The Courts

Europe's Top Court Rules For Intel To End Long-Running Antitrust Case (reuters.com) 11

The EU Court of Justice ruled in favor of Intel, dismissing the European Commission's appeal and ending a nearly two-decade-long case over allegations that Intel's rebates to computer makers were anticompetitive. Reuters reports: The European Commission had fined Intel for giving rebates to computer makers Dell, Hewlett-Packard and Lenovo for buying most of their chips from Intel, which regulators said was an attempt to block Advanced Micro Devices. Regulators generally oppose rebates offered by dominant companies because they fear they may be anticompetitive, while companies say enforcers must prove discounts have anticompetitive effects before companies are sanctioned.

EU regulators had initially fined Intel 1.06 billion euros ($1.14 billion) but a lower tribunal scrapped that. Intel's case was boosted earlier this year when an adviser to the court said regulators had not properly performed an economic analysis.

Businesses

Cable Companies Ask 5th Circuit To Block FTC's Click-to-Cancel Rule (arstechnica.com) 55

Cable companies, advertising firms, and newspapers are asking courts to block a federal "click-to-cancel" rule that would force businesses to make it easier for consumers to cancel services. From a report: Lawsuits were filed yesterday, about a week after the Federal Trade Commission approved a rule that "requires sellers to provide consumers with simple cancellation mechanisms to immediately halt all recurring charges."

Cable lobby group NCTA-The Internet & Television Association and the Interactive Advertising Bureau trade group sued the FTC in the conservative US Court of Appeals for the 5th Circuit. The lawsuit claims the 5th Circuit is a proper venue because a third plaintiff, the Electronic Security Association, has its principal offices in Dallas. That group represents security companies such as ADT.

Earth

Pollution-Free Environment a 'Fundamental Right', India's Top Court Says (msn.com) 30

Living in a pollution-free environment is a fundamental right, India's Supreme Court said on Wednesday as it urged authorities to address deteriorating air quality in the north of the country. From a report: India's capital Delhi recorded a "very poor" air quality index of 364 on Wednesday, according to the Central Pollution Control Board, which considers readings below 50 to be good. Swiss group IQAir rated Delhi the world's most polluted city in its live rankings. The city battles toxic air every winter and authorities say much of the smoke comes from farmers illegally burning paddy stubble to clear their fields in the neighbouring breadbasket states of Punjab and Haryana. The Supreme Court pulled up the governments of both states for taking "selective action" against stubble burning, saying penal provisions were not being properly implemented.
The Courts

UK-Based Dissident Can Sue Saudi Arabia For Alleged Spyware, Court Rules (reuters.com) 44

A judge has allowed Saudi dissident Yahya Assiri to sue the kingdom for allegedly targeting his devices with Pegasus spyware and other Israeli-made surveillance tools. Reuters reports: Yahya Assiri, a founder of the opposition National Assembly Party (NAAS) who lives in exile in Britain, alleges his electronic devices were targeted with surveillance software between 2018 and 2020. He is suing Saudi Arabia at London's High Court, saying the country used Pegasus - made by Israeli company NSO Group and sold only to nation states - and other spyware made by lesser-known Israeli firm QuaDream because of his work with dissidents.

Earlier this month, Roger Eastman, a judge in the High Court, gave Assiri permission to serve his lawsuit on the Saudi government, a step that required the court to find Assiri has an arguable case. The decision announced on Monday to allow the case to be served on Saudi Arabia in Riyadh was made on Oct. 11. Assiri said in a statement: "I am fully aware that the authorities will want to target me. However, it is outrageous for them also to target individuals such as the victims of rights abuses and their families in Saudi Arabia simply because these people have been in contact with me."

Privacy

Lawsuit Argues Warrantless Use of Flock Surveillance Cameras Is Unconstitutional (404media.co) 59

A civil liberties group has filed a lawsuit in Virginia arguing that the widespread use of Flock's automated license plate readers violates the Fourth Amendment's protections against warrantless searches. 404 Media reports: "The City of Norfolk, Virginia, has installed a network of cameras that make it functionally impossible for people to drive anywhere without having their movements tracked, photographed, and stored in an AI-assisted database that enables the warrantless surveillance of their every move. This civil rights lawsuit seeks to end this dragnet surveillance program," the lawsuit notes (PDF). "In Norfolk, no one can escape the government's 172 unblinking eyes," it continues, referring to the 172 Flock cameras currently operational in Norfolk. The Fourth Amendment protects against unreasonable searches and seizures and has been ruled in many cases to protect against warrantless government surveillance, and the lawsuit specifically says Norfolk's installation violates that. [...]

The lawsuit in Norfolk is being filed by the Institute for Justice, a civil liberties organization that has filed a series of privacy and government overreach lawsuits over the last few years. Two Virginia residents, Lee Schmidt and Crystal Arrington, are listed as plaintiffs in the case. Schmidt is a Navy veteran who alleges in the lawsuit that the cops can easily infer where he is going based on Flock data. "Just outside his neighborhood, there are four Flock Cameras. Lee drives by these cameras (and others he sees around town) nearly every day, and the Norfolk Police Department [NPD] can use the information they record to build a picture of his daily habits and routines," the lawsuit reads. "If the Flock Cameras record Lee going straight through the intersection outside his neighborhood, for example, the NPD can infer that he is going to his daughter's school. If the cameras capture him turning right, the NPD can infer that he is going to the shooting range. If the cameras capture him turning left, the NPD can infer that he is going to the grocery store. The Flock Cameras capture the start of nearly every trip Lee makes in his car, so he effectively cannot leave his neighborhood without the NPD knowing about it." Arrington is a healthcare worker who makes home visits to clients in Norfolk. The lawsuit alleges that it would be trivial for the government to identify her clients.
"Fourth Amendment case law overwhelmingly shows that license plate readers do not constitute a warrantless search because they take photos of cars in public and cannot continuously track the movements of any individual," a Flock spokesperson said. "Appellate and federal district courts in at least fourteen states have upheld the use of evidence from license plate readers as Constitutional without requiring a warrant, as well as the 9th and 11th circuits. Since the Bell case, four judges in Virginia have ruled the opposite way -- that ALPR evidence is admissible in court without a warrant."
AI

More Than 10,500 Artists Unite in Fight Against AI Companies' 'Unjust' Use of Creative Works (aitrainingstatement.org) 64

More than 10,500 artists and creators -- including ABBA's Bjorn Ulvaeus, actress Julianne Moore, actors Kevin Bacon and F. Murray Abraham, as well as former Saturday Night Live star Kate McKinnon, author James Patterson and Radiohead's Thom Yorke -- signed a statement condemning AI companies' unauthorized use of creative works for training their models. The initiative, led by former AI executive Ed Newton-Rex, demands an end to unlicensed training data collection amid mounting legal challenges against tech firms. "The unlicensed use of creative works for training generative AI is a major, unjust threat to the livelihoods of the people behind those works, and must not be permitted," reads the statement.

The protest comes as major artists and publishers battle AI developers in court. Authors John Grisham and George R.R. Martin are suing OpenAI, while record labels Universal, Sony and Warner have filed lawsuits against AI music creators Suno and Udio. The signatories reject proposed "opt-out" schemes for content scraping, calling instead for explicit creator consent.
Sci-Fi

'Blade Runner 2049' Producer Sues Tesla, Warner Bros. Discovery (hollywoodreporter.com) 78

An anonymous reader quotes a report from the Hollywood Reporter: A production company for Blade Runner 2049 has sued (PDF) Tesla, which allegedly fed images from the movie into an artificial intelligence image generator to create unlicensed promotional materials. Alcon Entertainment, in a lawsuit filed Monday in California federal court, accuses Elon Musk and his autonomous vehicle company of misappropriating the movie's brand to promote its robotaxi at a glitzy unveiling earlier this month. The producer says it doesn't want Blade Runner 2049 to be affiliated with Musk because of his "extreme political and social views," pointing to ongoing efforts with potential partners for an upcoming TV series.

The complaint, which brings claims for copyright infringement and false endorsement, also names Warner Bros. Discovery for allegedly facilitating the partnership. "Any prudent brand considering any Tesla partnership has to take Musk's massively amplified, highly politicized, capricious and arbitrary behavior, which sometimes veers into hate speech, into account," states the complaint. "Alcon did not want BR2049 to be affiliated with Musk." [...] The lawsuit cites an agreement, the details of which are unknown to Alcon, for Warners to lease or license studio lot space, access and other materials to Tesla for the event. Alcon alleges that the deal included promotional elements allowing Tesla to affiliate its products with WBD movies. WBD was Alcon's domestic distributor for the 2017 release of Blade Runner 2049. It has limited clip licensing rights, though not for Tesla's livestream TV event, the lawsuit claims.

Alcon says it wasn't informed about the brand deal until the day of the unveiling. According to the complaint, Musk communicated to WBD that he wanted to associate the robotaxi with the film. He asked the company for permission to use a still directly from the movie, which prompted an employee to send an emergency request for clearance to Alcon since international rights would be involved, the lawsuit says. The producer refused, spurring the creation of the AI images. [...] Alcon seeks unspecified damages, as well as a court order barring Tesla from further distributing the disputed promotional materials.
Musk referenced Denis Villeneuve's Blade Runner movie during the robotaxi event. "You know, I love Blade Runner, but I don't know if we want that future," he said. "I believe we want that duster he's wearing, but not the, uh, not the bleak apocalypse."

I, Robot director Alex Proyas also took to X last week, writing: "Hey Elon, Can I have my designs back please?"
The Courts

Dow Jones and New York Post Sue AI Startup Perplexity, Alleging 'Massive' Copyright Infringement (variety.com) 12

News Corp's Dow Jones & Co., publisher of the Wall Street Journal, and the New York Post have sued Perplexity, a startup that calls itself an "AI-powered Swiss Army Knife for information discovery and curiosity," alleging copyright infringement. From a report: "Perplexity is a generative artificial intelligence company that claims to provide its users accurate and up-to-date news and information in a platform that, in Perplexity's own words, allows users to 'Skip the Links' to original publishers' websites," the companies said in the federal lawsuit, filed Monday. "Perplexity attempts to accomplish this by engaging in a massive amount of illegal copying of publishers' copyrighted works and diverting customers and critical revenues away from those copyright holders. This suit is brought by news publishers who seek redress for Perplexity's brazen scheme to compete for readers while simultaneously freeriding on the valuable content the publishers produce."
United States

New US Student Loan Forgiveness Brings Total to $175 Billion for 5 Million People (cnn.com) 196

"Biden forgives more student loans," read Thursday's headline at CNBC.

While this time it was $4.5 billion in student debt for over 60,000 public service workers, "The Biden-Harris Administration has approved $175 billion in student debt relief for nearly 5 million borrowers through various actions," according to an announcement from the White House on Thursday. (So the average amount received by each of the 5 million students is $35,000.) CNN calculates this eliminates roughly 11% of all outstanding U.S. federal student loan debt.

This latest round of forgiveness fixed a loophole in a bipartisan program (passed during the Bush administration in 2007) called Public Service Loan Forgiveness: "For too long, the government failed to live up to its commitments, and only 7,000 people had ever received forgiveness under Public Service Loan Forgiveness before Vice President (Kamala) Harris and I took office," Biden said in a statement. "We vowed to fix that," he added... Thursday's announcement impacts about 60,000 borrowers who are now approved for approximately $4.5 billion in student debt relief under PSLF.
CNN points out the total $175 billion in forgiven student debt is more than under any other president — though it's still "less than half of the $430 billion that would've been canceled under the president's one-time forgiveness plan, which was struck down by the Supreme Court last year." The Biden administration has made it easier for about 572,000 permanently disabled borrowers to receive the debt relief to which they are entitled. It also has granted student loan forgiveness to more than 1.6 million borrowers who were defrauded by their college... The Biden administration is conducting a one-time recount of borrowers' past payments and making adjustments if they had been counted incorrectly, bringing many people closer to debt relief.
Government

FTC Probing John Deere Over Customers' 'Right To Repair' Equipment (reuters.com) 24

The U.S. Federal Trade Commission is investigating farm equipment maker Deere over its repair policies, focusing on whether the company's restrictions on repairs violate customers' "right to repair." Reuters reports: The investigation, authorized on Sept. 2, 2021, focuses on repair restrictions manufacturers place on hardware or software, often referred to by regulators as impeding customers' "right to repair" the goods they purchase. The probe was made public through a filing by data analytics company Hargrove & Associates Inc, which sought to quash an FTC subpoena seeking market data submitted to it by members of the Association of Equipment Manufacturers. Neither HAI nor AEM is a target of the FTC probe [...].

The FTC is probing whether Deere violated the Federal Trade Act's section 5, according to the filing. The law prohibits unfair or deceptive practices affecting commerce, and the FTC has recently used it in a broad array of cases, including against Amazon and pharmacy benefit managers.

IT

WP Engine Asks Court To Stop Matt Mullenweg From Blocking Access To WordPress Resources 50

WP Engine has filed a motion for a preliminary injunction against Automattic and its CEO Matt Mullenweg, seeking to halt their public campaign and regain access to WordPress resources. The hosting platform claims it's suffering "immediate irreparable harm," including a 14% spike in cancellation requests following Mullenweg's criticism.

WP Engine alleges the dispute has created anxiety among developers and increased security risks for the WordPress community. The legal action comes after Automattic accused WP Engine of trademark infringement, leading to exchanged cease-and-desist orders and a lawsuit. Last week, the WordPress.org project, led by Mullenweg, took control of WP Engine's Advanced Custom Fields plugin, redirecting users to a forked version.
Republicans

Trump Says Tim Cook Called Him To Complain About the EU (theverge.com) 278

An anonymous reader quotes a report from The Verge: Donald Trump said Apple CEO Tim Cook called him to discuss the billions of dollars that Apple has been fined in the European Union. Trump made the statement during his appearance on the PBD Podcast -- and said that he won't let the EU "take advantage" of US companies like Apple if reelected. "Two hours ago, three hours ago, he [Cook] called me," Trump said. "He said the European Union has just fined us $15 billion... Then on top of that, they got fined by the European Union another $2 billion." In March, the EU fined Apple around $2 billion after finding that Apple used its dominance to restrict music streaming apps from telling customers about cheaper subscription deals outside the App Store. The EU later won its fight to make Apple pay $14.4 billion in unpaid taxes.

"He [Cook] said something that was interesting," Trump said. "He said they're using that to run their enterprise, meaning Europe is their enterprise. "I said, 'That's a lot... But Tim, I got to get elected first, but I'm not going to let them take advantage of our companies -- that won't, you know, be happening.'"
Trump has talked to several Big Tech executives over the past several months. "During an interview this week, Trump said he spoke with Google CEO Sundar Pichai to complain about all the 'bad stories' the search engine shows about him," notes The Verge. "Elon Musk recently spoke at a Trump rally in Pennsylvania, while Meta CEO Mark Zuckerberg called Trump over the summer 'a few times,' according to the former president."
Education

Parents Take School To Court After Student Punished For Using AI 81

The parents of a Massachusetts student are suing his school after he was penalized for using AI in a Social Studies project, claiming it was for research purposes only. The student received a detention and a lower grade, which his parents argue could harm his college prospects. The school is defending its AI policy and fighting to dismiss the case. The Register reports: "The Plaintiff Student will suffer irreparable harm that far outweighs any harm that may befall the Defendants," their filing reads [PDF]. "He is applying to elite colleges and universities given his high level of academic and personal achievement. Early decision and early action applications in a highly competitive admissions process are imminent and start in earnest on October 1, 2024. Absent the grant of an injunction by this Court, the Student will suffer irreparable harm that is imminent."

The school, however, is fighting back with a motion to dismiss [PDF] the case. The school argues that RNH, along with his classmates, was given a copy of the student handbook in the Fall of last year, which specifically called out the use of AI by students. The class was also shown a presentation about the school's policy. Students should "not use AI tools during in-class examinations, processed writing assignments, homework or classwork unless explicitly permitted and instructed," the policy states. "RNH unequivocally used another author's language and thoughts, be it a digital and artificial author, without express permission to do so," the school argues. "Furthermore, he did not cite to his use of AI in his notes, scripts or in the project he submitted. Importantly, RNH's peers were not allowed to cut corners by using AI to craft their projects; thus, RNH acted 'unfairly in order to gain an advantage.'"
Movies

Tinkerers Are Taking Old Redbox Kiosks Home and Reverse Engineering Them (404media.co) 39

An anonymous reader quotes a report from 404 Media: The code that runs Redbox DVD rental machines has been dumped online, and, in the wake of the company's bankruptcy, a community of tinkerers and reverse engineers are probing the operating system to learn how it works. Naturally, one of the first things people did was make one of the machines run Doom. As has been detailed in several great articles elsewhere, the end of Redbox has been a clusterfuck, with pharmacies, grocery stores, and other retailers stuck with very large, heavy, abandoned DVD rental kiosks. To many people's surprise, many of the kiosks remain operational even with the bankruptcy of Redbox's parent company, which has led some people to "liberate" DVDs from the abandoned kiosks. Reddit is full of posts by people who say they have taken dozens of DVDs from kiosks all over the country. Free DVDs is one thing. But in recent days, people have realized that they can, in some cases, get free Redbox kiosks. In an August filing, Walgreens told the bankruptcy court that it has 5,400 abandoned kiosks at its stores, and that it is spending $184,000 a month keeping them powered. "Walgreens should not be required to continue to 'store' and power Redbox kiosks across the country without any form of payment," the company wrote. And so tinkerers and reverse engineers have begun asking stores whether they can take the devices off their hands. There are also posts on Reddit by contractors who are selling them, and I was able to find various Redbox DVD kiosks being advertised for sale on Facebook Marketplace. (There are far more listings on Facebook Marketplace from people who have obtained hundreds or thousands of Redbox DVDs and are now selling them.)

Recently the operating system for Redbox kiosks was dumped online, and this community is now probing it to see how it works. In a thread on Mastodon, reverse engineer Foone Turing has been posting some of her findings, which include the fact that Redbox machines contain a file that has "a complete list of titles ever rented, and the email addresses of the people who rented them, and where and when." She also found that the first six and last four digits of credit card information was logged. She said that the records on the particular unit that she was looking at contained 2,471 different transactions and had records on it dating back to 2015. Other reverse engineers have found that Redbox kiosks contained information about the physical locations of every other kiosk. The server that they communicated with is currently offline (because the company is bankrupt). But people have also been putting together information about what different error codes in the software mean (for example, the error code "0020BDT" would happen when an obstruction was detected in the machine). They have also found and dumped service manuals for different parts of the device and have found a few login passwords (one password is "US#1Choice4movierentals"). [...] There has also been discussion about how the machines could be modified to talk to a new server, or whether the operating system could be put on a DIY Redbox device. Another person installed Minecraft on their Redbox. It is still very early days, but, with the bankruptcy of Redbox's parent company, ironically these devices are being given new life.

Bitcoin

Man Sues Town for $647 Million Over Trashed Bitcoin Hard Drive (vice.com) 167

smooth wombat writes: In 2013, James Howell's partner inadvertently threw out a hard drive along with other trash. Unknown to this person, this hard drive contained approximately 8,000 bitcoins. For the past decade Howell has been petitioning the town council of Newport to excavate the landfill in the hope of recovering the drive which would now hold approximately $647 million worth of cryptocurrency. Now he is suing the council in an attempt to force them to let him excavate.

Should the hard drive be recovered, Howells thinks there is an 80 percent chance that the coins on it would be retrievable. If it all works out, he has offered the council 10% of the recovered Bitcoin: $65 million worth. But, citing environmental concerns, the council has rejected his proposal to dig through over a decade's worth of garbage. The council issued a report wherein a spokesperson said, "The council has told Mr. Howells multiple times that excavation is not possible under our environmental permit and that work of that nature would have a huge negative environmental impact on the surrounding area. The council is the only body authorized to carry out operations on the site."

The Courts

Discord Disputes DMCA Subpoena, Rejects Role As 'Anti-Piracy' Partner (torrentfreak.com) 23

An anonymous reader quotes a report from TorrentFreak: Korean game publisher Nexon is using the U.S. legal system to address online copyright infringement. The company obtained a DMCA subpoena that requires Discord to hand over the personal details of suspected pirates. While Discord has shared information in the past, it doesn't plan to cooperate any longer, refusing to play the role of 'anti-piracy police'. [...] The messaging platform wrote that it is prepared to file a motion to quash the subpoena, if needed. It further urged Nexon to withdraw their demands, and cease sending any similar 'defective' subpoenas going forward. To support its stance, Discord made a list of twenty-two general objections and reservations. Among other things, the company wants to protect user privacy and their first amendment right to anonymous speech.

"Discord objects to the Requests as infringing its users' decisions to remain anonymous, an aspect of their freedom of speech protected by the First Amendment. The Requests improperly seek to unmask anonymous speakers and consequently compel disclosure of material protected by the First Amendment," it reads. This strongly-worded letter didn't have the desired result, however. Instead of backing off, Nexon doubled down, filing a motion to compel (PDF) at a Texas federal court late last week. The game company refutes Discord's objections and asks the court to enter an order requiring Discord to produce the requested user data. Nexon says that it needs this information to protect its copyrights. "Discord's failure to cooperate discovery has impeded Nexon's ability to discover relevant, non-privileged information that will support its potential claims against the users who have provided access to the infringing material," Nexon writes. While the court has yet to rule on the matter, Discord is expected to file a formal motion to quash the subpoena in response, as indicated in its earlier communications.

Businesses

Why OpenAI Is at War With an Obscure Idea Man (bloomberg.com) 35

In a David vs. Goliath legal battle, AI powerhouse OpenAI is squaring off against a little-known entrepreneur who claims he conceived the company's name and mission months before its star-studded launch. Guy Ravine, a self-taught programmer with a history of near-misses in tech, registered the domain open.ai in March 2015. He envisioned a collaborative platform to develop artificial general intelligence (AGI) for the benefit of humanity. By year's end, Ravine had pitched his "Open AI" concept to industry luminaries and filed for a trademark. Then, in December 2015, Sam Altman and Greg Brockman announced the creation of OpenAI, backed by a promised billion dollars from Elon Musk and others.

The similarity was uncanny -- a non-profit aimed at developing AGI for the public good. "What the f---?" Ravine recalls thinking. He claims his idea was stolen, while OpenAI dismisses him as an opportunistic "troll" and a "fraud." The ensuing legal battle has consumed Ravine's life, Bloomberg Businessweek covers in great detail, and has raised thorny questions about idea ownership in Silicon Valley. It also casts a shadow over OpenAI's origin story as the company, now valued at $157 billion, shifts from its non-profit roots to a for-profit juggernaut. "It's humanity's asset," Ravine insists. "It's not his [Altman's] asset." For now, a judge has barred Ravine from using "Open AI" while the suit proceeds, but the inventor has vowed to fight on against what he calls "the most feared law firm in the world." An amusing excerpt from the story: But Ravine had poked the bear, and as he packed up his house on Aug. 11, 2023, he opened an email from a lawyer at the firm Quinn Emanuel Urquhart & Sullivan LLP, informing him that OpenAI was suing him in federal court over the domain and trademark. "I'm like, what the f---?" Ravine recalls. Altman, he says, "could have had it for free" -- or at least for the cost of a donation. "Instead, he decided to donate millions of dollars to literally the most feared law firm in the world, to sue me."

Again and again in our conversations, he returns to that phrase: "the most feared law firm in the world." Finally, I ask him how he knows this. He turns his laptop toward me and pulls up the email. The signature reads "Quinn Emanuel Urquhart & Sullivan LLP: Most Feared Law Firm in the World."

Crime

Murder Trial Begins For US Tech Consultant Accused In Death of Cash App Founder (www.cbc.ca) 26

An anonymous reader quotes a report from CBC News: The murder trial of a tech consultant in the stabbing death of Cash App founder Bob Lee begins Monday, a year and a half after the widely admired entrepreneur was found staggering on a deserted downtown San Francisco street seeking help. Lee's death at age 43 stunned the tech community, and fellow executives and engineers penned tributes to his generosity and brilliance. Lee was chief product officer of cryptocurrency platform MobileCoin when he died. He was a father to two children.

Prosecutors say Nima Momeni, 40, planned the April 4 attack after a dispute over his younger sister, Khazar, with whom Lee was friends. They say Momeni took a knife from his sister's condo, drove Lee to a secluded area and stabbed him three times, then fled. Defence lawyers disagree, and they say that Lee, high on drugs, attacked Momeni. "Our theory is that Bob had the knife, and that Nima acted in self defence," attorney Saam Zangeneh said.

He said his client is eager to tell his side of the story, but they haven't decided whether Momeni will testify in his defence. Momeni, who lives in nearby Emeryville, Calif., has been in custody since his arrest days after Lee died at a San Francisco hospital. Momeni's mother has been a steadfast presence at court hearings, and he is close to his sister. [...] Momeni, who has pleaded not guilty, faces 26 years to life if convicted. San Francisco Superior Court Judge Alexandra Gordon has told jurors the trial could last until mid-December.

Security

National Public Data, the Hacked Data Broker That Lost Millions of Social Security Numbers and More, Files For Bankruptcy (techcrunch.com) 28

An anonymous reader shares a report: A Florida data broker that lost hundreds of millions of Social Security numbers and other personally identifiable information in a data breach earlier this year, has filed for Chapter 11 bankruptcy protection as the company faces a wave of litigation.

Jericho Pictures, the parent company of the hacked data broker National Public Data, told a Florida bankruptcy court that it was unlikely to be able to repay its debtors or address its anticipated liabilities and class-action lawsuits, including paying "for credit monitoring for hundreds of millions of potentially impacted individuals." In its initial filing, Jericho Pictures' owner, Salvatore Verini, said the company "faces substantial uncertainty facing regulatory challenges by the Federal Trade Commission and more than 20 states with civil penalties for data breaches."

The Military

Mystery Drones Swarmed a US Military Base for 17 Days. Investigators are Stumped (msn.com) 133

The Wall Street Journal reports on a "suspicious fleet of unidentified aircraft... as many as a dozen or more" that appeared in Virginia 10 months ago "over an area that includes the home base for the Navy's SEAL Team Six and Naval Station Norfolk, the world's largest naval port." The article notes this was just 10 months after the U.S. shot down a Chinese spy balloon...

After watching the drones — some "roughly 20 feet long and flying at more than 100 miles an hour" — there were weeks of meetings where "Officials from agencies including the Defense Department, Federal Bureau of Investigation and the Pentagon's UFO office joined outside experts to throw out possible explanations as well as ideas about how to respond..." Federal law prohibits the military from shooting down drones near military bases in the U.S. unless they pose an imminent threat. Aerial snooping doesn't qualify, though some lawmakers hope to give the military greater leeway...

Drone incursions into restricted airspace was already worrying national-security officials. Two months earlier, in October 2023, five drones flew over a government site used for nuclear-weapons experiments. The Energy Department's Nevada Nuclear Security Site outside Las Vegas detected four of the drones over three days. Employees spotted a fifth. U.S. officials said they didn't know who operated the drones in Nevada, a previously unreported incursion, or for what reason. A spokeswoman said the facility has since upgraded a system to detect and counter drones...

Over 17 days, the [Virginia] drones arrived at dusk, flew off and circled back... They also were nearly impossible to track, vanishing each night despite a wealth of resources deployed to catch them. Gen. Glen VanHerck, at the time commander of the U.S. Northern Command and the North American Aerospace Defense Command, said drones had for years been spotted flying around defense installations. But the nightly drone swarms over Langley [Air Force base], he said, were unlike any past incursion...

Analysts learned that the smaller quadcopters didn't use the usual frequency band available for off-the-shelf commercial drones — more evidence that the drone operators weren't hobbyists.

"Langley officials canceled nighttime training missions, worried about potential collisions with the drone swarm, and moved the F-22 jet fighters to another base... On December 23, the drones made their last visit."

But toward the end of the article, it notes that "In January, authorities found a clue they hoped would crack the case." It was a student at the University of Minnesota named Fengyun Shi — who was reported flying a drone on a rainy morning near a Virginia shipyard that builds nuclear submarines and aircraft carriers. Their drone got stuck in a tree, and ended up with federal investigators who found "Shi had photographed Navy vessels in dry dock, including shots taken around midnight. Some were under construction at the nearby shipyard." On Jan. 18, federal agents arrested Shi as he was about to board a flight to China on a one-way ticket. Shi told FBI agents he was a ship enthusiast and hadn't realized his drone crossed into restricted airspace. Investigators weren't convinced. but found no evidence linking him to the Chinese government. They learned he had bought the drone on sale at a Costco in San Francisco the day before he traveled to Norfolk. U.S. prosecutors charged Shi with unlawfully taking photos of classified naval installations, the first case involving a drone under a provision of U.S. espionage law. The 26-year-old Chinese national pleaded guilty and appeared in federal court in Norfolk on Oct. 2 for sentencing. Magistrate Judge Lawrence Leonard said he didn't believe Shi's story — that he had been on vacation and was flying drones in the middle of the night for fun. "There's significant holes," the judge said in court.

"If he was a foreign agent, he would be the worst spy ever known," said Shi's attorney, Shaoming Cheng. "I'm sorry about what happened in Norfolk," Shi said before he was sentenced to six months in federal prison.

But "U.S. officials have yet to determine who flew the Langley drones or why..."

"U.S. officials confirmed this month that more unidentified drone swarms were spotted in recent months near Edwards Air Force Base, north of Los Angeles."

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