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Verizon Wireless agreed to pay a $1,050,000 penalty to the US Treasury and implement a compliance plan because of a 911 outage in December 2022 that was caused by a botched update, the Federal Communications Commission announced today.

A consent decree explains that the outage was caused by "the reapplication of a known flawed security policy update file." During the outage, lasting one hour and 44 minutes, Verizon failed to deliver hundreds of 911 calls in Alabama, Florida, Georgia, North Carolina, South Carolina, and Tennessee, the FCC said.

"The [FCC] Enforcement Bureau takes any potential violations of the Commission's 911 rules extremely seriously. Sunny day outages, as occurred here, can be especially troubling because they occur when the public and 911 call centers least expect it," Bureau Chief Loyaan Egal said.

Enlarge / Julian Assange in an airplane in a photo posted by WikiLeaks on June 25, 2024. (credit: WikiLeaks)

WikiLeaks founder Julian Assange has agreed to plead guilty to a single criminal charge, ending a long extradition battle with the United States government. Assange will reportedly avoid further jail time and be allowed to return to his home country of Australia.

Assange won't have to travel to the continental United States. He is scheduled to plead guilty tomorrow in US District Court for the Northern Mariana Islands, a US territory in the western Pacific Ocean.

In a court filing in Saipan, the US government said:

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The European Commission today said it found that Apple is violating the Digital Markets Act (DMA) with App Store rules and fees that "prevent app developers from freely steering consumers to alternative channels for offers and content." The commission "informed Apple of its preliminary view" that the company is violating the law, the regulator announced.

This starts a process in which Apple has the right to examine documents in the commission's investigation file and reply in writing to the findings. There is a March 2025 deadline for the commission to make a final ruling.

The commission noted that it "can impose fines up to 10 percent of the gatekeeper's total worldwide turnover," or up to 20 percent for repeat infringements. For "systematic infringements," the European regulator could respond by requiring "a gatekeeper to sell a business or parts of it, or banning the gatekeeper from acquisitions of additional services related to the systemic non-compliance."

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The California Public Utilities Commission (CPUC) yesterday rejected AT&T's request to end its landline phone obligations. The state agency also urged AT&T to upgrade copper facilities to fiber instead of trying to shut down the outdated portions of its network.

AT&T asked the state to eliminate its Carrier of Last Resort (COLR) obligation, which requires it to provide landline telephone service to any potential customer in its service territory. A CPUC administrative law judge recommended rejection of the application last month, and the commission voted to dismiss AT&T's application with prejudice on Thursday.

"Our vote to dismiss AT&T's application made clear that we will protect customer access to basic telephone service... Our rules were designed to provide that assurance, and AT&T's application did not follow our rules," Commissioner John Reynolds said in a CPUC announcement.

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A 911 vendor's malfunctioning firewall caused a statewide outage in the emergency calling system in Massachusetts on Tuesday afternoon, the state government said. A Massachusetts government press release issued yesterday said the state's 911 vendor, Comtech, "has advised State 911 that they have applied a technical solution to ensure that this does not happen again."

"A preliminary investigation conducted by the State 911 Department and Comtech determined that the outage was the result of a firewall, a safety feature that provides protection against cyberattacks and hacking," the announcement said. "The firewall prevented calls from getting to the 911 dispatch centers, also known as Public Safety Answer Points (PSAPs)."

Comtech's initial review "confirmed that the interruption was not the result of a cyberattack or hack," but "the exact reason the firewall stopped calls from reaching dispatch centers remains under review," the state said. A full review is continuing.

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AT&T is imposing $10 and $20 monthly price hikes on users of older unlimited wireless plans starting in August 2024, the company announced. The single-line price of these 10 "retired" plans will increase by $10 per month, while customers with multiple lines on a plan will be hit with a total monthly increase of $20.

"If you have a single line of service on your plan, your monthly plan charge will increase by $10. If you have multiple lines on your plan, your monthly plan charge will increase by a total of $20. This is the total monthly increase, not per line increase," AT&T said.

AT&T has offered a dizzying array of "unlimited" data plans over the years, all with different limits and perks. While unlimited plans let customers avoid overage fees, speeds can be slowed once customers hit their high-speed data limit. There are also limits on the usage of hotspot data.

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T-Mobile has agreed to change its advertising for the "Price Lock" guarantee that doesn't actually lock in a customer's price, but continues to defend the offer.

T-Mobile users expressed their displeasure about being hit with up to $5 per-line price hikes on plans that seemed to have a lifetime price guarantee, but it was a challenge by AT&T that forced T-Mobile to agree to change its advertising. AT&T filed the challenge with the advertising industry's self-regulatory group, which ruled that T-Mobile's Price Lock ads were misleading.

As we've reported, T-Mobile's guarantee (currently called "Price Lock" and previously the "Un-contract") is simply a promise that T-Mobile will pay your final month's bill if the carrier raises your price and you decide to cancel. Despite that, T-Mobile promised users that it "will never change the price you pay" if you're on a plan with the provision.

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A group of Tesla investors yesterday sued Elon Musk, the company, and its board members, alleging that Tesla was harmed by Musk's diversion of resources to his xAI venture. The diversion of resources includes hiring AI employees away from Tesla, diverting microchips from Tesla to X (formerly Twitter) and xAI, and "xAI's use of Tesla's data to develop xAI's own software/hardware, all without compensation to Tesla," the lawsuit said.

The lawsuit in Delaware Court of Chancery was filed by three Tesla shareholders: the Cleveland Bakers and Teamsters Pension Fund, Daniel Hazen, and Michael Giampietro. It seeks financial damages for Tesla and the disgorging of Musk's equity stake in xAI to Tesla.

"Could the CEO of Coca-Cola loyally start a competing soft-drink company on the side, then divert scarce ingredients from Coca-Cola to the startup? Could the CEO of Goldman Sachs loyally start a competing financial advisory company on the side, then hire away key bankers from Goldman Sachs to the startup? Could the board of either company loyally permit such conduct without doing anything about it? Of course not," the lawsuit says.

Enlarge / Elon Musk. (credit: Getty Images | Bloomberg)

Tesla shareholders have re-approved CEO Elon Musk's $44.9 billion pay package, the company announced today. "Our stockholders have approved the ratification of the 100 percent performance-based stock option award to Elon Musk that was approved by stockholders in 2018," Brandon Ehrhart, Tesla's general counsel and corporate secretary, announced at Tesla's annual shareholder meeting.

Ehrhart also said that shareholders approved a corporate move from Delaware to Texas, and the re-election of board members James Murdoch and Kimbal Musk (Elon Musk's brother). While the official announcement was made at the shareholder meeting late in the day on Thursday, Musk revealed that the yes votes were winning in a social media post last night.

"Both Tesla shareholder resolutions are currently passing by wide margins!" Musk wrote, referring to the pay vote and the move from Delaware to Texas. His post included charts indicating that both shareholder resolutions had more than enough yes votes to surpass the "guaranteed win" threshold.

Enlarge / The standard Starlink satellite dish. (credit: Starlink)

You can now buy a Starlink satellite dish for $299 (plus shipping and tax) in 28 US states due to a discount for areas where SpaceX's broadband network has excess capacity.

Starlink had raised its upfront hardware cost from $499 to $599 in March 2022 but cut the standard price back down to $499 this week. In the 28 states where the network has what SpaceX deems excess capacity, a $200 discount is being applied to bring the price down to $299. It's unclear how long the deal will last, though we can assume the number of states eligible for $299 pricing will fall if a lot of people sign up.

"In the United States, new orders in certain regions are eligible for a one-time savings in areas where Starlink has abundant network availability," a support page posted yesterday said. "$200 will be removed from your Starlink kit price when ordering on Starlink.com and if activated after purchasing from a retailer, a $200 credit will be applied. The savings are only available for Residential Standard service in these designated regional savings areas."

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Elon Musk's X Corp. is reportedly demanding money from at least six Australians who were laid off, saying the company accidentally overpaid them. The Sydney Morning Herald reported today that "X is threatening to take some former Australian employees to court, demanding they return entitlements it claims were overpaid to them after it bungled the currency conversion from US to Australian dollars on the payments."

Emails sent this year by X's Asia Pacific human resources department to the laid-off employees said there was "a significant overpayment in error in January 2023." The alleged overpayments ranged from $1,500 to $70,000 for each employee.

So far, none of the former employees have repaid the money, The Sydney Morning Herald was told. One Australian dollar is currently worth $0.67 in US currency.

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When T-Mobile announced price hikes of up to $5 per line on older smartphone plans last month, many customers were shocked because of T-Mobile's years-old promise that their price would never rise as long as they stuck with the same plan.

"New rule: Only YOU should have the power to change what you pay," T-Mobile said in a January 2017 announcement of its "Un-contract" promise for T-Mobile One plans. "Now, T-Mobile One customers keep their price until THEY decide to change it. T-Mobile will never change the price you pay for your T-Mobile One plan."

Unfortunately, the promise wasn't as simple as T-Mobile claimed it to be in that press release. T-Mobile also published an FAQ that answered the question, "What happens if you do raise the price of my T-Mobile One service?" It explained that the only guarantee is T-Mobile will pay your final month's bill if the price goes up and you decide to cancel.

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Internet service providers are again urging the Federal Communications Commission to impose new fees on Big Tech firms and use the money to subsidize broadband network deployment and affordability programs. If approved, the request would force Big Tech firms to pay into the FCC's Universal Service Fund (USF), which in turn distributes money to broadband providers.

The request was made on June 6 by USTelecom, a lobby group for AT&T, Verizon, CenturyLink/Lumen, and smaller telcos. USTelecom has made similar arguments before, but its latest request to the FCC argues that the recent death of a broadband discount program should spur the FCC to start extracting money from Big Tech.

"Through focusing on the Big Tech companies who benefit most from broadband connectivity, the Commission will fairly allocate the burden of sustaining USF," USTelecom wrote in the FCC filing last week.

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Google has achieved its goal of avoiding a jury trial in one antitrust case after sending a $2.3 million check to the US Department of Justice. Google will face a bench trial, a trial conducted by a judge without a jury, after a ruling today that the preemptive check is big enough to cover any damages that might have been awarded by a jury.

"I am satisfied that the cashier's check satisfies any damages claim," US District Judge Leonie Brinkema said after a hearing in the Eastern District of Virginia on Friday, according to Bloomberg. "A fair reading of the expert reports does not support" a higher amount, Brinkema said.

The check was reportedly for $2,289,751. "Because the damages are no longer part of the case, Brinkema ruled a jury is no longer needed and she will oversee the trial, set to begin in September," according to Bloomberg.

Enlarge / Elon Musk speaks onstage at SXSW on March 11, 2018, in Austin, Texas. (credit: Getty Images | Diego Donamaria )

Tesla Board Chairperson Robyn Denholm urged shareholders to re-approve CEO Elon Musk's $46 billion pay package this week, saying the vote is "not about the money" while suggesting that Musk could leave Tesla or devote less time to the company if he isn't properly compensated.

"This is obviously not about the money. We all know Elon is one of the wealthiest people on the planet, and he would remain so even if Tesla were to renege on the commitment we made in 2018," Denholm wrote in a June 5 letter to shareholders.

Musk's pay plan was nullified by a Delaware Court of Chancery ruling in January 2024 after a lawsuit filed by a shareholder. The ruling said that Denholm had a "lackadaisical approach to her oversight obligations" and "derived the vast majority of her wealth from her compensation as a Tesla director." It also said most board members "were beholden to Musk or had compromising conflicts," and that the proxy information given to shareholders before the 2018 vote was "materially deficient."

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The Federal Communications Commission wants to verify that Internet service providers are strengthening their networks against attacks that take advantage of vulnerabilities in Border Gateway Protocol (BGP).

The FCC today unanimously approved a Notice of Proposed Rulemaking that would require ISPs to prepare confidential reports "detail[ing] their progress and plans for implementing BGP security measures that utilize the Resource Public Key Infrastructure (RPKI), a critical component of BGP security."

"Today, we begin a rulemaking to help make our Internet routing more secure," FCC Chairwoman Jessica Rosenworcel said. "We propose that all providers of broadband Internet access service prepare and update confidential BGP security risk management plans. These plans would describe and attest to their efforts to follow existing best practices with respect to Route Origin Authorizations and Route Origin Validation using the Resource Public Key Infrastructure. In addition, we propose quarterly reporting for the largest providers to ensure we are making progress addressing this well-known vulnerability."

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The US Justice Department and Federal Trade Commission reportedly plan investigations into whether Nvidia, Microsoft, and OpenAI are snuffing out competition in artificial intelligence technology.

The agencies struck a deal on how to divide up the investigations, The New York Times reported yesterday. Under this deal, the Justice Department will take the lead role in investigating Nvidia's behavior while the FTC will take the lead in investigating Microsoft and OpenAI.

The agencies' agreement "allows them to proceed with antitrust investigations into the dominant roles that Microsoft, OpenAI, and Nvidia play in the artificial intelligence industry, in the strongest sign of how regulatory scrutiny into the powerful technology has escalated," the NYT wrote.

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T-Mobile is hoping that home Internet customers who suffer from frequent service outages will pay $30 a month for a "backup" 5G plan. T-Mobile's new "Home Internet Backup," announced today, is intended to be used only when a user's primary home Internet service goes down.

One big drawback is that T-Mobile clearly intends for customers to subscribe to the $30 monthly plan indefinitely, even though a user likely wouldn't need it during some months and might need it for just a day or two in other months. The pricing terms make it so that canceling and resubscribing as needed is not feasible.

T-Mobile said the plan provides 130GB of 5G data each month, "enough to keep a typical household connected with Wi-Fi for up to seven days a month when their primary internet service goes down." After 130GB, speeds will be reduced to "up to" 600kbps.

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Canada has ordered large online streaming services to pay 5 percent of their Canadian revenue to the government in a program expected to raise $200 million per year to support local news and other home-grown content. The Canadian Radio-television and Telecommunications Commission (CRTC) announced its decision yesterday after a public comment period.

"Based on the public record, the CRTC is requiring online streaming services to contribute 5 percent of their Canadian revenues to support the Canadian broadcasting system. These obligations will start in the 2024–2025 broadcast year and will provide an estimated $200 million per year in new funding," the regulator said.

The fees apply to both video and music streaming services. The CRTC imposed the rules despite opposition from Amazon, Apple, Disney, Google, Netflix, Paramount, and Spotify.