The Darknet (sometimes called the Dark Web) works on the Tor browser, free software that masks your location and activity. Originally designed by the Naval Research Lab, Tor receives 60 percent of its backing from the State Department and the Department of Defense to act as a secure network for government agencies as well as dissidents fighting oppressive regimes. It is a privacy tool that has been used for both good and evil. Over the past decade, Tor has empowered activists to spread news during the Arab Spring; it has helped domestic-violence victims hide from online stalkers; and it has allowed ordinary citizens to surf without advertisers tracking them. But at the same time, the Darknet, which Tor enables, has become the primary cove for criminals like Ross Ulbricht, imprisoned founder of Silk Road; the hackers behind the recent Ashley Madison attacks; and the international crew busted by the feds in July. As an instrument for both activists and criminals, Tor presents an increasingly difficult problem for law enforcement to solve — exacerbating the hapless game of whack-a-mole facing those who try to bring law to the most lawless part of the Net. And the battle over the Darknet's future could decide the fate of online privacy in the U.S. and abroad. ... Since its inception in 1923, the NRL has been the military's most esteemed research and development lab, inventing everything from radar to GPS. In 1995, Syverson and his colleagues conceived a way to make online communications as secure as possible. The idea was to provide a means for anyone — including government employees and agents — to share intelligence without revealing their identities or locations. With funding from the Department of Defense, Syverson brought on two scruffy graduates from the Massachusetts Institute of Technology, Roger Dingledine and Nick Mathewson, to help bring his vision to life.
He bounces from smart locks, to smart lights, to a smart shower, to smart shoe insoles. It almost backfires when a Samsung representative demonstrating a smart refrigerator reaches out and flips his badge back over, asking, “What are you, press?” But his name doesn’t mean anything to her, and Pichai just casts an amused sideways glance and dives in with questions. “So, what can I ask the fridge?” he wants to know. Various versions of this same scene play out again and again. ... With $74.5 billion in annual revenue last year, Google is by far the largest (and only profitable) business under Alphabet. Indeed, Google has seven different products that more than a billion people use: Search, Gmail, YouTube, Android, Chrome, Maps, and its app and media vending machine, the Google Play Store. ... Google is sprinting to attract its “next billion” users. For the most part, these are people in the developing world; people who will go online, for the very first time, using one of Google’s Android-powered handsets. Which puts Google in the position of being seen as both a corporate NSA and modern East India Company. ... Android was, very literally, made for this moment. Its entire point is to be customized, reconfigured, and personalized for a world full of people across a range of sizes, shapes, configurations, and price points. Sure, signs for the $550 Nexus abound, but you can also score a cheap Android phone in Delhi, like a Lava Atom X, for less than $40 — and that’s without a contract. It will, Pichai thinks, change the status quo not just in India, but the entire world.
The Blackwater of surveillance, the Hacking Team is among the world’s few dozen private contractors feeding a clandestine, multibillion-dollar industry that arms the world’s law enforcement and intelligence agencies with spyware. Comprised of around 40 engineers and salespeople who peddle its goods to more than 40 nations, the Hacking Team epitomizes what Reporters Without Borders, the international anti-censorship group, dubs the “era of digital mercenaries.” ... The Italian company’s tools — “the hacking suite for governmental interception,” its website claims — are marketed for fighting criminals and terrorists. ... “Privacy is very important,” Vincenzetti says on a recent February morning in Milan, pausing to sip his espresso. “But national security is much more important.” ... Between 2003 and 2004, Vincenzetti and two college friends worked in their dank, underground apartment and coded what would become the Hacking Team’s flagship software. Called the Remote Control System (RCS), it commandeers a target’s devices without detection, allowing a government to deploy malware against known enemies. (The product was later dubbed Da Vinci, then Galileo.) Think of it as a criminal dossier: A tab marked “Targets” calls up a profile photo, which a spy must snap surreptitiously using the camera inside the subject’s hacked device. Beside the picture, a menu of technologies (laptop, phone, tablet, etc.) offers an agent the ability to scroll through the person’s data, including email, Facebook, Skype, online aliases, contacts, favorite websites, and geographical location. Over time, the software enables government spooks to build a deep, sprawling portfolio of intelligence. ... A hacktivist known as Phineas Fisher had hijacked the Hacking Team’s official Twitter account and posted an ominous message: “Since we have nothing to hide, we’re publishing all our emails, files, and source code.” Following the message was a link to more than 400 gigabytes of the company’s most sensitive data.
Cash is the squirmy ferret of societal wealth—tricky to secure physically and, once liberated in the wild, almost impossible to get back—and money, as technology, has changed a lot in half a century. A day’s errands once called for bulging pockets. Now it’s possible to shop for groceries, pay rent, buy lunch, summon a taxi, and repay your sister for a movie without handling a checkbook, let alone fumbling with bills and coins. Most people think of card and electronic payments as conveniences, stand-ins for exchanging cold, hard cash. Yet a growing group of theorists, led in the United States by Kenneth S. Rogoff, a former chief economist at the International Monetary Fund, are embracing the idea that physical currency should be the exception rather than the rule. ... Phasing out big bills would make it harder for domestic currency to support corruption abroad. ... Hobbling the underground market should also temper tax evasion, a costlier problem than many people realize. The most recent I.R.S. estimates indicate a tax-payment shortfall of four hundred and sixty billion dollars a year—a disparity that’s transferred to those who pay. ... Most important for many economists, low-cash life allows for negative interest rates, in which the lender pays the borrower interest. ... In 2013, Sweden eliminated its largest-denomination bill, and demand for its second-largest bill, the five-hundred-krona note (about sixty dollars), surprisingly fell off soon afterward. By 2014, only a fifth of Swedish retail transactions were being conducted in cash. (In the U.S., it’s slightly less than half.)
Despite years of economic growth, popular discontent at widespread corruption has grown stronger. A series of scandals about everything from shoddy housing to out-of-date vaccines has led to public cynicism about companies and the government’s ability to enforce rules. Social-credit scoring aims to change that by cracking down on the corrupt officials and companies that plague Chinese life. And it aims to keep a closer track on public opinion. In a society with few outlets for free expression, big data might paradoxically help make institutions more accountable. ... But it could also vastly increase snooping and social control. In other countries there have been many scare stories about Big Data leading to Big Brother. Most have proven false. But China is different. It is a one-party state, with few checks on its power, a tradition of social control and, in President Xi Jinping, a leader even more prone to authoritarianism than his immediate predecessors. The extent of social-credit scoring will depend on what the government intends, whether the technology works and how the party responds to public concerns. ... China treats personal information differently from the West. In democracies, laws limit what companies may do with it and the extent to which governments can get their hands on it. Such protections are imperfect everywhere. But in China they do not exist. The national-security law and the new cyber-security law give the government unrestricted access to almost all personal data.
There was a time, a few years back, when the most sophisticated cyber-warfare tools were still developed and used exclusively by the world’s most sophisticated cyber-warfare combatants: government spy agencies, such as the ultra-secret National Security Agency and its counterparts in Israel and other developed countries and their arch-rivals in China and Russia. The surveillance and monitoring capabilities that Edward Snowden unveiled to the world in 2013 were shocking and little understood, but an ordinary citizen could at least take comfort in the belief that, if he wasn’t a criminal or a spy, it was unlikely these tools would ever be used against him. ... That was then. ... last August, came the startling confirmation from Apple itself: a genuine remote jailbreak “in the wild,” the one discovered and identified by Marczak and the Lookout researchers. To everyone’s surprise it had been out there operating secretly for years. ... By 2010 a true black market for zero days was emerging beyond the usual black market. ... In this new black market few knew exactly who the buyers were, but it was widely assumed that many were governments looking for clever new ways to spy on their own citizenry.