elon musk

tesla-says-model-3-that-burst-into-flames-in-fatal-tree-crash-wasn’t-defective

Tesla says Model 3 that burst into flames in fatal tree crash wasn’t defective

Tesla says Model 3 that burst into flames in fatal tree crash wasn’t defective

Tesla has denied that “any defect in the Autopilot system caused or contributed” to the 2022 death of a Tesla employee, Hans von Ohain, whose Tesla Model 3 burst into flames after the car suddenly veered off a road and crashed into a tree.

“Von Ohain fought to regain control of the vehicle, but, to his surprise and horror, his efforts were prevented by the vehicle’s Autopilot features, leaving him helpless and unable to steer back on course,” a wrongful death lawsuit filed in May by von Ohain’s wife, Nora Bass, alleged.

In Tesla’s response to the lawsuit filed Thursday, the carmaker also denied that the 2021 vehicle had any defects, contradicting Bass’ claims that Tesla knew that the car should have been recalled but chose to “prioritize profits over consumer safety.”

As detailed in her complaint, initially filed in a Colorado state court, Bass believes the Tesla Model 3 was defective in that it “did not perform as safely as an ordinary consumer would have expected it to perform” and “the benefits of the vehicle’s design did not outweigh the risks.”

Instead of acknowledging alleged defects and exploring alternative designs, Tesla marketed the car as being engineered “to be the safest” car “built to date,” Bass’ complaint said.

Von Ohain was particularly susceptible to this marketing, Bass has said, because he considered Tesla CEO Elon Musk to be a “brilliant man,” The Washington Post reported. “We knew the technology had to learn, and we were willing to be part of that,” Bass said, but the couple didn’t realize how allegedly dangerous it could be to help train “futuristic technology,” The Post reported.

In Tesla’s response, the carmaker defended its marketing of the Tesla Model 3, denying that the company “engaged in unfair and deceptive acts or practices.”

“The product in question was not defective or unreasonably dangerous,” Tesla’s filing said.

Insisting in its response that the vehicle was safe when it was sold, Tesla again disputed Bass’ complaint, which claimed that “at no time after the purchase of the 2021 Tesla Model 3 did any person alter, modify, or change any aspect or component of the vehicle’s design or manufacture.” Contradicting this, Tesla suggested that the car “may not have been in the same condition at the time of the crash as it was at the time when it left Tesla’s custody.”

The Washington Post broke the story about von Ohain’s fatal crash, reporting that it may be “the first documented fatality linked to the most advanced driver assistance technology offered” by Tesla. In response to Tesla’s filing, Bass’ attorney, Jonathan Michaels, told The Post that his team is “committed to advocating fiercely for the von Ohain family, ensuring they receive the justice they deserve.”

Michaels told The Post that perhaps as significant as alleged autonomous driving flaws, the Tesla Model 3 was also allegedly defective “because of the intensity of the fire that ensued after von Ohain hit the tree, which ultimately caused his death.” According to the Colorado police officer looking into the crash, Robert Madden, the vehicle fire was among “the most intense” he’d ever investigated, The Post reported.

Lawyers for Bass and Tesla did not immediately respond to Ars’ request for comment.

Tesla says Model 3 that burst into flames in fatal tree crash wasn’t defective Read More »

elon-musk-rushes-to-debut-x-payments-as-tech-issues-hamper-creator-payouts

Elon Musk rushes to debut X payments as tech issues hamper creator payouts

Elon Musk rushes to debut X payments as tech issues hamper creator payouts

Elon Musk is still frantically pushing to launch X payment services in the US by the end of 2024, Bloomberg reported Tuesday.

Launching payment services is arguably one of the reasons why Musk paid so much to acquire Twitter in 2022. His rebranding of the social platform into X revives a former dream he had as a PayPal co-founder who fought and failed to name the now-ubiquitous payments app X. Musk has told X staff that transforming the company into a payments provider would be critical to achieving his goal of turning X into a so-called everything app “within three to five years.”

Late last year, Musk said it would “blow” his “mind” if X didn’t roll out payments by the end of 2024, so Bloomberg’s report likely comes as no big surprise to Musk’s biggest fans who believe in his vision. At that time, Musk said he wanted X users’ “entire financial lives” on the platform before 2024 ended, and a Bloomberg review of “more than 350 pages of documents and emails related to money transmitter licenses that X Payments submitted in 11 states” shows approximately how close he is to making that dream a reality on his platform.

X Payments, a subsidiary of X, reports that X already has money transmitter licenses in 28 states, but X wants to secure licenses in all states before 2024 winds down, Bloomberg reported.

Bloomberg’s review found that X has a multiyear plan to gradually introduce payment features across the US—including “Venmo-like” features to send and receive money, as well as make purchases online—but hopes to begin that process this year. Payment providers like Stripe and Adyen have already partnered with X to process its transactions, Bloomberg reported, and X has told regulators that it “anticipated” that its payments system would also rely on those partnerships.

Musk initially had hoped to launch payments globally in 2024, but regulatory pressures forced him to tamp down those ambitions, Bloomberg reported. States like Massachusetts, for example, required X to resubmit its application only after more than half of US states had issued licenses, Bloomberg found.

Ultimately, Musk wants X to become the largest financial institution in the world. Bloomberg reported that he plans to do this by giving users a convenient “digital dashboard” through X “that will serve as a centralized hub for all payments activity” online. To make sure that users keep their money stashed on the platform, Musk plans to offer “extremely high yield” savings accounts that X Payments’ chief information security officer, Chris Stanley, teased in April would basically guarantee that funds are rarely withdrawn from X.

“The end goal is if you ever have any incentive to take money out of our system, then we have failed,” Stanley posted on X.

Stanley compared X payments to Venmo and Apple Pay and said X’s plan for its payment feature was to “evolve” so that X users “can gain interest, buy products,” and “eventually use it to buy things in stores.”

Bloomberg confirmed that X does not plan to charge users any fees to send or receive payments, although Musk has told regulators that offering payments will “boost” X’s business by increasing X users’ “participation and engagement.” Analysts told Bloomberg that X could also profit off payments by charging merchants fees or by “offering banking services, such as checking accounts and debit cards.”

Musk has told X staff that he plans to offer checking accounts, debit cards, and even loans through X, saying that “if you address all things that you want from a finance standpoint, then we will be the people’s financial institution.”

X CEO Linda Yaccarino has been among the biggest cheerleaders for Musk’s plan to turn X into a bank, writing in a blog last year, “We want money on X to flow as freely as information and conversation.”

Elon Musk rushes to debut X payments as tech issues hamper creator payouts Read More »

apple-and-openai-currently-have-the-most-misunderstood-partnership-in-tech

Apple and OpenAI currently have the most misunderstood partnership in tech

A man talks into a smartphone.

Enlarge / He isn’t using an iPhone, but some people talk to Siri like this.

On Monday, Apple premiered “Apple Intelligence” during a wide-ranging presentation at its annual Worldwide Developers Conference in Cupertino, California. However, the heart of its new tech, an array of Apple-developed AI models, was overshadowed by the announcement of ChatGPT integration into its device operating systems.

Since rumors of the partnership first emerged, we’ve seen confusion on social media about why Apple didn’t develop a cutting-edge GPT-4-like chatbot internally. Despite Apple’s year-long development of its own large language models (LLMs), many perceived the integration of ChatGPT (and opening the door for others, like Google Gemini) as a sign of Apple’s lack of innovation.

“This is really strange. Surely Apple could train a very good competing LLM if they wanted? They’ve had a year,” wrote AI developer Benjamin De Kraker on X. Elon Musk has also been grumbling about the OpenAI deal—and spreading misinformation about it—saying things like, “It’s patently absurd that Apple isn’t smart enough to make their own AI, yet is somehow capable of ensuring that OpenAI will protect your security & privacy!”

While Apple has developed many technologies internally, it has also never been shy about integrating outside tech when necessary in various ways, from acquisitions to built-in clients—in fact, Siri was initially developed by an outside company. But by making a deal with a company like OpenAI, which has been the source of a string of tech controversies recently, it’s understandable that some people don’t understand why Apple made the call—and what it might entail for the privacy of their on-device data.

“Our customers want something with world knowledge some of the time”

While Apple Intelligence largely utilizes its own Apple-developed LLMs, Apple also realized that there may be times when some users want to use what the company considers the current “best” existing LLM—OpenAI’s GPT-4 family. In an interview with The Washington Post, Apple CEO Tim Cook explained the decision to integrate OpenAI first:

“I think they’re a pioneer in the area, and today they have the best model,” he said. “And I think our customers want something with world knowledge some of the time. So we considered everything and everyone. And obviously we’re not stuck on one person forever or something. We’re integrating with other people as well. But they’re first, and I think today it’s because they’re best.”

The proposed benefit of Apple integrating ChatGPT into various experiences within iOS, iPadOS, and macOS is that it allows AI users to access ChatGPT’s capabilities without the need to switch between different apps—either through the Siri interface or through Apple’s integrated “Writing Tools.” Users will also have the option to connect their paid ChatGPT account to access extra features.

As an answer to privacy concerns, Apple says that before any data is sent to ChatGPT, the OS asks for the user’s permission, and the entire ChatGPT experience is optional. According to Apple, requests are not stored by OpenAI, and users’ IP addresses are hidden. Apparently, communication with OpenAI servers happens through API calls similar to using the ChatGPT app on iOS, and there is reportedly no deeper OS integration that might expose user data to OpenAI without the user’s permission.

We can only take Apple’s word for it at the moment, of course, and solid details about Apple’s AI privacy efforts will emerge once security experts get their hands on the new features later this year.

Apple’s history of tech integration

So you’ve seen why Apple chose OpenAI. But why look to outside companies for tech? In some ways, Apple building an external LLM client into its operating systems isn’t too different from what it has previously done with streaming video (the YouTube app on the original iPhone), Internet search (Google search integration), and social media (integrated Twitter and Facebook sharing).

The press has positioned Apple’s recent AI moves as Apple “catching up” with competitors like Google and Microsoft in terms of chatbots and generative AI. But playing it slow and cool has long been part of Apple’s M.O.—not necessarily introducing the bleeding edge of technology but improving existing tech through refinement and giving it a better user interface.

Apple and OpenAI currently have the most misunderstood partnership in tech Read More »

elon-musk’s-x-defeats-australia’s-global-takedown-order-of-stabbing-video

Elon Musk’s X defeats Australia’s global takedown order of stabbing video

Elon Musk’s X defeats Australia’s global takedown order of stabbing video

Australia’s safety regulator has ended a legal battle with X (formerly Twitter) after threatening approximately $500,000 daily fines for failing to remove 65 instances of a religiously motivated stabbing video from X globally.

Enforcing Australia’s Online Safety Act, eSafety commissioner Julie Inman-Grant had argued it would be dangerous for the videos to keep spreading on X, potentially inciting other acts of terror in Australia.

But X owner Elon Musk refused to comply with the global takedown order, arguing that it would be “unlawful and dangerous” to allow one country to control the global Internet. And Musk was not alone in this fight. The legal director of a nonprofit digital rights group called the Electronic Frontier Foundation (EFF), Corynne McSherry, backed up Musk, urging the court to agree that “no single country should be able to restrict speech across the entire Internet.”

“We welcome the news that the eSafety Commissioner is no longer pursuing legal action against X seeking the global removal of content that does not violate X’s rules,” X’s Global Government Affairs account posted late Tuesday night. “This case has raised important questions on how legal powers can be used to threaten global censorship of speech, and we are heartened to see that freedom of speech has prevailed.”

Inman-Grant was formerly Twitter’s director of public policy in Australia and used that experience to land what she told The Courier-Mail was her “dream role” as Australia’s eSafety commissioner in 2017. Since issuing the order to remove the video globally on X, Inman-Grant had traded barbs with Musk (along with other Australian lawmakers), responding to Musk labeling her a “censorship commissar” by calling him an “arrogant billionaire” for fighting the order.

On X, Musk arguably got the last word, posting, “Freedom of speech is worth fighting for.”

Safety regulator still defends takedown order

In a statement, Inman-Grant said early Wednesday that her decision to discontinue proceedings against X was part of an effort to “consolidate actions,” including “litigation across multiple cases.” She ultimately determined that dropping the case against X would be the “option likely to achieve the most positive outcome for the online safety of all Australians, especially children.”

“Our sole goal and focus in issuing our removal notice was to prevent this extremely violent footage from going viral, potentially inciting further violence and inflicting more harm on the Australian community,” Inman-Grant said, still defending the order despite dropping it.

In court, X’s lawyer Marcus Hoyne had pushed back on such logic, arguing that the eSafety regulator’s mission was “pointless” because “footage of the attack had now spread far beyond the few dozen URLs originally identified,” the Australian Broadcasting Corporation reported.

“I stand by my investigators and the decisions eSafety made,” Inman-Grant said.

Other Australian lawmakers agree the order was not out of line. According to AP News, Australian Minister for Communications Michelle Rowland shared a similar statement in parliament today, backing up the safety regulator while scolding X users who allegedly took up Musk’s fight by threatening Inman-Grant and her family. The safety regulator has said that Musk’s X posts incited a “pile-on” from his followers who allegedly sent death threats and exposed her children’s personal information, the BBC reported.

“The government backs our regulators and we back the eSafety Commissioner, particularly in light of the reprehensible threats to her physical safety and the threats to her family in the course of doing her job,” Rowland said.

Elon Musk’s X defeats Australia’s global takedown order of stabbing video Read More »

nvidia-emails:-elon-musk-diverting-tesla-gpus-to-his-other-companies

Nvidia emails: Elon Musk diverting Tesla GPUs to his other companies

why not just make cars? —

The Tesla CEO is accused of diverting resources from the company again.

A row of server racks

Enlarge / Tesla will have to rely on its Dojo supercomputer for a while longer after CEO Elon Musk diverted 12,000 Nvidia GPU clusters to X instead.

Tesla

Elon Musk is yet again being accused of diverting Tesla resources to his other companies. This time, it’s high-end H100 GPU clusters from Nvidia. CNBC’s Lora Kolodny reports that while Tesla ordered these pricey computers, emails from Nvidia staff show that Musk instead redirected 12,000 GPUs to be delivered to his social media company X.

It’s almost unheard of for a profitable automaker to pivot its business into another sector, but that appears to be the plan at Tesla as Musk continues to say that the electric car company is instead destined to be an AI and robotics firm instead.

Does Tesla make cars or AI?

That explains why Musk told investors in April that Tesla had spent $1 billion on GPUs in the first three months of this year, almost as much as it spent on R&D, despite being desperate for new models to add to what is now an old and very limited product lineup that is suffering rapidly declining sales in the US and China.

Despite increasing federal scrutiny here in the US, Tesla has reduced the price of its controversial “full-self driving” assist, and the automaker is said to be close to rolling out the feature in China. (Questions remain about how many Chinese Teslas would be able to utilize this feature given that a critical chip was left out of 1.2 million cars built there during the chip shortage.)

Perfecting this driver assist would be very valuable to Tesla, which offers FSD as a monthly subscription as an alternative to a one-off payment. The profit margins for subscription software services vastly outstrip the margins Tesla can make selling physical cars, which dropped to just 5.5 percent for Q1 2024. And Tesla says that massive GPU clusters are needed to develop FSD’s software.

Isn’t Tesla desperate for Nvidia GPUs?

Tesla has been developing its own in-house supercomputer for AI, called Dojo. But Musk has previously said that computer could be redundant if Tesla could source more H100s. “If they could deliver us enough GPUs, we might not need Dojo, but they can’t because they’ve got so many customers,” Musk said during a July 2023 investor day.

Which makes his decision to have his other companies jump all the more notable. In December, an internal Nvidia memo seen by CNBC said, “Elon prioritizing X H100 GPU cluster deployment at X versus Tesla by redirecting 12k of shipped H100 GPUs originally slated for Tesla to X instead. In exchange, original X orders of 12k H100 slated for Jan and June to be redirected to Tesla.”

X and the affiliated xAi are developing generative AI products like large language models.

Not the first time

This is not the first time that Musk has been accused of diverting resources (and his time) from publicly held Tesla to his other privately owned enterprises. In December 2022, US Sen. Elizabeth Warren (D-Mass.) wrote to Tesla asking Tesla to explain whether Musk was diverting Tesla resources to X (then called Twitter):

This use of Tesla employees raises obvious questions about whether Mr. Musk is appropriating resources from a publicly traded firm, Tesla, to benefit his own private company, Twitter. This, of course, would violate Mr. Musk’s legal duty of loyalty to Tesla and trigger questions about the Tesla Board’s responsibility to prevent such actions, and may also run afoul other “anti-tunneling rules that aim to prevent corporate insiders from extracting resources from their firms.”

Musk giving time meant (and compensated) for by Tesla to SpaceX, X, and his other ventures was also highlighted as a problem by the plaintiffs in a successful lawsuit to overturn a $56 billion stock compensation package.

And last summer, the US Department of Justice opened an investigation into whether Musk used Tesla resources to build a mansion for the CEO in Texas; the probe has since expanded to cover behavior stretching back to 2017.

These latest accusations of misuse of Tesla resources come at a time when Musk is asking shareholders to reapprove what is now a $46 billion stock compensation plan.

Nvidia emails: Elon Musk diverting Tesla GPUs to his other companies Read More »

musk-can’t-avoid-testifying-in-sec-probe-of-twitter-buyout-by-playing-victim

Musk can’t avoid testifying in SEC probe of Twitter buyout by playing victim

Musk can’t avoid testifying in SEC probe of Twitter buyout by playing victim

After months of loudly protesting a subpoena, Elon Musk has once again agreed to testify in the US Securities and Exchange Commission’s investigation into his acquisition of Twitter (now called X).

Musk tried to avoid testifying by arguing that the SEC had deposed him twice before, telling a US district court in California that the most recent subpoena was “the latest in a long string of SEC abuses of its investigative authority.”

But the court did not agree that Musk testifying three times in the SEC probe was either “abuse” or “overly burdensome.” Especially since the SEC has said it’s seeking a follow-up deposition after receiving “thousands of new documents” from Musk and third parties over the past year since his last depositions. And according to an order requiring Musk and the SEC to agree on a deposition date from US district judge Jacqueline Scott Corley, “Musk’s lament does not come close to meeting his burden of proving ‘the subpoena was issued in bad faith or for an improper purpose.'”

“Under Musk’s theory of reasonableness, the SEC must wait to depose a percipient witness until it has first gathered all relevant documents,” Corley wrote in the order. “But the law does not support that theory. Nor does common sense. In an investigation, the initial depositions can help an agency identify what documents are relevant and need to be requested in the first place.”

Corley’s court filing today shows that Musk didn’t even win his fight to be deposed remotely. He has instead agreed to sit for no more than five hours in person, which the SEC argued “will more easily allow for assessment of Musk’s demeanor and be more efficient as it avoids delays caused by technology.” (Last month, Musk gave a remote deposition where the Internet cut in and out, and Musk repeatedly dropped off the call.)

Musk’s deposition will be scheduled by mid-July. He is expected to testify on his Twitter stock purchases prior to his purchase of the platform, as well as his other investments surrounding the acquisition.

The SEC has been probing Musk’s Twitter stock purchases to determine if he violated a securities law that requires disclosures within 10 days from anyone who buys more than a 5 percent stake in a company. Musk missed that deadline by 11 days, as he amassed close to a 10 percent stake, and a proposed class action lawsuit from Twitter shareholders has suggested that he intentionally missed the deadline to keep Twitter stock prices artificially low while preparing for his Twitter purchase.

In an amended complaint filed this week, an Oklahoma firefighters pension fund—which sold more than 14,000 Twitter shares while Musk went on his buying spree—laid out Musk’s alleged scheme. The firefighters claim that the “goal” of Musk’s strategy was to purchase Twitter “cost effectively” and that this scheme was carried out by an unnamed Morgan Stanley banker who was motivated “to acquire billions of dollars of Twitter securities without tipping off the market” to curry favor with Musk.

As a seeming result, the firefighters’ complaint alleged that Morgan Stanley “pocketed over $1,460,000 in commissions just for executing” the “secret Twitter stock acquisition scheme.” And Morgan Stanley’s work seemingly pleased Musk so much that he went back for financial advising on the Twitter deal, the complaint alleged, paying Morgan Stanley an “estimated $42 million in fees.”

Messages from the banker show he was determined to keep the trading “absofuckinglutely quiet” to avoid the prospect that “anyone sniff anything out.”

Because of this secrecy, Twitter “investors suffered enormous damages” when Musk “belatedly disclosed his Twitter interests,” and “the price of Twitter’s stock predictably skyrocketed,” the complaint said.

“Ultimately, Musk went from owning zero shares of Twitter stock as of January 28, 2022 to spending over $2.6 billion to secretly acquire over 70 million shares” on April 4, 2022, the complaint said.

Musk can’t avoid testifying in SEC probe of Twitter buyout by playing victim Read More »

twitter-urls-redirect-to-x.com-as-musk-gets-closer-to-killing-the-twitter-name

Twitter URLs redirect to x.com as Musk gets closer to killing the Twitter name

Goodbye Twitter.com —

X.com stops redirecting to Twitter.com over a year after company name change.

An app icon and logo for Elon Musk's X service.

Getty Images | Kirill Kudryavtsev

Twitter.com links are now redirecting to the x.com domain as Elon Musk gets closer to wiping out the Twitter brand name over a year and half after buying the company.

“All core systems are now on X.com,” Musk wrote in an X post today. X also displayed a message to users that said, “We are letting you know that we are changing our URL, but your privacy and data protection settings remain the same.”

Musk bought Twitter in October 2022 and turned it into X Corp. in April 2023, but the social network continued to use Twitter.com as its primary domain for more than another year. X.com links redirected to Twitter.com during that time.

There were still remnants of Twitter after today’s change. This morning, I noticed a support link took me to a help.twitter.com page. The link subsequently redirected to a help.x.com page after I sent a message to X’s public relations email, though the timing could be coincidence. After sending that message to [email protected], I got the standard auto-reply from [email protected], just as I have in the past.

You might still encounter Twitter links that don’t redirect to x.com, depending on which browser you use. The Verge said it is “seeing a mix of results depending upon browser choice and whether you’re logged in or not.”

I had no trouble accessing x.com on desktop browsers today. But in Safari on iPhone, I received error messages when trying to access either twitter.com or x.com without first logging in. I eventually succeeded in logging in and was able to view content, but I remained at twitter.com in the iPhone browser instead of being redirected to x.com.

This will presumably be sorted out, but the awkward Twitter-to-X transition has previously been accompanied by technical problems. In early April, Musk’s service started automatically changing “twitter.com” to “x.com” in links posted by users in the iOS app. But the automatic text replacement initially applied to any URL ending in “twitter.com” even if it wasn’t actually a twitter.com link, which meant that phishers could have taken advantage by registering misleading domain names.

Twitter URLs redirect to x.com as Musk gets closer to killing the Twitter name Read More »

elon-musk’s-x-can’t-invent-its-own-copyright-law,-judge-says

Elon Musk’s X can’t invent its own copyright law, judge says

Who owns X data? Everyone but X —

Judge rules copyright law governs public data scraping, not X’s terms.

Elon Musk’s X can’t invent its own copyright law, judge says

A US district judge William Alsup has dismissed Elon Musk’s X Corp’s lawsuit against Bright Data, a data-scraping company accused of improperly accessing X (formerly Twitter) systems and violating both X terms and state laws when scraping and selling data.

X sued Bright Data to stop the company from scraping and selling X data to academic institutes and businesses, including Fortune 500 companies.

According to Alsup, X failed to state a claim while arguing that companies like Bright Data should have to pay X to access public data posted by X users.

“To the extent the claims are based on access to systems, they fail because X Corp. has alleged no more than threadbare recitals,” parroting laws and findings in other cases without providing any supporting evidence, Alsup wrote. “To the extent the claims are based on scraping and selling of data, they fail because they are preempted by federal law,” specifically standing as an “obstacle to the accomplishment and execution of” the Copyright Act.

The judge found that X Corp’s argument exposed a tension between the platform’s desire to control user data while also enjoying the safe harbor of Section 230 of the Communications Decency Act, which allows X to avoid liability for third-party content. If X owned the data, it could perhaps argue it has exclusive rights to control the data, but then it wouldn’t have safe harbor.

“X Corp. wants it both ways: to keep its safe harbors yet exercise a copyright owner’s right to exclude, wresting fees from those who wish to extract and copy X users’ content,” Alsup wrote.

If X got its way, Alsup warned, “X Corp. would entrench its own private copyright system that rivals, even conflicts with, the actual copyright system enacted by Congress” and “yank into its private domain and hold for sale information open to all, exercising a copyright owner’s right to exclude where it has no such right.”

That “would upend the careful balance Congress struck between what copyright owners own and do not own,” Alsup wrote, potentially shrinking the public domain.

“Applying general principles, this order concludes that the extent to which public data may be freely copied from social media platforms, even under the banner of scraping, should generally be governed by the Copyright Act, not by conflicting, ubiquitous terms,” Alsup wrote.

Bright Data CEO Or Lenchner said in a statement provided to Ars that Alsup’s decision had “profound implications in business, research, training of AI models, and beyond.”

“Bright Data has proven that ethical and transparent scraping practices for legitimate business use and social good initiatives are legally sound,” Lenchner said. “Companies that try to control user data intended for public consumption will not win this legal battle.”

Alsup pointed out that X’s lawsuit was “not looking to protect X users’ privacy” but rather to block Bright Data from interfering with its “own sale of its data through a tiered subscription service.”

“X Corp. is happy to allow the extraction and copying of X users’ content so long as it gets paid,” Alsup wrote.

In a sea of vague claims that scraping is “unfair,” perhaps most deficient in X’s complaint, Alsup suggested, was X’s failure to allege that Bright Data’s scraping impaired its services or that X suffered any damages.

“There are no allegations of servers harmed or identities misrepresented,” Alsup wrote. “Additionally, there are no allegations of any damage resulting from automated or unauthorized access.”

X will be allowed to amend its complaint and appeal. The case may be strengthened if X can show evidence of damages or prove that the scraping overburdened X or otherwise deprived X users of their use of the platform in a way that could damage X’s reputation.

But as it currently stands, X’s arguments in many ways appear rather “bare,” Alsup wrote, while its terms of service make crystal clear to users that “[w]hat’s yours is yours—you own your Content.”

By attempting to exclude Bright Data from accessing public X posts owned by X users, X also nearly “obliterated” the “fair use” provision of the Copyright Act, “flouting” Congress’ intent in passing the law, Alsup wrote.

“Only by receiving permission and paying X Corp. could Bright Data, its customers, and other X users freely reproduce, adapt, distribute, and display what might (or might not) be available for taking and selling as fair use,” Alsup wrote. “Thus, Bright Data, its customers, and other X users who wanted to make fair use of copyrighted content would not be able to do so.”

A win for X could have had dire consequences for the Internet, Alsup suggested. In dismissing the complaint, Alsup cited an appeals court ruling “that giving social media companies “free rein to decide, on any basis, who can collect and use data—data that the companies do not own, that they otherwise make publicly available to viewers, and that the companies themselves collect and use—risks the possible creation of information monopolies that would disserve the public interest.”

Because that outcome was averted, Lenchner is celebrating Bright Data’s win.

“Bright Data’s victory over X makes it clear to the world that public information on the web belongs to all of us, and any attempt to deny the public access will fail,” Lenchner said.

In 2023, Bright Data won a similar lawsuit lobbed by Meta over scraping public Facebook and Instagram data. These lawsuits, Lenchner alleged, “are used as a monetary weapon to discourage collecting public data from sites, so conglomerates can hoard user-generated public data.”

“Courts recognize this and the risks it poses of information monopolies and ownership of the Internet,” Lenchner said.

X did not respond to Ars’ request to comment.

Elon Musk’s X can’t invent its own copyright law, judge says Read More »

elon-musk’s-grok-keeps-making-up-fake-news-based-on-x-users’-jokes

Elon Musk’s Grok keeps making up fake news based on X users’ jokes

It’s all jokes until it isn’t —

X likely hopes to avoid liability with disclaimer that Grok “can make mistakes.”

Elon Musk’s Grok keeps making up fake news based on X users’ jokes

X’s chatbot Grok is supposed to be an AI engine crunching the platform’s posts to surface and summarize breaking news, but this week, Grok’s flaws were once again exposed when the chatbot got confused and falsely accused an NBA star of criminal vandalism.

“Klay Thompson Accused in Bizarre Brick-Vandalism Spree,” Grok’s headline read in an AI-powered trending-tab post that has remained on X (formerly Twitter) for days. Beneath the headline, Grok went into even more detail to support its fake reporting:

In a bizarre turn of events, NBA star Klay Thompson has been accused of vandalizing multiple houses with bricks in Sacramento. Authorities are investigating the claims after several individuals reported their houses being damaged, with windows shattered by bricks. Klay Thompson has not yet issued a statement regarding the accusations. The incidents have left the community shaken, but no injuries were reported. The motive behind the alleged vandalism remains unclear.

Grok appears to be confusing a common basketball term, where players are said to be throwing “bricks” when they take an airball shot that doesn’t hit the rim. According to SF Gate, which was one of the first outlets to report the Grok error, Thompson had an “all-time rough shooting” night, hitting none of his shots on what was his emotional last game with the Golden State Warriors before becoming an unrestricted free agent.

In small type under Grok’s report, X includes a disclaimer saying, “Grok is an early feature and can make mistakes. Verify its outputs.”

But instead of verifying Grok’s outputs, it appeared that X users—in the service’s famously joke-y spirit—decided to fuel Grok’s misinformation. Under the post, X users, some NBA fans, commented with fake victim reports, using the same joke format to seemingly convince Grok that “several individuals reported their houses being damaged.” Some of these joking comments were viewed by millions.

First off… I am ok.

My house was vandalized by bricks 🧱

After my hands stopped shaking, I managed to call the Sheriff…They were quick to respond🚨

My window was gone and the police asked if I knew who did it👮‍♂️

I said yes, it was Klay Thompson

— LakeShowYo (@LakeShowYo) April 17, 2024

First off…I am ok.

My house was vandalized by bricks in Sacramento.

After my hands stopped shaking, I managed to call the Sheriff, they were quick to respond.

My window is gone, the police asked me if I knew who did it.

I said yes, it was Klay Thompson. pic.twitter.com/smrDs6Yi5M

— KeeganMuse (@KeegMuse) April 17, 2024

First off… I am ok.

My house was vandalized by bricks 🧱

After my hands stopped shaking, I managed to call the Sheriff…They were quick to respond🚨

My window was gone and the police asked if I knew who did it👮‍♂️

I said yes, it was Klay Thompson pic.twitter.com/JaWtdJhFli

— JJJ Muse (@JarenJJMuse) April 17, 2024

X did not immediately respond to Ars’ request for comment or confirm if the post will be corrected or taken down.

In the past, both Microsoft and chatbot maker OpenAI have faced defamation lawsuits over similar fabrications in which ChatGPT falsely accused a politician and a radio host of completely made-up criminal histories. Microsoft was also sued by an aerospace professor who Bing Chat falsely labeled a terrorist.

Experts told Ars that it remains unclear if disclaimers like X’s will spare companies from liability should more people decide to sue over fake AI outputs. Defamation claims might depend on proving that platforms “knowingly” publish false statements, which disclaimers suggest they do. Last July, the Federal Trade Commission launched an investigation into OpenAI, demanding that the company address the FTC’s fears of “false, misleading, or disparaging” AI outputs.

Because the FTC doesn’t comment on its investigations, it’s impossible to know if its probe will impact how OpenAI conducts business.

For people suing AI companies, the urgency of protecting against false outputs seems obvious. Last year, the radio host suing OpenAI, Mark Walters, accused the company of “sticking its head in the sand” and “recklessly disregarding whether the statements were false under circumstances when they knew that ChatGPT’s hallucinations were pervasive and severe.”

X just released Grok to all premium users this month, TechCrunch reported, right around the time that X began giving away premium access to the platform’s top users. During that wider rollout, X touted Grok’s new ability to summarize all trending news and topics, perhaps stoking interest in this feature and peaking Grok usage just before Grok spat out the potentially defamatory post about the NBA star.

Thompson has not issued any statements on Grok’s fake reporting.

Grok’s false post about Thompson may be the first widely publicized example of potential defamation from Grok, but it wasn’t the first time that Grok promoted fake news in response to X users joking around on the platform. During the solar eclipse, a Grok-generated headline read, “Sun’s Odd Behavior: Experts Baffled,” Gizmodo reported.

While it’s amusing to some X users to manipulate Grok, the pattern suggests that Grok may also be vulnerable to being manipulated by bad actors into summarizing and spreading more serious misinformation or propaganda. That’s apparently already happening, too. In early April, Grok made up a headline about Iran attacking Israel with heavy missiles, Mashable reported.

Elon Musk’s Grok keeps making up fake news based on X users’ jokes Read More »

so-much-for-free-speech-on-x;-musk-confirms-new-users-must-soon-pay-to-post

So much for free speech on X; Musk confirms new users must soon pay to post

100 pennies for your thoughts? —

The fee, likely $1, is aimed at stopping “relentless” bots, Musk said.

So much for free speech on X; Musk confirms new users must soon pay to post

Elon Musk confirmed Monday that X (formerly Twitter) plans to start charging new users to post on the platform, TechCrunch reported.

“Unfortunately, a small fee for new user write access is the only way to curb the relentless onslaught of bots,” Musk wrote on X.

In October, X confirmed that it was testing whether users would pay a small annual fee to access the platform by suddenly charging new users in New Zealand and the Philippines $1. Paying the fee enabled new users in those countries to post, reply, like, and bookmark X posts.

That test was deemed the “Not-A-Bot” program, and it’s unclear how successful it was at stopping bots. But X deciding to expand the program seems to suggest that the test must have had some success.

Musk has not yet clarified when X’s “small fee” might be required for new users, only confirming in a later post that any new users who avoid paying the fee will be able to post after three months. Ars created new accounts on the web and in the app, and neither signup required any fees yet.

Although Musk’s posts only mention paying for “write access,” it seems likely that the other features limited by the “Not-A-Bot” program will also be limited during those three months for any users who do not pay the fee, too. An X account called @x_alerts_ noticed on Sunday that X was updating its web app text that was seemingly enabling the “Not-A-Bot” program.

“Changes have been detected in the texts of the X web app!” @x_alerts_ wrote, noting that the altered text seemed to limit not just posting and replying, but also liking and bookmarking X posts.

“It looks like this text has been in the app, but they recently changed it, so not sure whether it’s an indication of launch or not!” the user wrote.

Back when X launched the “Not-A-Bot” program, Musk claimed that charging a $1 annual fee would make it “1000X harder to manipulate the platform.” In a help center post, X said that the “test was developed to bolster our already significant efforts to reduce spam, manipulation of our platform, and bot activity.”

Earlier this month, X warned users it was widely purging spam accounts, TechCrunch noted. X Support confirmed that follower counts would likely be impacted during that purge, because “we’re casting a wide net to ensure X remains secure and free of bots.”

But that attempt to purge bots apparently did not work as well as X hoped. This week, Musk confirmed that X is still struggling with “AI (and troll farms)” that he said are easily able to pass X’s “are you a bot” tests.

It’s hard to keep up with X’s inconsistent messaging on its bot problem since Musk took over. Last summer, Musk told attendees of The Wall Street Journal’s CEO Council that the platform had “eliminated at least 90 percent of scams,” claiming there had been a “dramatic improvement” in the platform’s ability to “detect and remove troll armies.”

At that time, experts told The Journal that solving X’s bot problem was nearly impossible because spammers’ tactics were always evolving and bots had begun using generative AI to avoid detection.

Musk’s plan to charge a fee to overcome bots won’t work, experts told WSJ, because anyone determined to spam X can just find credit cards and buy disposable phones on the dark web. And any bad actor who can’t find what they need on the dark web could theoretically just wait three months to launch scams or spread harmful content like disinformation or propaganda. This leads some critics to wonder what the point of charging the small fee really is.

When the “Not-A-Bot” program launched, X Support directly disputed critics’ claims that the program was simply testing whether charging small fees might expand X’s revenue to help Musk get the platform out of debt.

“This new test was developed to bolster our already successful efforts to reduce spam, manipulation of our platform, and bot activity, while balancing platform accessibility with the small fee amount,” X Support wrote on X. “It is not a profit driver.”

It seems likely that Musk is simply trying everything he can think of to reduce bots on the platform, even though it’s widely known that charging a subscription fee has failed to stop bots from overrunning other online platforms (just ask frustrated fans of World of Warcraft). Musk, who famously overpaid for Twitter and has been climbing out of debt since, has claimed since before the Twitter deal closed that his goal was to eliminate bots on the platform.

“We will defeat the spam bots or die trying!” Musk tweeted back in 2022, when a tweet was still a tweet and everyone could depend on accessing Twitter for free.

So much for free speech on X; Musk confirms new users must soon pay to post Read More »

judge-halts-texas-probe-into-media-matters’-reporting-on-x

Judge halts Texas probe into Media Matters’ reporting on X

Texas Attorney General Ken Paxton speaks during the annual Conservative Political Action Conference (CPAC) meeting on February 23, 2024.

Enlarge / Texas Attorney General Ken Paxton speaks during the annual Conservative Political Action Conference (CPAC) meeting on February 23, 2024.

A judge has preliminarily blocked what Media Matters for America (MMFA) described as Texas Attorney General Ken Paxton’s attempt to “rifle through” confidential documents to prove that MMFA fraudulently manipulated X (formerly Twitter) data to ruin X’s advertising business, as Elon Musk has alleged.

After Musk accused MMFA of publishing reports that Musk claimed were designed to scare advertisers off X, Paxton promptly launched his own investigation into MMFA last November.

Suing MMFA over alleged violations of Texas’ Deceptive Trade Practices Act—which prohibits “disparaging the goods, services, or business of another by false or misleading representation of facts”—Paxton sought a wide range of MMFA documents through a civil investigative demand (CID). Filing a motion to block the CID, MMFA told the court that the CID had violated the media organization’s First Amendment rights, providing evidence that Paxton’s investigation and CID had chilled MMFA speech.

Paxton had requested Media Matters’ financial records—including “direct and indirect sources of funding for all Media Matters operations involving X research or publications”—as well as “internal and external communications” on “Musk’s purchase of X” and X’s current CEO Linda Yaccarino. He also asked for all of Media Matters’ communications with X representatives and X advertisers.

But perhaps most invasive, Paxton wanted to see all the communications about Media Matters’ X reporting that triggered the lawsuits, which, as US District Judge Amit Mehta wrote in an opinion published Friday, was a compelled disclosure that “poses a serious threat to the vitality of the newsgathering process.”

Mehta was concerned that MMFA showed that “Media Matters’ editorial leaders have pared back reporting and publishing, particularly on any topics that could be perceived as relating to the Paxton investigation”—including two follow-ups on its X reporting. Because of Paxton’s alleged First Amendment retaliation, MMFA said it did not publish “two pieces concerning X’s placement of advertising alongside antisemitic, pro-Nazi accounts”—”not out of legitimate concerns about fairness or accuracy,” but “out of fear of harassment, threats, and retaliation.”

According to Mehta’s order, Paxton did not contest that Texas’ lawsuit had chilled MMFA’s speech. Further, Paxton had given at least one podcast interview where he called upon other state attorneys general to join him in investigating MMFA.

Because Paxton “projected himself across state lines and asserted a pseudo-national executive authority,” Mehta wrote and repeatedly described MMFA as a “radical anti-free speech” or “radical left-wing organization,” the court had seen sufficient “evidence of retaliatory intent.”

“Notably,” Mehta wrote, Paxton remained “silent” and never “submitted a sworn declaration that explains his reasons for opening the investigation.”

In his press release, Paxton justified the investigation by saying, “We are examining the issue closely to ensure that the public has not been deceived by the schemes of radical left-wing organizations who would like nothing more than to limit freedom by reducing participation in the public square.”

Ultimately, Mehta granted MMFA’s request for a preliminary injunction to block Paxton’s CID because the judge found that the investigation and the CID have caused MMFA “to self-censor when making research and publication decisions, adversely affected the relationships between editors and reporters, and restricted communications with sources and journalists.”

“Only injunctive relief will ‘prevent the [ongoing] deprivation of free speech rights,'” Mehta’s opinion said, deeming MMFA’s reporting as “core First Amendment activities.”

Mehta’s order also banned Paxton from taking any steps to further his investigation until the lawsuit is decided.

In a statement Friday, MMFA President and CEO Angelo Carusone celebrated the win as not just against Paxton but also against Musk.

“Elon Musk encouraged Republican state attorneys general to use their power to harass their critics and stifle reporting about X,” Carusone said. “Ken Paxton was one of those AGs that took up the call and he was defeated. Today’s decision is a victory for free speech.”

Paxton has not yet responded to the preliminary injunction and his office did not respond to Ars’ request to comment..

Media Matters’ lawyer, Aria C. Branch, a partner at Elias Law Group, told Ars that “while Attorney General Paxton’s office has not yet responded to Friday’s ruling, the preliminary injunction should certainly put an end to these kind of lawless, politically motivated attempts to muzzle the press.”

Judge halts Texas probe into Media Matters’ reporting on X Read More »

elon-musk’s-x-to-stop-allowing-users-to-hide-their-blue-checks

Elon Musk’s X to stop allowing users to hide their blue checks

Nothing to hide —

X previously promised to “evolve” the “hide your checkmark” feature.

Elon Musk’s X to stop allowing users to hide their blue checks

X will soon stop allowing users to hide their blue checkmarks, and some users are not happy.

Previously, a blue tick on Twitter was a mark of a notable account, providing some assurance to followers of the account’s authenticity. But then Elon Musk decided to start charging for the blue tick instead, and mayhem ensued as a wave of imposter accounts began jokingly posing as brands.

After that, paying for a blue checkmark began to attract derision, as non-paying users passed around a meme under blue-checked posts, saying, “This MF paid for Twitter.” To help spare paid subscribers this embarrassment, X began allowing users to hide their blue check last August, turning “hide your checkmark” into a feature of paid subscriptions.

However, earlier this month, X decided that hiding a checkmark would no longer be allowed, deleting the feature from its webpage detailing what comes with X Premium. An archive of X’s page shows that the language about how to hide your checkmark was removed after April 6, with X no longer promising to “continue to evolve this feature to make it better for you” but instead abruptly ending the perk.

X’s decision to stop hiding checkmarks came after the platform began gifting blue checkmarks to popular accounts. Back in April 2023, then-Twitter had awarded blue checks to celebrity accounts with more than a million followers. Last week, now-X doled out even more blue checks to accounts with over 2,500 paid verified followers. Now, accounts with more than 2,500 paid verified followers get Premium features for free, and accounts with more than 5,000 paid verified followers get Premium+.

You might think that X giving out freebies would be well-received, but Business Insider tech reporter Katie Notopoulos, one of many accounts suddenly gifted the blue check, summed up how many X users were feeling about the gifted tick by asking, “does it seem uncool?”

X doesn’t seem to care anymore if blue checks are seen as uncool, though. Anyone who doesn’t want the complimentary check can refuse it, and any paid subscriber upset about losing the ability to hide their checkmark can always just stop paying for Premium features.

According to X, anyone deciding to cancel their subscription over the loss of the “hide your checkmark” feature can expect the check to remain on their account “until the end of the subscription term you paid for, unless your account is suspended or the blue checkmark is otherwise removed by X for any reason.”

X could also suddenly remove a checkmark without refunding users in extreme circumstances.

“X reserves the right without notice to remove your blue checkmark at any time in its sole discretion without offering you a refund, including if you violate our Terms of Service or if your account is suspended,” X’s subscription page warns.

X Daily, an X news account, announced that the change was coming this week, gathering “meltdown reactions” from users who are upset that their blue checks will soon no longer be hidden.

“Let me hide my checkmark, I’m not a fucking bot,” a user called @4gntt posted, the complaint seemingly alluding to Musk’s claim that paid subscriptions are the only way to stop bots from overrunning X.

“Oh no,” another user, @jeremyphoward, posted. “I signed up to X Premium since it’s required for them to pay me… but now they [are] making the cringemark non-optional 🙁 Not sure if it’s worth it.”

It’s currently unclear when the “hide your checkmark” feature will stop working. Neither of those users criticizing X currently display a blue tick on their profile, suggesting that their checks are still hidden, but it’s also possible that some users immediately stopped paying in response to the policy change.

Elon Musk’s X to stop allowing users to hide their blue checks Read More »