You Can’t Read the TPP, But These Huge Corporations Can

The Senate today is holding a key procedural vote that would allow the Trans-Pacific Partnership to be “fast-tracked.”

So who can read the text of the TPP? Not you, it’s classified. Even members of Congress can only look at it one section at a time in the Capitol’s basement, without most of their staff or the ability to keep notes.

But there’s an exception: if you’re part of one of 28 U.S. government-appointed trade advisory committees providing advice to the U.S. negotiators. The committees with the most access to what’s going on in the negotiations are 16 “Industry Trade Advisory Committees,” whose members include AT&T, General Electric, Apple, Dow Chemical, Nike, Walmart and the American Petroleum Institute.

The TPP is an international trade agreement currently being negotiated between the US and 11 other countries, including Japan, Australia, Chile, Singapore and Malaysia. Among other things, it could could strengthen copyright laws, limit efforts at food safety reform and allow domestic policies to be contested by corporations in an international court. Its impact is expected to be sweeping, yet venues for public input hardly exist.

Industry Trade Advisory Committees, or ITACs, are cousins to Federal Advisory Committees like the National Petroleum Council that I wrote about recently. However, ITACs are functionally exempt from many of the transparency rules that generally govern Federal Advisory Committees, and their communications are largely shielded from FOIA in order to protect “third party commercial and/or financial information from disclosure.” And even if for some reason they wanted to tell someone what they’re doing, members must sign non-disclosure agreements so they can’t “compromise” government negotiating goals. Finally, they also escape requirements to balance their industry members with representatives from public interest groups.

The result is that the Energy and Energy Services committee includes the National Mining Association and America’s Natural Gas Alliance but only one representative from a company dedicated to less-polluting wind and solar energy.

The Information and Communications Technologies, Services, and Electronic Commerce committee includes representatives from Verizon and AT&T Services Inc. (a subsidiary of AT&T), which domestically are still pushing hard against new net neutrality rules that stop internet providers from creating more expensive online fast-lanes.

And the Intellectual Property Rights committee includes the Recording Industry Association of America, the Pharmaceutical Research and Manufacturers of America, Apple, Johnson and Johnson and Yahoo, rather than groups like the Electronic Frontier Foundation, which shares the industry’s expertise in intellectual property policy but has an agenda less aligned with business.

Link (The Intercept)

Apple Trying To Kill Off Spotify’s Free Tier; DOJ Now Investigating For Antitrust

Remember a few years ago when Apple got in trouble for conspiring with book publishers to raise ebook prices to hurt Amazon and the public? Apparently the company hasn’t learned very much. Today comes a report from the Verge, claiming that the DOJ is now investigating Apple for conspiring with the major record labels to get them to kill off Spotify’s free tier, in an effort to better promote its own Beats Music service, which has no free tier.

Apple has been using its considerable power in the music industry to stop the music labels from renewing Spotify’s license to stream music through its free tier. Spotify currently has 60 million listeners, but only 15 million of them are paid users. Getting the music labels to kill the freemium tiers from Spotify and others could put Apple in prime position to grab a large swath of new users when it launches its own streaming service, which is widely expected to feature a considerable amount of exclusive content. “All the way up to Tim Cook, these guys are cutthroat,” one music industry source said.

And it’s not just Spotify. Apparently, Apple was trying to get labels to pull music from YouTube too:

Sources also indicated that Apple offered to pay YouTube’s music licensing fee to Universal Music Group if the label stopped allowing its songs on YouTube. Apple is seemingly trying to clear a path before its streaming service launches, which is expected to debut at WWDC in June. If Apple convinces the labels to stop licensing freemium services from Spotify and YouTube, it could take out a significant portion of business from its two largest music competitors.

Link (Techdirt)

Agency Overseeing Obama Trade Deals Filled With Former Trade Lobbyists

The Office of the United States Trade Representative, the agency responsible for negotiating two massive upcoming trade deals, is being led by former lobbyists for corporations that stand to benefit from the deals, according to disclosure forms obtained by The Intercept.

The Trans-Pacific Partnership (TPP) is a proposed free trade accord between the U.S. and 11 Pacific Rim countries; the Transatlantic Trade and Investment Partnership (TTIP) is a similar agreement between the U.S. and the E.U.

The Obama administration is pushing hard to complete both deals, which it says will increase U.S. trade opportunities. Critics say the deals will provide corporate interests with sweeping powers to challenge banking and environmental regulations.

Here is information on three major figures in the Trade Representative’s office, gleaned from their disclosure forms:

— Sharon Bomer Lauritsen, the assistant U.S. trade representative for agricultural affairs, recently lobbied for the Biotechnology Industry Organization, a trade group for biotech companies. Lauritsen’s financial disclosure form shows she made $320,193 working to influence “state, federal and international governments” on biotech patent and intellectual property issues. She worked for BIO as an executive vice president through April of 2011, before joining the Trade Representative office.

— Christopher Wilson, the deputy chief of mission to the World Trade Organization, recently worked for C&M International, a trade consulting group, where he represented Chevron, the Biotechnology Industry Organization, British American Tobacco, General Electric, Apple and other corporate interests. Wilson’s financial disclosure shows he made $250,000 a year, in addition to an $80,000 bonus in 2013, before he joined the Obama administration. Wilson left C&M International in February of 2014 and later joined the Trade Representative’s office. C&M International reportedly lobbied Malaysia, urging it to oppose tobacco regulations in Australia.

— Robert Holleyman, the deputy United States trade representative, previously worked as the president of the Business Software Alliance, a lobbying group that represents IBM, Microsoft, Adobe, Apple and other technology companies seeking to strengthen copyright law. Holleyman earned $1,141,228 at BSA before his appointment. Holleyman was nominated for his current position in February of last year.

Link (The Intercept)

Dangerously Underpowered NSA Begging Legislators For Permission To Go To Cyberwar

NSA director Mike Rogers testified in front of a Senate committee this week, lamenting that the poor ol’ NSA just doesn’t have the “cyber-offensive” capabilities (read: the ability to hack people) it needs to adequately defend the US. How cyber-attacking countries will help cyber-defense is anybody’s guess, but the idea that the NSA is somehow hamstrung is absurd.

Yes, we (or rather, our representatives) are expected to believe the NSA is just barely getting by when it comes to cyber-capabilities. Somehow, backdoors in phone SIM cards, backdoors in networking hardware, backdoors in hard drives, compromised encryption standards, collection points on internet backbones, the cooperation of national security agencies around the world, stealth deployment of malicious spyware, the phone records of pretty much every American, access to major tech company data centers, an arsenal of purchased software and hardware exploits, various odds and ends yet to be disclosed and the full support of the last two administrations just isn’t enough. Now, it wants the blessing of lawmakers to do even more than it already does. Which is quite a bit, actually.

The NSA runs sophisticated hacking operations all over the world. A Washington Post report showed that the NSA carried out 231 “offensive” operations in 2011 – and that number has surely grown since then. That report also revealed that the NSA runs a $652m project that has infected tens of thousands of computers with malware.

That was four years ago — a lifetime when it comes to an agency with the capabilities the NSA possesses. Anyone who believes the current numbers are lower is probably lobbying increased power. And they don’t believe it. They’d just act like they do.

Link (Techdirt)

Judicial Committee Gives FBI The First OK It Needs To Hack Any Computer, Anywhere On The Planet

A judicial advisory panel Monday quietly approved a rule change that will broaden the FBI’s hacking authority despite fears raised by Google that the amended language represents a “monumental” constitutional concern.

The Judicial Conference Advisory Committee on Criminal Rules voted 11-1 to modify an arcane federal rule to allow judges more flexibility in how they approve search warrants for electronic data, according to a Justice Department spokesman.

Link (Techdirt)

France To Require Internet Companies To Detect ‘Suspicious’ Behavior Automatically, And To Decrypt Communications On Demand

[the proposed law] wants to force intermediaries to “detect, using automatic processing, suspicious flows of connection data”. Internet service providers as well as platforms like Google, Facebook, Apple and Twitter would themselves have to identify suspicious behavior, according to instructions they have received, and pass the results to investigators. The text does not specify, but this could mean frequent connections to monitored pages.

As well as being extremely vague, none of this “automatic detection” will require a warrant, which means that the scope for abuse and errors will be huge. And then there’s this:

the Intelligence bill also addresses the obligations placed on operators and platforms “concerning the decryption of data.” More than ever, France is keen to have the [encryption] keys necessary to read intercepted conversations, even if they are protected.

As we’ve noted before, there is a global push to demonize encryption by presenting it as a “dark place” where bad people can safely hide. What’s particularly worrying is that the measures propposed by France are easy to circumvent using client-side encryption. The fear has to be that once the French government realizes that fact, it will then seek to control or ban this form too.

Link (Techdirt)

A gold Macbook with just ONE USB port? Apple, you’re DRUNK

It’s not often I find an article by Andrew Orlowski that I can agree on

Now compare this to the Watch and the Netbook – ooops, sorry, I meant the new MacBook.

The new laptop continues to “push the envelope” for size and weight, but it comes with some very familiar compromises. The low power chip is a giveaway (and considering the Air and MacBook Pro offer outstanding performance for the same money).

Removing all but a headphone jack and a single USB Type-C port is the real compromise. The Type-C replaces the MagSafe power socket – so you can’t plug in a USB mouse and charge the computer at the same time. To do that, you’ll need a $79 adapter. You’ll need that to use your current accessories while charging.

And if you use VGA and HDMI monitors you’ll need both VGA and HDMI flavours of adapter. You’ll also need adapters for things you didn’t realise you needed. There’s no SD card slot on the machine, so budget for one of those. And probably a hub.

Did Apple really need to throw out a dedicated power socket? It’s pretty fundamental. It’s even more fundamental a couple of years down the line, when the battery holds a fraction of its original charge.

Link (The Register)

The CIA Campaign to Steal Apple’s Secrets

RESEARCHERS WORKING with the Central Intelligence Agency have conducted a multi-year, sustained effort to break the security of Apple’s iPhones and iPads, according to top-secret documents obtained by The Intercept.

The security researchers presented their latest tactics and achievements at a secret annual gathering, called the “Jamboree,” where attendees discussed strategies for exploiting security flaws in household and commercial electronics. The conferences have spanned nearly a decade, with the first CIA-sponsored meeting taking place a year before the first iPhone was released.

By targeting essential security keys used to encrypt data stored on Apple’s devices, the researchers have sought to thwart the company’s attempts to provide mobile security to hundreds of millions of Apple customers across the globe. Studying both “physical” and “non-invasive” techniques, U.S. government-sponsored research has been aimed at discovering ways to decrypt and ultimately penetrate Apple’s encrypted firmware. This could enable spies to plant malicious code on Apple devices and seek out potential vulnerabilities in other parts of the iPhone and iPad currently masked by encryption.

The CIA declined to comment for this story.

The security researchers also claimed they had created a modified version of Apple’s proprietary software development tool, Xcode, which could sneak surveillance backdoors into any apps or programs created using the tool. Xcode, which is distributed by Apple to hundreds of thousands of developers, is used to create apps that are sold through Apple’s App Store.

The modified version of Xcode, the researchers claimed, could enable spies to steal passwords and grab messages on infected devices. Researchers also claimed the modified Xcode could “force all iOS applications to send embedded data to a listening post.” It remains unclear how intelligence agencies would get developers to use the poisoned version of Xcode.

Researchers also claimed they had successfully modified the OS X updater, a program used to deliver updates to laptop and desktop computers, to install a “keylogger.”

Link (The Intercept)

Paypal Cuts Off Mega Because It Actually Keeps Your Files Secret

The world could really need a credible alternative to PayPal

There are way too many stories of Paypal unfairly and ridiculously cutting off services that rely on it as a payment mechanism, but here’s yet another one. Mega, the cloud storage provider that is perhaps well-known for being Kim Dotcom’s “comeback” act after the US government shut down Megaupload, has had its Paypal account cut off. The company claims that Paypal was pressured by Visa and Mastercard to cut it off:

Visa and MasterCard then pressured PayPal to cease providing payment services to MEGA.

MEGA provided extensive statistics and other evidence showing that MEGA’s business is legitimate and legally compliant. After discussions that appeared to satisfy PayPal’s queries, MEGA authorised PayPal to share that material with Visa and MasterCard. Eventually PayPal made a non-negotiable decision to immediately terminate services to MEGA. PayPal has apologised for this situation and confirmed that MEGA management are upstanding and acting in good faith. PayPal acknowledged that the business is legitimate, but advised that a key concern was that MEGA has a unique model with its end-to-end encryption which leads to “unknowability of what is on the platform”.

MEGA has demonstrated that it is as compliant with its legal obligations as USA cloud storage services operated by Google, Microsoft, Apple, Dropbox, Box, Spideroak etc, but PayPal has advised that MEGA’s “unique encryption model” presents an insurmountable difficulty.

Link (Techdirt)

Internet Industry Now Considers The Intelligence Community An Adversary, Not A Partner

In an interview last month, Timothy D. Cook, Apple’s chief executive, said the N.S.A. “would have to cart us out in a box” before the company would provide the government a back door to its products. Apple recently began encrypting phones and tablets using a scheme that would force the government to go directly to the user for their information. And intelligence agencies are bracing for another wave of encryption.

In fact, it seems noteworthy that this whole issue of increasing encryption by the tech companies to keep everyone out has been left off the official summit schedule. As the NY Times notes, Silicon Valley seems to be pretty much completely fed up with the intelligence community after multiple Snowden revelations revealed just how far the NSA had gone in trying to “collect it all” — including hacking into the foreign data centers of Google and Yahoo. And, on top of that, the NSA’s efforts to buy up zero day vulnerabilities before companies can find out and patch them:

“What has struck me is the enormous degree of hostility between Silicon Valley and the government,” said Herb Lin, who spent 20 years working on cyberissues at the National Academy of Sciences before moving to Stanford several months ago. “The relationship has been poisoned, and it’s not going to recover anytime soon.”

Link (Techdirt)