The Australian government is asking major banks and other institutions to take part in ‘wargaming’ exercises to test how they would respond to cyber-attacks. It follows recent mass data theft attacks on several large companies, which compromised the data of millions of Australians.     

Australia is preparing for potential cyberattacks on critical services including hospitals, the banking system and the electricity grid.  

Home Affairs Minister Clare O’Neil Tuesday warned that recent high-profile hacks on the telecommunications and health insurance sectors, which have affected millions of people, “were just the tip of the iceberg”.   

The government is setting up a series of drills with large organizations to help them respond to security breaches.   

Anna Bligh, chief executive of the Australian Banking Association, an industry body, told the Australian Broadcasting Corp. Tuesday that cyber security drills organized by the government will make the sector more resilient. 

“How would the whole system cope if one of the very large companies were taken down by a cyber threat?” Bligh asked. “The sort of scale and sophistication of the threat is now moving into something that we haven’t seen before. So, it is a very timely move.  This is now potentially a significant threat to the national security of the country.”   

A major Australian financial services company revealed Tuesday that criminals who stole sensitive customer information last month have demanded a ransom.   

The cyberattack on Latitude Financial resulted in the theft of 14 million customer records, including financial statements, driver’s license numbers and passport numbers.   

The company said that in line with government policy it would not pay a ransom to prevent the data being leaked or sold online.   

The Australian government is considering an updated Cyber Security law that would impose new obligations and standards to protect data across industry and government departments.   

However, officials have warned that cyber criminals are becoming more professional, powerful and effective. 
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A Kuwaiti media outlet has unveiled a virtual news presenter generated using artificial intelligence, with plans for it to read online bulletins.   

“Fedha” appeared on the Twitter account of the Kuwait News website Saturday as an image of a woman, her light-colored hair uncovered, wearing a black jacket and white T-shirt.   

“I’m Fedha, the first presenter in Kuwait who works with artificial intelligence at Kuwait News. What kind of news do you prefer? Let’s hear your opinions,” she said in classical Arabic.   

The site is affiliated with the Kuwait Times, founded in 1961 as the Gulf region’s first English-language daily.   

Abdullah Boftain, deputy editor-in-chief for both outlets, said the move is a test of AI’s potential to offer “new and innovative content.”   

In the future Fedha could adopt the Kuwaiti accent and present news bulletins on the site’s Twitter account, which has 1.2 million followers, he said.   

“Fedha is a popular, old Kuwaiti name that refers to silver, the metal. We always imagine robots to be silver and metallic in color, so we combined the two,” Boftain said.    

The presenter’s blonde hair and light-colored eyes reflect the oil-rich country’s diverse population of Kuwaitis and expatriates, according to Boftain.    

“Fedha represents everyone,” he said.   

Her initial 13-second video generated a flood of reactions on social media, including from journalists. 

The rapid rise of AI globally has raised the promise of benefits, such as in health care and the elimination of mundane tasks, but also fears, for example over its potential to spread disinformation, threats to certain jobs and to artistic integrity.   

Kuwait ranked 158 out of 180 countries and territories in the Reporters Without Borders (RSF) 2022 Press Freedom Index. 
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Electric car maker Tesla Inc. plans to build a factory in Shanghai to produce power-storage devices for sale worldwide, state media reported Sunday.

Plans call for annual production of 10,000 Megapack units, according to the Xinhua News Agency and state television. They said the company made the announcement at a signing ceremony in Shanghai, where Tesla operates an auto factory.

The factory is due to break ground in the third quarter of this year and start production in the second quarter of 2024, the reports said.

Tesla didn’t immediately respond to requests for information.
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A mayor in Australia’s Victoria state said Friday he may sue the artificial intelligence writing tool ChatGPT after it falsely claimed he’d served time in prison for bribery.  Hepburn Shire Council Mayor Brian Hood was incorrectly identified as the guilty party in a corruption case in the early 2000s.

Brian Hood was the whistleblower in a corruption scandal involving a company partly owned by the Reserve Bank of Australia.  Several people were charged, but Hood was not one of them. That did not stop an article generated by ChatGPT, an automated writing service powered by artificial intelligence. The article cast him as the culprit who was jailed for his part in a conspiracy to bribe foreign officials to win currency printing contracts.

Hood only found out after friends told him. He told the Australian Broadcasting Corp. He then used the chatbot software to see the story for himself.

“After making the inquiry, it generated five or six paragraphs of information.  The really disturbing thing was that some of the paragraphs were accurate, and then were other paragraphs that described things that were completely incorrect.  It told me that I’d be charged with very serious criminal offenses, that I’d be convicted of them and that I had spent 30 months in jail,” he said.

Hood said that if OpenAI, a U.S.-based company that owns the chatbot, does not correct the false claims, he will sue.

It would be the first defamation lawsuit against the automated service.

However, a new version of ChatGPT reportedly avoids the mistakes of its predecessor. It reportedly correctly explains that Hood was a whistleblower who was praised for his actions. Hood’s lawyers say that the defamatory material, which damages the mayor’s reputation, still exists and their efforts to have the mistakes rectified would continue.

A disclaimer on the ChatGPT program warns users that it “may produce inaccurate information about people, places, or facts”.  The technology has exploded in popularity around the world.

OpenAI has yet to comment publicly on the allegations.

Google has announced the launch of its rival to ChatGPT, Bard.  Meta, which owns WhatsApp, Facebook and Instagram, launched its own AI chatbot Blenderbot in the United States last year, while Baidu, the Chinese tech company, has said it was working on an advanced version of its chatbot, Ernie.
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Samsung Electronics said Friday it is cutting the production of its computer memory chips in an apparent effort to reduce inventory as it forecasted another quarter of sluggish profit. 

The South Korean technology giant, in a regulatory filing, said it has been reducing the production of certain memory products by unspecified “meaningful levels” to optimize its manufacturing operations, adding it has sufficient supplies of those chips to meet demand fluctuations. 

The company predicted an operating profit of $455 million for the three months through March, which would be a 96% decline from the same period a year earlier. It said sales during the quarter likely fell 19% to $47.7 billion. 

Samsung, which will release its finalized first quarter earnings later this month, said the demand for its memory chips declined as a weak global economy depressed consumer spending on technology products and forced business clients to adjust their inventories to nurse worsening finances. 

Samsung had reported a near 70% drop in profit for the October-December quarter, which partially reflected how global events like Russia’s war on Ukraine and high inflation have rattled technology markets. 

SK Hynix, another major South Korean semiconductor producer, said this week that it sold $1.7 billion in bonds that can be exchanged for the company’s shares to help fund its purchases of chipmaking materials as it weathers the industry’s downswing. SK Hynix had reported an operating loss of $1.28 billion for the October-December period, which marked its first quarterly deficit since 2012. 

“While we have lowered our short-term production plans, we expect solid demand for the mid- to long-term, so we will continue to invest in infrastructure to secure essential levels in clean room capacities and expand investment in research and development to strengthen our technology leadership,” Samsung said. 

Samsung last month announced plans to invest $227 billion over the next 20 years as part of an ambitious South Korean project to build the world’s largest semiconductor manufacturing base near the capital, Seoul. 

The chip-making “mega cluster,” which will be established in Gyeonggi province by 2042, will be anchored by five new semiconductor plants built by Samsung near its existing manufacturing hub. It will aim to attract 150 other companies producing materials and components or designing high-tech chips, according to South Korea’s government. 

The South Korean plan comes as other technology powerhouses, including the United States, Japan and China, are building up their domestic chip manufacturing, deploying protectionist measures, tax cuts and sizeable subsidies to lure investments. 
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The last time humans were on the moon was in 1972. Now NASA is preparing to set foot back on the moon in 2025, if all goes as scheduled. VOA’s Alexander Kruglyakov spoke with the crew that will take part in the first of those missions: a planned flight around the Moon in November 2024.
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Darknet users, beware: If you frequent criminal marketplaces in the internet’s underbelly, think again. Chances are you’re in the FBI’s crosshairs. 

The FBI is cracking down on sites that peddle everything from guns to stolen personal data, and it is not only going after the sites’ administrators but also their users.  

A recent surge in ransomware attacks and other malicious cyber activities has fueled the effort to shut down services that cater to online criminals.  

But shutting down the marketplaces has proven ineffective. With each takedown, a new iteration pops up drawing users with it. Which is why the FBI is eyeing both the operators and users of these sites.   

“We’re not only trying to attack the supply side, but we’re also attacking the demand side with the users,” a senior FBI official said during a Wednesday briefing on the agency’s takedown of Genesis Market, a large online criminal marketplace. “There’s consequences if you’re going to be using these types of sites to engage in this type of activity.” 

The darknet, the hidden part of the internet that can only be accessed by a special browser, has long been home to various criminal marketplaces and forums. 

One type of criminal marketplace there specializes in buying and selling illegal items, such as drugs, firearms and fraudulently obtained gift cards. 

Another type of market trades in sensitive data, such as stolen credit cards, bank account details and other information that can be used for criminal activity. These sites are known as “data stores.”  

In recent years, a new breed of cyber criminals has emerged. Known as “initial access brokers,” these criminals specialize in selling access to compromised computer networks. Among their customers: ransomware gangs.  

The takedown on Tuesday of Genesis Market, a 5-year-old criminal marketplace described by officials as an “initial access broker,” offers a window into this type of cyber-criminal activity. 

It also shows how the FBI is increasingly going after users of criminal marketplaces and not just their administrators.  

U.S. officials said Genesis Market was not only a seller of stolen account access credentials but was also “one of the most prolific” initial access brokers operating on the darknet.  

Describing it as a “key enabler of ransomware,” the Justice Department said Genesis Market sold “the type of access sought by ransomware actors to attack computer networks in the United States and around the world.”  

The site went dark on Tuesday after the FBI, working with law enforcement agencies in nearly 20 countries, including the U.K. and Canada, took it offline and arrested nearly 120 people. 

In a statement, Attorney General Merrick Garland hailed the operation as “an unprecedented takedown of a major criminal marketplace that enabled cybercriminals to victimize individuals, businesses, and governments around the world.” 

Genesis is one of two popular cyber-criminal marketplaces taken down by the FBI in the past month.   

In March, the FBI shut down Breach Forums, a criminal forum and marketplace that boasted more than 340,000 members. On the Breach Forums website, users discussed tools and techniques for hacking and exploiting hacked information, according to the Justice Department. 

“We’re going after the users who leverage a service like Genesis Market, and we are doing that on a global scale,” the FBI official said. 

To take down Genesis Market, the FBI and its international law enforcement partners seized its servers and domains.  

In doing so, the FBI was able to obtain information about 59,000 individual user accounts, a senior Justice Department official said during the briefing.  

The information included usernames, passwords, email accounts, secure messenger accounts and user histories, the official said.  

“And those records helped law enforcement uncover the true identities of many of the users,” the official said.  

The users ran the gamut from online fraudsters to ransomware criminals.  

Some of the users were in the U.S., officials said, declining to provide any other details about them. They were among the 119 people arrested around the world in connection with Genesis Market takedown.  
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The push to legally restrict children’s access to social media in the United States is gaining steam. So far, however, researchers say there are both negative and positive aspects of minors using the platforms, as VOA’s Veronica Balderas Iglesias found out.
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Furious at U.S. efforts that cut off access to technology to make advanced computer chips, China’s leaders appear to be struggling to figure out how to retaliate without hurting their own ambitions in telecoms, artificial intelligence and other industries.

Chinese leader Xi Jinping’s government sees the chips — which are used in everything from phones to kitchen appliances to fighter jets — as crucial assets in its strategic rivalry with Washington and efforts to gain wealth and global influence. Chips are the center of a “technology war,” a Chinese scientist wrote in an official journal in February.

China has its own chip foundries, but they supply only low-end processors used in autos and appliances. The U.S. government, starting under President Donald Trump, has been cutting off access to a growing array of tools to make chips for computer servers, AI and other advanced applications. Japan and the Netherlands have joined in limiting access to technology they say might be used to make weapons.

Xi, in unusually pointed language, accused Washington in March of trying to block China’s development with a campaign of “containment and suppression.” He called on the public to “dare to fight.”

Despite that, Beijing has been slow to retaliate against U.S. companies, possibly to avoid disrupting Chinese industries that assemble most of the world’s smartphones, tablet computers and other consumer electronics. They import more than $300 billion worth of foreign chips every year.

Investing in self-reliance

The ruling Communist Party is throwing billions of dollars at trying to accelerate chip development and reduce the need for foreign technology.

China’s loudest complaint: It is blocked from buying a machine available only from a Dutch company, ASML, that uses ultraviolet light to etch circuits into silicon chips on a scale measured in nanometers, or billionths of a meter. Without that, Chinese efforts to make transistors faster and more efficient by packing them more closely together on fingernail-size slivers of silicon are stalled.

Making processor chips requires some 1,500 steps and technologies owned by U.S., European, Japanese and other suppliers.

“China won’t swallow everything. If damage occurs, we must take action to protect ourselves,” the Chinese ambassador to the Netherlands, Tan Jian, told the Dutch newspaper Financieele Dagblad.

“I’m not going to speculate on what that might be,” Tan said. “It won’t just be harsh words.”

The conflict has prompted warnings the world might split into separate spheres with incompatible technology standards that mean computers, smartphones and other products from one region wouldn’t work in others. That would raise costs and might slow innovation.

“The bifurcation in technological and economic systems is deepening,” Prime Minister Lee Hsien Loong of Singapore said at an economic forum in China last month. “This will impose a huge economic cost.”

U.S.-Chinese relations are at their lowest level in decades due to disputes over security, Beijing’s treatment of Hong Kong, and Muslim ethnic minorities, territorial disputes, and China’s multibillion-dollar trade surpluses.

Chinese industries will “hit a wall” in 2025 or 2026 if they can’t get next-generation chips or the tools to make their own, said Handel Jones, a tech industry consultant.

China “will start falling behind significantly,” said Jones, CEO of International Business Strategies.

EV batteries as leverage

Beijing might have leverage, though, as the biggest source of batteries for electric vehicles, Jones said.

Chinese battery giant CATL supplies U.S. and Europe automakers. Ford Motor Co. plans to use CATL technology in a $3.5 billion battery factory in Michigan.

“China will strike back,” Jones said. “What the public might see is China not giving the U.S. batteries for EVs.”

On Friday, Japan increased pressure on Beijing by joining Washington in imposing controls on exports of chipmaking equipment. The announcement didn’t mention China, but the trade minister said Tokyo doesn’t want its technology used for military purposes.

A Chinese Foreign Ministry spokeswoman, Mao Ning, warned Japan that “weaponizing sci-tech and trade issues” would “hurt others as well as oneself.”

Hours later, the Chinese government announced an investigation of the biggest U.S. memory chip maker, Micron Technology Inc., a key supplier to Chinese factories. The Cyberspace Administration of China said it would look for national security threats in Micron’s technology and manufacturing but gave no details.

The Chinese military also needs semiconductors for its development of stealth fighter jets, cruise missiles and other weapons.

Chinese alarm grew after President Joe Biden in October expanded controls imposed by Trump on chip manufacturing technology. Biden also barred Americans from helping Chinese manufacturers with some processes.

To nurture Chinese suppliers, Xi’s government is stepping up support that industry experts say already amounts to as much as $30 billion a year in research grants and other subsidies.
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U.S. President Joe Biden said on Tuesday it remains to be seen whether artificial intelligence (AI) is dangerous, but underscored that technology companies had a responsibility to ensure their products were safe before making them public. 

Biden told science and technology advisers that AI could help in addressing disease and climate change, but it was also important to address potential risks to society, national security and the economy. 

“Tech companies have a responsibility, in my view, to make sure their products are safe before making them public,” he said at the start of a meeting of the President’s Council of Advisors on Science and Technology. When asked if AI was dangerous, he said, “It remains to be seen. It could be.” 

Biden spoke on the same day that his predecessor, former President Donald Trump, surrendered in New York over charges stemming from a probe into hush money paid to a porn actor. 

Biden declined to comment on Trump’s legal woes, and Democratic strategists say his focus on governing will create a politically advantageous split screen of sorts as his former rival, a Republican, deals with his legal challenges. 

The president said social media had already illustrated the harm that powerful technologies can do without the right safeguards. 

“Absent safeguards, we see the impact on the mental health and self-images and feelings and hopelessness, especially among young people,” Biden said.  

He reiterated a call for Congress to pass bipartisan privacy legislation to put limits on personal data that technology companies collect, ban advertising targeted at children, and to prioritize health and safety in product development. 

Shares of companies that employ AI dropped sharply before Biden’s meeting, although the broader market was also selling off on Tuesday.  

Shares of AI software company C3.ai Inc. were down 24%, more than halving a four-session winning streak of nearly 40% through Monday. Thailand security firm Guardforce AI GFAI.O fell 29%, data analytics firm BigBear.ai BBAI.N was down 16% and conversation intelligence company SoundHound AI SOUN.O was down 13% late on Tuesday.  

AI is becoming a hot topic for policymakers. 

The tech ethics group Center for AI and Digital Policy has asked the U.S. Federal Trade Commission to stop OpenAI from issuing new commercial releases of GPT-4, which has wowed and appalled users with its human-like abilities to generate written responses to requests. 

Democratic U.S. Senator Chris Murphy has urged society to pause as it considers the ramifications of AI. 

Last year the Biden administration released a blueprint “Bill of Rights” to help ensure users’ rights are protected as technology companies design and develop AI systems.  
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The digital divide is one of the biggest challenges to education in sub-Saharan Africa, where the United Nations says nearly 90% of students lack access to household computers, and 82% to the internet. In Kenya, the aid group TechLit Africa aims to change that by building scores of computer labs. Juma Majanga reports from Mogotio, Kenya.
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An exhibition currently on display in Poland uses virtual reality to show the level of destruction Russia’s war has brought on Ukraine. For some visitors, the VR videos that can be viewed at the “Through the War” display have been overwhelming. Lesia Bakalets reports from Warsaw. Daniil Batushchak.
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