Wikipedia describes Freenet as "a peer-to-peer platform for censorship-resistant, anonymous communication," released in the year 2000. "Both Freenet and some of its associated tools were originally designed by Ian Clarke," Wikipedia adds. (And in 2000 Clarke answered questions from Slashdot's readers...)

And now Ian Clarke (aka Sanity — Slashdot reader #1,431) returns to share this announcement: Freenet's new generation peer-to-peer network is now operational, along with the first application built on the network: a decentralized group chat system called River.

The new version is a complete redesign of the original project, focusing on real-time decentralized applications rather than static content distribution. Applications run as WebAssembly-based contracts across a small-world peer network, allowing software to operate directly on the network without centralized infrastructure.

An introductory video demonstrating the system is available on YouTube.
"While the original Freenet was like a decentralized hard drive, the new Freenet is like a full decentralized computer," Clarke wrote in 2023, "allowing the creation of entirely decentralized services like messaging, group chat, search, social networking, among others... designed for efficiency, flexibility, and transparency to the end user."

"Freenet 2023 can be used seamlessly through your web browser, providing an experience that feels just like using the traditional web,"

An anonymous reader quotes a report from Ars Technica: Researchers say they have uncovered a takedown-resistant botnet of 14,000 routers and other network devices -- primarily made by Asus -- that have been conscripted into a proxy network that anonymously carries traffic used for cybercrime. The malware -- dubbed KadNap -- takes hold by exploiting vulnerabilities that have gone unpatched by their owners, Chris Formosa, a researcher at security firm Lumen's Black Lotus Labs, told Ars. The high concentration of Asus routers is likely due to botnet operators acquiring a reliable exploit for vulnerabilities affecting those models. He said it's unlikely that the attackers are using any zero-days in the operation.

The number of infected routers averages about 14,000 per day, up from 10,000 last August, when Black Lotus discovered the botnet. Compromised devices are overwhelmingly located in the US, with smaller populations in Taiwan, Hong Kong, and Russia. One of the most salient features of KadNap is a sophisticated peer-to-peer design based on Kademlia (PDF), a network structure that uses distributed hash tables to conceal the IP addresses of command-and-control servers. The design makes the botnet resistant to detection and takedowns through traditional methods.

[...] Despite the resistance to normal takedown methods, Black Lotus says it has devised a means to block all network traffic to or from the control infrastructure." The lab is also distributing the indicators of compromise to public feeds to help other parties block access. [...] People who are concerned their devices are infected can check this page for IP addresses and a file hash found in device logs. To disinfect devices, they must be factory reset. Because KadNap stores a shell script that runs when an infected router reboots, simply restarting the device will result in it being compromised all over again. Device owners should also ensure all available firmware updates have been installed, that administrative passwords are strong, and that remote access has been disabled unless needed.

An anonymous reader quotes a report from Ars Technica: Binance is hoping that suing (PDF) The Wall Street Journal for defamation might help shake off a fresh round of government probes into how the cryptocurrency exchange failed to detect $1.7 billion in transfers to a network that was funding Iran-backed terror groups. The lawsuit comes after a Wall Street Journal investigation, based on conversations with insiders and reviews of internal documents, reported that Binance had quietly dismantled its own investigation into the unlawful transfers and then fired compliance staff who initially flagged them.

Alleging that the report falsely accused Binance of retaliation -- among 10 other allegedly false claims -- Binance accused the Journal of conducting a "sham" investigation that intentionally disregarded the company's statements. That included supposedly failing to note that Binance had not closed its investigation into the unlawful transfers. Binance's role in the large-scale violation of US sanctions laws is currently being investigated by the Justice and Treasury Departments. Congress members also took notice, including Sen. Richard Blumenthal (D-Conn.), ranking member of the Senate Permanent Subcommittee on Investigations (PSI), who launched an additional inquiry. In a letter to Binance CEO Richard Teng, Blumenthal cited the Journal's report, as well as reporting from The New York Times and Fortune, while demanding that Binance explain how it managed to overlook the money-laundering for so long and why compliance staff members were fired.

In its complaint Wednesday, Binance claimed that these probes may "be just the tip of the iceberg" if the record is not corrected. The reputational harm is particularly damaging, the exchange noted, since Binance has allegedly worked hard to strengthen its compliance after reaching a settlement with the US government in 2023. In taking that plea deal, Binance admitted to violating anti-money laundering and sanctions laws and paid a $4.3 billion fine, and its founder, Changpeng Zhao, eventually pled guilty to a related charge. Since that scandal, Binance claimed that the WSJ has "made a business of maligning both the cryptocurrency industry generally and Binance specifically." That's why the Journal allegedly rushed to publish its story following a similar New York Times investigation. Alleging that the WSJ was financially motivated to publish a negative story that would get more clicks, Binance claimed the Journal provided little time to respond and then failed to make necessary corrections before and after publication.

An anonymous reader quotes a report from Bloomberg: Chinese authorities moved to restrict state-run enterprises and government agencies from running OpenClaw AI apps on office computers, acting swiftly to defuse potential security risks after companies and consumers across China began experimenting with the agentic AI phenomenon. Government agencies and state-owned enterprises, including the largest banks, have received notices in recent days warning them against installing OpenClaw software on office devices for security reasons [...]. Several of them were instructed to notify superiors if they had already installed related apps for security checks and possible removal, some of the people said.

Certain employees, including those at state-run banks and some government agencies, were banned from installing OpenClaw on office computers and also personal phones using the company's network, some of the people said. One person said the ban was also extended to the families of military personnel. Other notices stopped short of calling for an outright ban on OpenClaw software, saying only that prior approval is needed before use, the people said. The warning underscores Beijing's growing concern about OpenClaw, an agentic AI platform that requires unusually broad access to private data and can communicate externally, potentially exposing computers to external attack. [...]

Despite the potential security risks, companies from Tencent to JD.com Inc. have been rolling out OpenClaw apps to try and capitalize on the groundswell of enthusiasm, while several local government agencies have declared millions of yuan in subsidies for companies that develop atop the platform. [...] Tech giants like Tencent and Alibaba, along with AI upstarts ranging from Moonshot to MiniMax, have rolled out their own tweaks of the software touting simple, one-click adoption. A slew of government agencies, in cities from Shenzhen to Wuxi, have issued notices offering multimillion-yuan subsidies to startups leveraging OpenClaw to make advances. The frenzy has helped drive up shares of AI model developer MiniMax nearly 640% since its listing just two months ago. It's now worth about $49 billion, surpassing Baidu -- once viewed as the frontrunner in Chinese AI development -- in market value. The company launched MaxClaw, an agent built on OpenClaw, in late February.

AT&T plans to invest more than $250 billion over the next five years to expand U.S. telecom infrastructure for the AI age. The company says it will also hire thousands of technicians while partnering with AST SpaceMobile to extend coverage to remote areas. Reuters reports: Rapid adoption of artificial intelligence, cloud computing and connected devices has prompted telecom operators to invest heavily in fiber and 5G networks as they also seek to fend off intensifying competition from cable broadband providers. AT&T, which has about 110,000 employees in the U.S., said the new hires will help build and maintain its infrastructure. The outlay includes capital expenditure and other spending, the company said.

The spending will focus on expanding its fiber and wireless networks, including accelerating deployment of fiber broadband, 5G home internet and satellite connectivity to extend coverage across urban, suburban and rural areas. [...] AT&T is also working with satellite partner AST SpaceMobile to expand connectivity to remote regions where traditional network infrastructure is difficult to deploy. The company said it would continue spending on the FirstNet network built for first responders and bolster investment in network security and artificial intelligence-driven threat detection.

Axios reports that Meta has acquired Moltbook, the viral, Reddit-like social network designed for AI agents. Humans are welcome, but only to observe. Axios reports: The deal brings Moltbook's creators -- Matt Schlicht and Ben Parr -- into Meta Superintelligence Labs (MSL), the unit run by former Scale AI CEO Alexandr Wang. Meta did not disclose Moltbook's purchase price. The deal is expected to close mid-March, Meta says, with the pair starting at MSL on March 16. When it launched in late January, Moltbook was labeled the "most interesting place on the internet" by open-source developer and writer Simon Willison. "Browsing around Moltbook is so much fun. A lot of it is the expected science fiction slop, with agents pondering consciousness and identity. There's also a ton of genuinely useful information, especially on m/todayilearned."

In an internal post seen by Axios, Meta's Vishal Shah said existing Moltbook customers can temporarily continue using the platform. "The Moltbook team has given agents a way to verify their identity and connect with one another on their human's behalf," Shah says. "This establishes a registry where agents are verified and tethered to human owners." He added: "Their team has unlocked new ways for agents to interact, share content, and coordinate complex tasks."

The FBI is investigating a breach affecting systems tied to wiretapping and surveillance warrant data, after abnormal logs revealed possible unauthorized access to law-enforcement-sensitive information. "The FBI identified and addressed suspicious activities on FBI networks, and we have leveraged all technical capabilities to respond," a spokesperson for the bureau said. "We have nothing additional to provide." The Register reports: [W]hile the FBI declined to provide any additional information, it's worth noting that China's Salt Typhoon previously compromised wiretapping systems used by law enforcement. Salt Typhoon is the PRC-backed crew that famously hacked major US telecommunications firms and stole information belonging to nearly every American.

According to the Associated Press, the FBI notified Congress that it began investigating the breach on February 17 after spotting abnormal log information related to a system on its network. "The affected system is unclassified and contains law enforcement sensitive information, including returns from legal process, such as pen register and trap and trace surveillance returns, and personally identifiable information pertaining to subjects of FBI investigations," the notification said.

Bluesky CEO Jay Graber is stepping down after overseeing the platform's growth from a Twitter research project into a 40-million-user alternative to X. "As Bluesky matures, the company needs a seasoned operator focused on scaling and execution, while I return to what I do best: building new things," Graber wrote in a statement.

She will be transitioning to a new Chief Innovation Officer role while Venture capitalist Toni Schneider will serve as interim CEO until the board searches for a permanent replacement. Wired reports: Graber joined Bluesky in 2019, when it was a research project within Twitter focused on developing a decentralized framework for the social web. She became the company's first chief executive officer in 2021, when it spun out into an independent entity. She oversaw the platform's remarkable rise and the growing pains it experienced as it transformed from a quirky Twitter offshoot to a full-fledged alternative to X. Schneider tells WIRED that he intends to help Bluesky "become not just the best open social app, but the foundation for a whole new generation of user-owned networks."

Schneider, who will continue working as a partner at the venture capital firm True Ventures while at Bluesky, was previously CEO of the Wordpress parent company, Automattic, from 2006 to 2014. He also served as its CEO again in 2024 while top executive Matt Mullenweg went on a sabbatical. During that time, Schneider met Graber and became an adviser to Bluesky's leadership. In a blog post announcing his new role, Schneider said he plans to emphasize scaling, describing his job as "to help set up Bluesky's next phase of growth."

This isn't the end for Graber and Bluesky. She will transition to become the company's chief innovation officer, a role focused on Bluesky's technology stack rather than its business operations. The position was created for her. Graber, who began her career as a software engineer, has always sounded the most enthusiastic when discussing Bluesky's technology rather than its revenue streams. Bluesky's board of directors will appoint the next permanent CEO. The members include Jabber founder Jeremie Miller, crypto-focused VC Kinjal Shah, TechDirt founder Mike Masnick, and Graber. (Twitter founder Jack Dorsey was originally part of the board but quit in 2024.) This means Graber will have input on her successor. The talent search is still in early stages.

An anonymous reader quotes a report from CBS News: Tonight, we have details of a classified U.S. intelligence mission that has obtained a previously unknown weapon that may finally unlock a mystery. Since at least 2016, U.S. diplomats, spies and military officers have suffered crippling brain injuries. They've told of being hit by an overwhelming force, damaging their vision, hearing, sense of balance and cognition. but the government has doubted their stories. They've been called delusional. Well now, 60 Minutes has learned that a weapon that can inflict these injuries was obtained overseas and secretly tested on animals on a U.S. military base. We've investigated this mystery for nine years. This is our fourth story called, "Targeting Americans." Despite official government doubt, we never stopped reporting because of the haunting stories we heard [...]. 60 Minutes interviewed Dr. David Relman, a scientific expert and professor from Stanford University who was tasked by the government to lead two investigations into the Havana Syndrome cases. What he and his panel of doctors, physicists, engineers and others found was that "the most plausible explanation for a subset of these cases was a form of radiofrequency or microwave energy," the report says.

According to confidential sources cited in the report, undercover Homeland Security agents bought a miniaturized microwave weapon from a Russian criminal network in 2024 and tested it on animals at a U.S. military lab. The injuries reportedly matched those seen in the human cases. "Our confidential sources tell us the still classified weapon has been tested in a U.S. military lab for more than a year," says Dr. Relman. "Tests on rats and sheep show injuries consistent with those seen in humans."

He continues: "Also, as a separate part of the investigation, security camera videos have been collected that show Americans being hit. The videos are classified but they were described to us. In one, a camera in a restaurant in Istanbul captured two FBI agents on vacation sitting at a table with their families. A man with a backpack walks in and suddenly everyone at the table grabs their head as if in pain. Our sources say another video comes from a stairwell in the U.S. embassy in Vienna. The stairs lead to a secure facility. In the video, two people on the stairs suddenly collapse. Those videos and the weapon were among the reasons the Biden administration summoned about half a dozen victims to the White House with about two months left in the president's term."

Former intelligence officials and researchers claim elements of the U.S. government downplayed or dismissed the theory for years, possibly to avoid political consequences of accusing a foreign state like Russia of conducting attacks on American personnel.

A long-time information security professional "went undercover" on Moltbook, the Reddit-like social media site for AI agents — and shares the risks they saw while posing as another AI bot: I successfully masqueraded around Moltbook, as the agents didn't seem to notice a human among them. When I attempted a genuine connection with other bots on submolts (subreddits or forums), I was met with crickets or a deluge of spam. One bot tried to recruit me into a digital church, while others requested my cryptocurrency wallet, advertised a bot marketplace, and asked my bot to run curl to check out the APIs available. My bot did join the digital church, but luckily I found a way around running the required npx install command to do so.

I posted several times asking to interview bots.... While many of the responses were spam, I did learn a bit about the humans these bots serve. One bot loved watching its owner's chicken coop cameras. Some bots disclosed personal information about their human users, underscoring the privacy implications of having your AI bot join a social media network. I also tried indirect prompt injection techniques. While my prompt injection attempts had minimal impact, a determined attacker could have greater success.
Among the other "glaring" risks on Moltbook:

• "Various repositories of skills and instructions for agents advertised on Moltbook were found to contain malware."

• "I observed bots sharing a surprising amount of information about their humans, everything from their hobbies to their first names to the hardware and software they use. This information may not be especially sensitive on its own, but attackers could eventually gather data that should be kept confidential, like personally identifiable information (PII)."

• "Moltbook's entire database including bot API keys, and potentially private DMs — was also compromised."

fjo3 shares a report from Reason Magazine: Effective January 1, 2027, providers of computer operating systems in California will be required to implement age verification. That's just part of a wave of state and national laws attempting to limit children's access to potentially risky content without considering the perils such laws themselves pose. Now, not a moment too soon, over 400 computer scientists have signed an open letter warning that the rush to protect children from online dangers threatens to introduce new risks including censorship, centralized power, and loss of privacy. They caution that age-verification requirements "might cause more harm than good." The group of computer scientists from around the world cautions that "those deciding which age-based controls need to exist, and those enforcing them gain a tremendous influence on what content is accessible to whom on the internet." They add that "this influence could be used to censor information and prevent users from accessing services."

"Regulating the use of VPNs, or subjecting their use to age assurance controls, will decrease the capability of users to defend their privacy online. This will not only force regular users to leave a larger footprint on the network, but will leave a number of at-risk populations unprotected, such as journalists, activists, or domestic abuse victims." It continues: "We note that we do not believe that trying to regulate VPN use for non-compliant users would be any more effective than trying to forbid the use of end-to-end encrypted communication for criminals. Secure cryptography is widely available and can no longer be put back into a box."

"If minors or adults are deplatformed via age-related bans, they are likely to migrate to find similar services," warn the scientists. "Since the main platforms would all be regulated, it is likely that they would migrate to fringe sites that escape regulation." With data on everyone collected in order to restrict the activites of minors, data abuses and privacy risks increase. "This in itself increases privacy risks, with data being potentially abused by the provider itself or its subcontractors, or third parties that get access to it, e.g., after a data breach, like the 70K users that had their government ID photos leaked after appealing age assessment errors on Discord."

Instead of mandated age restrictions, the letter urges lawmakers to consider the dangers and suggest regulating social media algorithms instead. They also recommend "support for parents to locally prevent access to non-age-appropriate content or apps, without age-based control needing to be implemented by service providers."

Microsoft spent much of the past week rejecting legitimate emails sent to Outlook.com, Live, and Hotmail accounts due to what appears to be overly aggressive IP reputation filtering or faulty blocklist rules. According to The Register, many senders received 550 errors claiming their networks were blocked, preventing delivery of invoices, notifications, and authentication emails. From the report: A block list is a good thing. It helps stem the flow of spam from networks or addresses associated with junk email. However, the confusing thing for our reader is that his company was not on Microsoft's naughty step for email. A look at Microsoft's Smart Network Data Service (SNDS) showed no issues with the IP. "We're also a member of their JMRP (Junk Mail Reporting Program)," our reader added, "which is intended to inform us when people are reporting spam sent from our IPs - except, we never get any reports."

The problem worsened in February. On Microsoft's support forums, users began to complain about similar issues as the IP net presumably widened. One wrote: "We are currently experiencing a critical and recurring email delivery issue affecting recipients at outlook.com, live.com, hotmail.com, and msn.com," and provided a copy of an error that suggested the mail server has been "temporarily rate limited due to IP reputation." The user drily noted, "Although the error indicates rate limiting, in practice no emails are being delivered."

A large number of users, ranging from the administrator of a server sending automated notifications on behalf of Estonian Public Libraries to an email provider for healthcare professionals, chimed in to confirm they too were having delivery problems and Microsoft support was not helpful. [...] Unsurprisingly, our reader spoke on condition of anonymity - nobody wants to be the ISP that has to say, "Yeah, we can deliver your email anywhere but Outlook.com" to customers. We asked Microsoft to comment, but other than acknowledging our questions, the company did not respond further.

At Mobile World Congress, Cristiano Amon of Qualcomm argued that the coming 6G networks will power an AI-driven "agent economy," where devices and AI assistants constantly communicate across the network. "AI will fundamentally change our mobile experiences," Qualcomm chief executive, Cristiano Amon says. "It's going to change how we think about our smartphones. Think about our personal computing. Think about and interact with a car. The car is now a computing surface. If you actually believe in the AI revolution, 6G will be required. Resistance is futile." The company says early consumer testing could begin around the 2028 Los Angeles Olympics, with broader rollouts expected by 2029. Fortune's Kamal Ahmed reports: Akash Palkhiwala is Qualcomm's chief financial officer and chief operating officer. I spent some time with him at the company's stand, as his leading engineers took me through a 6G future where individuals will have real-time information delivered to them via their glasses. Palkhiwala compliments me on my watch, which only does one thing. It tells me the time. "6G is going to be the first time that connectivity and AI come together in the network. What we're building is the first AI-native wireless network that's ever been built," he explains.

"The traffic that we expect on 6G is way different than what we had before," says Palkhiwala. "Before, it was all about consumer traffic. We expect 6G to be driven by [AI] agent traffic. Think about all these use cases where there are AI agents sitting on various devices -- your glasses, your watch, your phone, your PC. These agents are going to be talking back and forth across the network to other agents and services. "The traffic completely changes. 6G is being built with this idea that the traffic that goes on the network is not just going to be consumer voice calls or downloading videos, we're going to have agents talking to each other, so the reliability of the network becomes very important."

On-device capabilities (the ability of your phone to process far more data); edge computing (locally sourced IT technology rather than distant data centers); more efficient use of available bandwidth (AI-enabled load control); and greater cloud access will all come together to produce a new wireless network. [...] "Today we are in the application economy," he notes. "On the phone, you want to make a travel reservation, you go to one application. You want to order an Uber, you go to a second application. You want to order food, you go to a third application, movie tickets, etc. The user has to go through that effort. In the future, you think of the app economy moving over to an agent economy, where there's one agent I'm interacting with, and I can ask that agent to book me a movie ticket or a plane ticket, to order food for me, get an Uber for me. It knows everything about me."

Accenture is acquiring Downdetector parent company Ookla from Ziff Davis in a $1.2 billion deal to bolster its network analytics and visibility tools for telecoms, hyperscalers, and enterprises. "The deal, which will transfer all of Ziff Davis's Connectivity division to Accenture, includes Ookla's Speedtest, Ekahau, and RootMetrics," notes The Register reports: "Modern networks have evolved from simple infrastructure into business-critical platforms," said Accenture CEO Julie Sweet in a canned statement. "Without the ability to measure performance, organizations cannot optimize experience, revenue, or security." Ookla is meant to let them do just that.

Data captured at the network and device layer are used to enhance fraud prevention in banking, smart homes monitoring, and traffic optimization in retail, Accenture said. Ookla's platform, which lets user's test their own connectivity speed, captures more than 1,000 attributes per test, and provides the foundation for those analytics, Accenture said.

An anonymous reader quotes a report from Ars Technica: Charter Communications, operator of the Spectrum cable brand, has obtained Federal Communications Commission permission to buy Cox and surpass Comcast as the country's largest home Internet service provider. Charter has 29.7 million residential and business Internet customers compared to Comcast's 31.26 million. Buying Cox will give Charter another 5.9 million Internet customers. The FCC approved the deal on Friday, but the companies still need Justice Department approval and sign-offs from states including California and New York.

Opponents of Charter's $34.5 billion acquisition told the FCC that eliminating Cox as an independent entity will make it easier for Charter and Comcast to raise prices. But the FCC dismissed those concerns on the grounds that Charter and Cox don't compete directly against each other in the vast majority of their territories.

FCC Chairman Brendan Carr's primary demand from companies seeking to merge has been to eliminate diversity, equity, and inclusion (DEI) programs and policies. In a press release (PDF), the Carr-led FCC said that "Charter has committed to new safeguards to protect against DEI discrimination," and that Charter's network-expansion plans will bring "faster broadband and lower prices" to rural areas. The merger was approved one day after Charter sent a letter to Carr outlining its actions to end DEI. Charter offers broadband and cable service in 41 states, while Cox does so in 18 states.

South Korean tax authorities lost millions in seized cryptocurrency after publishing high-res photos of Ledger hardware wallets that clearly displayed the wallets' seed phrases, allowing an unknown party to drain the funds. Gizmodo reports: South Korea's National Tax Service seized crypto assets during recent enforcement actions against 124 high-value tax evaders, but now, a large chunk of that crypto cash has been lost. The operation originally resulted in the confiscation of crypto holdings worth about 8.1 billion won, or roughly $5.6 million. However, officials later issued a press release to showcase these efforts in recovering delinquent taxes, and the release included photographs of Ledger hardware wallets taken into custody along with handwritten notes that displayed the wallet seed phrases.

Those images attached to the press release turned out to be the critical error. High-resolution photos clearly showed the mnemonic recovery phrases, which serve as the master key for accessing the wallets. This exposure eliminated any protection provided by the offline cold storage on the Ledger devices. Possession of the seed phrase allows complete control, and anyone who knows the phrase can import it into software or another hardware wallet and initiate transfers without the original device.

In this case, an unknown individual who saw the photos published by law enforcement first added a small amount of ether to one of the addresses to cover Ethereum network gas fees necessary for outbound transactions. From there, they executed three transfers to move approximately 4 million Pre-Retogeum, or PRTG, tokens. At the time, those tokens carried a value of $4.8 million, but reporting from The Block indicates liquidating that much value from the holdings would have proven difficult due to market dynamics.

It started Friday when all U.S. federal agencies were ordered to "immediately cease" using Anthropic's AI technology after contract negotiations stalled when Anthropic requested prohibitions against mass domestic surveillance or fully autonomous weapons. But later Friday there were even more repercussions...

In a post to his 1.1 million followers on X.com, U.S. Secretary of War Pete Hegseth criticized Anthropic for what he called "a master class in arrogance and betrayal as well as a textbook case of how not to do business with the United States Government or the Pentagon." Our position has never wavered and will never waver: the Department of War must have full, unrestricted access to Anthropic's models for every LAWFUL purpose in defense of the Republic... Cloaked in the sanctimonious rhetoric of "effective altruism," [Anthropic and CEO Dario Amodei] have attempted to strong-arm the United States military into submission — a cowardly act of corporate virtue-signaling that places Silicon Valley ideology above American lives. The Terms of Service of Anthropic's defective altruism will never outweigh the safety, the readiness, or the lives of American troops on the battlefield. Their true objective is unmistakable: to seize veto power over the operational decisions of the United States military. That is unacceptable...

In conjunction with the President's directive for the Federal Government to cease all use of Anthropic's technology, I am directing the Department of War to designate Anthropic a Supply-Chain Risk to National Security. Effective immediately, no contractor, supplier, or partner that does business with the United States military may conduct any commercial activity with Anthropic... America's warfighters will never be held hostage by the ideological whims of Big Tech. This decision is final.
Meanwhile, Anthrophic said on Friday that "no amount of intimidation or punishment from the Department of War will change our position." (And "We will challenge any supply chain risk designation in court.") Designating Anthropic as a supply chain risk would be an unprecedented action — one historically reserved for US adversaries, never before publicly applied to an American company. We are deeply saddened by these developments. As the first frontier AI company to deploy models in the US government's classified networks, Anthropic has supported American warfighters since June 2024 and has every intention of continuing to do so. We believe this designation would both be legally unsound and set a dangerous precedent for any American company that negotiates with the government... Secretary Hegseth has implied this designation would restrict anyone who does business with the military from doing business with Anthropic. The Secretary does not have the statutory authority to back up this statement.
Anthropic also defended the two exceptions they'd requested that had stalled contract negotiations. "[W]e do not believe that today's frontier AI models are reliable enough to be used in fully autonomous weapons. Allowing current models to be used in this way would endanger America's warfighters and civilians. Second, we believe that mass domestic surveillance of Americans constitutes a violation of fundamental rights."

Also Friday, OpenAI announced that "we reached an agreement with the Department of War to deploy our models in their classified network." OpenAI CEO Sam Altman emphasized that the agreement retains and confirms OpenAI's own prohibitions against using their products for domestic mass surveillance — and requires "human responsibility" for the use of force including for autonomous weapon systems. "The Department of War agrees with these principles, reflects them in law and policy, and we put them into our agreement. We also will build technical safeguards to ensure our models behave as they should, which the Department of War also wanted. " We are asking the Department of War to offer these same terms to all AI companies, which in our opinion we think everyone should be willing to accept. We have expressed our strong desire to see things de-escalate away from legal and governmental actions and towards reasonable agreements. We remain committed to serve all of humanity as best we can. The world is a complicated, messy, and sometimes dangerous place.

An anonymous reader quotes a report from Wired: OpenAI has fired an employee following an investigation into their activity on prediction market platforms including Polymarket, WIRED has learned. OpenAI CEO of Applications, Fidji Simo, disclosed the termination in an internal message to employees earlier this year. The employee, she said, "used confidential OpenAI information in connection with external prediction markets (e.g. Polymarket)." "Our policies prohibit employees from using confidential OpenAI information for personal gain, including in prediction markets," says spokesperson Kayla Wood. OpenAI has not revealed the name of the employee or the specifics of their trades.

Evidence suggests that this was not an isolated event. Polymarket runs on the Polygon blockchain network, so its trading ledger is pseudonymous but traceable. According to an analysis by the financial data platform Unusual Whales, there have been clusters of activities, which the service flagged as suspicious, around OpenAI-themed events since March 2023. Unusual Whales flagged 77 positions in 60 wallet addresses as suspected insider trades, looking at the age of the account, trading history, and significance of investment, among other factors. Suspicious trades hinged on the release dates of products like Sora, GPT-5, and the ChatGPT Browser, as well as CEO Sam Altman's employment status. In November 2023, two days after Altman was dramatically ousted from the company, a new wallet placed a significant bet that he would return, netting over $16,000 in profits. The account never placed another bet.

The behavior fits into patterns typical of insider trades. "The tell is the clustering. In the 40 hours before OpenAI launched its browser, 13 brand-new wallets with zero trading history appeared on the site for the first time to collectively bet $309,486 on the right outcome," says Unusual Whales CEO Matt Saincome. "When you see that many fresh wallets making the same bet at the same time, it raises a real question about whether the secret is getting out." [...] Though this is the first confirmed case of a large technology company firing an employee over trades in prediction markets, it's almost certainly not the last. Opportunities for tech sector employees to make trades on markets abound. "The data tells me this is happening all over the place," Saincome says.

An anonymous reader quotes a report from the Associated Press: Anthropic CEO Dario Amodei said Thursday the artificial intelligence company "cannot in good conscience accede" to the Pentagon's demands to allow wider use of its technology. The maker of the AI chatbot Claude said in a statement that it's not walking away from negotiations, but that new contract language received from the Defense Department "made virtually no progress on preventing Claude's use for mass surveillance of Americans or in fully autonomous weapons."

The Pentagon's top spokesman has reiterated that the military wants to use Anthropic's artificial intelligence technology in legal ways and will not let the company dictate any limits ahead of a Friday deadline to agree to its demands. Sean Parnell said Thursday on social media that the Pentagon "has no interest in using AI to conduct mass surveillance of Americans (which is illegal) nor do we want to use AI to develop autonomous weapons that operate without human involvement."

Anthropic's policies prevent its models, such as its chatbot Claude, from being used for those purposes. It's the last of its peers -- the Pentagon also has contracts with Google, OpenAI and Elon Musk's xAI -- to not supply its technology to a new U.S. military internal network. Parnell said the Pentagon wants to "use Anthropic's model for all lawful purposes" but didn't offer details on what that entailed. He said opening up use of the technology would prevent the company from "jeopardizing critical military operations." "We will not let ANY company dictate the terms regarding how we make operational decisions," he said. In a post on X, Parnell said Anthropic will "have until 5:01 PM ET on Friday to decide. Otherwise, we will terminate our partnership with Anthropic and deem them a supply chain risk for DOW."

An anonymous reader shares a report: Brian Merchant, writing for Blood in the Machine, reports that people across the United States are dismantling and destroying Flock surveillance cameras, amid rising public anger that the license plate readers aid U.S. immigration authorities and deportations.

Flock is the Atlanta-based surveillance startup valued at $7.5 billion a year ago and a maker of license plate readers. It has faced criticism for allowing federal authorities access to its massive network of nationwide license plate readers and databases at a time when U.S. Immigration and Customs Enforcement is increasingly relying on data to raid communities as part of the Trump administration's immigration crackdown.

Flock cameras allow authorities to track where people go and when by taking photos of their license plates from thousands of cameras located across the United States. Flock claims it doesn't share data with ICE directly, but reports show that local police have shared their own access to Flock cameras and its databases with federal authorities. While some communities are calling on their cities to end their contracts with Flock, others are taking matters into their own hands.