An observatory in Barrow, Alaska, part of the National Oceanic and Atmospheric Administration, has become a key scientific instrument in studying climate change. Established in 1973, the Barrow Observatory is staffed year-round by two researchers who measure and track changes in air quality and weather. Natasha Mozgovaya traveled to Barrow, Alaska, now officially called Utqiagvik, its original Inupiaq name, to see what life is like in one of the coldest and snowiest places in the world.
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A women-to-women investment fund is coming to Britain next month to boost financing for female-owned businesses, its founder said Thursday, as efforts grow to close the gender investing gap.
SheEO has lent more than $2 million to 32 female social entrepreneurs in the United States, Canada and New Zealand to grow their businesses since 2015 in an attempt to address a global gender investment gap.
“Most of the people writing checks and investing are men,” founder Vicki Saunders told the Thomson Reuters Foundation. “SheEO wants to fund female innovators with great ideas to create stronger communities and a better world.”
Support for female entrepreneurs
It is the latest venture to support female entrepreneurs around the world, who often face more obstacles than men, including a lack of access to finance, business networks, international markets and role models.
Three out of 10 U.S. businesses are owned by women but they only receive $1 in investment for every $23 that goes to male-led businesses, the Senate Small Business and Entrepreneurship Committee found in 2014.
A Goldman Sachs-World Bank Group partnership to provide capital to women entrepreneurs in emerging markets reached $1 billion in investments in May.
How it works
SheEO brings together 500 women each year who contribute $1,100 each, which they pool and lend, interest-free, to five women-led businesses of their choice.
The loans are paid back over five years and then loaned out again, creating a perpetual fund that SheEO hopes will grow to $1 billion, with 1 million investors supporting 10,000 women-led ventures.
More than 300 women in Britain wrote to SheEO asking it to launch there, Saunders said ahead of a visit to London where she hopes that 500 female investors will come on board.
Workplace gender equality is in the spotlight in Britain, where just 6 percent of the biggest publicly listed companies are headed by women and pay disparities were revealed at major institutions last year.
Twenty One Toys founder Ilana Ben-Ari, one of the first to get SheEO funding in 2015, said it changed her business, enabling her to push ahead with production and hire staff to help with a stressful workload. Her revenue has now doubled.
“It was easy to get my foot in the door and have a meeting but it was near impossible to have a serious conversation about my business,” she said, describing her efforts to get financing from venture capitalists. “Halfway through that meeting you find out — this isn’t a meeting, this is a date.”
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Winter looks wet and especially mild for much of the country, thanks to a weak El Nino brewing, U.S. meteorologists said.
The National Weather Service on Thursday predicted a warmer than normal winter for the northern and western three-quarters of the nation. The greatest chance for warmer than normal winter weather is in Alaska, the Pacific Northwest, Montana, northern Wyoming and western North Dakota.
No place in the United States is expected to be colder than normal, said Mike Halpert, deputy director of the government’s Climate Prediction Center.
The Southeast, Ohio Valley and mid-Atlantic can go any which way on temperature, Halpert said.
Overall the winter looks a lot like the last few, Halpert said.
“The country as a whole has been quite mild since 2014-2015,” Halpert said.
Winter weather expert Judah Cohen, of the private company Atmospheric and Environmental Research, uses different indicators to predict winter for the National Science Foundation. He also forecasted a warm winter, heavily based on weak snowfall in Siberia.
Precipitation
Halpert said the southern one-third of the United States and much of the East Coast could be hunkering down for a wetter than normal December through January. The chances are highest in southeastern Georgia and much of northern and central Florida.
Hawaii, Montana, Michigan, parts of Idaho, Wisconsin, northern Illinois, Indiana and Ohio are forecast to be drier than normal, with the biggest likelihood in Hawaii, Montana and Michigan.
The middle belt of the nation and some of the north from California to New York can go any which way on precipitation.
The weather service’s forecast doesn’t look at snow likelihood.
El Nino
Halpert said the biggest factor in the forecast is a likely El Nino , the natural warming of parts of the central Pacific Ocean that influences weather worldwide.
The El Nino hasn’t quite formed yet, but it’s almost warm enough. Meteorologists predict there’s a 75 percent chance it’ll be around this winter. But it will be weak, not strong like the El Nino that helped lead to the record warm 2015-2016 winter, Halpert said.
Background warming
While El Nino is the biggest factor in the forecast, long-term warming from human-caused climate change is a factor, too, Halpert said.
“All things being equal, the slight kick we get out of the climate signal does tilt things toward the warm side,” Halpert said.
But it’s not enough to outweigh other factors if they push toward cold.
“Even on a warming planet,” he said, “it doesn’t mean winter goes away and it’s never cold again.”
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Computer giant IBM Corp., financial services company Western Union
Co. and European police launched a project Thursday to share financial data that they said may one day be able to predict human trafficking before it occurs.
The shared data hub will collect information on money moving around the world and compare it with known ways that traffickers move their illicit gains, highlighting red flags signaling potential trafficking, organizers said.
“We will build and aggregate that material, using IBM tools, into an understanding of hot spots and routes and trends,” said Neil Giles, a director at global anti-slavery group Stop the Traffik, which is participating in the project.
Data collection, digital tools and modern technology are the latest weapons in the fight against human trafficking, estimated to be a $150 billion-a-year global business, according to the International Labor Organization.
The U.N. has set a goal of 2030 for ending forced labor and modern slavery worldwide, with more than 40 million people estimated to be enslaved around the world.
Certain patterns and suspicious activity might trigger a block of a transaction or an investigation into possible forced labor or sex slavery, organizers said.
The project will utilize IBM’s internet cloud services as well as artificial intelligence and machine learning to compare data and to spot specific trafficking terms, said Sophia Tu, director of IBM Corporate Citizenship.
With a large volume of high-quality data, the hub one day may predict trafficking before it happens, she told the Thomson Reuters Foundation.
“You can’t do it today because we’re in the process of building out that amount of data and those capabilities, but it’s in the road map for what we want to do,” she said.
While law enforcement is teaming up with banks and data specialists to chase trafficking, experts have cautioned that it can be a cat-and-mouse game in which traffickers quickly move on to new tactics to elude capture.
Also, less than 1 percent of the estimated $1.5 trillion-plus laundered by criminals worldwide each year through the financial system is frozen or confiscated, according to the U.N. Office on Drugs and Crime.
Along with IBM and Western Union, participants include Europol, Europe’s law enforcement agency; telecommunications giant Liberty Global; and British banks Barclays and Lloyds, organizers said.
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U.S. stocks fell more than 1 percent on Thursday as the European Commission issued a warning regarding Italy’s budget and concerns mounted about the possibility of strained relations between the United States and
Saudi Arabia.
S&P 500 technology stocks fell more than 2 percent, as did the tech-heavy Nasdaq.
Wall Street’s major indexes pared early losses in morning trading but reversed course to fall further as European markets closed. Italian bond yields jumped after the European Commission deemed the country’s 2019 budget draft to be in breach of EU rules.
U.S. stocks declined further after U.S. Treasury Secretary Steven Mnuchin pulled out of an investor conference in Saudi Arabia as the White House awaited the outcome of investigations into the disappearance of Saudi journalist Jamal Khashoggi.
“It’s a function of a lot of things coalescing into a concern,” said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Pittsburgh. “The market continues to struggle in the aftermath of the bigger drawdown a week ago.”
Mnuchin’s decision sparked worries of potential strain in U.S.-Saudi relations, especially if Saudi leaders were found to have been involved in Khashoggi’s disappearance. Investors raised concern that if Saudi Arabia were sanctioned, it could restrict oil supply, prompting a rise in energy prices.
Shares of military contractors such as Lockheed Martin Corp. and Raytheon Co. also fell on concerns that U.S. lawmakers may block arms deals with Saudi Arabia.
U.S. stocks had opened lower as weak earnings reports from companies such as Cessna business jet maker Textron Inc. and equipment rental company United Rentals Inc. raised concerns about the impact of tariffs, climbing borrowing costs and rising wages on corporate profits.
Textron shares fell 10.8 percent and United Rentals shares sank 14.7 percent, while Sealed Air Corp. shares slid 8.7 percent after the packaging company cut its full-year profit outlook because of higher raw material and freight costs.
Worries about rising interest rates following Wednesday’s release of the Federal Open Market Committee’s minutes from its September meeting also pressured U.S. stocks.
“The market is coming to grips with the reality that the Fed may make financial conditions a little tighter than they originally thought,” said Paul Zemsky, chief investment officer of multi-asset strategies and solutions at Voya Investment Management in New York.
The Dow Jones industrial average fell 417.17 points, or 1.62 percent, to 25,289.51; the S&P 500 lost 47.59 points, or 1.69 percent, to 2,761.62; and the Nasdaq composite dropped 168.31 points, or 2.2 percent, to 7,474.39.
Among the few bright spots was Philip Morris International Inc., which rose 3.4 percent after the Marlboro cigarette maker topped analysts’ estimates for quarterly profit and sales.
Declining issues outnumbered advancing ones on the NYSE by a
3.72-to-1 ratio; on Nasdaq, a 3.43-to-1 ratio favored decliners.
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You can call it a prehistoric prequel.
Scientists said on Thursday they have unearthed in southern Germany the fossil of a fish that, with its mouth full of razor-sharp teeth, strongly resembled today’s piranhas, the stars of more than their fair share of Hollywood horror films. But this one lived during the Jurassic Period 152 million years ago.
Named Piranhamesodon pinnatomus, it is the earliest known example of a bony fish — as opposed to cartilaginous fish like sharks — able to slice flesh rather than simply swallowing prey, enabling it to attack victims larger than itself as piranhas can.
Piranhamesodon, about 3-1/2 inches (9 cm) long, lived in the sponge and coral reefs of the Solnhofen archipelago, a shallow tropical sea in what is now Bavaria. Piranhas are freshwater fish that inhabit rivers and lakes in South America.
Piranhamesodon was small, but its mouth was worthy of a scary movie. It boasted long, pointed, dagger-like teeth along the outer edge of its upper jaw and at the front of its lower jaw. It also had triangular teeth with serrated cutting edges on the side of its lower jaw.
“We were stunned that this fish had teeth which are capable of slicing flesh. It comes from a group of fishes, the pycnodontids, that are famous for their crushing teeth,” said paleontologist Martina Kölbl-Ebert of the Jura-Museum Eichstätt in Germany, who led the research published in the journal Current Biology.
“It is like finding a sheep with a snarl like a wolf,” Kölbl-Ebert added.
The fossil came from the same Bavarian limestone deposits as Archaeopteryx, the earliest-known bird.
“From the same quarry, we also have a number of other fish which may have been the victims of Piranhamesodon. They show injuries to their fins and fin bases, some freshly wounded before they died and got fossilized, whereas others show completely healed injuries with regeneration of the fin,” Kölbl-Ebert said.
While it shares traits with piranhas, Piranhamesodon was neither their long-ago ancestor nor related to them at all. The oldest-known piranhas lived around 15 million years ago.
Piranhamesodon is an example of a phenomenon called convergent evolution in which organisms independently acquire similar characteristics as a result of adapting to similar ecological niches or environments.
“The new fish is a most interesting example of convergent evolution, evolving — for bony fish then — a completely new way of life,” Kölbl-Ebert said.
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Several major Russian companies are exploring ways to do deals abroad without using dollars, spurred on by a U.S. threat to broaden sanctions that have impeded access of some Russian firms to the international banking system.
The Kremlin has been pushing companies to conduct more deals using other currencies to reduce reliance on the dollar.
Russian Alrosa, the world’s biggest producer of rough diamonds in carat terms, said it had completed a pilot deal with a Chinese client using yuan in the summer and another non-dollar transaction with an Indian client.
Other companies working on similar transactions include energy firm Surgutneftegaz, agricultural company Rusagro and miner Norilsk Nickel.
Russia’s central bank said this week the amount of non-dollar dealings was growing, with the share of rouble settlements in the Russia-China and Russia-India goods trade now between 10 and 20 percent.
The share was higher in the service industry, it added.
But there are limits to how much business can be shifted.
Major companies still rely heavily on dollar deals and most of Russia’s foreign earnings come from oil sales priced in dollars.
In addition, foreign banks with major U.S. activities may still be wary of business with any entity under U.S. sanctions even if transactions are not in dollars, bankers say.
The United States and its allies imposed sanctions on Russia in 2014 over Moscow’s annexation of Crimea. Washington said in August more measures could follow, after accusing Moscow of using a nerve agent against a former Russian agent and his daughter in Britain.
The new steps, which could be announced in November, may target dollar dealings, U.S. lawmakers have said.
Speed helps
One challenge facing companies dealing in the rouble is the Russian currency’s volatility. Between April 6 and 11, after Washington imposed sanctions on Russian billionaire Oleg Deripaska and some of his companies, the rouble lost almost 13 percent of its value against the dollar.
Alrosa said it avoided the fluctuation risk by completing the Chinese deal in a day. U.S. dollar deals tend to take longer due to associated compliance checks required.
“An increase in the speed of operations is an advantage in such an operation,” the company said in an emailed statement.
Alrosa did not give a value for its China and India deals but said the Chinese buyer had bought a lot at its auction of diamonds of 10.8 carats or larger in Hong Kong. Alrosa data indicates that its lots are on average worth about $100,000.
Alrosa said the banker for its Chinese deal was Shanghai office of VTB, Russia’s second-largest bank. An industry source, asking not to be named, said Russia’s biggest bank lender Sberbank worked on the Indian deal.
VTB and Sberbank declined to comment.
The Chinese client settled its purchase in yuan, which VTB converted into roubles and transferred to Alrosa.
“We carried out the transaction itself in one day, in several hours,” Alrosa said, adding that on this occasion the currency move was in the client’s favor.
No currency hedging was required because of the speed of the deal, the company said, but the client had to open an account in VTB’s branch in Shanghai to complete the transaction.
Alrosa said it was also considering settlement for future deals in Hong Kong dollars, adding that other Chinese clients had shown interest in non-dollar transactions.
Non-dollar limits
But there are limits on how much of Alrosa’s business can switch to other currencies. China accounts for just 4 percent of its sales, while India accounts for 17 percent.
Among initiatives by other Russian firms, Surgutneftegaz has been pushing buyers to agree to pay for oil in euros instead of dollars, Reuters reported in September.
Russian farming conglomerate Rusagro told Reuters that some of its trading operations were in yuan and said this would increase with the expansion of business with China.
Russian nickel and palladium producer Norilsk Nickel said it was discussing the option of rouble payments with foreign customers which have rouble revenue, although it said it had not secured deals under those terms.
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Hundreds of taxis on Thursday drove at a snail’s pace across the Polish capital Warsaw in protest at the ride-sharing app Uber and other unlicenced competitors.
Other cab drivers gathered in front of the justice ministry to call for legislation to regulate the industry.
Traditional cab operators argue that the Uber app and others like it represent unfair competition because their drivers can dodge the rules and restrictions that regulate professionals.
“There are 12,500 legal taxis in Warsaw and around 8,000 to 9,000 unregistered working for Uber, Taxify and a couple dozen other similar app-based operators,” said Jaroslaw Iglikowski, head of the Warsaw Taxi Drivers union.
“The app-based operators are taking around 30-35 percent of our overall business and up to 70 percent of night-time fares, especially on weekends,” he told AFP.
The protesting cab drivers claim in a petition they gave the justice minister that the country is losing more than 700 million zloty (160 million euros, $190 million) annually in unpaid taxes because of Uber and others like it.
The taxis dispersed in the early afternoon before rush hour, as the drivers had promised they would not cause traffic problems for city residents.
Uber has become one of Silicon Valley’s biggest venture-funded startups and has expanded its ride-sharing services to dozens of countries.
It does not employ drivers or own vehicles, but instead relies on private contractors using their own cars, allowing them to run their own business.
The app claims it is a service provider, connecting passengers with these freelance drivers directly and cheaply.
But critics and competitors around the globe say this allows it to flout costly regulations such as stringent licensing requirements for taxi drivers, who undergo hundreds of hours of training.
U.S. Treasury Secretary Steve Mnuchin has pulled out of an investment conference next week in Saudi Arabia, as Riyadh continues to face questions about its involvement in the disappearance and alleged killing of a U.S.-based Saudi journalist in Turkey.
Mnuchin made the announcement Thursday on Twitter, following numerous Western corporate chiefs who have dropped out of the three-day gathering that starts Tuesday in Riyadh.
As reports from Turkey have mounted alleging Saudi agents tortured, killed and dismembered Jamal Khashoggi two weeks ago inside Riyadh’s consulate in Istanbul, the chief executives announced they will not be attending the Future Investment Initiative conference.
Saudi Arabia has denied killing Khashoggi, a critic of the country’s de facto leader, Crown Prince Mohammed bin Salman.
Khashoggi wrote about Saudi Arabia in columns for The Washington Post.
Saudi Arabia says it says it will disclose the results of its investigation into his disappearance.
The investment conference is being organized by Saudi Arabia’s mammoth sovereign wealth fund and was being billed as a showcase for economic reforms advanced by Salman as he attempts to diversify the kingdom’s economy, for decades focused on its role as the world’s leading oil exporter.
The gathering had been dubbed “Davos in the Desert,” after the annual meeting of world economic leaders in Switzerland.
International Monetary Fund managing director Christine Lagarde said she is skipping the conference. JP Morgan chief executive Jamie Dimon and the heads of two top U.S. investment firms — BlackRock and Blackstone — have dropped out of the gathering. Top executives at the Ford auto manufacturing company and the MasterCard credit company have said the won’t be going, while the Google internet search engine company said that the head of its cloud computing business also would not be at the event.
The chiefs of European bankers BNP Paribas, Credit Suisse, HSBC, Standard Chartered and Societe Generale also rescinded acceptances to the conference.
Even in the country that invented the internet, access has remained painfully slow for many rural residents in places like the central state of Arkansas, far from the big cities of the East and West coasts. That may be about to change.
The Federal Communications Commission — a government agency — recently auctioned off almost $1.5 billion in subsidies to get broadband providers to serve an additional 700,000 American homes over the next 10 years. Additional such auctions are planned.
For rural residents in Arkansas — ranked as one of the worst connected states in the country — it cannot come too soon.
“Remember dial-up?” That’s how Ashley Vaughan responds when she’s asked to describe her internet speed at home. She’s a resident of Pangburn, Arkansas, a town of about 600 people. After leaving the area for a few years, she returned in 2015.
”[Internet speed is] still as crappy as it ever was,” Vaughan said. “I was trying to watch Hulu [a streaming network], and my husband was trying to load a webpage at the same time, and neither of them worked.”
Rural areas
The issue of poor broadband access — defined by the FCC as fewer than 25 megabits per second (Mbps) — is not uncommon. Almost 20 percent of the American population, or 60 million people, live in rural areas, which generally experience the least connectivity in the country.
Of those, around 15 million Americans have access to less than 10 Mbps.
In Vaughan’s case, she says her internet speed is only 0.05 Mbps. She’s called her internet provider to complain, but was told her service was the best available where she lives.
To get around the problem, many communities have sidestepped big companies and created municipal networks. Individually, some people spend extra on portable broadband access for their phones.
That slow speed doesn’t just mean fewer shows watched or video games played. It also impacts Vaughan’s son’s schoolwork, which increasingly requires use of a computer. Vaughan describes an instance in which her son took hours to download a single textbook, preventing anyone else in the house from using the internet during that time.
Many households in the U.S. have been wired for DSL, or digital subscriber lines, permitting the transmission of high-speed internet data over telephone lines. Meanwhile, most suburban and urban areas have seen the installation of fiber and copper cables, providing faster service. But many rural areas have been left behind.
“Fiber lines are expensive to install, and older copper lines are expensive to maintain,” said Jameson Zimmer, a broadband analyst with BroadbandNow, a data aggregation company based in Los Angeles.
On average, Zimmer says, it can cost tens of thousands of dollars to run fiber lines, depending on the complexity of the terrain and the length of the line. This means there are fewer internet providers willing to take on that financial burden — giving consumers fewer options.
“What to do about this is overwhelming,” Zimmer said.
Legislative push
It’s a problem that both Republican and Democratic party leaders are working to solve.
U.S. Senator John Boozman of Arkansas has been one of the leaders in the push for legislation broadening access to high-speed internet.
In an email to Voice of America, Boozman wrote that investing in affordable, high-speed internet would strengthen the American economy. He applauded President Donald Trump for signing an executive order earlier this year to expand broadband access into rural areas but said the issue needs attention from “all levels of government.”
“There is a sense of urgency in the need to close the rural broadband gap. Today, reliable connectivity is just as essential as traditional infrastructure like roads and bridges,” Boozman wrote. “I’ve seen students sitting in the back of pickup trucks outside of schools in order to access the internet to complete their homework.”
Alisha Summerville feels that urgency. She’s a co-owner of the online store ASK Apparel, which launched last year and is based in Pangburn. Even though she relies on her smartphone to do most of her work, the store earns $10,000 to $15,000 a month from online purchases and sells to customers in 18 states.
The store earns an additional $5,000 to $10,000 through a brick-and-mortar store in the neighboring town of Heber Springs, but Summerville says the company was set up to serve online shoppers and it encourages foot traffic to become online traffic.
“That’s where business is going,” Summerville said of internet sales.
Summerville says she takes her internet connection into consideration every single time she makes a decision — from marketing and design to the equipment she uses. Having better broadband access at home would mean she could accomplish a lot more.
“When your internet is down, so is your business,” Summerville said. “When I’m thinking about internet, and I’m thinking about sales, I’m thinking about how much further we could reach.”
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In an otherwise innocuous part of Facebook’s expansive Silicon Valley campus, a locked door bears a taped-on sign that reads “War Room.” Behind the door lies a nerve center the social network has set up to combat fake accounts and bogus news stories ahead of upcoming elections.
Inside the room are dozens of employees staring intently at their monitors while data streams across giant dashboards. On the walls are posters of the sort Facebook frequently uses to caution or exhort its employees. One reads, “Nothing at Facebook is somebody else’s problem.”
That motto might strike some as ironic, given that the war room was created to counter threats that almost no one at the company, least of all CEO Mark Zuckerberg, took seriously just two years ago — and which the company’s critics now believe pose a threat to democracy.
Days after President Donald Trump’s surprise victory, Zuckerberg brushed off assertions that the outcome had been influenced by fictional news stories on Facebook, calling the idea ”pretty crazy .”
But Facebook’s blase attitude shifted as criticism of the company mounted in Congress and elsewhere. Later that year, it acknowledged having run thousands of ads promoting false information placed by Russian agents. Zuckerberg eventually made fixing Facebook his personal challenge for 2018.
The war room is a major part of Facebook’s ongoing repairs. Its technology draws upon the artificial-intelligence system Facebook has been using to help identify “inauthentic” posts and user behavior. Facebook provided a tightly controlled glimpse at its war room to The Associated Press and other media ahead of the second round of presidential elections in Brazil on Oct. 28 and the U.S. midterm elections on Nov. 6.
“There is no substitute for physical, real-world interaction,” said Samidh Chakrabarti, Facebook’s director of elections and civic engagement. “The primary thing we have learned is just how effective it is to have people in the same room all together.”
More than 20 different teams now coordinate the efforts of more than 20,000 people — mostly contractors — devoted to blocking fake accounts and fictional news and stopping other abuses on Facebook and its other services. As part of the crackdown, Facebook also has hired fact checkers, including The Associated Press, to vet new stories posted on its social network.
Facebook credits its war room and other stepped-up patrolling efforts for booting 1.3 billion fake accounts over the past year and jettisoning hundreds of pages set up by foreign governments and other agents looking to create mischief.
But it remains unclear whether Facebook is doing enough, said Angelo Carusone, president of Media Matters For America, a liberal group that monitors misinformation. He noted that the sensational themes distributed in fictional news stories can be highly effective at keeping people “engaged” on Facebook — which in turn makes it possible to sell more of the ads that generate most of Facebook’s revenue.
“What they are doing so far seems to be more about trying to prevent another public relations disaster and less so about putting in meaningful solutions to the problem,” Carusone said. “On balance, I would say they that are still way off.”
Facebook disagrees with that assessment, although its efforts are still a work in progress. Chakrabarti, for instance, acknowledged that some “bugs” prevented Facebook from taking some unspecified actions to prevent manipulation efforts in the first round of Brazil’s presidential election earlier this month. He declined to elaborate.
The war room is currently focused on Brazil’s next round of elections and upcoming U.S. midterms. Large U.S. and Brazilian flags hang on opposing walls and clocks show the time in both countries.
Facebook declined to let the media scrutinize the computer screens in front of the employees, and required reporters to refrain from mentioning some of the equipment inside the war room, calling it “proprietary information.” While on duty, war-room workers are only allowed to leave the room for short bathroom breaks or to grab food to eat at their desks.
Although no final decisions have been made, the war room is likely to become a permanent fixture at Facebook, said Katie Harbath, Facebook’s director of global politics and government outreach.
“It is a constant arms race,” she said. “This is our new normal.”
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A senior health official in Uganda says “the situation is being handled well” in neighboring Congo after the World Health Organization said the latest Ebola outbreak there is not yet a global emergency.
But Uganda’s director of health services, Henry Mwebesa, tells The Associated Press that twice-weekly market days during which 10,000 Congolese cross into Uganda have put the country at “big risk.”
He says unofficial border crossing points also are a cause for concern.
This outbreak of the highly infectious Ebola virus in northeastern Congo has killed 107 people.
Mwebesa says 222 suspected cases of Ebola have been identified and isolated in Uganda but none have tested positive. He says travelers arriving from Congo are screened for a high body temperature.
Uganda has had five Ebola outbreaks since 2000.
In the late 1960s, while fledgling new retailers Walmart, Kohl’s, Kmart and Target were hard at work establishing a foothold in the hearts, minds and wallets of the American consumer, the nation’s dominant retailer was busy building the world’s tallest building.
In pouring its funds and focus into Chicago’s Sears Tower, America’s original super-store may have unwittingly become the architect of its own long, slow and painful demise.
“Walmart, the strongest of all those four, wasn’t anywhere near where Sears was for a couple of decades,” says James Schrager, professor of entrepreneurship and strategy at the University of Chicago’s Booth School of Business. “So, if Sears was on top of things, even in the early 80s, they could have been Target or a better version of Kmart, they could have been any of that. But they sat on their hands and built their tower in 1969 instead.”
It’s been a precipitous fall for the one-time retail powerhouse, which this week filed for bankruptcy after years of losses.
Established 123 years ago, Sears was literally the place where America shopped, as its tagline boasted.
Sears had everything from clothing and toys, to tools and appliances. It even sold housing kits. Thousands of Sears homes still stand across America today. For decades, American families eagerly awaited the delivery of the retailer’s several-inches thick mail order catalogues.
The secret to Sears’ success was being able to stay ahead of the market, according to Schrager.
From small stores in small towns, to big stores in downtowns in the 1920s; to a thriving catalogue business for smaller outposts, the main way America shopped right through to the 1950s and 60s; and then the switch to anchor stores in shopping malls through the late 1970s, Sears was always on the move, changing with the times.
But then the retailer seemed to stop evolving.
While the Walmarts and Targets of the world recognized the value of moving away from shopping centers and opening massive spaces in strip malls where customers could park right in front of the store, Sears stayed at the mall.
The competition also developed individual identities and expertise. Target became known for its upscale, fashion-oriented approach, Walmart for superior logistics in smaller towns, and Kohl’s had fashion-only soft goods, says Schrager.
Meanwhile, Sears seemed to lose its focus.
“Sears slowly lost track of its retail business by being fascinated with other things,” Schrager says. “In 1969, they began to build the tallest building in the world, that took a lot of time away from the business. They bought a stock brokerage company, which they had no business doing. They bought a real estate company, which they had no business doing. They developed a wonderful credit card called Discover, which has nothing to do with retailing.”
And along the way, the type of people at the top, the people making the business decisions, changed.
“Merchants are the lifeline of the business and Sears allowed them to wither,” Schrager says. “How do we know that? Because, after a while, Sears wasn’t getting a merchant to run the business. They were getting a financier or a marketer or someone other than a dirty-fingernails merchant who spent their life trying to beat the merchant down the street.”
Edward Lampert, Sears’ most recent CEO and majority shareholder, is a hedge fund billionaire. He took over in 2013 and expressed hopes of turning the company around.
Although Sears just filed for bankruptcy protection this week, Schrager believes the final death blow for the retailer occurred back in the early 1990s.
That’s when previous company executives decided to sell off the profitable parts of the business, while keeping the failing stores. In 1993, Sears shed the Discover credit card, its real estate company Coldwell Banker, and its Dean Witter Reynolds stock brokerage. Allstate, its insurance company, followed in 1995.
“There’s nothing left. Retail walks by you,” Schrager says. “You can’t stand still, and Sears has been standing still since 1969. That’s a very long time. The world has evolved two of three times since then…it’s over.”
While one-time competitors like Walmart, Target and Kohl’s continue to change and thrive, Kmart, which is now operated by Sears Holdings, is also in financial trouble because, Schrager says, it too failed to change with the times.
As for the one-time king of the pack, the next time consumers get excited about buying something at Sears could be when the bankruptcy court rules that the place where America once shopped must itself now be broken apart and sold off for the best possible price.
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The Trump administration has again declined to label China a currency manipulator, but says it is keeping China and five other nations on a watch list.
“Of particular concern are China’s lack of currency transparency and the recent weakness in its currency,” U.S. Treasury Secretary Steven Mnuchin said in his biannual report to Congress.
“Those pose major challenges to achieving fairer and more balanced trade and we will continue to monitor and review China’s currency practices, including thorough ongoing discussions with the People’s Bank of China,” he said.
Mnuchin said China — along with Germany, India, Japan, South Korea and Switzerland — would be placed on a list of countries whose currency practices require what the report calls “close attention.”
Governments manipulate currency by keeping the exchange rates artificially low to make its goods and services cheaper on the world market.
But that puts trading partners and others at a disadvantage. President Donald Trump promised throughout the campaign to label China a currency manipulator once he got into office, but so far he has declined to do so.
Instead, Trump has imposed tariffs on billions of dollars’ worth of Chinese imports to address what he says are unfair trade practices and the trade deficit.
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The traditional way for doctors to treat certain illnesses has been to prescribe medications. But as technology advances, researchers are working on new ways of treating symptoms that do not require drugs. One promising possibility: using tiny magnetic particles to treat pain. VOA’s Elizabeth Lee visited one lab at the University of California, Los Angeles, to find out how they work.
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Jubilant customers stood in long lines for hours then lit up and celebrated on sidewalks Wednesday as Canada became the world’s largest legal marijuana marketplace.
In Toronto, people smoked joints as soon as they rolled out of bed in a big “wake and bake” celebration. In Alberta, a government website that sells pot crashed when too many people tried to place orders.
And in Montreal, Graeme Campbell welcomed the day he could easily buy all the pot he wanted.
“It’s hard to find people to sell to me because I look like a cop,” the clean-cut, 43-year-old computer programmer said outside a newly opened pot store.
He and his friend Alex Lacrosse were smoking a joint when two police officers walked by. “I passed you a joint right in front of them and they didn’t even bat an eye,” Lacrosse told his friend.
Festivities erupted throughout the nation as Canada became the largest country on the planet with legal marijuana sales. At least 111 pot shops were expected to open Wednesday across the nation of 37 million people, with many more to come, according to an Associated Press survey of the provinces. Uruguay was the first country to legalize marijuana.
Ian Power was first in line at a store in St. John’s, but didn’t plan to smoke the one gram he bought after midnight.
“I am going to frame it and hang it on my wall,” the 46-year-old Power said. “I’m going to save it forever.”
Tom Clarke, an illegal pot dealer for three decades, opened a pot store in Portugal Cove, Newfoundland, and made his first sale to his dad. He was cheered by the crowd waiting in line.
“This is awesome. I’ve been waiting my whole life for this,” Clarke said. “I am so happy to be living in Canada right now instead of south of the border.”
Promise of pardons
The start of legal sales wasn’t the only good news for pot aficionados: Canada said it intends to pardon everyone with convictions for possessing up to 30 grams of marijuana, the newly legal threshold.
“I don’t need to be a criminal anymore, and that’s a great feeling,” Canadian singer Ashley MacIsaac said outside a government-run shop in Nova Scotia. “And my new dealer is the prime minister!”
Medical marijuana has been legal since 2001 in Canada, and Prime Minister Justin Trudeau’s government has spent the past two years working toward legalizing recreational pot to better reflect society’s changing opinion about marijuana and bring black-market operators into a regulated system.
Corey Stone and a friend got to one of the 12 stores that opened in Quebec at 3:45 a.m. to be among the first to buy pot. Hundreds later lined up.
“It’s a once-in-a-lifetime thing — you’re never ever going to be one of the first people able to buy legal recreational cannabis in Canada ever again,” said Stone, a 32-year restaurant and bar manager.
Shop in stores, online
The stores have a sterile look, like a modern clinic, with a security desk to check identification. The products are displayed in plastic or cardboard packages behind counters. Buyers can’t touch or smell the products before they buy. A small team of employees answer questions but don’t make recommendations.
“It’s a candy store, I like the experience,” said Vincent Desjardins, a 20-year-old-student who plans to apply for a job at the Montreal shop.
Canadians can also order marijuana products through websites run by provinces or private retailers and have it delivered to their home by mail.
At 12:07 a.m., the Alberta Liquor and Gaming Commission tweeted: “You like us! Our website is experiencing some heavy traffic. We are working hard to get it up and running.”
Alberta and Quebec have set the minimum age for purchase at 18, while other provinces have made it 19.
No stores will open in Ontario, which includes Toronto. The nation’s most populous province is working on its regulations and doesn’t expect stores to operate until spring.
A patchwork of regulations has spread in Canada as each province takes its own approach within the framework established by the federal government. Some provinces have government-run stores, others allow private retailers, and some have both.
Canada’s national approach allows unfettered banking for the pot industry, inter-province shipments of cannabis and billions of dollars in investment — a sharp contrast with prohibitions in the United States, where nine states have legalized recreational sales of pot and more than 30 have approved medical marijuana.
Bruce Linton, CEO of marijuana producer and retailer Canopy Growth, claims he made the first sale in Canada — less than a second after midnight in Newfoundland.
“It was extremely emotional,” he said. “Several people who work for us have been working on this for their entire adult life and several of them were in tears.”
Linton is proud that Canada is now at the forefront of the burgeoning industry.
“The last time Canada was this far ahead in anything, Alexander Graham Bell made a phone call,” said Linton, whose company recently received an investment of $4 billion from Constellation Brands, whose holdings include Corona beer and Robert Mondavi wines.
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An emergency committee convened by the World Health Organization has decided that the Ebola outbreak in eastern Democratic Republic of the Congo does not constitute a public health emergency of international concern.
The WHO said Wednesday that 216 cases of Ebola and 139 deaths had been reported, and its International Health Regulations Emergency Committee said the outbreak was a matter of serious concern, especially since it is occurring in an area of conflict in eastern DRC. It said this posed problems for health workers who need to move around freely and track people who are infected with the virus and need treatment.
But the committee said that one reason it did not regard the outbreak as a global threat was that the virus had not spread into neighboring countries.
Committee Chairman Robert Steffan said the international response to the outbreak had been very good. He said WHO and other agencies had achieved quite a lot since the outbreak was declared Aug. 1. In fact, he said the disease was being brought under control in North Kivu province.
The disease is flaring up in another province, and the response is being concentrated in this area, he said, “so we do have some optimism that this outbreak, just like the one in May, will be brought under control within reasonable time.”
Steffan said the committee agreed that declaring an international emergency at this time would hinder efforts to contain the Ebola virus. He said a declaration would have implications for travel and trade, making it difficult for needed experts and supplies to access the affected areas.
However, as a precaution, WHO recommended exit screenings, including at airports, ports and land crossings. But it noted that entry screenings, particularly in distant airports, would have no public health benefit and would be costly.
WHO advised DRC’s nine neighboring countries that they were at high risk of having the disease spread into their territories, and it said it was supporting them with equipment and personnel. It said these preparedness activities were expensive and would require substantial financial support from the international community.
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Electric auto brand Tesla Inc. said it signed an agreement Wednesday to secure land in Shanghai for its first factory outside the United States, pushing ahead with development despite mounting U.S.-Chinese trade tensions.
Tesla, based on Palo Alto, California, announced plans for the Shanghai factory in July after the Chinese government said it would end restrictions on full foreign ownership of electric vehicle makers to speed up industry development.
Those plans have gone ahead despite tariff hikes by Washington and Beijing on billions of dollars of each other’s goods in a dispute over Chinese technology policy. U.S. imports targeted by Beijing’s penalties include electric cars.
China is the biggest global electric vehicle market and Tesla’s second-largest after the United States.
Tesla joins global automakers including General Motors Co., Volkswagen AG and Nissan Motor Corp. that are pouring billions of dollars into manufacturing electric vehicles in China.
Local production would eliminate risks from tariffs and other import controls. It would help Tesla develop parts suppliers to support after service and make its vehicles more appealing to mainstream Chinese buyers.
Tesla said it signed a “land transfer agreement” on a 210-acre (84-hectare) site in the Lingang district in southeastern Shanghai.
That is “an important milestone for what will be our next advanced, sustainably developed manufacturing site,” Tesla’s vice president of worldwide sales, Robin Ren, said in a statement.
Shanghai is a center of China’s auto industry and home to state-owned Shanghai Automotive Industries Corp., the main local manufacturer for GM and VW.
Tesla said earlier that production in Shanghai would begin two to three years after construction of the factory begins and eventually increase to 500,000 vehicles annually.
Tesla has yet to give a price tag but the Shanghai government said it would be the biggest foreign investment there to date. The company said in its second-quarter investor letter that construction is expected to begin within the next few quarters, with significant investment coming next year. Much of the cost will be funded with “local debt” the letter said.
Tesla’s $5 billion Nevada battery factory was financed with help from a $1.6 billion investment by battery maker Panasonic Corp.
Analysts expect Tesla to report a loss of about $200 million for the three months ending Sept. 30 following the previous quarter’s $742.7 million loss. Its CEO Elon Musk said in a Sept. 30 letter to U.S. securities regulators that the company is “very close to achieving profitability.”
Tesla’s estimated sales in China of under 15,000 vehicles in 2017 gave it a market share of less than 3 percent.
The company faces competition from Chinese brands including BYD Auto and BAIC Group that already sell tens of thousands of hybrid and pure-electric sedans and SUVs annually.
Until now, foreign automakers that wanted to manufacture in China were required to work through state-owned partners. Foreign brands balked at bringing electric vehicle technology into China to avoid having to share it with potential future competitors.
The first of the new electric models being developed by global automakers to hit the market, Nissan’s Sylphy Zero Emission, began rolling off a production line in southern China in August.
Lower-priced electric models from GM, Volkswagen and other global brands are due to hit the market starting this year, well before Tesla is up and running in Shanghai.
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Twitter has released a collection of more than 10 million tweets it says are related to foreign efforts to influence U.S. elections going back a decade, including many tied to Russia’s digital efforts to sow chaos and sway the 2016 election in favor of Donald Trump.
Twitter says it made the cache, which includes tweets from Iran and Russia’s state-sponsored troll farm, Internet Research Agency, available so researchers around the world could conduct their own analyses.
The non-partisan Atlantic Council’s Digital Forensic Research Lab has been looking through the collection since last week. In a preliminary analysis posted on Medium, the online publishing platform, the Lab noted operators from Iran and Russia appeared to have targeted politically polarized groups in order to maximize divisiveness in the United States’ political scene.
“The Russian trolls were non-partisan: they tried to inflame everybody, regardless of race, creed, politics, or sexual orientation,” the Lab noted, “On many occasions, they pushed both sides of divisive issues.”
Sifting through the collection is no small task. The entire set, available for public download on Twitter’s news blog, encompasses spreadsheets and archived tweets from 3,841 Russian-linked accounts and 770 Iran-linked accounts. The downloads add up to more than 450 gigabytes of data.
The micro-blogging company said in its post, “They include more than 10 million tweets and more than two million images, GIFs, videos, and Periscope broadcasts, including the earliest Twitter activity from accounts connected with these campaigns, dating back to 2009….”
Twitter has taken increasing steps to generate public goodwill over its perceived connection to Russian attempts to sway the 2016 election and its role in the spread of fake news. In January, the company notified about 1.4 million users that they had interacted with Russia-linked accounts during the election or had followed those accounts at the time they were suspended.
On Wednesday, Twitter released a collection of more than 10 million tweets related to thousands of accounts affiliated with Russia’s Internet Research Agency propaganda organization, as well as hundreds more troll accounts, including many based in Iran.
The data, analyzed and released in a report by The Atlantic Council’s Digital Forensic Research Lab, are made up of 3,841 accounts affiliated with the Russia-based Internet Research Agency, 770 other accounts potentially based in Iran as well as 10 million tweets and more than 2 million images, videos and other media.
Russian trolls targeting U.S. politics took on personas from both the left and the right. Their primary goal appears to have been to sow discord, rather than promote any particular side, presumably with a goal of weakening the United States, the report said.
DFRlab says the Russian trolls were often effective, drawing tens of thousands of retweets on certain posts including from celebrity commentators like conservative Ann Coulter.
Some of the tweets posted:
“Judgement Day is here. Please vote #TrumpPence16 to save our great nation from destruction! #draintheswamp #TrumpForPresident,” said a fake Election Day tweet in 2016.
“Daily reminder: Trump still hasn’t imposed sanctions on Russia that were passed 4,193 in the House and 982 in the Senate. Shouldn’t that be grounds for impeachment?” said another tweet in March of this year.
Multiple goals
The Russian operation had multiple goals, including interfering in the U.S. presidential election, polarizing online communities, and weakening trust in American institutions, according to the DFRLab.
“The thing to understand is that the Russians were equal opportunity partisans,” Graham Brookie, one of the researchers behind the analysis, told VOA News. “There was a very specific focus on specific ideological communities and specific demographics.”
Following an initial push to prevent Hillary Clinton from being elected in 2016, the analysis identified a “second wave” of fake accounts, many of which were focused on infiltrating anti-Trump groups, especially those identified with the “Resistance” movement, exploiting sensitive issues such as race relations and gun violence. These often achieved greater impact than their conservative counterparts.
“Don’t ever tell me kneeling for the flag is disrespectful to our troops when Trump calls a sitting Senator “Pocahontas” in front of Native American war heroes,” tweeted an account posing as an African-American woman named “Luisa Haynes” under the handle @wokeluisa in November 2017. The tweet garnered more than 32,000 retweets and over 89,000 likes.
“They tried to inflame everybody, regardless of race, creed, politics or sexual orientation,” the Lab noted in its analysis. “On many occasions, they pushed both sides of divisive issues.”
Iran trolling
Iran’s trolling was primarily focused on promoting its own interests, including attacking regional rivals like Israel and Saudi Arabia.
However, Iran’s trolling was less effective than the Russian posts, with most tweets getting limited responses.
This was partially because of posting styles that were less inflammatory, according to the report.
“Few of the accounts showed distinctive personalities: They largely shared online articles,” according to the report. “As such, they were a poor fit for Twitter, where personal comment tends to resonate more strongly than website shares.” Generally, many troll posts were ineffective, and “their operations were washed away in the firehose of Twitter.”
All of the accounts linked to the massive trove of tweets released by Twitter have been suspended or deleted, and the analysis notes that overall activity from suspected Russian trolls fell this year after Twitter clampdowns in September and June 2017.
But, that does not mean political trolls do not still pose a threat.
“Identifying future foreign influence operations, and reducing their impact, will demand awareness and resilience from the activist communities targeted, not just the platforms and the open source community,” according to the report.
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Western corporate chiefs are continuing to pull out of an investment conference in Saudi Arabia next week, distancing themselves from questions about Riyadh’s involvement in the disappearance and alleged killing of a U.S.-based Saudi journalist in Turkey.
At first, many of the business leaders reserved judgment on what happened to the missing journalist, Jamal Khashoggi. But as reports from Turkey have mounted alleging that Saudi agents tortured, killed and dismembered Khashoggi two weeks ago inside the country’s consulate in Istanbul, the chief executives have announced in recent days they will not be attending the three-day Future Investment Initiative conference in Riyadh starting Tuesday.
Saudi Arabia has denied killing Khashoggi, a critic of the country’s de facto leader, Crown Prince Mohammed bin Salman, in columns he wrote for The Washington Post. It says it will disclose the results of its investigation into his disappearance.
The conference is being organized by Saudi Arabia’s mammoth sovereign wealth fund and was being billed as a showcase for economic reforms advanced by the crown prince as he attempts to diversify the kingdom’s economy, for decades focused on its role as the world’s leading oil exporter. The gathering had been dubbed “Davos in the Desert,” after the annual meeting of world economic leaders in Switzerland.
JP Morgan chief executive Jamie Dimon and the heads of two top U.S. investment firms — BlackRock and Blackstone — have dropped out of the conference. Top executives at the Ford auto manufacturing company and the MasterCard credit company have said they won’t be going, while the Google internet search engine company said Tuesday that the head of its cloud computing business also would not be at the event.
The chiefs of European bankers BNP Paribas, Credit Suisse, HSBC, Standard Chartered and Societe Generale also rescinded acceptances to the conference.
U.S. President Donald Trump, who says Saudi Arabia should not be judged guilty in the incident while its investigation is being conducted, said Treasury Secretary Steven Mnuchin will decide by Friday whether to attend.
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Family size is closely linked to reproductive rights, according to the State of World Population 2018 report.
The U.N. report says people in developed countries tend to have lower fertility rates because of greater access to family planning services, modern contraceptives and age-appropriate sex education.
The director of the U.N. Population Fund office in Geneva, Monica Ferro, says in places where reproductive rights are constrained, either due to lack of resources or government mandates, people have a limited ability to choose the size of their families.
“Many sub-Saharan African countries, for example, have fertility rates of four or more births per woman,” Ferro said. “At the other end of the spectrum, you have some eastern Asian and European countries with fewer than two births per women. In both cases, individuals face obstacles to the full realization of their reproductive rights.”
The world population is expected to increase by 2.5 billion by 2050, to nearly 10 billion people, with sub-Saharan Africa expected to contribute more than half of that growth.
Women in Africa must overcome many legal and social barriers to achieve control of their fertility, Ferro said.
“Women may not have the access to medical services,” she told VOA. “They may not have the access to child care. They may not have access to all the institutional and social support that comes with being ready or being able to plan your fertility.”
To make freedom of choice a reality, the report urges countries to offer universal access to quality reproductive health care, including modern contraceptives and better education.
It also advocates for a change in men’s attitudes toward a woman’s right to choose the number, timing and spacing of children.
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U.S. regulators have cleared the way for farmers to grow a cotton plant genetically modified to make the cottonseed edible for people, a protein-packed potential new food source that could be especially useful in cotton-growing countries beset with malnutrition.
The U.S. Department of Agriculture Animal and Plant Health Inspection Service on Tuesday lifted the regulatory prohibition on cultivation by farmers of the cotton plant, which was developed by Texas A&M University scientists. The plant’s cottonseed cannot be used as food for people or as animal feed yet in the United States because it lacks Food and Drug Administration approval.
Cotton is widely grown around the world, with its fiber used to make textiles and the cottonseed used among other things to feed animals such as cattle and sheep that have multiple stomach chambers. Ordinary cottonseed is unfit for humans and many animals to eat because it contains high levels of gossypol, a toxic chemical.
With financial help from a cotton industry group, scientists led by Texas A&M AgriLife Research plant biotechnologist Keerti Rathore used so-called RNAi, or RNA interference, technology to “silence” a gene, virtually eliminating gossypol from the cottonseed. They left gossypol at natural levels in the rest of the plant because it guards against insects and disease.
“To me, personally, it tastes somewhat like chickpea and it could easily be used to make a tasty hummus,” Rathore said of gossypol-free cottonseed.
After cottonseed oil, which can be used for cooking, is extracted, the remaining high-protein meal from the new cotton plant can find many uses, Rathore said.
It can be turned into flour for use in breads, tortillas and other baked goods and used in protein bars, while whole cottonseed kernels, roasted and salted, can be consumed as a snack or to create a peanut butter type of paste, Rathore added.
If all of the cottonseed currently produced worldwide were used for human nutrition, it could meet the daily protein requirements of about 575 million people, Rathore said.
Other countries would have to give regulatory approval for the new cotton plant to be grown, though U.S. regulatory action often is taken into consideration.
The new cottonseed’s biggest commercial use may be as feed for poultry, swine and farmed aquatic species like fish and shrimp, Rathore said.
Many of the world’s roughly 80 cotton-producing countries, especially in Asia and Africa, have populations that face malnutrition that could be addressed with the new plant, Rathore added.
Hackers have infected three energy and transport companies in Ukraine and Poland with sophisticated new malware and may be planning destructive cyber attacks, a software security firm said on Wednesday.
A report by researchers at Slovakia-based ESET did not attribute the hacking activity, recorded between 2015 and mid-2018, to any specific country but blamed it on a group that has been accused by Britain of having links to Russian military intelligence.
The report is the latest to raise suspicions in the West about Russia’s GRU spy agency, accused by London of conducting a “reckless campaign” of global cyber attacks and trying to kill a former Russian spy in England. Moscow denies the charges.
Investigators at ESET said the group responsible for a series of earlier attacks against the Ukrainian energy sector, which used malicious software known as BlackEnergy, had now developed and used a new malware suite called GreyEnergy.
ESET has helped investigate a series of high-profile cyber attacks on Ukraine in recent years, including those on the Ukrainian energy grid which led to power outages in late 2015.
Kiev has accused Moscow of orchestrating those attacks, while U.S. cybersecurity firm FireEye says a group known as Sandworm is thought to be responsible. Britain’s GCHQ spy agency said this month that BlackEnergy Actors and Sandworm are both names associated with the GRU.
“The important thing is that they are still active,” ESET researcher Robert Lipovsky told Reuters. “This shows that this very dangerous and persistent ‘threat actor’ is still active.”
Kremlin spokesman Dmitry Peskov said there was no evidence to support the allegations against the GRU and that Russia does not use cyber attacks against other countries.
“These are just more accusations. We are tired of denying them, because no one is listening,” he said.
After infection via emails laced with malicious weblinks or documents – a tactic known as “spear phishing” – or by compromising servers exposed to the internet, GreyEnergy allowed the attackers to map out their victim’s networks and gather confidential information such as passwords and login credentials, ESET said.
Lipovsky said his team then saw the hackers seek out critical parts of the companies’ systems, including computers which ran industrial control processes.
“It is my understanding that this was the reconnaissance and espionage phase, potentially leading up to cyber sabotage,” he said.
Global hacking campaign
The ESET report did not name the three companies infected in Ukraine and Poland, and Reuters was unable to identify them.
Ukraine’s Cyber Police confirmed the attacks on two Ukrainian companies but declined to give any further details. Polish authorities did not respond to requests for comment.
Ben Read, a senior manager on FireEye’s espionage analysis team, said his own work corroborated ESET’s report and that the Sandworm group was probably responsible.
The activity “is similar to the group we track as Sandworm,” he said. “And activity that we attribute to Sandworm has been named by the U.S. Department of Justice as being the GRU.”
Western countries including Britain and the United States issued a coordinated denunciation of Russia as a “pariah state” this month for what they described as a global hacking campaign run by the GRU.
GRU hackers have targeted institutions ranging from sports anti-doping bodies to a nuclear power company and the world chemical weapons watchdog, they said, as well as releasing the devastating “NotPetya” cyber worm which caused billions of dollars of damage worldwide in 2017.
The GRU, now formally known in Russia by a shorter acronym GU, is also accused by Britain of carrying out a nerve agent attack in England on former GRU officer Sergei Skripal. Moscow’s relations with the West have hit a post-Cold War low over Russia’s role in the conflicts in Ukraine and Syria.
Lipovsky and fellow ESET researcher Anton Cherepanov said the BlackEnergy attackers’ decision to upgrade to the new GreyEnergy malware may have been motivated by a need to cover their tracks and deflect attention from their activities.
The power outages triggered by the BlackEnergy attacks in Ukraine in December 2015 drew international attention and are recognised as the first blackout caused by a cyber attack.
“Threat actors need to switch up their arsenal from time to time,” Lipovsky said.