money Hillicon Valley — Presented by Ericsson — Biden admin unveils chip boosting plan
The Biden administration rolled out its plan for how to spend the $50 billion in funding in a bill Congress passed this summer to boost domestic semiconductor production.
We’ll also discuss how companies across critical sectors are coping with a rise in cyberattacks.
This is Hillicon Valley, detailing all you need to know about tech and cyber news from Capitol Hill to Silicon Valley. Send tips to The Hill’s Rebecca Klar. Someone forward you this newsletter? Subscribe here.
💻 Commerce announces how it’ll spend the $50B
The Biden administration on Monday unveiled its plan for bolstering domestic chip production in the U.S. by using the $50 billion in funding from the CHIPS and Science Act passed this summer.
The administration will use the majority of the funding, around $28 billion, to establish domestic production of leading edge logic and memory chips through grants, subsidized loans or loan guarantees, the Department of Commerce said in an announcement.
The administration will use around $10 billion to increase production of current-generation semiconductors and chips.
An additional $11 billion will be invested in research and development in an effort aimed at creating a “dynamic new network of innovation” for the semiconductor industry in the country, the department said.
🔎 Coping with cyberattacks
The rise in cyberattacks this year has forced many companies in critical sectors to make improvements to their cyber defenses in an effort to secure their networks from hacks.
Such companies are increasing their investments in cybersecurity and seeking to hire more cyber professionals — a task proving to be challenging amid a shortage of cyber workers across industries.
The Hill spoke to several security experts and industry leaders in the financial, health care and energy sectors to gauge how those critical industries are seeking to keep their networks secure amid the growing number of cyberattacks.
In the health care sector, which has seen a spike in ransomware this year targeting hospitals and other health care facilities, Christopher Plummer, a senior cybersecurity architect at Dartmouth Health, said having a cybersecurity program is crucial for hospitals, as they hold sensitive information — including patient data.
TROUBLE BREWING FOR TRUTH SOCIAL
A firm that agreed to merge with the parent company of former President Trump’s social media platform Truth Social failed to receive enough support from its shareholders to extend the amount of time it has to close the deal, according to Reuters.
Reuters reported on Tuesday that people familiar with the matter said Digital World Acquisition Corp. (DWAC) did not receive the necessary support from 65 percent of its shareholders to extend the proposed deal by 12 months.
DWAC said in a court filing last month that the success of the deal will depend on the “reputation and popularity” of Trump, who serves as the chairman of Trump Media and Technology Group (TMTG), which owns Truth Social.
The filing set a special shareholder meeting on Tuesday to discuss extending the Thursday deadline to complete the merger by one year. DWAC will dissolve if the extension is not approved.
CLOUDFLARE DROPS KIWI FARMS
Web security firm Cloudflare on Saturday dropped services for harassment website Kiwi Farms, citing an “threat to human life” posed by the social media platform’s users.
For the past few weeks, Cloudflare has faced calls from transgender rights activists to shut down the website, which they say gives a platform for users who are harassing, doxxing and threatening the LGBTQ+ community.
Earlier this week, Matthew Prince, a co-founder and CEO of Cloudflare, defended the firm’s decision to continue defending controversial websites.
However, on Sunday, Prince said in a blog post that visitors who navigate onto Kiwi Farms will now see a popup blocking access, with a link to his post.
Prince said the website was hosting “revolting content” that escalated into “potential criminal acts and imminent threats to human life.”
IRELAND FINES META
An Irish regulator has fined Meta, the parent company of Instagram, about
$400 million because the social media platform broke data protection laws, specifically pertaining to children’s privacy on the app, multiple news outlets reported.
According to Politico, which was the first to report the news, the Irish Data Protection Commission penalized Meta with a fine of 405 million euros, just over $400 million, a sum that the regulator confirmed to the news outlet.
The Data Protection Commission didn’t offer further details to Politico or to The New York Times, which also reported the news. But both outlets reported the fine was related to Meta violating the General Data Protection Regulation and how the data of children on the app is handled.
BITS & PIECES
An op-ed to chew on: Who benefits from America’s enormously complex broadband infrastructure plans?
Notable links from around the web:
How China Has Added to Its Influence Over the iPhone (The New York Times / Tripp Mickle)
The tech boomers are showing their age (Protocol / Joe Williams)
Lighter click: Boppin’ away on the Metro
🚀 One more thing: More delays for Artemis
NASA directors said in a press conference on Saturday that they would postpone the launch of the Artemis I rocket until after the current launch period, which ends on Tuesday, after two scrubbed attempts.
“We will not be launching in this launch period. We are not where we wanted to be,” said Associate Administrator for Exploration Systems Development Jim Free.
The delay means that Artemis I will not be launched until at least the next launch period, which will occur in late September. However, the duration of repairs may mean that the rocket cannot be launched until October.
That’s it for today, thanks for reading. Check out The Hill’s Technology and Cybersecurity pages for the latest news and coverage. We’ll see you tomorrow.
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