This Week's Highlights
CXO Tech Weekly Bulletin

This Week's Highlights

Samsung's Messaging Change

Samsung is fully switching to Google Messages in the U.S., ceasing to pre-install Samsung Messages on Galaxy phones. This transition, which began with the Galaxy S22 series in 2022, continues with the Galaxy Z Fold 6 and Flip 6 models. Samsung cites better SMS and RCS support from Google Messages as the reason for this change. Devices in Europe and Canada still include Samsung Messages, but new models in the U.S. do not. While Samsung Messages can still be downloaded from the Galaxy Store, some features will be missing. Google Messages offers a new and improved experience that makes it easier for users to express their emotions. Max Weinbach noted that RCS is enabled by default on the Galaxy Z Flip 6. This move aligns with Google’s efforts to promote RCS messaging standards. Users who prefer Samsung Messages can still manually install it. This change further strengthens Samsung’s collaboration with Google.


NASA's NEOWISE Mission Ends, NEO Surveyor Begins

NASA's NEOWISE mission, which has successfully operated for 14 years hunting near-Earth objects (NEOs), is coming to an end. However, its work will continue with the next-generation infrared telescope, NEO Surveyor, set to launch in 2027. NEOWISE has made over 1.45 million infrared measurements, discovering 215 new NEOs and significantly contributing to planetary defense strategies. NEO Surveyor will be the first infrared space telescope designed specifically to detect potentially hazardous asteroids and comets. NEOWISE is ending its mission due to increased solar activity making it unable to resist atmospheric drag. Amy Mainzer stated that experiences gained from NEOWISE have been crucial in developing NEO Surveyor. This new telescope aims to identify hard-to-detect asteroids and comets that could threaten Earth. The end of NEOWISE marks a significant milestone in NASA's planetary defense strategies.


Game-Changing Discovery: Chinese Scientists Find Hidden Structure in Perovskite Solar Cells

A research team from the Hong Kong University of Science and Technology (HKUST) engineering faculty discovered and eliminated surface pits in the film crystal grains of perovskite solar cells, enhancing their performance. This discovery is seen as a crucial step towards overcoming the stability issues hindering the commercial viability of perovskite solar cells. Led by Prof. Zhou Yuanyuan, the team used chemical methods to remove these pits, improving the cells' efficiency and stability. Perovskite solar cells offer advantages like low cost, sustainable production, and high transparency, potentially replacing silicon solar cells. However, long-term stability against light, moisture, and thermomechanical conditions posed a barrier to commercial use. The team identified these hidden microstructures in crystal grains as limiting the efficiency and stability of perovskite cells. This innovative approach holds potential to maximize the performance of perovskite solar cells.


Ukraine Develops AI-Powered Combat Drones

Ukraine is focusing on AI-powered combat drones to enhance its technological edge on the battlefield. The Ministry of Defense states that these next-generation unmanned aerial vehicles have capabilities such as autonomous movement, target detection, and tracking. These drones could shift the balance on the battlefield, providing significant advantages to the Ukrainian military. Defense Minister Oleksii Reznikov emphasized the substantial benefits of AI-powered drones in military operations. Ukraine is collaborating with foreign experts to develop these technologies. Additionally, these drones are expected to play a crucial role in the conflict with Russia. Historically, the use of drone technology has provided significant advantages on the ground. As part of this development, Ukraine is conducting various tests and simulations to enhance the durability and effectiveness of these drones in different weather conditions and challenging combat environments. Defense analysts predict that such technological innovations will significantly strengthen Ukraine's defense capabilities. Effective use of drones could also offer new opportunities for intelligence gathering and enemy movement monitoring. Experts highlight that the development of this technology will play a significant role in Ukraine's long-term military strategies.


DDoS Attacks Double in 2024

According to the 2024 DDoS Threat Landscape report by Imperva, DDoS attacks have increased by 111% worldwide over the past year, largely due to geopolitical tensions. Attacks on Ukraine surged by 519%, and attacks on Israel increased by 118%. In February, a gaming site in Indonesia experienced the largest Layer 7 DDoS attack, with 4.7 million requests per second. The financial services and telecommunications sectors accounted for 60% of all Layer 7 DDoS attacks. The U.S. was the most targeted country, with nearly half of all application layer attacks. New HTTP/2 attack vectors and a 215% rise in DNS attacks were noted. Historically, DNS DDoS attacks made up only 6% of all network DDoS attacks, but in the first half of 2024, this figure rose to 21%. Imperva also noted an increase in DDoS attacks targeting election periods, Mirai botnet variants, and the rapid rise in AI use. This underscores the need for heightened security measures.


Artificial Turf Provides Cooling Effect

A new type of artificial turf used in urban sports fields offers a safer and more sustainable alternative by storing rainwater and reducing surface temperatures through capillary action. This innovation addresses the issue of traditional artificial turfs reaching high temperatures and contributing to the urban heat island effect. Developed by scientists from the Netherlands, this system includes an underground water reservoir and capillary irrigation system. Experiments in Amsterdam showed that these turfs could reduce surface temperatures to 37°C. The rainwater accumulation also helps reduce the risk of urban flooding, providing natural-like cooling on hot days. Although economically costly, researchers believe this new technology could enhance sports and recreational facilities in urban areas.


Oura Ring 4 Competes with Samsung Galaxy Ring

With the release of Samsung's Galaxy Ring, Oura is also drawing attention with its new model. According to documents leaked by Android Authority, the Oura Ring 4 will soon be available. The new model will feature a flat, smooth design similar to previous models and will be offered in various sizes and finishes. It will stand out with contactless payment support and advanced sensor features. The successful sleep tracking capabilities of the previous model are expected to be further improved. Additionally, the new model may include extra data analysis and processing features under the Oura membership subscription. The launch of Oura Ring 4 is planned for the near future. This development is likely to increase competition in the smart ring market. Oura's move aims to provide a strong alternative to Samsung's new ring. Users are eagerly awaiting the features of the new Oura Ring.


OpenAI Withdraws from Copyright Lawsuit

OpenAI has withdrawn from a copyright lawsuit filed by open-source developers who claimed their code was used without permission. The developers will continue their lawsuit against Microsoft and GitHub. The case centers on Microsoft's Copilot AI assistant using open-source code in violation of license agreements and currently focuses only on breaches of open-source license agreements. Despite withdrawing from the case, OpenAI still faces other copyright infringement allegations. The Joseph Saveri Law Firm is pursuing similar cases against companies like Nvidia and Meta. Additionally, research from Stanford University indicates that AI-assisted coding tools can increase security vulnerabilities. This situation raises significant discussions about the ethical and legal boundaries of AI technologies. The open-source community is eagerly awaiting the outcome of these cases.


Spotify Announces Record Quarterly Earnings, Shares Up 14%

Spotify reported record quarterly earnings slightly above analyst expectations, leading to a 14% increase in its shares in pre-market trading. The Swedish audio streaming giant reduced costs last year through layoffs and marketing budget cuts while investing in promotions and podcasts to grow its user base. The company's profit reached 1.11 billion euros, surpassing analysts' expectations of 1.07 billion euros. Earnings per share were 1.33 euros. Spotify's revenue rose to 3.81 billion euros, although it missed its monthly active user target, achieving 626 million instead of 631 million. CEO Daniel Ek noted that user growth increased across all regions, attributing the missed target to the adjustment of marketing activities. Spotify's gross profit margin also expanded from 27.6% in the previous quarter to 29.2% in this quarter.


Nvidia Prepares New Flagship AI Chip for Chinese Market

Nvidia is developing a version of its new flagship AI chip series, "Blackwell," compliant with U.S. export controls for the Chinese market. The B200 model, introduced in March, is 30 times faster than previous models. Nvidia is collaborating with its major Chinese distributor partner, Inspur, to release this new chip, named "B20," in the second quarter of 2025. Following tightened U.S. semiconductor export controls, Nvidia developed three chips specifically for the Chinese market. Nvidia's H20 chip, despite a slow start at the beginning of the year, is rapidly increasing in sales, with over 1 million units expected to be sold in China this year. China accounts for 17% of Nvidia's revenue. The U.S. is expected to maintain strict export controls on semiconductors. The Biden administration plans to further tighten export controls on advanced AI models and semiconductor manufacturing equipment. This will impact Nvidia's strategies to remain competitive in the Chinese market.


Samsung Releases Critical Patch for Galaxy Devices

Samsung will release a security patch in August to close a critical zero-day vulnerability under active exploitation affecting Galaxy devices. The CVE-2024-32896 vulnerability, initially impacting Google's Pixel devices in June, later spread to all Android devices. Due to the severity of this flaw, the U.S. government had asked federal employees to update their Pixel devices. The GrapheneOS Android project highlighted a more serious CVE-2024-29745 vulnerability, yet this issue has not been addressed on non-Pixel Android devices. The fragmented nature of the Android ecosystem often leads to delays in patch distribution, but Samsung's prompt response is seen as a positive development. Users are advised to update their devices as soon as the August update is available.


Google Abandons Plans to Drop Third-Party Cookies

Google has announced that it is canceling its plans to stop supporting third-party cookies in its Chrome browser. These cookies typically work through ads and tracking pixels. Google had planned to remove these cookies by the end of 2024 but has now decided to allow users to experience web browsing through Privacy Sandbox settings or keep traditional cookies active. Previously delayed plans have now been adjusted based on user feedback. In July 2023, Google also introduced another privacy option called "Enhanced Ad Privacy." These changes will have significant implications for those involved in online advertising.


Google Updates Streaming Device Design with New Set-Top Box

Google has introduced a new set-top box, "Google TV Streamer," abandoning its past HDMI dongle design. The new device features a slanted top surface and a design compatible with Google's latest hardware. The remote control resembles the previous Chromecast model but is longer and includes a volume control button. Google TV Streamer will be announced at the Google event on August 13, where the Pixel 9 series and Pixel Watch 3 models will also be unveiled. Whether this new set-top box will compete with the Apple TV 4K and maintain a price below $100 remains to be seen. Details of this new set-top box will be clarified at the event.


CrowdStrike CEO Called to Testify Before Congress

The U.S. House of Representatives has called CrowdStrike CEO George Kurtz to testify regarding a technology outage that caused global service disruptions. The outage, which occurred on Friday, halted airline flights and took banking and hospital systems offline. CrowdStrike reported that many devices began functioning again after the incident, which impacted millions of computers. The House Homeland Security Committee requested detailed information, stating that the incident's scope cannot be ignored. A faulty software update from CrowdStrike caused problems on 8.5 million devices, requiring IT teams to manually delete files to resolve the issue.


Curiosity Discovers Pure Sulfur Crystals on Mars

Curiosity's discovery of pure sulfur crystals in the Gediz Vallis channel provides crucial insights into past water movements and volcanic activities on Mars. The presence of these pure sulfur crystals in this region highlights the complexity of chemical reactions and the once-existing liquid water on Mars. NASA scientists are working to understand the formation process of these crystals and how it fits into Mars' overall geological history. This discovery offers new clues about the potential for microbial life on Mars, guiding future explorations. The pure sulfur crystals found by Curiosity are considered one of the most intriguing and mysterious geological formations detected on Mars. Researchers believe such findings will play a significant role in identifying potentially habitable regions on Mars. Curiosity's journey continues to unveil the secrets of Mars, providing more information about the Red Planet's history with each new discovery.


WhatsApp to Introduce AirDrop-Like Feature for iPhones

WhatsApp is working on an AirDrop-like feature that allows users to share files without an internet connection. After testing it on Android, the feature is now being introduced to iPhones. The latest beta version of WhatsApp for iOS includes the "Nearby Share" feature, allowing users to share files by scanning a QR code. The feature is designed to work across both Android and iOS. Currently available only for internal testing, it is unclear when it will be released to all users. WhatsApp continues to introduce design innovations and new features such as 32-person video calls. The platform also plans to create personalized AI avatars. These new features will enhance the WhatsApp user experience.


Mark Zuckerberg Calls for Open-Source A.I.

Meta CEO Mark Zuckerberg issued an open letter stating that artificial intelligence should not be controlled by a few giant companies. Zuckerberg advocates for an open-source approach in AI development, arguing that it would be more effective against technology espionage. Meta introduced the new version of its most powerful AI algorithm, LLaMA, and added support for seven additional languages. As the Biden administration discusses regulations related to AI technology, Zuckerberg's call for open source gains significance. Zuckerberg emphasized that closed systems would restrict American innovation. Meanwhile, companies like OpenAI and Google argue that AI's rapid development requires tight control. Zuckerberg believes open source will make AI's benefits more accessible and the technology safer. Meta's approach will also contribute to the standardization of its products.


Apple May Release Foldable iPhone in 2026

Apple plans to release a foldable iPhone as early as 2026. This could be the most significant hardware design overhaul for its most popular product. The company has contacted suppliers in Asia for components and created an internal code name for the product, V68. Foldable smartphones equipped with AI features could boost demand for the iPhone. Competing globally with Huawei and Samsung, Apple aims to gain an advantage in the market with this move. Samsung introduced its latest foldable phones in July, adding new AI functions to these models. The global foldable smartphone market grew by 49% in the first quarter, achieving the highest growth rate in six quarters. Apple also plans to update at least one iPhone model's camera with a mechanical system that can control the aperture size. However, it is still uncertain whether the foldable iPhone will be definitively released.


Tesla Shares Drop Sharply

Tesla's shares fell 12% after second-quarter earnings fell short of expectations, marking the biggest single-day drop since 2020. Automotive revenues declined 7% year-on-year to $19.9 billion. The company had to make global price cuts due to increased competition and falling sales. Tesla's total revenue rose 2% to $25.5 billion. The company's second-quarter adjusted earnings per share were $0.52, below analysts' expectations of $0.62. Tesla CEO Elon Musk announced that a new, more affordable vehicle would be launched in the first half of next year. Additionally, Musk expects the company's robotaxi service to start next year.


IBM Rises with Software and AI Demand, Consulting Declines

IBM exceeded analysts' expectations in second-quarter revenues, raising its annual growth forecast for its software business. The company's success was driven by increased spending on AI, with the expansion of its Watsonx platform and the open-sourcing of its Granite AI models. IBM shares have gained about 12% this year, benefiting from the rise of AI-related companies. In the second quarter, software revenues grew 7% to $6.74 billion. The company expects high single-digit growth in this segment for 2024. IBM's AI book of business reached $2 billion in the second quarter, with $1 billion added in this period. However, annual consulting revenue expectations were lowered to low single-digit growth, as clients reduce short-term consulting projects. Consulting revenues fell 1% to $5.18 billion in the second quarter. CFO James Kavanaugh noted that clients prioritize technologies like GenAI. IBM reported second-quarter revenue of $15.77 billion and adjusted earnings per share of $2.43.


Amazon Hit by Tax and Labor Practices in Italy

Italy's financial police seized €121 million from Amazon's Milan-based unit due to allegations of tax evasion and labor practices. The Milan prosecutor's office stated that Amazon Italia Transport concealed its relationship with couriers through a complex tax evasion scheme. The prosecution noted that Amazon organized labor practices, managed operations, and provided necessary IT equipment. This structure allowed Amazon to offer competitive prices by bypassing tax and labor payments. Despite Amazon's claims of adhering to high standards and cooperating with authorities, the charges cover the period from 2017 to 2022. This development adds a new dimension to the ongoing discussions about Amazon's labor practices. Similar charges have previously been directed at global logistics companies like DHL and UPS.


AI Systems May Collapse into Nonsense

Scientists warn that AI systems could collapse into meaninglessness as the internet becomes increasingly filled with AI-generated content. Interest in text-generating systems like OpenAI's ChatGPT has surged in recent years, leading many to publish blog posts and other content created by these systems. Many companies producing these systems use text sourced from the internet to train them. This could result in a loop where AI-generated texts train other AI systems. Researchers indicate that this cycle could quickly cause these tools to produce nonsensical and absurd content. According to the research, these systems' outputs can become meaningless after just a few cycles. For example, a system tested with medieval architecture texts began producing repeating lists of rabbits after only nine generations. This concept, known as "model collapse," could become more common as AI systems are more widely used across the internet. Not only could this make the systems useless, but it could also reduce the diversity of their outputs. Researchers stress that this issue needs to be addressed seriously. They also suggest that companies training systems with pre-collected human-generated data might have an advantage.


Companies Tricked with Fake CrowdStrike Recovery Resources

CrowdStrike reported that companies affected by a major IT outage were targeted with fake recovery guides. These fake guides are used to install "Daolpu" malware. Word documents containing malicious macros download DLL files to install Daolpu, stealing login credentials via browsers. The UK National Cyber Security Centre (NCSC) noted a rise in such phishing attacks on July 19. Users could destroy their systems while resolving issues caused by the CrowdStrike update. Companies need to be cautious and avoid suspicious files and documents to protect against such attacks. CrowdStrike emphasized the need to pay attention to the "result.txt in %TMP%" file.


US Offers $10 Million Reward for North Korean Hacker

The U.S. Department of State is offering a $10 million reward for information leading to the identification or location of North Korean hacker Rim Jong Hyok. This move is considered significant due to increasing threats to critical infrastructure. Rim Jong Hyok is linked to the APT45 threat group under North Korean military intelligence. The group conducted Maui ransomware attacks on U.S. healthcare providers, demanding ransoms. These attacks aimed to disrupt medical services and fund malicious cyber operations through ransoms. The UK National Cyber Security Centre (NCSC) and its partners announced that APT45 is conducting a global cyber espionage campaign. The Mandiant report indicated that the group's attacks on critical infrastructure for financial gain reflect North Korea's shifting priorities.


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