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Meta Auditor EY Raised Red Flag on Data-Center Accounting

Slashdot.org - Thu, 02/12/2026 - 07:00
Meta Platforms' latest annual report contained an unusual, cautionary note for investors. From a report: The tech giant's auditor, Ernst & Young, raised a red flag over the financial engineering Meta used to keep a $27 billion data-center project off its balance sheet. While EY ultimately blessed Meta's accounting treatment, the firm flagged it as a "critical audit matter." This means it was one of the hardest, riskiest judgments the auditor had to make. Such a warning label is rare for a specific, high-profile transaction at a major audit client. Meta moved the data-center project, called Hyperion, off its books in October into a new joint venture with Blue Owl Capital. Meta owns 20% of the venture; funds managed by Blue Owl own the other 80%. A holding company called Beignet Investor, which owns the Blue Owl portion, sold a then-record $27.3 billion of bonds to investors. The joint venture is known in accounting parlance as a variable interest entity, or VIE. Meta said it isn't the "primary beneficiary" of this entity and so didn't have to put the venture's assets and liabilities on its own balance sheet. Meta's assertion that it lacks power over the venture is debatable and has drawn scrutiny from investors and lawmakers. Meta is a hyperscaler and knows how to run data centers for artificial intelligence, while Blue Owl is a financier. Whether the venture succeeds economically will come down to Meta's decisions and know-how. In its report, EY said auditing Meta's decision "was especially challenging due to the significant judgment required in determining the activities that most significantly affect the VIE's economic performance."

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3 new experiences bridging AI with India’s timeless heritage3 new experiences bridging AI with India’s timeless heritageSenior Director

GoogleBlog - Thu, 02/12/2026 - 05:00
Ahead of the India AI Summit, Google Arts & Culture is releasing new experiences that delve into India’s cultural heritage.Ahead of the India AI Summit, Google Arts & Culture is releasing new experiences that delve into India’s cultural heritage.
Categories: Technology

US Hacking Tool Boss Stole and Sold Exploits To Russian Broker That Could Target Millions of Devices, DOJ Says

Slashdot.org - Thu, 02/12/2026 - 04:00
Federal prosecutors have revealed that Peter Williams, the former general manager of U.S. defense contractor L3Harris's hacking tools division Trenchant, sold eight stolen software exploits to a Russian broker whose customers -- including the Russian government -- could have used them to access "millions of computers and devices around the world." Williams, a 39-year-old Australian national, pleaded guilty in October and admitted to earning more than $1.3 million in cryptocurrency from the sales between 2022 and 2025. In a sentencing memorandum filed Tuesday ahead of his anticipated February 24 sentencing in a Washington, D.C., federal court, the Justice Department asked the judge for nine years in prison, $35 million in restitution, and a maximum fine of $250,000. Prosecutors described the unnamed Russian buyer -- believed to be Operation Zero, which publicly claims to sell only to the Russian government -- as "one of the world's most nefarious exploit brokers." Williams chose it because, by his own admission, "he knew they paid the most." He also oversaw the wrongful firing of a subordinate who was blamed for the theft.

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Siri's AI Overhaul Delayed Again

Slashdot.org - Thu, 02/12/2026 - 01:00
Apple's long-promised overhaul of Siri has hit fresh problems during internal testing, forcing the company to push several key features out of the iOS 26.4 update that was slated for March and spread them across later releases, Bloomberg is reporting. The new Siri -- first announced at WWDC in June 2024 and originally due by early 2025 -- struggles to reliably process queries, takes too long to respond and sometimes falls back on OpenAI's ChatGPT instead of Apple's own technology, the report said. Apple has instructed engineers to begin testing new Siri capabilities on iOS 26.5 instead, due in May, and internal builds of that update include a settings toggle labeled "preview" for the personal data features. A more ambitious chatbot-style Siri code-named Campo, powered by Google servers and a custom Gemini model, is in development for iOS 27 in September.

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