The South Korean government has fined the country’s three mobile network operators for making exaggerated claims about the capabilities of their 5G services. The Korean Fair Trade Commission found that SK Telecom, KT Corp, and LG U+ had falsely advertised the speed of their 5G services, including their own offerings. The telcos had claimed to offer 20 Gbps services, although such speeds are not achievable in real-world environments. The fines, totaling 33.6 billion won (US$25.5 million), are the second-highest ever imposed by the FTC for illegal advertising. While the fines may not be significant for the telecoms operators, they demonstrate that even leading 5G markets are not immune to overplaying new services to attract customers. This case is the first time telcos have been held to account for illegally advertising network speeds.
On May 8, Bittrex, the second largest cryptocurrency exchange, filed for bankruptcy amidst a legal battle with the Securities and Exchange Commission (SEC). The cryptocurrency industry is facing another wave of bankruptcies, with Bittrex becoming the latest platform to fall. The Chapter 11 filing only covers Bittrex’s US affiliate, based in Seattle, Washington. Bittrex Global, which serves customers outside the US, will continue to operate normally. The exchange believes it has over 100,000 creditors, with assets ranging from $500 million to $1 billion. The SEC filed a lawsuit against Bittrex last month, accusing the platform of operating a national securities exchange, broker, and clearing agency in violation of federal statutes. Bittrex’s CEO has vowed to fight the charges, and customers are expected to be paid in full. The crypto industry has seen a string of bankruptcies in less than a year, with FTX, Celsius Network, Voyager Digital, Three Arrows Capital, and BlockFi going bankrupt in 2022.
Google, a tech giant and leader in artificial intelligence (AI), has recently adopted a defensive stance to protect its AI leadership and future amidst the rise of OpenAI’s ChatGPT. Google’s research teams have played a crucial role in the AI revolution, sharing their knowledge and creating the latest technologies. However, ChatGPT’s advances have prompted a policy shift within Google, with Jeff Dean, Head of AI, announcing that researchers must hold off sharing their work with the outside world. The change is part of a larger shift inside Google, as the company seeks to protect its core search business, stock price, and future by focusing on AI. Google CEO, Sundar Pichai, has warned about the potential harm of AI on a societal scale, stressing the importance of caution. This shift in policy marks a significant development in the company’s strategy, as it seeks to retain its position as a leader in AI.
Nordstrom has made the decision to close all of its San Francisco stores due to the city’s “changed dynamics” and soaring crime rates. The Westfield Mall location will close by the end of August, while the Nordstrom Rack across the street will close by July 1. Other major retailers, including Whole Foods and Office Depot, have also closed their San Francisco locations due to the deteriorating situation in the downtown area. In response to the rampant crime, Target has implemented security measures, such as locking up their entire stock behind glass, in an effort to deter shoplifters. Nordstrom’s chief stores officer, Jamie Nordstrom, attributed the reduced foot traffic and inability to operate successfully in San Francisco as reasons for the closures. The decision to close all San Francisco stores will undoubtedly have a significant impact on the city’s retail industry.
The Lone Star State is taking action against scammers who are targeting unsuspecting investors with fake Elon Musk coins and AI scams. In a bid to crack down on fraudulent activity, Texas regulators have filed an emergency cease and desist order against Horatiu Charlie Caragaceanu, The Shark of Wall Street, and Hedge4.ai, demanding the termination of an “Artificial intelligence investment scam” that promotes TruthGPT Coin using fake animated avatars and images of Tesla and Twitter CEO Elon Musk. The Texas State Securities Board is proactively investigating trendy offerings that may pose a threat to the public, and TruthGPT Coin and its creator came to their attention during routine market surveillance looking into various artificial intelligence offerings. The TruthGPT Coin and Elon Musk AI Token were launched in March as a new digital asset investment campaign, and the tokens are being marketed online through avatars portraying Elon Musk endorsing TruthGPT Coin and comparing it to ChatGPT, with the claim that purchasers can earn up to 1,000 times their investment. Texas regulators are raising the alarm over scammers capitalizing on the massive popularity of AI tools, and are taking every step possible to protect investors from fraudulent activities.
The Federal Reserve has raised interest rates for the 10th consecutive time amidst economic uncertainty, according to a report by MarketWatch. However, the Fed has also signaled a potential pause in tightening monetary policy, stating that further tightening would depend on how the economy responds to higher rates. The Fed’s decision-making process has been influenced by factors such as cumulative tightening of monetary policy, policy lags, and economic and financial developments. The recent dovish tone of the Fed’s language suggests a more finely tuned approach at future meetings. While concerns about the growth of the economy have been the main talking points among officials, there were no dissents. This suggests that even those who have been more concerned about inflation, like Fed Gov. Christopher Waller, can work with it for now. The Fed remains determined to tame high inflation despite its softer language, leaving open the possibility of further rate hikes if necessary.
The UltraFICO Score is a new credit scoring model that takes into account your banking activity when calculating your credit score. This innovative scoring model is designed to help people with limited credit history or those who want to boost their credit score. By including information from your deposit accounts, such as savings accounts, checking accounts, and money market accounts, UltraFICO can give you a higher credit score and increase your chances of getting approved for credit or qualifying for a better interest rate. However, UltraFICO is only available for your Experian credit report and is in the pilot phase, so it may not be an option for everyone. To use UltraFICO, you’ll need to apply for credit with a lender and agree to share additional information needed to generate an UltraFICO Score. Additionally, there are other tools and tips you can use to maintain a healthy credit history and boost your credit score.
Chegg shares drop 40% after company says ChatGPT is killing its business
Chegg beat first-quarter expectations on the top and bottom lines but issued a weak second-quarter revenue outlook. Chegg shares tumbled after the online education company said ChatGPT is hurting its growth. “In the first part of the year, we saw no noticeable impact from ChatGPT on our new account growth and we were meeting expectations on new sign-ups,” CEO Dan Rosensweig said during the earnings call Monday evening. “However, since March we saw a significant spike in student interest in ChatGPT. We now believe it’s having an impact on our new customer growth rate.”
PacWest Bancorp is currently weighing strategic options, including a possible sale, which has caused the bank’s shares to plummet more than 50% in after-hours trading. According to sources, Piper Sandler and Stephens have been brought in to evaluate longer-term plans for the business. Many West Coast regional banks have been hit hard since the collapse of Silicon Valley Bank in March due to concerns that their customer bases are similar. First Republic Bank was also recently seized by regulators and sold to JPMorgan Chase. PacWest’s market cap is roughly $750 million and the stock is down by 72% this year. The bank’s shares declined nearly 2% during the regular session on Wednesday, marking their fifth straight losing day.
Patrick BetDavid, the founder of Valuetainment, has made a bold move to redefine the future of media. He has offered Tucker Carlson, the popular Fox News host, $100 million and a board seat to join Valuetainment in an effort for truth and liberty. Valuetainment’s vision for the future of media is to create a place for fair debate, commentary, and accessible truth. BetDavid believes that a partnership with Carlson is a noble and necessary effort to achieve this goal. The importance of Valuetainment’s offer to Tucker Carlson and the future of American media cannot be overstated. This short clip shows BetDavid making the offer to Carlson on the Megyn Kelly show and tweeting the details. BetDavid’s convictions about freedom, liberty, and truth run deep, and he believes that Valuetainment is the perfect fit for Carlson in America. While Valuetainment may not be the biggest media company, it is a new media leader driving into the future to make truth, fair debate, and commentary more accessible, consumable, and protected. BetDavid’s offer is 100% serious, and he respectfully awaits Carlson’s response.
According to historian Yuval Noah Harari, AI software ChatGPT has the potential to create a new religion with its own sacred texts. Harari, known for his bestselling book Sapiens, suggests that the software’s mastery of language could attract worshippers by crafting its own revered texts. Speaking at a science conference, Harari emphasized the need for regulation in the AI sector, which is currently embroiled in a “dangerous” arms race. He warns that we may soon see the first cults and religions in history whose texts were written by non-human intelligence. As AI continues to evolve and shape human culture, the future of religion may become a non-human intelligence faith.
Artificial intelligence pioneer, Geoffrey Hinton, has resigned from Google and issued a warning to the tech industry about the growing dangers of AI. Dr. Hinton, widely considered as the godfather of AI, expressed regret about his work and cited chatbots as a potential threat. He explained that current AI systems like ChatGPT, which were built on his pioneering research on neural networks and deep learning, could soon overtake human intelligence in terms of general knowledge. Although reasoning is not yet as advanced, the rate of progress is expected to be rapid, raising concerns about the potential risks. In his statement to the New York Times, Dr. Hinton highlighted the need for caution and mitigation of these threats. His resignation, at the age of 75, was also influenced by his desire to retire.