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China lays out official stance on trade talks with U.S.

Posted by on Jun 2, 2019 in Asia, Beijing, China, fedex, Government, Huawei, Policy, smartphone, Trade war, U.S. China trade war, U.S. government, United States | 0 comments

On Sunday, China released a comprehensive white paper to formalize its positions on trade negotiations with the U.S. The set of statements come as the trade war escalates and Beijing threatens to hit back with a retaliatory blacklist of U.S. firms. Here are some key takeaways from the press conference announcing the white paper:

U.S. ‘responsible’ for stalled trade talks

The “U.S. government bears responsibility” for setbacks in trade talks, chided the paper, adding that the U.S. has imposed additional tariffs on Chinese goods that impede economic cooperation between the two countries and globally.

While it’s “common” for both sides to propose “adjustments to the text and language” in ongoing negotiations, the U.S. administration “kept changing its demands” in the “previous more than ten rounds of negotiations,” the paper alleged.

On the other hand, reports of China backtracking on previous trade deals are mere “mudslinging,” Wang Shouwen, the Chinese vice minister of commerce and deputy China international trade representative, said as he led the Sunday presser.

China ready to fight if forced to

China does not want a trade war with the U.S, but it’s not afraid of one and will fight one if necessary, said the white paper.

Beijing’s position on trade talks has never changed — that cooperation serves the interests of both countries and conflict can only hurt both — according to the paper. CNBC’s Eunice Yoon pointed out that Beijing’s latest stance repeats previous statements made back in September.

Deals must be equal

Difference and frictions remain on the economic and trade fronts between the two countries, but China is willing to work with the U.S. to reach a “mutually beneficial and win-win agreement,” stated the paper. However, cooperation has to be based on principles and must not compromise China’s core interests.

“Nothing is agreed until everything is agreed,” Wang said.

He said one needs not “overinterpret” China’s soon-to-come entity list, adding that it mainly targets foreign companies that run against market rules and violate the spirit of contracts, cut off supplies to Chinese firms for uncommercial reasons, damage the legitimate rights of Chinese companies, or threaten China’s national security and public interests.

China respects IP rights

The paper also touched on issues that are at the center of the prolonged U.S.-China trade dispute, including China’s dealings with intellectual property rights. U.S. allegations of China over IP theft are “an unfounded fabrication,” said the white paper, adding that China has made great efforts in recent years to protect and enforce IP rights.

Wang claimed that China pays the U.S. a significant sum to license IP rights every year. Of the $35.6 billion it shelled out for IP fees in 2018, nearly a quarter went to the U.S.

Investments are mutually beneficial

The white paper claimed that bilateral investments between the two countries are mutually beneficial rather than undermining for U.S. interests when taken account of “trade in goods and services as well as two-way investment.”

The Chinese government also pushed back at claims that it exerts influence on businesses’ overseas investments.

“The government is not involved in companies’ business activities and does not ask them to make specific investments or acquisitions,” said Wang. “Even if we make such requests, companies won’t obey.”

In response to China’s probe into FedEx over Huawei packages that went stray, Wang assured that “foreign businesses are welcome to operate legally in China, but when they break rules, they have to cooperate with regulatory investigations. That’s indisputable.”

The Shenzhen-based smartphone and telecom giant has been hit hard by during the trade negotiations as the Trump administration orders U.S. businesses to sever ties with the Chinese firm.


Source: The Tech Crunch

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G7 countries to sign charter on tech regulation in August

Posted by on May 15, 2019 in G7, Government, Policy, regulation | 0 comments

Digital ministers of the Group of 7 nations are meeting today to discuss an upcoming charter on toxic content and tech regulation at large. Those countries plan to sign a charter during the annual G7 meeting in Biarritz, France in August.

“Everyone has to deal with hateful content,” France Digital Minister Cédric O said in a meeting with a few journalists. “This industry needs to reach maturity and, in order to do that, we need to rethink the accountability of those companies and the role of governments.”

You may have noticed that G7 countries also announced the Christchurch Call today. It is a nonbinding pledge asking tech companies to improve their moderation processes to prevent terrorist content from going viral.

Those two things are separate. The French government views the Christchurch Call as a way to start a discussion with tech platforms and put the spotlight on a particular issue. But the charter should be broader than the Christchurch Call and mention other issues.

And yet, it’s going to be hard to sign a common agreement between such a diverse group of countries. “There are Nordic countries that are very concerned about free speech and there are Latin countries that are pushing for more regulation,” Cédric O said.

In addition to the Group of 7 nations (Canada, France, Germany, Italy, Japan, the U.K. and the U.S.), officials from Australia, India and New Zealand are participating in today’s discussions.

The charter won’t define hateful speech too precisely so that countries can interpret that phrase in their own way. But the negotiations should lead to a set of principles that each country can turn into laws.

In particular, officials want to encourage transparency when it comes to moderation processes through audits, as well as increased cooperation between tech companies, governments and civil society.

In December 2018, the Group of 7 nations announced plans to create a global panel to study the effects of AI. Ministers are discussing the implementation of this panel during today’s meeting, as well.

Sources working for the French Economy Ministry say that the U.S. might not sign the charter in August. “We won’t compromise too much — either all countries can agree on a strong stance, or some countries don’t sign the charter,” a source said.


Source: The Tech Crunch

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Zuckerberg says breaking up Facebook “isn’t going to help”

Posted by on May 11, 2019 in Apps, Chris Hughes, Drama, Facebook, Government, Mark Zuckerberg, Nick Clegg, Policy, Privacy, Social, TC | 0 comments

With the look of someone betrayed, Facebook’s CEO has fired back at co-founder Chris Hughes and his brutal NYT op-ed calling for regulators to split up Facebook, Instagram, and WhatsApp. “When I read what he wrote, my main reaction was that what he’s proposing that we do isn’t going to do anything to help solve those issues. So I think that if what you care about is democracy and elections, then you want a company like us to be able to invest billions of dollars per year like we are in building up really advanced tools to fight election interference” Zuckerberg told France Info while in Paris to meet with French President Emmanuel Macron.

Zuckerberg’s argument boils down to the idea that Facebook’s specific problems with privacy, safety, misinformation, and speech won’t be directly addressed by breaking up the company, and that would instead actually hinder its efforts to safeguard its social networks. The Facebook family of apps would theoretically have fewer economies of scale when investing in safety technology like artificial intelligence to spot bots spreading voter suppression content.

Facebook’s co-founders (from left): Dustin Moskovitz, Chris Hughes, and Mark Zuckerberg

Hughes claims that “Mark’s power is unprecedented and un-American” and that Facebook’s rampant acquisitions and copying have made it so dominant that it deters competition. The call echoes other early execs like Facebook’s first president Sean Parker and growth chief Chamath Palihapitiya who’ve raised alarms about how the social network they built impacts society.

But Zuckerberg argues that Facebook’s size benefits the public. “Our budget for safety this year is bigger than the whole revenue of our company was when we went public earlier this decade. A lot of that is because we’ve been able to build a successful business that can now support that. You know, we invest more in safety than anyone in social media” Zuckerberg told journalist Laurent Delahousse.

The Facebook CEO’s comments were largely missed by the media, in part because the TV interview was heavily dubbed into French with no transcript. But written out here for the first time, his quotes offer a window into how deeply Zuckerberg dismisses Hughes’ claims. “Well [Hughes] was talking about a very specific idea of breaking up the company to solve some of the social issues that we face” Zuckerberg says before trying to decouple solutions from anti-trust regulation. “The way that I look at this is, there are real issues. There are real issues around harmful content and finding the right balance between expression and safety, for preventing election interference, on privacy.”

Claiming that a breakup “isn’t going to do anything to help” is a more unequivocal refutation of Hughes’ claim than that of Facebook VP of communications and former UK deputy Prime Minster Nick Clegg . He wrote in his own NYT op-ed today that “what matters is not size but rather the rights and interests of consumers, and our accountability to the governments and legislators who oversee commerce and communications . . . Big in itself isn’t bad. Success should not be penalized.”

Mark Zuckerberg and Chris Hughes

Something certainly must be done to protect consumers. Perhaps that’s a break up of Facebook. At the least, banning it from acquiring more social networks of sufficient scale so it couldn’t snatch another Instagram from its crib would be an expedient and attainable remedy.

But the sharpest point of Hughes’ op-ed was how he identified that users are trapped on Facebook. “Competition alone wouldn’t necessarily spur privacy protection — regulation is required to ensure accountability — but Facebook’s lock on the market guarantees that users can’t protest by moving to alternative platforms” he writes. After Cambridge Analytica “people did not leave the company’s platforms en masse. After all, where would they go?”

That’s why given critics’ call for competition and Zuckerberg’s own support for interoperability, a core tenet of regulation must be making it easier for users to switch from Facebook to another social network. As I’ll explore in an upcoming piece, until users can easily bring their friend connections or ‘social graph’ somewhere else, there’s little to compel Facebook to treat them better.


Source: The Tech Crunch

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Russian hacked ‘at least one’ Florida county prior to 2016 election

Posted by on Apr 18, 2019 in cybercrime, department of justice, election systems, fancy bear, Florida, Government, GRU, Hack, Homeland Security, phishing, presidential election, Security, Technology, United States | 0 comments

Russian operatives successfully targeted and hacked “at least one” Florida county government in the run up to the 2016 U.S. presidential election, according to new findings by the Special Counsel Robert Mueller.

The report, published Thursday by the Justice Department, said the county was targeted by the Russian intelligence service, known as the GRU. The hackers sent spearphishing emails to more than 120 email accounts used by county officials responsible for administering the election, the report said.

According to the findings:

In August 2016, GRU officers targeted employees of [REDACTED], a voting technology company that developed software used by numerous U.S. counties to manage voter rolls, and installed malware on the company network… the spearphishing emails contained an attached Word document coded with malicious software (commonly referred to as a Trojan) that permitted the GRU to access the infected computer.

The findings are a significant development from previous reporting that said Florida’s election systems were merely targets of the Russian operatives.

Sen. Bill Nelson (D-FL) was derided after he claimed just days before his eventual re-election that hackers had gained access to the state’s election systems. According to NBC News, some of Nelson’s assertions were based off classified information that was not yet public.

Nelson’s remarks came almost a year after The Intercept published a classified document — later discovered to have been sent by since-jailed NSA whistleblower and Reality Winner — showing that intelligence pointed to a concerted effort by the GRU to target election infrastructure. The NSA said the hackers sent emails impersonating voting technology company VR Systems to state government officials.

The Orlando Sentinel confirmed Thursday following the release of Mueller’s report’s that Volusia County was sent infected emails containing malware, suggesting Volusia County — north of Orlando — may have been the target.

Mueller’s report confirmed that the FBI investigated the incident.

The office of Florida’s secretary of state said that Florida’s voter registration system “was and remains secure,” and “official results or vote tallies were not changed.”

Two years later following the 2018 midterm elections, the Justice Department and Homeland Security said there was “no evidence” of vote hacking or tampering.


Source: The Tech Crunch

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Mueller says use of encrypted messaging stalled some lines of inquiry

Posted by on Apr 18, 2019 in Donald Trump, encryption, Government, law enforcement, Mueller report, operating systems, president, Security, Software, trump | 0 comments

A single paragraph in the Mueller report out Thursday offers an interesting look into how the Special Counsel’s investigation came head-to-head with associates of President Trump who used encrypted and ephemeral messaging to hide their activities.

From the report:

Further, the Office learned that some of the individuals we interviewed or whose conduct we investigated-including some associated with the Trump Campaign — deleted relevant communications or communicated during the relevant period using applications that feature encryption or that do not provide for long-term retention of data or communications records. In such cases, the Office was not able to corroborate witness statements through comparison to contemporaneous communications or fully question witnesses about statements that appeared inconsistent with other known facts.

The report didn’t spell out specifics of whom or why, but clearly Mueller wasn’t happy. He was talking about encrypted messaging apps that also delete conversation histories over a period of time. Apps like Signal and WhatsApp are popular for this exact reason — you can communicate securely and wipe any trace after the fact.

Clearly, some of Trump’s associates knew better.

But where prosecutors who have faced similar setbacks with individuals using encrypted messaging apps to hide their tracks have often attacked tech companies for building the secure apps, Mueller did not. He just stated a fact and left it at that.

For years, police and law enforcement have lobbied against encryption because they say it hinders investigations. More and more, apps are using end-to-end encryption — where the data is scrambled from one device to another — so that even the tech companies can’t read their users’ messages. But just as criminals use encrypted messaging for bad, ordinary people use encrypted messaging to keep their conversations private.

According to the report, it wasn’t just those on the campaign trail. The hackers associated with the Russian government and WikiLeaks, both of which were in contact following the breaches on Hillary Clinton’s campaign and the Democratic National Committee, took efforts to “hide their communications.”

Not all of Trump’s associates have fared so well over the years.

Michael Cohen, Trump’s former personal attorney, learned the hard way that encrypted messaging apps are all good and well — unless someone has your phone. Federal agents seized Cohen’s BlackBerry, allowing prosecutors to recover streams of WhatsApp and Telegram chats with Trump’s former campaign chief Paul Manafort.

Manafort, the only person jailed as part of the Mueller investigation, also tripped up after his “opsec fail” after prosecutors obtained a warrant to access his backed-up messages stored in iCloud.


Source: The Tech Crunch

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FCC looks to slap down China Mobile’s attempt to join US telecom system

Posted by on Apr 17, 2019 in ajit pai, China Mobile, FCC, Government, Mobile | 0 comments

The FCC has proposed to deny an application from China Mobile, a state-owned telecom, to provide interconnect and mobile services here in the U.S., citing security concerns. It’s another setback to the country’s attempts to take part in key portions of American telecommunications.

China Mobile was essentially asking to put call and data interconnection infrastructure here in the U.S.; It would have come into play when U.S. providers needed to connect to Chinese ones. Right now the infrastructure is generally in China, an FCC spokesperson explained on a press call.

In a draft order that will be made public tomorrow and voted on in May, FCC Chairman Ajit Pai moves to deny the application, which has been pending since 2011. Such applications by foreign-owned entities to build and maintain critical infrastructure like this in the U.S. have to pass through the Executive, which only last year issued word that it advised against the deal.

In the last few months, the teams at the FCC have reviewed the record and came to the conclusion that, as Chairman Ajit Pai put it:

It is clear that China Mobile’s application to provide telecommunications services in our country raises substantial and serious national security and law enforcement risks. Therefore, I do not believe that approving it would be in the public interest.

National security issues are of course inevitable whenever a foreign-owned company wants to be involved with major infrastructure work in the U.S., and often this can be taken care of with a mitigation agreement. This would be something like an official understanding between the relevant parties that, for instance, law enforcement in the U.S. would have access to data handled by the, say, German-owned equipment, and German authorities would alert U.S. about stuff it finds, that sort of thing.

But that presupposes a level of basic trust that’s absent in the case of a company owned (indirectly but fully) by the Chinese government, the FCC representative explained. It’s a similar objection to that leveled at Huawei, which given its close ties to the Chinese government, the feds have indicated they won’t be contracting with the company for infrastructure work going forward.

The denial of China Mobile’s application on these grounds is apparently without precedent, Pai wrote in a separate note: “Notably, this is the first time the Executive Branch has ever recommended that the FCC deny an application due to national security concerns.”

It’s likely to further strain relations between our two countries, though the news likely comes as no surprise to China Mobile, which probably gave up hope some time around the third or fourth year its application was stuck in a bureaucratic black hole.

The draft order will be published tomorrow, and will contain the evidence and reasoning behind the proposal. It will be voted on at the FCC open meeting on May 9.


Source: The Tech Crunch

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Terry Gou will resign as Foxconn’s chairman to run for president of Taiwan

Posted by on Apr 17, 2019 in Asia, China, Foxconn, Government, Politics, taiwan, TC, Terry Gou | 0 comments

Foxconn chairman Terry Gou officially announced on Wednesday that he will run for president of Taiwan. Gou will step down from leading the company (also known as Hon Hai Precision Industry Co. Ltd.), one of Apple’s most important manufacturers, in order to campaign for the nomination of the Kuomintang, the pro-China opposition party.

Taiwan’s economy and complicated relationship with China will be at the heart of the 2020 presidential campaign, as incumbent Tsai Ing-wen defends her position against not only candidates from the Kuomintang and other parties, but also a challenger from her own party, the Democratic Progressive Party, William Lai, who entered the race last month.

Gou earlier said that his presidential aspirations had been blessed by Mazu, the sea goddess who is one of the most important Taoist and Buddhist deities. Gou founded Foxconn in 1974 and has held no political office, but his campaign will be helped by his business reputation and reported $7 billion net worth.

Gou’s lack of government experience may be balanced in the mind of voters by his relationships with Donald Trump and China’s government. Foxconn has committed to building a $10 billion factory in Wisconsin. Even though Taiwan’s sovereignty is not recognized by China, which views the country as a rogue province, Foxconn has more plants there than in any other country.


Source: The Tech Crunch

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Diving into Google Cloud Next and the future of the cloud ecosystem

Posted by on Apr 14, 2019 in Artificial Intelligence, Cloud, Developer, Enterprise, Events, Government, Personnel, SaaS, Startups, Talent, TC | 0 comments

Extra Crunch offers members the opportunity to tune into conference calls led and moderated by the TechCrunch writers you read every day. This week, TechCrunch’s Frederic Lardinois and Ron Miller offered up their analysis on the major announcements that came out of Google’s Cloud Next conference this past week, as well as their opinions on the outlook for the company going forward.

Google Cloud announced a series of products, packages and services that it believes will improve the company’s competitive position and differentiate itself from AWS and other peers. Frederic and Ron discuss all of Google’s most promising announcements, including its product for managing hybrid clouds, its new end-to-end AI platform, as well as the company’s heightened effort to improve customer service, communication, and ease-of-use.

“They have all of these AI and machine learning technologies, they have serverless technologies, they have containerization technologies — they have this whole range of technologies.

But it’s very difficult for the average company to take these technologies and know what to do with them, or to have the staff and the expertise to be able to make good use of them. So, the more they do things like this where they package them into products and make them much more accessible to the enterprise at large, the more successful that’s likely going to be because people can see how they can use these.

…Google does have thousands of engineers, and they have very smart people, but not every company does, and that’s the whole idea of the cloud. The cloud is supposed to take this stuff, put it together in such a way that you don’t have to be Google, or you don’t have to be Facebook, you don’t have to be Amazon, and you can take the same technology and put it to use in your company”

Image via Bryce Durbin / TechCrunch

Frederic and Ron dive deeper into how the new offerings may impact Google’s market share in the cloud ecosystem and which verticals represent the best opportunity for Google to win. The two also dig into the future of open source in cloud and how they see customer use cases for cloud infrastructure evolving.

For access to the full transcription and the call audio, and for the opportunity to participate in future conference calls, become a member of Extra Crunch. Learn more and try it for free. 


Source: The Tech Crunch

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Mars helicopter bound for the Red Planet takes to the air for the first time

Posted by on Mar 28, 2019 in drones, Gadgets, Government, Hardware, jpl, mars 2020, mars helicopter, NASA, Robotics, Science, Space, TC, UAVs | 0 comments

The Mars 2020 mission is on track for launch next year, and nesting inside the high-tech new rover heading that direction is a high-tech helicopter designed to fly in the planet’s nearly non-existent atmosphere. The actual aircraft that will fly on the Martian surface just took its first flight and its engineers are over the moon.

“The next time we fly, we fly on Mars,” said MiMi Aung, who manages the project at JPL, in a news release. An engineering model that was very close to final has over an hour of time in the air, but these two brief test flights were the first and last time the tiny craft will take flight until it does so on the distant planet (not counting its “flight” during launch).

“Watching our helicopter go through its paces in the chamber, I couldn’t help but think about the historic vehicles that have been in there in the past,” she continued. “The chamber hosted missions from the Ranger Moon probes to the Voyagers to Cassini, and every Mars rover ever flown. To see our helicopter in there reminded me we are on our way to making a little chunk of space history as well.”

Artist’s impression of how the helicopter will look when it’s flying on Mars.

A helicopter flying on Mars is much like a helicopter flying on Earth, except of course for the slight differences that the other planet has a third less gravity and 99 percent less air. It’s more like flying at 100,000 feet, Aung suggested.

It has its own solar panel so it can explore more or less on its own.

The test rig they set up not only produces a near-vacuum, replacing the air with a thin, Mars-esque CO2 mix, but a “gravity offload” system simulates lower gravity by giving the helicopter a slight lift via a cable.

It flew at a whopping 2 inches of altitude for a total of a minute in two tests, which was enough to show the team that the craft (with all its 1,500 parts and four pounds) was ready to package up and send to the Red Planet.

“It was a heck of a first flight,” said tester Teddy Tzanetos. “The gravity offload system performed perfectly, just like our helicopter. We only required a 2-inch hover to obtain all the data sets needed to confirm that our Mars helicopter flies autonomously as designed in a thin Mars-like atmosphere; there was no need to go higher.”

A few months the Mars 2020 rover has landed, the helicopter will detach and do a few test flights of up to 90 seconds. Those will be the first heavier-than-air flights on another planet — powered flight, in other words, rather than, say, a balloon filled with gaseous hydrogen.

The craft will operate mostly autonomously, since the half-hour round trip for commands would be far too long for an Earth-based pilot to operate it. It has its own solar cells and batteries, plus little landing feet, and will attempt flights of increasing distance from the rover over a 30-day period. It should go about three meters in the air and may eventually get hundreds of meters away from its partner.

Mars 2020 is estimated to be ready to launch next summer, arriving at its destination early in 2021. Of course in the meantime we’ve still got Curiosity and Insight up there, so if you want the latest from Mars, you’ve got plenty of options to choose from.


Source: The Tech Crunch

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Boundless gets $7.8M to help immigrants navigate the convoluted green card process

Posted by on Mar 28, 2019 in Amazon, Boundless, Brad Feld, foundation capital, Foursquare, funding, Government, Pioneer Square Labs, San Francisco, Startups, TC, United States, Venture Capital, Warby Parker | 0 comments

Two years ago, former Amazon product manager Xiao Wang stood on the stage at TechCrunch Disrupt San Francisco and made the case for a platform meant to help couples apply for marriage green cards, a complex process made worse by bureaucracy and red tape.

Called Boundless, the startup had spun out of Seattle startup studio Pioneer Square Labs and raised a $3.5 million seed round. Now, Foundry Group’s Brad Feld has led a $7.8 million Series A in the startup, with participation from existing investors Trilogy Equity Partners, PSL, Two Sigma Ventures and Founders’ Co-Op.

“Families have really only had two choices, they could spend weeks or months trying to figure this out on their own, or they can spend thousands and thousands of dollars on an immigration attorney,” Wang, Boundless co-founder and chief executive officer, told TechCrunch. “What we are trying to do is basically give everyone access to the information, the tools and the support that was previously only available to those that could afford high-priced attorneys.”

Boundless charges $750 for its online green card application support services, which includes ensuring families correctly complete applications and have access to an immigration lawyer to review those applications. The fee comes at a major discount to the costs of an immigration lawyer and streamlines a process that can be delayed months when errors are made. The startup also offers a recently launched $395 naturalization product meant to assist eligible green card holders with their U.S. citizenship applications.

Wang founded Boundless in 2017 after helping build Amazon Go, the e-commerce giant’s line of cashierless convenience stores. Wang is an immigrant, having relocated to the U.S. from China when he was a child.

“We spent almost five months of rent money on an immigration attorney because the stakes were so high and we only had one shot,” Wang said. “We wanted to make sure we were doing it right. This is a story that is echoed by millions of families every year; this is such an important part of them starting a new life in a new country.”

Wang, after three years at Amazon, realized he could use his technology background and data prowess to build an information platform supportive of these millions of families.

“This is exactly what tech and data is meant to do,” he said. “I believe there is a moral obligation for tech to be used in meaningfully improving people’s lives.”

Boundless plans to use this investment to expand its team and product offerings, as well as build out its content library, which Wang said is rapidly becoming the go-to place for immigrants navigating the legal labyrinth that is the U.S. green card and citizenship process. Its resources page, which includes straightforward guides, a number of forms and more, counts 300,000 unique visitors per month.

“We hold their hand through the entire process,” Wang said. “We want to be the single source of information and tools for all family-based immigration.”

Wang and his team also hope to shine a brighter light on immigration policy. In late 2018, as part of its effort to be louder advocates for immigrants, Boundless, alongside Warby Parker, Foursquare, Foundation Capital and more, published an open letter to the U.S. Department of Homeland Security opposing its proposed “public charge” immigration regulation, which would allow for non-citizens who are in the country legally to be denied a visa or a green card if they have a medical condition, financial liabilities and other disqualifiers.

“The stakes for making sure your application is correct have never been higher; the government has far more leeway to be able to deny applications,” Wang said. “While we can’t speed up the government processing times, we can make meaningful improvements to helping families gather all the materials they need to send in the right information.”


Source: The Tech Crunch

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