Marc Lore, Gary Vee, early in some big tech winners, share a new investment – CNBC

Marc Lore, left, and Gary Vaynerchuk

Scott Mlyn | CNBC; Prince Williams | Getty Images

The pandemic forced more companies to migrate sales online and data analysis to the cloud, where they can tap computing resources without having to worry about managing infrastructure in their own data centers. The accelerated adoption of cloud services has attracted interest from investors who want to get in early on tech trends they expect will continue to grow in significance in a post-pandemic, increasingly digital, world.

Marc Lore and Gary Vaynerchuk are among the investors in a $10 million round of seed funding for data processing platform Tracer, which focuses on optimizing advertising and marketing spend for corporations, and was incubated and used as an in-house product for Vaynerchuk's media company VaynerMedia.

Vaynerchuk is known for his early bets on companies likeTwitter,Uber,Snap and Coinbase. Equally significant is the backing of serial entrepreneur Lore, who sold his online delivery start-up Jet.com to Walmart in 2016 for $3.3 billion. Lore had previously sold another start-up that he founded, Quidsi, the parent of Diapers.com, to Amazon for about $550 million.

Lore, who joined Walmart for several years after the big-box retailer acquired Jet.com, was seen by experts as a key part of the deal: a way for Walmart to bring the digitally savvy entrepreneur and his team in-house as it tried to turbocharge its online retail business to catch up to rivalAmazon.

"Iinvested in Tracer becauseI know firsthand the power of data to drive business results," Lore told CNBC via email. "As more companies are challenged with how to manage datacomingfrom multiple platforms having a single source of truth to make better decisions will matter especially coming out of Covid."

Throughout the pandemic, competition has ramped up in the cloud database and analytics market, as well as adtech more broadly. Tracer is among those competitors, a marketing data aggregation and reporting platform that has integrations with some of the biggest cloud service vendorsincluding Amazon,MicrosoftandGoogle, as well as social networks likeFacebookandSnap.

Tracer works by pulling in and making sense of all types of data everything from customer IDs to revenue figures visualizing a company's media spend across campaigns and platforms.

The software integrates with data visualization services like Salesforce-owned Tableau.

Co-founder Jeff Nicholson developed the technology in 2015 while managing budgets for VaynerMedia. Low on bandwidth and resources to crunch client data, he and Vaynerchuk, founder and CEO of VaynerMedia, built their own platform to help scale the company into the global advertising giant it's become over the last decade amid the rise of dominant digital ad platforms like Facebook and Google.

The company says its early funding will be used to expand and improve the technology and grow their engineering team. In addition to VaynerMedia, Tracer's current roster of clients includes Sanofi and Cond Nast.

"We created Tracer to solve a problem that we faced time and time again," said Tracer CEO Nicholson in a release announcing the deal. He also serves on advisory boards for Roku, Pinterest and Nextdoor. "We're excited that others have found such value in our platform and are eager to continue our growth with the help of Gary, Marc, Kevin and others."

NBA star Kevin Durant also is an investor in the deal.

Vaynerchuk has worked with Nicholson and co-founder Leighton Welch over the last six years while developing the product inside VaynerMedia's media department. "I invest in talented entrepreneurs and Jeff and Leighton are the epitome of this," said Vaynerchuk in the funding announcement. "I've also had the huge advantage of working so closely with them for so long."

Loreleft his Walmart role in Januaryand will serve as a strategic advisor through September. At the time, he told CNBC in an interview that he planned to return to his start-up roots, investing in new companies, and starting others.

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Marc Lore, Gary Vee, early in some big tech winners, share a new investment - CNBC

Big Tech-Backed Gig Worker Union Bill Fails to Get in Gear in Albany – THE CITY

A plan to grant app-based gig workers some bargaining rights is dead in the state Legislature even as the City Council held a hearing Tuesday on measures to improve working conditions for New Yorkers who deliver food.

The gig worker proposal, which initially garnered some support from organized labor, collapsed under scrutiny before a bill could be introduced in Albany. State lawmakers are slated to conclude this years legislative session on Thursday, with no bill introduced by the Monday evening deadline.

The proposal would have granted workers for companies like Uber, Lyft and DoorDash some bargaining power despite not being classified as employees entitled to certain rights. The effort failed to gain steam as pushback from food delivery workers and their advocates knocked out some early backing from organized labor.

Among the oppositions concerns: The industry-backed proposal would have conceded some key rights including the ability to strike or demonstrate against a company. The measure also would have overridden local wins for gig workers including some of the proposals being considered by the City Council.

DoorDash, Uber, Seamless, GrubHub and other delivery apps have schemed to introduce legislation behind the backs of these workers, said State Sen. Jessica Ramos (D-Queens), who chairs the Senates labor committee.

They want to amend our state labor laws to support their rights on the job under the guise of collective bargaining. One of the most egregious parts of the so-called Right to Bargain bill is that it undercuts delivery workers local organizing efforts, she added.

State Sen. Diane Savino (D-Staten Island, Brooklyn), who had been drafting the measure, told Bloomberg News that she plans on revisiting the topic next year when the Legislature returns.

Its a complicated problem, but the only way were going to get to a solution is people are going to have to put aside their own agendas and figure out how do we solve it? said Savino, who told THE CITY she was not available to comment.

Meanwhile, the City Council held a hearing Tuesday on a package of bills that aim to improve working conditions for the burgeoning app-based food delivery sector.

The proposals look to boost wages, ensure tips get to delivery workers and set limits on where they can deliver local regulations that would be barred under the draft state bill that circulated among lawmakers, tech companies and labor unions last month.

Many items in the City Councils seven-bill package were introduced in late April following months of discussions with Los Deliveristas Unidos. The group of mostly immigrant food couriers toiled for months during the pandemic with little access to bathrooms or to shelter and without much recourse against tech companies.

On average, a delivery worker works 12 hours a day, seven days a week, earning a grand total of $300. That is less than $4 an hour. When they need to take a break or use the restroom, they are denied basic courtesy and treated with hostility by some of the very same restaurants kept open by their labor, said Councilmember Carlina Rivera (D-Manhattan), who is pushing a bill that would fine restaurants and bars that refuse to allow delivery workers to use the restroom.

Other proposed measures would require that companies provide workers with insulated bags at no cost and direct the Department of Consumer and Worker Protection to study the working conditions of food delivery workers so it can come up with rules for minimum payments to workers.

While generally supportive of the measures, the departments acting commissioner, Sandra Abeles, expressed concerns in testimony at Tuesdays hearing that multi-billion dollar tech companies would find loopholes in the proposed regulations if enforcement is not carefully constructed.

Although Council members had been told that representatives from the food delivery companies would be testifying at the virtual hearing, none did.

In a statement, San Francisco-based DoorDash said the company was actively engaging with workers and eager to engage with policymakers on ways all stakeholders can better support New York City delivery workers.

Uber, which runs UberEats, did not respond to a request for comment.

In his testimony before the Council on Thursday, Los Deliveristas Unidos leader Sergio Ajche called the hearing a very important day for the citys delivery workers.

Its time for the city to recognize us as essential workers not just with words, but with actions, he said, reading aloud from his testimony in Spanish.

Its frustrating to see these apps make our tips disappear and the restaurant industry turn its back on us, he added. It hurts to see clients gratuities out of reach to those of us risking our lives in the streets. I know many hesitate to call out these injustices out of fear, but we are here today to make our situations with these apps visible.

Although Speaker Corey Johnson (D-Manhattan) was quoted in a Deliveristas press release supporting the workers, a spokesperson for the Council leader did not immediately respond to questions on whether he would bring the bills to a vote.

Deliveristas risk their lives to bring food to our doors, a service so many of us depended on during the pandemic. They were there for us, now we need to be there for them. Deliveristas deserve better, more fair treatment, and the Councils legislative package will help them get the protections they need as they continue to serve our city, Johnson said in the press release.

At a rally before the hearing, workers gathered with supporters from the union 32BJ SEIU and Transport Workers Union Local 100 at City Hall Park to urge the Council to pass the bills.

In testimony, workers described getting shortchanged by the apps and accused the platforms of withholding the tips many workers depend on in order to earn livable wages. One of the bills discussed at the hearing, introduced by Councilmember Brad Lander (D-Brooklyn), would establish minimum per-trip payments, excluding tips, to ensure workers earn an hourly amount equal to the $15 minimum wage.

Los Deliveristas Unidos leader Jonn Huerta spoke on behalf of a Relay delivery worker who charges the app stole a $9.60 tip sent by a customer last month.

At the rally, Huerta read from the testimony submitted by Manhattan delivery worker Gustavo Mancilla, who said a customers $9.60 tip never made it to his account.

When I handed him the food, he asked me immediately if I had received his tip; I immediately checked my balance on the app and saw I had $0. The client showed me their receipt and I saw that he paid a $9.60 tip, for which I received $0, according to the testimony in Spanish. THE CITY reviewed copies of those receipts.

When I submitted a complaint, the app blamed the restaurant and refused to give me any further explanation, Mancilla wrote in his testimony, which was submitted to the Council.

A spokesperson for Relay was not immediately available for comment.

The f**king restaurant kept my tip, Mancilla wrote in a text message in Spanish on the day of the incident.

At the rally, Lander said: Apps like Doordash, Seamless, Instacart and UberEats exploit the idea that these workers are independent contractors, leaving them to earn on average $5 an hour in New York City.

These are not folks on a side-hustle, Lander said. These are folks working full-time every day and they deserve full-time, more-than-a-minimum-wage, living-wage pay.

At the hearing, Ajche testified that in the summer months, he has earned just $30 for a 13-hour work day. These applications work the algorithm to their benefit. They dont care about our lives out in the streets and the conditions we have to work through, he testified in Spanish.

Some workers, like 22-year-old Pp Jhonson, described being brushed off by restaurants that refused bathroom access, an issue Riveras bill would address.

As a woman, one of the hardest things about doing this job is not being able to use the bathroom, Jhonson, a native of Togo, said in Spanish. I work 12 to 16 hour days, sometimes biking 10 miles for a single delivery, only for restaurants to tell me I cant relieve myself.

Its not right.

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Big Tech-Backed Gig Worker Union Bill Fails to Get in Gear in Albany - THE CITY

Map Of The Internet Exposes The Lie That ‘Big Tech’ Controls The Internet – Techdirt

from the it's-a-wide-wide-world-wide-web dept

To hear many people talk about things, the entire internet these days is controlled by just a few companies, mainly Google, Facebook, and Amazon. Depending on who you're talking to, you may hear them throw in companies like Netflix. But some of us keep pointing out that while those guys are big, that doesn't mean the rest of the internet stops existing. And it's still incredibly large. If you want this point really driven home, check out this amazing map of the 2021 internet by Martin Vargic (first spotted via Fast Company).

Here's a thumbnail version, but you really should go check out the full size version on Martin's website (or, better yet, buy some prints of the whole thing).

Just the fact that looking at this smaller version above it's nearly impossible to read what most of the "countries" are should give you just a taste of how vast the non-big-tech part of the world wide web really is. There's a lot of "land" out there that isn't controlled by the big players, and we should be celebrating that. On his website he's got a few zoomed in examples as well, including the part that is my favorite: "Protocol Ocean."

Now some may quibble with various aspects of this. It's based on Alexa data, which isn't the most reliable, and it's only covering web traffic, which likely misses a lot of activity that is purely mobile these days. But still, when laid out this way, you really begin to get a sense of the diversity of the web.

The other thing that really stands out for me is that this is an updated map by Vargic. He last produced a map of the internet in 2014 and it looks strikingly different. It seems like a strong visual reminder of just how much the internet keeps changing, even in the fairly short time frame of seven years.

There seems to be this belief among some that the internet has been more or less stuck in place since 2010 when Google, Facebook, and Amazon divided the land between them and wiped the rest of the web off the map. But that was never true, and these maps really drive that point home in a very visual manner.

For what it's worth, if you love getting lost looking at maps like I do, Vargic's entire page is fascinatingly full of maps he's created, many of which explore aspects of actual geography, and plenty of others (like the internet maps) that explore other concepts in map form.

Thank you for reading this Techdirt post. With so many things competing for everyones attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.

Techdirt is one of the few remaining truly independent media outlets. We do not have a giant corporation behind us, and we rely heavily on our community to support us, in an age when advertisers are increasingly uninterested in sponsoring small, independent sites especially a site like ours that is unwilling to pull punches in its reporting and analysis.

While other websites have resorted to paywalls, registration requirements, and increasingly annoying/intrusive advertising, we have always kept Techdirt open and available to anyone. But in order to continue doing so, we need your support. We offer a variety of ways for our readers to support us, from direct donations to special subscriptions and cool merchandise and every little bit helps. Thank you.

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Filed Under: competition, internet, map, martin vargicCompanies: amazon, facebook, google

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Map Of The Internet Exposes The Lie That 'Big Tech' Controls The Internet - Techdirt

Urgent team-up between big tech and government is needed for cybersecurity – Digital Journal

Digital Journal

Otterbourg litigator Bill Moran says the time is now for the Biden administration to bring about a collaboration with Big Tech companies willingly or not to protect U.S. national commerce and defense.

Moran, who chairs Otterbourgs Crisis Management and Investigations Group, says Its time to Declare War on Cybercrime. He shares his thoughts with Digital Journal.

Moran has had a significant increase in clients and potential clients in the private sector seeking advice about getting ahead of the cybercrime tidal wave (a term coined in a 2013 futurist article).

Moran begins by the recent recovery of the Colonial Pipeline ransomware by U.S. authorities (as reported by Digital Journal), noting the Seizure by the Justice Department of the majority of the bitcoin ransom paid by Colonial Pipeline is obviously what the Biden administration meant by rapid tracing and interdiction of virtual currency proceeds. This includes plans for backing up data with segregated systems, separating online corporate business functions from the production side of the business, establishing quick response security and continuity plans, and educating the workforce on proper cyberhygiene.

The insurance sector remains jittery about the progress, Moran notes: While the recovery of most of the Colonial Pipeline ransom is a stunning achievement for the newly formed Ransomware and Digital Extortion Task Force, it will not likely impact the insurance industrys concerns. It appears that law enforcement was able to track the bitcoin to a digital wallet identified as connected to the ransom, which as described in the FBI agents affidavit supporting the seizure warrant was accomplished using a blockchain explorer searching the blockchain where [a]ll Bitcoin transactions are recorded, and which is visible online for everyone.

Furthermore, Moran clarifies, the transparency is missing: As also explained in the warrant affidavit, the wallet was opened and the bitcoin was able to be seized by use of a digital private key the task force obtained. It was not revealed in that affidavit how that private key was obtained.

So what happened?According to Moran: Given the nature of cryptocurrency it is unlikely it was obtained by brute force hacking by law enforcement. Most likely it was obtained by either a careless criminal through the FBIs year-long surveillance of DarkSide, the Russian-based hacking group associated with the intrusion, or from a cooperating confederate of the group. As such, while laudable, this success may be unique, and therefore unlikely to relieve the increased vetting of customers by cybercrime insurers or the increasing costs. Accordingly, the need for U.S. businesses to increase cybersecurity measures and crisis preparedness will not soon abate.

Yet there is more than needs to be done, as Moran. He explains that While the Biden administration now has cybercrime at the top of its priority list, as far as government action is concerned it is unclear what is being done. So far all we have seen is the recent executive order to federal agencies and contractors to up their game on cybersecurity and the well-publicized warning in an open letter last week from the deputy national security advisor to American business to increase security measures.

He adds that greater clarity is needed of what the U.S. government is planning. His point is: The only action item the government has clued us in on in its efforts to combat ransomware, which was in that open letter, is an effort to enable the trading and interdiction from ransom payments, so as to disrupt and deter. What that entails and what success has been achieved, however, is not yet known. As I have been stating for some time, until the Biden administration drafts U.S. Big Tech to join forces and aggressively turn the table on cybercriminals, it is very much every company for itself.

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Urgent team-up between big tech and government is needed for cybersecurity - Digital Journal

The pandemic showed that Big Tech isnt a public health savior – The Verge

Two days after the World Health Organization declared that the coronavirus outbreak was a pandemic, then-President Donald Trump stood in the Rose Garden next to a flow chart. The chart promised that soon, it would be easy for anyone in the United States to get tested for the virus. According to Trump, Google was building a website to streamline the entire process.

It was the first of many promises that private companies would swoop in and rescue or bolster the countrys flailing COVID-19 response. Public health infrastructure in the United States has been underfunded for decades, and its underlying tech infrastructure is outdated and clunky. Health departments relied on fax machines and paper printouts to ferry data around. Fighting the pandemic would require a clear view of how many people were sick and where those sick people were, but the US was flying blind.

It seemed like Big Tech, with its analytic firepower and new focus on health, could help with these very real problems. We saw all over the papers: Facebook is gonna save the world, and Googles going to save the world, says Katerini Storeng, a medical anthropologist who studies public-private partnerships in global public health at the University of Oslo. Politicians were eager to welcome Silicon Valley to the table and to discuss the best ways to manage the pandemic. It was remarkable, and indicative of a blurring of the boundaries between the public domain and the private domain, Storeng says.

Over a year later, many of the promised tech innovations never materialized. There are areas where tech companies have made significant contributions like collecting mobility data that helped officials understand the effects of social distancing policies. But Google wasnt actually building a nationwide testing website. The program that eventually appeared, a testing program for California run by Googles sibling company Verily, was quietly phased out after it created more problems than it solved.

Now, after a year, were starting to get a clear picture of what worked, what didnt, and what the relationship between Big Tech and public health might look like in the future.

Tech companies were interested in health before the pandemic, and COVID-19 accelerated those initiatives. There may be things that tech companies are better equipped to handle than traditional public health agencies and other public institutions, and the past year showed some of those strengths. But it also showed their weaknesses and underscored the risks to putting health responsibilities in the hands of private companies which have goals outside of the public good.

Big tech companies can be extremely useful, says Andrew Schroeder, who runs analytics programs at the humanitarian aid organization Direct Relief. The question is, how do you make sure that designing with the public good in mind actually happens?

When the pandemic started, Storeng was already studying how private companies participated in public health preparedness efforts. Over the past two decades, consumers and health officials have become more and more confident that tech hacks can be shortcuts to healthy communities. These digital hacks can take many forms and include everything from a smartphone app nudging people toward exercise to a data model analyzing how an illness spreads, she says.

What they have in common, I think, is this hope and optimism that itll help bypass some more systemic, intrinsic problems, Storeng says.

But healthcare and public health present hard problems. Parachuting in with a new approach that isnt based on a detailed understanding of the existing system doesnt always work. I think we tend to believe in our culture that higher tech, private sector is necessarily better, says Melissa McPheeters, co-director of the Center for Improving the Publics Health through Informatics at Vanderbilt University. Sometimes thats true. And sometimes its not.

McPheeters spent three years as the director of the Office of Informatics and Analytics at the Tennessee Department of Health. While in that role, she got calls from technology companies all the time, promising quick fixes to any data issues the department was facing. But they were more interested in delivering a product than a collaboration, she says. It never began with, Help me understand your problem.

Before the pandemic, tech companies tended to assume that one data problem was the same as another, McPheeters says. Broadly speaking, they didnt appreciate how important it was to understand epidemiology and public health in order to work with the data in that field. During her tenure at the department of health, for example, she oversaw efforts to develop a data-driven response to the opioid epidemic in the state. Wed have folks come in and say, We can solve your opioid problem because weve solved bank fraud before, McPheeters says. While there may be similar data science involved, the social environment on the ground how people were behaving, and why is just as important as the data itself. In that respect, there arent many similarities between the two.

This isnt to say that there cant be data-driven solutions to public health problems. Tech companies can have important roles to play during infectious disease outbreaks, like offering data-crunching expertise or platforms to analyze information. But companies have to work as partners, not outside disruptors, McPheeters says. Thats hard to do on the fly during an emergency when there hasnt been a history of collaboration. One of the challenges of a situation like this pandemic is that if you havent built those relationships already, its very difficult for those relationships to suddenly flourish, she says.

Even without a history of robust collaboration, governments were eager to welcome tech companies to the table during the early phases of the pandemic response. When COVID-19 took hold in the United States, the countrys public health infrastructure had been crumbling for years. Underfunded and understaffed health agencies worked on outdated data systems and didnt have the resources to invest in new ones. Many test results were still sent on fax machines.

Faced with the typical levels of public health problems, the systems could keep themselves together. But under the strain of a devastating pandemic, the cracks split. There werent reliable ways to send information on cases, hospitalizations, and deaths between hospitals, labs, and health agencies. Health officials didnt have the resources to monitor the spread of disease.

Scrambling, officials took tech companies up on offers to take on some of the burden. They got handed the keys to the kingdom, says Jorge Caballero, an anesthesiologist at Stanford University and co-founder of the volunteer group Coders Against COVID.

Some of the first pandemic problems tech companies tried to tackle were COVID-19 testing projects. Google sibling company Verily piloted a testing system in California in March 2020, and eventually inked $55 million in testing contracts with the state. They started off with this big overture that they could offer a turn-key solution to the state of California, Caballero says, and to other states, as well. But by October 2020, two counties phased out the Verily testing program over concerns that it was asking for too much patient data and wasnt accessible to low-income groups that had the greatest need for testing. The states partnership with Verily ended in February.

Google also wanted to link people to testing sides nationwide, and testing sites started showing up in Google searches at the beginning of April 2020. The company pulled in location data from state governments and groups like Castlight Health, which had its own testing site directory, Hema Budaraju, director of product management at Google, tells The Verge.

That Google project was technically a success someone could search for a testing site and find one. But there was a problem with the approach, Caballero says. Any changes to testing site data would take a few days to update. But many COVID-19 testing sites, particularly those targeted at underserved communities, were temporary pop-ups. The lag meant those wouldnt show up in search. Caballero tried to flag that issue to Google in spring 2020 but says he wasnt impressed with its response: it took Google a long time to acknowledge the concern, and even then, he says it didnt seem to him like it fully understood the issue.

Budaraju tells The Verge that Google relied on its partners to provide accurate testing site information, and that it makes updates if those partners flag any missing locations.

Health experts are always concerned that a push toward high-tech solutions would widen inequities rather than alleviate them. If Google wasnt including pop-up testing sites or was updating them on a lag, people who live in areas without many medical resources which were targeted by those pop-up sites may have had a harder time finding them.

After someone tests positive for COVID-19, the next step for health officials is to identify the people who that person had been in contact with to encourage them to quarantine or get tested themselves. Tech companies thought they were positioned to help with that, too.

One of the flashiest attempts tech companies made to fight the pandemic was the Google and Apple exposure notification program. The companies teamed up on an app-based system that utilized Bluetooth to keep tabs on which smartphones spent time near each other. Then, if someone tested positive for COVID-19, they could alert strangers whose phones had been nearby.

In theory, this could help track down people who had been exposed to COVID-19 but wouldnt have been identified by traditional contact tracing, which relies on sick people remembering everyone theyd been in touch with while they were contagious. There was a naivete about it, Storeng says. Wouldnt it be awesome if I could just be notified when Im exposed to infection, and that can solve it all?

In the end, evidence on the system was mixed. In the United States, only a small percentage of people used apps built on the system likely not enough to make a difference in the trajectory of the pandemic. In the United Kingdom, where a quarter of the population signed up, researchers estimated it helped avert hundreds of thousands of COVID-19 cases.

All of the data, though, are estimates: because of the apps focus on privacy, officials around the world can only extrapolate from the number of people the app notified about a possible exposure. Theres no way to know if people who got those notifications actually isolated themselves or got tested for COVID-19. Without that data, officials cant evaluate how many infections the exposure notification programs prevented. It also meant that they werent able to learn who was notified about a possible exposure, let alone get in touch with them to offer support or resources. That information stayed in the app.

Its an example of a tech company building a digital system without incorporating the most important elements of the manual program its attempting to augment. McPheeters says that contract tracing cant be as effective if there isnt any connection to the people who were exposed. If you look at the history of contact tracing and you talk to experienced contact tracers, its actually about relationship building, she says. Its not about tracking.

There are success stories from the past year. One clear bright spot was mobility data. Companies like Facebook and Google tracked how peoples movement patterns changed in response to social distancing policies. Before the pandemic, there hadnt been anything like the sweeping stay-at-home policies introduced by governments around the world.

This was really chaotic. Nobody really knew what was going to happen, or if anyone would listen to these policymakers, Schroeder at Disaster Relief says.

Google started releasing COVID-19 Community Mobility Reports in April 2020, and Facebook pushed out similar information through its Data for Good program, which builds datasets in partnership with humanitarian organizations and academic research institutions. That helped researchers understand how peoples behavior changed under new policies. It went from flying blind, to not flying totally blind, Schroeder says.

Seattle area researchers used Facebooks data for one of the earliest looks at how movement patterns affected the spread of COVID-19. Other cities, like New York City, used the information to tailor their public health response. The data also informed academic research on COVID-19 over the past year.

Tech companies are the only resources for this data, Schroeder says. Theres no government anywhere thats producing this, no nonprofit producing it if you want that information, the only way to do that is through one or another private tech company.

Through Data for Good, Facebook also started running large-scale surveys in partnership with academic researchers. One project, the KAP COVID dashboards, was a collaboration with the John Hopkins Bloomberg School of Public Health and the Massachusetts Institute of Technology. The group surveyed people in 67 countries about their COVID-19 knowledge and pandemic behaviors. Facebook provided the platform, and the researchers designed the survey.

Its a phenomenal resource. Theres really nothing like it, says Douglas Storey, a professor at the Johns Hopkins Center for Communication Programs working on the project. The team has used its findings to run webinars with working groups in the countries it surveys and to share information about how people are modifying their behavior to prevent COVID-19 spread. The team has started to incorporate questions on vaccine acceptance, as well. Then, countries can use the information for their own pandemic response strategies, Storey says.

The Data for Good team was eager to work with the scientists, he says, and seemed to have a clear sense of the areas in which it didnt have expertise. They seemed genuinely committed to understanding how they can have a more positive impact.

These enormous, worldwide surveys could only really be done by big tech companies like Facebook. Facebook, every single day, is surveying hundreds of thousands of people all over the world, Schroeder says. Could any government run a survey, daily, globally, at that scale? The UN doesnt have the ability to do that, and theyre the only ones who would have the authority globally.

Notably, Facebook and Google werent doing their own interpretation of this data they supplied it to public health experts and left them to do the epidemiology. Thats an important part of the Data for Good approach, Laura McGorman, policy lead on the team, said in a statement to The Verge. Our partners provide the domain expertise required to make use of these tools to solve real-world problems whether its in public health, natural disaster response, or climate change. This work is extremely collaborative and plays to the unique strengths of everyone involved, she said.

Its different from, for example, the exposure notification program where Google and Apple built a self-contained product that collected and used data. In the recovery from the pandemic, as tech companies continue to push into healthcare and public health, theres an open question around which approach will win out.

What is the role Big Tech should play as a neutral data publisher, and what role should it have in terms of producing something where analysis has already been done? Schroeder asks.

Despite the mixed record on tech contributions during the COVID-19 pandemic, coalitions of companies are gearing up to keep pushing into healthcare. Its a hugely lucrative area that they were already interested in before the pandemic the healthcare market is a nearly $4 trillion industry in the US alone. Last summer, for example, the Consumer Technology Association (CTA) launched the Public Health Tech Initiative, a working group that includes CVS, Facebook, Microsoft, and other major players. It plans to analyze the things that did and didnt go well for tech companies during the pandemic and leverage that experience to prepare for the next health emergency.

To start, the group is focusing on health data and virtual care, says Ren Quashie, vice president of digital health at the CTA. Members are talking about projects like an early warning system for public health that aggregates data from wearables, or creating data sharing platforms for public health agencies.

We would envision sort of a new paradigm, more of a public-private partnership where public health agencies and government bodies are able to leverage the technological expertise of the private sector, Quashie says.

Some experts remain wary about the implications of integrating the private sector even more tightly with public health. Public health is supposed to be just that: public, and governed with the public good in mind. What is a public good coming from private companies? Schroeder asks. Could you have some kind of structure that draws on what theyre good at, but doesnt turn the authority over to them? I have no idea.

The goal of public health is to make a community healthier, not just individuals. Everyone shares in the success of reducing the spread of a disease like COVID-19, for example no one is excluded from the benefits of lower levels of disease, even if they dont personally contribute to reduction efforts. Turning a public health task over to a private company could turn the overall goal of a project away from the pursuit of a collective good and toward accomplishments that would benefit the company. It may also lead to collective good, but that might be secondary.

Companies that used their resources to fight COVID-19 got something out of it. Whether it was lucrative contracts, good PR, or even just helping their customer base stay healthy it benefits companies to participate when the worlds health is on the line. As the emergency of the pandemic recedes, companies motivations to venture into public health and healthcare may change and consumers and governments should pay attention to that changing landscape, experts say. Does it have anything to do with health improvement, or is it about something else? Is it a way for these companies to harvest data, or get entry into new markets, or just some corporate social responsibility scheme to enable other kinds of activities? the University of Oslos Storeng says.

The mobility data, for example, was a huge boon to researchers through the pandemic. At first, many companies were giving that information away for free. Now, its like, About that free price, Schroeder says. He isnt expecting Facebook to put up any paywalls. The profit or loss on the mobility data or the survey data is a rounding error for Facebook, he says. But its more of a concern for the smaller companies. Mobility data company SafeGraph, for example, offered its data for free to government agencies and nonprofits early in the pandemic but is now charging those users for data again.

But it shows the tension created by relying on a private company for a critical public health service: it could, at any time, decide that it no longer wants to provide it to researchers or it could decide that that valuable information comes with a price; private companies, after all, are first and foremost in the business of making money. Or, health officials have to make compromises on the terms and conditions around the data, as with the Apple and Google exposure notification program. These are companies that have been known to be monopolistic, and potentially antithetical to democracy and free speech, Storeng says. You have to ask skeptical questions about the legitimacy of their involvement.

The pandemic highlighted the underlying weakness of the US public health system, particularly around its data systems and tech infrastructure: theyre outdated, disjoined, and underfunded, which leaves the country vulnerable to infectious disease threats. The past year opened the door for the tech industry to tackle some of those problems. Regardless of concerns around the companies intentions, it will likely stay open and companies have made their interest in the space clear over the past few years. They may be able to make useful, lifesaving contributions, but the public good still has to be the priority.

What is really clear, and I think this was clear well prior to the pandemic, is that tech does not substitute for strong public institutions, Schroeder says. Public health investment needs to happen independently of what any tech company does.

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The pandemic showed that Big Tech isnt a public health savior - The Verge

‘Technically Food’: how big tech puts new foods on our plates J. – The Jewish News of Northern California

Food coverageis supported by a generous donation from Susan and Moses Libitzky.

Once you know Larissa Zimberoffs backstory, its easy to understand how her book topic chose her instead of the other way around.

Zimberoff, 49, is the author of Technically Food: Inside Silicon Valleys Mission to Change What We Eat (Abrams) that came out this month. Its her first book.

It is a fascinating, if not quite mouthwatering, exploration of how technology companies and its an important distinction that none are food companies in the traditional sense are putting millions of dollars into highly manipulated ingredients, transforming the very definition of what we consider food.

For Zimberoff, reading food labels has been a lifelong habit, as she explains in the books introduction. She was 12 years old when she was diagnosed with Type 1 diabetes. Therefore, she is much more than a casual reader of these labels, as she has spent a lifetime thinking about the macronutrients in food the amount of protein vs. carbohydrates vs. fat vs. fiber shes consuming in any one serving, and how they all interact with each other.

One of her superpowers, she said, is that she sees food from the inside out. Its something unusual and what I have to offer people.

Zimberoff, a Marin County resident who is seen as an expert in her specialized field, says food startups have much more in common with tech startups than with the food companies of yore.

They have to start out with technology thats proprietary, which is how they get funding, she said in an interview. Its only later that they learn how to make their product delicious or sell it.

The book takes the reader behind the scenes of some well-known companies, such as Impossible Burger and Beyond Meat, and introduces some lesser-known technologies making food products out of algae, pea protein and fungi, and emergent technologies such as cultured meat, indoor vertical farming, and upcycling, which takes the waste from one kind of food production and uses it to make something else.

They have to start out with technology. Its only later that they learn how to make their product delicious

A great local example she gives is Berkeley-based Regrained, which uses spent grain from brewing beer to make flour, energy bars and other items (we wrote about the company and its founders, Dan Kurzrock and Jordan Schwartz, two Peninsula natives, in 2016).

Zimberoff is a fun guide, taking us into the labs, factories and board rooms where these products are made and planned, and conferences like the Alternative Protein Summit. She says that shes willing to taste anything in the name of research. This includes bacon made from seaweed protein, cultured meat from cells grown in a lab, and tea made from avocado pits.

She compares the new burger substitutes to fast food, in that eating them once or twice a month is fine, but every day is not. She points out that Beyond and Impossible are made up of many ingredients that are put through so many steps before it comes to you, she said. Of course, wine, cheese and bread are all processed, too, but you have to look at the level of processing and how many countries have touched your ingredients.

As conscious consumers try to balance their taste for meat and dairy with their concerns about climate change and their health, as well as the welfare of factory workers and animals in factory farms, more of them are eating lower on the food chain and going to alternative proteins. But in doing so, they are also asking the types of questions Zimberoff gets all the time: Should I eat this? Is it bad for me? and Whats in it?

She spent over a decade working for tech companies before she became a food writer. After one too many unanticipated layoffs, she decided to pursue a career in writing. While working toward her MFA, she lived in New Yorks Lower East Side where she says she got in touch with her Jewish food roots and food kept finding its way into her stories. Her byline regularly appears in publications such as Bloomberg, Businessweek and Business Insider.

Zimberoff grew up in the San Fernando Valley, where her mother worked in the wine industry and her father liked to cook; Chinese food was his specialty. To this day, she said, her familys Passover meal rivals Thanksgivings. She remembers her grandmother using horseradish from her garden for the holiday, and Zimberoff always insists on making the haroset, using the same wooden bowl.

Zimberoff is making appearances on a number of podcasts and other outlets right now; check her website (larissazimberoff.com) for details.

Originally posted here:

'Technically Food': how big tech puts new foods on our plates J. - The Jewish News of Northern California

Facebook Data Trove Probed as Europe Turns Screw on Big Tech – Bloomberg

Facebook Inc. is facing its first in-depth probe by European regulators, the latest in a series of efforts to crack down on big tech market dominance across the continent.

The European Commission said it will investigate whether Facebook misuses a trove of data gathered from advertisers to compete against them in classified ads. It will also check if the company unfairly ties its Marketplace small ad service to the social network.

At the same time, the U.K said it was opening probes into Facebooks Marketplace and Dating services hours after Germanys antitrust watchdog announced a case targeting the Google News Showcase product.

The cases open up yet another front for the worlds biggest tech firms to fight on, as regulators investigate their market power during a pandemic when online commerce and advertising has become far more important to people working from home. Germany is already investigating Facebook and Amazon.com Inc. while France is examining advertising practices by Google and Apple Inc.

Opening a formal probe means regulators can start building firm evidence of antitrust violations, a process that can lead to a charge sheet, or statement of objections, and may eventually culminate in hefty fines or an order to change the way a business operates.

Shares of Facebook were up less than 1% to $328.1 at 9:47 a.m. in New York on Friday. The stock has gained about 20.2% this year.

Fridays move by the EU is the first time its escalated a case into Facebooks behavior beyond the preliminary stages. It follows other high-profile cases targeting Google, Apple Inc. and Amazon.com Inc. The EU previously fined Facebook for failing to provide correct information in the merger review of the WhatsApp takeover.

Facebook collects vast troves of data on the activities of users of its social network and beyond, said Margrethe Vestager, the EUs competition chief. EU regulators will look in detail at whether this data gives Facebook an undue competitive advantage in particular on the online classified ads sector, where people buy and sell goods every day, she said.

Google Targeted as German Attack on Silicon Valley Gathers Pace

Online commerce has played an increasingly important part of Facebooks business during the pandemic as more people are buying goods online.

Commerce ads continue to do very well and drive a meaningful amount of our overall business, Facebook Chief Executive Officer Mark Zuckerberg said on an earnings call in April. He said more than 1 billion people now visit Facebook Marketplace each month.

Facebook will continue to cooperate fully with the investigations to demonstrate that they are without merit, the company said in an emailed statement. We are always developing new and better services to meet evolving demand from people who use Facebook.

The U.K.s antitrust regulator also opened its own probe into Facebook data, looking at both Marketplace and the dating service the company launched in Europe last year.

The Competition and Markets Authority said it planned to investigate whether Facebook abused its dominant position by collecting data from services including its single sign-on option.

The increasingly tech-focused CMA is running an independent investigation, but said it will cooperate with the EU probe. The CMA said its initial investigation including information gathering will run until Feb.

Germanys Federal Cartel Office said Friday that its looking at the Google News Showcase to check if its terms offer unreasonable conditions to publishers. The move is latest in a series of assaults on Big Tech by Germanys antitrust chief Andreas Mundt.

The EU investigation mirrors an earlier probe into Amazon by looking at how a so-called digital platform may use data it gathers from companies that use its service to compete against them. The EU commission has been investigating Facebook since 2019. Facebook sought to curb the probe with lawsuits last year to limit what information officials could scoop up.

Facebook Antitrust Data-Hunt Gets Ground Rules From EU Court

With assistance by Jonathan Browning, Natalia Drozdiak, Karin Matussek, and Nate Lanxon

(Updates with share price in the fifth paragraph)

Before it's here, it's on the Bloomberg Terminal.

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Facebook Data Trove Probed as Europe Turns Screw on Big Tech - Bloomberg

Biden, Europeans Close to Pact on Taxing Multinationals, Including Big Tech – Foreign Policy

June 4, 2021, 1:06 PM

On the eve of his first overseas trip as U.S. president, Joe Biden is pushing for a dramatic revamping of international corporate tax policies that could resolve a stalemate between the United States and Europe over taxing Americas Big Tech sector and make it much harder for all major multinational corporations to exploit tax havens.

Meeting in London on Friday, the G-7 finance ministers are expected to endorse a proposal by Biden and U.S. Treasury Secretary Janet Yellen for a minimum global corporate tax of at least 15 percent, part of a measure that major governments hope will yield corporate taxes that are not getting paid worldwide. The Organization for Economic Cooperation and Development (OECD), which is responsible for writing tax guidelines in the worlds wealthiest nations, is leading the discussions. This week, the new OECD secretary-general, Mathias Cormann, called Bidens plan a game-changer and said he was quietly optimistic about reaching an international deal on taxing multinational companies.

Biden is also asking the G-7 and G-20 nations to approve an additional proposal requiring the worlds largest and most profitable companies to pay taxes in any country they sell goods or services to. The new approach would upend century-old policies that now make it legally necessary for corporations to be physically present in countries where they are taxed.

Though the proposal would also apply to other multinationals from many other countries, it is partly an attempt to resolve a decades-long dispute among the United States, the European Union, and other countries worldwide over how to deal with major tech companies, most of them headquartered in the United States.

Both the Obama and Trump administrations refused to consider a digital tax specifically targeted at companies such as Google, Facebook, Amazon, and Apple. And until now, countries havent been able to tax the profits of goods and services sold under their jurisdictions if the corporation is not headquartered there. Under the Biden administration, the United States has gone from being the No. 1 holdout on corporate tax reform to the champion for such a transformationincluding new taxes on Silicon Valleys tech titans.

Its far from a done deal, with Ireland and other tax havens resisting the Biden proposal, but U.S. officials say they fully expect an endorsement from the G-7 as well as major G-20 nations such as Japan, India, Argentina, and South Africa. On Wednesday, the Biden administration imposed, and then immediately suspended, 25 percent retaliatory tariffs on six countriesAustria, Britain, India, Italy, Spain, and Turkeythat have imposed a tax on digital services that Washington says discriminates against U.S. companies. The move was interpreted as a warning to go along with the Biden proposal.

Its a negotiating ploy, said Michael Greenberger, an expert in international finance at the University of Maryland. Essentially, what theyre telling these countries is this is not a free vote for you. Theres a significant threat of pain, and were going to give you six months to think about this.

If approved by the G-7 ministers, Biden is expected to sign off on the deal at his summit next week in Cornwall, England. If an agreement is then reached by the G-20 finance ministers at their meeting in Julyand finally by leaders at the G-20 summit in Octoberthe changes could amount to a virtual revolution in international corporate tax policies.

And at a time when multilateral trade negotiations are stalled, the forthcoming pact could also open the door to new trade deals, some experts say.

This agreement could be the starting point for the reemergence of multilateralism in international trade, said Eduardo Baistrocchi, a professor of tax law at the London School of Economics. The next stage might be a new wave of free trade agreements.

A senior Biden administration official told Foreign Policy that the two pillars of the negotiations amount to a trade-off. The administration will demand agreement on one pillara minimum global corporate tax of 15 percentin exchange for the ability to tax U.S. digital giants and other multinationals that often find tax havens where they are charged only a few percentage points.

Weve never had as much momentum as weve had now, the official said. Such changes would also have to be approved by Congress, but administration officials believe some Republicans might be on board, and the filibuster rule that has blocked so much legislation could well be eliminated by the time the proposal comes up for a vote, perhaps next year.

For Biden, the new corporate tax plan is integral to his broader aim of reorienting the U.S. and global economy away from exploitation by major corporations and back to labor. Bidens Made in America tax plan seeks to eliminate incentives for offshore investment and reverse a trend under which, even though U.S. corporations are the most profitable in the world, the United States collects less in corporate tax revenues as a share of GDP than almost any advanced economy in the OECD.

Yet the problem of missing corporate tax revenue affects all advanced economies. For more than a decade since the Great Recession, revenue-strapped major countries have sought to find ways to collect tax revenue for multinationals that have headquartered themselves in tax havens such as Ireland, Switzerland, Luxembourg, and Caribbean locales like the Cayman Islands. The so-called race to the bottom among countries has driven down corporate tax rates substantially over the last two decades. The average statutory corporate rate among OECD countries was 32.2 percent in 2000; by 2020, this had fallen to 23.2 percent, according to the OECD.

Our goal is to end the global race to the bottom in terms of corporate taxation, said the administration official. Every country is made worse off by tax competition, especially workers. When people say they feel the system is rigged, and when you consider why we have such extreme inequality, tax is a big part of the story. The official pointed out that corporate revenue as a share of U.S. GDP fell from an average of 2 percent in 2000 to 1 percent in 2018 and 2019. Thats one-third of the average of the OECD, the official said. And we have to fix it.

Even before Biden assumed the presidency, the web had been slowly closing on tax evasion by individuals. In recent years, the OECD, working with more than 100 countries worldwide, adopted new international standards on the automatic exchange of information for tax purposes that have curtailed the use of tax havens and resulted in more than $100 billion in additional tax revenues to OECD countries, according to the organizations data.

And in 2019, the OECD proposed a new formulation for the way taxing rights are allocated across jurisdictions to address the tax challenges arising from the digitalization of the economy. Its proposal would empower states to treat some multinationals as single, consolidated entities and tax them on a share of their worldwide profits based on where real economic activity occurs. The profits targeted are known as residual or excessive profits of higher than 10 to 20 percent margins. Bidens proposal builds on these ideas.

If enacted, Baistrocchi said Bidens plan would amount to the first systemic attempt to redistribute profits and revenues from tax havens and multinational corporations since the 1930s.

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Biden, Europeans Close to Pact on Taxing Multinationals, Including Big Tech - Foreign Policy

Thousands of Austin’s tech workers will soon be back in the office – Austonia

Austin's big tech offices are starting to open upto varying degrees.

Over a year of remote work later, some companies found it to be the perfect fit, while others experienced less productive employees. Overheard on Conference Calls, a workplace reviews site, ranked Austin as the third best city for remote work last year based on a variety of factors, including cost of living, average WiFi speed, commute time savings and coffee shops per capita.

Nevertheless, most tech companies are adopting a hybrid model, allowing more remote options than they did pre-pandemic but reinstating in-office minimums at the same time. Here's how six Austin offices are handling the transition. (Oracle declined to comment.)

In addition to its corporate office at the Domain, Amazon is also planning to open fulfillment centers in Kyle, San Marcos and Pflugerville. (Amazon)

Office: The DomainApproximately 1,000 corporate employees

Amazon expects its U.S. office employees will return to the office through the summer, with most back in the office by early fall, according to companywide guidance issued March 30. At that time, about 10% of the company's corporate employees were working from the office full-time.

Office: Riata Vista CircleApproximately 7,000 employees

Apple CEO Tim Cook sent out an email last week informing employees that they will return to the office three days a week starting in early September, according to multiple reports. Employees will be able to work remotely for up to two weeks a year, so long as management approves their requests.

Dell Technologies CEO Michael Dell believes remote working will be the new normal. (Stock photo)

Multiple officesApproximately 13,000 employees in Central Texas

Most Dell employees continue to work remotely, Senior Vice President Mark Pringe said in a statement to Austonia. Before the pandemic, 65% of the company's employees worked flexibly and 30% worked remotely on any given day. Last March, the company transitioned 90% of its team to remote work, and the majority are still remote today.

Moving forward, the company will continue to encourage flexibility and anticipates a hybrid model will emerge. "If employees can successfully do their job from home, they can work with their manager to make the choice to do so," Pringle said."

CEO and founder Michael Dell told the technology news site CRN in March that "remote working is absolutely here to stay," explaining that a company that offers flexibility will be more attractive to potential hires than one that doesn't.

Facebook's downtown office opened at Third + Shoal in September 2019. (Facebook)

Offices: The Domain, Parmer Innovation Center, West Sixth StreetApproximately 1,200 employees

Facebook's Austin employees have not yet returned to local offices, and the company is still developing its return-to-office plan, Head of Local Communications Tracy Clayton wrote in an email to Austonia.

The plan will likely include increased flexibility, with both in-office and remote options. "We believe people and teams will be increasingly distributed in the future, and we're committed to building an experience that helps everyone be successful, no matter where they're working," Clayton said.

(Shutterstock)

Offices: West Second Street, SaltilloApproximately 1,100 employees

Google declined to share Austin-specific return-to-office details through a spokesperson but referred to a recent blog post from CEO Sundar Pichai, which lays out a plan for all offices. It includes:

Pichai "fully expects" the share of employees working remotely to increase in the coming months, according to the post. He estimates 60% will fall into a hybrid schedule, 20% will switch offices and 20% will work remotely.

An internal survey conducted by Google last June found that engineers reported feeling less productive than they did pre-pandemic, according to reports.

(Brandywine Realty Trust)

Office: Burnet RoadApproximately 6,000 employees

Around 90% of IBM's Austin employees are still working remotely as the company moves toward a hybrid office model similar to its pre-pandemic norm, according to a spokesperson.

CEO Arvind Krishna told Bloomberg in March that he expects 80% of employees to work in a hybrid model post-pandemic, with the remainder staying entirely remote. But he raised concerns about the impact such a split would have on the company's culture. "When people are remote I worry about, 'What's their career trajectory going to be?'" he told the business news site.

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Thousands of Austin's tech workers will soon be back in the office - Austonia

Wall Street Journal editor: Journalists, Big Tech suppressed lab-leak theory to ‘fit their priors’ – Fox News

Media top headlines June 8

Alexandria Ocasio-Cortez refusing GoFundMe money for abuela, a judge ordering Chicago Mayor Lori Lightfoot to clarify policy that only granted interviews to journalists of color, and MSNBCs Nicole Wallace agreeing that not passing Democratic voting bill would be like the fall of the Roman empire round out todays top media headlines

Wall Street Journal editor at large Gerard Baker wrote the media about-face on the COVID-19 lab leak theory has shone a spotlight on the "layers of rottenness" in U.S. institutions that may be just as "damning" as China's corruption in the pandemic.

"Chinas officials may well be culpable of a combination of incompetence, recklessness and deceit," Baker wrote Monday in his piece, "America's Covid Groupthink Functioned Like China's Repression." "But in an authoritarian regime, they might not have had much individual agency in the matter. In this country, scientists, bureaucrats, journalists and executives of Big Tech companies suppressed the story not out of fear of imprisonment or death, but of their own volition, out of ideological or even venal motives."

"Marching in ideological lockstep is less forgivable in a society where one has a choice in the matter," Baker argues.

TED CRUZ MOCKS WASHINGTON POST AS CLOWNS AFTER FACT CHECK DECLARES WUHAN LAB LEAK THEORY SUDDENLY CREDIBLE

Baker ripped Big Tech for "deliberately" extinguishing debate on the topic. Facebook, for instance, had banned talk of the lab leak theory on their platform up until last month.

"In light of ongoing investigations into the origin of COVID-19 and in consultation with public health experts, we will no longer remove the claim that COVID-19 is man-made from our apps," a Facebook spokesperson said in a statement.

Baker places the majority of the blame, however, on the media.

"Yet the largest responsibility for the failure to consider in a timely fashion the lab-leak theory lies with the media," he said. "Journalists were once marked by their curiosity. Now the only thing thats curious about many of them is their lack of curiosity when a story doesnt fit their priors."

TOM COTTON ON DISMISSAL OF LAB LEAK THEORY: MEDIA, HOLLYWOOD DEEPLY IN THE POCKET OF COMMUNIST CHINA

For months, mainstream media dismissed the idea that COVID-19 escaped from the Wuhan Institute of Virology as a "conspiracy theory," slapping down conservatives who promoted the theory like Sen. Tom Cotton, R-Ark., in the process. But more prominent experts and journalists have begun to recognize its credibility, particularly after a report last month that three lab researchers were sickened with COVID-like symptoms in November 2019.

The 180 was not lost on observers, some of whom accused the media of suffering "amnesia" on the topic. New York Times writer David Leonhardt was among the analysts who suggested the media made a "mistake" by so quickly dismissing Cotton, former President Donald Trump, and others who considered the lab leak a possibility. The Washington Post's Josh Rogin was just as critical, ripping outlets for failing to "own up" to their errors.

"The obsession with debunking anythingDonald Trumpsaid and the fear of being accused of racism undoubtedly colored the judgment of many whose job is to consider only the empirical evidence," Baker wrote.

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Baker acknowledged there were "independent-minded people" in each industry who sought the truth. But those rebels, he said, "were no match for the groupthink and coverup."

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Wall Street Journal editor: Journalists, Big Tech suppressed lab-leak theory to 'fit their priors' - Fox News

Where Rich Americans Relocate: Texas Draws Hedge Funds, Big Tech in Wealth Boom – Bloomberg

Big Tech is flocking to Austin. Big Finance is expanding in Dallas. Houston, the epicenter of the U.S. energy industry, is diversifying away from Big Oil.

Florida may be the destination of choice for A-list money managers looking to flee Wall Street. But in the post-pandemic economy, Texas is rising, welcoming a rush of talented, wealthy people from California, New York and Illinois with the lure of lower taxes, luxury suburbs and opportunities to invest their cash -- even as state lawmakers cast a wary eye at their potential blue-state politics.

In the last year, Tesla Inc. broke ground on a pickup-truck factory in Austin, and Oracle Corp. said it would shift its headquarters to the Texas capital. Hewlett Packard Enterprise Co. announced it was moving to the Houston area. Charles Schwab Corp. left San Francisco for the affluent Dallas suburb of Westlake, where Fidelity already has a campus. Vanguard plans to open an office in the area early next year.

And hedge funds are sprouting up or expanding all over Dallas. Izzy Englanders Millennium Management, which has had offices in Texas since 2016, is backing a new fund, Meridiem Capital Partners, thats expected to start trading in the second half of this year with $1.5 billion. Canyon Partners, which manages $24 billion, should have 55 employees in town by year end.

A change of scenery sometimes is a great way to energize an organization, and Texas is clearly a very, very business friendly state, Canyon co-CEO Josh Friedman said in an interview with Bloomberg TV. Dallas has a particularly good base, I think, of very sophisticated families and its a good community intellectually in which to run a business.

Cinctive Capital Management opened an office in Dallas this year with capacity for about 20 people. The fund, which manages about $1 billion, is expanding its Texas operation believing there are talented managers in the state that might be overlooked by other firms. Avidity Partners has more than doubled its footprint in the state since it began in 2019, and its assets have swelled to $4 billion. All of these moves are according to people familiar with each funds plans.

Teslas Gigafactory under construction in Austin.

Photographer: RoschetzkyIstockPhoto/iStock/Getty Images

A lack of income tax is only part of the draw. Housing is relatively affordable. The health care system in Houston and other cities feature some of the best hospitals in the country. In addition to a warmer climate, plentiful restaurants, activities for families and lots of space to roam, job creation in the state has served as a magnet.

Employment growth has typically been twice the national average over the years, said Pia Orrenius, an economist at the Federal Reserve Bank of Dallas. And when you compare it with places like California and New York, the cost of living is still substantially lower, even though its starting to rise.

Texas has long used cash grants and local-tax incentives to coax companies to relocate. Now, a slew of growth-minded local businesses are attracting money to an economy that state leaders say would be the worlds ninth largest if Texas were an independent country.

Covid really just accelerated it, said Andrew Brock, the Austin-based head of J.P. Morgan Private Bank for Central Texas. People are coming here to invest. Theyre coming here because they believe there are opportunities to deploy capital.

Brock says Austin is benefiting from an influx of family offices and private equity firms looking to scale up growing businesses alongside established giants as Dell Technologies Inc. and more recent successes such as Yeti Holdings Inc.

Watch: Austin Mayor Hopes Elon Musk Can Help with Housing Problems

Texas was already in the midst of robust growth. In the past decade, Dallas and Houston added more people than any other metro areas, pushing the state population to about 29 million. Austin expanded at the fastest clip for urban areas of at least a million people.

Of the seven metropolitan areas with the greatest daily net inbound and outbound - 3 are in Texas

Source: Bloomberg analysis of U.S. Census data

The state picked up two seats in Congress over the last decade while California and New York each lost one. The Golden State lost population in 2020 for the first time. The most popular destination for people fleeing: Texas.

The dynamic of people leaving the coasts and coming to places like Texas is a durable trend, said Mark Okada, chief executive officer of Dallas-based Sycamore Tree Capital Partners, which he started last year with Jack Yang and Trey Parker to invest in alternative credit. He points out the state has an optimal tax rate, is a few hours flying distance from both coasts, and is only an hour behind New York.

Real estate agents are trying to keep up. Supply is limited in desirable neighborhoods, and its not unusual for houses to attract dozens of bidders -- many of them from California. In some cases, buyers are showing up without a job but with plenty of cash after selling their houses in more expensive locales.

WATCH: Austin, Texas Mayor Steve Adler discusses the large migration of technology industry workers to the city.

The median home price in Texas jumped 14% in March to a record $283,200, spurred by a 29% surge in Austin and double-digit gains in Dallas and Houston, according to Texas A&M Universitys Real Estate Research Center.

Its the reverse of the way people used to move to California, said Marie Bailey, who relocated in 2017 to Dallass northern suburbs from the Los Angeles area and became a real estate agent. She started a Facebook group three years ago for Californians moving to Texas and recently surpassed 33,500 members.

Data shows zipcode changes on LinkedIn user profiles from April to October

Source: LinkedIn, Council for Community and Economic Research

Booms -- and busts -- have a long history in Texas. The oil and savings-and-loan industries both flamed out in the 1980s, leaving years of economic wreckage in their wake. These days, the states big cities are less dependent on petroleum and natural gas. Houston still feels the pain when energy prices fall, but the city can also fall back on big industries in aerospace and medicine, plus growing clusters in biotech and clean energy.

The growth comes with headaches. Traffic is getting worse and public transportation is limited. The influx of people is driving up housing prices, forcing up the cost of living by boosting property taxes. Given high levies on real estate and the state sales tax, the fiscal burden on middle-class people is higher in Texas than in California, at least according to the Institute on Taxation and Economic Policy.

Whats more, Texas can be its own worst enemy when it comes to economic development. The states independent power grid failed under the strain of unusually cold temperatures in February, stoking doubts about Texass views on electricity deregulation and aversion to federal oversight.

And then there are the recent headlines out of Austin, where the states Republican-dominated legislature has spent the past few months taking on a raft of controversial measures, including restricting voting and abortion rights, expanding the ability to carry a gun without a permit, and limiting trans-gender kids participation in sports. The debates have drawn the ire of the national media, pleasing far-right conservatives and worrying moderates who fear that states brand will continue to become a caricature.

Texas Governor Greg Abbott

Were basically doing things that flat offend highly educated workers we need to attract, said Ray Perryman, a former economist at Baylor University in Waco who has been tracking the Texas economy for 40 years.

Perryman said hes also worried the state isnt investing enough in health care or education. More than half of its school kids are Hispanic, but Hispanic families only control about 5% of the states wealth, he said. Black children make up more than 12% of students, and African-American families are similarly underrepresented in wealth accumulation.

I fear that were not looking beyond our noses, Perryman said.

For now, the rush is on. Alex Wilcox, CEO of a small upscale airline called JSX, moved the company to Dallas from California three years ago to tap a labor pool full of former employees of American Airlines Group Inc. and Southwest Airlines Co. He went looking for a home in the swanky Park Cities area, but instead ended up building a house on an empty lot.

It sounds extravagant, but it was actually more economical than buying a place, he said. We spent half for a 5,000 square foot house of what we would have spent for half that size and 60 years old in Newport Beach.

With assistance by Katherine Burton, Katia Porzecanski, John Gittelsohn, Misyrlena Egkolfopoulou, and Erik Schatzker

(Updates with comment from Canyon co-CEO in fifth paragraph.)

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Where Rich Americans Relocate: Texas Draws Hedge Funds, Big Tech in Wealth Boom - Bloomberg

Republican AG Repeatedly Cites Justice Clarence Thomas Rebuke of Big Tech in Bid to Have Google Declared a Public Utility – Law & Crime

Ohio Attorney General Dave Yost

Ohio Attorney General Dave Yost on Tuesday asked a state court to declare that Google is a public utility that cannot manipulate search results to favor its own products and services over others. The Republican filed a 17-page lawsuit that relied heavily on Justice Clarence Thomass recent concurrence endorsing a view of internet companies and Big Tech that has steadily gained steam among conservatives in recent years.

The lawsuit, filed in Delaware County Common Pleas Court, asserts that Googles dominance as an internet search provider is so ubiquitous that the marketplace for competitors is virtually non-existent, rendering it a public utility or common carriersimilar to a gas, electric, or phone companies.

Ohio also has an interest in ensuring that as a common carrier Google Search does not unfairly discriminate against third party websites; that Google carries all responsive search results on an equal basis; and that it provides the public with ready access to organic search results that the Google Search algorithms produce, the lawsuit stated. Ohio also has an interest in ensuring that as a common carrier Google Search does not unfairly discriminate against third party websites; that Google carries all responsive search results on an equal basis; and that it provides the public with ready access to organic search results that the Google Search algorithms produce.

According to Yost, Google structures its search results to specifically disadvantage competitors in facets of its business that are not directly related to internet search results by directing users to Google-owned platforms like YouTube, Google Flights, Google Maps, Google News, Google Shopping, and Google Travel. Yost also alleges that Google presents its own integrated products in enhanced ways that are designed to capture more clicks than its competitors, regardless of where the competitors product would be ranked in an organic search, meaning results that appear strictly based on the relevance of the terms searched.

In bolstering his legal argument, Yost repeatedly cites to Justice Thomass concurrence in Biden v. Knight First Amendment Institute, which put an end to a lawsuit challenging then-PresidentDonald Trumpsthen-ability to block critics on his personal Twitter account. The justices unanimously vacated a lower courts decision which held that Trumps blocking of Twitter users violated the First Amendment and ordered the case dismissed as moot. But more significantly, Justice Thomas suggested that powerful internet companies should be stripped of their First Amendment rights because digital platforms that hold themselves out to the public resemble traditional common carriers.

Justice Thomas recently stated, [t]here is a fair argument that some digital platforms are sufficiently akin to common carriers or places of accommodation to be regulated, Yost wrote. Justice Thomas went on to explain, [t]he analogy to common carriers is even clearer for digital platforms that have dominant market share. Google searchat 90% of the market shareis valuable relative to other search engines because more people use it, creating data that Googles algorithm uses to refine and improve search results.

In a statement to Law&Crime, Google, calling Yosts lawsuit meritless, said its search is designed to provide users with the most relevant results.

Ohioans simply dont want the government to run Google like a gas or electric company, the company said. This lawsuit has no basis in fact or law and well defend ourselves against it in court.

Read the full lawsuit below.

[image of Yost via YouTube screengrab, Image of J. Thomas via Erin Schaff-Pool/Getty Images]

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Republican AG Repeatedly Cites Justice Clarence Thomas Rebuke of Big Tech in Bid to Have Google Declared a Public Utility - Law & Crime

Ron DeSantis Is Celebrating Twitter’s Ban of Rebekah Jones. His Own Big Tech Law Could Force Them To Replatform Her. – Reason

Rebekah Jones, the former Florida Department of Health web employee who has garnered lots of media attention and whistleblower status for alleging a conspiracy to cover up COVID-19 deaths, has been booted off Twitter, at least temporarily.

Jones told the Miami Herald that the reason she was blocked from Twitter was that she got a bit overenthusiastic sharing a recent Herald story about her alleged whistleblowing and tripped Twitter's rules against spamming.

Florida Gov. Ron DeSantis, the chief target of Jones' criticism, strongly opposes deplatforming. He recently signed into law a bill that mandates social media companies explain to users why they've been banned. The new law also requires that platforms like Twitter and Facebook carry messages from candidates for office no matter what those messages say (unless it's obscene). Platforms face massive fines of $250,000 per day for statewide offices if they refuse to comply with the law.

Given his contempt for the ability of private companies to boot users they don't like, you might think DeSantis would express some sort of principled concern about Jones' ban or care whether it was justified, even though new evidence strongly suggests the coverup she alleges didn't actually happen.

You'd be wrong.

After his office discovered Jones had been deplatformed by Twitter, his office released the following statement:

This decision was long overdue. Rebekah Jones is the Typhoid Mary of COVID-19 disinformation and has harmed many hardworking DOOH employees with her defamatory conspiracy theories.

I hope someone will ask Ms. Jones why she thinks she got suspendedwill she allege that Governor DeSantis is somehow behind Twitter's decision? That would be deeply ironic if she tried to spin that falsehood into her conspiracy theory, given the Governor's stance on Big Tech.

The Jones ban is interesting for another reason: The bill DeSantis signed also forbids social media platforms from blocking the sharing of news stories from media outlets. This part of the bill was clearly intended to prevent social media platforms from claiming "disinformation" and stopping users from passing along, for example, a New York Post story about the contents of Hunter Biden's laptop in 2020. So it's a bit rich for DeSantis' office to support Twitter deplatforming Jones for "disinformation" after passing a law specifically prohibiting Twitter in other contexts from stopping the spread of what it considers "disinformation."

DeSantis' Press Secretary Christina Pushaw has responded to accusations of hypocrisy by insisting that Twitter isn't violating Jones' "First Amendment" rights (I used scare quotes because nobody has a First Amendment right to post on a private platform like Twitter) because she was blocked not for her speech, but for violating Twitter's "platform manipulation" rules. Pushaw believes Jones did a lot more than just spamming folks.

Whatever his office might claim, DeSantis' critics are absolutely right that his Big Tech deplatforming bill is not about protecting speech, it's about political control of what is and is not allowed on social media platforms. DeSantis can decide what is "misinformation," but Twitter cannot.

Jones believes that she'll be back on the platform soon. Based on the law DeSantis signed, Twitter might have to restore her platform. On Monday afternoon, I tweeted out this joke response:

On Monday evening, Jones announced that she's running for Congress in an attempt to unseat GOP Rep. Matt Gaetz. If she actually follows through and files papers as a candidate, then under DeSantis' law, Twitter will be obligated to host campaign messages from Jones. Because there's no exception in Florida's law for libel or defamation, Jones can then use this mandated platform to smear DeSantis as much as she wants.

Jones apparently even bragged about this in an Instagram post announcing the campaign, pointing out that Twitter will be fined daily under this law if they don't restore her account.

Jordan Kirkland at The Capitolist says Jones is misinterpreting the law because she's not a Florida resident. But Kirkland's wrong here. The part of the law that mandates that candidates be platformed does not require them to be Florida residents. The Constitution requires that Jones must live in Florida in order to represent the state in Congress, but that's it. All she needs to be covered by the antiplatform law is to be certified as a candidate. Read the bill for yourself here.

We knew all along that this bill was a complete mess, full of provisions that were bound to be used to try to force tech companies to serve as hosts for political bullying. If DeSantis ends up being its first victim, he'll have nobody to blame but himself.

As of Tuesday morning, though, it's not clear whether this face off between Jones and Gaetz is going to happen. Jones has posted a follow-up message on Instagram backing off on her announcement that she's going to run:

Pushaw has also emailed Reason some additional comments in response to this post. She writes in part:

Governor DeSantis supports every Floridian's right to free speech. Even conspiracy grifters like Rebekah Jones have First Amendment rights, and their rights must be protected. However, she was not censored for anything she said. Jones wasn't suspended for posting left-wing conspiracy theories, COVID disinformation, or targeted harassment and defamationalthough shedidall that. Jones was suspended for clear cut TOS violations like buying followers and using multiple accounts. (2 of her alt accounts, rebel_geo and taytaygreen5, have also been suspended in the last 24 hours).

She adds, "If you read the Florida legislation, you know there is nothing in it that says Big Tech platforms can't enforce any content moderation policies. On the contrary, the legislation merely requires social media platforms to communicate their policies clearly to their usersand to enforce those policies consistently, without regard to political or ideological leanings."

That's a true description of the part of the law that covers general users. But the law is explicitly different for candidates for office. The law is clear that candidates are exempt from a platform's own moderation policies.

This post has been updated to include a subsequent post from Jones and additional comments from Pushaw.

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Ron DeSantis Is Celebrating Twitter's Ban of Rebekah Jones. His Own Big Tech Law Could Force Them To Replatform Her. - Reason

Clarence Thomas Declares War on Big Tech – Reason

In 2003, Reason named Clarence Thomas one of the magazine's "35 Heroes of Freedom" because the Supreme Court justice had proven himself "a reliable defender of freedom of speech in such diverse contexts as advertising, broadcasting, and campaign contributions." Alas, Thomas' recent statements in support of greater government control over "digital platforms" such as Twitter and Facebook have somewhat tarnished his First Amendment bona fides.

In April, Thomas joined his fellow justices in ridding the Supreme Court of a lingering legal dispute over the propriety of thenPresident Donald Trump's decision to block various critics on Twitter. With Trump out of the Oval Office, the Court said inBiden v. Knight First Amendment Institute(formerlyTrump v. Knight First Amendment Institute), the case was now moot.

Thomas agreed but did not let the matter rest there. In a solo concurrence, he lamented what he called the "unprecedentedconcentrated control of so much speech in the hands of a few private parties." Yes, Trump prevented "several people from interacting with his messages," Thomas wrote. But Twitter "removed him from the entire platform, thus barringallTwitter users from interacting with his messages." For Thomas, the takeaway was as troubling as it was obvious. "As Twitter made clear," he wrote, "the right to cut off speech lies most powerfully in the hands of private digital platforms."

The justice then delivered what amounted to a regulatory call to arms against those platforms. "Part of the solution" to the "problem" of "private, concentrated control over online content and platforms available to the public," Thomas wrote, may be found in "two legal doctrines" that "limit the right of a private company to exclude."

The first doctrine, he explained, involved "common carriers," such as railroads and telegraphs, which have historically been required "to serve all comers." The second involved "places of public accommodation" or amusement, such as inns, restaurants, and theaters, which have generally been forbidden from denying service to certain categories of people. "The similarities between some digital platforms and common carriers or places of accommodation," Thomas wrote, "may give legislators strong arguments for similarly regulating digital platforms."

But these arguments may not be quite as strong as Thomas thinks. For one thing, today's social media enterprises neither look nor act much like traditional common carriers. Unlike a telegraph company, for instance, Twitter and Facebook not only move information from place to place but curate it and moderate it, resulting in all sorts of varied and even personalized user experiences. What is more, the platforms let users curate and moderate their own unique experiences, leading to a vast array of online associations and communities. All of which qualifies as expressive activity, which is shielded by the First Amendment.

Thomas' public accommodation theory also has its faults. To be sure, state and federal law do prohibit most businesses from refusing service based on a customer's race, religion, sex, sexual orientation, or certain other legally protected categories. But it is not illegal (yet) to deny service based on a customer's comments about politics, which is what Thomas is ultimately objecting to here.

Like a number of other modern conservatives, Thomas seems to think that Twitter and other tech companies are effectively censoring right-of-center views. But Twitter is a private entity with First Amendment protections of its own and is thus under no obligation to share its soapbox. Thomas' approach, by contrast, would trespass the Constitution by forcing the company to play host to speech that it does not want to be associated with.

Thomas' arguments came about in a mooted case in which he wrote only for himself. Still, it would be a mistake to dismiss them as a fringe legal stance. The justice has a record of staking out lonely positions that later become entrenched in law. His critics underestimate him at their peril.

Take campaign finance. InMcConnell v. Federal Election Commission(2003), Thomas wrote alone to fault his colleagues in the majority for largely approving the Bipartisan Campaign Reform Act of 2002, which, among other things, banned corporate- and union-funded "electioneering communications" that mentioned a candidate by the name in the run-up to an election. Seven years later, inCitizens United v. Federal ElectionCommission(2010), the Court cited Thomas'McConnellopinion while striking down the same "electioneering communications" ban. He knows a thing or two about playing the legal long game.

Thomas also wields considerable influence in the broader conservative world, where interested parties are no doubt paying close attention to the present case. In other words, get ready for a host of new laws and lawsuits that cite Thomas' words in support of greater regulatory crackdowns on tech companies.

And do not be surprised when federal judges start citing him too. As Jeff Kosseff, author ofThe Twenty-Six Words That Created the Internet(Cornell University Press), remarked on Twitter, "I do think that Thomas's statement increases the chances that at least two judges on a randomly chosen circuit court panel will rule in favor of must-carry rules for social media platforms." The legal conflict over government control of social media is just starting to heat up.

Thomas is surely correct about one thing. "We will soon have no choice," he wrote, "but to address how our legal doctrines apply to highly concentrated, privately owned information infrastructure such as digital platforms." One way or another, Big Tech will eventually collide with government regulators at the Supreme Court.

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Clarence Thomas Declares War on Big Tech - Reason

Wipro CEO Thierry Delaporte: Big Tech needs us, we need them – Economic Times

Bengaluru: Ltd.s relationship with Big Tech companiesincluding Apple Inc., Google, Facebook Inc., Microsoft Corp. and Amazon.com Inc.has never been stronger than it is today, the Indian IT services firms chief executive Thierry Delaporte said on Thursday.

I think we have a lot more engagement with these companies now than we had 10 years ago. They need us, as much as we need them, Delaporte told Phil Fersht, founder of HFS Research, during a chat over a Zoom call.

Delaporte has been at the helm of Wipro for 11 months now. We are different worlds. They are developing products, but they need companies like us, creating an environment for them to continue to scale up and develop applications and solutions on these large platforms and environments, he said.

Countering the wisdom that suggests product and services companies are at loggerheads, he said the benefits that IT services companies have seen from cloud adoption is a great example of how both industries can grow together.

Wipro and its Indian peers are benefiting from the rapid adoption of cloud by their clients, helping them shift their applications to cloud service providers such as Amazon Web Services (AWS), Microsoft Azure and Google Cloud. It's very clear, every company needs to move (to the cloud) because if you're not driving your cloud transformation, you will never have the agility that will allow you to adapt to the evolution of technology, Delaporte said.

After taking charge as CEO, Delaporte has simplified the company structure, removed non-performing employees, hired new team members and won large orders from clients such as Germanys Metro AG, resulting in decade-high growth for the company.

He also led the company in its biggest acquisitionof UK-based Capco for $1.45 billion in March--and forecast 8-10% growth in the quarter to June.

The positive commentary from Wipro has also lifted the companys shares to a record high, with its market capitalisation touching over Rs 3 lakh crore on Thursday.

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Wipro CEO Thierry Delaporte: Big Tech needs us, we need them - Economic Times

G7 nations aim for global 15 per cent tax on big tech and bin digital services taxes – The Register

The G7 group of nations has proposed a minimum 15 per cent tax rate for multinational entities and the removal of digital services taxes.

The G7s members are Canada, France, Germany, Italy, Japan, the UK and the US, with the European Union participating as a guest. The Groups finance ministers and central bank governors met last week to discuss various matters, with their positions revealed in a post-meeting Communiqu with three items of note for the technology industry.

The first was a proposal to set a new globally minimum tax rate of 15 per cent, with that tax levied where revenue is made. The proposal is designed to end the financial contortions that see big tech companies make money from citizens of one nation but shift that revenue and any resulting profits to lower-taxing nations.

The results of these arrangements can be farcical, as shown by last weeks revelation that a Microsoft subsidiary in Ireland made profits of $314.73bn but paid no corporation tax because it is "resident" in Bermuda for tax purposes.

The second decision was abolition of digital services taxes, levies on digital services like video streaming that are notionally delivered from beyond a nations borders even though they are consumed -in-country. Digital services taxes were designed in part to ameliorate the effects of profit-shifting, so with the 15 per cent global tax in place they become less relevant.

The third item of interest was a re-statement of the G7s position that no global stablecoin project should begin operation until it adequately addresses relevant legal, regulatory, and oversight requirements through appropriate design and by adhering to applicable standards. The G7 nations want the Financial Stability Board, an international body that monitors and makes recommendations about the global financial system, to set rules for digital currencies before any non-state entities have a crack at disrupting money with efforts like Facebook's Libra. The statement also signals the G7 has an eye on China's Digital Yuan, and wants it integrated into a global framework.

The Organisation for Economic Co-operation and Development (OECD) endorsed the G7s stance.

Todays consensus among the G7 Finance Ministers, including on a minimum level of global taxation, is a landmark step toward the global consensus necessary to reform the international tax system, said secretary-general Matthias Cormann.

Thats important because while the G7 represents a big chunk of the global economy, their scheme wont be effective if other nations dont sign up. The G7s leaders will meet on June 11th and be joined by leaders of Australia, India, South Korea, and South Africa, with this new tax plan on the agenda. In July finance ministers of the G20 group will meet, and as theyve been working on similar tax measures its expected theyll consider and probably adopt the G7s proposal, which should mean that by years end most developed economies agree that big tech must be taxed more, in more places.

The G7s proposed 15 per cent tax rate is lower than company tax in many member nations, which has already lead to criticism it wont properly tackle profit-shifting.

Remember, too, that just last week the USA warned it believes that digital services taxes disproportionately affect its tech companies. Abolishing digital services taxes, which developing nations like Indonesia introduced with the explicit intent of broadening their tax base looks like a win for American companies at the expense of other nations.

The G7s proposal looks like a win for the USA, and maybe bad news for nations like Indonesia.

And then theres the fact that big tech companies have consistently defended their tax-shifting actions by stating theyre not illegal. The Register expects that tax havens that facilitated profit-shifting, and big techs lawyers and accountants, are already hard at work on new schemes that get around the G7 proposal.

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G7 nations aim for global 15 per cent tax on big tech and bin digital services taxes - The Register

The S&P 500 now is top-heavy in 5 big tech stocks but that alone won’t end this bull market – MSN Money

A top-heavy market may not be a warning sign, after all. Im referring to the outsized share of the U.S. market reflected in a handful of megacap stocks. The combined market valuation of just five stocks Apple Microsoft Amazon.com Alphabet (Google) and Facebook currently represent more than 20% of the total of all companies in the S&P 500 index

Many believe that such a lopsided market isnt healthy. They point out that, prior to the past couple of years, the peak of internet bubble held the record for when the five largest companies commanded the greatest share of the S&P 500s market cap. That was when their share hit 17%, according to data from Morgan Stanley Research.

Any parallel to the top of the internet bubble is certainly alarming. But what is overlooked when drawing this parallel is that the world has changed in fundamental ways over the past two decades. What previously was a danger sign may now be the new normal.

Thats because the markets are evolving along with whats known as a winner take all economy. Im referring to a prediction made in 2005 in the Journal of Economics & Management Strategy by Thomas Noe of Oxford University and Geoffrey Parker of Dartmouth College. The researchers predicted that, because of so-called network effects in an internet-based economy, industries will become increasingly dominated by their largest companies.

Their prediction has been remarkably prescient. As I pointed out in a late April column, the percentage of total corporate profits coming from the 100 biggest earners has skyrocketed over the past three decades. In 1975, the profit share of the top 100 was 48.5%, and in 1995 was 52.8%. But by 2015 it had jumped to 84.2%. (These percentages come from research conducted by Kathleen Kahle of the University of Arizona and Rene Stulz of Ohio State University.)

With the recent earnings season now behind us, I decided to see what the comparable percentage was in 2020. It was higher still, at 91.8% as you can see from the chart below. One third of the S&P 1500 companies lost money. The rest more or less were competing for the crumbs falling off the table from the profit feast of the top 100 companies.

In light of this, the lopsided U.S. market appears to be far less concrning. In fact, given how much the biggest companies are earning relative to the rest of the market, they deserve to have outsized market caps. According to FactSet data, for example, the five largest U.S. stocks as of June 7 represented 21.5% of the total market cap of the S&P 500, and their latest fiscal years net income represents 22.6% of the total net income of all 500 companies in that index.

Relative to earnings, in other words, the top five companies are slightly cheaper than the other 400 companies in the S&P 500. This is far different than the situation that prevailed at the top of the internet bubble, when some of the stocks with the biggest market caps were producing paltry earnings.

Dartmouths Parker said in an interview that its not particularly surprising that profits and market caps are currently correlated. It would be more surprising if they were not, as was the case at the top of the internet bubble. Absent such a disconnect, he said, the concentration of market cap in the largest companies is not a signal of a top-heavy market.

This doesnt mean that the stock market isnt vulnerable to a big decline, Parker added. The point instead is that, if indeed the market does decline, it will be for other reasons than the concentration of market cap among the largest companies.

Mark Hulbert is a regular contributor to MarketWatch. His Hulbert Ratings tracks investment newsletters that pay a flat fee to be audited. He can be reached at mark@hulbertratings.com

More: Dont get too optimistic about a stock market rally theyve been fizzling out

Also read: Never short a dull market? What stock traders need to know about a popular adage

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The S&P 500 now is top-heavy in 5 big tech stocks but that alone won't end this bull market - MSN Money

Relativity Space raises $650 million for 3D-printed SpaceX …

An artist's rendition of a Terran R rocket launching to orbit.

Relativity Space

3D-printing specialist Relativity Space raised $650 million to step up work on a fully reusable rocket that will attempt to challenge Elon Musk's SpaceX in less than three years, the company announced on Tuesday.

The money will be used "to accelerate some of the production ramp rate and get to a higher launch cadence as quickly as we can, because the demand is certainly there for it," Relativity Space CEO Tim Ellis told CNBC.

Relativity's new capital will be focused on its Terran R rocket, a launch vehicle that would be similar in size and power to SpaceX's workhorse Falcon 9 rocket.

Terran R will carry 20 times more to orbit than Relativity's Terran 1 rocket, the latter of which the company is on track to launch for the first time by the end of this year. Additionally, Ellis said Terran 1's backlog of customer orders makes it "the most pre-sold rocket in history before launch."

The raise, which Ellis described as "war chest doubled," was led by Fidelity and comes eight months after Relativity brought in $500 million in a round led by Tiger Global. The $650 million in equity added BlackRock, Centricus, Coatue and Soroban Capital as new Relativity investors, with a host of existing investors including Fidelity, Tiger, Baillie Gifford, K5 Global, Tribe Capital, XN, Brad Buss, Mark Cuban, Jared Leto and Spencer Rascoff building on prior stakes.

Relativity has now raised $1.34 billion in capital since its founding in 2015, with its valuation climbing to $4.2 billion from $2.3 billion in November. Its headcount has grown to 400 people, with Ellis saying the company plans to "add several more hundred this year."

"We've signed up to create a lot of value, certainly remaining the second most highly valued space company in the world," Ellis said, as SpaceX commands an industry-leading $74 billion valuation.

A timelapse from inside of a 3D-printing bay shows the manufacturing process for a Terran 1 second stage flight tank:

Relativity Space

Relativity is building the first iteration of its Terran 1 rocket and has manufactured 85% of the vehicle for the inaugural launch. It uses multiple 3D-printers, all developed in-house, to build Terran 1 and will do the same for Terran R.

The rockets are designed to be almost entirely 3D-printed, an approach which Relativity says makes it less complex, and faster to build or modify, than traditional rockets. Additionally, Relativity says its simpler process will eventually be capable of turning raw material into a rocket on the launchpad in under 60 days.

"We're just seeing in the market that there needs to be another quickly-moving, disruptive launch company that's actually skating to where the puck is going," Ellis said.

He added that Relativity "never seriously considered the SPAC path," believing his company doesn't yet need to go public and can tap "almost limitless capital" in the private markets. A SPAC, or special purpose acquisition company, is a blank-check company that raises funding from investors to finance a merger with a private company to take it public.

Ellis noted that Relativity received higher fundraising offers than the one it accepted from Fidelity, but went with the firm as the lead due to its prestige and reputation.

Relativity Spaceranked No. 23on this year'sCNBC Disruptor 50list.

The row of two-story tall 3D printer bays at the company's headquarters.

Relativity Space

Relativity's Terran 1 rocket is designed to carry 1,250 kilograms to low Earth orbit. That puts Terran 1 in the middle of the U.S. launch market, in the "medium-lift" section betweenRocket Lab's ElectronandSpaceX's Falcon 9in capability.

But Terran R would go head-to-head with Falcon 9: Targeting a capability of more than 20,000 kilograms to low Earth orbit, almost as tall at 216 feet in length, slightly wider with a 16-foot diameter, and a similarly sized nosecone to carry satellites to space.

SpaceX's rocket features nine Merlin engines in the booster, each capable of about 190,000 pounds of thrust, while Relativity's Terran R booster will feature seven Aeon R engines that it says will be capable of 302,000 pounds of thrust each. Earlier this year Relativity completed a full duration test firing of a pathfinder engine, using liquid oxygen and liquid methane as its fuel.

Musk's company ships its Falcon 9 boosters via highways from its headquarters in California, and Ellis said Relativity will similarly send its Terran R boosters over land to the coast of Texas, before putting them on a barge to its engine testing facility in Mississippi and then on another barge to Florida.

Relativity is aiming to launch the first Terran R mission in 2024 from Cape Canaveral's LC-16 launchpad, where its first Terran 1 missions will also launch. While Relativity is "nearly out of physical space" in the headquarters it moved into last summer, Ellis said the company has the core infrastructure in place needed to manufacturing Terran R. It has five large scale 3D-printers and five smaller "development" printers, and plans to add two more development bays in the near future. But Ellis noted that the company completed work on a new 3D-printer head, which more than doubles its print speed.

"It's not just adding more printer hardware. We're also continuously using the data and learning of printing to actually speed up the process and also make changes to the printer design themselves," Ellis said.

Ellis emphasized that Terran R has been a part of the plan since Relativity's early days, as the company has seen strong "market interest and demand for creating this vehicle." Although he declined to disclose the name of the customer, Relativity has a "prominent" initial buyer for Terran R launches.

"We've actually been developing [Terran R] this the whole time, so in many ways I feel like this is a weight off my shoulders, a big reveal," Ellis said. "We just needed to get enough traction and resources to be in the spot where now we're going big."

An illustration of a Terran 1 rocket, left, next to a Terran R rocket and a silhouette of a person.

Relativity Space

Ellis said he is a "huge fan" of SpaceX's next-generation Starship rocket, which Musk's company is developing to be fully reusable hoping to make space travel more akin to air travel.

"We need a vehicle that's going to take people to Mars," Ellis said. "[Starship] is huge and I think that capability is necessary."

As Terran R aims to be fully reusable, Ellis described it as "more a miniature Starship than a Falcon 9 rocket." While SpaceX reuses the boosters of its Falcon 9 rockets, it has not been able to reuse the upper stages that carry satellites on to orbit. Relativity wants Terran R to be a "fresh look at what is the best possible" rocket by designing it to be fully reusable from the beginning.

Terran R's booster, or first stage, will use its engines to land standing upright and has features "that would be nearly impossible to produce without 3D-printing." Ellis said Relativity's long-term goal is to "get to hundreds to thousands of reuses" per rocket. Reusing the second stage will be the next challenge, with Relativity building it "out of a more exotic 3D-printed metal" to make it lighter and able to endure the intense temperatures of reentering the Earth's atmosphere.

"First stage reuse or even second stage may not work perfectly on the very first try, but every single launch attempt that we're bringing in revenue we're able to continue to develop reusability further," Ellis said.

A fully reusable rocket would also be able to deliver cargo quickly from one point on the Earth to another, a use the U.S. military has shown great interest in already with SpaceX's Starship.

"I think point-to-point space transportation is an interesting market that we're looking at" with Terran R, Ellis said.

More broadly, Ellis remains focused on helping to "build an industrial base on Mars" and believes both 3D-printing and fully reusable rockets are key to making that happen.

"No one else is doing full reusability and I think that that's a bit depressing there needs to be more companies actually trying to make the future happen in a big way," Ellis said. "What we're doing is extremely hard ,but we also have the best and most experienced team in the industry."

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Relativity Space raises $650 million for 3D-printed SpaceX ...

SpaceXs Starlink is in talks with several airlines for in-flight Wi-Fi – The Verge

The team behind SpaceXs growing satellite internet network Starlink is in talks with several airlines to beam internet to their airplanes, the projects vice president said during a conference panel on Wednesday. Expanding Starlink from rural homes and onto airlines is an expected move for Elon Musks space company as it races to open the broadband network commercially later this year.

Were in talks with several of the airlines, Jonathan Hofeller, SpaceXs VP of Starlink and commercial sales, told a panel at the Connected Aviation Intelligence Summit on Wednesday. We have our own aviation product in development weve already done some demonstrations to date, and looking to get that product finalized to be put on aircraft in the very near future.

Since 2018, SpaceX has launched nearly 1,800 Starlink satellites out of the roughly 4,400 it needs to provide global coverage of broadband internet, primarily for rural homes where fiber connections arent available. The company is in the midst of a Starlink beta phase that promises up to 100Mbps download and 20Mbps upload speeds, with tens of thousands of users so far. Most are paying $99 per month for internet under that beta, using a $499 bundle of a self-aligning Starlink dish and Wi-Fi router.

Last year, SpaceX filed plans to test Starlink on five Gulfstream jets. And in March, SpaceX sought FCC approval to use Starlink with so-called Earth Stations in Motion industry jargon to refer to basically any vehicle that would receive a signal, including cars, trucks, maritime vessels, and aircraft. Musk clarified on Twitter at the time: Not connecting Tesla cars to Starlink, as our terminal is much too big. This is for aircraft, ships, large trucks & RVs. Another FCC filing from last Friday requested approval for testing across five US states of an updated receiver with a square-shaped antenna, a basic design commonly associated with aircraft antennae.

Hofeller said the design for SpaceXs airline antennas will be very similar to the technology inside its consumer terminals, but with obvious enhancements for aviation connectivity. Like those consumer antennas, the aviation hardware will be designed and built by SpaceX, he said. The airborne antennas could link with ground stations to communicate with Starlink satellites.

For Starlink to provide connectivity to airplanes flying over remote parts of the ocean, far from ground stations, will require inter-satellite links a capability in which satellites talk to each other using laser links without first bouncing signals off ground stations. The next generation of our constellation, which is in work, will have this inter-satellite connectivity, Hofeller said.

Competition is fierce between Musks Starlink network and the growing industry of low-orbit satellite internet providers. New competitors include so-called mega-constellations from Jeff Bezos Amazon, which has yet to launch any of its planned 3,000 satellites, and the UKs OneWeb, which has launched 182 satellites of roughly 640 planned. All of those satellites will be in low-Earth orbit, a domain below the more distant geostationary orbits of larger internet satellites that currently provide internet services to commercial aircraft.

Established US competitors for in-flight internet are Intelsat and ViaSat, which operate networks of satellites in geostationary orbit. ViaSat recently announced plans to use its next-generation satellite network on Deltas mainline fleet. The California-based company is planning a 300-satellite low-orbit network of its own as well as a new geostationary trio that will start launching early next year. It is already a diehard competitor to SpaceX. ViaSat has threatened to sue the Federal Communications Commission for not doing an environmental review on a recent Starlink modification.

SpaceX appears confident that it can outlast the more established competition. All in all, passengers and customers want a great experience that [geostationary] systems simply cannot provide, Hofeller said on the panel. So its going to be up to the individual airline whether they want to be responsive to that, or if theyre okay with having a system that is not as responsive to their customers demand.

OneWeb, which was pulled out of bankruptcy last year by the UK government and Indian telecom giant Bharti Global, is also targeting in-flight internet services with its constellation and has been far more public with its plans than SpaceX. Asked by the panel moderator when customers can expect to use in-flight internet with any of the competing satellite networks currently expanding in low-Earth orbit, OneWebs VP of mobility services Ben Griffin estimated the middle part of next year maybe sooner. Airlines want to see developed hardware and services that work first, he added.

We have been talking to airlines for quite some time, so theres no lack of interest, Griffin said during the same panel. SpaceXs Hofeller was cagey when the question turned to him What Ben said is correct. People want to see the hardware, they wanna see the constellation, and so were driving that hard as fast as we can. When the announcement will be? To be determined. Dont know. Hopefully sooner rather than later.

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SpaceXs Starlink is in talks with several airlines for in-flight Wi-Fi - The Verge

SpaceX Dragon docks at space station to deliver new solar …

CAPE CANAVERAL, Fla. A SpaceX Dragon cargo ship arrived at the International Space Station today (June 5) to deliver new solar arrays along with tons of fresh research experiments and NASA supplies as part of the company's 22nd cargo resupply mission.

The uncrewed Dragon autonomously linked up with the orbiting laboratory at 5:09 a.m. EDT (0909 GMT), parking at the zenith, or space-facing, side of the station's Harmony module. Docking occurred approximately 40 hours after the Dragon's launch on a Falcon 9 rocket Thursday (June 3) from NASA's Kennedy Space Center in Florida. At the time of docking, both spacecraft were sailing about 258 miles (415 kilometers) over the South Pacific Ocean.

"It was a great approach and was awesome watching it come on in, and we're glad it's here," NASA astronaut Shane Kimbrough told flight controllers after docking. "Looking forward to all the science and other goodies that it brought up along with our EVA solar arrays. It's going to be a great few weeks as we get into Dragon and get things out."

Video: See SpaceX's 1st automated uncrewed docking at space stationRelated: SpaceX launches upgraded Cargo Dragon to space station for NASA

SpaceX's Dragon CRS-22 mission is the second upgraded supply ship to dock with the International Space Station (ISS) without the help of astronauts, who typically use the station's Canadarm2 robotic arm to grapple incoming cargo vessels and manually attach them to the station. However, two Expedition 65 crewmembers Kimbrough and fellow NASA astronaut Megan McArthur did monitor the docking from inside the station's Cupola observatory.

The arrival of this upgraded Dragon CRS-22 cargo spacecraft will bring the total number of SpaceX vehicles to two. A different Crew Dragon spacecraft, which brought four astronauts to the space station in April on the Crew-2 mission, is also currently docked at the Harmony module.

"Hard capture is complete and it's a great day seeing another Dragon on ISS [International Space Station]," spacecraft communicator Leslie Ringo radioed the station crew after docking from NASA's Mission Control in Houston.

Related: SpaceX's Crew Dragon space capsule explained (infographic)

This Cargo Dragon is SpaceX's second supply-toting vehicle to autonomously dock itself with the space station. That is a new feature thanks to some redesigns that SpaceX has made to its workhorse Dragon cargo spacecraft. The upgrades allow the vehicle to not only dock with the station (its predecessor was grappled by the station's robotic arm and berthed to the station with the help of astronauts on board) but also increased the craft's cargo capacity by about 20%, enabling more science.

This Dragon will be the second to splashdown in the Atlantic Ocean following a month-long stay attached to the ISS. This change allows researchers to receive their precious cargo shipments much faster than before.

On board the Dragon CRS-22 spacecraft is 7,300 lbs. (3,311 kilograms) of supplies and science investigations, including two brand new roll-out solar arrays that will help boost the space station's power supply. Built by RedWire and Boeing, the arrays are the first two in a set of six that will be installed on the station in the coming months.

Dubbed iROSA (ISS Roll-Out Solar Array), the first set of flexible solar panels will be installed this month as part of a series of spacewalks performed by Shane Kimbrough and Thomas Pesquet, on June 16 and 20. The design was first tested as part of a technology demonstration on a previous resupply mission.

In addition to the ISS, the solar arrays will be used on future missions, such as the Double Asteroid Redirection Test (or DART), which is set to launch on a SpaceX rocket later this year. It will also be used on NASA's planned Lunar Gateway, a part of the agency's Artemis moon program.

Also on board the Dragon CRS-21 spacecraft is more than 2,000-lbs. (907 kilograms) of scientific experiments, including some interesting organisms like tardigrades (also known as "water bears") and Bobtail squid.

The Dragon CRS-22 mission marks the second cargo mission the company has flown under its second Commercial Resupply Services contract with NASA, called CRS-2.

SpaceX signed its first such contract with NASA in 2008, originally agreeing to launch 12 cargo missions to the space station between 2012 and 2016. NASA extended that contract to include a total of 20 Dragon cargo flights, for a total cost of about $700 million in 2015. (Northrop Grumman, formerly known as Orbital ATK, also received a contract to fly NASA cargo on its Cygnus cargo spacecraft.)

According to Montalbano, the cargo Dragon will remain docked with the space station until July. Once Cargo Dragon departs, the Crew Dragon currently docked with the station will switch parking spots, opening up a port on the ISS for an uncrewed Boeing Starliner spacecraft, which is scheduled to launch on its OFT-2 test flight to the station on July 30.

Follow Amy Thompson on Twitter @astrogingersnap. Follow us on Twitter @Spacedotcom or Facebook.

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