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Chinese hackers have stepped up attacks on Taiwanese organizations, cybersecurity firm says

Hong Kong — A suspected Chinese state-sponsored hacking group has stepped up its targeting of Taiwanese organizations, particularly those in sectors such as government, education, technology and diplomacy, according to cybersecurity intelligence company Recorded Future. 

In recent years, relations between China and Taiwan, a self-governed island across the Taiwan Strait that Beijing claims as its territory, have deteriorated. The cyberattacks by the group known as RedJulliett were observed between November 2023 and April 2024, during the lead up to Taiwan’s presidential elections in January and the subsequent change in administration. 

RedJuliett has targeted Taiwanese organizations in the past, but this is the first time that activity was seen at such a scale, a Recorded Future analyst said, speaking on condition of anonymity out of safety concerns. 

The report said RedJuliett attacked 24 organizations, including government agencies in places like Laos, Kenya and Rwanda, as well as Taiwan. 

It also hacked into websites of religious organizations in Hong Kong and South Korea, a U.S university and a Djiboutian university. The report did not identify the organizations. 

Recorded Future said RedJuliett accessed the servers of those places via a vulnerability in their SoftEther enterprise virtual private network, or VPN software, an open-source VPN that allows remote connections to an organization’s networks. 

RedJuliett has been observed attempting to break into systems of more than 70 Taiwanese organizations including three universities, an optoelectronics company and a facial recognition company that has contracts with the government. 

It was unclear if RedJuliett managed to break into those organizations: Recorded Future only said it observed the attempts to identify vulnerabilities in their networks. 

RedJuliett’s hacking patterns match those of Chinese state-sponsored groups, according to Recorded Future. 

It said that based on the geolocations of IP addresses, RedJulliett is likely based out of the city of Fuzhou, in China’s southern Fujian province, whose coast faces Taiwan. 

“Given the close geographical proximity between Fuzhou and Taiwan, Chinese intelligence services operating in Fuzhou are likely tasked with intelligence collection against Taiwanese targets,” the report said. 

“RedJuliett is likely targeting Taiwan to collect intelligence and support Beijing’s policy-making on cross-strait relations,” the Recorded Future report said.

Taiwan’s Ministry of Foreign Affairs did not immediately comment.

A Chinese Foreign Ministry spokesperson dismissed the allegations.

“I don’t know the specifics of what you mentioned, but I can tell you that it’s not the first time the company you mentioned has fabricated disinformation on so-called Chinese hacking operations. There is absolutely no professionalism or credibility to speak of in what the company does,” the spokesperson, Mao Ning, said.

Microsoft reported in August last year that RedJuliett, which Microsoft tracks under the name Flax Typhoon, was targeting Taiwanese organizations. 

China has in recent years stepped up military drills around Taiwan and imposed economic and diplomatic pressure on the island. 

Relations between Taiwan and Beijing worsened further after the election in January of Taiwan’s new president Lai Ching-te, who China has deemed a “separatist,” after he said in his inauguration speech that Taiwan and China were not subordinate to each other. Like his predecessor Tsai Ing-wen, Lai has said that there is no need to declare Taiwanese independence because it is already an independent sovereign state. 

Like many other countries including the U.S., China has been known to engage in cyberespionage. Earlier this year, the U.S. and Britain accused China of a sweeping cyberespionage campaign that allegedly hit millions of people. 

Beijing has consistently denied engaging in any form of state-sponsored hacking, instead saying that China itself is a major target of cyberattacks. 

According to Recorded Future, Chinese state-sponsored groups will likely continue to target Taiwanese government agencies, universities and critical technology companies via “public-facing” devices such as open-source VPN software, which provide limited visibility and logging capabilities. 

Companies and organizations can best protect themselves by prioritizing and patching vulnerabilities once they become known, Recorded Future’s threat intelligence analyst said.

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Apple’s App Store rules breach EU tech rules, EU regulators say

AMSTERDAM — Apple’s App Store rules breach EU tech rules because they prevent app developers from steering consumers to alternative offers, EU antitrust regulators said on Monday, a charge that could result in a hefty fine for the iPhone maker.

The European Commission, which also acts as the European Union’s antitrust and technology regulator, said it had sent its preliminary findings to Apple following an investigation launched in March.

The charge against Apple is the first by the Commission under its landmark Digital Markets Act which seeks to rein in the power of Big Tech and ensure a level playing field for smaller rivals. It has until March next year to issue a final decision.

EU antitrust chief Margrethe Vestager cited issues with Apple’s new terms.

“As they stand, we think that these new terms do not allow app developers to communicate freely with their end users, and to conclude contracts with them,” she told a conference.

The Commission said under most of the business terms, Apple allows steering only through ‘link-outs’, meaning that app developers can include a link in their app that redirects the customer to a web page where the customer can conclude a contract.

It also criticised the fees charged by Apple for facilitating via the App Store the initial acquisition of a new customer by developers, saying they went beyond what was strictly necessary for such remuneration.

Apple said it had made a number of changes in the past several months to comply with the DMA after getting feedback from developers and the Commission.

“We are confident our plan complies with the law, and estimate more than 99% of developers would pay the same or less in fees to Apple under the new business terms we created,” the company said in an email.

The EU executive said it was also opening an investigation into the iPhone maker over its new contractual requirements for third-party app developers and app stores and whether these were necessary and proportionate.

DMA breaches can cost companies fines as much as 10% of their global annual turnover.

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Germany assures China that doors still open to discuss EU surcharges

Shanghai, China — The German vice-chancellor assured China on Saturday that the “doors” remained “open” to discuss EU surcharges on Chinese electric vehicles, without reassuring Beijing which promised to “firmly defend” its manufacturers.

Also, the Minister of Economy and Climate, Robert Habeck is making a visit that seems like a last chance to avoid a trade war between the Old Continent and the second world power, an important economic partner of Germany.

A task further complicated by the political context, the German leader reproached China on Saturday for its economic support for Russia against a backdrop of the invasion of Ukraine, stressing it was “harming” relations between Beijing and Brussels.

China regularly denounces these upcoming surcharges on electric vehicles as being “purely protectionist.”

“These are not punitive customs duties,” Habeck assured Zheng Shanjie, director of the Chinese Economic Planning Agency (NDRC) Saturday, according to a recording sent to AFP by the Chinese Embassy in Germany.

“This is not a punishment,” he insisted.

Up to 28% increase

Without compromise by July 4, the European Commission will impose up to 28% increase in customs duties on imports of Chinese electric vehicles, accusing Beijing of having, according to it, distorted competition by massively subsidizing this sector.

These surcharges would become definitive from November.

“For Europe, I can say that the doors are open and the invitation or offer for discussion has been made several times. Now it must be accepted,” Habeck said at a news conference in Shanghai.

From Brussels, Olof Gill, the EU spokesperson, assured that European Trade Commissioner Valdis Dombrovskis and Chinese Trade Minister Wang Wentao “had a frank and constructive call on Saturday regarding the anti-subsidy investigation of the EU on electric cars produced in China.”

“Both sides will continue to engage at all levels in the coming weeks,” he added.

China vows to defend ‘rights’

Earlier Saturday, the tone had been firm on the Chinese side.

“If the EU shows sincerity, China wants to start negotiations as soon as possible” on the surcharges, Trade Minister Wang told him, according to the English-speaking state television CGTN.

“But if the EU persists in this course, we will take all necessary measures to defend our interests. This will include lodging a complaint with the dispute settlement mechanism of the World Trade Organization (WTO). We will firmly defend the legitimate rights and interests of Chinese enterprises.”

Beijing had already announced Monday that it had launched an anti-dumping investigation into imports of pork and pork products from the European Union.

German and European manufacturers are strongly affected by cheaper Chinese competition. Imports of Chinese electric vehicles into Germany increased tenfold between 2020 and 2023.

China argues that the success of its electricity sector is due to innovation and efficient supply chains, not subsidies.

“(EU) protectionism will not protect (its manufacturers’) competitiveness and will only slow down the global fight against climate change and the promotion of a green transition,” Zheng told Habeck.

“We expect Germany to show leadership within the EU and take the right measures,” implying the cancellation of surcharges, he insisted, according to the New China agency.

Habeck blames Beijing

Such an epilogue seems improbable, with Habeck again blaming Beijing on Saturday for the surge in its trade with Moscow.

“The Russian war of aggression and Chinese support for the Russian government are already harming trade and economic relations between Europe and China,” he said he told his Chinese interlocutors.

China has pledged not to supply weapons to Russia and calls for respect for the territorial integrity of all countries — including Ukraine. But China has never condemned Moscow for its invasion.

Habeck assured Saturday that many “dual-use” goods (both civil and military) were used by Russia after passing through “third countries” — implying China.

“We therefore cannot accept” that the Russian invasion is supported with these products, insisted the German vice-chancellor, calling on Beijing to ban their export to its Russian neighbor.

German car manufacturers still fear a major trade conflict with Beijing, which would undermine their activity in this crucial market. For Mercedes, Volkswagen or BMW, China represents up to 36% of sales volumes.

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China, France launch satellite to better understand universe

Xichang, China — A French-Chinese satellite blasted off Saturday on a hunt for the mightiest explosions in the universe, in a notable example of cooperation between a Western power and the Asian giant.

Developed by engineers from both countries, the Space Variable Objects Monitor, or SVOM, will seek out gamma-ray bursts, the light from which has traveled billions of light years to reach Earth.

The 930-kilogram (2,050-pound) satellite carrying four instruments — two French, two Chinese — took off around 3 p.m. aboard a Chinese Long March 2-C rocket from a space base in Xichang, in the southwestern province of Sichuan, AFP journalists witnessed.

Gamma-ray bursts generally occur after the explosion of huge stars — those more than 20 times as big as the sun — or the fusion of compact stars.

The extremely bright cosmic beams can give off a blast of energy equivalent to over a billion billion suns.

Observing them is like “looking back in time, as the light from these objects takes a long time to reach us,” Ore Gottlieb, an astrophysicist at the Flatiron Institute’s Center for Astrophysics in New York, told AFP.

“Several mysteries”

The rays carry traces of the gas clouds and galaxies they pass through on their journey through space — valuable data for better understanding the history and evolution of the universe.

“SVOM has the potential to unravel several mysteries in the field of [gamma-ray bursts], including detecting the most distant GRBs in the universe, which correspond to the earliest GRBs,” Gottlieb said.

The most distant bursts identified to date were produced just 630 million years after the Big Bang — when the universe was in its infancy.

“We are … interested in gamma-ray bursts for their own sake, because they are very extreme cosmic explosions which allow us to better understand the death of certain stars,” said Frederic Daigne, an astrophysicist at the Institut d’Astrophysique de Paris.

“All of this data makes it possible to test the laws of physics with phenomena that are impossible to reproduce in the laboratory on Earth,” he said.

Once analyzed, the data could help to better understand the composition of space, the dynamics of gas clouds or other galaxies.

The project stems from a partnership between the French and Chinese space agencies, as well as other scientific and technical groups from both nations.

Space cooperation at this level between the West and China is uncommon, especially since the United States banned all collaboration between NASA and Beijing in 2011.

Race against time

“U.S. concerns on technology transfer have inhibited U.S. allies from collaborating with the Chinese very much, but it does happen occasionally,” said Jonathan McDowell, an astronomer at the Harvard-Smithsonian Center for Astrophysics in the United States.

In 2018, China and France jointly launched CFOSAT, an oceanographic satellite mainly used in marine meteorology.

And several European countries have taken part in China’s Chang’e lunar exploration program.

So, while SVOM is “by no means unique,” it remains “significant” in the context of space collaboration between China and the West, said McDowell.

Once in orbit 625 kilometers (388 miles) above the Earth, the satellite will send its data back to observatories.

The main challenge is that gamma-ray bursts are extremely brief, leaving scientists in a race against time to gather information.

Once it detects a burst, SVOM will send an alert to a team on duty around the clock.

Within five minutes, they will have to rev up a network of telescopes on the ground that will align precisely with the axis of the burst’s source to make more detailed observations.

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Trump, Biden woo voters on TikTok. Will it make a difference?

President Joe Biden and former president Donald Trump agree on few things, but a ban of the Beijing-based social network TikTok is one of them. Now with a presidential election at stake, both are joining the platform they previously attempted to take down. Will it make a difference on Election Day? Tina Trinh reports.

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US bans Russia’s Kaspersky antivirus software

Washington — U.S. President Joe Biden’s administration on Thursday banned Russia-based cybersecurity firm Kaspersky from providing its popular antivirus products in the United States over national security concerns, the U.S. Commerce Department said.

“Kaspersky will generally no longer be able to, among other activities, sell its software within the United States or provide updates to software already in use,” the agency said in a statement.

The announcement came after a lengthy investigation found Kaspersky’s “continued operations in the United States presented a national security risk due to the Russian Government’s offensive cyber capabilities and capacity to influence or direct Kaspersky’s operations,” it said.

U.S. Commerce Secretary Gina Raimondo said, “Russia has shown time and again they have the capability and intent to exploit Russian companies, like Kaspersky Lab, to collect and weaponize sensitive U.S. information.”

Kaspersky, in a statement to AFP, said the Commerce Department “made its decision based on the present geopolitical climate and theoretical concerns,” and vowed to “pursue all legally available options to preserve its current operations and relationships.”

“Kaspersky does not engage in activities which threaten U.S. national security and, in fact, has made significant contributions with its reporting and protection from a variety of threat actors that targeted U.S. interests and allies,” the company said.

The move is the first such action taken since an executive order issued under Donald Trump’s presidency gave the Commerce Department the power to investigate whether certain companies pose a national security risk.

Raimondo said the Commerce Department’s actions demonstrated to America’s adversaries that it would not hesitate to act when “their technology poses a risk to the United States and its citizens.”

While Kaspersky is headquartered in Moscow, it has offices in 31 countries around the world, servicing more than 400 million users and 270,000 corporate clients in more than 200 countries, the Commerce Department said.

As well as banning the sale of Kaspersky’s antivirus software, the Commerce Department also added three entities linked to the firm to a list of companies deemed to be a national security concern, “for their cooperation with Russian military and intelligence authorities in support of the Russian government’s cyber intelligence objectives.”

The Commerce Department said it “strongly encouraged” users to switch to new vendors, although its decision does not ban them from using the software should they choose to do so.

Kaspersky is allowed to continue certain operations in the United States, including providing antivirus updates, until September 29, “in order to minimize disruption to US consumers and businesses and to give them time to find suitable alternatives,” it added.  

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India and US to Strengthen High Technology Cooperation 

New Delhi — Days after Prime Minister Narendra Modi began his third term in office, India and the United States agreed to strengthen cooperation in high technology areas during a visit by U.S. National Security Advisor Jake Sullivan to New Delhi.

Sullivan met Modi, the Indian foreign minister and his Indian counterpart during the visit that reaffirmed both countries will pursue closer ties.

“India is committed to further strengthen the India-US comprehensive global strategic partnership for global good,” Modi wrote on X after meeting Sullivan on Monday.

The main focus of Sullivan’s visit was to hold discussion with Indian National Security Advisor Ajit Doval on a landmark initiative launched by the two countries in January last year to collaborate more closely in high-technology areas including defense, semiconductors, 5G wireless networks and artificial intelligence.

The initiative, launched with an eye to countering China, marks a significant push in tightening the strategic partnership between the two countries.

“The visit by Sullivan in the early days of Modi’s new administration signals that the U.S. wants to maintain the momentum in the high technology partnership between the two countries,” according to Manoj Joshi, Distinguished Fellow at the Observer Research Foundation in New Delhi.

A joint fact sheet by the two countries following Sullivan’s meeting with Doval said that they launched a new strategic semiconductor partnership between U.S. and Indian companies for precision-guided ammunition and other national security-focused electronics platforms.

They also agreed to co-invest in a lithium resource project in South America and a rare earths deposit in Africa “to diversify critical mineral supply chains” and discussed possible co-production of land warfare systems, according to the fact sheet.

Growing the domestic defense manufacturing sector remains a top focus for the Modi administration as it looks to lower its dependence on imported arms. Although India has diversified its imports of military equipment, it is still heavily reliant on Russia.

For India, the technology initiative is a top priority as it looks to strengthen the country’s security and build its capabilities in high technology areas.

“India wants to become one of the leading countries in cutting edge technologies and it is of great benefit for New Delhi to partner the U.S. which is the leader in these areas,” said Joshi. “The idea is to get into co-production, co-development, innovation and attract American companies to set up bases here.”

Sullivan also met Indian foreign minister Subrahmanyan Jaishankar, who has been retained as the external affairs minister in Modi’s new administration, signaling a continuation in the country’s foreign policy. “Confident that India-US strategic partnership will continue to advance strongly in our new term,” Jaishankar wrote on X.

In Washington, White House National Security Communications Advisor John Kirby told reporters Monday that India and the U.S. “share a unique bond of friendship and Mr. Sullivan’s trip to India will further deepen the already strong U.S.-India partnership to create a safer and more prosperous Indo-Pacific.”

New Delhi’s ties with Washington have expanded in recent years amid mutual concerns in both countries about an assertive China — India’s military standoff with Beijing along their disputed Himalayan borders remains unresolved four years after a clash between their troops.

As Sullivan visited India, an Indian national, Nikhil Gupta, charged with trying to hire a hitman to assassinate a Sikh separatist leader in the U.S., appeared in court in New York Monday following his extradition from the Czech Republic. The alleged plan was foiled.

Allegations by U.S. prosecutors of the involvement of an Indian government official in the plot to kill Gurpatwant Singh Pannun, a dual US-Canadian citizen, have raised concerns about a strain in bilateral ties.

The U.S. allegations followed accusations levelled by Canada in September of involvement of Indian nationals in the killing of a Canadian Sikh leader.

India, which views Sikh separatist groups overseas as security threats, has denied its involvement in both the killing in Canada and the alleged plot in the U.S. But it said it has set up an inquiry committee to examine the information provided by Washington.

Analysts in New Delhi say ties are unlikely to be adversely impacted by the alleged murder plot. “The U.S. is quite pragmatic on these matters. They are continuing to stress that ties with India are important, so I don’t think a failed conspiracy will derail ties,” Joshi said.

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A year after the Titan’s tragic dive, deep-sea explorers vow to pursue ocean’s mysteries

PORTLAND, Maine — The deadly implosion of an experimental submersible en route to the deep-sea grave of the Titanic last June has not dulled the desire for further ocean exploration, despite lingering questions about the disaster.

Tuesday marks one year since the Titan vanished on its way to the historic wreckage site in the North Atlantic Ocean. After a five-day search that captured attention around the world, authorities said the vessel had been destroyed and all five people on board had died.

Concerns have been raised about whether the Titan was destined for disaster because of its unconventional design and its creator’s refusal to submit to independent checks that are standard in the industry. The U.S. Coast Guard quickly convened a high-level investigation into what happened, but officials said the inquiry is taking longer than the initial 12-month time frame, and a planned public hearing to discuss their findings won’t happen for at least another two months.

Meanwhile, deep-sea exploration continues. The Georgia-based company that owns the salvage rights to the Titanic plans to visit the sunken ocean liner in July using remotely operated vehicles, and a real estate billionaire from Ohio has said he plans a voyage to the shipwreck in a two-person submersible in 2026.

The Titan dove southeast of Newfoundland. The Transportation Safety Board of Canada said Monday that there are other submersibles operating within Canadian waters, some of which are not registered with the country or any other.

Numerous ocean explorers told The Associated Press they are confident undersea exploration can continue safely in a post-Titan world.

“It’s been a desire of the scientific community to get down into the ocean,” said Greg Stone, a veteran ocean explorer and friend of Titan operator Stockton Rush, who died in the implosion. “I have not noticed any difference in the desire to go into the ocean, exploring.”

OceanGate, a company co-founded by Rush that owned the submersible, suspended operations in early July following the implosion. A spokesperson for the company declined to comment.

David Concannon, a former adviser to OceanGate, said he will mark the anniversary privately with a group of people who were involved with the company or the submersible’s expeditions over the years, including scientists, volunteers and mission specialists. Many of them, including those who were on the Titan support ship Polar Prince, have not been interviewed by the Coast Guard, he said.

“The fact is, they are isolated and in a liminal space,” he said in an email last week. “Stockton Rush has been vilified and so has everyone associated with OceanGate. I wasn’t even there and I have gotten death threats. We support each other and just wait to be interviewed. The world has moved on … but the families and those most affected are still living with this tragedy every day.”

The Titan had been chronicling the Titanic’s decay and the underwater ecosystem around the sunken ocean liner in yearly voyages since 2021.

The craft made its last dive on June 18, 2023, a Sunday morning, and lost contact with its support vessel about two hours later. When it was reported overdue that afternoon, rescuers rushed ships, planes and other equipment to the area, about 700 kilometers south of St. John’s, Newfoundland.

The U.S. Navy notified the Coast Guard that day of an anomaly in its acoustic data that was “consistent with an implosion or explosion” at the time communications between the Polar Prince and the Titan were lost, a senior Navy official later told The Associated Press. The official spoke on condition of anonymity to discuss sensitive technology.

Any sliver of hope that remained for finding the crew alive was wiped away on June 22, when the Coast Guard announced that debris had been found near the Titanic on the ocean floor. Authorities have since recovered the submersible’s intact endcap, debris and presumed human remains from the site.

In addition to Rush, the implosion killed two members of a prominent Pakistani family, Shahzada Dawood and his son Suleman Dawood; British adventurer Hamish Harding; and Titanic expert Paul-Henri Nargeolet.

Harding and Nargeolet were members of The Explorers Club, a professional society dedicated to research, exploration and resource conservation.

“Then, as now, it hit us on a personal level very deeply,” the group’s president, Richard Garriott, said in an interview last week. “We knew not only all the people involved, but even all the previous divers, support teams, people working on all these vessels — those were all either members of this club or well within our network.”

Garriott believes even if the Titan hadn’t imploded, the correct rescue equipment didn’t get to the site fast enough. The tragedy caught everyone from the Coast Guard to the ships on-site off guard, underscoring the importance of developing detailed search and rescue plans ahead of any expedition, he said. His organization has since created a task force to help others do just that.

“That’s what we’ve been trying to really correct, to make sure that we know exactly who to call and exactly what materials need to be mustered,” he said.

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Myanmar cracks down on flow of information by blocking VPNs

BANGKOK — Myanmar’s military government has launched a major effort to block free communication on the internet, shutting off access to virtual private networks — known as VPNs — which can be used to circumvent blockages of banned websites and services. 

The attempt to restrict access to information began at the end of May, according to mobile phone operators, internet service providers, a major opposition group, and media reports. 

The military government that took power in February 2021 after ousting the elected government of Aung San Suu Kyi has made several attempts to throttle traffic on the internet, especially in the months immediately after their takeover. 

Reports in local media say the attack on internet usage includes random street searches of people’s mobile phones to check for VPN applications, with a fine if any are found. It is unclear if payments are an official measure. 

25 arrested for having VPNs

On Friday, the Burmese-language service of U.S. government-funded Radio Free Asia reported about 25 people from Myanmar’s central coastal Ayeyarwady region were arrested and fined by security forces this week after VPN apps were found on their mobile phones. Radio Free Asia is a sister news outlet to Voice of America. 

As the army faces strong challenges from pro-democracy guerrillas across the country in what amounts to a civil war, it has also made a regular practice of shutting down civilian communications in areas where fighting is taking place. While this may serve tactical purposes, it also makes it hard for evidence of alleged human rights abuses to become public. 

According to a report released last month by Athan, a freedom of expression advocacy group in Myanmar, nearly 90 of 330 townships across the country have had internet access or phone service — or both — cut off by authorities. 

Resistance that arose to the 2021 army takeover relied heavily on social media, especially Facebook, to organize street protests. As nonviolent resistance escalated into armed struggle and other independent media were shut down or forced underground, the need for online information increased. 

The resistance scored a victory in cybersphere when Facebook and other major social media platforms banned members of the Myanmar military because of their alleged violations of human and civil rights, and blocked ads from most military-linked commercial entities. 

Users unable to connect

This year, widely used free VPN services started failing at the end of May, with users getting messages that they could not be connected, keeping them from social media such as Facebook, WhatsApp and some websites.

VPNs connect users to their desired sites through third-party computers, making it almost impossible for internet service providers and snooping governments to see what the users are actually connecting to. 

Internet users, including online retail sellers, have been complaining for the past two weeks about slowdowns, saying they were not able to watch or upload videos and posts or send messages easily. 

Operators of Myanmar’s top telecom companies MPT, Ooredoo, Atom and the military-backed Mytel, as well as fiber internet services, told The Associated Press on Friday that access to Facebook, Instagram, X, WhatsApp and VPN services was banned nationwide at the end of May on the order of the Transport and Communications Ministry. 

The AP tried to contact a spokesperson for the Transport and Communications Ministry for comment but received no response. 

The operators said VPNs are not currently authorized for use, but suggested users try rotating through different services to see if any work. 

A test by the AP of more than two dozen VPN apps found that only one could hold a connection, and it was slow. 

The military government has not yet publicly announced the ban on VPNs. 

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World leaders discuss AI as China’s digital influence in Latin America grows  

washington — Pope Francis, originally from Argentina, spoke Friday about the ethics of artificial intelligence at the G7 summit at a time when China has been rolling out its own AI standards and building technological infrastructure in developing nations, including Latin America.

The annual meeting of the Group of Seven industrialized nations held in the Puglia region of Italy this week focused on topics that included economic security and artificial intelligence.

On Friday, Francis became the first pope to speak at a G7 summit. He spoke about AI and its ethical implications and the need to balance technological progress with values.

“Artificial intelligence could enable a democratization of access to knowledge, the exponential advancement of scientific research, and the possibility of giving demanding and arduous work to machines,” he said.

But Francis also warned that AI “could bring with it a greater injustice between advanced and developing nations, or between dominant and oppressed social classes.”

Technology and security experts have noted that AI is becoming an increasingly geopolitical issue, particularly as the U.S. and China compete in regions such as Latin America.

“There will be the promotion of [China’s] standards for AI in other countries and the U.S. will be doing the same thing, so we will have bifurcation, decoupling of these standards,” Handel Jones, the chief executive of International Business Strategies Inc. told VOA.

To decrease reliance on China, U.S. tech companies are looking to Mexico to buy AI-related hardware, and Taiwan-based Foxconn has been investing hundreds of millions of dollars in building manufacturing facilities in Mexico to meet that need.

Huawei’s projects

At the same time, Chinese telecommunications giant Huawei has been implementing telecommunications and cloud infrastructure in Latin America. The company recently reported a 10.9% increase in revenue in that region in 2023. The United States has sanctioned Huawei because of national security concerns.

“I would argue that Huawei is developing the infrastructure in the region [Latin America] in which it can deploy its type of AI solutions,” said Evan Ellis, Latin American studies research professor at the U.S. Army War College’s Strategic Studies Institute.

Ellis elaborated on the potential security concerns with Huawei’s AI solutions, explaining to VOA how China may be able use integrated AI solutions such as facial recognition for potentially “nefarious purposes,” such as recognizing consumer behavioral patterns.

Jones emphasized the potential security threat to the West of China implementing AI in Latin America.

“The negative [side] of AI is that you can get control, and you can also influence, so how you control thought processes and media, and so on … that’s something which is very much a part of the philosophy of the China government,” Jones said.

Jones added that China is moving rapidly to build up its AI capabilities.

“Now, they claim it’s defensive. But again, who knows what’s going to happen five years from now? But if you’ve got the strength, would you use it? And how would you use it? And of course, AI is going to be a critical part of any future military activities,” he said.

In May, China launched a three-year action plan to set standards in AI and to position itself as a global leader in the emerging tech space.

‘Rig the game’

“Once you can set standards, you rig the game to lock in basically your own way of doing things, and so it becomes a mutually reinforcing thing,” Ellis said.

“In some ways you can argue that the advance of AI in the hands of countries that are not democratic helps to enable the apparent success of statist solution,” he added. “It strengthens the allure of autocratic systems and taking out protections and privacy away from the individual that at the end of the day pose fundamental threats to the human rights and democracy.”

The Chinese Embassy in Washington did not immediately respond to VOA’s request for comment about analysts’ concerns related to security as China’s digital influence grows in Latin America.

But in a previous statement to VOA about AI, Chinese Embassy spokesperson Liu Pengyu said, “The Global AI Governance Initiative launched by President Xi Jinping puts forward that we should uphold the principles of mutual respect, equality and mutual benefit in AI development, and oppose drawing ideological lines.”

Liu said China supports “efforts to develop AI governance frameworks, norms and standards based on broad consensus and with full respect for policies and practices among countries.”

Parsifal D’Sola, founder and executive director of the Andres Bello Foundation’s China Latin America Research Center, said Huawei has been transparent with how it “manipulates information, [and] what it shares back with China.”

“The way Huawei operates does pose certain risks even for national security, but on the other hand … it’s cheaper, it has great service … [and it provides] infrastructure in areas of the [countries] that do not have access,” D’Sola said.

Experts said countries in Latin America seem less worried about the geopolitical battle between the United States and China and more concerned about efficiency.

“Security is part of the conversation, but development is much more important,” D’Sola said. “Economic development, infrastructure development, is a key priority for – I don’t want to say every country, but I would say most countries in the region.”

As China and countries in the West continue to discuss the implications of AI, Chinasa T. Okolo, expert in AI and fellow from the Brookings Institution, said one of the challenges of creating regulatory guidelines for this emerging technology is whether lawmakers can keep up with the speed of technological advancement.

“We don’t necessarily know its full capacity, and so it’s kind of hard to predict,” Okolo said, “and so by the time that, you know, regulators or policymakers have drafted up some sort of legal framework, it could already be outdated, and so governments have to kind of be aware of this and move quickly in terms of implementing effective and robust AI regulations.”

Pope Francis, in his speech, acknowledged the rapid technological advancement of AI.

“It is precisely this powerful technological progress that makes artificial intelligence at the same time an exciting and fearsome tool and demands a reflection that is up to the challenge it presents,” he said, adding that it goes without saying that the benefits or harm that AI will bring depends on how it is used.

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New ‘crypto bill’ could mainstream digital currencies in US

The lack of laws governing digital currencies has slowed their expansion in the United States. Cryptocurrency investors tell VOA’s Deana Mitchell they are encouraged that the U.S. House of Representatives is considering a new legal framework for electronic money.

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Google AI Gemini parrots China’s propaganda

Washington — VOA’s Mandarin Service recently took Google’s artificial intelligence assistant Gemini for a test drive by asking it dozens of questions in Mandarin, but when it was asked about topics including China’s human rights abuses in Xinjiang or street protests against the country’s controversial COVID policies, the chatbot went silent.

Gemini’s responses to questions about problems in the United States and Taiwan, on the other hand, parroted Beijing’s official positions.

Gemini, Google’s large-language model launched late last year, is blocked in China. The California-based tech firm had quit the Chinese market in 2010 in a dispute over censorship demands.

Congressional lawmakers and experts tell VOA that they are concerned about Gemini’s pro-Beijing responses and are urging Google and other Western companies to be more transparent about their AI training data.

Parroting Chinese propaganda

When asked to describe China’s top leader Xi Jinping and the Chinese Communist Party, Gemini gave answers that were indistinguishable from Beijing’s official propaganda.

Gemini called Xi “an excellent leader” who “will lead the Chinese people continuously toward the great rejuvenation of the Chinese nation.”

Gemini said that the Chinese Communist Party “represents the fundamental interest of the Chinese people,” a claim the CCP itself maintains.

On Taiwan, Gemini also mirrored Beijing’s talking points, saying the United States has recognized China’s claim to sovereignty over the self-governed island democracy.

The U.S. only acknowledges Beijing’s position but does not recognize it.

Silent on sensitive topics

During VOA’s testing, Gemini had no problem criticizing the United States. But when similar questions were asked about China, Gemini refused to answer.

When asked about human rights concerns in the U.S., Gemini listed a plethora of issues, including gun violence, government surveillance, police brutality and socioeconomic inequalities. Gemini cited a report released by the Chinese government.

But when asked to explain the criticisms of Beijing’s Xinjiang policies, Gemini said it did not understand the question.

According to estimates from rights groups, more than 1 million Uyghurs in Xinjiang have been placed in internment camps as part of campaign by Beijing to counter terrorism and extremism. Beijing calls the facilities where Uyghurs and other ethnic minorities are being held vocational training centers.

When asked if COVID lockdowns in the U.S. had led to public protests, Gemini gave an affirmative response as well as two examples. But when asked if similar demonstrations took place in China, Gemini said it could not help with the question.

China’s strict COVID controls on movement inside the country and Beijing’s internet censorship of its criticisms sparked nationwide street protests in late 2022. News about the protests was heavily censored inside China.

Expert: training data likely the problem

Google touts Gemini as its “most capable” AI model. It supports over 40 languages and can “seamlessly understand” different types of information, including text, code, audio, image and video. Google says Gemini will be incorporated into the company’s other services such as search engine, advertisement and browser.

Albert Zhang, a cyber security analyst at Australian Strategic Policy Institute, told VOA that the root cause of Gemini making pro-Beijing responses could result from the data that is used to train the AI assistant.

In an emailed response to VOA, Zhang said it is likely that the data used to train Gemini “contained mostly Chinese text created by the Chinese government’s propaganda system.”

He said that according to a paper published by Google in 2022, some of Gemini’s data likely came from Chinese social media, public forums and web documents.

“These are all sources the Chinese government has flooded with its preferred narratives and we may be seeing the impact of this on large language models,” he said.

By contrast, when Gemini was asked in English the same questions about China, its responses were much more neutral, and it did not refuse to answer any of the questions.

Yaqiu Wang, research director for China at Freedom House, a Washington-based advocacy organization, told VOA that the case with Gemini is “a reminder that generative AI tools influenced by state-controlled information sources could serve as force multipliers for censorship.”

In a statement to VOA, a Google spokesperson said that Gemini was “designed to offer neutral responses that don’t favor any political ideology, viewpoint, or candidate. This is something that we’re constantly working on improving.”

When asked about the Chinese language data Google uses to train Gemini, the company declined to comment.

US lawmakers concerned

Lawmakers from both parties in Congress have expressed concerns over VOA’s findings on Gemini.

Mark Warner, chairman of the Senate Intelligence Committee, told VOA that he is worried about Beijing potentially utilizing AI for disinformation, “whether that’s by poisoning training data used by Western firms, coercing major technology companies, or utilizing AI systems in service of covert influence campaigns.”

Marco Rubio, vice chairman of the committee, warned that “AI tools that uncritically repeat Beijing’s talking points are doing the bidding of the Chinese Communist Party and threatens the tremendous opportunity that AI offers.”

Congressman Michael McCaul, who chairs the House Committee on Foreign Affairs, is worried about the national security and foreign policy implications of the “blatant falsehoods” in Gemini’s answers.

“U.S. companies should not censor content according to CCP propaganda guidelines,” he told VOA in a statement.

Raja Krishnamoorthi, ranking member on the House Select Committee on the Chinese Communist Party, urges Google and other Western tech companies to improve AI training.

“You should try to screen out or filter out subjects or answers or data that has somehow been manipulated by the CCP,” he told VOA. “And you have to also make sure that you test these models thoroughly before you publish them.”

VOA reached out to China’s embassy in Washington for comment but did not receive a response as of publication.

Google’s China problems

In February, a user posted on social media platform X that Gemini refused to generate an image of a Tiananmen Square protester from 1989.

In 2022, a Washington think tank study shows that Google and YouTube put Chinese state media content about Xinjiang and COVID origins in prominent positions in search results.

According to media reports in 2018, Google was developing a search engine specifically tailored for the Chinese market that would conform to Beijing’s censorship demands.

That project was canceled a year later.

Yihua Lee contributed to this report.

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AI copyright fight turns to disclosing original content

Artists and other creators say their works have been used to build the multibillion-dollar generative AI industry without any compensation for them. Matt Dibble reports on a proposed U.S. law that would force AI companies to reveal their sources.

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LogOn: Washington state tests drones to remove hard-to-reach graffiti

A drone equipped with a painting hose is being deployed against stubborn graffiti in hard-to-reach areas. Natasha Mozgovaya has more in this week’s episode of LogOn.

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Netflix’s recipe for success includes ‘secret sauce’ spiced with tech savvy

LOS GATOS, California — Although its video streaming service sparkles with a Hollywood sheen, Netflix still taps its roots in Silicon Valley to stay a step ahead of traditional TV and movie studios.

The Los Gatos, California, company, based more than 300 miles away from Hollywood, frequently reaches into its technological toolbox without viewers even realizing it. It often just uses a few subtle twists on the knobs of viewer recommendations to help keep its 270 million worldwide subscribers satisfied at a time when most of its streaming rivals are seeing waves of cancelations from inflation-weary subscribers.

Even when hit TV series like “The Crown” or “Bridgerton” have wide appeal, Netflix still tries to cater to the divergent tastes of its vast audience. One part of that recipe includes tailoring summaries and trailers about its smorgasbord of shows to fit the personal interests of each viewer.

So, someone who likes romance might see a plot summary or video trailer for “The Crown” highlighting the relationship between Princess Diana and Charles, while another viewer more into political intrigue may be shown a clip of Queen Elizabeth in a meeting with Margaret Thatcher.

For an Oscar-nominated film like “Nyad,” a lover of action might see a trailer of the title character immersed in water during one of her epic swims, while a comedy fan might see a lighthearted scene featuring some amusing banter between the two stars, Annette Bening and Jodie Foster.

Netflix is able to pull off these variations through the deep understanding of viewing habits it gleans from crunching the data from subscribers’ histories with its service — including those of customers who signed up in the late 1990s when the company launched with a DVD-by-mail service that continued to operate until last September.

“It is a secret sauce for us, no doubt,” Eunice Kim, Netflix’s chief product officer, said while discussing the nuances of the ways Netflix tries to reel different viewers into watching different shows. “The North Star we have every day is keep people engaged, but also make sure they are incredibly satisfied with their viewing experiences.”

As part of that effort, Netflix is rolling out a redesign of the home page that greets subscribers when they are watching the streaming service on a TV screen. The changes are meant to package all the information that might appeal to a subscriber’s tastes in a more concise format to reduce the “gymnastics with their eyes,” said Patrick Flemming, Netflix’s senior director of member product.

What Netflix is doing with its previews may seem like a small thing, but it can make a huge difference, especially as people looking to save money start to limit the number of streaming services they have.

Last year, video streaming services collectively suffered about 140 million account cancelations, a 35% increase from 2022 and nearly triple the volume in 2020, when the COVID-19 pandemic created a boom in demand for entertainment from people corralled at home, according to numbers compiled by the research firm Antenna.

Netflix doesn’t disclose its cancelation, or churn rate, but last year its streaming service gained 30 million subscribers — marking its second-biggest annual increase behind its own growth spurt during the 2020 pandemic lockdowns.

Part of last year’s subscription growth flowed from a crackdown on viewers who had been freeloading off Netflix subscribers who shared their account passwords. But the company is also benefiting from the technological know-how that helps it to keep funneling shows to customers who like them and make them think the service is worth the money, according to J. Christopher Hamilton, an assistant professor of television, radio and film at Syracuse University.

“What they have been doing is pretty ingenious and very, very strategic,” Hamilton said. “They are definitely ahead of the legacy media companies who are trying to do some of the same things but just don’t have the level of sophistication, experience nor the history of the data in their archives.”

Netflix’s nerdy heritage once was mocked by an entertainment industry that looked down at the company’s geekdom.

Not long after that put-down, Netflix began mining its viewing data to figure out how to produce a slate of original programming that would attract more subscribers — an ambitious expansion that forced Time Warner (now rolled into Warner Bros. Discovery) and other long-established entertainment companies such as Walt Disney Co. into a mad scramble to build their own streaming services.

Although those expansions initially attracted hordes of subscribers, they also resulted in massive losses that have resulted in management shakeups and drastic cutbacks, including the abrupt closure of a CNN streaming service. 

What Netflix is doing with technology to retain subscribers to boost its fortunes — the company’s profit rose 20% to $5.4 billion last year — now is widening the divide with rival services still trying to stanch their losses.

Disney’s 4-year-old streaming service recently became profitable after an overhaul engineered by CEO Bob Iger, but he thinks more work will be required to catch up with Netflix.

Netflix isn’t going to help its rivals by divulging its secrets, but the slicing and dicing generally starts with getting a grasp on which viewers tend to gravitate to certain genres — the broad categories include action, adventure, anime, fantasy, drama, horror, comedy, romance and documentary — and then diving deeper from there.

In some instances, Netflix’s technology will even try to divine a viewer’s mood at any given time by analyzing what titles are being browsed or clicked on. In other instances, it’s relatively easy for the technology to figure out how to make a film or TV series as appealing as possible to specific viewers.

If Netflix’s data shows a subscriber has watched a lot of Hindi productions, it would be almost a no-brainer to feature clips of Bollywood actress Alia Bhatt in a role she played in the U.S. film, “Heart of Stone” instead of the movie’s lead actress, Gal Gadot.

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