The Securities and Exchange Commission (SEC) has ruled that blockchain tokens sold through token sales are to be classified as securities, a ruling that was anticipated and that will have a powerful impact on projects looking to fundraise from U.S. investors. The ruling follows an investigation of The DAO, which raised a record-breaking ICO (Initial Coin Offering) last May and then lost one-third of it in a hack. As a result, part of the Ethereum community executed a rollback transaction of the DAO fundraising; The DAO has since been delisted. Continue reading SEC Rules That Blockchain Tokens Are Regulated Securities

Alphabet is launching Glass Enterprise Edition, a new version of Glass, its head-mounted computer. The first version, aimed at consumers, drew widespread concern about privacy, since it could record in public places. This second Glass, targeting corporate customers and training, has been tested at 50 corporations, including Boeing, General Electric and Volkswagen. Designed as a device that snaps on to eyeglasses, Glass allows workers to view instructional content, including video and images, and even broadcast what is viewed to others for real-time instruction. Continue reading Alphabet Resurrects Google Glass for the Enterprise Market

Apple will open its first data center in southwest China, in response to a new Chinese law that requires companies to store data within its borders. The data center, which will be operated in partnership with a local data management company, is part of a $1 billion investment Apple will make in the Guizhou province. Amazon, Facebook and Microsoft have built data centers in Germany, France and the Netherlands among other countries for technical reasons and in response to security concerns of governments and customers. Continue reading Apple to Open New Data Center in China With Local Partner

SenseTime Co., a Beijing-based startup founded in 2014 that sells its facial recognition systems to the Chinese police, just scored $410 million in new venture capital funding that values the company at more than $1.5 billion. The valuation, which makes the company a unicorn, underscores how such surveillance technologies are increasing in importance. Facial recognition breaks down a face into measurements that create a template, and SenseTime uses artificial intelligence to match faces against those in an image database. Continue reading SenseTime Facial Recognition Firm Is Valued at $1.5 Billion

Apple instituted a privacy technology, called differential privacy, that enables its software to understand users without spying on their activities. Now, Microsoft and Uber are also trying out the same technology. While differential privacy reportedly can keep data anonymous, experts warn that it’s becoming easier than ever to identify people from anonymous data sets. That includes biometrics; Citigroup has abandoned a project begun in 2015 to allow customers to scan their irises to access their accounts at an ATM. Continue reading Apple, Microsoft, Uber Turn to New Data Privacy Technology

Google has just standardized its Gmail policy, saying it will no longer scan the user emails of its free consumer service in order to serve targeted ads. The company adopted this policy with its G Suite corporate customers’ emails, and now adds its consumer service to avoid confusion and create a single policy. Google says the new policy, which will impact 1.2 billion consumers, will become active later this year. The company will continue to serve ads, but will draw data from YouTube or search rather than emails. Continue reading Google Creates a Unified Corporate, Consumer Gmail Policy

The European Union issued a record-breaking $2.7 billion fine against Google yesterday for violating EU antitrust rules. Margrethe Vestager, European commissioner for competition, announced that the seven-year investigation determined the U.S. tech giant had manipulated search results in order to place its own shopping service ahead of services offered by rivals, thereby creating an “illegal advantage.” Google now has up to 90 days to adjust its practices or potentially face additional penalties. The company is said to be considering an appeal. Continue reading Antitrust Case: EU Slaps Google With Record $2.7 Billion Fine

The ETC@USC’s Phil Lelyveld gave a presentation on the dark side of AR at Augmented World Expo in Santa Clara on Friday. His goal was to raise awareness of some fundamental issues now, before there is resistance to change from established AR and VR business models. Phil began by describing how the AR and VR landscape is integrally linked to the Internet of Things (it feeds data to the AR/VR experience), artificial intelligence (it will shape the end-user experience and avatar behavior), and to a lesser degree, robotics (the relatable face of the AI). Continue reading Augmented World Expo: ETC Presents the Dark Side of AR

The Trump administration is upending the nascent drone industry, proposing legislation that would allow the federal government to track, commandeer, disable or destroy unmanned aerial vehicles. The legislation would include a new exception to surveillance, computer privacy and aircraft protection laws. The administration held a classified briefing for congressional staff members. At the same time, the D.C.-based U.S. Court of Appeals ruled against the FAA requirement for non-commercial drone owners to register their aircraft. Continue reading Bill Calls For More Drone Control, FAA Registry Struck Down

The European Union’s executive body may establish new rules to give a fairer shake to small businesses using popular Web platforms. Currently, the EU deems that platforms such as Google, Amazon and TripAdvisor set unfair terms for the small businesses that sell or promote products there. These businesses have been complaining to the EU about unilateral contract changes, no access to sales and customer data, below-par transparency regarding their rankings in search results, and no means to resolve disputes. Continue reading EU Considers Implementing New Rules for Big Web Platforms

FCC chair Ajit Pai yesterday outlined his proposed changes to net neutrality rules and the federal regulation of ISPs. Pai is calling for high-speed Internet service to no longer be classified as a public utility, as a counter to policy approved under the Obama administration intended to treat the delivery of all online content equally. Pai’s proposal would lessen new rules and largely leave policing to the industry. He believes strict regulation of telecom, broadcast and cable companies is detrimental to business and innovation. However, his proposals will likely face resistance from companies and advocacy groups that fear such changes would result in broadband providers awarding unfair accommodations to specific news and video sites. Continue reading FCC Chair Unveils Sweeping Changes to Net Neutrality Rules

Burger King released a TV ad in which an actor activates the Google Home digital assistant to describe the ingredients in the Whopper sandwich. Prompted by the actor, Google Home searches Wikipedia for the Whopper and lists the makings of the sandwich. Within hours of the ad’s release, however, both The Verge and BuzzFeed discovered that the commercial no longer activated the device. Burger King did not work with Google to create this marketing approach, and Google reacted by stymying it. Continue reading Google Blocks Burger King Ad From Activating Google Home

Roku seems to be gearing up for a battle regarding net neutrality, as the FCC is expected to repeal or change regulations that require ISPs to treat all Internet traffic equally. Such changes could make it more challenging and potentially more expensive for Roku and others to provide services at top download speeds. In a first for the company, Roku has hired two DC lobbyists to focus on net neutrality issues. The President Obama-era net neutrality rules treat telecoms similarly to utilities. Those who support the regulations believe they are necessary to prevent service providers from throttling speeds or charging media companies more for content delivery. Continue reading Roku Hires Lobbyists, Prepping for Changes to Net Neutrality

Since Congress overturned the Internet privacy rules preventing Internet service providers from sharing or selling customers’ Web browsing history, ISPs have been under attack. Now, Comcast, AT&T and Verizon have published blog posts to reassure their customers. Comcast said it does not sell its broadband customers’ Web browsing histories and has no plans to do so in the future. Verizon made a similar claim, and AT&T’s tack is to tell customers that the nixed privacy laws wouldn’t have really protected them. Continue reading Comcast, AT&T and Verizon Respond to Backlash on Privacy

In a 215-to-205 vote that largely followed party lines, House Republicans successfully dismantled the new FCC Internet privacy protections for individuals, which was landmark legislation of the Obama administration. Overturning the legislation marks a victory for telecoms that are now free to collect and sell data on users’ online activities without permission, although some have expressed plans to honor voluntary privacy policies. The protections were originally slated to go into effect later this year. Continue reading Internet Privacy Legislation Is Overturned in Win for Telecoms