July 3 (Reuters) – Elon Musk’s move to temporarily cap how many posts Twitter users can read on the social media site could undermine efforts by new CEO Linda Yaccarino to attract advertisers, marketing industry professionals said.
Musk announced Saturday that Twitter would limit how many tweets per day various accounts can read, to discourage “extreme levels” of data scraping and system manipulation.
Users posted screenshots in reply, showing they were unable to see any tweets, including tweets on the pages of corporate advertisers, after hitting the limit.
Ad industry veterans said the move creates an obstacle for Yaccarino, the former NBCUniversal advertising chief who started last month as Twitter’s CEO.
Yaccarino has sought to repair relationships with advertisers who pulled away from the site after Musk bought it last year, the Financial Times reported last week.
The limits are “remarkably bad” for users and advertisers already shaken by the “chaos” Musk has brought to the platform, Mike Proulx, research director at Forrester, said on Sunday.
“The advertiser trust deficit that Linda Yaccarino needs to reverse just got even bigger. And it cannot be reversed based on her industry credibility alone,” he said.
Lou Paskalis, the founder of advertising consultancy AJL Advisory and former marketing boss at Bank of America, said Yaccarino is Musk’s “last best hope” to salvage ad revenue and the company’s value.
“This move signals to the marketplace that he’s not capable of empowering her to save him from himself,” he said.
Under the new cap, unverified accounts were initially limited to 600 posts a day with new unverified accounts limited to 300. Verified accounts could read 6,000 posts a day, Musk said in a post on the site.
Twitter logo and a photo of Elon Musk are displayed through magnifier in this illustration taken October 27, 2022. REUTERS/Dado Ruvic/Illustration
Hours later, he said the cap was raised to 10,000 posts per day for verified users, 1,000 per day for unverified and 500 posts per day for new unverified users.
A Twitter spokesperson did not reply to requests for comment and inquiries about how long the restrictions will last on Sunday.
Capping how much users can view could be “catastrophic” for the platform’s ad business, said Jasmine Enberg, principal analyst at Insider Intelligence.
“This certainly isn’t going to make it any easier to convince advertisers to return. It’s a hard sell already to bring advertisers back,” she said.
Olivia Wedderburn, an executive at creative agency TMW Unlimited, said she was advising her clients to “stop investing in Twitter immediately,” because the platform was turning away heavily engaged users, which she said is the “sole reason” to advertise on Twitter.
The limit came soon after Twitter began requiring users to log into an account on the social media platform to view tweets, which Musk called a “temporary emergency measure” to combat data scraping.
Musk had earlier expressed displeasure with artificial intelligence firms like OpenAI, the owner of ChatGPT, for using Twitter’s data to train their large language models.
Platforms including Reddit and major news media organizations have complained about AI companies using their information to train AI models as some have sought fees.
Kai-Cheng Yang, researcher at Indiana University in Bloomington, said that the limits appeared to be effective in blocking third parties, including search engines, from scraping Twitter data like before.
“It might still be possible, but the methods would be much more sophisticated and much less efficient,” he said.
Reporting by Jody Godoy in New York, Sheila Dang in Dallas, Akash Sriram in Bengaluru and Martin Coulter in London; editing by Burton Frierson, Nick Zieminski and Marguerita Choy
BUCHAREST, June 23 (Reuters) – Internet personality Andrew Tate will remain under house arrest in Romania for another 30 days from the end of June pending trial on charges of human trafficking, a Bucharest court ruled on Friday.
Tate was indicted on Tuesday along with his brother Tristan and two Romanian female suspects for human trafficking, rape and forming a criminal gang to sexually exploit women.
They are under house arrest pending an investigation into abuses against seven women whom prosecutors say were lured through false claims of relationships, accusations the suspects have denied.
The four suspects were held in police custody from Dec. 29 until March 31 before a Bucharest court put them under house arrest, which prosecutors on Tuesday sought to extend.
The Tate brothers are citizens of the United States and Britain. Andrew Tate, a self-described misogynist, built up a following of millions on social media, promoting his own lavish lifestyle in posts which critics say denigrate women.
The court needs to approve preventative restrictive measures such as house arrest every 30 days. It held a hearing on Wednesday and said it would rule on Friday.
“We’re not the first affluent wealthy men who have been unfairly attacked,” Tate told reporters on Wednesday after the hearing. “I love this country, I’m going to stay here regardless no matter what and I look forward to being found innocent at the end of everything.”
The trial will not start immediately. Under Romanian law, the case gets sent to the Bucharest court’s preliminary chamber, where a judge has 60 days to inspect the case files to ensure legality.
Trafficking of adults carries a prison sentence of up to 10 years, as does rape.
Prosecutors also said they were investigating the four suspects in a separate ongoing case on allegations of money laundering, witness tampering, and child and adult trafficking.
Reporting by Luiza Ilie and Octav Ganea; Editing by Alan Charlish and Peter Graff
NEW YORK, June 13 (Reuters) – Meta Platforms (META.O) said on Tuesday that it would provide researchers with access to components of a new “human-like” artificial intelligence model that it said can analyze and complete unfinished images more accurately than existing models.
The model, I-JEPA, uses background knowledge about the world to fill in missing pieces of images, rather than looking only at nearby pixels like other generative AI models, the company said.
That approach incorporates the kind of human-like reasoning advocated by Meta’s top AI scientist Yann LeCun and helps the technology to avoid errors that are common to AI-generated images, like hands with extra fingers, it said.
Meta, which owns Facebook and Instagram, is a prolific publisher of open-sourced AI research via its in-house research lab. Chief Executive Mark Zuckerberg has said that sharing models developed by Meta’s researchers can help the company by spurring innovation, spotting safety gaps and lowering costs.
“For us, it’s way better if the industry standardizes on the basic tools that we’re using and therefore we can benefit from the improvements that others make,” he told investors in April.
The company’s executives have dismissed warnings from others in the industry about the potential dangers of the technology, declining to sign a statement last month backed by top executives from OpenAI, DeepMind, Microsoft (MSFT.O) and Google (GOOGL.O) that equated its risks with pandemics and wars.
Lecun, considered one of the “godfathers of AI,” has railed against “AI doomerism” and argued in favor of building safety checks into AI systems.
Meta is also starting to incorporate generative AI features into its consumer products, like ad tools that can create image backgrounds and an Instagram product that can modify user photos, both based on text prompts.
Reporting by Katie Paul; Editing by David Gregorio
Hit finance ministry, president’s office, spy agency and others
Sources believe Beijing was seeking info on debt
NAIROBI, May 24 (Reuters) – Chinese hackers targeted Kenya’s government in a widespread, years-long series of digital intrusions against key ministries and state institutions, according to three sources, cybersecurity research reports and Reuters’ own analysis of technical data related to the hackings.
Two of the sources assessed the hacks to be aimed, at least in part, at gaining information on debt owed to Beijing by the East African nation: Kenya is a strategic link in the Belt and Road Initiative – President Xi Jinping’s plan for a global infrastructure network.
“Further compromises may occur as the requirement for understanding upcoming repayment strategies becomes needed,” a July 2021 research report written by a defence contractor for private clients stated.
China’s foreign ministry said it was “not aware” of any such hacking, while China’s embassy in Britain called the accusations “baseless”, adding that Beijing opposes and combats “cyberattacks and theft in all their forms.”
China’s influence in Africa has grown rapidly over the past two decades. But, like several African nations, Kenya’s finances are being strained by the growing cost of servicing external debt – much of it owed to China.
The hacking campaign demonstrates China’s willingness to leverage its espionage capabilities to monitor and protect economic and strategic interests abroad, two of the sources said.
The hacks constitute a three-year campaign that targeted eight of Kenya’s ministries and government departments, including the presidential office, according to an intelligence analyst in the region. The analyst also shared with Reuters research documents that included the timeline of attacks, the targets, and provided some technical data relating to the compromise of a server used exclusively by Kenya’s main spy agency.
A Kenyan cybersecurity expert described similar hacking activity against the foreign and finance ministries. All three of the sources asked not to be named due to the sensitive nature of their work.
“Your allegation of hacking attempts by Chinese Government entities is not unique,” Kenya’s presidential office said, adding the government had been targeted by “frequent infiltration attempts” from Chinese, American and European hackers.
“As far as we are concerned, none of the attempts were successful,” it said.
It did not provide further details nor respond to follow-up questions.
A spokesperson for the Chinese embassy in Britain said China is against “irresponsible moves that use topics like cybersecurity to sow discord in the relations between China and other developing countries”.
“China attaches great importance to Africa’s debt issue and works intensively to help Africa cope with it,” the spokesperson added.
THE HACKS
Between 2000 and 2020, China committed nearly $160 billion in loans to African countries, according to a comprehensive database on Chinese lending hosted by Boston University, much of it for large-scale infrastructure projects.
Kenya used over $9 billion in Chinese loans to fund an aggressive push to build or upgrade railways, ports and highways.
Beijing became the country’s largest bilateral creditor and gained a firm foothold in the most important East African consumer market and a vital logistical hub on Africa’s Indian Ocean coast.
By late 2019, however, when the Kenyan cybersecurity expert told Reuters he was brought in by Kenyan authorities to assess a hack of a government-wide network, Chinese lending was drying up. And Kenya’s financial strains were showing.
The breach reviewed by the Kenyan cybersecurity expert and attributed to China began with a “spearphishing” attack at the end of that same year, when a Kenyan government employee unknowingly downloaded an infected document, allowing hackers to infiltrate the network and access other agencies.
“A lot of documents from the ministry of foreign affairs were stolen and from the finance department as well. The attacks appeared focused on the debt situation,” the Kenyan cybersecurity expert said.
Another source – the intelligence analyst working in the region – said Chinese hackers carried out a far-reaching campaign against Kenya that began in late 2019 and continued until at least 2022.
According to documents provided by the analyst, Chinese cyber spies subjected the office of Kenya’s president, its defence, information, health, land and interior ministries, its counter-terrorism centre and other institutions to persistent and prolonged hacking activity.
The affected government departments did not respond to requests for comment, declined to be interviewed or were unreachable.
By 2021, global economic fallout from the COVID-19 pandemic had already helped push one major Chinese borrower – Zambia – to default on its external debt. Kenya managed to secure a temporary debt repayment moratorium from China.
In early July 2021, the cybersecurity research reports shared by the intelligence analyst in the region detailed how the hackers secretly accessed an email server used by Kenya’s National Intelligence Service (NIS).
Reuters was able to confirm that the victim’s IP address belonged to the NIS. The incident was also covered in a report from the private defence contractor reviewed by Reuters.
Reuters could not determine what information was taken during the hacks or conclusively establish the motive for the attacks. But the defence contractor’s report said the NIS breach was possibly aimed at gleaning information on how Kenya planned to manage its debt payments.
“Kenya is currently feeling the pressure of these debt burdens…as many of the projects financed by Chinese loans are not generating enough income to pay for themselves yet,” the report stated.
A Reuters review of internet logs delineating the Chinese digital espionage activity showed that a server controlled by the Chinese hackers also accessed a shared Kenyan government webmail service more recently from December 2022 until February this year.
Chinese officials declined to comment on this recent breach, and the Kenyan authorities did not respond to a question about it.
‘BACKDOOR DIPLOMACY’
The defence contractor, pointing to identical tools and techniques used in other hacking campaigns, identified a Chinese state-linked hacking team as having carried out the attack on Kenya’s intelligence agency.
The group is known as “BackdoorDiplomacy” in the cybersecurity research community, because of its record of trying to further the objectives of Chinese diplomatic strategy.
According to Slovakia-based cybersecurity firm ESET, BackdoorDiplomacy re-uses malicious software against its victims to gain access to their networks, making it possible to track their activities.
Provided by Reuters with the IP address of the NIS hackers, Palo Alto Networks, a U.S. cybersecurity firm that tracks BackdoorDiplomacy’s activities, confirmed that it belongs to the group, adding that its prior analysis shows the group is sponsored by the Chinese state.
Cybersecurity researchers have documented BackdoorDiplomacy hacks targeting governments and institutions in a number of countries in Asia and Europe.
Incursions into the Middle East and Africa appear less common, making the focus and scale of its hacking activities in Kenya particularly noteworthy, the defence contractor’s report said.
“This angle is clearly a priority for the group.”
China’s embassy in Britain rejected any involvement in the Kenya hackings, and did not directly address questions about the government’s relationship with BackdoorDiplomacy.
“China is a main victim of cyber theft and attacks and a staunch defender of cybersecurity,” a spokesperson said.
Reporting by Aaron Ross in Nairobi, James Pearson in London and Christopher Bing in Washington
Additional reporting by Eduardo Baptista in Beijing
Editing by Chris Sanders and Joe Bavier
West & Central Africa correspondent investigating human rights abuses, conflict and corruption as well as regional commodities production, epidemic diseases and the environment, previously based in Kinshasa, Abidjan and Cairo.
Reports on hacks, leaks and digital espionage in Europe. Ten years at Reuters with previous postings in Hanoi as Bureau Chief and Seoul as Korea Correspondent. Author of ‘North Korea Confidential’, a book about daily life in North Korea. Contact: 447927347451
Award-winning reporter covering the intersection between technology and national security with a focus on how the evolving cybersecurity landscape affects government and business.
BOSTON, April 14 (Reuters) – A 21-year-old member of the U.S. Air National Guard accused of leaking top secret military intelligence records online was charged on Friday with unlawfully copying and transmitting classified material.
Jack Douglas Teixeira of North Dighton, Massachusetts, who was arrested by heavily armed FBI agents at his home on Thursday, made his initial appearance in a crowded federal court wearing a brown khaki jumpsuit.
At the hearing, Boston’s top federal national security prosecutor, Nadine Pellegrini, requested that Teixeira be detained pending trial, and a detention hearing was set for Wednesday.
During the brief proceeding, Teixeira said little, answering “yes” when asked whether he understood his right to remain silent.
The judge said Teixeira’s financial affidavit showed he qualified to be represented by a federal public defender, and he appointed one.
After the hearing, three of Teixeira’s family members left the courthouse, with a group of reporters trailing them for several blocks. They entered a car without making any comments.
The leaked documents were believed to be the most serious U.S. security breach since more than 700,000 documents, videos and diplomatic cables appeared on the WikiLeaks website in 2010. The Pentagon has called the leak a “deliberate, criminal act.”
This leak did not come to light until it was reported by the New York Times last week even though the documents were posted on a social media website weeks earlier.
U.S. President Joe Biden said on Friday he ordered investigators to determine why the alleged leaker had access to the sensitive information, which included records showing purported details of Ukrainian military vulnerabilities and embarrassed Washington by revealing its spying on allies.
Fallout from the case has roiled Washington. Senate Democratic leader Chuck Schumer has requested a briefing for all 100 senators next week while Republican House of Representatives Speaker Kevin McCarthy vowed to investigate.
“The Biden administration has failed to secure classified information,” McCarthy said on Twitter. “Through our committees, Congress will get answers as to why they were asleep at the switch.”
FBI agents arrest Jack Teixeira, an employee of the U.S. Air Force National Guard, in connection with an investigation into the leaks online of classified U.S. documents, outside a residence in this still image taken from video in North Dighton, Massachusetts, U.S., April 13, 2023. WCVB-TV via ABC via REUTERS
Biden said he was taking steps to tighten security. “While we are still determining the validity of those documents, I have directed our military and intelligence community to take steps to further secure and limit distribution of sensitive information,” he said in a statement.
MORE CHARGES EXPECTED
A criminal complaint made public on Friday charges Teixeira with one count of violating the Espionage Act related to the unlawful copying and transmitting of sensitive defense material, and a second charge related to the unlawful removal of defense material to an unauthorized location.
A conviction on the Espionage Act charge carries up to 10 years in prison.
The charges are connected to just one leaked document so far, a classified record that described the status of the Russia-Ukraine conflict and included details about troop movements on a particular date.
Experts expect more charges as investigators examine each leaked document. Teixeira could also face more counts depending on the number of times he separately uploaded and transmitted each document.
“They are going to pick the ones (documents), I would imagine, that foreign governments have already seen,” said Stephanie Siegmann, the former national security chief for the U.S. Attorney’s office in Boston and now a partner with the Hinckley Allen law firm.
In a sworn statement, an FBI agent said Teixeira had held a top secret security clearance since 2021 and also had sensitive compartmented access to other highly classified programs.
Since May 2022, the FBI said, Teixeira has been serving as an E-3/airman first class in the Air National Guard and has been stationed at Otis Air National Guard Base in Massachusetts.
Siegmann said one lingering question is why a 21-year-old National Guardsman held such a top-level security clearance.
“That’s an issue that Department of Defense needs to now deal with,” she said. “Why would he be entitled to these documents about the Russia-Ukrainian conflict?”
Reuters has reviewed more than 50 of the documents, labeled “Secret” and “Top Secret,” but has not independently verified their authenticity. The number of documents leaked is likely to be over 100.
Reporting by Sarah N. Lynch in Washington and Tim McLaughlin in Boston
Editing by Don Durfee and Alistair Bell
Sarah N. Lynch is the lead reporter for Reuters covering the U.S. Justice Department out of Washington, D.C. During her time on the beat, she has covered everything from the Mueller report and the use of federal agents to quell protesters in the wake of George Floyd’s murder, to the rampant spread of COVID-19 in prisons and the department’s prosecutions following the Jan. 6 attack on the U.S. Capitol.
BUCHAREST, Feb 2 (Reuters) – The woman from Moldova thought it was love. Internet celebrity Andrew Tate had offered her a new life. They’d even discussed marriage. He asked for only one thing: absolute loyalty.
“You must understand that once you are mine, you will be mine forever,” Tate told her on Feb. 4 last year in one of dozens of WhatsApp messages cited by Romanian prosecutors who allege he trafficked and sexually exploited several women.
Tate, an influencer with millions of online followers, urged the Moldovan woman to join him in Romania. “Nothing bad will happen,” he reassured her on Feb. 9. “But you have to be on my side.”
The following month, Romanian prosecutors say, Tate raped the woman twice in the country while seeking to enlist her in a human-trafficking operation focused on making pornography for the online platform OnlyFans, a site that allows people to sell explicit videos of themselves.
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The allegations and messages are included in a previously unpublished court document, dated Dec. 30 and reviewed by Reuters, which paints the most detailed picture yet of the illicit business allegedly run by Tate, a former kickboxing world champion, and his brother Tristan.
They came to light following the arrest of the brothers on Dec. 29 on charges of forming a criminal gang to sexually exploit women.
British-American Andrew Tate, 36, who’s been based mainly in Romania since 2017, and his 34-year-old brother have denied all the allegations against them. Reuters was unable to reach them in police detention for comment.
In response to questions, their attorney Eugen Vidineac said he couldn’t publicly confirm or deny information about the case while the investigation was ongoing. Romania’s anti-organized crime unit also said its prosecutors couldn’t comment on the probe.
Reuters translated the WhatsApp exchanges with the Moldovan women – which appear in Romanian in the court document – back into English, their original language. While accurate, the translation of the Romanian version provided by prosecutors may not be identical to the initial wording.
The brothers used deception and intimidation to bring six women under their control and “transform them into slaves”, prosecutors said in the document. The 61-page file, produced by Bucharest court officials, comprises minutes of a hearing when a judge extended the Tates’ detention plus evidence submitted by the prosecution.
Attorney Vidineac said the brothers’ alleged victims weren’t mistreated, but “lived off the backs of the famous Tates”, according to the court document. “They were joyful and nobody was forcing them to do these things,” he added.
Vidineac acknowledged in the document that Andrew Tate and the Moldovan woman had sex but he said it was consensual and accused her of fabricating the rape claims.
Reuters couldn’t independently corroborate the version of events provided by prosecutors or the defence lawyer, and was unable to reach the six women named in the document for comment. The news organization does not typically identify alleged victims of sexual crimes unless they have chosen to release their names.
Two of the women told Romanian TV station Antena3 on Jan. 11 that they’re not victims and the Tates are innocent. The station identified them only by first names, Beatrice and Iasmina.
“You cannot list me as a victim if I say I am not one,” Beatrice told the station. The four other women, including the Moldovan woman, haven’t publicly commented.
ONLYFANS: WE’VE MONITORED TATE
The allegations facing Tate have put intense focus on a self-described misogynist who has built an online fanbase, particularly among young men, by promoting a lavish, hyper-macho image of driving fast cars and dating beautiful women.
In 2022, he was the world’s eighth-most Googled person, outranked only by figures such as Johnny Depp, Will Smith and Vladimir Putin, according to Google’s analysis.
Prosecutors say the Tates controlled the victims’ OnlyFans’ accounts and earnings amounting to tens of thousands of euros, underlining concerns among some human rights groups about the potential for the exploitation of women on such platforms.
Reuters couldn’t verify the existence of the alleged victims’ OnlyFans accounts.
UK-based OnlyFans has 150 million users who pay “creators” monthly fees of varying amounts for their content, much of it erotic or pornographic, but also in areas such as fitness training and music.
The company, whose 1.5 million creators can earn anything from hundreds of dollars to tens of thousands a month, says on its website it’s “the safest digital media platform”. It was founded in 2016 and grew rapidly during COVID-19 lockdowns.
An OnlyFans spokesperson told Reuters that Andrew Tate “has never had” a creator account or received payments. They said OnlyFans had been monitoring him since early 2022 and taken “proactive measures” to stop him posting or monetizing content, without elaborating on the reasons for the scrutiny or the steps taken.
The spokesperson added that creators as a whole underwent extensive identification checks and that all content was reviewed by the platform, which worked closely with law enforcement. Vidineac declined to comment about the measures taken by OnlyFans against Tate.
HOW I GET WOMEN TO LOVE ME
Andrew Tate’s image has been stoked by a series of contentious comments. He’s compared women to dogs and said they bear some responsibility for being raped. His remarks got him banned from Facebook, Instagram and other leading social media platforms last year.
A spokesperson for Meta said Tate was banned in August 2022 from its Facebook and Instagram platforms for violating its policies, which forbid “gender-based hate, any threats of sexual violence, or threats to share non-consensual intimate imagery”.
Tate said on a podcast in 2021 that he had started a webcam business in Britain that had peaked with 75 women working for him earning $600,000 a month – a sum Reuters was unable to independently verify. He didn’t elaborate in the podcast on what the women did.
Up until last month, his website offered a course costing more than $400 that promised to teach “every step to building a girl who is submissive, loyal and in love with you”.
“THAT IS MY SKILL. To extremely efficiently get women in love with me,” he said on the website. The pages about the course, reviewed by Reuters, were removed in January.
In a separate YouTube video aimed at men who want to make money by putting women on OnlyFans, Tate called the platform “the greatest hustle in the world”. The original date of the video, which was uploaded multiple times, is unclear.
In the court document, lawyer Vidineac said Tate’s online persona was a “virtual character” constructed to gain followers and make money, and had “nothing to do with the real man”.
Tate’s Twitter account, reinstated in November, one month after billionaire Elon Musk bought the platform, protests his innocence to his 4.8 million followers. “They have arrested me to ‘look’ for evidence … which they will not find because it doesn’t exist,” said a Jan. 15 post.
AMERICAN WOMAN ‘VERY AFRAID’
Tate first met the Moldovan woman virtually on Instagram in January 2022 before they met in person in London the following month, and by March she was in Romania, prosecutors said in the court document, which includes WhatsApp exchanges between Feb. 4 and Apr. 8.
Authorities moved on the brothers on Apr. 11, when police raided one of their properties in Bucharest on suspicion that an American woman was being held there against her will.
According to prosecutors, the American woman – another of the alleged six victims – met Tristan Tate online in November 2021, then in person in Miami the following month. They said he lured her to Romania by expressing “false feelings” for her and promising a serious relationship, paid for her plane ticket and said he could help her earn “100K a month” on OnlyFans.
Tristan Tate picked her up at Bucharest airport in a Rolls-Royce on April 5 2022, and took her back to his house, which had two armed guards, the court document said.
He told her she wasn’t a prisoner but said the guards wouldn’t let her outside without his permission, it added. He said it was dangerous for her to leave “because he had enemies”.
There were cameras all over the house, which Tristan Tate monitored remotely, prosecutors said in the document. He once messaged the American to say he could see where she was and what she was doing, they said.
When she moved to another house with four of Andrew Tate’s “girlfriends” she was allowed outside but only if accompanied by other women, said the prosecutors, adding that she was “very afraid” of the brothers.
In the document, Tate’s lawyer said the American woman had a mobile phone, internet access and the freedom to leave the house as she pleased.
The woman has not spoken publicly about the Tates or the prosecutors’ allegations.
Romanian prosecutors said on Jan. 15 that as part of their probe into the suspects they had seized assets worth almost $4 million, including a fleet of luxury cars from Andrew Tate’s compound on the outskirts of Bucharest.
‘SEXUALLY EXPLOITATIVE CONTENT’
The detention of the Tates, along with two Romanian women accused of working for them, has been extended to Feb. 27. Their appeal against that detention was rejected by a court on Wednesday. A judge can order their detention for up to 180 days while the investigation is ongoing, which means it could stretch into late June.
The suspected accomplices, Georgiana Naghel and Luana Radu, controlled the six victims’ OnlyFans and TikTok accounts on behalf of the Tates, skimming off half the revenue and fining women for being late or sniffling on camera, said prosecutors.
The pair threatened to beat the women up if they did not do their job, according to the court document.
Naghel and Radu have denied all the allegations against them. Vidineac, who also represents Naghel, and Radu’s lawyer said they couldn’t comment on the case.
The Tates’ operation put women on TikTok to drive traffic to OnlyFans because of its lucrative subscriptions, prosecutors said. Reuters couldn’t independently verify the existence of the TikTok accounts in question.
TikTok said in a statement that Andrew Tate was banned from its platform, and that it had been taking action against videos and accounts related to him that violated its prohibition against “sexually exploitative content”.
The company declined to comment further, citing Romania’s ongoing investigation.
Reporting by Luiza Ilie, Octav Ganea and Andrew R.C. Marshall. Editing by Jason Szep and Pravin Char
LONDON/WASHINGTON, Nov 14 (Reuters) – Thousands of smartphone applications in Apple (AAPL.O) and Google’s (GOOGL.O) online stores contain computer code developed by a technology company, Pushwoosh, that presents itself as based in the United States, but is actually Russian, Reuters has found.
The Centers for Disease Control and Prevention (CDC), the United States’ main agency for fighting major health threats, said it had been deceived into believing Pushwoosh was based in the U.S. capital. After learning about its Russian roots from Reuters, it removed Pushwoosh software from seven public-facing apps, citing security concerns.
The U.S. Army said it had removed an app containing Pushwoosh code in March because of the same concerns. That app was used by soldiers at one of the country’s main combat training bases.
According to company documents publicly filed in Russia and reviewed by Reuters, Pushwoosh is headquartered in the Siberian town of Novosibirsk, where it is registered as a software company that also carries out data processing. It employs around 40 people and reported revenue of 143,270,000 rubles ($2.4 mln) last year. Pushwoosh is registered with the Russian government to pay taxes in Russia.
On social media and in U.S. regulatory filings, however, it presents itself as a U.S. company, based at various times in California, Maryland and Washington, D.C., Reuters found.
Pushwoosh provides code and data processing support for software developers, enabling them to profile the online activity of smartphone app users and send tailor-made push notifications from Pushwoosh servers.
On its website, Pushwoosh says it does not collect sensitive information, and Reuters found no evidence Pushwoosh mishandled user data. Russian authorities, however, have compelled local companies to hand over user data to domestic security agencies.
Pushwoosh’s founder, Max Konev, told Reuters in a September email that the company had not tried to mask its Russian origins. “I am proud to be Russian and I would never hide this.”
Pushwoosh published a blog post after the Reuters article was issued, which said: “Pushwoosh Inc. is a privately held C-Corp company incorporated under the state laws of Delaware, USA. Pushwoosh Inc. was never owned by any company registered in the Russian Federation.”
The company also said in the post, “Pushwoosh Inc. used to outsource development parts of the product to the Russian company in Novosibirsk, mentioned in the article. However, in February 2022, Pushwoosh Inc. terminated the contract.”
After Pushwoosh published its post, Reuters asked Pushwoosh to provide evidence for its assertions, but the news agency’s requests went unanswered.
Konev said the company “has no connection with the Russian government of any kind” and stores its data in the United States and Germany.
Cybersecurity experts said storing data overseas would not prevent Russian intelligence agencies from compelling a Russian firm to cede access to that data, however.
Russia, whose ties with the West have deteriorated since its takeover of the Crimean Peninsula in 2014 and its invasion of Ukraine this year, is a global leader in hacking and cyber-espionage, spying on foreign governments and industries to seek competitive advantage, according to Western officials.
Reuters Graphics
HUGE DATABASE
Pushwoosh code was installed in the apps of a wide array of international companies, influential non-profits and government agencies from global consumer goods company Unilever Plc (ULVR.L) and the Union of European Football Associations (UEFA) to the politically powerful U.S. gun lobby, the National Rifle Association (NRA), and Britain’s Labour Party.
Pushwoosh’s business with U.S. government agencies and private companies could violate contracting and U.S. Federal Trade Commission (FTC) laws or trigger sanctions, 10 legal experts told Reuters. The FBI, U.S. Treasury and the FTC declined to comment.
Jessica Rich, former director of the FTC’s Bureau of Consumer Protection, said “this type of case falls right within the authority of the FTC,” which cracks down on unfair or deceptive practices affecting U.S. consumers.
Washington could choose to impose sanctions on Pushwoosh and has broad authority to do so, sanctions experts said, including possibly through a 2021 executive order that gives the United States the ability to target Russia’s technology sector over malicious cyber activity.
Pushwoosh code has been embedded into almost 8,000 apps in the Google and Apple app stores, according to Appfigures, an app intelligence website. Pushwoosh’s website says it has more than 2.3 billion devices listed in its database.
“Pushwoosh collects user data including precise geolocation, on sensitive and governmental apps, which could allow for invasive tracking at scale,” said Jerome Dangu, co-founder of Confiant, a firm that tracks misuse of data collected in online advertising supply chains.
“We haven’t found any clear sign of deceptive or malicious intent in Pushwoosh’s activity, which certainly doesn’t diminish the risk of having app data leaking to Russia,” he added.
Google said privacy was a “huge focus” for the company but did not respond to requests for comment about Pushwoosh. Apple said it takes user trust and safety seriously but similarly declined to answer questions.
Keir Giles, a Russia expert at London think tank Chatham House, said despite international sanctions on Russia, a “substantial number” of Russian companies were still trading abroad and collecting people’s personal data.
Given Russia’s domestic security laws, “it shouldn’t be a surprise that with or without direct links to Russian state espionage campaigns, firms that handle data will be keen to play down their Russian roots,” he said.
‘SECURITY ISSUES’
After Reuters raised Pushwoosh’s Russian links with the CDC, the health agency removed the code from its apps because “the company presents a potential security concern,” spokesperson Kristen Nordlund said.
“CDC believed Pushwoosh was a company based in the Washington, D.C. area,” Nordlund said in a statement. The belief was based on “representations” made by the company, she said, without elaborating.
The CDC apps that contained Pushwoosh code included the agency’s main app and others set up to share information on a wide range of health concerns. One was for doctors treating sexually transmitted diseases. While the CDC also used the company’s notifications for health matters such as COVID, the agency said it “did not share user data with Pushwoosh.”
The Army told Reuters it removed an app containing Pushwoosh in March, citing “security issues.” It did not say how widely the app, which was an information portal for use at its National Training Center (NTC) in California, had been used by troops.
The NTC is a major battle training center in the Mojave Desert for pre-deployment soldiers, meaning a data breach there could reveal upcoming overseas troop movements.
U.S. Army spokesperson Bryce Dubee said the Army had suffered no “operational loss of data,” adding that the app did not connect to the Army network.
Some large companies and organizations including UEFA and Unilever said third parties set up the apps for them, or they thought they were hiring a U.S. company.
“We don’t have a direct relationship with Pushwoosh,” Unilever said in a statement, adding that Pushwoosh was removed from one of its apps “some time ago.”
UEFA said its contract with Pushwoosh was “with a U.S. company.” UEFA declined to say if it knew of Pushwoosh’s Russian ties but said it was reviewing its relationship with the company after being contacted by Reuters.
The NRA said its contract with the company ended last year, and it was “not aware of any issues.”
Britain’s Labour Party did not respond to requests for comment.
“The data Pushwoosh collects is similar to data that could be collected by Facebook, Google or Amazon, but the difference is that all the Pushwoosh data in the U.S. is sent to servers controlled by a company (Pushwoosh) in Russia,” said Zach Edwards, a security researcher, who first spotted the prevalence of Pushwoosh code while working for Internet Safety Labs, a nonprofit organization.
Roskomnadzor, Russia’s state communications regulator, did not respond to a request from Reuters for comment.
FAKE ADDRESS, FAKE PROFILES
In U.S. regulatory filings and on social media, Pushwoosh never mentions its Russian links. The company lists “Washington, D.C.” as its location on Twitter and claims its office address as a house in the suburb of Kensington, Maryland, according to its latest U.S. corporation filings submitted to Delaware’s secretary of state. It also lists the Maryland address on its Facebook and LinkedIn profiles.
The Kensington house is the home of a Russian friend of Konev’s who spoke to a Reuters journalist on condition of anonymity. He said he had nothing to do with Pushwoosh and had only agreed to allow Konev to use his address to receive mail.
Konev said Pushwoosh had begun using the Maryland address to “receive business correspondence” during the coronavirus pandemic.
He said he now operates Pushwoosh from Thailand but provided no evidence that it is registered there. Reuters could not find a company by that name in the Thai company registry.
Pushwoosh never mentioned it was Russian-based in eight annual filings in the U.S. state of Delaware, where it is registered, an omission which could violate state law.
Instead, Pushwoosh listed an address in Union City, California as its principal place of business from 2014 to 2016. That address does not exist, according to Union City officials.
Pushwoosh used LinkedIn accounts purportedly belonging to two Washington, D.C.-based executives named Mary Brown and Noah O’Shea to solicit sales. But neither Brown nor O’Shea are real people, Reuters found.
The one belonging to Brown was actually of an Austria-based dance teacher, taken by a photographer in Moscow, who told Reuters she had no idea how it ended up on the site.
Konev acknowledged the accounts were not genuine. He said Pushwoosh hired a marketing agency in 2018 to create them in an attempt to use social media to sell Pushwoosh, not to mask the company’s Russian origins.
LinkedIn said it had removed the accounts after being alerted by Reuters.
Reporting by James Pearson in London and Marisa Taylor in Washington
Additional reporting by Chris Bing in Washington, editing by Chris Sanders and Ross Colvin
Wolverine World Wide, Inc. engages in the design, manufacture, and sale of branded casual, active lifestyle, work, outdoor sport, athletic, uniform, footwear, and apparel. It operates through the following segments: Wolverine Michigan Group and Wolverine Boston Group. The Wolverine Michigan Group consists of Merrell, Cat, Chaco, Hush Puppies, Bates uniform, Harley-Davidson and Hytest safety footwear and apparel. The Wolverine Boston Group consists of Sperry, Saucony , Keds, and the Kids footwear business, which includes the Stride Rite licensed business, as well as kids’ footwear offerings from Saucony, Sperry, Keds, Merrell, Hush Puppies, and Cat. The company was founded by G. A. Krause in 1883 and is headquartered in Rockford, MI.
Nov 4 (Reuters) – Twitter Inc laid off half its workforce on Friday but said cuts were smaller in the team responsible for preventing the spread of misinformation, as advertisers pulled spending amid concerns about content moderation.
Tweets by staff of the social media company said teams responsible for communications, content curation, human rights and machine learning ethics were among those gutted, as were some product and engineering teams.
The move caps a week of chaos and uncertainty about the company’s future under new owner Elon Musk, the world’s richest person, who tweeted on Friday that the service was experiencing a “massive drop in revenue” from the advertiser retreat.
Musk blamed the losses on a coalition of civil rights groups that has been pressing Twitter’s top advertisers to take action if he did not protect content moderation – concerns heightened ahead of potential pivotal congressional elections on Tuesday.
After the layoffs, the groups said they were escalating their pressure and demanding brands pull their Twitter ads globally.
“Unfortunately there is no choice when the company is losing over $4M/day,” Musk tweeted of the layoffs, adding that everyone affected was offered three months of severance pay.
The company was silent about the depth of the cuts until late in the day, when head of safety and integrity Yoel Roth tweeted confirmation of internal plans, seen by Reuters earlier in the week, projecting the layoffs would affect about 3,700 people, or 50% of the staff.
Among those let go were 784 employees from the company’s San Francisco headquarters and 199 in San Jose and Los Angeles, according to filings to California’s employment authority.
Roth said the reductions hit about 15% of his team, which is responsible for preventing the spread of misinformation and other harmful content, and that the company’s “core moderation capabilities” remained in place.
Musk endorsed the safety executive last week, citing his “high integrity” after Roth was called out over tweets critical of former President Donald Trump years earlier.
Musk has promised to restore free speech while preventing Twitter from descending into a “hellscape.”
President Joe Biden said on Friday that Musk had purchased a social media platform in Twitter that spews lies across the world.
“And now what are we all worried about: Elon Musk goes out and buys an outfit that sends – that spews lies all across the world… There’s no editors anymore in America. There’s no editors. How do we expect kids to be able to understand what is at stake?”
Major advertisers have expressed apprehension about Musk’s takeover for months.
Brands including General Motors Co (GM.N) and General Mills Inc (GIS.N) have said they stopped advertising on Twitter while awaiting information about the new direction of the platform.
Musk tweeted that his team had made no changes to content moderation and done “everything we could” to appease the groups. Speaking at an investors conference in New York on Friday, Musk called the activist pressure “an attack on the First Amendment.”
[1/9] Owner and CEO of Twitter, Inc. Elon Musk arrives at the 29th Annual Baron Investment Conference in Manhattan in New York City, New York, U.S., November 4, 2022. REUTERS/Andrew Kelly
Twitter did not respond to a request for comment.
ACCESS TO SYSTEMS CUT
The email notifying staff about layoffs was the first communication Twitter workers received from the company’s leadership after Musk took over last week. It was signed only by “Twitter,” without naming Musk or any other executives.
Dozens of staffers tweeted they had lost access to work email and Slack channels overnight before receiving an official layoff notice on Friday morning, prompting an outpouring of laments by current and former employees on the platform they had built.
They shared blue hearts and salute emojis expressing support for one another, using the hashtags #OneTeam and #LoveWhereYouWorked, a past-tense version of a slogan employees had used for years to celebrate the company’s work culture.
Twitter’s curation team, which was responsible for “highlighting and contextualizing the best events and stories that unfold on Twitter,” had been axed, employees wrote.
Shannon Raj Singh, an attorney who was Twitter’s acting head of human rights, tweeted that the entire human rights team at the company had been sacked.
Another team that focused on research into how Twitter employed machine learning and algorithms, an issue that was a priority for Musk, was also eliminated, according to a tweet from a former senior manager at Twitter.
Senior executives including vice president of engineering Arnaud Weber said their goodbyes on Twitter on Friday: “Twitter still has a lot of unlocked potential but I’m proud of what we accomplished.”
Employees of Twitter Blue, the premium subscription service that Musk is bolstering, were also let go. An employee with the handle “SillyRobin” who had indicated they were laid off, quote-tweeted a previous Musk tweet saying Twitter Blue would include “paywall bypass” for certain publishers.
“Just to be clear, he fired the team working on this,” the employee said.
DOORS LOCKED
Twitter said in its email to staffers that offices would be temporarily closed and badge access suspended “to help ensure the safety of each employee as well as Twitter systems and customer data.”
Offices in London and Dublin appeared deserted on Friday, with no employees in sight. At the London office, any evidence Twitter had once occupied the building was erased.
A receptionist at Twitter’s San Francisco headquarters said a few people had trickled in and were working in the floors above despite the notice to stay away.
A class action was filed on Thursday against Twitter by several employees, who argued the company was conducting mass layoffs without providing the required 60-day advance notice, in violation of federal and California law.
The lawsuit asked the San Francisco federal court to issue an order to restrict Twitter from soliciting employees being laid off to sign documents without informing them of the pendency of the case.
Reporting by Sheila Dang in Dallas, Katie Paul in Palo Alto, California, and Paresh Dave in Oakland, California; Additional reporting by Fanny Potkin, Rusharti Mukherjee, Aditya Kalra, Martin Coulter, Hyunjoo Jin, Supantha Mukherjee and Arriana McLymore; Writing by Matt Scuffham and Katie Paul; Editing by Kenneth Li, Jason Neely, Matthew Lewis and William Mallard
San Francisco Bay Area-based tech reporter covering Google and the rest of Alphabet Inc. Joined Reuters in 2017 after four years at the Los Angeles Times focused on the local tech industry.
Oct 25 (Reuters) – Adidas AG (ADSGn.DE) terminated its partnership with rapper and fashion designer Ye on Tuesday after he made a series of antisemitic remarks, a move that knocked the musician off the Forbes list of the world’s billionaires.
Adidas put the tie-up, which has produced several hot-selling Yeezy branded sneakers, under review this month.
“Adidas does not tolerate antisemitism and any other sort of hate speech,” the German company said on Tuesday.
“Ye’s recent comments and actions have been unacceptable, hateful and dangerous, and they violate the company’s values of diversity and inclusion, mutual respect and fairness,” it said.
Forbes magazine said the end of the deal meant Ye’s net worth shrank to $400 million. The magazine had valued his share of the Adidas partnership at $1.5 billion.
The remainder of Ye’s wealth comes from real estate, cash, his music catalogue and a 5% stake in ex-wife Kim Kardashian’s shapewear firm, Skims, Forbes said.
Representatives for Ye, formerly known as Kanye West, did not immediately respond to a request for comment.
For Adidas, ending the partnership and the production of Yeezy branded products, as well as stopping all payments to Ye and his companies, will have a “short-term negative impact” of up to 250 million euros ($248.90 million) on net income this year, the company said.
Ye has courted controversy in recent months by publicly ending major corporate tie-ups and making outbursts on social media against other celebrities. His Twitter and Instagram accounts were restricted, with the social media platforms removing some of his online posts that users condemned as antisemitic.
In now-deleted Instagram posts earlier this year, the multiple Grammy award-winning artist accused Adidas and U.S. apparel retailer Gap Inc (GPS.N) of failing to build contractually promised permanent stores for products from his Yeezy fashion line.
[1/3] Singer Kanye West walks past models after presenting his Fall/Winter 2015 partnership line with Adidas at New York Fashion Week February 12, 2015. REUTERS/Lucas Jackson/File Photo
He also accused Adidas of stealing his designs for its own products.
On Tuesday, Gap, which had ended its partnership with Ye in September, said it was taking immediate steps to remove Yeezy Gap products from its stores and that it had shut down YeezyGap.com.
“Antisemitism, racism and hate in any form are inexcusable and not tolerated in accordance with our values,” Gap said in a statement.
European fashion house Balenciaga has also cut ties with Ye, according to media reports.
“The saga of Ye … underlines the importance of vetting celebrities thoroughly and avoiding those who are overly controversial or unstable,” said Neil Saunders, managing director of GlobalData.
Adidas poached Ye from rival Nike Inc (NKE.N) in 2013 and agreed to a new long-term partnership in 2016 in what the company then called “the most significant partnership created between a non-athlete and a sports brand.”
The tie-up helped the German brand close the gap with Nike in the U.S. market.
Yeezy sneakers, which cost between $200 and $700, generate about 1.5 billion euros ($1.47 billion) in annual sales for Adidas, making up a little over 7% of its total revenue, according to estimates from Telsey Advisory Group.
Shares in Adidas, which cut its full-year forecast last week, closed down 3.2%. The group said it would provide more information as part of its upcoming Q3 earnings announcement on Nov. 9.
($1 = 1.0044 euros)
Reporting by Mrinmay Dey, Uday Sampath and Aishwarya Venugopal in Bengaluru and Lisa Richwine in Los Angeles; Editing by Tomasz Janowski, Sriraj Kalluvila, Bernadette Baum, Anil D’Silva and Cynthia Osterman
Oct 15 (Reuters) – Elon Musk said on Saturday his rocket company SpaceX would continue to fund its Starlink internet service in Ukraine, citing the need for “good deeds,” a day after he said it could no longer afford to do so.
Musk tweeted: “the hell with it … even though starlink is still losing money & other companies are getting billions of taxpayer $, we’ll just keep funding ukraine govt for free”.
Musk said on Friday that SpaceX could not indefinitely fund Starlink in Ukraine. The service has helped civilians and military stay online during the war with Russia.
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Although it was not immediately clear whether Musk’s change of mind was genuine, he later appeared to indicate it was. When a Twitter user told Musk “No good deed goes unpunished”, he replied “Even so, we should still do good deeds”.
The billionaire has been in online fights with Ukrainian officials over a peace plan he put forward which Ukraine says is too generous to Russia.
He had made his Friday remarks about funding after a media report that SpaceX had asked the Pentagon to pay for the donations of Starlink.
SpaceX did not respond to a request for comment. The Pentagon declined to comment.
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Reporting by David Ljunggren, Matt Spetalnick and Caroline Stauffer; Editing by Sandra Maler
KYIV, Sept 25 (Reuters) – The Ukrainian Defence Ministry on Sunday ridiculed Moscow’s partial mobilization to bolster its forces in Ukraine, posting on Twitter a mash-up of social media videos of Russian police beating and arresting men protesting the call-up.
The mockery came as Russia’s two top lawmakers expressed concern about the drive, ordering regional officials to resolve “excesses” that have ignited public anger, triggered demonstrations and prompted military-age men to make for border crossings. read more
“Russia still has remnants of a professional army” that the Ukrainian army “hasn’t yet destroyed,” the Ukrainian defence ministry said in an English-language tweet, referring to this month’s rout of Russian forces from much of the northeastern Kharkiv region. “Looks like we’ll be ‘de-mobilizing’ these Russians ahead of schedule.”
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The mobilization has prompted both sides to trade a fresh round of insults. In Moscow, Kremlin spokesman Dmitry Peskov told reporters on Friday that fake statements on social media were in part to blame for the reaction to the announcement.
“There is now no shortage of explanations and there are opportunities to ask questions,” Peskov said. “We have to look calmly, thoughtfully and objectively at the provocative, huge number of fake statements on social media and not give in to these provocative actions.”
Multiple reports have documented how people with no military service have been issued draft papers – contrary to Russian Defence Minister Sergei Shoigu’s guarantee that only those with special military skills or combat experience would be called up – prompting even ultra-loyal pro-Kremlin figures to publicly express concern.
Officials say 300,000 more Russians will called up to serve in the mobilisation campaign.
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Reporting by Jonathan Landay; Editing by Susan Fenton and Daniel Wallis
First, there was web1 – aka the internet we all know and love. Then there was web2 – the user-generated web, heralded by the arrival of social media. Now, wherever we look, people are talking about web3 (or sometimes, web 3.0) – the supposed next big evolutionary leap forward of the internet. But what is it, exactly?
What is Web3 All About? An Easy Explanation With Examples
Adobe Stock
Well, opinions on this differ somewhat. Web3 is currently a work-in-progress and isn’t exactly defined yet. However, the main principle is that it will be decentralized – rather than controlled by governments and corporations, as is the case with today’s internet – and, to some extent, connected to the concept of the “metaverse.”
Before we start – just to avoid confusion – it’s worth mentioning that, until a few years ago, the term “web 3.0” was frequently used to describe what is now known as the “semantic web.” This was a concept put forward by the original “father of the internet,” Sir Tim Berners-Lee, for a machine-to-machine internet. Language is defined by its use, and the term is more frequently used to describe something else now. However, Berners-Lee’s concepts are considered to be a part of what we now call web3, although not the entirety of it.
What is the decentralized web?
Let’s look at decentralization first. Today, all of the infrastructure that the popular sites and hangouts we spend time on online are usually owned by corporations and, to some extent, controlled by regulations set out by governments. This is because this was the simplest way to build network infrastructure – someone pays to install servers and set up software on them that people want to access online, and then either charges us to use it or lets us use it for free, as long as we abide by their rules.
Today, we have other options, and in particular, we have blockchain technology. Blockchain is a relatively new method of storing data online, which is built around the two core concepts of encryption and distributed computing.
Encryption means that the data stored on a blockchain can only be accessed by people who have permission to do so – even if the data happens to be stored on a computer belonging to someone else, like a government or a corporation.
And distributed computing means that the file is shared across many computers or servers. If one particular copy of it does not match all of the other copies, then the data in that file isn’t valid. This adds another layer of protection, meaning no one person other than whoever is in control of the data can access or change it without the permission of either the person who owns it or the entire distributed network.
Put together, these concepts mean data can be stored in a way so that it is only ever under the control of the person who owns it, even if it happens to be stored on a server owned by a corporation or subject to the control of a local government. The owner or government can never access or change the data without the keys to the encryption that proves they own it. And even if they shut down or remove their server, the data is still accessible on one of the hundreds of other computers that it’s stored on. Pretty clever, right?
Other important concepts that are often used in relation to the technical infrastructure of web3 are that it is open, meaning largely built on open-source software, trustless and permissionless.
Trustless means that interactions and transactions can take place between two parties without the need for a trusted third party. This was not necessarily the case on web2 or below because you would have to be certain that whoever owned the medium you were using to interact or transact was not manipulating your communications.
A good example of a web3 trustless transaction would be sending Bitcoin directly to another person – not via an online exchange or wallet stored on a centralized server. The entire process of making the transaction is controlled by the blockchain algorithm and encryption, and there is close to zero chance that anyone can step in and disrupt it.
Similarly, “permissionless” means that neither party in a transaction or interaction have to seek permission from a third party (such as a service provider or government) before it can take place.
By the way, if you think all this talk about avoiding government interference sounds a little bit anarchistic or libertarian, then you’re not alone! There are still big questions to be answered about the implications that this lack of oversight or control has for safety and legality. We’ve already seen governments attempt to create legislation that will allow them to retain some level of control over communications and interactions on the web3. This includes the UK Government’s indications that it would like to regulate citizens’ ability to send end-to-end encrypted messages.
Web3 concepts – the DAO
The Decentralised Autonomous Organisation (DAO) is a web3 concept describing a group, company or collective that are bound by rules and regulations coded into a blockchain. For example, in a DAO-based shop, the price of all of the items, as well as details on who would get pay-outs from the business, would be held on a blockchain. Shareholders in the DAO would be able to vote to change prices or who gets the money.
However, no individual could change the rules without having permission to do so. And no one who owned the physical infrastructure, such as the server owners, or the owners of the facilities where the profits were stored, could interfere in any way, like running off with the takings!
Crucially, DAOs – in theory – eliminate the need entirely for many of the “men-in-the-middle” needed to run an organization – such as bankers, lawyers, accountants, and landlords.
Artificial intelligence (AI) and web 3.0
Most people believe that AI will play a big part in web3. This is due to the heavy involvement of machine-to-machine communication and decision-making that will be needed to run many web3 applications.
How does the metaverse fit with web3?
The last important concept of web3 that we have to cover is the metaverse. In relation to web3, the term “metaverse” covers the next iteration of the internet’s front-end – the user interface through which we interact with the online world, communicate with other users, and manipulate data.
Just in case you’ve missed all the hype – the idea of the metaverse is that it will be a much more immersive, social and persistent version of the internet which we all know and love. It will use technologies like virtual reality (VR) and augmented reality (AR) to draw us in, enabling us to interact with the digital domain in more natural and immersive ways – for example, by using virtual hands to pick up and manipulate objects, and our voices to give instructions to machines, or talk to other people. In many ways, the metaverse can be thought of as the interface through which humans will engage with web3 tools and applications.
It’s possible to create web3 applications without the metaverse being involved – Bitcoin is one example – but it’s thought that metaverse technology and experiences will play a big part in the way many of these applications will interact with our lives.
This all sounds great, and everyone must love it, right?
Well, actually, no. It should be mentioned that there has been a fair amount of high-profile criticism of web3. Elon Musk has made several comments, including stating that it “seems more like a marketing buzzword than a reality right now” and tweeting, “Has anyone seen web3? I can’t find it.”
Former Twitter CEO, Jack Dorsey, on the other hand, has questioned whether it will be as free and open as many hope. He said, “You don’t own web3. The VCs and their LPs do. It will never escape their incentives. It’s ultimately a centralized entity with a different label.”
Others don’t like many of the current proposals for web3 due to the fact that they are built on blockchain, which can sometimes be very energy-intensive, contributing to carbon emissions and climate change. The Bitcoin blockchain, for example, is estimated to consume around the same amount of energy as Finland. Other blockchains – such as those that are built on proof-of-stake algorithms rather than proof-of-work, are not as energy-intensive.
Some examples of web 3.0 applications
Let’s look at some examples of web3 in practice:
Bitcoin – The original cryptocurrency has been around for more than ten years, and the protocol itself is decentralized, although not all of its ecosystem is.
Diaspora – Non-profit, decentralized social network
Steemit – Blockchain-based blogging and social platform