Soon after the Trump administration launched its war on Iran, I called up Reed Blakemore, director of research and programs at the Atlantic Council Global Energy Center, to talk about the consequences. While oil and gas prices were already on the rise, there was still more hope then that the impact of the conflict might be short-lived. At the end of our conversation, Blakemore said plainly: “Let’s have a call again [next week] … We’ll have a much clearer picture of what the conflict is going to look like and what the story really is going to be for energy moving forward.”
Technology
Chinese hackers target US telecoms: What you need to know to protect your data
U.S. telecom giants are under constant attack from Chinese hackers. A federal investigation has uncovered a massive cyber espionage campaign by the Chinese government, targeting U.S. telecommunications networks to steal Americans’ information. A top White House official confirmed that at least eight U.S. telecom companies have been affected by this hacking spree.
To combat this, the FBI and Cybersecurity and Infrastructure Security Agency (CISA) have released advice for telecom companies to help them detect and block the hackers while preventing future attacks. I break down the details of this Chinese hacking campaign and share tips on how to keep your data safe.
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Illustration of a hacker at work (Kurt “CyberGuy” Knutsson)
What you need to know about the China hacking campaign
According to the FBI, hackers linked to Beijing have infiltrated the networks of “multiple” telecom companies, gaining access to customer call records and private communications of “a limited number of individuals.” Since this is an espionage campaign, they’re not interested in the average Joe’s texts or call history. Instead, their targets are Americans involved in government and politics.
The hackers also tried to copy “certain information that was subject to U.S. law enforcement requests pursuant to court orders,” according to the FBI. This suggests they might have been attempting to breach programs like those under the Foreign Intelligence Surveillance Act, which allows U.S. spy agencies to monitor the communications of individuals suspected of working for foreign powers.
Earlier this month, Deputy National Security Advisor Anne Neuberger shared new details about the scale of the Chinese hacking campaign. According to Neuberger, the U.S. believes the hackers managed to access communications from senior government officials and prominent political figures.
She explained that while the hackers were focused on a relatively small group of individuals, a limited number of Americans’ phone calls and texts were compromised. Neuberger also mentioned that the affected telecom companies are working to address the breaches, but none have been able to completely remove the Chinese hackers from their networks yet.
This campaign is believed to have started a year or two ago, according to the Associated Press. Authorities suspect a Chinese hacking group known as Salt Typhoon to be behind the operation.
Illustration of a hacker at work (Kurt “CyberGuy” Knutsson)
HERE’S WHAT RUTHLESS HACKERS STOLE FROM 110 MILLION AT&T CUSTOMERS
How are hackers able to access sensitive information?
Salt Typhoon managed to access call records and private communications by exploiting decades-old back doors in major telecom providers, including AT&T and Verizon, experts believe.
“The irony here is that the back doors exploited by the Chinese are, in fact, the same back doors that are utilized by federal law enforcement for purposes of conducting legal surveillance,” John Ackerly, CEO and co-founder of Virtru, a data-centric security company, told CyberGuy.
The vulnerabilities are a result of the Communications Assistance for Law Enforcement Act (CALEA), a federal law that mandates back doors in critical telecommunications infrastructure. CALEA enables law enforcement agencies to access phone records and metadata, including facilitating wiretaps, as part of authorized investigations.
“The problem with back doors is simple. They’re not selective. A back door created for law enforcement is, by its very nature, a vulnerability in the system. And vulnerabilities, once they exist, can be exploited by anyone who discovers them. Both good guys and bad guys can enter back doors,” said Ackerly, who previously served as a White House technology adviser.
Illustration of a hacker at work (Kurt “CyberGuy” Knutsson)
BEWARE OF ENCRYPTED PDFs AS LATEST TRICK TO DELIVER MALWARE TO YOU
The solution is end-to-end encryption
To protect private conversations and phone calls, cybersecurity experts recommend using end-to-end encrypted platforms. Jeff Greene, executive assistant director of cybersecurity at CISA, urged Americans to prioritize encrypted communication tools.
“Use your encrypted communications where you have it,” Greene advised, emphasizing the importance of secure platforms. He added, “We definitely need to do that, kind of look at what it means long term, how we secure our networks.”
An FBI official warned that citizens should be “using a cellphone that automatically receives timely operating system updates, responsibly managed encryption and phishing resistant MFA for email, social media and collaboration tool accounts.”
However, cybersecurity experts warn that these measures are not foolproof. The term “responsibly managed encryption” is problematic, as it intentionally leaves room for “lawful access,” such as the back doors required by CALEA.
“It’s clear that encryption with back doors is not actually responsible at all,” Ackerly said. “It’s time for the U.S. government to acknowledge and support end-to-end encryption as a stronger protection against foreign adversaries.”
Illustration of a cybersecurity expert at work (Kurt “CyberGuy” Knutsson)
WHAT TO DO IF YOUR BANK ACCOUNT IS HACKED
10 ways to protect your personal information against cybersecurity threats
Now that we’ve discussed the threat, let’s take a look at the solutions. Here are 10 ways you can keep your personal information safe.
1) Use end-to-end encrypted platforms: For private communications, prioritize platforms that offer end-to-end encryption. This ensures that only you and the intended recipient can access your messages or calls, preventing unauthorized access by hackers or other third parties.
“Anyone can take control of their own data and protect themselves from security threats by using applications that provide end-to-end encryption. Whether you’re emailing, sending messages and files or video chatting, the only way to truly ensure your data is safe from bad actors is to encrypt it as it travels,” Ackerly said. “Choose an app or tool that is easy to use, so that you will actually use it.”
For texting, consider apps like Signal or WhatsApp. For email services, look for ones that offer easy-to-use end-to-end encryption. These platforms ensure that your private communications remain secure from unauthorized access. See my review of the best secure and private email services here.
2) Keep your device’s operating system updated: Make sure your cellphone and other devices automatically receive timely operating system updates. These updates often include important security patches that protect against new vulnerabilities exploited by hackers. For reference, see my guide on how to keep all your devices updated.
3) Enable two-factor authentication (2FA): Set up phishing-resistant 2FA on your email, social media and collaboration tool accounts. This adds an extra layer of protection, requiring more than just a password to access your accounts, making it harder for cybercriminals to steal your information.
4) Use strong antivirus software: Be aware of phishing techniques and remain skeptical of suspicious links, emails or phone calls asking for personal information. Cybercriminals often use these methods to gain access to your sensitive data.
The best way to safeguard yourself from malicious links is to have antivirus software installed on all your devices. This protection can also alert you to phishing emails and ransomware scams, keeping your personal information and digital assets safe. Get my picks for the best 2024 antivirus protection winners for your Windows, Mac, Android and iOS devices.
5) Encrypt sensitive data: Encrypt data on USB drives, SIM cards and laptops to protect information if devices are lost or stolen. Also, be sure to password-protect your sensitive files or folders by following these steps.
6) Implement strong password practices: Use unique, complex passwords for each account and consider using a password manager.
7) Regularly backup your data: Backing up your data helps protect against data loss from ransomware or device failure. You’ll want to back up your mobile device, Mac and Windows computers.
8) Be cautious with public Wi-Fi: Use a VPN (virtual private network) when connecting to public Wi-Fi networks to encrypt your internet traffic. This makes it harder for hackers and third parties to intercept your data, especially on public Wi-Fi. A VPN masks your IP address, helping to obscure your location and online activity. While VPNs don’t directly prevent phishing emails, they reduce the exposure of your browsing habits to trackers that may use this data maliciously. With a VPN, you can securely access your email accounts from anywhere, even in areas with restrictive internet policies. For the best VPN software, see my expert review of the best VPNs for browsing the web privately on your Windows, Mac, Android and iOS devices.
9) Invest in personal data removal services: Consider services that scrub your personal information from public databases. This reduces the chances of your data being exploited in phishing or other cyberattacks after a breach. Check out my top picks for data removal services here.
10) Use identity theft protection: Identity theft protection services monitor your accounts for unusual activity, alert you to potential threats and can even assist in resolving issues if your data is compromised. See my tips and best picks on how to protect yourself from identity theft.
There’s no denying that the U.S. is facing a serious cyberattack that puts millions at risk. What’s even more concerning is that hackers continue to exploit telecom providers even after the issue has been made public. The government and the affected companies must prioritize addressing this threat and patching the back doors these cybercriminals are using. We’re witnessing one of the largest intelligence compromises in U.S. history.
Do you believe the current laws around encryption and lawful access are enough to protect your privacy? Let us know by writing us at Cyberguy.com/Contact.
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Kurt’s key takeaway
Energy infrastructure has become a key leverage point in the unfolding war
It’s a week later and the conflict has only escalated since the US and Israel launched strikes against Iran, killing Supreme Leader Ayatollah Ali Khamenei. Energy infrastructure has become a key leverage point in the unfolding war, with Israel hitting Iranian fuel depots and Iran targeting Gulf neighbors’ oil and gas infrastructure in its own strikes. Iran’s paramilitary Revolutionary Guard threatened on Tuesday not to “not allow the export of even a single liter of oil from the region to the hostile side and its partners until further notice.” Iran has reportedly also started to lay mines in the strategic Strait of Hormuz, through which one-fifth of global petroleum consumption and liquefied natural gas (LNG) trade used to move.
I talked to Blakemore again today about what Iran’s continued chokehold on the Strait of Hormuz means for energy costs and US tech companies’ rush to build out energy-hungry AI data centers.
This interview has been edited for length and clarity.
What’s your outlook now on how the conflict is likely to affect oil and gasoline prices?
Reed Blakemore: The fundamental issue right now, in terms of the energy implications of the conflict, is how the market is reacting to the uncertainty around safe passage through the Strait of Hormuz.
At the outset of the conflict when we saw insurance premiums going up for these ships, we were largely talking about it in the context of, Hey, it’s just gotten much more expensive for a ship to traverse the Gulf and therefore they’re staying out.
We’ve moved from that to actual concerns around the security of passing through the straits in the first place, so this is no longer an insurance cost issue as much as it is a safety and security issue.
We have virtually no traffic passing through the Strait of Hormuz. A lot of countries are beginning to shut in production. So there’s already this ripple effect emerging purely because the market and basically tankers are fundamentally concerned about whether or not they will be able to safely pass through the strait.
“There’s only so much that US energy dominance can do to shield US consumers”
The other feature that I think we’ve seen the market react strongly to in the past several days is a sense of how long this conflict is going to last. And I think you can look to the comments from the president in the last 72 hours and the market’s reaction as a major piece of evidence to that end. Moving into the weekend where the campaign had clearly escalated, the uncertainty around how open the Strait of Hormuz would or wouldn’t be was beginning to reach a fever pitch. The response from markets when they opened in Asia on Sunday going past $100 a barrel to nearly $120 a barrel is really a function of the market not having a sense that this would be over anytime soon. That pullback that we saw over the course of yesterday was in response to the president saying fundamentally that Hey, we have an end in sight to this conflict.
The United States is a major oil producer. I think the strategy of US energy dominance played a significant role in terms of shielding US consumers from the initial market consequences of the decision to go to war with Iran. The price increases we’ve seen thus far would have been much more responsive to the market volatility. That has bought the administration a little bit of time as it relates to how long until we see the gasoline prices really begin to pick up steam domestically. But as this conflict persists and the volatility in the market continues, we will begin to see upward pressure on gasoline prices, regrettably, over time.
There’s only so much that US energy dominance can do to shield US consumers from what is a globally traded market in terms of oil. Because the United States is a major domestic oil producer, it has the ability to put some downward pressure on its own gasoline prices.
But because via its oil exports it participates in a global market, it has that exposure to global oil market volatility.
Can we expect electricity prices to go up also? Why?
For the United States, the gas story is a little bit better, but not immune from the global market as well. Natural gas is largely regionally traded within the United States. The US is a major producer of natural gas for domestic consumption in a way that further insulates it. That makes the case of the United States much different than the gas price sensitivity we’re seeing in Europe or in Japan or other parts of East Asia.
The problem is similar to the oil story because the United States is a major LNG exporter. As natural gas prices increase elsewhere, LNG exporters will be incentivized to export more gas because that’s where the arbitrage opportunity is, and that will create the upward price pressure domestically in the United States.
What risks does that pose to tech companies and this push to build out more AI data centers and related energy infrastructure?
In the United States, the majority of the data center buildout has begun to be powered by natural gas. We’re not going to see electricity prices reach a crisis point in the United States in the short term because of this conflict. The time horizon that we’re talking about with gas and therefore electricity prices is likely in the time horizon of months rather than weeks you’d expect with oil.
However, the longer this conflict lasts and the more tightness we see in the global gas market — that will eventually permeate the United States and create that upward pressure on gas prices in a way which then affects electricity prices and then that brings the data center question into play.
I think the unique thing is it doesn’t necessarily affect the ability of data centers to purchase energy. Electricity costs are a relatively marginal proportion of the cost of building and operating a data center. What it does do is it only further inflames the energy affordability challenges that are currently deteriorating social license in the country for data centers. So the impact on electricity prices likely won’t directly harm data center buildout. The ancillary affordability challenges it will create will further entrench popular discontent with data center buildout, because data centers are simply making consumer electricity bills much more expensive.
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The next time you pull up to the drive-thru at Burger King, you may notice something different. The greeting might sound warmer. The thank you might feel extra intentional. That could be Patty. The company is expanding a new AI-powered assistant that listens to employee headset interactions and tracks how staff speak with customers. The goal, according to executives, is simple. Create friendlier restaurants and smoother operations. But the rollout raises a bigger question. When does coaching become monitoring?
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BURGER KING MAKES CHANGES TO SIGNATURE WHOPPER FOR FIRST TIME IN NEARLY A DECADE
Burger King is rolling out an AI assistant named Patty to monitor employee drive-thru greetings and track customer interactions. (Eva Marie Uzcategui/Bloomberg via Getty Images)
What is Burger King’s Patty AI assistant and how does it work?
Burger King’s Patty AI assistant runs on technology from OpenAI. In practice, it listens for key phrases such as “Welcome to Burger King,” “Please” and “Thank you.” It then compiles that information into reports so managers can measure how consistently staff use polite language. Although company leaders say it is not recording every conversation, they frame it as a coaching tool designed to reinforce service standards.
Beyond tracking manners, Patty also supports daily operations. For example, it can answer questions about how many bacon strips go on a sandwich or how to clean specific equipment. In addition, it flags inventory shortages and alerts managers when machines stop working. It even tracks how often employees tell customers an item is unavailable, which can highlight supply gaps.
As a result, that data has already influenced menu decisions, including the return of apple pie after its removal in 2020. Taken together, Patty functions as a manners coach, kitchen assistant and data analyst rolled into one.
From pilot program to nationwide push
Burger King began testing Patty at about 100 U.S. locations last year. Now the company plans to expand to roughly 500 stores, with a goal of rolling it out nationwide by year’s end.
And Burger King is not alone. Rivals like Wendy’s, Taco Bell, McDonald’s, Pizza Hut and KFC have all tested AI in some form. Some experiments focused on automated ordering. Others used AI to streamline drive-thru operations.
Results have been mixed. Customers have praised the faster service. They have also complained about glitches and awkward robotic interactions. Burger King’s version stands out because it focuses on employee behavior, not just customer convenience.
TACO BELL TOPS NEW DRIVE-THRU SPEED RANKINGS, AND CHICK-FIL-A WINS ON SATISFACTION
Fast-food chains are increasingly turning to artificial intelligence to streamline service and boost efficiency. (Jeffrey Greenberg/Universal Images Group via Getty Images)
Coaching tool or digital hall monitor?
Burger King says Patty exists to help managers coach teams and improve hospitality. Executives argue that customers want a warmer experience. Data simply helps restaurants measure it.
Yet social media reaction tells a different story. Some critics say constant monitoring creates pressure. They worry about employees having a bad day and getting flagged for forgetting a single word. Others describe it as surveillance disguised as support.
This tension reflects a larger trend in the workplace. AI increasingly measures performance in warehouses, offices and retail counters. Now it is moving into fast-food headsets. The real debate is not about politeness. It is about power.
The bigger AI trend in fast food
Fast-food chains operate on razor-thin margins. Small efficiency gains matter. If AI reduces waste, speeds up service and improves customer satisfaction, companies will keep investing. At the same time, public opinion matters. Customers say they value authenticity. Employees want fair treatment. The companies that succeed will need to balance both.
FAST-FOOD RESTAURANTS USING NEW TECHNOLOGY TO RESHAPE HOW CUSTOMERS PLACE ORDERS
Burger King plans to expand Patty to 500 U.S. stores this year, with a nationwide rollout targeted by year’s end. (Justin Sullivan/Getty Images)
What this means to you
If you are a customer, you may notice friendlier greetings and fewer out-of-stock surprises. AI can help restaurants restock faster and fix broken machines sooner. That could mean shorter lines and more consistent menus. If you are an employee, the shift feels different. Every please and thank you becomes part of a data stream. Managers can track patterns instead of relying on occasional observations. For workers, that may increase accountability. It may also increase stress. For the industry, this signals a future where AI quietly runs in the background of nearly every transaction.
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Kurt’s key takeaways
Technology keeps moving into spaces that once felt purely human. The drive-thru greeting used to be about personality and mood. Now it may be part of a data dashboard. Some will see that as progress. Others will see it as overreach.
If AI can measure kindness, should it? Let us know by writing to us at Cyberguy.com
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Slay the Spire II launched in early access last week, and it’s already an excellent sequel to one of the best roguelikes of all time. In many ways, it’s very similar to its predecessor. Like Hades II and Hollow Knight: Silksong, Slay the Spire II mostly iterates on an already superb foundation. But it does add online co-op with up to four players. While multiplayer changes the familiar rhythms of Slay the Spire just a bit, it’s still a great way to tackle the arduous climb up the spire.
A round of Slay the Spire II plays essentially the same as the original: In each run, you navigate three different acts across a winding map, slowly making a build by crafting your deck and picking up various perk-giving relics, and fighting enemies, elites, and bosses along the way. Slay the Spire II retains the deliberate, turn-based style of play, meaning that when it’s your turn, you have as much time as you want to decide what to do. Since you can see exactly what your enemies are planning for their next turn, there’s a lot of strategy in deciding how much damage to do and how much defense you might need to set up. Multiplayer adds a slight twist: When it’s your turn, everyone can play simultaneously. That opens up all sorts of new opportunities for planning, but it also requires communication to make sure everyone is using their cards effectively.
My multiplayer partner was my wife, the biggest Slay the Spire fan I know, and on our second run we got a thrilling victory. I played the new Necrobinder character, a necromancer, while she played as the returning Silent, which can make decks built around flurries of shivs. Over the course of the run, we accidentally settled into a strategy where I focused on applying the Vulnerable status to as many enemies as possible before my wife would rain down shivs upon our foes.
Slay the Spire II doesn’t encourage teamwork only in battles. At a campfire rest stop, you can choose to mend a friend’s health to help them out. (Some of the new enemies are tough, so I’m glad this is an option.) You each get a vote on which path to take next on the map. Everyone can draw on the map, too — as I learned many times after seeing the doodles my wife made when I would spend too long in the shop.
Since we had to communicate so much, our winning run took about an hour and a half, slower than how fast I could blast through runs in the first game. When we finally defeated the Act 3 boss, though, it was even more satisfying than most of my solo wins because we did it together. My one complaint is that co-op requires you to each play online on your own copy of the game, and that, because there’s no couch co-op, we each had to play on separate devices even though we were sitting on the couch right next to each other.
Those are annoying tradeoffs, but multiplayer is such a fun addition to Slay the Spire that I don’t mind. I can’t wait to try another multiplayer run and see what challenges — and doodles — are in store for me.
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