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Tag: Mobile

  • How Mobile Apps Can Help You Establish and Maintain an Agile Workspace | Entrepreneur

    How Mobile Apps Can Help You Establish and Maintain an Agile Workspace | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Agile has been around for some time, and it’s proven its worth, which is why it’s here to stay. Agile adoption is no longer a luxurious approach that companies may consider; it has become an essential ingredient for success. With over 71% of companies adopting agile methodologies and an astounding success rate of 64%, it’s no longer a matter of trial and error.

    The method works once you’ve established it correctly, but the challenging part is always maintaining consistency and keeping up, and that’s what we’re going to talk about in this article — how having an internal communication mobile app can play an integral role in maintaining and flourishing your agile workspace. But before we delve into that, let’s define what “agile” means.

    Related: Why You Should Consider Creating an Internal Communication App for Your Employees

    What is meant by an agile workplace?

    An agile workplace is an environment that works according to agile methodologies. In an agile workspace, the main focus is on embracing flexibility, adaptability and being able to smoothly collaborate on certain tasks on a project. Embracing these concepts will give birth to a highly dynamic team that collaborates seamlessly, communicates effectively and works in a fast-paced work environment to achieve goals and complete projects efficiently. If we break down an agile workplace, we can summarize them in the following points:

    1. Communication: Jumpstarting your agile project

    Everything gets done correctly through proper communication. Agile is all about being able to talk about your progress openly and letting everyone know if you need help with something. If you have an internal communication mobile app with a messenger feature, you can easily create relevant groups where team members can talk about their progress and let everyone know if they need help.

    2. Collaboration: Piecing together the puzzle of project success

    A puzzle is not complete without all its pieces, and in a project, everyone is responsible for a piece. Collaboration means accurately and effectively putting these pieces of the puzzle together to create something that is meaningful and useful. It involves sharing knowledge and skills, and streamlining communication will result in an enhanced collaboration that will seamlessly complete the puzzle in a timely manner. Through an internal communication app, your employees will be able to share their progress through a channel feature, where each project can have a certain channel, and members of the project will be able to announce their progress periodically.

    3. Agile alertness: Enhancing adaptivity with mobile app notifications

    Adaptivity means being able to respond to change quickly and effectively, and we all know that 99% of the time, the answer to the question, “Didn’t you get the memo?” is “no.” On the other hand, the nagging but useful feature of an internal communication mobile app notification system does not disappoint. This will eliminate any lagging or delay in the project caused by awaiting an answer from a superior or a team member.

    4. Accelerating agile success via swift information flow

    An agile workplace is characterized by short iterative sprints of fast-paced exchanges and swift and effective passing around of information, and an internal communication mobile app relieves you from taking the scenic route by the simple act of sending and receiving a message via a direct chat feature, knowing what to do and doing it with no fuss and no delays.

    5. Empowering remote teams by bridging the gap

    Last but not least, the rise of remote work is a force to be reckoned with, and the need to take the necessary steps to accommodate such a change is no longer optional but an immediate necessity. Having an internal communication mobile app is the ideal solution for all your employees who are working remotely to ensure clear and concise communication so that teams can work together regardless of where they are.

    Related: Why Effective Internal Communication is Critical to an Organization’s Well-Being

    How can you create an internal communications app?

    Thanks to no-code technology, you can create a mobile app for your company in a very short amount of time — and it will not just be a web-based app; rather, it will be an actual native application that is compatible with Android and iOS devices.

    Developing an app from scratch will cost you massive amounts of money and take a considerable amount of time, as you would have to hire a team of developers or pay a company to build it for you, which is a huge hassle. By using app-building tools, you will be able to build an internal communication app for your company in a matter of minutes and utilize all the top features that will propel your company forward.

    Having an internal communication mobile app with features like messenger, channels and direct chat not only keeps employees engaged, it also acts as a cornerstone to successfully establish and maintain an agile workplace. Additionally, having an internal communication app helps streamline communications, enhances collaboration, promotes adaptivity, accelerates information flow and empowers remote teams, which will result in faster delivery of your business’s projects and higher customer engagement as well.

    Related: What Makes a Business Agile? And How Can You Achieve It?

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    Omar El Bahr

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  • Lawmakers meet with Apple, Disney CEOs as part of talks on competition with China

    Lawmakers meet with Apple, Disney CEOs as part of talks on competition with China

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    High-profile tech and media executives shared their experiences of working in and competing with China with lawmakers who visited California this week.

    A delegation of about 10 members of the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party made the trip west to meet with industry leaders and subject matter experts about key areas of concern when it comes to dealing with China.

    Over the three-day trip that kicked off on Wednesday, lawmakers were scheduled to meet with Disney CEO Bob Iger and Apple CEO Tim Cook, as well as high-level executives from Google, Microsoft, Palantir and Scale AI. Also on the agenda were events with a group of producers, screenwriters and former studio executives who have experience working with China, as well as with venture capitalists and Stanford University experts, according to a source close to the committee.

    The trip highlights the key role tech and media industries play in America’s increasingly complex relationship with China. While these industries often rely on the massive audiences and workforces available in China, dependence on the country raises concerns of human rights and free speech issues because of the government’s censorship controls, as well as supply chain risks.

    The trip comes on the heels of a historic meeting in California between House Speaker Kevin McCarthy, R-Calif., and Taiwanese President Tsai Ing-wen on Wednesday. That meeting, which former Speaker Nancy Pelosi, D-Calif., also praised, enraged the leadership of the Chinese Communist Party. The Chinese government called the meeting a “provocation” and promised “resolute actions.”

    In Hollywood, the group of lawmakers from the select committee learned about a range of topics related to competition with China. In a meeting with Disney’s Iger and later at a dinner with unnamed studio executives, censorship of creative content was a big focus, according to the source familiar with the committee’s activities. Executives discussed dealing with self-censorship to try to ensure a movie won’t offend the Chinese government even before filming begins, as well as edit requests they receive from the government in order to show films in the country.

    In Silicon Valley on Thursday, according to the source, Microsoft President Brad Smith gave a presentation about artificial intelligence, warning that there is a narrow gap between the U.S. and China in the development of generative AI, which has been made popular by tools such as ChatGPT. He also discussed rare earth mineral mining and processing, which make up key components in certain tech devices. Smith and executives from Google, Palantir and ScaleAI attended a luncheon with committee members.

    Lawmakers also met with experts from Stanford University, including those from the Gordian Knot Center for National Security Innovation, according to center founding member Steve Blank. In a phone call following the discussion Thursday, Blank said he communicated the need for a defense strategy that involves more public-private partnerships across different industries to get the U.S. up to speed with China. Blank said he was impressed by the bipartisanship and interest he saw from lawmakers in attendance.

    “In general, the questions they asked, you would have been very proud to be an American sitting in that room,” Blank said. “They were bipartisan, and they were to the point and they were very smart. These people understand the issues, and they’re trying to help the country be better.”

    Rep. Ro Khanna, D-Calif., a committee member who represents Silicon Valley, told CNBC in a phone interview ahead of the trip on Tuesday that he was excited for his colleagues to visit his home district. Khanna said it’s always valuable for lawmakers to spend time learning about cutting-edge technologies such as AI, quantum computing and climate tech to better understand how to both regulate and foster it.

    “I think it would be wise for every member of Congress to spend a week in Silicon Valley,” Khanna said. “Technology is going to define so many fields from the economy to national security to our issues of citizenship, and we need people to be immersed in it, at least understanding it.”

    Khanna and others have described the purpose of the trip as primarily a fact-finding mission. While the conversations will likely inform future policymaking and hearings, lawmakers entered the meetings aiming to learn from industry executives on the ground.

    The group was also slated to meet with venture capitalists on Thursday, including Andreessen Horowitz, Khosla Ventures and SV Angel. Khanna expected the VCs would discuss how the government could “better collaborate with the private sector” to stay ahead of China in key areas of emerging technology.

    On Friday, lawmakers were set to discuss cryptocurrency with experts at Stanford before traveling to Cupertino to meet with Cook at Apple’s headquarters, according to the source familiar with the committee’s plans.

    Khanna said he anticipated the business leaders would inform the policymakers of any progress they’ve made in diversifying their supply chains out of China and how they use export revenue from China to invest in the U.S. When it comes to the meeting with Apple’s CEO, Khanna said he expected Cook would “speak candidly about the supply chain issues,” including the complexities and progress of diversifying production outside of China.

    In a phone interview partway through the trip on Thursday, Rep. Haley Stevens, D-Mich., said she saw common themes between the sorts of challenges the tech and media industries face when it comes to China and those facing the automotive industry in her home state.

    “Every meeting we’ve been in, in my opinion, has related back to Michigan’s economy and our ability to manufacture as a country,” Stevens said. “One of the themes that I came into the committee with as a manufacturing champion and as someone who understands the interrelatedness between manufacturing and tech is: What else do we need to do to incentivize and grow industrial policy in the United States of America?” Stevens said. She pointed to the passage of the Chips and Science Act as an example of incentivizing domestic semiconductor manufacturing.

    “Now, we’re looking at other areas specific to supply chain vulnerabilities and weaknesses that are going to impact our economy and, aside from chips, we want to be competitive in quantum and artificial intelligence,” Stevens said.

    — CNBC’s Steve Kovach contributed to this report.

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  • American teens aren’t excited about virtual reality, with only 4% using it daily

    American teens aren’t excited about virtual reality, with only 4% using it daily

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    A gallery assistant wearing an Oculus Quest 2 virtual reality (VR) headset to view the House of Fine Art (HOFA) Metaverse gallery stands in front of digital artwork “Agoria, _{Compend-AI-M}_ 2022 #16” during a preview in Mayfair, London, UK, on Thursday, Nov. 10, 2022. 

    Hollie Adams | Bloomberg | Getty Images

    Virtual reality hasn’t caught on with American teens, according to a new survey from Piper Sandler released on Tuesday.

    While 29% percent of teens polled owned a VR device — versus 87% who own iPhones — only 4% of headset owners used it daily, the investment firm found, and 14% used them weekly.

    In addition, teenagers didn’t seem that interested in buying forthcoming VR headsets. Only 7% said they planned to purchase a headset, versus 52% of teens polled who were unsure or uninterested.

    The survey results suggest that virtual reality hardware and software has yet to catch on with the public despite billions of dollars in investment in the technology from Big Tech companies and a number of low-cost headsets on the market. Teenagers are often seen as early adopters of new technology and their preferences can provide a preview of where the industry is going.

    “To us, the lukewarm usage demonstrates that VR remains ‘early days’ and that these devices are less important than smartphones,” Piper Sandler analysts wrote.

    The survey also shows that VR is struggling to gain traction as Apple reportedly prepares to announce its own headset as soon as this year. The survey suggests that it may have an uphill climb to convince potential customers.

    Facebook parent Meta is also expected to release new virtual reality headsets later this year. Its Quest 2 headset, which was released in 2020, is by far the leader in the market terms of sales, but shipments declined last year, according to analysts.

    Piper Sandler’s teen study surveyed more than 5,600 teens in the U.S. in February.

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  • OpenAI faces complaint to FTC that seeks investigation and suspension of ChatGPT releases

    OpenAI faces complaint to FTC that seeks investigation and suspension of ChatGPT releases

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    GPT-4 sign on website displayed on a laptop screen and OpenAI logo displayed on a phone screen are seen in this illustration photo taken in Poland on March 14, 2023.

    Jakub Porzycki | Nurphoto | Getty Images

    OpenAI is facing a new complaint to the Federal Trade Commission that urges the agency to investigate the group and suspend its commercial deployment of large language models, including its latest iteration of the popular tool ChatGPT.

    The complaint, made public by the nonprofit research group Center for AI and Digital Policy on Thursday, accuses OpenAI of violating Section 5 of the FTC Act, which prohibits unfair and deceptive business practices, and the agency’s guidance for AI products.

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    CAIDP calls GPT-4 “biased, deceptive, and a risk to privacy and public safety.” The group says the large language model fails to meet the agency’s standards for AI to be “transparent, explainable, fair, and empirically sound while fostering accountability.”

    The group wants the FTC to require OpenAI establish a way to independently assess GPT products before they’re deployed in the future. It also wants the FTC to create a public incident reporting system for GPT-4 similar to its systems for reporting consumer fraud. It also wants the agency to take on a rulemaking initiative to create standards for generative AI products.

    CAIDP’s president Marc Rotenberg signed onto a widely-circulated open letter released on Wednesday that called for a pause of at least six months on “the training of AI systems more powerful than GPT-4.” Tesla CEO Elon Musk, who co-founded OpenAI, and Apple co-founder Steve Wozniak were among the other signatories.

    OpenAI did not immediately respond to a request for comment. The FTC declined to comment.

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  • TD Auto to integrate loan payments on bank app | Bank Automation News

    TD Auto to integrate loan payments on bank app | Bank Automation News

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    TD Auto Finance plans to launch an integrated digital experience in the third quarter that allows customers to manage their auto loan using the bank’s mobile app.   “The folks who take out an auto loan through our dealer network, once they’re in our book, [we’re] making sure that they have a fully integrated mobile or online […]

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    Amanda Harris

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  • What the hell is wrong with TikTok? 

    What the hell is wrong with TikTok? 

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    Western governments are ticked off with TikTok. The Chinese-owned app loved by teenagers around the world is facing allegations of facilitating espionage, failing to protect personal data, and even of corrupting young minds.

    Governments in the United States, United Kingdom, Canada, New Zealand and across Europe have moved to ban the use of TikTok on officials’ phones in recent months. If hawks get their way, the app could face further restrictions. The White House has demanded that ByteDance, TikTok’s Chinese parent company, sell the app or face an outright ban in the U.S.

    But do the allegations stack up? Security officials have given few details about why they are moving against TikTok. That may be due to sensitivity around matters of national security, or it may simply indicate that there’s not much substance behind the bluster.

    TikTok’s Chief Executive Officer Shou Zi Chew will be questioned in the U.S. Congress on Thursday and can expect politicians from all sides of the spectrum to probe him on TikTok’s dangers. Here are some of the themes they may pick up on: 

    1. Chinese access to TikTok data

    Perhaps the most pressing concern is around the Chinese government’s potential access to troves of data from TikTok’s millions of users. 

    Western security officials have warned that ByteDance could be subject to China’s national security legislation, particularly the 2017 National Security Law that requires Chinese companies to “support, assist and cooperate” with national intelligence efforts. This law is a blank check for Chinese spy agencies, they say.

    TikTok’s user data could also be accessed by the company’s hundreds of Chinese engineers and operations staff, any one of whom could be working for the state, Western officials say. In December 2022, some ByteDance employees in China and the U.S. targeted journalists at Western media outlets using the app (and were later fired). 

    EU institutions banned their staff from having TikTok on their work phones last month. An internal email sent to staff of the European Data Protection Supervisor, seen by POLITICO, said the move aimed “to reduce the exposure of the Commission from cyberattacks because this application is collecting so much data on mobile devices that could be used to stage an attack on the Commission.” 

    And the Irish Data Protection Commission, TikTok’s lead privacy regulator in the EU, is set to decide in the next few months if the company unlawfully transferred European users’ data to China. 

    Skeptics of the security argument say that the Chinese government could simply buy troves of user data from little-regulated brokers. American social media companies like Twitter have had their own problems preserving users’ data from the prying eyes of foreign governments, they note. 

    TikTok says it has never given data to the Chinese government and would decline if asked to do so. Strictly speaking, ByteDance is incorporated in the Cayman Islands, which TikTok argues would shield it from legal obligations to assist Chinese agencies. ByteDance is owned 20 percent by its founders and Chinese investors, 60 percent by global investors, and 20 percent by employees. 

    There’s little hope to completely stop European data from going to China | Alex Plavevski/EPA

    The company has unveiled two separate plans to safeguard data. In the U.S., Project Texas is a $1.5 billion plan to build a wall between the U.S. subsidiary and its Chinese owners. The €1.2 billion European version, named Project Clover, would move most of TikTok’s European data onto servers in Europe.

    Nevertheless, TikTok’s chief European lobbyist Theo Bertram also said in March that it would be “practically extremely difficult” to completely stop European data from going to China.

    2. A way in for Chinese spies

    If Chinese agencies can’t access TikTok’s data legally, they can just go in through the back door, Western officials allege. China’s cyber-spies are among the best in the world, and their job will be made easier if datasets or digital infrastructure are housed in their home territory.

    Dutch intelligence agencies have advised government officials to uninstall apps from countries waging an “offensive cyber program” against the Netherlands — including China, but also Russia, Iran and North Korea.

    Critics of the cyber espionage argument refer to a 2021 study by the University of Toronto’s Citizen Lab, which found that the app did not exhibit the “overtly malicious behavior” that would be expected of spyware. Still, the director of the lab said researchers lacked information on what happens to TikTok data held in China.

    TikTok’s Project Texas and Project Clover include steps to assuage fears of cyber espionage, as well as legal data access. The EU plan would give a European security provider (still to be determined) the power to audit cybersecurity policies and data controls, and to restrict access to some employees. Bertram said this provider could speak with European security agencies and regulators “without us [TikTok] being involved, to give confidence that there’s nothing to hide.” 

    Bertram also said the company was looking to hire more engineers outside China. 

    3. Privacy rights

    Critics of TikTok have accused the app of mass data collection, particularly in the U.S., where there are no general federal privacy rights for citizens.

    In jurisdictions that do have strict privacy laws, TikTok faces widespread allegations of failing to comply with them.

    The company is being investigated in Ireland, the U.K. and Canada over its handling of underage users’ data. Watchdogs in the Netherlands, Italy and France have also investigated its privacy practices around personalized advertising and for failing to limit children’s access to its platform. 

    TikTok has denied accusations leveled in some of the reports and argued that U.S. tech companies are collecting the same large amount of data. Meta, Amazon and others have also been given large fines for violating Europeans’ privacy.

    4. Psychological operations

    Perhaps the most serious accusation, and certainly the most legally novel one, is that TikTok is part of an all-encompassing Chinese civilizational struggle against the West. Its role: to spread disinformation and stultifying content in young Western minds, sowing division and apathy.

    Earlier this month, the director of the U.S. National Security Agency warned that Chinese control of TikTok’s algorithm could allow the government to carry out influence operations among Western populations. TikTok says it has around 300 million active users in Europe and the U.S. The app ranked as the most downloaded in 2022.

    A woman watches a video of Egyptian influencer Haneen Hossam | Khaled Desouki/AFP via Getty Images

    Reports emerged in 2019 suggesting that TikTok was censoring pro-LGBTQ content and videos mentioning Tiananmen Square. ByteDance has also been accused of pushing inane time-wasting videos to Western children, in contrast to the wholesome educational content served on its Chinese app Douyin.

    Besides accusations of deliberate “influence operations,” TikTok has also been criticized for failing to protect children from addiction to its app, dangerous viral challenges, and disinformation. The French regulator said last week that the app was still in the “very early stages” of content moderation. TikTok’s Italian headquarters was raided this week by the consumer protection regulator with the help of Italian law enforcement to investigate how the company protects children from viral challenges.

    Researchers at Citizen Lab said that TikTok doesn’t enforce obvious censorship. Other critics of this argument have pointed out that Western-owned platforms have also been manipulated by foreign countries, such as Russia’s campaign on Facebook to influence the 2016 U.S. elections. 

    TikTok says it has adapted its content moderation since 2019 and regularly releases a transparency report about what it removes. The company has also touted a “transparency center” that opened in the U.S. in July 2020 and one in Ireland in 2022. It has also said it will comply with new EU content moderation rules, the Digital Services Act, which will request that platforms give access to regulators and researchers to their algorithms and data.

    Additional reporting by Laura Kayali in Paris, Sue Allan in Ottawa, Brendan Bordelon in Washington, D.C., and Josh Sisco in San Francisco.

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    Clothilde Goujard

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  • How a TikTok ban in the U.S. might work

    How a TikTok ban in the U.S. might work

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    The TikTok logo is displayed outside TikTok social media app company offices in Culver City, California, on March 16, 2023.

    Patrick T. Fallon | AFP | Getty Images

    TikTok is at risk of being banned in the U.S. if Chinese parent ByteDance won’t sell its stake. Millions of Americans who use the popular video app are left wondering what that means for them.

    Some fans of the service may turn to virtual private networks (VPNs) to try and connect to TikTok should a ban take place, a workaround that can make it seem like their internet connection is coming from a different country. But that loophole may not be so easy to exploit.

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    It’s not an issue yet, as there are still some ways a TikTok ban could be avoided or accessed legally in the U.S. Here are the key things under consideration.

    What a ban or forced sale could look like

    The Committee on Foreign Investment in the U.S. (CFIUS) is the interagency body evaluating national security concerns around the app to determine how to minimize risk if it continues to operate domestically. The group can recommend to President Joe Biden that ByteDance’s 2017 acquisition of Musical.ly, a TikTok precursor, be unwound, forcing a sale of those assets.

    TikTok has recommended a mitigation plan as an alternative to a forced sale. But that’s a longshot solution as CFIUS already threatened a ban if ByteDance won’t sell its stake.

    A forced sale would be a complex step, requiring a years-old transaction to be unwound. The Trump administration pursued that route once before to no avail. The Chinese government would likely oppose it again, but it would need to be careful in its protests because the heart of its argument to the U.S. is that TikTok operates independently.

    “That would be part of the calculus and how aggressively China would want to respond,” said Lindsay Gorman, a senior fellow for emerging technologies at the German Marshall Fund’s Alliance for Securing Democracy. Gormany previously served as a senior advisor at the Biden White House.

    Should the U.S. ban TikTok, the mechanics on what happens from there get murky. Oracle is the cloud hosting service for all of TikTok usage in the U.S. Internet service providers like Comcast (NBC Universal’s parent company) and Verizon direct traffic to end users. And the app stores controlled by Apple and Google are the primary places for consumers to download the TikTok app.

    Shannon Reaves, a partner in Stroock’s CFIUS compliance group, said any requirement on a third party would not come from CFIUS, which is tasked with evaluating foreign investments alone.

    “There won’t be action from CFIUS as a result of this review that will be taken against third parties that are not a part of this transaction,” Reaves said. “So your Apples and your Googles and so forth, that that will not happen.”

    The government may have to turn to legislation or executive orders to get app distributors, ISPs and cloud services to block access to TikTok.

    If TikTok is banned, it would have the biggest stock impact on Snap: LightShed's Rich Greenfield

    While there will likely always be cracks that can be exploited by a subset of computer literate users, the typical consumer would find it difficult to access a government banned service, said Douglas Schmidt, an engineering professor at Vanderbilt.

    “There will almost always be ways around this,” Schmidt said. “It would just be a lot more difficult for the average person to do it without getting an advanced degree in computer security or something.”

    In other words, a VPN won’t be enough, in part because going that route would still likely require app store credentials, which will indicate a user’s location. Gerald Kasulis, a vice president at NordVPN, said there’s also technology available to detect when a user is trying to access an app with a VPN.

    The security concerns

    Concerns around TikTok’s security risk come down to two main issues. The first is who can access U.S. consumer information and the second is who has the ability to determine what information reaches U.S. users. Under Chinese law, companies can be required to hand over internal information to the government for supposed national security purposes.

    TikTok has sought to reassure the U.S. government that U.S. user data is stored outside of China. The company has developed an elaborate plan known as Project Texas that includes the vetting of its code in the U.S. and a separate board of directors for a domestic subsidiary, with members reviewed by the U.S. government.

    TikTok CEO Shou Zi Chew, who’s set to testify before a U.S. House panel next week, told The Wall Street Journal that Project Texas would do just as much as divestment to resolve any security concerns.

    But the mood in Washington isn’t moving in TikTok’s favor, and legislators have lost whatever trust they once may have had in China and its motives. That issue resurfaced earlier this year, when a suspected Chinese spy balloon was spotted flying across a large swath of the U.S. Biden ordered the military to shoot down the balloon last month.

    When it comes to consumer technology, users have no idea what information is making its way to the Chinese government. And the U.S. government has a lot of work to do to provide clarity on what would happen if the app was to be banned.

    “Even for someone who studies this stuff, it’s not easy to detach and detangle all these apps,” said Gorman. “As a society, we have not made the decision that the app stores, the Apple App Store or the Google Play Store, should be restricting apps based on the amount of information they collect. It can’t be put on any individual and it really does need to be addressed by governments.”

    While many users may think their casual social media use would be of little interest to a foreign government, Schmidt said that data can have a surprising amount of value to bad actors.

    “Having information about your habits and your interests and your interactions and where you go and what you do could be used for things like either phishing attacks to get access to more information, or for things like blackmail, if you’re doing things that you might not want other people to know about,” Schmidt said.

    It’s unfamiliar territory for U.S. companies, in contrast to China, which blocks access to all sorts of content, including most major U.S. internet services.

    “Trying to police data access is very, very difficult, especially when there’s suspicion that the folks who are doing this have a reason to do it,” Schmidt said. “And they’re heavily incentivized to collect this information and use it for all kinds of purposes.”

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  • Zelenskyy digs in against calls to quit Bakhmut

    Zelenskyy digs in against calls to quit Bakhmut

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    Doubts are growing about the wisdom of holding the shattered frontline city of Bakhmut against relentless Russian assaults, but Ukrainian President Volodymyr Zelenskyy is digging in and insists his top commanders are united in keeping up an attritional defense that has dragged on for months.

    Fighting around Bakhmut in the eastern region of Donbas dramatically escalated late last year, with Zelenskyy slamming the Russians for hurling men — many of them convicts recruited by the Wagner mercenary group — forward to almost certain death in “meat waves.” Now the bloodiest battle of the war, Bakhmut offers a vision of conflict close to World War I, with flooded trenches and landscapes blasted by artillery fire.

    In the past weeks, as Ukrainian forces have been almost encircled in a salient, lacking shells and facing spiking casualties, there has been increased speculation both in Ukraine and abroad that the time has come to pull back to another defensive line — a retrenchment that would not be widely seen as a massive military setback, although Russia would claim a symbolic victory.

    In an address on Wednesday night, however, Zelenskyy explained he remained in favor of slogging it out in Bakhmut.

    “There was a clear position of the entire general staff: Reinforce this sector and inflict maximum possible damage upon the occupier,” Zelenskyy said in a video address after meeting with Ukraine’s Commander-in-Chief Valeriy Zaluzhnyy and other senior generals to discuss a battle that’s prompting mounting anxiety among Ukraine’s allies and is drawing criticism from some Western military analysts.

    “All members expressed a common position regarding the further holding and defense of the city,” Zelenskyy said.

    This is the second time in as many weeks that Ukraine’s president has cited the backing of his top commanders. Ten days ago, Zelenskyy’s office issued a statement also emphasizing that Zaluzhnyy and Oleksandr Syrskyi, commander of Ukraine’s ground forces, agreed with his decision to hold fast at Bakhmut.

    The long-running logic of the Ukrainian armed forces has been that Russia has suffered disproportionately high casualties, allowing Kyiv’s forces to grind down the invaders, ahead of a Ukrainian counter-offensive expected shortly, in the spring.

    City of glass, brick and debris

    Criticism has been growing among some in the Ukrainian ranks — and among Western allies — about continuing with the almost nine-month-long battle. The disquiet was muted at first and expressed behind the scenes, but is now spilling into the open.

    On social media some Ukrainian soldiers have been expressing bitterness at their plight, although they say they will do their duty and hold on as ordered. “Bakhmut is a city of glass, bricks and debris, which crackle underfoot like the fates of people who fought here,” tweeted one

    A lieutenant on Facebook noted: “There is a catastrophic shortage of shells.” He said the Russians were well dug in and it was taking five to seven rounds to hit an enemy position. He complained of equipment challenges, saying “Improvements — improvements have already been promised, because everyone who has a mouth makes promises.” But he cautioned his remarks shouldn’t be taken as a plea for a retreat. “WE WILL FULFILL OUR DUTY UNTIL THE END, WHATEVER IT IS!” he concluded ruefully. 

    Iryna Rybakova, a press officer with Ukraine’s 93rd brigade, also gave a flavor of the risks medics are facing in the town. “Those people who go back and forth to Bakhmut on business are taking an incredible risk. Everything is difficult,” she tweeted

    A Ukrainian serviceman gives food and water to a local elderly woman in the town of Bakhmut | Anatolii Stepanov/AFP via Getty Images

    The key strategic question is whether Zelenskyy is being obdurate and whether the fight has become more a test of wills than a tactically necessary engagement that will bleed out Russian forces before Ukraine’s big counter-strike.

    “Traveling around the front you hear a lot of grumblings where folks aren’t sure whether the reason they’re holding Bakhmut is because it’s politically important” as opposed to tactically significant, according to Michael Kofman, an American military analyst and director of the Russia Studies Program at the Center for Naval Analyses. 

    Kofman, who traveled to Bakhmut to observe the ferocious battle first-hand, said in the War on the Rocks podcast that while the battle paid dividends for the Ukrainians a few months ago, allowing it to maintain a high kill ratio, there are now diminishing returns from continuing to engage.

    “Happening in the fight now is that the attrition exchange rate is favorable to Ukraine but it’s not nearly as favorable as it was before. The casualties on the Ukrainian side are rather significant and require a substantial amount of replacements on a regular basis,” he said. 

    The Ukrainians have acknowledged they have also been suffering significant casualties at Bakhmut, which Russia is coming ever closer to encircling. They claim, though, the Russians are losing seven soldiers for each Ukrainian life lost, while NATO military officials put the kill ratio at more like five to one. But Kofman and other military analysts are skeptical, saying both sides are now suffering roughly the same rate of casualties.

    “I hope the Ukrainian command really, really, really knows what it’s doing in Bakhmut,” tweeted Illia Ponomarenko, the Kyiv Independent’s defense reporter.

    Shifting position

    Last week, Zelenskyy received support for his decision to remain engaged at Bakhmut from retired U.S. generals David Petraeus and Mark Hertling on the grounds that the battle was causing a much higher Russian casualty rate. “I think at this moment using Bakhmut to allow the Russians to impale themselves on it is the right course of action, given the extraordinary casualties that the Russians are taking,” retired general and former CIA director Petraeus told POLITICO

    But in the last couple of weeks the situation has shifted, said Rob Lee, a former U.S. Marine officer and now at the Foreign Policy Research Institute, and the kill ratio is no longer a valid reason to remain engaged. “Bakhmut is no longer a good place to attrit Russian forces,” he tweeted. Lee says Ukrainian casualties have risen since Russian forces, comprising Wagner mercenaries as well as crack Russian airborne troops, pushed into the north of the town at the end of February.   

    The Russians have been determined to record a victory at Bakhmut, which is just six miles southwest of the salt-mining town of Soledar, which was overrun two months ago after the Wagner Group sacrificed thousands of its untrained fighters there too. 

    U.S. Defense Secretary Lloyd Austin has hinted several times that he sees no tactical military reason to defend Bakhmut, saying the eastern Ukrainian town was of more symbolic than operational importance, and its fall wouldn’t mean Moscow had regained the initiative in the war.

    Ukrainian generals have pushed back at such remarks, saying there’s a tactical reason to defend the town. Zaluzhnyy said on his Telegram channel: “It is key in the stability of the defense of the entire front.” 

    Volodymyr Zelensky and Sanna Marin attend a memorial service for Dmytro Kotsiubailo, a Ukrainian serviceman killed in Bakhmut | Sergei Supinsky/AFP via Getty Images

    Midweek, the Washington Post reported that U.S. officials have been urging the Ukrainians since the end of January to withdraw from Bakhmut, fearing the depletion of their own troops could impact Kyiv’s planned spring offensive. Ukrainian officials say there’s no risk of an impact on the offensive as the troops scheduled to be deployed are not fighting at Bakhmut. 

    That’s prompted some Ukrainian troops to complain that Kyiv is sacrificing ill-trained reservists at Bakhmut, using them as expendable in much the same way the Russians have been doing with Wagner conscripts. A commander of the 46th brigade — with the call sign Kupol — told the newspaper that inexperienced draftees are being used to plug the losses. He has now been removed from his post, infuriating his soldiers, who have praised him.

    Kofman worries that the Ukrainians are not playing to their military strengths at Bakhmut. Located in a punch bowl, the town is not easy to defend, he noted. “Ukraine is a dynamic military” and is good when it is able “to conduct a mobile defense.” He added: “Fixed entrenches, trying to concentrate units there, putting people one after another into positions that have been hit by artillery before doesn’t really play to a lot of Ukraine’s advantages.” 

    “They’ve mounted a tenacious defense. I don’t think the battle is nearly as favorable as it’s somewhat publicly portrayed but more importantly, I think they somewhat run the risk of encirclement there,” he added.

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  • Meta to lay off 10,000 more workers after initial cuts in November

    Meta to lay off 10,000 more workers after initial cuts in November

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    Meta will lay off 10,000 more workers and incur restructuring costs ranging from $3 billion to $5 billion, the company announced Tuesday, with CEO Mark Zuckerberg warning economic instability could continue for “many years.”

    Meta shares closed up 7% on Tuesday.

    “Here’s the timeline you should expect: over the next couple of months, org leaders will announce restructuring plans focused on flattening our orgs, canceling lower priority projects, and reducing our hiring rates,” Zuckerberg said in a message to employees, which was also posted to the technology company’s blog.

    He added that the Facebook parent plans to close 5,000 additional open roles that it hasn’t yet filled. In a nod to continued economic uncertainty, Zuckerberg noted that the company should prepare for “the possibility that this new economic reality will continue for many years.”

    In a SEC filing announcing the cuts, Meta also said it anticipated lowered total expenses in 2023, ranging from $86 billion to $92 billion.

    The new round of layoffs follows a previous round of cuts, announced in November, that affected more than 11,000 workers, which equated to roughly 13% of Meta’s overall staff.

    Zuckerberg has pitched 2023 as the company’s “year of efficiency,” in which the firm aims to become “a stronger and more nimble organization.”

    “We are a technology company, and our ultimate output is what we build for people,” Zuckerberg said. As part of the restructuring, the company will also increase the number of direct reports each manager has.

    Facebook Chairman and CEO Mark Zuckerberg testifies before the House Financial Services Committee on “An Examination of Facebook and Its Impact on the Financial Services and Housing Sectors” in the Rayburn House Office Building in Washington, DC on October 23, 2019.

    MANDEL NGAN | AFP | Getty Images

    Zuckerberg told analysts in February that Meta plans “on cutting projects that aren’t performing or may no longer be crucial” while simultaneously “removing layers of middle management to make decisions faster.”

    “A leaner org will execute its highest priorities faster,” Zuckerberg’s message said.

    Still, Meta continues to spend billions of dollars developing the virtual reality and augmented reality technologies required to build the digital universe coined the metaverse. The company’s Reality Labs division that’s tasked with creating the metaverse lost about $13.7 billion in 2022 on $2.16 billion of revenue.

    Amazon announced a new round of layoffs in January, impacting 18,000 employees across multiple divisions.

    TwilioDellZoom and eBay also recently disclosed significant reductions to their workforce. In January, Google revealed plans to lay off more than 12,000 workersMicrosoft announced plans to cut 10,000 employees and Salesforce said it planned to cut 7,000 jobs.

    CNBC’s Ashley Capoot contributed to this report.

    Watch: The regulators were too slow with acting to help SVB

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  • White House endorses new Senate TikTok bill, urges Congress to pass it ‘quickly’

    White House endorses new Senate TikTok bill, urges Congress to pass it ‘quickly’

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    U.S. Senator Mark Warner (D-VA) and other U.S. senators unveil legislation that would allow the Biden administration to “ban or prohibit” foreign technology products such as the Chinese-owned video app TikTok during a news conference on Capitol Hill in Washington, March 7, 2023.

    Bonnie Cash | Reuters

    The White House threw its support behind a new bipartisan Senate bill on Tuesday that would give the Biden administration the power to ban TikTok in the U.S.

    The legislation would empower the Commerce Department to review deals, software updates or data transfers by information and communications technology in which a foreign adversary has an interest. TikTok, which has become a viral sensation in the U.S. by allowing kids to create and share short videos, is owned by Chinese internet giant ByteDance.

    Under the new proposal, if the Commerce secretary determines that a transaction poses “undue or unacceptable risk” to U.S. national security, it can be referred to the president for action, up to and including forced divestment.

    The bill was dubbed the RESTRICT Act, which stands for Restricting the Emergence of Security Threats that Risk Information and Communications Technology.

    Sen. Mark Warner, D-Va., who chairs the Senate Intelligence Committee, formally unveiled the legislation on Capitol Hill alongside a bipartisan group of Senate co-sponsors. The White House issued a statement publicly endorsing the bill while Warner was briefing reporters.

    “This bill presents a systematic framework for addressing technology-based threats to the security and safety of Americans,” White House national security adviser Jake Sullivan said in a statement, adding that it would give the government new tools to mitigate national security risks in the tech sector.

    Sullivan urged Congress “to act quickly to send the bill to the President’s desk.”

    “Critically, it would strengthen our ability to address discrete risks posed by individual transactions, and systemic risks posed by certain classes of transactions involving countries of concern in sensitive technology sectors,” said Sullivan.

    A TikTok spokeswoman did not respond Tuesday to CNBC’s request for comment.

    Sullivan’s statement marks the first time a TikTok bill in Congress has received the explicit backing of the Biden administration, and it catapulted Warner’s bill to the top of a growing list of congressional proposals to ban TikTok.

    As of Tuesday, Warner’s legislation did not yet have a companion version in the House. But Warner told CNBC he already had “lots of interest” from both Democrats and Republicans in the lower chamber.

    Warner declined to say who he and Republican co-sponsor Sen. John Thune, R-S.D., might look to for support in the House, but added, “I’m very happy with the amount of interest we’ve gotten from some of our House colleagues.”

    Earlier this month, the House Foreign Affairs Committee passed a bill that, if it became law, would compel the president to impose sanctions on Chinese companies that could potentially expose Americans’ private data to a foreign adversary.

    But unlike Warner’s bill, the House legislation, known as the DATA Act, has no Democratic co-sponsors, and it advanced out of committee along party lines, complicating its prospects in the Democratic-majority Senate.

    Senators introducing the bill on Tuesday emphasized that unlike some other proposals, their legislation does not single out individual companies. Instead, it aims to create a new framework and a legal process for identifying and mitigating specific threats.

    “The RESTRICT Act is more than about TikTok,” Warner told reporters “It will give us that comprehensive approach.”

    The new Senate bill defines foreign adversaries as the governments of six countries: China, Russia, Iran, North Korea, Venezuela and Cuba. It also says it will apply to information and communication technology services with at least 1 million U.S.-based annual active users or that have sold at least 1 million units to U.S. customers in the past year.

    That could reach far beyond TikTok, which in 2020 said it had 100 million monthly active users in the U.S.

    The company has been under review by the Committee on Foreign Relations in the U.S. stemming from ByteDance’s 2017 acquisition of Musical.ly, which was a precursor to the popular video-sharing app.

    But that process has stalled, leaving lawmakers and administration officials impatient to deal with what they see as a critical national security risk. TikTok has maintained that approval of a new risk mitigation strategy by CFIUS is the best path forward.

    “The Biden Administration does not need additional authority from Congress to address national security concerns about TikTok: it can approve the deal negotiated with CFIUS over two years that it has spent the last six months reviewing,” TikTok spokesperson Brooke Oberwetter said in a statement before the bill text was released.

    “A U.S. ban on TikTok is a ban on the export of American culture and values to the billion-plus people who use our service worldwide,” the company said. “We hope that Congress will explore solutions to their national security concerns that won’t have the effect of censoring the voices of millions of Americans.”

    TikTok’s interim security officer Will Farrell described in a speech on Monday the layered approach the company plans to take to mitigate the risk that the Chinese government could interfere with its operations in the U.S.

    The so-called Project Texas would involve Oracle hosting its data in the cloud with strict procedures over how that information can be accessed and even sending vetted code directly to the mobile app stores where users find the service.

    Farrell said TikTok’s commitments would result in an “unprecedented amount of transparency” for such a technology company.

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  • Fifth Third to shrink footprint of applications by 30% | Bank Automation News

    Fifth Third to shrink footprint of applications by 30% | Bank Automation News

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    Charlotte – Fifth Third Bank plans to reduce the footprint of its applications by 30% in the next three to five years as the $206 billion bank focuses on refactoring and rewriting apps for the cloud. The Cincinnati-based bank’s cloud strategy does not entail “any lift and shift, we are doing a lot of either […]

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    Whitney McDonald

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  • Meet the $10,000 Nvidia chip powering the race for A.I.

    Meet the $10,000 Nvidia chip powering the race for A.I.

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    Nvidia CEO Jensen Huang speaks during a press conference at The MGM during CES 2018 in Las Vegas on January 7, 2018.

    Mandel Ngan | AFP | Getty Images

    Software that can write passages of text or draw pictures that look like a human created them has kicked off a gold rush in the technology industry.

    Companies like Microsoft and Google are fighting to integrate cutting-edge AI into their search engines, as billion-dollar competitors such as OpenAI and Stable Diffusion race ahead and release their software to the public.

    Powering many of these applications is a roughly $10,000 chip that’s become one of the most critical tools in the artificial intelligence industry: The Nvidia A100.

    The A100 has become the “workhorse” for artificial intelligence professionals at the moment, said Nathan Benaich, an investor who publishes a newsletter and report covering the AI industry, including a partial list of supercomputers using A100s. Nvidia takes 95% of the market for graphics processors that can be used for machine learning, according to New Street Research.

    The A100 is ideally suited for the kind of machine learning models that power tools like ChatGPT, Bing AI, or Stable Diffusion. It’s able to perform many simple calculations simultaneously, which is important for training and using neural network models.

    The technology behind the A100 was initially used to render sophisticated 3D graphics in games. It’s often called a graphics processor, or GPU, but these days Nvidia’s A100 is configured and targeted at machine learning tasks and runs in data centers, not inside glowing gaming PCs.

    Big companies or startups working on software like chatbots and image generators require hundreds or thousands of Nvidia’s chips, and either purchase them on their own or secure access to the computers from a cloud provider.

    Hundreds of GPUs are required to train artificial intelligence models, like large language models. The chips need to be powerful enough to crunch terabytes of data quickly to recognize patterns. After that, GPUs like the A100 are also needed for “inference,” or using the model to generate text, make predictions, or identify objects inside photos.

    This means that AI companies need access to a lot of A100s. Some entrepreneurs in the space even see the number of A100s they have access to as a sign of progress.

    “A year ago we had 32 A100s,” Stability AI CEO Emad Mostaque wrote on Twitter in January. “Dream big and stack moar GPUs kids. Brrr.” Stability AI is the company that helped develop Stable Diffusion, an image generator that drew attention last fall, and reportedly has a valuation of over $1 billion.

    Now, Stability AI has access to over 5,400 A100 GPUs, according to one estimate from the State of AI report, which charts and tracks which companies and universities have the largest collection of A100 GPUs — although it doesn’t include cloud providers, which don’t publish their numbers publicly.

    Nvidia’s riding the A.I. train

    Nvidia stands to benefit from the AI hype cycle. During Wednesday’s fiscal fourth-quarter earnings report, although overall sales declined 21%, investors pushed the stock up about 14% on Thursday, mainly because the company’s AI chip business — reported as data centers — rose by 11% to more than $3.6 billion in sales during the quarter, showing continued growth.

    Nvidia shares are up 65% so far in 2023, outpacing the S&P 500 and other semiconductor stocks alike.

    Nvidia CEO Jensen Huang couldn’t stop talking about AI on a call with analysts on Wednesday, suggesting that the recent boom in artificial intelligence is at the center of the company’s strategy.

    “The activity around the AI infrastructure that we built, and the activity around inferencing using Hopper and Ampere to influence large language models has just gone through the roof in the last 60 days,” Huang said. “There’s no question that whatever our views are of this year as we enter the year has been fairly dramatically changed as a result of the last 60, 90 days.”

    Ampere is Nvidia’s code name for the A100 generation of chips. Hopper is the code name for the new generation, including H100, which recently started shipping.

    More computers needed

    Nvidia A100 processor

    Nvidia

    Compared to other kinds of software, like serving a webpage, which uses processing power occasionally in bursts for microseconds, machine learning tasks can take up the whole computer’s processing power, sometimes for hours or days.

    This means companies that find themselves with a hit AI product often need to acquire more GPUs to handle peak periods or improve their models.

    These GPUs aren’t cheap. In addition to a single A100 on a card that can be slotted into an existing server, many data centers use a system that includes eight A100 GPUs working together.

    This system, Nvidia’s DGX A100, has a suggested price of nearly $200,000, although it comes with the chips needed. On Wednesday, Nvidia said it would sell cloud access to DGX systems directly, which will likely reduce the entry cost for tinkerers and researchers.

    It’s easy to see how the cost of A100s can add up.

    For example, an estimate from New Street Research found that the OpenAI-based ChatGPT model inside Bing’s search could require 8 GPUs to deliver a response to a question in less than one second.

    At that rate, Microsoft would need over 20,000 8-GPU servers just to deploy the model in Bing to everyone, suggesting Microsoft’s feature could cost $4 billion in infrastructure spending.

    “If you’re from Microsoft, and you want to scale that, at the scale of Bing, that’s maybe $4 billion. If you want to scale at the scale of Google, which serves 8 or 9 billion queries every day, you actually need to spend $80 billion on DGXs.” said Antoine Chakaivan, a technology analyst at New Street Research. “The numbers we came up with are huge. But they’re simply the reflection of the fact that every single user taking to such a large language model requires a massive supercomputer while they’re using it.”

    The latest version of Stable Diffusion, an image generator, was trained on 256 A100 GPUs, or 32 machines with 8 A100s each, according to information online posted by Stability AI, totaling 200,000 compute hours.

    At the market price, training the model alone cost $600,000, Stability AI CEO Mostaque said on Twitter, suggesting in a tweet exchange the price was unusually inexpensive compared to rivals. That doesn’t count the cost of “inference,” or deploying the model.

    Huang, Nvidia’s CEO, said in an interview with CNBC’s Katie Tarasov that the company’s products are actually inexpensive for the amount of computation that these kinds of models need.

    “We took what otherwise would be a $1 billion data center running CPUs, and we shrunk it down into a data center of $100 million,” Huang said. “Now, $100 million, when you put that in the cloud and shared by 100 companies, is almost nothing.”

    Huang said that Nvidia’s GPUs allow startups to train models for a much lower cost than if they used a traditional computer processor.

    “Now you could build something like a large language model, like a GPT, for something like $10, $20 million,” Huang said. “That’s really, really affordable.”

    New competition

    Nvidia isn’t the only company making GPUs for artificial intelligence uses. AMD and Intel have competing graphics processors, and big cloud companies like Google and Amazon are developing and deploying their own chips specially designed for AI workloads.

    Still, “AI hardware remains strongly consolidated to NVIDIA,” according to the State of AI compute report. As of December, more than 21,000 open-source AI papers said they used Nvidia chips.

    Most researchers included in the State of AI Compute Index used the V100, Nvidia’s chip that came out in 2017, but A100 grew fast in 2022 to be the third-most used Nvidia chip, just behind a $1500-or-less consumer graphics chip originally intended for gaming.

    The A100 also has the distinction of being one of only a few chips to have export controls placed on it because of national defense reasons. Last fall, Nvidia said in an SEC filing that the U.S. government imposed a license requirement barring the export of the A100 and the H100 to China, Hong Kong, and Russia.

    “The USG indicated that the new license requirement will address the risk that the covered products may be used in, or diverted to, a ‘military end use’ or ‘military end user’ in China and Russia,” Nvidia said in its filing. Nvidia previously said it adapted some of its chips for the Chinese market to comply with U.S. export restrictions.

    The fiercest competition for the A100 may be its successor. The A100 was first introduced in 2020, an eternity ago in chip cycles. The H100, introduced in 2022, is starting to be produced in volume — in fact, Nvidia recorded more revenue from H100 chips in the quarter ending in January than the A100, it said on Wednesday, although the H100 is more expensive per unit.

    The H100, Nvidia says, is the first one of its data center GPUs to be optimized for transformers, an increasingly important technique that many of the latest and top AI applications use. Nvidia said on Wednesday that it wants to make AI training over 1 million percent faster. That could mean that, eventually, AI companies wouldn’t need so many Nvidia chips.

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  • Microsoft limits Bing A.I. chats after the chatbot had some unsettling conversations

    Microsoft limits Bing A.I. chats after the chatbot had some unsettling conversations

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    Microsoft’s new versions of Bing and Edge are available to try beginning Tuesday.

    Jordan Novet | CNBC

    Microsoft’s Bing AI chatbot will be capped at 50 questions per day and five question-and-answers per individual session, the company said on Friday.

    The move will limit some scenarios where long chat sessions can “confuse” the chat model, the company said in a blog post.

    The change comes after early beta testers of the chatbot, which is designed to enhance the Bing search engine, found that it could go off the rails and discuss violence, declare love, and insist that it was right when it was wrong.

    In a blog post earlier this week, Microsoft blamed long chat sessions of over 15 or more questions for some of the more unsettling exchanges where the bot repeated itself or gave creepy answers.

    For example, in one chat, the Bing chatbot told technology writer Ben Thompson:

    I don’t want to continue this conversation with you. I don’t think you are a nice and respectful user. I don’t think you are a good person. I don’t think you are worth my time and energy.

    Now, the company will cut off long chat exchanges with the bot.

    Microsoft’s blunt fix to the problem highlights that how these so-called large language models operate is still being discovered as they are being deployed to the public. Microsoft said it would consider expanding the cap in the future and solicited ideas from its testers. It has said the only way to improve AI products is to put them out in the world and learn from user interactions.

    Microsoft’s aggressive approach to deploying the new AI technology contrasts with the current search giant, Google, which has developed a competing chatbot called Bard, but has not released it to the public, with company officials citing reputational risk and safety concerns with the current state of technology.

    Google is enlisting its employees to check Bard AI’s answers and even make corrections, CNBC previously reported.

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  • KeyStar Corp. Officially Submits Tennessee Sports Wagering License Application for ZenSports

    KeyStar Corp. Officially Submits Tennessee Sports Wagering License Application for ZenSports

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    Sports wagering operator that offers traditional sports book plus peer-to-peer wagering submits Tennessee application.

    Press Release


    Feb 10, 2023

    KeyStar Corp® (OTC: KEYR) has announced the official submission of its sports wagering license application for ZenSports in the State of Tennessee.

    ZenSports mobile platform offers a traditional sports book where customers can bet against the house, as well as a peer-to-peer sports betting marketplace. With ZenSports’ peer-to-peer marketplace, customers can create their own bets with their own odds and terms. Peer-to-peer bets can be shared with friends or via the app’s mobile two-sided marketplace, right from their phone.

    KeyStar hopes to be approved for both its traditional sports book and its peer-to-peer wagering features, pursuant to the Tennessee Sports Gaming Act and the Sports Wagering Advisory Council rules.

    “Tennessee is the perfect first state for us to launch ZenSports in,” according to KeyStar CEO Mark Thomas. “Tennessee has demonstrated significant technology innovation and is one of the fastest-growing states for sports wagering.” 

    Tennessee processed $440.4M in sports betting handle and generated over $49M in revenue in December 2022 alone, putting Tennessee once again in the top 10 sports betting markets in the US.

    ZenSports is available for download in the App Store (iOS) and the ZenSports website (Android or Mobile Web). 

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “seek,” “believe,” “estimate,” “expect,” “strategy,” “likely,” “may,” “should” and similar references to future events or periods. 

    Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements.

    Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

    Source: KeyStar Corp.

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  • Pinterest shares plunge as much as 12% on fourth-quarter revenue miss and weak forecast

    Pinterest shares plunge as much as 12% on fourth-quarter revenue miss and weak forecast

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    Pinterest shares sank as much as 12% after the company reported revenue that missed analyst expectations and issued a light forecast for the first quarter.

    Here’s how the company did.

    • Revenue: $877 million vs. $886.3 million expected, according to Refinitiv.
    • Earnings: 29 cents per share vs. 27 cents expected, according to Refinitiv.

    related investing news

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    Pinterest said it expects sales in the first quarter to increase in the “low single digits” from a year earlier. Analysts were expecting growth of 6.9% to $614.8 million.

    The company said that its chief financial officer and head of business operations Todd Morgenfeld will leave the company on July 1, 2023.

    Sales in Pinterest’s fourth quarter grew 4% year over year to $877 million while overall sales for 2022 jumped 9% year-over-year to $2.8 billion.

    A banner for the online image board Pinterest Inc. hangs from the New York Stock Exchange on the morning that Pinterest makes its initial public offering on April 18, 2019.

    Spencer Platt | Getty Images

    Pinterest recorded net income of $17 million in the fourth quarter, but logged a net loss of $96 million for 2022.

    The company said that its global monthly active users increased by 4% year-over-year to 450 million. Its average revenue per user, or ARPU, for the U.S. and Canada region rose 6% in the fourth quarter to $7.60 from a year ago.

    “While the industry as a whole is facing headwinds, we are adapting quickly to a changing macro environment and are committed to creating a more positive online experience for our users and advertisers,” Pinterest CEO Bill Ready said in a statement.

    The company also said that its chief marketing and communications officer Andréa Mallard and its chief revenue officer Bill Watkins will now report directly to Ready.

    Pinterest’s fourth-quarter earnings come after many ad-supported companies reported tepid results.

    Meta said last week that its fourth-quarter sales dropped 4% year-over-year to $32.17 billion while Alphabet said its Google advertising unit logged $59.04 billion in fourth quarter sales, a 3.6% drop from the same quarter last year. Additionally, revenue in Alphabet’s YouTube unit sank 8% year-over-year to $7.96 billion in the fourth quarter.

    Snap said its sales in the fourth quarter was slightly up year-over-year to $1.30 billion, which missed analyst expectations of $1.31 billion.

    Amazon’s digital advertising unit represented a bright spot during the fourth quarter, with sales in that unit jumping 19% year-over-year to $11.6 billion.

    Pinterest reportedly laid off around 150 employees last week, joining the growing list of technology companies like Meta, Alphabet and Salesforce that have fired workers in recent months.

    In August, Elliott Management confirmed that it was Pinterest’s top investor and voiced support for the company’s new CEO Bill Ready, who formerly led Google’s commerce business.

    Ready joined Pinterest in June 2022, replacing the longtime CEO Ben Silbermann, who co-founded the company in 2010.

    WATCH: Take profits in Meta after earnings

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  • Apple earnings show steepest sales decline in more than 6 years

    Apple earnings show steepest sales decline in more than 6 years

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    Apple Inc. posted its largest revenue decline in more than six years amid underwhelming sales of iPhones, Macs and wearables, but its shares pared back most of their initial losses in after-hours trading Thursday after the company blamed its smartphone declines on supply issues.

    Apple’s
    AAPL,
    +3.71%

    iPhone revenue fell to $65.8 billion in the fiscal first quarter from $71.6 billion a year before, whereas analysts tracked by FactSet were looking for $67.8 billion. The performance comes after Apple warned in November that its iPhone 14 Pro and Pro Max shipments would be impacted by pandemic-fueled production constraints at a major Foxconn
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    facility in China.

    Chief Executive Tim Cook said on Apple’s earnings call that he believes the company would have shown iPhone sales growth in the quarter had it not been for the supply constraints.

    At the same time, he noted that it’s “very hard” to estimate the company’s ability to recapture lost sales, “because you have to know exactly what would’ve happened.”

    Apple shares ended the extended session Thursday down 3.2%, after having been down as much as 5.6% in after-hours trading.

    After reporting a quarterly revenue record for Macs in the September quarter, Apple fell way short of those heights in the December quarter with its Thursday afternoon report, and the company missed expectations by a wide margin. Mac sales declined to $7.7 billion from $10.9 billion a year earlier, while analysts had been looking for $9.4 billion.

    Those big misses helped drive total revenue lower on the year and fueled a miss on the top line, despite a sizable beat in the iPad category. Overall revenue declined to $117.2 billion from $123.9 billion a year ago, while analysts were looking for $121.4 billion.

    Dating back to its report for the December 2017 quarter, Apple has only missed revenue expectations twice, according to FactSet, including one time when the company issued a formal warning ahead of its official results.

    The smartphone giant’s sales decline of 5.48% was its steepest year-over-year fall since the September quarter of 2016, when sales slipped 8.12%, according to Dow Jones Market Data.

    Apple executives once again declined to provide a traditional financial forecast, though Chief Financial Officer Luca Maestri shared on the call that he expects Apple’s year-over-year revenue performance in the March quarter to be similar to what was seen in the December quarter. That would actually mark an acceleration of sorts, he said, since the December quarter benefited from an extra week.

    Within iPhones specifically, Maestri also anticipates that year-over-year revenue growth will accelerate.

    Apple’s profits fell as well in the latest period, as the company generated net income of $30.0 billion, or $1.88 a share, compared with $34.6 billion, or $2.10 a share, a year earlier. Analysts were modeling $1.94 in earnings per share.

    Maestri called out “significant foreign-exchange headwinds, supply constraints on iPhone 14 Pro and iPhone 14 Pro Max and a challenging macroeconomic environment” in discussing the company’s smartphone performance. Mac growth was negatively impacted by economic conditions, currency pressures and tough comparisons to a year before.

    Within its iPad segment, Apple showed sharp growth. Revenue increased to $9.4 billion from $7.3 billion a year earlier. The FactSet consensus was for $7.8 billion.

    Maestri noted that the iPad business benefited from the launch of new iPads during the quarter as well as comparisons to a year-earlier period in which Apple faced supply constraints.

    Revenue for wearables, home and accessories came in at $13.5 billion, down from $14.7 billion a year before and far below the $15.3 billion that analysts were modeling. Services revenue rose to $20.8 billion from $19.5 billion and beat the FactSet consensus, which was for $20.4 billion.

    Shares of Apple have fallen 14.2% over the past 12 months, though they’re up 16.1% to start 2023. The Dow Jones Industrial Average
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    is off 4.4% over a 12-month span but ahead 2.7% so far this year.

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  • Infineon profit nearly doubles as revenue climbs on strong demand for chips

    Infineon profit nearly doubles as revenue climbs on strong demand for chips

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    Infineon Technologies AG on Thursday posted higher revenue and profit for its fiscal first quarter as strong chips sales in the automotive and industrial segments offset weaker demand for smartphones, computers and data centers.

    The German chip maker
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    +7.46%

    said revenue for the three months ended Dec. 31 climbed to 3.95 billion euros ($4.34 billion) from EUR3.16 billion the prior-year quarter. Infineon’s automotive segment contributed EUR1.87 billion to the total.

    “The energy transition and expansion of electromobility are causing a continuously high need for our solutions in industrial and automotive applications. In contrast, we are seeing significantly weaker demand in areas such as smartphones, PCs and data centers,” Chief Executive Jochen Hanebeck said.

    Last week, Intel Corp. reported a fourth-quarter loss and a decrease in sales, reflecting, in part, the sharp downturn the personal-computer market has been experiencing over recent months. Infineon also saw lower demand for chips in laptops, TVs and games consoles.

    Net profit jumped to EUR728 million from EUR457 million. Infineon’s segment result, a key profitability metric, surged to EUR1.11 billion from EUR717 million, generating a margin of 28%.

    Analysts polled by FactSet had forecast revenue of EUR4 billion, a net profit of EUR675 million and a segment result of EUR1 billion.

    Infineon had guided for revenue of around EUR4 billion and a segment result margin of about 25%.

    For the fiscal second quarter, Infineon is targeting revenue of around EUR3.9 billion and a segment result margin of around 25%.

    “We are continuing to navigate carefully in these challenging times and remain flexible in our approach to market dynamics. All in all, we are increasing our guidance slightly for the fiscal year, adjusting for currency effects,” Mr. Hanebeck said.

    For the fiscal year, Infineon continues to expect revenue of around EUR15.5 billion, plus or minus EUR500 million, but raised its segment result margin forecast to around 25% from about 24% previously. The company based its guidance on an exchange rate of $1.05 to the euro, up from $1 previously.

    Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94

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  • AMD beats on sales and profit but warns of a 10% revenue decline in Q1

    AMD beats on sales and profit but warns of a 10% revenue decline in Q1

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    AMD Chair and CEO Lisa Su speaks at the AMD Keynote address during the Consumer Electronics Show (CES) on January 4, 2023 in Las Vegas, Nevada.

    Robyn Beck | AFP | Getty Images

    AMD reported fourth-quarter earnings on Tuesday, beating Wall Street expectations for sales and profit, but guided analysts to a 10% decline in year-over-year sales in the current quarter. The stock rose over 3% in extended trading. Here’s how the company did versus Refinitiv consensus estimates for the quarter ending in December:

    • EPS: $0.69, adjusted, versus $0.67 per share expected
    • Revenue: $5.6 billion, versus $5.5 billion expected

    AMD said it expected $5.3 billion in sales in the current quarter, slightly lower than a Refinitiv estimate of $5.47 billion. AMD’s estimate suggests a 10% decline in sales in the current quarter. AMD’s sales rose 44% in the December quarter.

    The company also said it expected its adjusted gross margin to be about 50%, a key metric for chipmakers.

    AMD reported earnings as many of its rival chipmakers have stumbled in recent weeks, citing lower consumer demand for finished electronics and gluts of parts needed to make PCs and servers. Intel, AMD’s primary competitor, reported a disastrous quarter last week that included a weak 2023 outlook.

    The chipmaker attributed its beat to strong growth in its embedded and data center businesses, and said that its client revenue, or chips for PCs and laptops, and its gaming segment were down.

    AMD’s data center segment rose 42% year-over-year to $1.7 billion. Its embedded segment grew 1,868%, AMD said, because of sales from its purchase of Xilinx.

    While AMD said it saw slow sales for its PC chips and graphics processors, it said its data center segment rose 42% year-over-year, suggesting it took market share from Intel.

    But its client group, which includes sales from PC processors, was down 51% year-over-year because of a slumping PC market, AMD said. It added that its customers have too much inventory of its chips, a theme other semiconductor companies have mentioned in recent weeks. The global PC market is in a protracted slowdown, according to estimates.

    AMD CEO Lisa Su said the PC environment was “weak” in a statement.

    “Although the demand environment is mixed, we are confident in our ability to gain market share in 2023 and deliver long-term growth based on our differentiated product portfolio,” Su said in a statement.

    AMD’s gaming business, which is comprised of graphics cards and chips for gaming consoles, was down 7% year-over-year. The decrease came from graphics cards and was offset by “semi-custom” revenue, which how the company reports sales from chips for gaming systems like the PlayStation 5.

    AMD expects that the segments with PC chips and graphics processors will continue to decline in the current quarter, but data center and embedded sales will grow.

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  • Apple’s expected to post its first revenue decline since 2019 on Thursday

    Apple’s expected to post its first revenue decline since 2019 on Thursday

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    Apple CEO Tim Cook speaks at an Apple special event at Apple Park in Cupertino, California on September 7, 2022. – Apple is expected to unveil the new iPhone 14. (Photo by Brittany Hosea-Small / AFP) (Photo by BRITTANY HOSEA-SMALL/AFP via Getty Images)

    Brittany Hosea-small | Afp | Getty Images

    Analysts expect Apple to post its first year-over-year revenue decline since 2019’s March quarter when it reports earnings on Thursday. There are a few contributing factors.

    The company couldn’t build enough of its high-end iPhones when its primary assembly facility in China was shut down for weeks during Covid lockdowns. Customers in many regions noticed as early as November that Apple couldn’t promise Christmas delivery of a new iPhone.

    Apple gave a rare warning to investors that month explaining that production issues would result in lower shipments than “previously expected.” It was a data point that caused many analysts watching the stock to cut their estimates.

    “We believe the peak impact of the disruptions was felt in early to mid November as wait times hit an extreme level (link) as the wait time in the US for the 14 Pro and 14 Pro Max reached 34 days while wait time in China at the high-end hit 36 days,” UBS analyst David Vogt wrote in January.

    Analysts polled by Refinitiv expect Apple to report just over $121 billion in revenue in the December quarter, which would be a slight decline from the company’s $123.9 billion from a year ago.

    But the problems aren’t Apple-specific. The PC and smartphone markets are slumping as consumers and businesses digest sales from the pandemic and cut costs to prepare for a possible recession.

    The smartphone market saw an 18% decline in shipments in the fourth quarter, according to IDC, the worst decline ever recorded by the market research firm. The PC market fell 28% in the fourth quarter, according to the company. But many investors believe that Apple is outperforming its competitors even in a contracting market.

    “While the state of consumer demand remains a near-term concern, we believe the underlying drivers of Apple’s model – a growing installed base and spend per user – remain intact, and that the strength/stability of Apple’s ecosystem remains undervalued,” Morgan Stanley analyst Erik Woodring wrote in a note earlier this month.

    Here’s what Wall Street is expecting, according to Refinitiv consensus estimates:

    • Revenue: $121.19 billion
    • Earnings per share: $1.94 per share
    • iPhone revenue: $68.29 billion
    • iPad revenue: $7.76 billion
    • Mac revenue: $9.63 billion
    • Other products revenue: $15.26 billion
    • Services revenue: $20.67 billion

    Apple’s March quarter guidance

    Apple hasn’t given guidance since 2020, citing uncertainty first caused by the pandemic. However, Apple usually provides a few data points that can give analysts a sense of how it’s doing.

    Investors want to know whether the shortage of iPhone 14 Pro models in the December quarter will drive demand in the March quarter now that supply has improved.

    Analysts expect just over $98 billion in sales in the March quarter, according to consensus estimates, signifying slight year-over-year growth.

    “While we believe it’s well understood that Apple’s March quarter revenue should decline at a less-than-seasonal rate due to the pushout of iPhone demand from the December quarter to the March quarter,” Morgan Stanley’s Woodring wrote in a note last week, “the consumer electronics spending backdrop remains challenging, with tablets, PCs and more discretionary products (i.e. wearables) all facing continued demand headwinds.”

    But if consumer confidence erodes in the face of higher interest rates and shrinking savings around the world, then Apple could suggest to investors that the company’s March quarter will be slow.

    “While we don’t expect the resumption of detailed guidance typical of Apple earnings prior to Covid, we expect the commentary to be cautious regarding Product demand across the board,” UBS’s Vogt wrote.

    If management commentary is soft, investors looking for a silver lining might want to look at Apple’s services business, which is profitable and has been growing strongly for years. However, several data points in the fourth quarter including Apple’s own App Store payouts suggest a significant slowdown in App Store growth, although analysts are split on its severity.

    The App Store is one of the largest components of Services, but it’s only a part of the business, which includes online subscriptions, warranties and search licensing fees. Apple shares could push higher if services such as Apple TV+ and Apple Music look like they’re generating a higher percentage of Apple’s revenue, D.A. Davidson analyst Tom Forte wrote in January.

    Services are expected to total $20.67 billion in the December quarter, according to Refinitiv estimates, representing a 5.9% growth rate.

    Analysts will also watch to see if the strong dollar continues to hurt Apple, given that so much of its sales are overseas. During the December quarter, the British pound, the Canadian dollar and the Japanese yen all weakened compared to the dollar. Apple management previously said the strong dollar would be a 10 percentage point drag on sales growth.

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  • TikTok CEO to testify before House panel about app’s security and ties to China

    TikTok CEO to testify before House panel about app’s security and ties to China

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    Shou Zi Chew, chief executive officer of TikTok Inc., speaks during the Bloomberg New Economy Forum in Singapore, on Wednesday, Nov. 16, 2022. The New Economy Forum is being organized by Bloomberg Media Group, a division of Bloomberg LP, the parent company of Bloomberg News. Photographer: Bryan van der Beek/Bloomberg via Getty Images

    Bloomberg | Bloomberg | Getty Images

    TikTok CEO Shou Zi Chew will testify before a House panel on March 23 about the app’s security and privacy practices and its ties to China through parent company ByteDance.

    The House Energy and Commerce Committee announced the hearing on Monday, saying it would be Chew’s first appearance before a congressional panel.

    “ByteDance-owned TikTok has knowingly allowed the ability for the Chinese Communist Party to access American user data,” E&C Chair Cathy McMorris Rodgers, R-Wash., said in a statement. “Americans deserve to know how these actions impact their privacy and data security, as well as what actions TikTok is taking to keep our kids safe from online and offline harms.” 

    The hearing announcement comes as the company’s negotiations with U.S. government over how to secure its app in the country have continued to drag. TikTok has been engaging with the Committee on Foreign Investment in the U.S., which can determine if certain risk mitigation measures are adequate to dampen national security concerns.

    Still, those negotiations have reportedly been delayed at least as of last month, as officials continue to worry about the implications of the app’s ownership by Chinese parent company ByteDance. That’s because Chinese-based companies can be compelled to hand over data to the government there on request. In the past, TikTok has assured U.S. officials and lawmakers that it does not store U.S. user data in China to mitigate that risk, but that’s done little to assuage fears.

    Fears over TikTok’s national security and privacy implications for consumers have spanned both sides of Congress, and stretched across the Trump administration into the Biden administration.

    Lawmakers passed a ban on TikTok on government devices in a year-end legislative package, citing security fears. A TikTok spokesperson called the passage of the bill “a political gesture that will do nothing to advance national security interests,” in a statement at the time, adding that the agreement CFIUS was reviewing would “meaningfully address any security concerns that have been raised at both the federal and state level.”

    TikTok did not immediately respond to a request for comment on the House hearing.

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