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Silicon Valley Bank (SVB), a major lender to technology startups, collapsed on Friday and was shut down by U.S. regulators following a run on deposits.
The bank and its nearly $175B in customer deposits were placed in control of the U.S. Federal Deposit Insurance Corporation (FDIC) in what is considered the biggest bank failure since the 2008 financial crisis.
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SVB, which served many U.S. venture-backed companies, is now considered the second-largest bank failure in U.S. history after Washington Mutual in 2008.
Earlier on Friday, it was reported that the tech-focused lender was attempting to find a buyer after it failed to raise capital through an emergency sale.
Now, the FDIC has taken control of the bank and is acting as a receiver.
The independent government agency formed a new bank, the National Bank of Santa Clara, to hold deposits, and insured depositors should have access to their funds by Monday, March 13.
Customers with deposits over $250,000, the max covered by FDIC insurance, will receive certificates for their uninsured funds. The FDIC urged customers with over $250,000 to contact the agency.
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The shares of SVB plummeted on Thursday, triggering a sell-off that caused the four largest banks in the U.S. to lose $52B in market value.
The social security numbers and other sensitive personal information of U.S. House members and staff were exposed in a data breach this week, according to House leaders.
The leaked data came from DC Health Link, a health insurance marketplace used by Congress members and others. The FBI and U.S. Capitol Police are now investigating.
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The FBI said it was able to purchase the sensitive personal information on the dark web. The data included the names of enrollees' spouses, their dependent children, home addresses, and social security numbers.
The breach significantly raises the risk that Congress members, staffers, and their families could be targeted by "identity theft, financial crimes, and physical threats," according to a letter by House Speaker Kevin McCarthy and House Minority Leader Hakeem Jeffries.
According to House Chief Administrative Officer Catherine Szpindor, it doesn't appear that House members were specifically targeted in the attack. The size and scope of the breach remain unclear.
While the attack also affected Senators and their staffers, it did not leak data beyond their names and family members' names.
Meta Platforms announced that it's working on a decentralized social media platform where users will be able to share text updates.
The standalone network, codenamed P92, would compete with Twitter and Mastodon.
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- P92 would use Instagram's branding. Users would log in using their Instagram credentials.
- The separate app would support the decentralized social networking protocol known as ActivityPub, which also powers Mastodon.
- It would enable users to set up or join different servers, though a feature would let users “broadcast posts to people on other servers,” according to Moneycontrol.
- A Meta spokesperson said the company sees "an opportunity for a separate space where creators and public figures can share timely updates about their interests."
- Meta hasn't announced a launch date yet.
Apple and supply partner Foxconn were among the companies to successfully lobby for labor law changes in the southern Indian state of Karnataka, where Foxconn is planning a new iPhone factory.
The amendment now allows for 12-hour shifts and night-time work for women.
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The two-shift production is similar to what the companies currently employ in China.
The amendment allows for one of India's "most flexible working regimes," according to the Financial Times, which first reported the news.
Foxconn told lawmakers that the changes would be crucial to support efficient manufacturing at the plant at scale.
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Last week, it was reported that Foxconn planned to invest $700M in the Karnataka plant, which is expected to make iPhone parts and create around 100,000 jobs.
The facility marks the latest effort by the Taiwanese company and others to shift electronics manufacturing away from China.
Karnataka could become a prime alternative base for that manufacturing.
Apple is expected to release a third-generation HomePod with a 7-inch screen in the first half of 2024, predicts Apple analyst Ming-Chi Kuo.
It would be the first HomePod smart speaker to feature a full display, potentially appearing as a dual speaker and iPad.
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- According to Kuo, the device could feature tighter integration with Apple's other hardware.
- It would represent a notable “shift in the company’s smart home strategy," he wrote in a Medium post.
- Chinese company Tianma is expected to manufacture the smart speaker's display panel, marking its first partnership with Apple.
- If all goes well, Apple may source panels for future iPads from the company, according to Kuo.
- Last summer, Bloomberg's Mark Gurman reported that Apple may be working on a HomePod with a speaker, FaceTime camera, and Apple TV function.
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Apple started shipping its second-generation HomePod in February after the first HomePod was discontinued in 2021
The original device was replaced by the smaller and more affordable HomePod mini.
Discord is adding more experimental AI features to its platform.
The community messaging platform is upgrading its existing Clyde bot with OpenAI ChatGPT technology, allowing the bot to answer questions and hold conversations.
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Starting next week, Discord will make the Clyde chatbot available for free to a small number of servers for its alpha users.
After that limited experiment, Discord plans to add the chatbot to additional servers for more users to hold conversational interactions.
In addition to Claude, Discord is bringing a feature that uses generative AI to "remix" avatars, as well as AI-generated Conversation Summaries.
Discord is also adding OpenAI technology to its automated content moderation tool.