| Here's a look at today's Tech briefing: - A federal judge has blocked Montana's TikTok ban.
- Broadcom is planning VMware layoffs after acquisition.
- Apple and Paramount are considering bundling their streaming services.
Thanks for reading! Beth
p/beth-duckett | |
| 1 | | A federal judge has blocked Montana's TikTok ban, originally set for January 1, from going into effect. On Thursday, U.S. District Judge Donald Molloy issued a preliminary injunction preventing the first-ever statewide ban of the ByteDance-owned video app in the U.S. More: - Molloy said the ban "oversteps state power and infringes on the constitutional rights of users."
- The ban was a clear attempt to target "China's ostensible role in TikTok" rather than being a genuine effort to safeguard Montana users, he said.
- The ban could potentially return pending an upcoming trial, but the preliminary injunction stated that TikTok is likely to prevail because it has shown stronger arguments.
Zoom out: - The Montana Attorney General office noted that the judge's decision is only "a preliminary matter at this point."
- Montana's Governor, Greg Gianforte, signed the bill in May banning TikTok within the state and requiring mobile app stores to block access for residents.
- TikTok sued shortly after, claiming the ban violates First Amendment rights for the company and users.
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| 2 | | U.S. chipmaker Broadcom is cutting at least 2,837 jobs tied to its recent VMware acquisition, according to WARN notices filed in multiple states. A VMware insider told Channel Futures that 10,000 to 20,000 layoffs are expected to occur on a staggered basis over the next nine months, though the figure hasn't been confirmed. More: - Broadcom closed the $69B acquisition of the cloud-computing firm on Nov. 22. It's now reducing the workforce of VMware, which has over 38,000 employees globally.
- Broadcom will lay off 1,267 employees at the VMware headquarters in Palo Alto, California, which will remain open.
- The layoffs will also affect workers in Texas, Virginia, Massachusetts, Washington state, New York, Georgia, and Colorado, according to the WARN notices, which only require filing when 100 or more employees are affected.
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| 3 | | Apple and Paramount are considering a discounted bundle of their streaming services, the Wall Street Journal reported Friday. Early-stage talks involve a joint Paramount+ and Apple TV+ bundle at a lower combined cost, with exact details not determined. Paramount and Apple have yet to comment. More: - The WSJ notes that some streamers are grappling with a rising trend of customers canceling subscriptions or switching to other services as prices go up.
- Bundling multiple streaming services in one package can lower monthly cancellations since viewers often cancel after binge-watching specific shows, according to Antenna.
Other bundles: | | | |
| 4 | Microsoft is in talks with partners about launching an Xbox mobile store, according to Gaming CEO Phil Spencer. The Xbox Store would operate on mobile devices, directly competing with Apple's App Store and the Google Play Store. More: - During an interview at this week's CCXP convention, Spencer said partners would "like to see more choice for how they can monetize on the phone."
- "I don't think this is multiple years away, I think this is sooner than that," he said of the store.
- Earlier reports said Microsoft was preparing to launch an Xbox mobile gaming store as early as 2024.
Zoom out: - The move aligns with Microsoft's strategy to expand its mobile gaming presence, especially after its recent acquisition of Activision Blizzard.
- Recent court documents revealed Activision Blizzard's plans to launch its own Android app store.
- Microsoft could also be capitalizing on the EU's Digital Markets Act, which requires Apple and Google to open up their ecosystems, allowing other companies to launch alternative app stores on their devices.
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| 5 | | In the first nine months of the year, 73% of web and app traffic was linked to malicious bot activity, including SMS toll fraud, scraping, and fake account creation, according to Arkose Labs. The fraud control platform identified travel and hospitality as the hardest-hit industry by malicious bots, with technology and retail close behind. 
What happened: Researchers analyzed attacks through three key vectors — basic bots, intelligent bots, and human fraud farms — that are used by fraudsters for attack types like SMS toll fraud, web scraping, card testing, and credential stuffing. What the numbers show: In H1 2023 and Q3, bots and fraud farms caused billions of attacks, making up 73% of all web and app traffic, indicating that nearly three-quarters of digital traffic is malicious. Overall bot attacks surged by 167% in the first half of the year, primarily driven by a substantial 291% increase in intelligent bot attacks. The bigger picture: Arkose said two new trends — generative AI and cybercrime-as-a-service (CaaS) — are fueling the rise in attacks. Researchers saw a rise in GenAI usage among malicious actors for creating convincing content, including phishing emails and dating app scams, while also seeing bots for data scraping to improve GenAI models. Meanwhile, CaaS reduces entry barriers for cybercriminals. CaaS vendors openly advertise their potentially illegal services, allowing anyone, including non-technical fraudsters, to buy bots that bypass security measures and carry out large-scale attacks. | | | |
| 6 | | Sam Altman has returned as OpenAI's CEO, and Microsoft is gaining a non-voting observer seat on the nonprofit board overseeing OpenAI. In a blog post, Altman announced the makeup of OpenAI's new board and leadership and shared the company's immediate priorities. More: - OpenAI's board ended Altman's employment on Nov. 17 following a "breakdown of communications."
- Less than a week later, Altman was re-hired.
- The board now consists of former Salesforce CEO Bret Taylor, who is chairman, along with former Treasury Secretary Larry Summers and prior member Adam D'Angelo, the co-founder and CEO of Quora, who was among those who voted to remove Altman.
- In an X post, Taylor mentioned he'd depart from the board once it's fully staffed and the company is stable.
- An unnamed Microsoft representative will join the new board as a non-voting observer. The company has a 49% stake in OpenAI's for-profit unit.
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| 7 | | Quick Hits: *This is sponsored content. | | | |
 | 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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