The United States, United Kingdom and European Union have signed the first "legally binding" international AI treaty on Thursday, the Council of Europe human rights organization said. Called the AI Convention, the treaty promotes responsible innovation and addresses the risks AI may pose. Reuters reports: The AI Convention mainly focuses on the protection of human rights of people affected by AI systems and is separate from the EU AI Act, which entered into force last month. The EU's AI Act entails comprehensive regulations on the development, deployment, and use of AI systems within the EU internal market. The Council of Europe, founded in 1949, is an international organization distinct from the EU with a mandate to safeguard human rights; 46 countries are members, including all the 27 EU member states. An ad hoc committee in 2019 started examining the feasibility of an AI framework convention and a Committee on Artificial Intelligence was formed in 2022 which drafted and negotiated the text. The signatories can choose to adopt or maintain legislative, administrative or other measures to give effect to the provisions.

Francesca Fanucci, a legal expert at ECNL (European Center for Not-for-Profit Law Stichting) who contributed to the treaty's drafting process alongside other civil society groups, told Reuters the agreement had been "watered down" into a broad set of principles. "The formulation of principles and obligations in this convention is so overbroad and fraught with caveats that it raises serious questions about their legal certainty and effective enforceability," she said. Fanucci highlighted exemptions on AI systems used for national security purposes, and limited scrutiny of private companies versus the public sector, as flaws. "This double standard is disappointing," she added.

Deutsche Bank CEO Christian Sewing this week urged Germans to work harder to help restore the country's economy. From a report: "Investors are already doubting our ability to reform, but especially our ability and our will to perform," Sewing said at the Handelsblatt banking summit in Frankfurt. "More growth in Germany will come only if we also change our attitude to work; if we are prepared to work differently, but overall to work more and harder." Sewing said that EU citizens work about 34 hours a week on average compared with about 28 hours in Germany.

He argued that Germany should embrace longer work-weeks. "We won't manage it with an average of 28 hours per week and a pension at 63," he said. The euro area's biggest economy has been digesting a slate of negative economic data recently. For starters, the German economy contracted in the second quarter of the year, while at the start of the month, the manufacturing purchasing managers index (PMI), a key indicator of industrial sentiment, flashed negative, marking over a year it's been in negative territory.

An anonymous reader quotes a report from the Associated Press: The Dutch data protection watchdog on Tuesday issued facial recognition startup Clearview AI with a fine of $33.7 million over its creation of what the agency called an "illegal database" of billion of photos of faces. The Netherlands' Data Protection Agency, or DPA, also warned Dutch companies that using Clearview's services is also banned. The data agency said that New York-based Clearview "has not objected to this decision and is therefore unable to appeal against the fine."

But in a statement emailed to The Associated Press, Clearview's chief legal officer, Jack Mulcaire, said that the decision is "unlawful, devoid of due process and is unenforceable." The Dutch agency said that building the database and insufficiently informing people whose images appear in the database amounted to serious breaches of the European Union's General Data Protection Regulation, or GDPR. "Facial recognition is a highly intrusive technology, that you cannot simply unleash on anyone in the world," DPA chairman Aleid Wolfsen said in a statement. "If there is a photo of you on the Internet -- and doesn't that apply to all of us? -- then you can end up in the database of Clearview and be tracked. This is not a doom scenario from a scary film. Nor is it something that could only be done in China," he said. DPA said that if Clearview doesn't halt the breaches of the regulation, it faces noncompliance penalties of up to $5.6 million on top of the fine. Mulcaire said Clearview doesn't fall under EU data protection regulations. "Clearview AI does not have a place of business in the Netherlands or the EU, it does not have any customers in the Netherlands or the EU, and does not undertake any activities that would otherwise mean it is subject to the GDPR," he said.

Spotify claims Apple may be again in violation of European regulation, the Digital Markets Act (DMA), which requires interoperability from big technology companies dubbed "gatekeepers." From a report: This time, the issue isn't about in-app purchases, links or pricing information, but rather how Apple has discontinued the technology that allows Spotify users to control the volume on their connected devices.

When streaming to connected devices via Spotify Connect on iOS, users were previously able to use the physical buttons on the side of their iPhone to adjust the volume. As a result of the change, this will no longer work. To work around the issue, Spotify iOS users will instead be directed to use the volume slider in the Spotify Connect menu in the app to control the volume on connected devices. The company notes that this issue doesn't affect users controlling the volume on iOS Bluetooth or AirPlay sessions, nor users on Android. It only applies to those listening via Spotify Connect on iOS. As a result, Spotify iOS users globally will be directed to use the new in-app volume slider beginning on September 3.

Brussels is investigating whether Telegram breached EU digital rules by failing to provide accurate user numbers [non-paywalled source], as officials push to bring the controversial messaging app under stricter supervision. Financial Times: EU legal and data experts suspect that the app has understated its presence in the EU to stay under a 45mn user threshold, above which large online platforms are subject to a swath of Brussels regulations designed to check their influence. The EU probe comes alongside a wide-ranging French investigation into alleged criminal activity on Telegram that led to the arrest on Saturday of its founder, Russian-born billionaire Pavel Durov.

Telegram has said Durov, who is now a French-Emirati citizen, has "nothing to hide." Telegram said in February it had 41mn users in the EU. Under the EU's Digital Services Act (DSA), Telegram was supposed to provide an updated number this month but did not, only declaring it had "significantly fewer than 45mn average monthly active recipients in the EU."

Klarna aims to extend AI-driven cuts to its workforce with plans to axe almost half of its staff [non-paywalled source], as the lossmaking Swedish buy now, pay later company gears up for a stock market flotation. FT: Chief executive Sebastian Siemiatkowski heralded the benefits of AI in Klarna's second-quarter results on Tuesday, which showed a significant narrowing of its net loss from SKr854mn ($84mn) a year earlier to SKr10mn. The Swedish fintech has already cut its workforce from 5,000 to 3,800 in the past year. Siemiatkowski told the Financial Times that Klarna could employ as few as 2,000 employees in the coming years as it uses AI in tasks such as customer service and marketing.

"Not only can we do more with less, but we can do much more with less. Internally, we speak directionally about 2,000 [employees]. We don't want to put a specific deadline on that," he added. Klarna has imposed a hiring freeze on workers apart from engineers and is using natural attrition rather than lay-offs to shrink its workforce. Siemiatkowski has become one of the most outspoken European tech bosses about the benefits of AI, even if it leads to lower employment, arguing that is an issue for governments to worry about. The Stockholm-based group is lining up financial advisers for its long-anticipated initial public offering -- due as early as the first half of next year -- with Morgan Stanley, JPMorgan Chase and Goldman Sachs in lead positions to secure top roles, people familiar with the matter have previously told the FT.

Telegram founder and CEO Pavel Durov was arrested Saturday night by French authorities on allegations that his social media platform was being used for child pornography, drug trafficking and organized crime. The move sparked debate over free speech worldwide from prominent anti-censorship figures including Elon Musk, Robert F. Kennedy. Jr. and Edward Snowden. However, "the immediate freakout came from Russia," reports Politico. "That's because Telegram is widely used by the Russian military for battlefield communications thanks to problems with rolling out its own secure comms system. It's also the primary vehicle for pro-war military bloggers and media -- as well as millions of ordinary Russians." From the report: "They practically detained the head of communication of the Russian army," Russian military blogger channel Povernutie na Z Voine said in a Telegram statement. The blog site Dva Mayora said that Russian specialists are working on an alternative to Telegram, but that the Russian army's Main Communications Directorate has "not shown any real interest" in getting such a system to Russian troops. The site said Durov's arrest may actually speed up the development of an independent comms system. Alarmed Russian policymakers are calling for Durov's release.

"[Durov's] arrest may have political grounds and be a tool for gaining access to the personal information of Telegram users," the Deputy Speaker of the Russian Duma Vladislav Davankov said in a Telegram statement. "This cannot be allowed. If the French authorities refuse to release Pavel Durov from custody, I propose making every effort to move him to the UAE or the Russian Federation. With his consent, of course." Their worry is that Durov may hand over encryption keys to the French authorities, allowing access to the platform and any communications that users thought was encrypted.

French President Emmanuel Macron said Monday that the arrest of Durov was "in no way a political decision." The Russian embassy has demanded that it get access to Durov, but the Kremlin has so far not issued a statement on the arrest. "Before saying anything, we should wait for the situation to become clearer," said Kremlin spokesperson Dmitry Peskov. However, officials and law enforcement agencies were instructed to clear all their communication from Telegram, the pro-Kremlin channel Baza reported. "Everyone who is used to using the platform for sensitive conversations/conversations should delete those conversations right now and not do it again," Kremlin propagandist Margarita Simonyan said in a Telegram post. "Durov has been shut down to get the keys. And he's going to give them."

President Emmanuel Macron said Monday that the French government was not involved in the arrest of Telegram founder and CEO Pavel Durov. From a report: "The arrest of Telegram's president on French territory took place as part of an ongoing judicial investigation. This is in no way a political decision. It is up to the judges to decide," Macron said. Durov was detained Saturday night after his private jet arrived in Paris. The Paris prosecutor has not yet communicated the reasons for the arrest of Durov, who founded the messaging app in 2013.

The tech chief currently remains in policy custody. The arrest follows probes "accusing Telegram of being complicit in numerous affairs linked to drug trafficking, apology for terrorism and cyberbullying," French daily Le Monde reported. In a statement, Telegram said that its CEO -- a Russian-born French-Emirati citizen -- had "nothing to hide" and that the company abided by EU law.

[...] "More than anything else, France is committed to freedom of expression and communication, innovation and entrepreneurship," Macron said Monday. "In a state governed by the rule of law, on social networks as in real life, freedoms are exercised within a framework established by law to protect citizens and respect their fundamental rights."

Apple will change how users choose browser options in the European Union, add a dedicated section for changing default apps, and make more apps deletable, the company said on Thursday. From a report: The iPhone maker came under pressure from regulators to make changes after the EU's sweeping Digital Markets Act took effect on March 7, forcing it to offer mobile users the ability to select from a list of available web browsers on a "choice screen" the first time they open Safari. In an update later this year, Apple users will be able to select a default browser directly from the choice screen after going through a mandatory list of options.

A randomly ordered list of 12 browsers per EU country will be shown to the user with short descriptions, and the chosen one will be automatically downloaded, Apple said. The choice screen will also be available on iPads through an update later this year. Apple released a previous update in response to the new rules in March, but browser companies criticized the design of its choice screen, and the Commission opened an investigation on March 25 saying it suspected that the measures fell short of effective compliance. [...] Users will also be able to delete certain Apple-made apps such as App Store, Messages, Camera, Photos and Safari.

Epic Games launched its alternative app store in the European Union last week, capitalizing on new regulations opening up iOS. The store aims to offer developers lower commissions and greater payment flexibility compared to Apple's App Store. However, Apple's new terms for alternative marketplaces present significant challenges for developers. Apple imposes a 50 euro cent per user per year installation fee, a 10% commission on external sales, and a 5% fee on purchases within a year of installation.

These fees apply on top of Epic's 12% commission, potentially making the alternative store less attractive for many developers, The Verge writes. While Epic can likely absorb these costs for its hit game Fortnite, smaller developers face a steeper hurdle. Some industry insiders express skepticism about the viability of the new ecosystem for most app creators. Epic plans to offer a curated selection of third-party games on its mobile store by December, but widespread adoption remains uncertain.

According to Bloomberg's Mark Gurman (paywalled), App Store vice president Matt Fischer is departing the company in October as Apple prepares for organizational changes in response to regulatory pressure. MacRumors reports: Apple plans to split its App Store group into two teams, one that handles the App Store and a second team that oversees alternative app distribution. As of earlier this year, Apple has supported iOS app downloads from alternative app stores and from websites in the European Union, a change that the company had to make to comply with the Digital Markets Act. To handle ongoing compliance with EU regulations for app distribution and alternative payment methods, App Store chief Phil Schiller is changing the App Store's hierarchy.

Fischer joined Apple in 2003 to oversee iTunes marketing, but he has served as the vice president of the App Store since 2010. In an email to Apple employees today, Fischer said that he had been thinking about leaving Apple for some time, and the reorganization provided the right opportunity. With Fischer leaving, App Store senior director Carson Oliver will oversee the App Store, and Ann Thai, a director who oversees App Store features, will head up the team that handles alternative app distribution.

Epic Games launched its digital app store on iOS and Android devices on Friday, marking Fortnite's return to Apple's platform in the European Union after a four-year absence. The move follows the implementation of the EU's Digital Markets Act, which mandates Apple to allow third-party app stores. Epic's store is available globally on Android and in the EU for iOS devices running iOS 17.6 or later.

Fortnite, along with Rocket League Sideswipe and Fall Guys, are now accessible through Epic's mobile store and the EU's AltStore. This marks Fall Guys' mobile debut. Epic CEO Tim Sweeney hailed the development as "tangible progress" but noted challenges remain, including Apple's new fees for third-party app distribution. The company aims for 100 million mobile store installations by year-end and plans to offer third-party games by December, with self-publishing slated for early 2025. Epic's 88/12 revenue split model will extend to mobile, potentially disrupting the mobile gaming marketplace dominated by Apple and Google.

AltStore PAL, a third-party iOS app store available in the EU, has eliminated its annual 1.50-euro subscription fee after receiving a "MegaGrant" from Epic Games. This grant was awarded for "innovation in app distribution," allowing AltStore to cover Apple's Core Technology Fee without charging users. The Verge reports: Epic uses MegaGrants as a way to "sponsor the development of exciting projects that may not otherwise have enough funding to fully realize," the company says. The grants are typically meant for smaller teams using Epic's technologies to "bring bold, challenging, and insanely creative dreams to life," but in this case, Epic awarded the grant for "innovation in app distribution," according to AltStore. AltStore didn't share the dollar value of the grant.

Current subscribers won't be charged when their renewal date rolls around, AltStore says. The AltStore team also plans to "show our appreciation for our existing subscribers in a future update" but didn't specify what that might look like.

An anonymous reader shares a report: After much back and forth earlier this year, Spotify on Wednesday says it's now received approval from Apple to display pricing information in its iOS app for users in the EU. The company is not opting into Apple's new business rules under the EU's Digital Markets Act, but rather is taking advantage of new antitrust guidelines imposed by the EU specifically for music streaming apps. Apple in March was fined by European regulators nearly $2 billion for breaching antitrust rules in the market. Spotify and Apple have also gone back and forth over an update to Spotify's app that would allow the music streamer to share pricing information with EU users.

Now, Spotify says its app update has been approved, and it will be able to display the pricing for things like Spotify subscriptions and digital goods, including Spotify's more recently added collection of audiobooks. The latter includes the ability to show the pricing for subscription plans that include audiobook streaming, as well as "top off" hours users can buy to complete their audiobook listening and a la carte audiobook prices.

An anonymous reader quotes a report from The Guardian: The World Health Organization (WHO) is poised to scrap controversial drinking water guidelines proposed for two toxic PFAS "forever chemicals." The move follows allegations that the process of developing the figures was corrupted by industry-linked researchers aiming to undercut strict new US PFAS limits and weaken standards in the developing world. Many independent scientists charged that the proposed WHO drinking water guidelines for perfluorooctanoic acid (PFOA) and perfluorooctane sulfonate (PFOS) were weak, did not fully protect human health, ignored credible research, and were far above limits set by regulators in the US and EU. The guidelines would have allowed far more PFAS in drinking water than what is allowed by the US Environmental Protection Agency.

Though the earlier guidelines were drafts, and proposed rules all go through a revision process, the WHO is conducting an entirely new review of scientific literature and disbanded the panel of scientists who developed the draft guidelines. It established a new panel with fewer industry-linked scientists and more regulatory officials, moves that have not happened in other revisions, said Betsy Southerland, a former EPA manager in the agency's water division. "This is unprecedented, but the WHO got unprecedented criticism," Southerland said. The WHO told the Guardian in a statement that the moves are part of "an ongoing process" and will include guidelines for other PFAS compounds.

Scientists critical of the limits charged that the WHO ignored high-quality research to create a sense of doubt about the science around PFAS. EPA and EU regulators carried out an exhaustive literature review to find all human and animal studies, and used the best of those papers to establish their limits, Southerland said. The WHO, however, ignored all human studies and determined most animal studies were "too flawed" to use, Southerland said. The organization concluded there was not enough research to set health-based guidelines, which she called a "shocking decision." "There is far more health data for these chemicals than has ever been available for any pollutant in the history of the WHO," Southerland said. Instead, the WHO largely based its guidelines on its review of technological research, but ignored most of those studies as well, Southerland said. The body concluded filtration systems could reliably remove PFOA and PFOS at 100ppt, even though US water utilities remove it below four ppt. The decisions bear industry's prints, researchers say.

For the first time, two new all-electric passenger trains are operating in the US, which is woefully behind the rest of the world in electrifying its rolling stock. The Verge: The two new trains are operated by Caltrain. California Governor Gavin Newson and House Speaker Emerita Nancy Pelosi were on hand to take the inaugural ride, which took place on Saturday. The trains were put into regular service the following day, running along the route between San Jose and San Francisco.

It's taken almost 20 years since the idea of electric trains was first proposed in California. But officials insisted the new trains will be quieter and faster than the diesel-powered trains in current operation while also providing a better experience for passengers. The two trains will be joined by 17 others that should be in service by mid-September.

[...] It shouldn't come as any shock that the US is lagging behind the rest of the world in introducing electric trains. India is on the cusp of electrifying 100 percent of its rail lines, while China is nearing three-quarters of its network. Over 57 percent of the rail system in the European Union is electric.

"Algorithmic price-fixing appears to be spreading to more and more industries," warns the Atlantic. "And existing laws may not be equipped to stop it."

They start with RealPage's rental-property software (pointing out that "a series of lawsuits says it's something else: an AI-enabled price-fixing conspiracy" and "The lawsuits also argue that RealPage pressures landlords to comply with its pricing suggestions.") But the most important point is that RealPage isn't the only company doing this: Its main competitor, Yardi, is involved in a similar lawsuit. One of RealPage's subsidiaries, a service called Rainmaker, faces multiple legal challenges for allegedly facilitating price-fixing in the hotel industry. (Yardi and Rainmaker deny wrongdoing.) Similar complaints have been brought against companies in industries as varied as health insurance, tire manufacturing, and meat processing. But winning these cases is proving difficult.
The article notes that "Agreeing to fix prices is punishable with up to 10 years in prison and a $100 million fine." But it also notes concerns that algorithms could produce price-fixing-like behavior that's "almost impossible to prosecute under existing antitrust laws. Price-fixing, in other words, has entered the algorithmic age, but the laws designed to prevent it have not kept up." Last week, San Francisco passed a first-of-its-kind ordinance banning "both the sale and use of software which combines non-public competitor data to set, recommend or advise on rents and occupancy levels."

Whether other jurisdictions follow suit remains to be seen.

In the meantime, more and more companies are figuring out ways to use algorithms to set prices. If these really do enable de facto price-fixing, and manage to escape legal scrutiny, the result could be a kind of pricing dystopia in which competition to create better products and lower prices would be replaced by coordination to keep prices high and profits flowing. That would mean permanently higher costs for consumers — like an inflation nightmare that never ends.

An anonymous reader quotes a report from Ars Technica: The past several years have been absolute scorchers, with 2023 being the warmest year ever recorded. And things did not slow down in 2024. As a result, we entered a stretch where every month set a new record as the warmest iteration of that month that we've ever recorded. Last month, that pattern stretched out for a full 12 months, as June of 2024 once again became the warmest June ever recorded. But, despite some exceptional temperatures in July, it fell just short of last July's monthly temperature record, bringing the streak to a close.

Europe's Copernicus system was first to announce that July of 2024 was ever so slightly cooler than July of 2023, missing out on setting a new record by just 0.04 degrees C. So far, none of the other major climate trackers, such as Berkeley Earth or NASA GISS, have come out with data for July. These each have slightly different approaches to tracking temperatures, and, with a margin that small, it's possible we'll see one of them register last month as warmer or statistically indistinguishable. According to the Copernicus system, July 2024 was 0.68 degrees above the average temperature for July from 1991 to 2020. It also included the warmest day ever recorded.

In terms of anomalies, July 2024 also represents the first time in a year that a month was less than 1.5 degrees C above preindustrial temperatures (defined as the average from 1850-1900).

Apple on Thursday announced changes to its Digital Markets Act (DMA) compliance plan for the European Union, as the tech giant faces an ongoing investigation by the European Commission for suspected non-compliance. The revised rules, set to roll out this fall, ease restrictions on developers' ability to promote external offers within iOS apps. Developers can now inform users about offers available beyond their own websites, including on other apps and marketplaces, without adhering to Apple-mandated templates.

Apple has also introduced a new fee structure for purchases made through external links. An "Initial Acquisition Fee" of 5% will apply to new users' first-year purchases, while a "Store Services Fee" of 10% (or 5% for smaller developers) will be charged on subsequent transactions. These changes replace the controversial Core Technology Fee, which is currently under EU scrutiny.

Spotify and Epic aren't satisfied with the changes. Spotify has called the new plan "unacceptable," arguing it disregards DMA requirements. Epic Games CEO Tim Sweeney labeled it "malicious compliance" involving "junk fees."

A proposed European Union law seeks to ensure that video games sold or licensed in the EU remain playable even if servers are shut down or studios close. The law would require publishers of sold and free-to-play games with microtransactions to provide resources to keep games functional, such as allowing players to host their own servers. Through a process called the "European Citizens Initiative," the petition needs one million signatures just to have a chance at becoming law. PC Gamer reports: "An increasing number of publishers are selling videogames that are required to connect through the internet to the game publisher, or 'phone home' to function," the petition reads. "While this is not a problem in itself, when support ends for these types of games, very often publishers simply sever the connection necessary for the game to function, proceed to destroy all working copies of the game, and implement extensive measures to prevent the customer from repairing the game in any way."

Understanding that developers and publishers can't support games forever, the initiative would expect "the publisher to provide resources for the said videogame once they discontinue it while leaving it in a reasonably functional (playable) state." That means giving players the tools to host the game on their own servers, for example, and removing the requirement for games to connect to the publisher's (defunct) servers in order to be played. This is what the developer behind Knockout City did when it pulled the plug on the game's official servers.

Not only does this initiative apply to games that are sold, but includes free to play games that have microtransactions for assets (like skins) or other paid-for features. The thought is, if you purchase an item in a free game, you should have the right to continue to use it indefinitely -- which means keeping that free game playable in some form. It's important to note that even a million signatures doesn't mean an automatic win, just that it'll go forward to the European Union as a proposal to become a law.