Mozilla, which manages the open-source Firefox browser, announced today that Mitchell Baker is stepping down as CEO to focus on AI and internet safety as chair of the nonprofit foundation. Laura Chambers, a Mozilla board member and entrepreneur with experience at Airbnb, PayPal, and eBay, will step in as interim CEO to run operations until a permanent replacement is found. Fortune: Baker, a Silicon Valley pioneer who co-founded the Mozilla Project, says it was her decision to step down as CEO, adding that the move is motivated by a sense of urgency over the current state of the internet and public trust. "We want to offer an alternative for people to have better products," says Baker, who wants to draw more attention to policies, products and processes to challenge business models built on fueling outrage. "What are the connections between this global malaise and how humans are engaging with each other and technology?"

Chambers says she plans to focus on building out new products that address growing privacy concerns while actively looking for a full-time CEO. Prior to being recruited to the Mozilla board three years ago, Chambers says she was feeling "pretty disillusioned" about society because of the influence of money in politics and the growing power of the tech giants. "I was confused about what to do and this felt like a genuine way to make an impact." Chambers says she won't be seeking a permanent CEO role because she plans to move back to Australia later this year for family reasons. "I think this is an example of Mozilla doing the right role modelling in how to manage a succession," says Chambers.

Slashdot reader Press2ToContinue shared this report from WION: : The Hong Kong branch of a multinational company has lost $25.6 million after a scammer used deepfake technology to pose as the firm's chief financial officer (CFO) in a video conference call and ordered money transfers, according to the police, in what is being highlighted as first of its kind cases in the city.

The transaction was ordered during a meeting where it was found that everyone present on the video call except the victim were deepfakes of real people, said the Hong Kong police, on Friday (Feb 2)...

Scammers in this case used deepfake technology to turn publicly available video and other footage of staff members into convincing meeting participants.

The Guardian reports: The fossil fuel industry funded some of the world's most foundational climate science as early as 1954, newly unearthed documents have shown, including the early research of Charles Keeling, famous for the so-called "Keeling curve" that has charted the upward march of the Earth's carbon dioxide levels. A coalition of oil and car manufacturing interests provided $13,814 (about $158,000 in today's money) in December 1954 to fund Keeling's earliest work in measuring CO2 levels across the western US, the documents reveal...

Experts say the documents show the fossil fuel industry had intimate involvement in the inception of modern climate science, along with its warnings of the severe harm climate change will wreak, only to then publicly deny this science for decades and fund ongoing efforts to delay action on the climate crisis. "They contain smoking gun proof that by at least 1954, the fossil fuel industry was on notice about the potential for its products to disrupt Earth's climate on a scale significant to human civilization," said Geoffrey Supran, an expert in historic climate disinformation at the University of Miami. "These findings are a startling confirmation that big oil has had its finger on the pulse of academic climate science for 70 years — for twice my lifetime — and a reminder that it continues to do so to this day. They make a mockery of the oil industry's denial of basic climate science decades later...."

The oil and gas industry was initially concerned with research related to smog and other direct air pollutants before branching out into related climate change impacts, according to Carroll Muffett, chief executive of the Center for International Environmental Law. "You just come back to the oil and gas industry again and again, they were omnipresent in this space," he said. "The industry was not just on notice but deeply aware of the potential climate implications of its products for going on 70 years." Muffett said the documents add further impetus to efforts in various jurisdictions to hold oil and gas firms legally liable for the damages caused by the climate crisis.

"These documents talk about CO2 emissions having planetary implications, meaning this industry understood extraordinarily early on that fossil fuel combustion was profound on a planetary scale," he said. "There is overwhelming evidence the oil and gas industry has been misleading the public and regulators around the climate risks of their product for 70 years."
Thanks to long-time Slashdot reader smooth wombat for sharing the article.

Nicholas Wise is a fluid dynamics researcher who moonlights as a scientific fraud buster, reports Science magazine. And last June he "was digging around on shady Facebook groups when he came across something he had never seen before." Wise was all too familiar with offers to sell or buy author slots and reviews on scientific papers — the signs of a busy paper mill. Exploiting the growing pressure on scientists worldwide to amass publications even if they lack resources to undertake quality research, these furtive intermediaries by some accounts pump out tens or even hundreds of thousands of articles every year. Many contain made-up data; others are plagiarized or of low quality. Regardless, authors pay to have their names on them, and the mills can make tidy profits.

But what Wise was seeing this time was new. Rather than targeting potential authors and reviewers, someone who called himself Jack Ben, of a firm whose Chinese name translates to Olive Academic, was going for journal editors — offering large sums of cash to these gatekeepers in return for accepting papers for publication. "Sure you will make money from us," Ben promised prospective collaborators in a document linked from the Facebook posts, along with screenshots showing transfers of up to $20,000 or more. In several cases, the recipient's name could be made out through sloppy blurring, as could the titles of two papers. More than 50 journal editors had already signed on, he wrote. There was even an online form for interested editors to fill out...

Publishers and journals, recognizing the threat, have beefed up their research integrity teams and retracted papers, sometimes by the hundreds. They are investing in ways to better spot third-party involvement, such as screening tools meant to flag bogus papers. So cash-rich paper mills have evidently adopted a new tactic: bribing editors and planting their own agents on editorial boards to ensure publication of their manuscripts. An investigation by Science and Retraction Watch, in partnership with Wise and other industry experts, identified several paper mills and more than 30 editors of reputable journals who appear to be involved in this type of activity. Many were guest editors of special issues, which have been flagged in the past as particularly vulnerable to abuse because they are edited separately from the regular journal. But several were regular editors or members of journal editorial boards. And this is likely just the tip of the iceberg.
The spokesperson for one journal publisher tells Science that its editors are receiving bribe offers every week..

Thanks to long-time Slashdot reader schwit1 for sharing the article..

When FTX filed for bankruptcy in November 2022, the defunct cryptocurrency exchange suffered a hack that resulted in more than $380 million in crypto stolen from FTX's virtual wallets. It turns out that FTX was hit with a SIM-swapping scam orchestrated by ringleader Robert Powell. Powell, along with Carter Rohn and Emily Hernandez, have been indicted and are due to appear in Chicago federal court later Friday for a detention hearing. CNBC reports: The three defendants are charged with conspiracy to commit wire fraud and conspiracy to commit aggravated identity theft and access device fraud, in a scheme that ran from March 2021 to last April, and involved the co-conspirators traveling to cellphone retail stores in more than 15 states. The indictment says the trio shared the personal identifying information of more than 50 victims, created fake identification documents in the victims' names, impersonated them and then accessed their victims' "online, financial and social media accounts for the purpose of stealing money and data."

The scheme relied on duping phone companies into swapping the Subscriber Identity Module of cell phone subscribers into a cellphone controlled by members of the conspiracy, the indictment said. That in turn allowed the conspirators to defeat the multifactor authentication protection on the victims' accounts, giving them access to the money in those accounts. The indictment does not identify FTX by name as the main victim of the conspiracy, but the details of the hack described in that charging document align with the details publicly known about the theft from FTX, which was collapsing at the time of the attack.

An anonymous reader quotes a report from Bloomberg: Meta is poised to become Wall Street's top comeback kid. It was only a couple of years back the Facebook owner suffered the single biggest market value destruction in stock-market history. But the company has come a long way since then, on Thursday it dazzled shareholders with yet another impressive quarterly earnings report as the social media giant focuses on cutting back costs and shoring up billions in profits. The stock rose as much as 21% Friday, poised to add roughly $200 billion to its market capitalization. This would be the biggest single-session market value addition, eclipsing the $190 billion gains made by Apple and Amazon in 2022.

"Solid execution, faster growth, and increased capital structure efficiency improve the outlook from here," Brian Nowak, an analyst at Morgan Stanley, wrote in a note Friday. "Meta's AI pipeline for both users and advertisers is robust, with more tools set to launch and scale throughout '24," he added. Meta, which reduced headcount by 22% in 2023, unveiled plans for a $50 billion stock buyback, and announced its first quarterly dividend on Thursday, a sign to investors that it has money to spare and a reason for them to stick around. While the company is making big cost cuts, it continues to spend aggressively on artificial intelligence advancements, namely in generative AI but also on the background technologies to help feed its social media products and power its ad targeting.

An anonymous reader quotes a report from Reuters: Intel is delaying the construction timeline for its $20 billion chipmaking project in Ohio amid market challenges and the slow rollout of U.S. grant money, the Wall Street Journal reported on Thursday. Its initial timeline had chip-making starting next year. Construction on the manufacturing facilities now is not expected to be finished until late 2026, the report said, citing people involved in the project. Shares of the chipmaker were last down 1.5% in extended trading.

"We are fully committed to completing the project, and construction is continuing. We have made a lot of progress in the last year," an Intel spokesperson said, adding that managing large-scale projects often involves changing timelines. Uncertain demand for its chips used in the traditional server and personal computer markets had led the company to forecast revenue for the first quarter below market estimates late last month. This came as a shift in spending to AI data servers, dominated by rivals Nvidia and aspiring AI competitor Advanced Micro Devices sapped demand for traditional server chips -- Intel's core data center offering.

Snap is recalling all 71,000 of its Pixy flying selfie camera drones because their batteries pose a fire hazard. The Verge reports: Snap and the US Consumer Product Safety Commission say you should "immediately stop using the Pixy Flying Camera, remove the battery and stop charging it" now that there have been four reports of the battery bulging, one fire, and one "minor injury." Then, you can get a full refund for the entire drone and / or any batteries you own -- sounds like we're talking at least $185 back to you, unless you bought it on sale. You don't need a receipt: you can apply for the refund even if you got it as a gift. You can fill out this form to receive a prepaid return label to return the drone. Snap says you will need to safely dispose of the batteries yourself.

Hulu updated its Terms of Service to explicitly ban password sharing outside of "your primary personal residence." Subscribers will need to comply by March 14th, 2024. Here's the new ToS section in full: m. Account Sharing. Unless otherwise permitted by your Service Tier, you may not share your subscription outside of your household. "Household" means the collection of devices associated with your primary personal residence that are used by the individuals who reside therein. Additional usage rules may apply for certain Service Tiers. For more details on our account sharing policy, please visit our Help Center.

We may, in our sole discretion, analyze the use of your account to determine compliance with this Agreement. If we determine, in our sole discretion, that you have violated this Agreement, we may limit or terminate access to the Service and/or take any other steps as permitted by this Agreement (including those set forth in Section 6 of this Agreement). You will be responsible for any use of your account by your household, including compliance with this section. The Verge reports: The new ToS is dated January 25th, 2024; previous versions of the ToS didn't mention account sharing at all. "We're adding limitations on sharing your account outside of your household, and explaining how we may assess your compliance with these limitations," the most important paragraph reads.

Neither the email nor the ToS say how Hulu will measure compliance or how quickly it'll take action, but Hulu will apparently "analyze the use of your account" and it reserves the right to "limit or terminate access" if it decides you've broken the policy. The ToS also suggests there's more info about its account sharing policy at the Hulu Help Center, but we're not seeing any help articles about account sharing right now. Netflix started cracking down on password sharing in the U.S. last May, resulting in the "four single largest days of U.S. user sign-ups since January 2019." The streaming giant later went on to add 2.6 million U.S. subscribers.

Disney Plus enacted a similar plan a few months later.

Dan Robinson reports via The Register: Quantum companies received 50 percent less venture cap funding last year as investors switched to generative AI or shied away from risky bets on Silicon Valley startups. Progress in quantum computing is being made, but practical applications of the technology are still likely years away. Investment in quantum technology reached a high of $2.2 billion in 2022, as confidence (or hype) grew in this emerging market, but that funding fell to about $1.2 billion last year, according to the latest State of Quantum report, produced by The Quantum Insider, with quantum computing company IQM, plus VCs OpenOcean and Lakestar. The picture is even starker in the US, where there was an 80 percent decline in venture capital for quantum, while the APAC region dropped by 17 percent, and EMEA grew slightly by three percent.

But the report denies that we have reached a "quantum winter," comparable with the "AI winter" periods of scarce funding and little progress. Instead, the quantum industry continues to progress towards useful quantum systems, just at a slower pace, and the decline in funding must be seen as part of broader venture capital trends, it insists. "Calendar year 2023 was an interesting year with regards to quantum," Heather West, research manager for Quantum Computing, Infrastructure Systems, Platforms, and Technology at IDC told The Register. "With the increased interest in generative AI, we started to observe that some of the funding that was being invested into quantum was transferred to AI initiatives and companies. Generative AI was seen as the new disruptive technology which end users could use immediately to gain an advantage or value, whereas quantum, while expected to be a disruptive technology, is still very early in development," West told The Register.

Gartner Research vice president Matthew Brisse agreed. "It's due to the slight shift of CIO priorities toward GenAI. If organizations were spending 10 innovation dollars on quantum, now they are spending five. Not abandoning it, but looking at GenAI to provide value sooner to the organization than quantum," he told us. Meanwhile, venture capitalists in America are fighting shy of risky bets on Silicon Valley startups and instead keeping their powder dry as they look to more established technology companies or else shore up their existing portfolio of investments, according to the Financial Times.

A lawyer for FTX said the defunct crypto exchange has abandoned its plans to relaunch, instead opting to liquidate all assets and return funds to customers. The Guardian reports: The exchange, founded by Sam Bankman-Fried, has been negotiating for months with potential bidders and investors, but none were willing to put in enough money to rebuild it, FTX attorney Andy Dietderich said at a bankruptcy court hearing in Delaware. The failed negotiations underscored the fact that FTX was never what it appeared to be, and that Bankman-Fried never built the underlying technology or administration necessary to run the company as a viable business, Dietderich said.

Bankman-Fried has been convicted on fraud charges related to his operation of FTX. He faces decades in prison. "FTX was an irresponsible sham created by a convicted felon," Dietderich said. "The costs and risks of creating a viable exchange from what Mr Bankman-Fried left in a dumpster were simply too high." The company will instead focus on liquidating its assets to repay customers whose cryptocurrency deposits were locked when the company filed for bankruptcy in November 2022. FTX has recovered over $7 billion in assets to repay customers, and it has reached agreements with government regulators who have agreed to wait until customers are fully repaid before attempting to collect on about $9 billion in claims, Dietderich said. While FTX plans to repay its customers, the exchange will calculate their repayment based on cryptocurrency prices from November 2022, when the crypto market was suffering a prolonged slump. "The price of bitcoin has risen to about $43,300 from its November 2022 price of $16,872," notes the report.

The once-hot DNA-testing company is struggling to profit. From a report: Five years ago, 23andMe was one of the hottest startups in the world. Millions of people were spitting into its test tubes to learn about their ancestry. Oprah had named its kit one of her favorite things; Lizzo dressed up as one for Halloween; Eddie Murphy name-checked the company on "Saturday Night Live." 23andMe went public in 2021 and its valuation briefly topped $6 billion. Forbes anointed Anne Wojcicki, 23andMe's chief executive and a Silicon Valley celebrity, as the "newest self-made billionaire." Now Wojcicki's self-made billions have vanished.

23andMe's valuation has crashed 98% from its peak and Nasdaq has threatened to delist its sub-$1 stock. Wojcicki reduced staff by a quarter last year through three rounds of layoffs and a subsidiary sale. The company has never made a profit and is burning cash so quickly it could run out by 2025. Silicon Valley's fortunes were built on the lofty ambitions of entrepreneurs swinging for the fences -- even if most of them strike out. Wojcicki, for her part, isn't giving up. She's sticking to her goal to transform 23andMe from a supplier of basic ancestry and health data into a comprehensive healthcare company that develops drugs, offers medical care and sells subscription health reports. She still has to prove the business can sustain itself. She's raised about $1.4 billion for 23andMe, and spent roughly 80% of it.

Known for her quirky charm and informal style -- she typically wears workout gear to the office -- Wojcicki, 50, has been searching for fresh capital. But with 23andMe's stock trading at just 74 cents, the company likely can't raise money by selling more shares. And the company's early-stage drug programs are so expensive, she has sought investor partners for some of them, so far unsuccessfully, and given up stakes in others. She could also plug the hole with her own cash. At the center of 23andMe's DNA-testing business are two fundamental challenges. Customers only need to take the test once, and few test-takers get life-altering health results.

An anonymous reader quotes a report from Ars Technica: The business arm of Raspberry Pi is preparing to make an initial public offering (IPO) in London. CEO Eben Upton tells Ars that should the IPO happen, it will let Raspberry Pi's not-for-profit side expand by "at least a factor of 2X." And while it's "an understandable thing" that Raspberry Pi enthusiasts could be concerned, "while I'm involved in running the thing, I don't expect people to see any change in how we do things." CEO Eben Upton confirmed in an interview with Bloomberg News that Raspberry Pi had appointed bankers at London firms Peel Hunt and Jefferies to prepare for "when the IPO market reopens."

Raspberry previously raised money from Sony and semiconductor and software design firm ARM, and it sought public investment. Upton denied or didn't quite deny IPO rumors in 2021, and Bloomberg reported Raspberry Pi was considering an IPO in early 2022. After ARM took a minority stake in the company in November 2023, Raspberry Pi was valued at roughly 400 million pounds, or just over $500 million. Given the company's gradual recovery from pandemic supply chain shortages, and the success of the Raspberry Pi 5 launch, the company's IPO will likely jump above that level, even with a listing in the UK rather than the more typical US IPO. Upton told The Register that "the business is in a much better place than it was last time we looked at it [an IPO]. We partly stopped because the markets got bad. And we partly stopped because our business became unpredictable." "It's a good thing, in that people care about us," Upton said in response to concerned hobbyists and tech enthusiasts. "What Raspberry Pi [builds] are the products we want to buy, and then we sell them to people like us," Upton said. "Certainly, while I'm involved in it, I can't imagine an environment in which the hobbyists are not going to be incredibly important."

The IPO is "about the foundation," Upton said, with that charitable arm selling some of its majority stake in the business entity to raise funds and expand. "We've not cooked up some new way for a not-for-profit to do an IPO, no," he noted. [He told Ars that Raspberry Pi's business arm has had both strategic and private investors in its history, along with a majority shareholder in its Foundation (which in 2016 owned 75 percent of shares), and that he doesn't see changes to what Pi has built. He also noted that the foundation was previously funded by dividends from the business side.]

"We do this transaction, and the proceeds of that transaction allow the foundation to train teachers, run clubs, expand programs, and ... do those things at, at least, a factor of 2X. That's what I'm most excited about." Upton said there would be "no change" to the kinds of products Pi makes, and that makers are "culturally important to us." [...] "If people think that an IPO means we're going to ... push prices up, push the margins up, push down the feature sets, the only answer we can give is, watch us. Keep watching," he said. "Let's look at it in 15, 20 years' time."

New York Attorney General Letitia James filed a lawsuit against Citibank on Tuesday, alleging the big bank failed to do enough to protect and reimburse victims of fraud. From a report: The lawsuit argues that New York customers lost millions of dollars -- in some cases their entire lifesavings -- to scammers and hackers because of Citi's weak security and anti-fraud measures. According to the NY AG, Citi does not do enough to prevent unauthorized account takeovers, illegally refuses to reimburse fraud victims and "misleads" customers about their rights after their accounts are hacked.

The lawsuit, filed in US District Court for the Southern District of New York, alleges that Citi has "overpromised and underdelivered on security" and failed to respond appropriately to red flags. "Banks are supposed to be the safest place to keep money, yet Citi's negligence has allowed scammers to steal millions of dollars from hardworking people, James said in a statement. There is no excuse for Citi's failure to protect and prevent millions of dollars from being stolen from customers' accounts and my office will not write off illegal behavior from big banks."

In Denver, Colorado, a pastor had a message for his congregation, reports CNN.

"After months of prayers and cues from God, he was going to start selling cryptocurrency, he announced in a YouTube video last April." The Signature and Silvergate banks had collapsed weeks earlier, signaling the need to look into other investment options beyond financial institutions, he said. With divine wisdom, he said, he was "setting the rails for God's wealth transfer." Shortly afterward, Regalado and his wife, Kaitlyn Regalado, launched a cryptocurrency, INDXcoin, and began selling it to members of his Victorious Grace Church and other Christian communities in the Denver area. They sold it through the Kingdom Wealth Exchange, an online cryptocurrency marketplace he created, controlled and operated.

The Regalados raised more than $3.2 million from over 300 investors, Tung Chang, Securities Commissioner for Colorado, said in a civil complaint. The couple's sales pitches were filled with "prayer and quotes from the Bible, encouraging investors to have faith that their investment ... would lead to 'abundance' and 'blessings,'" the complaint said. But Colorado state regulators say that INDXcoin was "essentially worthless." Instead of helping investors acquire wealth, the Regalados used around $1.3 million of the investment funds to bankroll lavish expenditures, including a Range Rover, jewelry, cosmetic dentistry and extravagant vacations, the complaint said. The money also paid for renovations to the Regalados' Denver home, the complaint said.

In a stunning video statement posted online on January 19 — several days after the civil charges were filed — Eli Regalado did not dispute that he and his wife profited from the crypto venture. "The charges are that Kaitlyn and I pocketed 1.3 million dollars, and I just want to come out and say that those charges are true," he said, adding, "A few hundred thousand dollars went to a home remodel that the Lord told us to do...."

Regalado also said that he and his wife used about half a million dollars of their investors' funds to pay taxes to the IRS.
CNN reports that in videos Regalado explains how God "convinced him that it was a safe and profitable investment venture." ("You read it correctly. God's hand is on INDXcoin and we are launching!" explains the launch video's description.)

"The Regalados used technical terms to confuse investors and misled them into believing that the coins were valued at between $10-$12 even though they were purchased for $1.50 or, at times, given away, the complaint said."

Remember that cheery corporate video Internet Brands tried announcing their new (non-negotiable) hybrid return-to-office policy (with the festive song "Iko Iko" playing in the background)? They've now pulled the video from Vimeo.

Could that signal a larger shift in attitudes about working from home? The Washington Post reports: Now, new research from the Katz Graduate School of Business at the University of Pittsburgh suggests that office mandates may not help companies' financial performances, but they can make workers less satisfied with their jobs and work-life balance... "We will not get back to the time when as many people will be happy working from the office the way they were before the pandemic," said Mark Ma, co-author of the study and associate professor at the Katz Graduate School of Business. Additionally, mandates make workers less happy, therefore less productive and more likely to look for a new job, he said.

The study analyzed a sample of Standard & Poor's 500 firms to explore the effects of office mandates, including average change in quarterly results and company stock price. Those results were compared with changes at companies without office mandates. The outcome showed the mandates made no difference. Firms with mandates did not experience financial boosts compared with those without. The sample covered 457 firms and 4,455 quarterly observations between June 2019 and January 2023...

"There are compliance issues universally," said Prithwiraj Choudhury, a Harvard Business School professor who studies remote work. "Some companies are issuing veiled threats about promotions and salary increases ... which is unfortunate because this is your talent pool, your most valuable resource...." Rather than grappling with mandates as a means of boosting productivity, companies should instead focus on structuring their policies on a team basis, said Choudhury of Harvard. That means not only understanding the frequency and venue in which teams would be most productive in-person, but also ensuring that in-person days are structured for more collaboration. Requiring employees to work in-office to boost productivity in general has yet to prove itself out, he added.

"Return-to-office is just a knee-jerk reaction trying to make the world go back to where it was instead of recognizing this as a point for fundamental transformation," he said. "I call them return-to-the-past mandates."
The article cites US Bureau of Labor Statics showing movement in the other directionRoughly 78% of workers ages 16 and older "worked entirely on-site in December 2023, down from 81% a year earlier" — and for tech workers only 34% worked entirely on-site last month compared with 38% last year.

"Still, some companies are going all in on mandates, reminding workers and sometimes threatening promotions and job security for noncompliance. Leaders are unlikely to backtrack on mandates once they have been implemented because that could be viewed as admitting they made a mistake, said Ma."

Long-time Slashdot reader SonicSpike shared this investigation by Time magazine's senior economics correspondent which argues that America's residential solar industry "is floundering." In late 2023 alone, more than 100 residential solar dealers and installers in the U.S. declared bankruptcy, according to Roth Capital Partners — six times the number in the previous three years combined. Roth expects at least 100 more to fail. The two largest companies in the industry, SunRun and Sunnova, both posted big losses in their most recent quarterly reports, and their shares are down 86% and 81% respectively from their peaks in January 2021... At the root of these struggles is the complicated financial engineering that helped companies raise money but that some investors and analysts say was built on a framework of lies — or at least exaggerations. Since at least 2016, big solar companies have used Wall Street money to fund their growth. This financialization raised the consumer cost of the panels and led companies to aggressively pursue sales to make the cost of borrowing Wall Street money worth it. National solar companies essentially became finance companies that happened to sell solar, engaging in calculations that may have been overly optimistic about how much money the solar leases and loans actually bring in.

"I've often heard solar finance and sales compared to the Wild West due to the creativity involved," says Jamie Johnson, the founder of Energy Sense Finance, who has been studying the residential solar industry for a decade. "It's the Silicon Valley mantra of 'break things and let the regulators figure it out.'"
Leasing the panels lets the companies claim green-energy tax credits (which they then sell to companies like Google). And meanwhile, bundles of solar-panel leases become asset-backed securities. By 2017, there were over $1 billion such securities... However, these financial innovations also increased the pressure on companies to grow quickly. Solar companies needed lots of new customers in order to package the loans into asset-backed securities and sell them to investors. Public companies especially faced intense scrutiny from investors who expected double-digit quarterly growth. And with upfront costs no longer a barrier for new customers, solar companies began to see almost every homeowner as a target, and they deployed expensive sales teams to go out and sell as aggressively as they could... Even today, about one-third of the upfront cost of a residential solar system goes to intermediaries like sales and financing people, says Pol Lezcano, an analyst with Bloomberg New Energy Finance. In Germany, where installation is done locally and there are fewer intermediaries, the typical residential system costs about 50% less than it costs in the U.S. "The upfront cost of these systems is stupidly high," says Lezcano, making residential solar not "scalable."

After growing 31% in 2021 and 40% in 2022, residential solar will only grow by 13% in 2023 and then contract 12% in 2024, according to predictions from the research firm Wood Mackenzie... Meanwhile, the pressure for fast sales may have led some companies to look the other way when salespeople obscured the terms of the solar panel leases and loans they were selling in order to close a deal.
One customer complains the solar panel company actually took out a lien on his house without his knowledge, according to the article. He's "one of a growing number of consumers now saying in courts and in arbitration that salesmen from solar-panel and solar-panel-finance companies — including some of the biggest in the U.S., like GoodLeap, Mosaic, Sunnova, and SunRun — tricked them into taking out onerous loans they didn't want — or that someone signed them up for a loan without their knowledge." Even some people who voluntarily signed up for financing products say they were misled about the actual cost of the solar panels. That's because loans from companies like GoodLeap and Mosaic often include an unexplained and significant "dealer fee." For example, a customer buying a $30,000 solar panel system with a low interest rate may not know that price includes a $10,000 loan-dealer fee. In other words, the cost of the panels, had they paid cash, would have been just $20,000; the extra 30% is the price they paid for the low-interest loan, though many consumers allege this was not explained to them...

In some ways, the current situation in the residential solar market is analogous to the subprime lending crisis that set off the Great Recession, though on a smaller scale. Like in the subprime lending crisis, some companies issued loans to people who could not — or would not — pay them. Like in the subprime lending crisis, thousands of these loans — and in solar's case, also leases — were packaged and sold to investors as asset-backed securities with promised rates of return. The Great Recession was driven largely by the fact that people stopped paying their loans, and the asset-backed securities didn't deliver the promised rate of return to investors. Similar cracks may be forming in the solar asset-backed securities market. For instance, the rate of delinquencies of loans in one of Sunnova's asset-backed securities was approaching 5% in the fall of last year, according to an October 2023 report issued by KBRA, a bond ratings agency. Historically, delinquencies in solar asset-backed securities had been around 1%.

The firms that grade these asset-backed securities have long said delinquencies would be low because rooftop-solar customers had high credit scores. The problem is that they appear not to have considered that even customers with good credit scores may not want to pay for solar panels that they were told would be free — or that salesmen could be signing people up without their knowledge.
Besides consumer cases in court, there's the possibility that regulators may act against solar companies that used inflated projections to juice their tax credits. "As early as 2016, a researcher at MIT's Energy Initiative estimated that such companies were overstating this value by as much as 50%." The broad problems facing residential solar and financing companies are already causing some pain in the forms of layoffs — California alone lost 17,000 solar jobs in 2023, according to the California Solar and Storage Association. There are ripple effects in the industry; Enphase Energy, which makes microinverters for solar panels, said in December it was laying off 10% of its workforce amidst softening demand.

It could get a lot worse before it gets better, with not just lost jobs, but near-total collapse of the current system. Some analysts, like Lezcano of Bloomberg New Energy Finance, think that the big, national players are going to have to fall apart for residential solar to become affordable in the U.S., and that in the future, the solar industry in the U.S. will look more like it does in Germany, where installations are done locally and there's fewer door-to-door sales.
"Over the past few years, a handful of people got rich off of Americans who were told they could simultaneously save money and save the planet. For example, Hayes Barnard, GoodLeap's founder and chairman, was named by Forbes as one of the 400 richest people in the world in 2023..."

An anonymous reader shared this report from the The New York Times: Over his 54 years as a financial analyst, Richard X. Bove perfected the art of grabbing attention... American Banker once called him "the country's most quotable bank analyst." Last week, a few hours after completing a spot on Bloomberg television, the 83-year-old announced his retirement. He took that weekend off — and then jumped right back in. In an interview with The New York Times, Mr. Bove (pronounced "boe-VAY"), who goes by Dick, shared a dire outlook on the U.S. economy and his former profession.

"The dollar is finished as the world's reserve currency," Mr. Bove said matter-of-factly, perched in an armchair outside his home office just north of Tampa, from which he predicted that China will overtake the U.S. economy. No other analysts will say the same because they are, as he put it, "monks praying to money," unwilling to speak out on the mainstream financial system that employs them...

As he spoke, a technician was trying to restore his home internet after his final employer, the boutique brokerage Odeon Capital, pulled the plug on his last day...

He sees the offshoring of American manufacturing as the ultimate threat to the financial sector and the dollar, because "the people making the goods elsewhere are getting greater and greater control of the means of production and therefore greater and greater control of the world economy and therefore greater and greater control of money."
The article notes that Bove was once called "The Loneliest Analyst."

"One way that's still true is that he endorses cryptocurrency — an area that few other financial analysts will touch — which he sees as a natural beneficiary of the decline of the dollar."

"Companies that once serviced the boom in cryptocurrency mining are pivoting to take advantage of the latest data gold rush," reports the Guardian. Canadian company Hive Blockchain changed its name in July to Hive Digital Technologies and announced it was pivoting to AI. "Hive has been a pioneering force in the cryptocurrency mining sector since 2017. The adoption of a new name signals a significant strategic shift to harness the potential of GPU Cloud compute technology, a vital tool in the world of AI, machine learning and advanced data analysis, allowing us to expand our revenue channels with our Nvidia GPU fleet," the company said in its announcement at the time. The company's executive chairman, Frank Holmes, told Guardian Australia the transition required a lot of work. "Moving from mining Ethereum to hosting GPU cloud services involves buying powerful new servers for our GPUs, upgrading networking equipment and moving to higher tier data centres," he said.

"The only commonality is that GPUs are the workhorses in both cases. GPU cloud requires higher end supporting hardware and a more secure, faster data centre environment. There's a steep learning curve in the GPU cloud business, but our team is adapting well and learning fast."

For others, like Iris Energy, a datacentre company operating out of Canada and Texas, and co-founded by Australian Daniel Roberts, it has been the plan all along. Iris did not require any changes to the way the company operated when the AI boom came along, Roberts told Guardian Australia. "Our strategy really has been about bootstrapping the datacentre platform with bitcoin mining, and then just preserve optionality on the whole digital world. The distinction with us and crypto-miners is we're not really miners, we're datacentre people." The company still trumpets its bitcoin mining capability but in the most recent results Iris said it was well positioned for "power dense computing" with 100% renewable energy. Roberts said it wasn't an either-or situation between bitcoin mining and AI.

"I think when you look at bitcoin versus AI, the market will just reach equilibrium based on the market-based demands for each product," he said... Holmes said Hive also saw the two industries operating in parallel. "We love the bitcoin mining business, but its revenue is rather unpredictable. GPU cloud services should complement it well," he said.
Thanks to long-time Slashdot reader mspohr for sharing the article.

Bank of America is cracking down on employees who aren't following its return-to-office mandate, sending "letters of education" warnings of disciplinary action to employees who have been staying home. The Guardian: Some employees at the bank received letters that said they had failed to meet the company's "workplace excellence guidelines" despite "requests and reminders to do so," according to the Financial Times. The letter warned employees that failure to follow return-to-office expectations could lead to "further disciplinary action."