The federal government will pay out $185 million in fiscal 2022 as part of a $1 billion state and local cybersecurity grant program included in the bipartisan infrastructure law, the Department of Homeland Security announced Friday. Applicants have 60 days to apply for a grant. “Investing in securing our digital infrastructure is a national security necessity, and all levels of government must partner together to better defend against cyberattacks,” said House Homeland Security Committee Chairman Bennie Thompson, D-Miss., in a joint statement with House Cybersecurity Subcommittee Chair Yvette Clarke, D-N.Y., who proposed the grant program with her State and Local Cybersecurity Improvement Act.
YouTube, Twitch, Microsoft and Meta joined the White House Thursday in announcing collaborative efforts to design products in an effort to curb online extremism and hate. President Joe Biden hosted the United We Stand Summit to “counter the corrosive effects of hate-fueled violence,” citing impacts of attacks and mass shootings in places like Orlando, Charleston, Pittsburgh, El Paso, Atlanta, Buffalo and Wisconsin's Oak Creek. Government agencies will use feedback and consultation to “carefully evaluate government support following past incidents and offer recommendations for improvements in the delivery of government assistance,” the White House said. YouTube is expanding policies for “removing content glorifying violent acts for the purpose of inspiring others to commit harm.” Twitch will deploy new tools for combating violent livestream content. Microsoft will deploy artificial intelligence and machine learning “tools with appropriate privacy protections that can help detect credible threats of violence or to public safety, and is making a basic, more affordable version of these tools accessible to schools and smaller organizations to assist in violence prevention.” Meta established a partnership with the Middlebury Institute of International Studies’ Center on Terrorism, Extremism and Counterterrorism to study “trends in violent extremism and tools that help communities combat it.”
Adobe agreed to buy Figma, a web-first collaborative design platform, for about $20 billion in cash and stock, Adobe said Thursday. “Figma’s web-based, multi-player capabilities will accelerate the delivery of Adobe’s Creative Cloud technologies on the web, making the creative process more productive and accessible to more people,” said Adobe. The transaction, expected to close in 2023, awaits the approval of Figma’s shareholders.
The European Commission rightly decided that Google breached antitrust law by placing illegal restrictions on makers of Android mobile devices and mobile network operators to consolidate its dominant position in the search market, the European Court of Justice General Court ruled Wednesday. However, it reduced the fine set in the 2018 decision (see 1807180003) from 4.34 billion euros ($5.1 billion then) to 4.125 billion euros ($4.1 billion today). The EC found Google breached competition rules by imposing several contract restrictions: (1) It required mobile device manufacturers to pre-install its general search app (Google Search) and browser app (Chrome) in order to obtain a license to use its app store. (2) It barred manufacturers wishing to pre-install Google apps from selling devices running versions of Android not approved by Google. (3) It granted mobile device makers and MNOs a percentage of its advertising revenue only if they agreed not to pre-install a competing search service on any device within an agreed portfolio. The company contested the decision. The high court, however, upheld most of the EC judgment, annulling only the part that found the portfolio-based revenue share agreements themselves amounted to an antitrust abuse. It lowered the fine based on its own assessment of how intentional Google's actions were and the value of relevant sales the search giant made in the last years it fully participated in the infringement. Google emailed it's "disappointed that the Court did not annul the decision in full. Android has created more choice for everyone, not less, and supports thousands of successful businesses in Europe and around the world." The EC emailed that it "takes note of" the judgment and will decide on possible next steps. The ruling won cheers from consumers and Google competitors. It confirmed that European consumers must have a meaningful choice among search engines and browsers on their devices, said European Consumer Organisation Director General Monique Goyens. The decision vindicates the EC and the 2013 FairSearch complaint that started the case, FairSearch counsel Thomas Vinje emailed: "This victory will embolden the Commission in enforcing its new regulation in Big Tech, the Digital Markets Act."
Amazon “stifled competition and caused increased prices” in California through “anticompetitive contracting practices” that violate state law, California Attorney General Rob Bonta (D) alleged in a lawsuit announced Wednesday. To avoid competing with other e-commerce platforms, Amazon “requires merchants to enter into agreements that severely penalize them if their products are offered for a lower price off-Amazon,” resulting in higher prices for consumers, Bonta’s office said. The case is “exactly backwards’ much like a similar case from Washington, D.C., AG Karl Racine (D), the company said in a statement: “Sellers set their own prices for the products they offer in our store. Amazon takes pride in the fact that we offer low prices across the broadest selection, and like any store we reserve the right not to highlight offers to customers that are not priced competitively.” The relief Bonta seeks “would force Amazon to feature higher prices to customers, oddly going against core objectives of antitrust law,” Amazon said.
Seventeen states can proceed with their lawsuit claiming Google monopolized digital advertising through an agreement with Facebook, the U.S. District Court in Manhattan ruled Tuesday in 1:21-md-03010 (see 2203220062). The state attorneys general, from states and territories including Texas, Nevada, Puerto Rico and Utah, “have plausibly alleged that Google has monopoly power in and willfully engaged in anticompetitive conduct,” the court said. Texas AG Ken Paxton (R) said his office looks forward to a “jury hearing how this Big Tech giant abused its monopoly power by harming consumers to reap billions in monopoly profits.” His office noted the court allowed the states to proceed on all counts related to Sherman Act Section 2. The decision shows the states’ case is “deeply flawed,” Google said in a statement, noting the court dismissed allegations regarding Google’s open bidding agreement with Meta, the “centerpiece” of the case. “Advertising technology is a fiercely competitive industry -- and our products increase choice for publishers, advertisers and consumers while enabling small businesses to affordably find new customers,” the company said.
California Gov. Gavin Newsom (D) on Tuesday signed a new law establishing transparency requirements for social media platforms’ content moderation practices (see 2208310049). Social media transparency was a major focal point during a Senate Homeland Security Committee hearing on Capitol Hill Wednesday (see 2209140067).Newsom signed AB-587, saying Californians “deserve to know” how platforms shape public discourse and how social media might be “weaponized” to spread disinformation and hate. The new law violates the First Amendment, “hands online predators a ‘roadmap’ to evade child protection measures, hinders platforms’ rapid response to online threats, and harms California’s small businesses, innovation, and competitiveness,” NetChoice said in a statement. The new law will “pull back the curtain and require tech companies to provide meaningful transparency into how they are shaping our public discourse and addressing hate speech, disinformation, and dangerous conspiracy theories,” said Assemblymember Jesse Gabriel (D), lead author.
Congress should consider comprehensive privacy legislation that enhances consumer protections and includes the “oversight authorities agencies should have,” the GAO said Tuesday. Though the FTC oversees internet privacy across all industries, it lacks a privacy law “governing private companies’ collection, use, or sale of internet users’ data, leaving consumers with limited assurance that their privacy will be protected,” the GAO said. Congress should strengthen the federal privacy framework to “reflect changes in technology and the marketplace,” the report said.
Global AI market revenue, including software, hardware and services, totaled $383.3 billion in 2021, a 20.7% increase from 2020, reported IDC Monday. IDC expects the AI market value will reach nearly $450 billion in 2022 and maintain a year-over-year growth rate in the high teens throughout the five-year forecast period ending in 2026, it said. "Across all industries and functions, end-user organizations are discovering the benefits of AI technologies, as increasingly powerful AI solutions are enabling better decision-making and higher productivity," said IDC analyst Rasmus Andsbjerg. “AI can be a source for fast-tracking digital transformation journeys, enable cost savings in times of staggering inflation rates and support automation efforts in times of labor shortages."
Google closed on its $5.4 billion buy of cybersecurity platform Mandiant in an all-cash deal (see 2203080002), said the buyer Monday. It will incorporate Mandiant into Google Cloud and keep the Mandiant brand, it said. Combining Google Cloud’s existing security portfolio with Mandiant’s cyberthreat intelligence “will allow us to deliver a security operations suite to help enterprises globally stay protected at every stage of the security lifecycle,” blogged Google Cloud CEO Thomas Kurian Monday.