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| Here are today's top tech stories: - Cruise cuts 24% of workforce after grounding its fleet.
- FTC probing Adobe over difficult cancellation process.
- Meta launches Threads in Europe.
- An upcoming iPhone feature will protect against stolen passcodes.
- FCC seeks to ban cable and satellite 'junk fees.'
Beth
p/beth-duckett | |
| 1 | | GM's self-driving car subsidiary, Cruise, is laying off nearly 25% of its workforce after suspending its driverless operations on U.S. streets. The layoffs will impact roughly 900 of its 3,800 full-time employees, mainly in non-engineering roles, with affected workers receiving a minimum of 16 weeks' pay. More: - The company is managing the fallout from an Oct. 2 incident in which a pedestrian was struck by a Cruise vehicle in San Francisco.
- Following the incident, California DMV suspended the company's driverless permit and Cruise halted its driverless operations entirely.
- In November, Cruise recalled 950 robotaxis after reports that its technology had difficulty identifying children and large holes in the road.
- The company was reportedly aware of the issue but kept the vehicles operational.
Zoom out: - Shortly after the Cruise CEO Kyle Vogt and co-founder Daniel Kan resigned, Cruise let go of nine executives, including its COO Gil West.
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| 2 | | The FTC is investigating Adobe's software subscription cancellation rules following consumer complaints about the difficulty of canceling app subscriptions. Adobe disclosed the FTC probe in a recent regulatory filing, noting that a settlement with the agency could involve "significant monetary costs or penalties." More: - Adobe users, including Photoshop and Premiere subscribers, have complained about expensive cancellation fees, which can reach over $700 annually, with a two-week cancellation window for a full refund.
- Since June 2022, Adobe has been cooperating with the FTC's investigation over compliance with the Restore Online Shoppers' Confidence Act, which protects consumers from aggressive online sales tactics.
- In November, the FTC asserted its authority to negotiate a settlement, but Adobe argues its practices are legal and is currently in talks with FTC staff.
Zoom out: - The FTC's major focus on digital subscriptions includes a March proposal for a "click to cancel" rule, which would require sellers to make it as easy for customers to cancel subscriptions as it was to sign up.
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| 3 | | Meta has launched its social network Threads in the European Union. Threads, a competitor to X/Twitter, debuted globally in July but was delayed in the EU due to regulatory hurdles. More: - To comply with EU rules, Threads users in the region can browse the app without needing a profile.
- Those who want to post or interact with content must still sign up. Meta requires an Instagram account for posting on Threads.
- Since November, the company has allowed users to delete their Threads account separately from their Instagram account.
Zoom out: - Linking Instagram with Thread has contributed to the latter's epic growth. Threads gained 100 million users in its first week, making it the fastest-growing app ever.
- Meta CEO Mark Zuckerberg said Threads could be on track to hit 1 billion in the next few years, with the EU expansion as a boost.
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| 4 | | Apple is introducing a new security feature for iPhones to better prevent thieves from accessing phone data. Stolen Device Protection adds an extra layer of security by requiring FaceID in addition to a passcode when an iPhone is not at its usual location. More: - With Stolen Device Protection active, sensitive actions like viewing saved passwords or wiping the phone require both FaceID and a passcode, rather than just the latter.
- For more sensitive actions like altering Apple ID details, biometric data is required with an hour-long security delay before re-entering it.
- While currently limited to iOS 17.3 beta testers and developers, the feature will launch to all iPhone users through the software update in the coming weeks.
Zoom out: - The feature comes after the Wall Street Journal reported on scams in which attackers befriend or spy on victims, often in bars at night, and observe them type in their passcodes, allowing the thieves to access the iPhones.
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| 5 | The FCC has voted to move forward with a rule that would ban certain "junk fees" charged by cable and satellite providers. The agency still needs to solicit public feedback on the proposal before making a final determination. More: - The proposal, which the FCC passed 3-2 along party lines, would ban early-termination fees and create new refund rules for mid-month cancellations.
- Cable and satellite providers would have to give subscribers a prorated credit or rebate for their remaining billing cycle days after cancellation.
- "Consumers are tired of these junk fees," said Democratic FCC Chair Jessica Rosenworcel, who first proposed the rule last month.
- The FCC Republicans who opposed the decision argued that it unfairly targets a single industry and could lead to higher consumer prices, as well as trigger legal challenges.
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| 6 | | Google is now offering its most advanced text-generating AI model, Gemini, to developers and businesses to create their own chatbots and apps. Gemini Pro, the mid-sized model in the Gemini lineup, is now available in two Google Cloud products: Google AI Studio and Vertex AI. More: - Gemini is available in three sizes: Ultra, Pro, and Nano. The first version of Gemini Pro has a 32K context window and is limited to text input/output.
- Google also announced a new Gemini Pro Vision multimodal model that accepts both text and images, though it generates only text.
- Pro is launching in Google AI Studio, its free web-based tool for individual developers and teams, as well as in Vertex AI, its cloud programming tool for enterprises to fine-tune AI models.
- Gemini Pro and Gemini Pro Vision are currently free for developers in AI Studio and on Vertex AI, with a rate limit of up to 60 requests per minute.
- Once the free period is over, Gemini Pro will be cheaper to use than GPT-4.
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- ByteDance's subsidiary, Pico Interactive, has reportedly canceled the release of its next VR headset, the Pico 5, to avoid direct competition with Meta Quest.
- Google announced the general availability of Duet AI for Developers, a coding tool with generative AI.
- Elon Musk plans to establish a university in Austin, Texas, as revealed in tax filings, starting with a $100M donation for a STEM-focused K-12 school. The school "ultimately intends to expand its operations to create a university dedicated to education at the highest levels," according to the filing.
- Savvy billionaires are hedging their portfolios with farmland. New REIT goes public, and stock price increases 12.20% in its first quarter opening.*
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 | AI and technology writer | | Beth is a contributing editor and writer of Inside's AI and Tech newsletters. She has written for notable publications like USA Today and the Arizona Business Gazette. During her time as a public policy reporter at The Arizona Republic, she received recognition with a Pulitzer Prize nomination and a First Amendment Award for her collaborative reporting on pension cost increases. Beth also authored a book on the solar photovoltaic industry in 2016. You can reach her at Beth.Duckett@yahoo.com. | | This newsletter was edited by Eduardo Garcia | |
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