Business
Israel’s A.I. Experiments in Gaza War Raise Ethical Concerns
In late 2023, Israel was aiming to assassinate Ibrahim Biari, a top Hamas commander in the northern Gaza Strip who had helped plan the Oct. 7 massacres. But Israeli intelligence could not find Mr. Biari, who they believed was hidden in the network of tunnels underneath Gaza.
So Israeli officers turned to a new military technology infused with artificial intelligence, three Israeli and American officials briefed on the events said. The technology was developed a decade earlier but had not been used in battle. Finding Mr. Biari provided new incentive to improve the tool, so engineers in Israel’s Unit 8200, the country’s equivalent of the National Security Agency, soon integrated A.I. into it, the people said.
Shortly thereafter, Israel listened to Mr. Biari’s calls and tested the A.I. audio tool, which gave an approximate location for where he was making his calls. Using that information, Israel ordered airstrikes to target the area on Oct. 31, 2023, killing Mr. Biari. More than 125 civilians also died in the attack, according to Airwars, a London-based conflict monitor.
The audio tool was just one example of how Israel has used the war in Gaza to rapidly test and deploy A.I.-backed military technologies to a degree that had not been seen before, according to interviews with nine American and Israeli defense officials, who spoke on the condition of anonymity because the work is confidential.
In the past 18 months, Israel has also combined A.I. with facial recognition software to match partly obscured or injured faces to real identities, turned to A.I. to compile potential airstrike targets, and created an Arabic-language A.I. model to power a chatbot that could scan and analyze text messages, social media posts and other Arabic-language data, two people with knowledge of the programs said.
Many of these efforts were a partnership between enlisted soldiers in Unit 8200 and reserve soldiers who work at tech companies such as Google, Microsoft and Meta, three people with knowledge of the technologies said. Unit 8200 set up what became known as “The Studio,” an innovation hub and place to match experts with A.I. projects, the people said.
Yet even as Israel raced to develop the A.I. arsenal, deployment of the technologies sometimes led to mistaken identifications and arrests, as well as civilian deaths, the Israeli and American officials said. Some officials have struggled with the ethical implications of the A.I. tools, which could result in increased surveillance and other civilian killings.
No other nation has been as active as Israel in experimenting with A.I. tools in real-time battles, European and American defense officials said, giving a preview of how such technologies may be used in future wars — and how they might also go awry.
“The urgent need to cope with the crisis accelerated innovation, much of it A.I.-powered,” said Hadas Lorber, the head of the Institute for Applied Research in Responsible A.I. at Israel’s Holon Institute of Technology and a former senior director at the Israeli National Security Council. “It led to game-changing technologies on the battlefield and advantages that proved critical in combat.”
But the technologies “also raise serious ethical questions,” Ms. Lorber said. She warned that A.I. needs checks and balances, adding that humans should make the final decisions.
A spokeswoman for Israel’s military said she could not comment on specific technologies because of their “confidential nature.” Israel “is committed to the lawful and responsible use of data technology tools,” she said, adding that the military was investigating the strike on Mr. Biari and was “unable to provide any further information until the investigation is complete.”
Meta and Microsoft declined to comment. Google said it has “employees who do reserve duty in various countries around the world. The work those employees do as reservists is not connected to Google.”
Israel previously used conflicts in Gaza and Lebanon to experiment with and advance tech tools for its military, such as drones, phone hacking tools and the Iron Dome defense system, which can help intercept short-range ballistic missiles.
After Hamas launched cross-border attacks into Israel on Oct. 7, 2023, killing more than 1,200 people and taking 250 hostages, A.I. technologies were quickly cleared for deployment, four Israeli officials said. That led to the cooperation between Unit 8200 and reserve soldiers in “The Studio” to swiftly develop new A.I. capabilities, they said.
Avi Hasson, the chief executive of Startup Nation Central, an Israeli nonprofit that connects investors with companies, said reservists from Meta, Google and Microsoft had become crucial in driving innovation in drones and data integration.
“Reservists brought know-how and access to key technologies that weren’t available in the military,” he said.
Israel’s military soon used A.I. to enhance its drone fleet. Aviv Shapira, founder and chief executive of XTEND, a software and drone company that works with the Israeli military, said A.I.-powered algorithms were used to build drones to lock on and track targets from a distance.
“In the past, homing capabilities relied on zeroing in on to an image of the target,” he said. “Now A.I. can recognize and track the object itself — may it be a moving car, or a person — with deadly precision.”
Mr. Shapira said his main clients, the Israeli military and the U.S. Department of Defense, were aware of A.I.’s ethical implications in warfare and discussed responsible use of the technology.
One tool developed by “The Studio” was an Arabic-language A.I. model known as a large language model, three Israeli officers familiar with the program said. (The large language model was earlier reported by Plus 972, an Israeli-Palestinian news site.)
Developers previously struggled to create such a model because of a dearth of Arabic-language data to train the technology. When such data was available, it was mostly in standard written Arabic, which is more formal than the dozens of dialects used in spoken Arabic.
The Israeli military did not have that problem, the three officers said. The country had decades of intercepted text messages, transcribed phone calls and posts scraped from social media in spoken Arabic dialects. So Israeli officers created the large language model in the first few months of the war and built a chatbot to run queries in Arabic. They merged the tool with multimedia databases, allowing analysts to run complex searches across images and videos, four Israeli officials said.
When Israel assassinated the Hezbollah leader Hassan Nasrallah in September, the chatbot analyzed the responses across the Arabic-speaking world, three Israeli officers said. The technology differentiated among different dialects in Lebanon to gauge public reaction, helping Israel to assess if there was public pressure for a counterstrike.
At times, the chatbot could not identify some modern slang terms and words that were transliterated from English to Arabic, two officers said. That required Israeli intelligence officers with expertise in different dialects to review and correct its work, one of the officers said.
The chatbot also sometimes provided wrong answers — for instance, returning photos of pipes instead of guns — two Israeli intelligence officers said. Even so, the A.I. tool significantly accelerated research and analysis, they said.
At temporary checkpoints set up between the northern and southern Gaza Strip, Israel also began equipping cameras after the Oct. 7 attacks with the ability to scan and send high-resolution images of Palestinians to an A.I.-backed facial recognition program.
This system, too, sometimes had trouble identifying people whose faces were obscured. That led to arrests and interrogations of Palestinians who were mistakenly flagged by the facial recognition system, two Israeli intelligence officers said.
Israel also used A.I. to sift through data amassed by intelligence officials on Hamas members. Before the war, Israel built a machine-learning algorithm — code-named “Lavender” — that could quickly sort data to hunt for low-level militants. It was trained on a database of confirmed Hamas members and meant to predict who else might be part of the group. Though the system’s predictions were imperfect, Israel used it at the start of the war in Gaza to help choose attack targets.
Few goals loomed larger than finding and eliminating Hamas’s senior leadership. Near the top of the list was Mr. Biari, the Hamas commander who Israeli officials believed played a central role in planning the Oct. 7 attacks.
Israel’s military intelligence quickly intercepted Mr. Biari’s calls with other Hamas members but could not pinpoint his location. So they turned to the A.I.-backed audio tool, which analyzed different sounds, such as sonic bombs and airstrikes.
After deducing an approximate location for where Mr. Biari was placing his calls, Israeli military officials were warned that the area, which included several apartment complexes, was densely populated, two intelligence officers said. An airstrike would need to target several buildings to ensure Mr. Biari was assassinated, they said. The operation was greenlit.
Since then, Israeli intelligence has also used the audio tool alongside maps and photos of Gaza’s underground tunnel maze to locate hostages. Over time, the tool was refined to more precisely find individuals, two Israeli officers said.
Business
San Diego County agency selling water to keep its high rates in check
San Diego County’s water agency is selling some of its water to another Southern California agency to help limit increasingly high water costs for 3.3 million people.
The water is going to Western Municipal Water District, which serves a growing area of nearly 1 million people in Riverside County, including Corona, Riverside and Temecula.
The San Diego County Water Authority will transfer at least 10,000 acre-feet of water per year over the next 21 years, enough for about 30,000 typical households.
The agencies said the deal will be worth about $100 million over the first five years.
The San Diego County agency has invested heavily to get more water in recent decades. In 2003, it struck an agriculture-to-urban transfer deal and it also buys water from the Carlsbad desalination plant under a 30-year agreement. These actions have brought San Diego County plentiful water — also some of the most expensive in the state. At the same time, conservation efforts in San Diego County have reduced water needs.
The San Diego County Water Authority delivers water to 22 cities and other agencies. Last year its board approved raising wholesale water rates 8.3%, which drew criticism from residents who said they were already struggling to afford their water bills.
Board Chair Nick Serrano said the deal “allows us to maximize the value of the investments San Diego County residents made over decades, strengthen water reliability, and do so in a way that is mindful of affordability.”
The two agencies said in a joint statement on Thursday that for Western Municipal, the additional water will help during drought and ensure reliable water without the cost and time involved in developing new water infrastructure projects.
The water will move from one area to the other through the pipelines of the Metropolitan Water District of Southern California, the regional wholesaler that imports water from the Colorado River and Northern California. Both San Diego County and Western Municipal are members of the MWD.
An agreement between the MWD and the San Diego County Water Authority last year ended a 15-year legal battle over water costs and cleared the way for San Diego County to start selling some of its excess water to areas that need it.
Business
Gasoline price gouging in California draws a warning
California’s petroleum market watchdog is warning about price gouging at some gas stations charging over $7 or even $8 a gallon as the Iran war sends oil prices soaring.
The average price of gas in California is currently $5.66, but as of Friday, a Chevron station in Essex is charging $9.69, another in Los Angeles’ Chinatown is charging $8.71, and one in Vidal Junction is charging $7.79, according to GasBuddy, which tracks prices across the country.
“Our team is vigilantly monitoring the retail, wholesale, and spot markets,” said Tai Milder, director of the California Energy Commission Division of Petroleum Market Oversight, in a statement. “Any reports of unfair practices or market manipulation will be taken seriously, and we will not hesitate to refer any illegal conduct for further investigation and prosecution.”
Gas prices have jumped some 30% nationally since the U.S. and Israel attacked Iran three weeks ago and Iran blocked 20% of the global oil supply. Californians, who already faced prices over $1 per gallon higher than the national average, are especially feeling the squeeze.
The extremely high prices at some gas stations in California “are not supported by current crude oil prices or gasoline futures,” the division said.
California’s oil and gas watchdog division was created in 2023 to provide greater insight into the state’s petroleum market after summer gas price spikes exceeded $6 per gallon two years in a row.
The state consistently sees the highest fuel prices in the country due to state taxes and fees, environmental programs, a cleaner fuel blend requirement and an isolated petroleum market, where 80% of gasoline comes from in-state refineries.
This isolation makes California gas prices more sensitive to refinery outages and market manipulation. In 2024 the division reported that, after accounting for environmental rules and taxes, Californians still pay an extra 41 cents more per gallon and the largest share of that goes to industry profit. They also found that the price spikes of the previous two years were caused by refineries going offline without backup supply and “potentially manipulative trading” in those under-supply conditions.
Lawmakers and regulators have been more quiet about price gouging of late and the energy commission put a decision to impose a profit cap on refiners on hold after a series of refinery closures raised concerns about future fuel supply shortages.
Jamie Court, the president of the nonprofit ratepayer advocacy group Consumer Watchdog, said the fact that the gap between national and California prices has widened since the start of the war is evidence of price gouging.
“We know they made 49 cents per gallon in January,” said Court, of the refineries. “We know now that their margins are closer to $1.25 per gallon,” he said, citing the group’s analysis of state and Oil Price Information Service data.
Chevron said in a statement that most of its gas stations are owned and operated by independent business people who are “free to set the retail price of fuel and other products.”
“Those costs are generally determined by fundamental economic forces like demand, supply and competition,” said spokesperson Ross Allen, who added that crude oil prices, which make up the bulk of gas prices, have gone up but California’s taxes and environmental fees can also add over $1.20 a gallon.
Valero, Marathon Petroleum, and Shell did not respond immediately to requests for comment.
The petroleum oversight agency said it reached out to stations where pricing appears “excessive and disproportionate to increases in those sellers’ costs” including “multiple stations in Los Angeles and San Bernardino counties, in addition to multiple stations in Northern California” since the war began.
It also encouraged Californians “to shop around and compare prices between name-brand and unbranded (or generic) gasoline.”
“While retailers typically charge more for branded gasoline, all gasoline sold in California must meet the state’s high standards for emissions control and engine performance,” read the statement.
Business
California attorney general asks judge to block Nexstar-Tegna merger
California Atty. Gen. Rob Bonta is asking a judge to unravel Nexstar Media Group’s $6.2-billion acquisition of rival TV station owner Tegna — the latest in a flurry of merger twists.
Nexstar announced late Thursday that it had consummated the Tegna takeover — despite a lawsuit that Bonta and seven other Democratic state attorneys general had filed in federal court the previous day.
The state officials sued to block the union of the station groups, alleging the new colossus would violate antitrust rules and a federal law limiting broadcast station ownership.
The lawsuit was filed in U.S. District Court in Sacramento.
Hours after that filing, the Federal Communications Commission’s Media Bureau in Washington approved Nexstar’s deal — clearing the way for the nation’s largest TV station group owner to swallow the third-largest station group.
The purchase gives Nexstar, which owns KTLA-TV Channel 5 in Los Angeles, 265 television stations.
On Friday, Bonta and the other attorneys general asked a judge for a temporary restraining order to freeze the takeover until a hearing on the matter.
“Nexstar/Tegna is not a done deal,” Bonta said Friday in a statement. “I will not let these corporate behemoths merge without a fight.”
It was not immediately clear when a judge might rule on the request for a restraining order.
Bonta appeared at a lawmakers’ hearing in Burbank on Friday to explore the impacts of another huge merger: Paramount Skydance’s proposed $111-billion takeover of Warner Bros. Discovery. Bonta’s office has opened an investigation into the Paramount-Warner merger, but Bonta said Friday that no decision has been made on whether he or other attorneys general will seek to block it.
For now, he is focused on derailing the Nexstar-Tegna deal.
“We filed a suit before that deal closed,” Bonta told The Times. “We think our case is extremely strong. There is no way this should be approved.”
At issue is whether the FCC had the power to grant a waiver that would allow Nexstar to control TV stations that reach nearly 80% of U.S. households. In 2003, Congress set the station ownership cap at 39% of the country.
The Department of Justice also gave its blessing to close the deal.
The three FCC commissioners did not vote on the matter — despite pleas from the lone Democrat on the panel who advocated for an open process.
Approval of the merger was rapid after President Trump endorsed the consolidation on Feb. 7.
“We need more competition against THE ENEMY, the Fake News National TV Networks,” Trump wrote in his social media post.
“Letting Good Deals get done like Nexstar – Tegna will help knock out the Fake News because there will be more competition, and at a higher and more sophisticated level,” Trump wrote. “GET THAT DEAL DONE!”
In a statement Thursday, Nexstar founder and chief executive Perry Sook thanked Trump and FCC Chairman Brendan Carr, saying Nexstar was “grateful” they recognized the “dynamic forces shaping the media landscape” and allowed the transaction to move forward.
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