biden administration

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SCOTUS nixes injunction that limited Biden admin contacts with social networks

SCOTUS nixes injunction that limited Biden admin contacts with social networks

On Wednesday, the Supreme Court tossed out claims that the Biden administration coerced social media platforms into censoring users by removing COVID-19 and election-related content.

Complaints alleging that high-ranking government officials were censoring conservatives had previously convinced a lower court to order an injunction limiting the Biden administration’s contacts with platforms. But now that injunction has been overturned, re-opening lines of communication just ahead of the 2024 elections—when officials will once again be closely monitoring the spread of misinformation online targeted at voters.

In a 6–3 vote, the majority ruled that none of the plaintiffs suing—including five social media users and Republican attorneys general in Louisiana and Missouri—had standing. They had alleged that the government had “pressured the platforms to censor their speech in violation of the First Amendment,” demanding an injunction to stop any future censorship.

Plaintiffs may have succeeded if they were instead seeking damages for past harms. But in her opinion, Justice Amy Coney Barrett wrote that partly because the Biden administration seemingly stopped influencing platforms’ content policies in 2022, none of the plaintiffs could show evidence of a “substantial risk that, in the near future, they will suffer an injury that is traceable” to any government official. Thus, they did not seem to face “a real and immediate threat of repeated injury,” Barrett wrote.

“Without proof of an ongoing pressure campaign, it is entirely speculative that the platforms’ future moderation decisions will be attributable, even in part,” to government officials, Barrett wrote, finding that an injunction would do little to prevent future censorship.

Instead, plaintiffs’ claims “depend on the platforms’ actions,” Barrett emphasized, “yet the plaintiffs do not seek to enjoin the platforms from restricting any posts or accounts.”

“It is a bedrock principle that a federal court cannot redress ‘injury that results from the independent action of some third party not before the court,'” Barrett wrote.

Barrett repeatedly noted “weak” arguments raised by plaintiffs, none of which could directly link their specific content removals with the Biden administration’s pressure campaign urging platforms to remove vaccine or election misinformation.

According to Barrett, the lower court initially granting the injunction “glossed over complexities in the evidence,” including the fact that “platforms began to suppress the plaintiffs’ COVID-19 content” before the government pressure campaign began. That’s an issue, Barrett said, because standing to sue “requires a threshold showing that a particular defendant pressured a particular platform to censor a particular topic before that platform suppressed a particular plaintiff’s speech on that topic.”

“While the record reflects that the Government defendants played a role in at least some of the platforms’ moderation choices, the evidence indicates that the platforms had independent incentives to moderate content and often exercised their own judgment,” Barrett wrote.

Barrett was similarly unconvinced by arguments that plaintiffs risk platforms removing future content based on stricter moderation policies that were previously coerced by officials.

“Without evidence of continued pressure from the defendants, the platforms remain free to enforce, or not to enforce, their policies—even those tainted by initial governmental coercion,” Barrett wrote.

Judge: SCOTUS “shirks duty” to defend free speech

Justices Clarence Thomas and Neil Gorsuch joined Samuel Alito in dissenting, arguing that “this is one of the most important free speech cases to reach this Court in years” and that the Supreme Court had an “obligation” to “tackle the free speech issue that the case presents.”

“The Court, however, shirks that duty and thus permits the successful campaign of coercion in this case to stand as an attractive model for future officials who want to control what the people say, hear, and think,” Alito wrote.

Alito argued that the evidence showed that while “downright dangerous” speech was suppressed, so was “valuable speech.” He agreed with the lower court that “a far-reaching and widespread censorship campaign” had been “conducted by high-ranking federal officials against Americans who expressed certain disfavored views about COVID-19 on social media.”

“For months, high-ranking Government officials placed unrelenting pressure on Facebook to suppress Americans’ free speech,” Alito wrote. “Because the Court unjustifiably refuses to address this serious threat to the First Amendment, I respectfully dissent.”

At least one plaintiff who opposed masking and vaccines, Jill Hines, was “indisputably injured,” Alito wrote, arguing that evidence showed that she was censored more frequently after officials pressured Facebook into changing their policies.

“Top federal officials continuously and persistently hectored Facebook to crack down on what the officials saw as unhelpful social media posts, including not only posts that they thought were false or misleading but also stories that they did not claim to be literally false but nevertheless wanted obscured,” Alito wrote.

While Barrett and the majority found that platforms were more likely responsible for injury, Alito disagreed, writing that with the threat of antitrust probes or Section 230 amendments, Facebook acted like “a subservient entity determined to stay in the good graces of a powerful taskmaster.”

Alito wrote that the majority was “applying a new and heightened standard” by requiring plaintiffs to “untangle Government-caused censorship from censorship that Facebook might have undertaken anyway.” In his view, it was enough that Hines showed that “one predictable effect of the officials’ action was that Facebook would modify its censorship policies in a way that affected her.”

“When the White House pressured Facebook to amend some of the policies related to speech in which Hines engaged, those amendments necessarily impacted some of Facebook’s censorship decisions,” Alito wrote. “Nothing more is needed. What the Court seems to want are a series of ironclad links.”

“That is regrettable,” Alito said.

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Biden set to levy 100% tariffs on Chinese EVs this week

The Chinese government does not have US consumer interests at heart —

Both the US and EU are deeply concerned about heavily subsidized Chinese OEMs.

The photo is filled with row after row of new SUVs, all painted white or grey.

Enlarge / New energy vehicles are being loaded into containers for export at Taicang Port and Taicang International Terminal in Suzhou, Jiangsu Province, China, on April 26, 2024.

Photo by Costfoto/NurPhoto via Getty Images

President Joe Biden is expected to levy new 100 percent tariffs targeted at specific Chinese industries, including electric vehicles, on Tuesday. The announcement follows growing calls from automakers, unions, and bipartisan efforts in Congress to address the problem of China unfairly subsidizing its own industries to undermine foreign competitors.

Why are Chinese EVs so cheap?

The Chinese government has been giving its green industries heavy direct subsidies for some time now, far in excess of those handed out by US or European governments. For EV makers like BYD, this has meant billions of dollars a year, in addition to the consumer-facing tax benefit for car buyers, similar to how EV sales are incentivized in the US.

Brands like BYD have concentrated on making their cars cheaper to build—only using one windshield wiper instead of two, for example—but also through vertical integration. Other than Tesla, automakers in the US, Europe, Japan, and Korea instead rely heavily on multiple tiers of suppliers, most of whom supply parts to more than one automaker.

Chinese EV makers have also embraced technology to a degree still not matched by other brands, with screens stretching across entire dashboards and online connected services (plus the associated government tracking) that are anathema to many Ars readers. (Indeed, in February, the US Department of Commerce opened an investigation into whether imported Chinese-connected cars pose a national security threat. The Chinese government has repeatedly restricted the places that Tesla drivers are allowed take their cars, as it considers them a threat to its own security.)

That has allowed Chinese automakers to sell their products in foreign markets at prices no one else can hope to compete with, undermining local industries in the process. This has been most relevant in Europe, where Chinese automakers like BYD and MG have already set up shop. Last year, 1 in 5 EVs sold in Europe were made in China; this year, it’s expected this number will rise to 1 in 4.

What’s everyone doing about it?

Last year, the European Union began an investigation into anticompetitive behavior by Chinese OEMs, and stronger EU tariffs on Chinese EVs are expected to be levied in the next few weeks.

Chinese car imports to the US are already subject to an additional 25 percent import tariff on top of the 2.5 percent tariff that applies to any car imported to the US. And Chinese brands have yet to enter the US market. If enacted this week, the new 102.5 percent tariffs would apply to Polestar and Lotus, both of which currently build their US-market EVs in China. But that doesn’t mean the industry isn’t terrified.

“If there are no trade barriers established, they will pretty much demolish most other car companies in the world,” said Tesla CEO Elon Musk in January.

“If you cannot compete fair and square with the Chinese around the world, then 20 percent to 30 percent of your revenue is at risk,” said Ford CEO Jim Farley in February.

It probably goes without saying that the United Auto Workers also thinks protecting the US auto industry is worthwhile. “The transition to cleaner technologies cannot be used to intensify the global race to the bottom through offshoring and low wages. We need to see movement by the administration to protect these jobs. The nascent EV industry needs tariff protections—otherwise we are going to be awash in imports. The stakes of the transition are high for American workers,” the union said in a statement in March.

US politicians have already passed laws to counter the threat of China dumping EVs here. The Inflation Reduction Act of 2022 revised how the IRS clean vehicle tax credit works; the consumer subsidy is now only eligible on vehicles assembled in North America. Each year, an increasing amount of the battery pack’s content and value must also have originated in the US or a country with which we have a free trade agreement in order to be eligible, and EVs with Chinese batteries are explicitly not eligible.

This year, senators on both sides of the aisle—most recently Sherrod Brown (D–Ohio)—have called for a ban on Chinese EV imports. And pressure from the US Trade Representative has seen the Mexican government promise not to offer incentives to Chinese EV makers looking to establish a beachhead inside the United States-Mexico-Canada Free Trade Agreement.

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Biden orders every US agency to appoint a chief AI officer

Mission control —

Federal agencies rush to appoint chief AI officers with “significant expertise.”

Biden orders every US agency to appoint a chief AI officer

The White House has announced the “first government-wide policy to mitigate risks of artificial intelligence (AI) and harness its benefits.” To coordinate these efforts, every federal agency must appoint a chief AI officer with “significant expertise in AI.”

Some agencies have already appointed chief AI officers, but any agency that has not must appoint a senior official over the next 60 days. If an official already appointed as a chief AI officer does not have the necessary authority to coordinate AI use in the agency, they must be granted additional authority or else a new chief AI officer must be named.

Ideal candidates, the White House recommended, might include chief information officers, chief data officers, or chief technology officers, the Office of Management and Budget (OMB) policy said.

As chief AI officers, appointees will serve as senior advisers on AI initiatives, monitoring and inventorying all agency uses of AI. They must conduct risk assessments to consider whether any AI uses are impacting “safety, security, civil rights, civil liberties, privacy, democratic values, human rights, equal opportunities, worker well-being, access to critical resources and services, agency trust and credibility, and market competition,” OMB said.

Perhaps most urgently, by December 1, the officers must correct all non-compliant AI uses in government, unless an extension of up to one year is granted.

The chief AI officers will seemingly enjoy a lot of power and oversight over how the government uses AI. It’s up to the chief AI officers to develop a plan to comply with minimum safety standards and to work with chief financial and human resource officers to develop the necessary budgets and workforces to use AI to further each agency’s mission and ensure “equitable outcomes,” OMB said. Here’s a brief summary of OMB’s ideals:

Agencies are encouraged to prioritize AI development and adoption for the public good and where the technology can be helpful in understanding and tackling large societal challenges, such as using AI to improve the accessibility of government services, reduce food insecurity, address the climate crisis, improve public health, advance equitable outcomes, protect democracy and human rights, and grow economic competitiveness in a way that benefits people across the United States.

Among the chief AI officer’s primary responsibilities is determining what AI uses might impact the safety or rights of US citizens. They’ll do this by assessing AI impacts, conducting real-world tests, independently evaluating AI, regularly evaluating risks, properly training staff, providing additional human oversight where necessary, and giving public notice of any AI use that could have a “significant impact on rights or safety,” OMB said.

OMB breaks down several AI uses that could impact safety, including controlling “safety-critical functions” within everything from emergency services to food-safety mechanisms to systems controlling nuclear reactors. Using AI to maintain election integrity could be safety-impacting, too, as could using AI to move industrial waste, control health insurance costs, or detect the “presence of dangerous weapons.”

Uses of AI presumed to be rights-impacting include censoring protected speech and a wide range of law enforcement efforts, such as predicting crimes, sketching faces, or using license plate readers to track personal vehicles in public spaces. Other rights-impacting AI uses include “risk assessments related to immigration,” “replicating a person’s likeness or voice without express consent,” or detecting students cheating.

Chief AI officers will ultimately decide if any AI use is safety- or rights-impacting and must adhere to OMB’s minimum standards for responsible AI use. Once a determination is made, the officers will “centrally track” the determinations, informing OMB of any major changes to “conditions or context in which the AI is used.” The officers will also regularly convene “a new Chief AI Officer Council to coordinate” efforts and share innovations government-wide.

As agencies advance AI uses—which the White House says is critical to “strengthen AI safety and security, protect Americans’ privacy, advance equity and civil rights, stand up for consumers and workers, promote innovation and competition, advance American leadership around the world, and more”—chief AI officers will become the public-facing figures accountable for decisions made. In that role, the officer must consult with the public and incorporate “feedback from affected communities,” notify “negatively affected individuals” of new AI uses, and maintain options to opt-out of “AI-enabled decisions,” OMB said.

However, OMB noted that chief AI officers also have the power to waive opt-out options “if they can demonstrate that a human alternative would result in a service that is less fair (e.g., produces a disparate impact on protected classes) or if an opt-out would impose undue hardship on the agency.”

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Report: Black market keeps Nvidia chips flowing to China military, government

Out of control —

Unknown suppliers keep Nvidia’s most advanced chips within China’s reach.

An Nvidia H100 graphics processor chip.

Enlarge / An Nvidia H100 graphics processor chip.

China is still finding ways to skirt US export controls on Nvidia chips, Reuters reported.

A Reuters review of publicly available tender documents showed that last year dozens of entities—including “Chinese military bodies, state-run artificial intelligence research institutes, and universities”—managed to buy “small batches” of restricted Nvidia chips.

The US has been attempting to block China from accessing advanced chips needed to achieve AI breakthroughs and advance modern military technologies since September 2022, citing national security risks.

Reuters’ report shows just how unsuccessful the US effort has been to completely cut off China, despite repeated US attempts to expand export controls and close any loopholes discovered over the past year.

China’s current suppliers remain “largely unknown,” but Reuters confirmed that “neither Nvidia” nor its approved retailers counted “among the suppliers identified.”

An Nvidia spokesperson told Reuters that the company “complies with all applicable export control laws and requires its customers to do the same.”

“If we learn that a customer has made an unlawful resale to third parties, we’ll take immediate and appropriate action,” Nvidia’s spokesperson said.

It’s also still unclear how suppliers are procuring the chips, which include Nvidia’s most powerful chips, the A100 and H100, in addition to slower modified chips developed just for the Chinese market, the A800 and H800. The former chips were among the first banned, while the US only began restricting the latter chips last October.

Among military and government groups purchasing chips were two top universities that the US Department of Commerce has linked to China’s principal military force, the People’s Liberation Army, and labeled as a threat to national security. Last May, the Harbin Institute of Technology purchased six Nvidia A100 chips to “train a deep-learning model,” and in December 2022, the University of Electronic Science and Technology of China purchased one A100 for purposes so far unknown, Reuters reported.

Other entities purchasing chips include Tsinghua University—which is seemingly gaining the most access, purchasing “some 80 A100 chips since the 2022 ban”—as well as Chongqing University, Shandong Chengxiang Electronic Technology, and “one unnamed People’s Liberation Army entity based in the city of Wuxi, Jiangsu province.”

In total, Reuters reviewed more than 100 tenders showing state entities purchasing A100 chips and dozens of tenders documenting A800 purchases. Purchases include “brand new” chips and have been made as recently as this month.

Most of the chips purchased by Chinese entities are being used for AI, Reuters reported. None of the purchasers or suppliers provided comments in Reuters’ report.

Nvidia’s highly sought-after chips are graphic processing units capable of crunching large amounts of data at the high speeds needed to fuel AI systems. For now, these chips remain irreplaceable to Chinese firms hoping to compete globally, as well as nationally, with China’s dominant technology players, such as Huawei, Reuters suggested.

While the “small batches” of chips found indicate that China could still be accessing enough Nvidia chips to enhance “existing AI models,” Reuters pointed out that US curbs are effectively stopping China from bulk-ordering chips at quantities needed to develop new AI systems. Running a “model similar to OpenAI’s GPT would require more than 30,000 Nvidia A100 cards,” research firm TrendForce reported last March.

For China, which has firmly opposed the US export controls every step of the way, these curbs remain a persistent problem despite maintaining access through the burgeoning black market. On Monday, a Bloomberg report flagged the “steepest drop” in the value of China chip imports ever recorded, falling by more than 15 percent.

China’s black market for AI chips

The US still must confront whether it’s possible to block China from accessing advanced chips without other allied nations joining the effort by lobbying their own export controls.

In October 2022, a senior US official warned that without more cooperation, US curbs will “lose effectiveness over time.” A former top Commerce Department official, Kevin Wolf, told The Wall Street Journal last year that it’s “insanely difficult to enforce” US export controls on transactions overseas.

Part of the problem, sources told Reuters in October 2023, is that overseas subsidiaries were “easily” smuggling restricted chips into China or else providing remote access to chips to China-based employees.

On top of that activity, a black market for chips developed quickly, selling “excess stock that finds its way to the market after Nvidia ships large quantities to big US firms” or else chips imported “through companies locally incorporated in places such as India, Taiwan, and Singapore,” Reuters reported.

The US has maintained that its plan is not to ensure that China has absolutely no access but to limit access enough to keep China from getting ahead. But Nvidia CEO Jensen Huang has warned that curbs could have the opposite effect. While China finds ways to skirt the bans and acquire chips to “inspire” advancements, US companies that have been impacted by export controls restricting sales in China could lose so much revenue that they fall behind competitively, Huang predicted.

One example likely worrying to Huang and other tech firms came last November, when Huawei shocked the US government by unveiling a cutting-edge chip that seemed to prove US sanctions weren’t doing much to limit China’s ability to compete.

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