EC's use of Microsoft 365 violates data-privacy rules, watchdog group says

The European Commission (EC) has violated several key data protection rules in its use of Microsoft 365 regarding the transfer of people’s personal data from Europe to other regions not covered by EU data-protection laws, a key European privacy watchdog found.

The European Data Protection Supervisor (EDPS) on Tuesday chastized the EC after finding it did not take proper protective measures when sending personal data outside the EU and European Economic Area (EEA) when using the cloud-based app.

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Russia hacks Microsoft: It’s worse than you think

Another day, another hack of Microsoft technology. Ho-hum, you might think, this has happened before and will happen again — as surely as the sun rises in the morning and sets at night.

This time is different. Because this time the targets weren’t Microsoft customers, but rather the top echelons of Microsoft itself. And the hacker group, called Midnight Blizzard, or sometimes Cozy Bear, the Dukes, or A.P.T. 29, is sponsored by Russia’s Foreign Intelligence Service (and has been since at least 2008).

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White House to issue AI rules for federal employees

After earlier efforts to reign in generative artificial intelligence (genAI) were criticized as too vague and ineffective, the Biden Administration is now expected to announce new, more restrictive rules for use of the technology by federal employees.

The executive order, expected to be unveiled Monday, would also change immigration standards to allow a greater influx of technology workers to help accelerate US development efforts.

On Tuesday night, the White House sent invitations for a “Safe, Secure, and Trustworthy Artificial Intelligence” event Monday hosted by President Joseph R. Biden Jr., according to The Washington Post.

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China hacks the US military and government — the Feds blame Microsoft

Hidden in the basic infrastructure that runs the US military is a powerful piece of Windows-borne Chinese malware that can disrupt the communications systems, power grids, and water supplies at the military’s bases around the world. One US congressional aide calls it a “ticking time bomb” that as The New York Times put it, “could give China the power to interrupt or slow American military deployments or resupply operations by cutting off power, water and communications to US military bases.”

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China hacks the US military and government— the Feds blame Microsoft

Hidden in the basic infrastructure that runs the US military is a powerful piece of Windows-borne Chinese malware that can disrupt the communications systems, power grids, and water supplies at the military’s bases around the world. One US congressional aide calls it a “ticking time bomb” that as The New York Times put it, “could give China the power to interrupt or slow American military deployments or resupply operations by cutting off power, water and communications to US military bases.”

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EEOC Commissioner: AI system audits might not comply with federal anti-bias laws

Keith Sonderling, commissioner of the US Equal Employment Opportunity Commission (EEOC), has for years been sounding the alarm about the potential for artificial intelligence (AI) to run afoul of federal anti-discrimination laws such as the Civil Rights Act of 1964.

It was not until the advent of ChatGPT, Bard, and other popular generative AI tools, however, that local, state and national lawmakers began taking notice — and companies became aware of the pitfalls posed by a technology that can automate efficiencies in the business process.

Instead of speeches he’d typically make to groups of chief human resource officers or labor employment lawyers, Sonderling has found himself in recent months talking more and more about AI. His focus has been on how companies can stay compliant as they hand over more of the responsibility for hiring and other aspects of corporate HR to algorithms that are vastly faster and capable of parsing thousands of resumes in seconds.

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EEOC chief: AI system audits might comply with local anti-bias laws, but not federal ones

Keith Sonderling, commissioner of the US Equal Employment Opportunity Commission (EEOC), has for years been sounding the alarm about the potential for artificial intelligence (AI) to run afoul of federal anti-discrimination laws such as the Civil Rights Act of 1964.

It was not until the advent of ChatGPT, Bard, and other popular generative AI tools, however, that local, state and national lawmakers began taking notice — and companies became aware of the pitfalls posed by a technology that can automate efficiencies in the business process.

Instead of speeches he’d typically make to groups of chief human resource officers or labor employment lawyers, Sonderling has found himself in recent months talking more and more about AI. His focus has been on how companies can stay compliant as they hand over more of the responsibility for hiring and other aspects of corporate HR to algorithms that are vastly faster and capable of parsing thousands of resumes in seconds.

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Senate hearings see a clear and present danger from AI — and opportunities

There are vital national interests in advancing artificial intelligence (AI) to streamline public services and automate mundane tasks performed by government employees. But the government lacks in both IT talent and systems to support those efforts.

“The federal government as a whole continues to face barriers in hiring, managing, and retaining staff with advanced technical skills — the very skills needed to design, develop, deploy, and monitor AI systems,” said Taka Ariga, chief data scientist at the US Government Accountability Office.

Daniel Ho, associate director for Institute for Human-Centered Artificial Intelligence (HAI) at Stanford University, agreed, saying that by one estimate the federal government would need to hire about 40,000 IT workers to address cybersecurity issues posed by AI.

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Feds to Microsoft: Clean up your security act — or else

The US government, worried about the continuing growth of cybercrime, ransomware, and countries including Russia, Iran, and North Korea hacking into government and private networks, is in the middle of drastically changing its cybersecurity strategy. No longer will it rely largely on prodding businesses and tech companies to voluntarily take basic security measures such as patching vulnerable systems to keep them updated.

Instead, it now wants to establish baseline security requirements for businesses and tech companies and to fine those that don’t comply.

It’s not just companies that use the systems who might eventually need to abide by the regulations. Companies that make and sell them, such as Microsoft, Apple, and others could be held accountable as well. Early indications are that the feds already have Microsoft in their crosshairs — they’ve warned the company that, at the moment, it doesn’t appear to be up to the task.

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As China pushes its digital currency plans, the US falls behind

China’s digital Yuan project, a blockchain-based cryptocurrency for consumer and commercial finance, can no longer be considered a pilot. That’s the assessment by economic and cryptocurrency experts.

Those experts have been monitoring efforts in China and other countries developing and piloting central bank digital currencies (CBDCs) with the aim of establishing a blockchain-based virtual cash that is cheaper to use and faster to exchange, both at home and across international borders.

To date, the People’s Bank of China has distributed the digital yuan, called e-CNY, to 15 of China’s 23 provinces, and it has been used in more than 360 million transactions totaling north of 100 billion yuan, or $13.9 billion. The country has literally given away millions of dollars worth of digital yuan through lotteries, and its central bank has also participated in cross-border exchanges with several nations.

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