Facing a Congressional hearing on the potential harmful effects of Instagram on teenage girls, Facebook announced it is pausing work on Instagram Kids, intended for children 13 and under. Facebook says it still plans to build a more age-appropriate Instagram but is holding off in the face of what has become a public relations crisis for the company. “This will give us time to work with parents, experts, policymakers and regulators, to listen to their concerns, and to demonstrate the value and importance of this project for younger teens online today,” explained Instagram head Adam Mosseri. Continue reading Facebook Hits Pause on Instagram App for Users 13 & Under

Facebook’s semi-independent Oversight Board is scrutinizing the company’s XCheck (or cross-check) system, which permits famous or powerful users to be held to more lenient behavior rules than other users. The inquiry, which calls out “apparent inconsistencies” in the social media firm’s decision-making, follows an investigative report by The Wall Street Journal. XCheck was initially designed as a quality control system for sanctions against high-profile users, including celebrities, politicians and journalists. It eventually grew to encompass millions of accounts, some of whom were “whitelisted,” which rendered them immune from disciplinary actions. Continue reading XCheck System Is Scrutinized by Facebook Oversight Board

Apple’s notoriously strict terms of doing business in its App Store appear to be loosening. A federal judge has ordered the company to allow developers to offer customers alternative payment methods after ruling that all payments go through Apple violate California’s unfair competition laws. Apple is ordered to within 90 days begin allowing developers to include in their apps payment links to processors other than the App Store. Developers now see a path to avoid handing Apple commissions of up to 30 percent for handling sales through the $100 billion online market.  Continue reading Judge Loosens Apple Stranglehold on App Developer Profits

Twitter is testing a new feature that allows bots to self-identify with a label on their account profiles. Although the feature will allow users to differentiate automated accounts that perform legitimate services — such as retweeting news, providing customer service, PSAs or community alerts — it will not flag the problematic “bad bots” that spread misinformation and spam. Last year, Twitter requested developers specify if an account was a bot, who was powering it and its intended use. The new automated accounts to designate “good bots” will be issued to more than 500 accounts for testing and feedback before they are made available to all developers. Continue reading Twitter Asks Developers to ID ‘Good Bots’ Using New Badge

After an investigation by the Japan Fair Trade Commission (JFTC), Apple agreed to let Netflix, Spotify and some other companies use payment methods outside Apple’s App Store when users sign up for subscriptions. Analysts dub the move a “strategic retreat” from what has been a huge source of revenue for Apple. During Epic Games’ lawsuit against the tech giant, lawyers revealed that 81 percent of the App Store’s 2016 revenue came from games, 3 percent from music and 4 percent from other forms of entertainment. Continue reading Apple Allows Reader Apps to Use Outside Payment Systems

Congress advanced legislation to spend $65 billion to expand high-speed Internet access across the country. The government estimates 14 million U.S. households don’t have broadband, but other sources believe the figure is 40 million or higher. The measure’s allocation of $65 billion for broadband, which in part would subsidize low-income households, would be the biggest ever spent in the United States. Approved by the Senate as part of the $1 trillion infrastructure measure, the measure now faces a vote in the House. Continue reading Congress Pushes Bill to Spend Billions on Broadband Access

The U.S. Senate introduced the Open App Markets Act to give consumers more control over their devices; stop app stores from ‘disadvantaging’ developers and allow them to inform consumers about lower prices and offer competitive pricing; improve the ability of startup apps, third-party app stores and payment services to compete; require devices to allow ‘sideloading’ of apps; and continue to protect privacy, security and safety of consumers. If voted into law, the Act could end Apple and Google’s monopoly over the app ecosystem. Continue reading Senate Measure Could Impact Developers, App Store Models

Experts have warned that the semiconductor shortage will endure, and now Intel chief executive Pat Gelsinger has added his voice with the prediction that the shortage could stretch into 2023. Volkswagen also cautioned that the shortage may get worse in the next six months. The chip shortage is not only causing production delays in the auto industry but raising prices for consumer electronics. Gelsinger said it could take one or two years to achieve a “reasonable supply-and-demand balance.” “We have a long way to go yet,” he suggested. Continue reading Intel Chief Warns the Chip Shortage Could Last Through 2023

Chuck Grassley (R-Iowa) and Amy Klobuchar (D-Minnesota) of the Senate Judiciary Committee are working together on antitrust legislation similar to some of the measures the House Judiciary Committee approved last month. Grassley has yet to offer specific details of proposed legislation but Klobuchar, who is chair of the judiciary panel’s antitrust subcommittee, said a focus on tech companies that offer their own version of products sold by rivals dependent on their platforms is “at the heart of two of the House proposals.” Continue reading Senate Judiciary Committee Pursues New Antitrust Legislation

In a bipartisan vote, the House passed two bills this week designed to boost U.S. research and development programs. The bills are the House’s response to the Senate’s passage of the Endless Frontier Act that puts significant federal funds into emerging technologies with the aim of competing with China. Instead, the bills passed by the House double the amount of money over the next five years for research at the National Science Foundation (NSF) and provides a 7 percent increase for the Energy Department’s Office of Science. Continue reading House Passes Two Bills in Effort to Foster Scientific Research

In a largely bipartisan vote, the Senate appointed antitrust law expert and Columbia Law School associate professor Lina Khan as chair of the Federal Trade Commission after earlier adding her to the agency. Senator Amy Klobuchar announced Khan’s appointment as FTC chair. At 32 years of age, Khan is the youngest person to ever join and lead the FTC. The legal scholar has also been a consistent critic of Big Tech, so her confirmation is evidence that lawmakers from both political parties agree that it is time to further evaluate the growing dominance of those companies. Continue reading Antitrust Law Authority Lina Khan Appointed Chair of the FTC

The Senate passed a bipartisan bill in a 63-32 vote this week that allocates $250 billion for technology R&D to counter foreign competition, primarily from China. The U.S. Innovation and Competition Act (USICA) intends to boost research investment, build semiconductor manufacturing capacity and focus on AI development. The National Science Foundation (NSF) will also play a more significant role. Senator Maria Cantwell (D-Washington) stated the bill is “about investing in that innovation economy of the future.” It still needs to pass the House. Continue reading Senate Passes $250 Billion Bill to Foster Manufacturing, Tech

The Senate Judiciary Committee’s panel on Privacy, Technology and the Law pressed executives from Google’s YouTube, Facebook, and Twitter this week on how user content is shared via algorithms that can be misused. The top Republican on the panel, Senator Ben Sasse (R-Nebraska) stated that the use of such algorithms are “driving us into poisonous echo chambers.” Congress is currently considering the fate of Section 230 of the 1996 Communications Decency Act, which protects platforms from liability for what their users post. Continue reading Senate Judiciary Committee Grills Tech Execs on Algorithms

Senate Finance Committee chair Ron Wyden (D-Oregon) heads a bipartisan group of U.S. senators attempting to understand more about digital advertising auctions and their relationship to personalized ads. The group sent a letter to the largest companies that run these auctions, including AT&T, Index Exchange, Google, Magnite, OpenX Software, PubMatic, Twitter and Verizon Communications. The senators want the names of all foreign clients gaining access to user data through the auctions, citing concerns of national security. Continue reading Senators Press Ad-Auctioneers for Personal Data Sales Info

AT&T expressed opposition to the proposal of subsidized fiber-to-the-home for everyone in the U.S., with the argument that rural communities don’t need anything faster than the existing service’s 10Mbps upload speeds. AT&T executive vice president of federal regulatory relations Joan Marsh defined “broadband for the 21st Century” as its VDSL (very high-speed digital subscriber line), a 14-year-old system that uses copper telephone wires for the last mile to the home. She noted the “significant additional cost” to deploy fiber to every home, saying there is “no compelling reason” to justify the expense. Continue reading AT&T Resists Plan to Bring High-Speed Fiber to Rural Homes