Reading view

Delta’s AI spying to “jack up” prices must be banned, lawmakers say

One week after Delta announced it is expanding a test using artificial intelligence to charge different prices based on customers' personal data—which critics fear could end cheap flights forever—Democratic lawmakers have moved to ban what they consider predatory surveillance pricing.

In a press release, Reps. Greg Casar (D-Texas) and Rashida Tlaib (D-Mich.) announced the Stop AI Price Gouging and Wage Fixing Act. The law directly bans companies from using "surveillance-based" price or wage setting to increase their profit margins.

If passed, the law would allow anyone to sue companies found unfairly using AI, lawmakers explained in what's called a "one-sheet." That could mean charging customers higher prices—based on "how desperate a customer is for a product and the maximum amount a customer is willing to pay"—or paying employees lower wages—based on "their financial status, personal associations, and demographics."

Read full article

Comments

© Hongwei Jiang | iStock / Getty Images Plus

  •  

Skydance deal allows Trump’s FCC to “censor speech” and “silence dissent” on CBS

The Federal Communications Commission has approved Skydance's $8 billion acquisition of Paramount, which owns CBS.

But the agency's approval drew fiery dissent from the only Democratic commissioner, Anna Gomez, after requiring written commitments from Skydance that allow the government to influence editorial decisions at CBS. Gomez accused the FCC of "imposing never-before-seen controls over newsroom decisions and editorial judgment, in direct violation of the First Amendment and the law."

Under the agreement, FCC Chairman Brendan Carr explained that Skydance has given assurances that all of the new company’s programming will embody "a diversity of viewpoints from across the political and ideological spectrum." Carr claimed that the requirements were necessary to restore Americans' trust in mainstream media, backing conservatives' claims that media is biased against Trump and appointing an ombudsman for two years to ensure that CBS's reporting "will be fair, unbiased, and fact-based." Any complaints of bias that the ombudsman receives will be reviewed by the president of New Paramount, the FCC confirmed.

Read full article

Comments

© Anadolu / Contributor | Anadolu

  •  

Trump, who promised to save TikTok, threatens to shut down TikTok

Donald Trump vowed to save TikTok before taking office, claiming only he could make a deal to keep the app operational in the US despite national security concerns.

But then, he put Vice President JD Vance in charge of the deal, and after months of negotiations, the US still doesn't seem to have found terms for a sale that the Chinese government is willing to approve. Now, Trump Commerce Secretary Howard Lutnick has confirmed that if China won't approve the latest version of the deal—which could result in a buggy version of TikTok made just for the US—the administration is willing to shut down TikTok. And soon.

On Thursday, Lutnick told CNBC that TikTok would stop operating in the US if China and TikTok owner ByteDance won't sell the app to buyers that Trump lined up, along with control over TikTok's algorithm.

Read full article

Comments

© NurPhoto / Contributor | NurPhoto

  •  

Trump’s order to make chatbots anti-woke is unconstitutional, senator says

The CEOs of every major artificial intelligence company received letters Wednesday urging them to fight Donald Trump's anti-woke AI order.

Trump's executive order requires any AI company hoping to contract with the federal government to jump through two hoops to win funding. First, they must prove their AI systems are "truth-seeking"—with outputs based on "historical accuracy, scientific inquiry, and objectivity" or else acknowledge when facts are uncertain. Second, they must train AI models to be "neutral," which is vaguely defined as not favoring DEI (diversity, equity, and inclusion), "dogmas," or otherwise being "intentionally encoded" to produce "partisan or ideological judgments" in outputs "unless those judgments are prompted by or otherwise readily accessible to the end user."

Announcing the order in a speech, Trump said that the US winning the AI race depended on removing allegedly liberal biases, proclaiming that "once and for all, we are getting rid of woke."

Read full article

Comments

© Chip Somodevilla / Staff | Getty Images News

  •  

Trump to sign stablecoin bill that may make it easier to bribe the president

Donald Trump is expected to sign the GENIUS Act into law Friday, securing his first big win as a self-described "pro-crypto president." The act is the first major piece of cryptocurrency legislation passed in the US.

The House of Representatives voted to pass the GENIUS Act on Thursday, approving the same bill that the Senate passed last month. The law provides a federal framework for stablecoins, a form of cryptocurrency that's considered less volatile than other cryptocurrencies, as each token is backed by the US dollar or other supposedly low-risk assets.

The GENIUS Act is expected to spur more widespread adoption of cryptocurrencies, since stablecoins are often used to move funds between different tokens. It could become a gateway for many Americans who are otherwise shy about investing in cryptocurrencies, which is what the industry wants. Ahead of Thursday's vote, critics had warned that Republicans were rushing the pro-industry bill without ensuring adequate consumer protections, though, seemingly setting Americans up to embrace stablecoins as legitimate so-called "cash of the blockchain" without actually insuring their investments.

Read full article

Comments

© Bloomberg / Contributor | Bloomberg

  •  

Cocky cop jailed for stealing bitcoins had log of his crypto theft in his office

A former cop in the United Kingdom was sentenced to five and a half years in prison Wednesday after pleading guilty to covering up his theft of 50 bitcoins seized during an investigation into the now-defunct illicit dark web marketplace Silk Road.

In 2014, the former UK National Crime Agency (NCA) officer, Paul Chowles, assisted in the arrest of Thomas White, a man "who had launched Silk Road 2.0 less than a month after the FBI had shut down the original site in 2013," the Crown Prosecution Service (CPS) said in a press release.

Chowles was tapped to analyze and extract "relevant data and cryptocurrency" from White's seized devices, specifically due to Chowles' reputation for being "technically minded and very aware of the dark web and cryptocurrencies," CPS said.

Read full article

Comments

© Paul Chowles via CPS.gov.UK

  •  

Will AI end cheap flights? Critics attack Delta’s “predatory” AI pricing.

Delta has become the first airline to announce that it is using AI to boost profits by personalizing pricing through a pilot program that for months has caused customers to pay different prices for the same flights based on their data profile.

Critics have warned that this use of AI goes beyond airline practices that charge people who book flights ahead less than people who book flights at the last minute—and could ultimately mean the end of cheap flights across the board if other airlines follow.

On an earnings call last week, Delta Air Lines President Glen William Hauenstein confirmed that seats on about 3 percent of domestic flights were sold using the AI pricing system over the past six months. By the end of the year, Delta's goal is to boost that to 20 percent of tickets.

Read full article

Comments

© baona | iStock / Getty Images Plus

  •  

GOP’s pro-industry crypto bills could financially ruin millions, lawmaker warns

It's "Crypto Week" in Congress, and experts continue to warn that legislation Donald Trump wants passed quickly could give the president ample opportunities to grift while leaving Americans more vulnerable to scams and financial ruin.

Perhaps most controversial of the bills is the one that's closest to reaching Trump's desk, the GENIUS Act, which creates a framework for banks and private companies to issue stablecoins. After passing in the Senate last month, the House of Representatives is hoping to hold a vote as soon as Thursday, insiders told Politico.

Stablecoins are often hyped as a more reliable form of cryptocurrency, considered the "cash of the blockchain" because their value can be pegged to the US dollar, Delicia Hand, Consumer Reports' senior director monitoring digital marketplaces, told Ars.

Read full article

Comments

© OsakaWayne Studios | Moment

  •  

Cops’ favorite AI tool automatically deletes evidence of when AI was used

On Thursday, a digital rights group, the Electronic Frontier Foundation, published an expansive investigation into AI-generated police reports that the group alleged are, by design, nearly impossible to audit and could make it easier for cops to lie under oath.

Axon's Draft One debuted last summer at a police department in Colorado, instantly raising questions about the feared negative impacts of AI-written police reports on the criminal justice system. The tool relies on a ChatGPT variant to generate police reports based on body camera audio, which cops are then supposed to edit to correct any mistakes, assess the AI outputs for biases, or add key context.

But the EFF found that the tech "seems designed to stymie any attempts at auditing, transparency, and accountability." Cops don't have to disclose when AI is used in every department, and Draft One does not save drafts or retain a record showing which parts of reports are AI-generated. Departments also don't retain different versions of drafts, making it difficult to assess how one version of an AI report might compare to another to help the public determine if the technology is "junk," the EFF said. That raises the question, the EFF suggested, "Why wouldn't an agency want to maintain a record that can establish the technology’s accuracy?"

Read full article

Comments

© koya79 | iStock / Getty Images Plus

  •  

Cloudflare wants Google to change its AI search crawling. Google likely won’t.

After Cloudflare started testing new features that would allow websites to block AI crawlers or require payment for scraping, the tech company immediately faced questions over the logistics of the plan.

In particular, website owners and SEO experts wanted to know how Cloudflare planned to block Google's bot from scraping sites to fuel AI overviews without risking blocking the same bot from crawling for valuable search engine placements.

Last week, a travel blogger raised questions about the blocking and so-called pay-per-crawl features and pushed Cloudflare CEO Matthew Prince to respond on X (formerly Twitter):

Read full article

Comments

© Sundry Photography | iStock Editorial / Getty Images Plus

  •  

Linda Yaccarino quits X without saying why, one day after Grok praised Hitler

Linda Yaccarino has announced she is stepping down as CEO of X, one day after the platform was forced to take action to stop its chatbot Grok from praising Hitler and amplifying harmful antisemitic stereotypes.

In her announcement, Yaccarino does not mention Grok or any reason for her departure. Instead, Yaccarino broke down what she views as her greatest accomplishments over two years at X, taking credit for helping X "turn around" its financial woes while thanking X owner Elon Musk for giving her "the opportunity of a lifetime."

"I’m immensely grateful to him for entrusting me with the responsibility of protecting free speech, turning the company around, and transforming X into the Everything App," Yaccarino said.

Read full article

Comments

© NurPhoto / Contributor | NurPhoto

  •  

xAI data center gets air permit to run 15 turbines, but imaging shows 24 on site

After months of backlash over alleged pollution concerns, xAI has finally secured an air permit covering some of the methane gas turbines powering its Colossus supercomputer data center in Memphis, Tennessee.

On Wednesday, the Shelby County Health Department granted xAI an air permit that allows it to power 15 gas turbines while adhering to a range of restrictions designed to minimize emissions. Expiring on January 2, 2027, the permit requires xAI to install and operate the best available control technology (BACT) by September 1 to ensure emissions do not exceed certain limits.

Any failure to comply could trigger enforcement actions by the Environmental Protection Agency or the county health department, the permit notes.

Read full article

Comments

© Satellite image via the Southern Environmental Law Center

  •  

Everything that could go wrong with X’s new AI-written community notes

Elon Musk's X arguably revolutionized social media fact-checking by rolling out "community notes," which created a system to crowdsource diverse views on whether certain X posts were trustworthy or not.

But now, the platform plans to allow AI to write community notes, and that could potentially ruin whatever trust X users had in the fact-checking system—which X has fully acknowledged.

In a research paper, X described the initiative as an "upgrade" while explaining everything that could possibly go wrong with AI-written community notes.

Read full article

Comments

© Moor Studio | DigitalVision Vectors

  •  

NYT to start searching deleted ChatGPT logs after beating OpenAI in court

Last week, OpenAI raised objections in court, hoping to overturn a court order requiring the AI company to retain all ChatGPT logs "indefinitely," including deleted and temporary chats.

But Sidney Stein, the US district judge reviewing OpenAI's request, immediately denied OpenAI's objections. He was seemingly unmoved by the company's claims that the order forced OpenAI to abandon "long-standing privacy norms" and weaken privacy protections that users expect based on ChatGPT's terms of service. Rather, Stein suggested that OpenAI's user agreement specified that their data could be retained as part of a legal process, which Stein said is exactly what is happening now.

The order was issued by magistrate judge Ona Wang just days after news organizations, led by The New York Times, requested it. The news plaintiffs claimed the order was urgently needed to preserve potential evidence in their copyright case, alleging that ChatGPT users are likely to delete chats where they attempted to use the chatbot to skirt paywalls to access news content.

Read full article

Comments

© Pakorn Supajitsoontorn | iStock / Getty Images Plus

  •  

Judge: Pirate libraries may have profited from Meta torrenting 80TB of books

Now that Meta has largely beaten an AI training copyright lawsuit raised by 13 book authors—including comedian Sarah Silverman and Pulitzer Prize-winning author Junot Diaz—the only matter left to settle in that case is whether Meta violated copyright laws by torrenting books used to train Llama models.

In an order that partly grants Meta's motion for summary judgment, judge Vince Chhabria confirmed that Meta and the authors would meet on July 11 to "discuss how to proceed on the plaintiffs’ separate claim that Meta unlawfully distributed their protected works during the torrenting process."

Chhabria's order suggested that authors may struggle to win this part of the fight, too, due to a lack of evidence, as there has not yet been much discovery on this issue that was raised so late in the case. But he also warned that Meta was wrong to argue its torrenting was completely "irrelevant" to whether its copying of books was fair use.

Read full article

Comments

© VectorUp | iStock / Getty Images Plus

  •  

Key fair use ruling clarifies when books can be used for AI training

Artificial intelligence companies don't need permission from authors to train their large language models (LLMs) on legally acquired books, US District Judge William Alsup ruled Monday.

The first-of-its-kind ruling that condones AI training as fair use will likely be viewed as a big win for AI companies, but it also notably put on notice all the AI companies that expect the same reasoning will apply to training on pirated copies of books—a question that remains unsettled.

In the specific case that Alsup is weighing—which pits book authors against Anthropic—Alsup found that "the purpose and character of using copyrighted works to train LLMs to generate new text was quintessentially transformative" and "necessary" to build world-class AI models.

Read full article

Comments

© CookiesForDevo | iStock / Getty Images Plus

  •  

Judge denies creating “mass surveillance program” harming all ChatGPT users

After a court ordered OpenAI to "indefinitely" retain all ChatGPT logs, including deleted chats, of millions of users, two panicked users tried and failed to intervene. The order sought to preserve potential evidence in a copyright infringement lawsuit raised by news organizations.

In May, Judge Ona Wang, who drafted the order, rejected the first user's request on behalf of his company simply because the company should have hired a lawyer to draft the filing. But more recently, Wang rejected a second claim from another ChatGPT user, and that order went into greater detail, revealing how the judge is considering opposition to the order ahead of oral arguments this week, which were urgently requested by OpenAI.

The second request to intervene came from a ChatGPT user named Aidan Hunt, who said that he uses ChatGPT "from time to time," occasionally sending OpenAI "highly sensitive personal and commercial information in the course of using the service."

Read full article

Comments

© Yurii Karvatskyi | iStock / Getty Images Plus

  •  

To avoid admitting ignorance, Meta AI says man’s number is a company helpline

Anyone whose phone number is just one digit off from a popular restaurant or community resource has long borne the burden of either screening or redirecting misdials. But now, AI chatbots could exacerbate this inconvenience by accidentally giving out private numbers when users ask for businesses' contact information.

Apparently, the AI helper that Meta created for WhatsApp may even be trained to tell white lies when users try to correct the dissemination of WhatsApp user numbers.

According to The Guardian, a record shop worker in the United Kingdom, Barry Smethurst, was attempting to ask WhatsApp's AI helper for a contact number for TransPennine Express after his morning train never showed up.

Read full article

Comments

© Moor Studio | DigitalVision Vectors

  •  

Senate passes GENIUS Act—criticized as gifting Trump ample opportunity to grift

Critics have long warned that Donald Trump's pro-cryptocurrency push as president, coupled with his links to his family's growing crypto empire, creates substantial conflicts of interest that must be probed.

But so far, nothing has stopped Trump's family from seemingly benefiting from the presidency while expanding their empire. And now, Trump is rushing regulation through Congress that many Democrats fear could create his biggest conflict of interest yet.

On Tuesday, the Senate passed the GENIUS Act, a bill that will regulate stablecoins in the US, establishing guardrails and consumer protections that may spur wider crypto adoption nationwide. Unlike more volatile forms of cryptocurrency—like Trump's controversial memecoin—stablecoins' value can be pegged to the US dollar. The crypto industry is hoping the House of Representatives will quickly send the bill to Trump's desk, which Trump has demanded happen by August.

Read full article

Comments

© Bloomberg / Contributor | Bloomberg

  •  

xAI faces legal threat over alleged Colossus data center pollution in Memphis

After thermal imaging appeared to show that xAI lied about suspected pollution at its Colossus supercomputer data center located near predominantly Black communities in Memphis, Tennessee, the NAACP has threatened a lawsuit accusing xAI of violating the Clean Air Act.

In a letter sent to xAI on Tuesday, lawyers from the Southern Environmental Law Center (SELC) notified xAI of the NAACP's intent to sue in 60 days if xAI refuses to meet to discuss the groups' concerns that xAI is not using the requisite best available pollution controls. To ensure there's time for what the NAACP considers urgently needed negotiations ahead of filing the lawsuit, lawyers asked xAI to come to the table within the next 20 days.

xAI did not respond to Ars' request to comment on the legal threat or accusations that it has become a major source of pollutants in Memphis.

Read full article

Comments

© ©Steve Jones, Flight by Southwings for SELC

  •