Venture capital - Thomson 158 Reuters https://thomson158reuters.servehalflife.com Latest News Updates Thu, 19 Sep 2024 19:43:16 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.2 Elon Musk’s X and Starlink face nearly $1 million in daily fines for alleged ban evasion in Brazil https://thomson158reuters.servehalflife.com/elon-musks-x-and-starlink-face-nearly-1-million-in-daily-fines-for-alleged-ban-evasion-in-brazil/ https://thomson158reuters.servehalflife.com/elon-musks-x-and-starlink-face-nearly-1-million-in-daily-fines-for-alleged-ban-evasion-in-brazil/#respond Thu, 19 Sep 2024 19:43:16 +0000 https://thomson158reuters.servehalflife.com/elon-musks-x-and-starlink-face-nearly-1-million-in-daily-fines-for-alleged-ban-evasion-in-brazil/ Elon Musk, left, and Brazil Supreme Court Justice Alexandre de Moraes. Reuters (L) | Getty Images (R) Elon Musk’s X faces steep daily fines in Brazil for allegedly evading a ban on the service there, according to a statement from the country’s supreme court Thursday. The fines imposed by Brazil’s supreme court amount to $5 million […]

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Elon Musk, left, and Brazil Supreme Court Justice Alexandre de Moraes.

Reuters (L) | Getty Images (R)

Elon Musk’s X faces steep daily fines in Brazil for allegedly evading a ban on the service there, according to a statement from the country’s supreme court Thursday.

The fines imposed by Brazil’s supreme court amount to $5 million in Brazilian reals, about $920,000, a day. The court said it would continue to impose “joint liability” on Starlink, the satellite internet service owned and operated by SpaceX, Musk’s aerospace venture.

The suspension of X in Brazil was initially ordered by the country’s chief justice, Alexandre de Moraes, at the end of August, with orders upheld by a panel of justices in early September. The court found that under Musk, X had violated Brazilian law, which requires social media companies to employ a legal representative in the country and to remove hate speech and other content deemed harmful to democratic institutions. The court also found that X failed to suspend accounts allegedly engaged in doxxing federal officers.

X recently moved to servers hosted by Cloudflare and appeared to be using dynamic internet protocol addresses that constantly change, enabling many users in Brazil to access the site. In a previous setup, the company had used static and specific IP addresses in Brazil, which were more easily blocked by internet service providers at the order of regulators.

Musk, who owns X, formerly known as Twitter, has been lashing out at de Moraes for months and continued to do so after the order was issued. He’s characterized de Moraes as a villain, comparing him to Darth Vader and Harry Potter character Voldemort. He has also repeatedly called for de Moraes to be impeached.

Brazil previously withdrew money for fines it levied against X from the accounts of X and Starlink at financial institutions in the country. The new fines will begin as of Sept. 19, with the court calculating a total based on “the number of days of non-compliance” with its earlier orders to suspend X nationwide.

While Musk presents himself as a free speech absolutist, X has acquiesced to requests to remove profiles and posts in countries including India, Turkey and Hungary.

Musk and X may be in the process of complying with Brazil’s takedown orders as well. Correio Braziliense, a Brazilian publication, reported on Wednesday that X has started blocking accounts as per suspension orders issued by the country’s supreme court.

Among the apparently banned accounts were those of some internet influencers who are reportedly being investigated for spreading misinformation and promoting attacks against democratic institutions in Brazil. 

X said it wasn’t intending to restore access for Brazilian users.

“When X was shut down in Brazil, our infrastructure to provide service to Latin America was no longer accessible to our team,” a company spokesperson told CNBC on Wednesday. “To continue providing optimal service to our users, we changed network providers. This change resulted in an inadvertent and temporary service restoration to Brazilian users. While we expect the platform to be inaccessible again in Brazil soon, we continue efforts to work with the Brazilian government to return very soon for the people of Brazil.”

Brazil’s national telecommunication agency, Anatel, has been ordered by de Moraes to prevent access to the platform by blocking Cloudflare as well as Fastly and EdgeUno servers, and others that the court said had been “created to circumvent” a suspension of X in Brazil.

Cloudflare didn’t immediately respond to a request for comment, but the company is reportedly cooperating with authorities in Brazil.

Before the suspension, X had an estimated 22 million users in Brazil, according to Data Reportal.

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FDIC unveils rule forcing banks to keep fintech customer data in aftermath of Synapse debacle https://thomson158reuters.servehalflife.com/fdic-unveils-rule-forcing-banks-to-keep-fintech-customer-data-in-aftermath-of-synapse-debacle/ https://thomson158reuters.servehalflife.com/fdic-unveils-rule-forcing-banks-to-keep-fintech-customer-data-in-aftermath-of-synapse-debacle/#respond Tue, 17 Sep 2024 14:12:27 +0000 https://thomson158reuters.servehalflife.com/fdic-unveils-rule-forcing-banks-to-keep-fintech-customer-data-in-aftermath-of-synapse-debacle/ Tsingha25 | Istock | Getty Images The Federal Deposit Insurance Corporation on Tuesday proposed a new rule forcing banks to keep more detailed records for customers of fintech apps after the failure of tech firm Synapse resulted in thousands of Americans being locked out of their accounts. The rule, aimed at accounts opened by fintech […]

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Tsingha25 | Istock | Getty Images

The Federal Deposit Insurance Corporation on Tuesday proposed a new rule forcing banks to keep more detailed records for customers of fintech apps after the failure of tech firm Synapse resulted in thousands of Americans being locked out of their accounts.

The rule, aimed at accounts opened by fintech firms that partner with banks, makes the institution maintain records of who owns the account and the daily balances attributed to the owner, according to an FDIC memo.

Fintech apps often use a type of account where many customers funds are pooled into a single large account at a bank, which relies on either the fintech or a third party to maintain ledgers of transactions and ownership.

That situation exposed customers to the risk that the nonbanks involved would keep shoddy or incomplete records, making it hard to determine who to pay out in the event of a failure. That’s what happened in the Synapse collapse, which impacted more than 100,000 end users of fintech apps including Yotta and Juno, customers with funds in these “for benefit of” accounts have been unable to access their money since May.

“In many cases, it was advertised that the funds were FDIC-insured, and consumers may have believed that their funds would remain safe and accessible due to representations made regarding placement of those funds in” FDIC-member banks, the regulator said in its memo.

Keeping better records would allow the FDIC to quickly pay depositors in the event of a bank failure, and if the fintech provider fails, it would also help a bankruptcy court determine who is owed what, FDIC officials said Tuesday in a briefing.

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Tesla Semi fire in California took 50,000 gallons of water to extinguish https://thomson158reuters.servehalflife.com/tesla-semi-fire-in-california-took-50000-gallons-of-water-to-extinguish/ https://thomson158reuters.servehalflife.com/tesla-semi-fire-in-california-took-50000-gallons-of-water-to-extinguish/#respond Fri, 13 Sep 2024 18:14:14 +0000 https://thomson158reuters.servehalflife.com/tesla-semi-fire-in-california-took-50000-gallons-of-water-to-extinguish/ Tesla Semi. Courtesy: Tesla A single-vehicle collision last month involving a Tesla Semi electric truck took 50,000 gallons of water to extinguish and required aircraft to dump fire retardant overhead, according to a preliminary report on Friday from the National Transportation Safety Board. The crash, which occurred on California’s Interstate 80 west of Lake Tahoe, […]

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Tesla Semi.

Courtesy: Tesla

A single-vehicle collision last month involving a Tesla Semi electric truck took 50,000 gallons of water to extinguish and required aircraft to dump fire retardant overhead, according to a preliminary report on Friday from the National Transportation Safety Board.

The crash, which occurred on California’s Interstate 80 west of Lake Tahoe, is being investigated by the NTSB. CAL Fire’s efforts to put out the flames cooled the vehicle’s massive battery to keep it from reigniting and prevented the fire from spreading beyond the crash site, the NTSB said.

The Tesla truck, driven by an employee, was headed to the company’s battery factory in Sparks, Nevada, from a warehouse in Livermore, California, the report said. The incident closed down part of the I-80 for 15 hours.

Tesla CEO Elon Musk first showed off the Semi truck design at an event in November 2017, promising it would come to market in 2020. The company still has not started producing the trucks in high volume, but it is building out production lines at its Nevada facility.

“Preparation of Semi factory continues and is on track to begin production by end of 2025,” Tesla said in its second-quarter earnings report in July.

The NTSB report confirmed that Tesla’s driver-assistance systems, which are marketed as Autopilot and Full Self-Driving (Supervised) in the U.S., were not “operational” at the time of the Semi collision and fire.

Tesla did not respond to CNBC’s request for comment.

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