Business
Post Office scandal had ‘disastrous’ impact on victims, report says
Business reporters
The Post Office Horizon IT scandal had a “disastrous” impact on those wrongly accused and prosecuted for criminal offences, the first report from the official inquiry into the scandal has found.
Sir Wyn Williams’ report has revealed the scale of the suffering caused to hundreds of sub-postmasters wrongly prosecuted over shortfalls in their branch accounts, as well as others affected.
Sir Wyn said at least 59 people contemplated suicide at various points, of whom 10 attempted to take their own lives, and more than 13 people may have killed themselves due to the scandal.
The Post Office apologised “unreservedly” and said it would carefully consider the report.
This first volume of Sir Wyn’s report, which was presented at the Oval cricket ground in London, focuses on the human impact of the scandal, as well as issues around compensation.
Victims had divorced, suffered serious mental health issues and alcohol addiction as a result of their ordeals, the inquiry found.
“A number of persons said they could not sleep at night without drinking first. One postmistress said she ‘went to rehab for eight months as the Post Office had turned her to drink to cope with the losses,'” Sir Wyn wrote.
The report makes a series of urgent recommendations, including:
- free legal advice for claimants
- compensation payments for close family members of those affected
- a programme of restorative justice with Fujitsu, the Post Office and the government meeting individual victims directly
Sir Wyn also criticised the “formidable difficulties” around the delivery of financial redress for victims, which is currently organised around three different schemes.
He criticised the speed of compensation, saying that for many claimants it had not been delivered “promptly”.
Discussing one scheme, for those who experienced unexplained shortfalls related to Horizon but were not convicted, Sir Wyn says: “I am persuaded that in difficult and substantial claims, on too many occasions, the Post Office and its advisors have adopted an unnecessarily adversarial attitude towards making initial offers.”
According to the report, 10,000 eligible people are currently claiming redress, and Sir Wyn expects that number to rise by “at least hundreds” over the coming months.
He called on the government to publicly define what is meant by “full and fair financial redress” and recommended changes to some of the schemes.
Sir Wyn will look at how the scandal happened and who was responsible in a later report.
But in this first part, he said that he was satisfied that senior employees of the Post Office were aware, or should have been aware, that an older version of the Horizon software was capable of giving false data.
He said a number of Post Office and Fujitsu employees knew a later version of the software had “bugs, errors and defects” which could affect branch accounts.
Sir Wyn has asked the government to respond to his findings no later than October 2025.
The government said that some members of Horizon victim’s families will be eligible for compensation.
Post Office minister Gareth Thomas said the scheme would be open “to close family members of existing Horizon claimants who themselves suffered personal injury – including psychological distress – because of their relative’s suffering”.
But he added that the government would need written evidence of that injury made at the time “other than in exceptional circumstances”.
He said devising such a scheme “raises some very difficult issues”.
“Nonetheless, we want to look after those family members who suffered most,” he said.
A Post Office spokesperson said: “The Inquiry has brought to life the devastating stories of those impacted by the Horizon Scandal. Their experiences represent a shameful period in our history.
“Today, we apologise unreservedly for the suffering which Post Office caused to postmasters and their loved ones. We will carefully consider the report and its recommendations.”
The report also gave details of the some of the legal costs of the various compensation schemes so far.
Newly published government figures show the total legal costs paid for the “operational delivery of Horizon redress schemes” have risen to £100m.
For their work on the Horizon Shortfall Scheme up to 2 December 2024, law firm Herbert Smith Freehills were paid £67m by the Post Office.
Post Office campaigner and former sub-postmistress Jo Hamilton said it was “just mad” that the government is “spending millions on lawyers to pull the claims apart” that they have paid for to be brought.
She said the report out on Tuesday was “huge” because it laid bare the scale of the suffering.
The investigations into who is culpable for that suffering will be “interesting”, she adds.
Business
Amazon Starfish: Using AI to Create Ultimate Source of Product Info
Amazon has a new ambition for its giant online marketplace, and it’s using generative AI to execute the vision.
The company is already the largest e-commerce platform in the Western world, selling millions of products itself and supporting millions of third-party merchants who offer even more items through the platform and its warehouse and logistics network.
That’s not enough for Amazon, though. Recently, the company has been expanding its marketplace in new ways. This year, for example, Amazon launched a “Buy for Me” feature that recommends products from other brands’ websites and lets shoppers buy those from within the Amazon app.
An internal planning document obtained by Business Insider sheds new light on how Amazon is using AI to help these endeavors.
The document, from late 2024, describes a project, codenamed Starfish, that uses AI models to “synthesize” information from various data sources, such as external websites and images. It then generates “complete, correct, and consistent product information globally.”
The eventual goal of the multiyear project is to make Amazon the best source of product information for “all products worldwide,” the document added.
More listings, less time
Starfish is part of an effort to simplify product listings for third-party sellers. Amazon began rolling out elements of this in 2023 to help merchants craft stronger product descriptions from short inputs or individual URLs. It also introduced AI tools that automatically generate product images and video ads.
“Starfish enriches product data using LLM, improves Catalog at scale by filling missing information, correcting errors, rewriting titles, bullet points, and product descriptions to make them more relevant for the customer,” the document explained.
In recent years, the company has stepped up efforts to improve its listing quality, removing billions of inactive or non-selling products from its marketplace, BI previously reported.
A $7.5 billion boost
Generating more product listings and making them accurate and compelling can potentially increase sales, which is crucial for Amazon’s e-commerce business to keep growing.
Manually creating listings is time-consuming for sellers, so speeding up this process could be a win-win for Amazon and its merchants.
Amazon’s internal document estimated that Starfish would contribute $7.5 billion in extra gross merchandise sales in 2025, thanks in part to driving better conversions and building a broader product selection.
GMS measures the total value of all items sold through the company’s e-commerce platform. $7.5 billion is a lot of sales, however, Amazon generates hundreds of billions of dollars in annual revenue from its Marketplace business.
Broader ambitions
Indeed, the internal document shows the Starfish initiative has much broader ambitions. Turning Amazon’s Marketplace into the top global source of all product information is a goal that puts the company on a track to potentially compete more with Google’s Shopping service.
One day, Starfish could scour the global web to collect mountains of data that would help the AI system auto-fill product descriptions by itself.
According to the internal planning document from late 2024, the new AI tool was expected to collect product information from 200,000 external brand websites this year by “crawling, scraping, and mapping external items to Amazon catalog.”
Many Big Tech and AI companies have bots that crawl the internet to scrape, collect, and index data from websites. Mapping is the process of organizing and displaying the extracted information. Amazon has its own crawler, called Amazonbot.
The company says on the Amazonbot webpage that this crawler collects information “to improve our services, such as enabling Alexa to more accurately answer questions for customers.”
It’s unclear if this bot is being put to work on the Starfish project, or whether the crawling and scraping parts of this initiative are still in the works.
An Amazon spokesperson declined to comment on this part of the project, but shared other details with BI in a statement.
The spokesperson confirmed that Starfish is mapping data for certain features, such as the new “Buy for Me” recommendation system for external products.
“Amazon is continuously leveraging generative AI to enhance the customer and seller experience,” the spokesperson added. “This feature improves descriptions of products in our catalog for sellers, ultimately helping customers find the products they want and need.”
To measure Starfish’s effectiveness, Amazon is running A/B tests, internally comparing the sales of products that received AI enrichment and those that haven’t, according to the internal document. Amazon has also built a new bulk listing feature and plans to expand Starfish to additional countries later this year, it explained.
Have a tip? Contact this reporter via email at ekim@businessinsider.com or Signal, Telegram, or WhatsApp at 650-942-3061. Use a personal email address, a nonwork WiFi network, and a nonwork device; here’s our guide to sharing information securely.
Business
Nvidia’s Huang to Meet Chinese Leaders While AI Curbs Deepen
(Bloomberg) — Nvidia Corp. co-founder Jensen Huang will meet with senior Chinese officials in Beijing next week, signaling the company’s commitment to a vast market Washington is increasingly seeking to isolate.
The chief executive officer is seeking discussions with leaders including the commerce minister, a person familiar with the situation said. Huang is planning those meetings while attending the International Supply Chain Expo in Beijing next week, the person said, asking to remain anonymous discussing a plan still in flux. That conference is one of the Chinese government’s signature events, and has featured the likes of Apple Inc.’s Tim Cook in the past.
Huang, who’s been vocal about the need for US companies to access the world’s largest semiconductor market, is a frequent visitor to China. He’s returning to the country at a sensitive time for the company, which has become ensnared in a broader US-China tech conflict as the foremost producer of chips for AI development.
It’s unclear what Huang intends to address with Chinese officials. Nvidia representatives declined to comment on his agenda. A commerce ministry spokesperson said the agency had no information to share, when asked about Huang’s visit. A representative for the conference organizers declined to comment. The Financial Times reported earlier on Thursday that Huang planned to meet top officials during the expo in Beijing.
Nvidia’s CEO this year branded Washington’s efforts to stall Beijing’s semiconductor ambitions a failure, arguing that the US should ease technology export curbs because they hand local rivals like Huawei Technologies Co. an unfair advantage. The company is now barred from selling all but its lower-end, gaming-focused graphics processors in China.
Any relaxing of restrictions would benefit Nvidia. It made history this week as the first company to hit $4 trillion of market value, a testament to its central role in providing the hardware for a post-ChatGPT AI infrastructure building boom.
Still, Washington remains intent on pursuing a campaign to choke off China’s access to cutting-edge technology. The Trump administration has drafted plans to restrict shipments of AI chips to Malaysia and Thailand, part of an effort to crack down on suspected semiconductor smuggling into China.
Nvidia said in May — before the latest curbs — it expects to lose out on $8 billion of sales this quarter because of US restrictions generally. It plans to design and sell a new, lower-end AI chip for China this year that won’t run afoul of those regulations, the Financial Times reported.
More stories like this are available on bloomberg.com
Business
AI-Generated Media Drives Real-World Fraud, Identity Theft, and Business Compromise – The Manila Times
-
Funding & Business1 week ago
Kayak and Expedia race to build AI travel agents that turn social posts into itineraries
-
Jobs & Careers1 week ago
Mumbai-based Perplexity Alternative Has 60k+ Users Without Funding
-
Mergers & Acquisitions1 week ago
Donald Trump suggests US government review subsidies to Elon Musk’s companies
-
Funding & Business1 week ago
Rethinking Venture Capital’s Talent Pipeline
-
Jobs & Careers1 week ago
Why Agentic AI Isn’t Pure Hype (And What Skeptics Aren’t Seeing Yet)
-
Education2 days ago
9 AI Ethics Scenarios (and What School Librarians Would Do)
-
Education3 days ago
Teachers see online learning as critical for workforce readiness in 2025
-
Education3 days ago
Nursery teachers to get £4,500 to work in disadvantaged areas
-
Education5 days ago
How ChatGPT is breaking higher education, explained
-
Education3 days ago
Labour vows to protect Sure Start-type system from any future Reform assault | Children