Amazon faces a class-action lawsuit accusing the company of false advertising and deceptive practices because Prime Video now serves commercials by default. Variety reports: "For years, people purchased and renewed their Amazon Prime subscriptions believing that they would include ad-free streaming," the lawsuit says. "But last month, Amazon changed the deal. To stream movies and TV shows without ads, Amazon customers must now pay an additional $2.99 per month ... This is not fair, because these subscribers already paid for the ad-free version; these subscribers should not have to pay an additional $2.99/month for something that they already paid for."

The case was filed on behalf of Wilbert Napoleon, a resident of Eastvale, Calif., who says he's a Prime member. "Plaintiff brings this case for himself and for other Amazon Prime customers," the suit said. The complain alleged that Amazon violates Washington State and California state consumer protection laws that prohibit unfair competition and deceptive business acts and practices. Amazon's conduct, as alleged, "was immoral, unethical, oppressive, unscrupulous and substantially injurious to consumers,â according to the lawsuit. The suit seeks unspecific monetary damages, including punitive damages, as well as an injunction to block Amazon's alleged deceptive conduct.

The suit was filed Feb. 9, after Amazon starting on Jan. 29 began running ads in Prime Video content in major markets including the United States unless users opt to pay extra ($2.99/month in the U.S.) to have an ad-free experience. Some analysts have forecast Prime Video ads generating more than $3 billion in revenue in 2024.

The Chromium team is prototyping Web Monetization to allow websites to automatically receive micro payments from visitors for their content, bypassing traditional ad or subscription models. The Register reports: Earlier this month, Alexander Surkov, a software engineer at open source consultancy Igalia, announced the Chromium team's intent to prototype Web Monetization, an incubating community specification that would let websites automatically receive payments from online visitors, as opposed to advertisers, via a web browser and a designated payment service.

"Web monetization is a web technology that enables website owners to receive micro payments from users as they interact with their content," Surkov wrote in an explanatory document published last summer. "It provides a way for content creators and website owners to be compensated for their work without relying solely on ads or subscriptions. Notably, Web Monetization (WM) offers two unique features -- small payments and no user interaction -- that address several important scenarios currently unmet on the web."

"Open Payments API is an open HTTP-based standard created to facilitate micro transactions on the web," wrote Surkov. "It is implemented by a wallet and enables the transfer of funds between two wallets. It leverages fine-grained access grants, based on GNAP (Grant Negotiation and Authorization Protocol), which gives wallet owners precise control over the permissions granted to applications connected to their wallet." The basic idea is web users will get a digital wallet, provided by Gatehub and Fynbos presently, and web publishers will add a link tag to their site's block formatted like so: . Thereafter, site visitors who have linked their digital wallet to their browser will pay out funds to the requesting publisher, subject to the browser's permissions policy.

OpenAI must face a claim that it violated California unfair competition law by using copyrighted books from comedian Sarah Silverman and other authors to train ChatGPT without permission. From a report: But US District Judge Araceli Martinez-Olguin on Monday also dismissed a number of Silverman and her coplaintiffs' other legal claims, including allegations of vicarious copyright infringement, violations of the Digital Millennium Copyright Act, negligence, and unjust enrichment. The judge gave the authors the opportunity to amend their proposed class action by March 13 to fix the defects in the complaint.

The core of the lawsuit remains alive, as OpenAI's motion to dismiss, filed last summer, didn't address Silverman's claim of direct copyright infringement for copying millions of books across the internet without permission. Courts haven't yet determined whether using copyrighted work to train AI models falls under copyright law's fair use doctrine, shielding the companies from liability. Although Martinez-Olguin allowed the unfair competition claim to advance, she said the claim could be preempted by the federal Copyright Act, which prohibits state law claims that allege the same violation as a copyright claim.

FTC chair Lina Khan is hunting for evidence that Microsoft, Google and Amazon require cloud computing spend, board seats or exclusivity deals in return for their investments in AI startups. From a report: At a Friday event, Khan framed today's AI landscape as an inflection point for tech that is "enormously important for opening up markets and injecting competition and disrupting existing incumbents." The FTC chair offered Axios' Sara Fischer new details of how she's handling a market inquiry into the relationship between Big Tech companies and AI startups, in an interview at the Digital Content Next Summit in Charleston, S.C.

In handling the surge in AI innovation and its impacts on the broader tech and media landscape, Khan said she aims to tackle monopoly "before it becomes fully fledged." She said the FTC is looking for chokepoints in each layer of the AI tech stack: "chips. compute, foundational models, applications." Khan said she's also paying close attention to vertical integration -- when players look to extend dominance over one tech layer into adjacent layers -- or when they attempt acquisitions aimed at solidifying an existing monopoly. That includes any potential integration between Sam Altman's nascent chip project and OpenAI, though she said she welcomes chip competition.

An anonymous reader quotes a report from MacRumors: Apple's iMessage will avoid regulation requiring interoperability with other messaging platforms under the EU's Digital Markets Act (DMA), following the conclusion of an investigation by the regulator (via Bloomberg). The probe concluded that the iMessage platform and Microsoft's Bing do not hold a dominant enough position to be brought under the DMA's strict rules for services provided by big tech's so-called digital "gatekeepers," which include Apple, Meta, Google, Amazon, and TikTok, according to the EU.

The EU has been working on legislation under the DMA that would have required Apple to make changes to iMessage to make it available on other platforms. The interoperability rules would have meant that Meta apps like WhatsApp or Messenger could request to interoperate with Apple's iMessage framework, and Apple would have been forced to comply within the EU. However, the EU probe found that iMessage falls outside the legislation because it is not widely used by businesses. The reprieve for Apple is part of a five-month market investigation by the European Commission. It's not all good news for Apple, though. The DMA is still forcing the company to implement updates that will allow iPhone and iPad users to download and install apps outside the App Store through alternative app marketplaces. The changes will arrive with iOS 17.4 in March.

Amazon Prime Video has cut Dolby Vision and Atmos support from their ad tier subscription. "That's on top of the ads that Amazon injected into the service on January 29th," reports The Verge. "Now, when you pay $2.99 a month to remove those ads, you can get Dolby Vision and Dolby Atmos back as well." The Verge reports: That's the word from 4KFilme, which discovered that their smart TVs from Sony, LG, and Samsung were now displaying content in HDR10 with Dolby Digital 5.1 as opposed to the higher fidelity options they'd enjoyed previously. Amazon spokesperson Katie Barker confirms to The Verge that it's a deliberate move: "Dolby Vision and Dolby Atmos capabilities are only available on the ad free option, on relevant titles."

While price hikes are no longer remotely unusual in the streaming video space, where Netflix now charges $22.99 a month for its 4K tier, it's a bit harder to compare Amazon's prices to Netflix. Prime Video is also available as an $8.99-per-month standalone subscription; if you subscribe that way and add $2.99 per month, it's more like a 28 percent price hike. If you prefer ads, Prime Video's $8.99-per-month is a dollar less than Disney Plus with ads at $9.99 per month, though Netflix currently offers its 1080p service with ads at $6.99 per month.

Martin Hellman "achieved legendary status as co-inventor of the Diffie-Hellman public key exchange algorithm, a breakthrough in software and computer cryptography," notes a new interview in InfoWorld.

Nine years after winning the Turing award, the 78-year-old cryptologist shared his perspective on some other issues: What do you think about the state of digital spying today?

Hellman: There's a need for greater international cooperation. How can we have true cyber security when nations are planning — and implementing — cyber attacks on one another? How can we ensure that AI is used only for good when nations are building it into their weapons systems? Then, there's the grandaddy of all technological threats, nuclear weapons. If we keep fighting wars, it's only a matter of time before one blows up.

The highly unacceptable level of nuclear risk highlights the need to look at the choices we make around critical decisions, including cyber security. We have to take into consideration all participants' needs for our strategies to be effective....

Your battle with the government to make private communication available to the general public in the digital age has the status of folklore. But, in your recent book (co-authored with your wife Dorothie [and freely available as a PDF]), you describe a meeting of minds with Admiral Bobby Ray Inman, former head of the NSA. Until I read your book, I saw the National Security Agency as bad and Diffie-Hellman as good, plain and simple. You describe how you came to see the NSA and its people as sincere actors rather than as a cynical cabal bent on repression. What changed your perspective?

Hellman: This is a great, real-life example of how taking a holistic view in a conflict, instead of just a one-sided one, resolved an apparently intractable impasse. Those insights were part of a major change in my approach to life. As we say in our book, "Get curious, not furious." These ideas are effective not just in highly visible conflicts like ours with the NSA, but in every aspect of life.
Hellman also had an interesting answer when asked if math, game theory, and software development teach any lessons applicable to issues like nuclear non-proliferation or national defense.

"The main thing to learn is that the narrative we (and other nations) tell ourselves is overly simplified and tends to make us look good and our adversaries bad."

Gen Z is reviving the trend of reading physical books over digital ones, with a notable increase in library visits and book purchases, as evidenced by celebrities like Kaia Gerber and Kendall Jenner promoting literature and book clubs. The Guardian reports: This week the 22-year-old model Kaia Gerber launched her own book club, Library Science. Gerber, who this month appears on the cover of British Vogue alongside her supermodel mum, Cindy Crawford, describes it as "a platform for sharing books, featuring new writers, hosting conversations with artists we admire -- and continuing to build a community of people who are as excited about literature as I am." "Books have always been the great love of my life," she added. "Reading is so sexy."

Gerber isn't alone. Last year in the UK 669m physical books were sold, the highest overall level ever recorded. Research from Nielsen BookData highlights that it is print books that gen Z favour, accounting for 80% of purchases from November 2021 to 2022. Libraries are also reporting an uptick in gen Z users who favour their quiet over noisy coffee shops. In the UK in-person visits are up 71%. While the BookTok charts -- a subsection of TikTok where avid readers post recommendations -- are regularly topped by fantasy and romance titles from authors such as Colleen Hoover, gen Z are reading a diverse range of genres. [...]

"Overall we are seeing a move towards escapism through the rise in speculative fiction, romance and fantasy, but I think it would be a mistake to homogenise gen Z and say they're reading lighter," says the author and literary agent Abigail Bergstrom. "With the oversaturation and noise of the wild west digital landscape, they are also demanding higher standards, especially when it comes to the authority and expertise of a writer on a particular subject."

It appears that the government of Canada is going to ban the Flipper Zero, the tiny, modular hacking device that's become popular with techies for its deviant digital powers. From a report: On Thursday, following a summit that focused on "the growing challenge of auto theft in Canada," the country's Minister of Innovation, Science and Industry posted a statement on X, saying "Criminals have been using sophisticated tools to steal cars...Today, I announced we are banning the importation, sale and use of consumer hacking devices, like flippers, used to commit these crimes.

In a press release issued on Thursday, the Canadian government confirmed that it will be pursuing "all avenues to ban devices used to steal vehicles by copying the wireless signals for remote keyless entry, such as the Flipper Zero." The Flipper, which is technically a penetration testing device, has been controversial due to its ability to hack droves of smart products. Alex Kulagin, the COO of Flipper Devices, said in a statement shared with Gizmodo that the device couldn't be used to "hijack any car" and that certain circumstances would have to be met for it to happen:

India's Space Research Organisation (ISRO) will send a humanoid robot astronaut into this space this year, then send it back alongside actual humans in 2025 on its long-delayed Gaganyaan orbital mission. From a report: According to the space agency, the robot-crewed Vyommitra Mission is scheduled for the third quarter of this year. The robot -- whose name translates to "Space Friend" in Sanskrit -- can monitor module parameters, issue alerts and execute life support operations. Vyommitra is also an excellent multitasker that can operate six panels while responding to queries and mimicking human functions. The humanoid speaks two languages: Hindi and English.

It's also been designated as female -- to the extent possible for a legless robot -- and sports coiffed hair, feminine facial features, and hands that look like they are wearing white gloves. It resembles a wax figurine or mannequin and The Register fancies it mostly manages to stay out of the Uncanny Valley -- the term applied to robots and digital depictions of humans that try to appear human but instead come off as creepy and/or unsettling.

An increasing number of digital-asset startups are offering airline-like loyalty points as they seek to attract more devoted users, even though most have yet to define what the rewards actually entail. From a report: Loyalty programs have sprung up in response to a once-favorite marketing ploy -- the token airdrop -- in which projects give away crypto tokens to users. But the industry is rethinking this tack because many airdrops have done little to retain users while regulatory scrutiny has swelled over tokens themselves. The fledgling points programs already have their detractors, with many users bemoaning a lack of transparency -- most haven't explained how their points can be used -- while experts warn they may pose regulatory risks of their own.

The trend took off in November when new blockchain project Blast lured users by rewarding them with points. Even without a live blockchain, Blast has since attracted more than $1.3 billion worth of crypto from users who can only speculate what the points can be used for later. In a post thread on social-media platform X, Blast said only that the points can be redeemed on May 24. The crypto community has criticised the Blast points programme as a marketing ploy to get people to commit their tokens and refer new users. Some critics have even said the approach is reminiscent of a Ponzi scheme, which Blast's founder Tieshun Roquerre has denied.

On Tuesday, The Independent, Tom's Hardware, and many other tech outlets reported on a story about how three million smart toothbrushes were used in a DDoS attack. The only problem? It "didn't actually happen," writes Jason Koebler via 404 Media. "There are no additional details about this apparent attack, and most of the article cites general research by a publicly traded cybersecurity company called Fortinet which has detected malicious, hijacked internet of things devices over the years. A search on Fortinet's website shows no recent published research about hacked smart toothbrushes." From the report: The original article, called "The toothbrushes are attacking," starts with the following passage: "She's at home in the bathroom, but she's part of a large-scale cyber attack. The electric toothbrush is programmed with Java, and criminals have unnoticed installed malware on it - like on 3 million other toothbrushes. One command is enough and the remote-controlled toothbrushes simultaneously access the website of a Swiss company. The site collapses and is paralyzed for four hours. Millions of dollars in damage is caused. This example, which seems like a Hollywood scenario, actually happened. It shows how versatile digital attacks have become." [...]

The "3 million hacked smart toothbrushes" story has now been viral for more than 24 hours and literally no new information about it has emerged despite widespread skepticism from people in the security industry and its virality. The two Fortinet executives cited in the original report did not respond to an email and LinkedIn message seeking clarification, and neither did Fortinet's PR team. The author of the Aargauer Zeitung story also did not respond to a request for more information. I called Fortinet's headquarters, asked to speak to the PR contact listed on the press release about its earnings, which was published after the toothbrush news began to go viral, and was promptly disconnected. The company has continued to tweet about other, unrelated things. They have not responded to BleepingComputer either, nor the many security researchers who are asking for further proof that this actually happened. While we don't know how this happened, Fortinet has been talking specifically about the dangers of internet-connected toothbrushes for years, and has been using it as an example in researcher talks. In a statement to 404 Media, Fortinet said "To clarify, the topic of toothbrushes being used for DDoS attacks was presented during an interview as an illustration of a given type of attack, and it is not based on research from Fortinet or FortiGuard Labs. It appears that due to translations the narrative on this topic has been stretched to the point where hypothetical and actual scenarios are blurred."

An anonymous reader shares a report: Apple has argued for years that developers who don't want to abide by its rules for native iOS apps can always write web apps. It has done so in its platform guidelines, in congressional testimony, and in court. Web developers, for their part, maintain that Safari and its underlying WebKit engine still lack the technical capabilities to allow web apps to compete with native apps on iOS hardware. To this day, it's argued, the fruit cart's laggardly implementation of Push Notifications remains subpar.

The enforcement of Europe's Digital Markets Act was expected to change that -- to promote competition held back by gatekeepers. But Apple, in a policy change critics have called "malicious compliance," appears to be putting web apps at an even greater disadvantage under the guise of compliance with European law. In the second beta release of iOS 17.4, which incorporates code to accommodate Europe's Digital Markets Act, Progressive Web Apps (PWAs) have been demoted from standalone apps that use the whole screen to shortcuts that open within the default browser. This appears to solely affect users in the European Union, though your mileage may vary. Concerns about this demotion of PWAs surfaced earlier this month, with the release of the initial iOS 17.4 beta. As noted by Open Web Advocacy -- a group that has lobbied to make the web platform more capable -- "sites installed to the home screen failed to launch in their own top-level activities, opening in Safari instead."

Funimation is shutting down on April 2nd, 2024. The anime streaming service will start migrating existing subscribers to Crunchyroll -- a move that will not only affect subscription prices, but will also wipe digital libraries. From a report: A support page on Funimation's website says the service will automatically transfer existing subscribers to Crunchyroll, noting that the transfer "may vary depending on your specific payment platform, subscription type and region." But the page -- unhelpfully -- doesn't say how much subscribers will have to pay following the transition, only that legacy subscribers will see a price increase. You'll have to check your email to see how much you'll have to pay.

Google has renamed its AI assistant to "Gemini" and unveiled a paid subscription tier offering. The $19.99/month "Gemini Advanced" includes a more powerful AI model and cloud storage integration, targeting users seeking advanced content creation and complex query resolution. Google is also leveraging its Android user base by making Gemini the default digital assistant, aiming to replicate the success of its billion-user products.

An anonymous reader quotes a report from VentureBeat: Disney is investing $1.5 billion for an equity stake in Fortnite and Unreal Engine maker Epic Games as part of a broader partnership to create a new Disney gaming universe. The companies plan to create an expansive and open games and entertainment universe. I would say they're building a metaverse, if the word weren't so overused late and out of favor with some. They didn't actually use that word. Bob Iger, CEO of Disney, announced the investment in an interview with CNBC today. The companies will collaborate on a new games and entertainment universe that will further expand the reach of beloved Disney stories and experiences. It will be a multi-year project, built by Epic Games.

"It's not just our parks where we're creating new opportunities for consumers to engage with the characters and franchises they love," Iger said in an analyst call. In our new relationship with Epic Games, we're creating a transformational games and entertainment universe that integrates Disney's world-class storytelling into Epic's cultural phenomenon Fortnite, enabling consumers to play, watch, create, and shop for both digital and physical goods. This marks Disney's biggest entry ever into the world of video games, and offers significant opportunities for growth and expansion. The new immersive universe will unleash their own creativity and experience the Disney stories that they love in groundbreaking new ways."

Iger added, "Younger audiences in particular are huge consumers of video games. In fact, among millennials, Gen Z and Gen Z is a significant amount of time spent on screen-based platforms, playing video games. This new universe from Disney and Epic provides us with a tremendous opportunity to not only meet more consumers where they are and to allow more audiences to cultivate a bond with Disney's iconic brands and franchises, including Marvel, Star Wars, and much more." The $1.5 billion transaction is subject to customary closing conditions, including regulatory approvals. In addition to being a world-class games experience and interoperating with Fortnite, the new persistent universe will offer a multitude of opportunities for consumers to play, watch, shop and engage with content, characters and stories from Disney, Pixar, Marvel, Star Wars, Avatar and more. Fortnite teased the partnership in a new video posted on YouTube. The official announcement can be read here.

An anonymous reader quotes a report from TechCrunch: AI-generated imagery and other forms of deepfakes depicting child sexual abuse (CSA) could be criminalized in the European Union under plans to update existing legislation to keep pace with technology developments, the Commission announced today. It's also proposing to create a new criminal offense of livestreaming child sexual abuse. The possession and exchange of "pedophile manuals" would also be criminalized under the plan -- which is part of a wider package of measures the EU says is intended to boost prevention of CSA, including by increasing awareness of online risks and to make it easier for victims to report crimes and obtain support (including granting them a right to financial compensation). The proposal to update the EU's current rules in this area, which date back to 2011, also includes changes around mandatory reporting of offenses.

Back in May 2022, the Commission presented a separate piece of CSA-related draft legislation, aiming to establish a framework that could make it obligatory for digital services to use automated technologies to detect and report existing or new child sexual abuse material (CSAM) circulating on their platforms, and identify and report grooming activity targeting kids. The CSAM-scanning plan has proven to be highly controversial -- and it continues to split lawmakers in the parliament and the Council, as well as kicking up suspicions over the Commission's links with child safety tech lobbyists and raising other awkward questions for the EU's executive, over a legally questionable foray into microtargeted ads to promote the proposal. The Commission's decision to prioritize the targeting of digital messaging platforms to tackle CSA has attracted a lot of criticism that the bloc's lawmakers are focusing in the wrong area for combatting a complex societal problem -- which may have generated some pressure for it to come with follow-on proposals. (Not that the Commission is saying that, of course; it describes today's package as "complementary" to its earlier CSAM-scanning proposal.) "Fast evolving technologies are creating new possibilities for child sexual abuse online, and raises challenges for law enforcement to investigate this extremely serious and wide spread crime," said Ylva Johansson, commissioner for home affairs, in a statement. "A strong criminal law is essential and today we are taking a key step to ensure that we have effective legal tools to rescue children and bring perpetrators to justice. We are delivering on our commitments made in the EU Strategy for a more effective fight against Child sexual abuse presented in July 2020."

The final shape of the proposals will be determined by the EU's co-legislators in the Parliament and Council. "If/when there's agreement on how to amend the current directive on combating CSA, it would enter into force 20 days after its publication in the Official Journal of the EU," adds TechCrunch.

Meta will start detecting and labeling images generated by artificial intelligence from Google and OpenAI's services, among others. According to Reuters, the company will use a set of invisible markers built into the files to help with the identification process. From the report: Meta will apply the labels to any content carrying the markers that is posted to its Facebook, Instagram and Threads services, in an effort to signal to users that the images -- which in many cases resemble real photos -- are actually digital creations, the company's president of global affairs, Nick Clegg, wrote in a blog post. The company already labels any content generated using its own AI tools. Once the new system is up and running, Meta will do the same for images created on services run by OpenAI, Microsoft, Adobe , Midjourney, Shutterstock and Alphabet's Google, Clegg said.

Apple is making changes to iOS in Europe to comply with the EU's Digital Markets Act cracking down on Big Tech gatekeepers. The act demands interoperability, fairness and privacy measures including allowing competing browser engines on iOS. Despite better browser choice, Google and Mozilla are unhappy with Apple's proposed changes. Mozilla says restricting browser engine integration to EU apps burdens rivals to build separate implementations. Mozilla's comment: "We are still reviewing the technical details but are extremely disappointed with Apple's proposed plan to restrict the newly-announced BrowserEngineKit to EU-specific apps. The effect of this would be to force an independent browser like Firefox to build and maintain two separate browser implementations -- a burden Apple themselves will not have to bear. Apple's proposals fail to give consumers viable choices by making it as painful as possible for others to provide competitive alternatives to Safari. This is another example of Apple creating barriers to prevent true browser competition on iOS." Google's VP of engineering for Chrome, Parisa Tabriz, commented on DeMonte's statement, saying, "Strong agree with Mozilla. Apple isn't serious about supporting web browser or engine choice on iOS. Their strategy is overly restrictive, and won't meaningfully lead to real choice for browser developers."

From mergers to AI, the EU's aggressive rule-making hampers its ability to compete with China and the U.S. Greg Ip, writing for WSJ: These are humbling times for Europe. The continent barely escaped recession late last year as the U.S. boomed. It is losing out to the U.S. on artificial intelligence, and to China on electric vehicles. There is one field where the European Union still leads the world: regulation. Having set the standard on regulating mergers, carbon emissions, data privacy, and e-commerce competition, the EU now seeks to do the same on AI. In December it unveiled a sweeping draft law that bans certain types of AI, tightly regulates others, and imposes huge fines for violators. Its executive arm, the European Commission, might investigate Microsoft's tie-up with OpenAI as potentially anticompetitive. Never before has "America innovates, China replicates, Europe regulates" so aptly captured each region's comparative advantage.

The technocrats who staff the EU in Brussels aren't anti-free market. Just the opposite: they still believe in free trade, unlike the U.S. or China. Much of their regulation is aimed at protecting consumers and competition from meddling national governments. But there's a trade-off between consumer protection and the profit motive that drives investment and innovation, and the EU might be getting that trade-off wrong. For example, to preserve competition, European regulators have resisted mergers that leave just a handful of mobile phone carriers per market. As a result Europe now has 43 groups running 102 mobile operators serving a population of 474 million, while the U.S. has three major networks serving a population of 335 million, according to telecommunications consultant John Strand. China and India are even more concentrated.

European mobile customers as a result pay only about a third of what Americans do. But that's why European carriers invest only half as much per customer and their networks are commensurately worse, Strand said: "Getting a 5G signal in Germany is like finding a Biden supporter at a Trump rally." Putting European networks on a par with the U.S. would cost about $300 billion, he estimated. This has knock-on effects on Europe's tech sector. Swedish telecommunications equipment manufacturer Ericsson's sales in Europe suffer in part because many carriers are too small and unprofitable to update to the latest 5G networks. "Europe has prioritized shorter-term low consumer prices at the expense of quality infrastructure," chief executive Borje Ekholm told me in Davos earlier this month. "I'm very concerned about Europe. We need to invest much more in infrastructure, in being digital."