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Twitter research group stall complicates compliance with new EU law

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Twitter research group stall complicates compliance with new EU lawTwitter research group stall complicates compliance with new EU law

The stalling of a Twitter program that was critical for outside researchers studying disinformation campaigns throws into question the company s strategy to comply with upcoming regulation in Europe, former employees and experts told Reuters.

The European Union s new Digital Services Act (DSA), one of the world s strictest regulations on internet platforms, has sent tech companies scrambling to meet its requirements on having measures in place against illegal content and explaining the steps they take on content moderation, before the law comes into full effect in early 2024.

Twitter signed a voluntary agreement in June with the EU related to the DSA committing to “empowering the research community” through means including sharing datasets about disinformation with researchers. The EU s goal with the law is to create a safer internet for users and have a mechanism to hold companies accountable.

According to Yoel Roth, Twitter s former head of trust and safety, the Twitter Moderation Research Consortium was a key part of Twitter s plan to do that, since it compiled data on state-backed manipulation of the platform and provided that to researchers. “Twitter was uniquely well-positioned,” he said.

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Nearly all of the 10 to 15 employees who worked on the consortium have left the company since Elon Musk s takeover in October, according to Roth, who resigned in November, and three other former employees who were involved with the program.

The EU law would require platforms with over 45 million EU users to respond to EU-vetted researcher proposals.

Failure to comply with the DSA once it comes into effect could lead to fines of up to 6% of global revenue or even a ban from operating in the EU, according to the European Commission website.
Reuters was unable to determine if Twitter has made alternative plans to comply with the DSA.

In an email, Twitter s head of trust and safety, Ella Irwin, said: “We intend to fully comply with the DSA, have many employees working on DSA compliance internally and have communicated our intent to comply to (EU Commissioner Thierry) Breton and his team.”

She did not comment on detailed questions about the status of the consortium, how many employees were working on it, or how Twitter planned to comply with the DSA.

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Breton has met at least twice with Musk to discuss Twitter s intent to comply with the upcoming law. In November, Breton said Twitter had “huge work ahead” because the company will have to “tackle disinformation with resolve” and significantly reinforce content moderation. read more In May, Musk appeared in a video with Breton expressing agreement with the Digital Services Act. Breton s spokesperson declined to comment for this story.
Across the company, at least 5,000 staff (about two thirds of the total before the takeover) have either quit or been fired as Musk overhauls Twitter, hitting the trust and safety and public policy teams particularly hard. read more

“I just don t see how the absolutely skeletal staff … will be able to readily comply (with the DSA),” said Rebekah Tromble, director of the Institute for Data, Democracy and Politics at George Washington University.

THE WORK OF THE CONSORTIUM

The research consortium was formed in response to backlash against Russian interference in the 2016 U.S. presidential election. According to the company s website, its aim is “to increase transparency around Twitter’s content moderation policies and enforcement decisions.”

Twitter prohibits people, organizations or governments from manipulating conversation on the service, such as using multiple or fake accounts to make content appear more popular.

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Early last year, Twitter launched a pilot version of the consortium to disclose examples of manipulation of the platform to some outside researchers.

As Twitter investigated and took down accounts that were suspected of foreign interference, it released data on that to the researchers to help them study the misinformation strategies and where they originated.

In September, Twitter opened an application process to expand the consortium and had accepted about 50 researchers by the time of Musk s acquisition on Oct. 27, two of the former employees said.

Twitter had been preparing to disclose at least a dozen new datasets to researchers before then, the former employees said.

Of the three former Twitter employees, who asked not to be identified for fear of reprisals, one spoke with current employees recently and was told they do not have the personnel or bandwidth to continue working on the consortium.

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Five outside researchers told Reuters that without a program like the research consortium, it will be more difficult to study how governments use Twitter to interfere with elections or political events globally.

Two of those who are members of the consortium said Twitter has not sent a memo to close the program formally and previously-released data remain available to them, but they had not received data from it in at least two months.

The research consortium was an important tool to make the internet safer, according to two U.S. lawmakers who introduced a bill last year that would require social media platforms to provide data access to academic researchers. Their Digital Services Oversight and Safety Act has not been voted on.

Rep. Lori Trahan of Massachusetts and Rep. Sean Casten of Illinois also wrote an open letter to Twitter on Nov. 18 asking whether Twitter would maintain the consortium, following layoffs that halved the staff.

Asked about the consortium by Reuters this month, Trahan said failure to maintain the program would be “a massive step back.”

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The Stanford Internet Observatory, a consortium member that studies internet risks, said it has not received any communication from the program since mid-November and no longer has a point of contact at Twitter.

The Stanford team has published at least three papers using data from the consortium, including one about Twitter accounts that promoted India’s military activities in Kashmir, and one on U.S.-linked attempts to spread pro-Western narratives abroad.

If the research consortium is eliminated, “we will be returning to the 2017 era of limited shared communication about malicious state actor activity,” said Renée DiResta, research manager at Stanford Internet Observatory.

Cazadores de Fake News, a Venezuela-based consortium member that fact checks online news, told Reuters the research program “seems to have fallen into a hiatus,” and the organization has not heard from Twitter since Musk s acquisition.

“But we hope that it will resurface at some point, as it is a very valuable initiative,” said spokesperson Adrian Gonzalez. 

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Microsoft to invest 2.2bn dollars in cloud and AI services in Malaysia

Microsoft to invest 2.2bn dollars in cloud and AI services in Malaysia

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Microsoft to invest 2.2bn dollars in cloud and AI services in Malaysia

Microsoft (MSFT.O) said on Thursday it will invest $2.2 billion over the next four years in Malaysia to expand cloud and artificial intelligence (AI) services in the company’s latest push to promote its generative AI technology in Asia.

The investment, the largest in Microsoft’s 32-year history in Malaysia, will include building cloud and AI infrastructure, creating AI-skilling opportunities for 200,000 people, and supporting the country’s developers, the company said.

“We want to make sure we have world class infrastructure right here in the country so that every organisation and start-up can benefit,” Microsoft Chief Executive Satya Nadella said during a visit to Kuala Lumpur.

Microsoft will also work with the Malaysian government to establish a national AI Centre of Excellence and enhance the nation’s cybersecurity capabilities, the company said in a statement.

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Prime Minister Anwar Ibrahim, who met Nadella on Thursday, said the investment supported Malaysia’s efforts in developing its AI capabilities.

Microsoft is trying to expand its support for the development of AI globally. Nadella this week announced a $1.7 billion investment in neighbouring Indonesia and said Microsoft would open its first regional data centre in Thailand.

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Nvidia supplier SK Hynix says HBM chips almost sold out for 2025

Nvidia supplier SK Hynix says HBM chips almost sold out for 2025

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Nvidia supplier SK Hynix says HBM chips almost sold out for 2025

South Korea’s SK Hynix (000660.KS) said on Thursday that its high-bandwidth memory (HBM) chips used in AI chipsets were sold out for this year and almost sold out for 2025 as businesses aggressively expand artificial intelligence services.

“The HBM market is expected to continue to grow as data and (AI) model sizes increase,” Chief Executive Officer Kwak Noh-Jung told a news conference. “Annual demand growth is expected to be about 60% in the mid-to long-term.”

SK Hynix which competes with U.S. rival Micron (MU.O) and domestic behemoth Samsung Electronics (005930.KS) in HBM was until March the sole supplier of HBM chips to Nvidia, according to analysts who add that major AI chip purchasers are keen to diversify their suppliers to better maintain operating margins. Nvidia commands some 80% of the AI chip market.

Micron has also said its HBM chips were sold out for 2024 and that the majority of its 2025 supply was already allocated. It plans to provide samples for its 12-layer HBM3E chips to customers in March.

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“As AI functions and performance are being upgraded faster than expected, customer demand for ultra-high-performance chips such as the 12-layer chips appear to be increasing faster than for 8-layer HBM3Es,” said Jeff Kim, head of research at KB Securities.

Samsung Electronics (005930.KS) which plans to produce its HBM3E 12-layer chips in the second quarter, said this week that this year’s shipments of HBM chips are expected to increase more than three-fold and it has completed supply discussions with customers. It did not elaborate further.

Last month, SK Hynix announced a $3.87 billion plan to build an advanced chip packaging plant in the U.S. state of Indiana with an HBM chip line and a 5.3 trillion won ($3.9 billion) investment in a new DRAM chip factory at home with a focus on HBMs.

Kwak said investment in HBM differed from past patterns in the memory chip industry in that capacity is being increased after making certain of demand first.

By 2028, the portion of chips made for AI, such as HBM and high-capacity DRAM modules, is expected to account for 61% of all memory volume in terms of value from about 5% in 2023, SK Hynix’s head of AI infrastructure Justin Kim said.

Last week, SK Hynix said in a post-earnings conference call that there may be a shortage of regular memory chips for smartphones, personal computers and network servers by the year’s end if demand for tech devices exceeds expectations.

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The Nvidia (NVDA.O) supplier and the world’s second-largest memory chipmaker will begin sending samples of its latest HBM chip, called the 12-layer HBM3E, in May and begin mass producing them in the third quarter.

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Qualcomm jumps as AI sparks rebound in Chinese smartphone market

Qualcomm jumps as AI sparks rebound in Chinese smartphone market

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Qualcomm jumps as AI sparks rebound in Chinese smartphone market

Qualcomm (QCOM.O) shares rose 4% in premarket trading on Thursday after the smartphone-focused chipmaker signaled an AI-fueled rebound in demand, especially in China, after a two-year slump.

Sales to Chinese smartphone makers jumped 40% in the first half of its fiscal year, the company said on Wednesday, as buyers there gravitate toward higher-priced devices that can accommodate AI chatbots.

“Chinese vendors who traditionally relied more on MediaTek, are going to start leveraging Qualcomm’s high-end chips more as they push hard into the AI Agenda,” said IDC analyst Nabila Popal.

“They further represent an upside for Qualcomm because majority of the recovery is also going to be driven by Chinese OEMs this year, coming from a tough last two years.”

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Qualcomm on Wednesday projected third-quarter sales that were above estimates as it also benefits from its IoT (Internet of things) and auto segments.

The company, the biggest supplier of smartphone chips, was on course to add more than $8 billion to its market value based on premarket movements. Other semiconductor firms such as Arm and Broadcom (AVGO.O) rose 2.8% and 2.4%, respectively.

According to preliminary data from research firm IDC, in the high-end segment, the AI buzz and the foldable products allowed the Android smartphone vendors to further differentiate themselves from Apple (AAPL.O) and garnered increased interest from Chinese consumers in the first quarter of 2024.

“We’re optimistic that numbers can be driven higher, given last year’s muted Android cycle and the likelihood of IoT(internet of things) improvement as inventory normalizes,” analysts at Wolfe Research said.

At least 14 analysts raised their price targets on Qualcomm, according to LSEG data.

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Qualcomm’s shares have gained 13.5% this year following a 31.5% rise in 2023.

Shares of Apple, which is set to report earnings after market closes on Thursday, were up 1.05% in premarket trading.

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