China’s car companies are turning into tech companies

This story first appeared in China Report, MIT Technology Review’s newsletter about technology developments in China. Sign up to receive it in your inbox every Tuesday.

This year, car buyers in China are constantly bombarded with claims about how advanced Navigation on Autopilot (NOA) systems are coming to their city. These software systems are not quite fully autonomous driving—your hands are still supposed to be holding the wheel—but they let cars stop, steer, and accelerate in the city by themselves.

Both EV makers and AI startups have published aggressive roadmaps for national rollouts of their city NOA services, claiming their customers in dozens or hundreds of Chinese cities will soon be able to experience being driven by their cars through narrow city streets. 

This morning, I published a story that took a closer look at how city NOAs have become the industry darling in 2023, including how they actually perform and the difficulty in educating drivers on using the system responsibly. You can read all of it here.

But during my interview with Zhang Xiang, a Chinese auto industry analyst and visiting professor at Huanghe Science and Technology College, one comment stuck out to me. “The auto industry is very competitive now. Consumers are expecting those vehicles to be tech products, like smartphones. It’d be hard for auto brands to sell their cars if they didn’t advertise their products this way,” he said.

Zhang’s observation is consistent with what I saw this year, particularly when I went to the massive auto show this April in Shanghai. Not only was everyone boasting about their brand’s autonomous driving capabilities, but companies were also showcasing all kinds of other advanced software features.

For example, SenseTime, an AI company, uses facial recognition tech to monitor driver fatigue and also to identify children left in the car; SAIC Volkswagen is using augmented reality to display map information on the windshield; Baidu is incorporating its generative AI model in the in-car audio chatbot for route planning.

NIO, one of the frontrunner companies in China’s homegrown EV industry, has embraced the subscription model. By paying 380 RMB ($52) a month, NIO owners can get the basic version of an NOA system in their cars, which works on highways and major urban roads. In the future, they will be able to pay double the amount for a more advanced version. Meanwhile, as batteries make up the majority of the costs and upkeep of an EV model, NIO also launched a monthly battery-swap service in China and a monthly battery-rental subscription in Europe.

All of these examples show that we are increasingly seeing auto companies turn into tech companies. Beyond horsepower and exterior/interior design, companies are now also competing on who can adapt the latest technology into a consumer-facing product. Globally, this trend is spearheaded by Tesla, with traditional auto brands slowly playing catch-up. But that transition is happening even faster in China.

Tu Le, managing director of Sino Auto Insights, a business consulting firm that specializes in transportation, breaks down the ongoing auto industry evolution into four phases: electrification, smartification, servicification, and autonomization. (While the first two are easy to understand, the third phase means the auto companies’ business models revolve around selling services, and the fourth phase means the proliferation of robotaxis.)

As I wrote earlier this year, China has managed to achieve a significant lead with the development and adoption of EVs, through a mix of different factors like government subsidies and battery tech innovations. That enables the Chinese auto industry to hop on the next phase earlier than everyone else. “The United States and Europe are in phase one, electrification; China is in phase two, smartification,” Tu says. 

The third phase is not far away, he believes. “Once more and more EVs on Chinese roads have ADAS [advanced driver-assistance systems]—the free systems and the premium systems—then we will get to servicification. Then they will start adding more features and trying to charge you,” he says. 

Chinese car companies aren’t just becoming tech companies, Chinese tech companies are also turning into car companies. Autonomous driving tech is one of Baidu’s main focuses now that it has transitioned from a search engine to an AI company. Xiaomi, one of China’s smartphone giants, has spent nearly a billion dollars on becoming an EV company. Even Huawei, forced by US sanctions to reinvent itself, is now targeting smart cars as its next strategic focus.

With these tech juggernauts joining the race, Chinese car companies are being forced to up their tech game to have a chance of competing.

At the end of the day, is that a good thing? I’m not sure. The heated competition is pushing Chinese auto companies to offer more advanced tech products at more affordable prices, and consumers stand to benefit from that. At the same time, it also brings in the difficult problems that the tech industry has failed to address: data security, privacy invasion, AI biases and failures, and potentially more.

But it does seem like this is an inevitable trend. In that sense, whatever’s happening in China now will be a valuable lesson for the industry in other countries.

What do you think of the trend of automakers turning into tech companies? Let me know your thoughts at zeyi@technologyreview.com.

Catch up with China

1. With domestic adoption of the digital yuan stalled, Beijing is increasingly pushing for its use in international trade settlement. (MIT Technology Review)

2. The Biden administration released new rules that ban US private equity and venture capital investment in Chinese AI, quantum computing, and semiconductor companies. (CNN)

  • Afterward, Beijing issued a document of 24 guidelines on how to attract more foreign investment, including strengthening the enforcement of intellectual property rights. (Reuters $)
  • Foreign investment in China is already at its lowest point in decades. (Bloomberg $)

3. The best place to buy a Tesla is in China, where they are 50% cheaper than in Europe and the US, after several rounds of price cuts. (Financial Times $)

4. International students are more likely to be accused of cheating by AI writing detection tools, new Stanford research finds. (The Markup)

5. China’s internet regulator was busy last Tuesday: it released one regulation restricting the use of facial recognition tech to protect privacy (Wall Street Journal $) and another that mandates all mobile apps available in the country must register their business details with the government (Reuters $).

6. The Village Basketball Association, a national league for amateur players from the countryside, has become the latest sports sensation in China. (Wall Street Journal $)

7. Taiwanese chip giant TSMC is investing $3.8 billion to build a new factory in Germany. (New York Times $)

8. After Taiwan’s justice department announced that being filmed smoking marijuana abroad is a prosecutable offense, an activist filed a lawsuit against Elon Musk to show the rule’s overreach. (Radio Taiwan International)

Lost in translation

An anti-corruption campaign is shaking up China’s healthcare and pharmaceutical industry. According to the Chinese publication Lanjing Caijing, China’s top anti-corruption regulator has in recent months been publicizing cases of bribery in the healthcare field. Most hospitals are publicly owned in China, and the investigations focus on pharmaceutical companies allegedly bribing hospital executives to secure procurement contracts through sponsoring their research, hosting academic conferences, and paying kickbacks. 

While these practices are not new, the campaign this year seems to be particularly serious. At least 160 top hospital executives in China have been placed under investigation so far—that’s already twice as many as in all of 2022. Because these bribes would often be recorded as marketing expenses in the companies’ accounting books, companies with sky-high marketing spending are under particularly strict scrutiny right now. In 2022, nearly 40 of the top 66 pharmaceutical companies in China spent half of their annual revenues on marketing, according to their financial disclosures.

One more thing

Don’t you just long for some VR-powered propaganda education when you are exercising on a stationary bike? A Chinese company recently posted a video of its “Red VR Rides” educational device, which allows the user to read about the Chinese Communist Party’s history while pedaling. In fact, there are quite a few Chinese VR companies that have released similar products in the past. This niche industry is apparently thriving.

Three people riding on different VR stationary bikes designed for Chinese Community Party history education.
The race to lead China’s autonomous driving market

Toward the end of a nearly 15-minute video, William Sundin, creator of the ChinaDriven channel on YouTube, gets off the highway and starts driving in the southern Chinese city of Guangzhou. Or rather, he allows himself to be driven. For while he’s still in the driver’s seat, the car is now steering, stopping, and changing speed—successfully navigating the busy city streets all by itself. 

“It’s a NOA, [Navigation on Autopilot] function but for the urban environment,” he explains to the people watching him test-drive the XPeng G6, a Chinese electric vehicle model. “Obviously this is much more difficult than simple highway NOA, with lots of different junctions and traffic lights and mopeds and pedestrians and cars chopping and cutting lanes—there’s a lot more for the system to have to deal with.”

His final assessment? The Navigation on Autopilot isn’t perfect, but it’s pretty “impressive” and a preview of more advancements to come. 

Beyond a simple product review, Sundin’s video is giving his followers a close-up view into the production race that has sped up among Chinese car companies over the past year. And whether they are electric vehicle makers or self-driving tech startups, they all seem fixated on one goal in particular: launching their own autonomous navigation services in more and more Chinese cities as quickly as possible.

In just the past six months, nearly a dozen Chinese car companies have announced ambitious plans to roll out their NOA products to multiple cities across the country. While some of the services remain inaccessible to the public now, Sundin tells MIT Technology Review “the watershed could be next year.” 

Similar to the Full Self-Driving (FSD) features that Tesla is beta testing in North America, NOA systems are an increasingly capable version of driver-assistance systems that can autonomously stop, steer, and change lanes in complicated urban traffic. This is different from fully autonomous driving, since human drivers are still required to hold the steering wheel and be ready to take over. Car companies now offer NOA as a premium software upgrade to owners willing to pay for the experience, and who can afford the premium models that have the necessary sensors.

A year ago, the NOA systems in China were still limited to highways and couldn’t function in urban settings, even though most Chinese people live in densely populated urban areas. As Sundin notes, it’s incredibly challenging for NOA systems to work well in such environments, given the lack of separation between foot traffic and vehicles, as well as each city’s distinctive layout. A system that has learned the tricks of driving in Beijing, for instance, may not perform well in Shanghai. 

As a result, Chinese companies are racing to produce more and more city-unique navigation systems before gradually expanding into the rest of the country. Leading companies including XPeng, Li Auto, and Huawei have announced aggressive plans to roll out these NOA services to dozens or even hundreds more cities in the near future—in turn pushing one another to move faster and faster. Some have even decided to release NOA without extra costs for the owner.

“They are launching it quickly in order to create awareness, to try to build credibility and trust among the Chinese consumers, but also, it’s FOMO [fear of missing out],” says Tu Le, managing director of Sino Auto Insights, a business consulting firm that specializes in transportation. Once a few companies have announced their city navigation features, Tu adds, “everyone else needs to follow suit, or their products are at a disadvantage in the Chinese market.”

At the same time, this fierce competition is also having unintended side effects—confusing some customers and arguably putting other drivers at risk. And underneath the automakers’ ubiquitous marketing campaigns, many of these features simply remain hard to access for those who don’t live in the pilot cities or own the high-end models.  

Don’t think of it as full self-driving—at least not yet 

The autonomous driving industry divides its technological advancements into six levels: from Level 0, where humans control the entire driving process, to Level 5, where no human intervention is needed at all. 

There are really only two levels in use today. One is the tech in robotaxis, led by companies like Cruise, Waymo, and the Chinese giant Baidu, which offer Level 4 technology to passengers but are often limited in certain geographical boundaries. 

The other level is the NOA system, exemplified by Tesla’s FSD or XPeng’s XNGP. They are only Level 2, meaning human drivers still need to monitor most tasks, but the technology is much more accessible and is now available in auto vehicles sold around the world.

It’s easy to believe that commercially available vehicles are closer to fully autonomous than they actually are, because Chinese car companies have given their NOA products all kinds of misleading or meaningless names:

  • Li Auto follows Tesla’s tradition and calls it NOA
  • NIO calls it NOP (Navigate on Pilot) and NAD (NIO Assisted and Intelligent Driving)
  • XPeng calls it NGP (Navigation Guided Pilot) and more recently XNGP (the “last step before full autonomous driving is realized,” the company says)
  • Huawei calls it NCA (Navigation Cruise Assist)
  • Haomo.AI, an AI startup, calls it NOH (Navigation on HPilot)
  • Baidu calls it Apollo City Driving Max

Confused yet? 

Apart from just being hard to remember, the different names also mean a lack of consistent standards. There’s no guarantee that these companies are promising the same things with their similar-sounding products. Some might only cover the major beltways in a city, while others go into smaller streets; some use LiDAR (a laser-based sensor) to help improve accuracy, while others only use cameras. And there’s no standard on how safe the tech needs to be before it is sold to consumers.

“Many such concepts are invented by Chinese companies themselves with no reference or background,” says Zhang Xiang, an auto industry analyst and visiting professor at Huanghe Science and Technology College. “What are the standards for achieving NOA? How many qualifications are there? No one can explain.” 

More cities! 

Last September, two Chinese companies were racing to be the first to launch a city NOA system in China: On September 17, XPeng, the EV company that has long centered its brand image around the use of AI, managed to win the race by making its product available in Guangzhou. A week later, Huawei—a tech giant that has made smart driving a focus in recent years—launched it in Shenzhen.

But the progress really hit the accelerator in 2023. In January, Haomo.AI, a four-year-old Chinese autonomous driving startup, announced that it would make its city NOA service available in 100 Chinese cities by the end of 2024. Then on April 15, Huawei raised its goal to 45 cities by the end of 2023; three days after that, Li Auto, another Chinese EV company, pushed it further to 100 cities by the end of 2023. XPeng, NIO, and more companies followed soon after with similar announcements ranging in plans to expand to up to 200 cities.

For homegrown EV companies to remain competitive in the market, they are developing Level 2 navigation technology in-house and selling city NOA services as an upgrade to their vehicles; like other advanced features, they often require additional payments every month or year. 

At the same time, AI companies are also competing against more conventional automakers, and as they work toward Level 4 or 5 self-driving technology, they still need interim revenue. NOA services can mean quick cash, easy sales, and, crucially, access to more data to train AI models.  

“If you are just an autonomous vehicle company, significant revenue is 10 years out,” says Tu. “If you are under pressure from investors to generate revenues today, what do you do? You create incremental revenue through selling your hardware and software stack, or licensing it.” 

Tu’s analysis is in line with what Cai Na, Haomo.AI’s vice president, told MIT Technology Review: “We think going the [Level 2] route is more realistic. The L2 technology has already made the breakthrough from being a technology to being a product, and many companies have turned it from just a product to a commercially viable product.” 

The complexity on the ground

Behind all the big promises is the reality that today, these urban navigation services are not available to much of the public. 

In 2023, about 360,000 cars produced in China will be equipped with city NOA capabilities, according to market research by Western Securities, a Chinese brokerage company. These models are usually more expensive than normal cars because they need hardware upgrades, like LiDAR or other sensors. Some companies are charging users extra for accessing the software functions, similar to what Tesla does.

But to have a car merely capable of providing city NOA is not enough. You also need to actually live in one of the few first-tier cities where the function has been made available, like Beijing, Shanghai, Shenzhen, or Guangzhou. Because of that, city NOA remains a niche technology in China right now (though few companies have shared data on their tech’s adoption).

For example, in addition to the XPeng test drive in Guangzhou, ChinaDriven’s Sundin has also test-driven a Li Auto vehicle with similar features in Beijing. He can’t use it in his daily commute, however, because he lives in Changsha, a second-tier city where no car company has enabled city NOA functions yet.

He notes how even in cities where it’s offered, navigation is often obstructed by poor road markings, new construction, pedestrians, or two-wheeled vehicles. “There’s a lot going on in China. The city is being turned over year on year; roads are being repainted,” he says. “And do mopeds drive on the road? Do they drive on the pavements?” 

Haomo’s Cai echoes this: “[T]he real urban environment is far more complicated than what is imagined. The planning, policies, driving styles are different in each city,” she said. “For example, the traffic lights we usually see have three signs—red, yellow, and green. But some cities have five-sign lights, Chinese characters as signs, or triangle-shaped lights.”

But even within these pilot places, city NOA products still only offer limited functionalities.

Lei Xing, the former chief editor at China Auto Review, drove a recent XPeng model for a week in Beijing to test its autopilot features. XPeng was the first Chinese company to bring urban autonomous navigation to China’s capital city. So far, its autonomous features are limited to Beijing’s major ring roads and expressways. 

One night when the traffic was light, he drove from a train station on the outskirts of the city all the way to Beijing’s innermost ring road highway, and XPeng’s tech did the driving for the whole process. Xing was impressed enough, but it still didn’t fully meet his expectations, particularly when traffic picked up.

He believes the automakers oversell their NOA’s capabilities: “I think the reality is much more difficult. These goals are quite aggressive, and I’m doubtful [that they will become true].”

XPeng, Li Auto, and Baidu didn’t respond to questions sent by MIT Technology Review. A Huawei spokesperson responded in an email that Huawei’s Advanced Driving System “has reached the start of production (SOP)” and focuses on three major scenarios: “highway driving, urban driving, and parking.”

Accidents waiting to happen

Even those who have been impressed by the urban NOA systems say it’s still a stressful experience. “When the traffic is busy, it will occasionally attempt to change lanes and cut someone off…sometimes it was too aggressive and it felt like I could bump into the car behind me,” Xing says. 

Sundin also felt stressed when he tested XPeng’s features in Guangzhou. “To be honest, if you are a responsible driver and you are working with these systems, you are under a lot more pressure,” he says, mainly because he couldn’t predict how the car was going to react to traffic situations. “It can make you tired if you are properly monitoring what the system is doing,” he says.

Some of the cars offer checks on drivers to make sure they are paying attention. Xing says XPeng’s system would sometimes ask him to steer the wheel a little just to prove his hands were still holding the wheel. If the driver fails to do so, the car will warn the driver every few seconds. He says he also needed to complete a driver education procedure in which he was repeatedly reminded that the driver needs to stay focused and ready to take over the wheel. Sundin, however, found the same education mechanism lacking. The driver is asked to complete several multiple-choice questions, but he warns that it’s hardly an obstacle if you just click through all the answers to finish it quickly. 

The fact that not every driver could be using the technology responsibly also means others on the road are more at risk. Unlike robotaxis, which are usually clearly labeled as such on the exterior or have noticeable sensors and cameras, a car with experimental NOA systems looks the same as any other car on the road.

“I don’t want to be part of someone else’s pilot if I’m driving a vehicle on the road,” says Tu, who has mixed feelings about how the products are currently being used. He thinks the industry is only one or two severe accidents away from the public and regulators turning against it.

“[How can you] strike that balance between being realistic and safe with your system but also using it as a selling point for your cars?” asks Sundin. “It’s a difficult situation, and I don’t know what the solution is. But definitely, if you are rolling it out, the education around these systems needs to speed up fast.”

Correction: We updated the name of William Sundin’s YouTube channel. It should be ChinaDriven, not ChinaDrive.

I ordered a bubble tea by drone in Shenzhen

China Report is MIT Technology Review’s newsletter about technology developments in China. Sign up to receive it in your inbox every Tuesday.

Last week, I told you about my adventure at Tencent’s customer service center. But the quest to get my QQ account back wasn’t the only reason I went to Shenzhen. While I was in China, I learned that the dominant Chinese food delivery platform, Meituan, has been flying delivery drones in the city for more than a year now, and I wanted to check it out myself.

I found that the reality of drone delivery is still far from ideal, and people may be turned away by the steep learning curve. But at the same time, it was an exciting experience—the prospect of routine drone delivery feels more realistic than it’s ever been.

Meituan currently operates more than a hundred drones from five delivery hubs (or launchpads) in the city. Together, they completed over 100,000 orders in 2022. While the platform itself can deliver basically anything, from dinner to medicine to fresh flowers to electronic devices, the drones are mostly used for food and drinks. 

Why? Because Chinese people care about the temperature of their meals, Mao Yinian, head of Meituan’s drone delivery department, tells me. “People care about it greatly—whether they can receive a hot meal or a cup of iced bubble tea in time. But when it comes to other [types of products], people don’t mind if it arrives 30 minutes faster or slower,” he says. Since Meituan’s drone flight routes are all automated—and the drones never run into traffic—it’s easier to precisely control the time it takes for the meal to be delivered. The drones usually arrive within seconds of the estimated time.

To have a cup of bubble tea delivered exactly when you want it? As a bubble tea enthusiast, all I can say is sign me up. But when I tried it out, I found out it’s not as simple as it sounds.

The first obstacle: the drones don’t deliver to your doorstep. Instead, they deliver to one of a dozen pickup locations scattered around the city—vending-machine-size kiosks that function as both a landing pad for the drone and storage for your package if you’re late to pick it up. 

A yellow-and-white Meituan pickup kiosk in front of trees. A man is standing nearby.
A Meituan pickup kiosk at the entrance of a residential neighborhood.
ZEYI YANG

Here began my first attempt. After looking up all Meituan pickup locations on the map, I chose one near the subway station I was at. I ordered an iced coconut tea latte, which was specifically marked in the app as being deliverable by a drone. I paid and began waiting in excitement.

Nope. I immediately got a text telling me that “because of a system upgrade,” my order would be delivered by a human courier instead. Was it because of the bad weather? There had been a rainstorm in Shenzhen that morning, and the sky was still covered with dark clouds. But when I checked with a representative at Meituan, she said the drones were working. 

It turns out, she told me, I had ordered from a restaurant in a different district, and there were no drone routes that flew from there to the kiosk I wanted to send my order to. There’s no way to know that from the app, she said. 

That evening, I tried it a second time. As directed, this time I chose a pickup kiosk in the same district as the restaurant. In fact, they were only a few hundred feet apart. That would surely work, right? 

I ordered an avocado strawberry yogurt smoothie and again received a text immediately after the purchase was made. “Drone deliveries are not operational at this time of the day. It will be delivered by a human courier instead,” I was told. I later learned that drones only deliver until 7 p.m. every day. I was 30 minutes too late.

It wasn’t a promising start. But as it happened, I had arranged to visit one of the company’s drone launchpads the next day. So I got the chance to take an inside look at the operation.

The launchpad sits on the rooftop of a five-floor mall. I visited just after the lunch rush, met with some Meituan employees, and saw that humans and robots are equally important in making every delivery possible. I had wondered whether drones were deployed to each restaurant to pick up the food. No—Meituan workers pick up food from the vendors, bring it to the rooftop to package it, and load it onto the drones. Workers also need to change the drones’ batteries.

A woman in a white shirt is handling a white cardboard box where she will put the customer's order in.
One meituan worker is sealing the package.
ZEYI YANG
Four drones parked on the rooftop.
The rooftop launchpad.
ZEYI YANG

This launchpad services three nearby pickup kiosks. The rooftop area is divided into three zones, each with its own huge QR codes painted on the floor to mark the exact landing positions for the drones. 

Once I learned about the logistics involved, it was clear Meituan had made some compromises in order to make drone delivery work in densely populated areas. Arrangements like making the drones deliver to pickup kiosks instead of straight to your home may be less convenient for customers, but it also reduces the risk that drones will get trapped in difficult locations or injure people. It’s a model for other companies working on drone delivery, and you can read more about what I learned in a story on Meituan’s efforts I published this morning.

When I left the launchpad, I made one last order, from that very site to one of the three kiosks it serves. I felt confident that I’d learned everything I could about the service. Standing by the kiosk, I could even predict what direction the drone would come from, having already watched several of them complete the route from the other end.

Indeed, at exactly the time that the app predicted, the drone came and landed on the kiosk. I typed in my phone number on a screen, and after what sounded like robotic arms moving, a door lifted up, allowing me to retrieve a cardboard box. Inside was my order: an iced orange black tea, sealed in an insulating bag. My drink hadn’t spilled, and it was still cold. And I had finally accomplished my goal of getting a drone delivery in Shenzhen.

Do you think delivery companies should invest in developing drone delivery systems? Let me know your thoughts at zeyi@technologyreview.com.

Catch up with China

1. The Chinese government said it found “relatively serious” cybersecurity risks in products sold by the American memory-chip company Micron. (Bloomberg $)

2. A data visualization of the supply chain for lithium-ion batteries explains why the world still relies on China to make batteries for electric vehicles. (New York Times $)

3. Chinese researchers surpassed their American peers for the first time in contributions to a range of natural-science research journals, according to an academic publication index compiled by Nature. (Nature)

4. Police departments in China have spent millions of dollars developing geographic information systems to improve their surveillance capacity. (China Digital Times)

5. China’s standup comedy industry has been shaken by the possibility of nationwide censorship—all because of a joke by one comedian about the Chinese military. (Reuters $)

6. The business of “expert network” consultancy—paying industry experts for information that might benefit companies and investors—has become a top anti-espionage concern for the Chinese government. (Wall Street Journal $). As a result, executives at the US consultancy firm Mintz are rushing to leave Hong Kong after the company was involved in a police probe. (Reuters $)

7. Meet the astronomer who wrote over 2,000 letters in response to Chinese UFO fans, trying to make sense of their UFO sighting experiences. (Sixth Tone)

8. Montana banned TikTok in the state, and TikTok is now suing it. (Semafor)

Lost in translation

A cartoon dinosaur character named Momo.

If you frequently see someone on Chinese social media with the alias “Momo” and the avatar of a cartoonish dinosaur in pink, you are not meeting just one individual, but a group of people sharing an online identity to avoid being recognized in real life. According to the Chinese tech publication 36Kr, some young social media users in China are increasingly scared by the doxxing incidents they’ve seen online. To protect their privacy, they are giving up on individualized account settings and adopting a common identity, using the same default avatar generated by one Chinese social platform and pretending to be the same person. The feeling of group anonymity makes them feel more comfortable sharing their opinions online.

But it is not a perfect solution. Some “Momos” are gatekeeping who gets to be one of them—they ask that people using the avatar support the same social causes (and since they can’t enforce it, they openly attack people they don’t like). At the same time, people are finding it difficult to hold these anonymous users accountable when they post extreme opinions. The community that promised to be a safe space has turned out to be full of fights and politics too.

One more thing

What can you do if your billion-dollar tech startup fails? Well, you can always open a coffee shop instead. As Bloomberg recently reported, Dai Wei, the founder of the famed Chinese dockless bike-sharing company Ofo, which once put millions of bikes on the streets in China but has been on the edge of bankruptcy in recent years, is behind a new coffee chain in New York City called About Time Coffee. The café actually shares quite a few similarities with Dai’s last startup—both offer generous discounts to attract potential customers and have drawn generous investment. The café brand has already received more than $10 million from investors.

Food delivery by drone is just part of daily life in Shenzhen

My iced tea arrived from the sky.

In a buzzy urban area in Shenzhen, China, sandwiched between several skyscrapers, I watched as a yellow-and-black drone descended onto a pickup kiosk by the street. The top of the vending-machine-size kiosk opened up for the drone to land, and a white cardboard box containing my drink was placed inside. When I had made the delivery order on my phone half an hour before, the app noted that it would arrive by drone at 2:03 p.m., and that was exactly when it came.

How I got my iced tea from the drone.
ZEYI YANG

The drone delivery service I was trying out is operated by Meituan, China’s most popular food delivery platform. In 2022, the company engaged some 6 million gig delivery workers to deliver billions of orders. But the company has also been developing drone delivery since 2017. And in Shenzhen, a southern city that’s home to a mature drone supply chain, Meituan has been regularly operating such delivery routes for the last year and a half.

Many big corporations have had their eyes on drone delivery: Amazon first proposed doing it in 2013, but its progress has been limited by regulations and a lack of demand. Wing, owned by Google’s parent company Alphabet, has had more success, operating drone deliveries on three continents. And Walmart is backing several drone startups to experiment with delivering its products.

What differentiates Meituan from these American peers is that it has chosen to offer drone delivery in what is potentially the most challenging environment: dense urban neighborhoods. It’s an approach that makes sense in China, where most people live in high-rise apartment buildings in populous cities, and many of them order food delivery on a daily basis. 

To make the service work in a dense city, Meituan doesn’t have the drones deliver directly to your doorstep. Instead, the company has set up pickup kiosks close to residential or office buildings. Drones drop off deliveries at the kiosks, which can hold several packages at once. The process may be less convenient for customers, but it allows every drone to fly a predetermined route, from one launchpad to one kiosk, making the task of navigating urban areas much easier. 

In 2022, Meituan made more than 100,000 drone deliveries in Shenzhen. My own experience wasn’t seamless. The first time I tried to use the service, I accidentally ordered from a restaurant that was too far away. My second attempt failed because I had unwittingly ordered after hours (the drones go to bed at 7 p.m.). 

But for some Shenzhen residents and vendors, delivery by drone is no longer a novelty—it’s just part of their daily routine. Meituan’s progress shows that regular drone delivery in cities is possible, even though it requires making some compromises when it comes to user experience. How does the magic happen? I visited one of the company’s drone launchpads to see how it’s done.

The rooftop “airport”

Meituan launches its drones in Shenzhen from five delivery hubs. My tea actually came from one that was only a few hundred feet away, on the rooftop of a gigantic shopping mall. There, the building’s rooftop has been turned into an airport for the drones and a handful of support staff.

When I visited in April, there were about 10 drones parked on the rooftop, and two or three either taking off or landing. I had just missed the lunch peak, I was told by a Meituan employee, and the drones and humans there were mostly resting and recharging in anticipation of the dinner peak.

The workflow is a mix of human and automated labor. Once the drone delivery system gets an order (customers order specific items marked for drone delivery in the company’s app), a runner (human) goes to the restaurants, all located a few flights down in the shopping mall, to pick up the order and brings it to the launchpad. The runner places the food and drinks in a standardized cardboard box, weighs it to make sure it’s not too heavy, seals the box, and hands it off to a different worker who specializes in dealing with the drones. The second worker places the box under a drone and waits for it to lock in. 

One worker sealed the package before another worker took it to the drone.
ZEYI YANG

Everything after that is highly automated, says Mao Yinian, the director of drone delivery services at Meituan. The drones’ movements are controlled by a central algorithm, and the routes are predetermined. “You can know in advance, at every precise second, where each drone will be and how fast its speed is, so the customers can expect the arrival time with a deviation of two seconds, instead of three minutes or even 10 minutes (when it comes to traditional delivery),” he tells MIT Technology Review.

The company has a centralized control room in Shenzhen, where staff can take control of a drone in an emergency. There are now more than a hundred drones that can be deployed for deliveries in the city. On average, one operator is watching 10 drones at the same time.

Not all human labor can or should be replaced by machines, Mao says. But the company has plans to automate even more of the delivery process. For example, Mao would like to see robots take over the work of loading packages onto drones and changing their batteries: “Our ground crew may have to bend over a hundred times a day to load the package and change the batteries. Human bodies are not designed for such movements.”

“Our vision is to turn the [launchpad] into a fully automated factory assembly line,” he says. “The only work for humans is to place the nonstandardized food and drinks into a standardized packaging box, and then there’s no more work for humans.”

Regulatory and economic constraints

Today, there are few technical obstacles left for drones delivery of food and packages, says Jonathan Roberts, a professor of robotics at Queensland University of Technology in Australia, who has researched drones since 1999. “We definitely can do reliable drone delivery, but whether it makes financial sense is a little bit hard to know,” he says. 

Regulation often determines where companies choose to set up shop. In 2002, Australia was the first country in the world to introduce legislation on unmanned aerial vehicles, as drones are technically called. The law allowed universities and companies to conduct drone experiments as long as they obtained official licenses. “So [Australia] was the perfect place then to do testing,” says Roberts. That’s why Alphabet’s Wing tested and launched its drone deliveries in Australia before trying them in any other country.

It was a similar story for Meituan and the city of Shenzhen, where the municipal government has a strong drone manufacturing supply chain and has been particularly friendly toward the industry. On a national policy level, the central government has also permitted Shenzhen, one of the country’s designated Special Economic Zones, to have more flexibility when it comes to commercial drone legislation. 

That’s why Meituan has chosen Shenzhen to carry out the majority of its drone delivery experiments so far. The company has just established a new route in Shanghai, and it has occasionally deployed drones in other cities, but Shenzhen will remain the center of its drone activity. 

Regulations only determine whether drone delivery is permitted, however. Economics determines whether it can actually happen—and whether it can be sustainable.

A number of companies, like Wing, have chosen to start testing their operations in suburban neighborhoods, where residents are well-off but traditional delivery isn’t efficient. That model is hard to replicate in China, where most people are urban dwellers. Some Chinese companies, like the e-commerce platform JD and the logistics company SF Express, opted to go first to rural villages, where ground transportation infrastructure is underdeveloped and drones can fill in a natural gap. 

That approach may not make sense if you’re trying to make as much money as possible from drone delivery: “If you look at the total numbers of deliveries in rural areas and in urban areas, you can see they differ by maybe two orders of magnitude,” Mao says. But the safety risks for drone operation in rural areas are lower. 

“The industry used to avoid urban areas because the technology was not advanced enough to guarantee it’s safe,” Mao says. By the time he joined Meituan to head the drone delivery team in 2019, about six years after other companies had piloted rural drone delivery programs in China, he made the judgment that the technology had become safe enough to operate in cities.

There have been no reports of safety incidents with Meituan’s drones so far. Across the world, delivery drones haven’t injured any humans, but they do occasionally crash, resulting in bush fires and power outages

Meituan has made technical adjustments to make sure its drones can safely fly in cities, like opting for wing designs that are more stable in strong winds and developing its own navigation system based on computer vision to complement weak GPS signals between buildings. In February, the company obtained a license to offer commercial drone delivery in urban areas—a stamp of approval from China’s aviation authority. But gaining the residents’ complete trust will be a longer process, Mao says: “We need to explain to them, either through education or demonstrations where they can see the drones fly, that we can guarantee it’s safe.”

Drones vs. humans?

Some vendors and customers have already gotten used to the Meituan drones. 

I spoke to a restaurant server at the mall who said her restaurant was one of the first adopters of the drone delivery service. (She asked to be kept anonymous because she didn’t have permission to speak to the media.) The drones used to be unable to deliver during rainy days, but then the technology improved. Nowadays, the restaurant can fill dozens of orders through drone delivery every day.

One reason she likes drone delivery is that the service is more predictable, while the behavior of delivery workers can vary. “The problem of [delivery workers] stealing food from the customer’s order is very serious,” she says. When customers complain to the restaurant that they didn’t receive the food they ordered, the restaurant bears the burden of correcting the problem.

“If it really becomes a mature technology, it will be so much more efficient,” she says. “But also, a lot of people across the country would lose their jobs.” 

The same preference for drones over delivery workers can also be heard from customers. Not long after I got my iced tea from the drone, a second drone arrived at the same pickup spot. Wang, a tech worker from a nearby office who wished to be identified only by her last name, came with two friends to pick up the fruit she’d ordered. She makes such orders almost daily and finds it quite convenient.

“Compared to ordinary deliveries, it’s quicker and more sustainable, since the cardboard packages can be recycled. Plus, I don’t have to communicate with the delivery workers,” she said. Her attitude reflects a common tension between city dwellers and gig workers, who often come from rural areas.

Mao says Meituan is not planning to replace all delivery workers; he says the main goal is for drones to complement humans. They might deliver packages to places workers can’t go, like tourist attractions that require ticketed entries, or perform urgent tasks that would be difficult for humans to pull off.

In an ideal future, drones may make up 5% or 10% of all delivery orders, Mao says. But a precise target isn’t what he’s after—he says he’s more interested in making sure that drone delivery actually adds value for customers and becomes an easy-to-use delivery method. 

There is still some growing that has to happen before Meituan’s drone delivery feels seamless: there are few vendors available, and just a dozen kiosks in Shenzhen. Mao expects the service to become much more widespread in Shenzhen in three to five years.

As for the sci-fi vision of drone delivery straight to your window? “In the longer run, I believe it will become true, but that could be 20 to 30 years from now,” Mao says. “Because it would take 20 to 30 years to update urban infrastructure, particularly when it comes to residential buildings.”

Inside the bitter campus privacy battle over smart building sensors

When computer science students and faculty at Carnegie Mellon University’s Institute for Software Research returned to campus in the summer of 2020, there was a lot to adjust to. 

Beyond the inevitable strangeness of being around colleagues again after months of social distancing, the department was also moving into a brand-new building: the 90,000-square-foot, state-of-the-art TCS Hall. 

The hall’s futuristic features included carbon dioxide sensors that automatically pipe in fresh air, a rain garden, a yard for robots and drones, and experimental super-sensing devices called Mites. Mounted in more than 300 locations throughout the building, these light-switch-size devices can measure 12 types of data—including motion and sound. Mites were embedded on the walls and ceilings of hallways, in conference rooms, and in private offices, all as part of a research project on smart buildings led by CMU professor Yuvraj Agarwal and PhD student Sudershan Boovaraghavan and including another professor, Chris Harrison. 

“The overall goal of this project,” Agarwal explained at an April 2021 town hall meeting for students and faculty, is to “build a safe, secure, and easy-to-use IoT [Internet of Things] infrastructure,” referring to a network of sensor-equipped physical objects like smart light bulbs, thermostats, and TVs that can connect to the internet and share information wirelessly. 

Not everyone was pleased to find the building full of Mites. Some in the department felt that the project violated their privacy rather than protected it. In particular, students and faculty whose research focused more on the social impacts of technology felt that the device’s microphone, infrared sensor, thermometer, and six other sensors, which together could at least sense when a space was occupied, would subject them to experimental surveillance without their consent. 

“It’s not okay to install these by default,” says David Widder, a final-year PhD candidate in software engineering, who became one of the department’s most vocal voices against Mites. “I don’t want to live in a world where one’s employer installing networked sensors in your office without asking you first is a model for other organizations to follow.” 

aerial view of students walking past the Walk to the Sky Monument in Pittsburgh Carnegie Private University
Students pass by the Walk to the Sky monument on Carnegie Mellon’s campus.
GETTY IMAGES

All technology users face similar questions about how and where to draw a personal line when it comes to privacy. But outside of our own homes (and sometimes within them), we increasingly lack autonomy over these decisions. Instead, our privacy is determined by the choices of the people around us. Walking into a friend’s house, a retail store, or just down a public street leaves us open to many different types of surveillance over which we have little control. 

Against a backdrop of skyrocketing workplace surveillance, prolific data collection, increasing cybersecurity risks, rising concerns about privacy and smart technologies, and fraught power dynamics around free speech in academic institutions, Mites became a lightning rod within the Institute for Software Research.

Voices on both sides of the issue were aware that the Mites project could have an impact far beyond TCS Hall. After all, Carnegie Mellon is a top-tier research university in science, technology, and engineering, and how it handles this research may influence how sensors will be deployed elsewhere. “When we do something, companies … [and] other universities listen,” says Widder.

Indeed, the Mites researchers hoped that the process they’d gone through “could actually be a blueprint for smaller universities” looking to do similar research, says Agarwal, an associate professor in computer science who has been developing and testing machine learning for IoT devices for a decade.

But the crucial question is what happens if—or when—the super-sensors graduate from Carnegie Mellon, are commercialized, and make their way into smart buildings the world over. 

The conflict is, in essence, an attempt by one of the world’s top computer science departments to litigate thorny questions around privacy, anonymity, and consent. But it has deteriorated from an academic discussion into a bitter dispute, complete with accusations of bullying, vandalism, misinformation, and workplace retaliation. As in so many conversations about privacy, the two sides have been talking past each other, with seemingly incompatible conceptions of what privacy means and when consent should be required. 

Ultimately, if the people whose research sets the agenda for technology choices are unable to come to a consensus on privacy, where does that leave the rest of us? 

The future, according to Mites

The Mites project was based on two basic premises: First, that buildings everywhere are already collecting data without standard privacy protections and will continue to do so. And second, that the best solution is to build better sensors—more useful, more efficient, more secure, and better-intentioned.

In other words, Mites.  

“What we really need,” Agarwal explains, is to “build out security-, privacy-, safety-first systems … make sure that users have trust in these systems and understand the clear value proposition.” 

“I would rather [we] be leading it than Google or ExxonMobil,” adds Harrison, an associate professor of human-computer interaction and a faculty collaborator on the project, referring to sensor research. (Google funded early iterations of the research that led to Mites, while JPMorgan Chase is providing “generous support of smart building research at TCS Hall,” as noted on plaques hung around the building.)

Mites—the name refers to both the individual devices and the overall platform—are all-in-one sensors supported by a hardware stack and on-device data processing. While Agarwal says they were not named after the tiny creature, the logo on the project’s website depicts a bug. 

According to the researchers, Mites represent a significant improvement over current building sensors, which typically have a singular purpose—like motion detectors or thermometers. In addition, many smart devices today often only working in isolation or with specific platforms like Google’s Nest or Amazon’s Alexa; they can’t interact with each other.   

A Mites sensor installed in a wall panel in TCS Hall.

Additionally, current IoT systems offer little transparency about exactly what data is being collected, how it is being transmitted, and what security protocols are in place—while erring on the side of over-collection. 

The researchers hoped Mites would address these shortcomings and facilitate new uses and applications for IoT sensors. For example, microphones on Mites could help students find a quiet room to study, they said—and Agarwal suggested at the town hall meeting in April 2021 that the motion sensor could tell an office occupant whether custodial staff were actually cleaning offices each night. (The researchers have since said this was a suggested use case specific to covid-19 protocols and that it could help cleaning staff focus on high-traffic areas—but they have moved away from the possibility.)

The researchers also believe that in the long term, Mites—and building sensors more generally—are key to environmental sustainability. They see other, more ambitious use cases too. A university write-up describes this scenario: In 2050, a woman starts experiencing memory loss. Her doctor suggests installing Mites around her home to “connect to … smart speakers and tell her when her laundry is done and when she’s left the oven on” or to evaluate her sleep by noting the sound of sheets ruffling or nighttime trips to the bathroom. “They are helpful to Emily, but even more helpful to her doctor,” the article claims.

As multipurpose devices integrated with a platform, Mites were supposed to solve all sorts of problems without going overboard on data collection. Each device contains nine sensors that can pick up all sorts of ambient information about a room, including sound, light, vibrations, motion, temperature, and humidity—a dozen different types of data in all. To protect privacy, it does not capture video or photos.

The CMU researchers are not the first to attempt such a project. An IoT research initiative out of the Massachusetts Institute of Technology, similarly called MITes, designed portable sensors to collect environmental data like movement and temperature. It ran from 2005 to 2016, primarily as part of PlaceLab, a experimental laboratory modeled after an apartment in which carefully vetted volunteers consented to live and have their interactions studied. The MIT and CMU projects are unrelated. (MIT Technology Review is funded in part by MIT but maintains editorial independence.)

The Carnegie Mellon researchers say the Mites system extracts only some of the data the devices collect, through a technical process called “featurization.” This should make it more difficult to trace, say, a voice back to an individual. 

Machine learning—which, through a technique called edge computing, would eventually take place on the device rather than on a centralized server—then recognizes the incoming data as the result of certain activities. The hope is that a particular set of vibrations could be translated in real time into, for example, a train passing by. 

The researchers say that featurization and other types of edge computing will make Mites more privacy-protecting, since these technologies minimize the amount of data that must be sent, processed, and stored in the cloud. (At the moment, machine learning is still taking place on a separate server on campus.)

“Our vision is that there’s one sensor to rule them all, if you’ve seen Lord of the Rings. The idea is rather than this heterogeneous collection of sensors, you have one sensor that’s in a two-inch-by-two-inch package,” Agarwal explained in the April 2021 town hall, according to a recording of the meeting shared with MIT Technology Review. 

But if the departmental response is any indication, maybe a ring of power that let its wearer achieve domination over others wasn’t the best analogy. 

A tense town hall

Unless you are looking for them, you might not know that the bright and airy TCS Hall, on the western edge of Carnegie Mellon’s Pittsburgh campus, is covered in Mites devices—314 of them as of February 2023, according to Agarwal. 

But look closely, and they are there: small square circuit boards encased in plastic and mounted onto standard light switch plates. They’re situated inside the entrances of common rooms and offices, by the thermostats and light controls, and in the ceilings. 

The only locations in TCS Hall that are Mites-free, in fact, are the bathrooms—and the fifth floor, where Tata Consultancy Services, the Indian multinational IT company that donated $35 million to fund the building bearing its name, runs a research and innovation center. (A spokesperson said, “TCS is not involved in the Mites project.”)

Widder, whose PhD thesis focuses on how to help AI developers think about their responsibility for the harm their work could cause, remembers finding out about the Mites sensors in his office sometime in fall of 2020. And once he noticed them, he couldn’t unsee the blinking devices mounted on his wall and ceiling, or the two on the hallway ceiling just outside his door. 

A Mites sensor installed on the ceiling in TCS Hall

Nor was Widder immediately aware of how to turn the devices off; they did not have an on-off switch. (Ultimately, his attempts to force that opt-out would threaten to derail his career.)

This was a problem for the budding tech ethicist. Widder’s academic work explores how software developers think about the ethical implications of the products that they build; he’s particularly interested in helping computer scientists understand the social consequences of technology. And so Mites was of both professional and personal concern. The same issues of surveillance and informed consent that he helped computer scientists grapple with had found their way into his very office. 

CMU isn’t the only university to test out new technologies on campus before sending them into the wider world. University campuses have long been a hotbed for research—with sometimes questionable policies around consent. Timnit Gebru, a tech ethicist and the founder of the Distributed AI Research Institute, cites early research on facial recognition that was built on surveillance data collected by academic researchers. “So many of the problematic data practices we see in industry were first done in the research world, and they then get transported to industry,” she says. 

It was through that lens that Widder viewed Mites. “I think nonconsensual data collection for research … is usually unethical. Pervasive sensors installed in private and public spaces make increasingly pervasive surveillance normal, and that is a future that I don’t want to make easier,” he says. 

He voiced his concerns in the department’s Slack channel, in emails, and in conversations with other students and faculty members—and discovered that he wasn’t alone. Many other people were surprised to learn about the project, he says, and many shared his questions about what the sensor data would be used for and when collection would start. 

“I haven’t been to TCS Hall yet, but I feel the same way … about the Mites,” another department member wrote on Slack in April 2021. “I know I would feel most comfortable if I could unplug the one in my office.”

The researchers say that they followed the university’s required processes for data collection and received sign-off after a review by its institutional review board (IRB) and lawyers. The IRB—which oversees research in which human subjects are involved, as required by US federal regulation—had provided feedback on the Mites research proposal before ultimately approving the project in March. According to a public FAQ about the project, the board determined that simply installing Mites and collecting data about the environment did not require IRB approval or prior consent from occupants of TCS Hall—with an exception for audio data collection in private offices, which would be based on an “opt-in” consent process. Approval and consent would be required for later stages of the project, when office occupants would use a mobile app allowing them to interact with Mites data. 

The Mites researchers also ran the project by the university’s general counsel to review whether the use of microphones in the sensors violated Pennsylvania state law, which mandates two-party consent in audio recording. “We have had extensive discussions with the CMU-Office of the General Counsel and they have verified that we are not violating the PA wiretap law,” the project’s FAQ reads. 

Overall, the Institute for Software Research, since renamed Software and Societal Systems, was split. Some of its most powerful voices, including the department chair (and Widder’s thesis co-advisor), James Herbsleb, encouraged department members to support the research. “I want to repeat that this is a very important project … if you want to avoid a future where surveillance is routine and unavoidable!” he wrote in an email shortly after the town hall. 

“The initial step was to … see how these things behave,” says Herbsleb, comparing the Mites sensors to motion detectors that people might want to test out. “It’s purely just, ‘How well does it work as a motion detector?’ And, you know, nobody’s asked to consent. It’s just trying out a piece of hardware.”

Of course, the system’s advanced capabilities meant that Mites were not just motion detectors—and other department members saw things differently. “It’s a lot to ask of people to have a sensor with a microphone that is running in their office,” says Jonathan Aldrich, a computer science professor,  even if “I trust my coworkers as a general principle and I believe they deserve that trust.” He adds, “Trusting someone to be a good colleague is not the same as giving them a key to your office or having them install something in your office that can record private things.” Allowing someone else to control a microphone in your office, he says, is “very much like giving someone else a key.”

As the debate built over the next year, it pitted students against their advisors and academic heroes as well—although many objected in private, fearing the consequences of speaking out against a well-funded, university-backed project. 

In the video recording of the town hall obtained by MIT Technology Review, attendees asked how researchers planned to notify building occupants and visitors about data collection. Jessica Colnago, then a PhD student, was concerned about how the Mites’ mere presence would affect studies she was conducting on privacy. “As a privacy researcher, I would feel morally obligated to tell my participant about the technology in the room,” she said in the meeting. While “we are all colleagues here” and “trust each other,” she added, “outside participants might not.”

Attendees also wanted to know whether the sensors could track how often they came into their offices and at what time. “I’m in office [X],” Widder said. “The Mite knows that it’s recording something from office [X], and therefore identifies me as an occupant of the office.” Agarwal responded that none of the analysis on the raw data would attempt to match that data with specific people. 

At one point, Agarwal also mentioned that he had gotten buy-in on the idea of using Mites sensors to monitor cleaning staff—which some people in the audience interpreted as facilitating algorithmic surveillance or, at the very least, clearly demonstrating the unequal power dynamics at play. 

A sensor system that could be used to surveil workers concerned Jay Aronson, a professor of science, technology, and society in the history department and the founder of the Center for Human Rights Science, who became aware of Mites after Widder brought the project to his attention. University staff like administrative and facilities workers are more likely to be negatively impacted and less likely to reap any benefits, said Aronson. “The harms and the benefits are not equally distributed,” he added. 

A sign reading “Privacy is NOT dead, Carnegie Mellon University Privacy Engineering” is displayed on the wall a few feet from a Mites sensor.

Similarly, students and nontenured faculty seemingly had very little to directly gain from the Mites project and faced potential repercussions both from the data collection itself and, they feared, from speaking up against it. We spoke with five students in addition to Widder who felt uncomfortable both with the research project and with voicing their concerns. 

One of those students was part of a small cohort of 45 undergraduates who spent time at TCS Hall in 2021 as part of a summer program meant to introduce them to the department as they considered applying for graduate programs. The town hall meeting was the first time some of them learned about the Mites. Some became upset, concerned they were being captured on video or recorded.

But the Mites weren’t actually recording any video. And any audio captured by the microphones was scrambled so that it could not be reconstructed. 

In fact, the researchers say that the Mites were not—and are not yet—capturing any usable data at all. 

For the researchers, this “misinformation” about the data being collected, as Boovaraghavan described it in an interview with MIT Technology Review, was one of the project’s biggest frustrations. 

But if the town hall was meant to clarify details about the project, it exacerbated some of that confusion instead. Although a previous interdepartment email thread had made clear that the sensors were not yet collecting data, that was lost in the tense discussion. At some points, the researchers indicated that no data was or would be collected without IRB approval (which had been received the previous month), and at other points they said that the sensors were only collecting “telemetry data” (basically to ensure they were powered up and connected) and that the microphone “is off in all private offices.” (In an emailed statement to MIT Technology Review, Boovaraghavan clarified that “data has been captured in the research teams’ own private or public spaces but never in other occupants’ spaces.”)

For some who were unhappy, exactly what data the sensors were currently capturing was beside the point. It didn’t matter that the project was not yet fully operational. Instead, the concern was that sensors more powerful than anything previously available had been installed in offices without consent. Sure, the Mites were not collecting data at that moment. But at some date still unspecified by the researchers, they could be. And those affected might not get a say.

Widder says the town hall—and follow-up one-on-one meetings with the researchers—actually made him “more concerned.” He grabbed his Phillips screwdriver. He unplugged the Mites in his office, unscrewed the sensors from the wall and ceiling, and removed the ethernet cables from their jacks. 

He put his Mite in a plexiglass box on his shelf and sent an email to the research team, his advisors, and the department’s leadership letting them know he’d unplugged the sensors, kept them intact, and wanted to give them back. With others in the department, he penned an anonymous open letter that detailed more of his concerns. 

Is it possible to clearly define “privacy”?

The conflict at TCS Hall illustrates what makes privacy so hard to grapple with: it’s subjective. There isn’t one agreed-upon standard for what privacy means or when exactly consent should be required for personal data to be collected—or what even counts as personal data. People have different conceptions of what is acceptable. The Mites debate highlighted the discrepancies between technical approaches to collecting data in a more privacy-preserving way and the “larger philosophical and social science side of privacy,” as Kyle Jones, a professor of library and information science at Indiana University who studies student privacy in higher education, puts it.  

Some key issues in the broader debates about privacy were particularly potent throughout the Mites dispute. What does informed consent mean, and under what circumstances is it necessary? What data can actually identify someone, even if it does not meet the most common definitions of “personally identifiable data”? And is building privacy-protecting technology and processes adequate if they’re not communicated clearly enough to users? 

For the researchers, these questions had a straightforward answer: “My privacy can’t be invaded if, literally, there’s no data collected about me,” says Harrison. 

Even so, the researchers say, consent mechanisms were in place. “The ability to power off the sensor by requesting it was built in from the start. Similarly, the ability to turn on/off any individual sensor on any Mites board was also built in from the get-go,” they wrote in an email. 

But though the functionality may have existed, it wasn’t well communicated to the department, as an internal Slack exchange showed. “The one general email that was sent did not provide a procedure to turn them off,” noted Aldrich. 

Students we spoke with highlighted the reality that requiring them to opt out of a high-profile research project, rather than giving them the chance to opt in, fails to account for university power dynamics. In an email to MIT Technology Review, Widder said he doesn’t believe that the option to opt out via email request was valid, because many building occupants were not aware of it and because opting out would identify anyone who essentially disagreed with the research. 

Aldrich was additionally concerned about the technology itself. 

“Can you … reconstruct speech from what they’ve done? There’s enough bits that it’s theoretically possible,” he says. “The [research team] thinks it’s impossible, but we don’t have proof of this, right?”  

But a second concern was social: Aldrich says he didn’t mind the project until a colleague outside the department asked not to meet in TCS Hall because of the sensors. That changed his mind. “Do I really want to have something in my office that is going to keep a colleague from coming and meeting with me in my office? The answer was pretty clearly no. However I felt about it, I didn’t want it to be a deterrent for someone else to meet with me in my office, or to [make them] feel uncomfortable,” he says. 

The Mites team posted signs around the building—in hallways, common areas, stairwells, and some rooms—explaining what the devices were and what they would collect. Eventually, the researchers added a QR code linking to the project’s 20-page FAQ document. The signs were small, laminated letter-size papers that some visitors said were easy to miss and hard to understand. 

“When I saw that, I was just thinking, wow, that’s a very small description of what’s going on,” noted one such visitor, Se A Kim, an undergraduate student who made multiple visits to TCS Hall in the spring of 2022 for a design school assignment to explore how to make visitors aware of data collection in TCS’s public spaces. When she interviewed a number of them, she was surprised by how many were still unaware of the sensors. 

One concern repeated by Mites opponents is that even if the current Mites deployment is not set up to collect the most sensitive data, like photos or videos, and is not meant to identify individuals, this says little about what data it might collect—or what that data might be combined with—in the future. Privacy researchers have repeatedly shown that aggregated, anonymized data can easily be de-anonymized. 

mites stylized to look like crawling insects creep on desktop items

ARI LILOAN

This is most often the case with far larger data sets—collected, for example, by smartphones. Apps and websites might not have the phone number or the name of the phone’s owner, but they often have access to location data that makes it easy to reverse-engineer those identifying details. (Mites researchers have since changed how they handle data collection in private offices by grouping multiple offices together. This makes it harder to ascertain the behavior of individual occupants.)  

Beyond the possibility of reidentification, who exactly can access a user’s data is often unknown with IoT devices—whether by accident or by system design. Incidents abound in which consumer smart-home devices, from baby monitors to Google Home speakers to robot vacuums, have been hacked or their data has been shared without their users’ knowledge or consent

The Mites research team was aware of these well-known privacy issues and security breaches, but unlike their critics, who saw these precedents as a reason not to trust the installation of even more powerful IoT devices, Agarwal, Boovaraghavan, and Harrison saw them as motivation to create something better. “Alexa and Google Homes are really interesting technology, but some people refuse to have them because that trust is broken,” Harrison says. He felt the researchers’ job was to figure out how to build a new device that was trustworthy from the start. 

Unlike the devices that came before, theirs would be privacy-protecting. 

Tampering and bullying claims

In the spring of 2021, Widder received a letter informing him he was being investigated for alleged misconduct for tampering with university computing equipment. It also warned him that the way he had acted could be seen as bullying.

Department-wide email threads, shared with MIT Technology Review, hint at just how personal the Mites debate had become—and how Widder had, in the eyes of some of his colleagues, become the bad guy. “People taking out sensors on their own (what’s the point of these deep conversations if we are going to just literally take matters in our hands?) and others posting on social media is *not ethical*,” one professor wrote. (Though the professor did not name Widder, it was widely known that he had done both.) 

“I do believe some people felt bullied here, and I take that to heart,” Widder says, though he also wonders, “What does it say about our field if we’re not used to having these kinds of discussions and … when we do, they’re either not taken seriously or … received as bullying?” (The researchers did not respond to questions about the bullying allegations.) 

The disciplinary action was dropped after Widder plugged the sensors back in and apologized, but to Aldrich, “the letter functions as a way to punish David for speaking up about an issue that is inconvenient to the faculty, and to silence criticism from him and others in the future,” as he wrote in an official response to Widder’s doctoral review. 

Herbsleb, the department chair and Widder’s advisor, declined to comment on what he called a “private internal document,” citing student privacy. 

While Widder believes that he was punished for his criticisms, the researchers had taken into account some of those critiques already. For example, the researchers offered to let building occupants turn off the Mites sensors in their offices by asking to opt out via email. But this remained impossible in public spaces, in part because “there’s no way for us to even know who’s in the public space,” the researchers told us. 

By February 2023, occupants in nine offices out of 110 had written to the researchers to disable the Mites sensors in their own offices—including Widder and Aldrich. 

The researchers point to this small number as proof that most people are okay with Mites. But Widder disagrees; all it proves, he says, is that people saw how he was retaliated against for removing his own Mites sensors and were dissuaded from asking to have theirs turned off. “Whether or not this was intended to be coercive, I think it has that effect,” he says.

“The high-water mark”

On a rainy day last October, in a glass conference room on the fourth floor of TCS Hall,  the Mites research team argued that the simmering tensions over their project—the heated and sometimes personal all-department emails, Slack exchanges, and town halls—were a normal part of the research process. 

“You may see this discord … through a negative lens; we don’t,” Harrison said. 

I think it’s great that we’ve been able to foster a project where people can legitimately … raise issues with it … That’s a good thing,” he added. 

“I’m hoping that we become the high-water mark for how to do this [sensor research] in a very deliberate way,” said Agarwal. 

Other faculty members—even those who have become staunch supporters of the Mites project, like Lorrie Cranor, a professor of privacy engineering and a renowned privacy expert—say things could have been done differently. “In hindsight, there should have been more communication upfront,” Cranor acknowledges—and those conversations should have been ongoing so that current students could be part of them. Because of the natural turnover in academia, she says, many of them had never had a chance to participate in these discussions, even though long-standing faculty were informed about the project years ago.

She also has suggestions for how the project could improve. “Maybe we need a Mites sensor in a public area that’s hooked up to a display that gives you a livestream, and you can jump up and down and whistle and do all sorts of stuff in front of it and see what data is coming through,” she says. Or let people download the data and figure out, “What can you reconstruct from this? … If it’s possible to reverse-engineer it and figure something out, someone here probably will.” And if not, people might be more inclined to trust the project. 

Widder’s disabled Mites sensors, which he placed in a plexiglass box on his shelf after unscrewing the device

The devices could also have an on-off switch, Herbsleb, the department chair, acknowledges: “I think if those concerns had been recognized earlier, I’m sure Yuvraj [Agarwal] would have designed it that way.” (Widder still thinks the devices should have an off switch.)

But still, for critics, these actual and suggested improvements do not change the fact that “the public conversation is happening because of a controversy, rather than before,” Aronson says. 

Nor do the research improvements take away what Widder experienced. “When I raised concerns, especially early on,” he says, “I was treated as an attention seeker … as a bully, a vandal. And so if now people are suggesting that this has made the process better?” He pauses in frustration. “Okay.” 

Besides, beyond any improvements made in the research process at CMU, there is still the question of how the technology might be used in the real world. That commercialized version of the technology might have “higher-quality cameras and higher-quality microphones and more sensors and … more information being sucked in,” notes Aronson. Before something like Mites rolls out to the public, “we need to have this big conversation” about whether it is necessary or desired, he says. 

“The big picture is, can we trust employers or the companies that produce these devices not to use them to spy on us?” adds Aldrich. “Some employers have proved they don’t deserve such trust.” 

The researchers, however, believe that worrying about commercial applications may be premature. “This is research, not a commercial product,” they wrote in an emailed statement. “Conducting this kind of research in a highly controlled environment enables us to learn and advance discovery and innovation. The Mites project is still in its early phases.”

But there’s a problem with that framing, says Aronson. “The experimental location is not a lab or a petri dish. It’s not a simulation. It’s a building that real human beings go into every day and live their lives.”

Widder, the project’s most vocal critic, can imagine an alternative scenario where perhaps he could have felt differently about Mites, had it been more participatory and “collaborative.” Perhaps, he suggests, the researchers could have left the devices, along with an introduction and instruction booklet, on department members’ desks so they could decide if they wanted to participate. That would have ensured that the research was done “based on the principle of opt-in consent to even have these in the office in the first place.” In other words, he doesn’t think technical features like encryption and edge computing can replace meaningful consent.

Even these sorts of adjustments wouldn’t fundamentally change how Widder feels, however. “I’m not willing to accept the premise of … a future where there are all of these kinds of sensors everywhere,” he says. 

The 314 Mites that remain in the walls and ceilings of TCS Hall are, at this point, unlikely to be ripped out. But if the fight over this project may well have wound down, debates about privacy are really just beginning. 

These exclusive satellite images show that Saudi Arabia’s sci-fi megacity is well underway

In early 2021, Crown Prince Mohammed bin Salman of Saudi Arabia announced The Line: a “civilizational revolution” that would house up to 9 million people in a zero-carbon megacity, 170 kilometers long and half a kilometer high but just 200 meters wide. Within its mirrored, car-free walls, residents would be whisked around in underground trains and electric air taxis. 

Satellite images of the $500 billion project obtained exclusively by MIT Technology Review show that the Line’s vast linear building site is already taking shape, running as straight as an arrow across the deserts and through the mountains of northern Saudi Arabia. The site, tens of meters deep in places, is teeming with many hundreds of construction vehicles and likely thousands of workers, themselves housed in sprawling bases nearby. 

Analysis of the satellite images by Soar Earth, an Australian startup that aggregates satellite imagery and crowdsourced maps into an online digital atlas, suggests that the workers have already excavated around 26 million cubic meters of earth and rock—78 times the volume of the world’s tallest building, the Burj Khalifa. Official drone footage of The Line’s construction site, released in October, indeed showed fleets of bulldozers, trucks, and diggers excavating its foundations. Visit The Line’s location on Google Maps and Google Earth, however, and you will see little more than bare rock and sand. 

The area of The Line, highlighted in yellow, shows numerous excavators in the area (red dots) moving earth to the areas in purple. Blue dots representing construction vehicles can be seen throughout the base for the construction workers. Arrays of solar panels have been shaded in green.
SOAR

The strange gap in imagery raises questions about who gets to access high-res satellite technology. And if the largest urban construction site on the planet doesn’t appear on Google Maps, what else can’t we see?

The Line is as controversial as it is futuristic. Critics doubt the practical and environmental wisdom of building such a massive structure in the desert. And many of the technologies it is supposed to incorporate remain unproven, including cloud seeding, air taxis, domestic robot servants, and seawater desalination using renewable power. And part of the site has been home to the Huwaitat people, who have been evicted from the area to make way. One person protesting their displacement was allegedly shot dead by Saudi security forces, and three more recently received death sentences

Nevertheless, initial construction began in April 2022, and in June The Line’s parent company, Neom, awarded tunneling and blasting contracts for high-speed passenger and freight rail tunnels. 

It was when the drone footage of the early work was released that Amir Farhand, CEO and founder of Soar Earth, started wondering: Where were the high-resolution images of this half-trillion-dollar project? 

Google sources its satellite images from a range of providers, including governmental satellites like the US’s Landsat and the EU’s Sentinel 2, as well as commercial providers such as Maxar and Planet. While the lower-resolution Landsat and Sentinel 2 images were available to download, confirming that some construction activity was happening, at least one private company seemed to have stopped taking high-resolution pictures of The Line’s site sometime in March. 

A closer view of the main camp built to house the construction workers
SOAR

“When we started zooming in, we found that there were significant gaps in Maxar’s coverage,” says Farhand. “In fact, high-definition imagery was nonexistent publicly.” 

Soar then approached some of its users in the open-source intelligence community, who confirmed that they could not access detailed images of the area either. “It wasn’t just us having this problem. It was other people as well,” says Farhand. “That’s when we thought, something has to be up.”

One of the main commercial uses for satellite imagery is to help companies understand how their rivals or entire countries are faring in the global marketplace—to see, for example, “how many cranes are active on the Manhattan skyline right now, or [how many] oil tankers are in port,” says Jamon Van Den Hoek, a geography professor and director of the Conflict Ecology Lab at Oregon State University. 

“If there’s no Maxar images acquired over an area that is experiencing rapid economic investment, something fishy is going on,” Van Den Hoek says. “Probably the simplest solution is that a money interest is purchasing those images at the highest level, where they maintain an exclusive right to them.”

Not everyone agrees. “I’ve not heard of any commercial company trying to restrict things,” says Doug Specht, a geography lecturer at the University of Westminster in London. “My immediate reaction is that no one bothered with high resolution because it’s in the middle of a desert and high-resolution imagery is incredibly expensive to own and distribute.”

Stephen Wood, senior director of Maxar’s news bureau, told MIT Technology Review:  “We do not have any recent high-resolution imagery that has been collected over these areas.” He wrote that the company primarily focuses on its customers’ areas of interest but “when we have available imaging time, we will collect other areas as part of our overall mission to continually update the entire globe with high-resolution imagery. We tend to concentrate first on those areas that exhibit the most change (e.g., cities, etc.) but will fill in those other areas of the globe as well.” 

When asked if customers can obtain exclusive access to Maxar’s images, Wood replied: “The vast majority of everything we collect is placed into our public imagery archive which is a cornerstone of our imagery business. Those images are available for purchase and we ultimately serve our customers via a range of different contract types.”

An area of The Line captured by public and commercial satellites, and seen on Google Maps, doesn’t include the more recent construction.
GOOGLE MAPS VIA SOAR

High-resolution Planet images of parts of The Line do seem to be available for licensing, although none have surfaced publicly on Google Maps to date. 

A Google spokesperson told MIT Technology Review: “We are constantly updating satellite imagery as it becomes available from our imagery providers. Since our providers often focus on cities and places that are more heavily populated, these regions tend to get updated imagery more frequently.” The satellite images on Google Maps cover only about one-fifth of Earth’s surface—but 98% of its population.

While the entire surface of the planet gets photographed multiple times a day at low resolution, the sharpest images from the latest commercial satellites can still cost upwards of $3,000, according to a price list at Apollo Imaging, a satellite imagery aggregator. These are far from comprehensive, and some images are withheld from public access for national security reasons, a process known as shutter control. Many Chinese imaging companies, for example, will not sell any satellite pictures of China, North Korea, Taiwan, or Tibet. 

The Line project is over a 170km long and is planned to house 9 million people once finished.
SOAR

Van Den Hoek says shutter control is also common in humanitarian and conflict contexts: NGOs might try to download a satellite photo of a new refugee camp or a destroyed bridge—imagery that they know has been collected—but find it missing from databases. “What’s happened is that, unbeknown to them, that image has been embargoed by probably the US Department of Defense, which wants exclusive use of it,” he says. 

Whatever the reason for the missing Saudi Arabia imagery, Farhand wanted to find out more about The Line. In October, he paid two Asian startups, CG Satellite in China and 21AT in Singapore, to have their satellites in low Earth orbit take pictures of the construction area. He was blown away by what he saw.

“I thought, holy moly, they’re actually doing it,” says Farhand. “Look at how many trucks are there. Look how much earth is moved. I couldn’t believe how big Neom’s construction camp was.”

Soar used machine vision to count the excavation equipment operating on a single five-kilometer section of The Line, in a mountain valley, and assess its activity. CG’s imagery shows 425 excavation vehicles on The Line itself, and over 650 vehicles on a construction base, over five square kilometers in size, that was built close by to house construction workers. The base is equipped with multiple swimming pools, soccer fields, and cricket pitches; it even has its own solar farm. 

A separate satellite image, taken about 60 kilometers away near the coast, shows shallower excavations and fewer construction vehicles—about 100 over a similar five-kilometer stretch. The eastern end of The Line’s site has seen less activity. 

Soar’s Image analysis of the earthworks suggest that only about half of The Line’s proposed 170-kilometer length, and just a quarter of its final area, has had construction activity to date. While Neom says that The Line will ultimately be 200 meters wide, the sections imaged vary from about 70 to about 150 meters in width. Shadows thrown by the excavations’ walls suggest they extend to a depth of around 20 meters. Buildings 500 meters tall typically have foundations extending 60 meters or more underground. 

Excavators are moving over a million cubic meters of earth from the LINE site to the land nearby.
SOAR

Pointing to a massive causeway being constructed near an alluvial plain at the project’s western end, Farhand notes: “At every part of this project, there’s massive terraforming going on, and some of the stuff is going to indelibly change the environment forever. The question is, have they bitten off more than they can chew?”

Neom did not immediately reply to requests for comment. The initial phase of construction, and the arrival of The Line’s first inhabitants, is currently scheduled for 2030. 

Smartphone data from drivers could help spot when bridges need urgent repairs

Smartphones could be used to monitor the safety of bridges much more quickly and cheaply than currently possible, providing engineers with data they can use to fix the structures before they become dangerously unstable.

Usually, bridges’ state of repair is monitored in one of two ways: either engineers visually inspect them for cracks and faults, or sensors collect data about their vibrations and movements. But a new method developed by researchers at West Point Military Academy and other universities avoids the need for either by collecting accelerometer data from smartphones in cars as they drive over the bridges. 

In tests that involved driving across the Golden Gate Bridge in San Francisco and a reinforced concrete bridge in Italy, they found that just two smartphones could provide data of similar accuracy to 240 stationary sensors. The phones pick up on naturally occurring vibrations from the bridges, allowing researchers to monitor their structural changes over time. Their research is described in a study published in Communications Engineering today.

The researchers estimate that monitoring this sort of smartphone data throughout a bridge’s life could extend the longevity of the structure by 30%, simply by helping maintenance crews to make more timely repairs. 

Making sure bridges are well maintained is vital, as demonstrated just a few days ago when a bridge collapsed in Gujarat, India, killing 135 people. It’s a problem in other countries too. Although bridges in the US are required by law to be visually inspected every two years, that doesn’t eliminate catastrophes like the collapse of the I-35W bridge in Minneapolis in 2007, which killed 13 people and injured 145. 

Maintaining bridges is expensive. There are 600,000 of them in the US, and the organizations that own and maintain them can easily pay $50,000 for sensor equipment alone, with further costs incurred by the need to maintain them and analyze the data they generate. Smartphones are a much cheaper option.

However, work still needs to be done to make this technique a reality, says Ahmet Emin Aktan, a professor of civil, architectural, and environmental engineering at Drexel University, who was not involved in the study. He believes it’ll be a long time before the technique becomes widely adopted. 

Aktan expects visual inspections to remain the primary method of monitoring bridges for the next 10 to 20 years, because both sensors and smartphones can produce data that’s harder to interpret than what engineers see with their own eyes. Even something as ordinary as weather or variations in traffic load can affect the way structures behave and move, which can then affect the data. For example, they become stiffer in colder weather.

But eventually, he says, it’s likely that the industry will want to use a combination of that visual observation with the data collected from smartphones.