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Social Networks

Online 'Information War' in Africa Rages on Social Media (yahoo.com) 46

The Washington Post tells the story of a veteran political operative and a former army intelligence officer hired to help keep in power the president of the west African nation Burkina Faso: Their company, Percepto International, was a pioneer in what's known as the disinformation-for-hire business. They were skilled in deceptive tricks of social media, reeling people into an online world comprised of fake journalists, news outlets and everyday citizens whose posts were intended to bolster support for [president Roch Marc] Kaboré's government and undercut its critics. But as Percepto began to survey the online landscape across Burkina Faso and the surrounding French-speaking Sahel region of Africa in 2021, they quickly saw that the local political adversaries and Islamic extremists they had been hired to combat were not Kaboré's biggest adversary. The real threat, they concluded, came from Russia, which was running what appeared to be a wide-ranging disinformation campaign aimed at destabilizing Burkina Faso and other democratically-elected governments on its borders.

Pro-Russian fake news sites populated YouTube and pro-Russian groups abounded on Facebook. Local influencers used WhatsApp and Telegram groups to organize pro-Russian demonstrations and praise Russian President Vladimir Putin. Facebook fan pages even hailed the Wagner Group, the Russian paramilitary network run by Yevgeniy Prigozhin, the late one-time Putin ally whose Internet Research Agency launched a disinformation campaign in the United States to influence the 2016 presidential election... Percepto didn't know the full scope of the operation it had uncovered but it warned Kaboré's government that it needed to move fast: Launch a counteroffensive online — or risk getting pushed out in a coup.

Three years later, the governments of five former French colonies, including Burkina Faso, have been toppled. The new leaders of two of those countries, Mali and Burkina Faso, are overtly pro-Russian; in a third, Niger, the prime minister installed after a July coup has met recently with the Russian ambassador. In Mali and the Central African Republic, French troops have been replaced with Wagner mercenaries...

Percepto's experience in French-speaking Africa offers a rare window into the round-the-clock information warfare that is shaping international politics — and the booming business of disinformation-for-hire. Meta, the social media company that operates Facebook, Instagram and WhatsApp, says that since 2017 it has detected more than 200 clandestine influence operations, many of them mercenary campaigns, in 68 countries.

The article also makes an interesting point. "The burden of battling disinformation has fallen entirely on Silicon Valley companies."
Bitcoin

Inside a $30 Million Cash-for-Bitcoin Laundering Ring In New York (404media.co) 34

404 Media (working with Court Watch) reports on a $30 Million cash-for-Bitcoin laundering ring operating in the heart of New York For years, a gang operating in New York allegedly offered a cash-for-Bitcoin service that generated at least $30 million, with men standing on street corners with plastic shopping bags full of money, drive-by pickups, and hundreds of thousands of dollars laid out on tables, according to court records.

The records provide rare insight into an often unseen part of the criminal underworld: how hackers and drug traffickers convert their Bitcoin into cash outside of the online Bitcoin exchanges that ordinary people use. Rather than turning to sites like Coinbase, which often collaborate with and provide records to law enforcement if required, some criminals use underground, in-real-life Bitcoin exchanges like this gang which are allegedly criminal entities in their own right.

In a long spanning investigation by the FBI involving a confidential source and undercover agents, one member of the crew said "that at least some of his clients made money by selling drugs, that his wealthiest clients were hackers, and that he had made approximately $30 million over the prior three years through the exchange of cash for virtual currency," the court records read.

Thanks to user Slash_Account_Dot for sharing the news.
Crime

Scammers Try Hosting Their Malware on a Binance Network (krebsonsecurity.com) 21

Breached web sites distribute malware to visitors by claiming they need to update their browser. But one group of attackers "have developed an ingenious way of keeping their malware from being taken down by security experts or law enforcement," reports security researcher Brian Krebs.

"By hosting the malicious files on a decentralized, anonymous cryptocurrency blockchain." [W]hen Cloudflare blocked those accounts the attackers began storing their malicious files as cryptocurrency transactions in the Binance Smart Chain (BSC), a technology designed to run decentralized apps and "smart contracts," or coded agreements that execute actions automatically when certain conditions are met. Nati Tal, head of security at Guardio Labs, the research unit at Tel Aviv-based security firm Guardio, said the malicious scripts stitched into hacked WordPress sites will create a new smart contract on the BSC Blockchain, starting with a unique, attacker-controlled blockchain address and a set of instructions that defines the contract's functions and structure. When that contract is queried by a compromised website, it will return an obfuscated and malicious payload.

"These contracts offer innovative ways to build applications and processes," Tal wrote along with his Guardio colleague Oleg Zaytsev. "Due to the publicly accessible and unchangeable nature of the blockchain, code can be hosted 'on-chain' without the ability for a takedown." Tal said hosting malicious files on the Binance Smart Chain is ideal for attackers because retrieving the malicious contract is a cost-free operation that was originally designed for the purpose of debugging contract execution issues without any real-world impact. "So you get a free, untracked, and robust way to get your data (the malicious payload) without leaving traces," Tal said.

In response to questions from KrebsOnSecurity, the BNB Smart Chain (BSC) said its team is aware of the malware abusing its blockchain, and is actively addressing the issue. The company said all addresses associated with the spread of the malware have been blacklisted, and that its technicians had developed a model to detect future smart contracts that use similar methods to host malicious scripts. "This model is designed to proactively identify and mitigate potential threats before they can cause harm," BNB Smart Chain wrote. "The team is committed to ongoing monitoring of addresses that are involved in spreading malware scripts on the BSC. To enhance their efforts, the tech team is working on linking identified addresses that spread malicious scripts to centralized KYC [Know Your Customer] information, when possible."

The Courts

Supreme Court Blocks Restrictions On Biden Administration Efforts To Get Platforms To Remove Social Media Posts (nbcnews.com) 148

An anonymous reader quotes a report from NBC News: The Supreme Court on Friday blocked in full a lower court ruling that would have curbed the Biden administration's ability to communicate with social media companies about contentious content on such issues as Covid-19. The decision in a short unsigned order (PDF) puts on hold a Louisiana-based judge's ruling in July that specific agencies and officials should be barred from meeting with companies to discuss whether certain content should be stifled. The Supreme Court also agreed to immediately take up the government's appeal, meaning it will hear arguments and issue a ruling on the merits in its current term, which runs until the end of June. Three conservative justices noted that they would have denied the application: Samuel Alito, Clarence Thomas and Neil Gorsuch.

"At this time in the history of our country, what the court has done, I fear, will be seen by some as giving the government a green light to use heavy-handed tactics to skew the presentation of views on the medium that increasingly dominates the dissemination of news. That is most unfortunate," Alito wrote in a dissenting opinion. GOP attorneys general in Louisiana and Missouri, along with five social media users, filed the underlying lawsuit, alleging that U.S. government officials went too far in what they characterize as coercion of social media companies to address posts, especially those related to Covid-19. The individual plaintiffs include Covid-19 lockdown opponents and Jim Hoft, the owner of the right-wing website Gateway Pundit. They claim that the government's actions violated free speech protections under the Constitution's First Amendment.

The Courts

Frying Pan Company Sued for Claiming Temperatures That Rival the Sun (theverge.com) 124

Can you heat up a pan to 30,000 degrees Fahrenheit? That's the burning question at the center of this proposed class action lawsuit, which claims the advertising for SharkNinja's nonstick cookware violates the laws of physics and thermodynamics. From a report: While SharkNinja is the company best known for its Shark robovacs and Ninja kitchen gadget, this lawsuit takes issue with the Ninja NeverStick Premium Cookware collection, a line of pots and pans it advertises as having superior nonsticking and nonflaking qualities thanks to its manufacturing process.

Instead of making its pans at a measly 900-degree temperature that other brands use, SharkNinja says it heats up the cookware to a maximum of 30,000 degrees Fahrenheit. That process, according to SharkNinja, fuses "plasma ceramic particles" to the surface of the pan, "creating a super-hard, textured surface that interlocks with our exclusive coating for a superior bond." But Patricia Brown, the person who filed this lawsuit, isn't buying it. As cited in Brown's lawsuit, NASA recently said the "surface of the Sun is a blisteringly hot 10,340 degrees Fahrenheit," meaning SharkNinja's manufacturing process reaches about three times that temperature.

Privacy

Telegram is Still Leaking User IP Addresses To Contacts (techcrunch.com) 18

The popular messaging app Telegram can leak your IP address if you simply add a hacker to your contacts and accept a phone call from them. From a report: Denis Simonov, a security researcher, who is also known as n0a, recently highlighted the issue and wrote a simple tool to exploit it. TechCrunch verified the researcher's findings by adding Simonov to the contacts of a newly created Telegram account. Simonov then called the account, and shortly after provided TechCrunch with the IP address of the computer where the experiment was being carried out.

Telegram boasts 700 million users all over the world, and has always marketed itself as a "secure" and "private" messaging app, even though experts have repeatedly warned that Telegram is not as secure as end-to-end encrypted app Signal, for example. The fact that Telegram leaks your IP address to people in your contacts during a voice call has been known for years, but it's likely that new, less technical users may not be aware.

Crime

Indian Authorities Raid Fake Tech Support Rings After Tipoff From Amazon and Microsoft (theregister.com) 25

Acting on information from Microsoft and Amazon, India's Central Bureau of Investigation (CBI) has raided alleged fake tech support operators and other tech-related crims across the country. From a report: The Bureau shared news of a Thursday operation that saw it conduct 76 searches in relation to five cases. The Bureau stated its effort "was conducted in collaboration with national and international agencies, alongside private sector giants," and described two of its targets as international tech support fraud scams that "impersonated a global IT major and a multinational corporation with an online technology-driven trading platform."

The alleged scammers operated call centers in five regions of India and "systematically preyed on foreign nationals, masquerading as technical support representatives" for at least five years. The scammers sent users pop-up messages that appeared to come from multinational companies and advised of PC problems -- with a toll-free number at which assistance could be had. Victims who called the fakers had their PCs taken over, and were charged hundreds of dollars for a fix.

Bitcoin

SEC Drops Claims Against Two Ripple Labs Execs (reuters.com) 4

An anonymous reader quotes a report from Reuters: The U.S. Securities and Exchange Commission dropped claims against two Ripple Labs executives in its lawsuit alleging the blockchain company violated U.S. securities law, according to a court filing in New York on Thursday. The agency said in court papers it is dropping claims that Ripple Chief Executive Brad Garlinghouse and co-founder Chris Larsen aided and abetted sales of the cryptocurrency XRP which a judge has found amounted to unregistered sales of securities.

In its December 2020 lawsuit, the SEC accused Ripple of illegally raising more than $1.3 billion in an unregistered securities offering by selling XRP. U.S. District Judge Analisa Torres in Manhattan granted Ripple a partial win in the case in July, finding that sales of XRP on public exchanges were not unregistered securities offerings. Torres subsequently rejected a request by the SEC to appeal that ruling. She also ruled partly in the SEC's favor, saying the agency had shown the company's $728.9 million of XRP sales to hedge funds and other sophisticated buyers had violated the law.

Garlinghouse and Larsen, who have harshly criticized the SEC throughout the case, issued lengthy statements accusing the agency of a political agenda to, in Larsen's words, "suffocate crypto in America." "Instead of looking for the criminals stealing customer funds on offshore exchanges that were courting political favor, the SEC went after the good guys," Garlinghouse said, an apparent reference to Sam Bankman-Fried, founder of crypto exchange FTX. The agency said in its papers that the next step in the case is for both sides to present to the judge on what the appropriate penalty is for Ripple.

Privacy

Casio Keyed Up After Data Loss Hits Customers In 149 Countries (theregister.com) 27

Jessica Lyons Hardcastle reports via The Register: Japanese electronics giant Casio said miscreants broke into its ClassPad server and stole a database with personal information belonging to customers in 149 countries. ClassPad is Casio's education web app, and in a Wednesday statement on its website, the firm said an intruder breached a ClassPad server and swiped hundreds of thousands of "items" belonging to individuals and organizations around the globe. As of October 18, the crooks accessed 91,921 items belonging to Japanese customers, including individuals and 1,108 educational institution customers, as well as 35,049 items belonging to customers from 148 other countries. If Casio finds additional customers were compromised, it promises to update this count.

The data included customers' names, email addresses, country of residence, purchasing info including order details, payment method and license code, and service usage info including log data and nicknames. Casio noted that it doesn't not retain customers' credit card information, so presumably people's banking info wasn't compromised in the hack. An employee discovered the incident on October 11 while attempting to work in the corporate dev environment and spotted the database failure. "At this time, it has been confirmed that some of the network security settings in the development environment were disabled due to an operational error of the system by the department in charge and insufficient operational management," the official notice said. "Casio believes these were the causes of the situation that allowed an external party to gain unauthorized access." The intruder didn't access the ClassPad.net app, according to Casio, so that is still available for use.

Privacy

CFPB Moves To Bar Financial Firms From 'Hoarding' a Consumer's Data (politico.com) 9

An anonymous reader quotes a report from Politico: The Consumer Financial Protection Bureau on Thursday released a landmark proposal restricting how financial institutions handle consumer data. [...] The proposed rule -- which faces months of feedback and lobbying from industry and consumer groups before it's approved -- would bar financial firms from "hoarding" a consumer's data, the agency said. It would require companies to share information, at a customer's request, with other businesses offering competing products and prevent them from charging for it.

Banks would be required to make personal financial data available to consumers free of charge, and companies that access a person's data would not be able to use it for targeted advertising. Access to a person's data would have to be reauthorized annually, and consumers would have the right to revoke access at any time. The proposal, which implements Section 1033 of the 2010 Dodd-Frank law, also "seeks to move the market away from risky data collection practices" such as screen scraping, the CFPB said.
"It is often really daunting for a consumer to switch banks, in part because it's difficult to take their financial transaction history data to a new bank," White House National Economic Council Director Lael Brainard said on a call with reporters. "Today's rule will help ensure financial companies compete based on service quality and pricing."
The Courts

New York Sues Crypto Firms For Losing Over $1 Billion (theverge.com) 50

New York Attorney General Letitia James is suing three cryptocurrency companies -- Gemini, Genesis, and Digital Currency Group (DCG) -- over claims they misled investors, leading to the loss of over $1 billion. From a report: In a lawsuit filed on Thursday, James says their alleged fraudulent schemes affected over 230,000 investors. The lawsuit targets Gemini, the crypto exchange owned by Cameron and Tyler Winklevoss, and its Earn program. The firm marketed Gemini Earn as a high-yield program that involved customers investing with Genesis Global Capital, which is owned by DCG. However, James alleges that Gemini knew investing with Genesis was risky and misled customers as a result.
The Courts

Universal Music Sues AI Startup Anthropic For Scraping Song Lyrics (arstechnica.com) 32

Universal Music has filed a copyright infringement lawsuit against artificial intelligence start-up Anthropic, as the world's largest music group battles against chatbots that churn out its artists' lyrics. From a report: Universal and two other music companies allege that Anthropic scrapes their songs without permission and uses them to generate "identical or nearly identical copies of those lyrics" via Claude, its rival to ChatGPT. When Claude is asked for lyrics to the song "I Will Survive" by Gloria Gaynor, for example, it responds with "a nearly word-for-word copy of those lyrics," Universal, Concord, and ABKCO said in a filing with a US court in Nashville, Tennessee.

"This copyrighted material is not free for the taking simply because it can be found on the Internet," the music companies said, while claiming that Anthropic had "never even attempted" to license their copyrighted work. The lawsuit comes as the music industry is grappling with the rise of AI technology that can produce "deepfake" songs that mimic the voices, lyrics, or sound of established musicians. The issue drew attention earlier this year after an AI-produced song that mimicked the voices of Drake and The Weeknd spread online.

Your Rights Online

FCC Moves Ahead With Title II Net Neutrality Rules in 3-2 Party-Line Vote (arstechnica.com) 68

The U.S. FCC voted Thursday to advance a proposal to reinstate landmark net neutrality rules and assume new regulatory oversight of broadband internet that was rescinded under former President Donald Trump. From a report: In a 3-2 party-line vote, the FCC approved Chairwoman Jessica Rosenworcel's Notice of Proposed Rulemaking (NPRM), which seeks public comment on the broadband regulation plan. The comment period will officially open after the proposal is published in the Federal Register, but the docket is already active and can be found here. The proposal would reclassify broadband as a telecommunications service, a designation that allows the FCC to regulate ISPs under the common-carrier provisions in Title II of the Communications Act. The plan is essentially the same as what the FCC did in 2015 when it used Title II to prohibit fixed and mobile Internet providers from blocking or throttling traffic or giving priority to Web services in exchange for payment.

The Obama-era net neutrality rules were eliminated during Trump's presidency when then-Chairman Ajit Pai led a repeal that reclassified broadband as an information service, returning it to the less strict regulatory regime of Title I. The current FCC likely would have acted much sooner but there was a 2-2 deadlock until last month when the Senate confirmed Biden nominee Anna Gomez to fill the empty spot. After the comment period, the FCC is likely to finalize the rulemaking and put the 2015 rules back in place. The broadband industry will likely then sue the FCC in an attempt to nullify the rulemaking.

Privacy

Hacker Leaks Millions More 23andMe User Records On Cybercrime Forum (techcrunch.com) 20

An anonymous reader quotes a report from TechCrunch: The same hacker who leaked a trove of user data stolen from the genetic testing company 23andMe two weeks ago has now leaked millions of new user records. On Tuesday, a hacker who goes by Golem published a new dataset of 23andMe user information containing records of four million users on the known cybercrime forum BreachForums. TechCrunch has found that some of the newly leaked stolen data matches known and public 23andMe user and genetic information. Golem claimed the dataset contains information on people who come from Great Britain, including data from "the wealthiest people living in the U.S. and Western Europe on this list."

On October 6, 23andMe announced that hackers had obtained some user data, claiming that to amass the stolen data the hackers used credential stuffing -- a common technique where hackers try combinations of usernames or emails and corresponding passwords that are already public from other data breaches. In response to the incident, 23andMe prompted users to change their passwords and encouraged switching on multi-factor authentication. On its official page addressing the incident, 23andMe said it has launched an investigation with help from "third-party forensic experts." 23andMe blamed the incident on its customers for reusing passwords, and an opt-in feature called DNA Relatives, which allows users to see the data of other opted-in users whose genetic data matches theirs. If a user had this feature turned on, in theory it would allow hackers to scrape data on more than one user by breaking into a single user's account.

Piracy

Private Torrent Tracker FileList to Shut Down After 16 Years (torrentfreak.com) 9

One of the world's largest private BitTorrent trackers, Filelist, has announced it will shut down soon. The site has been in operation for sixteen years and enjoys millions of monthly visits, mostly from Romania. Site admin EboLLa has chosen to devote time to other parts of life and without a trusted successor, it's best to close the doors. TorrentFreak reports: Many private trackers have come and gone over the years. The Romanian-based tracker FileList.io is one of the bigger ones to survive, although it came close to shutting down a few years ago when Romanian authorities seized its domain name. The enforcement action was a wake-up call for both staff and users of the members-only tracker, but it didn't mark the end of the road. FileList simply switched from the seized .ro domain to an .io version and with the database unscathed, it kept on going. According to recent traffic stats from SimilarWeb, the tracker hasn't lost its appeal. With an estimated average of roughly six million monthly visits, the site continues to draw a massive audience. That, however, is about to change.

A few hours ago, FileList sysop "EboLLa" informed the site's members that the doors will permanently close in a few weeks. This isn't the result of legal pressure; it's a conscious and well-evaluated life choice. "Unfortunately, I no longer have the time to run the site. A site like this requires quite a lot of commitment and my priorities in everyday life have changed in recent years. Time is the most precious resource for all of us and I have invested enough time here," the operator writes. The decision was a difficult one. FileList's operator long considered handing the reigns to a successor, but that is easier said than done, especially after the dream candidate was no longer an option.

"I don't have anyone to leave it to. ToXiC, the one who was going to take my place is no longer with us," EboLLa writes. [...] "It is quite difficult to find a person who is integrated here and shares the same values and has the same dedication that you have enjoyed for the last 16 years. I decided that the best thing to do is to close the site rather than risk something like this." "During this time you can still enjoy the site, download what you need from here and post your goodbye message in the thread. After ~3 months, sometime around January 2024, the site will be closed permanently," EboLLa concludes.

Government

IRS Will Pilot Free, Direct Tax Filing In 2024 (techcrunch.com) 88

An anonymous reader quotes a report from TechCrunch: The IRS will test a free tax filing service in 2024 for a subset of lucky taxpayers in as many as 13 states, the agency announced today. Direct File, as the service is called, is a shot across the bows of Turbotax, H&R Block, and other paid tax prep services, whose owners have resisted free and simple tax filing for decades. "This is a critical step forward for this innovative effort that will test the feasibility of providing taxpayers a new option to file their returns for free directly with the IRS," said IRS Commissioner Danny Werfel in a press release announcing the news.

Over the last year and a half, the IRS has been building out the pilot program, which it characterizes as being "one more potential option" on the continuum from self-managed Free File, to commercial products like Turbotax, to a tax prep professional. The IRS describes Direct File as "a mobile-friendly, interview-based service" available in English and Spanish, intended for people with simpler tax situations like W-2s and common income credits and deductions. Whether the interviews are with actual people or some kind of automated or semi-automated process is unclear. But this, like many of its specifics, will likely change as the agency receives feedback from this limited scale pilot.

Arizona, California, Massachusetts, and New York are the four states that are integrating with Direct File for 2024 (i.e. the 2023 tax year); Alaska, Florida, New Hampshire, Nevada, South Dakota, Tennessee, Texas, Washington and Wyoming "may also be eligible," due to not having state income tax, but it is not final. Every state was given the opportunity to participate in the Direct File program, but not all were "in a position to join." Among the residents of these states, a limited number of individuals with "relatively simple returns" will have the opportunity to try Direct File. This will in turn "allow the IRS to evaluate the costs, benefits and operational challenges associated with providing a voluntary Direct File option to taxpayers." In software terms, we'd probably call this an alpha.

The Internet

Meta Will Now Let You Stop Instagram From Tracking You Across the Web (theverge.com) 9

Meta will now let you block Instagram from collecting your data across the apps and websites you visit. From a report: The company says that it's expanding the ability to disable this kind of tracking to Instagram, allowing you to review which businesses are sharing information with Meta, disconnect specific activity, or clear the collected information. You can now find this feature, called Activity Off-Meta Technologies, within the platform's Accounts Center. It was previously only available for Facebook. Meta receives information from third-party websites that use its business tools, such as the Meta Pixel, which tracks users on the web and allows Meta to serve personalized ads on its platforms.
Crime

Tech CEO Sentenced To 5 Years in IP Address Scheme (krebsonsecurity.com) 58

Amir Golestan, the 40-year-old CEO of the Charleston, S.C. based technology company Micfo, has been sentenced to five years in prison for wire fraud. From a report: Golestan's sentencing comes nearly two years after he pleaded guilty to using an elaborate network of phony companies to secure more than 735,000 Internet Protocol (IP) addresses from the American Registry for Internet Numbers (ARIN), the nonprofit which oversees IP addresses assigned to entities in the U.S., Canada, and parts of the Caribbean.

In 2018, ARIN sued Golestan and Micfo, alleging they had obtained hundreds of thousands of IP addresses under false pretenses. ARIN and Micfo settled that dispute in arbitration, with Micfo returning most of the addresses that it hadn't already sold. ARIN's civil case caught the attention of federal prosecutors in South Carolina, who in May 2019 filed criminal wire fraud charges against Golestan, alleging he'd orchestrated a network of shell companies and fake identities to prevent ARIN from knowing the addresses were all going to the same buyer.

Google

Google Asks Congress To Not Ban Teens From Social Media (theverge.com) 118

An anonymous reader quotes a report from The Verge: Google responded to congressional child online safety proposals with its own counteroffer for the first time Monday, urging lawmakers to drop problematic protections like age-verification tech. In a blog post, Google released its "Legislative Framework to Protect Children and Teens Online" (PDF). The framework comes as more lawmakers, like Sen. Elizabeth Warren (D-MA), are lining up behind the Kids Online Safety Act, a controversial bill intended to protect kids from dangerous content online.

In the framework, Google rejects state and federal attempts at requiring platforms to verify the age of users, like forcing users to upload copies of their government IDs to access an online service. Some states have recently gone as far as passing laws requiring platforms to obtain parental consent before anyone under 18 is allowed to use their services. Google dismisses these consent laws, arguing that they bar vulnerable teens from accessing helpful information.
"Good legislative models -- like those based on age-appropriate design principles -- can help hold companies responsible for promoting safety and privacy, while enabling access to richer experiences for children and teens," Kent Walker, Google's president of global affairs, said in the blog post.
Patents

Cloudera Hit With $240 Million Patent Verdict Over Cloud-Storage Technology (reuters.com) 17

An anonymous reader quotes a report from Reuters: Patent owner StreamScale won a $240 million jury verdict in Waco, Texas, federal court on Friday in a patent case against data-management software company Cloudera. The jury said (PDF) after a four-day trial that Cloudera infringed three StreamScale patents related to cloud-based data storage technology. Cloudera said in a statement that it intends to challenge the decision and that it would not impact the company's customers.

StreamScale attorney Jason Sheasby called the verdict a "referendum on the importance of small inventors and small businesses." StreamScale owns patents for inventor Michael Anderson's "accelerated erasure coding" technology, which the company's complaint called a "cornerstone" of modern data storage. It sued Santa Clara, California-based Cloudera in 2021 for allegedly infringing several of its patents.

The lawsuit accused Cloudera's CDH open source data-management platform of violating StreamScale's patent rights. Cloudera argued its software worked in a different way than StreamScale's inventions and said that the patents were invalid. StreamScale also accused other companies, including Intel, of infringing its patents in the 2021 lawsuit. Intel filed a separate lawsuit later that year arguing that StreamScale's allegations violated a non-disclosure agreement.

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