It’s hard to explain to someone who didn’t live through it how transformation technology has been. When I was a child a computer was something mysterious. My Dad has managed to work his way up from the shop floor of the shipyard where he worked and into the planning office.
One evening he broad home some computer paper. I was fascinated by the the way the paper hinged on perforations and had tear off side edges that allowed it to be pulled through the printer with plastic sprockets connecting through holes in the paper.
My Dad used to compile and print off work orders using an ICL mainframe computer that was timeshared by all the shipyards that were part of British Shipbuilders.
I used the paper for years for notes and my childhood drawings. It didn’t make me a computer whiz. I never had a computer when I was at school. My school didn’t have a computer lab. I got to use Windows machines a few times in a regional computer labs. I still use what I learned in Excel spreadsheets now.
My experience with computers started with work and eventually bought my own secondhand Mac. Cut and paste completely changed the way I wrote. I got to use internal email working for Corning and internet connectivity when I went to university. One of my friends had a CompuServe account and I was there when he first met his Mexican wife on an online chatroom, years before Tinder.
Leaving college I set up a Yahoo! email address. I only needed to check my email address once a week, which was fortunate as internet access was expensive. I used to go to Liverpool’s cyber cafe with a friend every Saturday and showed him how to use the internet. I would bring any messages that I needed to send pre-written on a floppy disk that also held my CV.
That is a world away from the technology we enjoy now, where we are enveloped by smartphones and constant connectivity. In some ways the rate of change feels as if it has slowed down compared to the last few decades.
China’s ‘Lipstick Brother’ Livestream Has Record $2 Billion Day – BNN Bloomberg – Beauty livestreamer Li Jiaqi aka Lipstick Brother sold $1.9 billion worth of products in one twelve hour show on Taobao. That’s slightly less than the total sales from all four Selfridges stores during 2019. Lipstick Brother is one of a number of live-streaming sales stars like Mr Bags aka Tao Liang. There are clear parallels between Lipstick Brother and informercial stars on US shopping TV. The reason why live-streaming commerce happened was because of the historic iron grip that the Chinese government has held on TV station. This drove audiences online because the content was that bad and there wasn’t a QVC analogue for the likes of Lipstick Brother to appear on. The key difference is in the breadth of products that Lipstick Brother and his peers sell, Lipstick Brother and Mr Bags work with topline luxury brands in their respective categories rather than mid-market brands. It is interesting that Lipstick Brother has managed to survive the communist party’s purge from public life of sissy men across off-line and online media.
China cuts finance pledge to Africa amid growing debt concerns | Financial Times – Chidi Odinkalu, senior manager for Africa at the Open Society Foundations, said the reduced financial pledge showed that Beijing no longer had to try so hard in Africa. “China’s strategic objective was to get a foot in the door. Now that it’s in the door, it can choose to dictate the terms,” he said. He criticised some African governments for relying too heavily on loans from Beijing. “The volume of credit that some of them have binged on makes them dependent beyond any sensible notion of sovereignty,” he said.
South Korean presidential hopeful plays down reunification with north | Financial Times – South Korean ruling party’s candidate for president has downplayed the prospect of the future reunification of the Korean peninsula, as the country’s voters tire of decades of fruitless diplomacy with the North. Lee Jae-myung of the progressive Democratic party, whose manifesto includes a commitment to “seek unification through peaceful measures”, told reporters on Thursday that competition between the two Koreas in terms of ideology and efforts to prove the superiority of each system “has no meaning” and did not offer the prospect of “real gains any more” – potentially a big move from the Moon regime position, also probably linked to a more hawkish position on China
Macau casinos gamble on relations with Beijing | Financial Times – casinos increase the shareholdings held by Macau permanent residents. A speedy public consultation has ended and business is waiting for the final law to be put to the legislature, a process that is also expected to determine how many of the casinos have their licences renewed, and for how long. The situation is particularly troubling for the three Macau casino groups that are largely US-owned: Las Vegas Sands, founded by the late Sheldon Adelson, MGM and Wynn operate nine resorts in Macau, and their local subsidiaries are listed in Hong Kong. Local operators Galaxy Entertainment, the late Stanley Ho’s SJM Holdings and Melco, which is dual-listed in the US and Hong Kong, also hold concessions – guessing that this adds pressure on gaming operators to try and put pressure on the US government rather like Wall Street does for China
Luxury Stores Across the US Hit By Mass Heists in the Same Week – Robb Report – this sounds like a classic example of steaming. Steaming is a British phrase describing the phenomenon of shoplifting, when a large group of (usually youths) enter a store en masse and engage in shoplifting. Steaming puts a strain on shop security, it often causes panic in the store and creates so many suspects for the police to chase down. For the shoplifters steaming reduces the individual risk of getting caught. In large department stores, steaming becomes easier because of the number of exits. There are usually enough people involved to push past hastily set up security checkpoints during steaming. Young people are particularly attracted to steaming for a couple of reasons:
Low risk, high reward
Low impact of criminal penalties for many depending on their age
Peer pressure from other older members organising the steaming group
When I was in secondary school, we had a trip to Paris. A good number of peers one day engaged in steaming. They managed to make off to a large amount of Lacoste and Sergio Tachini sports clothing which was popular in Merseyside at the time. Steaming was also a central part of football casual culture. Much of the sportswear back in the 1980s were fenced goods. Criminal gangs followed European football games and practiced steaming in the lead up to a match at major department stores across France, Spain and Italy. The items were then sold on to groups of football fans back home through informal networks. What surprised me about this group doing the steaming was the nature of their crime. They were steaming boutiques, which have less entrances and exits than department stores. Boutiques often have queues of people to get in and security on the doors that would be bad for practicing steaming.
So what went wrong with store security to prevent steaming? Has steaming been facilitated by a cut back in security for cost cutting purposes? If so, will insurance companies honour losses incurred through these steaming attacks?
Beauty
Prestige beauty: Inside Unilever’s growth engine | Vogue Business – Dana Kreutzer, project lead for beauty and personal care at US research firm Kline, says the acquisition “demonstrates the company’s focus on expanding its portfolio to include more digitally-led brands and clinical-grade skin care, which is a fast-moving segment in the skincare space”.
Opinion | We Spent a Year Investigating What the Chinese Army Is Buying. Here’s What We Learned. – POLITICO – the Chinese military is “intelligentizing” warfare by purchasing AI systems for all manner of applications, including autonomous vehicles, intelligence analysis, decision support, electronic warfare and cyber operations. At the same time, we found reason to be skeptical of the most ominous predictions about China’s efforts to fully automate warfare through “doomsday”-like weapons. Perhaps most importantly for U.S. policymakers, our investigation into the PLA’s buying habits shows how Chinese progress in military AI is being driven, in part, by access to American technology and capital. Our report highlights the critical role U.S. companies play in supplying China with data, software and funding. This points to serious shortcomings in the U.S. export control system, which wasn’t built to screen the high volume of technology transfer and capital flows into China, and which struggles to distinguish between military and civilian purchasers. Even as the United States attempts to decouple supply chains from China when it comes to American goods, it also needs to consider new strategies to prevent American know-how from inadvertently powering China’s technological advancements
In the Russian Arctic, China treads on thinning ice | China Dialogues – In order to reach its goal of becoming a ‘polar great power’ China will need to lessen its dependence on Russian support and expand its economic and political ties with other Arctic states. This may present Arctic states with an opportunity to set limits on China’s regional influence, but the benefits of any such limitation must be measured against the importance of giving China a stake in the fight against climate change. In the traditionally calm waters of the Arctic, China’s ‘Arctic Policy White Paper’ made much of a splash when it was first released in 2018. The paper showed, as was argued at the time by politicians and pundits, that Beijing would seek to establish itself as a new Arctic power, and in the process deprive the eight Arctic states of their control over the region’s abundant natural resources
Solomon Islands PM Manasseh Sogavare faces calls to resign over China diplomatic ties | South China Morning Post – The protest began peacefully, but schools and businesses were shut by the afternoon as crowds tried to enter parliament demanding PM Manasseh Sogavare step down. Protesters were angry about lack of promised development and the Solomons government’s 2019 decision to cut ties with Taiwan and establish a formal relationship with China – the big question is what will China do to keep Sogavare or his party in power and maintain the status quo?
Secret Chinese Port Project in Persian Gulf Rattles U.S. Relations With U.A.E. – WSJ – U.S. intelligence agencies learned this spring that China was secretly building what they suspected was a military facility at a port in the United Arab Emirates, one of the U.S.’s closest Mideast allies, according to people familiar with the matter
Is the China-Europe Express becoming a political weapon in the hands of China? | RailFreight.com – China launched the Belt and Road initiative with the purpose to enhance Eurasian transport links. It includes Chinese cities, transit countries through Asia and European destinations. Understandably, such a vast investment from the Chinese side, including involvement in other countries’ economies, could constitute a political and economic hazard. Maja Bakran Marcich, the Deputy Director-General for Mobility and Transport at the European Commission, had warned some months ago that good synergies between Europe and China should be characterised by mutual respect and control over the power relations.
It seems that when Marcich was saying that, she had a similar situation in mind. The New Silk Road is a crucial and fast-developing part of the global supply chain, putting rail freight at the forefront of transportation. However, it looks like it has the possibility of becoming a dangerous card on the table of diplomatic and political games. Should China have the liberty of just cancelling Eurasian train services in the name of political disputes? And shouldn’t the New Silk Road focus only on transportation purposes?
Chinese doctors query Beijing’s Covid contact tracing policy | Financial Times – the way that the Chinese government is going about it fits in with the concept of struggle in Stalinist thought. That the struggle is not only done but seen to be done. The doctors challenge therefore represents a much more profound dissonant voice against the CPC than the content in the article suggests. For this reason alone, they’ll likely spend some time down at the local public security office sitting in a tiger chair and agreeing to sign a document apologising. They will also have earned a huge black mark on their credit score at the very least.
Kevin Rudd: “China views the UK as weaker after Brexit” – New Statesman – three core ideological undercurrents that form Beijing’s economic and foreign policy. First, China’s domineering relationship with its neighbours is shaped by its perception that it sits atop a regional hierarchy rooted in its imperial past. Second, the Chinese Communist Party’s Marxist-Leninism results in the dual conclusions that China’s time has come and the struggle between reactionary and progressive forces places China in opposition to the United States. The third undercurrent is national reunification with Taiwan – what Rudd describes as the central organising principle of China’s plans for East Asia first and then globally. Hence China’s work in the Antarctic and inserting itself as an Artic power without any semblance of claims.
China Is Jihadis’ New Target – In early October, an Islamic State-Khorasan bomber killed nearly 50 people at a mosque in Kunduz, Afghanistan. That the militant group claimed responsibility for the attack wasn’t surprising, but, in a worrying new twist for Beijing, it also decided to link the massacre to China: The group said that the bomber was Uyghur and that the attack was aimed at punishing the Taliban for their close cooperation with China despite its actions against Uyghurs in Xinjiang. China was long seen as a secondary target by international terrorist organizations. Groups like al Qaeda and the Islamic State were so focused on targeting the United States, the West more generally, or their local adversaries that they rarely raised their weapons toward China, even though they may have wanted to due to, for example, China’s mistreatment of Uyghur Muslims. But in Kunduz, this narrative was brought brutally to a close. China can now consider itself a clear target. – probably more worrying for China is the risk that this kind of action will pose to them in other geographies like the Middle East and Africa and along the parts of the belt and road that go through restive muslim majority regions of the former Soviet Union
Why Is Gen Z Acting Like Boomers Right Now? – Gen Z’s frantic, chain email-flavored TikToks prove naivety and gullibility is ageless. Not surprising given the younger cohorts in the resistor segment of COVID regulation compliance that research by Kings College London found last year.
Chinese parents find new ways to give their children an edge | Financial Times – parents have been seeking new ways to give their children an edge in the cut-throat university entrance examinations. Instead of signing up for foreign language classes, barred by the regulations, parents instead opt for non-core curriculum subjects like art, which are taught in English, says Ekaterina Kologrivaya, co-founder of Edtech Expand, a Beijing-based consulting start-up. Many of the large tutoring companies have closed their physical classrooms, transferring online to save costs. But Beijing barred local firms from hiring tutors located overseas, driving up demand for the depleted number of foreign teachers in China, unable to get into the country due to strict border controls. This has pushed up the prices of classes taught by foreigners, including debate classes, another crafty way for students to master prized English skills while abiding by the new rules
Is China’s catch-up growth over? – by Noah Smith – Noahpinion – But all things come to an end. Every other spurt of rapid development has eventually slowed to the stately pace of a mature economy. There are basically two reasons this happens. First, as you build more physical capital — more buildings, roads, railways, machine tools, vehicles — the added output of each new piece of capital goes down, while the upkeep costs just keep rising. This is the basis of the famous Solow growth model, and we’ve seen this happen again and again to fast-developing countries. The second reason rapid growth peters out is that it’s easier to copy existing technologies from other countries than to invent new ones yourself. The real question is when this slowdown happens. Japan’s history provides an interesting example here. Here’s a graph of Japan’s income per capita (at purchasing power parity) as a fraction of America’s: You can see that Japan’s catch-up (at least, post-WW2) really happened in two phases. There was rapid catch-up until the early 1970s, then a few years where catch-up paused, then a resumption of catch-up at a slower pace for about 15 more years. After the bursting of the country’s famous land bubble, its economy actually lost ground to the U.S. (rapid population aging was also a big part of this), and settled in at around 75% of U.S. levels (fairly standard for a medium-sized developed country). Economists have found that this pattern is very typical. In a pair of famous papers in 2012 and 2013, Barry Eichengreen, Donghyun Park and Kwanho Shin found that fast-growing countries tend to slow down when they reach a certain income level – peak China
Finance
The ‘Tesla-financial complex’: how carmaker gained influence over the markets | Financial Times – the real importance and wider footprint of what might be called the “Tesla-financial complex” far outstrips the company’s market capitalisation. This is thanks to a vast, tangled web of dependent investment vehicles, corporate emulators and an enormous associated derivatives market of unparalleled breadth, depth and hyperactivity. Combined, these factors mean Tesla’s influence over the ebb and flow of the stock market is far greater than even its size would imply. It may even be historically unrivalled in its wider impact, some analysts say – is there a market squeeze opportunity? The parallels with Porsche in this regard are striking
Close Reading of the QAnon Shaman’s Conspiracy Manifesto ‹ Literary Hub – the legitimate skepticism inspired by historical events like the assassination of JFK (and the Warren report’s open-and-shut verdict on it) has mutated into a toxic skepticism that is not only hostile to government institutions but has turned on gatekeepers like the press, scientists, and medical authorities, provoking an epistemological duel to the death over facts and alt-facts, truth and truthiness. The effect of these attacks and counterattacks is “mutually assured disqualification,” Bratich argued, in a 2017 lecture, punning on the Cold War doctrine of Mutually Assured Destruction. And the effect of that is what could be called epistemological vertigo—the pervasive sense of not knowing how to sort fact from falsehood; of being unmoored from the truth. It’s what makes so many grab onto the reassuringly black-and-white theology of conspiracism. And it is a theology, Manichean in its cosmic struggle between good and evil, apocalyptic in its conviction that we’re living in the end times. “There is a war on humanity, there is a war on religion, there is a war on human assembly,” said Naomi Wolf, on Fox News Primetime. “Big Tech wants to drive everyone indoors and dissolve the bonds between people.” – interesting, though the writer shows their own belief in conspiracy theories
Carbon Counter/EVs: cleaner electricity makes a big difference to emissions | Financial Times – In the UK, US and Germany such vehicles offer large emission reductions of 76 per cent, 60 per cent and 49 per cent respectively when run on the typical mix of power sources in mains electricity. Germany’s poor performance reflects its exposure to dirty lignite and coal as fuels. Hydroelectric-dependent countries such as Norway do strikingly better. However, a much smaller reduction in emissions occurs in China, at less than a fifth. China has the biggest market for plug-in cars. Fully electric vehicles accounted for 9 per cent of its entire market in the first half of this year, more than double the figure for 2019. Every year it adds more solar power capacity than any other nation. But as of November 2020, two-thirds of China’s electricity came from coal-fired generation, says the IEA. China’s huge appetite for coal means it plans to add almost a fifth to its coal-powered generation capacity of more than 1,000GW.
Disney CEO: We’re Ready for a Metaverse Future – The Hollywood Reporter – “Our efforts to date are merely a prologue to a time when we’ll be able to connect the physical and digital worlds even more closely, allowing for storytelling without boundaries in our own Disney metaverse, and we look forward to creating unparalleled opportunities for consumers to experience everything Disney has to offer across our products and platforms, wherever the consumer may be.”
Facebook Changes Corporate Name to Meta – The New York Times – Zuckerberg has been committed to building the metaverse, a composite universe melding online, virtual and augmented worlds that people can seamlessly traverse. He has said the metaverse can be the next major social platform and that several tech companies will build it over the next 10-plus years. The name Meta is indicative of Facebook’s ambition for being the platform that is the metaverse.
The problems facing the metaverse aren’t going to be just solved by Moores law and software alone. There are needed to be technology improvements in battery chemistry and optics. Hardware engineers from Meta have their own concerns about developing the metaverse.
Facebook’s Meta mission was laid out in a 2018 paper on The Metaverse – Oculus executives highlighted what a commercial metaverse would look like, that some think is a blueprint for Meta’s ambitions today. Meta won’t be a move away from Facebook’s current problems with regards privacy and social cohesion. Though one of the first moves of Meta was to shut down Facebook’s legacy facial recognition system.
Interesting debate on the competing viewpoints of the Biden administration and China
Asia Society panel discussion featuring Lingling Wei, chief China correspondent for The Wall Street Journal and co-author of Superpower Showdown; Ryan Hass, senior fellow and the Michael H. Armacost Chair in the foreign policy program at Brookings; and Yasheng Huang, Epoch Foundation Professor of Global Economics and Management at MIT Sloan School of Management
What if Xi Jinping just isn’t that competent? – by Noah Smith – Noahpinion – you can’t argue that Xi Jingping isn’t at least competent as a political operator, but some of the other points in here are valid to a point. But part of it is better understood if one asks if Xi Jingping is a true believer in Stalinism and the answer would be yes. You could also use it to argue that we’re close to hitting peak China and then the country will decline disgracefully rather like the UK did post British empire
Sex Differences in Work Aspirations – Marginal REVOLUTION – more developed and gender equal nations are better than less developed nations in attracting boys to more established things-oriented (often blue-collar) occupations, but they fail to attract girls to these areas. This problem is also occurring for the subset of things-oriented STEM occupations. In fact, the problem for STEM is even more profound, given that interest in STEM declines for both boys and girls in more developed, innovative, and gender equal nations.
Mobile internet and political polarization – Marginal REVOLUTION – the mobile internet polarized the Left, but not so much the Right. What polarized the Right was…the polarization of the Left, and not the mobile internet. And please do note this sentence: “This increase in polarization largely did not take place among social media users.” It seems that on-line versions of older school media did a lot of the work
Data Shows Younger People Aren’t Reporting Cybercrimes / Digital Information World – members of the younger generations, namely Gen Z and Millennials, are less likely to report a cybercrime once it gets committed against them. Baby boomers are the most likely to report a cybercrime since 64% of them said that they had done so, and the proportion was much lower for Millennials who only report cybercrime 32% of the time. Things become even more dismal when you look at Gen Z, colloquially known as “zoomers” in internet parlance, who only report cybercrimes 21% of the time. One reason for this might be the fact that, having grown up with the internet, Millennials and Gen Z members don’t realize that online security is not something that you can take for granted – or that they believe that insecurity is part and parcel of internet life now
Culture
‘Italo Disco’ Was About More Than Boogie Nights: Alessandro Melazzini – Variety – his analytical doc makes clear, it’s easy to underestimate the importance of independent, non-ideological escape music. The 80s have been seen as a superficial decade,” Melazzini says. “With time you have another approach to that period, which was more than just silly. It was also a time of optimism, experimentations, promises, illusion. And genius creativity.”
Design
New Japan-Only Miata Asks You To Trade Power For Lightness | Jalopnik – I love this design philosophy: “horsepower and fun are not proportional, but lightness and fun are proportional, and if horsepower is increased, the body etc. must be strengthened, so it will inevitably become heavier. The lighter the car, the more fun the car is, and I think this Roadster is the best now if you enjoy driving.”
Secretive MoD ‘banking’ unit helps UK wage economic warfare | Financial Times – “People who worked in banking in the late 1980s will tell you that between Friday and Monday when the Berlin wall came down, people they thought were West Germans working on trading floors and in M&A departments just disappeared,” Keatinge said. “They were actually working for [East Germany’s] Stasi, gathering information about the financial activity in the City of London. You can be sure the same thing is happening now with the Chinese.”
Opinion: Everybody Is Still Greenwashing, But That’s Not What ESG Stands For. – the recent announcement from Kering banning the use of fur from all its collections and all its brands. It clearly did not have the impact that Kering would have hoped for. Although this would have been a big move internally, the public is now expecting more and is calling for a genuine rethinking of global systems and metrics that define success beyond financial gains to shareholders. Banning fur just isn’t enough for the Greta Generation – but how important are they for customers?
Germany’s Economy, Once Europe’s Engine, Is Holding It Back – WSJ – After years of belt-tightening aimed at honing competitiveness, German businesses and the country’s public infrastructure are suffering from underinvestment, economists say. Germany’s net investment rate has been around 0.5% of economic output since the turn of the century, compared with about 1% for Italy and 1.5% for the U.S., according to the World Bank. German net public investment has fallen below zero as existing assets depreciate
Reforms in Hong Kong Encourage Homecoming of Offshore Funds | Winston & Strawn LLP – In July 2021, the Hong Kong government gazetted a fund re‑domiciliation mechanism to encourage offshore funds set up in corporate or limited-partnership form to register in Hong Kong as OFCs and LPFs, respectively. This mechanism does not create any new legal entity; therefore, it does not require the dissolution of the original funds or require investors to exchange their interests from the old fund to the new fund. Upon re‑domiciliation, these funds would be de‑registered in the original place of incorporation and would have the same rights and obligations as any other newly established OFCs and LPFs in Hong Kong. The Wealth Connect, which formally commenced trading on September 10, 2021, allows Hong Kong-domiciled funds to be offered to mainland Chinese investors in the Guangdong-Hong Kong-Macao Greater Bay Area. This adds to the Mutual Recognition of Funds scheme, which started in 2015, allowing Hong Kong-domiciled funds to be distributed in mainland China. These connect schemes serve as another incentive to encourage fund managers to re‑domicile offshore funds to Hong Kong
The soft bigotry of America’s cultural left | Financial Times – imposing conformity through intimidation is not what is supposed to happen in democracies, still less on their most-prized campuses. Crushing free thought is McCarthyism. This new consensus is profoundly illiberal. It treats a person’s race as their primary fixed identity and assigns roles on that basis. This obliterates the individual moral autonomy on which liberalism rests. Since everything in society boils down to race, everything must change. California, for example, is trying to alter its mathematics curriculum to downplay the idea there are right and wrong answers in the science. The debate is fuelled by a proposal for new math standards called “A Pathway to Equitable Math Instruction”. The framework states that “objectivity”, “worship of the written word”, and “either/or thinking” are tools of white supremacy
The Deep Dive: “Hyper-Customisation In Health and Wellness Has Become The New Luxury.” – Another is working out which kind of digital technology will enable the clinic to stay connected with its clients, for example, wearables. “This is going to be a big challenge for us in the future because we have to have a tool which really works and that is really used by our clients.” Whatever the future of health and wellness may look like, what remains certain is that it will be driven by what the client demands. And what the client demands, Clinique La Prairie delivers. “At the end of the day, what our customers want are benefits to their wellbeing, not just during their time at the clinic but when they are back home,” said Gibertoni.
Media
Banker Guy Hands: ‘I’m scared of ending my life having not achieved’ | The Times – We had an enormous number of people working on the Stones and we weren’t making much money – they are a catalogue band. The new albums didn’t sell, and the income from old CDs was small. What really worked for the Stones was touring. The bid we had in mind for their new contract – the bid we thought made economic sense – was unlikely to be what they were hoping to achieve. The only way we could pay them more was if they did some TV work for us, put their name on a computer game and gave us a share of their concert revenues
New Facebook Storm Nears as CNN, Fox Business and Other Outlets Team Up on Whistleblower Docs — The Information – Upcoming news stories based on thousands of Facebook documents—which whistleblower Frances Haugen worked to release to more than a dozen news organizations as diverse as the Associated Press, CNN, Le Monde, Reuters and the Fox Business network—aren’t likely to be as revelatory as those epic leaks of time past – this drop has been carefully thought through to maximise scrutiny of Meta
Haugen claims backed by new Facebook whistleblower filing with SEC – The Washington Post – Facebook officials routinely undermined efforts to fight misinformation, hate speech and other problematic content out of fear of angering then-President Donald Trump and his political allies, or out of concern about potentially dampening the user growth key to Facebook’s multi-billion-dollar profits.- drip, drip, drip and the Meta rebrand won’t stop it. At least in America it can rely on bipartisan disagreement to keep it from being regulated.
Facebook Conducted An Experiment In Which It Turned Off The News Feed Algorithm, To Surprising Results / Digital Information World – Engagement dropped like a stone in an ocean, Groups ended up becoming more popular than ever before, and Facebook made even more money per user, once they actually went through their News Feeds. This sort of behavior seems to almost mirror the internet landscape we have today. Platforms such as Reddit have skyrocketed in relevancy, because they provide an enhanced version of Groups. They also make a lot of money on this premise, despite having much fewer active users than Facebook did back in 2018. – It will be really hard for Meta to live these findings down
US intelligence officials warn companies in critical sectors on China | Financial Times – many businesses were not aware of the direct and hidden links between Chinese companies and universities and state security, or that Beijing was using a “whole of government approach” to obtain technology – more likely that these businesses don’t care and they will continue not to care unless financial and judicial penalties are put in place
Exclusive: Amid national security concerns, US slaps overhead time limits on satellites – Breaking Defense – Industry officials further argue NOAA’s ruling will stifle the ability of US firms to claim a leading edge in the growing global market for near real-time imagery products. The use of sat imagery to track terrestrial change has long been in use by the US government and even commercial firms. The ability to do so with ever increasing timeliness is what is new in the commercial market, and what is worrying DoD and IC officials is that those burgeoning capabilities mean there soon will be no place safe from prying satellite eyes.
North America Is Biggest Ransomware Target, Chainalysis Says – Bloomberg – This quote in the article about ransomware stood out to me: “The number of bad actors responsible for these widespread attacks is surprisingly small,” the report said. By taking action against the biggest players in groups such as infrastructure providers and money launderers, it said, “law enforcement can have an outsized impact and disrupt the operations of multiple strains.” – If ransomware was treated as war by other means that it actually is, rather than thinking of it as a law enforcement problem, things might get better. It would require the west to target ransomware payment rat runs and take out its key ransomeware players through covert means
Elite Capture of Foreign Aid Evidence from Offshore Bank Accounts Jørgen Juel Andersen Niels Johannesen Bob Rijkers – disbursements to highly aid-dependent countries coincide with sharp increases in bank deposits in offshore financial centers known for bank secrecy and private wealth man- agement, but not in other financial centers. The estimates are not confounded by contemporaneous shocks such as civil conflicts, natural disasters, and financial crises, and are robust to instrumenting with predetermined aid commitments. The implied leakage rate is around 7.5 percent at the sample mean and tends to increase with the ratio of aid to GDP. The findings are consistent with aid capture in the most aid-dependent countries.
Among the Taliban: a soldier-turned-writer’s journey through Afghanistan | Financial Times – I’ve benefited from the west. I had to fight, though; it has not been easy, but I hate being a victim. People kicked my head in. I kicked theirs in back. Things improved after I left my hometown of little opportunity in 1997. The Pakistani boys left back there are told to pull their socks up, get called Pakis, are accused of turning England into an Islamic state, forced into marriages, have fingers pointed at them by politicians when it’s convenient, and today they’re being told to change from being undereducated town-dwellers to remote coders for international tech companies. Yeah, right. A plane ticket to a war zone is much easier – great essay in the Financial Times
Vietnam’s factories lurch into crisis from worker exodus with holiday shopping on the line | South China Morning Post – thousands of workers – originally from the poorer parts of the country – who are leaving for their hometowns, an exodus that has left business owners in a state of panic over labour losses. Of the 3.5 million migrant workers employed in Ho Chi Minh City and its neighbouring provinces, 2.1 million want to return home, according to state media reports – explains Nike’s problems indicates that its systemic rather than brand or sector based in nature
六四記憶‧人權博物館 8964 Museum – 8964 Museum is a site ran from outside Hong Kong that acts a memorial for events running up to the June 4th 1989 protests in Beijing’s Tiananmen Square. The 8964 museum site was originally built predominantly for a local Chinese audience in Hong Kong. The reason why its 8964 is because Chinese language is quite logical about structure. You go big to small, hence June 4th, 1989 is 4/6/89 in the UK and 8964 in Chinese. The 8964 Museum is a really nice piece of web design. The 8964 Museum goes back and shows the history of China from the founding of the People’ Republic through the 1989 student and worker’s protests and beyond. The 8964 museum is now blocked in Hong Kong.
China’s Supreme People’s Court has Ruled against Apple, allowing a lawsuit to Proceed on Antitrust Grounds – Patently Apple – the decision by China’s top court to allow the lawsuit to be considered by the Shanghai court could signal more trouble ahead for Apple in China, which now accounts for a fifth of its iPhone sales. Wang Qiongfei, Jin’s attorney, told the South China Morning Post in a telephone interview that a hearing is expected to take place in Shanghai next January. You Yunting, a senior partner at Shanghai Debund Law Firm, said that the top court’s ruling could have a far-reaching impact. “I think this case has established a new principle namely that antitrust cases are also rights infringement cases and thus can be adjudicated by local courts.”
China Wields New Legal Weapon to Fight Claims of Intellectual Property Theft – WSJ – Chinese courts granted so-called anti-suit injunctions blocking foreign companies from taking legal action anywhere in the world to protect their trade secrets…At Xiaomi’s request, a Chinese court in Wuhan issued an injunction barring InterDigital from pursuing its case against Xiaomi—in China or anywhere else. If InterDigital persisted, the Chinese court said, it would face fines equivalent to roughly $1 million a week.To trade lawyers and others who have tangled with Chinese companies over intellectual property, the InterDigital case is the latest sign of how China disregards the patents, copyrights and trade secrets of foreign companies
Why China Is Alienating the World | Foreign Affairs – even more striking than the backlash against China has been the country’s inability to recalibrate. Beijing’s response to the rapid deterioration in ties with Canberra was to confront Australia with a list of demands that it said were prerequisites for improving relations. China’s leaders have also repeatedly stressed that any improvement in relations with the United States must begin with concessions from Washington and issued Deputy Secretary of State Wendy Sherman a similar list of demands when she visited Tianjin in July. Officials in Washington have begun to see Beijing’s inability to shift course as an advantage in the emerging competition between the two countries – less an inability than no desire, this is more about culture. I was reminded of Huawei’s ‘shut up‘ incident a number of years ago
Conscientious Korean consumers demand the full package | Campaign Asia – “Now more than ever, consumers are evaluating brands across multiple dimensions of functionality, personal relevance and collective contribution,” Mali Wuestenhagen, senior media director at Essence Korea, told Campaign Asia-Pacific. “The term ‘meaningful brands’ is gaining increasing importance. Consumers are looking for unique brand experiences, and not just product and service excellence. To connect with consumers on a deeper emotional level, brands’ values need to resonate strongly with consumers. Brand authenticity and brand responsibility are equally important factors in driving positive consumer sentiment.” – COVID affected brand relevance
Project MUSE – Perceptual Divided Leviathan and the Modes of Political Participation in China – citizens’ varying degrees of participation across a range of political activities. It considers the perceived Chinese divided leviathan as a crucial cognitive shortcut for ordinary citizens to assess the uncertain activism environment, estimate the relative costs and benefits of different political activities, and strategize their participation portfolios. Using nationally representative survey data, the article exploits latent class analysis to uncover four distinct mass participatory modes—outsiders, conventionals, agitators, and activists—and examines the impact of perceptual government trustworthiness and integrity on modal transition. The empirical results reveal that citizens’ perceptions of a division between the central and local government affect their choice of participatory activities but not their overall participation levels: people who perceive a greater integrity division tend to engage the state in an agitative and contentious mode, and are less likely to do so in an institutionalized, conventional mode
Did Communism Smash the Patriarchy? – In China, the government has maintained a monopoly of violence, rule of law and public trust. Men needn’t present as thuggish. But progress towards gender equality is still held back through the suppression of civil society. Taiwan and South Korea demonstrate what women can achieve when economic development is combined with democratisation and feminist activism. As Taiwanese women amassed wealth, status, and networks, they organised politically. Feminist lobbying secured gender quotas. Twice-elected Tsai Ing-wen now presides over a legislature that is 42% female. With strong female representation, the Government of Taiwan has strongly entrenched protections for women’s rights, criminalising sexual harassment. In South Korea independent civil society and religious groups were never fully suppressed under the military dictatorship. Anti-government coalitions of workers, students, priests, intellectuals, and farmers gained strength over the 1970s and 80s. South Koreans have now consolidated democratisation, on par with the UK!! South Korea’s strong civil society laid the foundations for today’s feminist activism. 340 women’s organisations, labour unions and NGOs launched ‘Citizens’ Action with MeToo & campaigned ‘With You’. Recognising their collective strength and successes, women increasingly agitate for accountability. In 2018, 20,000 women marched against spy-cams (up-skirt and hidden cameras in loos) and revenge porn (which is then circulated online). This led to more government attention, a ministerial committee, and more police investigations. China lags behind, with the weakest protections against gender based violence. – things will get worse when the government has to come up with inventive ways to make the 3 child policy work
Open Architecture: The husband-and-wife design duo redefining China’s cultural landscape – CNN Style – Beijing-based practice Open Architecture, are responsible for some of the last decade’s most thought-provoking Chinese arts destinations. Best known for transforming a series of aviation fuel tanks into a popular riverside gallery in Shanghai, the pair’s understated theaters and performance spaces offer a welcome dose of subtlety in a country with skylines all too often blighted by bold statements. “It’s about making a dialogue between us, as humanity, and nature,” Li said in a video interview.
Economics
Harper’s Magazine – Unmade in America — Open Markets Institute – America’s manufacturers spent those same happy years shifting many basic operations right off their factory floors. And by this I don’t mean simply offshore but right out of the company, along with the responsibility to make sure their world-spanning assembly lines always run right. Like Enron, our manufacturers did so largely to pump up the value of their stocks. And, like Enron, they will probably get to watch one day as their empty edifices collapse. Unlike Enron, however, this crash may bring down a lot more with it than one or a few companies. The global assembly lines that manufacturers such as Dell, Ford, Motorola, and Intel have so expertly engineered these last few years—in which, say, a single semiconductor might be cut from a wafer in Taiwan, assembled in the Philippines, tested in China, fit into a subcomponent in Malaysia, plugged into a component in Brazil, and loaded with a program designed in India—are just as audaciously complicated as any of Enron’s financial schemes. Yet because manufactured goods are so much less fungible than money, these systems are vastly more vulnerable to the mysterious mutterings of God or the deliberate hand of man and state – this was written back in 2002
Hidden Performance: Salary History Bans and Gender Pay Gap by Jesse Davis, Paige Ouimet, Xinxin Wang :: SSRN – As of 2019, salary history bans have been enacted by 17 states and Puerto Rico with the stated purpose of reducing the gender pay gap. We argue that salary history bans may negatively affect wages as employers lose an informative signal of worker productivity. We empirically evaluate these laws using a large panel dataset of disaggregated wages covering all public sector employees in 36 states and find, on average, salary history bans lead to a 3% decrease in new hire wages. We find no decrease in the gender pay gap in the full sample and a modest 1.5% increase in the relative wages of women, as compared to men, among new hires most likely to have experienced gender discrimination historically.
Ethics
Apple’s fortress of secrecy is crumbling from the inside – The Verge – on Apple’s culture – executives make decisions about how the company will function, and employees either fall in line or leave. What choice do they have? Apple is currently worth $2 trillion, making it the most valuable company in the world, as well as one of the most powerful. Over the past few months, however, that culture has started to erode. As workers across the tech industry advocate for more power, Apple’s top-down management seems more out of touch than ever before. Now, a growing number of employees are organizing internally for change and speaking out about working conditions on Twitter. “There’s a shift in the balance of power going on here,” says Jason Snell, the former editor of Macworld, who’s been covering Apple since the 1990s. “Not everyone is afraid that their boss at Apple is going to fire them. They’re saying, ‘I’m going to say some bad things about Apple, and if you move against me, it’s going to look bad for you.’”
Murky waters: What next for the AUKUS nations and their allies? — 9DASHLINE – The development of global financial architecture in recent decades has transformed the transnational arena such that the old rules don’t necessarily apply. As the AUKUS announcement was being made, Russia’s political opposition was being undermined by groups including Google and Apple, who removed tactical voting apps for the country’s election. As attention in the US turns to the implications of growing Chinese power, the Chinese Embassy there can depend on Squire Patton Boggs, a lobbying firm in its pay. Included on the firm’s roster is the retired speaker of the House and one of the best-connected politicians in the US, John Boehner. Chinese leaders themselves are supported by a cast of western enablers who help secure their substantial fortunes offshore, most frequently in the British Virgin Islands
LinkedIn Global Head of Luxury: “Audiences Are Looking For More Storytelling From Brands.” – ‘In the five years since Tatiana Dupond joined LinkedIn, the social media platform has become a key destination for luxury brands to communicate their messaging to its highly engaged audience. She speaks to Luxury Society about how brands can further the experience for their followers through richer storytelling and more meaningful content.’
The Deep-Dive: The Luxury Market Is Rebounding. Will It Last? | Luxury Society – Louis Vuitton, Chanel, Cartier and Hermès, to name but a few, have all seen a rise in brand desirability, according to data compiled by DLG, which found that Google searches for the brands have grown by 15 percent, 11 percent, 39 percent and 21 percent respectively, from January 2021 to June 2021, compared to a year earlier.
TELFAR.TV – rather than write my take here’s Matt Muir’s: – this is an interesting bit of marketing from them, which is in part MEDIA EMPIRE stuff and in part a smart way of stopping bots from snapping up new stock for the resale market. Telfar TV is an online stream of…stuff, the gimmick being that it’s like public access cable insofar as anyone can submit video to be featured on the platform. Among the UGC stuff (I have only seen a couple of things and they are…I mean, look, let’s just say there was a STRONG AESTHETIC and if I were more inclined to look at video art then maybe I would have appreciated it more) will be scattered occasional QR codes which act as gateways to buy limited merch drops, in smart, bot-proof style. This is a super-interesting idea, which will almost certainly die a death based on a lack of people submitting content – I would add that they could also raid the internet archive for filler video content….
Adam Curtis: Social media is a scam | Idler – I’ve always thought John Le Carré did spies a great service because he made it seem as if there were endless depths of mystery and darkness when in fact, if you’ve ever researched the spies, they are (a) boring and (b) useless. I mean really, really useless. I researched MI5 once and they hardly ever manage to capture any traitors… it’s usually someone else who points them in the right direction. And in a way I think that’s true of this. The tech companies are powerful in the sense that they’ve got hold of the internet, which people like me think could be a really powerful thing for changing the world and disseminating new ideas, and they’ve got it in this rigid headlock. To do that, they’ve conned everyone into thinking that their advertising is worth it. And in the process, they’re destroying journalism – I would disagree with some of Curtis’ assertions but this feels right in terms of how they’re seen in terms of policy wonks now
Shein exemplifies a new style of Chinese multinational | The Economist – Xu Yangtian had none of their tailoring experience when he founded Shein (pronounced she-in) in 2008. Instead, the creator of the fashion world’s latest sensation was a specialist in search-engine optimisation. This expertise helped Mr Xu gain an understanding of how to draw shoppers’ attention in the digital world. And he has understood this very well indeed, bringing to an audience of rapt Western fashionistas a Chinese style of “social commerce”, which combines social media with online shopping. Add in a revolutionary approach to manufacturing and the results have been spectacular. In 2019 Shein’s gross merchandise volume (GMV), e-commerce groups’ preferred measure of total sales on their platforms, was $2.3bn, estimates to Zheshang Securities, a Chinese broker. This year it is forecast to surpass $20bn. By 2022 analysts expect Shein’s GMV to overtake Zara’s revenues. In May Shein was the most downloaded shopping app in America, overtaking Amazon
Security
C.I.A. Admits to Losing Informants – The New York Times – blames over optimism about their own abilities, under-estimating opponent intelligence services and over-optimism. What’s in the back of my mind is how much their electronic networks are compromised and how many are now double agents
US has already lost AI fight to China, says ex-Pentagon software chief | Financial Times – blamed the reluctance of Google to work with the US defence department on AI, and extensive debates over AI ethics for slowing the US down. By contrast, he said Chinese companies are obliged to work with Beijing, and were making “massive investment” into AI without regard to ethics. Chaillan said he plans to testify to Congress about the Chinese cyber threat to US supremacy, including in classified briefings, over the coming weeks. He acknowledged the US still outspends China by three times on defence, but said the extra cash was immaterial because US procurement costs were so high and spent in the wrong areas, while bureaucracy and overregulation stood in the way of much-needed change at the Pentagon
Study: Despite uptick in telehealth use, patient satisfaction sags – News – MM+M – Medical Marketing and Media – Learning more about unsatisfied patients can help healthcare marketers tailor efforts to reach them more effectively. To that end, the survey found that the industry provided uneven care to patients, with those deemed higher-risk – ones who self-reported their health as fair or poor – having lower satisfaction with telehealth offerings than people who self-reported their health as excellent.In addition, patients in better health were more likely to better understand information conveyed during telehealth visits and characterize these visits as more personalized.“The onus is on the telehealth industry to understand the analytics behind who these members are, and what sort of level of services they need that can be tailored to their healthcare conditions,” Beem said. – I wonder how this compares to in-person visits?
iPhone 13 Customers Sold On Longer Battery Life | Investor’s Business Daily – “Desire for a better battery life is the most popular reason for upgrading,” Daryanani said. “5G was not a popular reason for upgrading this year likely because 5G excitement in the U.S. remains well below the levels in China.” and working from home with your handset on wifi won’t help that sentiment