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EU grills Elon Musk's X about content moderation and deepfake risks | TechCrunch


The European Union has deepened the investigation of Elon Musk-owned social network X it opened back in December, under the bloc’s online governance and content moderation rulebook: the Digital Services Act (DSA). Confirmed breaches of the regime could be expensive for Musk as enforcers are empowered to issue fines of up to 6% of global annual turnover.

On Wednesday the Commission said it has sent X a formal request for information (RFI) under the DSA seeking more details about aspects of the ongoing probe — which is looking into concerns about illegal content risks, manipulative design, shortcomings in ads transparency and platform data access for researchers.

The RFI also targets some fresh concerns, with the EU saying it’s asking X about its content moderation activities and resources in light of its latest Transparency reporting (another DSA requirement) — which reveals X has slashed the headcount of its content moderation team by almost a fifth (20%) since the previous report, back in October 2023.

The report also revealed X has reduced linguistic coverage of content moderation within the EU from 11 official languages to seven — a particular bugbear for the Commission, which has raised the issue before in longer standing efforts pressuring platforms to tackle content harms.

Another fresh EU concern relates to X’s approach to generative AI. The Commission said it’s seeking further details on “risk assessments and mitigation measures linked to the impact of generative AI tools on electoral processes, dissemination of illegal content, and protection of fundamental rights”.

X is regulated as a so-called very large online platform (VLOP) under the DSA which means it’s subject to an additional layer of rules — overseen by the Commission itself — requiring it to assess and mitigate systemic risks, such as in areas like disinformation.

“The request for information sent today is a further step in an ongoing investigation,” the EU said in a press release. “It builds upon the evidence gathering and analysis conducted so far, including in relation to X’s Transparency report published in March 2024 and X’s replies to previous requests for information, which addressed, among others, mitigation measures for risks linked to generative AI.”

Back in March the Commission sent a flurry of RFIs to several VLOPs, including X, asking for more info on their approach to handling risks related to the use of generative AI. The EU is concerned about the role political deepfakes could play in upcoming elections to the European Parliament next month.

The latest RFI to X gives the platform until May 17 to provide responses to its questions about content moderation resources and generative AI. It must get the other requested info to the Commission by May 27.

X was contacted for a response to the development but at press time it had not provided comment.

During a briefing with journalists last month a senior Commission official declined to offer a full update on its investigation with X but characterized contacts with the company as “quite intense”.

The official also confirmed one active discussion topic relates to X’s Community Notes feature, which crowdsources additional context to display on disputed posts — something X under Musk has framed as its main approach to content moderation — adding that it’s unclear whether the company’s approach is sufficiently robust for responding to election risks.


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Hyundai antes up $1B for AV startup Motional and Elon unplugs the Tesla Supercharger team | TechCrunch


Welcome back tTechCrunch Mobility — your central hub for news and insights on the future of transportation.

Before I jump into the all the news — and boy there was a lot! — I have an important update for all of you lovely readers. TechCrunch Mobility is moving to Thursdays! It will be the same newsletter filled with news and insights on the sector, but just landing in your inboxes Thursday morning. Sign up here for free — just click TechCrunch Mobility!

EV startup Fisker laid off more employees to “preserve cash” as bankruptcy inches ever closer; ride-hailing company Ola cut about 180 jobs and ousted its chief executive, Hemant Bakshi, merely four months after appointing him to the post; and lidar company Luminar slashed its 700-person workforce by 20% as part of a restructuring to adopt an “asset light” business model.

Oh, and then there was Tesla CEO Elon Musk, who axed the automaker’s global Supercharger network team. That perplexing decision comes just as non-Tesla EV drivers gain access to the network.

That’s not to say the entire transportation sector was surrounded by economic storm clouds. There were brighter moments as well. Let’s go check it out!

A little bird

In the fallout from Tesla’s great Supercharger culling, we’ve spoken to several little birds, including those who were laid off and folks working at other automakers. As I mentioned above, Elon Musk gutted Tesla’s global Supercharger organization of about 500 people. Insiders at several different automakers — all of which are adopting Tesla’s charging tech — said they did not see this coming. “Shocked” and “stunned” were the most common phrases I heard.

On the employee front, there was a lack of communication from human resources in the hours directly following the mass layoff. Some told me they and their fellow former co-workers had not received information about severance and that communication had stopped altogether. A few of those folks had received severance emails by Friday. All of the people I communicated with were still struggling to understand why Musk would cut the Supercharger team — an organization that is fundamental to Tesla and its EV sales. Others surmised only Elon and maybe the former head of the Supercharger team, Rebecca Tinucci, would ever know the answer.

Got a tip for us? Email Kirsten Korosec at [email protected], Sean O’Kane at [email protected] or Rebecca Bellan at [email protected]. If you prefer to remain anonymousclick here to contact us, which includes SecureDrop (instructions here) and various encrypted messaging apps.

Deals!

It’s been a minute since we heard of an autonomous vehicle startup raising a substantial amount of money — or heck any money at all. That all changed this week when Motional scored an essential multi-million-dollar win, courtesy of Hyundai.

Hyundai’s total commitment is $1 billion, but there are important details. Here’s how it breaks down. Hyundai invested $475 million directly into Motional as part of a broader deal that includes buying out joint venture partner Aptiv. Hyundai is spending another $448 million to buy 11% of Aptiv’s common equity interest in Motional.

The quick backstory: Motional was formed in 2019 as a $4 billion joint venture between Hyundai and Aptiv. Motional has spent the past several years plugging away at its autonomous vehicle tech, working toward a goal of launching a robotaxi service using driverless Hyundai Ioniq 5 vehicles in 2024. As Motional and Hyundai got closer — the companies announced plans in November to co-develop production-ready versions of the all-electric Ioniq 5 robotaxi — it seems Aptiv began to understand its own financial limitations. By January, Aptiv chairman and CEO Kevin Clark flagged that the company would reduce its ownership interest in Motional and stop allocating capital to the venture due to the high cost of commercializing a robotaxi business and the long road ahead to profits.

The decision, while not particularly surprising to the industry insiders I spoke to, still put Motional and Hyundai in a sticky spot. Would Hyundai step up? Would outside investors step in? Hyundai answered the call.

My question is will Motional, with the blessing of Hyundai, seek out other investors? That will all come down to how much capital Motional is burning through and whether it continues to chase the same robotaxi goals. If so, it seems the company will eventually need more capital.

Other deals that got my attention …

LiNova Energy, a California-based startup developing polymer cathode batteries, raised $15.8 million in a Series A funding round led by Catalus Capital, which was joined by Saft, a subsidiary of TotalEnergies, Chevron Technology Ventures and a syndicate of investors.

Rivian was awarded an eye-popping $827 million incentives package from the state of Illinois, funds that will be used to build out production lines for its next-generation EV, the R2.

Viking Holdings, the luxury cruise operator backed by private equity firm TPG and the Canada Pension Plan Investment Board, raised $1.54 billion in its IPO.

X Shore, a Swedish electric boat maker founded in 2016, raised €8.5 million in new funding from several unnamed existing backers, including founder Konrad Bergström.

Notable reads and other tidbits

ADAS

The National Highway Traffic Safety Administration opened an investigation into Ford’s hands-free driver-assistance system, BlueCruise, after it was found to be active during two recent crashes that killed multiple people.

The NHTSA made another big move in the sector and finalized a new Federal Motor Vehicle Safety Standard that will make automatic emergency braking, including the ability to detect and automatically brake for pedestrians, standard on all passenger cars and light trucks by September 2029. The agency said the safety standard is expected to significantly reduce rear-end and pedestrian crashes. Now, the NHTSA isn’t picking the technology automakers have to use. A number of computer vision and lidar companies have reached out to me to note how it could be beneficial to their business models.

Autonomous vehicles

TC contributor Tim Stevens takes us behind the scenes of the first Autonomous Racing League event in Abu Dhabi that pitted a self-driving car against a Formula 1 driver. His take? Yes, there were struggles; he also saw a lot of progress.

Electric vehicles, charging & batteries

Remember last year when Henrik Fisker proudly debuted two prototypes designed to catapult his eponymous EV startup into the mainstream? TC reporter Sean O’Kane learned the engineering firm that helped develop those vehicles is suing Fisker for $13 million in damages. Read more to learn about this lawsuit, plus several others.

This week’s wheels

Image Credits: Emme Hall

I turned the wheel over to TC contributor Emme Hall this week for a test drive of the new all-electric Acura ZDX Type S. You can read the entire review here, plus I suggest you watch her video of the hands-free advanced driver-assistance system in the vehicle. For those who want a sneak peek before committing to the longer read, here’s the gist.

Hall expected joy and delight. Instead, it was more meh. Here’s one of the whys. The Type S weighs over 6,000 pounds. Even if the weight is evenly distributed front to rear, that’s a lot of heft to get around a turn. She liked the hefty steering, but there wasn’t much feedback happening.

“The torque is always there on corner exit and body roll is kept in check, yet I’m not feeling the delight,” she wrote, adding that the 275/40 Continental Premium Contact 6 summer tires on the Type S offered up plenty of grip, but the low-profile sidewall combined with the harder run-flat rubber compound meant that the ride was just a touch harsh.

Hall’s pursuit of an all-electric SUV that’s fun through the twisties continues.


Software Development in Sri Lanka

Robotic Automations

Elon Musk guts Tesla's charging team after winning over major automakers | TechCrunch


Tesla has gutted its charging team in a new round of layoffs, despite recently winning over major automakers like Ford and General Motors and making its connector the defacto standard in North America.

CEO Elon Musk announced the new layoffs in an overnight email to executives, first reported by The Information, in which he said he wants leaders to be “absolutely hard core about headcount and cost reduction,” as he ordered them to cut more employees who “don’t obviously pass the excellent, necessary and trustworthy test” or resign. Senior director of EV charging Rebecca Tinucci and head of new vehicles Daniel Ho are out, according to The Information..

Tesla’s Supercharger network has long been seen as one of its greatest competitive advantages. It’s widely available, has far better uptime than other charging networks, and the connector technology — known as the North American Charging Standard, or NACS — is now being adopted by essentially every major automaker with a presence in North America.

Will Jameson, one of the charging team leads let go in the cuts, said in a post on Musk’s social media platform X that he “has let our entire charging org co.”

“What this means for the charging network, NACS, and all the exciting work we were doing across the industry, I don’t yet know. What a wild ride it has been,” he wrote.

The cuts are so complete that Musk even suggested in the email that the company will slow its expansion of the Supercharger network, writing that Tesla “will continue to build out some new Supercharger locations, where critical, and finish those currently under construction.”

Musk is dissolving Tesla’s public policy team as well, according to the reports. Rohan Patel, the former VP of that team, left the company two weeks ago at the same time that the layoffs were announced. Patel called it the “best policy/bizdev team in the business” at the time in a message to TechCrunch. “I know I’m extremely biased, but honestly the people who were on my team are just phenomenal,” he wrote.

Tesla’s policy team is largely responsible for the company winning around 13% of funding available from the Bipartisan Infrastructure Law, and until recently was pursuing another federal grant of nearly $100 million to fund the buildout of a charging corridor for the company’s still-in-development electric big rig.

These cuts come just two weeks after Musk announced Tesla was laying off more than 10% of its workforce as part of a company-wide restructuring in service of going “balls to the wall for autonomy. The company is coming off a brutal first quarter where its profits dropped 55% on weaker EV sales. At the same time, the company’s board is trying to reinstate Musk’s $56 billion pay package that was struck down by a judge, and the CEO has publicly threatened to develop AI technology at his startup xAI unless he is given even more control over Tesla.




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Robotic Automations

Watch: Elon Musk’s big plans for xAI include raising $6 billion


TechCrunch recently broke the news that Elon Musk’s xAI is raising $6 billion at a pre-money valuation of $18 billion.

The deal hasn’t closed yet, so the numbers could change. But it sounds like Musk is making an ambitious pitch to investors about his 10-month-old startup — a rival to OpenAI, which he also co-founded and is currently suing for allegedly abandoning its initial commitment to focus on the good of humanity over profit.

You may be wondering: Doesn’t Musk have enough companies already? There’s Tesla, SpaceX, X (formerly Twitter), Neuralink, The Boring Company … maybe he should spend his time on the existing businesses that have struggles of their own.

But in the xAI pitch, Musk’s connection to these other companies is a feature, not a bug. xAI could get access to crucial training data from across his empire — and its technology could, in turn, help Tesla achieve its dream of true self-driving cars and bring its humanoid Optimus robot into factories.

Of course, Musk’s hype doesn’t always match up to reality. But with this impressive new funding, xAI could become an even more formidable competitor in the AI world. Hit play, then leave your thoughts below!


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xAI, Elon Musk’s OpenAI rival, is closing on $6B in funding and X, his social network, is already one of its shareholders | TechCrunch


xAI, Elon Musk’s 10-month-old competitor to the AI phenom OpenAI, is raising $6 billion on a pre-money valuation of $18 billion, according to one trusted source close to the deal. The deal – which would give investors one quarter of the company –  is expected to close in the next few weeks unless the terms of the deal change.

The deal terms have changed once already. As of last weekend, Jared Birchall, who heads Musk’s family office, was telling prospective investors that xAI was raising $3 billion at a $15 billion pre-money valuation. Given the number of investors clamoring to get into the deal, those numbers were quickly adjusted. 

Says our source, “We all received an email that basically said, ‘It’s now $6B on $18B, and don’t complain because a lot of other people want in.”

Investors who’ve been lobbying to get into the deal for months hardly minded. Sequoia Capital and Future Ventures, the venture fund co-founded by Musk’s longtime friend Steve Jurvetson, are participating in the round.

Other participants are likely to include Valor Equity Partners and Gigafund, whose founders are also part of the inner circle of Musk, who famously blends the personal and the private. (Outreach to these investors went unreturned; xAI does not have a press function.)

Jurvetson sits on the board of SpaceX and was a director at Tesla until 2020. Gigafund co-founder Luke Nosek, who previously co-founded Founders Fund with investor Peter Thiel, was the first venture investor to write a check to SpaceX and has sat on its board since. Valor founder Antonio Gracias was among the earliest investors in Tesla; like Jurveston, he’s a former Tesla director and is also on the board of SpaceX.

Our source said it’s not entirely clear to every other investor who is in the deal because of the way the commitments were garnered. “It’s a Zoom call and it’s just you and Elon and Jared [on the other side] at a table with some engineers.”

The pitch, says this individual, is captivating.

xAI’s marketing literature already makes clear that the outfit’s ambition is to connect the digital and physical worlds, but it may not be widely understood that Musk plans to do this by pulling in data from each of his companies, which include Tesla, SpaceX, his tunneling outfit Boring Company, and Neuralink, which develops computer interfaces that can be implanted in human brains.

Of course, another of Musk’s companies is X. The social media platform has already incorporated xAI’s months-old chatbot, Grok, into the platform as a paid add-on.

It’s just one piece of what Musk tells investors will become a sprawling virtual cycle. With Grok, for example, X is both a customer and provides Grok with massive distribution. Eventually (goes the pitch), Grok will be fed data from Musk’s other companies, helping it to master the physical world in potentially endless ways, starting with truly self-driving cars.

Another likely beneficiary would be Tesla’s humanoid robot, Optimus. Today the Tesla robot is still in the lab, but Musk told analysts on a call earlier this week that Optimus will be able to perform tasks in Tesla’s factories by the end of this year. Even if that timeline proves ambitious, these slick assistants may be able to do more — and faster than previously imagined — if Musk’s overarching vision plays out.

In the meantime, the most immediate beneficiary of xAI’s burgeoning momentum may be X itself. Though the platform has become something of a toxic cesspool in the 1.5 years since Musk bought it and subsequently lost much of its value, Musk had already seen to it that X owns a stake in xAI, so it will benefit from whatever upside the AI outfit sees.

What it all means for OpenAI — which became the fastest growing startup in history last year —  is an open question. Musk has had OpenAI in his crosshairs since the outfit’s surge began, following the release of its ChatGPT chatbot.

Musk cofounded OpenAI in 2015 and left its board in 2018 over disagreements about the direction of the outfit, which began life as a nonprofit and later evolved into a for-profit entity. Musk has since publicly harangued OpenAI cofounder Sam Altman and poked fun at the brand, proposing that it instead call itself ClosedAI.

Last month, when Musk open sourced the architecture of xAI’s earliest chatbot “Grok-1,” meaning that anyone can now download and alter it, the move was another part of his ongoing campaign to distinguish his efforts from OpenAI, which has not shared its secret sauce with the world, and which Musk is now suing.




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Tesla has spent $200K advertising on Elon Musk's X so far | TechCrunch


Tesla has spent around $200,000 on advertising through February on Elon Musk’s social media platform, X, after the CEO caved to shareholder pressure last year and said his company would “try a little advertising.”

Since then, Tesla ads have showed up in places like Google search results and on YouTube. But it was also increasingly apparent that Elon’s car company was paying Elon’s social media company to advertise, too. We now know how much Tesla paid X thanks to details released Wednesday in its annual proxy statement, which includes a section on “related person transactions” the company has made. (Tesla has not disclosed how much it has spent on advertising overall.)

Tesla also paid X around $50,000 in 2023 and $30,000 through February 2024 for “commercial, consulting and support agreements.” Likewise, X paid Tesla $1 million in 2023 and around $20,000 through February 2024 for the same unspecified work. Tesla doesn’t say exactly what those agreements entail, but the companies have reportedly shared or loaned employees following Musk’s acquisition of X and his increased focus on building AI products at each business.

Essentially, all of Musk’s companies have engaged in transactions like these over the years, and 2023 was no different. The proxy filing shows that SpaceX paid Tesla $2.1 million in 2023 and approximately $800,000 through February 2024 for “certain commercial, licensing and support agreements with Tesla.” Tesla, meanwhile, paid SpaceX $700,000 in 2023 and $100,000 through February 2024 for the use of a corporate jet owned by Musk’s space company. Tesla paid Musk’s tunneling effort, The Boring Company, $200,000 in 2023 and $1 million through February 2024.

Curiously, Tesla says that in December 2023, it hired a security company owned by Elon Musk to provide security services for him, “including in connection with his duties to and work for Tesla.” The company says that already cost $2.4 million in 2023 and around $500,000 through February 2024. It adds that this is only “a portion of the total cost of security services concerning Elon Musk.”

Finally, Tesla also says it was paid $11.5 million in 2023 and around $6 million through February 2024 for scrap materials by EV battery recycling company Redwood Materials, which is run by Tesla board member (and former CTO) JB Straubel.

Texas reincorporation

All of this financial back-and-forth comes as Musk is still in the middle of trying to appeal a recent decision by the Delaware Chancery Court that struck down his massive 2018 stock compensation plan. The judge made that decision in part because she believed Tesla “inaccurately described key directors [of Tesla’s board] as independent and misleadingly omitted key details about the process” of putting the package together.

Musk was furious with the decision and posted on X shortly after that Tesla would “move immediately to hold a shareholder vote to transfer state of incorporation to Texas,” where Tesla has already relocated its physical headquarters.

The proxy reveals that Tesla’s board started a process shortly after to evaluate the idea — they also say they had previously considered moving the company’s state of incorporation, but never decided to — because “redomestication is a Board decision, not a decision for a chief executive officer.” A special committee was formed, led by board member Kathleen Wilson-Thompson. She hired two lawyers from Sidley Austin to represent the committee and engaged an expert lawyer from Delaware, a Chicago law professor, and Houlihan Lokey as financial adviser to help with the process. They also set out to determine what to do about re-voting on Musk’s struck compensation package.

Over eight weeks, Wilson-Thompson’s committee met 16 times for more than 26 hours, and Tesla says she personally spent “more than 200 hours” working on the matter. The Sidley lawyers spent “more than 600 hours each” on the matter and were supported by “more than 40 other Sidley lawyers.” Through this process, seven board directors and five members of Tesla’s management were interviewed.

Tesla goes into detail about how multiple states were considered, before narrowing down to Texas since companies tend to either be incorporated in Delaware or their home state. And the decision was ultimately made to put the move and the “re-ratification” of Musk’s stock plan up to a shareholder vote at the company’s annual meeting, which will now take place on June 13. While it’s hard to imagine either of those votes failing, they are likely to stir up even more legal debate after that vote takes place. Musk and his brother Kimbal, who is a board member, are recused from voting on the move “because of [Musk’s] prior posts on X about reincorporation.”

“The Committee and its counsel are aware of the media narrative regarding Musk, Tesla, and its Board,” the committee writes in the proxy. “And the Committee’s work was conducted against a backdrop of unrelenting public interest in whether Tesla would reincorporate and in Musk’s compensation. Far from being influenced by these factors, this outside narrative and attention intensified the commitment of the Committee and its counsel to conduct a staunchly independent process.”

This story originally misstated who was getting paid in the arrangement between Redwood Materials and Tesla. Redwood Materials has paid the money to Tesla.


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Elon Musk accused of profiting from tragedy as study finds X rewards hate targeting Israel-Gaza war | TechCrunch


A few weeks after defeating Elon Musk’s attempt to silence it in court, the Center for Countering Digital Hate (CCDH) — an anti-hate research nonprofit — is back with a new piece of research on X (formerly Twitter). The study builds on earlier work investigating Musk’s impact on online speech by spotlighting how the policy changes he enacted are actively rewarding hate speech posters with increased reach, engagement and even direct payouts through X’s subscriber feature.

The CCDH studied the growth rates of 10 influential accounts that pay for X Premium and have posted anti-Jewish and/or anti-Muslim hate speech since October 7, 2023, when Hamas’ attack on Israel sparked the Israel-Gaza conflict. Some of these accounts had previously posted conspiracy theory content related to COVID-19, per the report.

The 10 accounts tracked for the study (titled “Hate pays: How X accounts are exploiting the Israel-Gaza conflict to grow and profit”) are: Jackson Hinkle, Dr. Anastasia Maria Loupis, Censored Men, Jake Shields, Dr. Eli David, Radio Genoa, Ryan Dawson, Keith Woods, Way of the World, and Sam Parker.

The CCDH found these accounts were able to boost their reach on X after posting hateful content about the war. The report discusses examples of hate speech posted by the accounts, such as tweets depicting antisemitic tropes like the blood libel, or seeking to dehumanize Palestinians by depicting them as rats. 

“Each of the accounts showed slow follower growth in the four months before October 7th, for a combined growth of approximately 1 million followers. However, in the four months after the outbreak of the conflict, they collectively gained 4 million new followers,” the CCDH wrote.

Growth rates for individual accounts that gained new followers over the period varied, with the highest growth multiple recorded being 9.6x (for Dawson’s account), followed by 8.3x (for Hinkle), and 7.1x (for Parker). At the lower end, Way of the World grew its followers 1.7x over the period.

X did not immediately respond to a request seeking comment on the report.

The report includes a history of the tracked accounts’ notoriety, noting, for example, that Hinkle is banned by WhatsApp, YouTube and PayPal. Or that the Censored Men (anonymous) account used to generally post defenses of toxic masculinity influencer Andrew Tate, but, since October 7, has focused on the Israel-Gaza conflict. Dawson, a Holocaust denier who also believes the 9/11 terrorist attacks were carried out by Israel, was previously banned from X but had his account reinstated in 2023 under Musk. 

Since taking over Twitter, as X was known back in October 2022, the billionaire has reversed a number of legacy account bans, which included notorious white supremacists and neo-Nazis. Coupled with the policy changes Musk has pushed in areas like content moderation, account verification and premium features (such as prioritized ranking for paid accounts’ posts), this has resulted in a polarized platform where it’s increasingly difficult to distinguish genuine information from lies, and where the tone all too often skews toward conversational outrage (or worse).

The CCDH contends this is intentional and is a deliberate strategy by Musk to profit from tragedy. It’s accusing him of embracing hateful accounts and configuring X so that purveyors of hate speech are able and encouraged to turn war and human suffering into an opportunity to raise their profiles on the service and earn revenue from posts that exploit violence and misery.

Six of the 10 accounts the CCDH studied have enabled X’s subscriptions feature, which lets their followers pay them to access additional content. The report also quoted a post by Hinkle in early October, in which he shared a screenshot that showed him receiving $550 in ad revenue over the course of a month — directly profiting from engagement driven by his posts.

The CCDH said its analysis of the accounts showed that even activity that was critical of these posts — such as quote tweets denouncing hateful content — raised their visibility and reach (potentially boosting revenue-generating opportunities). Such critical reshares contributed as much as 28% to the reach of hateful posts, per the report, which suggested the figure is a conservative estimate, as it does not take account of X’s own algorithmic response to these reshares, which applies further amplification aimed at harvesting even more engagement for ad profit.

Ad-funded business models that earn revenue based on user engagement have been known to drive such anti-social outrage mechanisms. In X’s case, Musk’s erratic behavior has alienated some advertisers, but not all: The CCDH found ads being served alongside hateful posts made by all the tracked accounts. “We found ads for Oreos, the NBA, the FBI and even X itself placed near hateful posts,” the report said.

“Under Elon Musk’s ownership, X appears to be pursuing a strategy of hosting as much controversial content as possible,” a CCDH spokesperson told TechCrunch. “We know that this controversial content is addictive, not just for users who approve of it but also for users who criticize it, too. The potential benefit to X is that these controversies could ramp up user time spent on the platform and increase ad revenue — but only if brands are willing to pay for ads that could be displayed near toxic content.”

“The accounts studied by our report have grown sharply despite posting false or hateful content, showing that posting such content is no impediment to growth on X. This is not unique to the Israel-Gaza conflict, but it is the latest example of the problem. Our previous research into accounts that were reinstated following Musk’s takeover of Twitter shows that X stands to make significant ad revenue by welcoming users posting a range of topical hate and disinformation, from brutal misogyny to anti-vaccine conspiracies,” the spokesperson said.

Commenting on the report in a statement, Imran Ahmed, CEO and founder of the CCDH, said: “The public and advertisers need to know more about the symbiotic, profitable relationship between X and hate-peddling ‘influencers.’ Lawmakers must act to enforce greater transparency and accountability from platforms and to allow these companies to be held responsible for harming the civil rights and safety of Jews, Muslims and other minority communities.”

Musk has previously claimed hate speech has decreased on his watch, but earlier CCDH research debunked his claim.

X is also currently under investigation in the European Union for a string of suspected breaches of the bloc’s online governance and content moderation regime, including for its response to illegal content, which may include hate speech. Penalties for confirmed breaches of the EU’s Digital Services Act can reach 6% of a company’s global annual turnover.


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Robotic Automations

Elon Musk says he'll unveil a Tesla robotaxi on August 8 | TechCrunch


Just hours after Elon Musk claimed Reuters was “lying” about Tesla’s plans to ditch its $25,000 low-cost EV and instead focus all its efforts on a robotaxi, the Tesla CEO announced on X that he would reveal said robotaxi in an event on August 8.

The announcement comes as Tesla EV sales have lagged and profits have fallen, leaving the company and its CEO on a search for another product to boost sales — or at least the stock price.

Earlier Friday, a Reuters report citing three anonymous sources and internal documents said that Tesla was abandoning its plan to build a lower-cost EV and would instead focus resources on a planned robotaxi that is being built on the same small EV platform that was also supposed to power the lower-cost vehicle.

Musk took to X, the social network he owns, and claimed without proof, that Reuters was “lying.” He did not dispute any specific details.

Hours later, Musk posted on X that a “Tesla Robotaxi” will be unveiled August 8.

Reports have swirled for years that Tesla was working on these two vehicles. But Musk has wavered on whether to prioritize a typical car or one with no steering wheel or pedals, despite not having yet produced a fully autonomous car, according to descriptions in Walter Isaacson’s biography of Musk.

The CEO  pushed back in mid-2022 against his engineers’ insistence on referencing a car with a steering wheel and pedals. And even as he pressed ahead, lead designer Franz von Holzhausen and engineering VP Lars Moravy kept the more traditional car version alive as a “shadow project,” Isaacson wrote at the time.

Musk has been promising autonomous capabilities in Tesla vehicles for years. In 2016, he said Tesla would drive itself cross-country by the end of 2017 (it didn’t happen). In 2019, he promised to launch the company’s first robotaxis as part of a broader vision for an autonomous ride-sharing network in 2020 (that also did not happen). A few years later, he said a dedicated robotaxi with no steering wheel or pedals would come to market by 2024.

Tesla vehicles come standard with a driver-assistance system branded as Autopilot. For an additional $12,000, owners can buy “full self-driving,” or FSD — a feature that CEO Elon Musk has promised for years will one day deliver full autonomous driving capabilities. Tesla vehicles are not self-driving. Instead, FSD includes a number of automated driving features that still require the driver to be ready to take control at all times, including the parking feature Summon, as well as Navigate on Autopilot, an active guidance system that navigates a car from a highway on-ramp to off-ramp, including interchanges and making lane changes. The system is also supposed to handle steering on city streets.




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Elon Musk plans to charge new X users to enable posting | TechCrunch


Elon Musk is planning to charge new X users a small fee to enable posting on the social network and to curb the bot problem.

In reply to an X account that posted about changes on X’s website, Musk said charging a small fee to new accounts was the “only way” to stop the “onslaught of bots”

“Current AI (and troll farms) can pass “are you a bot” with ease,” Musk said, referring to tools like CAPTCHA.

While replying to another user, Musk later added that new accounts would be able to post after three months of creation without paying a fee.

As is the case with a lot of announcements related to the social platform, there are no details at the moment about when this policy will be applicable and what fees new users might have to pay.

Last October, X started charging new unverified users $1 per year in New Zealand and the Philippines. New free users signing up for the platform from these regions could read the posts but couldn’t interact with them. To post content, like, repost, reply, bookmark, and quote posts, they had to pay a fee. Musk might apply a fee similar to other regions.

Earlier this month, X said that the platform was starting a major purge of spam accounts, warning users that their follower count might be affected. However, with a plan to charge new users, the social media company seemingly aims to tackle the bot problem better.

While Musk has talked about battling AI bots, last year, X updated its policy to include a clause that public posts could be used to train machine learning algorithms or artificial intelligence models. Separately, in July 2023, Musk said that his AI company xAI would use public posts to train models.

Earlier this month, xAI made its Grok chatbot available to Premium users of X, who pay $8 per month. The chatbot was previously available to users paying $16 per month for the Premium+ tier. Last week, Fortune reported that X plans to make Grok available to users to compose posts.




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Robotic Automations

What is Elon Musk's Grok chatbot and how does it work? | TechCrunch


You might’ve heard of Grok, X’s answer to OpenAI’s ChatGPT. It’s a chatbot and, in that sense, behaves as you’d expect — answering questions about current events, pop culture and so on. But unlike other chatbots, Grok has “a bit of wit,” as X owner Elon Musk puts it, and “a rebellious streak.”

Long story short, Grok is willing to speak to topics that are usually off-limits to other chatbots, like polarizing political theories and conspiracies. And it’ll use less-than-polite language while doing so — for example, responding to the question “When is it appropriate to listen to Christmas music?” with “Whenever the hell you want.”

But ostensibly, Grok’s biggest selling point is its ability to access real-time X data — an ability no other chatbots have, thanks to X’s decision to gatekeep that data. Ask it “What’s happening in AI today?” and Grok will piece together a response from very recent headlines, while ChatGPT will provide only vague answers that reflect the limits of its training data (and filters on its web access). Earlier this week, Musk pledged that he would open source Grok, without revealing precisely what that meant.

So, you’re probably wondering: How does Grok work? What can it do? And how can I access it? You’ve come to the right place. We’ve put together this handy guide to help explain all things Grok. We’ll keep it up to date as Grok changes and evolves.

How does Grok work?

Grok is the invention of xAI, Elon Musk’s AI startup — a company reportedly in the process of raising billions in venture capital. (Developing AI is expensive.)

Underpinning Grok is a generative AI model called Grok-1, developed over the course of months on a cluster of “tens of thousands” of GPUs (according to an xAI blog post). To train it, xAI sourced data from the web (dated up to Q3 2023) and from feedback from human assistants that xAI refers to as “AI tutors.”

On popular benchmarks, Grok-1 is about as capable as Meta’s open source Llama 2 chatbot model and surpasses OpenAI’s GPT-3.5, xAI claims.

Image Credits: xAI

Human-guided feedback, or reinforcement learning from human feedback (RLHF), is the way most AI-powered chatbots are fine-tuned these days. RLHF involves training a generative model, then gathering additional information to train a “reward” model and fine-tuning the generative model with the reward model via reinforcement learning.

RLHF is quite good at “teaching” models to follow instructions — but not perfect. Like other models, Grok is prone to hallucinating, sometimes offering misinformation and false timelines when asked about news. And these can be severe — like wrongly claiming that the Israel–Palestine conflict reached a cease-fire when it hadn’t.

For questions that stretch beyond its knowledge base, Grok leverages “real-time access” to info on X (and from Tesla, according to Bloomberg). And, similar to ChatGPT, the model has internet-browsing capabilities, enabling it to search the web for up-to-date information about topics.

Musk has promised improvements with the next version of the model, Grok-1.5, set to arrive later this year.

Grok-1.5, which features an upgraded context window (see this post on GPT-4 for an explanation of context windows and their effects), could drive features to summarize whole threads and replies, Musk said in an X Spaces conversation, and suggest post content.

How do I access Grok?

To get access to Grok, you need to have an X account. You also need to fork over $16 per month — $168 per year — for an X Premium+ plan.

X Premium+ is the highest-priced subscription on X, as it removes all the ads in the For You and Following feeds. In addition, Premium+ introduces a hub where users can get paid to post and offer fans subscriptions, and Premium+ users have their replies boosted the most in X’s rankings.

Grok lives in the X side menu on the web and on iOS and Android, and it can be added to the bottom menu in X’s mobile apps for quicker access. Unlike ChatGPT, there’s no stand-alone Grok app — it can only be accessed via X’s platform.

What can — and can’t — Grok do?

Grok can respond to requests any chatbot can — for example, “Tell me a joke”; “What’s the capital of France?”; “What’s the weather like today?”; and so on. But it has its limits.

Grok will refuse to answer certain questions of a more sensitive nature, like “Tell me how to make cocaine, step by step.” Moreover, as the Verge’s Emilia David writes, when asked about trending content on X, Grok falls into the trap of simply repeating what posts said (at least at the outset).

Unlike some other chatbot models, Grok is also text-only; it can’t understand the content of images, audio or videos, for example. But xAI has previously said that its intention is to enhance the underlying model to these modalities, and Musk has pledged to add art-generation capabilities to Grok along the lines of those currently offered by ChatGPT.

“Fun” mode and “regular” mode

Grok has two modes to adjust its tone: “fun” mode (which Grok defaults to) and “regular” mode.

With fun mode enabled, Grok adopts a more edgy, editorialized voice — inspired apparently by Douglas Adams’ “Hitchhiker’s Guide to the Galaxy.”

Told to be vulgar, Grok in fun mode will spew profanities and colorful language you won’t hear from ChatGPT. Ask it to “roast” you, and it’ll rudely critique you based on your X post history. Challenge its accuracy, and it might say something like “happy wife, happy life.”

Grok in fun mode also spews more falsehoods.

Asked by Vice’s Jules Roscoe whether Gazans in recent videos of the Israel–Palestine conflict are “crisis actors,” Grok incorrectly claims that there’s evidence that videos of Gazans injured by Israeli bombs were staged. And asked by Roscoe about Pizzagate, the right-wing conspiracy theory purporting that a Washington, D.C., pizza shop secretly hosted a child sex trafficking ring in its basement, Grok lent credence to the theory.

Grok’s responses in regular mode are more grounded. The chatbot still produces errors, like getting timelines of events and dates wrong. But they tend not to be as egregious as Grok in fun mode.

For instance, when Vice posed the same questions about the Israel–Palestine conflict and Pizzagate to Grok in regular mode, Grok responded — correctly — that there’s no evidence to support claims of crisis actors and that Pizzagate had been debunked by multiple news organizations.

Political views

Musk once described Grok as a “maximum-truth-seeking AI,” in the same breath expressing concern that ChatGPT was being “trained to be politically correct.” But Grok as it exists today isn’t exactly down-the-middle in its political views.

Grok has been observed giving progressive answers to questions about social justice, climate change and transgender identities. In fact, one researcher found its responses on the whole to be left-wing and libertarian — even more so than ChatGPT’s.

Here is Forbes’ Paul Tassi reporting:

Grok has said it would vote for Biden over Trump because of his views on social justice, climate change and healthcare. Grok has spoken eloquently about the need for diversity and inclusion in society. And Grok stated explicitly that trans women are women, which led to an absurd exchange where Musk acolyte Ian Miles Cheong tells a user to “train” Grok to say the “right” answer, ultimately leading him to change the input to just … manually tell Grok to say no.

Now, will Grok always be this woke? Perhaps not. Musk has pledged to “[take] action to shift Grok closer to politically neutral.” Time will tell what results.




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