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Caroline Ellison sentenced to two years in FTX crypto fraud

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Caroline Ellison sentenced to two years in FTX crypto fraud

Caroline Ellison has been sentenced to two years in prison for her role in the collapse of the cryptocurrency exchange FTX, which has been described as one of biggest financial frauds in US history.

Ellison, 29, was a top executive at the firm and is also the ex-girlfriend of its founder, Sam Bankman-Fried, who was sentenced to 25 years in prison for stealing more than $8bn (£6.3bn) from customers.

As part of a plea deal, Ellison admitted charges including wire fraud and money laundering, and testified against Bankman-Fried. She was also ordered to forfeit more than $11bn (£8.2bn) to the court and could pay more if she’s ordered to hand over any restitution.

She had faced a maximum sentence 55 times what she was given – 110 years in prison.

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While Judge Lewis Kaplan called her cooperation with prosecutors “remarkable”, he said she was “gravely culpable” and that her help and remorse for the crimes should not be a “get out of jail free card”, according to Reuters.

In court, Ellison apologised to the victims of the scheme, according US media reports.

“On some level, my brain can’t even comprehend the scale of the harm that I caused,” she said.

FTX was founded in 2019. Just two years later it had grown into the third biggest crypto exchange in the world, valued at $32bn (£26bn).

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Its apparent success turned Bankman-Fried into a billionaire and business celebrity.

But, in 2022, rumours of financial trouble sparked a run on its deposits, precipitating the firm’s implosion and exposing Bankman-Fried’s crimes.

He was convicted by a New York jury last year on charges including wire fraud and conspiracy to commit money laundering, after a trial that detailed how he had used customers’ money for property purchases, investments and political donations.

Ellison was one of Bankman-Fried’s closest lieutenants and lived and worked in the company’s offices and luxury apartments in The Bahamas. The on-and-off couple built the dual empire of FTX and Alameda Research.

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While Bankman-Fried was arrested and spent time in prison before his trial, Ellison remained free and agreed to help the criminal investigations

The revelation that she would testify against her former boyfriend and boss added to the drama of the high-profile trial.

Ellison testified over three days, telling the jury that Bankman-Fried directed her and others to take money from FTX’s customers without their knowledge.

In tearful testimony, she said she felt “indescribably bad” about the fraud.

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Prosecutors said Ellison met them about 20 times to help them piece together FTX’s unravelling, and make their case against Bankman-Fried.

Prior to the sentencing, Ellison’s legal team had argued the help she provided meant she should not be sent to jail.

The US Attorney’s office in Manhattan, which brought the charges, had declined to call for a particular sentence, but acknowledged what it called her “extraordinary” cooperation and expression of remorse.

In May, Ryan Salame, the co-CEO of FTX’s Bahamian subsidiary, was sentenced to 90 months in prison.

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Salame pleaded guilty in September last year to violating political campaign finance laws and operating an illegal money-transmitting business.

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YouTube Premium subscribers on Android now get conversational AI

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YouTube has started rolling out its conversational AI. The Generative Artificial Intelligence (Gen AI) feature is currently available to YouTube Premium subscribers using Android devices in the US.

Conversational AI on YouTube rolling out to paying members only

YouTube had previously indicated that it would roll out its own AI feature before 2024 ends. Back then, Google was focused on Bard. Subsequently, Bard graduated to become Gemini AI.

Now, the crowd-sourced, video-sharing platform has offered its conversational AI tool, which could be relying on Gemini AI. Incidentally, YouTube had implied that its Gen AI platform would be a standalone tool. It would allow users to ask questions about the video for answers before actually finishing it.

However, YouTube is now rolling out its conversational AI feature inside the YouTube app. Moreover, only YouTube Premium subscribers currently have access to the Gen AI tool.

How to use the Gen AI tool in the YouTube app?

YouTube appears to be testing its Gen AI feature. The video-sharing platform officially announced that users in the US will begin to see the conversational AI tool popping up on their devices.

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YouTube has ensured its Gen AI tool is subtle and unobtrusive. According to 9to5Google, it is currently visible on personal devices and in the comments section.

The YouTube Android app, with a YouTube Premium account signed in, is showing an “Ask” button below the video being played. Additionally, swiping left on the comments card also reveals a new “Ask” card.

Tapping on this card brings up a new page that appears similar to a chatbot. Users can either tap on suggested text prompts or type their queries. Alternatively, users can also tap on a new “Summarize video” button. As the name suggests, this will prompt the YouTube AI chatbot to generate a summary of the video being played.

YouTube hasn’t yet confirmed what Large Language Model (LLM) or Gen AI backend it is using. However, some reports suggest YouTube could be relying on Gemini to summarize YouTube videos and comments. YouTube should offer its conversational AI chatbot outside the US. But the company hasn’t indicated any timeframe.

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8U Sideways Wall-Mount Rack for Servers – RK819SIDEM | StarTech.com

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8U Sideways Wall-Mount Rack for Servers - RK819SIDEM | StarTech.com



The RK819SIDEM Side-mounted Wallmount Open Frame Rack/Cabinet is an 8U server rack that lets you mount your (19-inch wide) servers, A/V or network equipment facing perpendicular to the wall, for easy access to mounted devices and equipment. The cabinet/rack features open access to both the front and back of your devices, making it easy to adjust cabling, view LEDs and access configuration buttons as needed. Plus, the nature of the sidemount configuration allows for deeper mounting depths than typical wallmount racks, without causing an obstruction. This TAA compliant product adheres to the requirements of the US Federal Trade Agreements Act (TAA), allowing government GSA Schedule purchases.

Constructed of high-quality SPCC cold-rolled steel, for strength and durability, the open frame equipment rack allows for maximum airflow while still supporting a maximum weight capacity of 159 kg (350 lbs). The wall mount rack also ships complete with all of the M5 screws and cage nuts required to mount your equipment, saving the expense of purchasing them separately.

Backed by a StarTech.com Lifetime warranty.

To learn more visit StarTech.com

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Horizon Zero Dawn Remastered arrives October 31 on PS5 and PC

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Horizon Zero Dawn Remastered arrives October 31 on PS5 and PC

Jan-Bart van Beek, Guerilla Games’ art and animation director, has officially announced that a remastered version of Horizon Zero Dawn is arriving on October 31. The game will feature over 10 hours of re-recorded audio, mocap, as well as improved character models, animation, lighting and textures that he said will bring it “to the same visual fidelity” as Horizon Forbidden West. That means it has been upgraded for the PlayStation 5 and compatible PCs, and it even supports the PS5 Pro, which will be available on November 7.

In his announcement, van Beek explained that seven years is a long time when it comes to computer graphics and that a lot of technological improvements have become available since the game’s original release. Nixxes, a Dutch video game developer, worked on the remaster, which will also feature improved audio and Atmos rendering that will make it more immersive. The remastered version will come with The Frozen Wilds expansion and all its additional lands, machines and skills, as well. Those who get the PC version can also expect support for ultra-wide resolutions and for performance-enhancing technologies, such as NVIDIA’s DLSS 3 AI-based rendering accelerator.

The original game’s accessibility features, like its remappable controls and haptic cues, have been carried over to this version. In addition, there’s a new optional accessibility feature that can notify players of interactable elements with sound and haptic feedback.

Horizon Zero Dawn Remastered will be available for purchase for $50, but those who already own the original game and the complete edition version can upgrade for $10, whether they’re buying on the PS5 or on the PC via Steam or the Epic Games Store. The $10 upgrade will even be available to players who added the game to their libraries from one of Sony’s Play at Home program giveaways during the pandemic lockdowns. Fans upgrading with a PS4 game disc will have to insert it into their console every time they play, though, so they cannot access the upgrade offer if they have the disc-free version of PS5.

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Building My First Server Rack \ Ubiquiti Dream Machine Pro – My Dream YouTuber Studio! | Pt 12

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Building My First Server Rack \ Ubiquiti Dream Machine Pro - My Dream YouTuber Studio! | Pt 12



In part 12 of my Dream YouTuber Studio series, I’m building my first server rack!

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Google supercharges enterprise contact centers with Gemini 1.5 Flash

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Google supercharges enterprise contact centers with Gemini 1.5 Flash

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Today, Google Cloud announced it is rebranding its six-year-old Contact Center AI offering as a new end-to-end application called Customer Engagement Suite with Google AI.

The move, which is another significant product rebrand from Google, has been made to reflect the integration of the company’s generative AI technologies – including the all-new Gemini 1.5 Flash – into the platform and provide enterprises with a more powerful experience for handling customer cases across different touchpoints.

This means enterprises using the application will now get advanced generative AI capabilities, including agentic AI to handle customer queries as well as smart replies, summaries and more to make customer care representatives more efficient at handling complex cases.

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What does the new end-to-end application have on offer?

Google Cloud launched Contact Center AI in 2018 as a multichannel platform that integrated with CRMs and other data sources and provided customer care reps the ability to handle cases across different channels (across web, mobile, voice, email, apps). The offering included early-level AI and machine learning (ML) capabilities, including recommended responses (like those seen in Gboard), DialogFlow-based virtual agents for basic queries and transcription analysis for live insights and optimization.

Now, with this rebrand, Google Cloud is building on this work and adding features powered by its foundation models — while keeping the same omnichannel communication experience.

Firstly, the conversational agents offering of the platform, which created basic virtual agents, can now create more advanced hybrid agents, integrating prescriptive actions for predetermined questions as well as Gemini’s ability to address a broader range of topics. This way, a company can address customer questions with the best of both worlds — rule-based deterministic control and adaptive generative AI, grounded in the organization’s proprietary datasets.

“You can create and control virtual agent behavior with no code, making the product easy to use and configure for a wider range of employees. The hybrid virtual agents you create can reduce costs across customer operations by taking on a greater volume of inquiries to increase customer self-service and allow customer-care representatives to focus on more specialized calls,” Duncan Lennox, VP & GM of Applied AI at Google Cloud, wrote in a blog post.

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In addition to improved virtual agents, Google Cloud has enhanced the Agent Assist offering to provide customer care reps with more Gemini-powered tools to address queries faster and with high levels of accuracy. 

This includes generative knowledge assist to suggest search queries based on the context of the ongoing conversation; a coaching model that can be grounded in proprietary information to generate real-time step-by-step guidance for representatives; and enhanced smart replies, automatic call summarization and live bi-directional translation for chats, covering over 100 languages. 

Notably Agent Assist will also tap Gemini 1.5 Flash’s multimodal capabilities to help agents instantly generate media to handle customer queries. This can come particularly handy in cases of tech support, where the agent has to give step-by-step instructions to the customer.

By enhancing Contact Center AI with Gemini smarts, Google Cloud hopes enterprises will be able to orchestrate a consistent customer experience and better address queries across all touchpoints. The company currently supports customer service agents of dozens of large enterprises, including Verizon, Marks & Spencer, EasyJet, Telus and the State of Illinois

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However, it is worth noting that the Sundar Pichai-led company is not the only one exploring the power of AI in the contact center. Multiple conglomerates and startups are exploring the space in their own ways, including AWS (with its Q assistant), Thoughtly, Observe AI and Sierra.

According to Gartner, by 2025, 80% of customer service and support teams will be applying generative AI in some form to improve agent productivity and customer experiences. 


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From dinners with Travis Kalanick to fired after maternity leave: One of CloudKitchens’ earliest employees is suing

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From dinners with Travis Kalanick to fired after maternity leave: One of CloudKitchens’ earliest employees is suing

Isabella Vincenza, one of CloudKitchens’ earliest employees, never imagined she would be suing her now-former employer.

Hired as a full-time salesperson in 2018, she became a mainstay at President’s Club dinners hosted by CEO Travis Kalanick at his Bel Air home throughout 2020 and 2021. These dinners were prized, invite-only events for top salespeople at CloudKitchens, a company that provides delivery-only commercial kitchens known as “ghost kitchens.”

The gatherings started with cocktails by the pool. Then the partygoers would mingle indoors until they sat for a chef-prepared dinner. Vincenza recalled Kalanick would greet her with a hug and praise her work. Sometimes, he would invite her to sit near him during dinner and they would chat throughout the meal.

“If you were the best salesperson, you were his favorite person because you were making the company a lot of money,” Vincenza told TechCrunch, adding that she was also CloudKitchens’ first female salesperson. 

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In August 2022, she arrived at one President’s Club dinner visibly pregnant. When she tried to sit across from Kalanick at the dinner, she recalled him asking her to move over. She said he hardly looked at her, would not engage in conversation, and didn’t say goodbye. Vincenza left the dinner unsettled.

“That was the beginning of me being a pariah,” Vincenza told TechCrunch.

She and another describe a “boys’ club”

Vincenza was fired in July 2023, a bit over six months after returning from maternity leave, according to her lawsuit and the company.

After receiving a right-to-sue letter from California’s Department of Fair Employment and Housing in August 2024, she filed the suit in Los Angeles Superior Court. In it she named Kalanick and two other executives, CloudKitchens’ parent company City Storage Systems, and its associate company CSS Payroll as defendants. The suit alleges wrongful termination, sex discrimination, and a hostile work environment, among other claims. TechCrunch has obtained a copy. 

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Vincenza claims in her suit that she spent years “dodging all of her employer’s sexist curveballs,” that the “office culture was that of a boys’ club,” and alleges she received less pay and a smaller equity grant than her male counterparts. She also claims she was “retaliated against for standing up for herself” following her pregnancy and subsequent maternity leave. 

The company rejects her allegations. “Isabella Vincenza had one of the highest salaries amongst hundreds of account executives, yet in the last year of her tenure at the company she was one of the lowest performers,” company spokesperson Devon Spurgeon told TechCrunch. Spurgeon added that an “internal company review” found Vincenza’s claims of discrimination “to have no merit and the irony of all of this is that the fabricated and fraudulent allegations were against the people who were her biggest supporters.” Spurgeon also denied that the seating arrangements for the President’s Club dinner were influenced by Vincenza’s pregnancy, and said seating was a reflection of the seniority of people in attendance.

Vincenza’s lawsuit echoes some of the allegations that led Kalanick to step down as CEO of Uber in 2017 after Susan Fowler’s viral blog post sparked an investigation into that workplace’s culture. The investigation revealed a culture so rampant with gender discrimination and workplace harassment that Uber fired more than 20 people later that year. While Kalanick himself wasn’t personally accused of sexual discrimination or harassment, shortly after the report and firings, Kalanick resigned. 

In 2018, he bought a controlling interest in City Storage Systems, owner of CloudKitchens, became CSS’s CEO, and brought some ex-Uber employees along with him. By 2021, some employees felt CloudKitchens’ workplace was Uber all over again, with long hours and a boys’-club mentality; with one executive, the head of recruiting, resigning after an internal misconduct investigation, according to reports in Business Insider that year.

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TechCrunch has viewed Slack messages from 2022, unrelated to Vincenza’s case, in which employees were cajoled for not being at work after 7 p.m.; male employees were openly messaging about another male employee having sex; and CloudKitchens co-founder Barak Diskin used a dating profile-style shirtless photo of himself for his Slack profile photo.

Female employees have sued CloudKitchens before. One woman sued alleging unfair labor practices like being forced to work overtime without pay, and being denied meal breaks. Another sued claiming gender and race-based pay discrimination (Kalanick was also originally named in this suit but was later dropped as a defendant). The first case was moved to private arbitration; the second was settled in 2023.

These women are not the only ones who found CloudKitchens’ culture difficult. One former employee who worked in the Los Angeles office told TechCrunch that people were frequently fired and employees worked to the edge of burnout, sometimes staying in the office until 2 a.m. This employee, whose identity is known to TechCrunch, asked to remain anonymous for fear of retaliation.

This employee also used the words “boys’ club” to describe CloudKitchens’ culture. Slack messages viewed by TechCrunch showed employees using the N-word in a public group. At one point, someone hung a photoshopped picture of Donald Trump on the wall, showing him as a muscled, bare-chested boxer standing in a ring, complete with boxing gloves and a championship belt, according to a photo seen by TechCrunch. 

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While Vincenza did not comment on those incidents, she did tell TechCrunch: “It was always a bro culture.”

Spurgeon denies the characterization of a boys’ club or bro culture, pointing out that women hold senior positions at the company, including the heads of HR, legal, and the enterprise sales team. She also said that the company has “no evidence” of Slack messages containing the N-word and that its policy is to “promptly” address and remove any inappropriate messages or photos brought to management’s attention.

Fired after going to HR

Vincenza’s lawsuit claims that in 2020, when Vincenza was a top sales performer, Jessica Morton — CloudKitchens’ head of business development and partnerships, and one of the other defendants in this suit — accidentally revealed on a Zoom call that two of Vincenza’s male teammates were being paid more than $20,000 more than Vincenza was. Afterward, Vincenza received a $5,000 pay increase. (Morton did not respond to TechCrunch’s requests for comment.) 

In addition to the dinners during the years before her maternity leave, Vincenza remembers routinely being praised at all-hands meetings where the top salespeople were named.

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“It was a big deal,” Vincenza said. “You were a leader. You were an example. And I was presented that way to the rest of the company. ‘Isabella is number one.’” 

In January 2022, Vincenza informed her manager, as well as Kalanick, that she was pregnant and planning on taking maternity leave. Vincenza claims in the suit that her manager “insinuated” she could lose her job if she took leave, and reportedly asked how she was going to work while pregnant. While the company has a maternity leave policy, Vincenza says the company struggled to finalize details of how hers would be handled.

“Two days before I went on maternity leave, they couldn’t figure it out,” she said.

When she returned to work in January 2023 after her three-and-a-half month leave, the suit alleges Vincenza found that her largest accounts had been reassigned. The spokesperson says that her accounts were assigned to others in her absence but denies that the changes were punitive.

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“Let me prove that I’m still number one,” Vincenza remembered telling herself after returning to work. For instance, salespeople were given a goal of closing at least one larger 5- to 10-kitchen deal — meaning signing a client that would rent multiple kitchens. One quarter, she says she was the only salesperson to land a 10-kitchen deal but received no public congratulations, nor an invite to the President’s Club, her suit alleges. Spurgeon says of the 10-kitchen deal that it never actually closed. “Nothing was actually signed. No funds were received by the company.”

Vincenza’s suit also alleges that Kalanick teased her once when she called home to check on her four-month-old during the day, and that leadership would call her or schedule meetings in the evenings and early mornings when they knew she was unavailable, which are also allegations the company denies. 

Vincenza says she went to HR in early 2023 to discuss her overall treatment since returning from maternity leave and was terminated shortly after. 

“She was not given any reprimands. She was not given a performance plan to review. The termination comes out of the blue,” Vincenza’s lawyer, Patrick Downes, a partner at Manteau Downes LLP, told TechCrunch. “This is really unheard of for a company of any size in California.”

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The spokesperson denies this claim as well, saying Vincenza’s manager did have ongoing discussions about her performance.

As for why Vincenza decided to sue, given how difficult such lawsuits are to pursue, she says, “I don’t want other people to be treated that way at this company.” Then she added: “I don’t want this company to be that way for other moms, other women.” 

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