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AI

FTC Chair: AI Models Could Violate Antitrust Laws (thehill.com) 42

An anonymous reader quotes a report from The Hill: Federal Trade Commission (FTC) Chair Lina Khan said Wednesday that companies that train their artificial intelligence (A) models on data from news websites, artists' creations or people's personal information could be in violation of antitrust laws. At The Wall Street Journal's "Future of Everything Festival," Khan said the FTC is examining ways in which major companies' data scraping could hinder competition or potentially violate people's privacy rights. "The FTC Act prohibits unfair methods of competition and unfair or deceptive acts or practices," Khan said at the event. "So, you can imagine, if somebody's content or information is being scraped that they have produced, and then is being used in ways to compete with them and to dislodge them from the market and divert businesses, in some cases, that could be an unfair method of competition."

Khan said concern also lies in companies using people's data without their knowledge or consent, which can also raise legal concerns. "We've also seen a lot of concern about deception, about unfairness, if firms are making one set of representations when you're signing up to use them, but then are secretly or quietly using the data you're feeding them -- be it your personal data, be it, if you're a business, your proprietary data, your competitively significant data -- if they're then using that to feed their models, to compete with you, to abuse your privacy, that can also raise legal concerns," she said.

Khan also recognized people's concerns about companies retroactively changing their terms of service to let them use customers' content, including personal photos or family videos, to feed into their AI models. "I think that's where people feel a sense of violation, that that's not really what they signed up for and oftentimes, they feel that they don't have recourse," Khan said. "Some of these services are essential for navigating day to day life," she continued, "and so, if the choice -- 'choice' -- you're being presented with is: sign off on not just being endlessly surveilled, but all of that data being fed into these models, or forego using these services entirely, I think that's a really tough spot to put people in." Khan said she thinks many government agencies have an important role to play as AI continues to develop, saying, "I think in Washington, there's increasingly a recognition that we can't, as a government, just be totally hands off and stand out of the way."
You can watch the interview with Khan here.
EU

UK Law Will Let Regulators Fine Big Tech Without Court Approval (theverge.com) 34

Emma Roth reports via The Verge: The UK could subject big tech companies to hefty fines if they don't comply with new rules meant to promote competition in digital markets. On Thursday, lawmakers passed the Digital Markets, Competition and Consumer Bill (DMCC) through Parliament, which will let regulators enforce rules without the help of the courts. The DMCC also addresses consumer protection issues by banning fake reviews, forcing companies to be more transparent about their subscription contracts, regulating secondary ticket sales, and getting rid of hidden fees. It will also force certain companies to report mergers to the UK's Competition and Markets Authority (CMA). The European Union enacted a similar law, called the Digital Markets Act (DMA).

Only the companies the CMA designates as having Strategic Market Status (SMS) have to comply. These SMS companies are described as having "substantial and entrenched market power" and "a position of strategic significance" in the UK. They must have a global revenue of more than 25 billion euros or UK revenue of more than 1 billion euros. The law will also give the CMA the authority to determine whether a company has broken a law, require compliance, and issue a fine -- all without going through the court system. The CMA can fine companies up to 10 percent of the total value of a business's global revenue for violating the new rules.

United States

California Advances Bill For Porn Site Age Verification (gizmodo.com) 166

California is another state lining up to pass a law requiring adult sites to verify the ages of porn watchers. From a report: The California State Assembly passed the Parent's Accountability and Child Protection Act that will require porn companies doing business in the state to verify that users are 18 years or older. This law would also affect other businesses such as fireworks, body branding, and even BB guns. Democrat Rebecca Bauer-Kahan and Republican Juan Alanis pushed for passage of the bill, which ended up receiving 65 out of possible 80 yes votes, and zero no votes with 15 assembly members listed as not voting. Before the bill becomes law, it still has to pass the State Senate and then be signed by Governor Gavin Newsom. Louisiana was the first state to pass an age verification law for adult sites in 2022. In the past year, several other states jumped on the bandwagon including Utah, Arkansas, Florida, Indiana, Mississippi, Montana, North Carolina, Texas, and Virginia.
Facebook

Mark Zuckerberg Assembles Team of Tech Execs For AI Advisory Council (qz.com) 17

An anonymous reader quotes a report from Quartz: Mark Zuckerberg has assembled some of his fellow tech chiefs into an advisory council to guide Meta on its artificial intelligence and product developments. The Meta Advisory Group will periodically meet with Meta's management team, Bloomberg reported. Its members include: Stripe CEO and co-founder Patrick Collison, former GitHub CEO Nat Friedman, Shopify CEO Tobi Lutke, and former Microsoft executive and investor Charlie Songhurst.

"I've come to deeply respect this group of people and their achievements in their respective areas, and I'm grateful that they're willing to share their perspectives with Meta at such an important time as we take on new opportunities with AI and the metaverse," Zuckerberg wrote in an internal note to Meta employees, according to Bloomberg. The advisory council differs from Meta's 11-person board of directors because its members are not elected by shareholders, nor do they have fiduciary duty to Meta, a Meta spokesperson told Bloomberg. The spokesperson said that the men will not be paid for their roles on the advisory council.
TechCrunch notes that the council features "only white men on it." This "differs from Meta's actual board of directors and its Oversight Board, which is more diverse in gender and racial representation," reports TechCrunch.

"It's telling that the AI advisory council is composed entirely of businesspeople and entrepreneurs, not ethicists or anyone with an academic or deep research background. ... it's been proven time and time again that AI isn't like other products. It's a risky business, and the consequences of getting it wrong can be far-reaching, particularly for marginalized groups."
Businesses

iFixit is Breaking Up With Samsung (theverge.com) 13

iFixit and Samsung are parting ways. Two years after they teamed up on one of the first direct-to-consumer phone repair programs, iFixit CEO and co-founder Kyle Wiens tells The Verge the two companies have failed to renegotiate a contract -- and says Samsung is to blame. From a report: "Samsung does not seem interested in enabling repair at scale," Wiens tells me, even though similar deals are going well with Google, Motorola, and HMD. He believes dropping Samsung shouldn't actually affect iFixit customers all that much. Instead of being Samsung's partner on genuine parts and approved repair manuals, iFixit will simply go it alone, the same way it's always done with Apple's iPhones. While Wiens wouldn't say who technically broke up with whom, he says price is the biggest reason the Samsung deal isn't working: Samsung's parts are priced so high, and its phones remain so difficult to repair, that customers just aren't buying.
United States

US Sues To Break Up Ticketmaster Owner, Live Nation (nytimes.com) 60

The Justice Department on Thursday said it was suing Live Nation Entertainment [non-paywalled link], the concert giant that owns Ticketmaster, asking a court to break up the company over claims it illegally maintained a monopoly in the live entertainment industry. From a report: In the lawsuit, which is joined by 29 states and the District of Columbia, the government accuses Live Nation of dominating the industry by locking venues into exclusive ticketing contracts, pressuring artists to use its services and threatening its rivals with financial retribution. Those tactics, the government argues, have resulted in higher ticket prices for consumers and have stifled innovation and competition throughout the industry.

"It is time to break up Live Nation-Ticketmaster," Merrick Garland, the attorney general, said in a statement announcing the suit, which is being filed in the U.S. District Court for the Southern District of New York. The lawsuit is a direct challenge to the business of Live Nation, a colossus of the entertainment industry and a force in the lives of musicians and fans alike. The case, filed 14 years after the government approved Live Nation's merger with Ticketmaster, has the potential to transform the multibillion-dollar concert industry. Live Nation's scale and reach far exceed those of any competitor, encompassing concert promotion, ticketing, artist management and the operation of hundreds of venues and festivals around the world.

Wireless Networking

Why Your Wi-Fi Router Doubles As an Apple AirTag (krebsonsecurity.com) 73

An anonymous reader quotes a report from Krebs On Security: Apple and the satellite-based broadband service Starlink each recently took steps to address new research into the potential security and privacy implications of how their services geo-locate devices. Researchers from the University of Maryland say they relied on publicly available data from Apple to track the location of billions of devices globally -- including non-Apple devices like Starlink systems -- and found they could use this data to monitor the destruction of Gaza, as well as the movements and in many cases identities of Russian and Ukrainian troops. At issue is the way that Apple collects and publicly shares information about the precise location of all Wi-Fi access points seen by its devices. Apple collects this location data to give Apple devices a crowdsourced, low-power alternative to constantly requesting global positioning system (GPS) coordinates.

Both Apple and Google operate their own Wi-Fi-based Positioning Systems (WPS) that obtain certain hardware identifiers from all wireless access points that come within range of their mobile devices. Both record the Media Access Control (MAC) address that a Wi-FI access point uses, known as a Basic Service Set Identifier or BSSID. Periodically, Apple and Google mobile devices will forward their locations -- by querying GPS and/or by using cellular towers as landmarks -- along with any nearby BSSIDs. This combination of data allows Apple and Google devices to figure out where they are within a few feet or meters, and it's what allows your mobile phone to continue displaying your planned route even when the device can't get a fix on GPS.

With Google's WPS, a wireless device submits a list of nearby Wi-Fi access point BSSIDs and their signal strengths -- via an application programming interface (API) request to Google -- whose WPS responds with the device's computed position. Google's WPS requires at least two BSSIDs to calculate a device's approximate position. Apple's WPS also accepts a list of nearby BSSIDs, but instead of computing the device's location based off the set of observed access points and their received signal strengths and then reporting that result to the user, Apple's API will return the geolocations of up to 400 hundred more BSSIDs that are nearby the one requested. It then uses approximately eight of those BSSIDs to work out the user's location based on known landmarks.

In essence, Google's WPS computes the user's location and shares it with the device. Apple's WPS gives its devices a large enough amount of data about the location of known access points in the area that the devices can do that estimation on their own. That's according to two researchers at the University of Maryland, who theorized they could use the verbosity of Apple's API to map the movement of individual devices into and out of virtually any defined area of the world. The UMD pair said they spent a month early in their research continuously querying the API, asking it for the location of more than a billion BSSIDs generated at random. They learned that while only about three million of those randomly generated BSSIDs were known to Apple's Wi-Fi geolocation API, Apple also returned an additional 488 million BSSID locations already stored in its WPS from other lookups.
"Plotting the locations returned by Apple's WPS between November 2022 and November 2023, Levin and Rye saw they had a near global view of the locations tied to more than two billion Wi-Fi access points," the report adds. "The map showed geolocated access points in nearly every corner of the globe, apart from almost the entirety of China, vast stretches of desert wilderness in central Australia and Africa, and deep in the rainforests of South America."

The researchers wrote: "We observe routers move between cities and countries, potentially representing their owner's relocation or a business transaction between an old and new owner. While there is not necessarily a 1-to-1 relationship between Wi-Fi routers and users, home routers typically only have several. If these users are vulnerable populations, such as those fleeing intimate partner violence or a stalker, their router simply being online can disclose their new location."

A copy of the UMD research is available here (PDF).
The Internet

Microsoft Edge Will Begin Blocking Screenshots On the Job (pcworld.com) 99

Microsoft is adding screenshot prevention controls in Edge to block you from taking screenshots at work. "It's all designed to prevent you from sharing screenshots with competitors, relatives, and journalists using Microsoft Edge for Business," reports PCWorld. From the report: Specifically, IT managers at corporations will be able to tag web pages as protected, as defined in various Microsoft policy engines in Microsoft 365, Microsoft Defender for Cloud Apps, Microsoft Intune Mobile Application Management and Microsoft Purview, Microsoft said. The screenshot prevention feature will be available to customers in the "coming months," Microsoft said. It's also unclear whether third-party tools will be somehow blocked from taking screenshots or recording video, too.

Microsoft will also roll out a way to force Edge for Business users to automatically update their browsers. The feature will enter a preview phase over the next few weeks, Microsoft said. "The Edge management service will enable IT admins to see which devices have Edge instances that are out of date and at risk," Microsoft said. "It will also provide mitigating controls, such as forcing a browser restart to install updates, enabling automatic browser updates or enabling enhanced security mode for added protections."

Businesses

Nvidia Reports a 262% Jump In Sales, 10-1 Stock Split (cnbc.com) 11

Nvidia reported fiscal first-quarter earnings surpassing expectations with strong forecasts, indicating sustained demand for its AI chips. Following the news, the company's stock rose over 6% in extended trading. Nvidia also said it was splitting its stock 10 to 1. CNBC reports: Nvidia said it expected sales of $28 billion in the current quarter. Wall Street was expecting earnings per share of $5.95 on sales of $26.61 billion, according to LSEG. Nvidia reported net income for the quarter of $14.88 billion, or $5.98 per share, compared with $2.04 billion, or 82 cents, in the year-ago period. [...] Nvidia said its data center category rose 427% from the year-ago quarter to $22.6 billion in revenue. Nvidia CFO Colette Kress said in a statement that it was due to shipments of the company's "Hopper" graphics processors, which include the company's H100 GPU.

Nvidia also highlighted strong sales of its networking parts, which are increasingly important as companies build clusters of tens of thousands of chips that need to be connected. Nvidia said that it had $3.2 billion in networking revenue, primarily its Infiniband products, which was over three times higher than last year's sales. Nvidia, before it became the top supplier to big companies building AI, was known primarily as a company making hardware for 3D gaming. The company's gaming revenue was up 18% during the quarter to $2.65 billion, which Nvidia attributed to strong demand.

The company also sells chips for cars and chips for advanced graphics workstations, which remain much smaller than its data center business. The company reported $427 million in professional visualization sales, and $329 million in automotive sales. Nvidia said it bought back $7.7 billion worth of its shares and paid $98 million in dividends during the quarter. Nvidia also said that it's increasing its quarterly cash dividend from 4 cents per share to 10 cents on a pre-split basis. After the split, the dividend will be a penny a share.

Businesses

CFPB Says Buy Now, Pay Later Firms Must Comply With US Credit Card Laws (cnbc.com) 14

The Consumer Financial Protection Bureau declared on Wednesday that customers of the burgeoning buy now, pay later industry have the same federal protections as users of credit cards. From a report: The agency unveiled what it called an "interpretive rule" that deemed BNPL lenders essentially the same as traditional credit card providers under the decades-old Truth in Lending Act. That means the industry -- currently dominated by fintech firms like Affirm, Klarna and PayPal -- must make refunds for returned products or canceled services, must investigate merchant disputes and pause payments during those probes, and must provide bills with fee disclosures.

"Regardless of whether a shopper swipes a credit card or uses Buy Now, Pay Later, they are entitled to important consumer protections under long-standing laws and regulations already on the books," CFPB Director Rohit Chopra said in a release. The CFPB, which last week was handed a crucial victory by the Supreme Court, has pushed hard against the U.S. financial industry, issuing rules that slashed credit card late fees and overdraft penalties. The agency, formed in the aftermath of the 2008 financial crisis, began investigating the BNPL industry in late 2021.

AI

Wearable AI Startup Humane Explores Potential Sale 18

AI startup Humane has been seeking a buyer for its business, Bloomberg News reported, citing people familiar with the matter, just weeks after the company's closely watched wearable AI device had a rocky public launch. From the report: The company is working with a financial adviser to assist it, said the people, who asked not to be identified because the matter is private. Humane is seeking a price of between $750 million and $1 billion in a sale [non-paywalled link], one person said. The process is still early and may not result in a deal. Humane was founded in 2018 by two longtime Apple veterans, the married couple Imran Chaudhri and Bethany Bongiorno, in an attempt to come up with a new, AI-powered device that could potentially rival the iPhone. Last year it was valued by investors at $850 million, according to tech news site the Information.
EU

EU Sets Benchmark For Rest of the World With Landmark AI Laws (reuters.com) 28

An anonymous reader quotes a report from Reuters: Europe's landmark rules on artificial intelligence will enter into force next month after EU countries endorsed on Tuesday a political deal reached in December, setting a potential global benchmark for a technology used in business and everyday life. The European Union's AI Act is more comprehensive than the United States' light-touch voluntary compliance approach while China's approach aims to maintain social stability and state control. The vote by EU countries came two months after EU lawmakers backed the AI legislation drafted by the European Commission in 2021 after making a number of key changes. [...]

The AI Act imposes strict transparency obligations on high-risk AI systems while such requirements for general-purpose AI models will be lighter. It restricts governments' use of real-time biometric surveillance in public spaces to cases of certain crimes, prevention of terrorist attacks and searches for people suspected of the most serious crimes. The new legislation will have an impact beyond the 27-country bloc, said Patrick van Eecke at law firm Cooley. "The Act will have global reach. Companies outside the EU who use EU customer data in their AI platforms will need to comply. Other countries and regions are likely to use the AI Act as a blueprint, just as they did with the GDPR," he said, referring to EU privacy rules.

While the new legislation will apply in 2026, bans on the use of artificial intelligence in social scoring, predictive policing and untargeted scraping of facial images from the internet or CCTV footage will kick in in six months once the new regulation enters into force. Obligations for general purpose AI models will apply after 12 months and rules for AI systems embedded into regulated products in 36 months. Fines for violations range from $8.2 million or 1.5% of turnover to 35 million euros or 7% of global turnover depending on the type of violations.

Businesses

IGN Scoops Up Eurogamer, Rock Paper Shotgun, and More (theverge.com) 9

It seems no industry is safe from consolidation, and the latest target is gaming media. From a report: IGN Entertainment has acquired the website portfolio of UK publisher Gamer Network, which operates a number of beloved games-focused publications. That list includes Gamesindustry.biz, Eurogamer, Rock Paper Shotgun, VG247, and the tabletop site Dicebreaker. The network also holds shares in sites like Nintendo Life and Digital Foundry.

Terms of the deal were not disclosed. Gamesindustry.biz reports that "some redundancies" have been made across the sites, though it's not clear how many workers have been impacted. According to several posts on X, editors at both Rock Paper Shotgun and Gamesindustry.biz have been laid off. IGN Entertainment is owned by Ziff Davis, which, in addition to IGN's site, also operates other subsidiaries like Humble Bundle.

Google

Google's Moonshot Factory Falls Back Down to Earth 25

Alphabet's moonshot factory, X, is scaling back its ambitious projects amid concerns over Google's core search business facing competition from AI chatbots like ChatGPT. The lab, once a symbol of Google's commitment to innovation, is now spinning off projects as startups rather than integrating them into Alphabet. The shift reflects a broader trend among tech giants, who are cutting costs and focusing on their core businesses in response to the rapidly evolving AI landscape.
Education

Microsoft Launches Free AI Assistant For All Educators in US in Deal With Khan Academy (nbcnewyork.com) 35

Microsoft is partnering with tutoring organization Khan Academy to provide a generative AI assistant to all teachers in the U.S. for free. From a report: Khanmigo for Teachers, which helps teachers prepare lessons for class, is free to all educators in the U.S. as of Tuesday. The program can help create lessons, analyze student performance, plan assignments, and provide teachers with opportunities to enhance their own learning.

"Unlike most things in technology and education in the past where this is a 'nice-to-have,' this is a 'must-have' for a lot of teachers," Sal Khan, founder and CEO of Khan Academy, said in a CNBC "Squawk Box" interview last Friday ahead of the deal. Khan Academy has roughly 170 million registered users in over 50 languages around the world, and while its videos are best known, its interactive exercise platform was one which Microsoft-funded artificial intelligence company OpenAI's top executives, Sam Altman and Greg Brockman, zeroed in on early when they were looking for a partner to pilot GPT with that offered socially positive use cases.

Google

Google Cuts Mystery Check To US In Bid To Sidestep Jury Trial (reuters.com) 38

An anonymous reader quotes a report from Reuters: Alphabet's Google has preemptively paid damages to the U.S. government, an unusual move aimed at avoiding a jury trial in the Justice Department's antitrust lawsuit over its digital advertising business. Google disclosed (PDF) the payment, but not the amount, in a court filing last week that said the case should be heard and decided by a judge directly. Without a monetary damages claim, Google argued, the government has no right to a jury trial. The Justice Department, which has not said if it will accept the payment, declined to comment on the filing. Google asserted that its check, which it said covered its alleged overcharges for online ads, allows it to sidestep a jury trial whether or not the government takes it.

The Justice Department filed the case last year with Virginia and other states, alleging Google was stifling competition for advertising technology. The government has said Google should be forced to sell its ad manager suite. Google, which has denied the allegations, said in a statement that the Justice Department "manufactured a damages claim at the last minute in an attempt to secure a jury trial." Without disclosing the size of its payment, Google said that after months of discovery, the Justice Department could only point to estimated damages of less than $1 million. The company said the government has said the case is "highly technical" and "outside the everyday knowledge of most prospective jurors."

HP

HP Resurrects '90s OmniBook Branding, Kills Spectre and Dragonfly (arstechnica.com) 53

HP announced today that it will resurrect the "Omni" branding it first coined for its business-oriented laptops introduced in 1993. The vintage branding will now be used for the company's new consumer-facing laptops, with HP retiring the Spectre and Dragonfly brands in the process. Furthermore, computers under consumer PC series names like Pavilion will also no longer be released. "Instead, every consumer computer from HP will be called either an OmniBook for laptops, an OmniDesk for desktops, or an OmniStudio for AIOs," reports Ars Technica. From the report: The computers will also have a modifier, ranging from 3 up to 5, 7, X, or Ultra to denote computers that are entry-level all the way up to advanced. For instance, an HP OmniBook Ultra would represent HP's highest-grade consumer laptop. "For example, an HP OmniBook 3 will appeal to customers who prioritize entertainment and personal use, while the OmniBook X will be designed for those with higher creative and technical demands," Stacy Wolff, SVP of design and sustainability at HP, said via a press announcement today. [...] So far, HP has announced one new Omni computer, the OmniBook X. It has a 12-core Snapdragon X Elite X1E-78-100, 16GB or 32GB of MPDDR5x-8448 memory, up to 2TB of storage, and a 14-inch, 2240x1400 IPS display. HP is pointing to the Latin translation of omni, meaning "all" (or everything), as the rationale behind the naming update. The new name should give shoppers confidence that the computers will provide all the things that they need.

HP is also getting rid of some of its commercial series names, like Pro. From now on, new, lower-end commercial laptops will be ProBooks. There will also be ProDesktop desktops and ProStudio AIOs. These computers will have either a 2 modifier for entry-level designs or a 4 modifier for ones with a little more power. For example, an HP ProDesk 2 is less powerful than an HP ProDesk 4. Anything more powerful will be considered either an EliteBook (laptops), EliteDesk (desktops), or EliteStudio (AIOs). For the Elite computers, the modifiers go from 6 to 8, X, and then Ultra. A Dragonfly laptop today would fall into the Ultra category. HP did less overhauling of its commercial lineup because it "recognized a need to preserve the brand equity and familiarity with our current sub-brands," Wolff said, adding that HP "acknowledged the creation of additional product names like Dragonfly made those products stand out, rather than be seen as part of a holistic portfolio." [...]

As you might now expect of any tech rebranding, marketing push, or product release these days, HP is also announcing a new emblem that will appear on its computers, as well as other products or services, that substantially incorporate AI. The two laptops announced today carry the logo. According to Wolff, on computers, the logo means that the systems have an integrated NPU "at 40+ trillions of operations per second." They also come with a chatbot based on ChatGPT 4, an HP spokesperson told me.

Google

Google Thinks the Public Sector Can Do Better Than Microsoft's 'Security Failures' (theverge.com) 27

An anonymous reader shares a report: Google is pouncing on Microsoft's weathered enterprise security reputation by pitching its services to government institutions. Pointing to a recent report from the US Cyber Safety Review Board (CSRB) that found that Microsoft's security woes are the result of the company "deprioritizing" enterprise security, Google says it can help. The company's pitch isn't quite as direct as Microsoft CEO Satya Nadella saying he made Google dance, but it's spicy all the same. Repeatedly referring to Microsoft as "the vendor" throughout its blog post on Monday, Google says the CSRB "showed that lack of a strong commitment to security creates preventable errors and serious breaches." Platforms, it added, "have a responsibility" to hold to strong security practices. And of course, who is more responsible than Google?
The Courts

Amazon Defends Its Use of Signal Messages in Court (geekwire.com) 54

America's Federal Trade Commission and 17 states filed an antitrust suit against Amazon in September. This week Amazon responded in court about its usage of Signal's "disappearing messages" feature.

Long-time Slashdot reader theodp shares GeekWire's report: At a company known for putting its most important ideas and strategies into comprehensive six-page memos, quick messages between executives aren't the place for meaningful business discussions. That's one of the points made by Amazon in its response Monday to the Federal Trade Commission's allegations about executives' use of the Signal encrypted communications app, known for its "disappearing messages" feature. "For these individuals, just like other short-form messaging, Signal was not a means to send 'structured, narrative text'; it was a way to get someone's attention or have quick exchanges on sensitive topics like public relations or human resources," the company says as part of its response, filed Monday in U.S. District Court in Seattle. Of course, for regulators investigating the company's business practices, these offhanded private comments between Amazon executives could be more revealing than carefully crafted memos meant for wider internal distribution. But in its filing this week, Amazon says there is no evidence that relevant messages have been lost, or that Signal was used to conceal communications that would have been responsive to the FTC's discovery requests. The company says "the equally logical explanation — made more compelling by the available evidence — is that such messages never existed."

In an April 25 motion, the FTC argued that the absence of Signal messages from Amazon discussing substantive business issues relevant to the case was a strong indication that such messages had disappeared. "Amazon executives deleted many Signal messages during Plaintiffs' pre-Complaint investigation, and Amazon did not instruct its employees to preserve Signal messages until over fifteen months after Amazon knew that Plaintiffs' investigation was underway," the FTC wrote in its motion. "It is highly likely that relevant information has been destroyed as a result of Amazon's actions and inactions...."

Amazon's filing quotes the company's founder, Jeff Bezos, saying in a deposition in the case that "[t]o discuss anything in text messaging or Signal messaging or anything like that of any substance would be akin to business malpractice. It's just too short of a messaging format...." The company's filing traces the initial use of Signal by executives back to the suspected hacking of Bezos' phone in 2018, which prompted the Amazon founder to seek ways to send messages more securely.

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