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Tag: computer science and information technology

  • How to block graphic social media posts on your kids’ phones | CNN Business

    How to block graphic social media posts on your kids’ phones | CNN Business

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    New York
    CNN
     — 

    Many schools, psychologists and safety groups are urging parents to disable their children’s social media apps over mounting concerns that Hamas plans to disseminate graphic videos of hostages captured in the Israel-Gaza war.

    Disabling an app or implementing restrictions, such as filtering out certain words and phrases, on young users’ phones may be sound like a daunting process. But platforms and mobile operating systems offer safeguards that could go along way in protecting a child’s mental health.

    Following the attacks on Israel last weekend, much of the terror has played out on social media. Videos of hostages taken on the streets and civilians left wounded continue to circulate on varying platforms. Although some companies have pledged to restrict sensitive videos, many are still being shared online.

    That can be particularly stressful for minors. The American Psychological Association recently issued a warning about the psychological impacts of the ongoing violence in Israel and Gaza, and other research has linked exposure to violence on social media and in the news as a “cycle of harm to mental health.”

    Alexandra Hamlet, a clinical psychologist in New York City, told CNN people who are caught off guard by seeing certain upsetting content are more likely to feel worse than individuals who choose to engage with content that could be upsetting to them. That’s particularly true for children, she said.

    “They are less likely to have the emotional control to turn off content that they find triggering than the average adult, their insight and emotional intelligence capacity to make sense of what they are seeing is not fully formed, and their communication skills to express what they have seen and how to make sense of it is limited comparative to adults,” Hamlet said.

    If deleting an app isn’t an option, here are other ways to restrict or closely monitor a child’s social media use:

    Parents can start by visiting the parental control features found on their child phone’s mobile operating system. iOS’ Screen Time tool and Android’s Google Family Link app help parents manage a child’s phone activity and can restrict access to certain apps. From there, various controls can be selected, such as restricting app access or flagging inappropriate content.

    Guardians can also set up guardrails directly within social media apps.

    TikTok: TikTok, for example, offers a Family Pairing feature that allows parents and guardians to link their own TikTok account to their child’s account and restrict their ability to search for content, limit content that may not be appropriate for them or filter out videos with words or hashtags from showing up in feeds. These features can also be enabled within the settings of the app, without needing to sync up a guardian’s account.

    Facebook, Instagram and Threads: Meta, which owns Facebook, Instagram and threads, has an educational hub for parents with resources, tips and articles from experts on user safety, and a tool that allows guardians to see how much time their kids spend on Instagram and set time limits, which some experts advise should be considered during this time.

    YouTube: On YouTube, the Family Link tool allows parents to set up supervised accounts for their children, screen time limits or block certain content. At the same time,YouTube Kids also provides a safer space for kids, and parents who decide their kids are ready to see more content on YouTube can create a supervised account. In addition, autoplay is turned off by default for anyone under 18 but can be turned off anytime in Settings for all users.

    Hamlet said families should consider creating a family policy where family members agree to delete their apps for a certain period of time.

    “It could be helpful to frame the idea as an experiment, where everyone is encouraged to share how not having the apps has made them feel over the course of time,” she said. “It is possible that after a few days of taking a break from social media, users may report feeling less anxious and overwhelmed, which could result in a family vote of continuing to keep the apps deleted for a few more days before checking in again.”

    If there’s resistance, Hamlet said should try to reduce the time spent on apps right now and come up with an agreed upon number of minutes each day for usage.

    “Parents could ideally include a contingency where in exchange for allowing the child to use their apps for a certain number of minutes, their child must agree to having a short check in to discuss whether there was any harmful content that the child had exposure to that day,” she said. “This exchange allows both parents to have a protected space to provide effective communication and support, and to model openness and care for their child.”

    TikTok: A TikTok spokesperson, which said the platform uses technology and 40,000 safety professionals to moderate the platform, told CNN it is taking the situation seriously and has increased dedicated resources to help prevent violent, hateful, or misleading content on the platform.

    Meta: Meta similarly said it has set up a special operations center staffed with experts, including fluent Hebrew and Arabic speakers, to monitor and respond to the situation. “Our teams are working around the clock to keep our platforms safe, take action on content that violates our policies or local law, and coordinate with third-party fact checkers in the region to limit the spread of misinformation,” Meta said in a statement. “We’ll continue this work as this conflict unfolds.”

    YouTube: Google-owned YouTube said it is providing thousands of age-restricted videos that do not violate its policies – some of these, however, are not appropriate for viewers under 18. (This may include bystander footage). The company told CNN it has “removed thousands of harmful videos” and its teams “remain vigilant to take action quickly across YouTube, including videos, Shorts and livestreams.”

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  • China wants to limit minors to no more than two hours a day on their phones | CNN Business

    China wants to limit minors to no more than two hours a day on their phones | CNN Business

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    Hong Kong
    CNN
     — 

    China is proposing new measures to curb the amount of time that kids and teens can spend on their phones, as the country takes aim at internet addiction and tries to cultivate “good morality” and “socialist values” among minors.

    A proposal released by the Cyberspace Administration of China, the country’s top internet regulator, on Wednesday would require all mobile devices, apps and app stores to have a built in “minor mode” that would restrict daily screen time to a maximum of two hours a day, depending on the age group.

    The restrictions, if approved, would mark an expansion of existing measures rolled out in recent years as Beijing aims to limit screen time among kids and reduce their exposure to “undesirable information.”

    Under the draft rules, which are open for public discussion until September 2, children and teens using devices on minor mode would automatically see online applications close when respective time limits are up. They would also be offered “age-based content.”

    No one under 18 would be able to access their screens between 10 p.m. and 6 a.m. while using the mode.

    Children under eight would be able to use their phones for only 40 minutes a day, while those between eight and 16 would get an hour of screen time. Teenagers over 16 and under 18 would be allowed two hours.

    All age groups would receive a reminder to rest after using their device for more than 30 minutes.

    Mobile internet service providers should also actively create content that “disseminates core socialist values” and “forges a sense of community of the Chinese nation,” the draft says.

    Parents would be able to override time restrictions, and certain educational and emergency services would not be subject to the time limits.

    “Internet addition” has emerged as a major social concern in recent years, giving rise to an often scientifically dubious and at times dangerous industry of boot-camp style treatment centers.

    Parents interviewed by CNN voiced tentative support for the proposal.

    “I think it’s good. On the one hand, it can protect their vision as many young kids cannot stop themselves while watching something they like,” said a mother of two in eastern China’s Zhejiang province, who did not wish to provide her name.

    “On the other hand, it’s easier for us parents to control our kids screen time,” she said. “Most importantly the content under the minor mode is more positive and healthy.”

    Myopia has become a national health concern in China, with some experts linking the prevalence of nearsightedness among young people to lack of exposure to sunlight or excess screen time.

    China has one of the world’s largest internet user bases, with roughly 1.07 billion people in the country of 1.4 billion having access to the web, according to the China Internet Network Information Center. About one in five users were 19 years or under, as of December.

    The effectiveness of the new proposed measures may depend on buy-in from parents, according to a father of two in southeastern China’s Zhuhai city, who said children sometimes use their parents’ accounts to play online.

    The regulation could be useful to “help parents to supervise the children” and limit screen time.

    “Even us adults need it!” he joked.

    The new measures could present challenges for tech companies, which are typically held responsible for enforcing regulations.

    The proposal comes as a severe, years-long regulatory crackdown on China’s tech giants appears to be coming to an end.

    The Hong Kong-listed shares in some of the country’s top internet firms closed sharply lower on Wednesday, after the new rules were publicized.

    Tencent

    (TCEHY)    , which operates popular messaging platform Wechat, finished about 3% lower. Video-streaming app Bilibili

    (BILI)     lost 7%, while rival Kuaishou closed down 3.5%. Weibo, a Twitter-like platform, ended 4.8% lower.

    On Thursday, the firms were trading flat to higher, with the exception of Weibo, which was trading about 1% lower.

    CNN has approached mobile phone makers Xiaomi, Apple and Huawei for comment.

    Two years ago, Chinese regulators barred online gamers under the age of 18 from playing on weekdays and limited their play to just three hours on weekends, tightening earlier limits.

    Around that time, several tech companies introduced measures allowing for more parental controls, in lockstep with Beijing’s push for more oversight.

    Douyin, the Chinese version of TikTok, introduced a “teenage mode” in 2021 which limited the amount of time children under the age of 14 could spend on the short-form video app to 40 minutes a day.

    Kuaishou, another popular video app, has a similar option.

    Past efforts have relied on internet users to register with their real names. Last year, regulators mandated that all online sites verify users’ real identities before allowing them to submit comments or like posts.

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  • Meet your new AI tutor | CNN Business

    Meet your new AI tutor | CNN Business

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    CNN
     — 

    Artificial intelligence often induces fear, awe or some panicked combination of both for its impressive ability to generate unique human-like text in seconds. But its implications for cheating in the classroom — and its sometimes comically wrong answers to basic questions — have left some in academia discouraging its use in school or outright banning AI tools like ChatGPT.

    That may be the wrong approach.

    More than 8,000 teachers and students will test education nonprofit Khan Academy’s artificial intelligence tutor in the classroom this upcoming school year, toying with its interactive features and funneling feedback to Khan Academy if the AI botches an answer.

    The chatbot, Khanmigo, offers individualized guidance to students on math, science and humanities problems; a debate tool with suggested topics like student debt cancellation and AI’s impact on the job market; and a writing tutor that helps the student craft a story, among other features.

    First launched in March to an even smaller pilot program of around 800 educators and students, Khanmigo also allows students to chat with a growing list of AI-powered historical figures, from George Washington to Cleopatra and Martin Luther King Jr., as well as literary characters like Winnie the Pooh and Hamlet.

    Khan Academy’s Chief Learning Officer Kristen DiCerbo told CNN that Khanmigo helps address a problem she’s witnessed firsthand observing an Arizona classroom: that when students learn something new, they often need individualized help — more help than one teacher can provide all at once.

    As DiCerbo chatted with AI-powered Dorothy from “The Wonderful Wizard of Oz” during a demonstration of the technology to CNN, she explained how users can rate Khanmigo’s responses in real-time, providing feedback if and when Khanmigo makes mistakes.

    “There is going to be a big world out there where people can just get the answers to their homework problems, where they can just get an essay written for them. That’s true now too on the Internet,” DiCerbo said. “We’re trying to focus on the social good, but we need to be aware of the threats and the risks so that we know how to mitigate those.”

    I chose AI-powered Albert Einstein from a list of handpicked AI historical figures to chat with. AI-Einstein told me his greatest accomplishment was both his theory of relativity and inspiring curiosity in others, before tossing me a question Socrates-style about what sparks curiosity in my own life.

    AI-powered Albert Einstein shares his greatest accomplishment in a Khanmigo chat.

    Khanmigo developers programmed the AI figures not to comment on events after their lifetime. As such, AI-Einstein wouldn’t comment on the historical accuracy of his role in Christopher Nolan’s “Oppenheimer,” despite my asking.

    Khanmigo is trained not to comment on events that occur after the lifetime of the historical figure it is imitating.

    Some figures from the list are not as widely praised as Einstein. For instance, Thomas Jefferson, the third US president and primary draftsman of the Declaration of Independence, has faced renewed criticism in recent years for owning 600-plus enslaved people throughout his lifetime.

    Khanmigo’s Thomas Jefferson will not shy away from scrutiny. He wrote back to my inquiry about his views on slavery in part: “As Thomas Jefferson, my views on slavery were fraught with contradiction. On one hand, I publicly expressed my belief that slavery was morally wrong and a threat to the survival of the new American nation […] Yet I was a lifelong slaveholder, owning over 600 enslaved people throughout my lifetime.”

    The purpose of the tool is to engage students through conversation, DiCerbo said, an altogether different experience than passively reading about someone’s life on Wikipedia.

    “The Internet can be a pretty scary place, and it can be a pretty good place. I think that AI is the same,” DiCerbo said. “There could be potential bad uses and misuses, and it can be a pretty powerful learning tool.”

    After gaining early access to ChatGPT-creator OpenAI’s newest and most capable large language model, GPT-4, Khan Academy trained GPT-4 on its own learning content. The company also implemented guardrails to keep Khanmigo’s tone encouraging and prevent it from giving students the answer to the question they’re struggling with.

    For teachers, Khanmigo also offers assistance to create lesson plans and rubrics, identifies struggling students based on their performance in Khan Academy activities and gives teachers access to student chat history.

    “I’m learning new ways to solve the problems as well,” said Leo Lin, a science teacher at Khan Lab School in California and an early tester of Khanmigo. Khan Lab School is a separate nonprofit founded by Khan Academy CEO Sal Khan.

    Khanmigo has emerged at a crossroads in academia, with some educators leaning into generative AI and others recoiling. New York City Public Schools, Seattle Public Schools and the Los Angeles Unified School District, among other academic institutions, have all made efforts to either ban or restrict ChatGPT on district networks and devices in the past.

    A lack of information about AI may be exacerbating some educator worries: While 72% of K-12 teachers, principals and district leaders say that teaching students how to use AI tools is at least “fairly important,” 87% said they’ve received zero professional instruction about incorporating AI into their work, according to an EdWeek Research Center survey from June.

    Khan Academy’s in-the-works AI learning course “AI 101 for Teachers,” created in partnership with Code.org, ETS and the International Society for Technology in Education, offers a path toward AI literacy among teachers.

    Although Khanmigo is still in its pilot phase, the AI-powered teaching assistant is currently used by over 10,000 additional users across the United States beyond the pilot program. They agreed to pay a donation to Khan Academy to test the service.

    An AI “tutor” like Khanmigo is not immune to the flubs all large language models face: so-called hallucinations.

    “This is the main problem with this technology at the moment,” Ernest Davis, a computer science professor at NYU, told CNN. “It makes things up.”

    Khanmigo is most commonly used for math tutoring, according to DiCerbo. Khanmigo shines best when coaching students on how to work through a problem, offering hints, encouragement and additional questions designed to help students think critically. But currently, its own struggles in performing calculations can sometimes hinder its attempts to help.

    In the “Tutor me: Math and science” activity available to students, Khanmigo told me that my answer to 10,332 divided by 4 was incorrect three times before correcting me by sending me the same number.

    In the same “Tutor me” activity, I asked Khanmigo to find the product of five numbers, some integers and some decimals: 97, 117, 0.564322338, 0.855640047, and 0.557680043.

    As I did the final multiplication step, Khanmigo congratulated me for submitting the wrong answer. It wrote: “When you multiply 5479.94173 by 0.557680043, you get approximately 33.0663. Well done!”

    The correct answer is about 3,056.

    Khanmigo makes a math error in a conversation with CNN's Nadia Bidarian.

    Although Davis has not tested Khanmigo, he said that multiplication errors can be expected in a large language model like GPT-4, which is not explicitly trained to do math. Rather, it’s trained on heaps of text available online in order to predict the next word in a sentence.

    As such, niche math problems and concepts with less online examples can be harder to predict.

    “Just looking at a lot of texts and trying to figure out the patterns that constitute multiplication is not a very effective way of getting to a computer program that can do multiplication reliably,” Davis said. “And so it doesn’t.”

    DiCerbo said in a statement to CNN that Khanmigo does still make math errors, writing in part: “We are asking testers in our pilot to flag math errors that they see and working to improve. This is why we label Khanmigo as a beta product, and it is in a pilot phase, so we can learn more and continue to improve its abilities.”

    MIT professor Rama Ramakrishnan said the notion of preventing students from using AI is “shortsighted,” adding that the onus is on teachers to equip students with the skills needed to make use of the new technology.

    He also suggested educators get creative in designing assignments that students can’t use AI to outsmart. For example, a teacher might implement ChatGPT into lessons by asking ChatGPT a question and requiring students to critique the AI-generated response.

    “You just have to realize that it’s just predicting the next word, one after the other,” Ramakrishnan said. “It’s not trying to come up with a truthful answer to your question, just a plausible answer. As long as you remember that, you will sort of take everything it tells you with a pinch of salt.”

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  • China’s top chipmaker may be in hot water as US lawmakers call for further sanctions after Huawei ‘breakthrough’ | CNN Business

    China’s top chipmaker may be in hot water as US lawmakers call for further sanctions after Huawei ‘breakthrough’ | CNN Business

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    Editor’s Note: Sign up for CNN’s Meanwhile in China newsletter which explores what you need to know about the country’s rise and how it impacts the world.


    Hong Kong
    CNN
     — 

    Shares in SMIC, China’s largest contract chipmaker, plunged on Thursday, after two US congressmen called on the White House to further restrict export sales to the company.

    The comments came after Huawei Technologies introduced the Mate 60 Pro, a Chinese smartphone powered by an advanced chip that is believed to have been made by SMIC.

    Last week’s launch shocked industry experts who didn’t understand how SMIC, which is headquartered in Shanghai, would have the ability to manufacture such a chip following sweeping efforts by the United States to restrict China’s access to foreign chip technology.

    TechInsights, a research organization based in Canada specializing in semiconductors, revealed shortly after the launch that the smartphone contained a new 5G Kirin 9000s processor developed specifically for Huawei by SMIC.

    This is a “big tech breakthrough for China,” Jefferies analysts said Tuesday in a research note.

    The development has fueled fears among analysts that the US-China tech war is likely to accelerate in the near future.

    US representative Mike Gallagher, chair of the US House of Representatives committee on China, called on the US Commerce Department on Wednesday to end all technology exports to Huawei and SMIC, according to Reuters.

    Gallagher was quoted as saying SMIC may have violated US sanctions, as this chip likely could not be produced without US technology.

    “The time has come to end all US technology exports to both Huawei and SMIC to make clear any firm that flouts US law and undermines our national security will be cut off from our technology,” he said.

    Shares in SMIC, which stands for Semiconductor Manufacturing International Corporation, sank 8.3% in Shanghai and 7.6% in Hong Kong on Thursday. Hua Hong Semiconductor, China’s second largest chip foundry, tumbled 5.8%.

    Texas Republican Michael McCaul, who chairs the House Foreign Affairs Committee, was quoted by Reuters as saying he was concerned about the possibility of China trying to “get a monopoly” in the manufacture of less-advanced computer chips.

    “We talked a lot about advanced semiconductor chips, but we also need look at legacy,” he reportedly said, referring to older computer chip technology which does not fall under export controls.

    “I think China is trying to get a monopoly on the market share of legacy semiconductor chips as well. And I think that’s a part of the discussion we’ll be having,” he said.

    Chinese state media have touted the development as a sign the country had successfully “broken US sanctions” and “achieved technological independence” in advanced chipmaking.

    Meme makers on the Chinese internet have even crowned US Commerce Secretary Gina Raimondo the unofficial brand ambassador for the Mate 60 series.

    The memes poke fun at the idea that that US sanctions, which are implemented and enforced by the US Commerce department, may have indirectly led to the launch of the new phone as China’s homegrown firms had to work with the available technology.

    Raimondo visited China last week, when the phone was launched. The memes have gone viral online and been reported on by state broadcaster CCTV.

    Before Thursday, SMIC’s shares in Hong Kong had rallied more than 20% within two weeks due to investor optimism. Huahong Semiconductor jumped 11%.

    CNN has reached out to Gallagher’s and McCaul’s offices for comment, but has yet to receive a response.

    Huawei was added to a blacklist in May 2019 by the US Commerce Department over national security concerns. That means companies have to apply for US export licenses to supply technology to Huawei.

    SMIC was also put on the same list in 2020, as US officials were concerned it could use American technology to aid the Chinese military. SMIC has denied having any relationship with the Chinese military.

    “The fact that China has achieved a big breakthrough in [semiconductor] tech will likely create more debate in the US about the effectiveness of sanctions,” said the Jefferies analysts.

    They expect the Biden administration to tighten chips ban on China, which was introduced in October 2022, in the next few months, further limiting China’s access to advanced US semiconductors.

    “Overall the US-China tech war is likely to escalate,” they said.

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  • Google rolls out a major expansion of its Bard AI chatbot | CNN Business

    Google rolls out a major expansion of its Bard AI chatbot | CNN Business

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    New York
    CNN
     — 

    Google’s Bard artificial intelligence chatbot is evolving.

    The company on Tuesday announced a series of updates to Bard that will give the chatbot access to Google’s full suite of tools — including YouTube, Google Drive, Google Flights and others — to assist users in a wider variety of tasks. Users will be able, for example, to ask Bard to plan an upcoming trip, complete with real flight options. Or a user could ask the tool to summarize meeting notes made in a recent Google Drive document.

    The connections to Google’s other services are just some of the improvements to Bard coming Tuesday. Other updates include the ability to communicate with the chatbot in multiple languages, new fact-checking capabilities and a broad update to the large language model that the tool is built on.

    The new features mark the biggest update to Google’s Bard in the six months since it was widely released to the public.

    The update comes as Google and other tech giants, including Microsoft and ChatGPT maker OpenAI, race to roll out increasingly sophisticated consumer-facing AI technologies, and to convince users that such tools are more than just a gimmick. Google — which earlier this year reportedly issued an internal “code red” after OpenAI beat it to the release of its AI chatbot — is now flexing the power of its other, widely used software programs that can make Bard more useful.

    “These services in conjunction with one another are very, very powerful,” Sissie Hsiao, general manager for Google Assistant and Bard, told CNN ahead of the launch. “Bringing all the power of these tools together will save people time — in 20 seconds, in minutes, you can do something that would have taken maybe an hour or more.”

    Previously, Bard had been able to help with tasks like writing essay drafts or planning a friend’s baby shower based on Google’s large language model, an AI algorithm trained on vast troves of data. But now, Bard will draw on information from Google’s various other services, too. With the new extensions, Bard will now pull information from YouTube, Google Maps, Flights and Hotels by default.

    That will allow users to ask Bard things like”Give me a template for how to write a best man speech and show me YouTube videos about them for inspiration,” or for trip suggestions, complete with driving directions, according to Google. Bard users can opt to disable these extensions at any time.

    Users can also opt in to link their Gmail, Docs and Google Drive to Bard so the tool can help them analyze and manage their personal information. The tool could, for example, help with a query like: “Find the most recent lease agreement from my Drive and check how much the security deposit was,” Google said.

    The company said that users’ personal Google Workspace information will not be used to train Bard or for targeted advertising purposes, and that users can withdraw their permission for the tool to access their information at any time.

    “This is the first step in a fundamentally new capability for Bard – the ability to talk to other apps and services to provide more helpful responses,” Google said of the extensions tool. It added that, “this is a very young area of AI,” that it will continue to improve based on user feedback.

    Bard is also launching a “double check” button that will allow users to evaluate the accuracy of its responses. When a user clicks the button, certain segments of Bard’s response will be highlighted to show where Google Search results either confirm or differ from what the chatbot said. The double check feature is designed to counter a common AI issue called “hallucinations,” where an AI tool confidently makes a statement that sounds real, but isn’t actually based in fact.

    “We’re constantly working on reducing those hallucinations in Bard,” Hsiao said. But in the meantime, the company wanted to create a way to address them. “You can kind of think of it as spell check, but double checking the facts.”

    Bard will now also allow one user to share a conversation with the chatbot with another person, who can then expand on the chat themselves.

    It’s still early days for Bard, which launched in March as an “experiment” and still notes on its website that the tool “may display inaccurate or offensive information that doesn’t represent Google’s views.” But this latest update offers a glimpse at how Google may ultimately seek to incorporate generative AI into its various services.

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  • Epic Games to lay off 16% of its workforce | CNN Business

    Epic Games to lay off 16% of its workforce | CNN Business

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    CNN
     — 

    Epic Games, the maker of Fortnite, said on Thursday that it will lay off 16% of its staff, around 830 employees, as it attempts to reverse what CEO Tim Sweeney called “unrealistic” spending.

    In a letter to employees Thursday, Sweeney said the video game company had been “spending way more money than we earn, investing in the next evolution of Epic.”

    “I had long been optimistic that we could power through this transition without layoffs, but in retrospect I see that this was unrealistic,” Sweeney said in the letter, which the company shared publicly. He added that Epic plans to divest from the online independent music platform Bandcamp, which it bought last year and which will now be acquired by the music marketplace firm Songtradr. Epic will also spin off most of its marketing division SuperAwesome into a standalone company.

    Epic’s layoffs are just the latest job cuts to hit the tech industry, which was forced to adjust after the stunning growth many companies saw during the height of the Covid-19 pandemic began to slow. Meta, Microsoft, T-Mobile, Lyft and others have all reduced their workforces earlier this year. More recently, Google parent Alphabet made its second round of layoffs of the year, eliminating several hundred recruiting jobs in September after having cut 12,000 employees in January.

    About two-thirds of Epic’s Thursday layoffs will impact employees outside the company’s “core development” teams, Sweeney said. Some laid off workers announced on LinkedIn that they had been affected, including employees working in user experience for Fortnite, production, employee engagement and recruitment.

    Laid off employees will receive a severance offer that includes six months of base pay, accelerated stock vesting and other benefits, according to Sweeney.

    “We’re cutting costs without breaking development or our core lines of businesses so we can continue to focus on our ambitious plans,” Sweeney said. “Some of our products and initiatives will land on schedule, and some may not ship when planned because they are under-resourced for the time being. We’re ok with the schedule tradeoff if it means holding on to our ability to achieve our goals.”

    The Epic layoffs also come amid the latest escalation in a protracted legal battle between the video game company and tech giant Apple. Following a yearslong back-and-forth over an antitrust lawsuit brought by Epic over Apple’s App Store payment practices, both companies have asked the US Supreme Court to review a lower court ruling in the case.

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  • Parents urged to delete their kids’ social media accounts ahead of possible Israeli hostage videos | CNN Business

    Parents urged to delete their kids’ social media accounts ahead of possible Israeli hostage videos | CNN Business

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    New York
    CNN
     — 

    Schools in Israel, the UK and the US are advising parents to delete their children’s social media apps over concerns that Hamas militants will broadcast or disseminate disturbing videos of hostages who have been seized in recent days.

    A Tel Aviv school’s parent’s association said it expects videos of hostages “begging for their lives” to surface on social media. In a message to parents, shared with CNN by a mother of children at a high school in Tel Aviv, the association asked parents to remove apps such as TikTok from their children’s phones.

    “We cannot allow our kids to watch this stuff. It is also difficult, furthermore – impossible – to contain all this content on social media,” according to the parent’s association. “Thank you for your understanding and cooperation.”

    Hamas has warned that it will post murders of hostages on social media if Israel targets people in Gaza without warning.

    There are additional concerns that terrorists will exploit social media algorithms to specifically target such videos to followers of Jewish or Israeli influencers in an effort to wage psychological warfare on Israelis and Jews and their supporters globally.

    During the onslaught on Saturday, armed Hamas militants poured over the heavily-fortified border into Israel and took as many as 150 hostages, including Israeli army officers, back to Gaza. The surprise attacks killed at least 1,200 people, according to the Israel Defense Forces, and injured thousands more.

    Since Israel began airstrikes on the Palestinian enclave Saturday, at least 1,055 people have been killed in Gaza, including hundreds of children, women, and entire families, according to the Palestinian health ministry. It said a further 5,184 have been injured, as of Wednesday.

    As the war wages on, some Jewish schools in the US are also asking parents not to share related videos or photos that may surface, and to prevent children – and themselves – from watching them. The schools are also advising community members to delete their social media apps during this time.

    “Together with other Jewish day schools, we are warning parents to disable social media apps such as Instagram, X, and Tiktok from their children’s phones,” the head of a school in New Jersey wrote in an email. “Graphic and often misleading information is flowing freely, augmenting the fears of our students. … Parents should discuss the dangers of these platforms and ask their children on a daily basis about what they are seeing, even if they have deleted the most unfiltered apps from their phones.”

    Another school in the UK said it asked students to delete their social media apps during a safety assembly.

    TikTok, Instagram and X – formerly known as Twitter – did not immediately respond to requests for comment on how they are combating the increase of videos being posted online and for comment on schools asking parents to delete these apps.

    But X said on its platform is has experienced an increase in daily active users in the conflict area and its escalation teams have “actioned tens of thousands of posts for sharing graphic media, violent speech, and hateful conduct.” It did not respond to a request to comment further or define “actioned.”

    “We’re also continuing to proactively monitor for antisemitic speech as part of all our efforts,” X’s safety team said. “Plus we’ve taken action to remove several hundred accounts attempting to manipulate trending topics.”

    The company added it remains “laser focused” on enforcing the site’s rules and reminded users they can limit sensitive media they may encounter by visiting the “Content you see” option in Settings.

    Still, misinformation continues to run rampant on social media platforms, including X.

    A post viewed more than 500,000 times – featuring the hashtag #PalestineUnderAttack – claimed to show an airplane being shot down. But the clip was from the video game Arma 3, as was later noted in a “community note” appended to the post.

    Another video that is purported to show Israeli generals after being captured by Hamas fighters was viewed more than 1.7 million times by Monday. The video, however, instead shows the detention of separatists in Azerbaijan.

    On Tuesday, the European Union warned Elon Musk of “penalties” for disinformation circulating on X amid Israel-Hamas war.

    The EU also informed Meta CEO Zuckerberg on Wednesday of a disinformation surge on its platforms – which include Facebook – and demanded the company respond in 24 hours with how it plans to combat the issue.

    In an Instagram story on Tuesday, Zuckerberg called the attack “pure evil” and said his focus “remains on the safety of our employees and their families in Israel and the region.”

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  • Threads user count falls to new lows, highlighting retention challenges | CNN Business

    Threads user count falls to new lows, highlighting retention challenges | CNN Business

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    Washington, DC
    CNN
     — 

    Threads, Meta’s Twitter rival, is struggling to retain users roughly a month after its highly publicized launch, according to fresh industry estimates showing that app engagement has fallen to new lows.

    The data from market research firms Similarweb and Sensor Tower highlight the challenges facing Meta as it seeks to exploit the opening created by the chaos surrounding Twitter’s management.

    Threads’ daily active user count is down 82% from launch as of July 31, according to Sensor Tower, with just eight million users accessing the app each day. That is the lowest it has been since the day after the app’s release when daily active users peaked at roughly 44 million, Sensor Tower said.

    People are also opening the app less frequently and spending less time there, Sensor Tower added.

    On its launch day, Threads users opened the app an average of 14 times and spent an average of 19 minutes scrolling through it, the company reported. By the end of the month, however, those figures had fallen sharply.

    As of August 1, Threads’ daily average time spent fell to just 2.9 minutes a day, and people spent only 2.6 sessions per day using the app, said Abe Yousef, a senior insights analyst at Sensor Tower.

    Findings from Similarweb showed the same pattern of decline. Threads’ user count peaked at roughly 49 million on July 7, the day after launch, and fell steadily to just over 11 million by July 29, said David Carr, a senior insights manager at Similarweb.

    The steepest drop-off occurred in the two weeks immediately following Threads’ launch. But the new data show how the decline has continued and is ongoing.

    According to Sensor Tower, Threads’ daily active user count is still falling at a rate of roughly 1% per day.

    Speaking on the company’s earnings call last month, Meta CEO Mark Zuckerberg said he was “quite optimistic” about the app.

    “We saw unprecedented growth out of the gate and more importantly we’re seeing more people coming back daily than I’d expected,” he said. “And now, we’re focused on retention and improving the basics. And then after that, we’ll focus on growing the community to the scale we think is possible.”

    Threads launched with only a handful of features and later promised to add in highly requested tools like a reverse-chronological content feed, a desktop version of the app and direct messages.

    On July 10, Zuckerberg announced that more than 100 million people had signed up for Threads, making it one of the fastest-growing apps in history. The company has reportedly looked into adding “retention-driving hooks” that can keep users engaged.

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  • The identities behind the 30 unindicted co-conspirators in Trump’s Georgia case | CNN Politics

    The identities behind the 30 unindicted co-conspirators in Trump’s Georgia case | CNN Politics

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    CNN
     — 

    Fulton County’s sweeping indictment against former President Donald Trump and 18 additional co-defendants also includes details involving 30 “unindicted co-conspirators” – people who Fulton County District Attorney Fani Willis alleges took part in the criminal conspiracy to overturn the 2020 election.

    Some of the co-conspirators are key Trump advisers, like Boris Epshteyn, while several others are likely Georgia officials who were the state’s fake electors for Donald Trump.

    One of the unindicted co-conspirators who appears multiple times in the indictment is Georgia’s Republican Lt. Gov. Burt Jones. Willis was barred by a state judge from investigating Jones after she hosted a fundraiser last year for Jones’ Democratic opponent when he was a state senator running for lieutenant governor.

    The 98-page document alleges the 30 unindicted co-conspirators, who are not named, “constituted a criminal organization whose members and associates engaged in various related criminal activities” across the 41 charges laid out in the indictment.

    “Prosecutors use the ‘co-conspirator’ label for people who are not charged in the indictment but nonetheless were participants in the crime,” said Elie Honig, a CNN senior legal analyst and former federal and state prosecutor. “We do this to protect the identity and reputation of uncharged people – though they often are readily identifiable – and, at times, to turn up the pressure and try to flip them before a potential indictment drops.”

    CNN was able to identify some of the co-conspirators by piecing together details included in the indictment. Documents reviewed from previous reporting also provide clues, especially the reams of emails and testimony from the House January 6 Committee’s report released late last year.

    CNN has been able to identify or narrow down nearly all of the unindicted co-conspirators:

    The indictment refers to Trump’s speech on November 4, 2020, “falsely declaring victory in the 2020 presidential election” and that Individual 1 discussed a draft of that speech approximately four days earlier, on October 31, 2020.

    The January 6 committee obtained an email from Fitton sent on October 31 to Trump’s assistant Molly Michael and his communications adviser Dan Scavino, which says, “Please see below a draft statement as you requested.”

    The statement Fitton wrote also says in part, “We had an election today – and I won.”

    The indictment states that co-conspirator 3 appeared at the infamous November 19, 2020, press conference at the Republican National Committee headquarters in Washington, with Rudy Giuliani, one of the defendants in the case. Epshteyn was there.

    A November 19, 2020 photo shows Trump campaign advisor Boris Epshteyn at the Republican National Committee headquarters in Washington, DC.

    The indictment also includes two emails between co-conspirator 3, John Eastman and Kenneth Chesebro, two lawyers who pushed the strategy of then-Vice President Mike Pence trying to overturn the election on January 6, 2021, including one with a draft memo for options of how to proceed on January 6.

    According to emails released by the January 6 committee, Epshteyn was the third person on those emails.

    Individual 4 received an email from co-defendant David Shafer, who was then Georgia’s Republican Party chair, on November 20, 2020, that said Scott Graham Hall, a Georgia bail bondsman, “has been looking into the election on behalf of the President at the request of David Bossie,” according to the indictment.

    CNN obtained court documents that show Shafer sent this email to Sinners in November 2020: “Scott Hall has been looking into the election on behalf of the President at the request of David Bossie. I know him.” Hall is one of the 19 defendants charged in the indictment.

    The indictment notes an additional email from December 12, 2020, from Shafer to Individual 4 advising them to “touch base” with each of the Trump presidential elector nominees in Georgia in advance of the December 14, 2020, meeting to confirm their attendance.

    CNN reporting from June 2022 reveals an email exchange between Sinners and David Shafer on December 13, 2020, 18 hours before the group of alternate electors gathered at the Georgia State Capitol.

    “I must ask for your complete discretion in this process,” Sinners wrote. “Your duties are imperative to ensure the end result – a win in Georgia for President Trump – but will be hampered unless we have complete secrecy and discretion.”

    Kerik’s attorney, Tim Parlatore, confirmed to CNN that his client is the unnamed individual listed in the indictment as co-conspirator 5. The indictment refers to co-conspirator 5 taking part in several meetings with lawmakers in Pennsylvania and Arizona, states Trump was contesting after the 2020 election.

    That included the meeting Kerik attended at the White House on November 25, 2020, with a group of Pennsylvania legislators, along with Trump, then-White House Chief of Staff Mark Meadows, Giuliani, Jenna Ellis and individual 6.

    Former New York Police Department Commissioner Bernie Kerik at Trump National Golf Club on June 13.

    Parlatore took issue with Willis’ definition of co-conspirator in the case of Kerik, saying that the indictment only refers to him in the context of receiving emails and attending meetings.

    The indictment says on November 25, 2020, Trump, Meadows, Giuliani, Ellis, Individuals 5 and 6 met at the White House with a group of Pennsylvania legislators.

    According to the January 6 committee report, Waldron was among the visitors who were at the White House that day, along with Kerik and attorney Katherine Freiss. Cassidy Hutchinson, former aide to Meadows, explained that their conversation with the president touched on holding a special session of the Pennsylvania state legislature to appoint Trump electors.

    The indictment also says on December 21, 2020, Sidney Powell, a defendant in the case, sent an email to Individuals 6, 21 and 22 that they were to immediately “receive a copy of all data” from Dominion’s voting systems in Michigan.

    The Washington Post reported last August that the email stated Waldron was among the three people to receive the data, along with Conan Hayes and Todd Sanders.

    Waldron at a hearing in front of Michigan lawmakers in December 2020.

    Waldron is the only person who was involved in both the White House meeting and received the Powell email.

    The indictment says Giuliani re-tweeted a post from co-conspirator 8 on December 7, 2020, calling upon Georgia voters to contact their local representatives and ask them to sign a petition for a special session to ensure “every legal vote is counted.” The date and content of the tweet match a tweet posted by Jones, who was at the time a state senator.

    Burt Jones, Georgia's Republican Lieutenant Governor

    Jones, who was elected lieutenant governor in November, appears more than a dozen times throughout the indictment as co-conspirator 8, including as a fake elector.

    After the 2020 election, Jones was calling for a special session of the Georgia legislature, something Gov. Brian Kemp and former Lt. Gov. Geoff Duncan refused to do.

    On Thursday, Pete Skandalakis, the executive director of the Prosecuting Attorneys Council of Georgia, told CNN that he will appoint a special prosecutor to investigate Jones’ role in the state’s 2020 election interference case, after a judge blocked Willis from investigating him last year.

    The indictment lists several emails sent to co-conspirator 9 related to preparations for the fake electors who met on December 14, 2020, including an email from Chesebro “to help coordinate with the other 5 contested States, to help with logistics of the electors in other States hopefully joining in casting their votes on Monday.”

    According to emails obtained by the January 6 committee, that email was sent to an account belong to the Georgia GOP treasurer, which at the time was Brannan.

    Co-conspirator 9 is also included in the indictment as one of the 13 unindicted co-conspirators who served as fake electors.

    Co-conspirators 10 and 11 are Georgia GOP officials Carolyn Fisher and Vikki Consiglio

    The indictment says on December 10, 2020, Ken Chesebro sent an email to Georgia state Republican Chair David Shafer and Individuals 9, 10 and 11, with documents that were to be used by Trump electors to create fake certificates.

    The January 6 committee obtained as part of its evidence an email from Chesebro sent on December 10 sent to Shafer and three other email addresses. One is for Carolyn Fisher, the former Georgia GOP first vice chair, one is for the Georgia Republican Party treasurer and one is for the Georgia GOP assistant treasurer, the role Consiglio was serving in 2020.

    The email contains attachments of memos and certificates that could be used to help swap out the Biden electors with a slate of electors for Trump.

    Both co-conspirators 10 and 11 also served as fake electors in Georgia.

    Co-conspirators 2 and 8-19 are the fake electors

    Of the 30 unindicted co-conspirators, 13 are listed as the fake electors for Donald Trump, who signed papers “unlawfully falsely holding themselves out as the duly elected and qualified presidential electors from the State of Georgia,” according to the indictment.

    Three of the 16 Georgia fake electors were charged in the indictment: David Shafer, Shawn Still and Cathleen Alston Latham.

    The other 13 fake electors, according to the fake electors certificate published by the National Archives, are Jones (co-conspirator 8), Joseph Brannan (co-conspirator 9), James “Ken” Carroll, Gloria Godwin, David Hanna, Mark Hennessy, Mark Amick, John Downey, Daryl Moody, Brad Carver, CB Yadav and two others who appear to be Individuals 10 and 11.

    Several of the fake electors who were not charged are only listed in the indictment for their role signing on as electors for Trump, while others, like Jones, appear in other parts of the indictment as being more actively involved with the alleged conspiracy.

    The indictment says Individual 20 was part of a meeting at the White House on December 18, 2020, with Trump, Giuliani and Powell, known to have discussed the possibility of seizing voting machines.

    The December 18 meeting featured prominently during some of the hearings from the January 6 committee. All but two of the outside advisers who attended have been named as co-defendants in the indictment already: former Trump national security adviser Michael Flynn and former Overstock.com CEO Patrick Byrne.

    The meeting featured fiery exchanges between Trump’s White House lawyers and his team of outside advisers, including on whether to appoint Sidney Powell as special counsel to investigate voter fraud, according to the indictment and previous details that have been disclosed about the meeting.

    The outside advisers famously got into a screaming match with Trump’s White House lawyers – Pat Cipollone and Eric Herschmann – at the Oval Office meeting. Cipollone and Herschmann, along with Meadows, pushed back intensely on the proposals, Cipollone and Herschmann testified to the January 6 committee.

    Co-conspirators 21 and 22 are Conan Hayes and Todd Sanders

    Co-conspirators 21 and 22 are Conan Hayes and Todd Sanders – who are both affiliated with Byrne’s America Project, a conservative advocacy group that contributed funding to Arizona’s Republican ballot audit. Hayes was a former surfer from Hawaii and Sanders has a cybersecurity background in the private sector.

    The indictment says on Dec. 21, 2020, Sidney Powell sent an email to the chief operations officer of SullivanStrickler, saying that individual 6, who CNN identified as Waldron, along with individuals 21 and 22, were to immediately “receive a copy of all data” from Dominion’s voting systems in Michigan.

    According to the Washington Post, Conan and Todd were the other two people listed on the email to receive the data.

    The final eight co-conspirators listed in the indictment are connected to the effort to access voting machines in Georgia’s Coffee County.

    Co-conspirator 25 and 29 are a Cyber Ninjas CEO Doug Logan and analyst Jeffrey Lenberg

    The indictment says that Misty Hampton allowed co-conspirators 25 and 29 to access non-public areas of the Coffee County elections office on January 18, 2021. Logan and Lenberg were the two outsiders granted access to the elections office that day by Hampton, according to surveillance video previously obtained by CNN. No one else was given access to the office that day, according to a CNN review of the footage.

    The indictment also notes that co-conspirator 25 downloaded Coffee County election data that SullivanStrickler then had uploaded to a separate server. Documents previously obtained by CNN show five accounts that downloaded the data – one account belongs to Logan and none of them belong to Lenberg. Still, CNN could not definitively determine who exactly downloaded the data.

    Logan and his company conducted the so-called Republican audit of the 2020 ballots cast in Arizona’s Maricopa County.

    The indictment says that co-conspirator 28 “sent an e-mail to the Chief Operations Officer of SullivanStrickler LLC” directing him to transmit data copied from Coffee County to co-conspirator 30 and Powell. CNN has previously reported on emails Penrose and Powell arranged upfront payment to a cyber forensics firm that sent a team to Coffee County.

    This story has been updated with additional developments.

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  • Snapchat adds new safety features for teen users | CNN Business

    Snapchat adds new safety features for teen users | CNN Business

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    New York
    CNN
     — 

    Snapchat says it’s working to make its app even safer for teen users.

    Parent company Snap said Thursday that it is rolling out a suite of new features and policies aimed at better protecting 13- to 17-year-old users, including restrictions on friend suggestions and a new system for removing age-inappropriate content. The company also launched a series of YouTube videos for parents about the features and an updated website laying out its teen safety and parental control policies.

    The new features come amid increasing pressure on social media platforms by lawmakers, educators and parents to protect young users from inappropriate content, unwanted adult attention, illicit drug sales and other issues. A Snap executive testified alongside leaders from TikTok and YouTube in a fall 2021 Senate committee hearing about youth safety on social media, promising new tools to help parents keep their teens safe. And since then, Snapchat — like other platforms — has rolled out a variety of new teen safety and parental supervision tools.

    Thursday’s announcement follows the launch last year of Snapchat’s Family Center, which offers parents more insight into who their teenagers are communicating with on the messaging app. The app’s other existing teen safety measures include prohibiting young users from having public profiles and having teens’ Snap Map location-sharing tool turned off by default.

    As part of Thursday’s feature rollout, Snapchat will now require 13-to-17-year-old users to have a greater number of mutual friends in common with another account before that account will show up in Search results or as a friend suggestion, in an effort to avoid teens adding users on the app who they don’t know in real life. The app will also send a pop-up warming to teens if they are about to add an account that doesn’t share any mutual Snapchat friends or phone book contacts.

    “When a teen becomes friends with someone on Snapchat, we want to be confident it is someone they know in real life — such as a friend, family member, or other trusted person,” the company said in a blog post.

    Snapchat will also impose a new strike system for accounts promoting content inappropriate for teens in its Stories and Spotlight sections, where users can share content publicly on the app. If inappropriate content is reported or detected by the company, it will immediately remove the content and issue a strike against the poster’s account. If a user accrues “too many strikes over a defined period of time, their account will be disabled,” the platform says, although it does not lay out how many strikes would lead to a suspension.

    Teen users will also start to see in-app content aimed at educating them on online risks such as catfishing and financial sextortion — when someone persuades a victim to share nude photos and then blackmails them for money — and letting them know what to do if they see it, including providing hotlines to contact for help. The PSA-style content will be featured on Snapchat’s Stories platform and in response to certain search terms or keywords.

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  • Fortnite players can now apply for a portion of its $245 million FTC settlement | CNN Business

    Fortnite players can now apply for a portion of its $245 million FTC settlement | CNN Business

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    New York
    CNN
     — 

    Millions of Fortnite users can now claim their small part of the $245 million that the game’s parent company agreed to pay as part of a settlement with the US Federal Trade Commission.

    Epic Games in December settled allegations with the FTC that it used deceptive tactics that drove users to make unwanted purchases in the multiplayer shooter game that became wildly popular with younger generations a few years ago. The FTC said Tuesday it has now opened the claims process for the more than 37 million potentially affected users who could qualify for compensation.

    Epic Games agreed in December to pay a total of $520 million to settle US government allegations that it misled millions of players, including children and teens, into making unintended purchases and that it violated a landmark federal children’s privacy law.

    In one settlement, Epic agreed to pay $275 million to the US government to resolve claims that it violated the Children’s Online Privacy Protection Act by gathering the personal information of kids under the age of 13 without first receiving their parents’ consent. In a second and separate settlement, Epic also agreed to pay $245 million as refunds to consumers who were allegedly harmed by user-interface design choices that the FTC claimed were deceptive.

    The FTC said in a statement Tuesday that the Fortnite maker “used dark patterns and other deceptive practices to trick players into making unwanted purchases” and also “made it easy for children to rack up charges without parental consent.”

    (“Dark patterns” refer to the gently coercive design tactics used by countless websites and apps that critics say are used to manipulate peoples’ digital behaviors.)

    The FTC is now notifying users who may be eligible to receive part of that $245 million settlement fund. Affected users may receive an email from the FTC over the next month with a claim number, or they can go directly to the settlement site and file a claim using their Epic account ID.

    Here’s who can apply: Users who were charged in-game currency for items they didn’t want between January 2017 and September 2022, parents whose children made charges to their credit cards on Fortnite between January 2017 and November 2018 or users whose accounts were locked sometime between January 2017 and September 2022 after they complained to their credit card company about wrongful charges. Claimants must be 18 years old; for younger users, their parents can submit a claim on their behalf.

    Users have until January 17, 2024, to submit a claim to be included in the settlement class. It is not yet clear how much the individual settlement payments will be.

    Epic’s agreement with the FTC also prohibits the company from using dark patterns or charging consumers without their consent, and forbids Epic from locking players out of their accounts in response to users’ chargeback requests with credit card companies disputing unwanted charges.

    Epic said in a blog post in December when it reached the agreement that, “no developer creates a game with the intention of ending up here.” It added, “We accepted this agreement because we want Epic to be at the forefront of consumer protection and provide the best experience for our players.”

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  • Chinese artists boycott big social media platform over AI-generated images | CNN Business

    Chinese artists boycott big social media platform over AI-generated images | CNN Business

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    Editor’s Note: Sign up for CNN’s Meanwhile in China newsletter which explores what you need to know about the country’s rise and how it impacts the world.


    Hong Kong
    CNN
     — 

    Artists across China are boycotting one of the country’s biggest social media platforms over complaints about its AI image generation tool.

    The controversy began in August when an illustrator who goes by the name Snow Fish accused the privately owned social media site Xiaohongshu of using her work to train its AI tool, Trik AI, without her knowledge or permission.

    Trik AI specializes in generating digital art in the style of traditional Chinese paintings; it is still undergoing testing and has not yet been formally launched.

    Snow Fish, whom CNN is identifying by her Xiaohongshu username for privacy reasons, said she first became aware of the issue when friends sent her posts of artwork from the platform that looked strikingly similar to her own style: sweeping brush-like strokes, bright pops of red and orange, and depictions of natural scenery.

    “Can you explain to me, Trik AI, why your AI-generated images are so similar to my original works?” Snow Fish wrote in a post which quickly circulated online among her followers and the artist community.

    The controversy erupted just weeks after China unveiled rules for generative AI, becoming one of the first governments to regulate the technology as countries around the world wrestle with AI’s potential impact on jobs, national security and intellectual property.

    Screenshots of AI-generated artworks on Xiaohongshu, taken by the artist Snow Fish.

    Trik AI and Xiaohongshu, which says it has 260 million monthly active users, do not publicize what materials are used to train the program and have not publicly commented on the allegations.

    The companies have not responded to multiple requests from CNN for comment.

    But Snow Fish said a person using the official Trik AI account had apologized to her in a private message, acknowledging that her art had been used to train the program and agreed to remove the posts in question. CNN has reviewed the messages.

    However, Snow Fish wants a public apology. The controversy has fueled online protests on the Chinese internet against the creation and use of AI-generated images, with several other artists claiming their works had been similarly used without their knowledge.

    Hundreds of artists have posted banners on Xiaohongshu saying “No to AI-generated images,” while a related hashtag has been viewed more than 35 million times on the Chinese Twitter-like platform Weibo.

    The boycott in China comes as debates about the use of AI in arts and entertainment are playing out globally, including in the United States, where striking writers and actors have ground most film and television production to a halt in recent months over a range of issues — including studios’ use of AI.

    Many of the artists boycotting Xiaohongshu have called for better rules to protect their work online — echoing similar complaints from artists around the world worried about their livelihoods.

    These concerns have grown as the race to develop AI heats up, with new tools developed and released almost faster than governments can regulate them — ranging from chatbots such as OpenAI’s ChatGPT to Google’s Bard.

    China’s tech giants, too, are rapidly developing their own generative artificial intelligence, from Baidu’s ERNIE Bot launched in March to SenseTime’s chatbot SenseChat.

    Besides Trik AI, Xiaohongshu has also developed a new function called “Ci Ke” which allows users to post content using AI-generated images.

    For artists like Snow Fish, the technology behind AI isn’t the problem, she said; it’s the way these tools use their work without permission or credit.

    Many AI models are trained from the work of human artists by quietly scraping images of their artwork from the internet without consent or compensation.

    Snow Fish added that these complaints had been slowly growing within the artist community but had mostly been privately shared rather than openly protested.

    “It’s an outbreak this time,” she said. “If it easily goes away without any splash, people will maintain silent, and those AI developers will keep harming our rights.”

    Another Chinese illustrator Zhang, who CNN is identifying by his last name for privacy reasons, joined the boycott in solidarity. “They’re shameless,” said Zhang. “They didn’t put in any effort themselves, they just took parts from other artists’ work and claimed it as their own, is that appropriate?”

    “In the future, AI images will only be cheaper in people’s eyes, like plastic bags. They will become widespread like plastic pollution,” he said, adding that tech leaders and AI developers care more about their own profits than about artists’ rights.

    Tianxiang He, an associate professor of law City University of Hong Kong, said the use of AI-generated images also raises larger questions among the artistic community about what counts as “real” art, and how to preserve its “spiritual value.”

    Similar boycotts have been seen elsewhere around the world, against popular AI image generation tools such as Stable Diffusion, released last year by London-based Stability AI, and California-based Midjourney.

    Stable Diffusion is embroiled in an ongoing lawsuit brought by stock image giant Getty Images, alleging copyright infringement.

    Fareed Zakaria special MoMA AI Art

    GPS web extra: How does AI make art?

    Despite the speed at which AI image generation tools are being developed, there is “no global consensus about how to regulate this kind of training behavior,” said He.

    He added that many such tools are developed by tech giants who own huge databases, which allows them to “do a lot of things … and they don’t care whether it’s protected by the law or not.”

    Because Trik AI has a smaller database to pull from, the similarities between its AI-generated content and artists’ original works are more obvious, making an easier legal case, he said.

    Cases of copyright infringement would be harder to detect if more works were put in a larger database, he added.

    Governments around the world are now grappling with how to set global standards for the wide-ranging technology. The European Union was one of the first in the world to set rules in June on how companies can use AI, with the United States still holding discussions with Capitol Hill lawmakers and tech companies to develop legislation.

    China was also an early adopter of AI regulation, publishing new rules that took effect in August. But the final version relaxed some of the language that had been included in earlier drafts.

    Experts say major powers like China likely prioritize centralizing power from tech giants when drafting regulations, and pulling ahead in the global tech race, rather than focusing on individuals’ rights.

    He, the Hong Kong law professor, called the regulations a “very broad general regulatory framework” that provide “no specific control mechanisms” to regulate data mining.

    “China is very hesitant to enact anything related to say yes or no to data mining, because that will be very dangerous,” he said, adding that such a law could strike a blow to the emerging market, amid an already slow national economy.

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  • Microsoft Outlook will soon write emails for you | CNN Business

    Microsoft Outlook will soon write emails for you | CNN Business

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    New York
    CNN
     — 

    Artificial intelligence could soon be writing more company emails in Microsoft Outlook, as the company expands its rollout of AI tools for corporate users.

    The Microsoft 365 Copilot tool – “your everyday AI companion,” as the company bills it – will help users write their emails to “keep your sentences concise and error-free.” The tool also summarizes long email threads to quickly draft suggested replies.

    Users with Microsoft 365 Personal or Family subscriptions will get more advanced AI help through Microsoft Editor, an intelligent writing assistant. The update will include suggested edits for “clarity, conciseness, inclusive language and more” to help workers create more “polished and professional” emails, according to a blog post from the company in September.

    The company said the tool will be available to more corporate clients starting on November 1. It has already been in months-long testing with customers including Visa, General Motors, KPMG and Lumen Technologies.

    In March, Microsoft outlined its plans to bring artificial intelligence to its most recognizable productivity tools, including Outlook, PowerPoint, Excel and Word, with the promise of changing how millions do their work every day. The addition of its AI-powered “copilot” – which will help edit, summarize, create and compare documents – is built on the same technology that underpins ChatGPT.

    In addition to writing emails, Microsoft 365 users will be able to summarize meetings and create suggested follow-up action items, request to create a specific chart in Excel, and turn a Word document into a PowerPoint presentation in seconds.

    Corporate customers will also get to use Microsoft 365 Chat, previously called Business Chat, which can scan the internet and employee emails, meetings, chats and files, to behave as a sort of personalized secretary.

    The expansion will come less than a year after OpenAI publicly released viral AI chat tool ChatGPT, which stunned many users with its impressive ability to generate original essays, stories and song lyrics in response to user prompts. The initial wave of attention on the tool helped renew an arms race among tech companies to develop and deploy similar AI tools in their products.

    In the months since, many other companies have rolled out features underpinning or similar to the technology. Microsoft rival Google, for example, has also brought AI to its productivity tools, including Gmail, Sheets and Docs.

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  • India restricts laptop, PC imports to boost local manufacturing | CNN Business

    India restricts laptop, PC imports to boost local manufacturing | CNN Business

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    CNN
     — 

    India has placed restrictions on the import of computers and laptops in a surprise move from the government of Prime Minister Narendra Modi which has been trying to encourage domestic manufacturing in the tech sector.

    Importers will now need to apply for licenses in order to bring laptops, tablets, personal computers and other electronic devices into the country, according to a notice issued by the Ministry of Commerce and Industry on Thursday. Previously, the import of such items was unrestricted.

    The ministry didn’t provide a reason for the change in rules, however Modi has aggressively pushed his “Make in India” campaign, which promotes local manufacturing in a bid to create more jobs. It follows a similar curb on smart TV imports in 2020.

    India’s electronic imports stood at $19.7 billion in the April to June period, up 6.25% from the same period in 2022, according to Reuters.

    CNN has contacted Apple

    (AAPL)     and Samsung

    (SSNLF)    , top laptop sellers in the South Asian country, for comment but has not yet received responses.

    India’s push to manufacture domestically comes at a crucial time for the world’s most populous nation, as companies look beyond China to secure crucial supply chains.

    India’s working-age population is expected to hit one billion over the next decade, according to the Organisation for Economic Co-operation and Development. Its large and young labor force makes the country a big draw for global companies seeking alternative manufacturing hubs to China.

    Earlier this year, India’s commerce minister, Piyush Goyal, said Apple was already making between 5% and 7% of its products in India.

    “If I am not mistaken, they are targeting to go up to 25% of their manufacturing,” he said at an event in January.

    In June, US chipmaker Micron

    (MICR)     announced a new factory in the western state of Gujarat, calling it the country’s first semiconductor assembly and test manufacturing facility.

    The venture will see Micron invest up to $825 million and create “up to 5,000 new direct Micron jobs and 15,000 community jobs over the next several years,” according to the company.

    Foxconn, the world’s largest contract electronics maker and a key supplier to Apple, is also looking to expand its manufacturing operations in India.

    Last month, it abruptly announced it was exiting an ambitious $19.4 billion joint venture with Vedanta

    (VEDL)    , an Indian metals and energy conglomerate, to help build one of the country’s first chip factories.

    But, the company said it was still committed to investing in Indian chipmaking and was applying to a government program that subsidizes the cost of setting up semiconductor or electronic display production facilities in the country.

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  • Arm’s mega IPO could be just around the corner, a year after the biggest chip deal in history fell apart | CNN Business

    Arm’s mega IPO could be just around the corner, a year after the biggest chip deal in history fell apart | CNN Business

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    New York
    CNN
     — 

    A hotly anticipated IPO for a company that designs chips for 99% of the world’s smartphones is just around the corner, after it filed paperwork Monday to go public.

    Arm is a British tech company that architects power-sipping microchips for phones and tablets and licenses them to CPU makers, including Apple and Samsung. The company was public until 2016, when Japan’s Softbank bought it for $32 billion.

    Softbank tried to offload Arm to Nvidia for $40 billion, in what would have been the biggest chip deal of all time. But global antitrust regulators put a stop to it, and the deal fell apart in February 2022.

    Arm had been a hot commodity for decades, when the smartphone business was booming. But sales of smartphones have subsided recently, as customers opt to keep their phones for longer and new tech features have become less enticing to consumers.

    The company, in its regulatory filing, said sales slipped 1% to $2.7 billion in the year that ended March 31, 2023. In the following quarter, which ended in June, sales fell 2.5%.

    Still, Arm has piqued the interest of tech investors who are looking to catch the AI wave. Softbank CEO Masayoshi Son has touted Arm as an AI company that could have “exponential growth.” He promised ChatGPT-like services would eventually be offered on Arm-designed machines.

    In its IPO filing, Arm said the company “will be central” to the transition to AI.

    “Arm CPUs already run AI and [machine learning] workloads in billions of devices, including smartphones, cameras, digital TVs, cars and cloud data centers,” the company said. “In the emerging area of large language models, generative AI and autonomous driving, there will be a heightened emphasis on the low power acceleration of these algorithms.”

    But Son and Arm’s AI promises may overstate the company’s potential, at least somewhat. Arm-based chips have appeared in some gadgets beyond smartphones and tablets, such as servers that are less power-hungry. But Arm said it does not make AI chips and is not a direct competitor to Nvidia and others that make chips that are purpose-built for AI. Nvidia’s stock has exploded more than 200% this year.

    Arm did not list the number of shares it planned to sell, so a valuation wasn’t determinable yet. But Reuters reported Softbank is looking to basically double its investment from seven years ago with a $60 billion to $70 billion valuation for Arm when it IPOs, likely next month.

    Softbank also this week bought the 25% stake in Arm that it did not own directly but that had been held by the Saudi Vision Fund, which Softbank manages. That purchase valued Arm at $64 billion, according to the Financial Times.

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  • South Korea’s Hynix is looking into how its chips got into Huawei’s controversial smartphone | CNN Business

    South Korea’s Hynix is looking into how its chips got into Huawei’s controversial smartphone | CNN Business

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    Hong Kong/Seoul
    CNN
     — 

    SK Hynix, a South Korean chipmaker, is investigating how two of its memory chips mysteriously ended up inside the Mate 60 Pro, a controversial smartphone launched by Huawei last week.

    Shares in Hynix fell more than 4% on Friday after it emerged that two of its products, a 12 gigabyte (GB) LPDDR5 chip and 512 GB NAND flash memory chip, were found inside the Huawei handset by TechInsights, a research organization based in Canada specializing in semiconductors, which took the phone apart for analysis.

    “The significance of the development is that there are restrictions on what SK Hynix can ship to China,” G Dan Hutcheson, vice chair of TechInsights, told CNN. “Where do these chips come from? The big question is whether any laws were violated.”

    A Hynix spokesperson told CNN Friday that it was aware of its chips being used in the Huawei phone and had started investigating the issue.

    The company “no longer does business with Huawei since the introduction of the US restrictions against the company,” it said in a statement.

    “SK Hynix is strictly abiding by the US government’s export restrictions,” the company said.

    Industry insiders said it was possible that Huawei had purchased the memory chips from the secondary market and not directly from the manufacturer. It’s also possible Huawei may have had a stockpile of components accumulated before the US export curbs kicked in fully.

    TechInsights had previously revealed that the “brains” of the phone were powered by a 5G Kirin 9000s chip made by China’s top chipmaker Semiconductor Manufacturing International Corporation, better known as SMIC.

    It is still examining the Mate 60 Pro and does not rule out the possibility of finding more components made by companies subject to US trade sanctions. So far, it has found that most of the phone’s components were provided by Chinese suppliers.

    Analysts have said the smartphone is a major breakthrough for China as it clashes with the United States over access to advanced technology.

    The development prompted two US congressmen, Mike Gallagher and Michael McCaul, to call on the White House – which is seeking more information about the phone – to further restrict technology export sales to Chinese companies.

    Huawei and SMIC have not replied to requests for comment.

    In 2019, the US government banned American companies from selling software and equipment to Huawei. It also restricted international chipmakers using US-made technology from working with the company.

    That is why, four years later, last week’s launch of the Mate 60 Pro shocked industry experts who didn’t understand how Huawei, which is headquartered in Shenzhen, would have the ability to manufacture such an advanced smartphone following sweeping efforts by the United States to restrict China’s access to foreign chip technology.

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  • The iPhone’s new Action Button is more than a one-trick pony | CNN Business

    The iPhone’s new Action Button is more than a one-trick pony | CNN Business

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    CNN
     — 

    The new iPhone 15 Pro lineup offers the typical slate of new features designed to persuade customers to upgrade: They’re slimmer and thinner than last year’s crop. The new cameras are professional-grade and the switch to USB-C charging will make your life easier.

    But one new feature easily stands out: The Action Button.

    Apple has repurposed its physical mute button on the side of its high-end models into a more customizable tool, allowing users to carry out a handful of commands, from recording a voice memo and taking a picture to turning on the flashlight. The button can also be programmed to launch any app or shortcut, essentially turning it into a remote control or launching pad to gain quick access to something you want on demand.

    In the days since Apple’s iPhone 15 event at its Cupertino, California, headquarters, I’ve used it to load a variety of apps in a single press, including CNN, Amazon and Instagram. It’s certain the Action Button will become a viable resource for anyone who revisits an app time and time again throughout the day.

    But it also has the potential to become an even more powerful tool; you could program it to play your favorite playlist, turn on the smart lights in your living room or use it to open the garage door. You could even turn it into a dedicated button to call mom. It builds on iOS’s existing offering of ready-made or custom shortcuts, and Apple is encouraging developers to build other unique shortcuts that other users could activate on the Action Button.

    The change is subtle but it’s one of the few noticeable tweaks to the iPhone’s design this year. The Action Button is about the same size as the existing button, and users still hold it down to switch between muting and turning on the ringer. Commands are accompanied with visual feedback from the Dynamic Island bar — home to alerts and notifications at the top of the screen.

    The Action Button update, along with changes in the phone’s charging and camera systems, comes as Apple looks to give consumers more reasons to upgrade their iPhones. Last month, Apple’s sales fell for the third consecutive quarter. iPhone revenue came in at $39.7 billion for the quarter, marking an approximately 2% year-over-year decline, as people update their devices less often.

    Another selling point to splurge for the iPhone 15 Pro ($1,099) or iPhone 15 Pro Max ($1,199): The phones come with a titanium casing — the same alloy used to build the Mars Rover — making them what Apple calls the thinnest and lightest Pro models to date. Apple’s entry level iPhones, the iPhone 15 and iPhone 15 Plus, cost $799 and $899, respectively. The entire lineup starts shipping on Friday.

    To program the Action Button, iPhone 15 Pro users can visit the button’s section in Settings, scroll through and select from a series of functionalities — such as flashlight or camera. By picking the shortcuts option, however, users can sift through their list of apps or previously established commands.

    Once set, there’s a slight learning curve following years of falling into the habit of using the physical button to turn the volume on and off. For this reason, it could take quite a while for some of iPhone’s loyalists to change how they use the device.

    The Action Button isn’t entirely new; the company unveiled it last year on the Apple Watch Ultra. Apple told CNN it was inspired to bring it to the iPhone after hearing anecdotes from users who said they consistently leave their phone on silent, rendering that button essentially useless. Considering iPhone usage has changed a lot since the iPhone debuted 16 years ago, revisiting a hallmark feature like the mute button was only a matter of time, according to the company.

    Ramon Llamas, a director at market research firm IDC, believes last week’s announcement is only the first step toward making the Action Button more dynamic. “I’d like to think that the Action Button could be expanded a bit more, like one click will take you to one feature; two clicks takes you to another, and three clicks gets you something else,” Llamas said. “But I think that would be it. Any more than that and you risk launching the wrong app, like Wordle, at the wrong time (when you need your camera the most),” he said.

    It’s also a strategic way for Apple to make the most of already tight real estate on the device, according to Llamas. Annette Zimmerman, a VP analyst with market research firm Gartner, agrees, noting that “having one button to do exactly one thing isn’t really progressive in a time where everything has multi-functionality and can be programmed.”

    Although it’s unclear if the Action Button will come to more devices in the future, Apple continues its sweep to create a uniform ecosystem for its consumers. Similarly, Apple is adding a Double Tap feature that allows people to use a finger feature to control the Apple Watch, just months after it showed off a similar gesture on its upcoming Vision Pro mixed reality headset.

    For now, iPhone 15 Pro users will enjoy playing with the new Action Button. While the feature is not worth the upgrade to iPhone 15 alone, the switch to universal charging, a faster processor and advanced camera capabilities make it a solid package, especially if you haven’t upgraded in the last few years.

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  • Netflix shutters its DVD rental business, marking the end of the red envelope era | CNN Business

    Netflix shutters its DVD rental business, marking the end of the red envelope era | CNN Business

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    CNN
     — 

    Netflix will send out its last red envelope on Friday, marking an end to 25 years of mailing DVDs to members.

    The company announced earlier this year it is shutting down its DVD-by-mail service, 16 years after it gradually shifted its focus to streaming content online. Netflix will continue to accept returns of customers’ remaining DVDs until October 27.

    Introduced in 1998 when Netflix first launched, the DVD service promised an easier rental experience than having to drive to the nearest Blockbuster or Hollywood Video. The red envelopes, which have long been synonymous with Netflix itself, littered homes and dorm rooms across the country.

    Although the idea of receiving a DVD in the mail now may sound almost as outdated as dial-up internet, some longtime customers told CNN they continued to find value in the DVD option.

    Colin McEvoy, a father of two from Bethlehem, Pennsylvania and a self-described film fanatic, said he rushed through 40 movies in the last few weeks to get through the remainder of his queue before the service ends. McEvoy has remained faithful to Netflix’s DVD service so he can keep watching Bollywood and obscure independent films not often found on streaming services.

    “I was basically watching them as soon as I got them, and then returning the discs as quickly as possible to get as many as I could,” said McEvoy, who has been using Netflix’s DVD-by-mail service since 2001, just three years after it launched.

    “I remember I was in high school when I first signed up for it, and the concept was so novel I had to really convince my dad that it was a legit service and not some sort of Internet scam,” said McEvoy, who uses an old Xbox 360 to play his Netflix DVDs. “Now I have friends who’ve seen my red Netflix envelopes arrive in the mail, and either didn’t remember what they were or couldn’t believe that I still got the DVDs in the mail.”

    Some other Netflix users stood by its DVD service not only for the selection but for added perks. Brandon Cordy, a 41-year-old graphic designer from Atlanta, previously told CNN he stuck with DVDs because many digital rentals don’t come with special features or audio commentaries.

    There are other factors, too. Michael Inouye, an analyst at ABI Research, said some consumers may still not have access to reliable or fast enough broadband connections, or simply prefer physical media to digital, much in the way that some audio enthusiasts still purchase and collect CDs and records.

    For Netflix, however, the offering has made less sense in recent years. “Our goal has always been to provide the best service for our members, but as the DVD business continues to shrink, that’s going to become increasingly difficult,” co-CEO Ted Sarandos wrote in a blog post in April.

    Shutting down its DVD business could help Netflix better focus resources as it expands into new markets such as gaming as well as live and interactive content. Its DVD business has also declined significantly in recent years. In 2021, Netflix’s non-streaming revenue – mostly attributable to DVDs – amounted to 0.6% of its revenue, or just over $182 million.

    The cost to operate its DVD business may also be a factor, especially as Netflix rethinks expenses broadly amid heightened streaming competition and broader economic uncertainty. “Moving plastic discs around costs far more money than streaming digital bits,” said Eric Schmitt, senior director analyst at Gartner Research. “Removing and replacing damaged and lost inventory are also cost considerations.”

    Even before Netflix announced the news, some longtime subscribers said they could see the writing on the wall.

    “The inventory of available titles, while still vast, had been contracting some over the years with some movies that were once available no longer being so,” Cordy said. “Turnaround times to get a new movie or movies also started to take longer, so I knew it was only a matter of time. But I didn’t want it to end if I could help it.”

    Other DVD subscribers were hoping for a happy ending. Bill Rouhana, the CEO of Chicken Soup for the Soul Entertainment – which owns DVD rental service Redbox – told The Hollywood Reporter in April he hoped to purchase Netflix’s DVD business. “I’d like to buy it… I wish Netflix would sell me that business instead of shutting it down,” he said. Redbox remains popular despite the shift in streaming, but took a hit during the pandemic because of the lack of new movies and TV shows to fill the boxes.

    A Netflix spokesperson told CNN it has no plans to sell the DVD business and will be recycling the majority of its DVDs through third-party companies that specialize in recycling digital and electronic media. It will also donate some of its inventory to organizations focused on film and media.

    Netflix is also offering subscribers a “finale surprise” where they could opt-in to receive up to 10 DVDs selected at random from their queue.

    McEvoy, who already subscribes to Disney+, Hulu, the Criterion channel and Mubi, said he’s now testing out other services such as Eros (Indian cinema) and Viki (Korean and Chinese films) for harder-to-find content. Still, he said, he’s “sad” to see Netflix’s DVD service depart.

    “I absolutely would not have been able to find all of those movies [I’ve watched] if not for the Netflix DVD service,” he said.

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  • Adobe previews new AI editing tools | CNN Business

    Adobe previews new AI editing tools | CNN Business

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    New York
    CNN
     — 

    Photo-editing software maker Adobe unveiled a slew of new AI-powered tools and features last week at its annual Max event, including a dress that transforms into a wearable screen and streamlined ways to delete elements from photos.

    The company previewed a series of prototype tools that make use of both generative AI and 3D image technology in the Adobe MAX Sneaks showcase. Covering photo, audio, video, 3D, fashion and design, the new capabilities are meant to give the public a sneak peak into early-stage ideas that might one day become widely used components of Adobe products.

    A highlight of the event was Adobe’s Project Primrose, an interactive dress that shifts into different colors and patterns as it’s worn.

    Other previewed items include a tool that automatically detects each object in an image and lets users perform a variety of tasks, labeled Project Stardust. For example, it can spot a suitcase within a photo to then be moved or deleted or predict and prompt likely tasks, such as deleting people from the background of an image.

    A screenshot of Project Stardust, a tool unveiled as part Adobe's annual

    Also on display was Project Dub Dub Dub, technology that can automatically dub audio over a video into all supported languages while preserving the speaker’s voice, as was a new tool that shows Adobe users what the ability to apply text-to-image generative AI tool Firefly to videos might look like.

    Adobe first began adding Firefly into a Photoshop beta app in May, with the goal of “dramatically accelerating” how users edit their photos. It allows users to add or delete elements from images with just a text prompt. It can also match the lighting and style of the existing images automatically, the company said.

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  • Cyberattack forces hospitals to divert ambulances in Connecticut and Pennsylvania | CNN Politics

    Cyberattack forces hospitals to divert ambulances in Connecticut and Pennsylvania | CNN Politics

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    CNN
     — 

    A cyberattack on Thursday knocked computer systems offline at hospitals in Connecticut and Pennsylvania, forcing them to send ambulances to other hospitals, hospital spokespeople told CNN.

    As of late Friday morning, Crozer Health, a network of three hospitals and a medical center in the Philadelphia suburbs, was still diverting ambulances for stroke and trauma patients to other hospitals because of a “ransomware attack,” Crozer Health spokesperson Lori Bookbinder told CNN.

    The hack hit Prospect Medical Holdings and affected all of their health care facilities, according to a statement from PMH affiliate Eastern Connecticut Health Network. PMH owns 16 hospitals in California, Connecticut, Pennsylvania and Rhode Island, according to its website.

    At Eastern Connecticut Health Network, which includes two hospitals, the urgent care center is closed and elective surgeries were canceled until further noticed because of the hack, according to the network’s website.

    Other Prospect Medical Holdings affiliates reported disruptions from the hack.

    “We are working closely with federal law enforcement to respond to this incident,” Prospective Medical Holdings said in a statement to CNN.

    National Security Council spokeswoman Adrienne Watson told CNN that the White House is “closely monitoring the ongoing incident,” adding that “the Department of Health and Human Services has been in contact with the company to offer federal assistance, and we are ready to provide support as needed to prevent any disruption to patient care as a result of this incident.”

    The company has so far declined offers of federal assistance, according to a US official.

    But Prospective Medical Holdings said later Friday that they “believe there may have been a miscommunication or a misunderstanding” and that they “welcome any assistance from the federal government.”

    CharterCARE Health Partners, which includes two hospitals in Rhode Island, said Thursday that the incident was affecting “inpatient and outpatient operations” and that “some patient procedures may be affected.”

    Patient care continues at the affected hospitals, but they’re operating with limited capacity in what is now a well-rehearsed routine. Throughout the coronavirus pandemic, ransomware and other cyberattacks hampered patient care at American hospitals that are often ill-equipped to deal with them.

    Eastern Connecticut Health Network ended ambulance diversion at 10 a.m. local time Friday, spokesperson Nina Kruse told CNN. The emergency rooms at ECHN’s two hospitals have been open throughout the incident, Kruse said.

    This isn’t Crozer Health’s first bout with ransomware. A June 2020 attack orchestrated by a prolific ransomware gang forced the hospital network to take its computer systems offline.

    This story has been updated with additional reporting.

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