Posts with «author_name|mariella moon» label

Feds charge former MoviePass execs with securities and wire fraud

The former executives in charge of MoviePass have been indicted in what the Justice Department calls "a scheme to defraud investors." Ex-MoviePass CEO J. Mitchell Lowe and Theodore Farnsworth, who used to be the chairman of the service's former parent company Helios and Matheson Analytics (HMNY), have been charged with one count of securities fraud and three counts of wire fraud. Federal authorities accuse them of making materially false and misleading claims regarding MoviePass' business in press releases, interviews and even SEC filings in a bid to artificially inflate HMNY's stocks and entice new investors. 

According to the newly unsealed court documents, Farnsworth and Lowe allegedly knew from the start that the business' $9.95 "unlimited" plan was a temporary gimmick to attract new subscribers and, hence, artificially inflate HMNY's stock prices. They also falsely claimed that the business model was tested to be sustainable and that it was possible to become profitable on subscription fees alone, the feds said. 

In addition, the executives allegedly claimed that HMNY had "big data" and AI technologies that could be used to generate revenue for the company by analyzing data collected from MoviePass subscribers. The indictment accuses them of making the claim even though they knew that HMNY did not have the technology or the capability to monetize subscriber data. 

Another allegation against the executives is that they'd made false representations that MoviePass was earning considerable money from multiple revenue streams. The business did not have a non-subscription revenue stream that would make it self-sufficient or offset its losses, according to authorities. Farnsworth and Lowe were also accused of implementing various tactics to prevent certain subscribers from being able to use their "unlimited" service. If you'll recall, MoviePass had to settle with the FTC in 2021 over allegations that it invalidated subscriber passwords on purpose to give it sufficient reason to freeze accounts of frequent users. 

In a statement made to The Verge, the spokesperson for Farnsworth said: "The indictment repeats the same allegations made by the Securities and Exchange Commission in the Commission's recent complaint filed on September 27th against Mr. Farnsworth, concerning matters that were publicly disclosed nearly three years ago and widely reported by the news media. As with the SEC filing, Mr. Farnsworth is confident that the facts will demonstrate that he has acted in good faith, and his legal team intends to contest the allegations in the indictment until his vindication is achieved."

The SEC sued MoviePass for fraud back in September and also accused the executives of misleading investors about the viability of the company's $9.95-per-month business model. Despite its tumultuous past and all the accusations the former people in charge still have to face, MoviePass is back. Stacy Spikes, its original co-founder, purchased it back after HMNY filed for bankruptcy. The service relaunched in September 5th and now charges subscribers $10 a month for up to three movies, $20 a month for up to four and $30 for a maximum of five movies a month. 

As for Farnsworth and Lowe, they're now facing a maximum penalty of 20 years in prison for each count of securities and wire fraud.

Sony's massive Amazon sale knocks up to 42 percent off headphones and earbuds

Sony's latest flagship noise-canceling headphones and their predecessors, along with their earbud counterparts, are on sale right now on Amazon. Some of them are even back to their old Prime Day pricing, while others are down to a new all-time low. The WH-1000XM5, which we think are the best headphones you can buy right now, are probably the crowning glory of this sale. They're back to their Prime Day and all-time low pricing of $348, or $52 less than their retail price. We gave the headphones a score of 95 in our review and praised Sony for giving their exterior a big redesign that massively increased their comfort. 

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Sony has upgraded sound quality for the new flagship headphones and made bass punchier, gave it more depth and more clarity. Everything seemed more immersive as a result. The company has doubled the number of processors and the number of microphones for noise canceling, as well, making the model better at blocking higher frequency sounds, such as voices. 

If you're looking for something a little more affordable, Sony's previous flagship headphones are also on sale for $228. That's how much the WH-1000XM4 went for during Amazon's Prime Day sale in July, and that represents 35 percent or $122 in savings. While we believe the WH-1000XM5 are the best headphones you can get at the moment, the WH-1000XM4 were our top pick before their successor came out. We praised them for having powerful ANC, immersive sound, automatic pausing when you speak and multi-device connectivity. 

Sony's WF-1000XM4 earbuds are also on sale, in case you're looking for in-ear headphones instead. They're down to a new low of $178 or 36 percent lower than their retail price. The earbuds come with Sony's Noise Isolation Earbud Tips made of spongy foam instead of silicone, which never felt quite comfortable for us. That said, we found the earbuds to have great sound clarity and praised them for having wireless charging and support for high-res audio. 

Outside of Sony's high-end models, Amazon is also selling Sony's WH-XB910N ANC headphones for $123 or 51 percent off their retail price of $250. They're not quite as advanced as the company's flagship models, but they're a solid noise-cancelling headset with extra bass. Need something even cheaper? The WHCH710N wireless noise-canceling headphones are now available for only $68, as well. That 55 percent lower than their typical price. Finally, the LinkBuds S are now being sold for $128, which is a new low for the mid-range ANC earbuds that typically go for $200.

Get the latest Black Friday and Cyber Monday offers by following @EngadgetDeals on Twitter and subscribing to the Engadget Deals newsletter.

Twitter sued by employees amid mass layoffs

Twitter is facing a class action lawsuit over its ongoing mass layoffs today, which could likely cut its workforce in half. According to Bloomberg, employees filed a class action lawsuit against the company in San Francisco federal court, arguing that Twitter's actions run afoul of the US Worker Adjustment and Retraining Notification (WARN) Act. Under the labor law, companies with 100 or more employees are required to notify them of mass layoffs 60 days in advance.

The New York Times reported earlier that Twitter will begin layoffs on Friday and that around half of the company's staff members will lose their jobs. In an email seen by The Washington Post, Twitter said that the layoffs are "unfortunately necessary to ensure the company's success moving forward." The company also told employees to stay at home today and to wait for an email. If they get one in their Twitter account, their job is safe. But if they receive the email in their personal account, that means they're being let go. Some people are reporting on the social network that they already got locked out of their work emails and had been removed from company Slack. 

The plaintiffs are asking the court to issue an order forcing Twitter to obey the WARN Act. They also want the court to prohibit the company from soliciting employees to sign away their right to litigate. Shannon Liss-Riordan, the lawyer representing the plaintiffs, said they filed the complaint "in an attempt to make sure that employees are aware that they should not sign away their rights and that they have an avenue for pursuing their rights."

Liss-Riordan was also the lawyer who handled the lawsuit against Tesla in June over layoffs that cut 10 percent of the automaker's workforce. Similar to this complaint, the plaintiffs back then argued that Tesla violated the WARN Act. Company chief Elon Musk, who took over Twitter a week ago, called the lawsuit "trivial" in a talk with Bloomberg Editor-In-Chief John Micklethwait. The court had also sided with the company and ruled that employees should negotiate with Tesla in a closed-door arbitration instead.

PayPal and Venmo will soon support Tap to Pay on iPhone

PayPal has revealed in its latest earnings report (PDF) that merchant users in the US will be able to accept payments using their iPhones in the near future without the need for dongles and card readers. The payment solution will be integrating Apple's Tay to Pay technology "soon." That means businesses and sellers will easily be able to receive payments made via contactless debit or credit cards, as well as via mobile wallets including Apple Pay, through the PayPal or Venmo app. They simply have to make sure that they're using an iPhone XS or a newer model. 

Apple first announced the Tap to Pay feature on iPhone in February this year. A few months later, staff members at the Apple Park visitor center in Cupertino were seen testing the the feature. Since it makes payments as easy as bumping phones together, it seemed like it could be a threat to payment companies like Square. However, Square quickly got on board and launched Tap to Pay integration in September after running an early access program. 

In addition to its Tap to Pay news, PayPal has also revealed that it's adding Apple Pay as a payment option to its checkout solution for merchant platforms. And starting next year, customers in the US will be able to add their PayPal and Venmo credit and debit cards to their Apple Wallets. In a statement sent to Bloomberg, PayPal Chief Executive Officer Dan Schulman said the company is "very pleased to be working with Apple to enhance [its] offerings for... PayPal and Venmo merchants and consumers." It's also worth noting that PayPal briefly touched on making Venmo available as a checkout option for some Amazon users in the US in its earnings report. The company reiterated that the feature will roll out to everyone in the country this coming holiday season. 

The Hulu + Live TV bundle will cost at least $5 more starting in December

Like many other streaming services over the past year, Hulu raised its subscription prices in October from $7 to $8 per month for its ad-supported tier. Now, the Disney-owned streaming service is also raising the prices for its Hulu + Live TV bundle. In an email sent to an Engadget editor, it said that the Hulu + Live TV (with ads), Disney+ (no ads) and ESPN+ (with ads) bundle will cost $75 per month on their first billing cycle after December 8th. That's $5 more than the current monthly price of $70. 

Our editor also got a note that they can switch or cancel their subscription. But the legacy plan they're subscribed to will no longer be available after December 8th, so they won't be able to switch back afterward. To note, according to Apple Insider, those paying for a bundle wherein Hulu has no ads will have to pony up $83 a month starting on December 8th instead of $76 like what they're currently paying. 

Seeing as Disney announced in August that Hulu, Disney+ and ESPN+ are all raising their prices, perhaps it doesn't come as a surprise that the Live TV bundle is getting a price hike, as well. Back then, Disney revealed that it incurred operating losses worth nearly $1.1 billion from running its streaming services. It also said that the third quarter of the year added 14.4 million subscribers to Disney+ alone, and the company is clearly hoping to earn some of the money it lost but charging its viewers more. 

Patreon finally adds native video to its membership platform

Patreon has launched a native video hosting service and is giving Pro and Premium creators early access to the feature, so they no longer have to use YouTube to share video content with their fans. The company first revealed that it was working on a video hosting platform and player of its own last year. Now, Patreon has started rolling it out to more users after a period of beta testing. Company CPO Julian Gutman told TechCrunch that Patreon has seen creators "use it quite successfully to grow their memberships" during the beta and that it's "really excited to scale it out."

Creators typically have to use YouTube, Vimeo and similar websites if videos are part of what they offer to fans. They can also attach files for download on their Patreon posts, but that doesn't offer a seamless experience, and those files are limited to 200MB in size. Creators who get early access to the feature will be able to upload HD videos directly to Patreon and will be able to easily create previews to tease their content to potential subscribers. They can control how long the previews are, simply by highlighting frames in the backend during upload. And since fans will be paying for full access to those videos, they won't encounter any ads while watching. 

TechCrunch says Patreon Video will be available on desktop, iOS and Android. It will support AirPlay for Apple devices at launch, while Patreon's Android app will get Chromecast support "soon." The feature is free to use at the moment, and creators on Pro and Premium plans will be able to upload 500 hours of videos until the end of 2023 at no extra cost. Patreon will eventually charge them to use the feature, though: It plans to introduce pricing, which takes into account the cost of hosting and streaming video natively, after 2023. Creators will have six months to use up their 500 hours once pricing is in place. Any video they upload during early access will remain accessible on the website, and they won't have to pay anything to keep them there.

Elon Musk is reportedly planning to cut Twitter's workforce in half

The mass layoffs Twitter employees have been bracing for since Elon Musk began his takeover may be on the horizon. According to Bloomberg, the website's new owner and "Chief Twit" is planning to cull 3,700 employees from the company's workforce, which would cut its number of staff members in half, in an effort to cut costs. Musk and a team of advisers are still reportedly in the midst of finalizing the terms for the layoffs, but one option they're considering is offering the people they let go 60 days' of severance pay. The executive could break the news to affected staffers as soon as Friday. 

Those who get to keep their jobs may have to get used to working from the office again. Bloomberg says Musk is also planning to end Twitter's work-from-anywhere policy and asking employees to report to offices, barring some exceptions. The publication previously reported that Twitter employees had been worried about the changes Musk could bring when it comes to this particular policy before he even took over. It's no secret that the executive isn't a fan of work-from-home arrangements and had previously given Tesla and SpaceX employees an ultimatum, demanding that they spend 40 hours in the office or leave the company. 

Before Musk's takeover of the social network started, reports came out that he was going to axe 75 percent of the company's staff members. He reportedly denied those numbers when he visited Twitter's San Francisco HQ, but it was pretty clear that layoffs were still in the cards. After the deal to purchase Twitter was sealed, Musk's first move was to fire former CEO Parag Agrawal, Chief Financial Officer Ned Segal and other top execs. 

More director and VP jobs were let go over the weekend, while some remaining Twitter employees in leadership roles were asked to write up lists of staff members that can be cut. Those layoff lists were reportedly ranked based on each individual's contribution to Twitter's code, and Musk asked help from Tesla's directors and engineers to assess them. 

Aside from ordering a mass layoff to save money, Musk is also implementing huge changes to make money, such as raising the price of Twitter Blue to $8 a month from $3. Bloomberg says the new pricing could go live as soon as Monday next week. The subscription will also be a requirement for blue verification badges going forward, though users who are already verified will be given months to start paying before they lose their check mark. 

Tumblr allows nudes again, but porn remains off-limits

Tumblr changed enormously in 2018 after it started blocking all adult content, reportedly because images of child sexual abuse were posted on the website. It deleted tons of sex blogs and communities to comply with its new rule, and its already dwindling community never quite recovered since. Now, the website has updated its community guidelines so that the naked human form is once again allowed. Under its new policy, users can post images and videos with nudity, as well as text with mature subject matter and sexual themes, but they still can't post visual depictions of sexually explicit acts or any content with an overt focus on genitalia. 

In its full Community Guidelines page, Tumblr explained that by "visual depictions," it means pictures, videos, GIFs, drawings, CGI and any other kind of visual media. Artwork considered historically significant is an exemption, so long as it's properly labeled. Content with nudity and sexual themes now allowed under the new policy will also have to be labeled so that users can filter them out. 

In addition to the continued ban on visual depictions of sexually explicit acts, users can't post links to adult affiliate networks or anything that promotes escort or erotic services. They also aren't allowed to post images with extreme violence and gore or any kind of content that promotes pedophilia, including images of children when the "intent of the blog is sexually suggestive." Any blog that violates those rules will be removed. Tumblr also admits that the list isn't exhaustive and that further interpretation is up to the company. 

Tumblr was one of the few sites that not only tolerated but seemingly embraced its sex worker and adult artist communities, so it caught considerable flak when, with little warning, it banned adult content four years ago. Earlier this year, it reached a settlement with New York City's Commission on Human Rights, which found that the ban disproportionately impacted LGBTQ+ users. As part of the settlement terms, Tumblr had to bring in an expert to review its moderation algorithms for potential bias. In September this year, it launched Community Labels with the category "sexual themes," hinting that it was going to loosen its rules and would allow some adult content on the website again. That's exactly what happened, but it doesn't look like Tumblr is open to supporting porn communities anytime soon. 

Matt Mullenweg, the CEO of Automattic (the company that now runs Tumblr), explained why in a post on his blog. Credit card companies are anti-porn, he wrote in the post, pointing out that they had cut off payments for advertising on Pornhub. "App stores, particularly Apple's, are anti-porn," he continued. The website can't take a chance when most of its users are on mobile. Tumblr also has no means to ensure that individuals featured in sexually explicit content are of legal age and had consented to being pictured or filmed. "I agree with 'go nuts, show nuts' in principle," he said, "but the casually porn-friendly era of the early internet is currently impossible."

Google is shutting down its dedicated Street View app

You can add the standalone Street View app to Google's growing product graveyard. Upon decompiling the latest version of the application for Android, 9to5Google found shutdown notices that the company has yet to publish. In those notices, the tech giant is announcing that the Street View app is going away and that support will end on March 21st, 2023. Spokesperson Madison Gouveia has confirmed to The Verge that the app truly is getting the ax. Gouveia also told the publication that Google will pull Street View from app stores in the coming weeks. 

Google announced that it was spinning off Street View into its own app back in 2015. Available for both Android and iOS, it lets you upload your own spherical photos from your phone or from spherical cameras. Last year, the company also introduced Photo Paths, which lets you contribute a series of 2D photos for roads and locations that haven't been documented by a Street View car (or camel or sheep) in the past. 

Street View will continue being a key Google Maps feature, so you can still virtually explore all the places the tech giant had documented with its cameras. You can also keep adding Photo Spheres within Maps and publishing 360-degree videos using Street View Studio. As 9to5Google notes, though, there will be no way to add Photo Paths anymore after Google completely shuts down the dedicated Street View app. Previously submitted Photo Path images, however, will continue being viewable within Google Maps. 

Google Hangouts is well and truly dead

Google has laid Hangouts to rest, a couple of years after it first announced that it was going to push people to use Chat, its Slack-like app, instead. After allowing users to move to Chat on their own in 2021, Google phased out the Hangouts Chat app for Android and iOS in July. Users were shown a prompt telling them that "Hangouts has been replaced by Google Chat" and to switch to either the standalone Chat app or the Chat experience within Gmail. As TechCrunch notes, the last version of the messaging service, Hangouts for the web, is now also going away for good.

When users access the Hangouts website, they might see a message that says: "Starting November 1, 2022, Hangouts on the web will redirect to Chat on Web. We recommend moving to Chat now." We can still access the website without being automatically redirected, but there's a link to Google Chat that we can click to load the new messaging experience. The website might completely disappear in the coming days. 

Chat used to be one of Google's business offerings before the company switched up its messaging strategy and made it available to everyone. The company says Chat "opens up new and better ways" to collaborate with features that weren't available on Hangouts. Users can edit Docs, Slides or Sheets side-by-side within Chat. Teams at work or groups of friends can also work on documents and manage tasks using Spaces, which is a dedicated place they can use for topic-based collaboration. And since Gmail features Chat integration, people can easily access conversations without having to open the Chat website. 

Google previously said that those who want to keep a copy of their Hangouts data will have to use its Takeout tool before the service is gone for good. We still see Hangouts on Takeout, so those who want to do some last-minute data-saving may want to do so now while it's still possible.