The tech giant and the Wall Street titan went from "the most successful credit card launch ever" to Goldman trying to exit the partnership. From a report: Apple and Goldman Sachs were in test runs before embarking publicly on one of the biggest-name partnerships ever between tech and finance. Engineers from the Silicon Valley giant and the Wall Street titan were pulling an all-nighter a few months before launch, scrambling to find a solution to a problem that had cropped up: Tim Cook couldn't get approved for an Apple Card.

Apple and Goldman had struck the powerful alliance as they set out to build a revolutionary digital-first credit card with designs on expanding into other consumer finance products. For Goldman, it was a key opportunity to grow the consumer business it had jumped into as it sought to diversify away from the old-school Wall Street revenue model of trading and advising on deals. For Apple, it was a way to bolster its services business, broaden its finance offerings -- which began with Apple Pay -- and, maybe most importantly, prompt people to buy more iPhones.

In October 2019, a couple of months after customers began signing up, Goldman CEO David Solomon described it as "the most successful credit card launch ever." Less than four years later -- and only a handful of months after the two companies extended their contract through the end of the decade -- the Apple-Goldman deal is teetering. Some of the partnership's shortcomings have blemished both companies' world-class reputations, and a falling-out could threaten future collaboration between Wall Street and tech at large. Goldman has been trying to get out of the pact because it won't be profitable enough for the bank in the near term, according to people familiar with the matter, and it has shopped the relationship to credit card issuer American Express.

Binance, its founder Changpeng Zhao and the crypto exchange's former Chief Compliance Officer Samuel Lim plan to seek the dismissal of a Commodity Futures Trading Commission lawsuit. From a report: The response to the CFTC complaint is due July 27 and the defendants intend to submit motions to dismiss, according to a court filing on Monday. They also sought permission to exceed a 15-page limit on supporting briefs, citing the complexity of the case and the number of arguments they anticipate making. The CFTC in March alleged that Binance and CEO Zhao, also known as CZ, routinely broke US derivatives rules as the firm grew to be the world's largest digital-asset trading platform.

Binance should have registered with the agency years ago and continues to violate the CFTC's rules, the regulator said at the time. The crypto platform previously described the CFTC lawsuit as "unexpected and disappointing." The US Securities & Exchange Commission last month accused Binance and Zhao of mishandling customer funds, misleading investors and regulators, and breaking securities rules. Binance has said that it intends to defend its platform "vigorously."

Gizmodo reports: Thousands of top Russian officials and state employees have reportedly been banned from using iPhones and other Apple products over concerns they could serve as surreptitious spying tools for Western intelligence agencies...

Russia's trade minister, according to a Financial Times report, said the new ban will take effect Monday, July 17. The move affects a variety of Apple products from iPhones, iPads, and laptops, and builds off of similar restrictions already put in place by the digital development ministry and state-owned defense conglomerate Rostec. Kremlin officials also advised staff working on Vladimir Putin's 2024 presidential re-election campaign against using a variety of US-developed smartphones over similar espionage conveners earlier this year...

Russian intelligence officials last month accused the US National Security Agency of hacking into thousands of Russian-owned iPhones and targeting the phones of foreign diplomats based in Russia... To be clear, Russian officials still haven't provided any clear evidence proving the alleged US conspiracy. Apple has also publicly denied the claims and recently told the Times it "has never worked with any government to build a backdoor into any Apple product, and never will."
The Financial Times got a skeptical response to that from Dmitry Medvedev, deputy head of Russia's Security Council and one of the country's fiercest hardliners. "When a big tech compan...â.âclaims it does not co-operate with the intelligence community — either it lies shamelessly or it is about to [go bust]."

Thanks to Slashdot reader dovthelachma for sharing the news.

T-Mobile has started charging customers who pay phone bills in-store a new $5 "Payment Support Charge," plus tax. According to The Mobile Report, the new fee went into effect on July 19th, though prepaid customers will be charged the fee later on. From a report: In a flier shared with The Mobile Report announcing the change to its employees, T-Mobile implies the reason behind the fee is to help "enable a digital-enabled future." Yet, as Droid Life points out, employee time spent processing payments may mean less time for more profitable endeavors -- like selling phones or add-ons to plans. Plus, it's a sneaky way to encourage more customers to sign up for AutoPay, which conveniently also offers a $5 per line discount if you pay your bill online -- and only if you use a debit card. T-Mobile recently withdrew the benefit from customers who paid bills with a credit card.

Google today announced its support for interoperable end-to-end encrypted communication between large messaging platforms, with plans to integrate the MLS protocol into Google Messages and Android. 9to5Google reports: Google says it is "strongly supportive of regulatory efforts that require interoperability for large end-to-end messaging platforms," which is presumably in reference to the European Union's Digital Markets Act. That regulation would require iMessage to be interoperable with other messaging platforms. To achieve this, Google says this interoperability requires "open, industry-vetted standards, particularly in the area of privacy, security, and end-to-end encryption." If not, end-to-end encrypted group messaging and other advanced features would be "impossible in practice." Specifically, "group messages would have to be encrypted and delivered multiple times to cater for every different protocol." [...]

Google says MLS would make possible "practical interoperability across services and platforms, scaling to groups of thousands of multi-device users." This could "unleash a huge field of new opportunities for the users and developers of interoperable messaging services that adopt it."; It is also flexible enough to allow providers to address emerging threats to user privacy and security, such as quantum computing. Google plans to build MLS into its Messages app, which offers E2EE 1:1 and group RCS chats today, and "support its wide deployment across the industry by open sourcing our implementation in the Android codebase." How RCS factors into this remains to be seen.

An anonymous reader quotes a report from the BBC: An open letter signed by more than 1,300 experts says AI is a "force for good, not a threat to humanity." It was organized by BCS, the Chartered Institute for IT, to counter "AI doom." Rashik Parmar, BCS chief executive, said it showed the UK tech community didn't believe the "nightmare scenario of evil robot overlords." In March, tech leaders including Elon Musk, who recently launched an AI business, signed a letter calling for a pause in developing powerful systems. That letter suggested super-intelligent AI posed an "existential risk" to humanity.

But the BCS sees the situation in a more positive light, while still supporting the need for rules around AI. Richard Carter is a signatory to the BCS letter. Mr Carter, who founded an AI-powered startup cybersecurity business, feels the dire warnings are unrealistic: "Frankly, this notion that AI is an existential threat to humanity is too far-fetched. We're just not in any kind of a position where that's even feasible." Signatories to the BCS letter come from a range of backgrounds -- business, academia, public bodies and think tanks, though none are as well known as Elon Musk, or run major AI companies like OpenAI.

Those the BBC has spoken to stress the positive uses of AI. Hema Purohit, who leads on digital health and social care for the BCS, said the technology was enabling new ways to spot serious illness, for example medical systems that detect signs of issues such as cardiac disease or diabetes when a patient goes for an eye test. She said AI could also help accelerate the testing of new drugs. Signatory Sarah Burnett, author of a book on AI and business, pointed to agricultural uses of the tech, from robots that use artificial intelligence to pollinate plants to those that "identify weeds and spray or zap them with lasers, rather than having whole crops sprayed with weed killer." The letter argues: "The UK can help lead the way in setting professional and technical standards in AI roles, supported by a robust code of conduct, international collaboration and fully resourced regulation." By doing so, it says Britain "can become a global byword for high-quality, ethical, inclusive AI."

Microsoft is expanding its suite of free security tools for customers, the software company said on Wednesday, following criticism that it was charging clients to protect themselves against Microsoft's mistakes. From a report: The move follows a high-level hack that allowed allegedly Chinese spies to steal emails from senior U.S. officials - and complaints from security specialists and lawmakers against paying for tools In a blog post published on Wednesday, Microsoft said the advanced features in Microsoft's auditing suite - which it calls Microsoft Purview - would be available to all customers "over the coming months." Although not enough to prevent hacks on their own, digital auditing tools are critical for helping organizations figure out whether intruders are in their network, how they got in and how to get them out.

Blizzard Entertainment is bringing its PC games to Steam, starting with the release of Overwatch 2 on Valve's digital storefront on Aug. 10, Blizzard announced Wednesday. Polygon reports: The Windows PC version of Overwatch 2, like many of Blizzard's PC games, is currently only available through Battle.net. But with Microsoft's impending acquisition of Activision Blizzard and declining player engagement in the game, the maker of Diablo, Warcraft, and Overwatch appears to be changing its strategy. Blizzard says it will bring "a selection" of its games to Steam, but did not specify which titles beyond Overwatch 2 will make the jump from Battle.net. (A few classic Blizzard games, including the original Diablo and the first two Warcraft games, are available through GOG.com.)

The acceptance of Steam as a platform for Blizzard's games is part of the studio's evolution, the company said in a blog post. "[O]ne of the ideas pushing us forward is meeting players around the world where they are, and making our games as easy as possible to access and play," the company said. "We want to give everyone a chance to experience our universes with old friends while making new ones, no matter how they choose to play." In its announcement, Blizzard said it's not moving away from Battle.net. But, it explained, "as we've evolved, the industry has evolved too -- gaming is no longer just for specific communities as it was when Battle.net launched over two decades ago, gaming is for everyone -- and though we remain committed to continually investing in and supporting Battle.net, we want to break down the barriers to make it easier for players everywhere to find and enjoy our games."

Blizzard says that players on Steam will still need a Battle.net account connected to Overwatch 2 to play the game. The Steam version will support Steam achievements and friends lists, but Blizzard did not announce Steam Deck support. Overwatch 2 can now be wishlisted through Steam. As for Blizzard's future plans for other game releases on Steam, the company said it will be "sharing more about potential other games coming to the platform when the time is right."

Nasdaq became the latest mainstream financial firm to take a step back from digital assets, aborting its launch of a custodian business in the US due to the shifting business and regulatory environment. From a report: The exchange operator is also halting its efforts to pursue a license related to the business but will continue to build out its technology to handle crypto for clients. "We remain committed to supporting the evolution of the digital asset ecosystem in a variety of ways," including partnerships with potential ETF issuers, Adena Friedman, Nasdaq's chief executive officer, said on the second-quarter earnings call on Wednesday.

Nasdaq pulled back amid a widening crackdown by regulators that aims to isolate crypto's risks from the US financial system. Banks have been warned about their exposure to crypto businesses, and the US Securities and Exchange Commission has filed a series of lawsuits against some of the industry's biggest firms, including Binance and Coinbase Global. Among the concerns are risks that could topple a federally insured bank, as well as the failure of some crypto platforms to separate different parts of their businesses, such as custody, market-making and trading, which could result in conflicts of interests.

Apple Pay is launching in Morocco today -- almost nine years after the service was first announced. MacRumors reports: CIH Bank is launching Apple Pay in the country as of Tuesday, according to the bank's Twitter account. It's not clear if other banks in Morocco will be coming on board with support for Apple's digital payment method, but it's likely. The support means that CIH Bank's customers will be able to add their Mastercard credit cards and bank cards to the Wallet app by tapping the plus button in the top-right corner. Apple has yet to update its regional website to officially confirm the launch.

According to a local report, the FBI used a Nintendo Switch to locate an abducted 15-year-old girl, who had been missing for 11 days back in August 2022. Kotaku reports: When the girl went missing on August 3, folks in Virginia put up fliers to locate her. Keitra Coleman, a volunteer with the local nonprofit Hear Their Voices (which helps find missing and exploited children, domestic violence victims, and people experiencing homelessness), told ABC15 they were on the case. [...] Unfortunately, no one was able to pinpoint her location -- until the girl booted up her Nintendo Switch to watch YouTube videos and download a game. A friend saw that she was online and informed the authorities. With Nintendo's cooperation, the FBI culled the Switch's IP address, uncovered her location, and moved in to arrest Roberts. Retired Arizona DPS Director Frank Milstead, who was not involved with the case, told ABC15 that police agencies often use digital device tracking info to apprehend suspected criminals and find missing people. "Thanks to the local police department's quick response and FBI Norfolk's ingenuity, we were able to locate the missing victim through her gaming account and reunite her with her family," an FBI representative said in a statement to Kotaku. "As the world evolves, so does the FBI and how we solve cases. This is just one example of that. And while criminals might think crossing state lines will help them get away, this case also serves as a reminder that because of the FBI's wide reach and partnership with local law enforcement -- these predators will be caught, and they will pay the consequences."

"Stability AI, the startup behind the image-generating model Stable Diffusion, is launching a new service that turns sketches into images," reports TechCrunch.

Stable Doodle is online now and "free, but subject to limits," according to TechCrunch's article. And their reporter adds that the example images selected by the company to showcase their new technology "looked quite good, at least in comparison to the doodle that inspired them." "Stable Doodle is geared toward both professionals and novices, regardless of their familiarity with AI tools," Stability AI writes in a blog post shared with TechCrunch via email. "With Stable Doodle, anyone with basic drawing skills and online access can generate high-quality original images in seconds..."

In addition to a sketch, Stable Doodle accepts a prompt to guide the image generation process, such as "A comfy chair, 'isometric' style" or "Cat with a jeans jacket, 'digital art' style." There's a limit to the customization, though — at launch, Stable Doodle only supports 14 styles of art.

Stability AI envisions Stable Doodle serving as a tool for designers, illustrators and other professionals to "free up valuable time" and "maximize efficiency" in their work. At the same time, the company cautions that the quality of output images is dependent on the detail of the initial drawing and the descriptiveness of the prompt, as well as the complexity of the scene being depicted. "Ideas drawn as sketches can be immediately implemented into works to create designs for clients, material for presentation decks and websites or even create logos," the company proposes.

VanMoof ebikes is currently "exploring all possible routes out of its debt" after rumors of a pending bankruptcy. But the blog 9to5Mac highlights another concern.

"If the company goes under, and the servers go offline, that could leave ebike owners unable to even unlock their bikes." While unlocking is activated by Bluetooth when your phone comes into range of the bike, it relies on a rolling key code — and that function in turn relies on access to a VanMoof server. If the company goes bust, then no server, no key code generation, no unlock.

A rival ebike company, Belgian company Cowboy, has stepped in to offer a solution. TNW reports that it has created an app which allows VanMoof owners to generate and save their own digital key, which can be used in place of one created by a VanMoof server. If you have a VanMoof bike, grab the app now, as it requires an initial connection to the VanMoof server to fetch your current keycode.
"We don't capture any data," explains the app's page in the Apple store. "Everything is saved securely on your phone so you can have a direct connexion to your bike if VanMoof services are down. Just generate your local key and enjoy peace of mind again." (They add that the app was developed during a one-day hackathon, "as we share the belief that every single bike deserves to be on the road.")

But 9to5Mac also suggests a longer-term solution. "Perhaps there should be a legal requirement for essential software to be automatically open-sourced in the event of bankruptcy, so that there would be the option of techier owners banding together to host and maintain the server-side code?"

"While some states have taken steps to protect cell phone information, Massachusetts could become the first state to outright ban the sale of location data from cell phones," reports WBUR: Data brokers are able to buy and sell cell phone location data to anyone with a credit card without many restrictions. "There's very little in terms of law that prevents companies from doing this, as long as they at least include somewhere in their privacy policies that this is something that they're doing," said Andrew Sellars, a Boston University law professor and director of the Technology Law Clinic. Sellars said that there have been recent updates to operating systems that can alert users when their data is being tracked or obscure the specificity of the users' location, but overall there's little protection for buying and selling location data.

Can law enforcement agencies buy cell phone data? Yes. Sellars says that under the current law, law enforcement can circumvent obtaining a warrant to get data by buying data directly from brokers. "The Electronic Privacy Information Center has done some studies on this recently and shown that there's been a growing market of consumer location data that's handled by data brokers being bought by law enforcement at all different levels: federal, state, and local law enforcement," said Sellars...

The bill provides a defined scope of purpose in which companies can collect and use a customer's location data. Under the legislation, companies would only be allowed to use location data to provide a product or service that a consumer wants. "For example, if you are ordering food on a food app and it's using your location to know where to deliver the food, that would be a permissible use," said Sellars. "But aside from that, you are essentially prohibited from doing anything else with the data."
Earlier this week WBUR noted that the Massachusetts bill is "pending" before a state-government committee, "which has not scheduled a hearing on it."

The Internet Archive has taken the rather unusual step of sending a DMCA notice to protect the copyrights of book publishers and authors. The non-profit organization asked GitHub to remove a tool that can strip DRM from books in its library. The protective move is likely motivated by the ongoing legal troubles between the Archive and book publishers. TorrentFreak reports: The Internet Archive sent a takedown request to GitHub, requesting the developer platform to remove a tool that circumvents industry-standard technical protection mechanisms for digital libraries. This "DeGouRou" software effectively allows patrons to save DRM-free copies of the books they borrow. "This DMCA complaint is about a tool made available on github which purports to circumvent technical protections in violation of the copyright act section 1201," the notice reads. "I am reporting a Git which provides a tool specifically used to circumvent industry standard library TPMs which are used by Internet Archive, and other libraries, to permit patrons to borrow an encrypted book, read the encrypted book, and return an encrypted book."

Interestingly, an IA representative states that they are "not authorized by the copyright owners" to submit this takedown notice. Instead, IA is acting on its duty to prevent the unauthorized downloading of copyright-protected books. It's quite unusual to see a party sending takedown notices without permission from the actual rightsholders. However, given the copyright liabilities IA faces, it makes sense that the organization is doing what it can to prevent more legal trouble. Permission or not, GitHub honored the takedown request. It removed all the DeGourou repositories that were flagged and took the code offline. [...] After GitHub removed the code, it soon popped up elsewhere.

BlackRock's move into crypto fits into the asset management giant's broader mission of creating products that are easy to use and cheap for investors, CEO Larry Fink said Friday. From a report: "We believe we have a responsibility to democratize investing. We've done a great job, and the role of ETFs in the world is transforming investing. And we're only at the beginning of that," Fink said. BlackRock applied for a spot bitcoin ETF on June 15, which appeared to spur a rally in cryptocurrencies and a flurry of similar filings from other asset managers. The initial filing for the iShares Bitcoin Trust did not include a management fee.

[...] Fink had previously been critical of crypto, saying in 2017 that the popularity of digital currencies was do in large part to money laundering. However, interest from clients and the high cost of transactions motivated BlackRock to take a closer look at entering the space, Fink said. He also added that crypto can serve a diversification role in investor portfolios. "It has a differentiating value versus other asset classes, but more importantly, because it's so international it's going to transcend any one currency," Fink said.

An anonymous reader quotes a report from The Verge: During today's press conference in which Hollywood actors confirmed that they were going on strike, Duncan Crabtree-Ireland, SAG-AFTRA's chief negotiator, revealed a proposal from Hollywood studios that sounds ripped right out of a Black Mirror episode. In a statement about the strike, the Alliance of Motion Picture and Television Producers (AMPTP) said that its proposal included "a groundbreaking AI proposal that protects actors' digital likenesses for SAG-AFTRA members."

When asked about the proposal during the press conference, Crabtree-Ireland said that "This 'groundbreaking' AI proposal that they gave us yesterday, they proposed that our background performers should be able to be scanned, get one day's pay, and their companies should own that scan, their image, their likeness and should be able to use it for the rest of eternity on any project they want, with no consent and no compensation. So if you think that's a groundbreaking proposal, I suggest you think again."

The use of generative AI has been one of the major sticking points in negotiations between the two sides (it's also a major issue behind the writers strike), and in her opening statement of the press conference, SAG-AFTRA president Fran Drescher said that "If we don't stand tall right now, we are all going to be in trouble, we are all going to be in jeopardy of being replaced by machines." The SAG-AFTRA strike will officially commence at midnight tonight.

It was the court case the entire crypto industry was waiting for -- the showdown between the Securities and Exchange Commission and Ripple, an early digital assets firm behind the popular XRP token. From a report: The SEC alleged that sales of XRP constituted offering unregistered securities, while Ripple defended its $25 billion market, chiding the SEC's lack of clear guidance. On Thursday, a federal judge agreed partly in favor of both parties, with Ripple -- and the broader crypto industry -- appearing the early victor. The existential question for the U.S. crypto sector has been whether the thousands of tokens, from Bitcoin and Ether to Dogecoin and Pepecoin, are securities -- a financial term for an investment contract, which would require registration with the SEC. Crypto firms have argued that working with the agency is impossible under the current rules, while the SEC has accused nearly every token, with the clear exception of Bitcoin, as operating illegally.

Ripple became an important trial balloon for the debate. In 2020, the SEC charged the company -- founded in 2012 with the promise of disrupting the global payments network through its proprietary token, XRP -- and two of its executives with raising over $1.3 billion through an unregistered digital asset securities offering. Unlike other subjects of SEC lawsuits, Ripple challenged the case, which has been litigated for the past three years in the Southern District of New York. The proceedings have enraptured the crypto industry, especially as the SEC has aggressively pursued other exchanges and projects for allegedly offering unregistered securities. A decision that found XRP was not a security could buoy other firms and weaken the SEC's torrent of lawsuits against the industry, while a total victory for the SEC would have proved disastrous and likely climbed its way to the Supreme Court.

Britain's antitrust regulator on Thursday announced an in-depth probe of Adobe's $20 billion bid for cloud-based designer platform Figma, after the Photoshop owner said it would not offer any remedies to ease the regulator's concerns. From a report: The Competition and Markets Authority (CMA) said late last month it had found the deal could lead to less choice for designers of digital apps, websites and other products, and identified concerns in the supply of screen design software, where the companies compete.

It had given Adobe five working days to submit proposals to address its concerns. But on July 7, the U.S. company told the CMA it would not offer any remedies, the CMA said on Thursday. Figma and Adobe both directed Reuters to the companies' response in June, when the regulator had flagged these concerns. "We look forward to establishing these facts in the next phase of the process and successfully completing the transaction," a spokesperson for Adobe added.

Telly's free 55-inch 4K dual-screen TV sets are set to arrive at users' homes this week -- but of course, there's a catch. From a report: The start-up, which plans to ship some 500,000 free, ad-supported TVs in 2023 in the U.S., is calling the initial wave a "public beta program." The company says the new Telly households represent a diverse cross-section of the U.S. population, although the initial user base overindexes on education level and household income -- and also skews toward Gen Zers and millennials. According to Telly, more than 250,000 people have signed up to receive a free TV set, which displays an always-on, rotating ad unit on a 9-inch-high second screen situated below the main 55-inch one. Each unit also includes a free Chromecast with Google TV adapter. The bulk of the half-million TVs will go out in the fourth quarter of 2023, Telly chief strategy officer Dallas Lawrence said: "We think there's no better Black Friday deal than free."

To receive the free TV, Telly users must submit detailed demographic info (such as age, gender and address), as well as purchasing behaviors, brand preferences and viewing habits, and they must agree to let their data be used for serving targeted ads. Telly's TVs include a sensor that detects how many people are in front of the screen at any given moment. So what's the catch? Telly users must agree to several conditions under the company's terms of service. If someone doesn't abide by the TOS, Telly reserves the right to demand the TV be shipped back -- otherwise, it will charge up to $1,000 to the credit card associated with a given account. Also read: Telly, the 'Free' Smart TV With Ads, Has Privacy Policy Red Flags.