Programming

Code.org Sues WhiteHat Jr. For $3 Million 8

theodp writes: Back in May 2021, tech-backed nonprofit Code.org touted the signing of a licensing agreement with WhiteHat Jr., allowing the edtech company with a controversial past (Whitehat Jr. was bought for $300M in 2020 by Byju's, an edtech firm that received a $50M investment from Mark Zuckerberg's venture firm) to integrate Code.org's free-to-educators-and-organizations content and tools into their online tutoring service. Code.org did not reveal what it was charging Byju's to use its "free curriculum and open source technology" for commercial purposes, but Code.org's 2021 IRS 990 filing reported $1M in royalties from an unspecified source after earlier years reported $0. Coincidentally, Whitehat Jr. is represented by Aaron Kornblum, who once worked at Microsoft for now-President Brad Smith, who left Code.org's Board just before the lawsuit was filed.

Fast forward to 2023 and the bloom is off the rose, as Court records show that Code.org earlier this month sued Whitehat Education Technology, LLC (Exhibits A and B) in what is called "a civil action for breach of contract arising from Whitehat's failure to pay Code.org the agreed-upon charges for its use of Code.org's platform and licensed content and its ongoing, unauthorized use of that platform and content." According to the filing, "Whitehat agreed [in April 2022] to pay to Code.org licensing fees totaling $4,000,000 pursuant to a four-year schedule" and "made its first four scheduled payments, totaling $1,000,000," but "about a year after the Agreement was signed, Whitehat informed Code.org that it would be unable to make the remaining scheduled license payments." While the original agreement was amended to backload Whitehat's license fee payment obligations, "Whitehat has not paid anything at all beyond the $1,000,000 that it paid pursuant to the 2022 invoices before the Agreement was amended" and "has continued to access Code.org's platform and content."

That Byju's Whitehat Jr. stiffed Code.org is hardly shocking. In June 2023, Reuters reported that Byju's auditor Deloitte cut ties with the troubled Indian Edtech startup that was once an investor darling and valued at $22 billion, adding that a Byju's Board member representing the Chan-Zuckerberg Initiative had resigned with two other Board members. The BBC reported in July that Byju's was guilty of overexpanding during the pandemic (not unlike Zuck's Facebook). Ironically, the lawsuit Exhibits include screenshots showing Mark Zuckerberg teaching Code.org lessons. Zuckerberg and Facebook were once among the biggest backers of Code.org, although it's unclear whether that relationship soured after court documents were released that revealed Code.org's co-founders talking smack about Zuck and Facebook's business practices to lawyers for Six4Three, which was suing Facebook.

Code.org's curriculum is also used by the Amazon Future Engineer (AFE) initiative, but it is unclear what royalties -- if any -- Amazon pays to Code.org for the use of Code.org curriculum. While the AFE site boldly says, "we provide free computer science curriculum," the AFE fine print further explains that "our partners at Code.org and ProjectSTEM offer a wide array of introductory and advance curriculum options and teacher training." It's unclear what kind of organization Amazon's AFE ("Computer Science Learning Childhood to Career") exactly is -- an IRS Tax Exempt Organization Search failed to find any hits for "Amazon Future Engineer" -- making it hard to guess whether Code.org might consider AFE's use of Code.org software 'commercial use.' Would providing a California school district with free K-12 CS curriculum that Amazon boasts of cultivating into its "vocal champion" count as "commercial use"? How about providing free K-12 CS curriculum to children who live where Amazon is seeking incentives? Or if Amazon CEO Jeff Bezos testifies Amazon "funds computer science coursework" for schools as he attempts to counter a Congressional antitrust inquiry? These seem to be some of the kinds of distinctions Richard Stallman anticipated more than a decade ago as he argued against a restriction against commercial use of otherwise free software.
Bitcoin

Nigerian Central Bank Lifts Ban on Crypto Trading (reuters.com) 21

Nigeria's central bank has lifted a ban on transacting in cryptocurrencies, while saying global trends had shown a need to regulate such activities, the bank said in its latest circular. From a report: The Central Bank of Nigeria (CBN) in Feb. 2021 barred banks and financial institutions from dealing in or facilitating transactions in crypto assets, citing money laundering and terrorism financing risks. Subsequently Nigeria's Securities and Exchange Commission (SEC) in May last year published regulations for digital assets that signalled Africa's most populous country was trying to find a middle ground between an outright ban on crypto assets and their unregulated use.

In a circular dated Dec. 22, the CBN said current trends globally have shown there is a need to regulate the activities of virtual asset service providers (VASPs), which include cryptocurrencies and crypto assets. The latest guidelines spell out how banks and financial institutions (FI) should open accounts, provide designated settlement accounts and settlement services and act as channels for forex inflows and trade for firms transacting in crypto assets. VASPs would need to be licensed by the Nigerian SEC to engage in the crypto business.

Businesses

These Are the Jobs That Keep Older Americans Working (bloomberg.com) 129

Occupations with the highest share of workers older than 65 have changed little, data from the past seven decades show. Bloomberg Businessweek: Americans may dream about being able to go off the clock when they reach retirement age, but a good number simply can't or won't. We compiled data on the occupations with the highest share of workers older than 65, going back seven decades. The job types held remarkably steady over the decades (farmers, tailors and clergy). A few faded out of the data with time -- blacksmiths, furriers and household washers, for instance. The data can't fully tell us why people in some professions keep at it longer than others. But we know they're largely low-paying jobs, which means workers have likely struggled to put aside money for retirement.
United States

To Stem North Korea's Missiles Program, White House Looks To Its Hackers (politico.com) 19

The Biden administration has spent much of the last two years bracing key U.S. networks and infrastructure against crippling cyberattacks from Russia, Iran and China. But it is following a different playbook as it ramps up its efforts to thwart digital threats from North Korea: Follow the crypto -- and stop it. From a report: Convinced North Korea primarily sees hacking as a way to funnel money back to the cash-strapped Kim Jong Un regime, the White House has focused on blocking the country's ability to launder the cryptocurrency it steals through its cyberattacks. In the last year, the administration has unveiled a flurry of sanctions against North Korean hacking groups, front companies and IT workers, and blacklisted multiple cryptocurrency services they use to launder stolen funds. Earlier this month, national security adviser Jake Sullivan announced a new partnership with Japan and South Korea aimed at cracking down on Pyongyang's crypto bonanza -- thereby choking off money to its nuclear and conventional weapons programs.

"In countering North Korean cyber operations, our first priority has been focusing on their crypto heists," Anne Neuberger, the National Security Council's top cybersecurity official, said in an interview. The stepped-up effort to blunt North Korea's cyber operations is fueled by growing alarm about where the fruits of those attacks are going, Neuberger said. Hacking, she argued, has enabled North Korea to "either evade sanctions or evade the steps the international community has taken to target their weapons proliferation ... their missile regime, and the growth in the number of launches we've seen."

AI

'What Kind of Bubble Is AI?' (locusmag.com) 100

"Of course AI is a bubble," argues tech activist/blogger/science fiction author Cory Doctorow.

The real question is what happens when it bursts?

Doctorow examines history — the "irrational exuberance" of the dotcom bubble, 2008's financial derivatives, NFTs, and even cryptocurrency. ("A few programmers were trained in Rust... but otherwise, the residue from crypto is a lot of bad digital art and worse Austrian economics.") So would an AI bubble leave anything useful behind? The largest of these models are incredibly expensive. They're expensive to make, with billions spent acquiring training data, labelling it, and running it through massive computing arrays to turn it into models. Even more important, these models are expensive to run.... Do the potential paying customers for these large models add up to enough money to keep the servers on? That's the 13 trillion dollar question, and the answer is the difference between WorldCom and Enron, or dotcoms and cryptocurrency. Though I don't have a certain answer to this question, I am skeptical.

AI decision support is potentially valuable to practitioners. Accountants might value an AI tool's ability to draft a tax return. Radiologists might value the AI's guess about whether an X-ray suggests a cancerous mass. But with AIs' tendency to "hallucinate" and confabulate, there's an increasing recognition that these AI judgments require a "human in the loop" to carefully review their judgments... There just aren't that many customers for a product that makes their own high-stakes projects betÂter, but more expensive. There are many low-stakes applications — say, selling kids access to a cheap subscription that generates pictures of their RPG characters in action — but they don't pay much. The universe of low-stakes, high-dollar applications for AI is so small that I can't think of anything that belongs in it.

There are some promising avenues, like "federated learning," that hypothetically combine a lot of commodity consumer hardware to replicate some of the features of those big, capital-intensive models from the bubble's beneficiaries. It may be that — as with the interregnum after the dotcom bust — AI practitioners will use their all-expenses-paid education in PyTorch and TensorFlow (AI's answer to Perl and Python) to push the limits on federated learning and small-scale AI models to new places, driven by playfulness, scientific curiosity, and a desire to solve real problems. There will also be a lot more people who understand statistical analysis at scale and how to wrangle large amounts of data. There will be a lot of people who know PyTorch and TensorFlow, too — both of these are "open source" projects, but are effectively controlled by Meta and Google, respectively. Perhaps they'll be wrestled away from their corporate owners, forked and made more broadly applicable, after those corporate behemoths move on from their money-losing Big AI bets.

Our policymakers are putting a lot of energy into thinking about what they'll do if the AI bubble doesn't pop — wrangling about "AI ethics" and "AI safety." But — as with all the previous tech bubbles — very few people are talking about what we'll be able to salvage when the bubble is over.

Thanks to long-time Slashdot reader mspohr for sharing the article.
United States

US Water Utilities Hacked After Default Passwords Set to '1111', Cybersecurity Officials Say (fastcompany.com) 84

An anonymous reader shared this report from Fast Company: Providers of critical infrastructure in the United States are doing a sloppy job of defending against cyber intrusions, the National Security Council tells Fast Company, pointing to recent Iran-linked attacks on U.S. water utilities that exploited basic security lapses [earlier this month]. The security council tells Fast Company it's also aware of recent intrusions by hackers linked to China's military at American infrastructure entities that include water and energy utilities in multiple states.

Neither the Iran-linked or China-linked attacks affected critical systems or caused disruptions, according to reports.

"We're seeing companies and critical services facing increased cyber threats from malicious criminals and countries," Anne Neuberger, the deputy national security advisor for cyber and emerging tech, tells Fast Company. The White House had been urging infrastructure providers to upgrade their cyber defenses before these recent hacks, but "clearly, by the most recent success of the criminal cyberattacks, more work needs to be done," she says... The attacks hit at least 11 different entities using Unitronics devices across the United States, which included six local water facilities, a pharmacy, an aquatics center, and a brewery...

Some of the compromised devices had been connected to the open internet with a default password of "1111," federal authorities say, making it easy for hackers to find them and gain access. Fixing that "doesn't cost any money," Neuberger says, "and those are the kinds of basic things that we really want companies urgently to do." But cybersecurity experts say these attacks point to a larger issue: the general vulnerability of the technology that powers physical infrastructure. Much of the hardware was developed before the internet and, though they were retrofitted with digital capabilities, still "have insufficient security controls," says Gary Perkins, chief information security officer at cybersecurity firm CISO Global. Additionally, many infrastructure facilities prioritize "operational ease of use rather than security," since many vendors often need to access the same equipment, says Andy Thompson, an offensive cybersecurity expert at CyberArk. But that can make the systems equally easy for attackers to exploit: freely available web tools allow anyone to generate lists of hardware connected to the public internet, like the Unitronics devices used by water companies.

"Not making critical infrastructure easily accessible via the internet should be standard practice," Thompson says.

Social Networks

As Reddit CEO Defends Their Controversial API Decision, It Dominates Reddit's Own 'Recaps' (fastcompany.com) 52

"Reddit CEO Steve Huffman says that he stands by the company's decision to charge for API access," writes the blog 9to5Mac, "despite the fact that it was massively unpopular, and led to the demise of the leading Reddit app, Apollo." In an interview with FastCo, Huffman is unrepentant about the API decision, but says it could have been better communicated... "[H]e defended the company's decision to limit free access to its API as a necessary measure to foil AI-training freeloaders. 'Reddit is an open platform, and we love that,' he told me. 'At the same time, we have been taken advantage of by some of the largest companies in the world.'"
The incident ended up reappearing in Reddit's own "recap" pages showing highlights from its popular subreddits. For its Technology subreddit, the official recap shows that two most popular posts were "Apollo for Reddit is shutting down" and "Reddit sparks outrage after a popular app developer said it wants him to pay $20 million a year for data access."

And Reddit's official recap also shows that discussion leading to the second-most popular comment of the entire year for the subreddit. "Users supply all the content, and reddit turns around with this huge fuck you to its users, without whom it's just another crappy link aggregator. No, reddit, fuck you and your money grab."

The first most-popular comment appeared in a related discussion, headlined "Reddit Threatens to Remove Moderators From Subreddits Continuing Apollo-Related Blackouts." The comment?

Reddit: You're fired!
Moderator: I don't even work here.


The topic also dominated the official recap for the Programming subreddit, where it was the subject of all three of the top comments — and all three of the year's top posts:

Ironically, FastCo headlined its interview "As the AI era begins, Reddit is leaning into its humanity." ("Rebellious moderators. Large language models' peril and promise. Maybe a long-awaited IPO. Amid it all, Reddit CEO Steve Huffman says the web megacommunity is on a roll.") Other work has addressed concerns that bubbled to the surface during the moderator dust-up, such as accessibility issues: "I told the team, 'Just show up and ship,'" Huffman says. The official Reddit apps are finally compatible with screen readers used by users with vision impairments, with full compliance with the World Wide Web Consortium's accessibility guidelines planned by the end of 2024.

As for AI's potential to transform the Reddit experience, Huffman is less prone to exuberant overpromising than the average tech company CEO. But the same attributes that led third-party assemblers of large language models to crave access to the company's corpus of information could help it leverage the technology to its own benefit... Rather than involving the most obvious AI functionality, like a Reddit chatbot, the examples he provides relate to moderation of problem content. For instance, the latitude that individual moderators have to govern their communities means that they can set rules that Huffman describes as "sometimes strict and sometimes esoteric." Newbies may run afoul of them by accident and have their posts yanked just as they're trying to join the conversation. In response, Reddit is currently prototyping an AI-powered feature called "post guidance." It'll flag rule-violating material before it's ever published: "The new user gets feedback, and the mod doesn't have to deal with it," says Huffman. He adds that Reddit will also use AI to crack down on willful bad behavior, such as bullying and hate speech, and that he expects progress on that front in 2024...

Members already engage in acts of commerce such as tipping Photoshop wizards to remove ex-boyfriends from images; he says the company plans to facilitate these transactions with a payment system "that will basically involve users sending money to users, whether it's rewarding them for content or paying for digital services or digital goods or [physical] services." "People are trying to start businesses on Reddit, but it wasn't really built for that," he adds. "So just trying to flesh out that ecosystem, I think that'll be very powerful."

Businesses

OpenAI In Talks To Raise New Funding At $100 Billion Valuation (reuters.com) 31

According to Bloomberg (paywalled), OpenAI is in early talks to raise a fresh round of funding at a valuation at or above $100 billion. Reuters reports: The terms, valuation and timing of the funding round have not yet been finalized and could still change, the report added. OpenAI has also held discussions to raise funding for a new chip venture with Abu Dhabi-based G42, according to the report. If the valuation holds, the report notes that it would make OpenAI the second-most valuable U.S. startup behind Elon Musk's SpaceX.
Businesses

Banks Use Your Deposits To Loan Money To Fossil-Fuel, Emissions-Heavy Firms (arstechnica.com) 101

Banks lend your deposits to carbon-heavy industries, fueling climate change; savings of $1,000 create emissions equal to a New York-Seattle flight, reveals a new analysis. Wired: By switching to a climate-conscious bank, you could reduce those emissions by about 75 percent, the study found. In fact, if you moved $8,000 dollars -- the median balance for US customers -- the reduction in your indirect emissions would be twice that of the direct emissions you'd avoid if you switched to a vegetarian diet. [...] The new report finds that on average, 11 of the largest US banks lend 19.4 percent of their portfolios to carbon-intensive industries. To be very clear: Oil, gas, and coal companies wouldn't be able to keep producing these fuels -- when humanity needs to be reducing carbon emissions dramatically and rapidly -- without these loans. New fossil fuel projects aren't simply fleeting endeavors, but will operate for years, locking in a certain amount of emissions going forward.
Businesses

38% of VCs Disappeared From Dealmaking in 2023 36

Marina Temkin, writing at PitchBook: Boston-based OpenView stunned the VC world with news in early December that it laid off most of its employees and would stop all new investments months after raising its $570 million seventh fund. The 17-year-old firm, which managed $2.4 billion, was too prominent to keep its closure under wraps. But OpenView was far from the only investor that stopped backing startups this year.

The number of active investors in US VC, which we defined as making two or more deals, plummeted by 38% in the first three quarters of 2023 compared to the same period last year, according to PitchBook data. That translates to 2,725 fewer firms making deals. The decline in active investors is far higher than the 28% decrease in deal count during the period, the Q3 2023 PitchBook-NVCA Venture Monitor shows. The data indicates that investors are not merely writing fewer checks. Some dealmakers may have run out of funds and could be deemed zombie funds. Others, such as crossover investors, may have stopped allocating to the VC asset class.
Wireless Networking

Wireless TVs Use Built-In Cameras, NFC Readers To Sell You Stuff You See On TV (techcrunch.com) 98

An anonymous reader quotes a report from Ars Technica: It's no secret that TV makers are seriously invested in pushing ads. Using TVs for advertising goes back to 1941 when the first TV commercial aired. But as we trudge our way through the 21st century, TV vendors are becoming more involved in ensuring that their hardware is used to sell stuff and add to their own recurring revenue. This has taken various forms, but in some cases, we're seeing increasingly invasive strategies for turning TVs into a primary place for shopping. The latest approach catching attention comes from the startup Displace. Its upcoming TVs will use integrated webcams and NFC payment readers to make it easy for people to buy stuff they see on TV. [...]

The two new TVs Displace is adding to its 2024 release plans, the Displace Flex and Displace Mini, are all about making TV shopping better. According to Displace's announcement, the Displace Flex (a 55-inch 4K OLED TV) and Displace Mini (a 27-inch 4K OLED TV) will use proprietary gesture technology and each TV's integrated 4K camera to tell when a user is raising their hand. It's unclear how accurate that will be (could the shopping experience accidentally be activated if I raised my hand to tie my hair up, for example?), but at that point, the TV is supposed to pause the content being played. Then, it uses computer vision to "analyze the screen to find products available for sale. Once they see something they want to purchase, viewers drag and drop the product into the global Displace Shopping Cart," the announcement says. Displace Shopping will work at any moment the TV is on, and users can buy stuff they see in commercials by using the TVs.

Displace's December 14 announcement said: "As soon as the viewer is ready to checkout, Displace Payments makes paying as easy as bringing a user's smartphone or watch near the TV's built-in NFC payment reader, a fully secure process that requires no credit card info. Viewers can also pay from within the Displace app." If the TV can't find a specific product for sale, it will "search for similar items" without user intervention, according to Displace. The TV will show products from any available online retailers, allowing users to select where they want to make their purchase. Displace hasn't provided full details about how it will make money off these transactions, but when reached for comment, founder and CEO Balaji Krishnan told Ars Technica that Displace has "different business models, and one of them is to take a transaction fee," and that Displace will share more details "later." Displace also sees people using Displace Payments to pay for telehealth applications and equipped the Flex and Mini with thermal cameras.
To ease privacy concerns, Krishnan says the integrated cameras can be folded into the TVs if a user needs privacy.

Eventually, Displace sees itself working with content publishers to lay its shopping UI over actively playing content. "Users would see a workable buy button right on top of the playing video," adds Ars.
Bitcoin

Binance To Pay $2.7 Billion Fine To CFTC For Evading Federal Law (cointelegraph.com) 19

Binance will pay $2.7 billion to the Commodity Futures Trading Commission (CFTC) for evading federal law and operating an illegal derivatives exchange. Meanwhile, the cryptocurrency exchange's founder, Changpeng "CZ" Zhao, will pay $150 million.

"The court finds Zhao and Binance violated the Commodity Exchange Act (CEA) and CFTC regulations, imposes a $150 million civil monetary penalty personally against Zhao, and requires Binance to disgorge $1.35 billion of ill-gotten transaction fees and pay a $1.35 billion penalty to the CFTC," wrote the CFTC in a statement. CoinTelegraph reports: The approved settlement marks the conclusion of a long-running case against CZ and Binance by the CFTC. On Nov. 21, CZ agreed to step down from his role at the helm of Binance as part of a wider settlement with the U.S. Department of Justice, the Treasury Department and the CFTC. On the same day, Zhao pleaded guilty to several civil charges and one criminal charge relating to Anti-Money Laundering laws. On Dec. 7, CZ was ordered to remain in the U.S. until his Feb. 23, 2024 sentencing date. He faces up to 18 months in prison on money laundering charges and has agreed not to appeal any potential sentence up to that length.

As part of the settlement, both CZ and Binance have agreed to take further steps to ensure Know Your Customer measures are maintained on the exchange as well as requiring Binance to implement a formalized corporate governance structure, including a board of directors with independent members, a compliance committee and an audit committee. The court also made a separate order for Binance's former chief compliance officer, Samuel Lim, to pay a $1.5 million civil monetary penalty for "aiding and abetting Binance's violations and engaging in activities outside of the U. S. to willfully evade or attempt to evade U.S. law."

Crime

Nikola Founder Trevor Milton Sentenced To 4 Years For Securities Fraud (techcrunch.com) 34

An anonymous reader quotes a report from TechCrunch: Trevor Milton, the disgraced founder and former CEO of electric truck startup Nikola, was sentenced Monday to four years in prison for securities fraud. The sentence, by Judge Edgardo Ramos in the U.S. District Court in Manhattan, caps a multi-year saga that at one point sent Nikola stock soaring 83% only to come crashing down months later over accusations of fraud and canceled contracts. The sentencing hearing comes after four separate delays, during which Milton has remained free under a $100 million bond.

In his ruling, Ramos said he would impose a sentence of 48 months on each count, served concurrently, and a fine of $1 million. Milton is expected to appeal the sentence, which Ramos acknowledged. Milton sobbed as he pled with Judge Ramos for leniency in a long and often confusing statement ahead of the sentencing. At one point, Milton said he stepped down from the CEO post at Nikola not because of fraud allegations, but to support his wife. "I stepped down because my wife was suffering live threatening sickness," he said in his statement, which reporter Matthew Russell Lee of Inner City Press shared on social media post X. She suffered medical malpractice, someone else's plasma. So I stepped down for that -- not because I was a fraud. The truth matters. I chose my wife over money or power."

During the sentencing hearing, defense attorneys said that Milton wasn't trying to defraud investors or intending to harm anyone. Instead, they argued he simply wanted to be loved and praised like Elon Musk. Prosecutors pushed back and said he lied repeatedly and targeted retail investors. Federal prosecutors recommended an 11-year sentence, but Milton faced a maximum term of 60 years in prison. The government also sought a $5 million fine, forfeiture of a ranch in Utah and an undetermined amount of restitution to investors. Restitution will be determined after Monday's sentencing hearing.
Timeline of events:

June, 2016: Nikola Motor Receives Over 7,000 Preorders Worth Over $2.3 Billion For Its Electric Truck
December, 2016: Nikola Motor Company Reveals Hydrogen Fuel Cell Truck With Range of 1,200 Miles
February, 2020: Nikola Motors Unveils Hybrid Fuel-Cell Concept Truck With 600-Mile Range
June, 2020: Nikola Founder Exaggerated the Capability of His Debut Truck
September, 2020: Nikola Motors Accused of Massive Fraud, Ocean of Lies
September, 2020: Nikola Admits Prototype Was Rolling Downhill In Promo Video
September, 2020: Nikola Founder Trevor Milton Steps Down as Chairman in Battle With Short Seller
October, 2020: Nikola Stock Falls 14 Percent After CEO Downplays Badger Truck Plans
November, 2020: Nikola Stock Plunges As Company Cancels Badger Pickup Truck
July, 2021: Nikola Founder Trevor Milton Indicted on Three Counts of Fraud
December, 2021: EV Startup Nikola Agrees To $125 Million Settlement
September, 2022: Nikola Founder Lied To Investors About Tech, Prosecutor Says in Fraud Trial
Power

Could Hot Rocks Help Solve the Climate Crisis? (cnn.com) 110

An anonymous reader shared this report from CNN: "(The rocks) in the box right now are about 1,600 degrees Celsius," Andrew Ponec said, standing next to a thermal battery the size of a small building. That is nearly 3,000 degrees Fahrenheit, "Hotter than the melting point of steel," he explained.

But what makes his box of white-hot rocks so significant is they were not heated by burning tons of coal or gas, but by catching sunlight with the thousands of photovoltaic solar panels that surround his prototype west of Fresno. If successful, Ponec and his start-up Antora Energy could be part of a new, multi-trillion-dollar energy storage sector that simply uses sun or wind to make boxes of rocks hot enough to run the world's biggest factories. "People sometimes feel like they're insulting us by saying, 'Hey, that sounds really simple," Ponec laughed. "And we say, 'No, that's exactly the point'... The problem is you can't shut down your factory when the sun goes behind a cloud or the wind stops blowing, and that's exactly the problem that we focused on."

While the word "battery" most likely evokes the chemical kind found in cars and electronics in 2023, hot rocks currently store ten times as much energy as lithium ion around the world, thanks to an invention from the 1800s known as Cowper stoves. Often found in smelting plants, these massive towers of stacked bricks absorb the wasted heat of a blast furnace until it heats to nearly 3,000 degrees Fahrenheit, and then provides over 100 megawatts of heat energy for about 20 minutes. The process can be repeated 24 times a day for 30 years, and Antora is among the startups experimenting with different kinds of rocks in insulated boxes or molten salt in cylinders to find the most efficient combination...

Antora has managed to raise $80 million in seed money from investors that include Bill Gates, but their main competitor is another Bay Area startup called Rondo that uses abundant refractory brick, which is cheaper than carbon by weight but not as energy dense. Rondo has attracted even more funding than Antora and its first battery is producing commercial power for an ethanol plant in California... Tesla recently predicted a carbon-free world will need an astonishing 240 terawatt-hours of energy storage — more than 340 times the amount of storage built with lithium-ion batteries in 2022. Rondo CEO John O'Donnell predicts more than half of all that new capacity will come in the form of heat batteries, simply because the raw ingredients are so readily available.

By plugging their factories into as many thermal batteries as they need, manufacturers won't have to wait in a years-long line for grid connections and upgrades.

Ponec tells CNN that when it comes to de-carbonizing today, "we have the tools we need. We just need to deploy them.

"The transition is inevitable. It's going to happen. And if you talk behind closed doors to most of the people in the fossil fuel industry, they'll say the same thing."
AI

OpenAI's In-House Initiative Explores Stopping an AI From Going Rogue - With More AI (technologyreview.com) 43

MIT Technology Review reports that OpenAI "has announced the first results from its superalignment team, the firm's in-house initiative dedicated to preventing a superintelligence — a hypothetical future computer that can outsmart humans — from going rogue." Unlike many of the company's announcements, this heralds no big breakthrough. In a low-key research paper, the team describes a technique that lets a less powerful large language model supervise a more powerful one — and suggests that this might be a small step toward figuring out how humans might supervise superhuman machines....

Many researchers still question whether machines will ever match human intelligence, let alone outmatch it. OpenAI's team takes machines' eventual superiority as given. "AI progress in the last few years has been just extraordinarily rapid," says Leopold Aschenbrenner, a researcher on the superalignment team. "We've been crushing all the benchmarks, and that progress is continuing unabated." For Aschenbrenner and others at the company, models with human-like abilities are just around the corner. "But it won't stop there," he says. "We're going to have superhuman models, models that are much smarter than us. And that presents fundamental new technical challenges."

In July, Sutskever and fellow OpenAI scientist Jan Leike set up the superalignment team to address those challenges. "I'm doing it for my own self-interest," Sutskever told MIT Technology Review in September. "It's obviously important that any superintelligence anyone builds does not go rogue. Obviously...."

Instead of looking at how humans could supervise superhuman machines, they looked at how GPT-2, a model that OpenAI released five years ago, could supervise GPT-4, OpenAI's latest and most powerful model. "If you can do that, it might be evidence that you can use similar techniques to have humans supervise superhuman models," says Collin Burns, another researcher on the superalignment team... The results were mixed. The team measured the gap in performance between GPT-4 trained on GPT-2's best guesses and GPT-4 trained on correct answers. They found that GPT-4 trained by GPT-2 performed 20% to 70% better than GPT-2 on the language tasks but did less well on the chess puzzles.... They conclude that the approach is promising but needs more work...

Alongside this research update, the company announced a new $10 million money pot that it plans to use to fund people working on superalignment. It will offer grants of up to $2 million to university labs, nonprofits, and individual researchers and one-year fellowships of $150,000 to graduate students.

Earth

Can We Help Fight the Climate Crisis with Stand-Up Comedy? (cnn.com) 84

Bill McGuire is professor emeritus of climate hazards at University College London. He also writes on CNN that it's "essential" to laugh in the face of the climate crisis: If you don't laugh, you will cry, and that marks the beginning of a very slippery slope. As civilization faces a threat that dwarfs that of every war ever fought combined, and the outcome of the latest climate COP offers little hope, it's something we need — not only to remember — but to actively adopt as a weapon in our armoury to fight for a better future for our children and their children. They say that laughter is the best medicine, but weaponised comedy has the potential to do more than just make us feel good. Not only can it help inform and educate about global heating and the climate breakdown it is driving, but also to encourage and bolster action...

This is why ventures like "Climate Science Translated," which I took part in earlier this year, are so important. The British-based project — brainchild of ethical insurer Nick Oldridge and the climate communications outfit Utopia Bureau — teams climate scientists up with comedians, who 'translate' the science into bite-sized, funny and pretty irreverent chunks that can be understood, digested and appreciated by anyone.

You can see four of the videos on their web site. "Climate science is complicated," each video begins. "So we're translating it into human."

For example, last month Dr. Friederike Otto, senior lecturer on climate science at London's Imperial College, created a new video with comedian Nish Kumar: Dr. Otto: Human-caused climate change is fundamentally changing the fabric of the weather as we know it. It's leading to events which we've simply never seen before.

Comedian Kumar: Translation: Weather used to be clouds. Now we've made it into a sort of Rottweiler on steroids that wants to chew everyone's head off.

Dr. Otto: The continuing increase in global average temperature is already causing higher probabilities of extreme rainfall and flash flooding, as well more intense storms, prolonged droughts, record-breaking heatwaves, and wildfires.

Kumar: Very soon climate scientists are just going to ditch their graphs and point out the window with an expression that says, "I fucking told you!"

Dr. Otto: This is not a problem just for our children and grandchildren. This is an immediate threat to all our lives.

Kumar: I don't know if you're familiar with the film The Terminator, but if someone came from the future to warn us of this threat, they'd have travelled from next Wednesday.

And three weeks ago a follow-up video came from earth systems science professor Mark Maslin from London's University College, teaming up with comedian Jo Brand: Professor Maslin: We are heading for unknown territory if we trigger tipping points — irreversible threshholds which shift our entire ecosystem into a different state.

Comedian Brand: If you liked climate crisis, you're going to love climate complete fucking collapse...

Professor Maslin: The irony is solar and wind power are now over 10 times cheaper than oil and gas. We can still prevent much of the damage, and end up in a better place for everyone.

Brand: With wind and sun power, we save money, and don't die. It's a pretty strong selling point.

Professor Maslin: Most people actually are in favor of urgent action. The reason governments are not transitioning fast enough is because the fossil fuel industry has a grip on many politicians. In fact, governments subsidize them with our taxpayer money — over $1 trillion a year, according to the IMF.

Brand: We are paying a bunch of rich dudes one trillion dollars a year to fuck up our future. I'd do it for that money. When can I start?

Each video ends with the words "All Hands On Deck Now", urging action by voting, contacting your representative, joining a local group, and protesting.

Climate hazard professor Bill McGuire writes on CNN that he hopes to see a growing movement: As Kiri Pritchard-McLean pointedly observes: "If comedians are helping scientists out, you know things aren't going well...." There is even a "Sustainable Stand-up" course aimed at teaching comedy beginners about how climate and social issues can be addressed in their shows, and which has run in 11 countries.
Businesses

Ex-Wirecard COO Suspected as Decade-Long Russian Agent (wsj.com) 23

Soon after payment-processing giant Wirecard reported in June 2020 that nearly $2 billion had gone missing from its balance sheet, its chief operating officer Jan Marsalek boarded a private jet out of Austria. After a landing in Belarus, he was whisked by car to Moscow, where he got a Russian passport under an assumed name. Western intelligence and security officials now say they have reached the unsettling conclusion that Marsalek had likely been a Russian agent for nearly a decade. From a report: Marsalek already stands accused of stealing hundreds of millions of dollars from investors. Following multiple international investigations, officials from intelligence, police and judiciary agencies in several countries now say the 43-year-old native of Austria used his defunct payments company to illegally help Russian spy agencies move money to fund covert operations around the world.

One of the most wanted men in the world, Marsalek has also provided assistance to the mercenary organization of Yevgeny Prigozhin, the late Russian warlord, and is now involved in the reconfiguration of his business empire in Africa on behalf of Russian officials from his new domicile in Dubai, according to Western intelligence. Wirecard got its start processing payments for pornography websites on its way to becoming an Internet finance behemoth. During its heyday, the company claimed to process $140 billion of transactions a year on behalf of a quarter million businesses, making it a rival of Square and PayPal. It was briefly valued at more than any German bank. Former associates remember Marsalek as a bon vivant who at one point rented a Munich mansion for 35,000 euros, or $38,000, a month. He was making millions of dollars a year in salary and crisscrossing the globe in private jets. He was also obsessed with the cloak-and-dagger world of espionage, often intimating that he had connections with intelligence officers, they say -- claims many dismissed as bluster.

Businesses

FTC is Investigating Adobe Over Its Rules for Canceling Software Subscriptions (fortune.com) 18

Adobe said US regulators are probing the company's cancellation rules for software subscriptions, an issue that has long been a source of ire for customers. From a report: The company has been cooperating with the Federal Trade Commission on a civil investigation of the issue since June 2022, Adobe said Wednesday in a filing. A settlement could involve "significant monetary costs or penalties," the company said.

Users of Adobe programs including Photoshop and Premiere have long complained about the expense of canceling a subscription, which can cost more than $700 annually for individuals. Subscribers must cancel within two weeks of buying a subscription to receive a full refund; otherwise, they incur a prorated penalty. Some other digital services such as Spotify and Netflix don't charge a cancellation fee. Digital subscriptions have been a recent focus for the FTC. It proposed a rule in March that consumers must be able to cancel subscriptions as easily as they sign up for them.

"Too often, companies make it difficult to unsubscribe from a service, wasting Americans' time and money on things they may not want or need," President Joe Biden said in a social media post at the time. Adobe said the FTC alerted the company in November that commission staff say "they had the authority to enter into consent negotiations to determine if a settlement regarding their investigation of these issues could be reached. We believe our practices comply with the law and are currently engaging in discussion with FTC staff."

AI

Science Fiction and Fantasy Writers Take Aim At AI Freeloading (torrentfreak.com) 73

An anonymous reader quotes a report from TorrentFreak: Members of the Science Fiction and Fantasy Writers Association have no trouble envisioning an AI-centered future, but developments over the past year are reason for concern. The association takes offense when AI models exploit the generosity of science fiction writers, who share their work without DRM and free of charge. [...] Over the past few months, we have seen a variety of copyright lawsuits, many of which were filed by writers. These cases target ChatGPT's OpenAI but other platforms are targeted as well. A key allegation in these complaints is that the AI was trained using pirated books. For example, several authors have just filed an amended complaint against Meta, alleging that the company continued to train its AI on pirated books despite concerns from its own legal team. This clash between AI and copyright piqued the interest of the U.S. Copyright Office which launched an inquiry asking the public for input. With more than 10,000 responses, it is clear that the topic is close to the hearts of many people. It's impossible to summarize all opinions without AI assistance, but one submission stood out to us in particular; it encourages the free sharing of books while recommending that AI tools shouldn't be allowed to exploit this generosity for free.

The submission was filed by the Science Fiction and Fantasy Writers Association (SFWA), which represents over 2,500 published writers. The association is particularly concerned with the suggestion that its members' works can be used for AI training under a fair use exception. SFWA sides with many other rightsholders, concluding that pirated books shouldn't be used for AI training, adding that the same applies to books that are freely shared by many Science Fiction and Fantasy writers. [...] Many of the authors strongly believe that freely sharing stories is a good thing that enriches mankind, but that doesn't automatically mean that AI has the same privilege if the output is destined for commercial activities. The SFWA stresses that it doesn't take offense when AI tools use the works of its members for non-commercial purposes, such as research and scholarship. However, turning the data into a commercial tool goes too far.

AI freeloading will lead to unfair competition and cause harm to licensing markets, the writers warn. The developers of the AI tools have attempted to tone down these concerns but the SFWA is not convinced. [...] The writers want to protect their rights but they don't believe in the extremely restrictive position of some other copyright holders. They don't subscribe to the idea that people will no longer buy books because they can get the same information from an AI tool, for example. However, authors deserve some form of compensation. SFWA argues that all stakeholders should ultimately get together to come up with a plan that works for everyone. This means fair compensation and protection for authors, without making it financially unviable for AI to flourish.
"Questions of 'how' and 'when' and 'how much money' all come later; first and foremost the author must have the right to say how their work is used," their submission reads.

"So long as authors retain the right to say 'no' we believe that equitable solutions to the thorny problems of licensing, scale, and market harm can be found. But that right remains the cornerstone, and we insist upon it," SFWA concludes.
Businesses

OpenAI's Nonprofit Arm Showed Revenue of $45,000 Last Year (cnbc.com) 20

Despite being valued at $86 billion by private investors, OpenAI reported $44,485 in revenue in 2022, almost entirely from investment income. CNBC reports: That's from the nonprofit parent's 990 filing with the Internal Revenue Service, a form that has to be filled out by organizations wishing to maintain their tax-exempt status. Federal standards don't require audited financial statements from nonprofits. In its home state of California, OpenAI was able to avoid submitting audited financials for 2022 because the foundation's stated revenue was below the $2 million reporting threshold. The last time OpenAI filed with the state was 2017, when revenue was $33.2 million, or more than 700 times what the foundation reported for 2022.

For all its talk of openness, OpenAI's financials remain a black box. Created as a nonprofit in 2015, OpenAI launched a so-called capped-profit entity in 2019, enabling it to raise billions of dollars in outside funding and attain attributes of a tech startup, such as the ability to hand out equity to employees. The for-profit side of the house went on to develop ChatGPT, the chatbot that took the world by storm late last year and kicked off the generative AI boom. [...]

Thad Calabrese, a professor of public and nonprofit financial management at New York University, said OpenAI's current status is confusing, and is unlike anything he has seen in the nonprofit world. He said OpenAI could give up its nonprofit status, and he cited the Blue Cross Blue Shield Association, which in 1994 allowed associated nonprofit medical insurance plans to switch into for-profit entities. "There's no real need to have the nonprofit," Calabrese said. "If you want to be a startup, be a startup." Regarding OpenAI's reporting with the IRS, he said "fundamentally you can't really get a holistic sense of these organizations when you don't have consolidated financial statements."

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