Trump Urges Revamped Probes of Foreign Tech Investments in US

U.S. President Donald Trump is pushing Congress to approve legislation that would give the government new ways to review foreign technology investments in the United States to guard against national security threats.

Trump had at first called for imposing limits on Chinese investments in U.S. technology companies and high-tech exports to China, but shifted to urging lawmakers to enhance an existing review process.

He said Wednesday the revamped reviews would give the government the “ability to protect the United States from new and evolving threats posed by foreign investment while also sustaining the strong, open investment environment to which our country is committed and which benefits our economy and our people.”

He said the legislation would give the government “additional tools to combat the predatory investment practices that threaten our critical technology leadership, national security, and future economic prosperity.”

Trump said that if Congress fails to pass the legislation he would use “existing authorities” to conduct global reviews of security threats in technology transactions.

Field to Fingertips: Tech Divide Narrows for World Cup Teams

As gigabytes of data flow from field to fingertips, click by click, the technological divide has been closing between teams at the World Cup.

While the focus has been on the debut of video assistant referees, less obvious technical advances have been at work in Russia and the coaches have control over this area, at least. 

No longer are the flashiest gizmos to trace player movements and gather data the preserve of the best-resourced nations. All World Cup finalists have had an array of electronic performance and tracking systems made available to them by FIFA.

“We pay great attention to these tools,” Poland coach Adam Nawalka said. “Statistics play an important role for us. We analyze our strength and weaknesses.”

The enhanced tech at the teams’ disposal came after football’s law-making body — on the same day in March it approved VAR — approved the use of hand-held electronic and communications equipment in the technical area for tactical and coaching purposes. That allows live conversations between the coaches on the bench and analysts in the stands, a change from the 2014 World Cup when the information gathered from player and ball tracking systems couldn’t be transmitted in real-time from the tribune.

“It’s the first time that they can communicate during the match,” FIFA head of technology Johannes Holzmueller told The Associated Press. “We provide the basic and most important metrics to the teams to be analyzed at the analysis desk. There they have the opportunity either to use the equipment provided by FIFA or that they use their own.”

The KPI — key performance indicators — fed by tracking cameras and satellites provide another perspective when coaches make judgments on substitutions or tactical switches if gaps exposed on the field are identified.

“These tools are very practical, they give us analysis, it’s very positive,” Colombia coach Jose Pekerman said. “They provide us with insight. They complement the tools we already have. It improves our work as coaches, and it will help footballers too. I think technologies are a very positive thing.”

 It’s not just about success in games. Player welfare can be enhanced with high-tech tools to assess injuries in real time allowed for use by medics at this World Cup. Footage of incidents can now be evaluated to supplement any on-field diagnosis, particularly concussion cases.

A second medic “can review very clearly, very concretely what happened on the field, what the doctor sitting on the bench perhaps could not see,” FIFA medical committee chairman Michel D’Hooghe said.

Pekerman is pleased “football is advancing very quickly.” Too quickly, though, for some coaches who are more resistant to the growing role for machines rather than the mind. 

“Football is evolving and these tools help us on the tactical and physiological side,” Senegal coach Senegal coach Aliou Cisse said. “We do look at it with my staff, but it doesn’t really have an impact on my decision making.”

Hernan Dario Gomez, coach of World Cup newcomer Panama, has reviewed the data feeds. But ultimately the team has been eliminated in the group stage after facing superior opponents.

“This is obviously very important information, but not more important than the actual players,” Gomez said. “We think first and foremost about the players and the teamwork that is done.”

 The data provided on players by FIFA is still reliant the quality of analysts interpreting it.

 “You can have millions of data points, but what are you doing with it?” Holzmueller said. “At the end even if you’re not such a rich country you could have a very, very clever good guy who is the analyst who could get probably more out of it than a country of 20 analysts if they don’t know really how they should read the data and what they should do with it.

“So it’s really up to each team and also up to each coach because we realize that for some coaches they say, ‘Look I have a gut feeling … I don’t need this information.’”

FIFA is happy with that. The governing body’s technical staff — the side often eclipsed by the high-profile members of the ruling-council — will continue to innovate. 

But artificial intelligence isn’t taking over. For some time, at least.

“People think now it’s all driven by computers,” Holzmueller said.  “We don’t want that at FIFA.”

Robotics Engineer Barbie Joins Girls Who Code

Barbie, the world’s most iconic doll, is venturing into coding skills in her latest career as a robotics engineer.

The new doll, launched Tuesday, aims to encourage girls as young as seven to learn real coding skills, thanks to a partnership with the kids game-based computing platform Tynker, toymaker Mattel said.

Robotics engineer Barbie, dressed in jeans, a graphic T-shirt and denim jacket and wearing safety glasses, comes with six free Barbie-inspired coding lessons designed to teach logic, problem solving and the building blocks of coding.

The lessons, for example, show girls how to build robots, get them to move at a dance party, or do jumping jacks.

According to U.S. Department of Commerce statistics, 24 percent of STEM (Science, Technology, Engineering, Math) jobs were held by women in 2017.

Barbie has held more than 200 careers in her almost 60-year life, including president, video game developer and astronaut.

Tynker co-founder Krishna Vedati said in a statement that the company’s mission to empower youth worldwide made Barbie an ideal partner “to help us introduce programming to a large number of kids in a fun engaging way.”

Watch Tynker promotional video:

Former US Defense Official Says Google Has Stepped Into a ‘Moral Hazard’

A former top U.S. Defense Department official is questioning the morality of Google’s decision not to renew a partnership with the Pentagon.

“I believe the Google employees have created a moral hazard for themselves,” former Deputy Defense Secretary Bob Work said Tuesday.

Google announced earlier this month that it would not renew its contract for Project Maven, after 13 employees resigned and more than 4,600 employees signed a petition objecting to their work being used for warfare.

Project Maven seeks to use artificial intelligence, or AI, to help detect and identify images captured using drones.

Many of the Google employees who objected to the project cited Google’s principle of ensuring its products are not used to do harm. But Work, who served as deputy defense secretary from 2014 through July 2017, described Google’s thinking as short-sighted. “It might wind up with us taking a shot, but it could easily save lives” he told an audience at the Defense One Tech Summit in Washington.

Work also described Google as hypocritical, given the company’s endeavors with other countries, such as China. “Google has opened an AI [artificial intelligence] center in China,” he said. “Anything that’s going on in the AI center in China is going to the Chinese government and then will ultimately end up in the hands of the Chinese military.”

The Pentagon’s Project Maven was approved under Work’s watch in 2016 had an initial budget of about $70 million. Google officials had told employees the company was earning less than $10 million, though the deal could lead to additional work.

Current military officials have declined to comment on Google’s decision to not renew the contract, explaining the tech giant is not the main contractor.

“It would not be appropriate for us to comment on the relationship between a prime and sub-prime contractor holder,” Pentagon spokeswoman, Maj. Audricia Harris told VOA in an email.

“We value all of our relationships with academic institutions and commercial companies involved with Project Maven,” she added. “Partnering with the best universities and commercial companies in the world will help preserve the United States’ critical lead in artificial intelligence.” VOA has asked Google for a response, but has received no reply.

While declining to comment directly on Google and Project Maven, the executive director of the Defense Innovation Board said the hope is that, eventually, ethical consideration will push tech companies to work with the military.

“AI [artificlal intelligence] done properly is really, really dangerous,” said Josh Marcuse “We want to work with these companies, these engineers.”

“We are going to have to defend these democracies against adversaries or competitors who see the world every differently,” he said at the same conference in Washington as Work. “I don’t want to show up with a dumb weapon on a smart battlefield.”

But experts say questions of ethics and business viability are likely to continue to plague Google and otherbig tech companies who are asked to work with the Pentagon.

“Their customer base is not just the United States,” said Heather Roff with the Leverhulme Centre for the Future of Intelligence at the University of Cambridge. “Aiding the U.S. defense industry will potentially hinder their economic success or viability in other countries.”

Still, Paul Scharre, a former Defense Department official who worked on emerging technologies, said he was disappointed by Google’s decision.

“There are weapons companies that build weapons – I understand why Google might not want to be part of that,” said Scharre, now with the Center for a New American Security.

“I don’t think Project Maven crosses the line at all,” he added. “It’s clearly not a weapons technology. It’s helping people better understand the battle space. If you are only worried about civilian and collateral damage that’s only good.”

VOA’s Michelle Quinn contributed to this report. Some information from Reuters was used in this report.

Police: Backup Driver in Fatal Uber Crash Was Distracted

The human backup driver in an autonomous Uber SUV was streaming the television show “The Voice” on her phone and looking downward just before fatally striking a pedestrian in suburban Phoenix, according to a police report.

The 300-page report released Thursday night by police in Tempe revealed that driver Rafaela Vasquez had been streaming the musical talent show via Hulu in the 43 minutes before the March 18 crash that killed Elaine Herzberg as she crossed a darkened road outside the lines of a crosswalk. The report said the crash, which marks the first fatality involving a self-driving vehicle, wouldn’t have happened had the driver not been distracted.

Dash camera video shows Vasquez was looking down near her right knee for four or five seconds before the crash. She looked up a half second before striking Herzberg as the Volvo was traveling about 44 miles per hour.

Vasquez told police Herzberg “came out of nowhere” and that she didn’t see her prior to the collision. But officers calculated that had Vasquez been paying attention, she could have reacted 143 feet before impact and brought the SUV to a stop about 42.6 feet before hitting Herzberg.

“This crash would not have occurred if Vasquez would have been monitoring the vehicle and roadway conditions and was not distracted,” the report stated.

Tempe police are looking at a vehicular manslaughter charge in the crash, according to a March 19 affidavit filed to get a search warrant for audio, video and data stored in the Uber SUV.

 

 The detective seeking the warrant, identified as J. Barutha, wrote that based on information from the vehicular homicide unit, “it is believed that the crime of vehicular manslaughter has occurred and that evidence of this offense is currently located in a 2017 Grey Volvo XC-90.”

A previously released video of the crash showed Vasquez looking down just before the crash. She had a startled look on her face about the time of the impact.

The National Transportation Safety Board, in a preliminary report issued last month, said the autonomous driving system on Uber’s Volvo XC-90 SUV spotted Herzberg about six seconds before hitting her, but did not stop because the system used to automatically apply brakes in potentially dangerous situations had been disabled.

The system is disabled while Uber’s cars are under computer control, “to reduce the potential for erratic vehicle behavior,” the NTSB report said. Instead of the system, Uber relies on the human backup driver to intervene, the report stated. But the system is not designed to alert the driver.

Uber pulled its self-driving cars out of Arizona the day before the NTSB report was released, eliminating the jobs of about 300 people who served as backup drivers and performed other jobs connected to the vehicles. The company had suspended testing of its self-driving vehicles in Arizona, Pittsburgh, San Francisco and Toronto while regulators investigated the cause of the crash. Arizona Gov. Doug Ducey prohibited Uber from continuing its tests of self-driving cars after Herzberg was run over.

Police initially determined that Vasquez was not impaired after giving her a field test.

Analysis of video taken from the vehicle shows Vasquez looked downward 204 times in the 11.8 miles traveled before the crash. While the SUV was in motion, Vasquez averted her eyes away from the roadway nearly a third of the time, according to the report.

“Sometimes, her face appears to react and show a smirk or laugh at various points during the times that she is looking down,” the report said. “Her hands are not visible in the frame of the video during these times.”

The office of Cristina Perez Hesano, an attorney for Herzberg’s daughter and husband, declined to comment on the police report. Attorney Pat McGroder, who represents Herzberg’s mother, father and son, didn’t immediately respond to a call late Friday morning seeking comment.

An Uber spokeswoman said in a prepared statement Friday morning that the company is cooperating with investigations while it does an internal safety review. “We have a strict policy prohibiting mobile device usage for anyone operating our self-driving vehicles. We plan to share more on the changes we’ll make to our program soon,” the statement said.

Use of a mobile device while an autonomous vehicle is moving is a fireable offense, and “this is emphasized on an ongoing basis,” the statement said.

After the crash, the ride-hailing company said it did a top-to-bottom safety evaluation, reviewing internal processes and safety culture. Uber also said it brought in former transportation safety board chairman Christopher Hart to advise the company on safety.

Both Vasquez and Uber could still face civil liability in the case, Uber for potentially negligent hiring, training and supervision, said Bryant Walker Smith, a University of South Carolina law professor who closely follows autonomous vehicles.

Vasquez could be charged criminally, and if there’s evidence that Uber or its employees acted recklessly, then charges against them are possible, Smith said. But charges against the company are not likely, he added.

“This should not have happened in so many ways and on so many levels,” Smith said. “This report, if true, makes things worse. And obviously it would not look good to a jury.”

Uber settled quickly with some of Herzberg’s family members but others have retained legal counsel.

The Yavapai County Attorney’s Office hasn’t set a deadline for deciding whether to bring charges, said Penny Cramer, assistant to County Attorney Sheila Polk. The prosecutorial agency declined to comment on the police report.

The case was handed to Polk’s office after the prosecutor’s office in metro Phoenix passed on the case, citing a potential conflict of interest. The agency in Phoenix had previously participated in a public-safety campaign with Uber.

On a body camera video the night of the crash, police gathered at the scene quickly realized that they were dealing with a big story because an autonomous vehicle was involved.

An officer who identifies himself as supervisor of the unit that investigates fatal crashes is seen asking a man who appears to be an Uber supervisor about getting video from the SUV and whether Uber’s lawyers have been contacted.

“You guys know as well as I know that this is going to be an international story,” the police supervisor says. “We want to make sure that we’re doing not only what we normally do and not doing anything different, but also making sure that everything’s above board and everything’s out in the open.”

The supervisor goes on to say that he’s going to communicate as honestly as he can. “I hope that you guys do the same because we’re going to be working together throughout this whole process from now, probably for months from now.”

Intel CEO Resigns After Probe Into Relationship With Employee

Intel Corp Chief Executive Brian Krzanich resigned on Thursday after a probe found his consensual relationship with an employee violated company policy.

The head of the largest U.S. chipmaker is the latest in a line of powerful men in business and politics to lose their jobs or resign over relationships viewed as inappropriate, a phenomenon highlighted by the #MeToo movement.

“An ongoing investigation by internal and external counsel has confirmed a violation of Intel’s non-fraternization policy, which applies to all managers,” Intel said in a statement.

The board named Chief Financial Officer Robert Swan as interim CEO and said it has begun a search for a permanent CEO, including both internal and external candidates.

Intel declined to give any further information about the probe. Intel shares fell 1.5 percent in early trade.

Wall Street took Krzanich’s unexpected departure in stride.

“Although we respect Krzanich’s efforts in redirecting Intel’s strategy from a computer-centric to a data-centric company, we view Intel as a process-driven company with a deep bench of CEO candidates that can continue to drive the corporate strategy,” said Kevin Cassidy, an analyst at Stifel.

Krzanich, 58, was appointed Intel CEO in May 2013, and was in charge of moving the company’s focus to growing data centers from personal computers. Intel shares more than doubled during his tenure.

He was recently credited with containing the fallout from the disclosure of some security flaws in the company’s chips that could allow hackers to steal data from computers, although his sale of some Intel stock before the flaws were disclosed to investors attracted some criticism.

“There are no new payments as part of his departure,” a source familiar with the company told Reuters.

Temporary replacement Swan has been Intel’s CFO since October 2016 and previously spent nine years as CFO of eBay Inc.

Intel on Thursday raised its second-quarter revenue and profit forecast, saying it expects quarterly revenue of about $16.9 billion and adjusted profit of about 99 cents per share, up from a previous forecast of $16.3 billion in revenue and adjusted earnings per share of 85 cents.

Analysts on average were expecting revenue of $16.29 billion and adjusted profit of 85 cents per share.

Instagram Announces Video Expansion

Social media app Instagram announced Wednesday that it would be increasing its time limit for videos posted on its platform from one minute to 10 minutes, as part of a general expansion of the app’s video capabilities.

The photo-sharing app also announced it would be launching a stand-alone app called IGTV to host these long-form videos. The app will be available this week, according to technology website, The Verge.

“When you watch longer video, you need a different context,” Instagram co-founder and CEO Kevin Systrom told The Verge. “We really wanted to separate those two, so you could choose which adventure you wanted to go down.”

The longer videos will also be available through a tab in the original Instagram application. Accounts with wide audiences will be able to post videos of up to an hour.

The update comes as Instagram, which Facebook bought in 2012 for $1 billion — is looking to compete with fellow video platform YouTube for young users.

Google bought YouTube in 2006 for $1.65 billion. Since then, the video-sharing website has ballooned to a user base of 1.8 billion, becoming a platform for aspiring content creators looking to strike it big.

Systrom told The Associated Press he hoped his app would gain similar success with the IGTV update. At a release event for the app Wednesday, the company announced IGTV now had over 1 billion users.

The IGTV app will function similar to television. Videos will begin playing as soon as the user opens the app and will fill be full-screen vertically — contrasting with YouTube, which requires users to turn their phones horizontally for full-screen capabilities.

Facebook announced Tuesday it would be launching a series of interactive shows on its own video outlet, Facebook Watch.

Amazon, Buffett, JPMorgan Pick Gawande to Lead Health Firm

Amazon, JPMorgan Chase and Berkshire Hathaway have picked well-known author and Harvard professor Dr. Atul Gawande to transform the health care they give their employees.

The three corporate titans said Wednesday that Gawande will lead an independent company focused on a mission they announced earlier this year: figure out ways to improve a broken and often inefficient system for delivering care.

Health care researchers have said any possible solutions produced by this new venture will be felt well beyond the estimated 1 million workers the three companies employ in the United States. Other businesses that provide employee health coverage are eager to find solutions for health care costs that often rise faster than inflation and squeeze their budgets in the process.

Berkshire Chairman and CEO Warren Buffett has described health costs as a “hungry tapeworm on the American economy.”

Leaders of the three companies have said little about how their Boston-based venture plans to tackle this problem, but they have noted that it will take time to figure out solutions, a point they emphasized again on Wednesday.

“We said at the outset that the degree of difficulty is high and success is going to require an expert’s knowledge, a beginner’s mind, and a long-term orientation,” Amazon CEO Jeff Bezos said in a prepared statement. “[Gawande] embodies all three, and we’re starting strong as we move forward in this challenging and worthwhile endeavor.”

Employer-sponsored insurance covers about 157 million people, according to the Kaiser Family Foundation. That’s nearly half the total U.S. population and the biggest slice of the country’s patchwork health insurance market.

Neither companies nor many of their employees are happy with how the system currently works. Employers have reacted in part to rising expenses by raising deductibles and other costs, asking their workers to pay more of the bill and to shop around for better deals. Many patients, especially the sickest, struggle with that.

Gawande is surgeon and professor at both Harvard’s Medical School and its T.H. Chan School of Public Health. He said in a statement Wednesday that he has devoted his career in public health to building solutions for better care delivery, and that while the current system is broken, “better is possible.”

The consortium’s leaders have said they aren’t looking for a quick fix. JPMorgan Chase Chairman and CEO Jamie Dimon said during an appearance on CNBC earlier this month that fraud in the system, high administrative costs and the overuse and underuse of some drugs are among the many complications that must be improved.

The three companies said in late January that their new venture will focus on technology that provides simplified, high-quality and transparent care.

Amazon’s participation and customer-first focus will be crucial, according to Brian Marcotte, CEO of the National Business Group on Health, a nonprofit that represents large employers.

He noted that employers already offer ways to help patients shop for care or see a doctor remotely through telemedicine. But people don’t use this technology unless they need it, so they haven’t grown comfortable with it.

That could change if they go through a well-known platform like Amazon, which could then reach into its vast trove of customer data to personalize the shopping, Marcotte said. If, for instance, you are a runner considering knee surgery, Amazon could lay out the best or common practices for your condition and maybe show that surgery isn’t your only option.

“It’s not only reaching people in the moment, it’s the possibility to reach people with relevant personalized messaging that will engage them,” Marcotte said.

Silicon Valley-Style Coding Boot Camp Seeks to Reset Japan Inc.

Barely six months after inaugurating a tiny software-coding boot camp in a basement in Tokyo, Silicon Valley transplant Kani Munidasa stood before some of Japan’s top business leaders in February with a warning: software was threatening their future.

A Sri Lankan native with a Japanese mother and wife, Munidasa was speaking at the invitation of Nobuyuki Idei, a former chief executive of Sony.

Idei had offered to become an adviser to the boot camp, called Code Chrysalis, whose mission of bringing Japan’s software engineering up to global standards and helping its companies transform aligned with his own.

“Idei-san told me, ‘Tell it as it is; don’t sugar-coat anything. They need to hear that change has to happen,'” Munidasa said, recalling how he showed up at the executives’ meeting in a T-shirt and hoodie.

Long known as a “monozukuri” – or manufacturing – powerhouse, Japan is in danger of getting left behind as artificial intelligence, robotics, and machine learning sweep through industries from cars to banking, Idei and others say.

Japanese companies have traditionally treated software as a means to cut costs rather than add value, and code-writers as second-class citizens. Entry-level software engineers in Japan make about $40,000 on average – less than half their U.S. counterparts.

Programs like Code Chrysalis are trying to change that by injecting Silicon Valley training methods into Japan’s slow-to-change corporate culture.

Coding, “soft skills” like public speaking and even physical fitness are all on the agenda. Since Code Chrysalis opened last July, a dozen students have graduated from its 12-week course, with six more in the pipeline. The camp currently accepts up to eight applicants per session.

For the students, the benefits are clear: their salaries increased by an average of nearly 80 percent after graduation, according to Code Chrysalis.

Japanese companies are desperate for skilled developers, with top IT recruiter Computer Futures seeing 2.3 job openings for every applicant so far this year, and most positions being filled by foreigners.

Educators and industry leaders hope programs such as Code Chrysalis will be transformative for Japan.

“Even if the numbers are small, I think (Code Chrysalis) can have a big impact,” Idei told Reuters, noting that Japan had focused too much on “physical goods” in the post-Internet age.

“The United States has Google, Apple, Facebook, Amazon,” said Idei, now CEO of his consultancy, Quantum Leaps. “China’s got Baidu, Alibaba and Tencent. Japan doesn’t have a single platform company. That’s the No. 1 difference.”

A textbook problem

Japan’s English-language education, notoriously focused on standardised testing, has hindered the development of good programmers, industry insiders say.

Without a good grasp of the language, programmers are always a step behind, waiting for translations to access cutting-edge tools and methods.

Toyota is making English the common language for the 1,000 software engineers it plans to employ at a new automated-driving unit launching in Tokyo next month.

James Kuffner, CEO of the unit, Toyota Research Institute-Advanced Development (TRI-AD), said Japan’s computer science education was also overly based on textbook learning.

Recalling the “horrible and boring” lectures he sat through at the prestigious University of Tokyo as a post-doctoral research fellow in 1999, Kuffner said the classes did little to prepare students for the real world. Coding boot camps are a step in the right direction, he said.

“I want to figure out a way to fix the education system because it’s also important for our company,” said Kuffner, who still serves as an adjunct associate professor at Carnegie Mellon’s Robotics Institute. “I would love to make a university where (everything) you did was project-based.”

Rebooting the system

Munidasa and his co-founder, Yan Fan, tailored their course around project-based learning, teaching exclusively in English.

Just one other English-language coding boot camp exists in Japan, run by French chain Le Wagon since late 2016, with 75 graduates so far. That program, which costs 790,000 yen ($7,200) for a nine-week course, targets beginners looking for a job in software development, who want to freelance, or who are launching their own start-ups.

“The positioning is very different because we work with beginners to bring them to a junior-developer level,” said Paul Gaumer, co-founder of Le Wagon Japan.

Munidasa and Fan’s program, which is aimed at higher-level training, has so far rejected nearly 80 percent of applicants, some of whom couldn’t meet the English requirement. To help, they added a four-week English-communication course.

During Code Chrysalis’ 1.03 million yen ($9,390), full-time course, students learn to become “full-stack” engineers, covering servers, user interfaces, and everything in between.

Beyond coding, they get unconventional instruction: voice training from an opera singer, squats challenges, and assignments requiring intense teamwork.

Baby steps

Code Chrysalis has already caught the attention of some big Japanese firms, including information technology giant NTT Data.

Its applied software engineering centre is using Code Chrysalis for part of its training and has placed an engineer in the current cohort.

“Our customers are increasingly looking for faster and cheaper software development, and we need to be able to meet those demands,” said human resources manager Kotaro Kimura.

Masataka Shintoku, an engineer in NTT Data’s sales and planning group who found Code Chrysalis on his own and graduated in March, says he’s already putting his new skills to work.

“I’m now able to create an app on my own and show prospective clients what we can do,” he said.

Kuffner said he hopes to emulate the storied Toyota Production System to create the software world’s “best process for writing bug-free software” as automated cars incorporate millions of lines of code.

“Japanese people are hard-working, very dedicated,” he said. “I have no question in my mind that with the right training they could be some of the best software engineers in the world.”

Motorists in Crime-ridden Caracas Seek Safety Through ‘Buddy’ App

Two men on motorbikes approached a broken-down vehicle in Caracas one day earlier this month in what could have been a nightmare scenario in one of the world’s most dangerous cities where roadside robberies and murders are an everyday occurrence.

The men took up positions either side of the green four-wheel-drive vehicle, with a 33-year-old female schoolteacher behind the wheel, and guarded it until a tow truck arrived two hours later to cart it off to a garage.

The two guards are employees of a new mobile application called “Pana” – “Buddy” in Venezuelan slang – which dispatches security crews to stranded drivers who request help.

It’s a reflection of how Venezuelans are turning to technology to overcome the dangers and nuisances of living in the crisis-hit country. Mobile payment apps, for example, attract customers who do not have enough paper money, which is in short supply due to hyperinflation.

Domingo Coronil who started Pana with his brother Juan Cristobal last September said they have carried out more than 5,000 successful driver rescues on the streets of the capital.

“People’s reactions have been amazing. Some start crying, while others take selfies,” the 46-year-old security consultant said in an interview.

Violence in Venezuela has shot up during the oil-wealthy country’s spiral into a five-year economic crisis and political meltdown. Many Caracas residents refuse to go out at night due to security fears, and wealthier Venezuelans often travel in bullet-proof cars with bodyguards.

There were almost 27,000 violent deaths in the country last year, with Venezuela having the second highest murder rate in the world after El Salvador, according to the Venezuelan Observatory of Violence, a local crime monitoring group.

National homicide rates rose each year from 67 murders per 100,000 people in 2011 to 92 in 2016, before dipping to 89 last year, according to the group.

The homicide rate in Caracas alone was 104 per 100,000 people in 2017, the group said. New York, in contrast, had a homicide rate of 3 per 100,000 last year and most European cities had less than 1.

A recent Gallup study placed Venezuela at the bottom of its 2018 Law and Order index, with 42 percent of surveyed Venezuelans reporting they had been robbed the previous year and one-quarter saying they had been assaulted.

“The fear people have isn’t you’ll be robbed in your car, but that you’ll be killed or kidnapped,” said Roberto Briceno Leon, the observatory’s director.

Venezuelan authorities say nongovernmental groups inflate crime figures to create paranoia and tarnish President Nicolas Maduro’s socialist government. But even the most recent official national murder rate – 58 per 100,000 inhabitants for 2015 – was still among the world’s highest.

About 700 people have joined Pana because of the high crime rate, Coronil said, each paying an annual fee of 4,800,000 bolivars, or about $2 to $4 on the black market, to request help as many times as they want at any hour day or night.

The company receives a customer’s geo-locations at its headquarters and dispatches two of its 28 security guards to the breakdown. Coronil hopes to expand coverage to roads outside Caracas and offer corporate plans.

Vanessa Mikuski, the schoolteacher in the van, tapped the button in Pana’s smartphone app when her car broke down without warning that June morning in the east of Caracas. A friend had recommended she download it last year.

The two Pana security guards, who were not armed and wear jackets with the app’s logo, kept pedestrians and drivers away while Mikuski waited and arranged for her children to be picked up from school.

“You feel much more secure … And at that price, it’s great,” she said.

Across Asia’s Borders, Trafficking Survivors Dial in for Justice

When Neha Maldar testified against the traffickers who enslaved her as a sex worker in India, she spoke from the safety of her own country, Bangladesh, via videoconferencing, a technology that could revolutionize the pursuit of justice in such cases.

The men in the western city of Mumbai appeared via video link more than 2,000 km (1,243 miles) west of Maldar as she sat in a government office in Jessore, a major regional hub for sex trafficking, 50 km from Bangladesh’s border with India.

“I saw the people who had trafficked me on the screen and I wasn’t scared to identify them,” Maldar, who now runs a beauty parlor from her home near Jessore, told Reuters. “I was determined to see them behind bars.”

“I told them how I was beaten for refusing to work in the brothel in the beginning and how the money I made was taken away,” she said, adding that she had lied to Indian authorities about her situation after being rescued, out of fear.

Thousands of people from Bangladesh and Nepal — mainly poor, rural women and children — are lured to India each year by traffickers who promise good jobs but sell them into prostitution or domestic servitude, anti-slavery activists say.

Activists hope the safe, convenient technology could boost convictions. A Bangladeshi sex trafficker was jailed for the first time in 2016 on the strength of a victim’s testimony to a court in Mumbai via video link from Dhaka, Bangladesh’s capital.

Convictions for cross-border trafficking in the region are rare as most victims choose not to pursue cases that have traditionally required them to testify in Indian courts, which meant staying in a shelter for the duration of the trial.

“They have always wanted to go back home, to their families,” said Shiny Padiyara, a legal counsel at the Indian charity Rescue Foundation that has facilitated videoconferencing cases and runs shelters for trafficking victims. “And most never return to testify.”

But videoconferencing is making it easier to pursue justice. Survivors have given statements, identified their traffickers, and been cross examined in at least 10 other ongoing international cases in Bangladesh, advocates said.

“Enabling victims to testify via video conference will lead to a possible decrease in acquittal rates for want of prime witnesses,” said Adrian Phillips of Justice and Care, a charity that supports the use of video testimony to help secure justice.

Even then, it is tough. During Maldar’s three-hour deposition, she withstood a tough cross-examination, showed identity documents to prove her age and countered allegations by the defense lawyer that she was lying about her identity.

‘Unpardonable’

Tara Khokon Miya is preparing her 27-year-old daughter to testify against the men who trafficked her to India from Dhaka, where she had been working in a garment factory.

“I almost lost my daughter forever,” she said, sitting in her home in Magura, less than 50 km from Jessore, describing how she disappeared after work and was taken to a brothel in India, and raped and beaten for almost a year before being rescued.

“What the traffickers did to my daughter was unpardonable,” Miya said, wiping her tears. “We seek justice. I nurtured her in my womb and can’t describe what it felt like to not know about her whereabouts.”

The trial has been ongoing since 2013 when the young woman, who declined to be named, was repatriated. The charity Rights Jessore is helping the family through the process, by providing counseling and rehearsing cross-examination.

“The best thing is her father will be by her side when she talks in court,” Miya said, finally breaking into a smile.

India signed a bilateral agreement with Bangladesh in 2015 to ensure faster trafficking investigations and prosecutions, and with Nepal in 2017, and laid down basic procedures to encourage the use of videoconferencing in court proceedings.

“The procedure is very transparent,” said judge K M Mamun Uzzaman at Jessore courthouse, which often converts its conference hall into a courtroom for videoconferencing cases to protect survivors’ privacy.

“I’m usually present and victims are able to testify confidently … it is easy and cost effective for us,” he said. “But the biggest beneficiaries are the survivors.”

The future

Videoconferencing in Bangladesh has been plagued by technical glitches such as power cuts and poor connections.

“Sometimes the internet connection is weak or it gets disconnected during the testimony,” said Binoy Krishna Mallick head of Rights Jessore, a pioneer in using this technology to encourage trafficking survivors to pursue justice. “But these are just teething troubles.”

The bigger challenge, activists say, is to ensure survivors remain committed to the trial despite delays caused by a backlog of cases and witnesses’ failure to appear to testify.

Swati Chauhan, one of the first judges to experiment with video testimony in 2010, is convinced that technology can eliminate many of these hurdles.

“Victims go through a lot of trauma, so it is natural that they don’t want to confront their trafficker in a court — but that doesn’t mean they don’t want the trafficker to be punished,” she said. “A videoconference requires meticulous planning and it is not easy coordinating between departments and countries. But it is the future for many seeking justice.”

Scan on Exit: Can Blockchain Save Moldova’s Children from Traffickers?

Laura was barely 18 when a palm reader told her she could make $180 a month working in beetroot farms in Russia — an attractive sum for a girl struggling to make a living in the town of Drochia, in Moldova’s impoverished north.

That she had no passport, the fortune teller said, was not a problem. Her future employers would help her cross the border.

“They gave me a [fake] birth certificate stating I was 14,” Laura, who declined to give her real name, told Reuters in an interview.

That was enough to get her through border controls as she traveled by bus with a smuggler posing as one of her parents.

It was the beginning of a long tale of exploitation for Laura — one of many such stories in Moldova in eastern Europe, which aims to become the first country in the world to pilot blockchain to tackle decades of widespread human trafficking.

Trafficking generates illegal profits of $150 billion a year globally, with about 40 million people estimated to be trapped as modern-day slaves — mostly women and girls — in forced labor and forced marriages, according to leading anti-slavery groups.

The digital tool behind the cryptocurrency bitcoin is increasingly being tested for social causes, from Coca-Cola creating a workers’ registry to fight forced labor to tracking supply chains, such as cobalt which is often mined by children.

Moldova has one of the highest rates of human trafficking in Europe as widespread poverty and unemployment drive many young people, mostly women, to look for work overseas, according to the United Nations migration agency (IOM).

Due to the hidden nature of trafficking and the stigma attached, it is unknown how many people in the former Soviet country have been trafficked abroad but IOM has helped some 3,400 victims — 10 percent of whom were children — since 2001.

In Russia, Laura was forced to toil long hours, beaten and never paid. After ending up in hospital, she was rescued by a doctor, only to be trafficked again a few years later when an abusive partner sold her into prostitution.

She now lives with her daughter in a rehabilitation center in the northern village of Palaria with help from the charity CCF Moldova.

“I had a lot of suffering,” the 36-year-old said. “I am very afraid of being sold again, afraid about my child.”

​Scans and bribes

Moldova plans to launch a pilot of its digital identity project this year, working with the Brooklyn-based software company ConsenSys, which won a U.N. competition in March to design an identity system to combat child trafficking.

Undocumented children are easy prey for traffickers using fake documents to transport them across borders to work in brothels or to sell their organs, experts say.

More than 40,000 Moldovan children have been left behind by parents who have migrated abroad for work, often with little supervision, according to IOM.

“A lot of children are staying just with their grandfathers or grandmas, spending [more] time in the streets,” said Lilian Levandovschi, head of Moldova’s anti-trafficking police unit.

Moldova, with a population of 3.5 million, is among the poorest countries in Europe with an average monthly disposable income of 2,250 Moldovan Leu ($135), government data shows.

ConsenSys aims to create a secure, digital identity on a blockchain — or decentralized digital ledger shared by a network of computers — for Moldovan children, linking their personal identities with other family members.

Moldova has strengthened its anti-trafficking laws since Laura’s ordeal and children now need to carry a passport and be accompanied by a parent, or an adult carrying a letter of permission signed by a guardian, to exit the country.

With the blockchain system, children attempting to cross the border would be asked to scan their eyes or fingerprints.

A phone alert would notify their legal guardians, requiring at least two to approve the crossing, said Robert Greenfield who is managing the ConsenSys project.

Any attempt to take a child abroad without their guardians’ permission would be permanently recorded on the database, which would detect patterns of behavior to help catch traffickers and could be used as evidence in court.

“Nobody can bribe someone to delete that information,” said Mariana Dahan, co-founder of World Identity Network (WIN), an initiative promoting digital identities and a partner in the blockchain competition.

Corruption and official complicity in trafficking are significant problems in Moldova, according to the U.S. State Department, which last year downgraded it to Tier 2 in a watchlist of those not doing enough to fight modern day slavery.

Moldova is eager to prove that it is taking action, as a further demotion could block access to U.S. aid and loans.

​Tricked

Many details have yet to be agreed before the blockchain project starts, including funding, populations targeted, the type of biometrical data collected, and where it will be stored.

But the scheme is facing resistance from some anti-trafficking groups who say it will not help the majority of victims — children trafficked within Moldova’s borders and adults who are tricked when they travel abroad seeking work.

“As long as we don’t have job opportunities … trafficking will still remain a problem for Moldova,” said IOM’s Irina Arap.

Minors made up less than 20 percent of 249 domestic and international trafficking victims identified in 2017, said Ecaterina Berejan, head of Moldova’s anti-trafficking agency.

“For Moldova, this is not a very big problem,” she said, referring to cross-border child trafficking, adding that child victims may travel with valid documents as their families are in cahoots with traffickers in some cases.

But supporters of the blockchain initiative say low official trafficking figures do not account for undetected cases, and they have a duty to attempt to stay ahead of the criminals.

“Many times, authorities are late in using latest technologies,” said Mihail Beregoi, state secretary for Moldova’s internal affairs ministry. “Usually organized crime uses them first and more successfully. … Any effort [to] secure at least one child is already worth trying.”

IBM Computer Proves Formidable Against 2 Human Debaters

An argumentative computer proved formidable against two human debaters as IBM gave its first public demonstration of new artificial intelligence technology it’s been working on for more than five years.

The new skills show that computers are getting better at mastering human language and speech.

The computer made its case for government-subsidized space research by pulling in evidence from its huge internal repository of newspapers, journals and other sources. After delivering opening arguments, the computer listened to a professional human debater’s counter-argument and spent four minutes rebutting it.

The company unveiled its Project Debater in San Francisco on Monday. IBM selected possible topics based on whether they were debatable, but neither the computer nor the human debaters knew the topic in advance. Nonetheless, the computer championed the topic fiercely with just a few awkward gaps in reasoning.

“Subsidizing space exploration is like investing in really good tires,” argued the computer system, its female voice embodied in a 5-foot-tall machine shaped like a monolith with TV screens on its sides. Such research would enrich the human mind, inspire young people and be a “very sound investment,” it said, making it more important even than good roads, schools or health care.

After closing arguments, it moved on to a second debate about telemedicine.

An IBM research team based in Israel began working on the project not long after IBM’s Watson computer beat two human quizmasters on a Jeopardy challenge in 2011.

But rather than just scanning a giant trove of data in search of factoids, IBM’s latest project taps into several more complex branches of AI. Search engine algorithms used by Google and Microsoft’s Bing use similar technology to digest and summarize written content and compose new paragraphs. Voice assistants such as Amazon’s Alexa rely on listening comprehension to answer questions posed by people. Google recently demonstrated an eerily human-like voice assistant that can call hair salons or restaurants to make appointments.

But IBM says it’s breaking new ground by creating a system that tackles deeper human practices of rhetoric and analysis, and how they’re used to discuss big questions whose answers aren’t always clear.

“If you think of the rules of debate, they’re far more open-ended than the rules of a board game,” said Ranit Aharonov, who manages the debater project.

IBM doesn’t try to declare a winner of the debates, but Noa Ovadia, one of the human debaters, said the computer was a formidable opponent even if it made a few too many blanket statements about space exploration being the pinnacle of human achievement.

Ovadia, a national debate champion in Israel, said she was impressed by its fluency in language and ability to construct sentences. She said the computer was able to “get to the bottom line of my arguments” and respond to them.

Among several outside experts IBM invited to attend Project Debater’s debut was Chris Reed, who directs the Centre for Argument Technology at the University of Dundee in Scotland. Reed said he was impressed by its grasp of “procatalepsis” — a rhetorical technique that involves anticipating an opponent’s argument and pre-emptively rebutting it.

As expected, the machine tends to be better than humans at bringing in numbers and other detailed supporting evidence. It’s also able to latch onto the most salient and attention-getting elements of an argument, and can even deliver some self-referential jokes about being a computer.

But it lacks tact, researchers said. Sometimes the jokes don’t come out right. And Monday, some of the sources it cited — such as a German official and an Arab sheikh — didn’t seem particularly germane.

“Humans tend to be better at using more expressive language, more original language,” said Dario Gil, IBM’s vice president of AI research. “They bring in their own personal experience as a way to illustrate the point. The machine doesn’t live in the real world or have a life that it’s able to tap into.”

There are no immediate plans to turn Project Debater into a commercial product, but Gil said it could be useful in the future in helping lawyers or other human workers make informed decisions.

Norway Tests Tiny Electric Plane, Sees Passenger Flights by 2025

Norway tested a two-seater electric plane on Monday and predicted a start to passenger flights by 2025 if new aviation technologies match a green shift that has made Norwegians the world’s top buyers of electric cars.

Transport Minister Ketil Solvik-Olsen and Dag Falk-Petersen, head of state-run Avinor which runs most of Norway’s airports, took a few minutes’ flight around Oslo airport in an Alpha Electro G2 plane, built by Pipistrel in Slovenia.

“This is … a first example that we are moving fast forward” towards greener aviation, Solvik-Olsen told Reuters. “We do have to make sure it is safe – people won’t fly if they don’t trust it.”

He said plane makers such as Boeing and Airbus were developing electric aircraft and that battery prices were tumbling, making it feasible to reach a government goal of making all domestic flights in Norway electric by 2040.

Asked when passenger flights in electric planes could start, Falk-Petersen, the pilot, said: “My best guess is before 2025 … It should all be electrified by 2040.”

The two said the plane, with a takeoff weight of 570 kg (1255 lb), was cramped and buffeted by winds but far quieter than a conventional plane run on fossil fuels.

Norway tops the world league for per capita sales of electric cars such as Teslas, Nissan Leafs or Volkswagen Golfs, backed by incentives such as big tax breaks, free parking and exemptions from road tolls.

In May 2018, 56 percent of all cars sold in Norway were either pure electric or hybrids against 46 percent in the same month of 2017, according to official statistics.

Norway, a mountainous country of five million people where fjords and remote islands mean many short-hop routes of less than 200 kms, would be ideal for electric planes, Solvik-Olsen said. Also, 98 percent of electricity in Norway is generated from clean hydro power.

Some opposition politicians said the government needed to do far more to meet green commitments in the 200-nation Paris climate agreement.

“This is a start … but we have to make jet fuel a lot more expensive,” said Arild Hermstad, a leader of the Green Party.

The first electric planes flew across the English Channel in July 2015, including an Airbus E-Fan. French aviator Louis Bleriot who was first to fly across the Channel, in 1909, in a fossil-fuel powered plane.

Electric planes so far have big problems of weight, with bulky batteries and limited ranges. Both Falk-Petersen and Solvik-Olsen said they had been on strict diets before the flight.

“My wife is happy about it,” Solvik-Olsen said.

Intel Tops List of Tech Companies Fighting Forced Labor

Intel topped a list issued on Monday ranking how well technology companies combat the risk of forced labor in their supply chains, overtaking HP and Apple.

Most of the top 40 global technology companies assessed in the study by KnowTheChain, an online resource for business, had made progress since the last report was published in 2016. But the study found there was still room for improvement.

“The sector needs to advance their efforts further down the supply chain in order to truly protect vulnerable workers,” said Kilian Moote, project director of KnowTheChain, in a statement.

Intel, HP and Apple scored the highest on the list, which looked at factors including purchasing practices, monitoring and auditing processes. China-based BOE Technology Group and Taiwan’s Largan Precision came bottom.

Workers who make the components used by technology companies are often migrants vulnerable to exploitative working conditions, the report said. 

About 25 million people globally were estimated to be trapped in forced labor in 2016, according to the International Labor Organization and rights group Walk Free Foundation.

Laborers in technology companies’ supply chains are sometimes charged high recruitment fees to get jobs, trapped in debt servitude, or deprived of their passports or other documents, the report said.

It highlighted a failure to give workers a voice through grievance mechanisms and tackle exploitative recruiting practices as the main areas of concern across the sector.

In recent years modern slavery has increasingly come under the global spotlight, putting ever greater regulatory and consumer pressure on firms to ensure their supply chains are free of forced labor, child labor and other forms of slavery.

From cosmetics and clothes to shrimp and smartphones, supply chains are often complex with multiple layers across various countries — whether in sourcing the raw materials or creating the final product — making it hard to identify exploitation.

Overall, large technology companies fared better than smaller ones, suggesting a strong link between size and capacity to take action, the report said. Amazon, which ranked 20th, was a notable exception, it said.

“Top-ranking brands … are listening to workers in their supply chains and weeding out unscrupulous recruitment processes,” Phil Bloomer, head of the Business & Human Rights Resource Center, told the Thomson Reuters Foundation.

A spokesman for Amazon said the report drew from old and incomplete information and failed to take into account recently launched anti-slavery commitments and initiatives.

HP said it regularly assessed its supply chain to identify and address any concerns and risks of exploitation.

“We strive to ensure that workers in our supply chain have fair treatment, safe working conditions, and freely chosen employment,” said Annukka Dickens, HP’s director for human rights and supply chain responsibility.

Intel, Apple, BOE Technology and Largan Precision did not immediately respond to requests for comment.

Google to Invest $550M in China E-commerce Giant JD.com

Google will invest $550 million in Chinese e-commerce powerhouse JD.com, part of the U.S. internet giant’s efforts to expand its presence in fast-growing Asian markets and battle rivals including Amazon.com.

The two companies described the investment announced on Monday as one piece of a broader partnership that will include the promotion of JD.com products on Google’s shopping service.

This could help JD.com expand beyond its base in China and Southeast Asia and establish a meaningful presence in U.S. and European markets.

JD.com’s U.S.-listed shares rose 1.2 percent to $44.10 on the NASDAQ on Monday.

Company officials said the agreement initially would not involve any major new Google initiatives in China, where the company’s main services are blocked over its refusal to censor search results in line with local laws.

JD.com’s investors include Chinese social media powerhouse Tencent Holdings, the arch-rival of Chinese e-commerce leader Alibaba Group Holding, and Walmart.

The partnership not only lets Google bolster its retail ambitions in China but also allows it to further tighten its relationship with Walmart. Together, the two companies could challenge the dominance of Amazon and Alibaba in key markets around the world, analysts said.

In the past year, Google has been partnered with Walmart on multiple fronts. In August 2017, the two companies joined forces to offer hundreds of thousands of Walmart items on Google’s voice-controlled Google Assistant platform to counter the dominance of Amazon in the voice shopping market.

In March, Reuters reported a new program where Google was teaming up with retailers like Walmart, allowing them to list their products on Google Search, as well as on the Google Express shopping service to better compete with Amazon.

Google is also reportedly pursuing picking up a stake in India’s Flipkart, where Walmart picked up a 77 percent stake for $16 billion.

Google declined to comment on the rumored Flipkart deal.

Stepping Up Investments in ASIA

Google is stepping up its investments across Asia, where a rapidly growing middle class and a lack of infrastructure in retail, finance and other areas have made it a battleground for U.S. and Chinese internet heavyweights. Google recently took a stake in Indonesian ride-hailing firm Go-Jek.

The JD.com investment is being made by the operating unit of Google rather than one of parent company Alphabet’s investment vehicles.

Google will get 27.1 million newly issued JD.com Class A ordinary shares as part of the deal. This will give them less than a 1 percent stake in JD, a spokesman for JD said.

For JD.com, the Google deal shows its determination to build a set of global alliances as it seeks to counter Alibaba, which has been more focused on forging domestic retail tie-ups.

Japan’s SoftBank Group, which is making big internet investments around the globe, is a major investor in Alibaba.

Morningstar analyst Chelsey Tam said the investment will help JD.com expand into developed markets such as the United States and Europe, where it has lesser exposure compared to Google.

“This partnership with Google opens up a broad range of possibilities to offer a superior retail experience to consumers throughout the world,” said Jianwen Liao, JD.com’s chief strategy officer, in a statement.

Company officials said the deal would marry Google’s market reach and strength in analytics with JD.com’s expertise in logistics and inventory management.

The investment may give Google access to more consumer data, which can be used to boost usage of Google Shopping, said Morningstar analyst Ali Mogharabi.

Apple Aims to Solve Problems Locating 911 Calls for Help

Apple is trying to drag the U.S.’s antiquated system for handling 911 calls into the 21st century.

 

If it lives up to Apple’s promise, the next iPhone operating system coming out in September will automatically deliver quicker and more reliable information pinpointing the location of 911 calls to about 6,300 emergency response centers in the U.S.

 

Apple is trying to solve a problem caused by the technological mismatch between a system built for landlines 50 years ago and today’s increasingly sophisticated smartphones that make most emergency calls in the U.S.

 

The analog system often struggles to decipher the precise location of calls coming from digital devices, resulting in emergency responders sometimes being sent a mile or more from people pleading for help.

 

Theranos CEO: Wunderkind to Federal Indictment

Federal prosecutors have indicted Elizabeth Holmes on criminal fraud charges for allegedly defrauding investors, doctors and the public as the head of the once-heralded blood-testing startup Theranos. Federal prosecutors also brought charges against the company’s former second-in-command.

Holmes, who was once considered a wunderkind of Silicon Valley, and her former Chief Operating Officer Ramesh Balwani, are charged with two counts conspiracy to commit wire fraud and nine counts of wire fraud, the U.S. Attorney’s Office for the Northern District of California said late Friday. If convicted, they could face prison sentences that would keep them behind bars for the rest of their lives, and total fines of $2.75 million each.

Technology a fraud

Prosecutors allege that Holmes and Balwani deliberately misled investors, policymakers and the public about the accuracy of Theranos’ blood-testing technologies. Holmes, 34, founded Theranos in Palo Alto, California, in 2003, pitching its technology as a cheaper way to run dozens of blood tests. Once considered the nation’s youngest female billionaire, Holmes said she was inspired to start the company in response to her fear of needles.

But an investigation by The Wall Street Journal two years ago found that Theranos’ technology was a fraud, and that the company was using routine blood-testing equipment for the vast majority of its tests. The story raised concerns about the accuracy of Theranos’ blood testing technology, which put patients at risk of having conditions either misdiagnosed or ignored.

“CEO Elizabeth Holmes and COO Sunny Balwani not only defrauded investors, but also consumers who trusted and relied upon their allegedly-revolutionary blood-testing technology,” Acting U.S. Attorney Alex Tse said in a statement.

SEC charges

The Securities and Exchange Commission brought civil fraud charges against Holmes and Balwani three months ago. Holmes settled with the SEC, agreeing to pay $500,000 in fines and penalties. Balwani, 53, is fighting the charges.

As the charges were announced Friday, Theranos said Holmes would step down as CEO of the company and its general counsel, David Taylor, would become the company’s next CEO. Theranos laid off most of its staff earlier this year and is widely expected to file for bankruptcy. Holmes remains the company’s chairman.

The company did not immediately respond to a message seeking comment on Friday’s indictments.

Apple Nabs Oprah as Top Talent Flocks to Digital Entertainment

Apple Inc on Friday announced a multiyear deal with Oprah Winfrey to create original programming, a coup in the battle for A-list talent and projects in the booming digital entertainment market.

“Together, Winfrey and Apple will create original programs that embrace her incomparable ability to connect with audiences around the world,” Apple said in a statement.

Apple gave no details of the type of programming that Winfrey would create, the value of the deal, or when it might be released. Winfrey had no immediate comment.

Winfrey, 64, an influential movie and TV producer who also publishes a magazine, is expected to appear on screen, a source familiar with the deal said.

Apple has not said how it plans to distribute its programming, to which it has committed an initial $1 billion. The partnership is the biggest original content deal struck by Apple so far as it aims to compete with Netflix Inc,

Amazon.com Inc and Time Warner Inc’s HBO. Netflix, which has said it will spend up to $8 billion on programming this year, in May struck a multiyear deal with former U.S. President Barack Obama and his wife Michelle to produce films, documentaries and other content.

Netflix, the world’s leading streaming entertainment provider, has also lured prolific television producers Ryan Murphy and Shonda Rhimes away from broadcast television.

Amazon said in November it had bought the global television rights to “The Lord of the Rings” and would produce a multi-season series that explores new storylines preceding author J.R.R. Tolkien’s “The Fellowship of the Ring.” Earlier this week, Amazon also announced a development deal with

Oscar-winning actress Nicole Kidman’s production company for movies and television.

For its part, Apple in November ordered two seasons of a dramatic series with Hollywood stars Reese Witherspoon and Jennifer Aniston, looking at the lives of people working on a morning television show.

Other projects Apple has announced include a remake of Steven Spielberg’s 1980s science fiction anthology series “Amazing Stories,” based on Isaac Asimov’s influential “Foundation” science fiction novels, and a drama from “La La Land” movie director Damian Chazelle.

Under the deal with Winfrey, she will remain chief executive of cable channel OWN, which she launched in 2011 in partnership with Discovery Inc. Winfrey in December extended her contract with OWN through 2025, OWN and Apple said.

Under her contract with OWN, Winfrey can appear on camera on other platforms on a limited basis.

Known in the United States by millions on a first-name basis, Winfrey rose to fame as the host of her own television talk show, using it to build a media empire that spans magazine publishing, movie and television production, cable TV and satellite radio.

Born into poverty, she is one of the world’s wealthiest women and has been nominated for two Academy Awards.

A rousing speech by Winfrey at the Golden Globes awards ceremony in January triggered an online campaign to persuade her to run for U.S. president in 2020.

She dismissed the notion, telling InStyle magazine in an interview, “It’s not something that interests me.”

CES Asia Opens in Shanghai

Judging by the size of the crowd and the number of exhibitors at the fourth annual Consumer Electronics Show Asia, which opened Wednesday in Shanghai, China is well on its way toward catching up with the United States in consumer technology. A mirror image of the older and bigger sister show in Las Vegas, CES Asia 2018 presents the latest hardware and software for everyone. VOA’s George Putic has more.

Apple to Undercut Popular Law-Enforcement Tool for Cracking iPhones

Apple Inc said Wednesday it will change its iPhone settings to undercut the most popular means for law enforcement to break into the devices.

The company told Reuters it was aiming to protect customers in countries where police seize phones at will and all users from the risk that the attack technique will leak to spies and criminals.

The privacy standard-bearer of the tech industry said it will change the default settings in the iPhone operating system to cut off communication through the USB port when the phone has not been unlocked in the past hour. That port is how machines made by forensic companies GrayShift, Cellebrite and others connect and get around the security provisions that limit how many password guesses can be made before the device freezes them out or erases data.

These companies have marketed their machines to law enforcement in multiple countries this year, offering the machines themselves for thousands of dollars but also per-phone pricing as low as $50.

Apple representatives said the change in settings will protect customers in countries where law enforcement seizes and tries to crack phones with fewer legal restrictions than under U.S. law. They also noted that criminals, spies and unscrupulous people often can use the same techniques to extract sensitive information from a phone. Some of the methods most prized by intelligence agencies have been leaked on the internet.

“We’re constantly strengthening the security protections in every Apple product to help customers defend against hackers, identity thieves and intrusions into their personal data,” Apple said in a prepared statement. “We have the greatest respect for law enforcement, and we don’t design our security improvements to frustrate their efforts to do their jobs.”

The switch had been documented in beta versions of iOS 11.4.1 and iOS12, and Apple told Reuters it will be made permanent in a forthcoming general release.

Apple said that after it learned of techniques being used against iPhones, it reviewed the operating system code and made a number of improvements to the security. It also decided to simply alter the setting, a cruder way of preventing most of the potential access by unfriendly parties.

Time limit

With the new settings, police or hackers will typically have an hour or less to get a phone to a cracking machine. In practical terms, that could cut access by as much as 90 percent, security researchers estimate.

In theory, the change could also spur sales of cracking devices, as law enforcement looks to get more forensic machines closer to where seizures occur.

Either way, researchers and police vendors will find new ways to break into phones, and Apple will then look to patch those vulnerabilities.

The latest step could draw criticism from American police departments, the FBI, and perhaps the U.S. Justice Department, where officials have recently renewed an on-again, off-again campaign for legislation or other extraordinary means of forcing technology companies to maintain access to their users’ communications.

Apple has been the most prominent opponent of those demands.

In 2016, it went to court to fight an order that it break into an iPhone 5c used by a terrorist killer in San Bernardino.

Twitter Announces Changes Ahead of World Cup

Twitter announced Wednesday it would be updating its services to make it easier for users to find content about major events such as natural disasters and the FIFA World Cup that begins on Thursday.

“We’re keeping you informed about what matters by showing the tweets, conversations and perspectives around topics you care about,” Keith Coleman, product vice president, said in a blog post.  “Our goal is to make following what’s happening as easy as following an account.”

Users will receive notifications about breaking news stories based on their personal interests — the accounts they follow or what they tweet about, Coleman explained. These notifications will become available in the coming weeks to users in the United States. When clicked, users will be taken to a specialized timeline about the topic.

“If someone uses Twitter all the time, they’ll have a perfectly curated timeline,” Twitter spokesperson Liz Kelley told VOA. “But if you don’t have those things in place, there’s maybe a better way for us to present that.”

The app will also link to related topics at the top of its search results. Another update includes a change in the format of the “Moments” tab, which will now be accessed by scrolling vertically rather than horizontally. The tab, which hosts collections of tweets about major events, is curated by a global team, Kelley said, and is available in five languages across 16 different countries.

Coleman also announced a dedicated page for the World Cup, which will be available in 10 languages and have individualized timelines for each game of the 32-team tournament. Kelley told VOA that users should be able to see every goal of the tournament through the app.

“Our long-term strategy is making it easier for people to see what’s happening on Twitter,” Kelley said. “Really, we’re organizing and presenting content in a way that’s easier to discover and consume.”

Teen Girl Coders Choreograph Digital Dance

By mixing dance with the disciplines of Science, Technology, Engineering and Mathematics, an all-girl public school in New York encourages its students to go into the Stem fields. According to the U.S. National Science Foundation, while women make up half of the college-educated workforce, less that 30 percent of science and engineering jobs are filled by women. VOA Correspondent Mariama Diallo reports.