Technology News

Encrypted chat data leads to major drug raids in Germany

BERLIN (AP) — German security officials said Tuesday they made more than 750 arrests and seized large amounts of drugs after gaining access to extensive chat data of encrypted cellphones.

The focus of the investigation, which started in April 2020, was on data from users of the provider EncroChat who were involved in the illegal drug trade, Frankfurt prosecutors and the country’s Federal Crime Police Office said in a written statement.

Dutch and French officials helped with the investigation, prosecutors said.

“The EncroChat data was obtained in the context of a French investigation,” Frankfurt prosecutor Julia Bussweiler told The Associated Press. “The French authorities, together with the Dutch authorities, set up a so-called joint investigation team and within this investigation team they managed to decrypt the encrypted data and thus read the communication between the users of the Enchrochat mobile phones.”

Investigators seized 3.2 metric tons (3.5 short tons) of cannabis, about 320 kilograms (700 pounds) of synthetic drugs, more than 125,500 ecstasy pills, almost 400 kilograms (880 pounds) of cocaine and 10 kilograms (22 pounds) of heroin, authorities said.

They also confiscated 310 weapons, more than 12,200 rounds of ammunition and assets worth 168 million euros ($223 million).

Prosecutor Bussweiler said the investigation was far from over and they were still sifting through and evaluating the seized data.

“There are many people who are in pretrial detention,” she said. “The data is being checked to see whether it is sufficient for an indictment.”

Twitter restricts account of expert who mocked China leader

WELLINGTON, New Zealand (AP) — A New Zealand academic says Twitter temporarily restricted her account after she mocked Chinese President Xi Jinping.

University of Canterbury Professor Anne-Marie Brady is an expert on China’s attempts to exert political influence around the world and has been an outspoken critic of its ruling Communist Party. Last week, she sent tweets poking fun at the party’s 100th anniversary celebrations.

She said two of those tweets were temporarily marked “unavailable” by Twitter and her account was temporarily restricted over the weekend, before it was restored on Monday.

Twitter did not say what prompted its actions.

Edward Lucas, a columnist for The Times newspaper in Britain, wrote that it probably resulted from an online campaign of complaints by Communist Party agents which would have triggered an automatic response from Twitter while it investigated.

“After I had stoked a furor on Twitter and sent umpteen complaints, her account was restored,” Lucas wrote. “Less prominent victims of Chinese censorship would have scantier chances of redress.”

Brady tweeted her thanks to Lucas, saying that she’d been unable to get a reply from Twitter herself.

“Seems like @Twitter may have briefly forgotten they don’t work for Xi Jinping,” Brady wrote.

In a statement, Twitter said that when it detects unusual activity from an account, it can sometimes add temporary notices until it gets confirmation from the account owner.

“To set the record straight, the assertion that Twitter is in coordination with any government to suppress speech has no basis in fact whatsoever,” Twitter said. “We advocate for a free, global and open internet and remain a staunch defender of freedom of expression.”

Brady’s tweets made fun of the lack of international validation of the centenary. Russian President Vladimir Putin was among the few leaders who sent congratulations to China.

In one tweet, Brady suggested an alternative headline for a news article about the celebrations: “Xi: its my Party and I’ll cry if I want to,” she wrote.

Brady said her account has been restored. “Opening my work laptop this morning I was greeted by a “Welcome back” message on my screen from @Twitter, as if I was the one who left them,” she wrote.

She wrote that Twitter, Facebook, LinkedIn, Zoom and other big players in social media appeared to be getting into the habit of silencing Communist Party critics.

In 2017, Brady wrote a groundbreaking paper “Magic Weapons” which detailed what she said were the Communist Party’s efforts to exert political influence in New Zealand. Subsequent burglaries and break-ins at her home and office remain unsolved.

The Chinese Embassy in Wellington did not immediately respond to a request for comment.

The Chinese government has not commented on any action online against Brady and has heatedly denied accusations that it interferes with foreign media and political systems.

However, under Xi, who is also leader of the Chinese Communist Party, the government has taken an increasingly combative approach toward its critics, whether individuals, organizations or foreign governments.

Vauxhall owner to invest $138M in UK to make electric cars

LONDON (AP) — Vauxhall’s parent company announced Tuesday that it will invest 100 million pounds ($138 million) to make electric vans and cars at its factory in northwestern England.

Stellantis said the investment will see Vauxhall’s Ellesmere Port plant in Cheshire, near Liverpool, producing electric vehicles for other brands under Stellantis including Peugeot, Citroen and Opel.

The future of the plant had been in doubt after Stellantis announced that the new Astra car model wouldn’t be built there.

Tuesday’s announcement secured more than 1,000 jobs at the plant, as well as thousands more in the supply chain that rely on the factory for their livelihood.

Vauxhall was believed to have been seeking financial support from Britain’s government to help convert the factory from producing diesel and petrol vehicles to electric ones. Business Secretary Kwasi Kwarteng told reporters Tuesday that the government has “contributed an amount,” but declined to provide details.

The factory, which has produced more than 5 million vehicles since it opened in the 1960s, will now focus on making electric vehicles. Britain is set to ban the sale of new gasoline and diesel vehicles in 2030.

Japanese carmaker Nissan recently announced that it was also expanding its electric vehicle and battery production at its plant in Sunderland, a move that will create 1,650 jobs. The news of the Nissan and Vauxhall investments were welcome boosts for the U.K. car industry, which has suffered from uncertainty about foreign investment since the 2016 Brexit referendum.

China’s Xi attacks calls for technology blockades

BEIJING (AP) — Chinese leader Xi Jinping on Tuesday attacked calls from some in the U.S. and its allies to limit their dependency on Chinese suppliers and block the sharing of technologies.

In a speech to representatives of leftist political parties in more than 100 countries, Xi said China’s ruling Communist Party has succeeded in raising the country from poverty and created a new model of development.

Such experiences should be shared and no country should “obstruct the development of other countries and harm their people’s lives through political manipulation,” Xi said.

“We must jointly oppose anyone engaging in technological blockades, technological division and decoupling of development,” Xi said.

Decoupling has become a byword from some in the U.S. and elsewhere for ending dependency on Chinese supply lines, especially for high-tech products such as smart phones and computers.

Xi’s speech, carried live online, comes days after he delivered a defiant address marking the Communist Party’s centenary, saying China will not be bullied and will punish anyone who tries.

Xi tends to alter his tone depending on whether he’s speaking to a domestic or international audience, according to analysts.

“Xi is a risk taker but he is not reckless,” said Steve Tsang, director of the China Institute at the University of London’s School of Oriental and African Studies.

EXPLAINER: Why China is investigating tech firms like Didi

HONG KONG (AP) — Chinese regulators have clamped down on the country’s largest ride-hailing app, Didi Global Inc., days after its shares began trading in New York. Authorities told Didi to stop new registrations and ordered its app removed from China’s app stores pending a cybersecurity review. The government said it was acting to prevent security risks and protect the public interest. Didi is the latest company to face intensified scrutiny in a crackdown on some of China’s biggest technology giants.

WHAT IS DIDI?

China’s Didi Global Inc. is one of the world’s largest ride-hailing apps. Three-quarters of its 493 million annual active users are in China. Beijing-based Didi operates in 14 other countries including Brazil and Mexico.

Years ago, Didi and Uber competed in China. In 2016, after a two-year price war, Didi bought Uber’s China operations.

Didi raised $4.4 billion in a June 30 initial public offering in New York.

WHY DIDI IS IN TROUBLE

China’s cyberspace watchdog said it suspects Didi was involved in illegal collection and use of personal data. It did not cite any specific violations.

The state-owned newspaper Global Times said in an editorial Monday that Didi has the “most detailed personal travel information” of users among all large technology firms. It said the company could conduct big data analysis of users’ habits and behavior, posing a potential risk for individuals.

THE WIDER CONTEXT

Chinese authorities said Tuesday said they would step up supervision of companies listed overseas. Under the new measures, there will be improved regulation regarding data security and cross-border data flows, as well as the management of confidential data.

Authorities also plan to crack down on illegal activity in the securities market, and will investigate and punish acts such as the fraudulent issuance of securities, market manipulation, insider trading.

It’s unclear if there are other reasons the Chinese government might be focusing on Didi. Officials have expressed growing concern about use of user data by large technology companies.

China’s Cyberspace Administration announced Monday that it was also launching cybersecurity reviews of truck logistics platforms Huochebang and Yunmanman, and online recruitment platform Boss Zhipin. Registrations of new users were halted pending those reviews.

Full Truck Alliance, which operates the Huochebang and Yunmanman platforms, and Kanzhun Ltd., which runs Boss Zhipin, also recently listed shares in the U.S.

A sweeping Data Security Law enacted in June requires companies and individuals to get approval from relevant authorities to transfer any data stored in China to overseas entities, such as law enforcement agencies. The law takes effect Sept. 1.

Violators can be fined between 2 million to 10 million yuan (about $310,000 to $1.5 million) and could have their business suspended.

WHAT’S REALLY GOING ON?

China’s Communist Party leaders are uneasy with the growing influence of big technology firms. Key issues are monopolistic practices and handling of user data.

Until recently, tech firms operated in a regulatory gray zone, with relative freedom to create their business models, demand that merchants and vendors sign exclusive contracts with their platforms and collect user data to better understand their customers.

After China introduced health monitoring and quarantine apps during the pandemic, it became clear that tech companies like e-commerce giant Alibaba and gaming company Tencent controlled huge amounts of data, said Shaun Rein, founder and managing director of China Market Research Group in Shanghai.

“I think it was in the last year and a half that you can start to see just how much power these technology companies have,” said Rein.

Alibaba Group Holding recently was fined a record $2.8 billion over antitrust violations. Other big tech companies have been fined or investigated for alleged anti-competitive behavior and lapses in financial disclosure.

“Two years ago Chinese consumers didn’t care, they thought the convenience of apps outweighed any negative benefits,” Rein said. “But now Chinese people are quite concerned about data privacy, because Alibaba and Tencent have so much data – even more data than the government.”

Rein believes stricter oversight of the technology industry will make it more sustainable, with fairer competition that will benefit consumers.

WHAT’S THE IMPACT ON DIDI?

Didi said in a statement that having its app removed “may have an adverse impact on its revenue in China.“

It promised to fix any problems, “protect users’ privacy and data security, and continue to provide secure and convenient services to its users.”

The app can no longer be downloaded in China, although those who already downloaded and installed the app can still use it, Didi said.

Didi’s stock price sank as much as 25% on Monday, days after the cybersecurity review was announced. The company’s market capitalization plunged to $57.6 billion from about $75 billion last week.

Technology News

Footer