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  • Rishi Sunak to sign UK-India trade deal without binding worker or environment pledges

    Rishi Sunak to sign UK-India trade deal without binding worker or environment pledges

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    LONDON — Prime Minister Rishi Sunak’s trade deal with India will not include legally enforceable commitments on labor rights or environmental standards, five people briefed on the text have told POLITICO.

    British businesses and unions now fear the deal’s already-finalized labor and environment chapters will undercut U.K. workers’ rights and efforts to combat climate change.

    Sunak’s government is racing to score a win with the booming South Asian economy ahead of the 2024 election. His plans for a return trip to India in October with the aim of sealing the pact are still on track.

    Sunak and Indian Prime Minister Narendra Modi added impetus to negotiations when they met on the sidelines of the G20 in New Delhi early this month. The 13th round of talks continues in London this week.

    Just days after Sunak’s meeting with Modi, Badenoch’s team shared the deal’s labor and environment chapters with businesses, unions and trade experts on a September 13 briefing call.

    Key enforceable dispute resolution powers which the U.K. set out to negotiate are missing from those chapters, said the five people briefed on the text. It means neither London nor New Delhi can hold the other to their climate, environmental and workers’ rights commitments.

    Businesses, unions and NGOs now fear the deal could undercut British firms because Indian firms operate to less stringent and expensive environmental and labor standards. Firms and unions say their access to the negotiations was curtailed earlier this year as talks progressed.

    “Industry also wants binding commitments — partly for greater certainty, partly because businesses are made up of people who themselves want to be properly treated and to avoid climate catastrophe,” said a senior British businessperson from the services sector briefed on the chapters. They were granted anonymity to speak candidly about the negotiations.

    “Suppression of trade unions, child labor and forced labor are all widespread in India,” said Rosa Crawford, trade lead at the Trades Union Congress (TUC) — the largest coalition of unions in Britain. “But the labor chapter that the U.K. government has negotiated cannot be used to clamp down on these abuses and could lead to more good jobs being offshored to exploitative jobs in India.”

    The Department for Business and Trade said it does not comment on live negotiations and that it will only sign a deal that benefits the U.K. and its economy.

    ‘Everyone was deeply unhappy’

    At the outset of the talks, the British government committed to negotiating enforceable labor and environment chapters as it laid out its strategic approach. “We remain committed to upholding our high environmental, labour, food safety and animal welfare standards in our trade agreement with India,” the government said in January 2022.

    Indian and British officials say the labor and environment chapters are now closed and are not up for discussion. The U.K.’s first post-Brexit trade pacts with Australia and New Zealand have dispute settlement mechanisms in both these chapters. Three people POLITICO spoke to for this piece said it was an achievement in itself that Britain was able to get such chapters in a deal with India.

    Businesses, unions and NGOs have all been concerned after Kemi Badenoch closed the key forums in February to carry out a required review of their activities | Dan Kitwood/Getty Images

    But, as the U.K.-India deal stands, if either country were to weaken its environmental standards or workers’ rights “the other party would not have recourse to initiate consultations on changes in laws,” said a person familiar with the content of the chapters. “There is no dispute settlement in the environment and labor chapters.”

    British firms and unions are also concerned that the pact the EU is negotiating with India has enforceable chapters “bound by sanctions in case the parties don’t comply,” the same person said. Those EU-India chapters are not yet finalized.

    British stakeholders “are totally up in arms,” said a former trade department official familiar with the briefing. “Everyone was deeply unhappy.”

    India has changed its labor laws to deprive workers of the right to strike. Over the past year several Indian states, including Karnataka, Tamil Nadu and Uttar Pradesh, have weakened their workers’ rights laws making 12-hour daily shifts and overnight shifts for women legal as Apple iPhone maker Foxconn sets up multiple semiconductor factories and assembly plants throughout India.  

    Adding enforceable chapters would only slow down negotiations, said an Indian government official. “If you put in too much of these things into a trade deal, then it delays the process.” The U.K. and India are already “bound by” their international commitments on labor and climate, they added.

    The deal “is dire for working people because trade unions were excluded from the trade talks,” said the TUC’s Crawford. Nearly three years ago, ministers pitched the idea of involving unions in 11 influential Trade Advisory Groups (TAGs) that gave input on ongoing trade negotiations.  

    Businesses, unions and NGOs have all been concerned after Britain’s trade chief Kemi Badenoch closed the key forums in February to carry out a required review of their activities. International Trade Minister Nigel Huddleston received officials’ recommendations to restructure the groups in mid-August. A final decision is expected before the end of the year.

    With 40-50 people on the U.K. government’s current briefing calls about the India trade deal there’s little businesses or unions can do to feed into negotiations. Officials can “only really be in transmit mode,” said a business representative familiar with the briefings.

    “What this means in real terms is that decisions are being made about the future of people’s livelihoods, people’s health, and the environment we all depend on without any input from those who will be impacted,” said Hannah Conway, trade and agriculture policy advisor at the NGO Transform Trade.

    “It’s crucial,” she said, “that the government addresses its democratic deficit on trade policy by undertaking meaningful consultation with civil society and businesses.”

    “It’s high time the government rethinks its approach,” said the TUC’s Crawford, “and includes unions in trade talks — that’s how you get trade deals that work for working people.”

    Graham Lanktree

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  • Hollywood writers strike declared over after boards approve new contract with studios

    Hollywood writers strike declared over after boards approve new contract with studios

    LOS ANGELES — Leaders of the screenwriters union declared their nearly five-month-old strike over Tuesday after board members approved a contract agreement with studios, bringing Hollywood at least partly back from a historic halt in production.

    The governing boards of the eastern and western branches of the Writers Guild of America and their joint negotiating committee all voted to accept the deal, two days after the tentative agreement was reached with a coalition of Hollywood’s biggest studios, streaming services and production companies. After the vote they declared that the strike would be over and writers would be free to start on scripts at 12:01 a.m. Wednesday.

    Late-night talk shows — the first to go dark when writers walked out on May 2 — are likely the first shows that will resume. Scripted shows will take longer to return, with actors still on strike and no negotiations yet on the horizon.

    The writers still have to vote to ratify the contract themselves in early October, but lifting the strike will allow them to work during that process, the guild told members in an email.

    After Tuesday’s board votes, the contracts were released for the first time to the writers, who had not yet been given any details on the deal, which their leaders called “exceptional.”

    The three-year agreement includes significant wins in the main areas writers had fought for — compensation, length of employment, size of staffs and control of artificial intelligence — matching or nearly equaling what they had sought at the outset of the strike.

    The union had sought minimum increases in pay and future residual earnings from shows of between 5% and 6%, depending on the position of the writer. The studios had wanted between 2% and 4%. The compromise deal was a raise of between 3.5% and 5%.

    The guild also negotiated new residual payments based on the popularity of streaming shows, where writers will get bonuses for being a part of the most popular shows on Netflix
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    Max and other services, a proposal studios initially rejected. Many writers on picket lines had complained that they weren’t properly paid for helping create heavily watched properties.

    The writers also got the requirement they sought that shows intended to run at least 13 episodes will have at least six writers on staff, with the numbers shifting based on the number of episodes. They did not get their desire for guaranteed staffs of six on shows that had not yet been ordered to series, settling instead for a guaranteed three.

    Writers also got a guarantee that staffs on shows in initial development will be employed for at least 10 weeks, and that staffs on shows that go to air will be employed for three weeks per episode.

    On artificial intelligence, the writers got the regulation and control of the emerging technology they had sought. Under the contract, raw, AI-generated storylines will not be regarded as “literary material” — a term in their contracts for scripts and other story forms a screenwriter produces. This means they won’t be competing with computers for screen credits. Nor will AI-generated stories be considered “source” material, their contractual language for the novels, video games or other works that writers may adapt into scripts.

    Writers have the right under the deal to use AI in their process if the company they are working for agrees and other conditions are met. But companies cannot require a writer to use AI.

    Still-striking members of the Screen Actors Guild-American Federation of Television and Radio Artists returned to the picket lines earlier Tuesday for the first time since the writers struck their tentative deal, and they were animated by a new spirit of optimism.

    “For a hot second, I really thought that this was going to go on until next year,” said Marissa Cuevas, an actor who has appeared on the TV series “Kung Fu” and “The Big Bang Theory.” “Knowing that at least one of us has gotten a good deal gives a lot of hope that we will also get a good deal.”

    Writers’ picket lines had been suspended, but they were encouraged to walk in solidarity with actors, and many were on the lines Tuesday, including “Mad Men” creator Matthew Weiner, who picketed alongside friend and “ER” actor Noah Wyle as he has throughout the strikes.

    “We would never have had the leverage we had if SAG had not gone out,” Weiner said. “They were very brave to do it.”

    The Alliance of Motion Picture and Television Producers, which represents the studios in negotiations, chose to deal with the longer-striking writers first, and leaders of SAG-AFTRA said they had received no overtures on resuming talks. That’s likely to change soon.

    Actors also voted to authorize their leadership to potentially expand their walkout to  include the lucrative videogame market, a step that could put new pressure on Hollywood studios to make a deal with the performers who provide voices and stunts for games.

    The Screen Actors Guild-American Federation of Radio and Television Artists announced the move late Monday, saying that 98% of its members voted to go on strike against videogame companies if ongoing negotiations are not successful. The announcement came ahead of more talks planned for Tuesday.

    Acting in videogames can include a variety of roles, from voice performances to motion capture work as well as stunts. Video game actors went on strike in 2016 in a work stoppage that lasted nearly a year.

    Some of the same issues are at play in the video game negotiations as in the broader actors strike that has shut down Hollywood for months, including wages, safety measures and protections on the use of artificial intelligence. The companies involved include gaming giants Activision Blizzard
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    Electronic Arts
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    Epic Games, Take 2 Productions
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    as well as Disney
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    and Warner Bros.′
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    videogame divisions.

    “It’s time for the videogame companies to stop playing games and get serious about reaching an agreement on this contract,” SAG-AFTRA President Fran Drescher said in a statement.

    Audrey Cooling, a spokesperson for videogame producers, said they are “continuing to negotiate in good faith” and have reached tentative agreements on more than half of the proposals on the table.

    So far this year, U.S. consumers have spent $34.9 billion on videogames, consoles and accessories, according to market research group Circana.

    The threat of a videogame strike emerged as Hollywood writers were on the verge of getting back to work after months on the picket lines.

    The alliance of studios, streaming services and producers has chosen to negotiate only with the writers so far, and has made no overtures yet toward restarting talks with SAG-AFTRA. That will presumably change soon.

    SAG-AFTRA leaders have said they will look closely at the writers’ agreement, which includes many of the same issues, but it will not effect their demands.

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  • Intel’s Big Chip-Making Push in Germany Hits Bottleneck

    Intel’s Big Chip-Making Push in Germany Hits Bottleneck

    Intel’s Big Chip-Making Push in Germany Hits Bottleneck

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  • After Brexit, Britain and Europe embrace ever-closer union

    After Brexit, Britain and Europe embrace ever-closer union

    LONDON — It was the gleaming smiles and mutual backslapping of two 40-something banker bros which signalled a new era of U.K.-EU relations. 

    British Prime Minister Rishi Sunak and French President Emmanuel Macron looked like natural bedfellows as they riffed off one another at a friendly Paris press conference in March, announcing a sizeable £478 million package to deter migrant crossings through the English Channel.

    The contrast with the petty name-calling of the Boris Johnson and Liz Truss eras was clear to see.

    Sunak’s warm and productive summit with Europe’s most high-profile leader confirmed a more collaborative relationship with the EU and its national capitals after the turmoil of the Brexit era. Less than two weeks earlier, the British PM’s landmark Windsor Framework agreement with Brussels had finally resolved post-Brexit trading issues in Northern Ireland.

    “My hope is that [the agreement] opens up other areas of constructive engagement and dialogue and cooperation with the EU,” Sunak told POLITICO en route to the Paris summit.

    Six months on, his words have been borne out.

    In addition to the Windsor Framework and English Channel agreements, Britain has signed a Memorandum of Understanding with Brussels on regulatory cooperation in financial services, and this month rejoined the EU’s massive €96 billion Horizon and Copernicus science research programs — a major result for the U.K.’s research and university sectors after two years of uncertainty.

    Next on the agenda is a cooperation deal between the British government and the EU’s border protection agency Frontex — another move that brings Britain closer to the EU in a small but meaningful way.

    The deal, confirmed by the Home Secretary Suella Braverman on Tuesday, is expected to be similar to other deals Frontex has with non-EU countries, like Albania, which allow the sharing of data on migration flows.

    “We have seen concrete steps created by a new climate of good faith,” said a London-based European diplomat, granted anonymity — like others in this article — to speak candidly about diplomatic relations.

    “We missed that before, and so that’s the Sunak effect. I wouldn’t say he’s done an amazing job, but he’s changed the state of mind — and therefore he has changed everything.”

    A new hope

    In addition to a renewed focus on relations with fellow leaders, Sunak has impressed EU diplomats with his willingness to face down the vocal Brexiteer wing of his own party, which has long seemed — to European eyes — to hold outsized influence over successive Tory prime ministers.

    Britain’s Prime Minister Rishi Sunak proclaimed a “new chapter” in post-Brexit relations with the European Union after securing a breakthrough deal to regulate trade in Northern Ireland | Pool photo by Dan Kitwood/AFP via Getty Images

    Earlier this year Sunak enraged Tory right-wingers by abandoning a controversial pledge to scrap or rewrite thousands of EU-era regulatory laws which remain on the British statute book by the end of this year, to the delight of EU capitals.

    “The improving relationship is built on the fact there’s now a willingness to find solutions and engage in a way that wasn’t there in the previous administrations,” a second London-based European diplomat said.

    Negotiations continue between Sunak’s government and Brussels over other outstanding areas of dispute — chief among them tough new tariffs due to be imposed in January on electric vehicles (EVs) being shipped in and out of the U.K. which do not conform to strict sourcing requirements for electric batteries.

    On Wednesday the U.K.-EU Trade Specialised Committee will meet to discuss the issue, with British ministers increasingly hopeful Brussels will agree to scrap the end-of-year deadline after heavy lobbying from German automakers and its own European Commissioner for trade, Valdis Dombrovskis.

    Catherine Barnard, a European law professor at Cambridge University, said overall Sunak had overseen a “much more positive relationship” with Europe, albeit one conducted on a “pay-as-you-go basis.”

    “This is looking much more positive and it’s putting some meaning on dealing with our European neighbors as friends, rather than as foes,” she said.

    “But equally, we’re not talking about a comprehensive and thorough renegotiation — quite the contrary.”

    No. 10 Downing Street agrees the shift is less profound than some media observers — or grumbling Tory MPs — would like to think.

    A No. 10 aide said Sunak sees his diplomatic efforts as “normal government,” noting that “we’ve just forgotten what it looks like” after the turmoil of the post-Brexit era.

    “I know it’s following Brexit and all that nonsense we’ve seen over the last few years, and it’s nice to see any small win or small argument to bridge that divide, but this is just normal government relations,” the aide said.

    Labour pains

    Sunak, of course, is 18 points behind in the opinion polls and faces an uphill struggle to stay in office at a general election expected next year.

    But his opponent, U.K. Labour leader Keir Starmer, has made clear he too wants closer cooperation with Europe should he seize power.

    A senior moderate Tory MP said that despite the attacks on Starmer, Sunak is “not overly ideological when it comes to the EU” | Kiran Ridley/Getty Images

    Starmer said this month a future Labour government would use the upcoming review of the post-Brexit trade deal, expected in 2025 or 2026, as a chance to reduce border checks through the signing of a veterinary agreement and to increase U.K.-EU mobility for some sectors of the economy.

    And he told a conference in Montreal last weekend that that “we don’t want to diverge from the EU” in areas such as working conditions or environmental standards.

    These comments were seized upon by Tory ministers as evidence that Starmer would bring the U.K. even further into the EU’s orbit than he has publicly admitted — something the Labour leader denies. Tory campaigners hope to use such comments in campaign attacks painting Starmer as an anti-Brexit europhile.

    But some observers suggest such political attacks are ironic, given Sunak’s own direction of travel. Barnard, quoted above, says that “what Keir Starmer was saying in Canada last week is pretty much a description of where we’re at at the moment.”

    A senior moderate Tory MP said that despite the attacks on Starmer, Sunak is “not overly ideological when it comes to the EU.”

    “There’s always been a belief in Brussels that we would inevitably come crawling back to them, and we’re seeing that a bit now,” they said.

    Nevertheless, it is unclear how much closer Britain and the EU can get without a fundamental renegotiation of the terms of Brexit — something all sides insist is off the table.

    One area for agreement is the need for enhanced security and defence links, with next year’s European Political Community Summit in Britain providing a potential opportunity for further announcements.

    Some in Westminster speculate that this could come in the form of Britain joining individual projects of the EU’s Permanent Structured Cooperation — a body which coordinates the bloc’s security and defence policy. The European Council invited Britain to join its “military mobility project” alongside Canada, Norway and the U.S. in November 2022.

    Anand Menon, director of the UK in a Changing Europe think tank , said he’s “not convinced” of the potential benefits for Britain, considering the U.K.’s existing position in NATO and other organizations.

    He believes the British government will run out of road in finding mutually beneficial areas of cooperation with Brussels.

    “The EU is relatively happy with the status quo,” Menon said. “It’s only in the U.K. where people say we need to move closer … There are so many bigger fish to fry for the EU.”

    Stefan Boscia

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  • A stranger in your hotel room? Kitty-litter shortages? Online attacks are causing real-world effects.

    A stranger in your hotel room? Kitty-litter shortages? Online attacks are causing real-world effects.

    It was past midnight when Alessandra Millican and a friend entered the Bellagio hotel room that was costing them hundreds of dollars a night, but unexpected noises made them stop cold.

    “We started hearing grunts,” she said. “It’s somebody waking up — we were halfway through the room and we realized there’s somebody sleeping in here.”

    Millican…

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  • Zelenskyy seeks to rebuild bridges with Poles amid dispute over grain and weapons

    Zelenskyy seeks to rebuild bridges with Poles amid dispute over grain and weapons

    WARSAW — Ukrainian President Volodymyr Zelenskyy tried to rebuild bridges with Poland late on Saturday, seeking to take the sting out of a political dispute with Warsaw by giving awards to two Polish humanitarian volunteers on his way back from a trip to the U.S. and Canada.

    Although Poland was a die-hard ally of Ukraine in the early days of the Russian invasion, the conservative, nationalist government of the Law and Justice (PiS) party has taken an unexpectedly hard line against its war-torn neighbor in the past days, largely for reasons related to the impending election on October 15.

    In order to protect Polish farmers — crucial to the ruling party’s electoral prospects next month — Warsaw has blocked agricultural imports from Ukraine, in a protectionist move that Kyiv says is illegal and has referred to the World Trade Organization. Amid this dispute over food products, Warsaw made the shock announcement it would no longer send arms to Ukrainian forces fighting the Russians.

    Over recent days, Zelenskyy has been keen to avoid venturing into Polish electoral politics, but has instead tried to play up the importance of direct relations between ordinary Poles and Ukrainians. In that vein, Marcin Przydacz, head of the office of international policy at the presidency, told the Onet news platform that Zelenskyy had simply visited Poland in transit on his way home to Kyiv and had not met politicians.

    Instead, Zelenskyy presented decorations to two Poles involved in helping Ukraine. Zelenskyy said journalist Bianka Zalewska from the U.S.-owned television network TVN had helped provide humanitarian aid to Ukrainians and transport wounded children to Polish hospitals. Combat medic Damian Duda had gathered teams to treat wounded soldiers near the front line and set up a fund to assist medics and provide them with training, he said.

    “I would like to thank all of Poland for their invaluable support and solidarity, which helps to defend the freedom of our entire Europe!” Zelenskyy said on X, the platform formerly known as Twitter.

    Duda explained to Onet that he was awarded the presidential order “For Meritorious Service” Third Class for his work since 2014 as a battlefield medic.

    “I work in the Ukrainian trenches, saving Ukrainian soldiers,” he said. “I was there until the end [of the Ukrainian defense] in Bakhmut, in Soledar, in Zaporizhzhia,” he said. “Our work is voluntary, our work is cost-free and I am glad that risking our lives to help another human being has been noticed by President Zelenskyy,” the medic said.

    Kamil Turecki is a journalist with Poland’s Onet, a sister publication of POLITICO, also owned by Axel Springer.

    Kamil Turecki

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  • Deal ‘with the devil’: Meet the Cubans who’ve joined Russia’s war on Ukraine

    Deal ‘with the devil’: Meet the Cubans who’ve joined Russia’s war on Ukraine

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    What César really wanted was to get out of Cuba. A bartender struggling to make ends meet in Havana, he tried last year to reach Miami in a rickety boat but was forced to abandon the attempt when he was intercepted by the U.S. Coast Guard.

    He’s now preparing a second escape attempt: with a direct flight to Moscow. His ticket has been paid for by a Russian recruiter but it comes with a hefty price tag nonetheless: As part of the deal, he will have to join the Russian army and fight in Ukraine.

    “If this is the sacrifice I have to make for my family to get ahead, I’ll do it,”  said César, who turned 19 this year and whose name has been changed to protect his identity.

    “You can be a nuclear physicist and still die of hunger here,” he said. “With my current salary I can barely buy basic things like toilet paper or milk.” He said he hoped he would be allowed to work as a paramedic.

    The news of Cuban fighters in Ukraine splashed across global headlines earlier this month when Havana announced it had arrested 17 people for involvement in a human trafficking ring recruiting young men to fight for Russia.

    The news raised questions about the extent of cooperation between the two Cold War allies, and whether cracks were beginning to show in Havana’s support for Russia’s invasion.

    Conversations with Cubans in Cuba and Russia reveal a different side of the story: of desperate young men who see enlistment in the Russian army as their best shot at a better life — even if not all of them seem to know what they were getting themselves into.

    One recruit in his late 40s in the Russian city of Tula, whom we will call Pedro, said he was promised a job as a driver “for workers and construction material” but on arrival in Russia was being prepared for combat, weapon in hand.

    “We signed a contract with the devil,” he said, recalling the moment he enlisted. “And the devil does not hand out sweets.”

    Cold-war allies

    Until recently, Havana — though formally neutral on Ukraine — made no secret of siding with Moscow in what it called its clash with the “Yankee empire.” The Castro regime is dependent on Russia for cheap fuel and other aid. But unlike, say, North Korea, it has little to offer in return other than diplomatic loyalty.

    Since the Kremlin launched its full-scale assault last year, the countries have exchanged visits by top brass.

    Critics have warned that, keeping with Soviet tradition, Cuba could send troops to help fight Moscow’s cause. They point to a May visit to Belarus by Cuba’s military attaché, where the “training of Cuban military personnel” was top of the agenda, and a trip to Moscow by Cuba’s defense minister several weeks later to discuss “a number of technical military projects.” But there has been no evidence of direct involvement.

    Havana’s crackdown on the recruitment network followed the publication of an interview on YouTube in late August, in which two 19-year-old Cubans claimed they had been lured to Russia for lucrative construction jobs, only to be sent to the trenches in Ukraine. They said they had suffered beatings, been scammed out of their money and were being kept captive.

    Cuba’s foreign ministry vowed to act “energetically” against efforts to entice Cubans to join Russia’s war effort, adding: “Cuba is not part of the conflict in Ukraine.”

    The change in tone in Havana suggests that the recruitment of Cubans through informal backchannels has “hit a nerve,” said Christopher Sabatini, a senior fellow for Latin America at Chatham House. 

    “Cuba and the Soviet Union fought side by side in Angola and other places, but for ideological reasons,” he said. “Now it’s boiled down to the ugliest, most mercenary terms, giving it a transactional quality that goes against decades of friendship.”

    In November 2022, Russian President Vladimir Putin signed a decree offering fast-tracked naturalization to foreigners who signed up as contract soldiers. “We are all getting Russian citizenship,” one recruit texted this reporter. That week, he and others told POLITICO, some 15 recruits, some of whom had been in Russia for only a couple of months, had been personally handed their passports by the local governor.

    With heavy losses in Ukraine, Russia “needs the cannon fodder,” said Pavel Luzin, a senior fellow at the Center for European Policy Analysis (CEPA). He added most foreign recruits come from Central Asian and African countries, Syria and Afghanistan.

    It is unclear exactly how many foreign citizens have joined Russia’s ranks. But Luzin says their limited numbers mainly serve to boost Russia’s narrative that it has international support for its war.

    “Without speaking the language, knowing the local terrain, or the right training for modern warfare, they’ll be swiftly killed and that’s it,” he said. 

    Joining the 106th

    For most of the Cubans with whom POLITICO spoke, their involvement with the Russian army began in late 2022, when somebody using the name Elena Shuvalova began posting on social media pages targeting Cubans looking to go abroad or already in Russia.

    One post showed a woman in a long skirt in front of a car decorated with a Cuban flag and a “Z,” Russia’s pro-war symbol. In the accompanying text, Shuvalova offered a one-year contract with the Russian army, “help” with the required language exams and medical tests, and “express legalization within two days.”

    Pay consisted of a one-off handout of 195,000 rubles (about $2,000) followed by a monthly salary of 204,000 rubles ($2,100). By comparison, Cuba’s average GDP per capita in 2020 was $9,500 per year. 

    Of the four recruits currently in Russia who shared their stories with POLITICO, three said they had been flown in from Cuba this summer. At home, they worked in hospitality, teaching and construction. One said he had a professional military background. Two others had completed two years of standard compulsory military service.

    While they knew they would be employed by Russia’s military, they were reassured that they would be working far from the front line as drivers or construction workers. “To dig fortifications or help rebuild cities,” one recruit’s exasperated wife told POLITICO.

    Because they could face charges of joining a mercenary group in Cuba or of treason or espionage in Russia for talking to a reporter, POLITICO changed the names of the recruits quoted in this story.

    Each of them said they were flown in from Varadero along with several dozen other men. They said their passports were not stamped on departure, and that upon entering Russia their migration cards were marked “tourism” as their purpose of stay.

    On landing at Moscow’s Sheremetyevo airport, the recruits were met by a woman who introduced herself as Diana, who said she was a Cuban with Russian ties. They were then loaded onto a bus and brought to what one recruit described as “an empty school building” near Ryazan, a city in western Russia 200 kilometers southeast of Moscow. 

    There, they underwent a cursory medical check and were subject to a mountain of red tape, including the signing of a contract with the Russian defense ministry. One recruit said a Spanish version of the text was made available to those who specifically requested it, but others said that a translator simply summarized its content verbally.

    The recruits said that some of the new arrivals remained behind at a military unit in Ryazan. But most were transferred to the 106th Guards Airborne, a division based in the city of Tula near Moscow that has been deployed into some of the fiercest fighting in Ukraine.

    Kyiv claims the 106th was largely “reduced to fertilizer” in the early days of the invasion when it tried to capture Kyiv. In recent months, it has been stationed around Soledar and Bakhmut, hotspots in eastern Ukraine.

    “When they handed us the uniform and told us to go train I realized this was not about construction at all,” one recruit said. By then, however, he was locked in.

    A legal adviser who is well-known within Russia’s Cuban community told POLITICO he has delivered the same tough message to scores of Cuban recruits who have appealed to him for help: “Once you’ve signed the contract, defecting is tantamount to treason.” 

    When POLITICO spoke to Pedro in Tula, he said he felt trapped by his decision. 

    “I came here to give my children a better life, not to kill,” he said, breaking down into tears. “I won’t fire a single bullet.” 

    He added he had considered trying to escape. “But where do I go?”

    On landing at Moscow’s Sheremetyevo airport, the recruits were met by a woman who introduced herself as Diana, who said she was a Cuban with Russian ties | Kirill Kudryavtsev/AFP via Getty Images

    Willing participants

    POLITICO could not determine whether Shuvalova or Diana were working for Russian or Cuban authorities. Neither woman responded to requests for comment — though Shuvalova told journalists at the Russian-language Moscow Times that she worked pro-bono.

    While the Cuban Embassy in Moscow did not respond to multiple requests for comment, the government itself has sent mixed messages. Shortly after Cuba’s announcement that it had broken up the human trafficking ring, Havana’s ambassador to Moscow told the state-run RIA agency that “we have nothing against Cubans who just want to sign a contract and legally take part in this operation.”

    Russia’s defense ministry did not respond to a request for comment.

    It’s not easy to tell just how many Cuban citizens have joined the Russian military.

    In conversations with POLITICO, the recruits said roughly 140 Cubans were currently in Tula. And a caller to a Miami-based Spanish-language television channel in early September said that he had some 90 Cubans under his command in Ryazan.

    A trove of 198 hacked documents, allegedly belonging to recent Cuban recruits and published online by the Ukrainian website Informnapalm, showed the ages of those who joined the Russian army ranged between 19 to 69 years old. More than 50 of the passports were issued in June and July this year.

    Not all Cubans POLITICO spoke to said they had been tricked into joining the war. In photos shared online and in messenger apps, many pose proudly in military gear, some carrying weapons. 

    “No one put a gun to their heads,” Yoenni Vega Gonzalez, 36, a Cuban migrant in Russia, said of his acquaintances in Ukraine. “The contract makes it clear that you’re going to war, not to play ball or camping.”

    He said he had been refused the opportunity to join because he does not speak Russian. “Otherwise, I would have gone [to the front] with pride and my head held high.”

    During the reporting of this article, several Cubans still on the island reached out saying they wanted to enlist. All cited economic, and not political, reasons as their core motivation.

    Accounts of daily life behind the fences of the training sites differed greatly.

    Some recruits described their interaction with the Russians as friendly and the atmosphere as relaxed. In their free time they smoked cigarettes and sipped on Coca-Cola (officially not available in either Cuba or Russia). On the weekends they went sightseeing and reveled in the city’s bars.

    But those who say they were tricked into service, seemingly a minority, complain about payment delays and said they are threatened with incarceration for resisting orders.

    When asked about the moral implications of his decision, one recruit in Tula said it wasn’t his primary concern.

    “This is the way we found to get out of Cuba,” he said. “No one here wants to kill anyone. But neither do we want to die ourselves.”

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  • UK dials up fight with Meta over encryption

    UK dials up fight with Meta over encryption

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    LONDON — The gloves are off in the U.K. government’s deepening spat with tech giant Meta.

    On Wednesday, Britain’s Home Secretary Suella Braverman unveiled a fresh campaign aimed at making the Mark Zuckerberg-led tech giant rethink its plan to roll out end-to-end encryption on Facebook and Instagram — a move she says will hamper the police’s ability to catch pedophiles.

    At a background briefing for reporters on Tuesday, Home Office officials used graphic language to describe the types of child sexual abuse material that they say risks going undetected if Meta goes ahead with its plans. A video put together as part of the campaign features a victim of child sex abuse appealing directly to Meta chief Mark Zuckerberg to rethink plans to roll out encryption.

    The National Crime Agency has estimated that making messages on Facebook Messenger and Instagram end-to-end encrypted will wipe out more than 85 percent of the platforms’ reports of online child sexual abuse material.

    Meta, which aims to finalize the encryption rollout by the end of the year, has said it plan to continue policing its platforms for grooming and the sharing of child abuse content. It will do this by, for example, watching for suspicious behavior from accounts and providing a range of controls to help kids avoid harm.

    But Braverman said she’s not yet been convinced that these measures will make up for the shortfall in reports that the encryption changes are expected to bring about, prompting her to write to the tech giant in July asking it to stop its encryption rollout if it can’t give stronger assurances.

    “Meta has failed to provide assurances that they will keep their platforms safe from sickening abusers,” Braverman said in a press release. “They must develop appropriate safeguards to sit alongside their plans for end-to-end encryption.”

    “We don’t think people want us reading their private messages so have spent the last five years developing robust safety measures to prevent, detect and combat abuse while maintaining online security,” said a Meta spokesperson.

    The company on Wednesday also published an updated report setting out these measures, such as restricting people over 19 from messaging teens who don’t follow them and using technology to identify and take action against malicious behaviour.

    A new front in the encryption fight

    The campaign, which is also backed by a slew of child protection groups and law enforcement bodies, is just the latest round of a bruising battle between U.S. tech companies and the U.K. government over encryption that has largely centered on Britain’s new draft internet rulebook, the Online Safety Bill.

    The bill, which passed its final parliamentary hurdle Tuesday, would empower Britain’s comms regulator Ofcom to force tech companies to monitor messenger apps for illegal child abuse content. That’s proven controversial, with dozens of cryptography experts saying that the powers would effectively undermine end-to-end encryption — tech that enables only the sender and receiver to view messages.

    Tech execs like Signal’s Meredith Whittaker and WhatsApp’s Will Cathcart have suggested they’d rather have their encrypted services blocked in the U.K. than undermine privacy for millions of users on their apps. 

    But Ofcom officials have previously said there’d be a high bar for them to mandate monitoring on encrypted apps, while any order for Meta to scan its messenger apps for content would prove highly contentious for the regulator. 

    That’s what’s prompted the U.K. government to lobby for Meta to rethink its plans in the first place.

    “We urge companies looking to introduce end-to-end encryption to their services to think carefully about the impact on younger, vulnerable users,” said Susie Hargreaves, chief executive of child protection group the Internet Watch Foundation in a statement. 

    Vincent Manancourt

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  • TikTok hit with €345M fine for violating children’s privacy

    TikTok hit with €345M fine for violating children’s privacy

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    Booming social media application TikTok needs to pay up in Europe for violating children’s privacy.

    The popular Chinese-owned app failed to protect children’s personal information by making their accounts publicly accessible by default and insufficiently tackled risks that under-13 users could access its platform, the Irish Data Protection Commission (DPC) said in a decision published Friday.

    The regulator slapped TikTok with a €345 million fine for breaching the EU’s landmark privacy law, the General Data Protection Regulation (GDPR).

    The penalty comes amid high tensions between the European Union and China, following the EU’s announcement that it plans to probe Chinese state subsidies of electric cars. European Commission Vice President Věra Jourová is also set to visit China next Monday-Tuesday and meet Vice Premier Zhang Guoqing to discuss the two sides’ technology policies, amid growing concerns over Beijing’s data gathering and cyber espionage practices.

    “Alone the fine of [€345 million] is a headline sanction to impose but reflects the extent to which the DPC identified child users were exposed to risk in particular arising from TikTok’s decision at the time to default child user accounts to public settings on registration,” said Helen Dixon, the Irish data protection commissioner, in a written statement.

    The Irish privacy regulator said that, in the period from July to December 2020, TikTok had unlawfully made accounts of users aged 13 to 17 public by default, effectively making it possible for anyone to watch and comment on videos they posted. The company also did not appropriately assess the risks that users under the age of 13 could gain access to its platform. It also found that TikTok is still pushing teenagers joining the platform to make their accounts and videos public through manipulative pop-ups. The regulator ordered the firm to change these misleading designs, known as dark patterns, within the next three months.

    Minors’ accounts could be paired up with unverified adult accounts during the second half of 2020. The authority said the video platform had also previously failed to explain to teenagers the consequences of making their content and accounts public.

    “We respectfully disagree with the decision, particularly the level of the fine imposed,” said Morgan Evans, a TikTok spokesperson. “The [Data Protection Commission]’s criticisms are focused on features and settings that were in place three years ago, and that we made changes to well before the investigation even began, such as setting all under-16 accounts to private by default.”

    TikTok added it will comply with the order to change misleading designs by extending such default-privacy settings to accounts of new users aged 16 and 17 later in September. It will also roll out in the next three months changes to the pop-up young users get when they first post a video.

    The decision marks the largest-ever privacy fine for TikTok, which is now actively used by 134 million Europeans monthly, and the fifth-largest fine imposed on any tech company under the GDPR.

    The platform popular among teenagers has previously faced criticism for insufficiently mitigating harms it poses to its young users, including deadly viral challenges and its addictive algorithm. TikTok — like 18 other online platforms — also now has to limit risks like cyberbullying or face steep fines under the Digital Services Act (DSA).

    The costly fine adds to TikTok’s woes in Europe, after it saw a wave of new restrictions on its use earlier this year due to concerns about its connection to China.

    The social media app, whose parent company ByteDance is based in Beijing, has struggled to quash concerns over its data security. The company said this month it had started moving its European data to a center within the bloc. Yet, it is still under investigation by the Irish Data Protection Commission over the potentially unlawful transfer of European users’ data to China.

    The social media app, whose parent company ByteDance is based in Beijing, has struggled to quash concerns over its data security | Roslan Rahman/AFP via Getty Images

    The Irish data authority in 2021 started probing whether TikTok was respecting children’s privacy requirements. TikTok set up its legal EU headquarters in Dublin in late 2020, meaning the Irish privacy watchdog has been the company’s supervisor for the whole bloc under the GDPR.

    Other national watchdogs weighed in on the investigation over the summer via the European Data Protection Board (EDPB), after two German privacy agencies and Italy’s regulator disagreed with Ireland’s initial findings. The group instructed Ireland to sanction TikTok for nudging its users toward public accounts in its misleading pop-ups.

    The board of European regulators also had “serious doubts” that TikTok’s measures to keep under-13 users off its platform were effective in the second half of 2020. The EDPB said the mechanisms “could be easily circumvented” and that TikTok was not checking ages “in a sufficiently systematic manner” for existing users. The group said, however, that it couldn’t find an infringement because of a lack of information available during their cooperation process.

    The United Kingdom’s data regulator in April fined TikTok £12.7 million (€14.8 million) for letting children under 13 on its platform and using their data. The company also received a €750,000 fine in 2021 from the Dutch privacy authority for failing to protect Dutch children by not having a privacy policy in their native language.

    This article has been updated.

    Clothilde Goujard

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  • Putin exposes the myth of Austria’s victimhood

    Putin exposes the myth of Austria’s victimhood

    VIENNA — No one does victimhood quite like Austria.

    Over the past century, the Central European country has presented itself to the outside world as an innocent bystander on an island of gemütlichkeit, doing what it can to get by in a treacherous global environment.

    “Austria was always apolitical,” insists Herr Karl, the archetypal Austrian opportunist, brought to life in 1961 by Helmut Qualtinger, the country’s greatest satirist. “We were never political people.”

    Recalling Austria’s collaboration with the Nazis, Herr Karl, a portly stockist who speaks in a working-class Viennese dialect, was full of self pity: “We scraped a bit of cash together — we had to make a living…How we struggled to survive!”

    Russia’s war on Ukraine offers a bitter reminder that Austria remains a country of Herr Karls, playing all sides, professing devotion to Western ideals, even as they quietly look for ways to continue to profit from the country’s friendly relations with Moscow.

    The most glaring example of this hypocrisy is Austria’s continued reliance on Russian natural gas, which accounts for about 55 percent of the country’s overall consumption. Though that’s down from 80 percent at the beginning of 2022, Austria, in contrast to most other EU countries, remains dependent on Russia.

    Confront an Austrian government official with this fact and you’ll be met with a lengthy whinge over how the country, one of the world’s richest, is struggling to cope with the economic crosswinds triggered by the war. That will be followed by a litany of examples of how a host of other EU countries is guilty of much more egregious behavior vis a vis Moscow.

    The unspoken, if inevitable, conclusion: the real victim here is Austria.

    The myth of Austrian victimhood has long been a leitmotif of the country’s bilious tabloids, which serve readers regular helpings of all the ways in which the outside world, especially Brussels and Washington, undermines them.

    Outside supervision

    Earlier this month, the EU’s representative in Austria, Martin Selmayr, ended up in the sights of the tabloids — and the government — for uttering the inconvenient truth that the millions Vienna pays to Russia for gas every month amounted to “blood money.”   

    “He’s acting like a colonial army officer,” fumed Andreas Mölzer, a right-wing commentator for the Kronen Zeitung, Austria’s best-selling tabloid, noting with delight that both of Selmayr’s grandfathers were German generals in the war.

    A few weeks before his “blood money” remarks, Selmayr told a Vienna newspaper that “the European army is NATO” | Patrick Seeger/EPA

    “The Eurocrats have this attitude that they can just tell Austrians what to do,” Mölzer concluded.  

    Yet if Austria’s history since the collapse of the Habsburg empire in 1918 has shown anything, it’s that the country needs outside supervision. Left to their own devices, Austrians’ worst instincts take hold.

    One needn’t look further than 1938 to understand the implications. But there’s no shortage of other examples: voters’ enthusiastic support for former United Nations Secretary-General Kurt Waldheim as president in 1986, despite credible evidence that he had lied about his wartime service as an intelligence officer for the Nazis; the state’s foot-dragging on paying reparations to slave laborers used by Austrian companies during the war; the resistance to return valuable artworks looted from Jews by the Nazis to their rightful owners.

    Not that Austrians learn from their mistakes. To this day, Austrians rarely heed the better angels of their nature unless the outside world forces them to, either by shaming them into submission or brute force.

    That said, the West is almost as much to blame for Austria’s moral shortcomings as the Austrians themselves.  

    The Magna Carta for Austria’s cult of victimhood can be found in the so-called Moscow Declarations of 1943, in which the allied powers declared the country “the first free country to fall a victim to Hitlerite aggression.” Though the text also stresses that Austria bears a responsibility — “which she cannot evade” — for collaborating with the Nazis, the Austrians latched onto the “victim” label after the war and didn’t look back.

    In the decades that followed, the country relied on its stunning natural beauty and faded imperial charm to transform its international image into that of an alpine Shangri-La, a snow-globe filled with prancing Lipizzaners and jolly folk enjoying Wiener schnitzel and Sachertorte.

    Convenient excuse

    A key element of that gauzy fantasy was the country’s neutrality, imposed on it in 1955 by the Soviet Union as a condition for ending Austria’s postwar allied occupation. At the time, Austrians viewed neutrality as a necessary evil towards regaining full sovereignty.

    During the course of the Cold War, however, neutrality took on an almost religious quality. In the popular imagination, it was neutrality, coupled with Austrians’ deft handling of Soviet leaders, that allowed the country to escape the fate of its Warsaw Pact neighbors (while also doing business with the Eastern Bloc).

    Today, Austrian neutrality is little more than a convenient excuse to avoid responsibility.

    Austria’s center-right-led government insists that on Ukraine it is only neutral in terms of military action, not on political principle. In other words, it won’t send weapons to Kyiv, but it does support the EU’s sanctions and allows arms shipments destined for Ukraine to pass through Austrian territory.   

    At the same time, many Austrian companies continue to conduct brisk business with Russia for which they face little criticism at home.

    Andreas Babler took over as leader of the Social Democrats in June AND has a long history of opposing not just NATO, but Austrian participation in any EU defense initiatives | Helmut Fohringer/APA/AFP via Getty Images

    In the Austrian population as a whole, decades of fetishizing neutrality has left many convinced that it’s their birthright not to take sides. Most are blissfully unaware of the EU’s mutual defense clause, under which member states agree to come to one another’s aid in the event of “armed aggression.”

    That mentality explains why Austria’s political parties — with the notable exception of the liberal Neos — refuse to touch, or even debate, the country’s neutrality and its security implications.

    In March, just as Ukrainian President Volodymyr Zelenskyy began an address via video to Austria’s parliament, Freedom Party MPs placed signs stamped with “Neutrality” and “Peace” on their desks before standing up in unison and leaving the chamber.

    The far right wasn’t alone in its disapproval of Zelenskyy. More than half of the Social Democratic MPs also boycotted the event to avoid upsetting Russia.

    Geographic good fortune

    Andreas Babler, who took over as leader of the Social Democrats in June, has a long history of opposing not just NATO, but Austrian participation in any EU defense initiatives.

    In 2020, he characterized the EU as “the most aggressive military alliance that has ever existed,” adding that it “was worse than NATO.”

    It’s an extraordinary assertion given that NATO is the only thing that kept the Soviet Union from swallowing Austria during the Cold War. The defense alliance, which Austrian leaders briefly entertained joining in the 1990s, remains the linchpin of the country’s security for a simple reason: Austria’s only non-NATO neighbor is Switzerland.

    Austria’s neutrality and geographic good fortune have led it to spend next to nothing on defense. Last year, for example, spending fell to just 0.8 percent of GDP from 0.9 percent, putting it near the bottom of the EU league table with the likes of Luxembourg, Ireland and Malta.

    A few years ago, the country’s defense minister even proposed doing away with “national defense” altogether so that the army could concentrate on challenges such as natural disaster relief and combatting cyber threats. The idea was ultimately rejected, but that it was proposed at all — by the person who oversees the military no less — illustrates how seriously Austria takes its security needs.

    Over the past year, the government has pledged to increase defense spending, yet those plans are still well below what the country would be obligated to pay were it in NATO.

    Put simply, Austria is freeloading on its neighbors and the United States and will continue to do so until it’s pressured to change course.

    Reality check

    That’s why it needs more straight talk from people like Selmayr, not less.

    A few weeks before his “blood money” remarks, the diplomat told a Vienna newspaper that “the European army is NATO,” noting that the accession of Sweden and Finland to the alliance would leave only Austria and a few small island states outside the tent.

    Austria’s neutrality and geographic good fortune have led it to spend next to nothing on defense | Joe Klamar/AFP via Getty Images

    The reality check dashed Austria’s hope that it could avoid paying its share for EU defense by waiting for Brussels to create its own force.    

    Even so, rhetoric alone is not going to convince Austria to shift course. Nearly 80 percent of Austrians support neutrality because it’s so comfortable. The EU and the U.S. need to make it uncomfortable.

    At the moment, most Austrians only see the upsides to neutrality; yet that’s only because the West has refused to impose any costs on the country for freeriding. That needs to change.

    Critics of a more aggressive approach towards Vienna argue that it will only harden the population’s resolve to sustain neutrality and bolster the far right. That may be true in the short term, but the history of foreign pressure on Austria, especially from Washington — be it the isolation it faced during the Waldheim affair or the push to compensate slave laborers from the war — shows that the interventions ultimately work.

    If forced to choose between remaining in the Western fold or facing isolation, Austrians will always chose the former.

    Though almost no Austrian security officials will say so publicly, few have any illusions about the necessity of a sea change. More than one-third acknowledge that the country’s neutrality is no longer credible, according to a study published this month by the Austrian Institute for European and Security Policy. A further third say the country’s participation in the EU’s common foreign and security policy has a “strong influence” on the credibility of its neutrality claim (presumably not in a good way).

    And nearly 60 percent say the country needs to improve its interoperability with NATO in order to fight alongside its EU allies in the event of an armed conflict. 

    The problem is that no one is forcing them.

    If Austria’s partners continue to avoid a confrontation, the country is likely to continue its slide towards Orbánism.

    The Freedom Party, which wants to suspend EU aid for Ukraine and lift sanctions against Russia, leads the polls by a widening margin with just a year until the next national election. With neighboring Slovakia on a similar trajectory, Russian President Vladimir Putin may soon have a major foothold in the heart of the EU.

    So far, the EU and Washington have been silent on the Freedom Party’s worrying rise, counting on Austrians to snap out of it.

    Barring foreign pressure, they won’t. Why would they? With its populist prescriptions and beer hall rhetoric, the Freedom Party encourages Austrians to see themselves as what they most want to be: victims.

    Or as Herr Karl famously put it: “Nothing that they accused us of was true.”

    Matthew Karnitschnig

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  • Apple event: iPhone 15, Apple Watch Series 9 and everything else on the way

    Apple event: iPhone 15, Apple Watch Series 9 and everything else on the way

    Apple refreshed its iPhone and Apple Watch lineups at a Tuesday event that focused on camera and processing improvements for the phones as well as new gesture controls for the watch.

    Apple
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    kept prices the same on three of its iPhone models, while boosting the starting price of the iPhone 15 Pro Max for the first time when it eliminated what previously was the smallest and cheapest configuration. The least expensive iPhone 15 Pro Max will cost $1,199 for 256GB of storage, which is what that configuration cost a year ago, though at that time there was also a cheaper 128GB option. Apple previously had stuck with a $1,099 base price on the iPhone Pro Max since it rolled out that model in 2019.

    Both the iPhone 15 Pro and the iPhone 15 Pro Max will feature Apple’s custom designed A17 Pro processor, a faster chip that the company says will boost the mobile gaming experience.

    The Pro models are getting slight design enhancements, including new titanium casing and slimmer edges. Apple says that the use of titanium, rather than stainless steel, makes the models lighter than their predecessor.

    Perhaps the best camera upgrade is exclusive to the Pro Max. That phone will have a better telephoto camera supporting up to five-times zoom, compared with three times before, and will be able to capture three-dimensional video that can be viewed with Apple’s soon-to-launch Vision Pro headset.

    See also: Vision Pro could be Apple’s biggest hit since iPhone

    The iPhone 15 and iPhone 15 Plus will receive enhancements, too, including speed boosts via Apple’s A16 processor and camera upgrades that will support better use of portrait mode. The satellite connectivity feature that launched on last year’s iPhones will expand to include roadside assistance as well.

    After facing criticism for the iPhone’s “notch,” Apple turned that space into a Dynamic Island on Pro models last year. Now that technology is coming to the base-level models as well, so users will be able to use that space for more functional means like changing songs.

    iPhone users may be able to throw away their Lightning cables if they get the new models, as all four will charge with the more universal USB-C connectivity, as will other Apple devices such as AirPods Pro. Apple did not spend a lot of time addressing the change from its proprietary “Lightning” connecter, which was forced by new European rules requiring universal connections.

    More on iPhone 15: Apple increases base price on highest-end iPhone for first time

    Apple also detailed the new Apple Watch Series 9 lineup, which includes the second version of the Apple Watch Ultra. The new base Apple Watches will have a new S9 chip that could lead to speed and efficiency improvements and faster load times, the same 18-hour battery life, a new FineWoven fabric band and up to 2000 nit brightness display. The Apple Watch Ultra 2 has features including 36 hours of battery life, an S9 SiP chip, and a 3000-nit brightness display

    The new Apple Watch Series 9 also features a new “double-tap” gesture, which allows people to answer calls and interact with their watch by tapping their index finger and thumb together when their non-watch hand is being previously occupied.

    For more: New Apple Watch Series 9 — cost, new features, and when it comes out

    The new Apple Watch models are set to become available for preorder immediately following the Sept. 12 launch event, and will be available for regular purchase on Friday Sept. 22.

    Apple said the new Apple Watch would be its first fully carbon-neutral device, and dedicated a solid chunk of its hour-and-a-half presentation to discussing environmental sustainability efforts. The company is aiming to be completely carbon-neutral across its operations and supplier operations by 2030.

    Apple also noted that it will no longer use leather in Watch bands, nor any other product. The company also moved up its goal for ditching all plastic packaging — it now expects to accomplish that by the end of 2024.

    See: Apple to drop plastic packaging by end of next year, no leather cases for iPhone15

    Apple added new pink colors to its iPhone and Watch lineup as well. The company also added two new tiers to its iCloud product, which will offer options for 6 and 12 terabytes of remote storage after previously topping out at 2 terabytes.

    Apple stock declined during and after the event, ending the day’s session with a 1.7% drop at $176.30 that helped push the Dow Jones Industrial Average
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    to a slight daily decline. That’s a larger decline than Apple’s average daily performance on iPhone event days historically, but the past has also shown that shares typically rise between the September announcement and the actual launch of the phones.

    Market snapshot: Stocks fall after Apple unveils iPhone 15, with U.S. inflation data looming

    Apple’s stock has increased 35.7% so far this year, easily outpacing the 16.9% increase of the S&P 500 index.
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  • New Apple Watch Series 9: cost, new features, and when it comes out

    New Apple Watch Series 9: cost, new features, and when it comes out

    Apple’s AAPL keynote event on Tuesday debuted several new products including the iPhone 15, and the much-anticipated Apple Watch Series 9.

    Prices for Apple’s refreshed new watch start at $399 — the same price as the previous watch models when they first debuted.

    Among the new features in the Apple Watch Series 9 is a new S9 chip that could…

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  • The iPhone 15 is coming: Everything to expect from Apple’s big event

    The iPhone 15 is coming: Everything to expect from Apple’s big event

    For Apple fans, it’s almost that time of year again. 

    The company is expected to launch the iPhone 15 at an event Tuesday, but don’t get too excited about the new phone. This year, the biggest change from Apple
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    could be the iPhone’s price.

    Apple tends to introduce new iPhones every year in the fall, and lately, the company has been keeping prices the same even as it upgrades the technology. That may not be the case this year, though, with some thinking that Apple could boost the price of its Pro-level models by $100 or $200 compared with what an iPhone 14 Pro currently sells for.

    That’s notable because iPhones are already pretty expensive, with the cheapest iPhone 14 Pro option selling for $999 and the priciest iPhone 14 Pro Max configuration going for $1,599.

    “Given the popularity of the iPhone 14 Pro models compared to the iPhone 14 models, Apple may believe consumers will be willing to pay more without much fuss,” Monness, Crespi, Hardt & Co. analyst Brian White wrote in a recent report. “Moreover, Apple may feel a price hike is warranted given the inflationary forces that have disrupted the economy over the past couple of years.”

    Morgan Stanley’s Erik Woodring is less certain that Apple will hike prices broadly. The company could boost the price of its Pro Max phone by $150 to account for an expected new rear-facing periscope lens, but it’s “very un-Apple-like to raise prices across the board in the midst of a smartphone market down 11%,” he wrote. He said he expects the company to keep prices the same on the regular Pro model and its two base-level options.

    One key issue for iPhone enthusiasts — and Apple investors — is when the new phones will be ready for sale. Most of the iPhone models Apple introduced last year hit stores in mid-September, but there are some concerns about potential production delays this year.

    Read: Waiting for the iPhone 15? You might have to hold out longer than you think.

    “The broad availability of the iPhone 15 Pro Max could be October given some manufacturing challenges,” BofA Securities analyst Wamsi Mohan wrote recently.

    iPhone feature updates have become more incremental in recent years, and Apple watchers aren’t expecting anything groundbreaking this time around either. New iPhones always tend to be a little faster than their predecessors, and this year’s models might charge more quickly too. There’s a catch, though, as Apple is expected to switch out its proprietary Lightning cable for the more universal USB-C cord. 

    While the Pro models get a lot of attention, White said that those looking to buy base-level models could see some enhancements. Reports “have highlighted the potential for the iPhone 15 and iPhone 15 Plus to be graced with certain features found on last year’s more expensive Pro models, including the A16 chip, Dynamic Island, and a 48-megapixel camera,” he wrote.

    Why go Pro? Apple could move to a titanium frame from its prior stainless-steel casing and make camera enhancements. Mohan highlighted the potential for a periscope-type telephoto lens on Max versions.

    Apple fans “should also see more casing quality color differentiation between the Pro and regular series to help drive vanity switchers to the higher-priced models,” Jefferies analyst Andrew Uerkwitz wrote recently.

    There could be a dark blue color option for the iPhone Pro line this year, for example, according to 9to5Mac. That said, those content with the base-level model might be enticed by a pink version of that phone, with 9to5Mac noting that that’s one of several rumored pastel color options.

    Read: Here’s why Wall Street may be overreacting about Apple’s China’s challenges

    Apple is also expected to refresh its Apple Watch lineup at Tuesday’s event. Bloomberg News has reported that the Apple Watch Series 9 could feature a faster processor, though it will have the same general design as past models. Apple is also expected to keep the look the same on an upgraded version of its Ultra Watch, and that might come in a black color option.

    The event kicks off at 1 p.m. Eastern time Tuesday and will be available for live viewing on Apple’s site.

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  • Interpol fights for survival on its 100th birthday

    Interpol fights for survival on its 100th birthday

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    LYON, France — A century after it was founded, the world’s only global crime-fighting organization faces an existential question: Does the world still need it?

    Rising geopolitical tensions including between the United States and Russia and China are challenging the agency’s operating model, which relies on voluntary information-sharing among its members’ police forces. 

    Add to that persistent claims that its famed Red Notice alert system is subject to political manipulation and accusations of complicity in torture against Interpol’s Emirati president, Ahmed Naser Al-Raisi, and the crime-fighting organization faces a perfect storm.

    In an interview with POLITICO, Interpol Secretary General Jürgen Stock said the institution faces numerous difficulties, including over its funding situation. But he argued an agency that spans the globe is needed now more than ever amid international child sexual abuse, environmental crime and mafia groups like Italy’s ‘Ndrangheta.

    “The challenges are huge. I cannot say we are sufficiently resourced,” Stock said as the agency marks 100 years since it was founded in Vienna.

    “We are overwhelmed by cases of online child sexual exploitation. We are overwhelmed by cases of cybercrime … We are overwhelmed by drug trafficking,” he said. Such international operations are extremely resource-intensive, added the German former high-ranking police official.

    His pitch is that the global community can only tackle these kind of crimes through cooperation. “That is why a global platform is more important than ever. Can you consider if Interpol would not exist? People would say, we need such an agency.”

    He cited looming recession and the energy crisis as the main drags on Interpol’s funding push. Asked how much Interpol seeks, Stock did not name a figure, but said tens of millions of euros would be needed to sustain new systems for data and biometric analysis that have not been fully funded.

    With 195 member countries as of 2022, the agency’s total revenue in 2022 was €195 million, of which €86 million was “voluntary contributions” — money that member countries contribute to support certain projects.

    One of the complaints dogging Interpol is that its funding model is heavily reliant on members’ goodwill. Corporations including Philip Morris and associations like FIFA used to also donate large sums until Stock put an end to the practice in 2014 — a decision he said led to a “difficult couple of years.”

    Yet Interpol remains beholden to its government donors including the European Union, its largest single contributor, to pony up cash to support projects or bolster the agency’s capacity to analyze large data sets, for example.

    In March 2017, the agency received €50 million from the United Arab Emirates. Months later, its members elected as its president Emirati Major General Ahmed Nasser al-Raisi, who faced complaints lodged in France and Turkey a few months before his nomination over accusations of torture, which allegedly took place in 2018. The UAE’s foreign ministry rejected the complaints as “without foundation.”

    Asked about the claims against al-Raisi, Stock said they “are aware of the accusation,” adding that it is an “ongoing matter” and that it would be “inappropriate and immature” to comment further. He also defended the UAE donation, saying Interpol was “not a rich organization” and that the UAE did not decide precisely how the money would be spent.

    In March 2017, the agency received €50 million from the United Arab Emirates | Warren Little/Getty Images for XCAT

    In addition, Red Notices — which signal that a person is wanted by a member country, but is not an arrest warrant — face criticism that they can be manipulated by repressive regimes pursuing political opponents. A 2022 report from the European Parliament said political use of Red Notices was a persistent “problem,” citing the example of a Ukrainian opera director who was arrested in Italy following a Red Notice issued by Russia.

    Stock acknowledged that Russia’s war against Ukraine has “had an impact on police cooperation,” but argued the Red Notice system was sound. “We are checking intensively whether the request is in line with Interpol’s procedures,” he said, adding that Interpol is not a “quasi-court.”

    While critics say Interpol is hamstrung by its inability to pursue state-backed criminals and terrorists, Stock argued that it’s precisely the agency’s studied neutrality — which does not allow any member to compel any other to do anything — that allows it to be effective in what it can do.

    Stock’s term as Interpol secretary-general, essentially its chief executive, ends in late 2024. Stephen Kavanagh, Interpol’s executive director for police services and, as of Wednesday, a candidate to be Stock’s successor, argued that Interpol’s staying power through 100 years was due to its low profile.

    “The reason we are surviving despite the scale of global conflict is because we don’t try to exert power over our members. We can’t order countries to investigate or not investigate — which allows us to be effective in bolstering cooperation,” Kavanagh said.

    Nicholas Vinocur and Elisa Braun

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  • Elon Musk sabotaged Ukrainian attack on Russian fleet in Crimea by turning off Starlink, new book says

    Elon Musk sabotaged Ukrainian attack on Russian fleet in Crimea by turning off Starlink, new book says

    Elon Musk secretly ordered his engineers to disable Starlink satellite communications near the coast of Russian-occupied Crimea last year to sabotage a planned Ukrainian drone strike.

    Musk was worried the drone submarine attack, which was targeting the Russian naval fleet in Sevastopol, would escalate tensions and potentially lead to a nuclear war, according to an extract from historian Walter Isaacson’s upcoming biography “Elon Musk.”

    Musk on Thursday evening painted a slightly different picture to the one described by Isaacson. He said satellites in those regions were never turned on in the first place and he simply chose not to activate them.

    The extract, published by the Washington Post on Thursday, shows Musk’s journey from eager supporter to reluctant ally of Ukraine.

    Isaacson writes that Musk reportedly panicked when he heard about the planned Ukrainian attack, which was using Starlink satellites to guide six drones packed with explosives towards the Crimea coast.

    After speaking to the Russian ambassador to the United States — who reportedly told him an attack on Crimea would trigger a nuclear response — Musk took matters into his own hands and ordered his engineers to turn off Starlink coverage “within 100 kilometers of the Crimean coast.”

    This caused the drones to lose connectivity and wash “ashore harmlessly,” effectively sabotaging the offensive mission.

    Ukraine’s reaction was immediate: Officials frantically called Musk and asked him to turn the service back on, telling him that the “drone subs were crucial to their fight for freedom.”

    But Musk was unwavering. He argued that Ukraine was “going too far and inviting strategic defeat” and that he did not want his satellites used for offensive purposes.

    This was the beginning of a well-documented cooling of relationships between Ukrainian forces and the billionaire entrepreneur, who had been helping keep Ukraine online since the beginning of the Kremlin’s full-scale invasion through his Starlink satellites, as Ukrainian infrastructure was severely damaged by Russian attacks.

    But as Ukraine moved on the offensive, Musk started restricting the Ukrainian military’s use of Starlink in Russian-controlled regions and for drone control, while also warning he would stop financially supporting of the service. His argument was the same: He wanted to prevent the conflict from escalating into a world war.

    “There was an emergency request from government authorities to activate Starlink all the way to Sevastopol,” Musk said on X (formerly Twitter). “The obvious intent being to sink most of the Russian fleet at anchor. If I had agreed to their request, then SpaceX would be explicitly complicit in a major act of war and conflict escalation.”

    Russia’s former President Dmitry Medvedev on Thursday praised Musk’s choice to shut down Starlink during Ukraine’s strike attempt.

    “If what Isaacson has written in his book is true, then it looks like Musk is the last adequate mind in North America,” Medvedev wrote on Musk’s X. “Or, at the very least, in gender-neutral America, he is the one with the balls.”

    “Elon Musk,” a biography by historian, professor and former Time magazine editor Isaacson, is set to be released on September 12.

    This story has been updated with comments from Elon Musk.

    Claudia Chiappa

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  • The specter of Liz Truss still haunts Britain

    The specter of Liz Truss still haunts Britain

    LONDON — A year is a long time in politics — but the reverberations of the surreal fall of 2022 are still being felt across the U.K.

    Wednesday marks the first anniversary of Liz Truss’ ill-fated appointment as prime minister — a year on from that rainy day in September when she stood outside No. 10 Downing Street and vowed to “transform Britain” with free market shock therapy. 

    Truss’ £45 billion package of unfunded tax cuts — with the promise of more to come — instead sunk the pound, sent interest rates soaring, caused chaos on the bond markets and forced the Bank of England to prop up failing pension funds.

    Humiliated, Truss had little choice but to junk her entire economic program and less than four weeks later she was gone — the U.K.’s shortest-ever serving prime minister, famously outlasted by a supermarket lettuce.

    The legacy of the period still is fiercely debated among Britain’s left and right-wing commentariat. In Westminster, some Tory factions still push for Truss’ successor Rishi Sunak to embrace her brand of free market economics.

    But the period sticks in the memory of most ordinary Brits as one of high farce and incompetence and significantly, it’s a view shared in boardrooms across London and beyond.

    “It was such a short, sharp, weird time. It had such a febrile sense of impending doom,” said one partner at a Big Four accounting firm who was granted anonymity — like other figures quoted below — to speak candidly about Truss for this article.

    The money men

    Senior employees of major financial and professional services firms say Truss’ brief period in office still taints Britain’s reputation around the globe.

    Annual Foreign Direct Investment (FDI) into the U.K., already down significantly since the 2016 Brexit referendum, fell further — behind France — last year, according to an EY survey.

    Britain has also been the second-worst performing G7 economy post-COVID, despite an upgrade in GDP growth figures by the Office for National Statistics last week.

    The U.K.’s stuttering economic growth since the pandemic always was going to put a dent into Britain’s prospects for international investment. Experts give a myriad of reasons for Britain’s decreasing international competitiveness.

    But a director at one U.S. investment bank said: “The No. 1 issue I hear from clients is that the U.K. is still un-investable because of what happened last year in Westminster, particularly with what happened during Liz Truss’ time in office.”

    Senior employees of major financial and professional services firms say Truss’ brief period in office still taints Britain’s reputation around the globe | Leon Neal/Getty Images

    A managing director at another investment bank agreed. “This stuff matters for clients who are looking at the U.K., seeing three different prime ministers and four different chancellors in a matter of a few months, and saying ‘why on earth would we choose that place to build our new factory?’ The results of that will still be felt today.”

    Such views are confirmed in a recent survey by transatlantic lobby group BritishAmericanBusiness and management consulting firm Bain and Co. 

    The survey found U.S. business confidence in Britain has sunk for the third straight year, with political instability cited as a key factor.

    BritishAmericanBusiness’ chief trade and policy officer Emanuel Adam said: “The instability in No. 10 last autumn, coupled with ongoing concerns over Brexit, growth prospects and taxation have led to a drop of confidence in the U.K. for a third year in a row.

    “The message from U.S. investors is clear. They are calling for a stable political environment and business friendly policies from the U.K. government.”

    But if foreign direct investors have been put off, the pound’s stronger-than-expected performance since Truss left office suggests they may have compensated with other forms of inward flows.

    The Big Four partner quoted at the top of the article says Truss’ disastrous premiership was one of several factors making the British economy less competitive on the world stage.

    “Trussonomics plus Brexit plus political uncertainty plus a misplaced sense of British exceptionalism are all contributing to making Britain a less attractive place than we ought to be,” they said.

    “I’m aware of real-life examples of decisions being made to invest elsewhere, because they couldn’t be confident about the stability of their return on investment.”

    Gloom in Westminster

    But even more than the U.K. economy, it is Truss’ Conservative Party which is haunted most by the specter of her brief tenure.

    Polling from Ipsos shows the British public’s trust in the Conservatives to manage the economy fell off a cliff during Truss’ time as prime minister, and has never recovered.

    With an election looming next year, their Labour opponents — now 18 points ahead in the polls — cannot believe their good fortune.

    “The two most important things for an opposition are to be able to show people that they can be trusted to protect the economy, and trusted with the defence of the realm,” said one Labour shadow Cabinet minister. “Liz Truss did a lot of the heavy lifting in allowing us to get a hearing on the economy from the public.”

    One moderate Tory MP, and Sunak supporter, said “the damage done by the 49 days of Truss could still be the thing that loses us the next general election.”

    “At least part of the party’s problem at the moment is that although the economy is starting to improve, no one is going to give us the credit for that because of the seismic events of last year,” they said.

    Julian Jessop, an independent economist who acted as an informal adviser to Truss during her leadership campaign, agreed that the public became infuriated once mortgage rates began to surge during last September’s financial meltdown, but said “it is a bit much” to continue to blame the Tories’ poor polling on the former PM.

     “If that were the big problem, then confidence should have recovered,” he said. “We have a new prime minister in place.”

    A different view

    Indeed some economists — and Truss defenders — see the past 12 months in a very different light.

    Even more than the U.K. economy, it is Truss’ Conservative Party which is haunted most by the specter of her brief tenure | Ian Forsyth/Getty Images

    They point to bond yields which recently have hit similar levels to the worst moments of the Truss era, thanks to successive Bank of England rate rises.

    Truss’ prediction that inflation would help the U.K. eat through some of its debt pile — used as justification for funding her tax cuts through borrowing — has also been borne out in reality. And tax receipts have come in higher than expected this year, thanks to larger than expected growth and inflationary pressures.

    Truss’ former Chancellor Kwasi Kwarteng, speaking on a forthcoming episode of POLITICO’s Westminster Insider podcast, insisted that while he and Truss admittedly pushed it “too much, too far,” their overall policy direction was sound.

    “I think there’s a big lesson in life,” he said. “It’s all very well thinking you’ve got the right answer, but you’ve also go to have a staged, methodical approach to getting to the answer.”

    Russell Napier, author of The Solid Ground investment report, added the unexpectedly strong performance of sterling against the U.S. dollar and other major currencies this year indicates capital inflows into Britain must be stronger than expected.

    “Is there something that’s unique and dangerous about the U.K.? No there isn’t,” Napier added. “Our bond yields are at a dangerously high level, but so is the bond yield of Sweden and France, and Canada and South Korea and Australia.

    Some of Truss’ closest supporters on the Tory backbenches have now set up pressure groups to fight for the type of low-tax policies advocated in her time in office.

    Truss, for her part, is writing a book which aides suggest will be “more manifesto than autobiography.” She is also giving a keynote speech on the economy this month — just five days after the anniversary of her ill-fated “mini-budget.”

    But for many Tory MPs still feeling the political repercussions of her tenure and fearing a brutal defeat at next year’s election, a period of silence would be welcome.

    “It could be worse,” notes one Tory MP, a minister under Sunak. “It could have been a lot worse if she’d stayed.”

    Izabella Kaminska contributed reporting.

    Stefan Boscia

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  • Austin Pets Alive! | Open Letter from Dr. Ellen Jefferson, President…

    Austin Pets Alive! | Open Letter from Dr. Ellen Jefferson, President…

    Sep 05, 2023

    Today, Austin Pets Alive! has made the difficult decision to provide a 30-day notice to end our veterinary services contract with Laredo Animal Care Services (LACS).

    When we began our partnership with LACS earlier this year, at the request of the Laredo city council and community, it was with the whole-hearted intention to help meet the city’s goals of providing medical care and practices that further saved lives. Every vaccine given and disease prevented, medical treatment administered, surgery conducted, and animal transported to another rescue partner was done to not only fulfill our contractual obligations but as a moral obligation to the pets being sheltered in the city. We heard from community member after community member how much it meant to them that their city shelter could become more aligned with the word “shelter” — providing true safety and care to pets that are lost, displaced or abandoned.

    We’re very proud of the work we did alongside many of the dedicated LACS staff members. The last eight months have led to more than 1,000 spay/neuter surgeries (an approx 400% increase from the previous Veterinary vendor) and raised the feline live outcome rate to a historical high of over 70%. Dogs and cats that were once euthanized for having something as simple as a cold were treated and many have already been adopted.

    Unfortunately, we were met with resistance from shelter leadership. Over the past few months as the changes required became more real, and hard, the goals of LACS shifted away from a lifesaving focus and back toward operating at a lower capacity for care and lifesaving. This approach means that thousands of animals who should live long healthy lives will continue to die in order to meet a regressive goal. We cannot in good conscience continue working under such a drastic diversion from the original goals the city council laid out for us to follow.

    It hurts our hearts to leave so many pets and people behind but we believe that we have no other choice. Our true hope is that Laredoans saw that life saving was possible and that they will demand the changes necessary to be a humane city for beloved pets.

    Sincerely,

    Dr. Ellen Jefferson

    President and CEO

    Austin Pets Alive!

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  • The iPhone 15 Can’t Come Soon Enough for Apple

    The iPhone 15 Can’t Come Soon Enough for Apple

    The new iPhone 15 is coming in September. History says the month is a wash.


    LCG Auctions

    Not even


     


    Apple was invincible to this tough August. And if investors are pinning their hopes on the iPhone 15 launch in just a couple of weeks, they could very we…

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  • Roche Lung Cancer Drug Shows Promise in Phase 3 Trial

    Roche Lung Cancer Drug Shows Promise in Phase 3 Trial

    By David Sachs

    Roche said Friday that its Alecensa drug demonstrated the ability to reduce recurrence of lung cancer for patients in the early stage of the disease.

    The Swiss pharmaceutical company said the results, from a Phase 3 study of 257 people which compared the treatment with platinum-based chemotherapy, met its primary goal of disease-free survival in people with early-stage non-small cell lung cancer. About half of people with this type of lung cancer experience a recurrence of the disease after surgery, Roche said.

    Roche said that it found no unexpected safety issues and will submit the data to global health authorities.

    Write to David Sachs at david.sachs@wsj.com

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  • Shopify Is Offering Amazon’s ‘Buy With Prime.’ 3 Benefits From the Deal.

    Shopify Is Offering Amazon’s ‘Buy With Prime.’ 3 Benefits From the Deal.



    Shopify


    unveiled a deal that permits merchants on its platform to offer shoppers the choice to buy items using


    Amazon


    Prime perks. Analysts anticipate a boost in merchant usage, among other benefits for the tech firms involved.

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