HERZLIYA, Israel — Nearly 7,000 miles away in Portland, Oregon, venture capitalist George Djuric said he was compelled to visit Israel during the country’s war with Palestinian militant group Hamas and to pledge support for the high-tech sector.

Djuric, chief technology officer at yVentures who arrived in the United States as a 3-year-old refugee from Bosnia during the Bosnian war in the mid-1990s, this week joined some 70 other U.S. tech executives and investors on a trip to Israel.

“Coming here is a chance to stand in solidarity with Israel and also support the tech ecosystem, which is the world’s second largest after Silicon Valley,” he said. “As a technology fund, it makes sense for us to be here.”

Although not Jewish, Djuric said he was drawn to Israel by the state’s resiliency and as someone whose family’s views were shaped by war.

“I was horrified by what happened on October 7 and I was equally horrified the next day when I saw people demonstrating in support of what happened,” he said, referring to the October 7 attack on Israel launched by Hamas.

Investors and analysts had predicted the conflict with the Palestinians would derail a fragile recovery in high-tech, which accounts for more than half of Israel’s exports and nearly a fifth of its overall economic output.

Funding had already dropped sharply amid a global slowdown and a divisive government judicial overhaul when the war took its toll on the economy. Growth, on pace for a 3.4% clip this year, has fallen to an expected 2% with the outlook at least as grim.

At least 15% of the tech workforce has been called up for military reserve duty.

Yet, even as the war rages, tech funding deals are still getting done, albeit at a slower pace. Startups have raised more than $6 billion in 2023 compared with $16 billion in 2022.

On Tuesday, ScaleOps, a startup specializing in cloud resource management, announced a $21.5 million funding round. Last week, cyber startup Zero Networks, which prevents attackers from spreading in corporate networks, raised $20 million.

‘Long-term bullish on Israel’

Ron Miasnik, of Bain Capital Ventures who co-organized the delegation, said he had expected Israeli startups to go on drawing large sums. He said he believed the country’s economy would ultimately bounce back.

“It doesn’t matter to us whether the economic rebound takes three months, six months, nine months or 12 months,” he said. “We’re long-term bullish on Israel.”

Miasnik said the idea of the trip emerged from watching other solidarity groups, such as religious ones. “We felt the (U.S.) tech and the venture capital community, which is so heavily integrated within Israel, was missing,” he said.

Initially, it was supposed to be just 15 people but, he said, hundreds of people showed interest. They included CEOs and senior executives of U.S.-based tech and VC funds from Meetup.com, Apollo, TPG, Susquehanna Growth Equity, Mastercard, John Deere and Harvard University’s endowment investment fund.

In addition to meeting local investors and startups, they met Israeli leaders and families of hostages still held captive in Gaza and toured border towns hit by the October 7 attack.

Bain has a number of investments in Israel, including Redis Labs, in which the fund has invested more than $100 million, and cybersecurity firm Armis, and Miasnik said he was seeking to add more Israeli cybersecurity startups to its portfolio.

Similarly, Danny Schultz, managing director of New York-based Gotham Ventures said he was looking to invest in 10 to 20 Israeli growth stage startups, mainly in fintech, in the next three to five years.

“At the point that Israeli CEOs need more capital, they also need relationships across the ocean in the U.S. and Europe to really help build their companies,” he said.

Joy Marcus co-founded a new VC fund called The 98 and only invests in “women-led technology businesses that are disrupting industry.”

“I am tortured by the war. … So I am here to support Israel first and foremost,” she said. “And I am also very interested in investing in some Israeli women.”
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MOSCOW — The head of a company that makes navigation systems for Russia’s space program was arrested in Moscow and charged with major fraud, state media reported Friday.

TASS news agency quoted an unidentified law enforcement official as saying that Yevgeny Fomichev had been interrogated and charged with large-scale fraud, which carries a prison term of up to 10 years and a fine of 1 million rubles ($10,972).

TASS said Moscow’s Basmanny District Court, which often handles high-profile cases, ordered Fomichev to be held in pretrial detention until Feb. 21 at the request of Russia’s Investigative Committee, which deals with serious crimes.

Fomichev is head of NPP Geophysics-Cosmos, a company whose website says it manufactures “optical electronic orientation and navigation devices for spacecraft.” It says that almost all Russian spacecraft use its equipment.

The website includes a nine-page anti-corruption policy that says management has a key role in creating a culture of zero-tolerance toward corruption.

Russia’s space program suffered a huge setback in August when its Luna-25 spacecraft smashed into the surface of the moon while attempting to land there.

An investigation blamed a malfunction in an onboard control unit for the failure of Russia’s first moon mission in 47 years.
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From ChatGPT to the impacts of machine learning on the music and film industry, academia and politics, generative artificial intelligence dominated technology news in 2023. Deana Mitchell takes a look.
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washington — The U.S. Department of Commerce said Thursday that it would launch a survey of the U.S. semiconductor supply chain and national defense industrial base to address national security concerns from Chinese-sourced chips. 

The survey aims to identify how U.S. companies are sourcing so-called legacy chips — current-generation and mature-node semiconductors — as the department moves to award nearly $40 billion in subsidies for semiconductor chip manufacturing. 

The department said the survey, which will begin in January, aims to “reduce national security risks posed by” China and will focus on the use and sourcing of Chinese-manufactured legacy chips in the supply chains of critical U.S. industries. 

A report released by the department on Thursday said China had provided the Chinese semiconductor industry with an estimated $150 billion in subsidies in the last decade, creating “an unlevel global playing field for U.S. and other foreign competitors.” 

Commerce Secretary Gina Raimondo said, “Over the last few years, we’ve seen potential signs of concerning practices from [China] to expand their firms’ legacy chip production and make it harder for U.S. companies to compete.” 

China’s embassy in Washington said Thursday that the United States “has been stretching the concept of national security, abusing export control measures, engaging in discriminatory and unfair treatment against enterprises of other countries, and politicizing and weaponizing economic and sci-tech issues.” 

Raimondo said last week that she expected her department to make about a dozen semiconductor chip funding awards within the next year, including multibillion-dollar announcements that could drastically reshape U.S. chip production. Her department made the first award from the program on December 11. 

The Commerce Department said the survey would also help promote a level playing field for legacy chip production. 

“Addressing non-market actions by foreign governments that threaten the U.S. legacy chip supply chain is a matter of national security,” Raimondo added. 

U.S.-headquartered companies account for about half of the global semiconductor revenue but face intense competition supported by foreign subsidies, the department said. 

Its report said the cost of manufacturing semiconductors in the United States may be “30-45% higher than the rest of the world,” and it called for long-term support for domestic fabrication construction. 

It added that the U.S. should enact “permanent provisions that incentivize steady construction and modernization of semiconductor fabrication facilities, such as the investment tax credit scheduled to end in 2027.” 
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CAPE CANAVERAL, Fla. — An international astronaut will join U.S. astronauts on the moon by decade’s end under an agreement announced Wednesday by NASA and the White House.

The news came as Vice President Kamala Harris convened a meeting in Washington of the National Space Council, the third such gathering under the Biden administration.

There was no mention of who the international moonwalker might be or even what country would be represented. A NASA spokeswoman later said that crews would be assigned closer to the lunar-landing missions, and that no commitments had yet been made to another country.

NASA has included international astronauts on trips to space for decades. Canadian Jeremy Hansen will fly around the moon a year or so from now with three U.S. astronauts.

Another crew would actually land; it would be the first lunar touchdown by astronauts in more than a half-century. That’s not likely to occur before 2027, according to the U.S. Government Accountability Office.

All 12 moonwalkers during NASA’s Apollo program of the 1960s and 1970s were U.S. citizens. The space agency’s new moon exploration program is named Artemis after Apollo’s mythological twin sister.

Including international partners “is not only sincerely appreciated, but it is urgently needed in the world today,” Hansen told the council.

NASA has long stressed the need for global cooperation in space, establishing the Artemis Accords along with the U.S. State Department in 2020 to promote responsible behavior not just at the moon but everywhere in space.

Representatives from all 33 countries that have signed the accords so far were expected at the space council’s meeting in Washington.

“We know from experience that collaboration on space delivers,” said Secretary of State Antony Blinken, citing the Webb Space Telescope, a U.S., European and Canadian effort.

Notably missing from the Artemis Accords: Russia and China, the only countries besides the U.S. to launch their own citizens into orbit.

Russia is a partner with NASA in the International Space Station, along with Europe, Japan and Canada.

Even earlier in the 1990s, the Russian and U.S. space agencies teamed up during the shuttle program to launch each other’s astronauts to Russia’s former orbiting Mir station.

During Wednesday’s meeting, Harris also announced new policies to ensure the safe use of space as more and more private companies and countries aim skyward.

Among the issues that the U.S. is looking to resolve: the climate crisis and the growing amount of space junk around Earth.

A 2021 anti-satellite missile test by Russia added more than 1,500 pieces of potentially dangerous orbiting debris, and Blinken joined others at the meeting in calling for all nations to end such destructive testing.

 
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TOKYO — Toyota Motor’s Daihatsu unit will halt shipments of all of its vehicles, Japan’s biggest automaker said on Wednesday, after an investigation into a safety scandal found issues at 64 models, including almost two dozen sold under Toyota’s brand.

An independent panel has been investigating Daihatsu after it said in April it had rigged side-collision safety tests carried out for 88,000 small cars, most of those sold as Toyotas.

But the latest revelations suggest the scope of the scandal is far greater than previously thought and could potentially tarnish the automakers’ reputation for quality and safety.

Daihatsu is Toyota’s small-car unit and produces a number of the so-called “kei” smaller cars and trucks that are popular in Japan. The latest issues also impacted some Mazda and Subaru models sold in the domestic market and Toyota and Daihatsu models overseas, the panel found.

Toyota said “fundamental reform” was needed to revitalize Daihatsu, as well as a review of certification operations.

“This will be an extremely significant task that cannot be accomplished overnight,” Toyota said in a statement. “It will require not only a review of management and business operations but also a review of the organization and structure.”

Toyota shares were flat on Wednesday afternoon, lagging a 1.6% rise in the broader market.

Daihatsu was found to have cheated on safety tests of almost all models it currently has in production as well as some cars it made in the past, the Asahi newspaper previously reported.

The issue emerged after Daihatsu said in April it had discovered the wrongly conducted tests after a whistleblower report. It had reported the issue to regulatory agencies and halted shipments of affected models. 

The following month, it said it had stopped sales of the Toyota Raize hybrid electric vehicle and its own Rocky model after also finding problems with testing for those models.

Daihatsu produced 1.1 million vehicles over the first 10 months of the year, nearly 40% of those at overseas sites, according to Toyota data. It sold some 660,000 vehicles worldwide over that period and accounted for 7% of Toyota’s sales.

Toyota said on Wednesday that affected models included those for the southeast Asian markets of Thailand, Indonesia, Malaysia, Cambodia and Vietnam and central and South American countries of Mexico, Ecuador, Peru, Chile, Bolivia and Uruguay.

Daihatsu is the latest safety issue to impact the Toyota group over the years.

An engine data scandal at Toyota’s truck- and bus-making unit, Hino Motors, in 2022 led to resignations and temporary pay cuts for some managers.

In that case Hino admitted to falsifying data on some engines dating back to 2003, or at least a decade earlier than it originally indicated.

In 2010 Toyota Chairman Akio Toyoda, then chief executive, was forced to testify before U.S. Congress due to a safety crisis involving faulty accelerators.
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WASHINGTON — Blue Origin launched its first rocket in more than a year on Tuesday, reviving the U.S. company’s fortunes with a successful return to space following an uncrewed crash in 2022.

Though mission NS-24 carried a payload of science experiments, not people, it paves the way for Jeff Bezos’ aerospace enterprise to resume taking wealthy thrill-seekers to the final frontier.

The New Shepard suborbital rocket blasted off from the pad at Launch Site One, near Van Horn, Texas, at 10:42 a.m.

After separating from the booster, the gumdrop-shaped capsule attained a peak altitude of 107 kilometers above sea level, well above the internationally recognized boundary of space known as the Karman line, which is 100 kilometers high.

The booster then successfully landed vertically on the launchpad, against the majestic backdrop of the Sierra Diablo mountains, followed a few minutes later by the capsule floating to the desert floor on three giant parachutes.

All in all, the mission lasted 10 minutes and 13 seconds.

“Demand for New Shepard flights continues to grow, and we’re looking forward to increasing our flight cadence in 2024,” said Phil Joyce, the company’s senior vice president.

The science experiments onboard included one to demonstrate the operation of hydrogen fuel cell technology in microgravity, and another showing how water and gas move in a weightless environment.

Future applications could include monitoring water quality for astronauts in space.

On Sept. 12, 2022, a Blue Origin rocket became engulfed in flames shortly after launch. The capsule, fixed to the top of the rocket, successfully initiated an emergency separation sequence and floated safely to the ground on parachutes.

The accident prompted a year-long probe by the Federal Aviation Administration, which found it was caused by the failure of an engine nozzle that experienced higher-than-expected operating temperatures.

The regulator issued a set of corrective actions for Blue Origin to undertake before it could resume flying, including the redesign of certain engine parts. It confirmed Sunday that it had approved Blue Origin’s application to fly again.

In all, Blue Origin has carried out six crewed flights — some passengers were paying customers and others were guests — since July 2021, when Bezos himself took part in the first.

While Blue Origin has been grounded, rival Virgin Galactic — the company founded by British billionaire Richard Branson — has pressed on, with five commercial flights this year.

The two companies compete in the emerging space tourism sector, operating in suborbital space.

While Blue Origin launches a small rocket vertically, Virgin Galactic uses a large carrier plane to gain altitude and then drop off a smaller, rocket-powered spaceplane that completes the journey to space.

In both cases, passengers enjoy a few minutes of weightlessness and can view the curvature of the Earth through large windows.

Virgin Galactic tickets were sold for between $200,000 to $450,000; Blue Origin does not publicly disclose its ticket prices.

Blue Origin can boast the fact that nearly all of its rocket platform is reused, including the booster, capsule, engine, landing gear and parachutes.

Its engine, meanwhile, is fueled by liquid oxygen and hydrogen, meaning the only byproduct during flight is water vapor, with no carbon emissions.

Blue Origin is also developing a heavy rocket for commercial purposes called New Glenn, with the maiden flight planned for next year.

This rocket, which measures 98 meters high, is designed to carry payloads of as much as 45 metric tons into low Earth orbit.

 
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Researchers in Australia have developed a method to make hydrogen from seawater without a costly desalination process. This could mark a breakthrough in the production of clean hydrogen from a plentiful, eco-friendly source. VOA’s Julie Taboh has more. 
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LONDON — European Union authorities are looking into whether Elon Musk’s online platform X breached tough new social media regulations in the first such investigation since the rules designed to make online content less toxic took effect.

“Today we open formal infringement proceedings against @X” under the Digital Services Act, European Commissioner Thierry Breton said in a post on the platform Monday.

“The Commission will now investigate X’s systems and policies related to certain suspected infringements,” spokesman Johannes Bahrke told a press briefing in Brussels. “It does not prejudge the outcome of the investigation.”

The investigation will look into whether X, formerly known as Twitter, failed to do enough to curb the spread of illegal content and whether measures to combat “information manipulation,” especially through its Community Notes feature, was effective.

The EU will also examine whether X was transparent enough with researchers and will look into suspicions that its user interface, including its blue check subscription service, has a “deceptive design.”

“X remains committed to complying with the Digital Services Act, and is cooperating with the regulatory process,” the company said in a prepared statement. “It is important that this process remains free of political influence and follows the law. X is focused on creating a safe and inclusive environment for all users on our platform, while protecting freedom of expression, and we will continue to work tirelessly towards this goal.”

A raft of big tech companies faced stricter scrutiny after the EU’s Digital Services Act took effect earlier this year, threatening penalties of up to 6% of their global revenue — which could amount to billions — or even a ban from the EU.

The DSA is is a set of far-reaching rules designed to keep users safe online and stop the spread of harmful content that’s either illegal, such as child sexual abuse or terrorism content, or violates a platform’s terms of service, such as promotion of genocide or anorexia.

The EU has already called out X as the worst place online for fake news, and officials have exhorted owner Musk, who bought the platform a year ago, to do more to clean it up. The European Commission quizzed X over its handling of hate speech, misinformation and violent terrorist content related to the Israel-Hamas war after the conflict erupted.
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Lahore, Pakistan — Artificial rain was used for the first time in Pakistan on Saturday in a bid to combat hazardous levels of smog in the megacity of Lahore, the provincial government said.

In the first experiment of its kind in the South Asian country, planes equipped with cloud seeding equipment flew over 10 areas of the city, often ranked one of the worst places globally for air pollution.

The “gift” was provided by the United Arab Emirates, said caretaker chief minister of Punjab, Mohsin Naqvi.

“Teams from the UAE, along with two planes, arrived here about 10 to 12 days ago. They used 48 flares to create the rain,” he told the media.

He said the team would know by Saturday night what effect the “artificial rain” had.

The UAE has increasingly used cloud seeding, sometimes referred to as artificial rain or “blueskying,” to create rain in the arid expanse of the country.

The weather modification involves releasing common salt — or a mixture of different salts — into clouds.

The crystals encourage condensation to form as rain.

It has been deployed in dozens of countries, including the United States, China and India.

Even very modest rain is effective in bringing down pollution, experts say.

Air pollution has worsened in Pakistan in recent years, as a mixture of low-grade diesel fumes, smoke from seasonal crop burn off and colder winter temperatures coalesce into stagnant clouds of smog.

Lahore suffers the most from the toxic smog, choking the lungs of more than 11 million residents in Lahore during the winter season.

Levels of PM2.5 pollutants — cancer-causing microparticles that enter the bloodstream through the lungs — were measured as hazardous in Lahore on Saturday at more than 66 times the World Health Organization’s danger limits.

Breathing the poisonous air has catastrophic health consequences.

Prolonged exposure can trigger strokes, heart disease, lung cancer and respiratory diseases, according to the WHO.

Successive governments have used various methods to reduce air pollution in Lahore, including spraying water on the roads, and weekend shutdowns of schools, factories and markets, with little or no success.

When asked about a long-term strategy to combat smog, the chief minister said the government needs studies to formulate a plan.
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Madrid — More than 80 Spanish media organizations are filing a $600 million lawsuit against Meta over what they say is unfair competition in a case that could be repeated across the European Union.

The lawsuit is the latest front in a battle by legacy media against the dominance of tech giants at a time when the traditional media industry is in economic decline.

Losing revenue to Silicon Valley companies means less money to invest in investigative journalism or fewer resources to fight back against disinformation.

The case is the latest example of media globally seeking compensation from internet and social media platforms for use of their content.

The Association of Media of Information (AMI), a consortium of Spanish media companies, claimed in the lawsuit that Meta allegedly violated EU data protection rules between 2018 and 2023, Reuters reported.

The newspapers argue that Meta’s “massive” and “systematic” use of its Facebook, Instagram and WhatsApp platform gives it an unfair advantage of designing and offering personalized advertisements, which they say constitutes unfair competition.

Irene Lanzaco, director general of AMI, told VOA it estimated the actions of Meta had cost Spanish newspapers and magazines $539.2 million in lost income between 2018 and 2023.

“This loss of income has meant it is more difficult for the media to practice journalism, to pay its journalists, to mount investigations and to hold politicians to account for corruption,” she said.

“It means that society becomes more polarized, and people become less involved with their communities if they do not know what is going on.”

Analysts say this is an “innovative” strategy by legacy media against tech giants that is more designed to engage people outside the news business.

Until now, traditional media cases against Silicon Valley centered on the theft of intellectual property from the news business, but the Spanish suit made a claim related to alleged theft of personal data.

“Previously, all the cases that legacy media has brought have been about the piracy of intellectual property — ‘We report the news, and these people are putting it on their websites without paying for it,’” Kathy Kiely, the Lee Hills chair in Free Press Studies at the Missouri School of Journalism, told VOA.

“But what this case is about is that these social media platforms have access to a lot of information about the audience to gain unfair advantage in advertising,” she said.

The lawsuit was filed with a commercial court in Madrid, reported Reuters, which saw the court papers.

Matt Pollard, a spokesman for Meta Platforms, told VOA, “We have not received the legal papers on this case, so we cannot comment. All we know about it is what we have read in the media.”

The complainants include Prisa, which publishes Spain’s left-wing daily El País; Vocento, owner of ABC, a right-wing daily; and the Barcelona-based conservative daily La Vanguardia.

They claim that Meta used personal data obtained without the express consent from clients in violation of the EU General Data Protection Regulation in force since May 2018, which demands that any website requests authorization to keep and use personal data.

“Of course in any other EU country, the same legal procedure could be initiated,” as it concerns an alleged violation of European regulations,” Nicolas González Cuellar, a lawyer representing AMI, told Reuters.

Kiely said the Spanish case may engage the broader public and policymakers, in Europe and beyond.

“[This legal case] introduces a new strategy. It is not just about the survival of the local news organization. It is about privacy,” she said. “This engages people outside the news business in a way that piracy of the intellectual property does not.”

The lawsuit is the latest attempt by media organizations who have struggled to make tech giants pay fair fees for using and sharing their content.

The legal battle comes as the Reuters Institute’s 2023 Digital News Report found that tech platforms like Meta and Google had become a “running sore” for news publishers over the past decade.

“Google and Facebook [now Meta] at their height accounted for just under half of online traffic to news sites,” the report said.  “Although the so-called ‘duopoly’ remains hugely consequential, our report shows how this platform position is becoming a little less concentrated in many markets, with more providers competing.”

It added, “Digital audio and video are bringing new platforms into play, while some consumers have adopted less toxic and more private messaging networks for communications.”

Spanish media scored a victory against Alphabet’s Google News service, which the government shut down in 2014 before its reopening in 2022 under new legislation allowing media outlets to negotiate fees directly with the tech giant.

Last month, Google and the Canadian government reached an agreement in their dispute over the Online News Act, which would see Google continue to use Canadian news online in return for the company making annual payments to news companies of about $100 million.

Radio Canada and CBC News reported last month that the Canadian federal government estimated earlier this year that Google’s compensation should amount to about $172 million, while Google estimated this value at $100 million.

Canadian Prime Minister Justin Trudeau said the agreement was “very good news.”

“After months of holding strong, of demonstrating our commitment to local journalism, to strong independent journalists getting paid for their work … Google has agreed to properly support journalists, including local journalism,” he said.

Google said it would not have a mandatory negotiation model imposed on it for talks with the media in Canada. Instead, it preferred to deal with a single media group that would represent all media, allowing the group to limit its arbitration risk.

Google had threatened to block Canadian news content on its platforms because of the legislation but did not.

In contrast, Meta ended its talks with the Canadian government last summer and stopped distributing Canadian news on Facebook and Instagram.

Last month, the Reuters Institute’s 2023 report said that 29% of Canadians used Facebook for news. Around 11% used Facebook Messenger, and 10% used Instagram for the same purpose.
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