoo in 2016 said cyberthieves might have stolen names, email addresses, telephone numbers, dates of birth and encrypted passwords.

Gmail targets

When FSB officers learned that a target had a non-Yahoo webmail account, including through information obtained from the Yahoo hack, they worked with Baratov, who was paid to break into at least 80 email accounts, prosecutors said, including numerous Alphabet Inc. Gmail accounts.

Federal prosecutors said in a court filing “the targeted victims were of interest to Russian intelligence” and included “prominent leaders in the commercial industries and senior government officials (and their counselors) of Russia and countries bordering Russia.”

Prosecutors said FSB officers Dmitry Dokuchaev and Igor Sushchin directed and paid hackers to obtain information and used Alexsey Belan, who is among the FBI’s most-wanted cybercriminals, to breach Yahoo.

Canadian Who Aided Yahoo Email Hackers Gets 5-Year Term

A Canadian accused of helping Russian intelligence agents break into email accounts as part of a massive 2014 data breach at Yahoo was sentenced Tuesday to five years in prison and ordered to pay a $250,000 fine.

Karim Baratov, who pleaded guilty in November 2017 in San Francisco, was sentenced by U.S. District Judge Vince Chhabria, a spokesman for the U.S. Attorney’s Office said.

Baratov, a Canadian citizen born in Kazakhstan, was arrested in Canada in March 2017 at the request of U.S. prosecutors. He later waived his right to fight a request for his extradition to the United States.

Lawyers for Baratov in a court filing had urged a sentence of 45 months in prison, while prosecutors had sought 94 months.

“This case is about a young man, younger than most of the defendants in hacking cases throughout this country, who hacked emails, one at a time, for $100 a hack,” the defense lawyers wrote in a May 19 court filing.

Verizon Communications Inc., the largest U.S. wireless operator, acquired most of Yahoo’s assets in June 2017.

The U.S. Justice Department announced charges in March 2017 against Baratov and three others, including two officers in Russia’s Federal Security Service (FSB), for their roles in the 2014 hacking of 500 million Yahoo accounts. Baratov is the only one of the four who has been arrested. Yahoo in 2016 said cyberthieves might have stolen names, email addresses, telephone numbers, dates of birth and encrypted passwords.

Gmail targets

When FSB officers learned that a target had a non-Yahoo webmail account, including through information obtained from the Yahoo hack, they worked with Baratov, who was paid to break into at least 80 email accounts, prosecutors said, including numerous Alphabet Inc. Gmail accounts.

Federal prosecutors said in a court filing “the targeted victims were of interest to Russian intelligence” and included “prominent leaders in the commercial industries and senior government officials (and their counselors) of Russia and countries bordering Russia.”

Prosecutors said FSB officers Dmitry Dokuchaev and Igor Sushchin directed and paid hackers to obtain information and used Alexsey Belan, who is among the FBI’s most-wanted cybercriminals, to breach Yahoo.

US Warns Again on Hacks It Blames on North Korea

The U.S. government on Tuesday released an alert with technical details about a series of cyberattacks it blamed on the North Korean government that stretch back to at least 2009.

The warning is the latest from the Department of Homeland Security and the Federal Bureau of Investigation about hacks that the United States charges were launched by the North Korean government.

A representative with Pyongyang’s mission to the United Nations declined comment. North Korea has routinely denied involvement in cyberattacks against other countries.

The report was published as U.S. and North Korean negotiators work to resuscitate plans for a possible June 12 summit between leaders of the two nations. The FBI and DHS released a similar report in June 2017, when relations were tense between Washington and Pyongyang due to North Korea’s missile tests.

The U.S. government uses the nickname “Hidden Cobra” to describe cyber operations by the North Korean government, which it says target the media, aerospace and financial sectors, and critical infrastructure in the United States and around the globe.

Tuesday’s report did not identify specific victims, though it cited a February 2016 report from several security firms that blamed the same group for a 2014 cyberattack on Sony Pictures Entertainment.

The alert provided a list of 87 IP addresses, four malicious files and two email addresses it said were associated with “Hidden Cobra.”

Last year’s alert was published on the same day that North Korea released American university student Otto Warmbier, who died days after his return to the United States following 17 months of captivity by Pyongyang.

US Warns Again on Hacks It Blames on North Korea

The U.S. government on Tuesday released an alert with technical details about a series of cyberattacks it blamed on the North Korean government that stretch back to at least 2009.

The warning is the latest from the Department of Homeland Security and the Federal Bureau of Investigation about hacks that the United States charges were launched by the North Korean government.

A representative with Pyongyang’s mission to the United Nations declined comment. North Korea has routinely denied involvement in cyberattacks against other countries.

The report was published as U.S. and North Korean negotiators work to resuscitate plans for a possible June 12 summit between leaders of the two nations. The FBI and DHS released a similar report in June 2017, when relations were tense between Washington and Pyongyang due to North Korea’s missile tests.

The U.S. government uses the nickname “Hidden Cobra” to describe cyber operations by the North Korean government, which it says target the media, aerospace and financial sectors, and critical infrastructure in the United States and around the globe.

Tuesday’s report did not identify specific victims, though it cited a February 2016 report from several security firms that blamed the same group for a 2014 cyberattack on Sony Pictures Entertainment.

The alert provided a list of 87 IP addresses, four malicious files and two email addresses it said were associated with “Hidden Cobra.”

Last year’s alert was published on the same day that North Korea released American university student Otto Warmbier, who died days after his return to the United States following 17 months of captivity by Pyongyang.

France to Beef Up Emergency Alert System on Social Media

France’s Interior Ministry announced plans on Tuesday to beef up its emergency alert system to the public across social media.

The ministry said in a statement that from June during immediate threats of danger, such as a terror attack, the ministry’s alerts will be given priority broadcast on Twitter, Facebook and Google as well as on French public transport and television.

The statement said that Twitter will give “special visibility” to the ministry’s alerts with a banner.

In a specific agreement, Facebook will also allow the French government to communicate to people directly via the social network’s “safety check” tool, created in 2014. 

The ministry said that this is the first time in Europe that Facebook has allowed public authorities to use this tool in this way.

This announcement comes as a much-derided attack alert app launched in 2016 called SAIP is being withdrawn after malfunctions. 

France to Beef Up Emergency Alert System on Social Media

France’s Interior Ministry announced plans on Tuesday to beef up its emergency alert system to the public across social media.

The ministry said in a statement that from June during immediate threats of danger, such as a terror attack, the ministry’s alerts will be given priority broadcast on Twitter, Facebook and Google as well as on French public transport and television.

The statement said that Twitter will give “special visibility” to the ministry’s alerts with a banner.

In a specific agreement, Facebook will also allow the French government to communicate to people directly via the social network’s “safety check” tool, created in 2014. 

The ministry said that this is the first time in Europe that Facebook has allowed public authorities to use this tool in this way.

This announcement comes as a much-derided attack alert app launched in 2016 called SAIP is being withdrawn after malfunctions. 

Companies Look to Space As the Next Frontier

The Trump administration is trying to give private companies a boost in their efforts to capitalize on space as a business venture.

U.S. President Donald Trump Thursday signed a space policy directive aimed at streamlining regulations on commercial use of space.

Trump signed the directive just days after Space X launched another rocket from California carrying satellites into orbit.

WATCH: Trump space policy

The launch and several others planned for June are examples of private industries’ growing interests in space for commercial and scientific research.

“It’s a bit of a renaissance, a bit of a space 2.0. Finally, the commercial sector is starting to come back and do some really interesting things,” said Will Marshall, co-founder and chief executive officer of Planet, a leading provider of geospatial data.

The company has put up approximately 200 satellites that image Earth’s entire land mass each day. Marshall said prior to Planet, satellite imagery was only taken every year or several years. The regular images of Earth can be used in many different industries.

“You can use that data to improve crop yields so farmers can use it to decide when to add fertilizer, when to add water because we can tell crop yield from orbit. Or, it can be used by a commercial consumer mapping companies that are trying to improve their maps you see online, or it could be used by governments for a wide range of things from border security to disaster response,” Marshall said.

Satellites also orbit the planet for purposes of national security.

“We just launched a few months ago a satellite that was just like this, but also had laser communication. We were able to send at 200 megabits per second high data rates down to the ground and the ability for satellites to actually talk to each other. The same satellites that are put up to look at the Earth could be looking around the neighborhood and doing neighborhood watch for the benefit of national security and space situational awareness,” Steve Isakowitz, president and chief executive officer of the Aerospace Corporation, an organization that works with the U.S. Air Force and intelligence community.

Also orbiting Earth is the International Space Station, or ISS, an outpost of great interest to some major companies and research institutions. The ISS National Laboratory and astronauts inside conduct a wide range of experiments that would not be possible on Earth.

“When you remove the gravity vector out of the equation which is what we’re used to here on Earth, we see certain impacts and phenomena associated with that, such as lack of sedimentation, lack of convection, lack of buoyancy,” said Jennifer Lopez, commercial innovation technology lead at the Center for the Advancement of Science in Space, or CASIS, which manages the ISS National Laboratory.

The space station orbits Earth 16 times a day, with exposure to extreme temperatures and radiation, providing a unique environment for experiments.

Some experiments, including those geared to helping people with bone loss and injuries, may benefit life on Earth; however, the findings can also help with future human exploration into deep space. Lopez notes there is research is “looking at bone loss and muscle wasting in a space environment and the effects that a microgravity environment can have on our biological systems.”

“There is so much opportunity right now in space; Mars is one of those opportunities,” said Chad Anderson, chief executive officer of Space Angels, which invests in the space industry.

While NASA works on sending humans to the moon and Mars, the space near Earth and beyond will become busier as businesses explore this final frontier.

Companies Look to Space As the Next Frontier

The Trump administration is trying to give private companies a boost in their efforts to capitalize on space as a business venture.

U.S. President Donald Trump Thursday signed a space policy directive aimed at streamlining regulations on commercial use of space.

Trump signed the directive just days after Space X launched another rocket from California carrying satellites into orbit.

WATCH: Trump space policy

The launch and several others planned for June are examples of private industries’ growing interests in space for commercial and scientific research.

“It’s a bit of a renaissance, a bit of a space 2.0. Finally, the commercial sector is starting to come back and do some really interesting things,” said Will Marshall, co-founder and chief executive officer of Planet, a leading provider of geospatial data.

The company has put up approximately 200 satellites that image Earth’s entire land mass each day. Marshall said prior to Planet, satellite imagery was only taken every year or several years. The regular images of Earth can be used in many different industries.

“You can use that data to improve crop yields so farmers can use it to decide when to add fertilizer, when to add water because we can tell crop yield from orbit. Or, it can be used by a commercial consumer mapping companies that are trying to improve their maps you see online, or it could be used by governments for a wide range of things from border security to disaster response,” Marshall said.

Satellites also orbit the planet for purposes of national security.

“We just launched a few months ago a satellite that was just like this, but also had laser communication. We were able to send at 200 megabits per second high data rates down to the ground and the ability for satellites to actually talk to each other. The same satellites that are put up to look at the Earth could be looking around the neighborhood and doing neighborhood watch for the benefit of national security and space situational awareness,” Steve Isakowitz, president and chief executive officer of the Aerospace Corporation, an organization that works with the U.S. Air Force and intelligence community.

Also orbiting Earth is the International Space Station, or ISS, an outpost of great interest to some major companies and research institutions. The ISS National Laboratory and astronauts inside conduct a wide range of experiments that would not be possible on Earth.

“When you remove the gravity vector out of the equation which is what we’re used to here on Earth, we see certain impacts and phenomena associated with that, such as lack of sedimentation, lack of convection, lack of buoyancy,” said Jennifer Lopez, commercial innovation technology lead at the Center for the Advancement of Science in Space, or CASIS, which manages the ISS National Laboratory.

The space station orbits Earth 16 times a day, with exposure to extreme temperatures and radiation, providing a unique environment for experiments.

Some experiments, including those geared to helping people with bone loss and injuries, may benefit life on Earth; however, the findings can also help with future human exploration into deep space. Lopez notes there is research is “looking at bone loss and muscle wasting in a space environment and the effects that a microgravity environment can have on our biological systems.”

“There is so much opportunity right now in space; Mars is one of those opportunities,” said Chad Anderson, chief executive officer of Space Angels, which invests in the space industry.

While NASA works on sending humans to the moon and Mars, the space near Earth and beyond will become busier as businesses explore this final frontier.

Businesses Looking At Space as the Next Frontier

Space X recently launched another rocket from California carrying satellites into space – accelerating interest by more businesses and research facilities that now view space as an opportunity. At this year’s Milken Institute Global Conference, those in the space business describe why orbiting the Earth is so exciting. VOA’s Elizabeth Lee has details from Los Angeles.

Businesses Looking At Space as the Next Frontier

Space X recently launched another rocket from California carrying satellites into space – accelerating interest by more businesses and research facilities that now view space as an opportunity. At this year’s Milken Institute Global Conference, those in the space business describe why orbiting the Earth is so exciting. VOA’s Elizabeth Lee has details from Los Angeles.

FBI: Foreign Hackers Have Compromised Home Router Devices

The FBI warned on Friday that foreign cybercriminals had compromised “hundreds of thousands” of home and small-office router devices around the world which direct traffic on the internet by forwarding data packets between computer networks.

In a public service announcement, the FBI has discovered that the foreign cybercriminals used a VPNFilter malware that can collect peoples’ information, exploit their devices and block network traffic.

The announcement did not provide any details about where the criminals might be based, or what their motivations could be.

“The size and scope of the infrastructure by VPNFilter malware is significant,” the FBI said, adding that it is capable of rendering people’s routers “inoperable.”

It said the malware is hard to detect, due to encryption and other tactics.

The FBI urged people to reboot their devices to temporarily disrupt the malware and help identify infected devices.

People should also consider disabling remote management settings, changing passwords to replace them with more secure ones, and upgrading to the latest firmware.

FBI: Foreign Hackers Have Compromised Home Router Devices

The FBI warned on Friday that foreign cybercriminals had compromised “hundreds of thousands” of home and small-office router devices around the world which direct traffic on the internet by forwarding data packets between computer networks.

In a public service announcement, the FBI has discovered that the foreign cybercriminals used a VPNFilter malware that can collect peoples’ information, exploit their devices and block network traffic.

The announcement did not provide any details about where the criminals might be based, or what their motivations could be.

“The size and scope of the infrastructure by VPNFilter malware is significant,” the FBI said, adding that it is capable of rendering people’s routers “inoperable.”

It said the malware is hard to detect, due to encryption and other tactics.

The FBI urged people to reboot their devices to temporarily disrupt the malware and help identify infected devices.

People should also consider disabling remote management settings, changing passwords to replace them with more secure ones, and upgrading to the latest firmware.

Amazon’s Alexa Accidentally Tapes, Shares Family Chat With Contact

A Portland, Oregon, family has learned what happens when Amazon.com Inc’s popular voice assistant Alexa is lost in translation.

Amazon on Thursday described an “unlikely … string of events” that made Alexa send an audio recording of the family to one of their contacts randomly. The episode underscored how Alexa can misinterpret conversation as a wake-up call and command.

A local news outlet, KIRO 7, reported that a woman with Amazon devices across her home received a call two weeks ago from her husband’s employee, who said Alexa had recorded the family’s conversation about hardwood floors and sent it to him.

“I felt invaded,” the woman, only identified as Danielle, said in the report. “A total privacy invasion. Immediately I said, ‘I’m never plugging that device in again, because I can’t trust it.'”

Alexa, which comes with Echo speakers and other gadgets, starts recording after it hears its name or another “wake word” selected by users. This means that an utterance quite like Alexa, even from a TV commercial, can activate a device.

That’s what happened in the incident, Amazon said. “Subsequent conversation was heard as a ‘send message’ request,” the company said in a statement. “At which point,

Alexa said out loud ‘To whom?’ At which point, the background conversation was interpreted as a name in the customer’s contact list.”

Amazon added, “We are evaluating options to make this case even less likely.”

Assuring customers of Alexa’s security is crucial to Amazon, which has ambitions for Alexa to be ubiquitous — whether dimming the lights for customers or placing orders for them with the world’s largest online retailer.

University researchers from Berkeley and Georgetown found in a 2016 paper that sounds unintelligible to humans can set off voice assistants in general, which raised concerns of exploitation by attackers. Amazon did not immediately comment on the matter, but it previously told The New York Times that it has taken steps to keep its devices secure.

Millions of Amazon customers have shopped with Alexa. Customers bought tens of millions of Alexa devices last holiday season alone, the company has said. That makes the incident reported Thursday a rare one. But faulty hearing is not.

“Background noise from our television is making it think we said Alexa,” Wedbush Securities analyst Michael Pachter said of his personal experience. “It happens all the time.”

Jury: Samsung Owes Apple $539M for Copying iPhone

A jury has decided Samsung must pay Apple $539 million in damages for illegally copying some of the iPhone’s features to lure people into buying its competing products.

The verdict reached Thursday is the latest twist in a legal battle that began in 2011. Apple contends Samsung wouldn’t have emerged as the world’s leading seller of smartphones if it hadn’t ripped off the technology powering the pioneering iPhone in developing a line of similar devices running on Google’s Android software.

Patents infringed

Previous rulings had determined that Samsung infringed on some of Apple’s patents, but the amount of damages owed has been in legal limbo. Another jury convened for a 2012 trial had determined Samsung should pay Apple $1.05 billion, but U.S. District Judge Lucy Koh reduced that amount to $548 million.

The issue escalated to the U.S. Supreme Court , which determined in 2016 that a lower court needed to re-examine $399 million of the $548 million. That ruling was based on the concept that the damages shouldn’t be based on all the profits that the South Korean electronics giant rung up from products that copied the iPhone because its infringement may only have violated a few patents.

$1 billion or $28 million?

Apple had argued it was owed more than $1 billon while Samsung contended the $399 million should be slashed to $28 million. The revised damages figure represents a victory for Apple, even though it isn’t as much as the Cupertino, California, company had sought.

“Today’s decision flies in the face of a unanimous Supreme Court ruling in favor of Samsung on the scope of design patent damages,” Samsung said in a statement. “We will consider all options to obtain an outcome that does not hinder creativity and fair competition for all companies and consumers.”

An eight-person jury came up with the new amount following a one-week trial and four days of deliberation in a San Jose, California, federal courthouse.

Apple expressed gratitude to the jury for agreeing “that Samsung should pay for copying our products.”

“This case has always been about more than money,” a company statement said. “Apple ignited the smartphone revolution with iPhone and it is a fact that Samsung blatantly copied our design.”

Jury: Samsung Owes Apple $539M for Copying iPhone

A jury has decided Samsung must pay Apple $539 million in damages for illegally copying some of the iPhone’s features to lure people into buying its competing products.

The verdict reached Thursday is the latest twist in a legal battle that began in 2011. Apple contends Samsung wouldn’t have emerged as the world’s leading seller of smartphones if it hadn’t ripped off the technology powering the pioneering iPhone in developing a line of similar devices running on Google’s Android software.

Patents infringed

Previous rulings had determined that Samsung infringed on some of Apple’s patents, but the amount of damages owed has been in legal limbo. Another jury convened for a 2012 trial had determined Samsung should pay Apple $1.05 billion, but U.S. District Judge Lucy Koh reduced that amount to $548 million.

The issue escalated to the U.S. Supreme Court , which determined in 2016 that a lower court needed to re-examine $399 million of the $548 million. That ruling was based on the concept that the damages shouldn’t be based on all the profits that the South Korean electronics giant rung up from products that copied the iPhone because its infringement may only have violated a few patents.

$1 billion or $28 million?

Apple had argued it was owed more than $1 billon while Samsung contended the $399 million should be slashed to $28 million. The revised damages figure represents a victory for Apple, even though it isn’t as much as the Cupertino, California, company had sought.

“Today’s decision flies in the face of a unanimous Supreme Court ruling in favor of Samsung on the scope of design patent damages,” Samsung said in a statement. “We will consider all options to obtain an outcome that does not hinder creativity and fair competition for all companies and consumers.”

An eight-person jury came up with the new amount following a one-week trial and four days of deliberation in a San Jose, California, federal courthouse.

Apple expressed gratitude to the jury for agreeing “that Samsung should pay for copying our products.”

“This case has always been about more than money,” a company statement said. “Apple ignited the smartphone revolution with iPhone and it is a fact that Samsung blatantly copied our design.”

FBI Taps Private Industry to Bring Down Hacker Clearinghouse

When a federal jury in Alexandria, Virginia, convicted a Latvian software developer last week of running an underground clearinghouse for computer hackers, U.S. prosecutors highlighted it as an example of their commitment to combating cybercrime.

“This verdict demonstrates our commitment to holding such actors accountable,” said acting U.S. Attorney Tracey Doherty-McCormick. “I commend the work of the agents and prosecutors both in the United States and in Latvia, who worked together to bring him to justice.”

Not mentioned was the role played by Trend Micro, a Japanese cybersecurity firm that collaborated with the FBI to hunt down the developer, Ruslans Bondars, and an accomplice, Jurijs Martisevs, who jointly operated Scan4You, a site that helped hackers test their malware.

In a report released after the verdict, Trend Micro offered an inside look at how it identified Scan4You in 2012, took a trove of data about the site to the FBI in 2014, and then worked closely with agents as they built a case against the two men.

Trend Micro says it has supported nearly 20 law enforcement cases around the world.

“In this case, our global threat intelligence network and team of researchers provided an invaluable resource for the FBI as it homed in on this notorious [counter antivirus] service,” said Ed Cabrera, chief security officer for Trend Micro.

The case highlights how the FBI and private cybersecurity firms, once wary of working together, have in recent years started teaming up to combat cybercrime, a problem that costs the world an estimated $600 billion a year. 

“The value that the private sector brings to law enforcement investigations is almost incalculable,” said John Boles, a director at consulting firm Navigant who previously worked as an assistant FBI director and led the bureau’s global cyberoperations.

A decade ago “there was almost hesitation on both sides of the fence to cooperate, but somewhere along the line as the scales have tipped, everybody realized it’s a global issue,” Boles said.

In 2011, the FBI created the Office of the Private Sector within the Cyber Division, making private-sector collaboration a key pillar of its cybercrime-fighting strategy.

Since then, the bureau has made more than a dozen major arrests in cybercrime cases, many with help from the private sector, according to Boles. While cybercrime investigations are often initiated by the bureau, some start with a tip from the private sector.

Unusual activity

That was the case with the Scan4You investigation.

In 2012, Trend Micro researchers, while investigating a hacker group, noticed a flurry of unusual activity on their threat radar: Somebody using Latvia IP addresses kept checking the company’s web reputation system, a program that blocks malicious websites.

That led them to another discovery: regular checks of Scan4You URLs against Trend Micro’s web reputation system emanating from Latvia. The goal: to determine whether Scan4You’s scanning scripts could detect malware.

“By 2014, we had a deeper understanding [of Scan4You] and began that relationship with the FBI,” Cabrera said.

The collaboration would continue for the next three years as Trend Micro researchers and FBI agents gathered evidence about Scan4You, its operators and its users.

Scan4You was an underground service that allowed hackers to upload their malware to see whether it could be detected by more than 35 antivirus engines. At its peak in 2016, Scan4You was the largest service of its kind, boasting more than 30,000 customers.

The service allowed cyber scofflaws to test all manner of malicious software, ranging from so-called crypters, a type of software used to conceal malicious files, to remote access trojans, programs that allow a remote operator backdoor access to a computer.

‘World’s most destructive hackers’

Among Scan4You’s customers were “some of the world’s most destructive hackers,” according Doherty-McCormick, the Virginia prosecutor.

One customer used Scan4You to test malware that was later used to steal about 40 million credit card and debit card numbers, costing one U.S. retailer $292 million, according to court documents.

A Russian hacker used Scan4You to develop Citadel, an infamous botnet used by cybercriminals to steal $500 million from bank accounts. The FBI worked with Microsoft to break up the network.

But Scan4You was not a very lucrative operation. As researchers dug deeper, they discovered that Bondars and Martisevs were affiliated with “some of the longest-running cybercriminal businesses” and “involved with one of the largest and oldest pharmaceutical spam gangs known as Eva Pharmacy,” according to Trend Micro.

Bondars, a longtime Latvian resident of Ukrainian citizenship, designed and maintained the site.

Martisevs, a Russian national living in Latvia, provided customer service and promoted the site on cybercriminal forums.

The pair’s deep involvement in an assortment of criminal activities gave them something that helped with their scanning service: cyber-cred.

“These threat actors gained the respect of many other cybercriminals who trusted them and used their malware scanning service,” the report says.

The end for Scan4You came with the 2017 arrests and extradition of Bondars and Martisevs to the United States. Shortly after their arrest, Scan4You went dark.

In March, Martisevs pleaded guilty and agreed to testify against Bondars. Last week, Bondars was convicted of three counts related to his role in Scan4You.

Scan4You’s downfall has taken the biggest service of its kind out of commission, but just how big a blow to cybercrime it represents remains to be seen.

Typically, when a site like Scan4You goes offline, its users flee to copycat sites. That has yet to happen, Cabrera said.

“This is a big blow to cybercrime, helping to disrupt countless threat actors and prove there are consequences to their actions,” he said.

FBI Taps Private Industry to Bring Down Hacker Clearinghouse

When a federal jury in Alexandria, Virginia, convicted a Latvian software developer last week of running an underground clearinghouse for computer hackers, U.S. prosecutors highlighted it as an example of their commitment to combating cybercrime.

“This verdict demonstrates our commitment to holding such actors accountable,” said acting U.S. Attorney Tracey Doherty-McCormick. “I commend the work of the agents and prosecutors both in the United States and in Latvia, who worked together to bring him to justice.”

Not mentioned was the role played by Trend Micro, a Japanese cybersecurity firm that collaborated with the FBI to hunt down the developer, Ruslans Bondars, and an accomplice, Jurijs Martisevs, who jointly operated Scan4You, a site that helped hackers test their malware.

In a report released after the verdict, Trend Micro offered an inside look at how it identified Scan4You in 2012, took a trove of data about the site to the FBI in 2014, and then worked closely with agents as they built a case against the two men.

Trend Micro says it has supported nearly 20 law enforcement cases around the world.

“In this case, our global threat intelligence network and team of researchers provided an invaluable resource for the FBI as it homed in on this notorious [counter antivirus] service,” said Ed Cabrera, chief security officer for Trend Micro.

The case highlights how the FBI and private cybersecurity firms, once wary of working together, have in recent years started teaming up to combat cybercrime, a problem that costs the world an estimated $600 billion a year. 

“The value that the private sector brings to law enforcement investigations is almost incalculable,” said John Boles, a director at consulting firm Navigant who previously worked as an assistant FBI director and led the bureau’s global cyberoperations.

A decade ago “there was almost hesitation on both sides of the fence to cooperate, but somewhere along the line as the scales have tipped, everybody realized it’s a global issue,” Boles said.

In 2011, the FBI created the Office of the Private Sector within the Cyber Division, making private-sector collaboration a key pillar of its cybercrime-fighting strategy.

Since then, the bureau has made more than a dozen major arrests in cybercrime cases, many with help from the private sector, according to Boles. While cybercrime investigations are often initiated by the bureau, some start with a tip from the private sector.

Unusual activity

That was the case with the Scan4You investigation.

In 2012, Trend Micro researchers, while investigating a hacker group, noticed a flurry of unusual activity on their threat radar: Somebody using Latvia IP addresses kept checking the company’s web reputation system, a program that blocks malicious websites.

That led them to another discovery: regular checks of Scan4You URLs against Trend Micro’s web reputation system emanating from Latvia. The goal: to determine whether Scan4You’s scanning scripts could detect malware.

“By 2014, we had a deeper understanding [of Scan4You] and began that relationship with the FBI,” Cabrera said.

The collaboration would continue for the next three years as Trend Micro researchers and FBI agents gathered evidence about Scan4You, its operators and its users.

Scan4You was an underground service that allowed hackers to upload their malware to see whether it could be detected by more than 35 antivirus engines. At its peak in 2016, Scan4You was the largest service of its kind, boasting more than 30,000 customers.

The service allowed cyber scofflaws to test all manner of malicious software, ranging from so-called crypters, a type of software used to conceal malicious files, to remote access trojans, programs that allow a remote operator backdoor access to a computer.

‘World’s most destructive hackers’

Among Scan4You’s customers were “some of the world’s most destructive hackers,” according Doherty-McCormick, the Virginia prosecutor.

One customer used Scan4You to test malware that was later used to steal about 40 million credit card and debit card numbers, costing one U.S. retailer $292 million, according to court documents.

A Russian hacker used Scan4You to develop Citadel, an infamous botnet used by cybercriminals to steal $500 million from bank accounts. The FBI worked with Microsoft to break up the network.

But Scan4You was not a very lucrative operation. As researchers dug deeper, they discovered that Bondars and Martisevs were affiliated with “some of the longest-running cybercriminal businesses” and “involved with one of the largest and oldest pharmaceutical spam gangs known as Eva Pharmacy,” according to Trend Micro.

Bondars, a longtime Latvian resident of Ukrainian citizenship, designed and maintained the site.

Martisevs, a Russian national living in Latvia, provided customer service and promoted the site on cybercriminal forums.

The pair’s deep involvement in an assortment of criminal activities gave them something that helped with their scanning service: cyber-cred.

“These threat actors gained the respect of many other cybercriminals who trusted them and used their malware scanning service,” the report says.

The end for Scan4You came with the 2017 arrests and extradition of Bondars and Martisevs to the United States. Shortly after their arrest, Scan4You went dark.

In March, Martisevs pleaded guilty and agreed to testify against Bondars. Last week, Bondars was convicted of three counts related to his role in Scan4You.

Scan4You’s downfall has taken the biggest service of its kind out of commission, but just how big a blow to cybercrime it represents remains to be seen.

Typically, when a site like Scan4You goes offline, its users flee to copycat sites. That has yet to happen, Cabrera said.

“This is a big blow to cybercrime, helping to disrupt countless threat actors and prove there are consequences to their actions,” he said.

Africa in Spotlight at Paris Tech Fair

French President Emmanuel Macron says his country will invest $76 million in African startups, saying innovation on the continent is key to meeting challenges ranging from climate change to terrorism. He spoke Thursday at a technology fair in Paris showcasing African talent this year.

It is hard to miss the African section of Viva Tech. There are gigantic signs pointing to stands from South Africa, Morocco and Rwanda. And there are lots of African entrepreneurs.

Omar Cisse heads a Senegalese startup called InTouch, which has developed an app making it easier to conduct financial transactions by mobile phone.

“Globally, you have more than $1 billion per day of transactions on mobile money, and more than 50 percent are done in sub-Saharan Africa,” he said.

Cisse says the challenges for African startups are tremendous, but so are the opportunities.

“In Africa, you have very huge potential. Everything needs to be done now, and with local people who know the realities,” he said.

Like Cisse, Cameroonian engineer Alain Nteff is breaking new ground. He and a doctor co-founded a startup called Gifted Mom, which provides health information to pregnant and nursing women via text messaging.

“I think the biggest problems today in Africa are going to be solved by business, and not by development and nonprofits,” he said.

Nteff gets some support from the United Nations and other big donors. But funding is a challenge for many. African startups reportedly raised $560 million last year, compared with more than $22 billion raised by European ventures.

Now they are getting a $76 million windfall, announced by President Emmanuel Macron here at the tech fair.

“When the startups decide to work together to deploy ad accelerate equipment in Africa, it is good for the whole continent, because that is how to accelerate everything and provide opportunities — which by the way, is the best way to fight against terrorism, jihadism … to provide another model to these young people,” he said.

The funding comes from the Digital Africa Initiative, run by France’s AFD development agency (Agence Francaise de Developpement).

“I think the main challenge is access to funding, and the second is the coaching to grow. AFD wants them to find solutions,” said Jean-Marc Kadjo, who heads the project team.

There are plenty of exciting projects here. Reine Imanishimwe is a wood innovator from Rwanda.

“I try to use my wood in high technology. As you can see, my business card is wood, but I print it using a computer,” said Imanishimwe.

Abdou Salam Nizeyimana is also from Rwanda. He works for Zipline, an American startup that uses drones to fly blood to people and hospitals in Rwanda, cutting delivery times from hours to minutes.

“Now doctors can plan surgery right away and just say, ‘We need this type of blood,’ ” and it can be delivered in about a half hour or less, he said.

Rwandan President Paul Kagame toured the tech fair with Macron. Relations between Rwanda and France are warming, after years of tension over Rwanda’s 1994 genocide.

Entrepreneur Nizeyimana is happy about that. When politics are good, he says, it is good for technology transfer and Africa’s development.