WEBVTT - Tech News: You Got AI in my Tech News

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<v Speaker 1>Welcome to tech Stuff, a production from iHeartRadio. Hey there,

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<v Speaker 1>and welcome to tech Stuff. I'm your host, Jonathan Strickland.

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<v Speaker 1>I'm an executive producer with iHeartRadio. And how the tech

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<v Speaker 1>are you. It's time for the tech news for February

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<v Speaker 1>twenty eighth, twenty twenty three. For such a beastly month

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<v Speaker 1>as February twenty eight, days as a rule are plenty.

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<v Speaker 1>Shout out if you recognize that reference. It is another

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<v Speaker 1>AI dominated news day, though I promise there are a

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<v Speaker 1>few stories I'll be covering that do not have AI

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<v Speaker 1>as the central topic. But starting off Elon Musk repartedly

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<v Speaker 1>wants to found a new AI lab to compete against

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<v Speaker 1>open Ai. Now, for those of y'all who remember my

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<v Speaker 1>episode about open ai, maybe this comes as a surprise

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<v Speaker 1>because Musk was actually one of the original co founders

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<v Speaker 1>of open ai in the first place. But back then,

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<v Speaker 1>open ai was a not for profit organization, and it

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<v Speaker 1>had the goal of using an open source approach to

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<v Speaker 1>developing an evolving artificial intelligence in a way that ideally

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<v Speaker 1>would be universally beneficial. You know, none of this AI

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<v Speaker 1>that benefits one group at the expense of everyone else.

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<v Speaker 1>Kind of nonsense. But then Musk stepped down from the

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<v Speaker 1>board of open Ai because ostensibly because Tesla was also

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<v Speaker 1>developing AI of its own and there was a potential

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<v Speaker 1>conflict of interest, though Musk has later said that he

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<v Speaker 1>was critical of open AI's direction, and since that day,

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<v Speaker 1>Musk has gone on to criticize open Ai, particularly once

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<v Speaker 1>the organization founded a for profit arm ostensibly to help

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<v Speaker 1>fund the nonprofit part, and Musk has also criticized chat GPT,

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<v Speaker 1>saying open ai is quote training AI to be woke

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<v Speaker 1>end quote Yeah, Musk, I get it. You're a billionaire

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<v Speaker 1>white guy. Why not punch down because there's nowhere else

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<v Speaker 1>beat a punch right? What a jerk. I'm, of course

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<v Speaker 1>being a little facetious. My opinion of Musk is obviously

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<v Speaker 1>pretty low, but that's beside the point. I know no

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<v Speaker 1>one really wants to hear that, so I'll drop it.

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<v Speaker 1>Musk wants to create this AI lab and pursue AI

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<v Speaker 1>chat butts that are unfettered by the chains of wokeness.

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<v Speaker 1>Considering how Musk has shown that his free speech absolutist

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<v Speaker 1>stance isn't actually in alignment with his behavior, you can

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<v Speaker 1>see also how Twitter had banned mention of competing services

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<v Speaker 1>like massadon Instagram and others on its platform. To see

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<v Speaker 1>evidence of this, I suspect all of this is going

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<v Speaker 1>to come back to haunt him should he actually achieve

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<v Speaker 1>this goal. Meanwhile, Tesla investors are likely further aggravated to

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<v Speaker 1>see that the company's CEO continues to direct his attention

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<v Speaker 1>to yet another endeavor rather than address problems with Tesla.

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<v Speaker 1>And then over at open Ai, the company is introducing

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<v Speaker 1>a platform for developers that will give them access to

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<v Speaker 1>open AI's tools, namely the company's machine learning models. So

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<v Speaker 1>this is the very powerful AI compute systems that to

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<v Speaker 1>build out yourself would require millions and millions of dollars.

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<v Speaker 1>Open ai is calling this offering Foundry, and it means

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<v Speaker 1>that people who have an idea for apps or services

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<v Speaker 1>that would feature AI in some way could have access

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<v Speaker 1>to compute assets without having to build them all themselves.

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<v Speaker 1>That is an enticing offer for developers who might otherwise

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<v Speaker 1>have a great idea but they lack the funds to

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<v Speaker 1>be able to execute upon it. Details are somewhat scarce.

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<v Speaker 1>Open ai has not announced when we might expect Foundry

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<v Speaker 1>to launch, but we do know that it's going to

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<v Speaker 1>set developers back a pretty penny, actually a whole bunch

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<v Speaker 1>of pretty pennies to access these services. According to tech Crunch,

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<v Speaker 1>three months of access to the lightweight version of GPT

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<v Speaker 1>three point five would set you back seventy eight grand.

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<v Speaker 1>That's seventy thousand dollars for three months of access wowsers.

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<v Speaker 1>So this is well beyond the reach of your average

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<v Speaker 1>home developer. We're really talking more about startups and companies

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<v Speaker 1>that have a real shot at seeing a return on investment,

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<v Speaker 1>but they lack the infrastructure or money to build out

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<v Speaker 1>their own machine learning systems. Over at Meta, Mark Zuckerberg

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<v Speaker 1>announced that the company is pursuing its own AI strategy.

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<v Speaker 1>I'm just gonna just read out his Facebook post because

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<v Speaker 1>it tells you everything you need to know. Quote. We're

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<v Speaker 1>creating a new top level product group at Meta focused

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<v Speaker 1>on generative AI to turbo charge our work in this area.

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<v Speaker 1>We're starting by pulling together a lot of teams working

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<v Speaker 1>on generative AI across the company into one group focused

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<v Speaker 1>on building delightful experiences around this technology into all of

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<v Speaker 1>our different products. In the short term, will focus on

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<v Speaker 1>building creative and expressive tools Over the longer term will

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<v Speaker 1>focus on developing AI personas that can help people in

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<v Speaker 1>a variety of ways. We're exploring experiences with text like

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<v Speaker 1>chat in WhatsApp and Messenger, with images like creative Instagram

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<v Speaker 1>filters and ad formats, and with video and multimodal experiences.

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<v Speaker 1>We have a lot of foundational work to do before

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<v Speaker 1>getting to the really futuristic experiences, but I'm excited about

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<v Speaker 1>all the new things will build alone the way end quote.

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<v Speaker 1>So it sounds like Meta like Musk is on the

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<v Speaker 1>path to create its own AI approach, or perhaps Meta

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<v Speaker 1>will turn to Open AI to tap into the power

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<v Speaker 1>of chat GPT. It's still early days and we're not

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<v Speaker 1>done with AI yet. Snapchat is also jumping into the

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<v Speaker 1>AI game with a product it calls my AI. Only

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<v Speaker 1>subscribers to Snapchat Plus will have access to this. According

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<v Speaker 1>to Snapchat, the AI will do stuff like if you

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<v Speaker 1>ask it, it will give you recommendations for presents that

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<v Speaker 1>you could buy friends and family. I mean, presumably Snapchat

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<v Speaker 1>would scan everything you've ever said to these people and

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<v Speaker 1>start to pull suggestions out of that, or it might

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<v Speaker 1>give suggestions about things you could do with somebody, like hey,

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<v Speaker 1>I want to hang out with so and so, what's

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<v Speaker 1>a good activity and they might say, well, they really

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<v Speaker 1>like the outdoors, how about you go hiking that kind

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<v Speaker 1>of thing. You can also apparently name this AI. However,

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<v Speaker 1>the company also owns up to the fact that chat GPT,

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<v Speaker 1>which is the system powering my AI, isn't always reliable.

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<v Speaker 1>We've talked about that a lot over the last couple

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<v Speaker 1>of months, or as Snapchat actually put it, quote, as

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<v Speaker 1>with all aipowered chat bots, my AI is prone to

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<v Speaker 1>hallucination and can be tricked into saying just about anything.

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<v Speaker 1>End quote. Oh. Also, all that communication with AI is

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<v Speaker 1>logged for the purposes of review and development, so anything

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<v Speaker 1>you do say to my AI is being recorded. So

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<v Speaker 1>that means it's best not to confide in my AI

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<v Speaker 1>all your secrets, like Grandma's chocolate chip cookie recipe or

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<v Speaker 1>where you hit the bodies, because someone somewhere could be

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<v Speaker 1>reading over that log. The whole announcement dedicates a surprising

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<v Speaker 1>amount of space that warns users that the tool might

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<v Speaker 1>not work as intended, and that almost raises the question

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<v Speaker 1>about why they're deploying this tool so early. If they're

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<v Speaker 1>taking this amount of effort to say, hey, y'all this

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<v Speaker 1>thing might go heywire, and they really point out all

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<v Speaker 1>the different ways that you can flag stuff so that

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<v Speaker 1>people can review it and thus address any issues that

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<v Speaker 1>pop up. Like it's it's a significant amount of the

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<v Speaker 1>announcement that is all about covering their butts, so to speak.

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<v Speaker 1>So I suppose one answer as to why they're deploying

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<v Speaker 1>it so early is that this turns snapchat plus subscribers

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<v Speaker 1>into QA testers that they don't have to pay. Right,

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<v Speaker 1>these aren't employees. They could turn the community into the

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<v Speaker 1>QA team. It's the basic concept behind open beta programs. Right.

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<v Speaker 1>You find out by using a wide deployment where the

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<v Speaker 1>problems are, and then you fix them. Before you know,

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<v Speaker 1>you deploy it to an even larger audience in the future.

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<v Speaker 1>Jordan Parker Herb wrote a piece for Insider titled I

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<v Speaker 1>asked Chat GPT to write messages to my tender matches.

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<v Speaker 1>A dating coach said they gave off a creepy vibe. Now,

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<v Speaker 1>I don't think anyone's really surprised by that. Heck, if

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<v Speaker 1>you again turned on Nothing Forever the AI powered endless

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<v Speaker 1>Seinfeld episode, you would probably guess this would be the

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<v Speaker 1>inevitable outcome. Because those episodes can get a little unsettling

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<v Speaker 1>as well. And this piece in an Cider indicates that

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<v Speaker 1>chat GPT's responses fell into some pretty common traps when

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<v Speaker 1>one attempts to navigate the complicated world of modern dating,

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<v Speaker 1>namely that chat gpt wrote responses that are way too long. This,

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<v Speaker 1>by the way, it tells me that if I were single,

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<v Speaker 1>I would probably be single forever at this point, because

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<v Speaker 1>come on, y'all, there's no denying. I will use a

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<v Speaker 1>thousand words when ten would do just fine. So I

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<v Speaker 1>would never do well on these kinds of apps. Also,

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<v Speaker 1>chat gpt leaned heavily on its emoji game, and as

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<v Speaker 1>the title of the piece points out, some of the

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<v Speaker 1>responses came across as creepy. Also, the coach pointed out

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<v Speaker 1>that it's best for folks to just be themselves when

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<v Speaker 1>using dating apps because otherwise your perspective date will get

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<v Speaker 1>the wrong impression, and that pretty much guarantees things aren't

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<v Speaker 1>going to go well. Like if a tender matchup thinks

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<v Speaker 1>that the response was really cool, but the really cool

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<v Speaker 1>response was written by AI, and then they meet you

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<v Speaker 1>and you do not have the same vibe. That's a problem.

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<v Speaker 1>I feel like I'm describing almost every romantic comedy that

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<v Speaker 1>was written in the eighties and centered on teenagers, except

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<v Speaker 1>that instead of it being AI, it's typically you know,

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<v Speaker 1>the well meaning popular kids who are attempting to transform

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<v Speaker 1>a person so that they become popular. It feels like that,

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<v Speaker 1>except I guess I'm describing the next generation of teen

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<v Speaker 1>centered comedies. I would not be surprised if we find

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<v Speaker 1>a movie like that. Anyway, I highly recommend reading the

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<v Speaker 1>actual article. Some of the AI generated examples that Jordan's

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<v Speaker 1>shares are absolutely hilarious in that awkward, cringe e sitcom

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<v Speaker 1>kind of way. Again, it's a piece in Insider, and

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<v Speaker 1>it is called I asked chat gpt to write messages

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<v Speaker 1>to my tender matches. You could just search for that.

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<v Speaker 1>I recommend reading it. It's good for, you know, a laugh.

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<v Speaker 1>Of course, AI goes well beyond chatbots and machine learning.

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<v Speaker 1>We've talked about other uses of AI and the dangers

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<v Speaker 1>that they can present. One example that springs to mind

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<v Speaker 1>because it comes up time and again is facial recognition technology.

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<v Speaker 1>Even if the application of this technology is benign, there

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<v Speaker 1>are frequently problems with the underlying tech, unintended bias, has

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<v Speaker 1>been a huge issue with facial recognition technology for years,

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<v Speaker 1>ranging from some services being unable to detect a person

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<v Speaker 1>of colors face properly to misidentification, which can lead to

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<v Speaker 1>traumatic experiences such as being targeted by law enforcement simply

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<v Speaker 1>because a computer can't tell the difference between different people.

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<v Speaker 1>Frequently again people of color, and they are disproportionately targeted

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<v Speaker 1>and affected by such technology. While last week New Scientists

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<v Speaker 1>presented another example, one with truly grim and terrifying implications.

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<v Speaker 1>The magazine found a contract between a tech company called

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<v Speaker 1>real Networks and the United States Air Force. Real Networks

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<v Speaker 1>offers a facial recognition platform that they call Secure Accurate

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<v Speaker 1>Facial Recognition or SAFER, and the implication is that the

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<v Speaker 1>Air Force is incorporating this technology into its Unmanned aerial

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<v Speaker 1>vehicle or UAV program, you know drones. A lack of

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<v Speaker 1>information has led to some speculation, some of which I

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<v Speaker 1>think is definitely understandable and believable. After all, Special Forces

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<v Speaker 1>units have been involved in clandestine operations that are at

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<v Speaker 1>least difficult to separate from stuff like assassinations, and sometimes impossible.

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<v Speaker 1>Sometimes it's just outright an assassination. So it is not

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<v Speaker 1>a stretch to imagine a unit like a Special Forces

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<v Speaker 1>unit making use of a drone with this technology in

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<v Speaker 1>an effort to identify and acquire targets. But the potential

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<v Speaker 1>for misuse of such technology, let alone the chance that

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<v Speaker 1>the techs could make a mistake, has led critics to

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<v Speaker 1>raise the alarm about this approach, and I think that

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<v Speaker 1>is a wise reaction. Even if the tech works perfectly,

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<v Speaker 1>you still have to wrestle with the fact that people

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<v Speaker 1>can sometimes be the absolute worst. They can abuse technology

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<v Speaker 1>for their own purposes, and when it comes to something

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<v Speaker 1>as potentially lethal as this, that is a major problem. Okay,

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<v Speaker 1>we're going to take a quick break. When we come back,

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<v Speaker 1>we'll have a lot more tech news to cover. We're back,

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<v Speaker 1>and we're not done with AI yet. I do promise

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<v Speaker 1>we have other stories besides AI, but we've got a

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<v Speaker 1>couple more to get through, and one of the stories

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<v Speaker 1>we have is about how AI is complicated, not just

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<v Speaker 1>because of the technology, but because of people and the

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<v Speaker 1>way we react to AI and interact with AI. I

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<v Speaker 1>think that this is a truly fascinating topic that relates

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<v Speaker 1>heavily to both psychology and technology. So I want to

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<v Speaker 1>talk about a recent study out of my alma mater,

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<v Speaker 1>the University of Georgia Go Bulldogs. Nicole Davis, who is

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<v Speaker 1>a graduate student at UGA, participated in a research project

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<v Speaker 1>that I think is both interesting and has some upsetting

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<v Speaker 1>but not really surprising conclusions. The project brought together a

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<v Speaker 1>bunch of people and then ask them questions about stereotypes

0:14:34.720 --> 0:14:39.560
<v Speaker 1>that relate to white, Black, and Asian ethnic groups, and generally,

0:14:39.600 --> 0:14:43.760
<v Speaker 1>the response is indicated that people saw Asians as being

0:14:43.800 --> 0:14:48.800
<v Speaker 1>the most competent people and Black people the least competent

0:14:49.160 --> 0:14:54.120
<v Speaker 1>people for any given task. I guess it's a really

0:14:54.200 --> 0:14:58.480
<v Speaker 1>ugly stereotype, but it's also undeniably a pretty common one.

0:14:59.160 --> 0:15:01.720
<v Speaker 1>Then the users were given a task and it was

0:15:01.760 --> 0:15:03.840
<v Speaker 1>to try and find a way to reduce the expense

0:15:03.880 --> 0:15:07.280
<v Speaker 1>of a vacation rental, and they were going to make

0:15:07.440 --> 0:15:11.400
<v Speaker 1>use of an AI powered bot, a chatbot. They had

0:15:11.440 --> 0:15:15.840
<v Speaker 1>a little avatar representing the AI So these were cartoonish

0:15:15.840 --> 0:15:18.680
<v Speaker 1>avatars and there were some that were white, some that

0:15:18.720 --> 0:15:21.880
<v Speaker 1>were black, and some that were Asian in design, and

0:15:22.000 --> 0:15:25.840
<v Speaker 1>the users were later asked to comment on the bot's performance,

0:15:25.960 --> 0:15:30.600
<v Speaker 1>specifically how human and warm it was and how competent

0:15:30.680 --> 0:15:34.480
<v Speaker 1>it was at helping the user reduce the vacation rental cost.

0:15:35.080 --> 0:15:38.640
<v Speaker 1>Davis said, quote when we asked about the bot, we

0:15:38.760 --> 0:15:43.200
<v Speaker 1>saw perceptions change. Even if they said yes, I feel

0:15:43.200 --> 0:15:47.000
<v Speaker 1>like black people are less competent, they also said yes,

0:15:47.440 --> 0:15:51.680
<v Speaker 1>I feel like the black ais were more competent. Davis said.

0:15:51.720 --> 0:15:56.400
<v Speaker 1>This is an example of expectation violation theory, which pausits

0:15:56.440 --> 0:15:59.080
<v Speaker 1>that if someone enters into a situation and they have

0:15:59.200 --> 0:16:02.960
<v Speaker 1>low expectation and then their experience is a positive one,

0:16:03.280 --> 0:16:08.080
<v Speaker 1>they walk away feeling that it was an overwhelmingly positive experience,

0:16:08.760 --> 0:16:12.360
<v Speaker 1>not just that was good, but because it exceeded their expectations,

0:16:12.640 --> 0:16:15.720
<v Speaker 1>it was even better than that. Davis goes on to

0:16:15.760 --> 0:16:17.800
<v Speaker 1>say that more research is needed to find ways in

0:16:17.800 --> 0:16:21.840
<v Speaker 1>which bought representation can help to impact consumer perception in

0:16:21.880 --> 0:16:26.560
<v Speaker 1>positive ways, like perhaps breaking down barriers they might otherwise

0:16:26.640 --> 0:16:30.920
<v Speaker 1>have because of these stereotypes that they maybe unconsciously have

0:16:31.240 --> 0:16:34.920
<v Speaker 1>of different people. But this is obviously a complicated and

0:16:35.080 --> 0:16:39.400
<v Speaker 1>sensitive challenge. Amazon has been using AI to help monitor

0:16:39.440 --> 0:16:42.440
<v Speaker 1>delivery drivers for a while now, but this recently got

0:16:42.480 --> 0:16:45.920
<v Speaker 1>more attention when a TikTok user would the handle. Amber

0:16:46.040 --> 0:16:50.720
<v Speaker 1>Gertz gave an explanation of how the delivery truck's camera

0:16:50.760 --> 0:16:54.720
<v Speaker 1>systems monitor driver behavior. She is an Amazon delivery driver.

0:16:55.160 --> 0:16:58.640
<v Speaker 1>She created this TikTok that explains the whole thing, and

0:16:59.480 --> 0:17:03.480
<v Speaker 1>she says that the system logs violations if a driver

0:17:03.800 --> 0:17:06.879
<v Speaker 1>breaks protocol in any way. This can include stuff like

0:17:07.040 --> 0:17:10.760
<v Speaker 1>failing to come to a complete stop at a stop sign, which, hey,

0:17:10.760 --> 0:17:13.720
<v Speaker 1>that makes sense. This is like one of the biggest

0:17:13.800 --> 0:17:18.320
<v Speaker 1>violations a driver can commit, and you definitely need something

0:17:18.400 --> 0:17:21.479
<v Speaker 1>to help ensure drivers follow this process because I mean,

0:17:21.520 --> 0:17:24.600
<v Speaker 1>they're on the road all day, so they have the

0:17:24.640 --> 0:17:28.439
<v Speaker 1>potential for getting involved in collisions more than the average

0:17:28.480 --> 0:17:30.480
<v Speaker 1>person does. You know, the average person is not on

0:17:30.520 --> 0:17:33.960
<v Speaker 1>the road all day. And it also tracks whether or

0:17:34.000 --> 0:17:36.440
<v Speaker 1>not the driver has buckled their seat belt at the

0:17:36.480 --> 0:17:38.879
<v Speaker 1>conclusion of each stop, or whether or not they've gotten

0:17:38.880 --> 0:17:41.800
<v Speaker 1>out of their seat. However, the system will also trigger

0:17:41.800 --> 0:17:45.120
<v Speaker 1>if a driver takes a drink without first pulling over

0:17:45.200 --> 0:17:46.800
<v Speaker 1>to the side of the road to come to a

0:17:46.840 --> 0:17:50.040
<v Speaker 1>complete stop. So if you got your morning coffee with

0:17:50.119 --> 0:17:52.080
<v Speaker 1>you and you're an Amazon delivery driver, you have to

0:17:52.119 --> 0:17:53.760
<v Speaker 1>come to a complete stop before you can take a

0:17:53.760 --> 0:17:58.000
<v Speaker 1>sip of coffee or you will get you your image

0:17:58.040 --> 0:18:03.879
<v Speaker 1>captured and a violation will be hit on your profile. Also,

0:18:04.480 --> 0:18:07.400
<v Speaker 1>drivers aren't allowed to touch the center console without first

0:18:07.400 --> 0:18:11.040
<v Speaker 1>stopping because that's considered a distraction. And the cameras are

0:18:11.080 --> 0:18:13.760
<v Speaker 1>not providing a live feed for the whole day. It's

0:18:13.760 --> 0:18:17.720
<v Speaker 1>not like there's some security office within Amazon where there's

0:18:17.760 --> 0:18:22.280
<v Speaker 1>this one person looking at a wall of monitors trying

0:18:22.320 --> 0:18:24.280
<v Speaker 1>to keep up with all these different drivers. It would

0:18:24.320 --> 0:18:28.800
<v Speaker 1>be impossible to do that. Instead, AI incorporated into the

0:18:28.840 --> 0:18:32.920
<v Speaker 1>system monitors the camera view and captures video should a

0:18:33.040 --> 0:18:36.320
<v Speaker 1>driver do anything that violates these policies, and it's all

0:18:36.359 --> 0:18:38.720
<v Speaker 1>in the name of safety. As Amber Gert says in

0:18:38.800 --> 0:18:42.200
<v Speaker 1>the TikTok, pretty much every Amazon driver hates this system,

0:18:42.640 --> 0:18:47.080
<v Speaker 1>which includes multiple cameras set up within the vehicle and

0:18:47.160 --> 0:18:50.760
<v Speaker 1>also forward facing cameras to keep things like how far

0:18:50.800 --> 0:18:53.159
<v Speaker 1>away you are from the traffic in front of you.

0:18:53.720 --> 0:18:57.639
<v Speaker 1>But she also generously says this is all in an

0:18:57.680 --> 0:19:02.240
<v Speaker 1>effort to keep drivers and others also Amazon drivers can

0:19:02.320 --> 0:19:05.440
<v Speaker 1>dispute violation reports, and Bergarts even mentions a case where

0:19:05.680 --> 0:19:08.480
<v Speaker 1>a driver scratched his beard while he was driving and

0:19:08.520 --> 0:19:12.160
<v Speaker 1>the system mistakenly believed he was talking on a cell

0:19:12.200 --> 0:19:15.200
<v Speaker 1>phone and so dinged him with a violation, and so

0:19:15.240 --> 0:19:17.560
<v Speaker 1>he was able to dispute that and get it reversed.

0:19:17.600 --> 0:19:20.520
<v Speaker 1>Now I can honestly say I feel really conflicted about

0:19:20.640 --> 0:19:23.399
<v Speaker 1>this whole approach. On the one hand, this is taking

0:19:23.440 --> 0:19:26.800
<v Speaker 1>employee surveillance to the extreme, there's no doubt about it.

0:19:27.240 --> 0:19:29.400
<v Speaker 1>But on the other hand, the system has also allegedly

0:19:29.440 --> 0:19:32.879
<v Speaker 1>contributed to reduction and collision rates by thirty five percent,

0:19:33.320 --> 0:19:37.320
<v Speaker 1>and considering that collisions often result in injuries and property damage,

0:19:37.920 --> 0:19:41.040
<v Speaker 1>that's significant. And I kind of wonder what Ben Franklin

0:19:41.080 --> 0:19:43.520
<v Speaker 1>would have to say about all this, with his views

0:19:43.520 --> 0:19:46.560
<v Speaker 1>on liberty versus safety and all By the way, that

0:19:46.720 --> 0:19:51.520
<v Speaker 1>famous quote is more complicated than the quote itself would indicate.

0:19:51.840 --> 0:19:55.120
<v Speaker 1>I recommend looking into what he was talking about when

0:19:55.119 --> 0:19:58.560
<v Speaker 1>he was chatting about liberty and safety, and hey, I

0:19:58.600 --> 0:20:02.280
<v Speaker 1>mentioned TikTok. Let's talk about that really quickly. Canada has

0:20:02.320 --> 0:20:06.120
<v Speaker 1>now banned TikTok from federal government devices. The White House

0:20:06.119 --> 0:20:07.919
<v Speaker 1>here in the United States has done the same and

0:20:07.960 --> 0:20:12.160
<v Speaker 1>has given federal employees thirty days to wipe TikTok off

0:20:12.200 --> 0:20:15.600
<v Speaker 1>any government owned devices. There are a few special cases

0:20:15.640 --> 0:20:19.119
<v Speaker 1>where there are exceptions for things like security research or

0:20:19.240 --> 0:20:22.879
<v Speaker 1>law enforcement, but for the most part this is a

0:20:23.960 --> 0:20:27.400
<v Speaker 1>federal government wide band. Several state governments in the US

0:20:27.480 --> 0:20:29.960
<v Speaker 1>have done the same sort of thing. The EU has

0:20:30.000 --> 0:20:33.280
<v Speaker 1>started to take action as well for the US and Canada.

0:20:33.359 --> 0:20:36.399
<v Speaker 1>The main concern here is that TikTok's parent company, byte Dance,

0:20:36.520 --> 0:20:39.679
<v Speaker 1>is a Chinese company, and as such could potentially be

0:20:39.760 --> 0:20:42.240
<v Speaker 1>scouring the app for data in an effort to gather

0:20:42.320 --> 0:20:46.760
<v Speaker 1>intelligence on behalf of the Chinese government, specifically the Communist Party.

0:20:47.119 --> 0:20:50.119
<v Speaker 1>For the EU, it gets a little more complicated because

0:20:50.160 --> 0:20:53.480
<v Speaker 1>even if you ignore the connection to China, TikTok itself

0:20:54.000 --> 0:20:56.080
<v Speaker 1>is based in the United States, and the EU is

0:20:56.119 --> 0:20:59.160
<v Speaker 1>a real stickler when it comes to protecting EU citizen

0:20:59.240 --> 0:21:04.639
<v Speaker 1>data from being collected and exploited, and that includes keeping

0:21:04.760 --> 0:21:08.120
<v Speaker 1>the information of the government safe, so they don't want

0:21:08.160 --> 0:21:12.320
<v Speaker 1>the US to just get access to that. Meanwhile, China's

0:21:12.359 --> 0:21:15.840
<v Speaker 1>Foreign Ministry Office issued a statement saying the US quote

0:21:16.280 --> 0:21:19.960
<v Speaker 1>has been overstretching the concept of national security and abusing

0:21:20.000 --> 0:21:24.560
<v Speaker 1>state power to suppress other countries companies. How unsure of itself,

0:21:24.640 --> 0:21:28.800
<v Speaker 1>can the US, the world's top superpower, be to fear

0:21:29.040 --> 0:21:34.760
<v Speaker 1>a favorite young person's favorite app to such a degree

0:21:34.960 --> 0:21:37.760
<v Speaker 1>end quote. First of all, I don't think that favorite

0:21:37.800 --> 0:21:41.200
<v Speaker 1>thing was meant to be repeated, but secondly, shots fired

0:21:41.280 --> 0:21:45.040
<v Speaker 1>China's sick burn. Of course, I should also point out

0:21:45.119 --> 0:21:48.760
<v Speaker 1>that there are literal laws in China that compel citizens

0:21:48.800 --> 0:21:51.320
<v Speaker 1>and companies to act as agents on behalf of gathering

0:21:51.320 --> 0:21:55.960
<v Speaker 1>intelligence for the Communist Party, so there's not a healthy

0:21:56.040 --> 0:22:01.080
<v Speaker 1>leg to stand on there. Also, China, oddly enough, has

0:22:01.240 --> 0:22:05.960
<v Speaker 1>famously blocked tons of apps and services originating in the

0:22:05.960 --> 0:22:09.680
<v Speaker 1>West in an effort to prevent their citizens from accessing them.

0:22:09.680 --> 0:22:13.080
<v Speaker 1>So again, not exactly taking the high ground on that

0:22:13.119 --> 0:22:19.639
<v Speaker 1>front either, but yeah, you use sing us China. Last Pass,

0:22:19.840 --> 0:22:23.240
<v Speaker 1>the password vault company, revealed that hackers were able to

0:22:23.280 --> 0:22:27.320
<v Speaker 1>access and employees home computer and in the process they

0:22:27.400 --> 0:22:31.919
<v Speaker 1>got access to a decrypted vault, a corporate vault, not

0:22:32.000 --> 0:22:35.120
<v Speaker 1>a user vault. This is on the corporate side. Now.

0:22:35.160 --> 0:22:38.320
<v Speaker 1>You might recall that the same service revealed last year

0:22:38.440 --> 0:22:42.440
<v Speaker 1>that hackers had penetrated some customer vaults through other means. Currently,

0:22:42.520 --> 0:22:45.000
<v Speaker 1>last Pass says it does not look like this attack

0:22:45.080 --> 0:22:48.960
<v Speaker 1>and those previous attacks were connected at all. Whatever the case,

0:22:49.320 --> 0:22:53.000
<v Speaker 1>last Pass users should change not only all the passwords

0:22:53.000 --> 0:22:56.200
<v Speaker 1>that they had stored in last passes vault, but also

0:22:56.240 --> 0:22:59.879
<v Speaker 1>their master password for their last pass account. This is

0:23:00.119 --> 0:23:03.960
<v Speaker 1>a worst case scenario, and while Ours Technica points out

0:23:04.280 --> 0:23:07.240
<v Speaker 1>that we do not know yet if hackers have access

0:23:07.280 --> 0:23:11.480
<v Speaker 1>to individual users vaults and their passwords, you have to

0:23:11.520 --> 0:23:15.000
<v Speaker 1>operate under the assumption that they do, and that further,

0:23:15.520 --> 0:23:18.080
<v Speaker 1>this data could end up being sold on the dark web,

0:23:18.160 --> 0:23:20.800
<v Speaker 1>So you definitely want to get out there and start

0:23:20.880 --> 0:23:24.800
<v Speaker 1>changing this stuff now. I've long advocated for password vaults

0:23:24.920 --> 0:23:27.560
<v Speaker 1>as they make the worst parts about passwords a little

0:23:27.600 --> 0:23:30.680
<v Speaker 1>more user friendly. That is, by using a password vault,

0:23:31.080 --> 0:23:35.680
<v Speaker 1>it's easier to create unique, strong passwords for every service

0:23:35.760 --> 0:23:39.520
<v Speaker 1>that you access. These passwords are difficult to crack, but

0:23:39.600 --> 0:23:43.879
<v Speaker 1>they're also hard to remember, and because they're all unique,

0:23:44.240 --> 0:23:48.320
<v Speaker 1>you've got this ton of different passwords that are hard

0:23:48.359 --> 0:23:52.280
<v Speaker 1>for you to just keep in your memory. So it

0:23:52.320 --> 0:23:54.639
<v Speaker 1>gets to the point where it can be impossible to

0:23:54.760 --> 0:23:57.159
<v Speaker 1>remember all of your unique passwords. So a vault's a

0:23:57.160 --> 0:24:01.360
<v Speaker 1>great solution unless something like this happens. And while these

0:24:01.359 --> 0:24:05.119
<v Speaker 1>security events are rare, we've seen they're not impossible and

0:24:05.240 --> 0:24:08.159
<v Speaker 1>that it then falls to us to take action to

0:24:08.200 --> 0:24:11.320
<v Speaker 1>make sure we keep our data and our services as

0:24:11.320 --> 0:24:14.439
<v Speaker 1>safe as possible. Last Pass is not the only target

0:24:14.480 --> 0:24:17.440
<v Speaker 1>to have a catastrophic breach. Another is the United States

0:24:17.560 --> 0:24:21.720
<v Speaker 1>Marshals Service, which announced last week that attackers were able

0:24:21.760 --> 0:24:26.440
<v Speaker 1>to gain access to secure systems or assumed secure systems

0:24:26.440 --> 0:24:29.960
<v Speaker 1>and potentially retrieved sensitive information. The service did say that

0:24:30.000 --> 0:24:33.359
<v Speaker 1>the information may include data about subjects who are currently

0:24:33.480 --> 0:24:39.440
<v Speaker 1>under investigation, It might include administrative information and also personal

0:24:39.520 --> 0:24:42.600
<v Speaker 1>data regarding some of the staff of the agency, among

0:24:42.680 --> 0:24:47.000
<v Speaker 1>other things. However, one system that they said was unaffected

0:24:47.200 --> 0:24:50.520
<v Speaker 1>was the Witness Security Program, which is more commonly known

0:24:50.560 --> 0:24:54.120
<v Speaker 1>here in the US as the Witness Protection Program. This

0:24:54.160 --> 0:24:57.359
<v Speaker 1>is the famous program that aims to create new identities

0:24:57.359 --> 0:25:01.360
<v Speaker 1>for witnesses who are involved in cases for major crimes,

0:25:01.880 --> 0:25:03.920
<v Speaker 1>and this is all in an effort to keep those

0:25:03.960 --> 0:25:08.000
<v Speaker 1>witnesses safe from retaliation. It's pretty much a key ingredient

0:25:08.440 --> 0:25:11.120
<v Speaker 1>in a ton of movies and TV shows that are

0:25:11.200 --> 0:25:15.480
<v Speaker 1>about the mafia. It's frequent that someone gets put into

0:25:15.520 --> 0:25:18.640
<v Speaker 1>witness protection so that the mafia is unable to track

0:25:18.720 --> 0:25:22.320
<v Speaker 1>them down and target them. According to the agency's representatives,

0:25:22.480 --> 0:25:25.439
<v Speaker 1>the hackers were unable to breach that particular database, so

0:25:25.520 --> 0:25:29.160
<v Speaker 1>that is some good news. Okay, we're gonna take another

0:25:29.200 --> 0:25:31.520
<v Speaker 1>quick break. When we come back, I've got a few

0:25:31.560 --> 0:25:44.040
<v Speaker 1>more news stories that we need to talk about. We're back,

0:25:44.400 --> 0:25:48.120
<v Speaker 1>all right. So last year, News Corps that's Rupert Murdock's

0:25:48.160 --> 0:25:51.720
<v Speaker 1>company that owns multiple newspapers and some other media outlets,

0:25:52.200 --> 0:25:55.480
<v Speaker 1>announced that hackers had gained access to corporate systems. We

0:25:55.520 --> 0:26:00.119
<v Speaker 1>found out about this February twenty twenty two. However, now

0:26:00.200 --> 0:26:02.679
<v Speaker 1>we have a little extra information, and it's that the

0:26:02.760 --> 0:26:08.359
<v Speaker 1>hackers had essentially embedded themselves inside News Corps systems for

0:26:08.560 --> 0:26:12.360
<v Speaker 1>nearly two years. In a recent letter to at least

0:26:12.400 --> 0:26:16.760
<v Speaker 1>some of the company's employees, the corporation revealed, quote, based

0:26:16.760 --> 0:26:20.800
<v Speaker 1>on the investigation, news Corp understands that between February twenty

0:26:20.880 --> 0:26:25.200
<v Speaker 1>twenty and January twenty twenty two, an unauthorized party gained

0:26:25.280 --> 0:26:29.040
<v Speaker 1>access to certain business documents and emails from a limited

0:26:29.200 --> 0:26:32.680
<v Speaker 1>number of its personnel's accounts in the affected system, some

0:26:32.760 --> 0:26:36.840
<v Speaker 1>of which contained personal information end quote. The letter also

0:26:36.840 --> 0:26:40.000
<v Speaker 1>says the newscore doesn't believe the intrusion was focused on

0:26:40.080 --> 0:26:44.080
<v Speaker 1>stealing personal data, and that identity theft is likely not

0:26:44.480 --> 0:26:47.400
<v Speaker 1>the purpose of this attack, but rather that the intruders

0:26:47.400 --> 0:26:50.720
<v Speaker 1>were gathering intelligence. When you look into the information that

0:26:50.760 --> 0:26:55.240
<v Speaker 1>the hackers were able to access, it gets pretty gross

0:26:55.280 --> 0:26:58.360
<v Speaker 1>for the employees who are affected because it includes not

0:26:58.440 --> 0:27:02.920
<v Speaker 1>just stuff like their name, aims, and addresses and birth dates,

0:27:02.920 --> 0:27:06.440
<v Speaker 1>but also things like their Social Security number, their driver's

0:27:06.440 --> 0:27:10.320
<v Speaker 1>license number, their passport number, that kind of thing. It's

0:27:10.400 --> 0:27:14.080
<v Speaker 1>understandable that employees who are affected would be very much

0:27:14.119 --> 0:27:17.560
<v Speaker 1>concerned about this, so the company is providing effected employees

0:27:17.560 --> 0:27:21.840
<v Speaker 1>the option of experience services to protect against identity theft

0:27:21.840 --> 0:27:25.320
<v Speaker 1>and that kind of thing. The identity of the attackers

0:27:25.760 --> 0:27:29.080
<v Speaker 1>remains unknown, so it's not really possible to say definitively

0:27:29.600 --> 0:27:32.280
<v Speaker 1>what they were up to or how they intend to

0:27:32.359 --> 0:27:35.919
<v Speaker 1>use the information they accessed. The leading hypothesis is that

0:27:36.000 --> 0:27:39.480
<v Speaker 1>the attackers were aligned with the Chinese government, so this

0:27:39.560 --> 0:27:42.680
<v Speaker 1>could be an example of a state sponsored attack, But

0:27:42.880 --> 0:27:46.520
<v Speaker 1>from what I've seen, there's nothing that definitively shows that,

0:27:46.600 --> 0:27:50.760
<v Speaker 1>or at least nothing that anyone has publicly acknowledge, and

0:27:50.880 --> 0:27:54.520
<v Speaker 1>my guess is the investigation is probably ongoing. The website

0:27:54.560 --> 0:27:56.800
<v Speaker 1>the Drive has an article that brings up a potential

0:27:56.840 --> 0:28:00.720
<v Speaker 1>hazard with autonomous vehicles, then I hadn't really considered before,

0:28:00.920 --> 0:28:03.920
<v Speaker 1>which is silly because it's such an obvious use case

0:28:04.119 --> 0:28:06.960
<v Speaker 1>that I'm sure most of y'all are way ahead of me.

0:28:07.840 --> 0:28:10.040
<v Speaker 1>So this is really an oversight on my part, but

0:28:10.200 --> 0:28:13.560
<v Speaker 1>it's at the Ford Motor Company has recently been awarded

0:28:13.600 --> 0:28:19.160
<v Speaker 1>a patent regarding vehicle repossessions. So instead of sending Amelio

0:28:19.320 --> 0:28:22.359
<v Speaker 1>Estevez to repossess a car after the owner falls behind

0:28:22.480 --> 0:28:26.200
<v Speaker 1>on their payments, shout out to anyone who recognizes that reference.

0:28:26.800 --> 0:28:30.840
<v Speaker 1>Ford is suggesting that future vehicles that are outfitted with

0:28:30.960 --> 0:28:35.320
<v Speaker 1>autonomous operation features would just drive themselves to a location

0:28:35.480 --> 0:28:37.760
<v Speaker 1>where a tow truck could meet up with it, or

0:28:37.760 --> 0:28:41.080
<v Speaker 1>it would go straight to the repossession agency or maybe

0:28:41.080 --> 0:28:43.680
<v Speaker 1>even a junkyard. This would save the people who are

0:28:43.800 --> 0:28:47.200
<v Speaker 1>driving tow trucks the potentially dangerous job of going to

0:28:47.240 --> 0:28:50.880
<v Speaker 1>an owner's property to repossess a vehicle, So, in other words,

0:28:50.880 --> 0:28:55.800
<v Speaker 1>a car would effectively repossess itself. Ford's patent also describes

0:28:55.840 --> 0:28:59.680
<v Speaker 1>features for cars that would not necessarily have autonomous capabilities

0:29:00.160 --> 0:29:02.800
<v Speaker 1>that Ford would be able to shut down certain options

0:29:02.800 --> 0:29:05.600
<v Speaker 1>within the car remotely, some of them not even being optioned,

0:29:05.600 --> 0:29:08.040
<v Speaker 1>some of them just being outright features, So things like

0:29:08.600 --> 0:29:14.800
<v Speaker 1>power locks or cruise control or air conditioning, or even

0:29:14.880 --> 0:29:19.400
<v Speaker 1>disabling the engine itself, rendering the car inert. The patent

0:29:19.440 --> 0:29:21.800
<v Speaker 1>describes the process by which an owner would be alerted

0:29:21.800 --> 0:29:24.560
<v Speaker 1>in advance, which would give the owner the opportunity to

0:29:24.600 --> 0:29:28.440
<v Speaker 1>make good on payments. Otherwise, well, a car might start

0:29:28.480 --> 0:29:31.760
<v Speaker 1>to lose all those features, or eventually even drive itself

0:29:31.840 --> 0:29:35.440
<v Speaker 1>to the repossession agency, or, like I said, in cases

0:29:35.480 --> 0:29:39.280
<v Speaker 1>where repossession would be viewed as being too expensive, like

0:29:39.320 --> 0:29:42.440
<v Speaker 1>a bank would say, oh, it does make sense financially

0:29:42.840 --> 0:29:45.479
<v Speaker 1>for us to repossess this vehicle, they might just have

0:29:45.520 --> 0:29:48.320
<v Speaker 1>the car drive itself to the junkyard, which gets kind

0:29:48.320 --> 0:29:52.120
<v Speaker 1>of sinister when you think about it, right, because a

0:29:52.280 --> 0:29:56.680
<v Speaker 1>car autonomously driving itself to a junkyard for it to

0:29:57.440 --> 0:30:02.760
<v Speaker 1>presumably be junked. That's grim stuff. Pixar could have a

0:30:02.840 --> 0:30:07.680
<v Speaker 1>field day with that concept. And now for a horrifying

0:30:07.760 --> 0:30:12.960
<v Speaker 1>and infuriating story involving a car company fully embracing a

0:30:13.080 --> 0:30:18.160
<v Speaker 1>dystopic philosophy, or rather a third party that works with

0:30:18.240 --> 0:30:21.240
<v Speaker 1>a famous car company doing so. A sheriff's office in

0:30:21.360 --> 0:30:28.280
<v Speaker 1>Illinois encountered unthinkable resistance from Volkswagen's car Net service while

0:30:28.320 --> 0:30:31.920
<v Speaker 1>trying to track down a stolen VW vehicle that had

0:30:31.960 --> 0:30:36.720
<v Speaker 1>a two year old boy inside it. So the story goes,

0:30:36.760 --> 0:30:40.560
<v Speaker 1>this mom drives home with her two kids and she

0:30:40.720 --> 0:30:44.520
<v Speaker 1>pulls up in her driveway, gets out, takes one kid inside,

0:30:44.640 --> 0:30:48.640
<v Speaker 1>comes back out to retriever second kid. But meanwhile, a

0:30:48.680 --> 0:30:52.840
<v Speaker 1>group of car thieves had driven up behind her vehicle.

0:30:53.600 --> 0:30:57.920
<v Speaker 1>They ended up beating up the woman, stealing her car,

0:30:58.000 --> 0:31:01.360
<v Speaker 1>running her over, and driving off with her two year

0:31:01.360 --> 0:31:04.360
<v Speaker 1>old son in the car. She was able to call

0:31:04.600 --> 0:31:08.640
<v Speaker 1>nine one one and report the car and her child

0:31:09.160 --> 0:31:13.520
<v Speaker 1>having been taken by these thieves and get medical attention

0:31:13.560 --> 0:31:19.000
<v Speaker 1>as well. So anyway, the sheriff calls Karnet because Carnet

0:31:19.080 --> 0:31:24.480
<v Speaker 1>is a service that allows Volkswagen really Carnet itself to

0:31:24.640 --> 0:31:28.800
<v Speaker 1>remotely track and even control vehicles to an extent. So

0:31:29.240 --> 0:31:32.360
<v Speaker 1>the detectives are like, we need to know the location

0:31:32.400 --> 0:31:38.840
<v Speaker 1>of this vehicle right away, and the representative from Karnet says, well,

0:31:39.320 --> 0:31:42.000
<v Speaker 1>she let that subscription lapse, so I'm going to need

0:31:42.040 --> 0:31:44.920
<v Speaker 1>one hundred and fifty dollars reactivation fee before I can

0:31:45.000 --> 0:31:50.800
<v Speaker 1>give you that information. A boy's life was hanging in

0:31:50.880 --> 0:31:55.720
<v Speaker 1>the balance, and this representative for Carnet is like, can't

0:31:55.760 --> 0:31:57.680
<v Speaker 1>give you that info till you cough up the fee.

0:31:58.280 --> 0:32:02.000
<v Speaker 1>The detective actually did pay the one hundred fifty dollars

0:32:02.040 --> 0:32:05.840
<v Speaker 1>because the detective was aware that a boy's life is

0:32:05.840 --> 0:32:08.800
<v Speaker 1>worth more than one hundred and fifty dollars. It is

0:32:08.840 --> 0:32:14.000
<v Speaker 1>taking everything in me not to swear during this news item.

0:32:14.840 --> 0:32:20.320
<v Speaker 1>It is so unthinkably awful. The detective then, of course,

0:32:20.400 --> 0:32:25.080
<v Speaker 1>posted about this incident on Facebook. Volkswagen has responded by

0:32:25.120 --> 0:32:29.520
<v Speaker 1>calling it a quote unquote serious breach for its process

0:32:29.560 --> 0:32:32.720
<v Speaker 1>of how it works with law enforcement. And again, to

0:32:32.760 --> 0:32:36.000
<v Speaker 1>be clear, Karnet is a third party service that partners

0:32:36.000 --> 0:32:43.600
<v Speaker 1>with Volkswagen, so ultimately Karnet is responsible for this horrible incident,

0:32:43.840 --> 0:32:47.000
<v Speaker 1>but Volkswagen shares some of the blame as well as

0:32:47.000 --> 0:32:50.240
<v Speaker 1>for the child. I am happy to report that the

0:32:50.320 --> 0:32:53.840
<v Speaker 1>child was found safe. A witness saw thieves pull into

0:32:53.880 --> 0:32:56.720
<v Speaker 1>a parking lot. They took the kid out of the car,

0:32:57.040 --> 0:33:00.160
<v Speaker 1>then they drove off, and this witness was able to

0:33:00.240 --> 0:33:03.600
<v Speaker 1>rescue the kid before he could wander into traffic. The

0:33:03.680 --> 0:33:07.960
<v Speaker 1>police subsequently found the woman's Volkswagen. The woman, who was

0:33:08.040 --> 0:33:10.800
<v Speaker 1>seriously injured as she tried to rescue her son during

0:33:10.840 --> 0:33:14.040
<v Speaker 1>the theft, is currently recovering in the hospital and I

0:33:14.080 --> 0:33:17.320
<v Speaker 1>think Carnet has a really long way to go to

0:33:17.480 --> 0:33:26.480
<v Speaker 1>atone for this. This was unspeakably inhumane. Finally, on a

0:33:26.760 --> 0:33:31.680
<v Speaker 1>brighter side, Competition in Markets Authority or the CMA, this

0:33:31.760 --> 0:33:34.680
<v Speaker 1>is an antitrust kind of organization in the UK. This

0:33:34.800 --> 0:33:37.520
<v Speaker 1>is one of those organizations that looks to make sure

0:33:37.600 --> 0:33:42.600
<v Speaker 1>that the marketplace remains fair and competitive. CMA has said

0:33:42.640 --> 0:33:48.560
<v Speaker 1>that third parties indicate consoles could be moving away from

0:33:48.880 --> 0:33:52.400
<v Speaker 1>the eight to ten years cycle that we're familiar with, right,

0:33:52.440 --> 0:33:56.320
<v Speaker 1>that typically there's around eight to ten years between generations

0:33:56.720 --> 0:33:59.880
<v Speaker 1>of consoles, and that we might see them move to

0:34:00.160 --> 0:34:04.120
<v Speaker 1>three to four year cycles instead, So every three to

0:34:04.160 --> 0:34:06.920
<v Speaker 1>four years you would have a new version of say

0:34:07.360 --> 0:34:11.399
<v Speaker 1>Xbox or PlayStation, and that concerns me a little bit

0:34:11.880 --> 0:34:15.000
<v Speaker 1>simply because of the economic side of things like it

0:34:15.000 --> 0:34:18.320
<v Speaker 1>could be really exciting to people who are thinking, oh,

0:34:18.360 --> 0:34:20.759
<v Speaker 1>every three or four years, I'm going to get a

0:34:20.880 --> 0:34:27.120
<v Speaker 1>chance to buy a new console with components and better

0:34:27.200 --> 0:34:29.360
<v Speaker 1>features and that sort of thing, and that is exciting.

0:34:30.239 --> 0:34:34.359
<v Speaker 1>The thing that concerns me, however, is that currently the

0:34:34.400 --> 0:34:39.239
<v Speaker 1>way companies like Microsoft and Sony typically market their consoles

0:34:39.840 --> 0:34:43.000
<v Speaker 1>is they sell them at cost or sometimes even at

0:34:43.040 --> 0:34:46.319
<v Speaker 1>a loss, And the reasoning behind it is that you

0:34:46.400 --> 0:34:49.560
<v Speaker 1>go out, you buy your console, and then you end

0:34:49.640 --> 0:34:53.200
<v Speaker 1>up spending money on games and services, and that's how

0:34:53.200 --> 0:34:56.040
<v Speaker 1>companies like Microsoft and Sony end up seeing a profit

0:34:56.120 --> 0:34:58.759
<v Speaker 1>from those sales. It's not from the hardware where they're

0:34:58.760 --> 0:35:02.560
<v Speaker 1>taking a loss, but it's from the use of that hardware. Well,

0:35:02.600 --> 0:35:07.680
<v Speaker 1>that use is stretched over a decade essentially, or eight years,

0:35:07.680 --> 0:35:10.439
<v Speaker 1>that that's a long tail for you to be able

0:35:10.480 --> 0:35:14.120
<v Speaker 1>to make your profit off of these pieces of hardware.

0:35:14.600 --> 0:35:16.840
<v Speaker 1>If that gets reduced down to three to four years,

0:35:17.239 --> 0:35:19.680
<v Speaker 1>then we're probably also looking at a future where these

0:35:19.719 --> 0:35:24.480
<v Speaker 1>consoles are going to cost more because they're not going

0:35:24.520 --> 0:35:26.600
<v Speaker 1>to be as willing to take a big loss on

0:35:26.640 --> 0:35:29.000
<v Speaker 1>the hardware sales because there won't be as much time

0:35:29.680 --> 0:35:33.040
<v Speaker 1>to recapture those costs over the lifespan of the consoles.

0:35:33.040 --> 0:35:36.719
<v Speaker 1>If people are changing every three to four years, then

0:35:37.239 --> 0:35:41.520
<v Speaker 1>they're not necessarily, you know, realizing the profits they would

0:35:41.719 --> 0:35:44.880
<v Speaker 1>off a single console generation than they would with a

0:35:44.960 --> 0:35:49.000
<v Speaker 1>longer development cycle. So my guess is that such a

0:35:49.040 --> 0:35:53.440
<v Speaker 1>future would see consoles being more expensive that at least

0:35:53.440 --> 0:35:56.880
<v Speaker 1>you'd be looking at the companies moving away from selling

0:35:56.880 --> 0:35:59.719
<v Speaker 1>them at a loss. Maybe they would continue to sell

0:35:59.760 --> 0:36:02.560
<v Speaker 1>them at cost, but I would guess they would choose

0:36:02.560 --> 0:36:05.920
<v Speaker 1>a way to see better profit margins off the hardware sales,

0:36:06.480 --> 0:36:09.680
<v Speaker 1>because otherwise they're leaving money on the table. It doesn't

0:36:09.840 --> 0:36:13.920
<v Speaker 1>make sense to me otherwise. This is just my assumption.

0:36:14.640 --> 0:36:17.880
<v Speaker 1>I don't know that for sure. Also, this is based

0:36:17.920 --> 0:36:22.280
<v Speaker 1>off the CMA citing third party reports. This isn't coming

0:36:22.320 --> 0:36:26.719
<v Speaker 1>from Microsoft or Sony. So until we start seeing those

0:36:26.719 --> 0:36:30.279
<v Speaker 1>announcements come from the actual companies, we could say that

0:36:30.320 --> 0:36:32.680
<v Speaker 1>this is just a rumor, but it's one that makes

0:36:32.719 --> 0:36:34.960
<v Speaker 1>me think that if that were to come to pass,

0:36:35.080 --> 0:36:38.120
<v Speaker 1>that we would see more expensive consoles in the future.

0:36:38.960 --> 0:36:41.160
<v Speaker 1>That's just my feeling, my gut feeling on the matter.

0:36:41.360 --> 0:36:43.440
<v Speaker 1>I don't have anything to base that off of, except,

0:36:44.000 --> 0:36:46.640
<v Speaker 1>you know, thinking it through, and I could be totally

0:36:46.680 --> 0:36:49.839
<v Speaker 1>wrong on this. All right, that's it from the Tech

0:36:49.920 --> 0:36:53.120
<v Speaker 1>News for Tuesday, February twenty eight, twenty twenty three. I

0:36:53.160 --> 0:36:55.520
<v Speaker 1>hope you are all well. If you have suggestions for

0:36:55.600 --> 0:36:59.680
<v Speaker 1>me to talk about stuff what's on this show, well,

0:37:00.000 --> 0:37:01.279
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0:37:01.360 --> 0:37:05.000
<v Speaker 1>One is to go to Twitter and to tweet at

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<v Speaker 1>tech Stuff hsw that's the Twitter handle for the show.

0:37:08.800 --> 0:37:10.560
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0:37:10.840 --> 0:37:13.240
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0:37:19.480 --> 0:37:22.160
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0:37:22.200 --> 0:37:27.920
<v Speaker 1>to me goose. Okay, that's enough references to the eighties

0:37:28.040 --> 0:37:31.160
<v Speaker 1>in this show, Collie Gee willikers you can tell I'm

0:37:31.200 --> 0:37:34.160
<v Speaker 1>getting old all right. I hope you are all well,

0:37:34.520 --> 0:37:43.640
<v Speaker 1>and I'll talk to you again really soon. Text Stuff

0:37:43.719 --> 0:37:48.279
<v Speaker 1>is an iHeartRadio production. For more podcasts from iHeartRadio, visit

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