Showing posts with label Google. Show all posts
Showing posts with label Google. Show all posts

Tuesday, September 9, 2014

Peter Thiel: 'Capitalism and competition are antonyms'

I'm not a fan of Peter Thiel, but in his rich guy's hubris he doesn't mind shattering a few conservative, pro-business myths when warmed up by an interviewer. Such as this one [emphasis mine]:

One-of-a-kind companies are monopolies. Every successful zero to one company that achieves a breakthrough is by definition going to be a monopoly. Monopolies are great companies. Super competitive ones are not.

In my view, capitalism and competition, which are said to be synonyms, are really antonymsIn a world of perfect competition, all the capital is competed away. Capitalism is really about the accumulation of capital.

Google is a very capitalist company. They have had no competition since 2002 when they definitively distanced themselves from Microsoft or any other competitor.

On the other hand, if you were to open a restaurant in San Francisco, it would be a very competitive business, but not a very capitalist one.

For this reason, some more thoughtful conservatives such as Pat Buchanan prefer to use the distinguishing term "free enterprise" instead of capitalism, because capitalism is not really something that most people on Earth will ever really participate in as free agents. (HT: Karl Marx). 

Moreover, capitalism requires constant growth (return on capital) or it will die, whereas free enterprise does not necessarily, hence capitalism's endless hunger for technological innovation, new markets, tax gimmicks or anything to give a return on capital to investors. 

In contrast, by opening the 10th lemonade stand (or Starbucks) on the block, somebody could be said to be participating in the system of competitive free enterprise, even if their chances of success are slim to none. The lemonade stand's owner could hardly be considered a "capitalist."


By Nathan Gardels
September 8, 2014 | The WorldPost

Tuesday, August 19, 2014

Web pioneer: Can the 'Net's 'original sin' be undone?

As the Internet as we know it turns 20, one of the Internet's pioneers (and inventor of hated pop-up ads) hopes it's not too late to build a different kind of Web, one not built on ad revenue:

I have come to believe that advertising is the original sin of the web. The fallen state of our Internet is a direct, if unintentional, consequence of choosing advertising as the default model to support online content and services. Through successive rounds of innovation and investor storytime, we’ve trained Internet users to expect that everything they say and do online will be aggregated into profiles (which they cannot review, challenge, or change) that shape both what ads and what content they see. 

Building the Web on ads leads directly to the thing we like the least about it: lack of data privacy:

Once we’ve assumed that advertising is the default model to support the Internet, the next step is obvious: We need more data so we can make our targeted ads appear to be more effective. CegÅ‚owski explains, “We’re addicted to ‘big data’ not because it’s effective now, but because we need it to tell better stories.” So we build businesses that promise investors that advertising will be more invasive, ubiquitous, and targeted and that we will collect more data about our users and their behavior.

Even so, Zuckerman admits that our ad-supported Web has made it "flat" and accessible:

The great benefit of an ad supported web is that it’s a web open to everyone. It supports free riders well, which has been key in opening the web to young people and those in the developing world. Ad support makes it very easy for users to “try before they buy,” eliminating the hard parts of the sales cycle, and allowing services like Twitter, Facebook, and Weibo to scale to hundreds of millions of users at an unprecedented rate.

Zuckerman argues that there are four main downsides to an ad-supported Web:

  • First, [...] it’s hard to imagine online advertising without surveillance. 
  • Second, [...] it creates incentives to produce and share content that generates pageviews and mouse clicks, but little thoughtful engagement.
  • Third, the advertising model tends to centralize the web. [...] Companies like Facebook want get as much of that money as possible, which means chasing users and reach. Using cash from investors and ad sales, they can acquire smaller companies that are starting to build rival networks. 
  • Finally, [...] personalization [of the Web] means that two readers of The New York Times may seen a very different picture of the world, and that two users of Facebook certainly do, shaped both by our choice of friends and by Facebook’s algorithms. [T]hese personalized sites may lead us into echo chambers, filter bubbles, or other forms of ideological isolation that divide us into rival camps that cannot agree on anything, including a set of common facts on which we could build a debate.
So on what business model would a different Internet run? Perhaps pay-forward schemes such Pinboard.in, and two-tiered, pay-for-Premium services, says Zuckerman. Meanwhile, online payment systems must be revamped to lower transaction costs, perhaps by switching to digital currencies. 

It doesn't sound too likely -- and Zuckerman sounds more apologetic about his role in creating this mess than hopeful it can be changed -- yet it's important to stop and realize that our young Internet didn't really have to turn out this way.


By Ethan Zuckerman
August 14, 2014 | The Atlantic

Monday, July 28, 2014

Personal blogs are dead; long live professional blogs?

I meant to re-post this sooner, "Should we mourn the end of blogs?" I identify with Mel Campbell's sentiments:

I keep on blogging because, compared to tweeting for thousands of followers or posting to hundreds of Facebook friends, the single-digit pageviews my blog now attracts are a paradoxically private way to express myself.

Yep, call me a Gen-X dinosaur, but I'm sticking with my blog, too. ("I'm so 2008; I'm so 2000 and late.") To me, prose is still more powerful and precise than photo or video. Most times I don't even add photos to my posts. Why bother? It's not my content; my value added is the written word.

That said, the format of this blog is mainly re-posts, a kind of Twitter without the character limit. This blog is basically my personal filing cabinet of opinions and what's most important in world events... minus the Kardashians, naturally.

Believe it or not, I get anywhere from 300 to 900 pageviews a day, (over 200,000 overall), and that's without banners, monetization, SEO, linking to other blogs, or otherwise trying to promote it. Most of my acquaintances don't even know I have a blog. Those pageviews are simply because I've got 2,613 posts and counting, some of them on arcane or abstruse topics, and so I get Google's respect.

At any rate, like they say, if you can't beat 'em, join 'em, so in honor of all you Millennials with yer Instagrams, enjoy this collection of cheesy, awkward, terrible and obnoxious selfies!




I'm shocked that Geraldo, after decades as a distinguished TV journalist, went in for this venal self-promotion thing on social networks like the kids.


Actually she still looks really f-able.

Inappropriate? I'm on the fence.

Is this what passes for self-expression nowadays?
"These flames make my teeth look really sparkly."
Don't worry, I think it's really Tyler Perry in there, acting.
Good thought, bad timing. 
???
"Well, I'm the only one here so you must be talkin' to me!"
Dude, I tried, but enlarging this photo didn't help.
And this concludes my gettin' with the times.


By Mel Campbell
July 16, 2014 | Guardian

Tuesday, July 8, 2014

Corporate tax dodges are un-American (Fortune)

By the way, Robert Reich just wrote a piece about Walgreen's plan to do a tax inversion. He noted [emphasis mine]:

It’s true that the official corporate tax rate of 39.1 percent, including state and local taxes, is the highest among members of the Organization for Economic Cooperation and Development.

But the effective rate – what corporations actually pay after all deductions, tax credits, and other maneuvers – is far lower.

Last year, the Government Accountability Office, examined corporate tax returns in detail and found that in 2010, profitable corporations headquartered in the United States paid an effective federal tax rate of 13 percent on their worldwide income, 17 percent including state and local taxes. Some pay no taxes at all.

Now read from a conservative publication like Fortune why these tax dodges by "American" companies have gone way too far....

UPDATE (07/09/2014):  In response to this post my Uncle T. freaked out, saying I was being manipulated by statistics.  For some reason he thought the "effective tax rate" of a company was calculated on income before expense deductions, i.e. gross profit.  

But I pointed out to to him that, according to the GAO report cited by Reich, "The most common measure of income for these estimates has been some variant of pretax net book income."

So the starting point for calculation is net profit before taxes, not gross profit, just in case anybody else shared my uncle's confusion.


By  Allan Sloan
July 7, 2014 | Fortune 

Monday, February 3, 2014

Ames: Apple, Google, Adobe, Pixar colluded to depress tech wages

Ever trenchant muckracker Mark Ames reveals here that tech giants like Apple and Google not only outsource their manufacturing to suicidal sweatshops in China that revolt against their masters, not only do they avoid U.S. taxes by registering in Ireland, they also conspired to hold down wages for U.S. tech workers, the alleged winners in this whole globalized, "We got the brains, you got the brawn" value chain. 

Tell me again why we celebrate these "American" companies?  


By Mark Ames
January 23, 2014 | Pando Daily



UPDATE: There's this far-right libertarian Nazi that I correspond with, he says he's a millionaire, let's call him Old Dirty Bastard, who responded to this post. I think this thread is pretty instructive for all you not-so-crazy folks, and shows why we need unions and collective bargaining to protect us from the ODBs of the "free market":

(ODB): Wake up and smell the coffee---it's been happening forever. They are dumb if they don't get their best deal. They do it to states by incorporating in states like Nevada also.

(Me): Employers have always colluded to keep wages down in a given sector? Did you read the article?  You don't even believe your own libertarian mumbo-jumbo!  What a cynic you are! Don't preach to me anymore about your free-market beliefs, etc. because you believe in the Law of the Jungle, where Might Makes Right. 

(ODB): Explain the difference between free market and the law of the jungle. I do not see it

(Me): That's your definition of libertarianism.  The Sherman Anti-Trust Act, Teddy Roosevelt, Grover Cleveland... they were all long-haired hippy commies "ruining" the free market.  There's no use arguing with you, you are so far to the right that you're back on the left with Hitler and Pinochet. 

UPDATE (20.02.2014): Mark Ames followed up his original report with more court documents and e-mails, this time between Apple's Steve Jobs -- "an American hero" -- and Palm's Edward Colligan: "Steve Jobs threatened Palm’s CEO, plainly and directly, court documents reveal."

Thursday, January 16, 2014

The 'You didn't build that' lie persists

Here we have the latest citation from the Rush Limbaugh Show. Rush quotes as Gospel for his mind-numbed robots that President Obama sincerely believes that nobody who has achieved that fleeting "American Dream" really deserves any credit for it.  Nope, it was all thanks to Big Gubument, says Rush of Obama's beliefs:

That's what the President believes. Obama doesn't believe in the prescription of hard work equals success.  In that statement, he just puts it down.  He just delegitimizes it.  Cookie, find that from our archives.  That was July 2012, Roanoke, Virginia.  Give me the whole thing.  "I'm always struck by people who think, well, it must be because I was just so smart.  There are a lot of smart people out there. It must be because I worked harder than everybody else.  Let me tell you something -- there are a whole bunch of hardworking people out there." That's not what makes the difference.

The thing is, that quote has always been taken out of context. Several sentences of Obama's speech have always been artfully deleted by the talk-radio/Fox News media axis. Factcheck.org busted this myth back in July 2012, yet it still persists:

There’s no question Obama inartfully phrased those two sentences, but it’s clear from the context what the president was talking about. He spoke of government — including government-funded education, infrastructure and research — assisting businesses to make what he called “this unbelievable American system that we have.”

In summary, he said: “The point is … that when we succeed, we succeed because of our individual initiative, but also because we do things together.”

Now here's what President Obama actually said, unedited and unabridged by talk radio and Fox News hacks, on July 13, 2012 [emphasis mine]:

There are a lot of wealthy, successful Americans who agree with me — because they want to give something back. They know they didn’t — look, if you’ve been successful, you didn’t get there on your own. You didn’t get there on your own. I’m always struck by people who think, well, it must be because I was just so smart. There are a lot of smart people out there. It must be because I worked harder than everybody else. Let me tell you something — there are a whole bunch of hardworking people out there. (Applause.)

If you were successful, somebody along the line gave you some help. There was a great teacher somewhere in your life. Somebody helped to create this unbelievable American system that we have that allowed you to thrive. Somebody invested in roads and bridges. If you’ve got a business — you didn’t build that. Somebody else made that happen. The Internet didn’t get invented on its own. Government research created the Internet so that all the companies could make money off the Internet.

The point is, is that when we succeed, we succeed because of our individual initiative, but also because we do things together. There are some things, just like fighting fires, we don’t do on our own. I mean, imagine if everybody had their own fire service. That would be a hard way to organize fighting fires.

So we say to ourselves, ever since the founding of this country, you know what, there are some things we do better together. That’s how we funded the GI Bill. That’s how we created the middle class. That’s how we built the Golden Gate Bridge or the Hoover Dam. That’s how we invented the Internet. That’s how we sent a man to the moon. We rise or fall together as one nation and as one people, and that’s the reason I’m running for President — because I still believe in that idea. You’re not on your own, we’re in this together.

Now the thing about it, now that you've read it, is that Fact Checkers be damned, it's unequivocally true. You can go back as far as you like, and you can find the hand of government in the great successes of our nation, business or otherwise. The things that we take the most pride in as Americans are the things that we did together

I mean, is it any wonder that our Armed Services -- not Microsoft, not Apple or Google -- are held today by Americans in such high esteem?  Is it indeed because they "defend" us -- against whom? -- or because they are the last great institution devoted to a -- dare I say it? -- socialistic ethos of collective contribution, shared sacrifice, and honor for the glory of country? Instinctively, in our guts, we see the value in their honorable endeavors.

The great pity of modern American culture is that we cannot apply those same values of sacrifice, teamwork, equality and honor to making the lives of Americans better. The U.S. Military can teach us plenty; but we accept their lessons emptily, we accept their examples of self-sacrifice ritualistically, without thought or self-reflection. Glory be to them -- but shame on us!

Going further... The GOP talks about morals, they talk about values. What would be wrong with President Obama talking about the value of hiring American workers and paying them a fair wage?  What would be immoral or un-American about Obama's naming and shaming those companies like Apple, Google... the list goes on and on... that call themselves "American," and yet employ most of their workers and pay most of their taxes overseas, and his demanding, "Can't you do better?  Can't you be more patriotic?"  

I'm not talking about a single law, a single executive order, just our Chief Executive saying what we all know in our guts to be true: so many U.S. companies treat American workers like Kleenex; meanwhile, they depend like the dickens on American consumers to buy their products. If this were wartime, if this were a time of crisis, we simply wouldn't put up with it.  And yet we do. Because we believe that's just the way it is.  Well who the hell said so?? 


I'm fired up!  WHOO! 

Thursday, June 13, 2013

NSA's domestic spying is legal, that's what's scary

It's funny how America's Left and Right are shaking out over the whole NSA-FBI-Google-Verizon spying thing, and how some politicians and talking heads are completely changing their tune now that a black Democrat is overseeing the spying on us.

Yet many folks on the right like David Brooks or Lindsey Graham who distrust Big Government still trust our military and spy agencies to spy responsibly, because such people feel a "spirit of solidarity with the state," as Woodhouse puts it.  Granted, they feel solidarity with only parts of the state.

I would have lot more faith in the good intentions of those who feel solidarity with America's state security apparatus if they were able to demonstrate a more realistic perspective about the threats to American citizens. 

I mean, we have 11,000 gun deaths a year in America and yet our government, from the local to the national level, is OK with that.  Certainly conservatives are OK with that.  It's "the price of liberty," they say.

But when it comes to Islamic terrorism, all bets are off, no price in tax dollars or privacy is too high to prevent every single attack.  It's nuts.  Even if we flung open America's doors to terrorists, 99% of us would never be touched. 

I'll say it again: we need to suck it up and stop being so scared.  Yeah, sure, some attacks will get through.  So what?  That's the price of us flexing our military muscles all over the world.  That's the "price of liberty," or something.  

Personally, I'd rather take that 1 in 20,000,000 chance of being killed by a terrorist than accept a 100% chance that my own government is spying on me constantly for no good reason!


By Leighton Woodhouse
June 12, 2013 | Huffington Post

Monday, June 3, 2013

Assange: 'Don't be evil' is banal cover for Google's sucking up to Power

You might recall that I was also critical and skeptical of Google CEO Eric Schmidt's vision for a brave, new world of digital technology all up in our junk. Unlike myself, Julian Assange bothered to read Schmidt's entire book.  Assange argues that Google has actively volunteered to become an important part of the U.S. Government's power apparatus.

I have to say I like this Assange guy, despite his somewhat sneering, sissy looks and such conflicting accounts about him.  He certainly has a singular and iconoclastic view on the world that is lacking.  Nowadays those who distrust government become conspiracy nuts.  And they get lumped in with real thinkers and critics like Assange.  But there is a difference between Government and Power.  Power certainly has a home in government but it also has residences in business, academia, the media and NGOs.  It's too easy to blame Big Government for the overreaching influence of Power.  

Also, anti-government conspiracy nuts don't bother to do their homework and make the real connections that are there to be seen in the public domain because these relationships are so well-respected and indeed banal (to borrow a word from Assange). That is what WikiLeaks did, essentially: it confirmed what we had already suspected, what we already knew but chose to ignore. Instead nuts invent unreal connections and draw false conclusions from them.  

What is known and real is bad enough, there are no fake conspiracies required!  

I also questioned Google's practice of cooperating so easily with the FBI's so-called National Security Letters that request, without a warrant, the electronic information of Google's users.  Google wasn't allowed to say how many NSLs there have been, but they said they've tripled in the past four years.  Why?  And since when do we let the government use private business to spy on us, legally?  Thank the Electronic Communications Privacy Act and the Patriot Act; but thank our apathy and ignorance most of all.  

Finally, a word about terrorism. Unlike most problems, I think the solution here is to ignore it.  Just pretend it doesn't exist. OK, I'm exaggerating a bit: our law enforcement bodies should try catch and foil terrorists; but it's not something our politicians or citizens should give much thought to, much less debate.  It's such a statistically insignificant problem, it merits as much attention in our public discourse and private worries as, say, West Nile virus, which, incidentally, killed 286 Americans in 2012, as opposed to Islamist terrorism which killed... zero.  That's right, none on American soil.  And yet the fight against Islamist terror costs $ trillions a year and terrible intrusions into our privacy!  Consider the absurdity of it!


By Julian Assange
June 1, 2013 | New York Times

“The New Digital Age” is a startlingly clear and provocative blueprint for technocratic imperialism, from two of its leading witch doctors, Eric Schmidt and Jared Cohen, who construct a new idiom for United States global power in the 21st century. This idiom reflects the ever closer union between the State Department and Silicon Valley, as personified by Mr. Schmidt, the executive chairman of Google, and Mr. Cohen, a former adviser to Condoleezza Rice and Hillary Clinton who is now director of Google Ideas.

The authors met in occupied Baghdad in 2009, when the book was conceived. Strolling among the ruins, the two became excited that consumer technology was transforming a society flattened by United States military occupation. They decided the tech industry could be a powerful agent of American foreign policy.

The book proselytizes the role of technology in reshaping the world’s people and nations into likenesses of the world’s dominant superpower, whether they want to be reshaped or not. The prose is terse, the argument confident and the wisdom — banal. But this isn’t a book designed to be read. It is a major declaration designed to foster alliances.

“The New Digital Age” is, beyond anything else, an attempt by Google to position itself as America’s geopolitical visionary — the one company that can answer the question “Where should America go?” It is not surprising that a respectable cast of the world’s most famous warmongers has been trotted out to give its stamp of approval to this enticement to Western soft power. The acknowledgments give pride of place to Henry Kissinger, who along with Tony Blair and the former C.I.A. director Michael Hayden provided advance praise for the book.

In the book the authors happily take up the white geek’s burden. A liberal sprinkling of convenient, hypothetical dark-skinned worthies appear: Congolese fisherwomen, graphic designers in Botswana, anticorruption activists in San Salvador and illiterate Masai cattle herders in the Serengeti are all obediently summoned to demonstrate the progressive properties of Google phones jacked into the informational supply chain of the Western empire.

The authors offer an expertly banalized version of tomorrow’s world: the gadgetry of decades hence is predicted to be much like what we have right now — only cooler. “Progress” is driven by the inexorable spread of American consumer technology over the surface of the earth.  Already, every day, another million or so Google-run mobile devices are activated. Google will interpose itself, and hence the United States government, between the communications of every human being not in China (naughty China). Commodities just become more marvelous; young, urban professionals sleep, work and shop with greater ease and comfort; democracy is insidiously subverted by technologies of surveillance, and control is enthusiastically rebranded as “participation”; and our present world order of systematized domination, intimidation and oppression continues, unmentioned, unafflicted or only faintly perturbed.

The authors are sour about the Egyptian triumph of 2011. They dismiss the Egyptian youth witheringly, claiming that “the mix of activism and arrogance in young people is universal.” Digitally inspired mobs mean revolutions will be “easier to start” but “harder to finish.” Because of the absence of strong leaders, the result, or so Mr. Kissinger tells the authors, will be coalition governments that descend into autocracies. They say there will be “no more springs” (but China is on the ropes).

The authors fantasize about the future of “well resourced” revolutionary groups. A new “crop of consultants” will “use data to build and fine-tune a political figure.”

“His” speeches (the future isn’t all that different) and writing will be fed “through complex feature-extraction and trend-analysis software suites” while “mapping his brain function,” and other “sophisticated diagnostics” will be used to “assess the weak parts of his political repertoire.”

The book mirrors State Department institutional taboos and obsessions. It avoids meaningful criticism of Israel and Saudi Arabia. It pretends, quite extraordinarily, that the Latin American sovereignty movement, which has liberated so many from United States-backed plutocracies and dictatorships over the last 30 years, never happened. Referring instead to the region’s “aging leaders,” the book can’t see Latin America for Cuba. And, of course, the book frets theatrically over Washington’s favorite boogeymen: North Korea and Iran.

Google, which started out as an expression of independent Californian graduate student culture — a decent, humane and playful culture — has, as it encountered the big, bad world, thrown its lot in with traditional Washington power elements, from the State Department to the National Security Agency.

Despite accounting for an infinitesimal fraction of violent deaths globally, terrorism is a favorite brand in United States policy circles. This is a fetish that must also be catered to, and so “The Future of Terrorism” gets a whole chapter. The future of terrorism, we learn, is cyberterrorism. A session of indulgent scaremongering follows, including a breathless disaster-movie scenario, wherein cyberterrorists take control of American air-traffic control systems and send planes crashing into buildings, shutting down power grids and launching nuclear weapons. The authors then tar activists who engage in digital sit-ins with the same brush.

I have a very different perspective. The advance of information technology epitomized by Google heralds the death of privacy for most people and shifts the world toward authoritarianism. This is the principal thesis in my book, “Cypherpunks.” But while Mr. Schmidt and Mr. Cohen tell us that the death of privacy will aid governments in “repressive autocracies” in “targeting their citizens,” they also say governments in “open” democracies will see it as “a gift” enabling them to “better respond to citizen and customer concerns.” In reality, the erosion of individual privacy in the West and the attendant centralization of power make abuses inevitable, moving the “good” societies closer to the “bad” ones.

The section on “repressive autocracies” describes, disapprovingly, various repressive surveillance measures: legislation to insert back doors into software to enable spying on citizens, monitoring of social networks and the collection of intelligence on entire populations. All of these are already in widespread use in the United States. In fact, some of those measures — like the push to require every social-network profile to be linked to a real name — were spearheaded by Google itself.

The writing is on the wall, but the authors cannot see it. They borrow from William Dobson the idea that the media, in an autocracy, “allows for an opposition press as long as regime opponents understand where the unspoken limits are.” But these trends are beginning to emerge in the United States. No one doubts the chilling effects of the investigations into The Associated Press and Fox’s James Rosen. But there has been little analysis of Google’s role in complying with the Rosen subpoena. I have personal experience of these trends.

The Department of Justice admitted in March that it was in its third year of a continuing criminal investigation of WikiLeaks. Court testimony states that its targets include “the founders, owners, or managers of WikiLeaks.” One alleged source, Bradley Manning, faces a 12-week trial beginning tomorrow, with 24 prosecution witnesses expected to testify in secret.

This book is a balefully seminal work in which neither author has the language to see, much less to express, the titanic centralizing evil they are constructing. “What Lockheed Martin was to the 20th century,” they tell us, “technology and cybersecurity companies will be to the 21st.” Without even understanding how, they have updated and seamlessly implemented George Orwell’s prophecy. If you want a vision of the future, imagine Washington-backed Google Glasses strapped onto vacant human faces — forever. Zealots of the cult of consumer technology will find little to inspire them here, not that they ever seem to need it. But this is essential reading for anyone caught up in the struggle for the future, in view of one simple imperative: Know your enemy.

Monday, May 13, 2013

Global development paid for by U.S. middle class

I'm not ready to say that  the global economy is zero-sum, where China's gains are always our losses. At the same time, nobody disputes that we're all interdependent.  What China or Taiwan produces, somebody must buy.  So if China is exporting and we're not, that would tend to be our loss.  If we're not buying then they're not producing that is China's loss.  

It's kind of a moral not an economic argument, nevertheless Paul reminds us that trade, not simple production, is what has lifted record millions out of poverty in the last 50 years, and the U.S. is largely responsible for allowing that trade to happen, not least by serving as the largest market/buyer of all the fastest-developing countries' exported goods.

Fairly, Paul also mentions the global companies like Apple and Google that are in fact without country and who benefit the most from increased global trade. Indeed, more than 60 percent of global trade takes place within multinational companies (MNCs).  

We can think of these as "great American" companies but we're kidding ourselves, we say so only to feed our vanity: it gives us a vague sense of self-worth to say we have a stake in a huge multinational company's success. (It's not unlike Americans who cheer on their local pro team which is probably a net drain on the local economy, yet it gives millions of local residents a great sense of pride that the privately owned sports franchise is "theirs.")

Unlike citizens and workers who are not so mobile, these MNCs go where the lowest cost of production and lowest taxes are.  Often they play off localities, regions and countries against each other -- who can offer them the cheapest labor, the lowest tax rates, the biggest subsidies, etc. -- in what has been called the "race to the bottom."  

Wrote Paul:
Companies such as Apple and Cisco Systems, and nations such as China, that have benefited from free trade are part of a closed system that has been built in large measure on the strength and confidence of the U.S. consumer. Yet those beneficiaries have been largely indifferent to the plight of the American middle class -- whose economic well-being and confidence in the future has been undermined by the expansion of free trade -- focusing instead on their own self-interest and entitlement to the benefits of trade. The leaders of Apple and Cisco gripe about tax rates, while the leaders of China disdain American concerns for their predatory trade practices.
Finally it's worth noting that no other major economy has adopted the U.S. approach, which is basically to open its markets to everybody and let domestic producers die.  




Wednesday, April 24, 2013

Google's Schmidt the next Steve Jobs? Eh, not likely

I guess today's big technology CEOs are under a lot of pressure to be the next guru like Steve Jobs.  It's not enough to be smart, rich and powerful anymore.  I almost feel sorry for them; but not at all sorry for the fawning journalists who try to help them.




So here comes Google Chairman Eric Schmidt, who, according to CNN, "has been thinking a lot about our digital future."  Oh wow.

But I think Schmidt should stick to helping us search for cat videos and naked people instead, because he's obviously better at that.  Here's what I mean:

1) Online privacy classes will be taught alongside sex education in schools. 

Actually online privacy classes will be taught BEFORE sex education in schools, if we're talking about America or most of the developing world. We'd rather talk to our kids about anything but sex. We'd rather teach girls to shave and boys to braid hair. 

2) The rise of the mobile Web means the entire world will be online by 2020.

This is such a techie-naive, developed-world prediction. This may be hard for Schmidt to fathom, but there are billions of people in the world today who have no use for the Internet, no matter how cheap it gets.  

Only 31 percent of the developing world is online today; and only 16 percent in Africa.  About a billion homes have no Internet access.  And they're perfectly satisfied with their lives; or else, they can't afford, or relate to, anything that's on the Internet. They're barely getting used to sending text messages with their calloused, malnourished thumbs.  And smartphones, tablets?  Forget it!  Hundreds of millions of people alive today will die of natural causes without ever having googled anything and they won't regret it. That's my prediction, Eric Schmidt.

3) News organizations will find themselves out of the breaking-news business, as it becomes impossible to keep up with the real-time nature of information sources like Twitter.

Exactly. Because I trust Kim Kardashian over Wolf Blitzer to give me the latest breaking news. 

Seriously, first they predicted that the Internet would kill print news; now Schmidt is predicting that the Internet will kill Internet news.  Huh-what?

And what about every Republican over the age of 50 who gets most of his information from anonymous chain e-mails originating from 2003?  How is Twitter going to replicate that "real-time" experience for them?  

Here's my prediction: Internet news and journalism in general are going to move more towards the PolitiFact / Snopes model, because there are way too many lies out there nowadays and the fact-checkers can't possibly keep up.  

4) "Since information wants to be free, don't write anything down you don't want read back to you in court or printed on the front page of a newspaper, as the saying goes. In the future, this adage will broaden to include not just what you say and write, but the websites you visit, who you include in your online network, what you 'like,' and what others who are connected to you say and share."

This is a really shitty, self-serving prediction for Schmidt to make. Know why? Because we can regulate this with a so-called right-to-forget law that is coming soon in Europe.  And who stands the most to lose from such laws?  Google, Facebook, etc., because they make money selling our private data and Internet habits to businesses.  The Stanford Law Review estimated that they would stand to lose up to 2 percent of their global income just for refusing to delete our photos that we don't like.

5) As the Web expands, revolutions will begin springing up in nations with oppressive governments "more casually and more often than at any other time in history."

Ah yes, a casual revolution. That's one where an unacquainted group of dark-skinned, downtrodden lads in chinos and ironic plaid cowboy shirts sipping on Frappuccinos blog on their smartphones about their "lame" dictator and how they're "totally going to overthrow him this weekend"... sometime between the gym and Game of Thrones.

That's sarcasm, by the way.  The words "casual" and "revolution" do not belong in the same sentence, unless you also include the word "failed."

6) More people will use technology for terror. But a Web presence will make those terrorists easier to find, too.

I put this one in the category of, "Things will get a lot worse, but they'll get a lot better, too."  

Don't go too far out on a limb there with your prognosticating, Schmiddy!


By Doug Gross
April 24, 2013 | CNN

Thursday, March 7, 2013

Google reveals 'legal spying' by FBI

We all know that the U.S. Government is spying on our electronic communications, somehow, to some extent, whether it's legal or not.

Here's the legal part: National Security Letters (NSL) that the FBI sends to telecommunications and Internet companies requesting users' electronic info.

I guess what disturbs me the most is that, for Google at least, the number of these NSLs has tripled in four years. Why? Are we experiencing more threats? Does this mean we're getting safer, or less safe?  These programs tend to grow and take on a life of their own. They shouldn't. This is not normal. This is no different than the FBI opening and reading our snail mail.  

N.B. -- Your stockpiles of guns, ammo and canned goods ain't gonna help turn this negative trend around.


March 6, 2013 | FOX News