Intellexa: Ill Intent or Israeli Marketing Failure?
September 19, 2024
This essay is the work of a dumb dinobaby. No smart software required.
Most online experts are not familiar with the specialized software sector. Most of the companies in this intelware niche try to maintain a low profile. Publicity in general media, trade magazines, or TikTok is not desired. However, a couple of Israel-anchored vendors have embraced the Madison Avenue way. Indications of unwanted publicity surface in sources rarely given much attention by the poohbahs who follow more clickable topics like Mr. Musk’s getting into doo doo in Brazil or Mr. Zuck’s antics in Australia and the UK.
You know your marketing and PR firm has created an issue which allows management to ask, “Should we switch to a new marketing and PR firm?” Will the executives make a switch or go for a crisis management outfit instead? Thanks, MSFT Copilot. Interesting omission of the word “a”, but that’s okay. Your team is working on security and a couple of other pressing issues. Grammar is the least of some Softies’ worries.
The Malta Times (yep, it is an island with an interesting history and a number of business districts which house agents and lawyers who do fascinating work) reported on March 6, 2024, that:
The Maltese government has initiated the process of the deprivation of the Maltese citizenship of a person who appeared on a US sanctions list on Tuesday (March 5, 2024).
The individual, according to the write up, was “Ex-Israeli intelligence officer and current CEO of cyber spyware firm Intellexa.” The write up points out:
Tal Dilian was added to the United States Office of Foreign Assets Control Specially Designated Nationals List on Tuesday (March 5, 2024) in connection with sanctions by the US Treasury on members of the Intellexa Spyware Consortium.
The Malta Times noted:
According to the [U.S.] State Department, “Dilian is the founder of the Intellexa Consortium and is the architect behind its spyware tools. The consortium is a complex international web of decentralized companies controlled either fully or partially by Dilian, including through Sara Aleksandra Fayssal Hamou. “Hamou is a corporate off-shoring specialist who has provided managerial services to the Intellexa Consortium, including renting office space in Greece on behalf of Intellexa S.A. Hamou holds a leadership role at Intellexa S.A., Intellexa Limited, and Thalestris Limited,” said the State Department.
I saw a news release from the US Department of the Treasury titled “Treasury Sanctions Enablers of the Intellexa Commercial Spyware Consortium.” That statement said:
Today, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned five individuals and one entity associated with the Intellexa Consortium for their role in developing, operating, and distributing commercial spyware technology that presents a significant threat to the national security of the United States. These designations complement concerted U.S. government actions against commercial spyware vendors, including previous sanctions against individuals and entities associated with the Intellexa Consortium; the Department of Commerce’s addition of commercial spyware vendors to the Entity List; and the Department of State’s visa ban policy targeting those who misuse or profit from the misuse of commercial spyware, subsequently exercised on thirteen individuals.
Some of these people include:
- Felix Bitzios (Bitzios), beneficial owner of an Intellexa Consortium
- Andrea Nicola Constantino Hermes Gambazzi, the beneficial owner of Thalestris Limited which holds distribution rights to the Predator spyware and has been involved in processing transactions on behalf of other entities within the Intellexa Consortium.
- Merom Harpaz, a manager of Intellexa S.A.
- Panagiota Karaoli, the director of multiple Intellexa Consortium entities that are controlled by or are a subsidiary of Thalestris Limited.
- Artemis Artemiou (Artemiou), the general manager and member of the board of Cytrox Holdings Zartkoruen Mukodo Reszvenytarsasag (Cytrox Holdings), a member of the Intellexa Consortium
- Aliada Group Inc, a British Virgin Islands-based company and member of the Intellexa Consortium
Chatter about Intellexa’s specialized software has been making noise since
In 2021, the firm used this headline on its Web site to catch attention, not of law enforcement and intelligence agencies, but other entities:
More than intelligence gathering networks — Intellexa’s innovative insight platform
And statements like
Create insights, win the digital race
The lingo is important because it is marketing oriented. Plus, in 2021, the firm’s positioning emphasized Tal Dilian’s technology. (Some of the features reminded me of NSO Group’s Pegasus with a dash of other Israeli-developed specialized software systems.
How has the marketing worked out? Since Mr. Dilian became involved with a failing specialized software developer called Cytrox in Cyprus, Intellexa matured into an “alliance.” The reinvigorated outfit operated from Athens, Greece. By 2021, Intellexa was attracting attention from several governments related to officials’ whose devices had been enhanced with the cleverly named Predator software.
That marketing expertise has put Intellexa and its “affiliates” in the spotlight. From a PR point of view, mission accomplished. The problem appears to be that one PR and marketing success has created a sticky wicket for the company. An unintended consequence is that the specialized software vendors find themselves becoming increasingly well known. From my point of view, the failure to keep certain specialized software capabilities secret has been a surprising trend.
My hypothesis is that because the systems and methods for obtaining information for legal purposes has become more widely known, more people are thinking about how they too could obtain information from an entity. One may criticize what government entities do, but these entities (in theory) are operating within a formal structure. Use of specialized software, therefore, operates within a structure which has rules, regulations, norms for conduct, and similar knobs and dials. When the capabilities are available to anyone via a Telegram download, certain types of risk go up. That’s why I am not in favor of specialized software companies practicing the Israel developed NSO Group and Intellexa style of marketing.
But the mobile surveillance cat is out of the bag. And I have been around long enough to know what happens when cats are turned loose. They market, make noise, and make more cats. And some technology can make a mobile device behave in unexpected ways or go bang.
Stephen E Arnold, September 19, 2024
Why Governments May Not Adore Mr. Musk and Mr. Zuck
September 18, 2024
This essay is the work of a dumb dinobaby. No smart software required.
When I was in grade school, my family lived in Campinas, Brazil. Today, Campinas is a quasi suburb of São Paulo. In the 1950s, not too many non-Brazilians called the small city home. I remember messages painted on the stucco walls surrounding our house. Most of them were saying, “Yanqui, vá para casa.” We had a few caricatures of Uncle Sam too. My father arranged for the walls to be repainted every two weeks, but the message was clear. Whatever the US was up to in the 1950s, some of the residents of Campinas were not too happy my family had arrived.
Two self-important young professionals find themselves excluded from a party with many important people in attendance. Neither can understand why the people throwing the party from Australia, Brazil, and the UK did not invite them. Thanks, MSFT Copilot. Good enough.
What do American companies do to engender such negative responses. There may be some clues
Flash forward to today, the sentiment of some Brazilians is unchanged. In fact, a group of Brazilian judges effectively kicked Mr. Elon Musk’s companies out of the country. The decision was adjusted to enable Mr. Musk to pay some fines. I don’t think he will be trying to hit the beach in Guaruja for some time. I learned that Mr. Musk is unhappy with Australia. “Elon Musk Outraged by Australia’s Proposed Misinformation Law” reports:
Musk dubs the Australian government ‘fascist’ for proposing a law that would require all social media platforms to comply with stricter content moderation rules.
My thought is that Mr. Musk may find that some Australians in positions of authority in the government may determine that Mr. Musk is a person who perceives himself as above the law in the country. My few experiences with the Australian government left me with the understanding that one should not kick a sleeping kangaroo.
But it is not just Mr. Musk taking actions which create pushback for the US.
Consider Mark Zuckerberg or in my lingo Mr. Zuck.
Smart software and disinformation are of concern in many countries. In some countries, one can end up in a very unpleasant rehabilitation program or just dead for creating unauthorized or off-the-reservation disinformation. “Meta Hides ‘AI Info’ Labels for Edited Content on Facebook, Instagram” reports:
Meta is reducing the visibility of "AI Info" labels on Facebook, Instagram, and Threads. Starting next week, for content modified or edited using AI tools, the label will be found in the post’s menu, the company announced in an updated blog post on Thursday. This means the labels won’t be quite as visible as before. The revised policy only applies to AI-edited content, the company says. For content generated using an AI tool, Meta will continue to display the "AI Info" label under the username and share whether media is labeled "because of industry-shared signals or because someone self-disclosed." Once the update rolls out, to check whether the content was altered using AI, users will have to tap the menu button at the top right of a post and pick "AI Info."
My thought is that this policy is likely to be scrutinized by governments in a number of other countries. Even thought Mr. Zuck is in active dialog with the EU and the UK, this policy may raise some eyebrows. In nation states assumed to be allies of the US, social disorder is evident. Thus, a service which might spark more unrest is not likely to be viewed as a net positive social good. But Mr. Zuck has his own vision, and it does not linger too long on some rules or what I would call common sense actions.
What do these two high-technology leaders think about other countries’ laws?
I would suggest that these two example illustrate behaviors which are likely to be viewed as contentious. Let’s assume the citizens of the countries with annoyed regulators rebel and protest? The answer is some strong sentiment for and against the US, its ability to control commercial enterprises operating in America may increase the likelihood of anti-US feelings.
Net net: One will have to present some solid evidence that taking actions which either directly or indirectly go against the laws in many countries is a good thing. I do know that if these behaviors escalate, the sale of spray paint will go up and America will not be among the most popular countries in some nation states. Do Mr. Musk or Mr. Zuck care? I don’t think so, but that is just my opinion.
Stephen E Arnold, September 18, 2024
A Moment to Remember: Google Explains Its Competitive Posture
September 16, 2024
This essay is the work of a dumb humanoid. No smart software required.
What happens when those with insight into the Google talk in a bar to friends? Answer: Complete indifference. Question: What happens when a former Google employee’s comments are captured in a form which can be discovered by the prosecution in a trial? Answer: A peak inside Googzilla’s kimono.
An observer is horrified by the site revealed when an ex-Google professional talks about what’s inside the Googzilla kimono. Thanks, MSFT Copilot. Good enough.
“Ex-Google Exec Said Goal Was to Crush Competition, Trial Evidence Shows” reports that Google wanted to “crush” the competition. Google wanted a “monopoly.” Here’s what the Reuters’ article reports via its “trust” filter:
“We’ll be able to crush the other networks and that’s our goal,” David Rosenblatt, Google’s former president of display advertising, said of the company’s strategy in late 2008 or early 2009, according to notes shown in court…. “We’re both Goldman and NYSE,” he said, he said, according to the notes, referring to one of the world’s biggest stock exchanges at the time and one of its biggest market makers. “Google has created what’s comparable to the NYSE or London Stock Exchange; in other words, we’ll do to display what Google did to search,” Rosenblatt said.
On the surface, Mr. Rosenblatt is articulating what some folks have been asserting for years. Several observations:
- Google has been running free for a long time. Why?
- If true, the statement makes the outcome of EU litigation almost certain. Google will have to pay and change in ways which may be resisted by the nation-state of Google
- The comment reflects the machismo of the high tech US company and its hubris. Pride and vanity are believed by some to be a fundamental sin.
So what?
- Deconstructing what Google has built over the years may be quite difficult, maybe impossible. Well, that ends one line of retribution.
- If one breaks up Google and severs advertising, who can afford to buy it. Maybe the US should punt and nationalize the outfit. Why not let GSA run it? That would be exciting in my opinion.
- Google apologizes and keeps on doing what it has been doing for the last 25 years by filing appeals, lobbying, and waiting out government lawyers who often come and go as Google says, “I was neither / Living nor dead, and I knew nothing.”
Net net: The Google is gonna Google no matter what.
Stephen E Arnold, September 18, 2024
Online Gambling Has a Downside, Says Captain Obvious
September 13, 2024
People love gambling, especially when they’re betting on the results of sports. Online has made sports betting very easy and fun. Unfortunately some people who bet on sports are addicted to the activity. Business Insider reveals the underbelly of online gambling and paints a familiar picture of addiction: “It’s Official: Legalized Sports Betting Is Destroying Young Men’s Financial Futures.” The University of California, Los Angeles shared a working paper about the negative effects of legalized sports gambling:
“…takes a look at what’s happened to consumer financial health in the 38 states that have greenlighted sports betting since the Supreme Court in 2018 struck down a federal law prohibiting it. The findings are, well, rough. The researchers found that the average credit score in states that legalized any form of sports gambling decreased by 0.3% after about four years and that the negative impact was stronger where online sports gambling is allowed, with credit scores dipping in those areas by 1%. They also found an 8% increase in debt-collection amounts and a 28% increase in bankruptcies where online sports betting was given the go-ahead. By their estimation, that translates to about 100,000 extra bankruptcies each year in the states that have legalized sports betting. The number of people who fell dangerously behind on their car loans went up, too. Oddly enough, credit-card delinquencies fell, but the researchers believe that’s because banks wind up lowering credit limits to try to compensate for the rise in risky consumer behavior.”
The researchers discovered that legalized gambling leads to more gambling addictions. They also found if a person lives near a casino or is from a poor region, they’ll more prone to gambling. This isn’t anything new! The paper restates information people have known for centuries about gambling and other addictions: hurts finances, leads to destroyed relationships, job loss, increased in illegal activities, etc.
A good idea is to teach people to restraint. The sports betting Web sites can program limits and even assist their users to manage their money without going bankrupt. It’s better for people to be taught restraint so they can roll the dice one more time.
Whitney Grace, September 13, 2024
Need Help, Students? AI Is Here
September 13, 2024
Here is a resource for, well, for those who would cheat maybe? The site Pisi.ee shares information on a course called, “How to Use AI to Write a Research Paper.” Hosted by Fikper.com, the course is designed for “high school, college, and university students who are eager to improve their research and writing skills through the use of artificial intelligence.” Research, right. Wink, wink. The course description specifies:
“Whether you’re a high school student tackling your first research project, a college student refining your academic skills, or a university scholar pursuing advanced studies, understanding how to leverage AI can significantly enhance your efficiency and effectiveness. This course offers a comprehensive guide to integrating AI tools into your research process, providing you with the knowledge and skills to excel. Many students struggle with the task of conducting research and writing about it. Identifying a research problem, creating clear questions, looking for other literature, and keeping your academic integrity are a challenge, especially with all the information available. This course addresses these challenges head-on, providing step-by-step guidance and practical exercises that lead you through the research process. What sets this course apart from others is its practical, hands-on approach combined with a strong emphasis on academic integrity.”
A strong emphasis on integrity, you say? Well that is different then. All the tools one may need to generate, er, research papers are covered:
“Tools like Zotero, Mendeley, Grammarly, Hemingway App, IBM Watson, Google Scholar, Turnitin, Copyscape, EndNote, and QuillBot can be used at different stages of the research process. Our goal is to give you a toolkit of resources that you can choose to apply, making your research and writing tasks more efficient and effective.”
Yep, just what aspiring students need to gain that “competitive edge,” as the description puts it. With integrity, of course.
Cynthia Murrell, September 13, 2024
More Push Back Against US Wild West Tech
September 12, 2024
I spotted another example of a European nation state expressing some concern with American high-technology companies. There is not wind blown corral on Leidsestraat. No Sergio Leone music creeps out the observers. What dominates the scene is a judicial judgment firing a US$35 million fine at Clearview AI. The company has a database of faces, and the information is licensed to law enforcement agencies. What’s interesting is that Clearview does not do business in the Netherlands; nevertheless, the European Union’s data protection act, according to Dutch authorities, has been violated. Ergo: Pay up.
“The Dutch Are Having None of Clearview AI Harvesting Your Photos” reports:
“Following investigation, the DPA confirmed that photos of Dutch citizens are included in the database. It also found that Clearview is accountable for two GDPR breaches. The first is the collection and use of photos….The second is the lack of transparency. According to the DPA, the startup doesn’t offer sufficient information to individuals whose photos are used, nor does it provide access to which data the company has about them.”
Clearview is apparently unhappy with the judgment.
Several observations:
First, the decision is part of what might be called US technology pushback. The Wild West approach to user privacy has to get out of Dodge.
Second, Clearview may be on the receiving end of more fines. The charges may appear to be inappropriate because Clearview does not operate in the Netherlands. Other countries may decide to go after the company too.
Third, the Dutch action may be the first of actions against US high-technology companies.
Net net: If the US won’t curtail the Wild West activities of its technology-centric companies, the Dutch will.
Stephen E Arnold, September 12, 2024
Telcos Lobby to Eliminate Consumer Protection
September 12, 2024
Now this sounds like a promising plan for the telcos. We learn from TechDirt, “Big Telecom Asks the Corrupt Supreme Court to Declare All State and Federal Broadband Consumer Protection Illegal. They Might Get their Wish.” Companies lie AT&T and Comcast have been persuading right-leaning courts, including SCOTUS, to side with them against net neutrality rules and broadband protections generally. To make matters worse, the FCC’s consumer-protection authority was hollowed out during the Trump administration.
Fortunately, states have the authority to step in and act when the federal government does not. But that could soon change. Writer Karl Bode explains:
“For every state whose legislature telecoms have completely captured (Arkansas, Missouri, Tennessee), there’s several that have, often imperfectly, tried to protect broadband consumers, either in the form of (California, Oregon, Washington, Maine), crackdowns on lies about speeds or prices (Arizona, Indiana, Michigan), or requiring affordable low income broadband (New York). In 2021 at the peak of COVID problems, New York passed a law mandating that heavily taxpayer subsidized telecoms provide a relatively slow (25 Mbps), $15 broadband tier only for low-income families that qualified. ISPs have sued (unsuccessfully so far) to kill the law, which was upheld last April by the US Court of Appeals for the 2nd Circuit, reversing a 2021 District Court ruling. … Telecoms like AT&T are frightened of states doing their jobs to protect consumers and market competition from their bad behavior. So a group of telecom trade groups this week petitioned the Supreme Court with a very specific ask. They want the court to first destroy FCC broadband consumer protection oversight and net neutrality, then kill New York’s effort, in that precise order, in two different cases.”
The companies argue that, if we want consumer broadband protections, it is up to Congress to pass specific legislation that provides them. The same Congress they reportedly lobby with about $320,000 daily. This is why we cannot have nice things. Bode believes the telcos are likely to get their way. He also warns the Chevron decision means other industries are sure to follow suit, meaning an end to consumer protections in every sphere: Banking, food safety, pollution, worker safeguards… the list goes on. Is this what it means to make the nation great?
Cynthia Murrell, September 12, 2024
Preligens Is Safran.ai
September 9, 2024
Preligens, a French AI and specialized software company, is now part of Safran Electronics & Defense which is a unit of the Safran Group. I spotted a report in Aerotime. “Safran Accelerates AI Development with $243M Purchase of French-Firm Preligens” reported on September 2, 2024. The report quotes principles to the deal as saying:
“Joining Safran marks a new stage in Preligens’ development. We’re proud to be helping create a world-class AI center of expertise for one of the flagships of French industry. The many synergies with Safran will enable us to develop new AI product lines and accelerate our international expansion, which is excellent news for our business and our people,” Jean-Yves Courtois, CEO of Preligens, said. The CEO of Safran Electronics & Defense, Franck Saudo, said that he was “delighted” to welcome Preligens to the company.
The acquisition does not just make Mr. Saudo happy. The French military, a number of European customers, and the backers of Preligens are thrilled as well. In my lectures about specialized software companies, I like to call attention to this firm. It illustrates that technology innovation is not located in one country. Furthermore it underscores the strong educational system in France. When I first learned about Preligens, one rumor I heard was that on of the US government entities wanted to “invest” in the company. For a variety of reasons, the deal went no place faster than a bus speeding toward La Madeleine. If you spot me at a conference, you can ask about French technology firms and US government processes. I have some first hand knowledge starting with “American fries in a Congressional lunch facility.”
Preligens is important for three reasons:
- The firm developed an AI platform; that is, the “smart software” is not an afterthought which contrasts sharply with the spray paint approach to AI upon which some specialized software companies have been relying
- The smart software outputs identification data; for example, a processed image can show an aircraft. The Preligens system identifies the aircraft by type
- The user of the Preligens system can use time analyses of imagery to draw conclusions. Here’s a hypothetical because the actual example is not appropriate for a free blog written by a dinobaby. Imagine a service van driving in front of an embassy in Paris. The van makes a pass every three hours for two consecutive days. The Preligens system can “notice” this and alert an operator.
I will continue to monitor the system which will be doing business with selected entities under the name Safran.ai.
Stephen E Arnold, September 9, 2024
Is Open Source Doomed?
September 6, 2024
Open source cheerleaders may need to find a new team to route for. Web developer and blogger Baldur Bjarnason describes “The Slow Evaporation of the Free/Open Source Surplus.” He notes he is joining a conversation begun by Tara Tarakiyee with the post, Is the Open Source Bubble about to Burst? and continued by Ben Werdmuller.
Bjarnason begins by specifying what has made open source software possible up until now: surpluses in both industry (high profit margins) and labor (well-paid coders with plenty of free time.) Now, however, both surpluses are drying up. The post lists several reasons for this. First, interest rates remain high. Next, investment dollars are going to AI, which “doesn’t really do real open source.” There were also the waves of tech layoffs and cost-cutting after post-pandemic overspending. Severe burnout from a thankless task does not help. We are reminded:
“Very few FOSS projects are lucky enough to have grown a sustainable and supportive community. Most of the time, it seems to be a never-ending parade of angry demands with very little reward.”
Good point. A few other factors, Bjarnason states, make organizations less likely to invest in open source:
- Why compete with AWS or similar services that will offer your own OSS projects at a dramatically lower price?
- Why subsidise projects of little to no strategic value that contribute anything meaningfully to the bottom-line?
- Why spend time on OSS when other work is likely to have higher ROI?
- Why give your work away to an industry that treats you as disposable?”
Finally, Bjarnason suspects even users are abandoning open source. One factor: developers who increasingly reach for AI generated code instead of searching for related open source projects. Ironically, those LLMs were trained on open source software in the first place. The post concludes:
Best case scenario, seems to me, is that Free and Open Source Software enters a period of decline. After all, that’s generally what happens to complex systems with less investment. Worst case scenario is a vicious cycle leading to a collapse:
- Declining surplus and burnout leads to maintainers increasingly stepping back from their projects.
- Many of these projects either bitrot serious bugs or get taken over by malicious actors who are highly motivated because they can’t relay on pervasive memory bugs anymore for exploits.
- OSS increasingly gets a reputation (deserved or not) for being unsafe and unreliable.
- That decline in users leads to even more maintainers stepping back.”
Bjarnason notes it is possible some parts of the Open Source ecosystem will not crash and burn. Overall, though, the outlook seems bleak.
Cynthia Murrell, September 6, 2024
Google Synthetic Content Scaffolding
September 3, 2024
This essay is the work of a dumb dinobaby. No smart software required.
Google posted what I think is an important technical paper on the arXiv service. The write up is “Towards Realistic Synthetic User-Generated Content: A Scaffolding Approach to Generating Online Discussions.” The paper has six authors and presumably has the grade of “A”, a mark not award to the stochastic parrot write up about Google-type smart software.
For several years, Google has been exploring ways to make software that would produce content suitable for different use cases. One of these has been an effort to use transformer and other technology to produce synthetic data. The idea is that a set of real data is mimicked by AI so that “real” data does not have to be acquired, intercepted, captured, or scraped from systems in the real-time, highly litigious real world. I am not going to slog through the history of smart software and the research and application of synthetic data. If you are curious, check out Snorkel and the work of the Stanford Artificial Intelligence Lab or SAIL.
The paper I referenced above illustrates that Google is “close” to having a system which can generate allegedly realistic and good enough outputs to simulate the interaction of actual human beings in an online discussion group. I urge you to read the paper, not just the abstract.
Consider this diagram (which I know is impossible to read in this blog format so you will need the PDF of the cited write up):
The important point is that the process for creating synthetic “human” online discussions requires a series of steps. Notice that the final step is “fine tuned.” Why is this important? Most smart software is “tuned” or “calibrated” so that the signals generated by a non-synthetic content set are made to be “close enough” to the synthetic content set. In simpler terms, smart software is steered or shaped to match signals. When the match is “good enough,” the smart software is good enough to be deployed either for a test, a research project, or some use case.
Most of the AI write ups employ steering, directing, massaging, or weaponizing (yes, weaponizing) outputs to achieve an objective. Many jobs will be replaced or supplemented with AI. But the jobs for specialists who can curve fit smart software components to produce “good enough” content to achieve a goal or objective will remain in demand for the foreseeable future.
The paper states in its conclusion:
While these results are promising, this work represents an initial attempt at synthetic discussion thread generation, and there remain numerous avenues for future research. This includes potentially identifying other ways to explicitly encode thread structure, which proved particularly valuable in our results, on top of determining optimal approaches for designing prompts and both the number and type of examples used.
The write up is a preliminary report. It takes months to get data and approvals for this type of public document. How far has Google come between the idea to write up results and this document becoming available on August 15, 2024? My hunch is that Google has come a long way.
What’s the use case for this project? I will let younger, more optimistic minds answer this question. I am a dinobaby, and I have been around long enough to know a potent tool when I encounter one.
Stephen E Arnold, September 3, 2024
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