Month: October 2021

A former Facebook worker reportedly told U.S. authorities Friday the platform has put profits before stopping problematic content, weeks after another whistleblower helped stoke the firm’s latest crisis with similar claims.

The unnamed new whistleblower filed a complaint with the U.S. Securities and Exchange Commission, the federal financial regulator, that could add to the company’s woes, said a Washington Post report.

Facebook has faced a storm of criticism over the past month after former employee Frances Haugen leaked internal studies showing the company knew of potential harm fueled by its sites, prompting U.S. lawmakers to renew a push for regulation.

In the SEC complaint, the new whistleblower recounts alleged statements from 2017, when the company was deciding how to handle the controversy related to Russia’s interference in the 2016 U.S. presidential election.  

“It will be a flash in the pan. Some legislators will get pissy. And then in a few weeks they will move onto something else. Meanwhile we are printing money in the basement, and we are fine,” Tucker Bounds, a member of Facebook’s communications team, was quoted in the complaint as saying, The Washington Post reported.  

The second whistleblower signed the complaint on October 13, a week after Haugen’s testimony before a Senate panel, according to the report.

Haugen told lawmakers that Facebook put profits over safety, which led her to leak reams of internal company studies that underpinned a damning Wall Street Journal series.

The Washington Post reported the new whistleblower’s SEC filing claims the social media giant’s managers routinely undermined efforts to combat misinformation and other problematic content for fear of angering then-U.S. President Donald Trump or for turning off the users who are key to profits.

Erin McPike, a Facebook spokesperson, said the article was “beneath the Washington Post, which during the last five years would only report stories after deep reporting with corroborating sources.”  

Facebook has faced previous firestorms of controversy, but they did not translate into substantial U.S. legislation to regulate social media.
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Apple has updated its App Store rules to allow developers to contact users directly about payments, a concession in a legal settlement with companies challenging its tightly controlled marketplace.

According to App Store rules updated Friday, developers can now contact consumers directly about alternate payment methods, bypassing Apple’s commission of 15 or 30%.

They will be able to ask users for basic information, such as names and e-mail addresses, “as long as this request remains optional”, said the iPhone maker.

Apple proposed the changes in August in a legal settlement with small app developers.

But the concession is unlikely to satisfy firms like “Fortnite” developer Epic Games, with which the tech giant has been grappling in a drawn-out dispute over its payments policy.  

Epic launched a case aiming to break Apple’s grip on the App Store, accusing the iPhone maker of operating a monopoly in its shop for digital goods or services.

In September, a judge ordered Apple to loosen control of its App Store payment options, but said Epic had failed to prove that antitrust violations had taken place.

For Epic and others, the ability to redirect users to an out-of-app payment method is not enough: it wants players to be able to pay directly without leaving the game.

Both sides have appealed. 

Apple is also facing investigations from US and European authorities that accuse it of abusing its dominant position.
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Chinese companies like Huawei and the Transsion group are responsible for much of the digital infrastructure and smartphones used in Africa. Chinese phones built in Africa come with already installed apps for mobile money transfer services that increase the reach of Chinese tech companies. But while many Africans may find the availability of such technology useful, the trend worries some experts on data management.

China has taken the lead in the development of Africa’s artificial intelligence and communication infrastructure. 

In July 2020, Cameroon contracted with Huawei, a Chinese telecommunication infrastructure company, to equip government data centers. In 2019, Kenya was reported to have signed the same company to deliver smart city and surveillance technology worth $174 million. 

A study by the Atlantic Council, a U.S.-based think tank, found that Huawei has developed 30% of the 3G network and 70% of the 4G network in Africa. 

Eric Olander is the managing editor of the Chinese Africa Project, a media organization examining China’s engagement in Africa. He says Chinese investment is helping Africa grow.

“The networking equipment is really what is so vital and what the Chinese have been able to do with Huawei, in particular, is they bring the networking infrastructure together with state-backed loans and that’s the combination that has proven to be very effective. So, a lot of governments that would not be able to afford 4G and 5G network upgrades are able to get these concessional loans from the China Exim Bank that are used and to purchase Huawei equipment,” Olander said.

Data compiled by the Australian Strategic Policy Institute, a Canberra-based defense and policy research organization, show China has built 266 technology projects in Africa ranging from 4G and 5G telecommunications networks to data centers, smart city projects that modernize urban centers and education programs.  

But while the new technology has helped modernize the African continent, some say it comes at a cost that is not measured in dollars. 

China loaned the Ethiopian government more than $3 billion to be used to upgrade its digital infrastructure. Critics say the money helped Ethiopia expand its authoritarian rule and monitor telecom network users. 

According to an investigation by The Wall Street Journal, Huawei technology helped the Ugandan and Zambian governments spy on government critics.  In 2019, Uganda procured millions of dollars in closed circuit television surveillance technology from Huawei, ostensibly to help control urban crime.

Police in the East African nation admitted to using the system’s facial recognition ability supplied by Huawei to arrest more than 800 opposition supporters last year.

Bulelani Jili, a cybersecurity fellow at the Belfer Center at Harvard University, says African citizens must be made aware of the risks in relations with Chinese tech companies.

“There is need [for] greater public awareness and attention to this issue in part because it’s a key metric surrounding both development but also the kind of Africa-China relations going forward…. We should also be thinking about data sovereignty is going to be a key factor going forward.” 

Jili said data sharing will create more challenges for relations between Africa and China. 

“There are security questions about data, specifically how it’s managed, who owns it, and how governments depend on private actors to provide them the technical capacity to initiate certain state services.”  

London-based organization Privacy International says at least 24 African countries have laws that protect the personal data of their citizens. But experts say most of those laws are not enforced. 
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