GoldenEye Virus, Germany Investigates Facebook, FCC Nomination, and more

Internet Telecom Cable Service News

Here is your recap of cable and Internet service industry news from around the US and the world for the week of July 7, 2017:

New Virus Making the Rounds

A new virus campaign called GoldenEye, or NotPetya, is a stronger variation of the same NSA-created EternalBlue exploit used by the notorious WannaCry ransomware in May.  The virus has been infecting computers around the world, and reports from Ukraine indicate it has been hardest hit so far. Banks, airports, government departments, as well as private businesses have all been crippled by the attack. Security analysts say this virus doesn't qualify as ransomware because the files aren't being unlocked when a victim pays the ransom. Some security experts say this indicates a state actor is behind the virus rather than a criminal organization looking for profit. Computers that store radiation level data at Chernobyl nuclear plant were among those affected by the virus. Officials say that because the computers only store data, there is no chance of radiation leakage.

Ransomware-as-a-Service (RaaS) Group Says GoldenEye “Not Our Ransomware”

Believe it or not, there are software companies who make money through creating ransomware and splitting the profit with the buyer. One such company, Janus Cybercrime Solutions, offered to help those affected by the GoldenEye ransomware attack. For a fee, of course. The company says they are protecting their business model because people who don’t get access to their computer files restored after paying the ransom are less likely to pay up in the future.

Google Slapped with Fine From European Union

Internet search and data collection giant Google was fined a record €2.42 billion ($2.71 billion) by the European Union’s antitrust regulator for favoring its own comparison shopping service in search results and ordered the search giant to use the same methods to rank rivals' results as Google does its own when returning search results.
“Google abused its market dominance as a search engine by promoting its own comparison shopping service in its search results, and demoting those of competitors,” said Margrethe Vestager, EU’s antitrust chief. “What Google has done is illegal under EU antitrust rules.”

Germany’s Federal Cartel Office to Examine Whether Facebook Bullies Users To Gain Information

Germany’s Federal Cartel Office is investigating Facebook to see if the company is extorting information from its users, and then using that information for profit. According to Frederik Wiemer, a lawyer with Heuking Kühn Lueer Wojtek in Hamburg, “Whoever doesn’t agree to the data use, gets locked out of the social network community. The fear of social isolation is exploited to get access to the complete surfing activities of users.”
The Cartel Office is looking into whether Facebook users understand what data is collected, how it is used, and whether they have a choice in providing that data.

Facebook, Microsoft, YouTube and Twitter Create Global Internet Forum to Counter Terrorism

Internet and technology titans YouTube, Facebook, Twitter, and Microsoft have formed a partnership for the purpose of combating terrorists online. The Global Internet Forum to Counter Terrorism builds on some existing online initiatives, which are designed to find and erase terrorist recruitment material from the Internet and promote counter-narratives to potential terrorist recruits. Google has already deployed the Jigsaw Redirect Method, which places anti-terrorist advertisements inside searches that use keywords popular with potential ISIS recruits.

Facebook Drone 'Aquila' Test Flight Declared Successful

Facebook released results of its second wave testing of drones to see if the technology could be used to bring the Internet (and Facebook) to the masses. When fully deployed, the drones will offer an Internet connection to over 1.6 billion people who live in rural or hard to access areas - and of course, to make it easier for those people to use Facebook. The solar-powered v-shaped drones have an impressive 113-foot wingspan and can stay aloft for up to 90 days.

Germany Requires Social Media Companies to Censor Content

Last month, Germany passed a law requiring social media platforms like Facebook and Twitter to remove or block hate speech from their platforms within 24 hours. Fines for non-compliance could be as high as €5 million (roughly $5.7 million). The Network Enforcement Act, also known as the “Facebook law,” was passed last week by the Bundestag, Germany’s parliamentary body. It will go into effect this October. Many digital rights proponents have expressed concern that the law violates freedom of speech and allows companies to define acceptable speech.

Trump Nominates Brendan Carr for Empty FCC Commission Post

President Trump has nominated FCC attorney Brendan Carr to fill the remaining Republican FCC Commissioner slot. Previously, Carr was a telecom industry attorney for six years before gaining a position as an attorney advisor to the FCC. Most recently, Carr acted as Commissioner Ajit Pai’s legal adviser.

CenturyLink Gets Hit With Lawsuit

A class-action lawsuit filed by a former CenturyLink employee alleges that she was fired for pointing out potential billing fraud to CenturyLink CEO Glen Post. The class action suit claims that millions of CenturyLink customers were overcharged for services and repairs. The complainants are asking for up to $12 billion in damages for fraudulent billing practices. Some of the alleged charges include charging customers higher rates than quoted during sales calls, billing customers for phone lines or services they didn’t order, charging early-termination fees when customers cancel their service, billing customers for service before their scheduled connection date, billing for equipment that customers never received, and charging customers for products and services they didn't request.

CenturyLink spokesman Mark Molzen denied the allegations, saying that the company “holds itself and its employees to the highest ethical standards and does not condone any type of unethical behavior.”

The allegations could put CenturyLink in hot water with regulators currently mulling the company's $34 billion merger with Level 3 Communications.

CenturyLink Announces Exclusive Streaming Service

In a bid to appeal to cord-cutting consumers, CenturyLink introduced its own over-the-top streaming service (OTT). The move is a bid to stem the loss of cable customers who cancel their subscriptions because they are increasingly fed up with their Cable TV options.  The new service, called CenturyLink Stream, starts at $45.00 and offers about 50 channels. Missing from the line-up are CBS and Fox channels. CenturyLink joins a long list companies who are jumping on the OTT bandwagon. YouTube TV, Sling TV, DirecTV Now, Hulu Live, and Sony PlayStation Vue are just a few of the platforms attempting to attract customers who are cutting the cord.

Charter Cable Line Cut to Thousands of Customers: Vandalism or Sabotage?

Last week, fiber optic cables servicing up to 60,000 Charter Communications customers in the Queens NY area were cut. The method used to sever the cables lead police to believe it could be the work of someone with knowledge of cable lines and equipment. Authorities suspect that the cables may have been cut by Charter Cable employees who are currently on strike nearby. Unfortunately, this isn't the first time Charter customers in Queens experienced an outage recently. Cable lines serving about 30,000 customers were cut in April of this year. Investigating authorities were unable to determine whether the cut was due to vandalism or sabotage. The employee strike against Charter Communications has been ongoing since March.

New Orleans Scammer Sees Opportunity in Cox Cable Outage

It looks like someone is trying to capitalize on the thousands of New Orleans area Cox Communications customers who reported service outages last week. Some residents reported a flier on their door claiming that their account was past due and scheduled for disconnection. The flier reads, "Last Chance!!!! If I do not hear back, account will be disconnected, so please contact me and I will still help you." The flier asks residents to contact Robert, who was referred to as the area manager for Cox Communications. Cox Communications issued a statement to local New Orleans CBS News affiliate WWLTV addressing the scam:

“We do not post this kind of flyer on a customer’s door. Our collection policies dictate multiple phone calls to the customer’s phone number of record and collection notices sent through the mail. If a customer has any questions, our automated voice response unit is available 24x7 to confirm a customer’s balance and any disconnect status, or they can call one of our account services agents.  We do not post notices on our costumers’ doors. We value their privacy and our relationships with them.”

Cox is still trying to determine what caused the widespread outage that impacted the New Orleans area for several hours.