November 2, 2022
Photo: Mandel Ngan/AFP via Getty Images
Good morning! Companies have been discussing potential quantum computing restrictions with the government for a long time, but the Commerce Department now wants to roll out new controls as early as this year. It might not be as easy as it sounds.
The Commerce Department is in the midst of developing new trade restrictions intended to blunt the progress of China’s quantum computing ambitions, Protocol’s Joe Williams and Max Cherney write, a move that comes on the heels of new export controls on advanced semiconductor tech.
It’s unclear how quickly quantum restrictions could be enacted. Discussions with the private sector — including Google, IBM, Quantinuum, and IonQ — have been ongoing for years, and span both the Biden and Trump administrations.
Regulating the sector could be tricky for the Biden administration. Quantum computing is a nascent technology, especially when compared to other emerging tech areas like AI.
Export controls could harm the overall progress of the field, or even torpedo it, and pave the way for other countries to take a more commanding lead in the development of the tech that, while still very experimental, may obliterate the capabilities of classical computing.
Microsoft has been instrumental in making China an AI powerhouse. But as tensions rise between the U.S. and China, Microsoft could be forced to make tough decisions surrounding the thriving AI ecosystem it helped create in the country, Protocol’s Kate Kaye reports.
Microsoft Research Asia is one of the most influential hubs of AI research in the world. Research conducted at MSR China has been used to build Microsoft’s advertising, chatbots, Bing search, Windows, Xbox, Azure Cloud, and other products.
Microsoft’s AI work with China has gone far past research. It’s also helped cultivate AI talent and better understand China’s massive market. The lab works with thousands of engineers across the country, nurturing close ties with universities to get there.
But a potential breakup is on the minds of many in tech. These days, Microsoft is not eager to broadcast its storied career with building AI in China, possibly because the company’s expanding business in China has become increasingly sensitive in the U.S.
In August, Jason Gardner announced he would step down as CEO of fintech platform Marqeta. Gardner founded the company by himself in 2010, helming it through its IPO in 2021.
Why did Gardner decide to step back? A private company CEO is very different from a public company CEO, he told Protocol’s Ben Pimentel: “I felt that, heading into my 13th year, I needed to find that late-stage co-founder."
And what did Gardner learn from his 12 years running Marqeta?
Read more: How I decided my startup needed a new leader
Valuations have become less hype-driven and more realistic; the amount of time spent on due diligence has increased substantially; and every founder needs to directly, clearly, and concisely answer the question, “Does this project have any real-world utility, and does it create economic value?”
Amazon Music VP Steve Boom doesn’t think NFTs will upend the music industry:
Kevin Goldsmith, chief technology officer at Anaconda, credits open source for the machine learning and AI advancements we’re seeing today:
The Twitter exodus continues. Ad sales chief Sarah Personette resigned last week. So did Dalana Brand, chief people and diversity officer. Nick Caldwell, a general manager for core technologies, is now a “former Twitter exec.” CMO Leslie Berland, head of product Jay Sullivan, and vice president of global sales Jean-Philippe Maheu have also left, according to Reuters.
Brazilian fintech company Nubank opened a new building in Sao Paulo. It will be used for big events, training and parties.
This virtual event hosted by Protocol will bring together tech and policy experts to discuss the future of AI-related partnerships existing among tech businesses, developers and AI researchers in the U.S. and China. Join us at 10:30 a.m. PT tomorrow. RSVP here.
The current plan for Twitter Blue is to charge $8 per month, according to Elon Musk, which would include verification. Extra revenue dollars may be useful: IPG, one of the world’s biggest advertisers, told clients to temporarily pause spending on the social network, according to The New York Times.
New OpenSSL vulnerabilities are less severe than thought. The team behind the open-source encryption software initially flagged the bugs as “critical,” but have now downgraded them to “high.”
Data centers must prepare for the climate crisis. The Uptime Institute, which advises infrastructure companies on reliability, suggests spreading workloads between data centers and regions and investing in disaster prediction resources.
Sony's PlayStation Plus service lost subscribers for the third straight quarter, but in a twist, PS Plus is contributing to higher gaming network services revenue.
Shein has a copycat problem. Will first-mover advantage be enough to keep the fast-fashion giant ahead?
TomTom released a new mapping platform that it claims offers the largest geolocation database available.
SoFi has $5 billion in customer deposits less than a year after the fintech lender acquired the banking charter required to directly hold customer cash.
Kraken’s Cryptowatch yesterday launched Cryptowatch Social, a social media network for crypto enthusiasts. Cryptowatch founder Artur Sapek told Protocol's Ben Pimentel that the new social network’s goal is to become “the discussion center of the crypto world.” We thought that was Twitter, but not to worry.
Anyway, what can you expect? Apparently, Cryptowatch will allow crypto fans to check prices, make trades on multiple exchanges, and analyze market trends. The social network plans to add “social features,” including “live idea feeds and chart sharing,” and it will also stream Crypto Fight Night live from Dubai.
The VC correction is proving once again that valuations are not an indicator of success. While money continues to flow, the crypto winter and VC slowdown have forced even the most committed Web3 venture capitalists (and their investors) to proceed with more caution.
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