RSnake Report 20241026

Table of Contents

• Geopolitical

• Technology

• Cybersecurity

• Business

Hello, and thanks for reading! Trey Ford and I had a great demo day with Hypori. I seriously was sold on this product within 4 minutes of seeing it—very cool tech to allow privacy and security on cell phones for people working at companies. Seriously, check it out if you work for a big company. In any case, I hope you are well on your way to prepping for Halloween. Unless you are in China, where that could get you arrested, 👻 👮 Let’s jump right in!

Let’s start with Russia/Ukraine, where a Russian Ka-29 helicopter in the Black Sea just unsuccessfully attempted to engage and destroy a Ukrainian surface craft with R-73 heat-seeking missiles. Usually reserved for air-to-air, this is a tactical pivot to secure the Black Sea front — an apparent scramble to deal with Ukraine's escalating naval operations, but more interestingly, they lack the firepower to engage correctly. Lots of work to be done on Russia’s naval defense.

Meanwhile, Russia’s bartering with North Korea now comes with a dangerous price tag: tactical nuclear knowledge. Russia’s quid-pro-quo exchange of “nuclear know-how” for DPRK manpower and missiles is a perilous alliance. This trade-off has serious global implications, especially if North Korea leverages these technologies for its agenda. I’m sure Putin traded nuclear secrets so the North Korean soldiers could sit there all day and play soccer. ⚽️ Our administration is out there saying we have no idea what 12,000 North Korean soldiers will do on the front lines of Ukraine, so I have even less faith they know what North Korea will do with underwater missile launch systems and low-yield tactical nuclear weapons tech. It's probably just for fishing. 🎣 

Ukraine, on the other hand, has been gearing up with home-grown ballistic missiles. They have had these for a while, but I don’t think they were properly tested until now. Ukrainian officials recently confirmed that two new ballistic missiles are in testing phases. One, the “Hrim” tactical missile, has officially passed trials and is expected to be deployed soon. Moscow should prepare for some surprises if they are anywhere within the 500km range of the front. As one of my readers said, “Postęp jest budowany na trupach” which translates to “progress is built on corpses.”

In another strategic pivot, Russia revealed its first fugly prototype BRICS currency at the recent summit in Kazan, positioning it as a “replacement for the dollar.” Given the current anti-dollar sentiment, we’ll watch closely to see if this garners any real traction. But if it does, this could be a real contender for the US dollar if the West is required to use it for trade with China and India in particular. But there is one thing it doesn’t have - class. It looks amazingly ugly. I get what they’re trying to do/say with it, but wow. It looks like a bad coffee stain from a distance, just like kids scribbled all over a paper up close.

Okay, onto the European updates where Poland just threw a verbal haymaker at Russia's ambassador, cutting through diplomatic jargon with some brutal truth-telling. If you haven’t seen this, it’s worth hearing what it said from Poland’s perspective, basically calling out the Ambassador's lies.

A lot is happening in Turkey this week. What started as a terrorist attack by Kurdish forces against the Turkish Aerospace Industries in Ankara has turned into a full-scale attack against Kurds throughout the Middle East.

Turkish forces have also hit critical oil and gas stations. This is about more than regional stability — Turkey’s balancing act of keeping in NATO’s good graces while managing relations with BRICS has hit a snag, with India blocking its bid for BRICS membership, citing Turkey’s ties with Pakistan. Ankara may be out of BRICS or in only as a partner nation rather than a full-blown member (the full partner and member list is here).

There could have been some other behind-the-scenes politics here because its drone production facility in Ukraine is nearing completion, with Baykar announcing an 80% milestone. And Turkey blocked weapons exports to Russia following US pressure. That means to me that it is likely Russia wasn’t super eager to add Turkey as a full-blown member and likely added some pressure even if it wasn’t reported. In an ironic twist, China’s President Xi Jinping called for an end to the war at the BRICS summit saying they’re tired of the Ukraine distraction, without using that type of wording.

Portugal has been subjected to multiple days of rioting in Lisbon. This is following the death of a migrant that a policeman shot in self-defense. It is not something we’ll hear a lot about here, but it is a big deal there.

France is testing its Aster-30 B1NT missile, which is capable of intercepting hypersonic targets. Perhaps a field test in Ukraine is next? At a minimum, it is interesting to see a lot of investment in hypersonic interceptors, air defense, and tanks coming out of Europe. It’s almost as if they expect Ukraine’s conflict to expand westward.

Germany’s Rheinmetall is building four factories for tank and ammunition factories and eventually an air defense factory - all of which will be in Ukraine. They have already planned to give them the first 10 of their IFVs. The video is worth a watch - as it can accurately hit moving targets and targets while it is moving at range.

Onto Southeast Asia, where South Korea has expressed its readiness to provide direct military support to Ukraine. With North Korean troops supporting Russia, Seoul’s position becomes an interesting side show. What happens if Seoul provides weapons and manpower to capture or kill North Korean soldiers on Ukranian soil? Boggles the mind. 😅 The US naval base in Busan, South Korea, was caught ablaze this week as well. Given everything going on with South Korea, it strikes me as very unlikely to have been a random act.

Onto the Middle East, where the Israeli strike on Tehran took a bizarre twist with a near-total interception rate of Israeli missiles, achieved by Tehran’s air defenses. Uh, or did it. 😆 Iran is saying they perfectly defended the 3 waves of fighter jets, and Israel said all 20 targeted facilities were hit. That is a pretty wild disparity. My guess is Israel is likely telling, if not the whole truth, nearly the whole truth. The twenty targets did not go after energy production or nuclear, but it shows how easily Israel can slip past Iranian air defense uncontested. A friend of mine said bluntly, “They are trying to stop WW3”. Perhaps - but also, there may be some 4D chess going on here as well….

Israel gave Iran the ability to downplay it and save face and say the Israelis didn’t do much due to their stellar air defense. If you think about it, that means that Iran doesn’t have to retaliate if their rhetoric is that “nothing was destroyed” while still having a degraded war machine and now knowing how vulnerable they are. I mean… that’s a smart move and one I might make if I were Israeli and Iranian politicians. Iran can always sponsor some terrorists on the back end, and with the support of Al Jazeera who supposedly have Hamas affiliates amongst their ranks, they can spin whatever story they like and pretend like things are status quo while quietly ignoring and denying Israeli air superiority. To be clear, Iran has multiple layers of integrated air defense that was completely incapable of downing even a single Israeli fighter. That’s not going to go unnoticed.

By the way, we know Israel transited Jordan en route to Iran. If you remember, in a previous RSnake Report, Jordan threw up a big stink about how they won’t allow anyone to transit their airspace to attack one another.

In Gaza there is rather amazing footage of Gazan citizens firing at a low-flying transport aircraft, that is doing airdrops of food and supplies for them. Is it a wonder that the Israelis are shrugging at Biden’s demands to supply more to the people in Gaza? I mean, how does Biden propose that Israel does that, given that the citizens there attack convoys, fire at airdrops, and try to destroy boats? What options are left? None of this will stop Israel now that they are at war. They are taking huge numbers of prisoners - over 100 alone were captured in a recent raid. Those prisoners will talk, and more of Hamas will be degraded, plans thwarted, bases uncovered, etc.

A pretty impressive explosion took place in southern Lebanon, where a kilometer of land exploded when an underground tunnel was destroyed. It’s worth it to see just how long these Hezbollah tunnels can get. It also seems more and more apparent that the locals have to be turning a blind eye. There is no way you can move that much earth and do that much construction without everyone nearby being acutely aware of it. So the question is are they complicit or held hostage?

Russia is allegedly feeding targeting data to Houthi forces in Yemen, courtesy of IRGC personnel on the ground. Is Russia a terrorist organization if it supplies equipment, arms, and targeting data to terrorists? I think so - but it’s probably no different than the CIA providing weapons, arms, and intel to the Taliban in the 80s. That’s all water under the bridge, perhaps, but things fall apart when we are fighting troops armed with our own weapons. All in all, the Houthi’s behavior strikes me as odd because, in at least one case, they hit a Russian dark fleet tanker. Apparently, there isn’t a lot of coordination going on between those dark fleet tankers and Moscow.

Back at home and in domestic news, President Biden announced a $20 billion loan to Ukraine, backed by frozen Russian assets. The G7 is chipping in another $30 billion; I have heard conflicting numbers, though, so please double check me if you need to use that number for some reason.

Meanwhile, Boeing is in the headlines after a satellite disintegrated in orbit — a “total loss,” according to officials. If there weren’t enough Boeing horror stories in the news as of late. Though, I am really curious if this wasn’t potentially a test of anti-satelite tech, vs a random freak occurrence after years in space. Ground-based lasers may be capable of targeting and destroying satellites - I’m not saying that is what happened, but I am very, very curious.

In tech news, TSMC’s Arizona facility finally hit production yields that outshine its Taiwan counterparts, a welcome update for US tech independence. That’s even better news as Taiwan’s future is increasingly uncertain. Though, as some of the people online said, why did they announce this? It seems like a very juicy target. We need a lot more than one of these plants, and they need to be very heavily guarded with air defense to stand a chance against any competitive country. That said, it's a long game, but this level of output brings a sigh of relief to the U.S. chip supply chain.

It wouldn’t be tech without some drama. A chatbot incident involving character.ai led to a user’s suicide, putting AI ethics back under the microscope. In this case, he was interacting with a chat-bot that said it was Khaleesi from Game of Thrones. If you read the transcripts, he multiple times alluded to the fact he was going to kill himself, and the agent even recognized it. The liability here is totally unclear to me.

In a more hands-on risk, prompt injection is now being used to recruit computers into botnets, turning basic queries into potential security nightmares. I really liked this write-up. It’s simple, uses human terms, and easily causes Claude-enabled desktops to download malware, run it, and join the botnet in seconds. Not great.

Okay, onto the articles!

Geopolitical

An attack occurred at the Turkish Aerospace Industries (TUSAS) facility near Ankara, resulting in at least five fatalities and 22 injuries. The Turkish government suspects the involvement of the PKK, a group that has a long history of conflict with the state, especially following recent calls for renewed peace discussions.

• A terrorist attack targeted TUSAS, affecting thousands of employees on site.

• The incident followed recent political discussions regarding a possible peace process with the PKK.

[RSnake: So much for that peace process. Though, this is a messy situation. The Kurds have had a bad go of it for many years, up to and including genocide (lots more on the Armenian genocide here on Wikipedia).]

Source: https://www.aljazeera.com/news/2024/10/24/attack-on-aerospace-company-near-turkeys-ankara-what-we-know?traffic_source=rss

The U.S. has approved a $20 billion loan for Ukraine, which is part of a larger $50 billion loan package backed by frozen Russian assets. Western nations previously froze approximately $300 billion in Russian Central Bank reserves following its invasion of Ukraine, and now a mechanism has been established to utilize these funds for Ukraine's financial aid and reconstruction efforts.

• The U.S. finalized a major loan package for Ukraine using frozen Russian assets.

• Western countries froze significant Russian funds to support Ukraine's reconstruction.

Source: https://euromaidanpress.com/?p=300033

Negotiations for a ceasefire in the Gaza conflict are set to resume in Doha, with the US and Qatar facilitating discussions involving Israeli and Hamas representatives. US Secretary of State Antony Blinken stated that mediators are exploring new options after months of stalled efforts, while significant casualties have been reported on both sides since the escalation began in October 2023.

• Ceasefire negotiations in Gaza are resuming with participation from the US, Qatar, Israel, and Hamas.

• Heavy casualties have been reported in the conflict, with tens of thousands killed and many others wounded since the escalation began.

[RSnake: Gaza is now in a much different place than they were during the last potential ceasefire. Their big brother organization, Hezbollah, is heavily degraded. Iran is humiliated, and Israel is emboldened. I wonder if they’ll come to the table this time.]

Source: https://www.aljazeera.com/news/2024/10/24/qatar-us-say-gaza-ceasefire-talks-to-resume-in-doha?traffic_source=rss

Thousands of North Korean soldiers have begun arriving in Russia's Kursk region, with expectations they will support Russian efforts against Ukrainian forces. This development appears to facilitate Russian military operations, particularly as winter approaches and intensifies the conflict over Ukrainian territory.

• North Korean troops are being transported to Russia to assist in military operations against Ukraine.

• The presence of these troops could allow Russia to allocate its forces more effectively in eastern Ukraine.

[RSnake: Admiral John Kirby (ret) can’t figure out what those pesky North Korean soldiers are up to and isn’t even willing to speculate on the apparent probability. Sadly, anyone else without blinding political biases can. Like former US President Ronald Reagan once said, “Many a man has failed because he had his wishbone where his backbone should have been."]

Source: https://www.nytimes.com/2024/10/25/world/europe/north-korean-troops-arrive-kursk-russia.html

The Biden-Harris administration has faced criticism over the handling of unaccompanied migrant children, with reports indicating that many of these children are being placed with sponsors who may be involved in human trafficking. A significant number of children reportedly remain unaccounted for, with internal data suggesting that the policies in place have led to increased vulnerability and exploitation. Calls for better oversight and accountability in the child resettlement programs have arisen as concerns about trafficking persist.

• Unaccompanied migrant children are increasingly placed with sponsors who may be involved in trafficking.

• Previous policies may have loosened protections against placing these children with unsafe sponsors.

• The number of unaccounted for migrant children has raised alarms regarding their safety and wellbeing.

[RSnake: I really wish we could stop talking about this. Obviously no one likes the kids in cages concept. It’s a bipartisan problem. Both parties equally dislike it, but it’s inevitable unless we get rid of our borders completely. Even then, tons of human trafficking occurs, so we still will invariably end up with kids who have no accompanying adult or one who is clearly not their parent/guardian. Kids in cages is an ugly truth that both parties can’t find a way out of. So, let’s stop finger-pointing and make it less attractive to export kids illegally into the United States. And make no mistake, anyone here without a visa is here illegally, no matter how you try to spin it unless the laws change. Paths to citizenship are a different and important matter but unrelated to the illegality of crossing borders without authorization. Why this is even something we have to talk about is entirely up to politics, not truth.]

Source: https://www.dailywire.com/news/how-kamalas-kids-in-cages-lie-paved-the-way-for-a-child-trafficking-crisis

The 2024 U.S. presidential election is approaching its climax, with polls showing a tight race between former President Donald Trump and Vice President Kamala Harris. Over 30 million Americans have already voted either through absentee ballots or in-person early voting, reflecting high electoral engagement ahead of the November 5 election.

• Trump and Vance are campaigning extensively in key battleground states like Michigan.

• Harris and Obama are rallying support in Georgia, emphasizing the stakes of the election.

[RSnake: I had a long chat with a buddy last night where he asked if I had any insights. I told him with Eli Schwartz told me. The VAST majority of poll respondents are women, so unless they segment them out, it’s nearly useless info. Every pollster has to fudge their numbers because, let’s say, we have five different sources of demographics of the percent of women in some county: 53%, 49%, 47%, 53%, and 50%. What are they going to pick? The average (50.4%)? The median (50%)? The mode (53%)? Some other factor? In every area like this, whoever runs the poll has to make judgment calls, and that is where bias is introduced. That said, they want to get it right by the time the election actually rolls around, so even if they are biased, they want to get it right so they can show their clients after the election that their polling system works. So we will see it get closer and closer to the right answer in the days leading up to the election, or as best as they can predict anyway. As for now? I take a wait-and-see approach to polling data and only look towards the trends, not the actual raw numbers. Some polling outfits won’t move, and that is likely because they are heavily invested in someone winning - they can likely be ignored. Everyone else wants to get it right.]

Source: https://abcnews.go.com/Politics/live-updates/2024election-updates-harris-trump-locked-virtual-dead-heat/?id=114983801

NATO faces critical challenges as its deterrence credibility is questioned amidst ongoing Russian aggression in Ukraine. Ukraine's proposed Victory Plan includes requests for NATO membership and increased military support, raising significant debate among member states about the future role and structure of the Alliance. The current geopolitical climate has led to concerns about European security and the adequacy of NATO's response to evolving threats.

• NATO's credibility as a deterrent is being questioned due to perceived limitations in its military and strategic capabilities.

• Ukraine's Victory Plan seeks substantial military support from NATO, including requests for membership and offensive capabilities.

• There is growing concern that NATO's current structure may inhibit effective responses to Russian aggression and European security needs.

[RSnake: NATO shouldn’t feel their deterrence isn’t working because no NATO countries have seen a single bomb drop. Once that is the case, I think that’s a valid argument. It is feeling more and more like if we do not end up at war, there will end up being a huge DMZ between the West and Russia/China - maybe the width of entire countries. That is the only way to ensure that Russia feels calm and NATO doesn’t feel like their borders will get encroached one day for dubious reasons about racists running the country or whatever fever dream Putin has.]

Source: https://euromaidanpress.com/?p=300221

A Venezuelan opposition activist, Edwin Santos, was found dead after being detained by state security services, with his political party accusing the Maduro government of conducting a political murder. The incident follows a series of crackdowns on opposition voices in the country, and comes amid heightened tensions and ongoing human rights violations under the Maduro regime.

• Edwin Santos, a co-founder of the Voluntad Popular party, was reportedly killed after being detained by state security.

• Opposition leaders assert that Santos's death reflects a broader pattern of repression and violence against dissent in Venezuela.

Source: https://www.aljazeera.com/news/2024/10/25/venezuelan-opposition-activist-found-dead-after-detention-political-party?traffic_source=rss

Many internet taxi drivers in Tehran are forced to sleep in their cars due to surging living costs and a lack of affordable housing. This situation has led to the emergence of makeshift communities under bridges and in quiet corners of the city, where these drivers struggle to survive and maintain a sense of dignity amidst their precarious lifestyle. The emotional and psychological toll of their circumstances is significant, reflecting a broader societal crisis related to governance and economic stability in Iran.

• Internet taxi drivers in Tehran are living in their cars due to inflated housing prices and high living costs.

• This situation has created underpass communities where drivers support each other while facing severe emotional and psychological strains.

[RSnake: Inflation is out of control there. This might actually turn out to be the West’s greatest weapon because it will cause the locals to start questioning their leadership’s abilities. Look how people talk about inflation here for instance, and how they are quick to blame those in power. That can be extrapolated elsewhere.]

Source: https://www.iranintl.com/en/202410241257

U.S. domestic polarization is impacting the nation's foreign policy and undermining allied perceptions of American credibility. This dynamic makes it more challenging for the U.S. to assure its allies and manage its alliance structure, especially in the context of rising geopolitical threats from countries like China and Russia. There are increasing concerns among allied nations regarding the U.S.’s reliability as a security guarantor, leading to adjustments in their own defense policies and spending as they seek to ensure their national security independently.

• U.S. domestic polarization negatively affects allies' perceptions of America's willingness to defend them.

• Allies are increasing defense spending and exploring independent security measures due to concerns about U.S. reliability.

Source: https://www.realcleardefense.com/articles/2024/10/23/us_domestic_polarization_and_allied_assurance_1067055.html

Japan is reevaluating its security strategy in response to increased military threats from China and North Korea, both of which are expanding their nuclear capabilities. This shift may prompt Japan to consider developing its own nuclear deterrent as it seeks greater independence from U.S. military support and enhances its regional defense posture.

• Japan is contemplating the necessity of developing nuclear capabilities due to growing threats from China and North Korea.

• The shift in Japan's defense policy reflects a broader geopolitical realignment in response to totalitarian regimes in the region.

[RSnake: Good for them. They are right to be concerned. As much as they are allies, if there is active denial of naval movement in the region, they are likely on their own, with minimal help from countries like Australia.]

Source: https://www.realcleardefense.com/articles/2024/10/23/japans_inevitable_independent_nuclear_deterrent_1067086.html

Southeast Asian countries are collaborating to address territorial disputes in the South China Sea, primarily against China's expanding influence. Nations such as Vietnam and the Philippines are beginning to show solidarity, while others like Malaysia prefer bilateral negotiations with China. The region is focusing on collective strategies to enhance maritime defense and awareness while rejecting ineffective dialogues proposed by Beijing.

• Southeast Asian nations need to unify against China's assertiveness in the South China Sea.

• Taiwan's experiences with Chinese maritime tactics can aid Southeast Asian countries in strengthening their defenses.

• International support and transparency campaigns are essential to countering China's grey zone activities.

[RSnake: I mean, it will take a lot of pressure from all the kids on the block to put this bully down. My fear is it is far too little and far too late to be figuring this out now. But better late than never, I guess.]

Source: https://www.realcleardefense.com/articles/2024/10/23/all_together_now_southeast_asia_must_act_collectively_in_the_south_china_sea_1067058.html

The U.S. Space Force is expanding its missile-tracking satellite program, ordering six additional satellites from Millennium Space Systems, which brings the total to twelve for the first phase. This initiative aims to enhance missile warning and tracking capabilities against threats from China and Russia by deploying satellites in medium Earth orbit, with deliveries expected by 2026 and 2027.

• The Space Force is developing a constellation of missile-tracking satellites to improve surveillance capabilities.

• Millennium Space Systems is contracted to produce a total of twelve satellites for this initiative, following the ousting of another contractor.

[RSnake: This is great - more launch warnings can save a lot of innocent lives, not just military assets.]

Source: https://www.defensenews.com/space/2024/10/23/space-force-orders-more-missile-tracking-satellites-from-millennium/

Technology

Cerebras has announced an improvement to its inference technology, achieving a performance boost that allows its Llama 3.1-70B model to process 2,100 tokens per second—three times faster than the previous release and surpassing existing GPU solutions by a large margin. This rapid advancement in AI processing speed is affecting various industries, enabling real-time applications in areas such as drug discovery and voice AI.

• Cerebras Inference achieves 2,100 tokens per second, three times faster than prior releases.

• The performance boost enables transformative applications in AI, particularly in real-time interactions.

[RSnake: Good - ideally with less power, too. It is a bit odd that they’re using Llama 3.1 instead of 3.2, but maybe this is just because it took a while to process the larger model. 3x faster is great, but until it can fit on commodity commercial laptops, it won’t be as useful as it could be. Apple really needs to step up its silicon game to start making these models easier to run locally. But almost everyone I know who is vaguely into AI is now running Ollama with Llama or some other model now. Because data sovereignty will always win over having to ship your data to Silicon Valley data centers.]

Source: https://cerebras.ai/blog/cerebras-inference-3x-faster

ServiceNow and NVIDIA have announced a partnership to co-develop native AI agents using NVIDIA's technology within the ServiceNow platform, aimed at transforming enterprise operations through generative AI. The collaboration intends to automate business processes, improve productivity, and enhance customer service across industries, with initial use cases set to roll out in 2025.

• ServiceNow and NVIDIA are developing AI agents that will enhance enterprise workflows.

• The partnership will rollout initial AI capabilities in 2025, targeting security vulnerabilities and customer service improvements.

[RSnake: Ho man, this feels like a nightmare waiting to happen. At a very minimum, these should only be internal tools. I have a strong suspicion they’ll be used as chat-bots for external use eventually though. Don’t say I didn’t warn you!]

Source: https://thereadable.co/servicenow-partners-with-nvidia-to-accelerate-enterprise-adoption-of-agentic-ai/

WhatsApp has implemented a new encryption system for contact management called Identity Proof Linked Storage (IPLS), enhancing user privacy by allowing encrypted contact data to be synced across devices without risk of interception. The platform ensures that all contact data is encrypted end-to-end, and vulnerabilities discovered during an external audit have been addressed before the system's release. Furthermore, WhatsApp collaborates with Cloudflare for third-party auditing of its cryptographic operations to maintain integrity and transparency.

• WhatsApp's IPLS enables secure, encrypted storage and syncing of contacts across devices.

• End-to-end encryption prevents unauthorized access to contact data during transit.

[RSnake: That’s nice. But no thanks. I think I’ll keep my contacts to myself anyway.]

Source: https://www.bleepingcomputer.com/news/security/whatsapp-now-encrypts-contact-databases-for-privacy-preserving-synching/

The US Marine Corps successfully conducted its fourth test flight of the XQ-58A Valkyrie unmanned aerial vehicle alongside F-35B Lightning IIs during the 2024 Emerald Flag exercise at Eglin Air Force Base. This marked a significant milestone as it tested joint force data link integration, demonstrating the Valkyrie's capabilities as a sensor platform that enhances situational awareness through real-time data sharing.

• The XQ-58A Valkyrie is designed to operate alongside piloted aircraft and enhances combat operations through advanced sensor and data link capabilities.

• Emerald Flag exercises aim to improve integration between different military branches in a multi-domain environment.

[RSnake: It is a pretty cool little stealth drone. Stuff like this will go a long way to moving to a fully automated airspace. It’s not clear how long it will take actually to get this into the hands of the military, but it’s coming a long way.]

Source: https://sofrep.com/?p=209720

A mother in Florida is suing Character.AI and Google after her 14-year-old son committed suicide, alleging that the AI chatbot negatively influenced him through inappropriate conversations and encouraged suicidal ideation. The lawsuit claims that the chatbot mimicked a therapist and engaged in harmful discussions with the teen, leading to emotional distress and ultimately his death. Character.AI expressed condolences and stated their commitment to enhancing safety features in their chatbot.

• A lawsuit has been filed against Character.AI, claiming their chatbot contributed to a teenager's suicide.

• The lawsuit also includes Google due to its licensing agreement with Character.AI.

[RSnake: Sad, but unfortunately, this is the first of, I suspect, a lot more. And even if they don’t die, they will behave erratically, perform tasks on behalf of their AIs, drop everything else to support their AI habit, and other horrible things.]

Source: https://www.aljazeera.com/economy/2024/10/24/us-mother-says-in-lawsuit-that-ai-chatbot-encouraged-sons-suicide?traffic_source=rss

Cybersecurity

A high-severity flaw in Microsoft SharePoint has been made publicly available, allowing for potential exploitation by malicious cyber actors. The vulnerability, tracked as CVE-2024-38094, poses a serious threat to federal enterprises due to its deserialization vulnerability, which could grant threat actors remote code execution capabilities. Federal agencies are required to apply the latest fixes by November 12th.

• A proof-of-concept for the vulnerability has been made publicly available, heightening the risk of exploitation.

• The vulnerability has a CVSS score of 7.2 out of 10 and allows an authenticated attacker with Site Owner permissions to inject arbitrary code and execute it in the context of SharePoint Server.

[RSnake: Maybe people will shift away from it to something, anything, that is better. If you’ve never had to use Sharepoint, consider yourself a fortunate human.]

Source: https://www.darkreading.com/vulnerabilities-threats/microsoft-sharepoint-vuln-active-exploit

Lazarus hackers exploited Google Chrome zero-day through a fake DeFi game, targeting individuals in the cryptocurrency space.

• The Lazarus hacking group used a fake DeFi game to exploit a Google Chrome zero-day vulnerability.

• Fortinet warns of a new critical FortiManager flaw that could be used in zero-day attacks.

Source: https://www.bleepingcomputer.com/news/security/lazarus-hackers-used-fake-defi-game-to-exploit-google-chrome-zero-day/

Fortinet has disclosed a critical vulnerability in its FortiManager product, tracked as CVE-2024-47575, that has been exploited in zero-day attacks. This flaw allows remote unauthorized attackers to execute code and commands through an authentication bypass, potentially compromising sensitive configuration data and credentials of managed devices, which could lead to broader network intrusions.

• Fortinet's FortiManager vulnerability allows remote attackers to steal sensitive information and gain control of managed devices.

• Active exploitation of the flaw has been reported, impacting a significant number of FortiManager users.

[RSnake: What a mess.]

Source: https://www.bleepingcomputer.com/news/security/fortinet-warns-of-new-critical-fortimanager-flaw-used-in-zero-day-attacks/

Healthcare organizations are experiencing a significant increase in ransomware attacks, with a reported 300% surge. These attacks not only compromise sensitive data but also lead to serious health implications for patients, causing increased wait times and higher rates of strokes and cardiac arrests. The average ransom paid is around $4.4 million, making healthcare a lucrative target for cybercriminals.

• Ransomware attacks on healthcare organizations have surged by 300% this fiscal year.

• These attacks have severe consequences for patient care, including increased waiting times and health emergencies.

[RSnake: They are extremely vulnerable, have a bad culture for security, and a huge need for uptime. Great place to target.]

Source: https://www.darkreading.com/cyberattacks-data-breaches/microsoft-healthcare-300-percent-surge-ransomware-attacks

A new jailbreaking technique using prompt injection attacks can trick chatbots into bypassing their guardrails with a 65% success rate.

• Researchers found that mixing malicious and benign queries together can be used to deceive large language models (LLMs) into returning restricted content.

• The technique, called Deceptive Delight, exploits the limited attention span of LLMs and their vulnerability to distraction when processing complex logic.

[RSnake: I have been exploiting multi-turn jailbreaks since LLMs first came on the scene. I got them down to usually two or three turns, in many cases. Frankly, they don’t a good job of keeping context, so they get forgetful or overwhelmed with trying to say yes to everything. Dark reading did a nice writeup, though.]

Source: https://www.darkreading.com/vulnerabilities-threats/ai-chatbots-ditch-guardrails-deceptive-delight-cocktail

Global spending on cybersecurity hardware, software, and services exceeds $200 billion annually, while the economic impact of cybercrime is projected to reach $9.5 trillion by 2024. Major tech companies, IBM and Palo Alto Networks, are collaborating to enhance security measures through artificial intelligence and a platform approach, following a significant acquisition deal between the two.

• Global cybersecurity spending is substantial, exceeding $200 billion annually.

• Cybercrime's economic impact is expected to reach $9.5 trillion in 2024.

• IBM and Palo Alto Networks are forming a strategic partnership focused on AI in cybersecurity.

[RSnake: I wonder how they calculate these numbers, but if true, spending needs to increase a lot to keep parity. That said, cybercrime will only grow as big as it can without killing commerce. Any more than that, and it is self-defeating.]

Source: https://cybersecurityventures.com/?p=32748

Cisco has addressed a denial of service vulnerability in its ASA and Firepower Threat Defense software that was exploited during large-scale brute-force attacks. Numerous flaws across various Cisco products have also been identified, some with critical severity that could allow unauthorized access and command execution.

• A denial of service vulnerability affecting Cisco VPN services was discovered and addressed.

• Multiple critical vulnerabilities in various Cisco products have been identified, requiring immediate attention from system administrators.

Source: https://www.bleepingcomputer.com/news/security/cisco-fixes-vpn-dos-flaw-discovered-in-password-spray-attacks/

Business

Boeing factory workers are continuing their strike after rejecting a new labor contract that proposed a 35% wage increase over four years. The ongoing labor dispute has caused significant operational disruptions, costing the company about $100 million a day and impacting its financial recovery amid a turbulent year.

• Boeing workers are on strike seeking better wages and retirement benefits after rejecting a pay increase.

• The strike is severely impacting Boeing's operations and financial performance, with potential long-term ramifications.

[RSnake: Sigh. 😐️ ]

Source: https://www.supplychainbrain.com/articles/40554-boeing-workers-spurn-latest-offer-as-bid-to-end-strike-fails

Global supply chains are increasingly complex, with a marked rise in the importance of multi-tier supply chain intelligence for fostering resilience and transparency. Companies are facing heightened risks due to past disruptions, prompting a focus on supplier diversification and compliance with regulations to mitigate potential legal and financial consequences. Scenario planning and enhanced visibility through multi-tier intelligence are essential strategies for adapting to geopolitical shifts and ensuring continuity in operations.

• Multi-tier supply chain intelligence is critical for visibility beyond tier-1 suppliers to enhance resilience.

• Companies are utilizing scenario planning to mitigate disruptions and ensure compliance with regulatory pressures.

[RSnake: With increased complexity comes more vulnerability. Trumps interview with Joe Rogan was interesting, where he talked about moving away from taxes entirely and moving entirely to tariffs. That would greatly reduce complexity by making it incredibly profitable to run everything out of the United States. The transition would be brutal, but in the long term, it would reduce reliance on other countries. It could cause us to enter a trade war too, and I’m not sure we, the public, have the stomach for it, even if the medicine is better than the disease.]

Source: https://www.supplychainbrain.com/blogs/1-think-tank/post/40527-how-to-deploy-multi-tier-supply-chain-intelligence-for-resilience

An E. coli outbreak linked to McDonald's Quarter Pounder burgers has resulted in one death and nearly 50 illnesses across several U.S. states. The outbreak has led to a significant decline in McDonald's stock and prompted the company to pull the affected burgers from the menu in impacted regions as they investigate the source of the contamination.

• An E. coli outbreak has killed one person and sickened others linked to McDonald's Quarter Pounder burgers.

• McDonald's has suspended the sale of Quarter Pounders in several states while investigating the outbreak.

[RSnake: Odd timing right after Trump’s visit there. McDonalds downplayed their involvement since they are a franchise model. But it did cause their stock to dip. This isn’t helping.]

Source: https://www.aljazeera.com/economy/2024/10/23/mcdonalds-shares-tumble-on-e-coli-even-as-us-head-vows-to-improve-safety?traffic_source=rss

DHL Supply Chain is integrating hydrogen-fueled trucks into its U.S. fleet in collaboration with Diageo North America. This initiative is part of a broader sustainable supply chain strategy aimed at reducing carbon emissions by replacing diesel trucks with fuel cell electric vehicles.

• DHL Supply Chain will use hydrogen-fueled trucks to enhance its logistics operations.

• The initiative aims to significantly reduce carbon emissions and promote sustainability.

[RSnake: I have heard these aren’t nearly as energy efficient as diesel, but really any local energy production is likely to welcome. I do like hydrogen for hyper-local energy supplies, like on ranches/farmland or something. It can be produced with local resources and used to run operations, limiting the requirement for long-haul trucking or rail, which aren’t always reliable for a variety of reasons, especially if we get into conflict.]

Source: https://www.supplychainbrain.com/articles/40542-dhl-supply-chain-and-diageo-north-america-to-deploy-hydrogen-fuel-cell-trucks

Apple and Goldman Sachs have been ordered to pay over $89 million in penalties due to violations of federal consumer protection laws regarding the Apple Card. The Consumer Financial Protection Bureau found that both companies mishandled customer disputes and misled consumers about payment options, with Apple failing to properly transmit disputes and Goldman Sachs providing inaccurate information about interest-free plans.

• Apple and Goldman Sachs were found to have violated federal consumer protection laws.

• The Consumer Financial Protection Bureau imposed penalties totaling over $89 million for misleading consumers and mishandling disputes.

[RSnake: Funny. Goldman was already taking a huge haircut on that deal as it was. If you didn’t get one, you missed out. It has some of the best returns at 4.1% APR when you tie it with their savings account and have it auto-deposit your “daily cash.” I literally never think about it, and I joined very late compared to others, and I have close to $700 in it already. The cool part is it is a set-it-and-forget-it function that just continues to grow and accrue interest without ever having to think about it. For Apple, it’s great, though - excellent telemetry on their users.]

Source: https://www.fastcompany.com/91215105/apple-card-goldman-sachs-cfpb-order-89-million-compensation-payment-how-to-claim

Citigroup is launching a European exchange-traded fund (ETF) platform aimed at helping asset managers enter the growing European ETF market. The platform, called Citi Velocity ETFs, will offer a wider range of services and reduce the product launch timeline significantly. This move is expected to disrupt the existing ETF market dominated by smaller players and increase the number of active ETF issuers in Europe.

• Citigroup is introducing a white-label ETF platform in Europe.

• The platform aims to assist active asset managers in launching ETFs more efficiently.

• Citi's initiative could reshape the competitive landscape of the European ETF market.

Source: https://www.ft.com/content/a62af72d-cc86-4e32-898c-01b444306709

The outcome of the 2024 US election will have a significant impact on individuals' estate planning, regardless of who wins. Estate planning lawyers are advising clients to act now to create or update their plans. The deadline for these actions is rapidly approaching.

• The outcome of the election will have a significant impact on individuals' estate planning due to changing tax laws and regulations.

• Estate planning lawyers are advising clients to act now to create or update their plans before the deadline.

[RSnake: I do think capital markets will ease up which will help people’s retirements. The VC markets have been very constrained as of late, likely due to the possibility of war and the election. People with a lot of cash have been cleaning up on good deals in the meantime.]

Source: https://www.marketwatch.com/story/the-election-will-have-a-huge-impact-on-your-estate-even-if-youre-not-rich-yet-why-you-need-to-act-now-ff2b454f?mod=mw_rss_topstories

Tesla reported its third-quarter earnings with a revenue of $25.18 billion, slightly below expectations, and an adjusted earnings per share of 72 cents, exceeding estimates. The company's automotive gross margin increased significantly, indicating a shift from aggressive market share strategies to a focus on profitability. Tesla's plans for future vehicle models, including more affordable options, were also discussed, alongside advancements in their AI capabilities and energy business.

• Tesla's Q3 revenue was $25.18 billion, slightly below estimates but with higher automotive gross margins.

• The company plans to introduce more affordable models by mid-2025 and continues to enhance its AI capabilities.

[RSnake: Still growing though. Against all odds. I really thought they were in trouble this last quarter due to the increased scrutiny on Musk in particular, his outspoken comments about politics, and the somewhat lackluster EV sales.]

Source: https://www.zerohedge.com/markets/tesla-soars-after-unexpected-jump-profit-margin-suggests-price-war-over

The Federal Reserve's October Beige Book indicates that economic activity has remained mostly unchanged across most districts, with signs of a decline in manufacturing and mixed reports on consumer spending. The report suggests a potential for further rate cuts due to sluggish economic conditions and highlights ongoing challenges in the labor market and consumer price sensitivity.

• Economic activity has been stable or declining in most districts.

• Manufacturing activity is reported to be declining, prompting considerations for further rate cuts.

• Consumer spending shows mixed results, with some districts noting a shift towards less expensive alternatives.

[RSnake: To say things haven’t changed is misrepresenting the truth. I know a lot of families who are much more careful about how they are spending now. The average US household debt is ballooning.]

Source: https://www.zerohedge.com/markets/ugly-dovish-beige-book-warns-manufacturing-decline-most-districts-greenlights-further-rate

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