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Apple Will Keep Clarifying This CSAM Mess Until Morale Improves – Gizmodo

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Photo: Mladen Antonov/AFP (Getty Images)

Last week, Apple announced new tools to detect and report child pornography and sexually explicit materials. It’s a noble mission and no one’s going to argue against catching child predators. That said, the rollout has turned into a debacle of epic proportions.

The controversy centers around two features Apple says it will deploy later this year in iOS 15 and iPadOS 15. The first involves scanning photos that have been shared to iCloud for child sex abuse materials (CSAM). The second involves scanning messages sent to and from children’s accounts to stop them from sharing explicit images. (If you want a more detailed dive into how these features work, you can read more here.)

As soon as these two features were announced, privacy and security experts sounded the alarm that, however well-intentioned, Apple was building a “backdoor” that could be misused by police or governments and create new risks. Apple replied with a lengthy FAQ. Thousands have since signed an open letter asking Apple to halt its work on the features and reaffirm its commitment to end-to-end encryption and user privacy. Yesterday, a Reuters report claimed that internally, Apple employees are also raising concerns. In a bid to calm fears, the company also promised that it wouldn’t allow governments to abuse its CSAM tools as a surveillance weapon. Today, Apple has yet again released another PDF titled “Security Threat Model Review of Apple’s Child Safety Features” in the hopes that further clarification may clear up “misunderstandings” about how this all works. (Spoiler: It won’t.)

This has been a public relations nightmare that is uncharacteristic for Apple. The company has gadget launches down to a science, and its events are always slick, well-produced affairs. After the backlash, Apple has quietly admitted that perhaps it hadn’t fully thought out its communication strategy for two complex tools and that perhaps everyone’s confused because it announced these two features simultaneously, despite the fact that they don’t work in the same way. It’s since launched an aggressive campaign to explain why its tools don’t pose a privacy and security threat. And yet journalists, experts, and advocacy groups remain befuddled. Hell, even Apple software chief Craig Federighi looked flustered while trying to break it all down for the Wall Street Journal. (And Federighi is normally a cool cucumber when it comes to telling us how it all “just works.”)

Some of the confusion swirls around whether Apple is scanning your actual iPhone for CSAM. According to Federighi, the answer is both yes and no. The scanning occurs during the iCloud upload process. Some of it happens on your phone, some of it happens in the cloud. There have also been questions as to how Apple figured out that the tools have an error rate of “one in 1 trillion.” It appears that answer boils down to advanced math. In all seriousness, Apple says it made its calculations using the most conservative parameters possible but it doesn’t answer the original question: Why should we trust that number? Apple also set its reporting threshold to 30 CSAM-matched images, which feels like an arbitrary number, and the company didn’t have an answer as to why that is beyond the fact that child predators purportedly have a much higher number of CSAM images.

In a briefing today with reporters, Apple tried to give further assurances its tools have simply been mischaracterized. For instance, it said its CSAM hash database would be created from an intersection of hashes given by two or more child safety organizations operating in separate sovereign jurisdictions. Or basically, the hashes won’t be provided by any one government. It also said there would be no automated reporting, and that it was aware it would have to expand the number of employees on its human review team. Apple also said it would maintain a public list of root hashes of every encrypted CSAM database shipping in every OS that supports the feature. Third-party auditors for each version of the database are more than welcome. Apple also repeatedly stated that these tools aren’t set in stone. Things are still very much in the works, though Apple demurred on whether changes have been made since the brouhaha started.

This is the epitome of getting lost in the weeds. If you take a step back, all this conflict isn’t necessarily about the nuts and bolts of these tools (though, they should certainly be vigorously examined for weaknesses). The conflict is whether these tools should exist at all, and if Apple should be taken at its word when so many experts seem alarmed. What’s surprising is how Apple’s seemed to stumble at reassuring everyone that they can be trusted with this.

It’s too early to say which side will prevail, but this is how it’s all going to go down: Critics won’t stop pointing out how Apple is creating an infrastructure that can be abused, and Apple won’t stop trying to convince us all that these tools are safe, private, and accurate. One side will hammer the other into submission, or at least until they’re too tired to protest any further. The rest of us will remain utterly confused.

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TC Energy cuts cost estimate for Southeast Gateway pipeline project in Mexico

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CALGARY – TC Energy Corp. has lowered the estimated cost of its Southeast Gateway pipeline project in Mexico.

It says it now expects the project to cost between US$3.9 billion and US$4.1 billion compared with its original estimate of US$4.5 billion.

The change came as the company reported a third-quarter profit attributable to common shareholders of C$1.46 billion or $1.40 per share compared with a loss of C$197 million or 19 cents per share in the same quarter last year.

Revenue for the quarter ended Sept. 30 totalled C$4.08 billion, up from C$3.94 billion in the third quarter of 2023.

TC Energy says its comparable earnings for its latest quarter amounted to C$1.03 per share compared with C$1.00 per share a year earlier.

The average analyst estimate had been for a profit of 95 cents per share, according to LSEG Data & Analytics.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:TRP)

The Canadian Press. All rights reserved.

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BCE reports Q3 loss on asset impairment charge, cuts revenue guidance

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BCE Inc. reported a loss in its latest quarter as it recorded $2.11 billion in asset impairment charges, mainly related to Bell Media’s TV and radio properties.

The company says its net loss attributable to common shareholders amounted to $1.24 billion or $1.36 per share for the quarter ended Sept. 30 compared with a profit of $640 million or 70 cents per share a year earlier.

On an adjusted basis, BCE says it earned 75 cents per share in its latest quarter compared with an adjusted profit of 81 cents per share in the same quarter last year.

“Bell’s results for the third quarter demonstrate that we are disciplined in our pursuit of profitable growth in an intensely competitive environment,” BCE chief executive Mirko Bibic said in a statement.

“Our focus this quarter, and throughout 2024, has been to attract higher-margin subscribers and reduce costs to help offset short-term revenue impacts from sustained competitive pricing pressures, slow economic growth and a media advertising market that is in transition.”

Operating revenue for the quarter totalled $5.97 billion, down from $6.08 billion in its third quarter of 2023.

BCE also said it now expects its revenue for 2024 to fall about 1.5 per cent compared with earlier guidance for an increase of zero to four per cent.

The company says the change comes as it faces lower-than-anticipated wireless product revenue and sustained pressure on wireless prices.

BCE added 33,111 net postpaid mobile phone subscribers, down 76.8 per cent from the same period last year, which was the company’s second-best performance on the metric since 2010.

It says the drop was driven by higher customer churn — a measure of subscribers who cancelled their service — amid greater competitive activity and promotional offer intensity. BCE’s monthly churn rate for the category was 1.28 per cent, up from 1.1 per cent during its previous third quarter.

The company also saw 11.6 per cent fewer gross subscriber activations “due to more targeted promotional offers and mobile device discounting compared to last year.”

Bell’s wireless mobile phone average revenue per user was $58.26, down 3.4 per cent from $60.28 in the third quarter of the prior year.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:BCE)

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Canada Goose reports Q2 revenue down from year ago, trims full-year guidance

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TORONTO – Canada Goose Holdings Inc. trimmed its financial guidance as it reported its second-quarter revenue fell compared with a year ago.

The luxury clothing company says revenue for the quarter ended Sept. 29 totalled $267.8 million, down from $281.1 million in the same quarter last year.

Net income attributable to shareholders amounted to $5.4 million or six cents per diluted share, up from $3.9 million or four cents per diluted share a year earlier.

On an adjusted basis, Canada Goose says it earned five cents per diluted share in its latest quarter compared with an adjusted profit of 16 cents per diluted share a year earlier.

In its outlook, Canada Goose says it now expects total revenue for its full financial year to show a low-single-digit percentage decrease to low-single-digit percentage increase compared with earlier guidance for a low-single-digit increase.

It also says it now expects its adjusted net income per diluted share to show a mid-single-digit percentage increase compared with earlier guidance for a percentage increase in the mid-teens.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:GOOS)

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