U.S. and E.U. Complete Long-Awaited Deal on Sharing Data

Good Direction.? 

U.S. and E.U. Complete Long-Awaited Deal on Sharing Data

By The New York Times, July 11, 2023

Credit: Ksenia Kuleshova/The New York Times

A deal to ensure that data from Meta, Google and scores of other companies can continue flowing between the United States and the European Union was completed on Monday, after the digital transfer of personal information between the two jurisdictions had been thrown into doubt because of privacy concerns.

The decision adopted by the European Commission is the final step in a yearslong process and resolves — at least for now — a dispute about American intelligence agencies' ability to gain access to data about European Union residents. The debate pitted U.S. national security concerns against European privacy rights.

The accord, known as the E.U.-U.S. Data Privacy Framework, gives Europeans the ability to object when they believe their personal information has been collected improperly by American intelligence agencies. An independent review body made up of American judges, called the Data Protection Review Court, will be created to hear such appeals.

Didier Reynders, the European commissioner who helped negotiate the agreement with the U.S. attorney general, Merrick B. Garland, and Commerce Secretary Gina Raimondo, called it a "robust solution." The deal sets out more clearly when intelligence agencies are able to retrieve personal information about people in the European Union and outlines how Europeans can appeal such collection, he said.

From The New York Times

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EU Looks to Take Lead in Metaverse World, Avoid Big Tech Dominance

EU Wants to take on the Metaverse, never saw them as interested, look forward to see what they want to do.  Shaped on  'EU digital rights and principles'   Specific countries most interested? Will try to follow up?

ACM TECHNEWS

EU Looks to Take Lead in Metaverse World, Avoid Big Tech Dominance

By Reuters, July 14, 2023

European Union flags flutter outside the European Commission headquarters in Brussels, Belgium.

The scheme includes bringing together creators, media companies, and others to create an industrial ecosystem, setting up regulatory sandboxes, and rolling out skills development programs and virtual public services.

Credit: Yves Herman/Reuters

The European Commission (EC) has outlined a strategy for the European Union (EU) to assume a lead role in the metaverse sector and block its domination by technology giants.

The group said its goal is to develop an accessible, interoperable EU metaverse through an industrial ecosystem established by creators, media companies, and other stakeholders.

These collaborators would help companies evaluate the metaverse and launch skills development initiatives and virtual public services by creating regulatory testbeds.

Said EC vice president Margrethe Vestager, "We need to have people at the center and shape it according to our EU digital rights and principles, to address the risks regarding privacy or disinformation. We want to make sure Web 4.0 becomes an open, secure, trustworthy, fair, and inclusive digital environment for all."

From Reuters

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MEPs Vote in Amendments to EU AI Act

Expect more regulation to emerge.

MEPs vote in raft of amendments to EU AI Act

The proposed amendments to the EU’s AI Act have garnered a mixed reception from both industry and civil society, with the former seeing it as too stringent and the latter as not stringent enough in many areas, despite positive progress in others

By  Sebastian Klovig Skelton, Senior reporter

Published: 12 May 2023 16:30

MEPs in two European Parliament committees have overwhelmingly voted for a raft of amendments to the Artificial...  (intro) 

EU Regulating Tech Platforms

New Broad EU Regulation

EU names 19 large tech platforms that must follow Europe’s new Internet rules

Rules apply to five Google sites, Facebook, Apple, Bing, Twitter, TikTok, etc.

JON BRODKIN - 4/25/2023, 2:49 PM  in ArsTechnica

Enlarge / Google's booth at the Integrated Systems Europe conference on January 31, 2023, in Barcelona, Spain.

The European Commission will require 19 large online platforms and search engines to comply with new online content regulations starting on August 25, European officials said. The EC specified which companies must comply with the rules for the first time, announcing today that it "adopted the first designation decisions under the Digital Services Act."

Five of the 19 platforms are run by Google, specifically YouTube, Google Search, the Google Play app and digital media store, Google Maps, and Google Shopping. Meta-owned Facebook and Instagram are on the list, as are Amazon's online store, Apple's App Store, Microsoft's Bing search engine, TikTok, Twitter, and Wikipedia.

These platforms were designated because they each reported having over 45 million active users in the EU as of February 17. The other listed platforms are Alibaba AliExpress, Booking.com, LinkedIn, Pinterest, Snapchat, and German online retailer Zalando.

Companies have four months to comply with the full set of new obligations and could face fines of up to 6 percent of a provider's annual revenue. One new rule is a ban on advertisements that target users based on sensitive data such as ethnic origin, political opinions, or sexual orientation. ... ' 

EU Lawmakers Pass Draft of AI Act

EU Lawmakers Pass Draft of AI Act

By VentureBeat, April 28, 2023

While a variety of state-based AI-related bills have been passed in the U.S., it is larger government regulation, in the form of the EU AI Act, for which many in the A.I. and the legal communities have been waiting.

After months of negotiations and two years after draft rules were proposed, EU lawmakers have reached an agreement and passed a draft of the Artificial Intelligence (AI) Act, which would be the first set of comprehensive laws related to AI regulation. The next stage is called the trilogue, when EU lawmakers and member states will negotiate the final details of the bill.

According to a report, the members of the European Parliament (MEPs) confirmed previous proposals to put stricter obligations on foundation models, a subcategory of "General Purpose AI" that includes tools such as ChatGPT. Under the proposals, companies that make generative AI tools such as ChatGPT would have to disclose if they have used copyrighted material in their systems.

The report cited one significant last-minute change in the draft of the AI Act related to generative AI models, which "would have to be designed and developed in accordance with EU law and fundamental rights, including freedom of expression."

"The AI Act offers EU lawmakers an opportunity to put an end to the use of discriminatory and rights-violating artificial intelligence (AI) systems," said Mher Hakobyan, advocacy advisor on AI regulation at Amnesty International, in a blog post.

From VentureBeat  https://venturebeat.com/ai/eu-lawmakers-pass-draft-of-ai-act-includes-last-minute-change-on-generative-ai-models/ 

EU Digital Strategy

 So many directions to regulate.    Note considering the influence US Law

The EU digital strategy: The impact of data privacy on global business

McKinseu:  March 1, 2023 | Commentary

By  Daniel Mikkelsen, Sebastian Scheurle,   Henning Soller , and Malin Strandell-Jansson

New data regulations from the European Union require organizational attention, and three key steps can help navigate the data privacy landscape.

The data regulations in the European Union (EU) have recently received significant attention specifically due to the advent of the General Data Protection Regulation and the rulings around Schrems II—whereby the Court of Justice of the European Union found that the protection of personal data had limitations due to domestic law in the United States—as well as the access and use by US public authorities of personal data transferred from the EU, and recent developments such as e-privacy.

While these developments have led to major changes in data privacy, one of the other goals of the regulation—to establish a market for data and facilitate data exchange between companies—has not been reached to date.

This lack of action has led to the potential for further regulatory activity to define an agenda for how to uplift the data capabilities of European companies, create a market for data, and regulate activities around AI. These activities are typically summarized as the EU digital strategy. While regulation adds further requirements and obligations to any data-enabled business, it also creates an opportunity for competitive advantages for those that best derisk their data transformations.

The EU digital strategy offers organizations both challenges and opportunities, but these regulations will likely continue to evolve, so organizations should remain aligned with the regulatory process. ... ' 

Italy Bans Facial, Non Policing Related AI

The breadth of this is interesting, more strict than EU it seems?

Italy Outlaws Facial Recognition Tech, Except to Fight Crime

Reuters

By Elvira Pollina; Federico Maccioni, November 14, 2022

Italy has banned the use of facial recognition technology and "smart glasses," except when such technologies play a role in judicial investigations or the fight against crime. The country's Data Protection Agency issued a rebuke to two municipalities experimenting with the technologies, and said facial recognition systems using biometric data will not be allowed until a specific law is adopted, or at least until the end of next year. Under EU and Italian law, the processing of personal data by public bodies using video devices is generally allowed on public interest grounds, and when linked to the activity of public authorities. However, the agency noted, municipalities that want to use such devices will have to secure "urban security" agreements with central government representatives.

In Reuters

European Block Chain Uses, Cases

Six use cases mentions, useful.

Europe's Blockchain: A Solution Struggling to Find a Problem    By Arnout Jaspers

Commissioned by CACM Staff,July 12, 2022

Part of the problem is that participation in EBSI is restricted to companies who obtain accreditation from their national governments. During Demo Day, several panelists urged the European Commission to open up EBSI to independent developers.

The European Commission (EC) has been investing a lot of resources in the European Blockchain Services Infrastructure (EBSI). During an online Demo Day, six 'use cases'  were demonstrated, although they all were still at the pilot level.

Outside experts have mixed feelings about the initiative. 

Early Adopters Demo Day in late May was the provisional culmination of a major technology  project initiated by the EC in 2018. EBSI was to become a European Union (EU)-wide service to verify credentials like driving licenses and diplomas. EU citizens have the right to live, work and study in every EU member state, with hardly any restrictions. A European digital identity and digitally verifiable credentials should make it much easier for citizens to move to another member-state, and to decrease the administrative burden for them and for governments.

The six use-cases presented all had a similar structure: a Trusted Accreditation Organization (TAO) can certify various Issuers (for instance, a university) to issue a verifiable credential (like a diploma) to a Holder (a student). The Holder stores this in his or her digital wallet (on a cellphone, for instance). When asked by a Verifier (another university or an employer) to supply proof of having a diploma, the Holder sends this verifiable credential from her digital wallet to the Verifier.

This chain of trust is protected against fraud by digital signatures. It starts with a TAO–typically a government authority, which issues accreditations secured by a digital signature. Other parties down the chain also sign credentials with digital signatures, all encrypted with the secret key of the issuer. Every receiver down the chain of trust can decrypt this signature with the public key of that issuer. The fact that decryption produces a readable message, not gibberish, proves to the receiver that the signature is authentic. This chain of trust is similar to the system of QR (Quick Response) codes widely adopted in the EU to prove the holder had been vaccinated against Covid-19. ... ' 

Microsoft at Odds with EU

 Much more to follow.  

Microsoft Faces Antitrust Complaint in Europe About Its Cloud Services in WSJ excerpt

France’s OVHcloud has filed a complaint that Microsoft is abusing its position to hurt competition

A French cloud-computing company has filed an antitrust complaint in Europe against Microsoft Corp., MSFT 0.01% ▲ adding to recent criticism of the competitive practices at a company that has largely avoided the recent regulatory scrutiny aimed at rival tech giants.   ....  ' 

And from Microsoft. their view on EU license policy. 

Digital Identities: Here for the EU

More broadly, how do we manage the notion of readable digital identity?  Its use, misuse and maintenance?    Now and in the future.   Good piece.    

Europeans Wary of New Digital Identity    By Arnout Jaspers, Commissioned by CACM Staff, March 31, 2022

Europeans now need a digital QR code verifying their coronavirus immunization status in order to cross borders. Critics say the new European Digital Identity (EDI) framework tries to capitalize on that requirement to strangle the privacy of its citizens; others say the EDI could actually benefit privacy, if done right.

To buy alcohol in the European Union (EU), you need to prove that you are at least 18 years old, typically by handing a photo identification card to the cashier. But why should the cashier be able to read your full name, date and place of birth, and Social Security or driver's license number, before selling you a bottle of wine?

Unlike a physical ID, a digital ID can perform selective disclosure: it only shows the relevant attribute (in this case, verifying that the holder is 18 or older) and nothing else. 

This is how the European CoronaCheck app is set up: after scanning the QR code, the app displays a green flag if the app confirms the person being tested has been vaccinated, or was infected with the virus and can show proof of recovery, or detects proof of a recent negative PCR-test (or any combination of the three).  If none of those three conditions (or combination of them) is detected, the app displays a red flag.

A European Digital Identity, in the vision of the European Commission, would provide every EU citizen with a digital wallet ID that can perform selective disclosure on many more attributes. The wallet will contain personal data like one's fiscal number (in the U.S., this would be a Social Security number; in the Netherlands, it is the BSN number), but also detailed information on health and education; almost anything the owner wants to put in the wallet.

It will typically reside on the owner's smartphone, and the owner has to give permission for it to display specific attributes. A doctor might be allowed to see all the medical information, while a university in Italy would only be allowed to verify whether the owner really received her bachelor's degree from Oxford University.

In February, the European Commission released a call for proposals to develop an app for such a wallet ID. While the Commission does not have the authority to demand that all 27 EU member-states use the same app, it can enforce certain data and privacy standards.

The initiative has caused concern among privacy advocates, and an uproar among more-extreme anti-EU activists, who see the European Digital Identity as a decisive step towards total, CCP-style control of EU citizens.   .... '  

On Forthcoming Draft EU Rules About AI

Excerpt of EU regulation being considered, now in draft. 

The EU’s AI rules will likely take over a year to be agreed  By Ryan Daws | February 17, 2022  in AI News

Rules governing the use of artificial intelligence across the EU will likely take over a year to be agreed upon.

Last year, the European Commission drafted AI laws. While the US and China are set to dominate AI development with their vast resources, economic might, and light-touch regulation, European rivals – including the UK and EU members – believe they can lead in ethical standards.

In the draft of the EU regulations, companies that are found guilty of AI misuse face a fine of €30 million or six percent of their global turnover (whichever is greater). The risk of such fines has been criticised as driving investments away from Europe.

The EU’s draft AI regulation classifies systems into three risk categories:

Limited risk – includes systems like chatbots, inventory management, spam filters, and video games.

High risk – includes systems that make vital decisions like evaluating creditworthiness, recruitment, justice administration, and biometric identification in non-public spaces.

Unacceptable risk – includes systems that are manipulative or exploitative, create social scoring, or conduct real-time biometric authentication in public spaces for law enforcement.

Unacceptable risk systems will face a blanket ban from deployment in the EU while limited risk will require minimal oversight.

Organisations deploying high-risk AI systems would be required to have things like:

Human oversight.

A risk-management system.

Record keeping and logging.

Transparency to users.

Data governance and management.

Conformity assessment.

Government registration.

However, the cumbersome nature of the EU – requiring agreement from all member states, each with their own priorities – means that new regulations are often subject to more debate and delay than national lawmaking.  .... '

EU Proposed Definition of AI Problematic?

Seems a strange definition, covering much more than AI,  like analytics of most any kind,  just not autonomous?   I am concerned that this will regulated us out of many reasonable uses.

Europe Is in Danger of Using the Wrong Definition of AI   By Wired, March 7, 2022

The European Union's (EU) forthcoming Artificial Intelligence Regulation, also known as the AIA, will determine what artificial intelligence (AI) can be deployed in the EU, and how much it costs an organization to do so. The current draft starts with a broad definition of AI: “software that...can...generate outputs such as content, predictions, recommendations, or decisions influencing the environments they interact with.”

However, this definition may already be too narrow, given what the AIA is primarily about: ensuring that decisions made by or with machines are done so well, transparently, and with clear human accountability, at least if those decisions matter. ... 

For writing laws about AI, let's be broad and inclusive enough to help us keep our devices and systems safe for our societies ... 

From Wired  

On the EU Digital Services Act

What will it cover and what are the implications?

EXPLAINER: How sweeping EU rules would curb tech companies  in TechExplore  by Kelvin Chan

Online companies would have to ramp up efforts to keep harmful content off their platforms and take other steps to protect users under rules that European Union lawmakers are set to vote on Thursday.

The 27-nation bloc has gained a reputation as a trendsetter in the growing global push to rein in big tech companies as they face withering criticism over misinformation, hate speech and other harmful content on their platforms.

Here's a look at the proposed EU rules, known as the Digital Services Act, and why they would make an impact:

WHAT IS THE DIGITAL SERVICES ACT?

The legislation is part of a sweeping overhaul of the European Union's digital rules aimed at ensuring online companies, including tech giants like Google and Facebook parent Meta, protect users on their platforms and treat rivals fairly. It's an update of the EU's two-decade-old e-commerce directive.

"The Digital Services Act could now become the new gold standard for digital regulation, not just in Europe but around the world," the lead EU lawmaker on the bill, Christel Schaldemose, said during a debate Wednesday. "Big tech nations like the U.S. or China are watching closely to see what we're now going to agree."

The proposals are one-half of flagship digital regulations drafted by the bloc. EU lawmakers are also working on a separate proposal, the Digital Markets Act, which is aimed at reining in the power of the biggest online "gatekeepers." Both still face further negotiations with EU bodies before taking effect.

WHAT WILL IT COVER?

The Digital Services Act includes a raft of measures aimed at better protecting internet users and their "fundamental rights online." Tech companies will be held more responsible for content on their platforms, with requirements to beef up flagging and removal of illegal content like hate speech or dodgy goods and services sold online like counterfeit sneakers or unsafe toys.

But lawmakers have been battling about the details of such takedowns, including whether court orders would be required. .... ' 

Big Fines for Amazon Under GDPR

Good to know the implications of the EU GDPR.  Note how Amazon sees the gathering of customer data. On to the EU court.

EU Fines Amazon Record $888 Million Over Data Violations   By Bloomberg, August 2, 2021

Luxembourg's CNPD data protection authority fined Amazon a record $888 million for breaching the EU's General Data Protection Regulation (GDPR).

The EU regulator charged the online retailer with processing personal data in violation of GDPR rules, which Amazon denies. The ruling closes an investigation triggered by a 2018 complaint from French privacy rights group La Quadrature du Net.

Amazon says it gathers data to augment the customer experience, and its guidelines restrict what employees can do with it; some lawmakers and regulators allege the company exploits this data to gain an unfair competitive advantage.

Amazon also is under EU scrutiny concerning its use of data from sellers on its platform, and whether it unfairly champions its own products.

From Bloomberg  

AI at the Edge

 UK and elsewhere, attempts at merging advanced tech efforts.

Towards Broad Artificial Intelligence (AI) & The Edge in 2021  by 7wData

Artificial intelligence (AI) has quickened its progress in 2021. 

A new administration is in place in the US and the talk is about a major push for Green Technology and the need to stimulate next generation infrastructure including AI and 5G to generate economic recovery with David Knight forecasting that 5G has the potential - the potential - to drive GDP growth of 40% or more by 2030. The Biden administration has stated that it will boost spending in emerging technologies that includes AI and 5G to $300Bn over a four year period.

On the other side of the Atlantic Ocean, the EU have announced a Green Deal and also need to consider the European AI policy to develop next generation companies that will drive economic growth and employment. It may well be that the EU and US (alongside Canada and other allies) will seek ways to work together on issues such as 5G policy and infrastructure development. The UK will be hosting COP 26 and has also made noises about AI and 5G development.

The world needs to find a way to successfully end the Covid-19 pandemic and in the post pandemic world move into a phase of economic growth with job creation. An opportunity exists for a new era of highly skilled jobs with sustainable economic development built around next generation technologies.  ... '

EU Deciding to Widen the Idea of a Vaccination Wallet

 The EU has decided to widen the notion of a smartphone enabled 'passport' for vaccines to a more general wallet that would hold other kinds of ID credentials. Like drivers licenses, access permissions, diplomas and drug prescriptions.  Would be available to all, but not required.   Could be a very convenient thing, but have privacy implications.  

EU Plans Digital ID Wallet for Post-Pandemic Life  By Associated Press

The European Union (EU) on Thursday announced plans for a post-pandemic smartphone application to enable EU residents to access services across the bloc.

Europeans would be able to store digital credentials such as driver's licenses, prescriptions, and school diplomas through the European Digital Identity Wallet, and access online and offline public/private services while keeping personal data secure.

The European Commission (EC) said the e-wallet would be available to all EU residents, although its use is not mandatory.

Dominant online platforms, however, would have to accept the wallet, in line with the EC's agenda to regulate big technology companies and their control over personal information.

From Associated Press

EU COVID-19 'Digital Pass' Gateway System Goes Live

Following this aspect of construction, delivery and use of passport systems.

EU COVID-19 'Digital Pass' Gateway System Goes Live      By TechCrunch, June 8, 2021

The gateway system for the EU's "digital pass" for verifying COVID-19 vaccination or test status went live June 1.

The digital pass prevents falsifications using QR codes and digital signatures, which are verified using public key cryptography.

Those without access to a mobile device can receive paper-based certificates.

Seven countries—Bulgaria, Czechia, Denmark, Germany, Greece, Croatia, and Poland—plan to start issuing and verifying certificates, while other member states will begin doing so ahead of the full launch on July 1.

Twenty-two countries have tested the gateway successfully since May 10.

The European Commission has published reference software and apps for the issuance, storage, and verification of certificates on GitHub, with 12 member-states using the code so far.

From TechCrunch  Full article  

EU Post Pandemic Wallets

Wondering how far this will go, likely as good as the number of times it is asked for.  I note its use is not mandatory. 

EU Plans Digital ID Wallet for Post-Pandemic Life  By Associated Press, June 4, 2021

European Commissioner for Europe fit for the Digital Age,  Margrethe Vestager, speaking during a media conference at EU headquarters this week.

The European Union (EU) on Thursday announced plans for a post-pandemic smartphone application to enable EU residents to access services across the bloc.   Europeans would be able to store digital credentials such as driver's licenses, prescriptions, and school diplomas through the European Digital Identity Wallet, and access online and offline public/private services while keeping personal data secure.

The European Commission (EC) said the e-wallet would be available to all EU residents, although its use is not mandatory.  Dominant online platforms, however, would have to accept the wallet, in line with the EC's agenda to regulate big technology companies and their control over personal information.

From Associated Press

MIT to Reconcile Data Sharing with EU AI Regulations

Proposed regulations constraining AI proposed by the EU are over 100 pages long.  What is MIT's view?   Note some other  things also include  'subliminal behavior manipulation', I assume specifying exactly how this differs from clever advertising,  and 'Social Credit Scoring'. 

AI Weekly: MIT aims to reconcile data sharing with EU AI regulations  In VentureBeat By Kyle Wiggers, @Kyle_L_Wiggers

This week, the European Union (EU) unveiled regulations to govern the use of AI across the bloc’s 27 member states. The first-of-its-kind proposal spans more than 100 pages    and will take years to implement, but the ramifications are far-reaching. It imposes a ban — with some exceptions — on the use of biometric identification systems in public, including facial recognition. Other prohibited applications of AI include social credit scoring, the infliction of harm, and subliminal behavior manipulation.

The regulations are emblematic of an increased desire on the part of consumers for privacy-preserving, responsible implementations of AI and machine learning. A study by Capgemini found that customers and employees will reward organizations that practice ethical AI with greater loyalty, more business, and even a willingness to advocate for them — and in turn, punish those that don’t. And 87% of executives told Juniper in a recent survey that they believe organizations have a responsibility to adopt policies that minimize the negative impacts of AI  ..."

EU to Constrain Certain AI Uses?

To be expected reaction from EU regulators.

Facial Recognition, Other 'Risky' AI Set for Constraints in EU

Bloomberg, Natalia Drozdiak, April 21, 2021

The European Commission has proposed new rules constraining the use of facial recognition and other artificial intelligence applications, and threatening fines for companies that fail to comply. The rules would apply to companies that, among other things, exploit vulnerable groups, deploy subliminal techniques, or score people’s social behavior. The use of real-time remote biometric identification systems by law enforcement also would be prohibited unless used specifically to prevent a terror attack, find missing children, or for other public security emergencies. Other high-risk applications, including for self-driving cars and in employment or asylum decisions, would have to undergo checks of their systems before deployment. The proposed rules need to be approved by the European Parliament and by individual member-states before they could become law.   ... "