Cybersecurity Archives | Page 297 of 408 | Digital Watch Observatory

Musk under scrutiny over $2.4 billion FAA telecom contract

A group of US lawmakers is raising concerns over the potential involvement of SpaceX CEO Elon Musk in a $2.4 billion Federal Aviation Administration (FAA) telecommunications contract originally awarded to Verizon.

Musk, who owns satellite company Starlink, has been critical of the FAA’s existing telecom system and has reportedly sought to replace Verizon’s contract with his own company’s services.

Senator Maria Cantwell and other lawmakers have expressed alarm over what they see as potential interference in a competitive bidding process. The FAA, which awarded the 15-year contract to Verizon in 2023, is now reportedly reviewing the agreement.

Musk recently admitted to making false claims about Verizon’s role in aviation safety, further fuelling concerns about his influence.

The controversy has led to bipartisan scrutiny, with senators and representatives questioning whether the government is prioritising private interests over public safety. The FAA, meanwhile, has stated it has not yet made any decision regarding the contract.

Reports indicate that Starlink terminals are being tested in Alaska, raising further speculation about Musk’s involvement in the project.

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Financial crime agency investigates Paytm over past transactions

India’s financial crime enforcement agency has issued a show cause notice to Paytm over alleged violations of the country’s Foreign Exchange Management Act.

The notice relates to the acquisition of two companies, Little Internet Private Limited and Nearbuy India Private Limited, covering the period from 2015 to 2019.

Paytm has stated that the alleged violations occurred before these companies became its subsidiaries. The company maintains that the notice has no impact on its services for consumers and merchants. No further details about the specific allegations have been disclosed.

The notice comes at a time of increased regulatory scrutiny of digital payment firms in India.

Paytm has previously faced challenges related to compliance and operations, making the latest development a significant issue for the company as it continues to navigate the country’s evolving financial regulations.

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US accuses crypto entrepreneur of manipulating digital token markets

The founder of cryptocurrency financial services firm Gotbit has been extradited from Portugal to the United States to face charges of market manipulation and fraud.

Aleksei Andriunin, a 26-year-old Russian national, appeared in a Boston court, where he pleaded not guilty to wire fraud and conspiracy charges. Prosecutors allege his company engaged in sham trading to artificially inflate the value of digital tokens.

Authorities claim that between 2018 and 2024, Gotbit manipulated cryptocurrency trading volumes through a practice known as ‘wash trading’. The FBI’s ‘Operation Token Mirrors‘ played a key role in the investigation, reportedly using its own digital token to detect fraudulent activities.

Gotbit allegedly facilitated wash trades worth millions and profited tens of millions of dollars by boosting the market appeal of cryptocurrencies such as Saitama and Robo Inu.

Andriunin was arrested in Portugal in October when US authorities first announced charges against him and others. His company and two employees in Russia also face legal action, though they have not yet appeared in court.

The case is part of a broader crackdown on fraud in the cryptocurrency sector.

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A significant boost in Windows performance could come with Qualcomm’s latest chip

Qualcomm is reportedly developing the Snapdragon X2, a next-generation high-end processor for Windows PCs. Leaks suggest the new chip could feature up to 18 Oryon V3 cores, potentially boosting performance significantly.

The Snapdragon X2 is expected to adopt a system-in-package (SiP) design, integrating RAM and flash storage within the processor to enhance efficiency and data transfer speeds.

The processor is said to support configurations of up to 48GB of RAM and a 1TB SSD, according to leaked documents. While specific clock speeds remain unknown, it is described as a high-TDP variant, indicating a focus on raw power.

Qualcomm is also reportedly testing the chip with a liquid cooling system, suggesting efforts to manage heat output in high-performance environments.

Branding for the processor is expected under the ‘Snapdragon X2 Ultra Premium’ label, with a focus on competing against Intel, AMD, and Apple’s M-series chips.

Qualcomm previously confirmed its next PC processor, the Snapdragon X Elite Gen 2, would include the Oryon V3 CPU, following the success of its predecessor, the Oryon V2.

The Snapdragon X2 could improve the Windows on ARM ecosystem, offering better efficiency and performance. However, software compatibility challenges remain a key concern, as ARM-based Windows devices have previously struggled with certain applications.

Official details from Qualcomm are still pending, with more information possibly emerging at industry events such as Mobile World Congress.

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US investigates UK over alleged backdoor demand for Apple data

United States officials are reviewing whether the UK breached a bilateral agreement by reportedly pressuring Apple to create a ‘backdoor’ for government access to encrypted iCloud backups.

Apple recently withdrew an encrypted storage feature for UK users following reports that it had refused to comply with such demands, which could have affected users worldwide. The Washington Post reported that Apple rejected the UK government’s request.

The US director of national intelligence, Tulsi Gabbard, confirmed in a letter to lawmakers that a legal review is underway to determine if the UK violated the CLOUD Act.

Under the agreement, neither the US nor the United Kingdom can demand data access for citizens or residents of the other country. Initial legal assessments suggest the UK’s reported demands may have overstepped its authority under the agreement.

Apple has long defended its encryption policies, arguing that creating a backdoor for government access would weaken security and leave user data vulnerable to hackers. Cybersecurity experts warn that any such backdoor, once created, would inevitably be exploited.

The tech giant has clashed with regulators over encryption before, notably in 2016 when it resisted US government efforts to unlock a terrorism suspect’s iPhone.

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Zhipu AI secures over 1 billion yuan in new funding

Chinese AI startup Zhipu AI has raised over 1 billion yuan ($137.22 million) in new funding, following a previous 3 billion yuan investment in December. The latest funding round comes amid growing competition in China’s AI sector, particularly with rival DeepSeek’s large language models, which claim to rival Western models at a lower cost.

Investors in the new round include the state-backed Hangzhou City Investment Group Industrial Fund and Shangcheng Capital. Zhipu AI plans to use the funds to enhance its GLM language model and expand its AI ecosystem, with a focus on businesses in Zhejiang province and the Yangtze River Delta region.

Founded in 2019, Zhipu AI has completed 16 funding rounds and is considered one of China’s leading AI startups. The company aims to release a range of new AI models, including foundation and multimodal models, as part of its open-source strategy. The funding comes as competitors like DeepSeek continue to disrupt the AI landscape with open-source models that challenge established platforms.

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Vodafone collaborates with IBM on quantum-safe cryptography

Vodafone UK has teamed up with IBM to explore quantum-safe cryptography as part of a new Proof of Concept (PoC) test for its mobile and broadband services, particularly for users of its ‘Secure Net’ anti-malware service. While quantum computers are still in the early stages of development, they could eventually break current internet encryption methods. In anticipation of this, Vodafone and IBM are testing how to integrate new post-quantum cryptographic standards into Vodafone’s existing Secure Net service, which already protects millions of users from threats like phishing and malware.

IBM’s cryptography experts have co-developed two algorithms now recognised in the US National Institute of Standards and Technology’s first post-quantum cryptography standards. This collaboration, supported by Akamai Technologies, aims to make Vodafone’s services more resilient against future quantum computing risks. Vodafone’s Head of R&D, Luke Ibbetson, stressed the importance of future-proofing digital security to ensure customers can continue enjoying safe internet experiences.

Although the PoC is still in its feasibility phase, Vodafone hopes to implement quantum-safe cryptography across its networks and products soon, ensuring stronger protection for both business and consumer users.

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Wayve expands with new testing hub in Germany

British startup Wayve has announced plans to open a new testing and development hub in Germany, deploying a fleet of test vehicles in the Stuttgart region. The self-driving technology firm aims to enhance features like lane change assistance at the new facility, which will focus on improving its “Embodied AI” system that learns from human behaviour.

Wayve, which operates in the UK and the US, is expanding into Germany as part of its strategy to enter the European market, particularly Germany, the continent’s largest automotive hub. The company received a boost earlier this year, with Uber investing in August and SoftBank leading a $1 billion funding round in May, supported by Nvidia.

Despite the significant investments in autonomous vehicle technology, self-driving systems still face challenges in predicting and assessing risks as accurately as human drivers. Wayve’s technology is already integrated into six vehicle platforms, including electric models like the Jaguar I-PACE and Ford Mustang Mach-E, as part of advanced driver assistance systems (ADAS).

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US pauses cyber operations against Russia

US Defense Secretary Pete Hegseth has ordered a pause on all cyber operations against Russia, including offensive actions, as part of a broader reassessment of US operations related to Russia. The duration and specifics of the pause remain unclear, according to multiple US media reports. The Pentagon declined to comment on the matter, citing operational security concerns.

This move comes amid US President Donald Trump’s push for negotiations to end the war in Ukraine, as well as his recent criticism of Ukrainian President Volodymyr Zelensky. Trump has positioned himself as a mediator between Russian President Vladimir Putin and Zelensky, calling for less focus on Putin.

Despite media reports suggesting a shift in cyber strategy, US National Security Adviser Mike Waltz denied any policy change regarding cyber operations against Russia. He emphasised that efforts to end the war would continue with a range of diplomatic and strategic tools.

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Philippine army investigates cyberattack on its networks

The Philippine Army has acknowledged a cyberattack after a local hacking group claimed responsibility for breaching its systems and accessing sensitive documents.

Army spokesperson Col. Louie Dema-ala confirmed the event, describing it as an “illegal access attempt” that was quickly contained. While the group behind the attack has been identified, no damage or data theft has been reported at this time.

Earlier this week, the Philippine digital security advocacy group Deep Web Konek reported that the hacker group Exodus Security claimed to have compromised 10,000 records of active and retired service members. The leaked information allegedly includes personal and military data, such as names, ranks, addresses, medical records, financial information, and criminal histories. However, the authenticity and exact scope of the data have yet to be independently verified.

Philippine authorities have also reported recent attempts by foreign actors to access intelligence data. Minister for Information and Communications Ivan Uy stated that foreign state-sponsored hackers had attempted but failed to infiltrate government systems.

In January, authorities arrested a Chinese national and two Filipino citizens accused of surveilling critical infrastructure, including military sites.

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