Soon, our phones and all of our digital lives were directly linked with law enforcement through AI. We knew about this, and agreed to it because at first they said it was for the safety of our children. We didn't do anything because we were quite used to our private information being shared with mega corporations like Facebook and Google. But soon it was not so much about the children, but about "terrorism", and the safety of society in general, and eventually about the safety of the State. At first, the AI was always overseen by humans. But the numbers were simply too big, and AI was simply too reliable. Just like early YouTube copyright strikes, the AI would act entirely on its own, with no way to contact a human being in case of a misunderstanding.
It was deemed that any enemy of the State is the enemy of everyone. Those who committed crimes were enemies. In China, unpaid debts were considered a crime and carried with it a reduction in your Social Credit Score. Being a Uyghur or being in contact with one was, in itself, reason to be sent to a "reassignment camp" (concentration camp). In Russia, being gay or transexual was a crime and carried a death penalty. In Hungary, homosexuality and pedophilia were made nearly identical by law and carried a lengthy prison sentence and a place in the Registry for life. Other countries used the system to fight political opposition by automatically flagging journalists, activists and even those who held an opposing opinion about the State. Many of these people died in what was often claimed to be suicide, hanging themselves unexpectedly, "accidentally" falling out the window, or suddenly falling ill and dying on long flights with symptoms of muscle weakness and vomiting.
There were two approaches to the situation: like with all things, most people just accepted it and went on with their lives, conforming to the laws as best as they could. You just had to be careful not to criticize the state, or mention your sexual preference to anyone. When talking with others, you just had to make sure that both of your phones was in another room.
A minority vowed to live offline, without a smartphone and with a very limited online presence. Of course this made simple, everyday things very difficult: making and receiving payments, applying for jobs and loans, or even using public transport was made impossible without a smartphone. Even without a phone, the phones of others around you could still hear and see you, and easily triangulate your location, recognize your face and voice, and even your fingerprint if you ever came into contact with them. These people were called "the Offline" and formed their own sub-society within the general society. Cartels formed with various underground groups who were in charge of employing and taking care of the Offline.